Cover
Cover - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 11, 2024 | Jun. 30, 2023 | |
Document Information [Line Items] | |||
Document Type | 10-K/A | ||
Document Annual Report | true | ||
Current Fiscal Year End Date | --12-31 | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Transition Report | false | ||
Entity File Number | 001-16577 | ||
Entity Registrant Name | NEW YORK COMMUNITY BANCORP, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 06-1377322 | ||
Entity Address, Address Line One | 102 Duffy Avenue, | ||
Entity Address, City or Town | Hicksville, | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 11801 | ||
City Area Code | 516 | ||
Local Phone Number | 683-4100 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | No | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 8 | ||
Entity Common Stock, Shares Outstanding | 797,921,126 | ||
Documents Incorporated by Reference | Portions of the definitive Proxy Statement for the Annual Meeting of Shareholders to be held on May 17, 2024 are incorporated by reference into Part III. | ||
Entity Central Index Key | 0000910073 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Common Stock (Par Value: $0.01) | |||
Document Information [Line Items] | |||
Title of 12(b) Security | Common Stock, $0.01 par value per share | ||
Trading Symbol | NYCB | ||
Security Exchange Name | NYSE | ||
Bifurcated Option Notes Unit Securities | |||
Document Information [Line Items] | |||
Title of 12(b) Security | Bifurcated Option Note Unit SecuritiESSM | ||
Trading Symbol | NYCB PU | ||
Security Exchange Name | NYSE | ||
Fixed To Floating Rate Series A Noncumulative Perpetual Preferred Stock | |||
Document Information [Line Items] | |||
Title of 12(b) Security | Depositary Shares each representing a 1/40th interest in a share of Fixed-to-Floating Rate Series A Noncumulative Perpetual Preferred Stock | ||
Trading Symbol | NYCB PA | ||
Security Exchange Name | NYSE |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Firm ID | 185 |
Auditor Name | KPMG LLP |
Auditor Location | New York, New York |
Consolidated Statements of Cond
Consolidated Statements of Condition - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
ASSETS: | ||
Cash and cash equivalents | $ 11,475 | $ 2,032 |
Securities: | ||
Debt Securities available-for-sale ($2,822 and $434 pledged at December 31, 2023 and December 31, 2022, respectively) | 9,145 | 9,060 |
Equity investments with readily determinable fair values, at fair value | 14 | 14 |
Total securities | 9,159 | 9,074 |
Loans held for sale ($902 and $1,115 measured at fair value, respectively) | 1,182 | 1,115 |
Loans and leases held for investment, net of deferred loan fees and costs | 84,619 | 69,001 |
Less: Allowance for credit losses on loans and leases | (992) | (393) |
Total loans and leases held for investment, net | 83,627 | 68,608 |
Federal Home Loan Bank stock and Federal Reserve Bank stock, at cost | 1,392 | 1,267 |
Premises and equipment, net | 652 | 491 |
Core deposit and other intangibles | 625 | 287 |
Goodwill | 0 | 2,426 |
Mortgage servicing rights | 1,111 | 1,033 |
Bank-owned life insurance | 1,580 | 1,561 |
Other assets | 3,254 | 2,250 |
Total assets | 114,057 | 90,144 |
Deposits: | ||
Interest-bearing checking and money market accounts | 30,700 | 22,511 |
Savings accounts | 8,773 | 11,645 |
Certificates of deposit | 21,554 | 12,510 |
Non-interest-bearing accounts | 20,499 | 12,055 |
Total deposits | 81,526 | 58,721 |
Borrowed funds: | ||
Federal Home Loan Bank and Federal Reserve Bank advances | 20,250 | 20,325 |
Junior subordinated debentures | 579 | 575 |
Subordinated notes | 438 | 432 |
Total borrowed funds | 21,267 | 21,332 |
Other liabilities | 2,897 | 1,267 |
Total liabilities | 105,690 | 81,320 |
Stockholders' equity: | ||
Preferred stock at par $0.01 (5,000,000 shares authorized): Series A (515,000 shares issued and outstanding) | 503 | 503 |
Common stock at par $0.01 (900,000,000 shares authorized; 744,155,791 and 705,429,386 shares issued; and 722,066,370 and 681,217,334 shares outstanding, respectively) | 7 | 7 |
Paid-in capital in excess of par | 8,231 | 8,130 |
Retained earnings | 443 | 1,041 |
Treasury stock, at cost ($22,089,421 and 24,212,052 shares, respectively) | (218) | (237) |
Accumulated other comprehensive loss, net of tax: | ||
Net unrealized loss on securities available for sale, net of tax of $225 and $240, respectively | (581) | (626) |
Net unrealized loss on pension and post-retirement obligations, net of tax of $12 and $18, respectively | (28) | (46) |
Net unrealized gain on cash flow hedges, net of tax of $(6) and $(20), respectively | 10 | 52 |
Total accumulated other comprehensive loss, net of tax | (599) | (620) |
Total stockholders’ equity | 8,367 | 8,824 |
Total liabilities and stockholders’ equity | $ 114,057 | $ 90,144 |
Consolidated Statements of Co_2
Consolidated Statements of Condition (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Pledged investment securities | $ 2,822 | $ 434 |
Loans held-for-sale | $ 902 | $ 1,115 |
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 515,000 | 515,000 |
Preferred stock, shares outstanding (in shares) | 515,000 | 515,000 |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 900,000,000 | 900,000,000 |
Common stock, shares issued (in shares) | 744,155,791 | 705,429,386 |
Common stock, shares outstanding (in shares) | 722,066,370 | 681,217,334 |
Treasury stock (in shares) | 22,089,421 | 24,212,052 |
Net unrealized loss on securities available for sale, tax | $ 225 | $ 240 |
Net unrealized loss on pension and post-retirement obligations, tax | 12 | 18 |
Net unrealized (loss) gain on cash flow hedges, tax | $ (6) | $ (20) |
Consolidated Statements of Inco
Consolidated Statements of Income and Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
INTEREST INCOME: | |||
Loans and leases | $ 4,509 | $ 1,848 | $ 1,525 |
Securities and money market investments | 982 | 244 | 164 |
Total interest income | 5,491 | 2,092 | 1,689 |
INTEREST EXPENSE: | |||
Interest-bearing checking and money market accounts | 943 | 226 | 31 |
Savings accounts | 169 | 60 | 28 |
Certificates of deposit | 646 | 97 | 55 |
Borrowed funds | 656 | 313 | 286 |
Total interest expense | 2,414 | 696 | 400 |
Net interest income | 3,077 | 1,396 | 1,289 |
Provision for credit losses | 833 | 133 | 3 |
Net interest income after provision for credit loan losses | 2,244 | 1,263 | 1,286 |
NON-INTEREST INCOME: | |||
Fee income | 172 | 27 | 23 |
Bank-owned life insurance | 43 | 32 | 29 |
Net loss on securities | (1) | (2) | 0 |
Net return on mortgage servicing rights | 103 | 6 | 0 |
Net gain on loan sales and securitizations | 89 | 5 | 1 |
Net loan administration income | 82 | 3 | 0 |
Bargain purchase gain | 2,131 | 159 | 0 |
Other | 68 | 17 | 9 |
Total non-interest income | 2,687 | 247 | 61 |
NON-INTEREST EXPENSE: | |||
Compensation and benefits | 1,149 | 354 | 303 |
Occupancy and equipment | 200 | 92 | 88 |
General and administrative | 750 | 158 | 127 |
Total operating expense | 2,099 | 604 | 518 |
Intangible asset amortization | 126 | 5 | 0 |
Merger-related and restructuring expenses | 330 | 75 | 23 |
Goodwill impairment | 2,426 | 0 | 0 |
Total non-interest expense | 4,981 | 684 | 541 |
(Loss) Income before income taxes | (50) | 826 | 806 |
Income tax expense | 29 | 176 | 210 |
Net (loss) income | (79) | 650 | 596 |
Preferred stock dividends | 33 | 33 | 33 |
Net (loss) income available to common stockholders | $ (112) | $ 617 | $ 563 |
Basic (in usd per share) | $ (0.16) | $ 1.26 | $ 1.20 |
Diluted (in usd per share) | $ (0.16) | $ 1.26 | $ 1.20 |
Net (loss) income | $ (79) | $ 650 | $ 596 |
Other comprehensive gain (loss), net of tax: | |||
Change in net unrealized loss on securities available for sale, net of tax of $(15); $223 and $42, respectively | 45 | (581) | (112) |
Change in pension and post-retirement obligations, net of tax of $(5); $6 and $(8), respectively | 12 | (17) | 23 |
Change in net unrealized gain on cash flow hedges, net of tax of $(3); $(24) and $(2), respectively | 6 | 64 | 6 |
Reclassification adjustment for defined benefit pension plan, net of tax of $(1); $— and $(2), respectively | 6 | 2 | 5 |
Reclassification adjustment for net (loss) gain on cash flow hedges included in net income, net of tax $17; $1 and $(7), respectively | (48) | (3) | 18 |
Total other comprehensive gain (loss), net of tax | 21 | (535) | (60) |
Total comprehensive (loss) income, net of tax | $ (58) | $ 115 | 536 |
Maximum | |||
NON-INTEREST INCOME: | |||
Net gain on loan sales and securitizations | $ 0 |
Consolidated Statements of In_2
Consolidated Statements of Income and Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Change in net unrealized (loss) gain on securities available for sale, tax | $ (15) | $ 223 | $ 42 |
Change in pension and post-retirement obligations, tax | (5) | 6 | (8) |
Change in net unrealized gain (loss) on cash flow hedges, tax | (3) | (24) | (2) |
Reclassification adjustment for defined benefit plans, tax | (1) | 0 | (2) |
Reclassification adjustment for net gain on cash flow hedges included in net income, tax | $ 17 | $ 1 | $ (7) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Millions | Total | Preferred Stock (Par Value: $0.01) | Common Stock (Par Value: $0.01) | Paid-in Capital in excess of Par | Retained Earnings | Treasury Stock, at Cost | Accumulated Other Comprehensive Loss, Net of Tax |
Beginning balance (in shares) at Dec. 31, 2020 | 463,901,808 | ||||||
Beginning balance at Dec. 31, 2020 | $ 6,842 | $ 503 | $ 5 | $ 6,123 | $ 494 | $ (258) | $ (25) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Shares issued for restricted stock, net of forfeitures (in shares) | 2,515,942 | ||||||
Shares issued for restricted stock, net of forfeitures | $ 0 | (28) | 28 | ||||
Compensation expense related to restricted stock awards | 31 | 31 | |||||
Net (loss) income | 596 | 596 | |||||
Dividends paid on common stock | (316) | (316) | |||||
Dividends paid on preferred stock | $ (33) | (33) | |||||
Purchase of common stock (in shares) | (1,402,107) | ||||||
Purchase of common stock | $ (16) | (16) | |||||
Other comprehensive loss, net of tax | $ (60) | ||||||
Ending balance (in shares) at Dec. 31, 2021 | 465,015,643 | ||||||
Ending balance at Dec. 31, 2021 | $ 7,044 | 503 | 5 | 6,126 | 741 | (246) | (85) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Dividends paid on common stock (in dollars per share) | $ 0.68 | ||||||
Issuance and exercise of FDIC Equity appreciation instrument (in shares) | 214,990,316 | ||||||
Issuance and exercise of FDIC Equity appreciation instrument | $ 2,010 | 2 | 2,008 | ||||
Shares issued for restricted stock, net of forfeitures (in shares) | 3,548,310 | ||||||
Shares issued for restricted stock, net of forfeitures | $ 0 | (33) | 33 | ||||
Compensation expense related to restricted stock awards | 29 | 29 | |||||
Net (loss) income | 650 | 650 | |||||
Dividends paid on common stock | (317) | (317) | |||||
Dividends paid on preferred stock | $ (33) | (33) | |||||
Purchase of common stock (in shares) | (2,336,935) | ||||||
Purchase of common stock | $ (24) | (24) | |||||
Other comprehensive loss, net of tax | $ (535) | ||||||
Ending balance (in shares) at Dec. 31, 2022 | 681,217,334 | ||||||
Ending balance at Dec. 31, 2022 | $ 8,824 | 503 | 7 | 8,130 | 1,041 | (237) | (620) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Dividends paid on common stock (in dollars per share) | $ 0.68 | ||||||
Issuance and exercise of FDIC Equity appreciation instrument (in shares) | 39,032,006 | ||||||
Issuance and exercise of FDIC Equity appreciation instrument | $ 85 | 0 | 85 | ||||
Shares issued for restricted stock, net of forfeitures (in shares) | 3,074,565 | ||||||
Shares issued for restricted stock, net of forfeitures | $ 0 | (31) | 31 | ||||
Compensation expense related to restricted stock awards | 47 | 47 | |||||
Net (loss) income | (79) | (79) | |||||
Dividends paid on common stock | (486) | (486) | |||||
Dividends paid on preferred stock | $ (33) | (33) | |||||
Purchase of common stock (in shares) | (1,257,535) | ||||||
Purchase of common stock | $ (12) | (12) | |||||
Other comprehensive loss, net of tax | $ 21 | ||||||
Ending balance (in shares) at Dec. 31, 2023 | 722,066,370 | ||||||
Ending balance at Dec. 31, 2023 | $ 8,367 | $ 503 | $ 7 | $ 8,231 | $ 443 | $ (218) | $ (599) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Dividends paid on common stock (in dollars per share) | $ 0.56 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends paid on common stock (in dollars per share) | $ 0.56 | $ 0.68 | $ 0.68 |
Dividends paid on preferred stock (in dollars per share) | 63.76 | 63.76 | $ 63.76 |
Preferred stock, par value (in usd per share) | 0.01 | 0.01 | |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Net (loss) income | $ (79) | $ 650 | $ 596 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Provision for credit losses | 833 | 133 | 3 | |
Intangible asset amortization | 126 | 5 | 0 | |
Depreciation | 39 | 18 | 21 | |
Amortization of discounts and premiums, net | 221 | (37) | (5) | |
Net loss on securities | 1 | 2 | 0 | |
Net gain on sales of loans | (89) | (5) | (1) | |
Net gain on sales of fixed assets | 0 | (2) | 0 | |
Gain on business acquisition | (2,131) | (159) | 0 | |
Goodwill impairment | 2,426 | 0 | 0 | |
Stock-based compensation | 47 | 29 | 31 | |
Deferred tax expense | (187) | (3) | (13) | |
Changes in operating assets and liabilities: | ||||
(Increase) decrease in other assets | (721) | 348 | (284) | |
Decrease in other liabilities | (255) | (100) | (6) | |
Purchases of securities held for trading | (10) | (75) | (110) | |
Proceeds from sales of securities held for trading | 10 | 75 | 110 | |
Change in loans held for sale, net | 32 | 147 | (52) | |
Net cash provided by operating activities | 263 | 1,026 | 290 | |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
Proceeds from repayment of securities available for sale | 1,402 | 732 | 1,728 | |
Proceeds from sales of securities available for sale including loans that have been securitized | 1,858 | 228 | 0 | |
Purchase of securities available for sale | (3,046) | (2,242) | (1,796) | |
Redemption of Federal Home Loan Bank stock | 1,501 | 635 | 92 | |
Purchases of Federal Home Loan Bank and Federal Reserve Bank stock | (1,626) | (839) | (112) | |
Proceeds from bank-owned life insurance, net | 30 | 16 | 12 | |
Proceeds from sales of loans | 0 | 0 | 37 | |
Purchases of loans | 0 | 162 | 161 | |
Net proceeds from sales of MSR's | 50 | 0 | 0 | |
Other changes in loans, net | 4,331 | 5,019 | 2,558 | |
Purchases of premises and equipment, net | (66) | (3) | (4) | |
Cash acquired in business acquisition | 24,901 | 331 | 0 | |
Net cash provided by (used in) investing activities | 20,673 | (6,323) | (2,762) | |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Net (decrease) increase in deposits | (10,738) | 7,662 | 2,622 | |
Net (decrease) increase in short-term borrowed funds | (550) | 2,550 | 950 | |
Proceeds from long-term borrowed funds | 19,850 | 9,479 | 2,072 | |
Repayments of long-term borrowed funds | (19,374) | (13,960) | (2,544) | |
Net disbursement of payments of loans serviced for others | (66) | (189) | 0 | |
Cash dividends paid on common stock | (486) | (317) | (316) | |
Cash dividends paid on preferred stock | (33) | (33) | (33) | |
Treasury stock repurchased | 0 | (7) | 0 | |
Payments relating to treasury shares received for restricted stock award tax payments | (12) | (17) | (16) | |
Net cash (used in) provided by financing activities | (11,409) | 5,168 | 2,735 | |
Net increase in cash, cash equivalents and restricted cash | [1] | 9,527 | (129) | 263 |
Cash and cash equivalents at beginning of year | [1] | 2,082 | 2,211 | 1,948 |
Cash and cash equivalents at end of year | [1] | 11,609 | 2,082 | 2,211 |
Supplemental Cash Flow Information [Abstract] | ||||
Cash paid for interest | 2,290 | 657 | 402 | |
Cash paid for income taxes | 54 | 17 | 471 | |
Non-cash investing and financing activities: | ||||
Transfers to repossessed assets from loans | 9 | 0 | 1 | |
Securitization of loans to mortgage-backed securities available for sale | 222 | 162 | 161 | |
Transfer of loans from held for investment to held for sale | 163 | 0 | 52 | |
Securitization of loans to mortgage-backed securities available for sale | 0 | 0 | 94 | |
MSRs resulting from sale or securitization of loans | 0 | 19 | 0 | |
Business Combinations: | ||||
Fair value of tangible assets acquired | 37,384 | 24,449 | 0 | |
Intangible assets | 464 | 292 | 0 | |
Mortgage servicing rights | 0 | 1,012 | 0 | |
Liabilities assumed | 35,632 | 23,584 | 0 | |
Common Stock issued in business combination | 2,010 | 0 | ||
Issuance of FDIC Equity appreciation instrument | 85 | 0 | 0 | |
Restricted stock units | ||||
Non-cash investing and financing activities: | ||||
Shares issued for restricted stock awards | 31 | 33 | 28 | |
Business Combinations: | ||||
Shares issued for restricted stock awards | 31 | $ 33 | $ 28 | |
Flagstar Bancorp | ||||
Non-cash investing and financing activities: | ||||
Shares issued for restricted stock awards | 0 | |||
Business Combinations: | ||||
Shares issued for restricted stock awards | $ 0 | |||
[1]For further information on restricted cash, see Note 2 - Summary of Significant Accounting Policies |
Description of Business, Organi
Description of Business, Organization and Basis of Presentation | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business, Organization and Basis of Presentation | Description of Business, Organization and Basis of Presentation Organization New York Community Bancorp, Inc. (on a stand-alone basis, the “Parent Company” or, collectively with its subsidiaries, the “Company” or "we") was organized under Delaware law on July 20, 1993 and is the holding company for Flagstar Bank N.A. (hereinafter referred to as the “Bank”). The Company is headquartered in Hicksville, New York with regional headquarters in Troy, Michigan. The Company is subject to regulation, examination and supervision by the Federal Reserve. The Bank is a National Association, subject to federal regulation and oversight by the OCC. On November 23, 1993, the Company issued its initial offering of common stock (par value: $0.01 per share) at a price of $25.00 per share ($0.93 per share on a split-adjusted basis, reflecting the impact of nine stock splits between 1994 and 2004). The Company has grown organically and through a series of accretive mergers and acquisitions, culminating in its acquisition of Flagstar Bancorp, Inc., which closed on December 1, 2022 and the Signature Transaction which closed on March 20, 2023. Flagstar Bank, N.A. currently operates 420 branches across twelve states, including strong footholds in the Northeast and Midwest and exposure to markets in the Southeast and West Coast. Flagstar Mortgage operates nationally through a wholesale network of approximately 3,600 third-party mortgage originators. Flagstar Bank N.A. also operates through nine local divisions, each with a history of service and strength: New York Community Bank, Queens County Savings Bank, Roslyn Savings Bank, Richmond County Savings Bank, Roosevelt Savings Bank, and Atlantic Bank in New York; Garden State Community Bank in New Jersey; Ohio Savings Bank in Ohio; and AmTrust Bank in Arizona and Florida. Liquidity On a consolidated basis, our funding primarily stems from a combination of the following sources: retail, institutional, and brokered deposits; borrowed funds, primarily in the form of wholesale borrowings; cash flows generated through the repayment and sale of loans; and cash flows generated through the repayment and sale of securities. We manage our liquidity to ensure that our cash flows are sufficient to support our operations, to compensate for any temporary mismatches between sources and uses of funds caused by variable loan and deposit demand, and to ensure that sufficient funds are available to meet our financial obligations. See Note 22 - Subsequent Events for further information on our recent capital raise. Basis of Presentation The following is a description of the significant accounting and reporting policies that the Company and its subsidiaries follow in preparing and presenting their consolidated financial statements, which conform to U.S. generally accepted accounting principles and to general practices within the banking industry. The preparation of financial statements in conformity with GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Estimates are used in connection with the determination of the allowance for credit losses, mortgage servicing rights, the Flagstar acquisition and the Signature Transaction. The accompanying consolidated financial statements include the accounts of the Company and other entities in which the Company has a controlling financial interest. All inter-company accounts and transactions are eliminated in consolidation. The Company currently has certain unconsolidated subsidiaries in the form of wholly-owned statutory business trusts, which were formed to issue guaranteed capital securities. See Note 12 - Borrowed Funds for additional information regarding these trusts. When necessary, certain reclassifications have been made to prior-year amounts to conform to the current-year presentation. Loans Effective January 1, 2023, the Company adopted the provisions of Accounting Standards Update (ASU) No. 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures" (ASU 2022-02), which eliminated the accounting for troubled debt restructurings (TDRs) while expanding loan modification and vintage disclosure requirements. Under ASU 2022-02, the Corporation assesses all loan modifications to determine whether one is granted to a borrower experiencing financial difficulty, regardless of whether the modified loan terms include a concession. Modifications granted to borrowers experiencing financial difficulty may be in the form of an interest rate reduction, an other-than-insignificant payment delay, a term extension, principal forgiveness or a combination thereof (collectively referred to as Troubled Debt Modifications or TDMs). Prior to the adoption of ASU 2022-02, the Company accounted for certain loan modifications and restructurings as TDRs. In general, a modification or restructuring of a loan constituted a TDR if the Company granted a concession to a borrower experiencing financial difficulty. Adoption of New Accounting Standards Standard Description Effective Date ASU 2022-02- Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures Issued March 2022 ASU 2022-02 eliminates prior accounting guidance for TDRs, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The standard also requires that an entity disclose current-period gross charge-offs by year of origination for financing receivables and net investments in leases. The Company adopted ASU 2022-02 effective January 1, 2023 using a modified retrospective transition approach for the amendments related to the recognition and measurement of TDRs. The impact of the adoption resulted in an immaterial change to the allowance for credit losses ("ACL"), thus no adjustment to retained earnings was recorded. Disclosures have been updated to reflect information on loan modifications given to borrowers experiencing financial difficulty as presented in Note 6. TDR disclosures are presented for comparative periods only and are not required to be updated in current periods. Additionally, the current year vintage disclosure included in Note 6 has been updated to reflect gross charge-offs by year of origination for the three months ended September 30, 2023. ASU 2023-02 Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method Issued: March 2023 ASU 2023-02 permits reporting entities to elect to account for their tax equity investments, regardless of the tax credit program from which the income tax credits are received, using the proportional amortization method if certain conditions are met. The Company adopted ASU 2023-02 effective January 1, 2023 and it did not have a significant impact on the Company's consolidated financial statements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Cash and Cash Equivalents and Restricted Cash For cash flow reporting purposes, cash and cash equivalents include cash on hand, amounts due from banks, and money market investments, which include federal funds sold and reverse repurchase agreements, if any. At December 31, 2023 and 2022, the Company’s cash and cash equivalents totaled $11.5 billion and $2.0 billion, respectively. Included in cash and cash equivalents at those dates were $10.7 billion and $837 million , respectively, of interest-bearing deposits in other financial institutions, primarily consisting of balances due from the FRB-NY. There were no reverse repurchase agreements outstanding as of December 31, 2023 and $793 million of reverse repurchase agreements were outstanding at December 31, 2022. There were no federal funds sold outstanding at December 31, 2023 or December 31, 2022. Restricted cash totaled $134 million and $50 million at December 31, 2023 and December 31, 2022, respectively and includes cash that the Bank pledges as maintenance margin on centrally cleared derivatives and is included in other assets on the Consolidated Statements of Condition. Debt Securities and Equity Investments with Readily Determinable Fair Values The securities portfolio primarily consists of mortgage-related securities and, to a lesser extent, debt and equity securities. Securities that are classified as “available for sale” are carried at their estimated fair value, with any unrealized gains or losses, net of taxes, reported as accumulated other comprehensive income or loss in stockholders’ equity. Securities that the Company has the intent and ability to hold to maturity are classified as “held to maturity” and carried at amortized cost. The fair values of our securities—and particularly our fixed-rate securities—are affected by changes in market interest rates and credit spreads. In general, as interest rates rise and/or credit spreads widen, the fair value of fixed-rate securities will decline. As interest rates fall and/or credit spreads tighten, the fair value of fixed-rate securities will rise. The Company evaluates available-for-sale debt securities in unrealized loss positions at least quarterly to determine if an allowance for credit losses is required. Based on an evaluation of available information about past events, current conditions, and reasonable and supportable forecasts that are relevant to collectability, the Company has concluded that it expects to receive all contractual cash flows from each security held in its available-for-sale securities portfolio. The Company first assesses whether (i) it intends to sell, or (ii) it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis. If either of these criteria is met, any previously recognized allowances are charged off and the security’s amortized cost basis is written down to fair value through income. If neither of the aforementioned criteria are met, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. Management has made the accounting policy election to exclude accrued interest receivable on available-for-sale securities from the estimate of credit losses. Available-for-sale debt securities are placed on non-accrual status when the Company no longer expects to receive all contractual amounts due, which is generally at 90 days past due. Accrued interest receivable is reversed against interest income when a security is placed on non-accrual status. Equity investments with readily determinable fair values are measured at fair value with changes in fair value recognized in net income. Premiums and discounts on securities are amortized to expense and accreted to income over the remaining period to contractual maturity using the interest method, and are adjusted for anticipated prepayments. Dividend and interest income are recognized when earned. The cost of securities sold is based on the specific identification method. Federal Home Loan Bank Stock As a member of the FHLB-NY, the Company is required to hold shares of FHLB-NY stock, which is carried at cost. In addition, in connection with the Flagstar acquisition, the Company also holds shares of FHLB-Indianapolis stock, which is carried at cost. The Company’s holding requirement varies based on certain factors, including its outstanding borrowings from the FHLB-NY and FHLB-Indianapolis. The Company conducts a periodic review and evaluation of its FHLB-NY stock to determine if any impairment exists. The factors considered in this process include, among others, significant deterioration in FHLB-NY earnings performance, credit rating, or asset quality; significant adverse changes in the regulatory or economic environment; and other factors that could raise significant concerns about the creditworthiness and the ability of the FHLB-NY to continue as a going concern. Loans Held-for-Sale The Company classifies loans as LHFS when we originate or purchase loans that we intend to sell. We have elected the fair value option for the majority of our LHFS. The Company estimates the fair value of mortgage loans based on quoted market prices for securities backed by similar types of loans, where available, or by discounting estimated cash flows using observable inputs inclusive of interest rates, prepayment speeds and loss assumptions for similar collateral. Changes in fair value are recorded to other noninterest income on the Consolidated Statements of Income and Comprehensive Income. LHFS that are recorded at the lower of cost or fair value may be carried at fair value on a nonrecurring basis when the fair value is less than cost. For further information, see Note 18 - Fair Value Measures . Loans that are transferred into the LHFS portfolio from the LHFI portfolio, due to a change in intent, are recorded at the lower of cost or fair value. Gains or losses recognized upon the sale of loans are determined using the specific identification method. Loans Held for Investment Loans and leases, net, are carried at unpaid principal balances, including unearned discounts, purchase accounting (i.e., acquisition-date fair value) adjustments, net deferred loan origination costs or fees, and the allowance for credit losses on loans and leases. The Company recognizes interest income on loans using the interest method over the life of the loan. Accordingly, the Company defers certain loan origination and commitment fees, and certain loan origination costs, and amortizes the net fee or cost as an adjustment to the loan yield over the term of the related loan. When a loan is sold or repaid, the remaining net unamortized fee or cost is recognized in interest income. Prepayment income on loans is recorded in interest income and only when cash is received. Accordingly, there are no assumptions involved in the recognition of prepayment income. Two factors are considered in determining the amount of prepayment income: the prepayment penalty percentage set forth in the loan documents, and the principal balance of the loan at the time of prepayment. The volume of loans prepaying may vary from one period to another, often in connection with actual or perceived changes in the direction of market interest rates. When interest rates are declining, rising precipitously, or perceived to be on the verge of rising, prepayment income may increase as more borrowers opt to refinance and lock in current rates prior to further increases taking place. A loan generally is classified as a “non-accrual” loan when it is 90 days or more past due or when it is deemed to be impaired because the Company no longer expects to collect all amounts due according to the contractual terms of the loan agreement. When a loan is placed on non-accrual status, management ceases the accrual of interest owed, and previously accrued interest is charged against interest income. A loan is generally returned to accrual status when the loan is current and management has reasonable assurance that the loan will be fully collectible. Interest income on non-accrual loans is recorded when received in cash. Loans with Government Guarantees The Company originates government guaranteed loans which are pooled and sold as Ginnie Mae MBS. Pursuant to Ginnie Mae servicing guidelines, the Company has the unilateral right to repurchase loans securitized in Ginnie Mae pools that are due, but unpaid, for three consecutive months. As a result, once the delinquency criteria have been met, and regardless of whether the repurchase option has been exercised, the Company accounts for the loans as if they had been repurchased. The Company recognizes the loans and corresponding liability as loans with government guarantees and loans with government guarantees repurchase options, respectively, in the Consolidated Statements of Condition. If the loan is repurchased, the liability is cash settled and the loan with government guarantee remains. Once repurchased, the Company works to cure the outstanding loans such that they are re-eligible for sale or may begin foreclosure and recover losses through a claims process with the government agency, as an approved lender. Allowance for Credit Losses on Loans and Leases The allowance for credit losses on loans and leases is deducted from the amortized cost basis of a financial asset or a group of financial assets so that the balance sheet reflects the net amount the Company expects to collect. Amortized cost is the unpaid loan balance, net of deferred fees and expenses, and includes negative escrow. Subsequent changes (favorable and unfavorable) in expected credit losses are recognized immediately in net income as a credit loss expense or a reversal of credit loss expense. Management estimates the allowance by projecting and multiplying together the probability-of-default, loss- given-default and exposure-at-default depending on economic parameters for each month of the remaining contractual term, as well as credit ratings for certain loans within the commercial and industrial portfolio. The Company loss drivers for certain loans in the commercial and industrial portfolio are derived using leverages economic projections including property market and prepayment forecasts from established independent third parties, as well as credit ratings for certain loans within the commercial and industrial portfolio, to inform its loss drivers in the forecast. The Company estimates the exposure-at-default using prepayment models which forecasts prepayments over the life of the loans and leases. The economic forecast and the related economic parameters are developed using available information relating to past events, current conditions, multiple economic forecasts scenarios, including related weightings, over the reasonable and supportable forecast period and macroeconomic assumptions. The economic forecast scenarios and related economic parameters are sourced from independent third parties. The economic forecast reasonable and supportable period is 24 months, and afterwards the Company reverts to a historical average loss rate on a straight-line basis over a 12-month period. Historical credit loss experience over the historical loss observation period provides the basis for the estimation of expected credit losses, with qualitative factor adjustments made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, current collateral valuations, delinquency levels and terms, as well as for changes in environmental conditions, such as changes in legislation, regulation, policies, administrative practices or other relevant factors. Expected credit losses are estimated over the contractual term of the loans, adjusted for forecasted prepayments when appropriate. The contractual term excludes potential extensions or renewals. The methodology used in the estimation of the allowance for credit losses on loan and leases, which is performed at least quarterly, is designed to be dynamic and responsive to changes in portfolio credit quality and forecasted economic conditions. Each quarter the Company reassesses the appropriateness of the economic forecasting period, the reversion period and historical mean at the portfolio segment level, considering any required adjustments for differences in underwriting standards, portfolio mix, and other relevant data shifts over time. The allowance for credit losses on loans and leases is measured on a collective (pool) basis when similar risk characteristics exist. The portfolio segment represents the level at which a systematic methodology is applied to estimate credit losses. Management believes the products within each of the entity’s portfolio segments exhibit similar risk characteristics. The Company leverages economic projections including property market and prepayment forecasts from established independent third parties, as well as credit ratings for certain loans within the commercial and industrial portfolio, to inform its loss drivers in the forecast. Loans that do not share risk characteristics are evaluated on an individual basis. These include loans that are in nonaccrual status with balances above management determined materiality thresholds depending on loan class and also loans that are designated as TDR or “reasonably expected TDR” (criticized, classified, or maturing loans that will have a modification processed within the next three months). If a loan is determined to be collateral dependent, or meets the criteria to apply the collateral dependent practical expedient, expected credit losses are determined based on the fair value of the collateral at the reporting date, less costs to sell as appropriate. The Company maintains an allowance for credit losses on off-balance sheet credit exposures. At December 31, 2023 and December 31, 2022, the allowance for credit losses on off-balance sheet exposures was $52 million and $23 million, respectively. The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet credit exposures is adjusted as a provision for credit losses expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over their estimated life. The Company examined historical CCF trends to estimate utilization rates, and chose an appropriate mean CCF based on both management judgment and quantitative analysis. Quantitative analysis involved examination of CCFs over a range of fund-up windows (between 12 and 36 months) and comparison of the mean CCF for each fund-up window with management judgment determining whether the highest mean CCF across fund-up windows made business sense. The Company applies the same standards and estimated loss rates to the credit exposures as to the related class of loans. When applying this critical accounting estimate, we incorporate several inputs and judgments that may be influenced by changes period to period. These include, but are not limited to changes in the economic environment and forecasts, changes in the credit profile and characteristics of the loan portfolio, and changes in prepayment assumptions which will result in provisions to or recoveries from the balance of the allowance for credit losses. While changes to the economic environment forecasts and portfolio characteristics will change from period to period, portfolio prepayments are an integral assumption in estimating the allowance for credit losses on our commercial real estate (multi-family, CRE and ADC) portfolio which comprises 60 percent of the loan portfolio at December 31, 2023. Portfolio prepayments are subject to estimation uncertainty and changes in this assumption could have a material impact to our estimation process. Prepayment assumptions are sensitive to interest rates and existing loan terms and determine the weighted average life of the commercial mortgage loan portfolio. Excluding other factors, as the weighted average life of the portfolio increases or decreases, so will the required amount of the allowance for credit losses on commercial real estate. Goodwill The Company evaluates goodwill for impairment at least annually or when triggering events are identified. We utilize a market approach to determine the fair value of our single reporting unit, which considers how a market participant would view a control premium, complemented by an income approach if deemed necessary. The resulting value is then compared to our book value and any shortfalls would be recorded as an impairment. As of December 31, 2023, the Company identified a triggering event and applied a market approach using the end of day stock price, control premium for completed bank acquisitions, and an adjustment for Company-specific risk considerations based on subsequent confirming market evidence. This adjusted market capitalization was then compared to the carrying value to determine the extent of any shortfall which was calculated to be in excess of the goodwill balance. The Company’s assessment concluded that goodwill from historical transactions (2007 and prior) was fully impaired as of December 31, 2023, as confirmed by the Company’s current market capitalization. As a result, the Company recorded an impairment charge of the entire goodwill balance of $2.4 billion. Additional information on the methodologies and assumptions used in the goodwill impairment analysis can be found in Note 16 - Intangible Assets. Mortgage Servicing Rights The Company purchases and originates mortgage loans for sale to the secondary market and sell the loans on either a servicing-retained or servicing-released basis. If the Company retains the right to service the loan, an MSR is created at the time of sale which is recorded at fair value. The Company uses an internal valuation model that utilizes an option-adjusted spread, constant prepayment speeds, costs to service and other assumptions to determine the fair value of MSRs. Management obtains third-party valuations of the MSR portfolio on a quarterly basis from independent valuation services to assess the reasonableness of the fair value calculated by our internal valuation model. Changes in the fair value of our MSRs are reported on the Consolidated Statements of Income and Comprehensive Income in net return on mortgage servicing. For further information, see Note 9 - Mortgage Servicing Rights and Note 18 - Fair Value Measures . Premises and Equipment, Net Premises, furniture, fixtures, and equipment are carried at cost, less the accumulated depreciation computed on a straight-line basis over the estimated useful lives of the respective assets (generally 20 years for premises and three Depreciation is included in “Occupancy and equipment expense” in the Consolidated Statements of Income and Comprehensive Income, and amounted to $39 million, $18 million, and $21 million, respectively, in the years ended December 31, 2023, 2022, and 2021. Accumulated depreciation as of December 31, 2023 and December 31, 2022 was $526 million and $434 million. The estimated useful lives for the principal classes of assets are as follows: Premises and Equipment Useful Lives Buildings 30 Furniture, fixtures and equipment, and building improvements 13.5 Leasehold improvements 10 ATMs 7 Bank-Owned Life Insurance The Company has purchased life insurance policies on certain employees. These BOLI policies are recorded in the Consolidated Statements of Condition at their cash surrender value. Income from these policies and changes in the cash surrender value are recorded in “Non-interest income” in the Consolidated Statements of Income and Comprehensive Income. At December 31, 2023 and 2022, the Company’s investment in BOLI was $1.6 billion. The Company’s investment in BOLI generated income of $43 million, $32 million, and $29 million, respectively, during the years ended December 31, 2023, 2022, and 2021. Variable Interest Entities An entity that has a controlling financial interest in a VIE is referred to as the primary beneficiary and consolidates the VIE. An entity is deemed to have a controlling financial interest and is the primary beneficiary of a VIE if it has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. For further information, see Note 10 - Variable Interest Entities . Repossessed Assets and OREO Repossessed assets consist of any property or other assets acquired through, or in lieu of, foreclosure are sold or rented, and are recorded at fair value, less the estimated selling costs, at the date of acquisition. Following foreclosure, management periodically performs a valuation of the asset, and the assets are carried at the lower of the carrying amount or fair value, less the estimated selling costs. Expenses and revenues from operations and changes in valuation, if any, are included in “General and administrative expense” in the Consolidated Statements of Income and Comprehensive Income. At December 31, 2023, the Company had $5 million of OREO, $4 million of taxi medallions and $5 million of repossessed specialty equipment. At December 31, 2022, the Company had $8 million of OREO and $4 million of taxi medallions. Servicing Fee Income Servicing fee income, late fees and ancillary fees received on loans for which the Company owns the MSR are included in net return on mortgage servicing rights on the Consolidated Statements of Income and Comprehensive Income. The fees are based on the outstanding principal and are recorded as income when earned. Subservicing fees, which are included in loan administration income on the Consolidated Statements of Income and Comprehensive Income, are based on a contractual monthly amount per loan including late fees and other ancillary income. Income Taxes Income tax expense consists of income taxes that are currently payable and deferred income taxes. Deferred income tax expense is determined by recognizing deferred tax assets and liabilities for future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates that are expected to apply to taxable income in years in which those temporary differences are expected to be recovered or settled. The Company assesses the deferred tax assets and establishes a valuation allowance when realization of a deferred asset is not considered to be “more likely than not.” The Company considers its expectation of future taxable income in evaluating the need for a valuation allowance. The Company estimates income taxes payable based on the amount it expects to owe the various tax authorities (i.e., federal, state, and local). Income taxes represent the net estimated amount due to, or to be received from, such tax authorities. In estimating income taxes, management assesses the relative merits and risks of the appropriate tax treatment of transactions, taking into account statutory, judicial, and regulatory guidance in the context of the Company’s tax position. In this process, management also relies on tax opinions, recent audits, and historical experience. Although the Company uses the best available information to record income taxes, underlying estimates and assumptions can change over time as a result of unanticipated events or circumstances such as changes in tax laws and judicial guidance influencing its overall tax position. Derivative Instruments and Hedging Activities The Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risks, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The Company utilizes derivative instruments to manage the fair value changes in our MSRs, interest rate lock commitments and LHFS portfolio which are exposed to price and interest rate risk; facilitate asset/liability management; minimize the variability of future cash flows on long-term debt; and to meet the needs of our customers. All derivatives are recognized on the Consolidated Statements of Condition as other assets and liabilities, as applicable, at their estimated fair value. The Company uses interest rate swaps, swaptions, futures and forward loan sale commitments to mitigate the impact of fluctuations in interest rates and interest rate volatility on the fair value of the MSRs. Changes in their fair value are reflected in current period earnings under the net return on mortgage servicing asset. These derivatives are valued based on quoted prices for similar assets in an active market with inputs that are observable. The Company also enters into various derivative agreements with customers and correspondents in the form of interest rate lock commitments and forward purchase contracts which are commitments to originate or purchase mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. The derivatives are valued using internal models that utilize market interest rates and other unobservable inputs. Changes in the fair value of these commitments due to fluctuations in interest rates are economically hedged through the use of forward loan sale commitments of MBS. The gains and losses arising from this derivative activity are reflected in current period earnings under the net gain on loan sales. To assist customers in meeting their needs to manage interest rate risk, the Company enters into interest rate swap derivative contracts. To economically hedge this risk, the Company enters into offsetting derivative contracts to effectively eliminate the interest rate risk associated with these contracts. For additional information regarding the accounting for derivatives, see Note 15 - Derivative and Hedging Activities and for additional information on recurring fair value disclosures, see Note 18 - Fair Value Measures . Representation and Warranty Reserve When the Company sells mortgage loans into the secondary mortgage market, it makes customary representations and warranties to the purchasers about various characteristics of each loan. Upon the sale of a loan, the Company recognizes a liability for that guarantee at its fair value as a reduction of our net gain on loan sales. Subsequent to the sale, the liability is re-measured at fair value on an ongoing basis based upon an estimate of probable future losses. An estimate of the fair value of the guarantee associated with the mortgage loans is recorded in other liabilities in the Consolidated Statements of Condition, and was $12 million and $10 million at December 31, 2023 and December 31, 2022, respectively . Stock-Based Compensation Under the New York Community Bancorp, Inc. 2020 Omnibus Incentive Plan (the “2020 Incentive Plan”), which was approved by the Company’s shareholders at its Annual Meeting on June 3, 2020, shares are available for grant as restricted stock or other forms of related rights. At December 31, 2023, the Company had 16,143,893 shares available for grant under the 2020 Incentive Plan. Compensation cost related to restricted stock grants is recognized on a straight-line basis over the vesting period. For a more detailed discussion of the Company’s stock-based compensation, see Note 14 - Stock-Related Benefits Plans. Retirement Plans The Company’s pension benefit obligations and post-retirement health and welfare benefit obligations, and the related costs, are calculated using actuarial concepts in accordance with GAAP. The measurement of such obligations and expenses requires that certain assumptions be made regarding several factors, most notably including the discount rate and the expected rate of return on plan assets. The Company evaluates these assumptions on an annual basis. Other factors considered by the Company in its evaluation include retirement patterns and mortality rates. Under GAAP, actuarial gains and losses, prior service costs or credits, and any remaining transition assets or obligations that have not been recognized under previous accounting standards must be recognized in AOCL until they are amortized as a component of net periodic benefit cost. Earnings per Common Share (Basic and Diluted) Basic EPS is computed by dividing the net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted EPS is computed using the same method as basic EPS, however, the computation reflects the potential dilution that would occur if outstanding in-the-money stock options were exercised and converted into common stock. Unvested stock-based compensation awards containing non-forfeitable rights to dividends paid on the Company’s common stock are considered participating securities, and therefore are included in the two-class method for calculating EPS. Under the two-class method, all earnings (distributed and undistributed) are allocated to common shares and participating securities based on their respective rights to receive dividends on the common stock. The Company grants restricted stock to certain employees under its stock-based compensation plan. Recipients receive cash dividends during the vesting periods of these awards, including on the unvested portion of such awards. Since these dividends are non-forfeitable, the unvested awards are considered participating securities and therefore have earnings allocated to them. The following table presents the Company’s computation of basic and diluted earnings per common share: For the Years Ended December 31, (in millions, except share and per share amounts) 2023 2022 2021 Net (loss) income available to common stockholders $ (112) $ 617 $ 563 Less: Dividends paid on and earnings allocated to participating securities (5) (8) (7) (Loss) earnings applicable to common stock $ (117) $ 609 $ 556 Weighted average common shares outstanding 713,643,550 483,603,395 463,865,661 (Loss) basic earnings per common share $ (0.16) $ 1.26 $ 1.20 (Loss) earnings applicable to common stock $ (117) $ 609 $ 556 Weighted average common shares outstanding 713,643,550 483,603,395 463,865,661 Potential dilutive common shares — 1,530,950 767,058 Total shares for diluted (loss) earnings per common share computation 713,643,550 485,134,345 464,632,719 Diluted (loss) earnings per common share and common share equivalents $ (0.16) $ 1.26 $ 1.20 |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Business Combinations Signature Bridge Bank On March 20, 2023, the Company’s wholly owned bank subsidiary, Flagstar Bank N.A. (the “Bank”), entered into a Purchase and Assumption Agreement (the “Agreement”) with the Federal Deposit Insurance Corporation (“FDIC”), as receiver (the "FDIC Receiver") of Signature Bridge Bank, N.A. (“Signature”) to acquire certain assets and assume certain liabilities of Signature (the “Signature Transaction”). Headquartered in New York, New York, Signature Bank was a full-service commercial bank that operated 29 branches in New York, seven branches in California, two branches in North Carolina, one branch in Connecticut, and one branch in Nevada. In connection with the Signature Transaction the Bank assumed all of Signature’s branches. The Bank acquired only certain parts of Signature it believes to be financially and strategically complementary that are intended to enhance the Company’s future growth. Pursuant to the terms of the Agreement, the Company was not required to make a cash payment to the FDIC on March 20, 2023 as consideration for the acquired assets and assumed liabilities. As the Company and the FDIC remain engaged in ongoing discussions which may impact the assets and liabilities acquired or assumed by the Company in the Signature Transaction. Any items identified that affect the bargain gain are recorded in the period they are identified. The Company may be required to make a payment to the FDIC or the FDIC may be required to make a payment to the Company on the Settlement Date, which will be one year after March 20, 2023, or as agreed upon by the FDIC and the Company. In addition, as part of the consideration for the Signature Transaction, the Company granted the FDIC equity appreciation rights in the common stock of the Company under an equity appreciation instrument (the "Equity Appreciation Instrument"). On March 31, 2023, the Company issued 39,032,006 shares of Company common stock to the FDIC pursuant to the Equity Appreciation Instrument. On May 19, 2023, the FDIC completed the secondary offering of those shares. The Company has determined that the Signature Transaction constitutes a business combination as defined by ASC 805, Business Combinations ("ASC 805"). ASC 805 establishes principles and requirements as to how the acquirer of a business recognizes and measures in its financial statements the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree. Accordingly, the assets acquired and liabilities assumed have been recorded based on their preliminary estimated fair values as of March 20, 2023, which have been adjusted through December 31, 2023 based on changes to those preliminary estimates. Under the Agreement, the Company is expected to provide certain services to the FDIC to assist the FDIC in its administration of certain assets and liabilities which were not assumed by the Company and which remain under the control of the FDIC (the “Interim Servicing”). The Interim Servicing includes activities related to the servicing of loan portfolios not acquired on behalf of the FDIC for a period of up to one year from the date of the Signature Transaction unless such loans are sold or transferred at an earlier time by the FDIC or until cancelled by the FDIC upon 60-days’ notice. The Interim Servicing may include other ancillary services requested by the FDIC to assist in their administration of the remaining assets and liabilities of Signature Bank. The FDIC will reimburse the Company for costs associated with the Interim Servicing based upon an agreed upon fee which approximates the cost to provide such services. As the FDIC intends to reimburse the Company for the costs to service the loans, neither a servicing asset nor servicing liability was recognized as part of the Signature Transaction. The Company did not enter into a loss sharing arrangement with the FDIC in connection with the Signature Transaction. As the Company finalizes its analysis of the assets acquired and liabilities assumed, there may be adjustments to the recorded carrying values. In many cases, the determination of the fair value of the assets acquired and liabilities assumed required management to make estimates about discount rates, future expected cash flows, market conditions and other future events that are highly subjective in nature and subject to change. While the Company believes that the information available on December 31, 2023, provided a reasonable basis for estimating fair value, the Company may obtain additional information and evidence during the measurement period that may result in changes to the estimated fair value amounts. Fair values subject to change include, but are not limited to, those related to loans and leases, certain deposits, intangibles, deferred tax assets and liabilities and certain other assets and other liabilities. A summary of the preliminary net assets acquired and related estimated fair value adjustments resulting in the bargain purchase gain is as follows: (in millions) March 20, 2023 (preliminary) Net assets acquired before fair value adjustments $ 2,973 Fair value adjustments: Loans (727) Core deposit and other intangibles 464 Certificates of deposit 27 Other net assets and liabilities 39 FDIC Equity Appreciation Instrument (85) Deferred tax liability (690) Bargain purchase gain on Signature Transaction, as initially reported 2,001 Measurement period adjustments, excluding taxes 28 Change in deferred tax liability 102 Bargain purchase gain on Signature Transaction, as adjusted $ 2,131 In connection with the Signature Transaction, the Company recorded a bargain purchase gain, as adjusted, of approximately $2.1 billion during the year ended December 31, 2023, which is included in non-interest income in the Company’s Consolidated Statement of Income and Comprehensive Income. The bargain purchase gain represents the excess of the estimated fair value of the assets acquired (including cash payments received from the FDIC) over the estimated fair value of the liabilities assumed and is influenced significantly by the FDIC-assisted transaction process. Under the FDIC-assisted transaction process, only certain assets and liabilities are transferred to the acquirer and, depending on the nature and amount of the acquirers bid, the FDIC may be required to make a cash payment to the Company and the Company may be required to make a cash payment to the FDIC. The assets acquired and liabilities assumed and consideration paid in the Signature Transaction were initially recorded at their estimated fair values based on management’s best estimates using information available at the date of the Signature Transaction, and are subject to adjustment for up to one year after the closing date of the Signature Transaction. The Company and the FDIC are engaged in ongoing discussions and settlement payments have been made that have impacted certain assets acquired or certain liabilities assumed by the Company on March 20, 2023 and are included as measurement period adjustments in the table below. (in millions) Preliminary as Initially Reported Measurement Period Adjustments Preliminary as Adjusted Purchase Price consideration $ 85 $ 85 Fair value of assets acquired: Cash & cash equivalents 25,043 (142) 24,901 Loans held for sale 232 232 Loans held for investment: Commercial and industrial 10,102 (214) 9,888 Commercial real estate 1,942 (262) 1,680 Consumer and other 174 (1) 173 Total loans held for investment 12,218 (477) 11,741 CDI and other intangible assets 464 — 464 Other assets 679 (169) 510 Total assets acquired 38,636 (788) 37,848 Fair value of liabilities assumed: Deposits 33,568 (61) 33,507 Other liabilities 2,982 (857) 2,125 Total liabilities assumed 36,550 (918) 35,632 Fair value of net identifiable assets 2,086 130 2,216 Bargain purchase gain $ 2,001 $ 130 $ 2,131 During the year ended December 31, 2023, the Company recorded preliminary measurement period adjustments to adjust the estimated fair value of loans and leases acquired and adjust other assets and accrued expenses and other liabilities for balances ultimately retained by the FDIC. Additionally, $449 million of loans were returned to the FDIC in accordance with the purchase and sale agreement. The Company also recognized a net change in the deferred tax liability due to the measurement period adjustments and the secondary offering of shares completed by the FDIC. The Company incurred $223 million in acquisition costs related to the Signature Transaction primarily for legal, advisory, and other professional services. These costs are recorded within Merger-related and restructuring expenses on the Consolidated Statements of Income and Comprehensive Income. Fair Value of Assets Acquired and Liabilities Assumed Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, reflecting assumptions that a market participant would use when pricing an asset or liability. In some cases, the estimation of fair values requires management to make estimates about discount rates, future expected cash flows, market conditions, and other future events that are highly subjective in nature and are subject to change. Described below are the methods used to determine the fair values of the significant assets acquired and liabilities assumed in the Signature Transaction. Cash and Cash Equivalents The estimated fair value of cash and cash equivalents approximates their stated face amounts, as these financial instruments are either due on demand or have short-term maturities. Loans and leases The fair value for loans was based on a discounted cash flow methodology that considered credit loss expectations, market interest rates and other market factors such as liquidity from the perspective of a market participant. Loans were grouped together according to similar characteristics and were treated in the aggregate when applying various valuation techniques. The probability of default, loss given default and prepayment assumptions were the key factors driving credit losses which were embedded into the estimated cash flows. These assumptions were informed by internal data on loan characteristics, historical loss experience, and current and forecasted economic conditions. The interest and liquidity component of the estimate was determined by discounting interest and principal cash flows through the expected life of each loan. The discount rates used for loans are based on current market rates for new originations of comparable loans and include adjustments for liquidity. The discount rates do not include a factor for credit losses as that has been included as a reduction to the estimated cash flows. Acquired loans were marked to fair value and adjusted for any PCD gross up as of the date of the Signature Transaction. Deposit Liabilities The fair value of deposit liabilities with no stated maturity (i.e., non-interest-bearing and interest-bearing checking accounts) is equal to the carrying amounts payable on demand. The fair value of certificates of deposit represents contractual cash flows, discounted using interest rates currently offered on deposits with similar characteristics and remaining maturities. Core Deposit Intangible Core deposit intangible (“CDI”) is a measure of the value of non-interest-bearing and interest-bearing checking accounts, savings accounts, and money market accounts that are acquired in a business combination. The fair value of the CDI was determined using a discounted cashflow methodology which considered discount rate, customer attrition rates, and other relevant market assumptions. This method estimated the fair value by discounting the present value of the expected cost savings attributable to the core deposit funding, relative to an alternative source of funding. The CDI relating to the Signature Transaction will be amortized over an estimated useful life of 10 years using the sum of years digits depreciation method. The Company evaluates such identifiable intangibles for impairment when an indication of impairment exists. CDI does not significantly impact our liquidity or capital ratios. PCD loans Purchased loans that reflect a more than insignificant deterioration of credit from origination are considered PCD. For PCD loans and leases, the initial estimate of expected credit losses is recognized in the allowance for credit losses (“ACL”) on the date of acquisition using the same methodology as other loans and leases held-for-investment. The following table provides a summary of loans and leases purchased as part of the Signature Transaction with credit deterioration and the associated credit loss reserve at acquisition: (in millions) Total Par value (UPB) $ 583 ACL at acquisition (13) Non-credit (discount) (76) Fair value $ 494 Unaudited Pro Forma Information – Signature Transaction The Company’s operating results for the year ended December 31, 2023 include the operating results of the acquired assets and assumed liabilities of Signature subsequent to the acquisition on March 20, 2023. Due to the use of multiple systems and integration of the operating activities into those of the Company, historical reporting for the former Signature operations is impracticable and thus disclosures of the revenue from the assets acquired and income before income taxes is impracticable for the period subsequent to acquisition. Signature was only in operation from March 12, 2023 to March 20, 2023 and does not have historical financial information on which we could base pro forma information. Additionally, we did not acquire all assets or assume all liabilities of Signature and the historical operations are not consistent with the transaction. Therefore, it is impracticable to provide pro forma information on revenues and earnings for the Signature Transaction in accordance with ASC 805-10-50-2. Flagstar Bancorp, Inc. On December 1, 2022, the Company closed the acquisition of Flagstar Bancorp, Inc. (“Flagstar”) in an all-stock transaction (“Flagstar Transaction”). Flagstar was a savings and loan holding company headquartered in Troy, MI. Pursuant to the terms of the Merger Agreement, each share of Flagstar common stock was converted into 4.0151 shares of the Company’s common shares at the effective time of the merger. In addition, the Company received approval from the Office of the Comptroller of the Currency (the “OCC") to convert Flagstar Bank, FSB to a national bank to be known as Flagstar Bank, N.A., and to merge New York Community Bank into Flagstar Bank, N.A. with Flagstar Bank, N.A. being the surviving entity. Flagstar Bank, FSB, provided commercial, small business, and consumer banking services through 158 branches in Michigan, Indiana, California, Wisconsin, and Ohio. It also provided home loans through a wholesale network of brokers and correspondents in all 50 states. The acquisition of Flagstar added significant scale, geographic diversification, improved funding profile, and a broader product mix to the Company. The acquisition of Flagstar has been accounted for as a business combination. The Company recorded the preliminary estimate of fair value of the assets acquired and liabilities assumed December 1, 2022, which was subject to adjustment for up to one year after December 1, 2022. As of December 31, 2023, the Company finalized its review of the assets acquired and liabilities assumed, and did not record any material adjustments. The following table provides an allocation of consideration paid for the fair value of assets acquired and liabilities and equity assumed from Flagstar as of December 1, 2022. (in millions) December 1, 2022 Purchase Price consideration $ 2,010 Fair value of assets acquired: Cash & cash equivalents 331 Securities 2,695 Loans held for sale 1,257 Loans held for investment: One-to-four family first mortgage 5,438 Commercial and industrial 3,891 Commercial real estate 6,523 Consumer and other 2,156 Total loans held for investment 18,008 CDI and other intangible assets 292 Mortgage servicing rights 1,012 Other assets 2,158 Total assets acquired 25,753 Fair value of liabilities assumed: Deposits 15,995 Borrowings 6,700 Other liabilities 889 Total liabilities assumed 23,584 Fair value of net identifiable assets 2,169 Bargain purchase gain $ 159 In connection with the acquisition, the Company recorded a bargain purchase gain of approximately $159 million. The Company incurred $99 million in acquisition costs related to the Flagstar Transaction primarily for legal, advisory, and other professional services. These costs are recorded within Merger-related and restructuring expenses on the Consolidated Statements of Income and Comprehensive Income. Fair Value of Assets Acquired and Liabilities Assumed Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, reflecting assumptions that a market participant would use when pricing an asset or liability. In some cases, the estimation of fair values requires management to make estimates about discount rates, future expected cash flows, market conditions, and other future events that are highly subjective in nature and are subject to change. Described below are the methods used to determine the fair values of the significant assets acquired and liabilities assumed in the Flagstar acquisition. Cash and Cash Equivalents The estimated fair value of cash and cash equivalents approximates their stated face amounts, as these financial instruments are either due on demand or have short-term maturities. Investment Securities and Federal Home Loan Bank Stock Quoted market prices for the securities acquired were used to determine their fair values. If quoted market prices were not available for a specific security, then quoted prices for similar securities in active markets were used to estimate the fair value. The fair value of FHLB-Indianapolis stock is equivalent to the redemption amount. Loans Fair values for loans were based on a discounted cash flow methodology that considered credit loss expectations, market interest rates and other market factors such as liquidity from the perspective of a market participant. Loans were grouped together according to similar characteristics and were treated in the aggregate when applying various valuation techniques. The probability of default, loss given default and prepayment assumptions were the key factors driving credit losses which were embedded into the estimated cash flows. These assumptions were informed by internal data on loan characteristics, historical loss experience, and current and forecasted economic conditions. The interest and liquidity component of the estimate was determined by discounting interest and principal cash flows through the expected life of each loan. The discount rates used for loans are based on current market rates for new originations of comparable loans and include adjustments for liquidity. The discount rates do not include a factor for credit losses as that has been included as a reduction to the estimated cash flows. Acquired loans were marked to fair value and adjusted for any PCD gross up as of the merger date. Core Deposit Intangible CDI is a measure of the value of non-interest-bearing and interest-bearing checking accounts, savings accounts, and money market accounts that are acquired in a business combination. The fair value of the CDI stemming from any given business combination is based on the present value of the expected cost savings attributable to the core deposit funding, relative to an alternative source of funding. The CDI relating to the Flagstar acquisition will be amortized over an estimated useful life of 10 years using the sum of years digits depreciation method. The Company evaluates such identifiable intangibles for impairment when an indication of impairment exists. Deposit Liabilities The fair value of deposit liabilities with no stated maturity (i.e., non-interest-bearing and interest-bearing checking accounts) is equal to the carrying amounts payable on demand. The fair value of certificates of deposit represents contractual cash flows, discounted using interest rates currently offered on deposits with similar characteristics and remaining maturities. Borrowed Funds The estimated fair value of borrowed funds is based on bid quotations received from securities dealers or the discounted value of contractual cash flows with interest rates currently in effect for borrowed funds with similar maturities. PCD loans Purchased loans that reflect a more than insignificant deterioration of credit from origination are considered PCD. For PCD loans and leases, the initial estimate of expected credit losses is recognized in the ACL on the date of acquisition using the same methodology as other loans and leases held-for-investment. The following table provides a summary of loans and leases purchased as part of the Flagstar acquisition with credit deterioration and the associated credit loss reserve at acquisition: (in millions) Total Par value (UPB) $ 1,950 ACL at acquisition (51) Non-credit (discount) (33) Fair value $ 1,866 Unaudited Pro Forma Information The Company’s results of operations for the year-ended December 31, 2022 and 2023 include the results of operations of Flagstar on and after December 1, 2022. Results for periods prior to December 1, 2022, do not include the results of operations of Flagstar. The following pro forma financial information presents the unaudited consolidated results of operations of the Company and Flagstar as if the Flagstar Transaction occurred as of January 1, 2021 with pro forma adjustments. The pro forma adjustments give effect to any change in interest income due to the accretion of the net discounts from the fair value adjustments of acquired loans, any change in interest expense due to the estimated net premium from the fair value adjustments to acquired time deposits and other debt, and the amortization of intangibles had the deposits been acquired as of January 1, 2021. The pro forma amounts for the years ended December 31, 2022 and 2021 do not reflect the anticipated cost savings that have not yet been realized. Acquisition costs incurred by the Company during the years ended December 31, 2022 and 2021 are reflected in the pro forma amounts. The pro forma information does not necessarily reflect the results of operations that would have occurred had the Flagstar Transaction occurred at the beginning of 2021. For the Years Ended December 31, (unaudited) (in millions) 2022 2021 Net interest income $ 2,278 $ 2,208 Non-interest income 650 1,105 Net income 804 1,207 Net income available to common stockholders $ 771 $ 1,174 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | Accumulated Other Comprehensive Income The following table sets forth the components in accumulated other comprehensive income: (in millions) Year Ended December 31, Details about Accumulated Other Comprehensive Loss Amount Reclassified out of Accumulated Other Comprehensive Loss (1) Affected Line Item in the Consolidated Statements of Income and Comprehensive Income Unrealized gains on available-for-sale securities: $ — Net gain on securities — Income tax expense $ — Net gain on securities, net of tax Unrealized gains on cash flow hedges: $ 65 Interest expense (17) Income tax benefit $ 48 Net gain on cash flow hedges, net of tax Amortization of defined benefit pension plan items: Past service liability $ — Included in the computation of net periodic credit (2) Actuarial losses (7) Included in the computation of net periodic cost (2) (7) Total before tax 1 Income tax benefit $ (6) Amortization of defined benefit pension plan items, net of tax Total reclassifications for the period $ 42 (1) Amounts in parentheses indicate expense items. (2) |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The following tables summarize the Company’s portfolio of debt securities available for sale and equity investments with readily determinable fair values: December 31, 2023 (in millions) Amortized Cost Gross Unrealized Gain Gross Unrealized Loss Fair Value Debt securities available-for-sale Mortgage-Related Debt Securities: GSE certificates $ 1,366 $ 1 $ 146 $ 1,221 GSE CMOs 5,495 48 381 5,162 Private Label CMOs 174 7 1 180 Total mortgage-related debt securities $ 7,035 $ 56 $ 528 $ 6,563 Other Debt Securities: U. S. Treasury obligations $ 198 $ — $ — $ 198 GSE debentures 1,899 1 291 1,609 Asset-backed securities (1) 307 — 5 302 Municipal bonds 6 — — 6 Corporate bonds 365 — 22 343 Foreign notes 35 — 1 34 Capital trust notes 97 5 12 90 Total other debt securities $ 2,907 $ 6 $ 331 $ 2,582 Total debt securities available for sale $ 9,942 $ 62 $ 859 $ 9,145 Equity securities: Mutual funds $ 16 $ — $ 2 $ 14 Total equity securities $ 16 $ — $ 2 $ 14 Total securities (2) $ 9,958 $ 62 $ 861 $ 9,159 (1) The underlying assets of the asset-backed securities are substantially guaranteed by the U.S. Government. (2) Excludes accrued interest receivable of $38 million included in other assets December 31, 2022 (in millions) Amortized Cost Gross Unrealized Gain Gross Unrealized Loss Fair Value Debt securities available-for-sale Mortgage-Related Debt Securities: GSE certificates $ 1,457 $ — $ 160 $ 1,297 GSE CMOs 3,600 1 300 3,301 Private Label CMOs 185 6 — 191 Total mortgage-related debt securities $ 5,242 $ 7 $ 460 $ 4,789 Other Debt Securities: U. S. Treasury obligations $ 1,491 $ — $ 4 $ 1,487 GSE debentures 1,749 — 351 1,398 Asset-backed securities (1) 375 — 14 361 Municipal bonds 30 — — 30 Corporate bonds 913 2 30 885 Foreign Notes 20 — — 20 Capital trust notes 97 5 12 90 Total other debt securities $ 4,675 $ 7 $ 411 $ 4,271 Total other securities available for sale $ 9,917 $ 14 $ 871 $ 9,060 Equity securities: Mutual funds $ 16 $ — $ 2 $ 14 Total equity securities $ 16 $ — $ 2 $ 14 Total securities (2) $ 9,933 $ 14 $ 873 $ 9,074 (1) The underlying assets of the asset-backed securities are substantially guaranteed by the U.S. Government. (2) Excludes accrued interest receivable of $31 million included in other assets in the Consolidated Statements of Condition. At December 31, 2023, the Company had $861 million and $329 million of FHLB-NY stock, at cost and FHLB-Indianapolis stock, at cost, respectively. At December 31, 2022, the Company had $762 million and $329 million of FHLB-NY stock, at cost and FHLB-Indianapolis stock, at cost, respectively. The Company maintains an investment in FHLB-NY stock partly in conjunction with its membership in the FHLB and partly related to its access to the FHLB funding it utilizes. In addition, at December 31, 2023 and December 31, 2022, the Company had $203 million and $176 million of Federal Reserve Bank stock, respectively. The following table summarizes the gross proceeds, gross realized gains, and gross realized losses from the sale of available-for-sale securities during the years-ended: December 31, ( in millions) 2023 2022 2021 Gross proceeds $ 1,637 $ 228 $ — Gross realized gains 2 — — Gross realized losses (3) — — There were no unrealized losses on equity securities recognized in earnings for the years ended December 31, 2023. For the years ended December 31, 2022 and 2021 there were unrealized losses on equity securities of $2 million and zero recognized in earnings, respectively. The following table summarizes, by contractual maturity, the amortized cost of securities at December 31, 2023: Mortgage- Related Securities U.S. Government and GSE Obligations State, County, and Municipal Other Debt Securities (1) Fair Value ( in millions) Available-for-Sale Debt Securities: Due within one year $ — $ 448 $ — $ — $ 446 Due from one to five years 178 50 — 353 560 Due from five to ten years 316 1,502 6 105 1,597 Due after ten years 6,541 96 — 345 6,542 Total debt securities available for sale $ 7,035 $ 2,096 $ 6 $ 803 $ 9,145 (1) Includes corporate bonds, capital trust notes, foreign notes, and asset-backed securities. The following table presents securities having a continuous unrealized loss position for less than twelve months and for twelve months or longer as of December 31, 2023: Less than Twelve Months Twelve Months or Longer Total (in millions) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U. S. Treasury obligations $ — $ — $ — $ — $ — $ — U.S. Government agency and GSE obligations 181 1 1,362 290 1,543 291 GSE certificates 312 5 843 141 1,155 146 Private Label CMOs 29 1 — — 29 1 GSE CMOs 1,835 77 1,312 304 3,147 381 Asset-backed securities — — 228 5 228 5 Municipal bonds — — 6 — 6 — Corporate bonds — — 343 22 343 22 Foreign notes — — 9 1 9 1 Capital trust notes — — 81 12 81 12 Equity securities — — 14 2 14 2 Total temporarily impaired securities $ 2,357 $ 84 $ 4,198 $ 777 $ 6,555 $ 861 The following table presents securities having a continuous unrealized loss position for less than twelve months and for twelve months or longer as of December 31, 2022: Less than Twelve Months Twelve Months or Longer Total (in millions) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U. S. Treasury obligations $ 1,487 $ 4 $ — $ — $ 1,487 $ 4 U.S. Government agency and GSE obligations 243 5 1,156 346 1,399 351 GSE certificates 871 46 420 114 1,291 160 GSE CMOs 2,219 36 925 264 3,144 300 Asset-backed securities 61 2 262 12 323 14 Municipal bonds 9 — 7 — 16 — Corporate bonds 698 27 97 3 795 30 Foreign notes 20 — — — 20 — Capital trust notes 46 2 34 10 80 12 Equity securities 4 — 10 2 14 2 Total temporarily impaired securities $ 5,658 $ 122 $ 2,911 $ 751 $ 8,569 $ 873 The investment securities designated as having a continuous loss position for twelve months or more at December 31, 2023 consisted of eighty-four agency collateralized mortgage obligations, six capital trusts note, eight asset-backed securities, twelve corporate bonds, thirty-seven US government agency bonds, three hundred two mortgage-backed securities, one mutual fund, one foreign debt, and one municipal bond . The investment securities designated as having a continuous loss position for twelve months or more at December 31, 2022 consisted of twenty three agency collateralized mortgage obligations, five capital trusts notes, seven asset-backed securities, two corporate bonds, thirty three US government agency bonds, one hundred thirty three mortgage-backed securities, one mutual fund, and one municipal bond. The Company evaluates available-for-sale debt securities in unrealized loss positions at least quarterly to determine if an allowance for credit losses is required. We also assess whether (i) we intend to sell, or (ii) it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If either of these criteria is met, any previously recognized allowances are charged off and the security’s amortized cost basis is written down to fair value through income. If neither of the aforementioned criteria are met, we evaluate whether the decline in fair value has resulted from credit losses or other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. In the first quarter of 2023, the Company held a $20 million corporate bond in Signature Bank which was placed into receivership on March 12, 2023. We have taken a $20 million provision for credit loss and charged-off this security during the three months ended March 31, 2023. None of the remaining unrealized losses identified as of December 31, 2023 or December 31, 2022 relates to the marketability of the securities or the issuers’ ability to honor redemption obligations. Rather, the unrealized losses relate to changes in interest rates relative to when the investment securities were purchased, and do not indicate credit-related impairment. Management based this conclusion on an analysis of each issuer including a detailed credit assessment of each issuer. The Company does not intend to sell, and it is not more likely than not that the Company will be required to sell the positions before the recovery of their amortized cost basis, which may be at maturity. As such, no allowance for credit losses remains with respect to debt securities as of December 31, 2023. |
Loans and Leases
Loans and Leases | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Loans and Leases | Loans and Leases The Company classifies loans that we have the intent and ability to hold for the foreseeable future or until maturity as LHFI. We report LHFI loans at their amortized cost, which includes the outstanding principal balance adjusted for any unamortized premiums, discounts, deferred fees and unamortized fair value adjustments for acquired loans: December 31, 2023 December 31, 2022 (dollars in millions) Amount Percent of Amount Percent of Loans and Leases Held for Investment: Mortgage Loans: Multi-family $ 37,265 44.0 % $ 38,130 55.3 % Commercial real estate 10,470 12.4 % 8,526 12.4 % One-to-four family first mortgage 6,061 7.2 % 5,821 8.4 % Acquisition, development, and construction 2,912 3.4 % 1,996 2.8 % Total mortgage loans held for investment (1) $ 56,708 67.0 % $ 54,473 78.9 % Other Loans: Commercial and industrial 22,065 26.1 % 10,597 15.4 % Lease financing, net of unearned income of $258 and $85, respectively 3,189 3.8 % 1,679 2.4 % Total commercial and industrial loans (2) 25,254 29.9 % 12,276 17.8 % Other 2,657 3.1 % 2,252 3.3 % Total other loans held for investment 27,911 33.0 % 14,528 21.1 % Total loans and leases held for investment (1) $ 84,619 100.0 % $ 69,001 100.0 % Allowance for credit losses on loans and leases (992) (393) Total loans and leases held for investment, net 83,627 68,608 Loans held for sale 1,182 1,115 Total loans and leases, net $ 84,809 $ 69,723 (1) Excludes accrued interest receivable of $423 million and $292 million at December 31, 2023 and December 31, 2022, respectively, which is included in other assets (2) Includes specialty finance loans and leases of $5.2 billion and $4.4 billion at December 31, 2023 and December 31, 2022, respectively. Loans with Government Guarantees Substantially all LGG are insured or guaranteed by the FHA or the U.S. Department of Veterans Affairs. Nonperforming repurchased loans in this portfolio earn interest at a rate based upon the 10-year U.S. Treasury note rate from the time the underlying loan becomes 60 days delinquent until the loan is conveyed to HUD (if foreclosure timelines are met), which is not paid by the FHA until claimed. The Bank has a unilateral option to repurchase loans sold to GNMA if the loan is due, but unpaid, for three consecutive months (typically referred to as 90 days past due) and can recover losses through a claims process from the guarantor. These loans are recorded in loans held for investment and the liability to repurchase the loans is recorded in other liabilities on the Consolidated Statements of Condition. Certain loans within our portfolio may be subject to indemnifications and insurance limits which expose us to limited credit risk. As of December 31, 2023, LGG loans totaled $541 million and the repurchase liability was $456 million. Repossessed assets and the associated net claims related to government guaranteed loans are recorded in other assets and was $14 million at December 31, 2023. Loans Held-for-Sale Loans held-for-sale at December 31, 2023 totaled $1.2 billion, up from $1.1 billion at December 31, 2022. The Signature Transaction contributed $360 million in Small Business Administration ("SBA") loans to this increase. We classify loans as held for sale when we originate or purchase loans that we intend to sell. We have elected the fair value option for nearly all of this portfolio, except the SBA loans. We estimate the fair value of mortgage loans based on quoted market prices for securities backed by similar types of loans, where available, or by discounting estimated cash flows using observable inputs inclusive of interest rates, prepayment speeds and loss assumptions for similar collateral. Asset Quality All asset quality information excludes LGG that are insured by U.S government agencies. A loan generally is classified as a non-accrual loan when it is 90 days or more past due or when it is deemed to be impaired because the Company no longer expects to collect all amounts due according to the contractual terms of the loan agreement. When a loan is placed on non-accrual status, management ceases the accrual of interest owed, and previously accrued interest is charged against interest income. A loan is generally returned to accrual status when the loan is current and management has reasonable assurance that the loan will be fully collectible. Interest income on non-accrual loans is recorded when received in cash. At December 31, 2023 and December 31, 2022 we had no loans that were nonperforming and still accruing. The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2023: (in millions) Loans 30-89 Days Past Due Non- Accrual Loans Total Past Due Loans Current Loans (2) Total Loans Receivable Multi-family $ 121 $ 138 $ 259 $ 37,006 $ 37,265 Commercial real estate 28 128 156 10,314 10,470 One-to-four family first mortgage 40 95 135 5,926 6,061 Acquisition, development, and construction 2 2 4 2,908 2,912 Commercial and industrial (1) 37 43 80 25,174 25,254 Other 22 22 44 2,613 2,657 Total $ 250 $ 428 $ 678 $ 83,941 $ 84,619 (1) Includes lease financing receivables. (2) Includes $207 million multi-family loans from one borrower that had a payment in the process of collection as of December 31, 2023 and subsequently settled on January 2, 2024 . The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2022: (in millions) Loans 30-89 Days Past Due Non- Accrual Loans Total Past Due Loans Current Loans Total Loans Receivable Multi-family $ 34 $ 13 $ 47 $ 38,083 $ 38,130 Commercial real estate 2 20 22 8,504 8,526 One-to-four family first mortgage 21 92 113 5,708 5,821 Acquisition, development, and construction — — — 1,996 1,996 Commercial and industrial (1) 2 3 5 12,271 12,276 Other 11 13 24 2,228 2,252 Total $ 70 $ 141 $ 211 $ 68,790 $ 69,001 (1) Includes lease financing receivables, all of which were current. The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2023: Mortgage Loans Other Loans (in millions) Multi- Family Commercial Real Estate One-to- Four Family Acquisition, Development, and Construction Total Mortgage Loans Commercial and Industrial Other Total Other Loans Credit Quality Indicator: Pass $ 34,170 $ 8,734 $ 5,328 $ 2,825 $ 51,057 $ 24,683 $ 2,634 $ 27,317 Special mention 768 367 — 57 1,192 335 — 335 Substandard 2,327 1,369 733 30 4,459 236 23 259 Doubtful — — — — — — — — Total $ 37,265 $ 10,470 $ 6,061 $ 2,912 $ 56,708 $ 25,254 $ 2,657 $ 27,911 The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2022: Mortgage Loans Other Loans (in millions) Multi- Family Commercial Real Estate One-to- Four Family Acquisition, Development, and Construction Total Mortgage Loans Commercial and Industrial Other Total Other Loans Credit Quality Indicator: Pass $ 36,622 $ 7,871 $ 5,710 $ 1,992 $ 52,195 $ 12,208 $ 2,238 $ 14,446 Special mention 864 230 8 4 1,106 18 — 18 Substandard 644 425 103 — 1,172 50 14 64 Total $ 38,130 $ 8,526 $ 5,821 $ 1,996 $ 54,473 $ 12,276 $ 2,252 $ 14,528 The preceding classifications are the most current ones available and generally have been updated within the last twelve months. In addition, they follow regulatory guidelines and can generally be described as follows: pass loans are of satisfactory quality; special mention loans have potential weaknesses that deserve management’s close attention; substandard loans are inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged (these loans have a well-defined weakness and there is a possibility that the Company will sustain some loss); and doubtful loans, based on existing circumstances, have weaknesses that make collection or liquidation in full highly questionable and improbable. In addition, one-to-four family loans are classified based on the duration of the delinquency. The following table presents, by credit quality indicator, loan class, and year of origination, the amortized cost basis of the Company’s loans and leases as of December 31, 2023: Vintage Year (in millions) 2023 2022 2021 2020 2019 Prior To 2019 Revolving Loans Revolving Loans Converted to Term Loans Total Pass $ 2,532 $ 13,295 $ 10,308 $ 8,438 $ 4,725 $ 9,670 $ 1,981 $ 108 $ 51,057 Special Mention — 217 69 407 144 341 14 — 1,192 Substandard 45 98 258 336 809 2,910 — 3 4,459 Doubtful — — — — — — — — — Total mortgage loans $ 2,577 $ 13,610 $ 10,635 $ 9,181 $ 5,678 $ 12,921 $ 1,995 $ 111 $ 56,708 Current-period gross write-offs — (112) — — (2) (64) — — (178) Pass (1) $ 9,709 $ 3,598 $ 1,936 $ 1,141 $ 911 $ 941 $ 8,757 $ 324 $ 27,317 Special Mention 1 182 17 9 6 18 102 — 335 Substandard 10 39 45 28 40 40 46 11 259 Doubtful — — — — — — — — — Total other loans $ 9,720 $ 3,819 $ 1,998 $ 1,178 $ 957 $ 999 $ 8,905 $ 335 $ 27,911 Current-period gross write-offs $ (2) $ (10) $ (5) $ (8) $ (2) $ (18) $ — $ — $ (45) Total $ 12,297 $ 17,429 $ — $ 12,633 $ 10,359 $ 6,635 $ 13,920 $ 10,900 $ 446 $ 84,619 When management determines that foreclosure is probable, for loans that are individually evaluated the expected credit losses are based on the fair value of the collateral adjusted for selling costs. When the borrower is experiencing financial difficulty at the reporting date and repayment is expected to be provided substantially through the operation or sale of the collateral, the collateral-dependent practical expedient has been elected and expected credit losses are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. For CRE loans, collateral properties include office buildings, warehouse/distribution buildings, shopping centers, apartment buildings, residential and commercial tract development. The primary source of repayment on these loans is expected to come from the sale, permanent financing or lease of the real property collateral. CRE loans are impacted by fluctuations in collateral values, as well as the ability of the borrower to obtain permanent financing. The following table summarizes the extent to which collateral secures the Company’s collateral-dependent loans held for investment by collateral type as of December 31, 2023: Collateral Type (in millions) Real Property Other Multi-family $ 253 $ — Commercial real estate 256 — One-to-four family first mortgage 105 — Commercial and industrial — 120 Total collateral-dependent loans held for investment $ 614 $ 120 Other collateral type consists of taxi medallions, cash, accounts receivable and inventory. There were no significant changes in the extent to which collateral secures the Company’s collateral-dependent financial assets during the year ended December 31, 2023. At December 31, 2023 and December 31, 2022, the Company had $81 million and $121 million of residential mortgage loans in the process of foreclosure, respectively. Included in loans held for investment at December 31, 2023 and December 31, 2022, were loans of $9 million and $101 million, respectively, to officers, directors, and their related interests and parties. There were no loans to principal shareholders at that date. Modifications to Borrowers Experiencing Financial Difficulty Effective January 1, 2023, the Company adopted ASU 2022-02- Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. For additional information on the adoption, refer to Note 1 - Description of Business, Organization and Basis of Presentation. When borrowers are experiencing financial difficulty, the Company may make certain loan modifications as part of loss mitigation strategies to maximize expected payment. Modifications in the form of principal forgiveness, an interest rate reduction, or an other-than-insignificant payment delay or a term extension that have occurred in the current reporting period to a borrower experiencing financial difficulty are disclosed along with the financial impact of the modifications. The following table summarizes the amortized cost basis of loans modified during the reporting period to borrowers experiencing financial difficulty, disaggregated by class of financing receivable and type of modification: Amortized Cost (dollars in millions) Interest Rate Reduction Term Extension Combination - Interest Rate Reduction & Term Extension Total Percent of Total Loan class Year Ended December 31, 2023 Multi-family $ 122 $ — $ — $ 122 1.17 % Commercial real estate 102 1 — 103 0.98 % One-to-four family first mortgage 3 5 6 14 0.23 % Commercial and Industrial — 19 2 21 0.08 % Other Consumer $ — $ — $ 2 2 0.08 % Total $ 227 $ 25 $ 10 $ 262 The following table describes the financial effect of the modification made to borrowers experiencing financial difficulty: Interest Rate Reduction Term Extension Weighted-average contractual interest rate From To Weighted-average Term (in years) Year Ended December 31, 2023 Multi-family 7.45 % 6.02 % Commercial real estate 8.83 % 4.56 % One-to-four family first mortgage 6.08 % 4.79 % Commercial and industrial 8.44 % 8.08 % 0.58 Other Consumer 9.09 % 4.82 % As of December 31, 2023, there were $4 million one-to-four family first mortgages that were modified for borrowers experiencing financial difficulty that received term extension and subsequently defaulted during the period and $4 million one-to-four family first mortgages that were combination modifications and subsequently defaulted during the period. The performance of loans made to borrowers experiencing financial difficulty in which modifications were made is closely monitored to understand the effectiveness of modification efforts. Loans are considered to be in payment default at 90 or more days past due. The following table depicts the performance of loans that have been modified during the reporting period: December 31, 2023 (dollars in millions) Current 30 - 89 Past Due 90+ Past Due Total Commercial real estate 1 — — 1 One-to-four family first mortgage 3 — 8 11 Commercial and industrial 3 9 1 13 Other Consumer 1 1 — 2 Total $ 8 $ 10 $ 9 $ 27 Troubled Debt Restructurings Prior to Adoption of ASU 2022-02 Prior to the adoption of ASU 2022-02, the Company accounted for certain loan modifications and restructurings as TDRs. In general, a modification or restructuring of a loan constituted a TDR if the Company granted a concession to a borrower experiencing financial difficulty. A loan modified as a TDR was generally placed on non-accrual status until the Company determined that future collection of principal and interest is reasonably assured, which requires, among other things, that the borrower demonstrate performance according to the restructured terms for a period of at least six consecutive months. In determining the Company’s allowance for credit losses on loans and leases, reasonably expected TDRs were individually evaluated and consist of criticized, classified, or maturing loans that will have a modification processed within the next three months. In an effort to proactively manage delinquent loans, the Company has selectively extended to certain borrowers concessions such as rate reductions, extension of maturity dates, and forbearance agreements. As of December 31, 2022, loans on which concessions were made with respect to rate reductions and/or extension of maturity dates amounted to $44 million. The following table presents information regarding the Company's TDRs as of December 31, 2022: December 31, 2022 (dollars in millions) Accruing Non- Accrual Total Loan Category: Multi-family $ — $ 6 $ 6 Commercial real estate 16 19 35 Commercial and industrial — 3 3 Total $ 16 $ 28 $ 44 The financial effects of the Company’s TDRs for the twelve months ended December 31, 2022 are summarized as follows: Weighted Average Interest Rate (dollars in millions) Number of Loans Pre- Modification Recorded Investment Post- Modification Recorded Investment Pre- Modification Post- Modification Charge- off Amount Capitalized Interest Loan Category: Commercial real estate 2 $ 22 $ 19 6.00 % 4.02 % $ 3 $ — |
Allowance for Credit Losses on
Allowance for Credit Losses on Loans and Leases | 12 Months Ended |
Dec. 31, 2023 | |
Credit Loss [Abstract] | |
Allowance for Credit Losses on Loans and Leases | Allowance for Credit Losses on Loans and Leases Allowance for Credit Losses on Loans and Leases The following table summarizes activity in the allowance for credit losses for the periods indicated: For the Years Ended December 31, 2023 2022 (in millions) Mortgage Other Total Mortgage Other Total Balance, beginning of period $ 290 $ 103 $ 393 $ 178 $ 21 $ 199 Adjustment for Purchased PCD Loans 13 13 21 30 51 Charge-offs (178) (45) (223) (5) (2) (7) Recoveries 15 15 4 7 11 Provision for (recovery of) credit losses on loans and leases 644 150 794 92 47 139 Balance, end of period $ 756 $ 236 $ 992 $ 290 $ 103 $ 393 As of December 31, 2023, the allowance for credit losses on loans and leases totaled $992 million, up $599 million compared to December 31, 2022. The increase in the allowance for credit losses on loans and leases was primarily driven by an increase in reserves to address weakness in the office sector, potential repricing risk in the multifamily portfolio and an increase in classified assets. Also contributing to the increase in the allowance for credit losses on loans and leases was the day 1 impact of the Signature Transaction that closed on March 20, 2023, which added $141 million to the reserve. As of December 31, 2023 and December 31, 2022, the allowance for unfunded commitments totaled $52 million and $23 million, respectively. The Company charges off loans, or portions of loans, in the period that such loans, or portions thereof, are deemed uncollectible. The collectability of individual loans is determined through an assessment of the financial condition and repayment capacity of the borrower and/or through an estimate of the fair value of any underlying collateral. For non-real estate-related consumer credits, the following past-due time periods determine when charge-offs are typically recorded: (1) closed-end credits are charged off in the quarter that the loan becomes 120 days past due; (2) open-end credits are charged off in the quarter that the loan becomes 180 days past due; and (3) both closed-end and open-end credits are typically charged off in the quarter that the credit is 60 days past the date the Company received notification that the borrower has filed for bankruptcy. The following table presents additional information about the Company’s nonaccrual loans at December 31, 2023: (in millions) Recorded Investment Related Allowance Interest Income Recognized Nonaccrual loans with no related allowance: Multi-family $ 134 $ — $ 5 Commercial real estate 53 — 2 One-to-four family first mortgage 85 — — Acquisition, development, and construction — — — Other (includes C&I) 22 — — Total nonaccrual loans with no related allowance $ 294 $ — $ 7 Nonaccrual loans with an allowance recorded: Multi-family $ 4 $ — $ — Commercial real estate 75 17 3 One-to-four family first mortgage 11 2 — Acquisition, development, and construction — — — Other (includes C&I) 44 28 — Total nonaccrual loans with an allowance recorded $ 134 $ 47 $ 3 Total nonaccrual loans: Multi-family $ 138 $ — $ 5 Commercial real estate 128 17 5 One-to-four family first mortgage 96 2 — Acquisition, development, and construction — — — Other (includes C&I) 66 28 — Total nonaccrual loans $ 428 $ 47 $ 10 The following table presents additional information about the Company’s nonaccrual loans at December 31, 2022: (in millions) Recorded Investment Related Allowance Interest Income Recognized Nonaccrual loans with no related allowance: Multi-family $ 13 $ — $ — Commercial real estate 19 — 1 One-to-four family first mortgage 90 — — Other (includes C&I) 3 — — Total nonaccrual loans with no related allowance $ 125 $ — $ 1 Nonaccrual loans with an allowance recorded: Commercial real estate $ 1 $ — $ — One-to-four family first mortgage 2 — — Other (includes C&I) 13 14 — Total nonaccrual loans with an allowance recorded $ 16 $ 14 $ — Total nonaccrual loans: Multi-family $ 13 $ — $ — Commercial real estate 20 — 1 One-to-four family first mortgage 92 — — Other (includes C&I) 16 14 — Total nonaccrual loans $ 141 $ 14 $ 1 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases Lessor Arrangements The Company is a lessor in the equipment finance business where it has executed direct financing leases (“lease finance receivables”). The Company produces lease finance receivables through a specialty finance subsidiary that participates in syndicated loans that are brought to them, and equipment loans and leases that are assigned to them, by a select group of nationally recognized sources, and are generally made to large corporate obligors, many of which are publicly traded, carry investment grade or near-investment grade ratings, and participate in stable industries nationwide. Lease finance receivables are carried at the aggregate of lease payments receivable plus the estimated residual value of the leased assets and any initial direct costs incurred to originate these leases, less unearned income, which is accreted to interest income over the lease term using the interest method. The standard leases are typically repayable on a level monthly basis with terms ranging from 24 to 120 months. At the end of the lease term, the lessee usually has the option to return the equipment, to renew the lease or purchase the equipment at the then fair market value (“FMV”) price. For leases with a FMV renewal/purchase option, the relevant residual value assumptions are based on the estimated value of the leased asset at the end of the lease term, including evaluation of key factors, such as, the estimated remaining useful life of the leased asset, its historical secondary market value including history of the lessee executing the FMV option, overall credit evaluation and return provisions. The Company acquires the leased asset at fair market value and provides funding to the respective lessee at acquisition cost, less any volume or trade discounts, as applicable. Therefore, there is generally no selling profit or loss to recognize or defer at inception of a lease. The residual value component of a lease financing receivable represents the estimated fair value of the leased equipment at the end of the lease term. In establishing residual value estimates, the Company may rely on industry data, historical experience, and independent appraisals and, where appropriate, information regarding product life cycle, product upgrades and competing products. Upon expiration of a lease, residual assets are remarketed, resulting in either an extension of the lease by the lessee, a lease to a new customer or purchase of the residual asset by the lessee or another party. Impairment of residual values arises if the expected fair value is less than the carrying amount. The Company assesses its net investment in lease financing receivables (including residual values) for impairment on an annual basis with any impairment losses recognized in accordance with the impairment guidance for financial instruments. As such, net investment in lease financing receivables may be reduced by an allowance for credit losses with changes recognized as provision expense. On certain lease financings, the Company obtains residual value insurance from third parties to manage and reduce the risk associated with the residual value of the leased assets. At December 31, 2023 and December 31, 2022, the carrying value of residual assets with third-party residual value insurance for at least a portion of the asset value was $280 million and $32 million, respectively. The Company uses the interest rate implicit in the lease to determine the present value of its lease financing receivables. The components of lease income were as follows: For the Years Ended December 31, (in millions) 2023 2022 2021 Interest income on lease financing (1) $ 119 $ 53 $ 53 (1) Included in Interest Income – Loans and leases in the Consolidated Statements of Income and Comprehensive Income. At December 31, 2023 and December 31, 2022, the carrying value of net investment in leases, excluding purchase accounting adjustments was $3.5 billion and $1.7 billion, respectively. The components of net investment in direct financing leases, including the carrying amount of the lease receivables, as well as the unguaranteed residual asset were as follows: (in millions) December 31, 2023 December 31, 2022 Net investment in the lease - lease payments receivable $ 3,187 $ 1,685 Net investment in the lease - unguaranteed residual assets 321 60 Total lease payments $ 3,508 $ 1,745 The following table presents the remaining maturity analysis of the undiscounted lease receivables, as well as the reconciliation to the total amount of receivables recognized in the Consolidated Statements of Condition: (in millions) December 31, 2023 2024 549 2025 602 2026 874 2027 521 2028 293 Thereafter 669 Total lease payments $ 3,508 Plus: deferred origination costs 15 Less: unearned income (258) Less: purchase accounting adjustment $ (76) Total lease finance receivables, net $ 3,189 Lessee Arrangements The Company has operating leases for corporate offices, branch locations, and certain equipment. These leases generally have terms of 20 years or less, determined based on the contractual maturity of the lease, and include periods covered by options to extend or terminate the lease when the Company is reasonably certain that it will exercise those options. For the vast majority of the Company’s leases, we are not reasonably certain we will exercise our options to renew to the end of all renewal option periods. The Company determines if an arrangement is a lease at inception. Operating leases are included in other assets and other liabilities in the Consolidated Statements of Condition. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the vast majority of the leases do not provide an implicit rate, the incremental borrowing rate (FHLB borrowing rate) is used based on the information available at commencement date in determining the present value of lease payments. The implicit rate is used when readily determinable. The operating lease ROU asset is measured at cost, which includes the initial measurement of the lease liability, prepaid rent and initial direct costs incurred by the Company, less incentives received. Variable costs such as the proportionate share of actual costs for utilities, common area maintenance, property taxes and insurance are not included in the lease liability and are recognized in the period in which they are incurred. The components of lease expense were as follows: For the Years Ended December 31, (in millions) 2023 2022 2021 Operating lease cost $ 86 $ 28 $ 27 Total lease cost $ 86 $ 28 $ 27 Supplemental cash flow information related to the leases for the following periods: (in millions) For the Years Ended December 31, 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 64 $ 28 Supplemental balance sheet information related to the leases for the following periods: (in millions, except lease term and discount rate) December 31, 2023 December 31, 2022 Operating Leases: Operating lease right-of-use assets (1) $ 426 $ 119 Operating lease liabilities (2) $ 446 $ 122 Weighted average remaining lease term 11.2 years 6 years Weighted average discount rate percent 4.71 % 3.85 % (1) Included in Other assets (2) Included in Other liabilities (in millions) December 31, 2023 Maturities of lease liabilities: 2024 71 2025 65 2026 58 2027 52 2028 45 Thereafter 296 Total lease payments $ 587 Less: imputed interest $ (141) Total present value of lease liabilities $ 446 |
Leases | Leases Lessor Arrangements The Company is a lessor in the equipment finance business where it has executed direct financing leases (“lease finance receivables”). The Company produces lease finance receivables through a specialty finance subsidiary that participates in syndicated loans that are brought to them, and equipment loans and leases that are assigned to them, by a select group of nationally recognized sources, and are generally made to large corporate obligors, many of which are publicly traded, carry investment grade or near-investment grade ratings, and participate in stable industries nationwide. Lease finance receivables are carried at the aggregate of lease payments receivable plus the estimated residual value of the leased assets and any initial direct costs incurred to originate these leases, less unearned income, which is accreted to interest income over the lease term using the interest method. The standard leases are typically repayable on a level monthly basis with terms ranging from 24 to 120 months. At the end of the lease term, the lessee usually has the option to return the equipment, to renew the lease or purchase the equipment at the then fair market value (“FMV”) price. For leases with a FMV renewal/purchase option, the relevant residual value assumptions are based on the estimated value of the leased asset at the end of the lease term, including evaluation of key factors, such as, the estimated remaining useful life of the leased asset, its historical secondary market value including history of the lessee executing the FMV option, overall credit evaluation and return provisions. The Company acquires the leased asset at fair market value and provides funding to the respective lessee at acquisition cost, less any volume or trade discounts, as applicable. Therefore, there is generally no selling profit or loss to recognize or defer at inception of a lease. The residual value component of a lease financing receivable represents the estimated fair value of the leased equipment at the end of the lease term. In establishing residual value estimates, the Company may rely on industry data, historical experience, and independent appraisals and, where appropriate, information regarding product life cycle, product upgrades and competing products. Upon expiration of a lease, residual assets are remarketed, resulting in either an extension of the lease by the lessee, a lease to a new customer or purchase of the residual asset by the lessee or another party. Impairment of residual values arises if the expected fair value is less than the carrying amount. The Company assesses its net investment in lease financing receivables (including residual values) for impairment on an annual basis with any impairment losses recognized in accordance with the impairment guidance for financial instruments. As such, net investment in lease financing receivables may be reduced by an allowance for credit losses with changes recognized as provision expense. On certain lease financings, the Company obtains residual value insurance from third parties to manage and reduce the risk associated with the residual value of the leased assets. At December 31, 2023 and December 31, 2022, the carrying value of residual assets with third-party residual value insurance for at least a portion of the asset value was $280 million and $32 million, respectively. The Company uses the interest rate implicit in the lease to determine the present value of its lease financing receivables. The components of lease income were as follows: For the Years Ended December 31, (in millions) 2023 2022 2021 Interest income on lease financing (1) $ 119 $ 53 $ 53 (1) Included in Interest Income – Loans and leases in the Consolidated Statements of Income and Comprehensive Income. At December 31, 2023 and December 31, 2022, the carrying value of net investment in leases, excluding purchase accounting adjustments was $3.5 billion and $1.7 billion, respectively. The components of net investment in direct financing leases, including the carrying amount of the lease receivables, as well as the unguaranteed residual asset were as follows: (in millions) December 31, 2023 December 31, 2022 Net investment in the lease - lease payments receivable $ 3,187 $ 1,685 Net investment in the lease - unguaranteed residual assets 321 60 Total lease payments $ 3,508 $ 1,745 The following table presents the remaining maturity analysis of the undiscounted lease receivables, as well as the reconciliation to the total amount of receivables recognized in the Consolidated Statements of Condition: (in millions) December 31, 2023 2024 549 2025 602 2026 874 2027 521 2028 293 Thereafter 669 Total lease payments $ 3,508 Plus: deferred origination costs 15 Less: unearned income (258) Less: purchase accounting adjustment $ (76) Total lease finance receivables, net $ 3,189 Lessee Arrangements The Company has operating leases for corporate offices, branch locations, and certain equipment. These leases generally have terms of 20 years or less, determined based on the contractual maturity of the lease, and include periods covered by options to extend or terminate the lease when the Company is reasonably certain that it will exercise those options. For the vast majority of the Company’s leases, we are not reasonably certain we will exercise our options to renew to the end of all renewal option periods. The Company determines if an arrangement is a lease at inception. Operating leases are included in other assets and other liabilities in the Consolidated Statements of Condition. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the vast majority of the leases do not provide an implicit rate, the incremental borrowing rate (FHLB borrowing rate) is used based on the information available at commencement date in determining the present value of lease payments. The implicit rate is used when readily determinable. The operating lease ROU asset is measured at cost, which includes the initial measurement of the lease liability, prepaid rent and initial direct costs incurred by the Company, less incentives received. Variable costs such as the proportionate share of actual costs for utilities, common area maintenance, property taxes and insurance are not included in the lease liability and are recognized in the period in which they are incurred. The components of lease expense were as follows: For the Years Ended December 31, (in millions) 2023 2022 2021 Operating lease cost $ 86 $ 28 $ 27 Total lease cost $ 86 $ 28 $ 27 Supplemental cash flow information related to the leases for the following periods: (in millions) For the Years Ended December 31, 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 64 $ 28 Supplemental balance sheet information related to the leases for the following periods: (in millions, except lease term and discount rate) December 31, 2023 December 31, 2022 Operating Leases: Operating lease right-of-use assets (1) $ 426 $ 119 Operating lease liabilities (2) $ 446 $ 122 Weighted average remaining lease term 11.2 years 6 years Weighted average discount rate percent 4.71 % 3.85 % (1) Included in Other assets (2) Included in Other liabilities (in millions) December 31, 2023 Maturities of lease liabilities: 2024 71 2025 65 2026 58 2027 52 2028 45 Thereafter 296 Total lease payments $ 587 Less: imputed interest $ (141) Total present value of lease liabilities $ 446 |
Mortgage Servicing Rights
Mortgage Servicing Rights | 12 Months Ended |
Dec. 31, 2023 | |
Transfers and Servicing [Abstract] | |
Mortgage Servicing Rights | Mortgage Servicing Rights The Company has investments in MSRs that result from the sale of loans to the secondary market for which we retain the servicing. The Company accounts for MSRs at their fair value. A primary risk associated with MSRs is the potential reduction in fair value as a result of higher than anticipated prepayments due to loan refinancing prompted, in part, by declining interest rates or government intervention. Conversely, these assets generally increase in value in a rising interest rate environment to the extent that prepayments are slower than anticipated. The Company utilizes derivatives as economic hedges to offset changes in the fair value of the MSRs resulting from the actual or anticipated changes in prepayments stemming from changing interest rate environments. There is also a risk of valuation decline due to higher than expected default rates, which we do not believe can be effectively managed using derivatives. For further information regarding the derivative instruments utilized to manage our MSR risks, see Note 15 - Derivative and Hedging Activities. Changes in the fair value of residential first mortgage MSRs were as follows: (in millions) Year Ended December 31, 2023 Balance at beginning of period $ 1,033 Additions from loans sold with servicing retained 208 Reductions from sales (51) Decrease in MSR fair value due to pay-offs, pay-downs, run-off, model changes, and other (1) (80) Changes in estimates of fair value due to interest rate risk (1) (2) 1 Fair value of MSRs at end of period $ 1,111 (1) Changes in fair value are included within net return on mortgage servicing rights (2) Represents estimated MSR value change resulting primarily from market-driven changes which we manage through the use of derivatives. The following table summarizes the hypothetical effect on the fair value of servicing rights using adverse changes of 10 percent and 20 percent to the weighted average of certain significant assumptions used in valuing these assets: December 31, 2023 Fair Value (dollars in millions) Actual 10% adverse change 20% adverse change Option adjusted spread 5.4 % $ 1,091 $ 1,072 Constant prepayment rate 7.9 % 1,073 1,040 Weighted average cost to service per loan $ 69 $ 1,100 $ 1,090 December 31, 2022 Fair Value (dollars in millions) Actual 10% adverse change 20% adverse change Option adjusted spread 5.9 % $ 1,012 $ 992 Constant prepayment rate 7.9 % 1,000 970 Weighted average cost to service per loan $ 68 $ 1,023 $ 1,013 The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. Changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. To isolate the effect of the specified change, the fair value shock analysis is consistent with the identified adverse change, while holding all other assumptions constant. In practice, a change in one assumption generally impacts other assumptions, which may either magnify or counteract the effect of the change. For further information on the fair value of MSRs , see Note 18 - Fair Value Measures . Contractual servicing and subservicing fees, including late fees and other ancillary income are presented below. Contractual servicing fees are included within net return on mortgage servicing rights on the Consolidated Statements of Income and Comprehensive Income. Contractual subservicing fees including late fees and other ancillary income are included within loan administration income on the Consolidated Statements of Income and Comprehensive Income. Subservicing fee income is recorded for fees earned on subserviced loans, net of third-party subservicing costs. The following table summarizes income and fees associated with owned MSRs: (in millions) Year Ended December 31, 2023 Month Ended December 31, 2022 Net return on mortgage servicing rights Servicing fees, ancillary income and late fees (1) $ 227 $ 20 Decrease in MSR fair value due to pay-offs, pay-downs, run-off, model changes and other (80) (8) Changes in fair value due to interest rate risk 1 10 Gain on MSR derivatives (2) (47) (16) Net transaction costs 2 — Total return included in net return on mortgage servicing rights $ 103 $ 6 (1) Servicing fees are recorded on an accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) Changes in the derivatives utilized as economic hedges to offset changes in fair value of the MSRs. The following table summarizes income and fees associated with our mortgage loans subserviced for others: (in millions) Year Ended December 31, 2023 Year Ended December 31, 2022 Loan administration income on mortgage loans subserviced Servicing fees, ancillary income and late fees (1) $ 154 $ 11 Charges on subserviced custodial balances (2) (168) (8) Other servicing charges (3) — Total (loss) income on mortgage loans subserviced, included in loan administration income $ (17) $ 3 (1) Servicing fees are recorded on an accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) Charges on subserviced custodial balances represent interest due to MSR owner. We also earned approximately $95 million in service fee income for loans being serviced for the FDIC related to the Signature transaction. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | Variable Interest Entities We have no consolidated VIEs as of December 31, 2023 and December 31, 2022. |
Borrowed Funds
Borrowed Funds | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Borrowed Funds | Borrowed Funds The following table summarizes the Company’s borrowed funds: (in millions) December 31, 2023 December 31, 2022 Wholesale borrowings: FHLB advances $ 19,250 $ 20,325 FRB term funding 1,000 — Total wholesale borrowings $ 20,250 $ 20,325 Junior subordinated debentures 579 575 Subordinated notes 438 432 Total borrowed funds $ 21,267 $ 21,332 Accrued interest on borrowed funds is included in “Other liabilities” in the Consolidated Statements of Condition and amounted to $50 million and $37 million, respectively, at December 31, 2023, December 31, 2022. FHLB Advances The contractual maturities and the next call dates of FHLB advances outstanding at December 31, 2023 were as follows: Contractual Maturity Earlier of Contractual Maturity or Next Call Date (dollars in millions) Year Amount Weighted Average Interest Rate (1) Amount Weighted Average Interest Rate (1) 2024 7,350 4.57 9,100 4.37 2025 1,500 5.38 1,750 5.11 2026 2,500 5.37 2,500 5.37 2027 4,000 4.62 3,500 4.75 2028 2,400 5.17 2,400 5.17 2032 1,500 3.43 — — Total FHLB advances $ 19,250 $ 19,250 (1) Does not included the effect interest rate swap agreements. FHLB advances include both straight fixed-rate advances and advances under the FHLB convertible advance program, which gives the FHLB the option of either calling the advance after an initial lock-out period of up to five years and quarterly thereafter until maturity, or a one-time call at the initial call date. At December 31, 2023 and 2022, respectively, the Bank had unused lines of available credit with the FHLB-NY of up to $8.4 billion and $11.3 billion. The Company did not have any overnight advances at December 31, 2023 and $2.8 billion at December 31, 2022. During the year ended December 31, 2023, the average balance of overnight advances amounted to $624 million, with a weighted average interest rate of 5.08 percent. During the year ended December 31, 2022, the average balance of overnight advances amounted to $318 million, with a weighted average interest rate of 3.48 percent. Total FHLB advances generated interest expense of $564 million, $251 million and $233 million, in the years ended December 31, 2023, 2022, and 2021, respectively. Federal Reserve Bank (FRB) Term Funding Program At December 31, 2023, the Company had $1.0 billion in outstanding borrowings under the FRB Term Funding program. There were no such borrowings outstanding during the years ended 2022 or 2021. Repurchase Agreements The Company had no outstanding repurchase agreements as of December 31, 2023 and 2022. The Company had no short-term repurchase agreements outstanding at December 31, 2023 and 2022. There was no accrued interest on repurchase agreements amounted at December 31, 2023. The interest expense on repurchase agreements was $14 million and $18 million for the years ended December 31, 2022 and 2021, respectively. Federal Funds Purchased There were no federal funds purchased outstanding at December 31, 2023 and December 31, 2022. In 2023 and 2022, respectively, the average balances of federal funds purchased were $196 million and $466 million, with weighted average interest rates of 5.01 percent and 1.65 percent. The interest expense produced by federal funds purchased was $10 million, $8 million and $0 million for the years ended December 31, 2023, 2022 and 2021, respectively. Junior Subordinated Debentures At December 31, 2023 and December 31, 2022, the Company had $609 million and $608 million, respectively, of outstanding junior subordinated deferrable interest debentures (“junior subordinated debentures”) held by statutory business trusts (the “Trusts”) that issued guaranteed capital securities, excluding purchase accounting adjustments. The following table presents contractual terms of the junior subordinated debentures outstanding at December 31, 2023: Issuer Interest Rate of Capital Securities and Debentures Junior Subordinated Debentures Amount Outstanding (3) Capital Securities Amount Outstanding Date of Original Issue Stated Maturity (dollars in millions) New York Community Capital Trust V (BONUSES Units) (1) 6.00 $ 147 $ 141 Nov. 4, 2002 Nov. 1, 2051 New York Community Capital Trust X (2) 7.25 124 120 Dec. 14, 2006 Dec. 15, 2036 PennFed Capital Trust III (2) 8.90 31 30 June 2, 2003 June 15, 2033 New York Community Capital Trust XI (2) 7.24 59 58 April 16, 2007 June 30, 2037 Flagstar Statutory Trust II (2) 8.87 26 25 Dec. 26, 2002 Dec. 26, 2032 Flagstar Statutory Trust III (2) 8.91 26 25 Feb. 19, 2003 April 7, 2033 Flagstar Statutory Trust IV (2) 8.84 26 25 Mar. 19, 2003 Mar 19, 2033 Flagstar Statutory Trust V (2) 7.66 26 25 Dec 29, 2004 Jan. 7, 2035 Flagstar Statutory Trust VI (2) 7.66 26 25 Mar. 30, 2005 April 7, 2035 Flagstar Statutory Trust VII (2) 7.40 51 50 Mar. 29, 2005 June 15, 2035 Flagstar Statutory Trust VIII (2) 7.16 26 25 Sept. 22, 2005 Oct. 7, 2035 Flagstar Statutory Trust IX (2) 7.10 26 25 June 28, 2007 Sept. 15, 2037 Flagstar Statutory Trust X (2) 8.15 15 15 Aug. 31, 2007 Sept 15, 2037 Total junior subordinated debentures (3) $ 609 $ 589 (1) Callable subject to certain conditions as described in the prospectus filed with the SEC on November 4, 2002. (2) Callable at any time. (3) Excludes Flagstar Acquisition fair value adjustments of $30 million. The Bifurcated Option Note Unit SecuritiES SM (“BONUSES units”) included in the preceding table were issued by the Company on November 4, 2002 at a public offering price of $50.00 per share. Each of the 5,500,000 BONUSES units offered consisted of a capital security issued by New York Community Capital Trust V, a trust formed by the Company, and a warrant to purchase 2.4953 shares of the common stock of the Company (for a total of approximately 14 million common shares) at an effective exercise price of $20.04 per share. Each capital security has a maturity of 49 years, with a coupon, or distribution rate, of 6.00 percent on the $50.00 per share liquidation amount. The warrants and capital securities were non-callable for five years from the date of issuance and were not called by the Company when the five-year period passed on November 4, 2007. The gross proceeds of the BONUSES units totaled $275 million and were allocated between the capital security and the warrant comprising such units in proportion to their relative values at the time of issuance. The value assigned to the warrants, $92.4 million, was recorded as a component of additional “paid-in capital” in the Company’s Consolidated Statements of Condition. The value assigned to the capital security component was $182.6 million. The $92.4 million difference between the assigned value and the stated liquidation amount of the capital securities was treated as an original issue discount, and is being amortized to interest expense over the 49-year life of the capital securities on a level-yield basis. At December 31, 2023 , this discount totaled $64 million. The other remaining trust preferred securities noted in the preceding table were formed for the purpose of issuing Company Obligated Mandatorily Redeemable Capital Securities of Subsidiary Trusts Holding Solely Junior Subordinated Debentures (collectively, the “Capital Securities”). Dividends on the Capital Securities are payable either quarterly or semi-annually and are deferrable, at the Company’s option, for up to five years. As of December 31, 2023 , all dividends were current. Interest expense on junior subordinated debentures was $48 million, $22 million, and $18 million, respectively, for the years ended December 31, 2023 , 2022, and 2021. Subordinated Notes At December 31, 2023 and December 31, 2022, the Company had a total of $438 million and $432 million subordinated notes outstanding; respectively, of fixed-to-floating rate subordinated notes outstanding: Date of Original Issue Stated Maturity Interest Rate Original Issue Amount November 6, 2018 November 6, 2028 (1) 5.900% $ 300 October 28, 2020 November 1, 2030 (2) 4.125% $ 150 (1) From and including the date of original issuance to, but excluding November 6, 2023, the Notes will bear interest at an initial rate of 5.90 percent per annum payable semi-annually. Unless redeemed, from and including November 6, 2023 to but excluding the maturity date, the interest rate will reset quarterly to an annual interest rate equal to the then-current three-month SOFR rate plus 304.16 b asis points payable quarterly. (2) |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2023 | |
Statistical Disclosure for Banks [Abstract] | |
Deposits | Deposits The following table sets forth the weighted average interest rates for each type of deposit at December 31, 2023 and 2022: December 31, 2023 2022 (dollars in millions) Amount Percent of Total Weighted Average Interest Rate Amount Percent of Total Weighted Average Interest Rate Interest-bearing checking and money market accounts $ 30,700 37.66 % 3.51 % $ 22,511 38.34 % 2.66 % Savings accounts 8,773 10.76 % 2.67 % 11,645 19.83 % 1.30 % Certificates of deposit 21,554 26.44 % 4.42 % 12,510 21.30 % 2.04 % Non-interest-bearing accounts 20,499 25.14 % — % 12,055 20.53 % — % Total deposits $ 81,526 100.00 % 2.79 % $ 58,721 100.00 % 1.71 % At December 31, 2023 and 2022, the aggregate amount of time deposit accounts (including certificates of deposit) that meet or exceed the insured limit was $7.9 billion and $3.7 billion, respectively. At December 31, 2023 and 2022, the aggregate amount of deposits that had been reclassified as loan balances (i.e., overdrafts) was $121 million and $4 million, respectively. The scheduled maturities of certificates of deposit at December 31, 2023 were as follows: (in millions) 1 year or less $ 17,321 More than 1 year through 2 years 3,879 More than 2 years through 3 years 229 More than 3 years through 4 years 142 More than 4 years through 5 years 7 Over 5 years 3 Total CDs (1) $ 21,581 (1) Excludes PAA |
Federal, State, and Local Taxes
Federal, State, and Local Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Federal, State, and Local Taxes | Federal, State, and Local Taxes The following table summarizes the components of the Company’s net deferred tax asset (liability) at December 31, 2023 and 2022 : December 31, (in millions) 2023 2022 Deferred Tax Assets: Allowance for credit losses on loans and leases $ 253 $ 102 Acquisition accounting and fair value adjustments on securities (including OTTI) 188 227 Acquisition accounting and fair value adjustments on loans — 36 Capitalized loan costs 46 Right of Use Liability 32 — Compensation and related benefit obligations 30 23 Capitalized research and development costs — 10 Accrued Expenses 19 — Net operating loss carryforwards 8 15 Other 22 18 Gross deferred tax assets 552 477 Valuation allowance (5) (5) Net deferred tax asset after valuation allowance $ 547 $ 472 Deferred Tax Liabilities: Leases $ (492) $ (328) Mortgage servicing rights (79) (105) Premises and equipment (44) (18) Prepaid pension cost (35) (29) Fair value adjustments on loans (210) — Amortizable intangibles (127) (71) Acquisition accounting and fair value adjustments on deposits (2) (9) Right of Use Asset (32) — Deferred Loan fees (13) — Acquisition accounting and fair value adjustments on debt (9) (10) Other (21) (9) Gross deferred tax liabilities $ (1,064) $ (579) Net deferred tax liability $ (517) $ (107) The deferred tax liability represents the anticipated federal, state, and local tax expenses or benefits that are expected to be realized in future years upon the utilization of the underlying tax attributes comprising said balances. The net deferred tax liability is included in “Other liabilities” in the Consolidated Statements of Condition at December 31, 2023 and 2022. The Company evaluates the need for a deferred tax asset valuation allowances based on a more likely than not standard. The Company’s evaluation is based on its history of reporting positive taxable income in all relevant tax jurisdictions, the length of time available to utilize the net operating loss carryforwards, and the recognition of taxable income in future periods from taxable temporary differences. At December 31, 2023 and December 31, 2022, the Company had a state deferred tax asset for net operating losses (“NOL”) of $8 million and $15 million, respectively (net of federal tax impact) which includes total state net operating loss carryforwards o f $185 million at December 31, 2023, that e xpire if unused in calendar years through 2033. In connection with our ongoing assessment of deferred taxes, we analyzed each state net operating loss separately, determined the amount of net operating loss available and estimated the amount which we expected to expire unused. Based on that assessment, we recorded a valuation allowance of $5 million at December 31, 2023 and 2022 to reduce the DTA to the amount which is more likely than not to be realized. The following table summarizes the Company’s income tax expense for the years ended December 31, 2023 , 2022 , and 2021: December 31, (in millions) 2023 2022 2021 Federal – current $ 156 $ 147 $ 188 State and local – current 59 32 35 Total current 215 179 223 Federal – deferred (137) (10) (28) State and local – deferred (49) 7 15 Total deferred (186) (3) (13) Income tax expense reported in net income 29 176 210 Income tax expense reported in stockholders’ equity related to: Securities available-for-sale 15 (223) (42) Pension liability adjustments 6 (6) 10 Cash flow hedge (14) 23 9 Total income taxes $ 36 $ (30) $ 187 The following table presents a reconciliation of statutory federal income tax expense (benefit) to combined actual income tax expense (benefit) reported in net income for the years ended December 31, 2023, 2022 , and 2021 : December 31, (in millions) 2023 2022 2021 Statutory federal income tax at 21% $ (10) $ 174 $ 169 State and local income taxes, net of federal income tax effect 8 31 40 Tax Exempt income $ (6) $ — $ — Non-taxable bargain gain (447) (33) — Non-deductible goodwill impairment $ 509 $ — $ — Non-deductible FDIC deposit insurance premiums 16 10 9 Effect of tax deductibility of deferred compensation $ (3) $ (3) $ (3) Non-taxable income and expense of BOLI (9) (7) (6) Non-deductible merger expenses $ — $ 3 $ 3 Non-deductible compensation expense 1 4 — Federal tax credits $ (31) $ (1) $ — Adjustments relating to prior tax years 2 (1) (1) Other, net (1) (1) (1) Total income tax expense $ 29 $ 176 $ 210 The Company invests in affordable housing projects through limited partnerships that generate federal Low Income Housing Tax Credits. The balances of these investments, which are included in “Other assets” in the Consolidated Statements of Condition, were $372 million and $304 million, respectively, at December 31, 2023 and 2022, and included commitments of $210 million and $183 million that are expected to be funded over the next 5 years. The Company elected to apply the proportional amortization method to these investments. Recognized in the determination of income tax (benefit) expense from operations for the years ended December 31, 2023 , 2022, and 2021 were $34 million , $11 million, and $9 million, respectively, of affordable housing tax credits and other tax benefits, and an offsetting $30 million, $10 million, and $9 million, respectively, for the amortization of the related investments. No impairment losses were recognized in relation to these investments for the years ended December 31, 2023 , 2022, and 2021. GAAP prescribes a recognition threshold and measurement attribute for use in connection with the obligation of a company to recognize, measure, present, and disclose in its financial statements uncertain tax positions that the Company has taken or expects to take on a tax return. As of December 31, 2023 and 2022, the Company had $42 million and $40 million of unrecognized gross tax benefits, respectively. Gross tax benefits do not reflect the federal tax effect associated with state tax amounts. The total amount of net unrecognized tax benefits at December 31, 2023 and 2022 that would have affected the effective tax rate, if recognized, was $34 million a nd $32 million, respectively. Interest and penalties (if any) related to the underpayment of income taxes are classified as a component of income tax expense in the Consolidated Statements of Income and Comprehensive Income. During the years ended December 31, 2023 , 2022, and 2021, the Company recognized income tax expense attributed to interest and penalties of $8 million , $4 million, and $4 million, respectively. Accrued interest and penalties on tax liabilities were $34 million and $26 million, respectively, at December 31, 2023 and 2022. The following table summarizes changes in the liability for unrecognized gross tax benefits for the years ended December 31, 2023, 2022 , and 2021 : December 31, (in millions) 2023 2022 2021 Uncertain tax positions at beginning of year $ 40 $ 39 $ 38 Additions for tax positions relating to current-year operations 1 1 2 Additions for tax positions relating to prior tax years 2 — 1 Subtractions for tax positions relating to prior tax years (1) — (2) Uncertain tax positions at end of year $ 42 $ 40 $ 39 The Company and its subsidiaries have filed tax returns in many states. The following are the more significant tax filings that are open for examination: • Federal tax filings for tax years 2019 through the present; • New York State tax filings for tax years 2010 through the present; • New York City tax filings for tax years 2011 through the present; and • New Jersey tax filings for tax years 2018 through the present. In addition to other state audits, the Company is currently under examination by the following taxing jurisdictions of significance to the Company: • Federal 2019-2020 • New York State for the tax years 2010 through 2016; and • New York City for the tax years 2011 and 2014. It is reasonably possible that there will be developments within the next twelve months that would necessitate an adjustment to the balance of unrecognized tax benefits, including decreases of up to $21 million due to completion of tax authorities’ exams and the expiration of statutes of limitations. The Bank is subject to a special federal tax provision regarding its frozen tax bad debt reserve. At December 31, 2023 , the Bank’s federal tax bad debt base-year reserve was $62 million , with a related federal deferred tax liability of $13 million |
Stock-Related Benefits Plans
Stock-Related Benefits Plans | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Related Benefits Plans | Stock-Related Benefits Plans Stock Based Compensation At December 31, 2023, the Company had a total of 16,143,893 shares available for grants as restricted stock, options, or other forms of related rights under the 2020 Incentive Plan, which includes the remaining shares available, converted at the merger conversion factor from the legacy Flagstar Bancorp, Inc. 2016 Stock Plan. The Company granted 9,995,495 shares of restricted stock, with an average fair value of $10.24 per share on the date of grant, during the year ended December 31, 2023. The shares of restricted stock that were granted during the year ended December 31, 2023 and 2022, vest over a one December 31, 2023, 2022 and 2021. The following table provides a summary of activity with regard to restricted stock awards (RSAs): Year Ended December 31, 2023 Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 9,576,602 $ 10.92 Granted 9,995,495 10.24 Vested (3,105,582) 10.99 Forfeited (1,292,574) 10.62 Unvested at end of period 15,173,941 $ 10.49 As of December 31, 2023, unrecognized compensation cost relating to unvested restricted stock totaled $119 million. This amount will be recognized over a remaining weighted average period of 2.7 years. The following table provides a summary of activity with regard to Performance-Based Restricted Stock Units ("PSUs") in the year ended December 31, 2023: Number of Weighted Performance Expected Outstanding at beginning of year 794,984 $ 10.73 Granted 566,656 8.95 Released (143,352) 10.34 Forfeited — — Outstanding at end of period 1,218,288 9.95 January 1, 2022 - December 31, 2025 March 31, 2023 - 2026 PSUs are subject to adjustment or forfeiture, based upon the achievement by the Company of certain performance standards. Compensation and benefits expense related to PSUs is recognized using the fair value as of the date the units were approved, on a straight-line basis over the vesting period and totaled $4 million, $3 million and $5 million for the for the years ended December 31, 2023, 2022 and 2021. As of December 31, 2023, unrecognized compensation cost relating to unvested restricted stock totaled $5 million. This amount will be recognized over a remaining weighted average period of 1.53 years. As of December 31, 2023, the Company believes it is probable that the performance conditions will be met. |
Derivative and Hedging Activiti
Derivative and Hedging Activities | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative and Hedging Activities | Derivative and Hedging Activities The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposure to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate and liquidity risks, primarily by managing the amount, sources, and duration of its assets and liabilities and, the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the payment of future known and uncertain cash amounts, the value of which are determined by interest rates. Derivative financial instruments are recorded at fair value in other assets and other liabilities on the Consolidated Statements of Condition. The Company's policy is to present our derivative assets and derivative liabilities on the Consolidated Statement of Condition on a gross basis, even when provisions allowing for set-off are in place. However, for derivative contracts cleared through certain central clearing parties, variation margin payments are recognized as settlements. We are exposed to non-performance risk by the counterparties to our various derivative financial instruments. A majority of our derivatives are centrally cleared through a Central Counterparty Clearing House or consist of residential mortgage interest rate lock commitments further limiting our exposure to non-performance risk. We believe that the non-performance risk inherent in our remaining derivative contracts is minimal based on credit standards and the collateral provisions of the derivative agreements. Derivatives not designated as hedging instruments. The Company maintains a derivative portfolio of interest rate swaps, foreign currency swaps, futures, swaptions and forward commitments used to manage exposure to changes in interest rates and MSR asset values and to meet the needs of customers. The Company also enters into interest rate lock commitments, which are commitments to originate mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. Market risk on interest rate lock commitments and mortgage LHFS is managed using corresponding forward sale commitments and US Treasury futures. Changes in the fair value of derivatives not designated as hedging instruments are recognized on the Consolidated Statements of Income and Comprehensive Income. Derivatives designated as hedging instruments . The Company has designated certain interest rate swaps as cash flow hedges on overnight SOFR-based variable interest payments on federal home loan bank advances. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income on the Consolidated Statements of Condition and reclassified into interest expense in the same period in which the hedged transaction is recognized in earnings. At December 31, 2023, the Company had $10 million (net-of-tax) of unrealized gains on derivatives classified as cash flow hedges recorded in accumulated other comprehensive loss. The Company had $52 million ( net-of-tax) of unrealized gains on derivatives classified as cash flow hedges recorded in accumulated other comprehensive loss at December 31, 2022. Derivatives that are designated in hedging relationships are assessed for effectiveness using regression analysis at inception and qualitatively thereafter, unless regression analysis is deemed necessary. All designated hedge relationships were, and are expected to be, highly effective as of December 31, 2023. Fair Value of Hedges of Interest Rate Risk The Company is exposed to changes in the fair value of certain of its fixed-rate assets due to changes in interest rates. The Company uses interest rate swaps to manage its exposure to changes in fair value on these instruments attributable to changes in the designated benchmark interest rate. Interest rate swaps designated as fair value hedges involve the payment of fixed-rate amounts to a counterparty in exchange for the Company receiving variable-rate payments over the life of the agreements without the exchange of the underlying notional amount. Such derivatives were used to hedge the changes in fair value of certain of its pools of prepayable fixed rate assets. For derivatives designated and that qualify as fair value hedges, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in interest income. The Company has interest rate swaps with a notional amounts of $2.0 billion to hedge certain multi-family loans using the portfolio layer method. For the year ended December 31, 2023, the floating rate received related to the net settlement of these interest rate swaps was greater than the fixed rate payments. As such, interest income from loans and leases in the accompanying Consolidated Statements of Income and Comprehensive Income was increased by $24 million for the year ended December 31, 2023 and decreased by $6 million for the year ended December 31, 2022, respectively. The fair value basis adjustment on our hedged real estate loans is included in loans and leases held for investment on our Consolidated Statements of Condition. The carrying amount of our hedged loans was $6.1 billion at December 31, 2023 , of which unrealized gains of $9 million were due to the fair value hedge relationship. We have designated $2.0 billion of this portfolio of loans in a hedging relationship as of December 31, 2023 . The following tables set forth information regarding the Company’s derivative financial instruments: December 31, 2023 Fair Value (in millions) Notional Amount Other Assets Other Liabilities Expiration Dates Derivatives designated as cash flow hedging instruments: Interest rate swaps on FHLB advances $ 5,500 $ — $ 2 2025-2028 Total 5,500 — 2 Derivatives designated as fair value hedging instruments: Interest rate swaps on multi-family loans held for investment $ 2,000 $ — $ 1 2025-2027 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 1,012 $ 11 $ — 2024 Rate lock commitments 1,490 12 — 2024 Interest rate swaps and swaptions 5,431 115 — 2024-2041 Total $ 7,933 $ 138 $ — Liabilities Futures $ 2,235 $ — $ 1 2024 Mortgage-backed securities forwards 1,048 $ — 32 2024 Rate lock commitments 77 — 3 2024 Interest rate swaps and swaptions 2,720 — 59 2024-2054 Total derivatives not designated as hedging instruments $ 6,080 $ — $ 95 December 31, 2022 Fair Value (in millions) Notional Amount Other Assets Other Liabilities Expiration Date Derivatives designated as cash flow hedging instruments: Interest rate swaps $ 3,750 $ 5 $ — 2023-2027 Total 3,750 5 — Derivatives not designated as hedging instruments: Assets Futures $ 1,205 $ 2 $ — 2023 Mortgage-backed securities forwards 1,065 36 — 2023 Rate lock commitments 1,539 9 — 2023 Interest rate swaps and swaptions 7,594 182 — 2023-2032 Total $ 11,403 $ 229 $ — Liabilities Mortgage-backed securities forwards $ 739 $ — $ 61 2023 Rate lock commitments 527 — 10 2023 Interest rate swaps and swaptions 2,445 — 65 2023-2053 Total derivatives not designated as hedging instruments $ 3,711 $ — $ 136 The following table presents the derivatives subject to a master netting agreement, including the cash pledged as collateral: December 31, 2023 Gross Amounts Not Offset in the Statements of Condition (in millions) Gross Amount Gross Amounts Netted in the Statements of Condition Net Amount Presented in the Statements of Condition Financial Instruments Cash Collateral Pledged (Received) Derivatives designated hedging instruments: Interest rate swaps on FHLB advances $ 2 $ — $ 2 $ — $ 75 Interest rate swaps on multi-family loans held for investment (1) $ 1 $ — $ 1 $ — $ 27 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 11 $ — $ 11 $ — $ (1) Interest rate swaptions 115 — 115 — (34) Total derivative assets $ 126 $ — $ 126 $ — $ (35) Liabilities Futures $ 1 $ — $ 1 $ — $ 3 Mortgage-backed securities forwards 32 — 32 — 57 Interest rate swaps (1) 59 — 59 — 42 Total derivative liabilities $ 92 $ — $ 92 $ — $ 102 (1) Variation margin pledged to, or received from, a Central Counterparty Clearing House to cover the prior days fair value of open positions is considered settlement of the derivative position for accounting purposes. The following table presents the derivatives subject to a master netting agreement, including the cash pledged as collateral: December 31, 2022 Gross Amounts Not Offset in the Statements of Condition (in millions) Gross Amount Gross Amounts Netted in the Statements of Condition Net Amount Presented in the Statements of Condition Financial Instruments Cash Collateral Pledged (Received) Derivatives designated hedging instruments: Interest rate swaps on FHLB advances $ 5 $ — $ 5 $ 4 $ 27 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 36 $ — $ 36 $ — $ (9) Interest rate swaptions 182 — 182 — (36) Futures 2 2 1 Total derivative assets $ 220 $ — $ 220 $ — $ (44) Liabilities Mortgage-backed securities forwards $ 61 $ — $ 61 $ — $ 54 Interest rate swaps (1) 65 — 65 — 29 Total derivative liabilities $ 126 $ — $ 126 $ — $ 83 (1) Variation margin pledged to, or received from, a Central Counterparty Clearing House to cover the prior days fair value of open positions is considered settlement of the derivative position for accounting purposes. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of amounts subject to variability caused by changes in interest rates from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Changes in the fair value of derivatives designated and that qualify as cash flow hedges are initially recorded in other comprehensive income and are subsequently reclassified into earnings in the period that the hedged transaction affects earnings. Interest rate swaps with notional amounts totaling $5.5 billion and $3.8 billion as of December 31, 2023 and December 31, 2022, were designated as cash flow hedges of certain FHLB borrowings. The following table presents the effect of the Company’s cash flow derivative instruments on AOCL: For the Years Ended December 31, (in millions) 2023 2022 2021 Amount of gain (loss) recognized in AOCL $ 9 $ 88 $ 8 Amount of reclassified from AOCL to interest expense $ (65) $ (4) $ 25 Amounts reported in AOCL related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate borrowings. During the next twelve months, additional interest expense reduction of $98 million is expected to be reclassified out of AOCL. Derivatives not Designated as Hedging Instruments The following table presents the net gain (loss) recognized in income on derivatives not designated as hedging instruments, net of the impact of offsetting positions: For the Years Ended December 31, (dollars in millions) 2023 2022 Derivatives not designated as hedging instruments Location of Gain (Loss) Futures Net return on mortgage servicing rights $ 1 $ (1) Interest rate swaps and swaptions Net return on mortgage servicing rights (34) (11) Mortgage-backed securities forwards Net return on mortgage servicing rights (15) (4) Rate lock commitments and US Treasury futures Net gain on loan sales 2 28 Forward commitments Other noninterest income — (1) Interest rate swaps (1) Other non-interest income (1) — Total derivative (loss) gain $ (47) $ 11 (1) Includes customer-initiated commercial interest rate swaps. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets Goodwill We record goodwill in our consolidated statements of condition in connection with certain of our business combinations. Goodwill, which is tested at least annually for impairment, refers to the difference between the purchase price and the fair value of an acquired company’s assets, net of the liabilities assumed. As of December 31, 2023, the Company identified a triggering event and applied a market approach using the end of day stock price. We evaluated those conditions known and knowable by the company and how a market participant would view the control premium as confirmed by the subsequent confirming market evidence. This adjusted market capitalization was then compared to the carrying value to determine the extent of the shortfall which was calculated to be in excess of the goodwill balance. The Company’s assessment concluded that goodwill from historical transactions (2007 and prior) was fully impaired as of December 31, 2023. As a result, the Company recorded an impairment charge of the entire goodwill balance of $2.4 billion. Goodwill and related changes in the carrying amount during the year ended December 31, 2023 are as follows: (in millions) Gross Carrying Amount Balance at December 31, 2022 $ 2,426 Impairment (2,426) Balance at December 31, 2023 $ — Finite-lived Intangible Assets As a result of the Signature Transaction, the Company recorded $464 million of core deposit intangible and other intangible assets that are amortizable. At December 31, 2023 , intangible assets consisted of the following: December 31, 2023 December 31, 2022 (in millions) Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value Core deposit intangible $ 700 $ (113) $ 587 $ 250 $ (4) $ 246 Other intangible assets 56 (18) 38 42 (1) 41 Total other intangible assets $ 756 $ (131) $ 625 $ 292 $ (5) $ 287 As of December 31, 2023 the weighted average amortization period for core deposit intangible and other intangible assets is 10 years and 5.1 years, respectively. The estimated amortization expense of CDI and other intangible assets for the next five years is as follows: (in millions) Amortization Expense 2024 $ 132 2025 107 2026 94 2027 81 2028 68 Total $ 482 |
Capital
Capital | 12 Months Ended |
Dec. 31, 2023 | |
Broker-Dealer [Abstract] | |
Capital | Capital The Bank is subject to regulation, examination, and supervision by the OCC and the Federal Reserve (the “Regulators”). The Bank is also governed by numerous federal and state laws and regulations, including the FDIC Improvement Act of 1991, which established five categories of capital adequacy ranging from “well capitalized” to “critically undercapitalized.” Such classifications are used by the FDIC to determine various matters, including prompt corrective action and each institution’s FDIC deposit insurance premium assessments. Capital amounts and classifications are also subject to the Regulators’ qualitative judgments about the components of capital and risk weightings, among other factors. The quantitative measures established to ensure capital adequacy require that banks maintain minimum amounts and ratios of leverage capital to average assets and of common equity tier 1 capital, tier 1 capital, and total capital to risk-weighted assets (as such measures are defined in the regulations). At December 31, 2023, our capital measures continued to exceed the minimum federal requirements for a bank holding company and for a bank. The following tables sets forth our common equity tier 1, tier 1 risk-based, total risk-based, and leverage capital amounts and ratios on a consolidated basis and for the Bank on a stand-alone basis, as well as the respective minimum regulatory capital requirements, at that date: The following table presents the actual capital amounts and ratios for the Company: Risk-Based Capital December 31, 2023 Common Equity Tier 1 Tier 1 Total Leverage Capital (dollars in millions) Amount Ratio Amount Ratio Amount Ratio Amount Ratio Total capital $ 8,009 9.05 % $ 8,512 9.62 % $ 10,415 11.77 % $ 8,512 7.75 % Minimum for capital adequacy purposes 3,983 4.50 5,310 6.00 7,081 8.00 4,392 4.00 Excess $ 4,026 4.55 % $ 3,202 3.62 % $ 3,334 3.77 % $ 4,120 3.75 % December 31, 2022 Total capital $ 6,335 9.06 % $ 6,838 9.78 % $ 8,154 11.66 % $ 6,838 9.70 % Minimum for capital adequacy purposes 3,146 4.50 4,195 6.00 5,593 8.00 2,819 4.00 Excess $ 3,189 4.56 % $ 2,643 3.78 % $ 2,561 3.66 % $ 4,019 5.70 % The following table presents the actual capital amounts and ratios for the Bank: Risk-Based Capital December 31, 2023 Common Equity Tier 1 Tier 1 Total Leverage Capital (dollars in millions) Amount Ratio Amount Ratio Amount Ratio Amount Ratio Total capital $ 9,305 10.52 % $ 9,305 10.52 % $ 10,271 11.61 % $ 9,305 8.48 % Minimum for capital adequacy purposes 3,980 4.50 5,307 6.00 7,076 8.00 4,389 4.00 Excess $ 5,325 6.02 % $ 3,998 4.52 % $ 3,195 3.61 % $ 4,916 4.48 % December 31, 2022 Total capital $ 7,653 10.96 % $ 7,653 10.96 % $ 7,982 11.43 % $ 7,653 10.87 % Minimum for capital adequacy purposes 3,142 4.50 4,189 6.00 5,585 8.00 2,817 4.00 Excess $ 4,511 6.46 % $ 3,464 4.96 % $ 2,397 3.43 % $ 4,836 6.87 % At December 31, 2023, our total risk-based capital ratio exceeded the minimum requirement for capital adequacy purposes by 377 basis points and the fully phased-in capital conservation buffer by 127 basis points. The Bank also exceeded the minimum capital requirements to be categorized as “Well Capitalized.” To be categorized as well capitalized, a bank must maintain a minimum common equity tier 1 ratio of 6.50 percent; a minimum tier 1 risk-based capital ratio of 8 percent; a minimum total risk-based capital ratio of 10 percent; and a minimum leverage capital ratio of 5 percent. Preferred Stock On March 17, 2017, the Company issued 20,600,000 depositary shares, each representing a 1/40th interest in a share of the Company’s Fixed-to-Floating Rate Series A Noncumulative Perpetual Preferred Stock, par value $0.01 per share, with a liquidation preference of $1.00 per share (equivalent to $25 per depositary share). Dividends will accrue on the depositary shares at a fixed rate equal to 6.375 percent per annum until March 17, 2027, and a floating rate equal to Three-month LIBOR plus 382.1 basis points per annum beginning on March 17, 2027. Dividends will be payable in arrears on March 17, June 17, September 17, and December 17 of each year, which commenced on June 17, 2017. Treasury Stock Repurchases On October 23, 2018, the Board of Directors approved the repurchase of up to $300 million of the Company’s outstanding common stock. As of December 31, 2023, the Company has repurchased a total of 30 million shares at an average price of $9.61 or an aggregate purchase of $286 million. The Company had no repurchases during 2023. During the year ended December 31, 2022, the Company repurchased 871,710 shares, at a cost of $8 million. |
Fair Value Measures
Fair Value Measures | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measures | Fair Value Measures GAAP sets forth a definition of fair value, establishes a consistent framework for measuring fair value, and requires disclosure for each major asset and liability category measured at fair value on either a recurring or non-recurring basis. GAAP also clarifies that fair value is an “exit” price, representing the amount that would be received when selling an asset, or paid when transferring a liability, in an orderly transaction between market participants. Fair value is thus a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, GAAP establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: • Level 1 – Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. • Level 2 – Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. • Level 3 – Inputs to the valuation methodology are significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants use in pricing an asset or liability. • A financial instrument’s categorization within this valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following tables present assets and liabilities that were measured at fair value on a recurring basis as of December 31, 2023 and December 31, 2022, and that were included in the Company’s Consolidated Statements of Condition at those dates: December 31, 2023 (in millions) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Netting Adjustments Total Fair Value Assets: Mortgage-related Debt Securities Available for Sale: GSE certificates $ — $ 1,221 $ — $ — $ 1,221 GSE CMOs — 5,162 — — 5,162 Private Label CMOs — 148 32 — 180 Total mortgage-related debt securities $ — $ 6,531 $ 32 $ — $ 6,563 Other Debt Securities Available for Sale: U. S. Treasury obligations $ 198 $ — $ — $ — $ 198 GSE debentures — 1,609 — — 1,609 Asset-backed securities — 302 — — 302 Municipal bonds — 6 — — 6 Corporate bonds — 343 — — 343 Foreign notes — 34 — — 34 Capital trust notes — 90 — — 90 Total other debt securities $ 198 $ 2,384 $ — $ — $ 2,582 Total debt securities available for sale $ 198 $ 8,915 $ 32 $ — $ 9,145 Equity securities: Mutual funds and common stock — 14 — — 14 Total equity securities — 14 — — 14 Total securities $ 198 $ 8,929 $ 32 $ — $ 9,159 Loans held-for-sale Residential first mortgage loans $ — $ 770 $ — $ — $ 770 Acquisition, development, and construction — 123 — — 123 Commercial and industrial loans — — 9 — — 9 Derivative assets Interest rate swaps and swaptions — 115 — — 115 Futures — — — — — Rate lock commitments (fallout-adjusted) — — 12 — 12 Mortgage-backed securities forwards — 11 — — 11 Mortgage servicing rights — — 1,111 — 1,111 Total assets at fair value $ 198 $ 9,957 $ 1,155 $ — $ 11,310 Derivative liabilities Mortgage-backed securities forwards — 32 — — 32 Futures — 1 — — 1 Interest rate swaps and swaptions — 59 — — 59 Rate lock commitments (fallout-adjusted) — — 3 — 3 Total liabilities at fair value $ — $ 92 $ 3 $ — $ 95 December 31, 2022 (in millions) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Netting Adjustments Total Fair Value Assets: Mortgage-related Debt Securities Available for Sale: GSE certificates $ — $ 1,297 $ — $ — $ 1,297 GSE CMOs — 3,301 — — 3,301 Private Label CMOs — 191 — — 191 Total mortgage-related debt securities $ — $ 4,789 $ — $ — $ 4,789 Other Debt Securities Available for Sale: U. S. Treasury obligations $ 1,487 $ — $ — $ — $ 1,487 GSE debentures — 1,398 — — 1,398 Asset-backed securities — 361 — — 361 Municipal bonds — 30 — — 30 Corporate bonds — 885 — — 885 Foreign notes — 20 — — 20 Capital trust notes — 90 — — 90 Total other debt securities $ 1,487 $ 2,784 $ — $ — $ 4,271 Total debt securities available for sale $ 1,487 $ 7,573 $ — $ — $ 9,060 Equity securities: Mutual funds and common stock — 14 — — 14 Total equity securities — 14 — — 14 Total securities $ 1,487 $ 7,587 $ — $ — $ 9,074 Loans held-for-sale Residential first mortgage loans $ — $ 1,115 $ — $ — $ 1,115 Derivative assets Interest rate swaps and swaptions — 182 — — 182 Futures — 2 — — 2 Rate lock commitments (fallout-adjusted) — — 9 — 9 Mortgage-backed securities forwards — 36 — — 36 Mortgage servicing rights — — 1,033 — 1,033 Total assets at fair value $ 1,487 $ 8,922 $ 1,042 $ — $ 11,451 Derivative liabilities Mortgage-backed securities forwards — 61 — — 61 Interest rate swaps and swaptions — 65 — — 65 Rate lock commitments (fallout-adjusted) — — 10 — 10 Total liabilities at fair value $ — $ 126 $ 10 $ — $ 136 The Company reviews and updates the fair value hierarchy classifications for its assets on a quarterly basis. Changes from one quarter to the next that are related to the observability of inputs for a fair value measurement may result in a reclassification from one hierarchy level to another. A description of the methods and significant assumptions utilized in estimating the fair values of securities follows: Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. Level 1 securities include highly liquid government securities and exchange-traded securities. If quoted market prices are not available for a specific security, then fair values are estimated by using pricing models. These pricing models primarily use market-based or independently sourced market parameters as inputs, including, but not limited to, yield curves, interest rates, equity or debt prices, and credit spreads. In addition to observable market information, models incorporate transaction details such as maturity and cash flow assumptions. Securities valued in this manner would generally be classified within Level 2 of the valuation hierarchy, and primarily include such instruments as mortgage-related and corporate debt securities. Periodically, the Company uses fair values supplied by independent pricing services to corroborate the fair values derived from the pricing models. In addition, the Company reviews the fair values supplied by independent pricing services, as well as their underlying pricing methodologies, for reasonableness. The Company challenges pricing service valuations that appear to be unusual or unexpected. While the Company believes its valuation methods are appropriate, and consistent with those of other market participants, the use of different methodologies or assumptions to determine the fair values of certain financial instruments could result in different estimates of fair values at a reporting date. Fair Value Measurements Using Significant Unobservable Inputs The following tables include a roll forward of the Consolidated Statements of Condition amounts (including the change in fair value) for financial instruments classified by us within Level 3 of the valuation hierarchy: (dollars in millions) Balance at Beginning of Year Total Gains / (Losses) Recorded in Earnings (1) Purchases / Originations Sales Settlement Transfers In (Out) Balance at End of Year Year Ended December 31, 2023 Assets Mortgage servicing rights (1) $ 1,033 $ (79) $ 208 $ (51) — — $ 1,111 Private Label CMOs — — — — — 32 32 Rate lock commitments (net) (1)(2) (1) (49) 104 — — (45) 9 Totals $ 1,032 $ (128) $ 312 $ (51) $ — $ (13) $ 1,152 (1) We utilized swaptions, futures, forward agency and loan sales and interest rate swaps to manage the risk associated with mortgage servicing rights and rate lock commitments. Gains and losses for individual lines do not reflect the effect of our risk management activities related to such Level 3 instruments. (2) Rate lock commitments are reported on a fallout-adjusted basis. Transfers out of Level 3 represent the settlement value of the commitments that are transferred to LHFS, which are classified as Level 2 assets. The following tables present the quantitative information about recurring Level 3 fair value financial instruments and the fair value measurements as of December 31, 2023: Fair Value Valuation Technique Unobservable Input (1) Range (dollars in millions) Assets Mortgage servicing rights $1,111 Discounted cash flows Option adjusted spread 5.0% - 21.7% 5.4% Constant prepayment rate 0.0% - 10.0% 7.9% Weighted average cost to service per loan $65.0 - $90.0 $69.0 Private Label CMOs $32 Discounted cash flows Constant default rates 0.10% - 0.30% Weighted average life 8.2 - 11.8 Rate lock commitments (net) $9 Consensus pricing Origination pull-through rate 64.30% (1) Unobservable inputs were weighted by their relative fair value of the instruments. Assets Measured at Fair Value on a Non-Recurring Basis Certain assets are measured at fair value on a non-recurring basis. Such instruments are subject to fair value adjustments under certain circumstances (e.g., when there is evidence of impairment). The following tables present assets that were measured at fair value on a non-recurring basis as of December 31, 2023 and December 31, 2022, and that were included in the Company’s Consolidated Statements of Condition at those dates: Fair Value Measurements at December 31, 2023 Using (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Fair Value Certain impaired loans (1) $ — $ — $ 197 $ 197 Other assets (2) — — 50 50 Total $ — $ — $ 247 $ 247 (1) Represents the fair value of impaired loans, based on the value of the collateral. (2) Represents the fair value of repossessed assets, based on the appraised value of the collateral subsequent to its initial classification as repossessed assets and equity securities without readily determinable fair values. These equity securities are classified as Level 3 due to the infrequency of the observable prices and/or the restrictions on the shares. Fair Value Measurements at December 31, 2022 Using (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Fair Value Certain impaired loans (1) $ — $ — $ 28 $ 28 Other assets (2) — — 41 41 Total $ — $ — $ 69 $ 69 (1) Represents the fair value of impaired loans, based on the value of the collateral. (2) Represents the fair value of repossessed assets, based on the appraised value of the collateral subsequent to its initial classification as repossessed assets and equity securities without readily determinable fair values. These equity securities are classified as Level 3 due to the infrequency of the observable prices and/or the restrictions on the shares. The fair values of collateral-dependent impaired loans are determined using various valuation techniques, including consideration of appraised values and other pertinent real estate and other market data. Other Fair Value Disclosures For the disclosure of fair value information about the Company’s on- and off-balance sheet financial instruments, when available, quoted market prices are used as the measure of fair value. In cases where quoted market prices are not available, fair values are based on present-value estimates or other valuation techniques. Such fair values are significantly affected by the assumptions used, the timing of future cash flows, and the discount rate. Because assumptions are inherently subjective in nature, estimated fair values cannot be substantiated by comparison to independent market quotes. Furthermore, in many cases, the estimated fair values provided would not necessarily be realized in an immediate sale or settlement of such instruments. The following tables summarize the carrying values, estimated fair values, and fair value measurement levels of financial instruments that were not carried at fair value on the Company’s Consolidated Statements of Condition at December 31, 2023 and December 31, 2022: December 31, 2023 Fair Value Measurement Using (in millions) Carrying Value Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets: Cash and cash equivalents $ 11,475 $ 11,475 $ 11,475 $ — $ — FHLB and FRB stock (1) $ 1,392 $ 1,392 $ — $ 1,392 $ — Loans and leases held for investment, net $ 83,627 $ 79,333 $ — $ — $ 79,333 Financial Liabilities: Deposits $ 81,526 $ 81,247 $ 59,972 (2) $ 21,275 (3) $ — Borrowed funds $ 21,267 $ 21,082 $ — $ 21,082 $ — (1) Carrying value and estimated fair value are at cost. (2) Interest-bearing checking and money market accounts, savings accounts, and non-interest-bearing accounts. (3) Certificates of deposit. December 31, 2022 Fair Value Measurement Using (in millions) Carrying Value Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets: Cash and cash equivalents $ 2,032 $ 2,032 $ 2,032 $ — $ — FHLB and FRB stock (1) $ 1,267 $ 1,267 $ — $ 1,267 $ — Loans and leases held for investment, net $ 68,608 $ 65,673 $ — $ — $ 65,673 Financial Liabilities: Deposits $ 58,721 $ 58,479 $ 46,211 (2) $ 12,268 (3) $ — Borrowed funds $ 21,332 $ 21,231 $ — $ 21,231 — (1) Carrying value and estimated fair value are at cost. (2) Interest-bearing checking and money market accounts, savings accounts, and non-interest-bearing accounts. (3) Certificates of deposit. The methods and significant assumptions used to estimate fair values for the Company’s financial instruments follow: Cash and Cash Equivalents Cash and cash equivalents include cash and due from banks and federal funds sold. The estimated fair values of cash and cash equivalents are assumed to equal their carrying values, as these financial instruments are either due on demand or have short-term maturities. Securities If quoted market prices are not available for a specific security, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. These pricing models primarily use market-based or independently sourced market parameters as inputs, including, but not limited to, yield curves, interest rates, equity or debt prices, and credit spreads. In addition to observable market information, pricing models also incorporate transaction details such as maturities and cash flow assumptions. Federal Home Loan Bank Stock Ownership in equity securities of the FHLB is generally restricted and there is no established liquid market for their resale. The carrying amount approximates the fair value. Loans and leases The Company discloses the fair value of loans measured at amortized cost using an exit price notion. The Company determined the fair value on substantially all of its loans for disclosure purposes, on an individual loan basis. The discount rates reflect current market rates for loans with similar terms to borrowers having similar credit quality on an exit price basis. For those loans where a discounted cash flow technique was not considered reliable, the Company used a quoted market price for each individual loan. MSRs The significant unobservable inputs used in the fair value measurement of the MSRs are option adjusted spreads, prepayment rates and cost to service. Significant increases (decreases) in all three assumptions in isolation result in a significantly lower (higher) fair value measurement. Weighted average life (in years) is used to determine the change in fair value of MSRs. For December 31, 2023, the weighted average life (in years) for the entire portfolio was 6.83. Rate lock commitments The significant unobservable input used in the fair value measurement of the rate lock commitments is the pull through rate. The pull through rate is a statistical analysis of our actual rate lock fallout history to determine the sensitivity of the residential mortgage loan pipeline compared to interest rate changes and other deterministic values. New market prices are applied based on updated loan characteristics and new fallout ratios (i.e. the inverse of the pull through rate) are applied accordingly. Significant increases (decreases) in the pull through rate in isolation result in a significantly higher (lower) fair value measurement. Deposits The fair values of deposit liabilities with no stated maturity (i.e., interest-bearing checking and money market accounts, savings accounts, and non-interest-bearing accounts) are equal to the carrying amounts payable on demand. The fair values of CDs represent contractual cash flows, discounted using interest rates currently offered on deposits with similar characteristics and remaining maturities. These estimated fair values do not include the intangible value of core deposit relationships, which comprise a portion of the Company’s deposit base. Borrowed Funds The estimated fair value of borrowed funds is based either on bid quotations received from securities dealers or the discounted value of contractual cash flows with interest rates currently in effect for borrowed funds with similar maturities and structures. Off-Balance Sheet Financial Instruments The fair values of commitments to extend credit and unadvanced lines of credit are estimated based on an analysis of the interest rates and fees currently charged to enter into similar transactions, considering the remaining terms of the commitments and the creditworthiness of the potential borrowers. The estimated fair values of such off-balance sheet financial instruments were insignificant at December 31, 2023 and December 31, 2022. Fair Value Option We elected the fair value option for certain items as discussed throughout the Notes to the Consolidated Financial Statements to more closely align the accounting method with the underlying economic exposure. Interest income on LHFS is accrued on the principal outstanding primarily using the "simple-interest" method. The following table reflects the change in fair value included in earnings of financial instruments for which the fair value option has been elected: For the Years Ended December 31, (dollars in millions) 2023 2022 Assets Loans held-for-sale Net gain on loan sales $ 43 $ 8 The following table reflects the difference between the aggregate fair value and aggregate remaining contractual principal balance outstanding for assets and liabilities for which the fair value option has been elected: December 31, 2023 (dollars in millions) Unpaid Principal Balance Fair Value Fair Value Over / (Under) UPB Assets: Nonaccrual loans: Loans held-for-sale $ 2 $ 2 $ — Total non-accrual loans $ 2 $ 2 $ — Other performing loans: Loans held-for-sale $ 869 $ 894 $ 25 Total other performing loans $ 869 $ 894 $ 25 Total loans: Loans held-for-sale $ 871 $ 896 $ 25 Total loans $ 871 $ 896 $ 25 December 31, 2022 (dollars in millions) Unpaid Principal Balance Fair Value Fair Value Over / (Under) UPB Assets: Other performing loans: Loans held-for-sale $ 1,095 $ 1,115 $ 20 Total other performing loans $ 1,095 $ 1,115 $ 20 Total loans: Loans held-for-sale $ 1,095 $ 1,115 $ 20 Total loans $ 1,095 $ 1,115 $ 20 |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Employee Benefits | Employee Benefits Retirement Plan The New York Community Bancorp, Inc. Retirement Plan (the “Retirement Plan”) covers substantially all employees who had attained minimum age, service, and employment status requirements prior to the date when the individual plans were frozen by the banks of origin. Once frozen, the individual plans ceased to accrue additional benefits, service, and compensation factors, and became closed to employees who would otherwise have met eligibility requirements after the “freeze” date. The following table sets forth certain information regarding the Retirement Plan as of the dates indicated: December 31, (in millions) 2023 2022 Change in Benefit Obligation: Benefit obligation at beginning of year $ 116 $ 158 Interest cost 5 4 Actuarial gain 2 (38) Annuity payments (7) (7) Settlements (1) (1) Benefit obligation at end of year $ 115 $ 116 Change in Plan Assets: Fair value of assets at beginning of year $ 228 $ 283 Actual return (loss) on plan assets 33 (47) Annuity payments (7) (7) Settlements (1) (1) Fair value of assets at end of year $ 253 $ 228 Funded status (included in “Other assets”) $ 138 $ 112 Changes recognized in other comprehensive income for the year ended December 31: Amortization of actuarial loss $ (7) $ (2) Net actuarial (gain) loss arising during the year (18) 26 Total recognized in other comprehensive income for the year (pre-tax) $ (25) $ 24 Accumulated other comprehensive loss (pre-tax) not yet recognized in net periodic benefit cost at December 31: Actuarial loss, net $ 41 $ 66 Total accumulated other comprehensive loss (pre-tax) $ 41 $ 66 In 2024 $3 million of unrecognized net actuarial loss for the Retirement Plan will be amortized from AOCL into net periodic benefit cost, respectively. The comparable amount recognized as net actuarial loss for the Retirement Plan in 2023 was $7 million and no prior service cost was amortized in 2022. The discount rates used to determine the benefit obligation at December 31, 2023 and 2022 were 4.7 percent and 4.9 percent, respectively. The discount rate reflects rates at which the benefit obligation could be effectively settled. To determine this rate, the Company considers rates of return on high-quality fixed-income investments that are currently available and are expected to be available during the period until the pension benefits are paid. The expected future payments are discounted based on a portfolio of high-quality rated bonds (AA or better) for which the Company relies on the Financial Times Stock Exchange (“FTSE”) Pension Liability Index that is published as of the measurement date. The components of net periodic pension (credit) expense were as follows for the years indicated: Years Ended December 31, (in millions) 2023 2022 2021 Components of net periodic pension expense (credit): Interest cost $ 5 $ 4 $ 4 Expected return on plan assets (14) (16) (16) Amortization of net actuarial loss 7 2 7 Net periodic pension credit $ (2) $ (10) $ (5) The following table indicates the weighted average assumptions used in determining the net periodic benefit cost for the years indicated: Years Ended December 31, 2023 2022 2021 Discount rate 4.9 % 2.6 % 2.2 % Expected rate of return on plan assets 6.3 6.0 6.3 The primary long-term objective for the Plan is to maintain assets at a level that will sufficiently cover future beneficiary obligations. A secondary long-term objective is to achieve long-term growth in assets. The Plan will be structured to include a volatility reducing component (the fixed income commitment) and a growth component (the equity commitment). To achieve the Companies (in this context, the "Plan Sponsor") long-term investment objectives, the Trustee will invest the assets of the Plan in a diversified combination of asset classes, investment strategies, and pooled vehicles. The asset allocation guidelines in the table below reflect the plan sponsor’s risk tolerance and long-term objectives for the Plan. These parameters will be reviewed on a regular basis and subject to change following discussions between the plan sponsor and the Trustee. Initially, the following asset allocation targets and ranges will guide the Trustee in structuring the overall allocation in the Plan’s investment portfolio. The plan sponsor or the Trustee may amend these allocations to reflect the most appropriate standards consistent with changing circumstances. Any such fundamental amendments in strategy will be discussed between the plan sponsor and the Trustee prior to implementation. Based on the above considerations, the following asset allocation ranges will be implemented: Asset Allocation Parameters by Asset Class Equity Minimum Target Maximum U.S. Large-Cap 27% U.S. Mid-Cap 7% U.S. Small-Cap 7% Non-U.S. 14% Total - Equity 45% 55% 65% Total - Fixed Income/Cash Equivalents 35% 45% 55% The parameters for each asset class provide the Trustee with the latitude for managing the Plan within a minimum and maximum range. The Trustee will have full discretion to buy, sell, invest and reinvest in these asset segments based on these guidelines which includes allowing the underlying investments to fluctuate within the stated policy ranges. The Plan will maintain a cash equivalents component (not to exceed 3 percent under normal circumstances) within the fixed income allocation for liquidity purposes. The Trustee will monitor the actual asset segment exposures of the Plan on a regular basis and, periodically, may adjust the asset allocation within the ranges set forth above as it deems appropriate. Periodic reallocation of assets will be based on the Trustee’s perception of the changing risk/return opportunities of the respective asset classes. The following table presents information about the fair value measurements of the investments held by the Retirement Plan as of December 31, 2023 : (in millions) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Equity: Large-cap value (1) $ 12 $ 12 $ — $ — Large-cap growth (2) 22 22 — — Large-cap core (3) 17 17 — — Mid-cap core (4) 15 15 — — Small-cap core (5) 16 16 — — International growth (6) 18 18 — — International value (7) 10 10 — — Fixed Income Funds: Intermediate - Core Plus (8) 98 98 — — Equity Securities: Company common stock 31 31 — — Common/Collective Trusts-Equity: Large cap value (9) 13 — 13 — Cash Equivalents: Money market (10) 1 1 — $ 253 $ 240 $ 13 $ — (1) This category consists of a mutual fund holding 100-160 stocks, designed to track and outperform the Russell 1000 Value Index. (2) This category consists of two mutual funds which invest primarily in large-cap U.S. - based growth companies, one concentrating on long-term capital growth, the other in long-term capital appreciation and current income. (3) This category contains stocks of the S&P 500 Index. The stocks are maintained in approximately the same weightings as the index. (4) This category contains stocks of the CRSP U.S. Mid Cap Index, a broadly diversified index of stocks of medium-size U.S. companies. The stocks are maintained. (5) This category seeks long-term capital appreciation through investment primarily in common stock of small-capitalization companies, with similar risk levels and characteristics to the Russell 2000 Index. (6) This category consists of investments with long-term growth potential located primarily in Europe, the Pacific Basin, and other developed and emerging markets. (7) This category invests primarily in medium to large well-established non-US companies. Under normal circumstances, at least 80 percent of total assets will be invested in equity securities, including common stocks, preferred stocks, and convertible securities. (8) This category currently includes equal investments in four mutual funds, seeking to outperform the Bloomberg Barclays U.S. Aggregate Bond Index. Two of the funds hold at least 80 percent in investment grade fixed-income securities while one other holds at least 65 percent; the fourth fund targets investments of 50 percent or more in mortgage-backed securities guaranteed by the US government and its agencies. (9) This category contains large-cap stocks with above-average yield. The portfolio typically holds between 60 and 70 stocks. (10) This category consists of a money market fund and is used for liquidity purposes. Current Asset Allocation The asset allocations for the Retirement Plan were as follows: December 31, 2023 2022 Equity securities 61 % 60 % Debt securities 39 % 38 % Cash equivalents — % 2 % Total 100 % 100 % Determination of Long-Term Rate of Return The long-term rate of return on Retirement Plan assets assumption was based on historical returns earned by equities and fixed income securities, and adjusted to reflect expectations of future returns as applied to the Retirement Plan’s target allocation of asset classes. Equities and fixed income securities were assumed to earn long-term rates of return in the ranges of 6 percent to 8 percent and 3 percent to 5 percent, respectively, with an assumed long-term inflation rate of 2.5 percent reflected within these ranges. When these overall return expectations are applied to the Retirement Plan’s target allocations, the result is an expected rate of return of 5 percent to 7 percent. Expected Contributions The Company does not expect to contribute to the Retirement Plan in 2023. Expected Future Annuity Payments The following annuity payments, which reflect expected future service, as appropriate, are expected to be paid by the Retirement Plan during the years indicated: (in millions) 2024 $ 8 2025 8 2026 8 2027 8 2028 8 2029 and thereafter 43 Total $ 83 Qualified Savings Plan (401(k) Plan) The Company maintains a defined contribution qualified savings plan in the form of a 401(k) plan in which all salaried employees are able to participate after one month of service and having attained age 21. The Company instituted a safe harbor matching contribution program during the year ended December 31, 2020, and accordingly, the Company matches a portion of employee 401(k) plan contributions. Such expense totaled $21 million and $7 million for the year ended December 31, 2023 and 2022 , respectively. Flagstar also maintains a defined contribution qualified savings plan in the form of a 401(k) plan in which certain employees are able to participate. Post-Retirement Health and Welfare Benefits The Company offers certain post-retirement benefits, including medical, dental, and life insurance (the “Health & Welfare Plan”) to retired employees, depending on age and years of service at the time of retirement. The costs of such benefits are accrued during the years that an employee renders the necessary service. The Health & Welfare Plan is an unfunded plan and is not expected to hold assets for investment at any time. Any contributions made to the Health & Welfare Plan are used to immediately pay plan premiums and claims as they come due. The following table sets forth certain information regarding the Health & Welfare Plan as of the dates indicated: December 31, (in millions) 2023 2022 Change in benefit obligation: Benefit obligation at beginning of year $ 7 $ 10 Interest cost 1 — Actuarial gain 1 (2) Premiums and claims paid (1) (1) Benefit obligation at end of year $ 8 $ 7 Change in plan assets: Fair value of assets at beginning of year $ — $ — Employer contribution 1 1 Premiums and claims paid (1) (1) Fair value of assets at end of year $ — $ — Funded status (included in “Other liabilities”) $ (8) $ (7) Changes recognized in other comprehensive income for the year ended December 31: Amortization of prior service cost — Amortization of actuarial gain — Net actuarial (gain) loss arising during the year 1 (2) Total recognized in other comprehensive income for the year (pre-tax) $ 1 $ (2) Accumulated other comprehensive (gain) loss (pre-tax) not yet recognized in net periodic benefit cost at December 31: Prior service cost — Actuarial (gain) loss, net (1) (2) Total accumulated other comprehensive income (pre-tax) $ (1) $ (2) The discount rates used in the preceding table were 4.6 percent at December 31, 2023 and 4.8 percent at December 31, 2022. The estimated net actuarial loss and the prior service liability that will be amortized from AOCL into net periodic benefit cost in 2024 are less than $1 million, respectively. The net periodic benefit costs and all components thereof for the years-ended December 31, 2023 and 2022 were less than $1 million. The following table presents the weighted average assumptions used in determining the net periodic benefit cost for the years indicated: Years Ended December 31, 2023 2022 2021 Discount rate 4.8% 2.3% 2.0% Current medical trend rate 6.5 6.5 6.5 Ultimate trend rate 5.0 5.0 5.0 Year when ultimate trend rate will be reached 2029 2028 2027 Expected Contributions The Company expects to contribute $1 million to the Health & Welfare Plan to pay premiums and claims in the fiscal year ending December 31, 2023 . Expected Future Payments for Premiums and Claims The following amounts are currently expected to be paid for premiums and claims during the years indicated under the Health & Welfare Plan: (in millions) 2024 $ 1 2025 1 2026 1 2027 1 2028 1 2029 and thereafter 2 Total $ 7 |
Commitment and Contingencies
Commitment and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Pledged Assets The Company pledges securities to serve as collateral for its repurchase agreements, among other purposes. We had pledged investment securities of $2.8 billion and $434 million at December 31, 2023 and December 31, 2022, respectively. In addition, the Company had $43.1 billion and $44.5 billion of loans pledged to the FHLB-NY to serve as collateral for its wholesale borrowings at the respective year-ends. Loan Commitments and Letters of Credit In the normal course of business, we have various commitments outstanding which are not included on our Consolidated Statements of Financial Condition. The majority of the outstanding loan commitments were expected to close within 90 days. The following table summarizes the Company’s off-balance sheet commitments to originate loans and letters of credit: December 31, (in millions) 2023 2022 Multi-family and commercial real estate $ 52 $ 216 One-to-four family including interest rate locks 1,694 2,066 Acquisition, development, and construction 3,926 3,539 Warehouse loan commitments 7,074 8,042 Other loan commitments 11,315 7,964 Total loan commitments $ 24,061 $ 21,827 Commercial, performance stand-by, and financial stand-by letters of credit 915 541 Total commitments $ 24,976 $ 22,368 Financial Guarantees The Company provides guarantees and indemnifications to its customers to enable them to complete a variety of business transactions and to enhance their credit standings. These guarantees are recorded at their respective fair values in “Other liabilities” in the Consolidated Statements of Condition. The Company deems the fair value of the guarantees to equal the consideration received. The following table summarizes the Company’s guarantees and indemnifications at December 31, 2023: (in millions) Expires Within One Year Expires After One Year Total Outstanding Amount Maximum Potential Amount of Future Payments Financial stand-by letters of credit $ 254 $ 288 $ 542 $ 639 Performance stand-by letters of credit 100 2 102 102 Commercial letters of credit 3 — 3 174 Total letters of credit $ 357 $ 290 $ 647 $ 915 The maximum potential amount of future payments represents the notional amounts that could be funded under the guarantees and indemnifications if there were a total default by the guaranteed parties or if indemnification provisions were triggered, as applicable, without consideration of possible recoveries under recourse provisions or from collateral held or pledged. The Company collects fees upon the issuance of commercial and stand-by letters of credit. Stand-by letters of credit fees are initially recorded by the Company as a liability and are recognized as income periodically through the respective expiration dates. Fees for commercial letters of credit are collected and recognized as income at the time that they are issued and upon payment of each set of documents presented. In addition, the Company requires adequate collateral, typically in the form of cash, real property, and/or personal guarantees upon its issuance of irrevocable stand-by letters of credit. Commercial letters of credit are primarily secured by the goods being purchased in the underlying transaction and are also personally guaranteed by the owner(s) of the applicant company. At December 31, 2023, the Company had no commitments to purchase securities. Legal Proceedings |
Parent Company-Only Financial I
Parent Company-Only Financial Information | 12 Months Ended |
Dec. 31, 2023 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company-Only Financial Information | Parent Company-Only Financial Information The following tables present the condensed financial statements for New York Community Bancorp, Inc. (Parent Company only): Condensed Statements of Condition December 31, (in millions) 2023 2022 ASSETS: Cash and cash equivalents $ 158 $ 121 Investments in subsidiaries 9,160 9,633 Other assets 80 85 Total assets $ 9,398 $ 9,839 LIABILITIES AND STOCKHOLDERS’ EQUITY: Junior subordinated debentures $ 579 $ 575 Subordinated notes 438 432 Other liabilities 14 8 Total liabilities $ 1,031 $ 1,015 Stockholders’ equity $ 8,367 $ 8,824 Total liabilities and stockholders’ equity $ 9,398 $ 9,839 Condensed Statements of Income Years Ended December 31, (in millions) 2023 2022 2021 Dividends received from subsidiaries $ 580 $ 335 $ 380 Other income 2 160 1 Gross income 582 495 381 Operating expenses 108 55 50 Income before income tax benefit and equity in undistributed 474 440 331 Income tax benefit 25 14 14 Income before equity in undistributed (loss) earnings of subsidiaries 499 454 345 Equity in undistributed (loss) earnings of subsidiaries (578) 196 251 Net (loss) income $ (79) $ 650 $ 596 Condensed Statements of Cash Flows Years Ended December 31, (in millions) 2023 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES: Net (loss) income $ (79) $ 650 $ 596 Change in other assets 30 (3) (22) Change in other liabilities 6 (4) 1 Other, net 65 (130) 32 Equity in undistributed (loss) earnings of subsidiaries 578 (196) (251) Net cash provided by operating activities $ 600 $ 317 $ 356 CASH FLOWS FROM INVESTING ACTIVITIES: Cash acquired in business acquisition — 34 — Change in receivable from subsidiaries, net (32) 5 (3) Net cash (used in) provided by investing activities $ (32) $ 39 $ (3) CASH FLOWS FROM FINANCING ACTIVITIES: Treasury stock repurchased (12) (24) (16) Cash dividends paid on common and preferred stock (519) (350) (349) Net cash used in financing activities (531) (374) (365) Net increase (decrease) in cash and cash equivalents 37 (18) (12) Cash and cash equivalents at beginning of year 121 139 151 Cash and cash equivalents at end of year $ 158 $ 121 $ 139 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Loan Sales On February 29, 2024, the Company sold the commercial co-operative loan classified as held for sale at a gain. Additionally, on March 13, 2024 the Company completed a sale of consumer loans with a net book value of $899 million. These two sales will be recorded in the quarter ended March 31, 2024 and will result in a net gain. Equity Capital Raise On March 7, 2024, we entered into separate investment agreements with affiliates of funds managed by Liberty and certain other investors. The Investors invested an aggregate of approximately $1.05 billion in the Company in exchange for the sale and issuance by the Company of (a) 76,630,965 shares of our common stock, at a purchase price per share of $2.00, (b) 192,062 shares of a new series of our preferred stock, par value $0.01 per share, designated as Series B Preferred Stock, at a price per share of $2,000, each share of which is convertible into 1,000 shares of common stock (or, in certain limited circumstances, one share of Series C Preferred Stock), (c) 256,307 shares of a new series of our preferred stock, par value $0.01 per share, designated as Series C Preferred Stock, at a price per share of $2,000, each share of which is convertible into 1,000 shares of common stock, and (d) warrants affording the holder thereof the right, until the seven-year anniversary of the issuance of such warrant, to purchase for $2,500 per share, shares of Series D NVCE Stock, each share of Series D NVCE Stock is convertible into 1,000 shares of common stock (or, in certain limited circumstances, one share of Series C Preferred Stock), and all of which shares of Series D NVCE Stock, upon issuance, will represent the right (on an as converted basis) to receive 315,000,000 shares of common stock. The transaction closed on March 11, 2024. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net (loss) income | $ (79) | $ 650 | $ 596 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The following is a description of the significant accounting and reporting policies that the Company and its subsidiaries follow in preparing and presenting their consolidated financial statements, which conform to U.S. generally accepted accounting principles and to general practices within the banking industry. The preparation of financial statements in conformity with GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Estimates are used in connection with the determination of the allowance for credit losses, mortgage servicing rights, the Flagstar acquisition and the Signature Transaction. As a member of the FHLB-NY, the Company is required to hold shares of FHLB-NY stock, which is carried at cost. In addition, in connection with the Flagstar acquisition, the Company also holds shares of FHLB-Indianapolis stock, which is carried at cost. The Company’s holding requirement varies based on certain factors, including its outstanding borrowings from the FHLB-NY and FHLB-Indianapolis. |
Consolidation | The accompanying consolidated financial statements include the accounts of the Company and other entities in which the Company has a controlling financial interest. All inter-company accounts and transactions are eliminated in consolidation. The Company currently has certain unconsolidated subsidiaries in the form of wholly-owned statutory business trusts, which were formed to issue guaranteed capital securities. |
Recently Adopted Accounting Standards | Prior to the adoption of ASU 2022-02, the Company accounted for certain loan modifications and restructurings as TDRs. In general, a modification or restructuring of a loan constituted a TDR if the Company granted a concession to a borrower experiencing financial difficulty. |
Cash and Cash Equivalents and Restricted Cash | For cash flow reporting purposes, cash and cash equivalents include cash on hand, amounts due from banks, and money market investments, which include federal funds sold and reverse repurchase agreements, if any. At December 31, 2023 and 2022, the Company’s cash and cash equivalents totaled $11.5 billion and $2.0 billion, respectively. Included in cash and cash equivalents at those dates were $10.7 billion and $837 million , respectively, of interest-bearing deposits in other financial institutions, primarily consisting of balances due from the FRB-NY. There were no reverse repurchase agreements outstanding as of December 31, 2023 and $793 million of reverse repurchase agreements were outstanding at December 31, 2022. There were no federal funds sold outstanding at December 31, 2023 or December 31, 2022. Restricted cash totaled $134 million and $50 million at December 31, 2023 and December 31, 2022, respectively and includes cash that the Bank pledges as maintenance margin on centrally cleared derivatives and is included in other assets on the Consolidated Statements of Condition. |
Debt Securities and Equity Investments with Readily Determinable Fair Values | The securities portfolio primarily consists of mortgage-related securities and, to a lesser extent, debt and equity securities. Securities that are classified as “available for sale” are carried at their estimated fair value, with any unrealized gains or losses, net of taxes, reported as accumulated other comprehensive income or loss in stockholders’ equity. Securities that the Company has the intent and ability to hold to maturity are classified as “held to maturity” and carried at amortized cost. The fair values of our securities—and particularly our fixed-rate securities—are affected by changes in market interest rates and credit spreads. In general, as interest rates rise and/or credit spreads widen, the fair value of fixed-rate securities will decline. As interest rates fall and/or credit spreads tighten, the fair value of fixed-rate securities will rise. The Company evaluates available-for-sale debt securities in unrealized loss positions at least quarterly to determine if an allowance for credit losses is required. Based on an evaluation of available information about past events, current conditions, and reasonable and supportable forecasts that are relevant to collectability, the Company has concluded that it expects to receive all contractual cash flows from each security held in its available-for-sale securities portfolio. The Company first assesses whether (i) it intends to sell, or (ii) it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis. If either of these criteria is met, any previously recognized allowances are charged off and the security’s amortized cost basis is written down to fair value through income. If neither of the aforementioned criteria are met, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded for the credit loss, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. Management has made the accounting policy election to exclude accrued interest receivable on available-for-sale securities from the estimate of credit losses. Available-for-sale debt securities are placed on non-accrual status when the Company no longer expects to receive all contractual amounts due, which is generally at 90 days past due. Accrued interest receivable is reversed against interest income when a security is placed on non-accrual status. Equity investments with readily determinable fair values are measured at fair value with changes in fair value recognized in net income. |
Loans Held-for-Sale | The Company classifies loans as LHFS when we originate or purchase loans that we intend to sell. We have elected the fair value option for the majority of our LHFS. The Company estimates the fair value of mortgage loans based on quoted market prices for securities backed by similar types of loans, where available, or by discounting estimated cash flows using observable inputs inclusive of interest rates, prepayment speeds and loss assumptions for similar collateral. Changes in fair value are recorded to other noninterest income on the Consolidated Statements of Income and Comprehensive Income. LHFS that are recorded at the lower of cost or fair value may be carried at fair value on a nonrecurring basis when the fair value is less than cost. |
Loans | Loans that are transferred into the LHFS portfolio from the LHFI portfolio, due to a change in intent, are recorded at the lower of cost or fair value. Gains or losses recognized upon the sale of loans are determined using the specific identification method. Loans Held for Investment Loans and leases, net, are carried at unpaid principal balances, including unearned discounts, purchase accounting (i.e., acquisition-date fair value) adjustments, net deferred loan origination costs or fees, and the allowance for credit losses on loans and leases. The Company recognizes interest income on loans using the interest method over the life of the loan. Accordingly, the Company defers certain loan origination and commitment fees, and certain loan origination costs, and amortizes the net fee or cost as an adjustment to the loan yield over the term of the related loan. When a loan is sold or repaid, the remaining net unamortized fee or cost is recognized in interest income. Prepayment income on loans is recorded in interest income and only when cash is received. Accordingly, there are no assumptions involved in the recognition of prepayment income. Two factors are considered in determining the amount of prepayment income: the prepayment penalty percentage set forth in the loan documents, and the principal balance of the loan at the time of prepayment. The volume of loans prepaying may vary from one period to another, often in connection with actual or perceived changes in the direction of market interest rates. When interest rates are declining, rising precipitously, or perceived to be on the verge of rising, prepayment income may increase as more borrowers opt to refinance and lock in current rates prior to further increases taking place. A loan generally is classified as a “non-accrual” loan when it is 90 days or more past due or when it is deemed to be impaired because the Company no longer expects to collect all amounts due according to the contractual terms of the loan agreement. When a loan is placed on non-accrual status, management ceases the accrual of interest owed, and previously accrued interest is charged against interest income. A loan is generally returned to accrual status when the loan is current and management has reasonable assurance that the loan will be fully collectible. Interest income on non-accrual loans is recorded when received in cash. Loans with Government Guarantees The Company originates government guaranteed loans which are pooled and sold as Ginnie Mae MBS. Pursuant to Ginnie Mae servicing guidelines, the Company has the unilateral right to repurchase loans securitized in Ginnie Mae pools that are due, but unpaid, for three consecutive months. As a result, once the delinquency criteria have been met, and regardless of whether the repurchase option has been exercised, the Company accounts for the loans as if they had been repurchased. The Company recognizes the loans and corresponding liability as loans with government guarantees and loans with government guarantees repurchase options, respectively, in the Consolidated Statements of Condition. If the loan is repurchased, the liability is cash settled and the loan with government guarantee remains. Once repurchased, the Company works to cure the outstanding loans such that they are re-eligible for sale or may begin foreclosure and recover losses through a claims process with the government agency, as an approved lender. |
Allowance for Credit Losses on Loans and Leases | The allowance for credit losses on loans and leases is deducted from the amortized cost basis of a financial asset or a group of financial assets so that the balance sheet reflects the net amount the Company expects to collect. Amortized cost is the unpaid loan balance, net of deferred fees and expenses, and includes negative escrow. Subsequent changes (favorable and unfavorable) in expected credit losses are recognized immediately in net income as a credit loss expense or a reversal of credit loss expense. Management estimates the allowance by projecting and multiplying together the probability-of-default, loss- given-default and exposure-at-default depending on economic parameters for each month of the remaining contractual term, as well as credit ratings for certain loans within the commercial and industrial portfolio. The Company loss drivers for certain loans in the commercial and industrial portfolio are derived using leverages economic projections including property market and prepayment forecasts from established independent third parties, as well as credit ratings for certain loans within the commercial and industrial portfolio, to inform its loss drivers in the forecast. The Company estimates the exposure-at-default using prepayment models which forecasts prepayments over the life of the loans and leases. The economic forecast and the related economic parameters are developed using available information relating to past events, current conditions, multiple economic forecasts scenarios, including related weightings, over the reasonable and supportable forecast period and macroeconomic assumptions. The economic forecast scenarios and related economic parameters are sourced from independent third parties. The economic forecast reasonable and supportable period is 24 months, and afterwards the Company reverts to a historical average loss rate on a straight-line basis over a 12-month period. Historical credit loss experience over the historical loss observation period provides the basis for the estimation of expected credit losses, with qualitative factor adjustments made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, current collateral valuations, delinquency levels and terms, as well as for changes in environmental conditions, such as changes in legislation, regulation, policies, administrative practices or other relevant factors. Expected credit losses are estimated over the contractual term of the loans, adjusted for forecasted prepayments when appropriate. The contractual term excludes potential extensions or renewals. The methodology used in the estimation of the allowance for credit losses on loan and leases, which is performed at least quarterly, is designed to be dynamic and responsive to changes in portfolio credit quality and forecasted economic conditions. Each quarter the Company reassesses the appropriateness of the economic forecasting period, the reversion period and historical mean at the portfolio segment level, considering any required adjustments for differences in underwriting standards, portfolio mix, and other relevant data shifts over time. The allowance for credit losses on loans and leases is measured on a collective (pool) basis when similar risk characteristics exist. The portfolio segment represents the level at which a systematic methodology is applied to estimate credit losses. Management believes the products within each of the entity’s portfolio segments exhibit similar risk characteristics. The Company leverages economic projections including property market and prepayment forecasts from established independent third parties, as well as credit ratings for certain loans within the commercial and industrial portfolio, to inform its loss drivers in the forecast. Loans that do not share risk characteristics are evaluated on an individual basis. These include loans that are in nonaccrual status with balances above management determined materiality thresholds depending on loan class and also loans that are designated as TDR or “reasonably expected TDR” (criticized, classified, or maturing loans that will have a modification processed within the next three months). If a loan is determined to be collateral dependent, or meets the criteria to apply the collateral dependent practical expedient, expected credit losses are determined based on the fair value of the collateral at the reporting date, less costs to sell as appropriate. The Company maintains an allowance for credit losses on off-balance sheet credit exposures. At December 31, 2023 and December 31, 2022, the allowance for credit losses on off-balance sheet exposures was $52 million and $23 million, respectively. The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet credit exposures is adjusted as a provision for credit losses expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over their estimated life. The Company examined historical CCF trends to estimate utilization rates, and chose an appropriate mean CCF based on both management judgment and quantitative analysis. Quantitative analysis involved examination of CCFs over a range of fund-up windows (between 12 and 36 months) and comparison of the mean CCF for each fund-up window with management judgment determining whether the highest mean CCF across fund-up windows made business sense. The Company applies the same standards and estimated loss rates to the credit exposures as to the related class of loans. When applying this critical accounting estimate, we incorporate several inputs and judgments that may be influenced by changes period to period. These include, but are not limited to changes in the economic environment and forecasts, changes in the credit profile and characteristics of the loan portfolio, and changes in prepayment assumptions which will result in provisions to or recoveries from the balance of the allowance for credit losses. While changes to the economic environment forecasts and portfolio characteristics will change from period to period, portfolio prepayments are an integral assumption in estimating the allowance for credit losses on our commercial real estate (multi-family, CRE and ADC) portfolio which comprises 60 percent of the loan portfolio at December 31, 2023. Portfolio prepayments are subject to estimation uncertainty and changes in this assumption could have a material impact to our estimation process. Prepayment assumptions are sensitive to interest rates and existing loan terms and determine the weighted average life of the commercial mortgage loan portfolio. Excluding other factors, as the weighted average life of the portfolio increases or decreases, so will the required amount of the allowance for credit losses on commercial real estate. |
Goodwill | The Company evaluates goodwill for impairment at least annually or when triggering events are identified. We utilize a market approach to determine the fair value of our single reporting unit, which considers how a market participant would view a control premium, complemented by an income approach if deemed necessary. The resulting value is then compared to our book value and any shortfalls would be recorded as an impairment. |
Mortgage Servicing Rights | The Company purchases and originates mortgage loans for sale to the secondary market and sell the loans on either a servicing-retained or servicing-released basis. If the Company retains the right to service the loan, an MSR is created at the time of sale which is recorded at fair value. The Company uses an internal valuation model that utilizes an option-adjusted spread, constant prepayment speeds, costs to service and other assumptions to determine the fair value of MSRs. |
Premises and Equipment, Net | Premises, furniture, fixtures, and equipment are carried at cost, less the accumulated depreciation computed on a straight-line basis over the estimated useful lives of the respective assets (generally 20 years for premises and three |
Variable Interest Entities | An entity that has a controlling financial interest in a VIE is referred to as the primary beneficiary and consolidates the VIE. An entity is deemed to have a controlling financial interest and is the primary beneficiary of a VIE if it has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and an obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. |
Repossessed Assets | Repossessed assets consist of any property or other assets acquired through, or in lieu of, foreclosure are sold or rented, and are recorded at fair value, less the estimated selling costs, at the date of acquisition. Following foreclosure, management periodically performs a valuation of the asset, and the assets are carried at the lower of the carrying amount or fair value, less the estimated selling costs. Expenses and revenues from operations and changes in valuation, if any, are included in “General and administrative expense” in the Consolidated Statements of Income and Comprehensive Income. |
OREO | Repossessed assets consist of any property or other assets acquired through, or in lieu of, foreclosure are sold or rented, and are recorded at fair value, less the estimated selling costs, at the date of acquisition. Following foreclosure, management periodically performs a valuation of the asset, and the assets are carried at the lower of the carrying amount or fair value, less the estimated selling costs. Expenses and revenues from operations and changes in valuation, if any, are included in “General and administrative expense” in the Consolidated Statements of Income and Comprehensive Income. |
Servicing Fee Income | Servicing fee income, late fees and ancillary fees received on loans for which the Company owns the MSR are included in net return on mortgage servicing rights on the Consolidated Statements of Income and Comprehensive Income. The fees are based on the outstanding principal and are recorded as income when earned. Subservicing fees, which are included in loan administration income on the Consolidated Statements of Income and Comprehensive Income, are based on a contractual monthly amount per loan including late fees and other ancillary income. |
Income Taxes | Income tax expense consists of income taxes that are currently payable and deferred income taxes. Deferred income tax expense is determined by recognizing deferred tax assets and liabilities for future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates that are expected to apply to taxable income in years in which those temporary differences are expected to be recovered or settled. The Company assesses the deferred tax assets and establishes a valuation allowance when realization of a deferred asset is not considered to be “more likely than not.” The Company considers its expectation of future taxable income in evaluating the need for a valuation allowance. |
Derivative Instruments and Hedging Activities | The Company records all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether the Company has elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. The Company may enter into derivative contracts that are intended to economically hedge certain of its risks, even though hedge accounting does not apply or the Company elects not to apply hedge accounting. The Company utilizes derivative instruments to manage the fair value changes in our MSRs, interest rate lock commitments and LHFS portfolio which are exposed to price and interest rate risk; facilitate asset/liability management; minimize the variability of future cash flows on long-term debt; and to meet the needs of our customers. All derivatives are recognized on the Consolidated Statements of Condition as other assets and liabilities, as applicable, at their estimated fair value. The Company uses interest rate swaps, swaptions, futures and forward loan sale commitments to mitigate the impact of fluctuations in interest rates and interest rate volatility on the fair value of the MSRs. Changes in their fair value are reflected in current period earnings under the net return on mortgage servicing asset. These derivatives are valued based on quoted prices for similar assets in an active market with inputs that are observable. The Company also enters into various derivative agreements with customers and correspondents in the form of interest rate lock commitments and forward purchase contracts which are commitments to originate or purchase mortgage loans whereby the interest rate on the loan is determined prior to funding and the customers have locked into that interest rate. The derivatives are valued using internal models that utilize market interest rates and other unobservable inputs. Changes in the fair value of these commitments due to fluctuations in interest rates are economically hedged through the use of forward loan sale commitments of MBS. The gains and losses arising from this derivative activity are reflected in current period earnings under the net gain on loan sales. |
Representation and Warranty Reserve | When the Company sells mortgage loans into the secondary mortgage market, it makes customary representations and warranties to the purchasers about various characteristics of each loan. Upon the sale of a loan, the Company recognizes a liability for that guarantee at its fair value as a reduction of our net gain on loan sales. Subsequent to the sale, the liability is re-measured at fair value on an ongoing basis based upon an estimate of probable future losses. |
Stock-based Compensation | Under the New York Community Bancorp, Inc. 2020 Omnibus Incentive Plan (the “2020 Incentive Plan”), which was approved by the Company’s shareholders at its Annual Meeting on June 3, 2020, shares are available for grant as restricted stock or other forms of related rights. At December 31, 2023, the Company had 16,143,893 |
Earnings per Common Share (Basic and Diluted) | Basic EPS is computed by dividing the net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted EPS is computed using the same method as basic EPS, however, the computation reflects the potential dilution that would occur if outstanding in-the-money stock options were exercised and converted into common stock. Unvested stock-based compensation awards containing non-forfeitable rights to dividends paid on the Company’s common stock are considered participating securities, and therefore are included in the two-class method for calculating EPS. Under the two-class method, all earnings (distributed and undistributed) are allocated to common shares and participating securities based on their respective rights to receive dividends on the common stock. The Company grants restricted stock to certain employees under its stock-based compensation plan. Recipients receive cash dividends during the vesting periods of |
Lessee Arrangements | The Company has operating leases for corporate offices, branch locations, and certain equipment. These leases generally have terms of 20 years or less, determined based on the contractual maturity of the lease, and include periods covered by options to extend or terminate the lease when the Company is reasonably certain that it will exercise those options. For the vast majority of the Company’s leases, we are not reasonably certain we will exercise our options to renew to the end of all renewal option periods. The Company determines if an arrangement is a lease at inception. Operating leases are included in other assets and other liabilities in the Consolidated Statements of Condition. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the vast majority of the leases do not provide an implicit rate, the incremental borrowing rate (FHLB borrowing rate) is used based on the information available at commencement date in determining the present value of lease payments. The implicit rate is used when readily determinable. The operating lease ROU asset is measured at cost, which includes the initial measurement of the lease liability, prepaid rent and initial direct costs incurred by the Company, less incentives received. Variable costs such as the proportionate share of actual costs for utilities, common area maintenance, property taxes and insurance are not included in the lease liability and are recognized in the period in which they are incurred. |
Lessor Arrangements | The Company is a lessor in the equipment finance business where it has executed direct financing leases (“lease finance receivables”). The Company produces lease finance receivables through a specialty finance subsidiary that participates in syndicated loans that are brought to them, and equipment loans and leases that are assigned to them, by a select group of nationally recognized sources, and are generally made to large corporate obligors, many of which are publicly traded, carry investment grade or near-investment grade ratings, and participate in stable industries nationwide. Lease finance receivables are carried at the aggregate of lease payments receivable plus the estimated residual value of the leased assets and any initial direct costs incurred to originate these leases, less unearned income, which is accreted to interest income over the lease term using the interest method. The standard leases are typically repayable on a level monthly basis with terms ranging from 24 to 120 months. At the end of the lease term, the lessee usually has the option to return the equipment, to renew the lease or purchase the equipment at the then fair market value (“FMV”) price. For leases with a FMV renewal/purchase option, the relevant residual value assumptions are based on the estimated value of the leased asset at the end of the lease term, including evaluation of key factors, such as, the estimated remaining useful life of the leased asset, its historical secondary market value including history of the lessee executing the FMV option, overall credit evaluation and return provisions. The Company acquires the leased asset at fair market value and provides funding to the respective lessee at acquisition cost, less any volume or trade discounts, as applicable. Therefore, there is generally no selling profit or loss to recognize or defer at inception of a lease. |
Asset Retirement Obligation | The Company’s pension benefit obligations and post-retirement health and welfare benefit obligations, and the related costs, are calculated using actuarial concepts in accordance with GAAP. The measurement of such obligations and expenses requires that certain assumptions be made regarding several factors, most notably including the discount rate and the expected rate of return on plan assets. The Company evaluates these assumptions on an annual basis. Other factors considered by the Company in its evaluation include retirement patterns and mortality rates. |
Bank-Owned Life Insurance | The Company has purchased life insurance policies on certain employees. These BOLI policies are recorded in the Consolidated Statements of Condition at their cash surrender value. Income from these policies and changes in the cash surrender value are recorded in “Non-interest income” in the Consolidated Statements of Income and Comprehensive Income. |
Business Combinations Policy | Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, reflecting assumptions that a market participant would use when pricing an asset or liability. In some cases, the estimation of fair values requires management to make estimates about discount rates, future expected cash flows, market conditions, and other future events that are highly subjective in nature and are subject to change. Described below are the methods used to determine the fair values of the significant assets acquired and liabilities assumed in the Signature Transaction. Cash and Cash Equivalents The estimated fair value of cash and cash equivalents approximates their stated face amounts, as these financial instruments are either due on demand or have short-term maturities. Loans and leases The fair value for loans was based on a discounted cash flow methodology that considered credit loss expectations, market interest rates and other market factors such as liquidity from the perspective of a market participant. Loans were grouped together according to similar characteristics and were treated in the aggregate when applying various valuation techniques. The probability of default, loss given default and prepayment assumptions were the key factors driving credit losses which were embedded into the estimated cash flows. These assumptions were informed by internal data on loan characteristics, historical loss experience, and current and forecasted economic conditions. The interest and liquidity component of the estimate was determined by discounting interest and principal cash flows through the expected life of each loan. The discount rates used for loans are based on current market rates for new originations of comparable loans and include adjustments for liquidity. The discount rates do not include a factor for credit losses as that has been included as a reduction to the estimated cash flows. Acquired loans were marked to fair value and adjusted for any PCD gross up as of the date of the Signature Transaction. Deposit Liabilities The fair value of deposit liabilities with no stated maturity (i.e., non-interest-bearing and interest-bearing checking accounts) is equal to the carrying amounts payable on demand. The fair value of certificates of deposit represents contractual cash flows, discounted using interest rates currently offered on deposits with similar characteristics and remaining maturities. Core Deposit Intangible Core deposit intangible (“CDI”) is a measure of the value of non-interest-bearing and interest-bearing checking accounts, savings accounts, and money market accounts that are acquired in a business combination. The fair value of the CDI was determined using a discounted cashflow methodology which considered discount rate, customer attrition rates, and other relevant market assumptions. This method estimated the fair value by discounting the present value of the expected cost savings attributable to the core deposit funding, relative to an alternative source of funding. The CDI relating to the Signature Transaction will be amortized over an estimated useful life of 10 years using the sum of years digits depreciation method. The Company evaluates such identifiable intangibles for impairment when an indication of impairment exists. CDI does not significantly impact our liquidity or capital ratios. PCD loans The methods and significant assumptions used to estimate fair values for the Company’s financial instruments follow: Cash and Cash Equivalents Cash and cash equivalents include cash and due from banks and federal funds sold. The estimated fair values of cash and cash equivalents are assumed to equal their carrying values, as these financial instruments are either due on demand or have short-term maturities. Securities If quoted market prices are not available for a specific security, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. These pricing models primarily use market-based or independently sourced market parameters as inputs, including, but not limited to, yield curves, interest rates, equity or debt prices, and credit spreads. In addition to observable market information, pricing models also incorporate transaction details such as maturities and cash flow assumptions. Federal Home Loan Bank Stock Ownership in equity securities of the FHLB is generally restricted and there is no established liquid market for their resale. The carrying amount approximates the fair value. Loans and leases The Company discloses the fair value of loans measured at amortized cost using an exit price notion. The Company determined the fair value on substantially all of its loans for disclosure purposes, on an individual loan basis. The discount rates reflect current market rates for loans with similar terms to borrowers having similar credit quality on an exit price basis. For those loans where a discounted cash flow technique was not considered reliable, the Company used a quoted market price for each individual loan. MSRs The significant unobservable inputs used in the fair value measurement of the MSRs are option adjusted spreads, prepayment rates and cost to service. Significant increases (decreases) in all three assumptions in isolation result in a significantly lower (higher) fair value measurement. Weighted average life (in years) is used to determine the change in fair value of MSRs. For December 31, 2023, the weighted average life (in years) for the entire portfolio was 6.83. Rate lock commitments The significant unobservable input used in the fair value measurement of the rate lock commitments is the pull through rate. The pull through rate is a statistical analysis of our actual rate lock fallout history to determine the sensitivity of the residential mortgage loan pipeline compared to interest rate changes and other deterministic values. New market prices are applied based on updated loan characteristics and new fallout ratios (i.e. the inverse of the pull through rate) are applied accordingly. Significant increases (decreases) in the pull through rate in isolation result in a significantly higher (lower) fair value measurement. Deposits The fair values of deposit liabilities with no stated maturity (i.e., interest-bearing checking and money market accounts, savings accounts, and non-interest-bearing accounts) are equal to the carrying amounts payable on demand. The fair values of CDs represent contractual cash flows, discounted using interest rates currently offered on deposits with similar characteristics and remaining maturities. These estimated fair values do not include the intangible value of core deposit relationships, which comprise a portion of the Company’s deposit base. Borrowed Funds The estimated fair value of borrowed funds is based either on bid quotations received from securities dealers or the discounted value of contractual cash flows with interest rates currently in effect for borrowed funds with similar maturities and structures. Off-Balance Sheet Financial Instruments |
Representation and Warranty Reserve | The Company reviews and updates the fair value hierarchy classifications for its assets on a quarterly basis. Changes from one quarter to the next that are related to the observability of inputs for a fair value measurement may result in a reclassification from one hierarchy level to another. A description of the methods and significant assumptions utilized in estimating the fair values of securities follows: Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. Level 1 securities include highly liquid government securities and exchange-traded securities. If quoted market prices are not available for a specific security, then fair values are estimated by using pricing models. These pricing models primarily use market-based or independently sourced market parameters as inputs, including, but not limited to, yield curves, interest rates, equity or debt prices, and credit spreads. In addition to observable market information, models incorporate transaction details such as maturity and cash flow assumptions. Securities valued in this manner would generally be classified within Level 2 of the valuation hierarchy, and primarily include such instruments as mortgage-related and corporate debt securities. Periodically, the Company uses fair values supplied by independent pricing services to corroborate the fair values derived from the pricing models. In addition, the Company reviews the fair values supplied by independent pricing services, as well as their underlying pricing methodologies, for reasonableness. The Company challenges pricing service valuations that appear to be unusual or unexpected. |
Description of Business, Orga_2
Description of Business, Organization and Basis of Presentation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Adoption of New Accounting Standards | Adoption of New Accounting Standards Standard Description Effective Date ASU 2022-02- Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures Issued March 2022 ASU 2022-02 eliminates prior accounting guidance for TDRs, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The standard also requires that an entity disclose current-period gross charge-offs by year of origination for financing receivables and net investments in leases. The Company adopted ASU 2022-02 effective January 1, 2023 using a modified retrospective transition approach for the amendments related to the recognition and measurement of TDRs. The impact of the adoption resulted in an immaterial change to the allowance for credit losses ("ACL"), thus no adjustment to retained earnings was recorded. Disclosures have been updated to reflect information on loan modifications given to borrowers experiencing financial difficulty as presented in Note 6. TDR disclosures are presented for comparative periods only and are not required to be updated in current periods. Additionally, the current year vintage disclosure included in Note 6 has been updated to reflect gross charge-offs by year of origination for the three months ended September 30, 2023. ASU 2023-02 Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method Issued: March 2023 ASU 2023-02 permits reporting entities to elect to account for their tax equity investments, regardless of the tax credit program from which the income tax credits are received, using the proportional amortization method if certain conditions are met. The Company adopted ASU 2023-02 effective January 1, 2023 and it did not have a significant impact on the Company's consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Computation of Basic and Diluted Earnings Per Share of Common Stock | The following table presents the Company’s computation of basic and diluted earnings per common share: For the Years Ended December 31, (in millions, except share and per share amounts) 2023 2022 2021 Net (loss) income available to common stockholders $ (112) $ 617 $ 563 Less: Dividends paid on and earnings allocated to participating securities (5) (8) (7) (Loss) earnings applicable to common stock $ (117) $ 609 $ 556 Weighted average common shares outstanding 713,643,550 483,603,395 463,865,661 (Loss) basic earnings per common share $ (0.16) $ 1.26 $ 1.20 (Loss) earnings applicable to common stock $ (117) $ 609 $ 556 Weighted average common shares outstanding 713,643,550 483,603,395 463,865,661 Potential dilutive common shares — 1,530,950 767,058 Total shares for diluted (loss) earnings per common share computation 713,643,550 485,134,345 464,632,719 Diluted (loss) earnings per common share and common share equivalents $ (0.16) $ 1.26 $ 1.20 |
Schedule of Premises and Equipment and Estimated Useful Lives | The estimated useful lives for the principal classes of assets are as follows: Premises and Equipment Useful Lives Buildings 30 Furniture, fixtures and equipment, and building improvements 13.5 Leasehold improvements 10 ATMs 7 |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Summary of Net Assets Acquired | A summary of the preliminary net assets acquired and related estimated fair value adjustments resulting in the bargain purchase gain is as follows: (in millions) March 20, 2023 (preliminary) Net assets acquired before fair value adjustments $ 2,973 Fair value adjustments: Loans (727) Core deposit and other intangibles 464 Certificates of deposit 27 Other net assets and liabilities 39 FDIC Equity Appreciation Instrument (85) Deferred tax liability (690) Bargain purchase gain on Signature Transaction, as initially reported 2,001 Measurement period adjustments, excluding taxes 28 Change in deferred tax liability 102 Bargain purchase gain on Signature Transaction, as adjusted $ 2,131 (in millions) Preliminary as Initially Reported Measurement Period Adjustments Preliminary as Adjusted Purchase Price consideration $ 85 $ 85 Fair value of assets acquired: Cash & cash equivalents 25,043 (142) 24,901 Loans held for sale 232 232 Loans held for investment: Commercial and industrial 10,102 (214) 9,888 Commercial real estate 1,942 (262) 1,680 Consumer and other 174 (1) 173 Total loans held for investment 12,218 (477) 11,741 CDI and other intangible assets 464 — 464 Other assets 679 (169) 510 Total assets acquired 38,636 (788) 37,848 Fair value of liabilities assumed: Deposits 33,568 (61) 33,507 Other liabilities 2,982 (857) 2,125 Total liabilities assumed 36,550 (918) 35,632 Fair value of net identifiable assets 2,086 130 2,216 Bargain purchase gain $ 2,001 $ 130 $ 2,131 The following table provides an allocation of consideration paid for the fair value of assets acquired and liabilities and equity assumed from Flagstar as of December 1, 2022. (in millions) December 1, 2022 Purchase Price consideration $ 2,010 Fair value of assets acquired: Cash & cash equivalents 331 Securities 2,695 Loans held for sale 1,257 Loans held for investment: One-to-four family first mortgage 5,438 Commercial and industrial 3,891 Commercial real estate 6,523 Consumer and other 2,156 Total loans held for investment 18,008 CDI and other intangible assets 292 Mortgage servicing rights 1,012 Other assets 2,158 Total assets acquired 25,753 Fair value of liabilities assumed: Deposits 15,995 Borrowings 6,700 Other liabilities 889 Total liabilities assumed 23,584 Fair value of net identifiable assets 2,169 Bargain purchase gain $ 159 |
Summary of Loans and Leases Purchased as Part of Acquisition | The following table provides a summary of loans and leases purchased as part of the Signature Transaction with credit deterioration and the associated credit loss reserve at acquisition: (in millions) Total Par value (UPB) $ 583 ACL at acquisition (13) Non-credit (discount) (76) Fair value $ 494 (in millions) Total Par value (UPB) $ 1,950 ACL at acquisition (51) Non-credit (discount) (33) Fair value $ 1,866 |
Summary of Pro Forma Information | For the Years Ended December 31, (unaudited) (in millions) 2022 2021 Net interest income $ 2,278 $ 2,208 Non-interest income 650 1,105 Net income 804 1,207 Net income available to common stockholders $ 771 $ 1,174 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Reclassification out of Accumulated Other Comprehensive Income | The following table sets forth the components in accumulated other comprehensive income: (in millions) Year Ended December 31, Details about Accumulated Other Comprehensive Loss Amount Reclassified out of Accumulated Other Comprehensive Loss (1) Affected Line Item in the Consolidated Statements of Income and Comprehensive Income Unrealized gains on available-for-sale securities: $ — Net gain on securities — Income tax expense $ — Net gain on securities, net of tax Unrealized gains on cash flow hedges: $ 65 Interest expense (17) Income tax benefit $ 48 Net gain on cash flow hedges, net of tax Amortization of defined benefit pension plan items: Past service liability $ — Included in the computation of net periodic credit (2) Actuarial losses (7) Included in the computation of net periodic cost (2) (7) Total before tax 1 Income tax benefit $ (6) Amortization of defined benefit pension plan items, net of tax Total reclassifications for the period $ 42 (1) Amounts in parentheses indicate expense items. (2) |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Debt Securities, Trading, and Equity Securities, FV-NI | The following tables summarize the Company’s portfolio of debt securities available for sale and equity investments with readily determinable fair values: December 31, 2023 (in millions) Amortized Cost Gross Unrealized Gain Gross Unrealized Loss Fair Value Debt securities available-for-sale Mortgage-Related Debt Securities: GSE certificates $ 1,366 $ 1 $ 146 $ 1,221 GSE CMOs 5,495 48 381 5,162 Private Label CMOs 174 7 1 180 Total mortgage-related debt securities $ 7,035 $ 56 $ 528 $ 6,563 Other Debt Securities: U. S. Treasury obligations $ 198 $ — $ — $ 198 GSE debentures 1,899 1 291 1,609 Asset-backed securities (1) 307 — 5 302 Municipal bonds 6 — — 6 Corporate bonds 365 — 22 343 Foreign notes 35 — 1 34 Capital trust notes 97 5 12 90 Total other debt securities $ 2,907 $ 6 $ 331 $ 2,582 Total debt securities available for sale $ 9,942 $ 62 $ 859 $ 9,145 Equity securities: Mutual funds $ 16 $ — $ 2 $ 14 Total equity securities $ 16 $ — $ 2 $ 14 Total securities (2) $ 9,958 $ 62 $ 861 $ 9,159 (1) The underlying assets of the asset-backed securities are substantially guaranteed by the U.S. Government. (2) Excludes accrued interest receivable of $38 million included in other assets December 31, 2022 (in millions) Amortized Cost Gross Unrealized Gain Gross Unrealized Loss Fair Value Debt securities available-for-sale Mortgage-Related Debt Securities: GSE certificates $ 1,457 $ — $ 160 $ 1,297 GSE CMOs 3,600 1 300 3,301 Private Label CMOs 185 6 — 191 Total mortgage-related debt securities $ 5,242 $ 7 $ 460 $ 4,789 Other Debt Securities: U. S. Treasury obligations $ 1,491 $ — $ 4 $ 1,487 GSE debentures 1,749 — 351 1,398 Asset-backed securities (1) 375 — 14 361 Municipal bonds 30 — — 30 Corporate bonds 913 2 30 885 Foreign Notes 20 — — 20 Capital trust notes 97 5 12 90 Total other debt securities $ 4,675 $ 7 $ 411 $ 4,271 Total other securities available for sale $ 9,917 $ 14 $ 871 $ 9,060 Equity securities: Mutual funds $ 16 $ — $ 2 $ 14 Total equity securities $ 16 $ — $ 2 $ 14 Total securities (2) $ 9,933 $ 14 $ 873 $ 9,074 (1) The underlying assets of the asset-backed securities are substantially guaranteed by the U.S. Government. (2) |
Schedule of Realized Gain (Loss) | The following table summarizes the gross proceeds, gross realized gains, and gross realized losses from the sale of available-for-sale securities during the years-ended: December 31, ( in millions) 2023 2022 2021 Gross proceeds $ 1,637 $ 228 $ — Gross realized gains 2 — — Gross realized losses (3) — — |
Summary of Unrealized Loss Positions on Investment Securities Held-to-Maturity | The following table summarizes, by contractual maturity, the amortized cost of securities at December 31, 2023: Mortgage- Related Securities U.S. Government and GSE Obligations State, County, and Municipal Other Debt Securities (1) Fair Value ( in millions) Available-for-Sale Debt Securities: Due within one year $ — $ 448 $ — $ — $ 446 Due from one to five years 178 50 — 353 560 Due from five to ten years 316 1,502 6 105 1,597 Due after ten years 6,541 96 — 345 6,542 Total debt securities available for sale $ 7,035 $ 2,096 $ 6 $ 803 $ 9,145 (1) |
Schedule of Amortized Cost and Estimated Fair Value of Securities by Contractual Maturity | The following table presents securities having a continuous unrealized loss position for less than twelve months and for twelve months or longer as of December 31, 2023: Less than Twelve Months Twelve Months or Longer Total (in millions) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U. S. Treasury obligations $ — $ — $ — $ — $ — $ — U.S. Government agency and GSE obligations 181 1 1,362 290 1,543 291 GSE certificates 312 5 843 141 1,155 146 Private Label CMOs 29 1 — — 29 1 GSE CMOs 1,835 77 1,312 304 3,147 381 Asset-backed securities — — 228 5 228 5 Municipal bonds — — 6 — 6 — Corporate bonds — — 343 22 343 22 Foreign notes — — 9 1 9 1 Capital trust notes — — 81 12 81 12 Equity securities — — 14 2 14 2 Total temporarily impaired securities $ 2,357 $ 84 $ 4,198 $ 777 $ 6,555 $ 861 The following table presents securities having a continuous unrealized loss position for less than twelve months and for twelve months or longer as of December 31, 2022: Less than Twelve Months Twelve Months or Longer Total (in millions) Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss Temporarily Impaired Securities: U. S. Treasury obligations $ 1,487 $ 4 $ — $ — $ 1,487 $ 4 U.S. Government agency and GSE obligations 243 5 1,156 346 1,399 351 GSE certificates 871 46 420 114 1,291 160 GSE CMOs 2,219 36 925 264 3,144 300 Asset-backed securities 61 2 262 12 323 14 Municipal bonds 9 — 7 — 16 — Corporate bonds 698 27 97 3 795 30 Foreign notes 20 — — — 20 — Capital trust notes 46 2 34 10 80 12 Equity securities 4 — 10 2 14 2 Total temporarily impaired securities $ 5,658 $ 122 $ 2,911 $ 751 $ 8,569 $ 873 |
Loans and Leases (Tables)
Loans and Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Summary of Components | We report LHFI loans at their amortized cost, which includes the outstanding principal balance adjusted for any unamortized premiums, discounts, deferred fees and unamortized fair value adjustments for acquired loans: December 31, 2023 December 31, 2022 (dollars in millions) Amount Percent of Amount Percent of Loans and Leases Held for Investment: Mortgage Loans: Multi-family $ 37,265 44.0 % $ 38,130 55.3 % Commercial real estate 10,470 12.4 % 8,526 12.4 % One-to-four family first mortgage 6,061 7.2 % 5,821 8.4 % Acquisition, development, and construction 2,912 3.4 % 1,996 2.8 % Total mortgage loans held for investment (1) $ 56,708 67.0 % $ 54,473 78.9 % Other Loans: Commercial and industrial 22,065 26.1 % 10,597 15.4 % Lease financing, net of unearned income of $258 and $85, respectively 3,189 3.8 % 1,679 2.4 % Total commercial and industrial loans (2) 25,254 29.9 % 12,276 17.8 % Other 2,657 3.1 % 2,252 3.3 % Total other loans held for investment 27,911 33.0 % 14,528 21.1 % Total loans and leases held for investment (1) $ 84,619 100.0 % $ 69,001 100.0 % Allowance for credit losses on loans and leases (992) (393) Total loans and leases held for investment, net 83,627 68,608 Loans held for sale 1,182 1,115 Total loans and leases, net $ 84,809 $ 69,723 (1) Excludes accrued interest receivable of $423 million and $292 million at December 31, 2023 and December 31, 2022, respectively, which is included in other assets (2) Includes specialty finance loans and leases of $5.2 billion and $4.4 billion at December 31, 2023 and December 31, 2022, respectively. |
Schedule of Quality of Loans Held for Investment | The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2023: (in millions) Loans 30-89 Days Past Due Non- Accrual Loans Total Past Due Loans Current Loans (2) Total Loans Receivable Multi-family $ 121 $ 138 $ 259 $ 37,006 $ 37,265 Commercial real estate 28 128 156 10,314 10,470 One-to-four family first mortgage 40 95 135 5,926 6,061 Acquisition, development, and construction 2 2 4 2,908 2,912 Commercial and industrial (1) 37 43 80 25,174 25,254 Other 22 22 44 2,613 2,657 Total $ 250 $ 428 $ 678 $ 83,941 $ 84,619 (1) Includes lease financing receivables. (2) Includes $207 million multi-family loans from one borrower that had a payment in the process of collection as of December 31, 2023 and subsequently settled on January 2, 2024 . The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2022: (in millions) Loans 30-89 Days Past Due Non- Accrual Loans Total Past Due Loans Current Loans Total Loans Receivable Multi-family $ 34 $ 13 $ 47 $ 38,083 $ 38,130 Commercial real estate 2 20 22 8,504 8,526 One-to-four family first mortgage 21 92 113 5,708 5,821 Acquisition, development, and construction — — — 1,996 1,996 Commercial and industrial (1) 2 3 5 12,271 12,276 Other 11 13 24 2,228 2,252 Total $ 70 $ 141 $ 211 $ 68,790 $ 69,001 (1) |
Summary of Loans Held for Investment by Credit Quality Indicator | The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2023: Mortgage Loans Other Loans (in millions) Multi- Family Commercial Real Estate One-to- Four Family Acquisition, Development, and Construction Total Mortgage Loans Commercial and Industrial Other Total Other Loans Credit Quality Indicator: Pass $ 34,170 $ 8,734 $ 5,328 $ 2,825 $ 51,057 $ 24,683 $ 2,634 $ 27,317 Special mention 768 367 — 57 1,192 335 — 335 Substandard 2,327 1,369 733 30 4,459 236 23 259 Doubtful — — — — — — — — Total $ 37,265 $ 10,470 $ 6,061 $ 2,912 $ 56,708 $ 25,254 $ 2,657 $ 27,911 The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2022: Mortgage Loans Other Loans (in millions) Multi- Family Commercial Real Estate One-to- Four Family Acquisition, Development, and Construction Total Mortgage Loans Commercial and Industrial Other Total Other Loans Credit Quality Indicator: Pass $ 36,622 $ 7,871 $ 5,710 $ 1,992 $ 52,195 $ 12,208 $ 2,238 $ 14,446 Special mention 864 230 8 4 1,106 18 — 18 Substandard 644 425 103 — 1,172 50 14 64 Total $ 38,130 $ 8,526 $ 5,821 $ 1,996 $ 54,473 $ 12,276 $ 2,252 $ 14,528 The following table presents, by credit quality indicator, loan class, and year of origination, the amortized cost basis of the Company’s loans and leases as of December 31, 2023: Vintage Year (in millions) 2023 2022 2021 2020 2019 Prior To 2019 Revolving Loans Revolving Loans Converted to Term Loans Total Pass $ 2,532 $ 13,295 $ 10,308 $ 8,438 $ 4,725 $ 9,670 $ 1,981 $ 108 $ 51,057 Special Mention — 217 69 407 144 341 14 — 1,192 Substandard 45 98 258 336 809 2,910 — 3 4,459 Doubtful — — — — — — — — — Total mortgage loans $ 2,577 $ 13,610 $ 10,635 $ 9,181 $ 5,678 $ 12,921 $ 1,995 $ 111 $ 56,708 Current-period gross write-offs — (112) — — (2) (64) — — (178) Pass (1) $ 9,709 $ 3,598 $ 1,936 $ 1,141 $ 911 $ 941 $ 8,757 $ 324 $ 27,317 Special Mention 1 182 17 9 6 18 102 — 335 Substandard 10 39 45 28 40 40 46 11 259 Doubtful — — — — — — — — — Total other loans $ 9,720 $ 3,819 $ 1,998 $ 1,178 $ 957 $ 999 $ 8,905 $ 335 $ 27,911 Current-period gross write-offs $ (2) $ (10) $ (5) $ (8) $ (2) $ (18) $ — $ — $ (45) Total $ 12,297 $ 17,429 $ — $ 12,633 $ 10,359 $ 6,635 $ 13,920 $ 10,900 $ 446 $ 84,619 |
Summary of Collateral | The following table summarizes the extent to which collateral secures the Company’s collateral-dependent loans held for investment by collateral type as of December 31, 2023: Collateral Type (in millions) Real Property Other Multi-family $ 253 $ — Commercial real estate 256 — One-to-four family first mortgage 105 — Commercial and industrial — 120 Total collateral-dependent loans held for investment $ 614 $ 120 |
Summary of Modifications to Borrowers Experiencing Financial Difficulty and Performance of Loans Modified in Last 12 Months, and TDRs | The following table summarizes the amortized cost basis of loans modified during the reporting period to borrowers experiencing financial difficulty, disaggregated by class of financing receivable and type of modification: Amortized Cost (dollars in millions) Interest Rate Reduction Term Extension Combination - Interest Rate Reduction & Term Extension Total Percent of Total Loan class Year Ended December 31, 2023 Multi-family $ 122 $ — $ — $ 122 1.17 % Commercial real estate 102 1 — 103 0.98 % One-to-four family first mortgage 3 5 6 14 0.23 % Commercial and Industrial — 19 2 21 0.08 % Other Consumer $ — $ — $ 2 2 0.08 % Total $ 227 $ 25 $ 10 $ 262 The following table describes the financial effect of the modification made to borrowers experiencing financial difficulty: Interest Rate Reduction Term Extension Weighted-average contractual interest rate From To Weighted-average Term (in years) Year Ended December 31, 2023 Multi-family 7.45 % 6.02 % Commercial real estate 8.83 % 4.56 % One-to-four family first mortgage 6.08 % 4.79 % Commercial and industrial 8.44 % 8.08 % 0.58 Other Consumer 9.09 % 4.82 % December 31, 2023 (dollars in millions) Current 30 - 89 Past Due 90+ Past Due Total Commercial real estate 1 — — 1 One-to-four family first mortgage 3 — 8 11 Commercial and industrial 3 9 1 13 Other Consumer 1 1 — 2 Total $ 8 $ 10 $ 9 $ 27 The following table presents information regarding the Company's TDRs as of December 31, 2022: December 31, 2022 (dollars in millions) Accruing Non- Accrual Total Loan Category: Multi-family $ — $ 6 $ 6 Commercial real estate 16 19 35 Commercial and industrial — 3 3 Total $ 16 $ 28 $ 44 The financial effects of the Company’s TDRs for the twelve months ended December 31, 2022 are summarized as follows: Weighted Average Interest Rate (dollars in millions) Number of Loans Pre- Modification Recorded Investment Post- Modification Recorded Investment Pre- Modification Post- Modification Charge- off Amount Capitalized Interest Loan Category: Commercial real estate 2 $ 22 $ 19 6.00 % 4.02 % $ 3 $ — |
Allowance for Credit Losses o_2
Allowance for Credit Losses on Loans and Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Credit Loss [Abstract] | |
Schedule of Activity in the Allowance for Loan and Lease Losses | The following table summarizes activity in the allowance for credit losses for the periods indicated: For the Years Ended December 31, 2023 2022 (in millions) Mortgage Other Total Mortgage Other Total Balance, beginning of period $ 290 $ 103 $ 393 $ 178 $ 21 $ 199 Adjustment for Purchased PCD Loans 13 13 21 30 51 Charge-offs (178) (45) (223) (5) (2) (7) Recoveries 15 15 4 7 11 Provision for (recovery of) credit losses on loans and leases 644 150 794 92 47 139 Balance, end of period $ 756 $ 236 $ 992 $ 290 $ 103 $ 393 |
Schedule of Additional Information about Nonaccrual Loans | The following table presents additional information about the Company’s nonaccrual loans at December 31, 2023: (in millions) Recorded Investment Related Allowance Interest Income Recognized Nonaccrual loans with no related allowance: Multi-family $ 134 $ — $ 5 Commercial real estate 53 — 2 One-to-four family first mortgage 85 — — Acquisition, development, and construction — — — Other (includes C&I) 22 — — Total nonaccrual loans with no related allowance $ 294 $ — $ 7 Nonaccrual loans with an allowance recorded: Multi-family $ 4 $ — $ — Commercial real estate 75 17 3 One-to-four family first mortgage 11 2 — Acquisition, development, and construction — — — Other (includes C&I) 44 28 — Total nonaccrual loans with an allowance recorded $ 134 $ 47 $ 3 Total nonaccrual loans: Multi-family $ 138 $ — $ 5 Commercial real estate 128 17 5 One-to-four family first mortgage 96 2 — Acquisition, development, and construction — — — Other (includes C&I) 66 28 — Total nonaccrual loans $ 428 $ 47 $ 10 The following table presents additional information about the Company’s nonaccrual loans at December 31, 2022: (in millions) Recorded Investment Related Allowance Interest Income Recognized Nonaccrual loans with no related allowance: Multi-family $ 13 $ — $ — Commercial real estate 19 — 1 One-to-four family first mortgage 90 — — Other (includes C&I) 3 — — Total nonaccrual loans with no related allowance $ 125 $ — $ 1 Nonaccrual loans with an allowance recorded: Commercial real estate $ 1 $ — $ — One-to-four family first mortgage 2 — — Other (includes C&I) 13 14 — Total nonaccrual loans with an allowance recorded $ 16 $ 14 $ — Total nonaccrual loans: Multi-family $ 13 $ — $ — Commercial real estate 20 — 1 One-to-four family first mortgage 92 — — Other (includes C&I) 16 14 — Total nonaccrual loans $ 141 $ 14 $ 1 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Components of Lease Income | The Company uses the interest rate implicit in the lease to determine the present value of its lease financing receivables. The components of lease income were as follows: For the Years Ended December 31, (in millions) 2023 2022 2021 Interest income on lease financing (1) $ 119 $ 53 $ 53 (1) |
Net Investment in Lease, Past Due | The components of net investment in direct financing leases, including the carrying amount of the lease receivables, as well as the unguaranteed residual asset were as follows: (in millions) December 31, 2023 December 31, 2022 Net investment in the lease - lease payments receivable $ 3,187 $ 1,685 Net investment in the lease - unguaranteed residual assets 321 60 Total lease payments $ 3,508 $ 1,745 |
Maturity Analysis of Undiscounted Lease Receivables | The following table presents the remaining maturity analysis of the undiscounted lease receivables, as well as the reconciliation to the total amount of receivables recognized in the Consolidated Statements of Condition: (in millions) December 31, 2023 2024 549 2025 602 2026 874 2027 521 2028 293 Thereafter 669 Total lease payments $ 3,508 Plus: deferred origination costs 15 Less: unearned income (258) Less: purchase accounting adjustment $ (76) Total lease finance receivables, net $ 3,189 |
Lease Cost Information | The components of lease expense were as follows: For the Years Ended December 31, (in millions) 2023 2022 2021 Operating lease cost $ 86 $ 28 $ 27 Total lease cost $ 86 $ 28 $ 27 Supplemental cash flow information related to the leases for the following periods: (in millions) For the Years Ended December 31, 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 64 $ 28 |
Supplemental Balance Sheet Information | Supplemental balance sheet information related to the leases for the following periods: (in millions, except lease term and discount rate) December 31, 2023 December 31, 2022 Operating Leases: Operating lease right-of-use assets (1) $ 426 $ 119 Operating lease liabilities (2) $ 446 $ 122 Weighted average remaining lease term 11.2 years 6 years Weighted average discount rate percent 4.71 % 3.85 % (1) Included in Other assets (2) Included in Other liabilities |
Schedule of Minimum Contractual Lease Obligations | (in millions) December 31, 2023 Maturities of lease liabilities: 2024 71 2025 65 2026 58 2027 52 2028 45 Thereafter 296 Total lease payments $ 587 Less: imputed interest $ (141) Total present value of lease liabilities $ 446 |
Mortgage Servicing Rights (Tabl
Mortgage Servicing Rights (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Transfers and Servicing [Abstract] | |
Schedule of Changes in the Fair Value of Residential First Mortgage MSRs | Changes in the fair value of residential first mortgage MSRs were as follows: (in millions) Year Ended December 31, 2023 Balance at beginning of period $ 1,033 Additions from loans sold with servicing retained 208 Reductions from sales (51) Decrease in MSR fair value due to pay-offs, pay-downs, run-off, model changes, and other (1) (80) Changes in estimates of fair value due to interest rate risk (1) (2) 1 Fair value of MSRs at end of period $ 1,111 (1) Changes in fair value are included within net return on mortgage servicing rights (2) Represents estimated MSR value change resulting primarily from market-driven changes which we manage through the use of derivatives. |
Summary of Adverse Changes to Weighted-Average Assumptions on the Fair Value of Servicing Rights | The following table summarizes the hypothetical effect on the fair value of servicing rights using adverse changes of 10 percent and 20 percent to the weighted average of certain significant assumptions used in valuing these assets: December 31, 2023 Fair Value (dollars in millions) Actual 10% adverse change 20% adverse change Option adjusted spread 5.4 % $ 1,091 $ 1,072 Constant prepayment rate 7.9 % 1,073 1,040 Weighted average cost to service per loan $ 69 $ 1,100 $ 1,090 December 31, 2022 Fair Value (dollars in millions) Actual 10% adverse change 20% adverse change Option adjusted spread 5.9 % $ 1,012 $ 992 Constant prepayment rate 7.9 % 1,000 970 Weighted average cost to service per loan $ 68 $ 1,023 $ 1,013 |
Summary of Income and Fees | The following table summarizes income and fees associated with owned MSRs: (in millions) Year Ended December 31, 2023 Month Ended December 31, 2022 Net return on mortgage servicing rights Servicing fees, ancillary income and late fees (1) $ 227 $ 20 Decrease in MSR fair value due to pay-offs, pay-downs, run-off, model changes and other (80) (8) Changes in fair value due to interest rate risk 1 10 Gain on MSR derivatives (2) (47) (16) Net transaction costs 2 — Total return included in net return on mortgage servicing rights $ 103 $ 6 (1) Servicing fees are recorded on an accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) Changes in the derivatives utilized as economic hedges to offset changes in fair value of the MSRs. The following table summarizes income and fees associated with our mortgage loans subserviced for others: (in millions) Year Ended December 31, 2023 Year Ended December 31, 2022 Loan administration income on mortgage loans subserviced Servicing fees, ancillary income and late fees (1) $ 154 $ 11 Charges on subserviced custodial balances (2) (168) (8) Other servicing charges (3) — Total (loss) income on mortgage loans subserviced, included in loan administration income $ (17) $ 3 (1) Servicing fees are recorded on an accrual basis. Ancillary income and late fees are recorded on a cash basis. (2) Charges on subserviced custodial balances represent interest due to MSR owner. |
Borrowed Funds (Tables)
Borrowed Funds (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | The following table summarizes the Company’s borrowed funds: (in millions) December 31, 2023 December 31, 2022 Wholesale borrowings: FHLB advances $ 19,250 $ 20,325 FRB term funding 1,000 — Total wholesale borrowings $ 20,250 $ 20,325 Junior subordinated debentures 579 575 Subordinated notes 438 432 Total borrowed funds $ 21,267 $ 21,332 |
Schedule of Federal Home Loan Bank, Advances, by Branch of FHLB Bank | The contractual maturities and the next call dates of FHLB advances outstanding at December 31, 2023 were as follows: Contractual Maturity Earlier of Contractual Maturity or Next Call Date (dollars in millions) Year Amount Weighted Average Interest Rate (1) Amount Weighted Average Interest Rate (1) 2024 7,350 4.57 9,100 4.37 2025 1,500 5.38 1,750 5.11 2026 2,500 5.37 2,500 5.37 2027 4,000 4.62 3,500 4.75 2028 2,400 5.17 2,400 5.17 2032 1,500 3.43 — — Total FHLB advances $ 19,250 $ 19,250 (1) Does not included the effect interest rate swap agreements. |
Schedule of Subordinated Borrowing | The following table presents contractual terms of the junior subordinated debentures outstanding at December 31, 2023: Issuer Interest Rate of Capital Securities and Debentures Junior Subordinated Debentures Amount Outstanding (3) Capital Securities Amount Outstanding Date of Original Issue Stated Maturity (dollars in millions) New York Community Capital Trust V (BONUSES Units) (1) 6.00 $ 147 $ 141 Nov. 4, 2002 Nov. 1, 2051 New York Community Capital Trust X (2) 7.25 124 120 Dec. 14, 2006 Dec. 15, 2036 PennFed Capital Trust III (2) 8.90 31 30 June 2, 2003 June 15, 2033 New York Community Capital Trust XI (2) 7.24 59 58 April 16, 2007 June 30, 2037 Flagstar Statutory Trust II (2) 8.87 26 25 Dec. 26, 2002 Dec. 26, 2032 Flagstar Statutory Trust III (2) 8.91 26 25 Feb. 19, 2003 April 7, 2033 Flagstar Statutory Trust IV (2) 8.84 26 25 Mar. 19, 2003 Mar 19, 2033 Flagstar Statutory Trust V (2) 7.66 26 25 Dec 29, 2004 Jan. 7, 2035 Flagstar Statutory Trust VI (2) 7.66 26 25 Mar. 30, 2005 April 7, 2035 Flagstar Statutory Trust VII (2) 7.40 51 50 Mar. 29, 2005 June 15, 2035 Flagstar Statutory Trust VIII (2) 7.16 26 25 Sept. 22, 2005 Oct. 7, 2035 Flagstar Statutory Trust IX (2) 7.10 26 25 June 28, 2007 Sept. 15, 2037 Flagstar Statutory Trust X (2) 8.15 15 15 Aug. 31, 2007 Sept 15, 2037 Total junior subordinated debentures (3) $ 609 $ 589 (1) Callable subject to certain conditions as described in the prospectus filed with the SEC on November 4, 2002. (2) Callable at any time. (3) Excludes Flagstar Acquisition fair value adjustments of $30 million. At December 31, 2023 and December 31, 2022, the Company had a total of $438 million and $432 million subordinated notes outstanding; respectively, of fixed-to-floating rate subordinated notes outstanding: Date of Original Issue Stated Maturity Interest Rate Original Issue Amount November 6, 2018 November 6, 2028 (1) 5.900% $ 300 October 28, 2020 November 1, 2030 (2) 4.125% $ 150 (1) From and including the date of original issuance to, but excluding November 6, 2023, the Notes will bear interest at an initial rate of 5.90 percent per annum payable semi-annually. Unless redeemed, from and including November 6, 2023 to but excluding the maturity date, the interest rate will reset quarterly to an annual interest rate equal to the then-current three-month SOFR rate plus 304.16 b asis points payable quarterly. (2) |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Statistical Disclosure for Banks [Abstract] | |
Deposit Liabilities, Type | The following table sets forth the weighted average interest rates for each type of deposit at December 31, 2023 and 2022: December 31, 2023 2022 (dollars in millions) Amount Percent of Total Weighted Average Interest Rate Amount Percent of Total Weighted Average Interest Rate Interest-bearing checking and money market accounts $ 30,700 37.66 % 3.51 % $ 22,511 38.34 % 2.66 % Savings accounts 8,773 10.76 % 2.67 % 11,645 19.83 % 1.30 % Certificates of deposit 21,554 26.44 % 4.42 % 12,510 21.30 % 2.04 % Non-interest-bearing accounts 20,499 25.14 % — % 12,055 20.53 % — % Total deposits $ 81,526 100.00 % 2.79 % $ 58,721 100.00 % 1.71 % |
Time Deposit Maturities | The scheduled maturities of certificates of deposit at December 31, 2023 were as follows: (in millions) 1 year or less $ 17,321 More than 1 year through 2 years 3,879 More than 2 years through 3 years 229 More than 3 years through 4 years 142 More than 4 years through 5 years 7 Over 5 years 3 Total CDs (1) $ 21,581 (1) Excludes PAA |
Federal, State, and Local Tax_2
Federal, State, and Local Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Deferred Tax Assets and Liabilities | The following table summarizes the components of the Company’s net deferred tax asset (liability) at December 31, 2023 and 2022 : December 31, (in millions) 2023 2022 Deferred Tax Assets: Allowance for credit losses on loans and leases $ 253 $ 102 Acquisition accounting and fair value adjustments on securities (including OTTI) 188 227 Acquisition accounting and fair value adjustments on loans — 36 Capitalized loan costs 46 Right of Use Liability 32 — Compensation and related benefit obligations 30 23 Capitalized research and development costs — 10 Accrued Expenses 19 — Net operating loss carryforwards 8 15 Other 22 18 Gross deferred tax assets 552 477 Valuation allowance (5) (5) Net deferred tax asset after valuation allowance $ 547 $ 472 Deferred Tax Liabilities: Leases $ (492) $ (328) Mortgage servicing rights (79) (105) Premises and equipment (44) (18) Prepaid pension cost (35) (29) Fair value adjustments on loans (210) — Amortizable intangibles (127) (71) Acquisition accounting and fair value adjustments on deposits (2) (9) Right of Use Asset (32) — Deferred Loan fees (13) — Acquisition accounting and fair value adjustments on debt (9) (10) Other (21) (9) Gross deferred tax liabilities $ (1,064) $ (579) Net deferred tax liability $ (517) $ (107) |
Components of the Provision (Benefit) for Income Taxes | The following table summarizes the Company’s income tax expense for the years ended December 31, 2023 , 2022 , and 2021: December 31, (in millions) 2023 2022 2021 Federal – current $ 156 $ 147 $ 188 State and local – current 59 32 35 Total current 215 179 223 Federal – deferred (137) (10) (28) State and local – deferred (49) 7 15 Total deferred (186) (3) (13) Income tax expense reported in net income 29 176 210 Income tax expense reported in stockholders’ equity related to: Securities available-for-sale 15 (223) (42) Pension liability adjustments 6 (6) 10 Cash flow hedge (14) 23 9 Total income taxes $ 36 $ (30) $ 187 |
Summary of Differences Between the Effective Tax Rate and the Statutory Federal Tax Rate | The following table presents a reconciliation of statutory federal income tax expense (benefit) to combined actual income tax expense (benefit) reported in net income for the years ended December 31, 2023, 2022 , and 2021 : December 31, (in millions) 2023 2022 2021 Statutory federal income tax at 21% $ (10) $ 174 $ 169 State and local income taxes, net of federal income tax effect 8 31 40 Tax Exempt income $ (6) $ — $ — Non-taxable bargain gain (447) (33) — Non-deductible goodwill impairment $ 509 $ — $ — Non-deductible FDIC deposit insurance premiums 16 10 9 Effect of tax deductibility of deferred compensation $ (3) $ (3) $ (3) Non-taxable income and expense of BOLI (9) (7) (6) Non-deductible merger expenses $ — $ 3 $ 3 Non-deductible compensation expense 1 4 — Federal tax credits $ (31) $ (1) $ — Adjustments relating to prior tax years 2 (1) (1) Other, net (1) (1) (1) Total income tax expense $ 29 $ 176 $ 210 |
Summary of Income Tax Contingencies | The following table summarizes changes in the liability for unrecognized gross tax benefits for the years ended December 31, 2023, 2022 , and 2021 : December 31, (in millions) 2023 2022 2021 Uncertain tax positions at beginning of year $ 40 $ 39 $ 38 Additions for tax positions relating to current-year operations 1 1 2 Additions for tax positions relating to prior tax years 2 — 1 Subtractions for tax positions relating to prior tax years (1) — (2) Uncertain tax positions at end of year $ 42 $ 40 $ 39 |
Stock-Related Benefits Plans (T
Stock-Related Benefits Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Nonvested Restricted Stock Shares Activity | The following table provides a summary of activity with regard to restricted stock awards (RSAs): Year Ended December 31, 2023 Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 9,576,602 $ 10.92 Granted 9,995,495 10.24 Vested (3,105,582) 10.99 Forfeited (1,292,574) 10.62 Unvested at end of period 15,173,941 $ 10.49 |
Summary of Performance-Based Restricted Stock Activity | The following table provides a summary of activity with regard to Performance-Based Restricted Stock Units ("PSUs") in the year ended December 31, 2023: Number of Weighted Performance Expected Outstanding at beginning of year 794,984 $ 10.73 Granted 566,656 8.95 Released (143,352) 10.34 Forfeited — — Outstanding at end of period 1,218,288 9.95 January 1, 2022 - December 31, 2025 March 31, 2023 - 2026 |
Derivative and Hedging Activi_2
Derivative and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Financial Instruments | The following tables set forth information regarding the Company’s derivative financial instruments: December 31, 2023 Fair Value (in millions) Notional Amount Other Assets Other Liabilities Expiration Dates Derivatives designated as cash flow hedging instruments: Interest rate swaps on FHLB advances $ 5,500 $ — $ 2 2025-2028 Total 5,500 — 2 Derivatives designated as fair value hedging instruments: Interest rate swaps on multi-family loans held for investment $ 2,000 $ — $ 1 2025-2027 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 1,012 $ 11 $ — 2024 Rate lock commitments 1,490 12 — 2024 Interest rate swaps and swaptions 5,431 115 — 2024-2041 Total $ 7,933 $ 138 $ — Liabilities Futures $ 2,235 $ — $ 1 2024 Mortgage-backed securities forwards 1,048 $ — 32 2024 Rate lock commitments 77 — 3 2024 Interest rate swaps and swaptions 2,720 — 59 2024-2054 Total derivatives not designated as hedging instruments $ 6,080 $ — $ 95 December 31, 2022 Fair Value (in millions) Notional Amount Other Assets Other Liabilities Expiration Date Derivatives designated as cash flow hedging instruments: Interest rate swaps $ 3,750 $ 5 $ — 2023-2027 Total 3,750 5 — Derivatives not designated as hedging instruments: Assets Futures $ 1,205 $ 2 $ — 2023 Mortgage-backed securities forwards 1,065 36 — 2023 Rate lock commitments 1,539 9 — 2023 Interest rate swaps and swaptions 7,594 182 — 2023-2032 Total $ 11,403 $ 229 $ — Liabilities Mortgage-backed securities forwards $ 739 $ — $ 61 2023 Rate lock commitments 527 — 10 2023 Interest rate swaps and swaptions 2,445 — 65 2023-2053 Total derivatives not designated as hedging instruments $ 3,711 $ — $ 136 |
Offsetting Liabilities | The following table presents the derivatives subject to a master netting agreement, including the cash pledged as collateral: December 31, 2023 Gross Amounts Not Offset in the Statements of Condition (in millions) Gross Amount Gross Amounts Netted in the Statements of Condition Net Amount Presented in the Statements of Condition Financial Instruments Cash Collateral Pledged (Received) Derivatives designated hedging instruments: Interest rate swaps on FHLB advances $ 2 $ — $ 2 $ — $ 75 Interest rate swaps on multi-family loans held for investment (1) $ 1 $ — $ 1 $ — $ 27 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 11 $ — $ 11 $ — $ (1) Interest rate swaptions 115 — 115 — (34) Total derivative assets $ 126 $ — $ 126 $ — $ (35) Liabilities Futures $ 1 $ — $ 1 $ — $ 3 Mortgage-backed securities forwards 32 — 32 — 57 Interest rate swaps (1) 59 — 59 — 42 Total derivative liabilities $ 92 $ — $ 92 $ — $ 102 (1) Variation margin pledged to, or received from, a Central Counterparty Clearing House to cover the prior days fair value of open positions is considered settlement of the derivative position for accounting purposes. The following table presents the derivatives subject to a master netting agreement, including the cash pledged as collateral: December 31, 2022 Gross Amounts Not Offset in the Statements of Condition (in millions) Gross Amount Gross Amounts Netted in the Statements of Condition Net Amount Presented in the Statements of Condition Financial Instruments Cash Collateral Pledged (Received) Derivatives designated hedging instruments: Interest rate swaps on FHLB advances $ 5 $ — $ 5 $ 4 $ 27 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 36 $ — $ 36 $ — $ (9) Interest rate swaptions 182 — 182 — (36) Futures 2 2 1 Total derivative assets $ 220 $ — $ 220 $ — $ (44) Liabilities Mortgage-backed securities forwards $ 61 $ — $ 61 $ — $ 54 Interest rate swaps (1) 65 — 65 — 29 Total derivative liabilities $ 126 $ — $ 126 $ — $ 83 (1) Variation margin pledged to, or received from, a Central Counterparty Clearing House to cover the prior days fair value of open positions is considered settlement of the derivative position for accounting purposes. |
Offsetting Assets | The following table presents the derivatives subject to a master netting agreement, including the cash pledged as collateral: December 31, 2023 Gross Amounts Not Offset in the Statements of Condition (in millions) Gross Amount Gross Amounts Netted in the Statements of Condition Net Amount Presented in the Statements of Condition Financial Instruments Cash Collateral Pledged (Received) Derivatives designated hedging instruments: Interest rate swaps on FHLB advances $ 2 $ — $ 2 $ — $ 75 Interest rate swaps on multi-family loans held for investment (1) $ 1 $ — $ 1 $ — $ 27 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 11 $ — $ 11 $ — $ (1) Interest rate swaptions 115 — 115 — (34) Total derivative assets $ 126 $ — $ 126 $ — $ (35) Liabilities Futures $ 1 $ — $ 1 $ — $ 3 Mortgage-backed securities forwards 32 — 32 — 57 Interest rate swaps (1) 59 — 59 — 42 Total derivative liabilities $ 92 $ — $ 92 $ — $ 102 (1) Variation margin pledged to, or received from, a Central Counterparty Clearing House to cover the prior days fair value of open positions is considered settlement of the derivative position for accounting purposes. The following table presents the derivatives subject to a master netting agreement, including the cash pledged as collateral: December 31, 2022 Gross Amounts Not Offset in the Statements of Condition (in millions) Gross Amount Gross Amounts Netted in the Statements of Condition Net Amount Presented in the Statements of Condition Financial Instruments Cash Collateral Pledged (Received) Derivatives designated hedging instruments: Interest rate swaps on FHLB advances $ 5 $ — $ 5 $ 4 $ 27 Derivatives not designated as hedging instruments: Assets Mortgage-backed securities forwards $ 36 $ — $ 36 $ — $ (9) Interest rate swaptions 182 — 182 — (36) Futures 2 2 1 Total derivative assets $ 220 $ — $ 220 $ — $ (44) Liabilities Mortgage-backed securities forwards $ 61 $ — $ 61 $ — $ 54 Interest rate swaps (1) 65 — 65 — 29 Total derivative liabilities $ 126 $ — $ 126 $ — $ 83 (1) Variation margin pledged to, or received from, a Central Counterparty Clearing House to cover the prior days fair value of open positions is considered settlement of the derivative position for accounting purposes. |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) | Interest rate swaps with notional amounts totaling $5.5 billion and $3.8 billion as of December 31, 2023 and December 31, 2022, were designated as cash flow hedges of certain FHLB borrowings. The following table presents the effect of the Company’s cash flow derivative instruments on AOCL: For the Years Ended December 31, (in millions) 2023 2022 2021 Amount of gain (loss) recognized in AOCL $ 9 $ 88 $ 8 Amount of reclassified from AOCL to interest expense $ (65) $ (4) $ 25 |
Schedule of Net Gain (Loss) Recognized in Income on Derivative Instruments | The following table presents the net gain (loss) recognized in income on derivatives not designated as hedging instruments, net of the impact of offsetting positions: For the Years Ended December 31, (dollars in millions) 2023 2022 Derivatives not designated as hedging instruments Location of Gain (Loss) Futures Net return on mortgage servicing rights $ 1 $ (1) Interest rate swaps and swaptions Net return on mortgage servicing rights (34) (11) Mortgage-backed securities forwards Net return on mortgage servicing rights (15) (4) Rate lock commitments and US Treasury futures Net gain on loan sales 2 28 Forward commitments Other noninterest income — (1) Interest rate swaps (1) Other non-interest income (1) — Total derivative (loss) gain $ (47) $ 11 (1) Includes customer-initiated commercial interest rate swaps. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill and related changes in the carrying amount during the year ended December 31, 2023 are as follows: (in millions) Gross Carrying Amount Balance at December 31, 2022 $ 2,426 Impairment (2,426) Balance at December 31, 2023 $ — |
Schedule of Finite-Lived Intangible Assets | At December 31, 2023 , intangible assets consisted of the following: December 31, 2023 December 31, 2022 (in millions) Gross Carrying Amount Accumulated Amortization Net Carrying Value Gross Carrying Amount Accumulated Amortization Net Carrying Value Core deposit intangible $ 700 $ (113) $ 587 $ 250 $ (4) $ 246 Other intangible assets 56 (18) 38 42 (1) 41 Total other intangible assets $ 756 $ (131) $ 625 $ 292 $ (5) $ 287 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated amortization expense of CDI and other intangible assets for the next five years is as follows: (in millions) Amortization Expense 2024 $ 132 2025 107 2026 94 2027 81 2028 68 Total $ 482 |
Capital (Tables)
Capital (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Broker-Dealer [Abstract] | |
Regulatory Capital Ratios | The following table presents the actual capital amounts and ratios for the Company: Risk-Based Capital December 31, 2023 Common Equity Tier 1 Tier 1 Total Leverage Capital (dollars in millions) Amount Ratio Amount Ratio Amount Ratio Amount Ratio Total capital $ 8,009 9.05 % $ 8,512 9.62 % $ 10,415 11.77 % $ 8,512 7.75 % Minimum for capital adequacy purposes 3,983 4.50 5,310 6.00 7,081 8.00 4,392 4.00 Excess $ 4,026 4.55 % $ 3,202 3.62 % $ 3,334 3.77 % $ 4,120 3.75 % December 31, 2022 Total capital $ 6,335 9.06 % $ 6,838 9.78 % $ 8,154 11.66 % $ 6,838 9.70 % Minimum for capital adequacy purposes 3,146 4.50 4,195 6.00 5,593 8.00 2,819 4.00 Excess $ 3,189 4.56 % $ 2,643 3.78 % $ 2,561 3.66 % $ 4,019 5.70 % The following table presents the actual capital amounts and ratios for the Bank: Risk-Based Capital December 31, 2023 Common Equity Tier 1 Tier 1 Total Leverage Capital (dollars in millions) Amount Ratio Amount Ratio Amount Ratio Amount Ratio Total capital $ 9,305 10.52 % $ 9,305 10.52 % $ 10,271 11.61 % $ 9,305 8.48 % Minimum for capital adequacy purposes 3,980 4.50 5,307 6.00 7,076 8.00 4,389 4.00 Excess $ 5,325 6.02 % $ 3,998 4.52 % $ 3,195 3.61 % $ 4,916 4.48 % December 31, 2022 Total capital $ 7,653 10.96 % $ 7,653 10.96 % $ 7,982 11.43 % $ 7,653 10.87 % Minimum for capital adequacy purposes 3,142 4.50 4,189 6.00 5,585 8.00 2,817 4.00 Excess $ 4,511 6.46 % $ 3,464 4.96 % $ 2,397 3.43 % $ 4,836 6.87 % |
Fair Value Measures (Tables)
Fair Value Measures (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments Carried at Fair Value | The following tables present assets and liabilities that were measured at fair value on a recurring basis as of December 31, 2023 and December 31, 2022, and that were included in the Company’s Consolidated Statements of Condition at those dates: December 31, 2023 (in millions) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Netting Adjustments Total Fair Value Assets: Mortgage-related Debt Securities Available for Sale: GSE certificates $ — $ 1,221 $ — $ — $ 1,221 GSE CMOs — 5,162 — — 5,162 Private Label CMOs — 148 32 — 180 Total mortgage-related debt securities $ — $ 6,531 $ 32 $ — $ 6,563 Other Debt Securities Available for Sale: U. S. Treasury obligations $ 198 $ — $ — $ — $ 198 GSE debentures — 1,609 — — 1,609 Asset-backed securities — 302 — — 302 Municipal bonds — 6 — — 6 Corporate bonds — 343 — — 343 Foreign notes — 34 — — 34 Capital trust notes — 90 — — 90 Total other debt securities $ 198 $ 2,384 $ — $ — $ 2,582 Total debt securities available for sale $ 198 $ 8,915 $ 32 $ — $ 9,145 Equity securities: Mutual funds and common stock — 14 — — 14 Total equity securities — 14 — — 14 Total securities $ 198 $ 8,929 $ 32 $ — $ 9,159 Loans held-for-sale Residential first mortgage loans $ — $ 770 $ — $ — $ 770 Acquisition, development, and construction — 123 — — 123 Commercial and industrial loans — — 9 — — 9 Derivative assets Interest rate swaps and swaptions — 115 — — 115 Futures — — — — — Rate lock commitments (fallout-adjusted) — — 12 — 12 Mortgage-backed securities forwards — 11 — — 11 Mortgage servicing rights — — 1,111 — 1,111 Total assets at fair value $ 198 $ 9,957 $ 1,155 $ — $ 11,310 Derivative liabilities Mortgage-backed securities forwards — 32 — — 32 Futures — 1 — — 1 Interest rate swaps and swaptions — 59 — — 59 Rate lock commitments (fallout-adjusted) — — 3 — 3 Total liabilities at fair value $ — $ 92 $ 3 $ — $ 95 December 31, 2022 (in millions) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Netting Adjustments Total Fair Value Assets: Mortgage-related Debt Securities Available for Sale: GSE certificates $ — $ 1,297 $ — $ — $ 1,297 GSE CMOs — 3,301 — — 3,301 Private Label CMOs — 191 — — 191 Total mortgage-related debt securities $ — $ 4,789 $ — $ — $ 4,789 Other Debt Securities Available for Sale: U. S. Treasury obligations $ 1,487 $ — $ — $ — $ 1,487 GSE debentures — 1,398 — — 1,398 Asset-backed securities — 361 — — 361 Municipal bonds — 30 — — 30 Corporate bonds — 885 — — 885 Foreign notes — 20 — — 20 Capital trust notes — 90 — — 90 Total other debt securities $ 1,487 $ 2,784 $ — $ — $ 4,271 Total debt securities available for sale $ 1,487 $ 7,573 $ — $ — $ 9,060 Equity securities: Mutual funds and common stock — 14 — — 14 Total equity securities — 14 — — 14 Total securities $ 1,487 $ 7,587 $ — $ — $ 9,074 Loans held-for-sale Residential first mortgage loans $ — $ 1,115 $ — $ — $ 1,115 Derivative assets Interest rate swaps and swaptions — 182 — — 182 Futures — 2 — — 2 Rate lock commitments (fallout-adjusted) — — 9 — 9 Mortgage-backed securities forwards — 36 — — 36 Mortgage servicing rights — — 1,033 — 1,033 Total assets at fair value $ 1,487 $ 8,922 $ 1,042 $ — $ 11,451 Derivative liabilities Mortgage-backed securities forwards — 61 — — 61 Interest rate swaps and swaptions — 65 — — 65 Rate lock commitments (fallout-adjusted) — — 10 — 10 Total liabilities at fair value $ — $ 126 $ 10 $ — $ 136 |
Roll Forward of Financial Instruments | The following tables include a roll forward of the Consolidated Statements of Condition amounts (including the change in fair value) for financial instruments classified by us within Level 3 of the valuation hierarchy: (dollars in millions) Balance at Beginning of Year Total Gains / (Losses) Recorded in Earnings (1) Purchases / Originations Sales Settlement Transfers In (Out) Balance at End of Year Year Ended December 31, 2023 Assets Mortgage servicing rights (1) $ 1,033 $ (79) $ 208 $ (51) — — $ 1,111 Private Label CMOs — — — — — 32 32 Rate lock commitments (net) (1)(2) (1) (49) 104 — — (45) 9 Totals $ 1,032 $ (128) $ 312 $ (51) $ — $ (13) $ 1,152 (1) We utilized swaptions, futures, forward agency and loan sales and interest rate swaps to manage the risk associated with mortgage servicing rights and rate lock commitments. Gains and losses for individual lines do not reflect the effect of our risk management activities related to such Level 3 instruments. (2) Rate lock commitments are reported on a fallout-adjusted basis. Transfers out of Level 3 represent the settlement value of the commitments that are transferred to LHFS, which are classified as Level 2 assets. |
Quantitative Information about Recurring Level 3 Fair Value Financial Instruments | The following tables present the quantitative information about recurring Level 3 fair value financial instruments and the fair value measurements as of December 31, 2023: Fair Value Valuation Technique Unobservable Input (1) Range (dollars in millions) Assets Mortgage servicing rights $1,111 Discounted cash flows Option adjusted spread 5.0% - 21.7% 5.4% Constant prepayment rate 0.0% - 10.0% 7.9% Weighted average cost to service per loan $65.0 - $90.0 $69.0 Private Label CMOs $32 Discounted cash flows Constant default rates 0.10% - 0.30% Weighted average life 8.2 - 11.8 Rate lock commitments (net) $9 Consensus pricing Origination pull-through rate 64.30% (1) Unobservable inputs were weighted by their relative fair value of the instruments. |
Assets Measured at Fair Value on a Nonrecurring Basis | The following tables present assets that were measured at fair value on a non-recurring basis as of December 31, 2023 and December 31, 2022, and that were included in the Company’s Consolidated Statements of Condition at those dates: Fair Value Measurements at December 31, 2023 Using (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Fair Value Certain impaired loans (1) $ — $ — $ 197 $ 197 Other assets (2) — — 50 50 Total $ — $ — $ 247 $ 247 (1) Represents the fair value of impaired loans, based on the value of the collateral. (2) Represents the fair value of repossessed assets, based on the appraised value of the collateral subsequent to its initial classification as repossessed assets and equity securities without readily determinable fair values. These equity securities are classified as Level 3 due to the infrequency of the observable prices and/or the restrictions on the shares. Fair Value Measurements at December 31, 2022 Using (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Fair Value Certain impaired loans (1) $ — $ — $ 28 $ 28 Other assets (2) — — 41 41 Total $ — $ — $ 69 $ 69 (1) Represents the fair value of impaired loans, based on the value of the collateral. (2) Represents the fair value of repossessed assets, based on the appraised value of the collateral subsequent to its initial classification as repossessed assets and equity securities without readily determinable fair values. These equity securities are classified as Level 3 due to the infrequency of the observable prices and/or the restrictions on the shares. |
Carrying Amount and Estimated Fair Value of Financial Instruments | The following tables summarize the carrying values, estimated fair values, and fair value measurement levels of financial instruments that were not carried at fair value on the Company’s Consolidated Statements of Condition at December 31, 2023 and December 31, 2022: December 31, 2023 Fair Value Measurement Using (in millions) Carrying Value Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets: Cash and cash equivalents $ 11,475 $ 11,475 $ 11,475 $ — $ — FHLB and FRB stock (1) $ 1,392 $ 1,392 $ — $ 1,392 $ — Loans and leases held for investment, net $ 83,627 $ 79,333 $ — $ — $ 79,333 Financial Liabilities: Deposits $ 81,526 $ 81,247 $ 59,972 (2) $ 21,275 (3) $ — Borrowed funds $ 21,267 $ 21,082 $ — $ 21,082 $ — (1) Carrying value and estimated fair value are at cost. (2) Interest-bearing checking and money market accounts, savings accounts, and non-interest-bearing accounts. (3) Certificates of deposit. December 31, 2022 Fair Value Measurement Using (in millions) Carrying Value Estimated Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets: Cash and cash equivalents $ 2,032 $ 2,032 $ 2,032 $ — $ — FHLB and FRB stock (1) $ 1,267 $ 1,267 $ — $ 1,267 $ — Loans and leases held for investment, net $ 68,608 $ 65,673 $ — $ — $ 65,673 Financial Liabilities: Deposits $ 58,721 $ 58,479 $ 46,211 (2) $ 12,268 (3) $ — Borrowed funds $ 21,332 $ 21,231 $ — $ 21,231 — (1) Carrying value and estimated fair value are at cost. (2) Interest-bearing checking and money market accounts, savings accounts, and non-interest-bearing accounts. (3) Certificates of deposit. |
Changes in Fair Value Included in Earnings - Fair Value Option | The following table reflects the change in fair value included in earnings of financial instruments for which the fair value option has been elected: For the Years Ended December 31, (dollars in millions) 2023 2022 Assets Loans held-for-sale Net gain on loan sales $ 43 $ 8 |
Differences Between Aggregate Fair Value and Aggregate Remaining Contractual Principal Balance Outstanding - Fair Value Option | The following table reflects the difference between the aggregate fair value and aggregate remaining contractual principal balance outstanding for assets and liabilities for which the fair value option has been elected: December 31, 2023 (dollars in millions) Unpaid Principal Balance Fair Value Fair Value Over / (Under) UPB Assets: Nonaccrual loans: Loans held-for-sale $ 2 $ 2 $ — Total non-accrual loans $ 2 $ 2 $ — Other performing loans: Loans held-for-sale $ 869 $ 894 $ 25 Total other performing loans $ 869 $ 894 $ 25 Total loans: Loans held-for-sale $ 871 $ 896 $ 25 Total loans $ 871 $ 896 $ 25 December 31, 2022 (dollars in millions) Unpaid Principal Balance Fair Value Fair Value Over / (Under) UPB Assets: Other performing loans: Loans held-for-sale $ 1,095 $ 1,115 $ 20 Total other performing loans $ 1,095 $ 1,115 $ 20 Total loans: Loans held-for-sale $ 1,095 $ 1,115 $ 20 Total loans $ 1,095 $ 1,115 $ 20 |
Employee Benefits (Tables)
Employee Benefits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Defined Benefit Plan, Plan with Projected Benefit Obligation in Excess of Plan Assets | The following table indicates the weighted average assumptions used in determining the net periodic benefit cost for the years indicated: Years Ended December 31, 2023 2022 2021 Discount rate 4.9 % 2.6 % 2.2 % Expected rate of return on plan assets 6.3 6.0 6.3 The following table sets forth certain information regarding the Health & Welfare Plan as of the dates indicated: December 31, (in millions) 2023 2022 Change in benefit obligation: Benefit obligation at beginning of year $ 7 $ 10 Interest cost 1 — Actuarial gain 1 (2) Premiums and claims paid (1) (1) Benefit obligation at end of year $ 8 $ 7 Change in plan assets: Fair value of assets at beginning of year $ — $ — Employer contribution 1 1 Premiums and claims paid (1) (1) Fair value of assets at end of year $ — $ — Funded status (included in “Other liabilities”) $ (8) $ (7) Changes recognized in other comprehensive income for the year ended December 31: Amortization of prior service cost — Amortization of actuarial gain — Net actuarial (gain) loss arising during the year 1 (2) Total recognized in other comprehensive income for the year (pre-tax) $ 1 $ (2) Accumulated other comprehensive (gain) loss (pre-tax) not yet recognized in net periodic benefit cost at December 31: Prior service cost — Actuarial (gain) loss, net (1) (2) Total accumulated other comprehensive income (pre-tax) $ (1) $ (2) The following table presents the weighted average assumptions used in determining the net periodic benefit cost for the years indicated: Years Ended December 31, 2023 2022 2021 Discount rate 4.8% 2.3% 2.0% Current medical trend rate 6.5 6.5 6.5 Ultimate trend rate 5.0 5.0 5.0 Year when ultimate trend rate will be reached 2029 2028 2027 |
Schedule of Allocation of Plan Assets | Based on the above considerations, the following asset allocation ranges will be implemented: Asset Allocation Parameters by Asset Class Equity Minimum Target Maximum U.S. Large-Cap 27% U.S. Mid-Cap 7% U.S. Small-Cap 7% Non-U.S. 14% Total - Equity 45% 55% 65% Total - Fixed Income/Cash Equivalents 35% 45% 55% The following table presents information about the fair value measurements of the investments held by the Retirement Plan as of December 31, 2023 : (in millions) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Equity: Large-cap value (1) $ 12 $ 12 $ — $ — Large-cap growth (2) 22 22 — — Large-cap core (3) 17 17 — — Mid-cap core (4) 15 15 — — Small-cap core (5) 16 16 — — International growth (6) 18 18 — — International value (7) 10 10 — — Fixed Income Funds: Intermediate - Core Plus (8) 98 98 — — Equity Securities: Company common stock 31 31 — — Common/Collective Trusts-Equity: Large cap value (9) 13 — 13 — Cash Equivalents: Money market (10) 1 1 — $ 253 $ 240 $ 13 $ — (1) This category consists of a mutual fund holding 100-160 stocks, designed to track and outperform the Russell 1000 Value Index. (2) This category consists of two mutual funds which invest primarily in large-cap U.S. - based growth companies, one concentrating on long-term capital growth, the other in long-term capital appreciation and current income. (3) This category contains stocks of the S&P 500 Index. The stocks are maintained in approximately the same weightings as the index. (4) This category contains stocks of the CRSP U.S. Mid Cap Index, a broadly diversified index of stocks of medium-size U.S. companies. The stocks are maintained. (5) This category seeks long-term capital appreciation through investment primarily in common stock of small-capitalization companies, with similar risk levels and characteristics to the Russell 2000 Index. (6) This category consists of investments with long-term growth potential located primarily in Europe, the Pacific Basin, and other developed and emerging markets. (7) This category invests primarily in medium to large well-established non-US companies. Under normal circumstances, at least 80 percent of total assets will be invested in equity securities, including common stocks, preferred stocks, and convertible securities. (8) This category currently includes equal investments in four mutual funds, seeking to outperform the Bloomberg Barclays U.S. Aggregate Bond Index. Two of the funds hold at least 80 percent in investment grade fixed-income securities while one other holds at least 65 percent; the fourth fund targets investments of 50 percent or more in mortgage-backed securities guaranteed by the US government and its agencies. (9) This category contains large-cap stocks with above-average yield. The portfolio typically holds between 60 and 70 stocks. (10) This category consists of a money market fund and is used for liquidity purposes. |
Schedule of Net Benefit Costs | The components of net periodic pension (credit) expense were as follows for the years indicated: Years Ended December 31, (in millions) 2023 2022 2021 Components of net periodic pension expense (credit): Interest cost $ 5 $ 4 $ 4 Expected return on plan assets (14) (16) (16) Amortization of net actuarial loss 7 2 7 Net periodic pension credit $ (2) $ (10) $ (5) |
Defined Benefit Plan, Plan Assets, Allocation | The asset allocations for the Retirement Plan were as follows: December 31, 2023 2022 Equity securities 61 % 60 % Debt securities 39 % 38 % Cash equivalents — % 2 % Total 100 % 100 % |
Schedule of Expected Benefit Payments | The following annuity payments, which reflect expected future service, as appropriate, are expected to be paid by the Retirement Plan during the years indicated: (in millions) 2024 $ 8 2025 8 2026 8 2027 8 2028 8 2029 and thereafter 43 Total $ 83 The following amounts are currently expected to be paid for premiums and claims during the years indicated under the Health & Welfare Plan: (in millions) 2024 $ 1 2025 1 2026 1 2027 1 2028 1 2029 and thereafter 2 Total $ 7 |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan | The following table sets forth certain information regarding the Retirement Plan as of the dates indicated: December 31, (in millions) 2023 2022 Change in Benefit Obligation: Benefit obligation at beginning of year $ 116 $ 158 Interest cost 5 4 Actuarial gain 2 (38) Annuity payments (7) (7) Settlements (1) (1) Benefit obligation at end of year $ 115 $ 116 Change in Plan Assets: Fair value of assets at beginning of year $ 228 $ 283 Actual return (loss) on plan assets 33 (47) Annuity payments (7) (7) Settlements (1) (1) Fair value of assets at end of year $ 253 $ 228 Funded status (included in “Other assets”) $ 138 $ 112 Changes recognized in other comprehensive income for the year ended December 31: Amortization of actuarial loss $ (7) $ (2) Net actuarial (gain) loss arising during the year (18) 26 Total recognized in other comprehensive income for the year (pre-tax) $ (25) $ 24 Accumulated other comprehensive loss (pre-tax) not yet recognized in net periodic benefit cost at December 31: Actuarial loss, net $ 41 $ 66 Total accumulated other comprehensive loss (pre-tax) $ 41 $ 66 |
Commitment and Contingencies (T
Commitment and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of the Contractual Amount of Significant Commitments | The following table summarizes the Company’s off-balance sheet commitments to originate loans and letters of credit: December 31, (in millions) 2023 2022 Multi-family and commercial real estate $ 52 $ 216 One-to-four family including interest rate locks 1,694 2,066 Acquisition, development, and construction 3,926 3,539 Warehouse loan commitments 7,074 8,042 Other loan commitments 11,315 7,964 Total loan commitments $ 24,061 $ 21,827 Commercial, performance stand-by, and financial stand-by letters of credit 915 541 Total commitments $ 24,976 $ 22,368 |
Schedule of Guarantor Obligations | The following table summarizes the Company’s guarantees and indemnifications at December 31, 2023: (in millions) Expires Within One Year Expires After One Year Total Outstanding Amount Maximum Potential Amount of Future Payments Financial stand-by letters of credit $ 254 $ 288 $ 542 $ 639 Performance stand-by letters of credit 100 2 102 102 Commercial letters of credit 3 — 3 174 Total letters of credit $ 357 $ 290 $ 647 $ 915 |
Parent Company-Only Financial_2
Parent Company-Only Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Statements of Condition | The following tables present the condensed financial statements for New York Community Bancorp, Inc. (Parent Company only): Condensed Statements of Condition December 31, (in millions) 2023 2022 ASSETS: Cash and cash equivalents $ 158 $ 121 Investments in subsidiaries 9,160 9,633 Other assets 80 85 Total assets $ 9,398 $ 9,839 LIABILITIES AND STOCKHOLDERS’ EQUITY: Junior subordinated debentures $ 579 $ 575 Subordinated notes 438 432 Other liabilities 14 8 Total liabilities $ 1,031 $ 1,015 Stockholders’ equity $ 8,367 $ 8,824 Total liabilities and stockholders’ equity $ 9,398 $ 9,839 |
Condensed Statements of Income | Condensed Statements of Income Years Ended December 31, (in millions) 2023 2022 2021 Dividends received from subsidiaries $ 580 $ 335 $ 380 Other income 2 160 1 Gross income 582 495 381 Operating expenses 108 55 50 Income before income tax benefit and equity in undistributed 474 440 331 Income tax benefit 25 14 14 Income before equity in undistributed (loss) earnings of subsidiaries 499 454 345 Equity in undistributed (loss) earnings of subsidiaries (578) 196 251 Net (loss) income $ (79) $ 650 $ 596 |
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows Years Ended December 31, (in millions) 2023 2022 2021 CASH FLOWS FROM OPERATING ACTIVITIES: Net (loss) income $ (79) $ 650 $ 596 Change in other assets 30 (3) (22) Change in other liabilities 6 (4) 1 Other, net 65 (130) 32 Equity in undistributed (loss) earnings of subsidiaries 578 (196) (251) Net cash provided by operating activities $ 600 $ 317 $ 356 CASH FLOWS FROM INVESTING ACTIVITIES: Cash acquired in business acquisition — 34 — Change in receivable from subsidiaries, net (32) 5 (3) Net cash (used in) provided by investing activities $ (32) $ 39 $ (3) CASH FLOWS FROM FINANCING ACTIVITIES: Treasury stock repurchased (12) (24) (16) Cash dividends paid on common and preferred stock (519) (350) (349) Net cash used in financing activities (531) (374) (365) Net increase (decrease) in cash and cash equivalents 37 (18) (12) Cash and cash equivalents at beginning of year 121 139 151 Cash and cash equivalents at end of year $ 158 $ 121 $ 139 |
Description of Business, Orga_3
Description of Business, Organization and Basis of Presentation (Details) | 12 Months Ended | ||
Dec. 31, 2023 division originator state branch $ / shares | Dec. 31, 2022 $ / shares | Nov. 23, 1993 $ / shares | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Shares issued price per share split adjusted basis (in usd per share) | 0.93 | ||
Number of traditional branches | branch | 420 | ||
Number of third-party mortgage originators | originator | 3,600 | ||
Number Of Local Divisions | division | 9 | ||
Number of states in which branches are located | state | 12 | ||
IPO | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
Shares issued, price per share (in usd per share) | $ 25 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Losses | |||
Cash and cash equivalents | $ 11,475,000,000 | $ 2,032,000,000 | |
Interest-bearing deposits | 10,700,000,000 | 837,000,000 | |
Securities reverse repurchase | 0 | 793,000,000 | |
Federal funds sold | 0 | 0 | |
Restricted cash | $ 134,000,000 | $ 50,000,000 | |
Percent of loans held for investment | 100% | 100% | |
Goodwill impairment | $ 2,426,000,000 | $ 0 | $ 0 |
Depreciation | 39,000,000 | 18,000,000 | 21,000,000 |
Investment in BOLI | 1,580,000,000 | 1,561,000,000 | |
Bank-owned life insurance | 43,000,000 | 32,000,000 | $ 29,000,000 |
LGG loans, repossessed assets | 14,000,000 | ||
Guarantees, fair value | 12,000,000 | 10,000,000 | |
Accumulated depreciation | (526,000,000) | (434,000,000) | |
Taxi medallions | 4,000,000 | 4,000,000 | |
Other repossessed assets | 5,000,000 | ||
OREO | $ 5,000,000 | $ 8,000,000 | |
Options available for future grants (in shares) | 16,143,893 | ||
Premises | |||
Financing Receivable, Allowance for Credit Losses | |||
Estimated useful lives | 20 years | ||
Furniture, fixtures and equipment, and building improvements | |||
Financing Receivable, Allowance for Credit Losses | |||
Estimated useful lives | 13 years 6 months | ||
Furniture, fixtures and equipment, and building improvements | Minimum | |||
Financing Receivable, Allowance for Credit Losses | |||
Estimated useful lives | 3 years | ||
Furniture, fixtures and equipment, and building improvements | Maximum | |||
Financing Receivable, Allowance for Credit Losses | |||
Estimated useful lives | 10 years | ||
Total loan commitments | |||
Financing Receivable, Allowance for Credit Losses | |||
Percent of loans held for investment | 60% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Estimated Useful Lives of Respective Assets (Details) | Dec. 31, 2023 |
Buildings | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 30 years |
Furniture, fixtures and equipment, and building improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 13 years 6 months |
Furniture, fixtures and equipment, and building improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 3 years |
Furniture, fixtures and equipment, and building improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 10 years |
Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 10 years |
ATMs | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 7 years |
Premises | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 20 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |||
Net (loss) income available to common stockholders | $ (112) | $ 617 | $ 563 |
Less: Dividends paid on and earnings allocated to participating securities | (5) | (8) | (7) |
(Loss) earnings applicable to common stock | $ (117) | $ 609 | $ 556 |
Weighted average common shares outstanding (in shares) | 713,643,550 | 483,603,395 | 463,865,661 |
Basic (loss) earnings per common share (in usd per share) | $ (0.16) | $ 1.26 | $ 1.20 |
Potential dilutive common shares | 0 | 1,530,950 | 767,058 |
Total shares for diluted earnings per common share compensation (in shares) | 713,643,550 | 485,134,345 | 464,632,719 |
Diluted (loss) earnings per common share and common share equivalents (in usd per share) | $ (0.16) | $ 1.26 | $ 1.20 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) $ in Millions | 12 Months Ended | |||||
Mar. 31, 2023 shares | Mar. 20, 2023 USD ($) branch | Dec. 01, 2022 USD ($) States loan shares | Dec. 31, 2023 USD ($) branch | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Business Acquisition [Line Items] | ||||||
Number of branches | 420 | |||||
Bargain purchase gain | $ | $ 159 | $ 2,131 | $ 159 | $ 0 | ||
Loans returned to the FDIC | $ | $ 449 | |||||
Core Deposits | ||||||
Business Acquisition [Line Items] | ||||||
Estimated useful life | 10 years | |||||
Signature Bridge Bank | ||||||
Business Acquisition [Line Items] | ||||||
Shares issued (in shares) | shares | 39,032,006 | |||||
Acquisition costs | $ | $ 223 | |||||
Signature Bridge Bank | Core Deposits | ||||||
Business Acquisition [Line Items] | ||||||
Estimated useful life | 10 years | |||||
Signature Bridge Bank | New York | ||||||
Business Acquisition [Line Items] | ||||||
Number of branches | 29 | |||||
Signature Bridge Bank | California | ||||||
Business Acquisition [Line Items] | ||||||
Number of branches | 7 | |||||
Signature Bridge Bank | North Carolina | ||||||
Business Acquisition [Line Items] | ||||||
Number of branches | 2 | |||||
Signature Bridge Bank | Connecticut | ||||||
Business Acquisition [Line Items] | ||||||
Number of branches | 1 | |||||
Signature Bridge Bank | Nevada | ||||||
Business Acquisition [Line Items] | ||||||
Number of branches | 1 | |||||
Flagstar Bancorp | ||||||
Business Acquisition [Line Items] | ||||||
Shares issued (in shares) | shares | 4.0151 | |||||
Bargain purchase gain | $ | $ 159 | |||||
Acquisition costs | $ | $ 99 | |||||
Number of states in which offices are located | States | 50 | |||||
Flagstar Bancorp | INDIANA | ||||||
Business Acquisition [Line Items] | ||||||
Number of branches | loan | 158 |
Business Combinations - Net Ass
Business Combinations - Net Assets Acquired (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Mar. 20, 2023 | Dec. 01, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Fair value adjustments: | |||||
Bargain purchase gain on Signature Transaction, as initially reported | $ 159 | $ 2,131 | $ 159 | $ 0 | |
Signature Bridge Bank | |||||
Business Acquisition [Line Items] | |||||
Net assets acquired before fair value adjustments | $ 2,973 | ||||
Fair value adjustments: | |||||
Loans | (727) | ||||
Core deposit and other intangibles | 464 | ||||
Certificates of deposit | 27 | ||||
Other net assets and liabilities | 39 | ||||
FDIC Equity Appreciation Instrument | (85) | ||||
Deferred tax liability | (690) | ||||
Measurement period adjustments, excluding taxes | 28 | ||||
Change in deferred tax liability | 102 | ||||
Signature Bridge Bank | Previously Reported | |||||
Business Acquisition [Line Items] | |||||
Net assets acquired before fair value adjustments | 2,086 | ||||
Fair value adjustments: | |||||
Bargain purchase gain on Signature Transaction, as initially reported | 2,001 | ||||
Signature Bridge Bank | Restatement Adjustment | |||||
Business Acquisition [Line Items] | |||||
Net assets acquired before fair value adjustments | 2,216 | ||||
Fair value adjustments: | |||||
Bargain purchase gain on Signature Transaction, as initially reported | $ 2,131 |
Business Combinations - Prelimi
Business Combinations - Preliminary Allocation (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Mar. 20, 2023 | Dec. 01, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Fair value of liabilities assumed: | |||||
Bargain purchase gain | $ 159 | $ 2,131 | $ 159 | $ 0 | |
Measurement Period Adjustments | |||||
Cash & cash equivalents | (142) | ||||
Signature Bridge Bank | |||||
Business Acquisition [Line Items] | |||||
Purchase Price consideration | $ 85 | ||||
Fair value of assets acquired: | |||||
Cash & cash equivalents | 24,901 | ||||
Loans held for sale | 232 | ||||
Loans held for investment: | 11,741 | ||||
CDI and other intangible assets | 464 | ||||
Other assets | 510 | ||||
Total assets acquired | 37,848 | ||||
Fair value of liabilities assumed: | |||||
Deposits | 33,507 | ||||
Other liabilities | 2,125 | ||||
Fair value of net identifiable assets | 2,973 | ||||
Measurement Period Adjustments | |||||
Loans held for investment: | (477) | ||||
Other assets | (169) | ||||
Total assets acquired | (788) | ||||
Deposits | (61) | ||||
Other liabilities | (857) | ||||
Total liabilities assumed | (918) | ||||
Fair value of net identifiable assets | 130 | ||||
Bargain purchase gain | 130 | ||||
Signature Bridge Bank | Previously Reported | |||||
Business Acquisition [Line Items] | |||||
Purchase Price consideration | 85 | ||||
Fair value of assets acquired: | |||||
Cash & cash equivalents | 25,043 | ||||
Loans held for sale | 232 | ||||
Loans held for investment: | 12,218 | ||||
CDI and other intangible assets | 464 | ||||
Other assets | 679 | ||||
Total assets acquired | 38,636 | ||||
Fair value of liabilities assumed: | |||||
Deposits | 33,568 | ||||
Other liabilities | 2,982 | ||||
Total liabilities assumed | 36,550 | ||||
Fair value of net identifiable assets | 2,086 | ||||
Bargain purchase gain | 2,001 | ||||
Signature Bridge Bank | Restatement Adjustment | |||||
Fair value of liabilities assumed: | |||||
Total liabilities assumed | 35,632 | ||||
Fair value of net identifiable assets | 2,216 | ||||
Bargain purchase gain | 2,131 | ||||
Signature Bridge Bank | Commercial and industrial | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 9,888 | ||||
Measurement Period Adjustments | |||||
Loans held for investment: | (214) | ||||
Signature Bridge Bank | Commercial and industrial | Previously Reported | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 10,102 | ||||
Signature Bridge Bank | Commercial real estate | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 1,680 | ||||
Measurement Period Adjustments | |||||
Loans held for investment: | (262) | ||||
Signature Bridge Bank | Commercial real estate | Previously Reported | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 1,942 | ||||
Signature Bridge Bank | Consumer and other | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 173 | ||||
Measurement Period Adjustments | |||||
Loans held for investment: | (1) | ||||
Signature Bridge Bank | Consumer and other | Previously Reported | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | $ 174 | ||||
Flagstar Bancorp | |||||
Business Acquisition [Line Items] | |||||
Purchase Price consideration | 2,010 | ||||
Fair value of assets acquired: | |||||
Cash & cash equivalents | 331 | ||||
Securities | 2,695 | ||||
Loans held for sale | 1,257 | ||||
Loans held for investment: | 18,008 | ||||
CDI and other intangible assets | 292 | ||||
Mortgage servicing rights | 1,012 | ||||
Other assets | 2,158 | ||||
Total assets acquired | 25,753 | ||||
Fair value of liabilities assumed: | |||||
Deposits | 15,995 | ||||
Borrowings | 6,700 | ||||
Other liabilities | 889 | ||||
Total liabilities assumed | 23,584 | ||||
Fair value of net identifiable assets | $ 2,169 | ||||
Bargain purchase gain | 159 | ||||
Measurement Period Adjustments | |||||
Fair value of net identifiable assets | $ 30 | ||||
Flagstar Bancorp | Commercial and industrial | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 3,891 | ||||
Flagstar Bancorp | Commercial real estate | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 6,523 | ||||
Flagstar Bancorp | Consumer and other | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | 2,156 | ||||
Flagstar Bancorp | One-to-four family first mortgage | |||||
Fair value of assets acquired: | |||||
Loans held for investment: | $ 5,438 |
Business Combinations - PCD Loa
Business Combinations - PCD Loans Acquired (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Mar. 20, 2023 | Dec. 01, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | |
Business Acquisition [Line Items] | ||||
ACL at acquisition | $ (13) | $ (51) | ||
Signature Bridge Bank | ||||
Business Acquisition [Line Items] | ||||
Par value (UPB) | $ 583 | |||
ACL at acquisition | (13) | |||
Non-credit (discount) | (76) | |||
Fair value | $ 494 | |||
Flagstar Bancorp | ||||
Business Acquisition [Line Items] | ||||
Par value (UPB) | $ 1,950 | |||
ACL at acquisition | (51) | |||
Non-credit (discount) | (33) | |||
Fair value | $ 1,866 |
Business Combinations - Pro For
Business Combinations - Pro Forma Information (Details) - Flagstar Bancorp - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Business Acquisition [Line Items] | ||
Net interest income | $ 2,278 | $ 2,208 |
Non-interest income | 650 | 1,105 |
Net income | 804 | 1,207 |
Net income available to common stockholders | $ 771 | $ 1,174 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net loss on securities | $ (1) | $ (2) | $ 0 |
Income tax benefit | (29) | (176) | (210) |
Net income (loss) | (79) | 650 | 596 |
Interest expense | 2,414 | $ 696 | $ 400 |
Reclassification from AOCI | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net income (loss) | 42 | ||
Reclassification from AOCI | Unrealized gains on available-for-sale securities: | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Net loss on securities | 0 | ||
Income tax benefit | 0 | ||
Net income (loss) | 0 | ||
Reclassification from AOCI | Unrealized gains on cash flow hedges: | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Income tax benefit | (17) | ||
Net income (loss) | 48 | ||
Interest expense | 65 | ||
Reclassification from AOCI | Accumulated Defined Benefit Plans Adjustment Attributable to Parent | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Amortization of defined benefit pension plan items: | (7) | ||
Income tax benefit | 1 | ||
Net income (loss) | 6 | ||
Reclassification from AOCI | Past service liability | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Amortization of defined benefit pension plan items: | 0 | ||
Reclassification from AOCI | Actuarial losses | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Amortization of defined benefit pension plan items: | $ (7) |
Investment Securities - Summary
Investment Securities - Summary of Investment Securities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt securities available-for-sale | ||
Amortized Cost | $ 9,145 | |
Fair Value | 9,145 | $ 9,060 |
Equity securities: | ||
Fair Value | 14 | 14 |
Total Securities | ||
Amortized Cost | 9,958 | 9,933 |
Gross Unrealized Gain | 62 | 14 |
Gross Unrealized Loss | 861 | 873 |
Total securities | 9,159 | 9,074 |
Interest receivable | $ 38 | 31 |
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Other assets | |
Mortgage Backed Securities And Other Securities | ||
Debt securities available-for-sale | ||
Amortized Cost | $ 9,942 | 9,917 |
Gross Unrealized Gain | 62 | 14 |
Gross Unrealized Loss | 859 | 871 |
Fair Value | 9,145 | 9,060 |
Mortgage- Related Securities | ||
Debt securities available-for-sale | ||
Amortized Cost | 7,035 | 5,242 |
Gross Unrealized Gain | 56 | 7 |
Gross Unrealized Loss | 528 | 460 |
Fair Value | 6,563 | 4,789 |
GSE certificates | ||
Debt securities available-for-sale | ||
Amortized Cost | 1,366 | 1,457 |
Gross Unrealized Gain | 1 | 0 |
Gross Unrealized Loss | 146 | 160 |
Fair Value | 1,221 | 1,297 |
GSE CMOs | ||
Debt securities available-for-sale | ||
Amortized Cost | 5,495 | 3,600 |
Gross Unrealized Gain | 48 | 1 |
Gross Unrealized Loss | 381 | 300 |
Fair Value | 5,162 | 3,301 |
Private Label CMOs | ||
Debt securities available-for-sale | ||
Amortized Cost | 174 | 185 |
Gross Unrealized Gain | 7 | 6 |
Gross Unrealized Loss | 1 | 0 |
Fair Value | 180 | 191 |
Debt Securities | ||
Debt securities available-for-sale | ||
Amortized Cost | 2,907 | 4,675 |
Gross Unrealized Gain | 6 | 7 |
Gross Unrealized Loss | 331 | 411 |
Fair Value | 2,582 | 4,271 |
U. S. Treasury obligations | ||
Debt securities available-for-sale | ||
Amortized Cost | 198 | 1,491 |
Gross Unrealized Gain | 0 | 0 |
Gross Unrealized Loss | 0 | 4 |
Fair Value | 198 | 1,487 |
GSE debentures | ||
Debt securities available-for-sale | ||
Amortized Cost | 1,899 | 1,749 |
Gross Unrealized Gain | 1 | 0 |
Gross Unrealized Loss | 291 | 351 |
Fair Value | 1,609 | 1,398 |
Asset-backed securities | ||
Debt securities available-for-sale | ||
Amortized Cost | 307 | 375 |
Gross Unrealized Gain | 0 | 0 |
Gross Unrealized Loss | 5 | 14 |
Fair Value | 302 | 361 |
Municipal bonds | ||
Debt securities available-for-sale | ||
Amortized Cost | 6 | 30 |
Gross Unrealized Gain | 0 | 0 |
Gross Unrealized Loss | 0 | 0 |
Fair Value | 6 | 30 |
Corporate bonds | ||
Debt securities available-for-sale | ||
Amortized Cost | 365 | 913 |
Gross Unrealized Gain | 0 | 2 |
Gross Unrealized Loss | 22 | 30 |
Fair Value | 343 | 885 |
Foreign notes | ||
Debt securities available-for-sale | ||
Amortized Cost | 35 | 20 |
Gross Unrealized Gain | 0 | 0 |
Gross Unrealized Loss | 1 | 0 |
Fair Value | 34 | 20 |
Capital trust notes | ||
Debt securities available-for-sale | ||
Amortized Cost | 97 | 97 |
Gross Unrealized Gain | 5 | 5 |
Gross Unrealized Loss | 12 | 12 |
Fair Value | 90 | 90 |
Equity Securities | ||
Equity securities: | ||
Amortized Cost | 16 | 16 |
Gross Unrealized Loss | 2 | |
Fair Value | 14 | 14 |
Total Securities | ||
Gross Unrealized Loss | 2 | |
Mutual funds | ||
Equity securities: | ||
Amortized Cost | 16 | 16 |
Gross Unrealized Loss | 2 | |
Fair Value | $ 14 | 14 |
Total Securities | ||
Gross Unrealized Loss | $ 2 |
Investment Securities - Investm
Investment Securities - Investment Securities, Narrative (Details) | 3 Months Ended | 12 Months Ended | ||
Mar. 12, 2023 USD ($) | Dec. 31, 2023 USD ($) loan | Dec. 31, 2022 USD ($) security loan | Dec. 31, 2021 USD ($) | |
Schedule of Investments [Line Items] | ||||
Federal home loan bank stock | $ | $ 1,392,000,000 | $ 1,267,000,000 | ||
Federal reserve bank stock | $ | 203,000,000 | 176,000,000 | ||
Gross unrealized loss | $ | 0 | 2,000,000 | $ 0 | |
Fair Value | $ | 9,145,000,000 | 9,060,000,000 | ||
Corporate bonds | ||||
Schedule of Investments [Line Items] | ||||
Fair Value | $ | $ 343,000,000 | $ 885,000,000 | ||
Signature Bank | Corporate bonds | ||||
Schedule of Investments [Line Items] | ||||
Fair Value | $ | $ 20,000,000 | |||
Collateralized Debt Obligations | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | loan | 84 | 23 | ||
Capital trust notes | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | security | 5 | |||
Number of securities continuous unrealized loss position more than twelve months | loan | 6 | |||
Asset-backed securities | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | security | 7 | |||
Number of securities continuous unrealized loss position more than twelve months | loan | 8 | |||
Corporate bonds | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | security | 2 | |||
Number of securities continuous unrealized loss position more than twelve months | loan | 12 | |||
Corporate bonds | Signature Bank | ||||
Schedule of Investments [Line Items] | ||||
Provision for credit loss | $ | $ 20,000,000 | |||
US Government Agencies Debt Securities | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | loan | 37 | 33 | ||
Mortgage- Related Securities | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | loan | 302 | 133 | ||
Mutual funds | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | security | 1 | |||
Number of securities continuous unrealized loss position more than twelve months | loan | 1 | |||
Municipal bonds | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | security | 1 | |||
Number of securities continuous unrealized loss position more than twelve months | loan | 1 | |||
Foreign notes | ||||
Schedule of Investments [Line Items] | ||||
Number of securities continuous unrealized loss position more than twelve months | loan | 1 | |||
Federal Home Loan Bank of New York | ||||
Schedule of Investments [Line Items] | ||||
Federal home loan bank stock | $ | $ 861,000,000 | $ 762,000,000 | ||
Federal Home Loan Bank of Indianapolis | ||||
Schedule of Investments [Line Items] | ||||
Federal home loan bank stock | $ | $ 329,000,000 | $ 329,000,000 |
Investment Securities - Realize
Investment Securities - Realized Gain/Loss (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds from sales of securities available for sale including loans that have been securitized | $ 1,637 | $ 228 | $ 0 |
Gross realized gains | 2 | 0 | 0 |
Gross realized losses | $ (3) | $ 0 | $ 0 |
Investment Securities - Amortiz
Investment Securities - Amortized Cost and Estimated Fair Value of Securities by Contractual Maturity (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Due within one year | $ 446 | |
Due from one to five years | 560 | |
Due from five to ten years | 1,597 | |
Due after ten years | 6,542 | |
Amortized Cost | 9,145 | |
Mortgage- Related Securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Due within one year | 0 | |
Due from one to five years | 178 | |
Due from five to ten years | 316 | |
Due after ten years | 6,541 | |
Amortized Cost | 7,035 | $ 5,242 |
U.S. Government and GSE Obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Due within one year | 448 | |
Due from one to five years | 50 | |
Due from five to ten years | 1,502 | |
Due after ten years | 96 | |
Amortized Cost | 2,096 | |
State, County, and Municipal | ||
Debt Securities, Available-for-sale [Line Items] | ||
Due within one year | 0 | |
Due from one to five years | 0 | |
Due from five to ten years | 6 | |
Due after ten years | 0 | |
Amortized Cost | 6 | |
Other Debt Obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Due within one year | 0 | |
Due from one to five years | 353 | |
Due from five to ten years | 105 | |
Due after ten years | 345 | |
Amortized Cost | $ 803 |
Investment Securities - Summa_2
Investment Securities - Summary of Unrealized Loss Positions on Investment Securities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | $ 2,357 | $ 5,658 |
Less than Twelve Months, Unrealized Loss | 84 | 122 |
Twelve Months or Longer, Fair Value | 4,198 | 2,911 |
Twelve Months or Longer, Unrealized Loss | 777 | 751 |
Fair Value | 6,555 | 8,569 |
Unrealized Loss | 861 | 873 |
Debt Securities | U. S. Treasury obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 1,487 |
Less than Twelve Months, Unrealized Loss | 0 | 4 |
Twelve Months or Longer, Fair Value | 0 | 0 |
Twelve Months or Longer, Unrealized Loss | 0 | 0 |
Fair Value | 0 | 1,487 |
Unrealized Loss | 0 | 4 |
Debt Securities | U.S. Government and GSE Obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 181 | 243 |
Less than Twelve Months, Unrealized Loss | 1 | 5 |
Twelve Months or Longer, Fair Value | 1,362 | 1,156 |
Twelve Months or Longer, Unrealized Loss | 290 | 346 |
Fair Value | 1,543 | 1,399 |
Unrealized Loss | 291 | 351 |
Debt Securities | GSE certificates | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 312 | 871 |
Less than Twelve Months, Unrealized Loss | 5 | 46 |
Twelve Months or Longer, Fair Value | 843 | 420 |
Twelve Months or Longer, Unrealized Loss | 141 | 114 |
Fair Value | 1,155 | 1,291 |
Unrealized Loss | 146 | 160 |
Debt Securities | Private Label CMOs | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 29 | |
Less than Twelve Months, Unrealized Loss | 1 | |
Twelve Months or Longer, Fair Value | 0 | |
Twelve Months or Longer, Unrealized Loss | 0 | |
Fair Value | 29 | |
Unrealized Loss | 1 | |
Debt Securities | GSE CMOs | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 1,835 | 2,219 |
Less than Twelve Months, Unrealized Loss | 77 | 36 |
Twelve Months or Longer, Fair Value | 1,312 | 925 |
Twelve Months or Longer, Unrealized Loss | 304 | 264 |
Fair Value | 3,147 | 3,144 |
Unrealized Loss | 381 | 300 |
Debt Securities | Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 61 |
Less than Twelve Months, Unrealized Loss | 0 | 2 |
Twelve Months or Longer, Fair Value | 228 | 262 |
Twelve Months or Longer, Unrealized Loss | 5 | 12 |
Fair Value | 228 | 323 |
Unrealized Loss | 5 | 14 |
Debt Securities | Municipal bonds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 9 |
Less than Twelve Months, Unrealized Loss | 0 | 0 |
Twelve Months or Longer, Fair Value | 6 | 7 |
Twelve Months or Longer, Unrealized Loss | 0 | 0 |
Fair Value | 6 | 16 |
Unrealized Loss | 0 | 0 |
Debt Securities | Corporate bonds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 698 |
Less than Twelve Months, Unrealized Loss | 0 | 27 |
Twelve Months or Longer, Fair Value | 343 | 97 |
Twelve Months or Longer, Unrealized Loss | 22 | 3 |
Fair Value | 343 | 795 |
Unrealized Loss | 22 | 30 |
Debt Securities | Foreign notes | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 20 |
Less than Twelve Months, Unrealized Loss | 0 | 0 |
Twelve Months or Longer, Fair Value | 9 | 0 |
Twelve Months or Longer, Unrealized Loss | 1 | 0 |
Fair Value | 9 | 20 |
Unrealized Loss | 1 | 0 |
Debt Securities | Capital trust notes | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 46 |
Less than Twelve Months, Unrealized Loss | 0 | 2 |
Twelve Months or Longer, Fair Value | 81 | 34 |
Twelve Months or Longer, Unrealized Loss | 12 | 10 |
Fair Value | 81 | 80 |
Unrealized Loss | 12 | 12 |
Equity Securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than Twelve Months, Fair Value | 0 | 4 |
Less than Twelve Months, Unrealized Loss | 0 | 0 |
Twelve Months or Longer, Fair Value | 14 | 10 |
Twelve Months or Longer, Unrealized Loss | 2 | 2 |
Fair Value | 14 | 14 |
Unrealized Loss | $ 2 | $ 2 |
Loans and Leases - Components (
Loans and Leases - Components (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 84,619 | $ 69,001 | |
Allowance for credit losses on loans and leases | (992) | (393) | $ (199) |
Total loans and leases held for investment, net | 83,627 | 68,608 | |
Loans held for sale ($902 and $1,115 measured at fair value, respectively) | 1,182 | 1,115 | |
Total loans and leases, net | $ 84,809 | $ 69,723 | |
Percent of loans held for investment | 100% | 100% | |
Unearned income | $ 258 | $ 85 | |
Accrued interest receivable | $ 423 | $ 292 | |
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets | |
Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 27,911 | $ 14,528 | |
Percent of loans held for investment | 33% | 21.10% | |
Mortgage Loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 56,708 | $ 54,473 | |
Allowance for credit losses on loans and leases | $ (756) | $ (290) | (178) |
Percent of loans held for investment | 67% | 78.90% | |
Mortgage Loans | Multi-family | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 37,265 | $ 38,130 | |
Percent of loans held for investment | 44% | 55.30% | |
Mortgage Loans | Commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 10,470 | $ 8,526 | |
Percent of loans held for investment | 12.40% | 12.40% | |
Mortgage Loans | One-to-four family first mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 6,061 | $ 5,821 | |
Percent of loans held for investment | 7.20% | 8.40% | |
Mortgage Loans | Acquisition, development, and construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 2,912 | $ 1,996 | |
Percent of loans held for investment | 3.40% | 2.80% | |
Other Loans: | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 27,911 | $ 14,528 | |
Allowance for credit losses on loans and leases | (236) | (103) | $ (21) |
Other Loans: | Commercial and industrial loans and lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 25,254 | $ 12,276 | |
Percent of loans held for investment | 29.90% | 17.80% | |
Other Loans: | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 22,065 | $ 10,597 | |
Percent of loans held for investment | 26.10% | 15.40% | |
Other Loans: | Lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 3,189 | $ 1,679 | |
Percent of loans held for investment | 3.80% | 2.40% | |
Other Loans: | Specialty finance loans and leases | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 5,200 | $ 4,400 | |
Other Loans: | Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans and leases held for investment | $ 2,657 | $ 2,252 | |
Percent of loans held for investment | 3.10% | 3.30% |
Loans and Leases - Narrative (D
Loans and Leases - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
LGG loans | $ 541 | |
LGG loans, repurchase liability | 456 | |
LGG loans, repossessed assets | 14 | |
Loans held-for-sale | 1,182 | $ 1,115 |
Loans reclassified to held-for-sale | 360 | |
Loans 90 days or greater past due and still accruing | 0 | 0 |
Residential mortgage loans in process of foreclosure | 81 | 121 |
Loans held for investment | 83,627 | 68,608 |
Loans modified | 262 | $ 44 |
Term Extension | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified | 25 | |
Combination - Interest Rate Reduction & Term Extension | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified | 10 | |
One-to-four family first mortgage | Term Extension | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified that subsequently defaulted | 4 | |
One-to-four family first mortgage | Combination - Interest Rate Reduction & Term Extension | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified that subsequently defaulted | 4 | |
Mortgage Loans | One-to-four family first mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified | 14 | |
Mortgage Loans | One-to-four family first mortgage | Term Extension | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified | 5 | |
Mortgage Loans | One-to-four family first mortgage | Combination - Interest Rate Reduction & Term Extension | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans modified | $ 6 |
Loans and Leases - Quality of L
Loans and Leases - Quality of Loans Held for Investment (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | $ 84,619 | $ 69,001 |
Non- Accrual Loans | 428 | 141 |
Loans held for investment | 83,627 | 68,608 |
Officers And Directors | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans held for investment | 9 | 101 |
Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 250 | 70 |
Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 678 | 211 |
Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 83,941 | 68,790 |
Multi-family | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 207 | |
Other | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 27,911 | 14,528 |
Mortgage Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 56,708 | 54,473 |
Mortgage Loans | Multi-family | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 37,265 | 38,130 |
Non- Accrual Loans | 138 | 13 |
Mortgage Loans | Multi-family | Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 121 | 34 |
Mortgage Loans | Multi-family | Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 259 | 47 |
Mortgage Loans | Multi-family | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 37,006 | 38,083 |
Mortgage Loans | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 10,470 | 8,526 |
Non- Accrual Loans | 128 | 20 |
Mortgage Loans | Commercial real estate | Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 28 | 2 |
Mortgage Loans | Commercial real estate | Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 156 | 22 |
Mortgage Loans | Commercial real estate | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 10,314 | 8,504 |
Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 6,061 | 5,821 |
Non- Accrual Loans | 95 | 92 |
Mortgage Loans | One-to-four family first mortgage | Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 40 | 21 |
Mortgage Loans | One-to-four family first mortgage | Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 135 | 113 |
Mortgage Loans | One-to-four family first mortgage | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 5,926 | 5,708 |
Mortgage Loans | Acquisition, development, and construction | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 2,912 | 1,996 |
Non- Accrual Loans | 2 | 0 |
Mortgage Loans | Acquisition, development, and construction | Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 2 | 0 |
Mortgage Loans | Acquisition, development, and construction | Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 4 | 0 |
Mortgage Loans | Acquisition, development, and construction | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 2,908 | 1,996 |
Other Loans: | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 27,911 | 14,528 |
Other Loans: | Commercial and industrial loans and lease financing | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 25,254 | 12,276 |
Non- Accrual Loans | 43 | 3 |
Other Loans: | Commercial and industrial loans and lease financing | Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 37 | 2 |
Other Loans: | Commercial and industrial loans and lease financing | Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 80 | 5 |
Other Loans: | Commercial and industrial loans and lease financing | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 25,174 | 12,271 |
Other Loans: | Other | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 2,657 | 2,252 |
Non- Accrual Loans | 22 | 13 |
Other Loans: | Other | Loans 30-89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 22 | 11 |
Other Loans: | Other | Total Past Due Loans | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | 44 | 24 |
Other Loans: | Other | Current | ||
Financing Receivable, Recorded Investment, Past Due | ||
Loans and leases held for investment, net of deferred loan fees and costs | $ 2,613 | $ 2,228 |
Loans and Leases - Loans Held f
Loans and Leases - Loans Held for Investment by Credit Quality Indicator (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, Recorded Investment | ||
Total | $ 84,619 | $ 69,001 |
Other | ||
Financing Receivable, Recorded Investment | ||
Total | 27,911 | 14,528 |
Mortgage Loans | ||
Financing Receivable, Recorded Investment | ||
Total | 56,708 | 54,473 |
Mortgage Loans | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 51,057 | 52,195 |
Mortgage Loans | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 1,192 | 1,106 |
Mortgage Loans | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 4,459 | 1,172 |
Mortgage Loans | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Mortgage Loans | Multi-family | ||
Financing Receivable, Recorded Investment | ||
Total | 37,265 | 38,130 |
Mortgage Loans | Multi-family | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 34,170 | 36,622 |
Mortgage Loans | Multi-family | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 768 | 864 |
Mortgage Loans | Multi-family | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 2,327 | 644 |
Mortgage Loans | Multi-family | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Mortgage Loans | Commercial real estate | ||
Financing Receivable, Recorded Investment | ||
Total | 10,470 | 8,526 |
Mortgage Loans | Commercial real estate | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 8,734 | 7,871 |
Mortgage Loans | Commercial real estate | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 367 | 230 |
Mortgage Loans | Commercial real estate | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 1,369 | 425 |
Mortgage Loans | Commercial real estate | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Recorded Investment | ||
Total | 6,061 | 5,821 |
Mortgage Loans | One-to-four family first mortgage | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 5,328 | 5,710 |
Mortgage Loans | One-to-four family first mortgage | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | 8 |
Mortgage Loans | One-to-four family first mortgage | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 733 | 103 |
Mortgage Loans | One-to-four family first mortgage | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Mortgage Loans | Acquisition, development, and construction | ||
Financing Receivable, Recorded Investment | ||
Total | 2,912 | 1,996 |
Mortgage Loans | Acquisition, development, and construction | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 2,825 | 1,992 |
Mortgage Loans | Acquisition, development, and construction | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 57 | 4 |
Mortgage Loans | Acquisition, development, and construction | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 30 | 0 |
Mortgage Loans | Acquisition, development, and construction | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Other Loans: | ||
Financing Receivable, Recorded Investment | ||
Total | 27,911 | 14,528 |
Other Loans: | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 27,317 | 14,446 |
Other Loans: | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 335 | 18 |
Other Loans: | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 259 | 64 |
Other Loans: | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Other Loans: | Commercial and industrial loans and lease financing | ||
Financing Receivable, Recorded Investment | ||
Total | 25,254 | 12,276 |
Other Loans: | Commercial and industrial loans and lease financing | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 24,683 | 12,208 |
Other Loans: | Commercial and industrial loans and lease financing | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 335 | 18 |
Other Loans: | Commercial and industrial loans and lease financing | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 236 | 50 |
Other Loans: | Commercial and industrial loans and lease financing | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | |
Other Loans: | Other | ||
Financing Receivable, Recorded Investment | ||
Total | 2,657 | 2,252 |
Other Loans: | Other | Pass | ||
Financing Receivable, Recorded Investment | ||
Total | 2,634 | 2,238 |
Other Loans: | Other | Special mention | ||
Financing Receivable, Recorded Investment | ||
Total | 0 | 0 |
Other Loans: | Other | Substandard | ||
Financing Receivable, Recorded Investment | ||
Total | 23 | $ 14 |
Other Loans: | Other | Doubtful | ||
Financing Receivable, Recorded Investment | ||
Total | $ 0 |
Loans and Leases - Loans Held_2
Loans and Leases - Loans Held for Investment by Credit Quality Indicator - Amortized Basis (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | $ 12,297 | |
2022 | 17,429 | |
2021 | 12,633 | |
2020 | 10,359 | |
2019 | 6,635 | |
Prior To 2019 | 13,920 | |
Revolving Loans | 10,900 | |
Revolving Loans Converted to Term Loans | 446 | |
Total | 84,619 | $ 69,001 |
Current-period gross write-offs | ||
Current-period gross write-offs | 223 | 7 |
Other | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 27,911 | 14,528 |
Mortgage Loans | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 2,577 | |
2022 | 13,610 | |
2021 | 10,635 | |
2020 | 9,181 | |
2019 | 5,678 | |
Prior To 2019 | 12,921 | |
Revolving Loans | 1,995 | |
Revolving Loans Converted to Term Loans | 111 | |
Total | 56,708 | 54,473 |
Current-period gross write-offs | ||
2023 | 0 | |
2022 | (112) | |
2021 | 0 | |
2020 | 0 | |
2019 | (2) | |
Prior To 2019 | (64) | |
Revolving Loans | 0 | |
Revolving Loans Converted to Term Loans | 0 | |
Current-period gross write-offs | 178 | 5 |
Mortgage Loans | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 2,532 | |
2022 | 13,295 | |
2021 | 10,308 | |
2020 | 8,438 | |
2019 | 4,725 | |
Prior To 2019 | 9,670 | |
Revolving Loans | 1,981 | |
Revolving Loans Converted to Term Loans | 108 | |
Total | 51,057 | 52,195 |
Mortgage Loans | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 217 | |
2021 | 69 | |
2020 | 407 | |
2019 | 144 | |
Prior To 2019 | 341 | |
Revolving Loans | 14 | |
Revolving Loans Converted to Term Loans | 0 | |
Total | 1,192 | 1,106 |
Mortgage Loans | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 45 | |
2022 | 98 | |
2021 | 258 | |
2020 | 336 | |
2019 | 809 | |
Prior To 2019 | 2,910 | |
Revolving Loans | 0 | |
Revolving Loans Converted to Term Loans | 3 | |
Total | 4,459 | 1,172 |
Mortgage Loans | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior To 2019 | 0 | |
Revolving Loans | 0 | |
Revolving Loans Converted to Term Loans | 0 | |
Total | 0 | |
Mortgage Loans | Multi-family | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 37,265 | 38,130 |
Mortgage Loans | Multi-family | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 34,170 | 36,622 |
Mortgage Loans | Multi-family | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 768 | 864 |
Mortgage Loans | Multi-family | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 2,327 | 644 |
Mortgage Loans | Multi-family | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | |
Mortgage Loans | Commercial real estate | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 10,470 | 8,526 |
Mortgage Loans | Commercial real estate | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 8,734 | 7,871 |
Mortgage Loans | Commercial real estate | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 367 | 230 |
Mortgage Loans | Commercial real estate | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 1,369 | 425 |
Mortgage Loans | Commercial real estate | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | |
Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 6,061 | 5,821 |
Mortgage Loans | One-to-four family first mortgage | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 5,328 | 5,710 |
Mortgage Loans | One-to-four family first mortgage | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | 8 |
Mortgage Loans | One-to-four family first mortgage | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 733 | 103 |
Mortgage Loans | One-to-four family first mortgage | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | |
Mortgage Loans | Acquisition, development, and construction | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 2,912 | 1,996 |
Mortgage Loans | Acquisition, development, and construction | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 2,825 | 1,992 |
Mortgage Loans | Acquisition, development, and construction | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 57 | 4 |
Mortgage Loans | Acquisition, development, and construction | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 30 | 0 |
Mortgage Loans | Acquisition, development, and construction | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | |
Other Loans: | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 9,720 | |
2022 | 3,819 | |
2021 | 1,998 | |
2020 | 1,178 | |
2019 | 957 | |
Prior To 2019 | 999 | |
Revolving Loans | 8,905 | |
Revolving Loans Converted to Term Loans | 335 | |
Total | 27,911 | 14,528 |
Current-period gross write-offs | ||
2023 | (2) | |
2022 | (10) | |
2021 | (5) | |
2020 | (8) | |
2019 | (2) | |
Prior To 2019 | (18) | |
Revolving Loans | 0 | |
Revolving Loans Converted to Term Loans | 0 | |
Current-period gross write-offs | 45 | 2 |
Other Loans: | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 9,709 | |
2022 | 3,598 | |
2021 | 1,936 | |
2020 | 1,141 | |
2019 | 911 | |
Prior To 2019 | 941 | |
Revolving Loans | 8,757 | |
Revolving Loans Converted to Term Loans | 324 | |
Total | 27,317 | 14,446 |
Other Loans: | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 1 | |
2022 | 182 | |
2021 | 17 | |
2020 | 9 | |
2019 | 6 | |
Prior To 2019 | 18 | |
Revolving Loans | 102 | |
Revolving Loans Converted to Term Loans | 0 | |
Total | 335 | 18 |
Other Loans: | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 10 | |
2022 | 39 | |
2021 | 45 | |
2020 | 28 | |
2019 | 40 | |
Prior To 2019 | 40 | |
Revolving Loans | 46 | |
Revolving Loans Converted to Term Loans | 11 | |
Total | 259 | 64 |
Other Loans: | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
2023 | 0 | |
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
Prior To 2019 | 0 | |
Revolving Loans | 0 | |
Revolving Loans Converted to Term Loans | 0 | |
Total | 0 | |
Other Loans: | Commercial and industrial loans and lease financing | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 25,254 | 12,276 |
Other Loans: | Commercial and industrial loans and lease financing | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 24,683 | 12,208 |
Other Loans: | Commercial and industrial loans and lease financing | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 335 | 18 |
Other Loans: | Commercial and industrial loans and lease financing | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 236 | 50 |
Other Loans: | Commercial and industrial loans and lease financing | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | |
Other Loans: | Other | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 2,657 | 2,252 |
Other Loans: | Other | Pass | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 2,634 | 2,238 |
Other Loans: | Other | Special mention | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 0 | 0 |
Other Loans: | Other | Substandard | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | 23 | $ 14 |
Other Loans: | Other | Doubtful | ||
Financing Receivable, Excluding Accrued Interest, before Allowance for Credit Loss, by Origination Year [Abstract] | ||
Total | $ 0 |
Loans and Leases - Collateral (
Loans and Leases - Collateral (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | $ 84,619 | $ 69,001 |
Other | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 27,911 | 14,528 |
Mortgage Loans | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 56,708 | 54,473 |
Mortgage Loans | Multi-family | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 37,265 | 38,130 |
Mortgage Loans | Commercial real estate | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 10,470 | 8,526 |
Mortgage Loans | One-to-four family first mortgage | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 6,061 | 5,821 |
Other Loans: | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 27,911 | 14,528 |
Other Loans: | Commercial and industrial | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 22,065 | 10,597 |
Other Loans: | Other | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 2,657 | $ 2,252 |
Real Property | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 614 | |
Real Property | Mortgage Loans | Multi-family | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 253 | |
Real Property | Mortgage Loans | Commercial real estate | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 256 | |
Real Property | Mortgage Loans | One-to-four family first mortgage | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 105 | |
Real Property | Other Loans: | Commercial and industrial | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 0 | |
Other | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 120 | |
Other | Mortgage Loans | Multi-family | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 0 | |
Other | Mortgage Loans | Commercial real estate | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 0 | |
Other | Mortgage Loans | One-to-four family first mortgage | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | 0 | |
Other | Other Loans: | Commercial and industrial | Asset pledged as collateral | ||
Financial Instruments Owned and Pledged as Collateral [Line Items] | ||
Loans and leases held for investment, net of deferred loan fees and costs | $ 120 |
Loans and Leases - Loan Modific
Loans and Leases - Loan Modifications (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 262 | $ 44 |
Mortgage Loans | Multi-family | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 122 | 6 |
Percent of Total Loan class | 1.17% | |
Mortgage Loans | Commercial real estate | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 103 | 35 |
Percent of Total Loan class | 0.98% | |
Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 14 | |
Percent of Total Loan class | 0.23% | |
Other Loans: | Commercial and industrial | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 21 | $ 3 |
Percent of Total Loan class | 0.08% | |
Other Loans: | Other | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 2 | |
Percent of Total Loan class | 0.08% | |
Interest Rate Reduction | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 227 | |
Interest Rate Reduction | Mortgage Loans | Multi-family | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 122 | |
Interest Rate Reduction | Mortgage Loans | Multi-family | Minimum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 7.45% | |
Interest Rate Reduction | Mortgage Loans | Multi-family | Maximum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 6.02% | |
Interest Rate Reduction | Mortgage Loans | Commercial real estate | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 102 | |
Interest Rate Reduction | Mortgage Loans | Commercial real estate | Minimum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 8.83% | |
Interest Rate Reduction | Mortgage Loans | Commercial real estate | Maximum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 4.56% | |
Interest Rate Reduction | Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 3 | |
Weighted-average Term (in years) | ||
Interest Rate Reduction | Mortgage Loans | One-to-four family first mortgage | Minimum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 6.08% | |
Interest Rate Reduction | Mortgage Loans | One-to-four family first mortgage | Maximum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 4.79% | |
Interest Rate Reduction | Mortgage Loans | Commercial and industrial | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average Term (in years) | 6 months 29 days | |
Interest Rate Reduction | Mortgage Loans | Commercial and industrial | Minimum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 8.44% | |
Interest Rate Reduction | Mortgage Loans | Commercial and industrial | Maximum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 8.08% | |
Interest Rate Reduction | Mortgage Loans | Other | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average Term (in years) | ||
Interest Rate Reduction | Mortgage Loans | Other | Minimum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 9.09% | |
Interest Rate Reduction | Mortgage Loans | Other | Maximum | ||
Financing Receivable, Modified [Line Items] | ||
Weighted-average contractual interest rate | 4.82% | |
Interest Rate Reduction | Other Loans: | Commercial and industrial | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 0 | |
Interest Rate Reduction | Other Loans: | Other | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 0 | |
Term Extension | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 25 | |
Term Extension | Mortgage Loans | Multi-family | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 0 | |
Term Extension | Mortgage Loans | Commercial real estate | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 1 | |
Term Extension | Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 5 | |
Term Extension | Other Loans: | Commercial and industrial | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 19 | |
Term Extension | Other Loans: | Other | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 0 | |
Combination - Interest Rate Reduction & Term Extension | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 10 | |
Combination - Interest Rate Reduction & Term Extension | Mortgage Loans | Multi-family | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 0 | |
Combination - Interest Rate Reduction & Term Extension | Mortgage Loans | Commercial real estate | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 0 | |
Combination - Interest Rate Reduction & Term Extension | Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 6 | |
Combination - Interest Rate Reduction & Term Extension | Other Loans: | Commercial and industrial | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | 2 | |
Combination - Interest Rate Reduction & Term Extension | Other Loans: | Other | ||
Financing Receivable, Modified [Line Items] | ||
Amortized Cost | $ 2 |
Loans and Leases - Performance
Loans and Leases - Performance of Loans Modified in Last 12 Months (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Financing Receivable, Modified [Line Items] | |
Total | $ 27 |
Current | |
Financing Receivable, Modified [Line Items] | |
Total | 8 |
Loans 30-89 Days Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 10 |
90+ Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 9 |
Mortgage Loans | One-to-four family first mortgage | |
Financing Receivable, Modified [Line Items] | |
Total | 11 |
Mortgage Loans | One-to-four family first mortgage | Current | |
Financing Receivable, Modified [Line Items] | |
Total | 3 |
Mortgage Loans | One-to-four family first mortgage | Loans 30-89 Days Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 0 |
Mortgage Loans | One-to-four family first mortgage | 90+ Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 8 |
Mortgage Loans | Commercial real estate | |
Financing Receivable, Modified [Line Items] | |
Total | 1 |
Mortgage Loans | Commercial real estate | Current | |
Financing Receivable, Modified [Line Items] | |
Total | 1 |
Mortgage Loans | Commercial real estate | Loans 30-89 Days Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 0 |
Mortgage Loans | Commercial real estate | 90+ Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 0 |
Other Loans: | Commercial and industrial | |
Financing Receivable, Modified [Line Items] | |
Total | 13 |
Other Loans: | Commercial and industrial | Current | |
Financing Receivable, Modified [Line Items] | |
Total | 3 |
Other Loans: | Commercial and industrial | Loans 30-89 Days Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 9 |
Other Loans: | Commercial and industrial | 90+ Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 1 |
Other Loans: | Other | |
Financing Receivable, Modified [Line Items] | |
Total | 2 |
Other Loans: | Other | Current | |
Financing Receivable, Modified [Line Items] | |
Total | 1 |
Other Loans: | Other | Loans 30-89 Days Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | 1 |
Other Loans: | Other | 90+ Past Due | |
Financing Receivable, Modified [Line Items] | |
Total | $ 0 |
Loans and Leases - TDRs (Detail
Loans and Leases - TDRs (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Modified [Line Items] | ||
Accruing | $ 16 | |
Non- Accrual | 28 | |
Total | $ 262 | 44 |
Mortgage Loans | Multi-family | ||
Financing Receivable, Modified [Line Items] | ||
Accruing | 0 | |
Non- Accrual | 6 | |
Total | 122 | 6 |
Mortgage Loans | Commercial real estate | ||
Financing Receivable, Modified [Line Items] | ||
Accruing | 16 | |
Non- Accrual | 19 | |
Total | 103 | 35 |
Mortgage Loans | One-to-four family first mortgage | ||
Financing Receivable, Modified [Line Items] | ||
Total | 14 | |
Other Loans: | Commercial and industrial | ||
Financing Receivable, Modified [Line Items] | ||
Accruing | 0 | |
Non- Accrual | 3 | |
Total | 21 | $ 3 |
Other Loans: | Other | ||
Financing Receivable, Modified [Line Items] | ||
Total | $ 2 |
Loans and Leases - Financial Ef
Loans and Leases - Financial Effect of TDRs (Details) - Mortgage Loans - Commercial real estate $ in Millions | 12 Months Ended |
Dec. 31, 2022 USD ($) loan | |
Financing Receivable, Modified [Line Items] | |
Number of Loans | loan | 2 |
Pre- Modification Recorded Investment | $ 22 |
Post- Modification Recorded Investment | $ 19 |
Interest rate reduction, weighted-average contractual interest rate, prior to modification | 6% |
Interest rate reduction, weighted-average contractual interest rate, after modification | 4.02% |
Charge- off Amount | $ 3 |
Capitalized Interest | $ 0 |
Allowance for Credit Losses o_3
Allowance for Credit Losses on Loans and Leases - Schedule of Activity in the Allowance for Loan and Lease Losses (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance | $ 393 | $ 199 |
Adjustment for Purchased PCD Loans | 13 | 51 |
Current-period gross write-offs | 223 | 7 |
Recoveries | 15 | 11 |
Provision for (recovery of) credit losses on loans and leases | 794 | 139 |
Ending balance | 992 | 393 |
Mortgage | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance | 290 | 178 |
Adjustment for Purchased PCD Loans | 21 | |
Current-period gross write-offs | 178 | 5 |
Recoveries | 4 | |
Provision for (recovery of) credit losses on loans and leases | 644 | 92 |
Ending balance | 756 | 290 |
Other | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance | 103 | 21 |
Adjustment for Purchased PCD Loans | 13 | 30 |
Current-period gross write-offs | 45 | 2 |
Recoveries | 15 | 7 |
Provision for (recovery of) credit losses on loans and leases | 150 | 47 |
Ending balance | $ 236 | $ 103 |
Allowance for Credit Losses o_4
Allowance for Credit Losses on Loans and Leases - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Mar. 20, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Losses | ||||
Allowance for credit losses on loans and leases | $ 992 | $ 393 | $ 199 | |
Increase in allowance for credit losses | 599 | |||
Signature Bridge Bank | ||||
Financing Receivable, Allowance for Credit Losses | ||||
Increase in allowance for credit losses | $ 141 | |||
Total loan commitments | ||||
Financing Receivable, Allowance for Credit Losses | ||||
Allowance for credit losses on loans and leases | $ 52 | $ 23 |
Allowance for Credit Losses o_5
Allowance for Credit Losses on Loans and Leases - Schedule of Additional Information about Nonaccrual Loans (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance - Recorded Investment | $ 294 | $ 125 |
Nonaccrual loans with no related allowance - Interest Income Recognized | 7 | 1 |
Nonaccrual loans with an allowance recorded - Recorded Investment | 134 | 16 |
Total nonaccrual loans - Related Allowance | 47 | 14 |
Nonaccrual loans with an allowance recorded - Interest Income Recognized | 3 | 0 |
Total nonaccrual loans - Recorded Investment | 428 | 141 |
Total nonaccrual loans - Interest Income Recognized | 10 | 1 |
Mortgage | Multi-family | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance - Recorded Investment | 134 | 13 |
Nonaccrual loans with no related allowance - Interest Income Recognized | 5 | 0 |
Nonaccrual loans with an allowance recorded - Recorded Investment | 4 | |
Total nonaccrual loans - Related Allowance | 0 | 0 |
Nonaccrual loans with an allowance recorded - Interest Income Recognized | 0 | |
Total nonaccrual loans - Recorded Investment | 138 | 13 |
Total nonaccrual loans - Interest Income Recognized | 5 | 0 |
Mortgage | Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance - Recorded Investment | 53 | 19 |
Nonaccrual loans with no related allowance - Interest Income Recognized | 2 | 1 |
Nonaccrual loans with an allowance recorded - Recorded Investment | 75 | 1 |
Total nonaccrual loans - Related Allowance | 17 | 0 |
Nonaccrual loans with an allowance recorded - Interest Income Recognized | 3 | 0 |
Total nonaccrual loans - Recorded Investment | 128 | 20 |
Total nonaccrual loans - Interest Income Recognized | 5 | 1 |
Mortgage | One-to-four family first mortgage | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance - Recorded Investment | 85 | 90 |
Nonaccrual loans with no related allowance - Interest Income Recognized | 0 | 0 |
Nonaccrual loans with an allowance recorded - Recorded Investment | 11 | 2 |
Total nonaccrual loans - Related Allowance | 2 | 0 |
Nonaccrual loans with an allowance recorded - Interest Income Recognized | 0 | 0 |
Total nonaccrual loans - Recorded Investment | 96 | 92 |
Total nonaccrual loans - Interest Income Recognized | 0 | 0 |
Mortgage | Acquisition, development, and construction | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance - Recorded Investment | 0 | |
Nonaccrual loans with no related allowance - Interest Income Recognized | 0 | |
Nonaccrual loans with an allowance recorded - Recorded Investment | 0 | |
Total nonaccrual loans - Related Allowance | 0 | |
Nonaccrual loans with an allowance recorded - Interest Income Recognized | 0 | |
Total nonaccrual loans - Recorded Investment | 0 | |
Total nonaccrual loans - Interest Income Recognized | 0 | |
Other | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance - Recorded Investment | 22 | 3 |
Nonaccrual loans with no related allowance - Interest Income Recognized | 0 | 0 |
Nonaccrual loans with an allowance recorded - Recorded Investment | 44 | 13 |
Total nonaccrual loans - Related Allowance | 28 | 14 |
Nonaccrual loans with an allowance recorded - Interest Income Recognized | 0 | 0 |
Total nonaccrual loans - Recorded Investment | 66 | 16 |
Total nonaccrual loans - Interest Income Recognized | $ 0 | $ 0 |
Leases - Lessor Arrangements Na
Leases - Lessor Arrangements Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Lessor, Lease, Description [Line Items] | ||
Residual value of leased asset | $ 280 | $ 32 |
Carrying value of net investment in leases | $ 3,508 | $ 1,745 |
Minimum | ||
Lessor, Lease, Description [Line Items] | ||
Term of lease | 24 months | |
Maximum | ||
Lessor, Lease, Description [Line Items] | ||
Term of lease | 120 months |
Leases - Components of Lease In
Leases - Components of Lease Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Interest income on lease financing | $ 119 | $ 53 | $ 53 |
Leases - Components of Net Inve
Leases - Components of Net Investment in Direct Financing Leases (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Net investment in the lease - lease payments receivable | $ 3,187 | $ 1,685 |
Net investment in the lease - unguaranteed residual assets | 321 | 60 |
Total lease payments | $ 3,508 | $ 1,745 |
Leases - Maturity Analysis of U
Leases - Maturity Analysis of Undiscounted Lease Receivables (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2024 | $ 549 | |
2025 | 602 | |
2026 | 874 | |
2027 | 521 | |
2028 | 293 | |
Thereafter | 669 | |
Total lease payments | 3,508 | |
Plus: deferred origination costs | 15 | |
Less: unearned income | (258) | $ (85) |
Less: purchase accounting adjustment | (76) | |
Total lease finance receivables, net | $ 3,189 |
Leases - Lease Arrangements Nar
Leases - Lease Arrangements Narrative (Details) | Dec. 31, 2023 |
Leases [Abstract] | |
Term of contract | 20 years |
Leases - Component of Lease Exp
Leases - Component of Lease Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Operating lease cost | $ 86 | $ 28 | $ 27 |
Total lease cost | $ 86 | $ 28 | $ 27 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash Flow, Lessee [Abstract] | ||
Operating cash flows from operating leases | $ 64 | $ 28 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Operating Leases: | ||
Operating lease right-of-use assets | $ 426 | $ 119 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets |
Operating lease liabilities | $ 446 | $ 122 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other liabilities | Other liabilities |
Weighted average remaining lease term | 11 years 2 months 12 days | 6 years |
Weighted average discount rate percent | 4.71% | 3.85% |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2024 | $ 71 | |
2025 | 65 | |
2026 | 58 | |
2027 | 52 | |
2028 | 45 | |
Thereafter | 296 | |
Total lease payments | 587 | |
Less: imputed interest | (141) | |
Total present value of lease liabilities | $ 446 | $ 122 |
Mortgage Servicing Rights - Cha
Mortgage Servicing Rights - Changes in the Fair Value of Residential First Mortgage MSRs (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Servicing Asset at Fair Value [Roll Forward] | ||
Servicing Asset at Fair Value, Other Changes in Fair Value | $ (80) | |
Servicing Asset, Fair Value, Change in Fair Value, Other, Statement of Income or Comprehensive Income [Extensible Enumeration] | Mortgage Servicing Rights (MSR) Impairment (Recovery) | Mortgage Servicing Rights (MSR) Impairment (Recovery) |
Changes in estimates of fair value due to interest rate risk | $ 1 | |
Residential First Mortgage | ||
Servicing Asset at Fair Value [Roll Forward] | ||
Beginning balance | 1,033 | |
Additions from loans sold with servicing retained | 208 | |
Reductions from sales | (51) | |
Servicing Asset at Fair Value, Other Changes in Fair Value | (80) | $ (8) |
Changes in estimates of fair value due to interest rate risk | 1 | 10 |
Ending balance | $ 1,111 | $ 1,033 |
Mortgage Servicing Rights - Sum
Mortgage Servicing Rights - Summary of Adverse Changes to Weighted-Average Assumptions on the Fair Value of Servicing Rights (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Actual | ||
Option adjusted spread (percent) | 5.40% | 5.90% |
Constant prepayment rate (as a percent) | 7.90% | 7.90% |
Weighted average cost to service (per loan) | $ 69 | $ 68 |
10% adverse change | ||
Option adjusted spread (percent) | 1,091,000,000 | 1,012,000,000 |
Constant prepayment rate (as a percent) | 1,073,000,000 | 1,000,000,000 |
Weighted average cost to service per loan | 1,100,000,000 | 1,023,000,000 |
20% adverse change | ||
Option adjusted spread (percent) | 1,072,000,000 | 992,000,000 |
Constant prepayment rate (as a percent) | 1,040,000,000 | 970,000,000 |
Weighted average cost to service per loan | $ 1,090,000,000 | $ 1,013,000,000 |
Mortgage Servicing Rights - S_2
Mortgage Servicing Rights - Summary of Income and Fees (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Servicing Assets at Fair Value [Line Items] | |||
Servicing Asset at Fair Value, Other Changes in Fair Value | $ (80) | ||
Changes in fair value due to interest rate risk | 1 | ||
Net return on mortgage servicing rights | 103 | $ 6 | $ 0 |
Total (loss) income on mortgage loans subserviced, included in loan administration income | (17) | 3 | |
Residential first mortgage loans | |||
Servicing Assets at Fair Value [Line Items] | |||
Servicing fees, ancillary income and late fees | 227 | 20 | |
Servicing Asset at Fair Value, Other Changes in Fair Value | (80) | (8) | |
Changes in fair value due to interest rate risk | 1 | 10 | |
Gain on MSR derivatives | (47) | (16) | |
Net transaction costs | 2 | 0 | |
Residential first mortgage loans | Loan administration income on mortgage loans subserviced | |||
Servicing Assets at Fair Value [Line Items] | |||
Servicing fees, ancillary income and late fees | 154 | 11 | |
Charges on subserviced custodial balances | (168) | (8) | |
Other servicing charges | (3) | $ 0 | |
FDIC Serviced Loans | Loan administration income on mortgage loans subserviced | |||
Servicing Assets at Fair Value [Line Items] | |||
Servicing fees, ancillary income and late fees | $ 95 |
Variable Interest Entities (Det
Variable Interest Entities (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 USD ($) unit | Dec. 31, 2022 USD ($) unit | |
Private-label Securitizations [Line Items] | ||
Number of variable interest entities | unit | 0 | 0 |
Fair Value | $ 9,145 | $ 9,060 |
Variable Interest Entity, Not Primary Beneficiary | ||
Private-label Securitizations [Line Items] | ||
Ownership interest in investment | 5% | |
Private Label CMOs | ||
Private-label Securitizations [Line Items] | ||
Fair Value | $ 180 | $ 191 |
Borrowed Funds - Breakdown of b
Borrowed Funds - Breakdown of borrowed funds (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument | |||
Long-term debt | $ 21,267,000,000 | $ 21,332,000,000 | |
Total wholesale borrowings | |||
Debt Instrument | |||
Long-term debt | 20,250,000,000 | 20,325,000,000 | |
FHLB advances | |||
Debt Instrument | |||
Long-term debt | 19,250,000,000 | 20,325,000,000 | |
FRB term funding | |||
Debt Instrument | |||
Long-term debt | 1,000,000,000 | 0 | $ 0 |
Junior subordinated debentures | |||
Debt Instrument | |||
Long-term debt | 579,000,000 | 575,000,000 | |
Subordinated notes | |||
Debt Instrument | |||
Long-term debt | $ 438,000,000 | $ 432,000,000 |
Borrowed Funds - Narrative (Det
Borrowed Funds - Narrative (Details) - USD ($) | 12 Months Ended | ||||
Nov. 04, 2007 | Nov. 04, 2002 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Debt Instrument | |||||
Interest payable | $ 50,000,000 | $ 37,000,000 | |||
Long-term debt | $ 21,267,000,000 | $ 21,332,000,000 | |||
FHLB advances, weighted average interest rate | 508% | 348% | |||
FHLB advances, average amount overnight | $ 624,000,000 | $ 318,000,000 | |||
FHLB interest expense | 564,000,000 | 251,000,000 | $ 233,000,000 | ||
Repurchase agreements, interest expense | 0 | 14,000,000 | 18,000,000 | ||
Federal funds purchased, average balance | $ 196,000,000 | $ 466,000,000 | |||
Federal funds purchased, weighted average interest rate | 501% | 165% | |||
Federal funds purchased, interest expense | $ 10,000,000 | $ 8,000,000 | 0 | ||
Junior subordinated debentures | 579,000,000 | 575,000,000 | |||
Offering price (in dollars per share) | $ 20.04 | ||||
Number of securities called by each warrant (in shares) | 2.4953 | ||||
Number of securities called by warrant (in shares) | 14,000,000 | ||||
Warrant term | 49 years | ||||
Liquidation amount (in dollars per share) | $ 50 | ||||
Noncallable term | 5 years | 5 years | |||
Settlement terms, fair value of shares amount | $ 182,600,000 | ||||
Settlement terms, period | 49 years | ||||
Unamortized discount | $ 64,000,000 | ||||
Deferrable term | 5 years | ||||
Junior subordinated debenture, interest expense | $ 48,000,000 | 22,000,000 | $ 18,000,000 | ||
Subordinated notes | $ 438,000,000 | 432,000,000 | |||
FHLB lock out term | 5 years | ||||
Warrant Or Right, Coupon Rate | 600% | ||||
New York Community Capital Trust V (BONUSES Units) | |||||
Debt Instrument | |||||
Junior subordinated debentures | $ 147,000,000 | ||||
Unamortized discount | 92,400,000 | ||||
Additional Paid-in Capital [Member] | |||||
Debt Instrument | |||||
Adjustments to warrants issued | 92,400,000 | ||||
BONUSES Units | |||||
Debt Instrument | |||||
Offering price (in dollars per share) | $ 50 | ||||
Warrant outstanding (in shares) | 5,500,000 | ||||
Warrants proceeds amount | 275,000,000 | ||||
Total wholesale borrowings | |||||
Debt Instrument | |||||
Unused lines of credit available | 8,400,000,000 | 11,300,000,000 | |||
Long-term debt | 20,250,000,000 | 20,325,000,000 | |||
FHLB advances | |||||
Debt Instrument | |||||
Long-term debt | 19,250,000,000 | 20,325,000,000 | |||
FHLB advances, overnight | 0 | 2,800,000,000 | |||
Previously Reported | |||||
Debt Instrument | |||||
Junior subordinated debentures | $ 609,000,000 | $ 608,000,000 |
Borrowed Funds - Advances (Deta
Borrowed Funds - Advances (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Amount | |
2024 | $ 7,350 |
2025 | 1,500 |
2026 | 2,500 |
2027 | 4,000 |
2028 | 2,400 |
2032 | 1,500 |
Total FHLB advances | $ 19,250 |
Weighted Average Interest Rate (1) | |
2024 | 4.57% |
2025 | 5.38% |
2026 | 5.37% |
2027 | 4.62% |
2028 | 5.17% |
2032 | 3.43% |
Amount | |
2024 | $ 9,100 |
2025 | 1,750 |
2026 | 2,500 |
2027 | 3,500 |
2028 | 2,400 |
2032 | 0 |
Total FHLB advances | $ 19,250 |
Weighted Average Interest Rate (1) | |
2024 | 4.37% |
2025 | 5.11% |
2026 | 5.37% |
2027 | 4.75% |
2028 | 5.17% |
2032 | 0% |
Borrowed Funds - Junior Subordi
Borrowed Funds - Junior Subordinated Debentures (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Debt Instrument | ||
Junior Subordinated Notes | $ 579 | $ 575 |
Capital Securities Amount Outstanding | 589 | |
Flagstar Bancorp | ||
Debt Instrument | ||
Fair value adjustment | (30) | |
Previously Reported | ||
Debt Instrument | ||
Junior Subordinated Notes | $ 609 | $ 608 |
New York Community Capital Trust V (BONUSES Units) | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 600% | |
Junior Subordinated Notes | $ 147 | |
Capital Securities Amount Outstanding | $ 141 | |
New York Community Capital Trust X | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 725% | |
Junior Subordinated Notes | $ 124 | |
Capital Securities Amount Outstanding | $ 120 | |
PennFed Capital Trust III | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 890% | |
Junior Subordinated Notes | $ 31 | |
Capital Securities Amount Outstanding | $ 30 | |
New York Community Capital Trust XI | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 724% | |
Junior Subordinated Notes | $ 59 | |
Capital Securities Amount Outstanding | $ 58 | |
Flagstar Statutory Trust II | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 887% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust III | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 891% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust IV | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 884% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust V | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 766% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust VI | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 766% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust VII | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 740% | |
Junior Subordinated Notes | $ 51 | |
Capital Securities Amount Outstanding | $ 50 | |
Flagstar Statutory Trust VIII | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 716% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust IX | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 710% | |
Junior Subordinated Notes | $ 26 | |
Capital Securities Amount Outstanding | $ 25 | |
Flagstar Statutory Trust X | ||
Debt Instrument | ||
Interest Rate of Capital Securities and Debentures | 815% | |
Junior Subordinated Notes | $ 15 | |
Capital Securities Amount Outstanding | $ 15 |
Borrowed Funds - Subordinated N
Borrowed Funds - Subordinated Notes (Details) - Subordinated notes $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Subordinated notes maturing in 2028 | |
Debt Instrument | |
Interest Rate | 5.90% |
Original Issue Amount | $ 300 |
Subordinated notes maturing in 2028 | Secured Overnight Financing Rate (SOFR) | |
Debt Instrument | |
Variable rate on spread | 3.0416% |
Subordinated notes maturing in 2030 | |
Debt Instrument | |
Original Issue Amount | $ 150 |
Subordinated notes maturing in 2030 | Secured Overnight Financing Rate (SOFR) | |
Debt Instrument | |
Interest Rate | 4.125% |
Deposits - Schedule of Deposits
Deposits - Schedule of Deposits (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Amount | ||
Interest-bearing checking and money market accounts | $ 30,700 | $ 22,511 |
Savings accounts | 8,773 | 11,645 |
Certificates of deposit | 21,554 | 12,510 |
Non-interest-bearing accounts | 20,499 | 12,055 |
Total deposits | $ 81,526 | $ 58,721 |
Percent of Total | ||
Interest-bearing checking and money market accounts | 37.66% | 38.34% |
Savings accounts | 10.76% | 19.83% |
Certificates of deposit | 26.44% | 21.30% |
Non-interest-bearing accounts | 25.14% | 20.53% |
Total deposits | 100% | 100% |
Weighted Average Interest Rate | ||
Interest-bearing checking and money market accounts | 3.51% | 2.66% |
Savings accounts | 2.67% | 1.30% |
Certificates of deposit | 4.42% | 2.04% |
Non-interest-bearing accounts | 0% | 0% |
Total deposits | 2.79% | 1.71% |
Deposits - Narrative (Details)
Deposits - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Statistical Disclosure for Banks [Abstract] | ||
Time deposits at or exceed insured amount | $ 7,900 | $ 3,700 |
Deposits reclassified | 121 | 4 |
Brokered deposits | $ 9,500 | $ 5,100 |
Weighted average interest rate, brokered deposit | 3.72% | 4,900% |
Brokered money market | $ 1,300 | $ 2,800 |
Brokered checking accounts | 1,600 | 1,000 |
Brokered CDs | $ 6,600 | $ 1,300 |
Deposits - Maturities (Details)
Deposits - Maturities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Federal Home Loan Bank, Advances | ||
Certificates of deposit | $ 21,554 | $ 12,510 |
Previously Reported | ||
Federal Home Loan Bank, Advances | ||
1 year or less | 17,321 | |
More than 1 year through 2 years | 3,879 | |
More than 2 years through 3 years | 229 | |
More than 3 years through 4 years | 142 | |
More than 4 years through 5 years | 7 | |
Over 5 years | 3 | |
Certificates of deposit | $ 21,581 |
Federal, State, and Local Tax_3
Federal, State, and Local Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred Tax Assets: | ||
Allowance for credit losses on loans and leases | $ 253,000 | $ 102,000 |
Acquisition accounting and fair value adjustments on securities (including OTTI) | 188,000 | 227,000 |
Acquisition accounting and fair value adjustments on loans | 0 | 36,000 |
Capitalized loan costs | 46,000 | |
Right of Use Liability | 32,000 | 0 |
Compensation and related benefit obligations | 30,000 | 23,000 |
Capitalized research and development costs | 0 | 10,000 |
Accrued Expenses | 19,000 | 0 |
Net operating loss carryforwards | 8,000 | 15,000 |
Other | 22,000 | 18,000 |
Gross deferred tax assets | 552,000 | 477,000 |
Valuation allowance | (5,000) | (5,000) |
Net deferred tax asset after valuation allowance | 547,000 | 472,000 |
Deferred Tax Liabilities: | ||
Leases | (492,000) | (328,000) |
Mortgage servicing rights | (79,000) | (105,000) |
Premises and equipment | (44,000) | (18,000) |
Prepaid pension cost | (35,000) | (29,000) |
Fair value adjustments on loans | (210,000) | 0 |
Amortizable intangibles | (127,000) | (71,000) |
Acquisition accounting and fair value adjustments on deposits | (2,000) | (9,000) |
Right of Use Asset | (32,000) | 0 |
Deferred Loan fees | (13,000) | 0 |
Acquisition accounting and fair value adjustments on debt | (9,000) | (10,000) |
Other | (21,000) | (9,000) |
Gross deferred tax liabilities | (1,064,000) | (579,000) |
Net deferred tax liability | $ (517,000) | $ (107,000) |
Federal, State, and Local Tax_4
Federal, State, and Local Taxes - Narrative (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Net operating loss carryforwards | $ 8,000,000 | $ 15,000,000 | ||
Total state net operating loss carryforwards | 185,000,000 | |||
Valuation allowance | 5,000,000 | 5,000,000 | ||
Low income housing tax credits | 372,000,000 | 304,000,000 | ||
Affordable housing tax credit commitment | $ 210,000,000 | 183,000,000 | ||
Commitments that expect to be funded period | 5 years | |||
Affordable housing tax credits | $ 34,000,000 | 11,000,000 | $ 9,000,000 | |
Affordable housing tax credit amortization | 30,000,000 | 10,000,000 | 9,000,000 | |
Affordable housing tax credit write down | 0 | 0 | 0 | |
Unrecognized tax benefits | 42,000,000 | 40,000,000 | 39,000,000 | $ 38,000,000 |
Income tax expense interest and penalties | 8,000,000 | 4,000,000 | $ 4,000,000 | |
Income tax accrued interest expense and penalties | 34,000,000 | 26,000,000 | ||
Would impact effective rate rate amount | 34,000,000 | $ 32,000,000 | ||
Unrecognized tax benefit decrease | 21,000,000 | |||
Bad debt reserve | 62,000,000 | |||
Federal deferred tax liability, bad debt reserve | $ 13,000,000 |
Federal, State, and Local Tax_5
Federal, State, and Local Taxes - Components of Income Tax Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Federal – current | $ 156 | $ 147 | $ 188 |
State and local – current | 59 | 32 | 35 |
Total current | 215 | 179 | 223 |
Federal – deferred | (137) | (10) | (28) |
State and local – deferred | (49) | 7 | 15 |
Total deferred | (186) | (3) | (13) |
Income tax expense reported in net income | 29 | 176 | 210 |
Income tax expense reported in stockholders’ equity related to: | |||
Securities available-for-sale | 15 | (223) | (42) |
Pension liability adjustments | 6 | (6) | 10 |
Cash flow hedge | (14) | 23 | 9 |
Total income taxes | $ 36 | $ (30) | $ 187 |
Federal, State, and Local Tax_6
Federal, State, and Local Taxes - Reconciliation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Provision at statutory federal income tax rate | $ (10) | $ 174 | $ 169 |
State and local income taxes, net of federal income tax effect | 8 | 31 | 40 |
Tax Exempt income | (6) | 0 | 0 |
Non-taxable bargain gain | (447) | (33) | 0 |
Non-deductible goodwill impairment | 509 | 0 | 0 |
Non-deductible FDIC deposit insurance premiums | 16 | 10 | 9 |
Effect of tax deductibility of deferred compensation | (3) | (3) | (3) |
Non-taxable income and expense of BOLI | (9) | (7) | (6) |
Non-deductible merger expenses | 0 | 3 | 3 |
Non-deductible compensation expense | 1 | 4 | 0 |
Federal tax credits | (31) | (1) | 0 |
Adjustments relating to prior tax years | 2 | (1) | (1) |
Other, net | (1) | (1) | (1) |
Income tax expense reported in net income | $ 29 | $ 176 | $ 210 |
Federal, State, and Local Tax_7
Federal, State, and Local Taxes - Reconciliation of Gross Amounts of Tax Contingencies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance, beginning of year | $ 40 | $ 39 | $ 38 |
Additions for tax positions relating to current-year operations | 1 | 1 | 2 |
Additions for tax positions relating to prior tax years | 2 | 0 | 1 |
Subtractions for tax positions relating to prior tax years | (1) | 0 | (2) |
Balance, end of year | $ 42 | $ 40 | $ 39 |
Stock-Related Benefits Plans -
Stock-Related Benefits Plans - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options available for future grants (in shares) | 16,143,893 | ||
Restricted Stock and Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense | $ 44 | $ 25 | $ 27 |
Restricted Stock and Restricted Stock Units | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 1 year | ||
Restricted Stock and Restricted Stock Units | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years | ||
Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted (in shares) | 566,656 | ||
Granted (in usd per share) | $ 8.95 | ||
Share-based compensation expense | $ 4 | $ 3 | $ 5 |
Unrecognized stock-based compensation cost for options | $ 5 | ||
Period to be recognized | 1 year 6 months 10 days | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted (in shares) | 9,995,495 | ||
Granted (in usd per share) | $ 10.24 | ||
Unrecognized stock-based compensation cost for options | $ 119 | ||
Period to be recognized | 2 years 8 months 12 days |
Stock-Related Benefits Plans _2
Stock-Related Benefits Plans - Summary of Restricted Stock Activity (Details) - Restricted Stock | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Number of Shares | |
Non-vested balance at beginning of period (in shares) | shares | 9,576,602 |
Granted (in shares) | shares | 9,995,495 |
Vested (in shares) | shares | (3,105,582) |
Forfeited (in shares) | shares | (1,292,574) |
Non-vested balance at end of period (in shares) | shares | 15,173,941 |
Weighted Average Grant Date Fair Value | |
Non-vested balance at beginning of period (in usd per share) | $ / shares | $ 10.92 |
Granted (in usd per share) | $ / shares | 10.24 |
Vested (in usd per share) | $ / shares | 10.99 |
Forfeited (in usd per share) | $ / shares | 10.62 |
Non-vested balance at end of period (in usd per share) | $ / shares | $ 10.49 |
Stock-Related Benefits Plans _3
Stock-Related Benefits Plans - Summary of Performance-Based Restricted Stock Activity (Details) - Performance Shares | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Number of Shares | |
Non-vested balance at beginning of period (in shares) | shares | 794,984 |
Granted (in shares) | shares | 566,656 |
Vested (in shares) | shares | (143,352) |
Forfeited (in shares) | shares | 0 |
Non-vested balance at end of period (in shares) | shares | 1,218,288 |
Weighted Average Grant Date Fair Value | |
Non-vested balance at beginning of period (in usd per share) | $ / shares | $ 10.73 |
Granted (in usd per share) | $ / shares | 8.95 |
Vested (in usd per share) | $ / shares | 10.34 |
Forfeited (in usd per share) | $ / shares | 0 |
Non-vested balance at end of period (in usd per share) | $ / shares | $ 9.95 |
Derivative and Hedging Activi_3
Derivative and Hedging Activities - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Net unrealized gain on cash flow hedges, net of tax of $(6) and $(20), respectively | $ 10 | $ 52 |
Interest , loans and leases held-for-sale | 24 | 6 |
Amount of hedged item | 6,100 | |
Fair value of interest rate fair value hedging instruments | 9 | |
Amount of gain (loss), net of tax, to be reclassified during the next 12 months | 98 | |
Interest rate swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | 2,000 | |
Amount of hedged item | 2,000 | |
Interest rate swaps | Derivatives designated as cash flow hedging instruments: | Cash flow hedging | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, notional amount | $ 5,500 | $ 3,800 |
Derivative and Hedging Activi_4
Derivative and Hedging Activities - Notional Amount and Fair Value of Derivative Financial Instruments (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Derivatives designated as cash flow hedging instruments: | Cash flow hedging | ||
Liabilities | ||
Notional Amount | $ 5,500 | $ 3,750 |
Derivatives designated as cash flow hedging instruments: | Other Assets | Cash flow hedging | ||
Liabilities | ||
Fair Value | 0 | 5 |
Derivatives designated as cash flow hedging instruments: | Other Liabilities | Cash flow hedging | ||
Liabilities | ||
Fair Value | 2 | 0 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps | ||
Liabilities | ||
Fair Value | 2 | 5 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps | Cash flow hedging | ||
Liabilities | ||
Notional Amount | 5,500 | 3,750 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps | Other Assets | Cash flow hedging | ||
Liabilities | ||
Fair Value | 0 | 5 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps | Other Liabilities | Cash flow hedging | ||
Liabilities | ||
Fair Value | 2 | 0 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps on multi-family loans held for investment(1) | ||
Liabilities | ||
Fair Value | 1 | |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps on multi-family loans held for investment(1) | Fair value hedging | ||
Liabilities | ||
Notional Amount | 2,000 | |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps on multi-family loans held for investment(1) | Other Assets | Fair value hedging | ||
Liabilities | ||
Fair Value | 0 | |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps on multi-family loans held for investment(1) | Other Liabilities | Fair value hedging | ||
Liabilities | ||
Fair Value | 1 | |
Derivatives not designated as hedging instruments: | ||
Assets | ||
Fair Value | 126 | 220 |
Liabilities | ||
Fair Value | 92 | 126 |
Derivatives not designated as hedging instruments: | Other Assets | ||
Assets | ||
Notional Amount | 7,933 | 11,403 |
Fair Value | 138 | 229 |
Liabilities | ||
Fair Value | 0 | 0 |
Derivatives not designated as hedging instruments: | Other Liabilities | ||
Assets | ||
Fair Value | 0 | 0 |
Liabilities | ||
Notional Amount | 6,080 | 3,711 |
Fair Value | 95 | 136 |
Derivatives not designated as hedging instruments: | Futures | ||
Assets | ||
Fair Value | 2 | |
Liabilities | ||
Fair Value | 1 | |
Derivatives not designated as hedging instruments: | Futures | Other Assets | ||
Assets | ||
Notional Amount | 1,205 | |
Fair Value | 2 | |
Liabilities | ||
Fair Value | 0 | |
Derivatives not designated as hedging instruments: | Futures | Other Liabilities | ||
Assets | ||
Fair Value | 0 | |
Liabilities | ||
Notional Amount | 2,235 | |
Fair Value | 1 | |
Derivatives not designated as hedging instruments: | Mortgage-backed securities forwards | ||
Assets | ||
Fair Value | 11 | 36 |
Liabilities | ||
Fair Value | 32 | 61 |
Derivatives not designated as hedging instruments: | Mortgage-backed securities forwards | Other Assets | ||
Assets | ||
Notional Amount | 1,012 | 1,065 |
Fair Value | 11 | 36 |
Liabilities | ||
Fair Value | 0 | 0 |
Derivatives not designated as hedging instruments: | Mortgage-backed securities forwards | Other Liabilities | ||
Assets | ||
Fair Value | 0 | 0 |
Liabilities | ||
Notional Amount | 1,048 | 739 |
Fair Value | 32 | 61 |
Derivatives not designated as hedging instruments: | Rate lock commitments (fallout-adjusted) | Other Assets | ||
Assets | ||
Notional Amount | 1,490 | 1,539 |
Fair Value | 12 | 9 |
Liabilities | ||
Fair Value | 0 | 0 |
Derivatives not designated as hedging instruments: | Rate lock commitments (fallout-adjusted) | Other Liabilities | ||
Assets | ||
Fair Value | 0 | 0 |
Liabilities | ||
Notional Amount | 77 | 527 |
Fair Value | 3 | 10 |
Derivatives not designated as hedging instruments: | Interest rate swaps and swaptions | Other Assets | ||
Assets | ||
Notional Amount | 5,431 | 7,594 |
Fair Value | 115 | 182 |
Liabilities | ||
Fair Value | 0 | 0 |
Derivatives not designated as hedging instruments: | Interest rate swaps and swaptions | Other Liabilities | ||
Assets | ||
Fair Value | 0 | 0 |
Liabilities | ||
Notional Amount | 2,720 | 2,445 |
Fair Value | $ 59 | $ 65 |
Derivative and Hedging Activi_5
Derivative and Hedging Activities - Derivatives Subject to a Master Netting Arrangement (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps | ||
Liabilities | ||
Gross Amount | $ 2 | $ 5 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 2 | 5 |
Financial Instruments | 0 | 4 |
Cash Collateral Pledged (Received) | 75 | 27 |
Derivatives designated as cash flow hedging instruments: | Interest rate swaps on multi-family loans held for investment(1) | ||
Liabilities | ||
Gross Amount | 1 | |
Gross Amounts Netted in the Statements of Condition | 0 | |
Net Amount Presented in the Statements of Condition | 1 | |
Financial Instruments | 0 | |
Cash Collateral Pledged (Received) | 27 | |
Derivatives not designated as hedging instruments: | ||
Assets | ||
Gross Amount | 126 | 220 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 126 | 220 |
Financial Instruments | 0 | 0 |
Cash Collateral Pledged (Received) | (35) | (44) |
Liabilities | ||
Gross Amount | 92 | 126 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 92 | 126 |
Financial Instruments | 0 | 0 |
Cash Collateral Pledged (Received) | 102 | 83 |
Derivatives not designated as hedging instruments: | Mortgage-backed securities forwards | ||
Assets | ||
Gross Amount | 11 | 36 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 11 | 36 |
Financial Instruments | 0 | 0 |
Cash Collateral Pledged (Received) | (1) | (9) |
Liabilities | ||
Gross Amount | 32 | 61 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 32 | 61 |
Financial Instruments | 0 | 0 |
Cash Collateral Pledged (Received) | 57 | 54 |
Derivatives not designated as hedging instruments: | Interest rate swaptions | ||
Assets | ||
Gross Amount | 115 | 182 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 115 | 182 |
Financial Instruments | 0 | 0 |
Cash Collateral Pledged (Received) | (34) | (36) |
Derivatives not designated as hedging instruments: | Futures | ||
Assets | ||
Gross Amount | 2 | |
Gross Amounts Netted in the Statements of Condition | ||
Net Amount Presented in the Statements of Condition | 2 | |
Financial Instruments | ||
Cash Collateral Pledged (Received) | 1 | |
Liabilities | ||
Gross Amount | 1 | |
Gross Amounts Netted in the Statements of Condition | 0 | |
Net Amount Presented in the Statements of Condition | 1 | |
Financial Instruments | 0 | |
Cash Collateral Pledged (Received) | 3 | |
Derivatives not designated as hedging instruments: | Interest rate swaps | ||
Liabilities | ||
Gross Amount | 59 | 65 |
Gross Amounts Netted in the Statements of Condition | 0 | 0 |
Net Amount Presented in the Statements of Condition | 59 | 65 |
Financial Instruments | 0 | 0 |
Cash Collateral Pledged (Received) | $ 42 | $ 29 |
Derivative and Hedging Activi_6
Derivative and Hedging Activities - Cash Flow Derivative Instruments On AOCL (Details) - Swap FHLB - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain (loss) recognized in AOCL | $ 9 | $ 88 | $ 8 |
Amount of reclassified from AOCL to interest expense | $ (65) | $ (4) | $ 25 |
Derivative and Hedging Activi_7
Derivative and Hedging Activities - Net Gain (Loss) Recognized on Designated Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | $ (47) | $ 11 |
Futures | Net return on mortgage servicing rights | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | 1 | (1) |
Interest rate swaps and swaptions | Net return on mortgage servicing rights | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | (34) | (11) |
Mortgage-backed securities forwards | Net return on mortgage servicing rights | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | (15) | (4) |
Rate lock commitments and US Treasury futures | Net gain on loan sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | 2 | 28 |
Forward commitments | Other non-interest income | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | 0 | (1) |
Interest rate swaps | Other non-interest income | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized in AOCL | $ (1) | $ 0 |
Intangible Assets - Goodwill (D
Intangible Assets - Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill [Roll Forward] | |||
Balance at December 31, 2022 | $ 2,426 | ||
Goodwill impairment | 2,426 | $ 0 | $ 0 |
Balance at December 31, 2023 | $ 0 | $ 2,426 |
Intangible Assets - Narrative (
Intangible Assets - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Mar. 20, 2023 | Dec. 31, 2023 | |
Other Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated useful life | 5 years 1 month 6 days | |
Signature Bridge Bank | ||
Finite-Lived Intangible Assets [Line Items] | ||
Core deposit and other intangibles | $ 464 |
Intangible Assets - Schedule In
Intangible Assets - Schedule Intangible Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 756 | $ 292 |
Accumulated Amortization | (131) | (5) |
Net Carrying Value | 625 | 287 |
Core Deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 700 | 250 |
Accumulated Amortization | (113) | (4) |
Net Carrying Value | 587 | 246 |
Other Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 56 | 42 |
Accumulated Amortization | (18) | (1) |
Net Carrying Value | $ 38 | $ 41 |
Intangible Assets - Future Amor
Intangible Assets - Future Amortization (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2024 | $ 132 |
2025 | 107 |
2026 | 94 |
2027 | 81 |
2028 | 68 |
Total | $ 482 |
Capital - Actual Capital Amount
Capital - Actual Capital Amount and Ratios (Details) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Mar. 17, 2017 |
Total | |||
Excess, ratio | 0.0377 | ||
Leverage Capital | |||
Banking Regulation, Capital Conservation Buffer, Capital Conserved, Minimum | 0.0127 | ||
Fixed-to-Floating Rate Series A Noncumulative Perpetual Preferred Stock | |||
Leverage Capital | |||
Interest in preferred stock | 2.50% | ||
Parent company | |||
Common Equity Tier 1 | |||
Total capital, amount | $ 8,009,000,000 | $ 6,335,000,000 | |
Total capital, ratio | 0.0905 | 0.0906 | |
Minimum for capital adequacy, amount | $ 3,983,000,000 | $ 3,146,000,000 | |
Minimum for capital adequacy, ratio | 0.0450 | 0.0450 | |
Excess, amount | $ 4,026,000,000 | $ 3,189,000,000 | |
Excess, ratio | 4.55% | 4.56% | |
Tier 1 | |||
Total capital, amount | $ 8,512,000,000 | $ 6,838,000,000 | |
Total capital, ratio | 0.0962 | 0.0978 | |
Minimum for capital adequacy, amount | $ 5,310,000,000 | $ 4,195,000,000 | |
Minimum for capital adequacy, ratio | 0.0600 | 0.0600 | |
Excess, amount | $ 3,202,000,000 | $ 2,643,000,000 | |
Excess, ratio | 0.0362 | 0.0378 | |
Total | |||
Total capital, amount | $ 10,415,000,000 | $ 8,154,000,000 | |
Total capital, ratio | 0.1177 | 0.1166 | |
Minimum for capital adequacy, amount | $ 7,081,000,000 | $ 5,593,000,000 | |
Minimum for capital adequacy, ratio | 0.0800 | 0.0800 | |
Excess, amount | $ 3,334,000,000 | $ 2,561,000,000 | |
Excess, ratio | 0.0377 | 0.0366 | |
Leverage Capital | |||
Total capital, amount | $ 8,512,000,000 | $ 6,838,000,000 | |
Total capital, ratio | 0.0775 | 0.0970 | |
Minimum for capital adequacy, amount | $ 4,392,000,000 | $ 2,819,000,000 | |
Minimum for capital adequacy, ratio | 0.0400 | 0.0400 | |
Excess, amount | $ 4,120,000,000 | $ 4,019,000,000 | |
Excess, ratio | 3.75% | 5.70% | |
Subsidiaries | |||
Common Equity Tier 1 | |||
Total capital, amount | $ 9,305,000,000 | $ 7,653,000,000 | |
Total capital, ratio | 0.1052 | 0.1096 | |
Minimum for capital adequacy, amount | $ 3,980,000,000 | $ 3,142,000,000 | |
Minimum for capital adequacy, ratio | 0.0450 | 0.0450 | |
Excess, amount | $ 5,325,000,000 | $ 4,511,000,000 | |
Excess, ratio | 6.02% | 6.46% | |
Tier 1 | |||
Total capital, amount | $ 9,305,000,000 | $ 7,653,000,000 | |
Total capital, ratio | 0.1052 | 0.1096 | |
Minimum for capital adequacy, amount | $ 5,307,000,000 | $ 4,189,000,000 | |
Minimum for capital adequacy, ratio | 0.0600 | 0.0600 | |
Excess, amount | $ 3,998,000,000 | $ 3,464,000,000 | |
Excess, ratio | 0.0452 | 0.0496 | |
Total | |||
Total capital, amount | $ 10,271,000,000 | $ 7,982,000,000 | |
Total capital, ratio | 0.1161 | 0.1143 | |
Minimum for capital adequacy, amount | $ 7,076,000,000 | $ 5,585,000,000 | |
Minimum for capital adequacy, ratio | 0.0800 | 0.0800 | |
Excess, amount | $ 3,195,000,000 | $ 2,397,000,000 | |
Excess, ratio | 0.0361 | 0.0343 | |
Leverage Capital | |||
Total capital, amount | $ 9,305,000,000 | $ 7,653,000,000 | |
Total capital, ratio | 0.0848 | 0.1087 | |
Minimum for capital adequacy, amount | $ 4,389,000,000 | $ 2,817,000,000 | |
Minimum for capital adequacy, ratio | 0.0400 | 0.0400 | |
Excess, amount | $ 4,916,000,000 | $ 4,836,000,000 | |
Excess, ratio | 4.48% | 6.87% |
Capital - Preferred Stock and T
Capital - Preferred Stock and Treasury Stock (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||
Mar. 17, 2017 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Oct. 23, 2018 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Issuance and exercise of FDIC Equity appreciation instrument (in shares) | 39,032,006 | 214,990,316 | |||
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 | |||
Stock repurchased authorized amount | $ 300 | ||||
Treasury stock, acquired, shares (in shares) | 30,000,000 | 871,710,000,000 | |||
Treasury stock, shares average price (in dollars per share) | $ 9.61 | ||||
Treasury stock, acquired, cost | $ 286 | $ 8 | |||
Treasury stock repurchased | $ 0 | $ 7 | $ 0 | ||
Fixed-to-Floating Rate Series A Noncumulative Perpetual Preferred Stock | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Issuance and exercise of FDIC Equity appreciation instrument (in shares) | 20,600,000 | ||||
Preferred stock, par value (in usd per share) | $ 0.01 | ||||
Preferred stock, liquidation preference per share (in dollars per share) | 1 | ||||
Stock issued during period, per depository share (in dollars per share) | $ 25 | ||||
Dividend rate percentage | 637.50% | ||||
Preferred stock, dividend rate, basis spread on variable rate | 3.821% |
Fair Value Measures - Financial
Fair Value Measures - Financial Instruments Carried at Fair Value (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets: | ||
Total debt securities available for sale | $ 9,145 | $ 9,060 |
Loans held-for-sale | 902 | 1,115 |
Total debt securities available for sale | ||
Assets: | ||
Total debt securities available for sale | 9,145 | 9,060 |
Mortgage-related Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 6,563 | 4,789 |
GSE certificates | ||
Assets: | ||
Total debt securities available for sale | 1,221 | 1,297 |
GSE CMOs | ||
Assets: | ||
Total debt securities available for sale | 5,162 | 3,301 |
Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | 180 | 191 |
Other Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 2,582 | 4,271 |
U. S. Treasury obligations | ||
Assets: | ||
Total debt securities available for sale | 198 | 1,487 |
GSE debentures | ||
Assets: | ||
Total debt securities available for sale | 1,609 | 1,398 |
Asset-backed securities | ||
Assets: | ||
Total debt securities available for sale | 302 | 361 |
Municipal bonds | ||
Assets: | ||
Total debt securities available for sale | 6 | 30 |
Corporate bonds | ||
Assets: | ||
Total debt securities available for sale | 343 | 885 |
Foreign notes | ||
Assets: | ||
Total debt securities available for sale | 34 | 20 |
Capital trust notes | ||
Assets: | ||
Total debt securities available for sale | 90 | 90 |
Recurring | ||
Assets: | ||
Fair Value | 9,159 | 9,074 |
Mortgage servicing rights | 1,111 | 1,033 |
Total assets at fair value | 11,310 | 11,451 |
Liabilities: | ||
Total liabilities at fair value | 95 | 136 |
Recurring | Acquisition, development, and construction | ||
Assets: | ||
Loans held-for-sale | 123 | |
Recurring | Commercial and industrial | ||
Assets: | ||
Loans held-for-sale | 9 | |
Recurring | Mortgage Loans | Residential first mortgage loans | ||
Assets: | ||
Loans held-for-sale | 770 | 1,115 |
Recurring | Interest rate swaps and swaptions | ||
Assets: | ||
Derivative assets | 115 | 182 |
Liabilities: | ||
Derivative liabilities | 59 | 65 |
Recurring | Futures | ||
Assets: | ||
Derivative assets | 0 | 2 |
Liabilities: | ||
Derivative liabilities | 1 | |
Recurring | Rate lock commitments (fallout-adjusted) | ||
Assets: | ||
Derivative assets | 12 | 9 |
Liabilities: | ||
Derivative liabilities | 3 | 10 |
Recurring | Mortgage-backed securities forwards | ||
Assets: | ||
Derivative assets | 11 | 36 |
Liabilities: | ||
Derivative liabilities | 32 | 61 |
Recurring | Total debt securities available for sale | ||
Assets: | ||
Total debt securities available for sale | 9,145 | 9,060 |
Recurring | Mortgage-related Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 6,563 | 4,789 |
Recurring | GSE certificates | ||
Assets: | ||
Total debt securities available for sale | 1,221 | 1,297 |
Recurring | GSE CMOs | ||
Assets: | ||
Total debt securities available for sale | 5,162 | 3,301 |
Recurring | Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | 180 | 191 |
Recurring | Other Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 2,582 | 4,271 |
Recurring | U. S. Treasury obligations | ||
Assets: | ||
Total debt securities available for sale | 198 | 1,487 |
Recurring | GSE debentures | ||
Assets: | ||
Total debt securities available for sale | 1,609 | 1,398 |
Recurring | Asset-backed securities | ||
Assets: | ||
Total debt securities available for sale | 302 | 361 |
Recurring | Municipal bonds | ||
Assets: | ||
Total debt securities available for sale | 6 | 30 |
Recurring | Corporate bonds | ||
Assets: | ||
Total debt securities available for sale | 343 | 885 |
Recurring | Foreign notes | ||
Assets: | ||
Total debt securities available for sale | 34 | 20 |
Recurring | Capital trust notes | ||
Assets: | ||
Total debt securities available for sale | 90 | 90 |
Recurring | Equity securities: | ||
Assets: | ||
Equity securities: | 14 | 14 |
Recurring | Mutual funds | ||
Assets: | ||
Equity securities: | 14 | 14 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Fair Value | 198 | 1,487 |
Mortgage servicing rights | 0 | 0 |
Total assets at fair value | 198 | 1,487 |
Liabilities: | ||
Total liabilities at fair value | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Acquisition, development, and construction | ||
Assets: | ||
Loans held-for-sale | 0 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial and industrial | ||
Assets: | ||
Loans held-for-sale | 0 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage Loans | Residential first mortgage loans | ||
Assets: | ||
Loans held-for-sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swaps and swaptions | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Futures | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Rate lock commitments (fallout-adjusted) | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities forwards | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Total debt securities available for sale | ||
Assets: | ||
Total debt securities available for sale | 198 | 1,487 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-related Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | GSE certificates | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | GSE CMOs | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 198 | 1,487 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U. S. Treasury obligations | ||
Assets: | ||
Total debt securities available for sale | 198 | 1,487 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | GSE debentures | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal bonds | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign notes | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Capital trust notes | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity securities: | ||
Assets: | ||
Equity securities: | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mutual funds | ||
Assets: | ||
Equity securities: | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Fair Value | 8,929 | 7,587 |
Mortgage servicing rights | 0 | 0 |
Total assets at fair value | 9,957 | 8,922 |
Liabilities: | ||
Total liabilities at fair value | 92 | 126 |
Recurring | Significant Other Observable Inputs (Level 2) | Acquisition, development, and construction | ||
Assets: | ||
Loans held-for-sale | 123 | |
Recurring | Significant Other Observable Inputs (Level 2) | Commercial and industrial | ||
Assets: | ||
Loans held-for-sale | 9 | |
Recurring | Significant Other Observable Inputs (Level 2) | Mortgage Loans | Residential first mortgage loans | ||
Assets: | ||
Loans held-for-sale | 770 | 1,115 |
Recurring | Significant Other Observable Inputs (Level 2) | Interest rate swaps and swaptions | ||
Assets: | ||
Derivative assets | 115 | 182 |
Liabilities: | ||
Derivative liabilities | 59 | 65 |
Recurring | Significant Other Observable Inputs (Level 2) | Futures | ||
Assets: | ||
Derivative assets | 0 | 2 |
Liabilities: | ||
Derivative liabilities | 1 | |
Recurring | Significant Other Observable Inputs (Level 2) | Rate lock commitments (fallout-adjusted) | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | Mortgage-backed securities forwards | ||
Assets: | ||
Derivative assets | 11 | 36 |
Liabilities: | ||
Derivative liabilities | 32 | 61 |
Recurring | Significant Other Observable Inputs (Level 2) | Total debt securities available for sale | ||
Assets: | ||
Total debt securities available for sale | 8,915 | 7,573 |
Recurring | Significant Other Observable Inputs (Level 2) | Mortgage-related Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 6,531 | 4,789 |
Recurring | Significant Other Observable Inputs (Level 2) | GSE certificates | ||
Assets: | ||
Total debt securities available for sale | 1,221 | 1,297 |
Recurring | Significant Other Observable Inputs (Level 2) | GSE CMOs | ||
Assets: | ||
Total debt securities available for sale | 5,162 | 3,301 |
Recurring | Significant Other Observable Inputs (Level 2) | Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | 148 | 191 |
Recurring | Significant Other Observable Inputs (Level 2) | Other Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 2,384 | 2,784 |
Recurring | Significant Other Observable Inputs (Level 2) | U. S. Treasury obligations | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | GSE debentures | ||
Assets: | ||
Total debt securities available for sale | 1,609 | 1,398 |
Recurring | Significant Other Observable Inputs (Level 2) | Asset-backed securities | ||
Assets: | ||
Total debt securities available for sale | 302 | 361 |
Recurring | Significant Other Observable Inputs (Level 2) | Municipal bonds | ||
Assets: | ||
Total debt securities available for sale | 6 | 30 |
Recurring | Significant Other Observable Inputs (Level 2) | Corporate bonds | ||
Assets: | ||
Total debt securities available for sale | 343 | 885 |
Recurring | Significant Other Observable Inputs (Level 2) | Foreign notes | ||
Assets: | ||
Total debt securities available for sale | 34 | 20 |
Recurring | Significant Other Observable Inputs (Level 2) | Capital trust notes | ||
Assets: | ||
Total debt securities available for sale | 90 | 90 |
Recurring | Significant Other Observable Inputs (Level 2) | Equity securities: | ||
Assets: | ||
Equity securities: | 14 | 14 |
Recurring | Significant Other Observable Inputs (Level 2) | Mutual funds | ||
Assets: | ||
Equity securities: | 14 | 14 |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Fair Value | 32 | 0 |
Mortgage servicing rights | 1,111 | 1,033 |
Total assets at fair value | 1,155 | 1,042 |
Liabilities: | ||
Total liabilities at fair value | 3 | 10 |
Recurring | Significant Unobservable Inputs (Level 3) | Acquisition, development, and construction | ||
Assets: | ||
Loans held-for-sale | 0 | |
Recurring | Significant Unobservable Inputs (Level 3) | Commercial and industrial | ||
Assets: | ||
Loans held-for-sale | 0 | |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Loans | Residential first mortgage loans | ||
Assets: | ||
Loans held-for-sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Interest rate swaps and swaptions | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Futures | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | |
Recurring | Significant Unobservable Inputs (Level 3) | Rate lock commitments (fallout-adjusted) | ||
Assets: | ||
Derivative assets | 12 | 9 |
Liabilities: | ||
Derivative liabilities | 3 | 10 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage-backed securities forwards | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Total debt securities available for sale | ||
Assets: | ||
Total debt securities available for sale | 32 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage-related Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 32 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | GSE certificates | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | GSE CMOs | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | 32 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Other Debt Securities Available for Sale: | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | U. S. Treasury obligations | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | GSE debentures | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Municipal bonds | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate bonds | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Foreign notes | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Capital trust notes | ||
Assets: | ||
Total debt securities available for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Equity securities: | ||
Assets: | ||
Equity securities: | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Mutual funds | ||
Assets: | ||
Equity securities: | $ 0 | $ 0 |
Fair Value Measures - Roll Forw
Fair Value Measures - Roll Forward of Financial Instruments (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Fair Value, Asset, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Noninterest Income |
Significant Unobservable Inputs (Level 3) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at Beginning of Year | $ 1,032 |
Total Gains / (Losses) Recorded in Earnings | (128) |
Purchases / Originations | 312 |
Sales | (51) |
Settlement | 0 |
Transfers In (Out) | (13) |
Balance at End of Year | 1,152 |
Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at Beginning of Year | 1,033 |
Total Gains / (Losses) Recorded in Earnings | (79) |
Purchases / Originations | 208 |
Sales | (51) |
Settlement | 0 |
Transfers In (Out) | 0 |
Balance at End of Year | 1,111 |
Significant Unobservable Inputs (Level 3) | Private Label CMOs | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at Beginning of Year | 0 |
Total Gains / (Losses) Recorded in Earnings | 0 |
Purchases / Originations | 0 |
Sales | 0 |
Settlement | 0 |
Transfers In (Out) | 32 |
Balance at End of Year | 32 |
Significant Unobservable Inputs (Level 3) | Rate lock commitments (fallout-adjusted) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at Beginning of Year | (1) |
Total Gains / (Losses) Recorded in Earnings | (49) |
Purchases / Originations | 104 |
Sales | 0 |
Settlement | 0 |
Transfers In (Out) | (45) |
Balance at End of Year | $ 9 |
Fair Value Measures - Quantitat
Fair Value Measures - Quantitative Information about Recurring Level 3 Fair Value Financial Instruments (Details) $ in Millions | Dec. 31, 2023 USD ($) constant_default_rate_per_loan | Dec. 31, 2022 USD ($) |
Assets: | ||
Total debt securities available for sale | $ | $ 9,145 | $ 9,060 |
Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | $ | 180 | 191 |
Recurring | ||
Assets: | ||
Mortgage servicing rights | $ | 1,111 | 1,033 |
Recurring | Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | $ | 180 | 191 |
Recurring | Rate lock commitments (fallout-adjusted) | ||
Liabilities: | ||
Rate lock commitments (net) | $ | $ 3 | 10 |
Weighted average life | ||
Assets: | ||
Mortgage servicing rights, measurement input | 6.83 | |
Significant Unobservable Inputs (Level 3) | Recurring | ||
Assets: | ||
Mortgage servicing rights | $ | $ 1,111 | 1,033 |
Significant Unobservable Inputs (Level 3) | Recurring | Private Label CMOs | ||
Assets: | ||
Total debt securities available for sale | $ | 32 | 0 |
Significant Unobservable Inputs (Level 3) | Recurring | Rate lock commitments (fallout-adjusted) | ||
Liabilities: | ||
Rate lock commitments (net) | $ | $ 3 | $ 10 |
Significant Unobservable Inputs (Level 3) | Option adjusted spread | Minimum | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 0.050 | |
Significant Unobservable Inputs (Level 3) | Option adjusted spread | Maximum | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 0.217 | |
Significant Unobservable Inputs (Level 3) | Option adjusted spread | Weighted average | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 0.054 | |
Significant Unobservable Inputs (Level 3) | Constant prepayment rate | Minimum | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 0 | |
Significant Unobservable Inputs (Level 3) | Constant prepayment rate | Maximum | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 0.100 | |
Significant Unobservable Inputs (Level 3) | Constant prepayment rate | Weighted average | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 0.079 | |
Significant Unobservable Inputs (Level 3) | Weighted average cost to service per loan | Minimum | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 65 | |
Significant Unobservable Inputs (Level 3) | Weighted average cost to service per loan | Maximum | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 90 | |
Significant Unobservable Inputs (Level 3) | Weighted average cost to service per loan | Weighted average | Recurring | ||
Assets: | ||
Mortgage servicing rights, measurement input | 69 | |
Significant Unobservable Inputs (Level 3) | Origination pull-through rate | Recurring | Rate lock commitments (fallout-adjusted) | ||
Liabilities: | ||
Rate lock commitments (net), measurement input | 0.6430 | |
Significant Unobservable Inputs (Level 3) | Constant default rates | Minimum | Recurring | Private Label CMOs | ||
Assets: | ||
Private Label CMOs, measurement input | 0.0010 | |
Significant Unobservable Inputs (Level 3) | Constant default rates | Maximum | Recurring | Private Label CMOs | ||
Assets: | ||
Private Label CMOs, measurement input | 0.0030 | |
Significant Unobservable Inputs (Level 3) | Weighted average life | Minimum | Recurring | Private Label CMOs | ||
Assets: | ||
Private Label CMOs, measurement input | 0.082 | |
Significant Unobservable Inputs (Level 3) | Weighted average life | Maximum | Recurring | Private Label CMOs | ||
Assets: | ||
Private Label CMOs, measurement input | 0.118 | |
Significant Unobservable Inputs (Level 3) | Rate lock commitments (fallout-adjusted) | Recurring | Rate lock commitments (fallout-adjusted) | ||
Liabilities: | ||
Rate lock commitments (net) | $ | $ 9 |
Fair Value Measures - Assets Me
Fair Value Measures - Assets Measured at Fair Value on a Nonrecurring Basis (Details) - Nonrecurring - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Certain impaired loans | $ 197 | $ 28 |
Other assets | 50 | 41 |
Total assets at fair value | 247 | 69 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Certain impaired loans | 0 | 0 |
Other assets | 0 | 0 |
Total assets at fair value | 0 | |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Certain impaired loans | 0 | 0 |
Other assets | 0 | 0 |
Total assets at fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Certain impaired loans | 197 | 28 |
Other assets | 50 | 41 |
Total assets at fair value | $ 247 | $ 69 |
Fair Value Measures - Carrying
Fair Value Measures - Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Carrying Value | ||
Financial Assets: | ||
Cash and cash equivalents | $ 11,475 | $ 2,032 |
FHLB and FRB stock | 1,392 | 1,267 |
Loans and leases held for investment, net | 83,627 | 68,608 |
Financial Liabilities: | ||
Deposits | 81,526 | 58,721 |
Borrowed funds | 21,267 | 21,332 |
Estimated Fair Value | ||
Financial Assets: | ||
Cash and cash equivalents | 11,475 | 2,032 |
FHLB and FRB stock | 1,392 | 1,267 |
Loans and leases held for investment, net | 79,333 | 65,673 |
Financial Liabilities: | ||
Deposits | 81,247 | 58,479 |
Borrowed funds | 21,082 | 21,231 |
Estimated Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial Assets: | ||
Cash and cash equivalents | 11,475 | 2,032 |
FHLB and FRB stock | 0 | 0 |
Loans and leases held for investment, net | 0 | 0 |
Financial Liabilities: | ||
Deposits | 59,972 | 46,211 |
Borrowed funds | 0 | 0 |
Estimated Fair Value | Significant Other Observable Inputs (Level 2) | ||
Financial Assets: | ||
Cash and cash equivalents | 0 | 0 |
FHLB and FRB stock | 1,392 | 1,267 |
Loans and leases held for investment, net | 0 | 0 |
Financial Liabilities: | ||
Deposits | 21,275 | 12,268 |
Borrowed funds | 21,082 | 21,231 |
Estimated Fair Value | Significant Unobservable Inputs (Level 3) | ||
Financial Assets: | ||
Cash and cash equivalents | 0 | 0 |
FHLB and FRB stock | 0 | 0 |
Loans and leases held for investment, net | 79,333 | 65,673 |
Financial Liabilities: | ||
Deposits | 0 | 0 |
Borrowed funds | $ 0 | $ 0 |
Fair Value Measures - Narrative
Fair Value Measures - Narrative (Details) | Dec. 31, 2023 constant_default_rate_per_loan |
Weighted average life | |
Fair Value Inputs, Assets, Quantitative Information | |
Mortgage servicing rights, measurement input | 6.83 |
Fair Value Measures - Changes i
Fair Value Measures - Changes in Fair Value Included in Earnings - Fair Value Option (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Dec. 31, 2023 | Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | ||
Change in fair value included in earnings | $ 8 | $ 43 |
Fair Value Measures - Differenc
Fair Value Measures - Differences Between Aggregate Fair Value and Aggregate Remaining Contractual Principal Balance Outstanding - Fair Value Option (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Option, Quantitative Disclosures | ||
Unpaid Principal Balance | $ 871 | $ 1,095 |
Fair Value | 896 | 1,115 |
Fair Value Over / (Under) UPB | 25 | 20 |
Nonaccrual loans: | ||
Fair Value, Option, Quantitative Disclosures | ||
Unpaid Principal Balance | 2 | |
Fair Value | 2 | |
Fair Value, Option, Loans Held as Assets, Aggregate Amount in Nonaccrual Status, Aggregated Difference | 0 | |
Other performing loans: | ||
Fair Value, Option, Quantitative Disclosures | ||
Unpaid Principal Balance | 869 | 1,095 |
Fair Value | 894 | 1,115 |
Fair Value Over / (Under) UPB | 20 | |
Fair Value, Option, Loans Held as Assets, Aggregate Amount in Nonaccrual Status, Aggregated Difference | 25 | |
Loans held-for-sale | ||
Fair Value, Option, Quantitative Disclosures | ||
Unpaid Principal Balance | 871 | 1,095 |
Fair Value | 896 | 1,115 |
Fair Value Over / (Under) UPB | 25 | 20 |
Loans held-for-sale | Nonaccrual loans: | ||
Fair Value, Option, Quantitative Disclosures | ||
Unpaid Principal Balance | 2 | |
Fair Value | 2 | |
Fair Value, Option, Loans Held as Assets, Aggregate Amount in Nonaccrual Status, Aggregated Difference | 0 | |
Loans held-for-sale | Other performing loans: | ||
Fair Value, Option, Quantitative Disclosures | ||
Unpaid Principal Balance | 869 | 1,095 |
Fair Value | 894 | 1,115 |
Fair Value Over / (Under) UPB | $ 20 | |
Fair Value, Option, Loans Held as Assets, Aggregate Amount in Nonaccrual Status, Aggregated Difference | $ 25 |
Employee Benefits - Obligations
Employee Benefits - Obligations (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pension Plan | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | $ 116,000,000 | $ 158,000,000 | |
Interest cost | 5,000,000 | 4,000,000 | $ 4,000,000 |
Actuarial gain | 2,000,000 | (38,000,000) | |
Annuity payments | (7,000,000) | (7,000,000) | |
Settlements | (1,000,000) | (1,000,000) | |
Benefit obligation at end of year | 115,000,000 | 116,000,000 | 158,000,000 |
Change in Plan Assets: | |||
Fair value of assets at beginning of year | 228,000,000 | 283,000,000 | |
Actual return (loss) on plan assets | 33,000,000 | (47,000,000) | |
Annuity payments | 7,000,000 | 7,000,000 | |
Settlements | (1,000,000) | (1,000,000) | |
Fair value of assets at end of year | 253,000,000 | 228,000,000 | 283,000,000 |
Funded status | 138,000,000 | 112,000,000 | |
Changes recognized in other comprehensive income for the year ended December 31: | |||
Amortization of actuarial gain (loss) | (7,000,000) | (2,000,000) | |
Amortization of prior service cost | 0 | ||
Net actuarial (gain) loss arising during the year | (18,000,000) | 26,000,000 | |
Total recognized in other comprehensive income for the year (pre-tax) | (25,000,000) | 24,000,000 | |
Accumulated other comprehensive loss (pre-tax) not yet recognized in net periodic benefit cost at December 31: | |||
Actuarial (gain) loss, net | (41,000,000) | (66,000,000) | |
Total accumulated other comprehensive loss (pre-tax) | 41,000,000 | 66,000,000 | |
Post-Retirement Health and Welfare Benefits | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | 7,000,000 | 10,000,000 | |
Interest cost | 1,000,000 | 0 | |
Actuarial gain | 1,000,000 | (2,000,000) | |
Annuity payments | (1,000,000) | (1,000,000) | |
Benefit obligation at end of year | 8,000,000 | 7,000,000 | 10,000,000 |
Change in Plan Assets: | |||
Fair value of assets at beginning of year | 0 | 0 | |
Employer contribution | 1,000,000 | 1,000,000 | |
Annuity payments | 1,000,000 | 1,000,000 | |
Fair value of assets at end of year | 0 | 0 | $ 0 |
Funded status | (8,000,000) | (7,000,000) | |
Changes recognized in other comprehensive income for the year ended December 31: | |||
Amortization of actuarial gain (loss) | 0 | ||
Amortization of prior service cost | 0 | ||
Net actuarial (gain) loss arising during the year | 1,000,000 | (2,000,000) | |
Total recognized in other comprehensive income for the year (pre-tax) | 1,000,000 | (2,000,000) | |
Accumulated other comprehensive loss (pre-tax) not yet recognized in net periodic benefit cost at December 31: | |||
Prior service cost | 0 | ||
Actuarial (gain) loss, net | (1,000,000) | (2,000,000) | |
Total accumulated other comprehensive loss (pre-tax) | $ (1,000,000) | $ (2,000,000) |
Employee Benefits - Narrative (
Employee Benefits - Narrative (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
401(k) plan contributions by employer | $ 21,000,000 | $ 7,000,000 | ||
Pension Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 470% | 490% | ||
Expected rate of return on plan assets | 6.30% | 6% | 6.30% | |
Compensation increase percentage | 2.50% | |||
Amortization of actuarial gain (loss) | $ 7,000,000 | $ 2,000,000 | ||
Amortization of prior service cost | 0 | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | (2,000,000) | (10,000,000) | $ (5,000,000) | |
Actuarial gain | 2,000,000 | $ (38,000,000) | ||
Defined Benefit Plan, Expected Amortization, Next Fiscal Year | 3,000,000 | |||
Defined Benefit Plan, Expected Future Benefit Payment, Year One | $ 8,000,000 | |||
Pension Plan | Minimum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Long-term inflation rate | 5% | |||
Pension Plan | Minimum | Equity securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected rate of return on plan assets | 6% | |||
Pension Plan | Minimum | Fixed income securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected rate of return on plan assets | 3% | |||
Pension Plan | Maximum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Long-term inflation rate | 7% | |||
Pension Plan | Maximum | Equity securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected rate of return on plan assets | 8% | |||
Pension Plan | Maximum | Fixed income securities | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected rate of return on plan assets | 5% | |||
Health & Welfare Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 4.60% | 480% | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 1,000,000 | $ 1,000,000 | ||
Health & Welfare Plan | Forecast | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 1,000,000 | |||
Post-Retirement Health and Welfare Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of actuarial gain (loss) | 0 | |||
Amortization of prior service cost | 0 | |||
Actuarial gain | 1,000,000 | $ (2,000,000) | ||
Defined Benefit Plan, Expected Future Benefit Payment, Year One | $ 1,000,000 |
Employee Benefits - Schedule of
Employee Benefits - Schedule of Net Benefit Costs (Details) - Pension Plan - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Components of net periodic pension expense (credit): | |||
Interest cost | $ 5 | $ 4 | $ 4 |
Expected return on plan assets | (14) | (16) | (16) |
Amortization of net actuarial loss | 7 | 2 | 7 |
Net periodic pension credit | $ (2) | $ (10) | $ (5) |
Employee Benefits - Weighted Av
Employee Benefits - Weighted Average Assumption (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pension Plan | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Discount rate | 4.90% | 2.60% | 2.20% |
Expected rate of return on plan assets | 6.30% | 6% | 6.30% |
Post-Retirement Health and Welfare Benefits | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Discount rate | 4.80% | 2.30% | 2% |
Current medical trend rate | 650% | 650% | 650% |
Ultimate trend rate | 500% | 500% | 500% |
Year when ultimate trend rate will be reached | 2029 | 2028 | 2027 |
Employee Benefits - Asset Alloc
Employee Benefits - Asset Allocation Percentage (Details) - Pension Plan | Dec. 31, 2023 |
Equity securities | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 55% |
Equity securities | Minimum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 45% |
Equity securities | Maximum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 65% |
U.S. Large-Cap | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 27% |
U.S. Large-Cap | Minimum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
U.S. Large-Cap | Maximum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
U.S. Mid-Cap | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 7% |
U.S. Mid-Cap | Minimum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
U.S. Mid-Cap | Maximum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
U.S. Small-Cap | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 7% |
U.S. Small-Cap | Minimum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
U.S. Small-Cap | Maximum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
Non-U.S. | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 14% |
Non-U.S. | Minimum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
Non-U.S. | Maximum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | |
Total - Fixed Income/Cash Equivalents | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 45% |
Total - Fixed Income/Cash Equivalents | Minimum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 35% |
Total - Fixed Income/Cash Equivalents | Maximum | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Asset Allocation Parameters by Asset Class | 55% |
Employee Benefits- Fair Value o
Employee Benefits- Fair Value of Investments (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Large-cap value | Minimum | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Shares | 100 | ||
Large-cap value | Maximum | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Shares | 160 | ||
International value | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Percentage | 8,000% | ||
Fixed Income Investments | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Percentage | 8,000% | ||
Fourth Funds Targets Investments | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Percentage | 6,500% | ||
GSE certificates | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Investment within Plan Asset Category, Percentage | 5,000% | ||
Large cap value | Minimum | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Shares | 60 | ||
Large cap value | Maximum | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Shares | 70 | ||
Pension Plan | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | $ 253 | $ 228 | $ 283 |
Pension Plan | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 240 | ||
Pension Plan | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 13 | ||
Pension Plan | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large-cap value | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 12 | ||
Pension Plan | Large-cap value | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 12 | ||
Pension Plan | Large-cap value | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large-cap value | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large-cap growth | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 22 | ||
Pension Plan | Large-cap growth | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 22 | ||
Pension Plan | Large-cap growth | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large-cap growth | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large-cap core | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 17 | ||
Pension Plan | Large-cap core | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 17 | ||
Pension Plan | Large-cap core | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large-cap core | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Mid-cap core | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 15 | ||
Pension Plan | Mid-cap core | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 15 | ||
Pension Plan | Mid-cap core | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Mid-cap core | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Small-cap core | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 16 | ||
Pension Plan | Small-cap core | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 16 | ||
Pension Plan | Small-cap core | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Small-cap core | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | International growth | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 18 | ||
Pension Plan | International growth | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 18 | ||
Pension Plan | International growth | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | International growth | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | International value | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 10 | ||
Pension Plan | International value | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 10 | ||
Pension Plan | International value | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | International value | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Fixed Income Funds, Intermediate Core Plus | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 98 | ||
Pension Plan | Fixed Income Funds, Intermediate Core Plus | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 98 | ||
Pension Plan | Fixed Income Funds, Intermediate Core Plus | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Fixed Income Funds, Intermediate Core Plus | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Company common stock | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 31 | ||
Pension Plan | Company common stock | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 31 | ||
Pension Plan | Company common stock | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Company common stock | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large cap value | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 13 | ||
Pension Plan | Large cap value | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Large cap value | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 13 | ||
Pension Plan | Large cap value | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 0 | ||
Pension Plan | Money market | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 1 | ||
Pension Plan | Money market | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 1 | ||
Pension Plan | Money market | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | |||
Pension Plan | Money market | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | $ 0 |
Employee Benefits - Current All
Employee Benefits - Current Allocations (Details) - Pension Plan | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plan, Plan Assets, Category [Line Items] | ||
Current allocations percentage | 100% | 100% |
Equity securities | ||
Defined Benefit Plan, Plan Assets, Category [Line Items] | ||
Current allocations percentage | 61% | 60% |
Debt securities | ||
Defined Benefit Plan, Plan Assets, Category [Line Items] | ||
Current allocations percentage | 39% | 38% |
Cash equivalents | ||
Defined Benefit Plan, Plan Assets, Category [Line Items] | ||
Current allocations percentage | 0% | 2% |
Employee Benefits - Expected Fu
Employee Benefits - Expected Future Payments (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Pension Plan | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Defined Benefit Plan, Expected Future Benefit Payment, Year One | $ 8 |
2025 | 8 |
2026 | 8 |
2027 | 8 |
2029 and thereafter | 43 |
2028 | 8 |
Total | 83 |
Post-Retirement Health and Welfare Benefits | |
Defined Benefit Plan, Plan Assets, Category [Line Items] | |
Defined Benefit Plan, Expected Future Benefit Payment, Year One | 1 |
2025 | 1 |
2026 | 1 |
2027 | 1 |
2029 and thereafter | 2 |
2028 | 1 |
Total | $ 7 |
Commitment and Contingencies -
Commitment and Contingencies - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Other Commitments [Line Items] | ||
Fair Value | $ 9,159 | $ 9,074 |
Loans and leases held for investment, net of deferred loan fees and costs | 84,619 | 69,001 |
Asset pledged as collateral | ||
Other Commitments [Line Items] | ||
Fair Value | 2,800 | 434 |
Loans and leases held for investment, net of deferred loan fees and costs | $ 43,100 | $ 44,500 |
Commitment and Contingencies _2
Commitment and Contingencies - Off Balance Sheet (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Other Commitments [Line Items] | ||
Commercial, performance stand-by, and financial stand-by letters of credit | $ 915 | $ 541 |
Total commitments | 24,976 | 22,368 |
Total loan commitments | ||
Other Commitments [Line Items] | ||
Commitments | 24,061 | 21,827 |
Multi-family and commercial real estate | ||
Other Commitments [Line Items] | ||
Commitments | 52 | 216 |
One-to-four family first mortgage | ||
Other Commitments [Line Items] | ||
Commitments | 1,694 | 2,066 |
Acquisition, development, and construction | ||
Other Commitments [Line Items] | ||
Commitments | 3,926 | 3,539 |
Warehouse loan commitments | ||
Other Commitments [Line Items] | ||
Commitments | 7,074 | 8,042 |
Other | ||
Other Commitments [Line Items] | ||
Commitments | $ 11,315 | $ 7,964 |
Commitment and Contingencies _3
Commitment and Contingencies - Obligations (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Other Commitments [Line Items] | ||
Expires Within One Year | $ 357 | |
Expires After One Year | 290 | |
Total Outstanding Amount | 647 | |
Maximum Potential Amount of Future Payments | 915 | $ 541 |
Financial stand-by letters of credit | ||
Other Commitments [Line Items] | ||
Expires Within One Year | 254 | |
Expires After One Year | 288 | |
Total Outstanding Amount | 542 | |
Maximum Potential Amount of Future Payments | 639 | |
Performance stand-by letters of credit | ||
Other Commitments [Line Items] | ||
Expires Within One Year | 100 | |
Expires After One Year | 2 | |
Total Outstanding Amount | 102 | |
Maximum Potential Amount of Future Payments | 102 | |
Commercial letters of credit | ||
Other Commitments [Line Items] | ||
Expires Within One Year | 3 | |
Expires After One Year | 0 | |
Total Outstanding Amount | 3 | |
Maximum Potential Amount of Future Payments | $ 174 |
Parent Company-Only Financial_3
Parent Company-Only Financial Information - Balance Sheet (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
ASSETS: | ||||
Cash and cash equivalents | $ 11,475 | $ 2,032 | ||
Other assets | 3,254 | 2,250 | ||
Total assets | 114,057 | 90,144 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY: | ||||
Junior subordinated debentures | 579 | 575 | ||
Subordinated notes | 438 | 432 | ||
Other liabilities | 2,897 | 1,267 | ||
Total liabilities | 105,690 | 81,320 | ||
Total stockholders’ equity | 8,367 | 8,824 | $ 7,044 | $ 6,842 |
Total liabilities and stockholders’ equity | 114,057 | 90,144 | ||
Parent company | ||||
ASSETS: | ||||
Cash and cash equivalents | 158 | 121 | ||
Investments in subsidiaries | 9,160 | 9,633 | ||
Other assets | 80 | 85 | ||
Total assets | 9,398 | 9,839 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY: | ||||
Junior subordinated debentures | 579 | 575 | ||
Subordinated notes | 438 | 432 | ||
Other liabilities | 14 | 8 | ||
Total liabilities | 1,031 | 1,015 | ||
Total stockholders’ equity | 8,367 | 8,824 | ||
Total liabilities and stockholders’ equity | $ 9,398 | $ 9,839 |
Parent Company-Only Financial_4
Parent Company-Only Financial Information - Income Statement (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Condensed Income Statements, Captions [Line Items] | |||
Total interest income | $ 5,491 | $ 2,092 | $ 1,689 |
Operating expenses | 2,099 | 604 | 518 |
Income before income tax benefit and equity in undistributed (loss) earnings of subsidiaries | (50) | 826 | 806 |
Income tax expense | (29) | (176) | (210) |
Net (loss) income | (79) | 650 | 596 |
Parent company | |||
Condensed Income Statements, Captions [Line Items] | |||
Dividends received from subsidiaries | 580 | 335 | 380 |
Other income | 2 | 160 | 1 |
Total interest income | 582 | 495 | 381 |
Operating expenses | 108 | 55 | 50 |
Income before income tax benefit and equity in undistributed (loss) earnings of subsidiaries | 474 | 440 | 331 |
Income tax expense | 25 | 14 | 14 |
Income before equity in undistributed (loss) earnings of subsidiaries | 499 | 454 | 345 |
Equity in undistributed (loss) earnings of subsidiaries | (578) | 196 | 251 |
Net (loss) income | $ (79) | $ 650 | $ 596 |
Parent Company-Only Financial_5
Parent Company-Only Financial Information - Cash Flows Statement (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net (loss) income | $ (79) | $ 650 | $ 596 | |
Change in other assets | (721) | 348 | (284) | |
Decrease in other liabilities | (255) | (100) | (6) | |
Net cash provided by operating activities | 263 | 1,026 | 290 | |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
Cash Acquired from Acquisition | 24,901 | 331 | 0 | |
Net cash provided by (used in) investing activities | 20,673 | (6,323) | (2,762) | |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Treasury stock repurchased | 0 | (7) | 0 | |
Net cash (used in) provided by financing activities | (11,409) | 5,168 | 2,735 | |
Net increase (decrease) in cash and cash equivalents | [1] | 9,527 | (129) | 263 |
Cash and cash equivalents at beginning of year | [1] | 2,082 | 2,211 | 1,948 |
Cash and cash equivalents at end of year | [1] | 11,609 | 2,082 | 2,211 |
Parent company | ||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net (loss) income | (79) | 650 | 596 | |
Change in other assets | 30 | (3) | (22) | |
Decrease in other liabilities | 6 | (4) | 1 | |
Other, net | 65 | (130) | 32 | |
Equity in undistributed (loss) earnings of subsidiaries | 578 | (196) | (251) | |
Net cash provided by operating activities | 600 | 317 | 356 | |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
Cash Acquired from Acquisition | 0 | 34 | 0 | |
Change in receivable from subsidiaries, net | (32) | 5 | (3) | |
Net cash provided by (used in) investing activities | (32) | 39 | (3) | |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Treasury stock repurchased | (12) | (24) | (16) | |
Cash dividends paid on common and preferred stock | (519) | (350) | (349) | |
Net cash (used in) provided by financing activities | (531) | (374) | (365) | |
Net increase (decrease) in cash and cash equivalents | 37 | (18) | (12) | |
Cash and cash equivalents at beginning of year | 121 | 139 | 151 | |
Cash and cash equivalents at end of year | $ 158 | $ 121 | $ 139 | |
[1]For further information on restricted cash, see Note 2 - Summary of Significant Accounting Policies |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | |||
Mar. 07, 2024 | Mar. 13, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | |
Subsequent Event [Line Items] | ||||
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 | ||
Subsequent Event | ||||
Subsequent Event [Line Items] | ||||
Warrants proceeds amount | $ 315 | |||
Subsequent Event | Equity Capital Raise | ||||
Subsequent Event [Line Items] | ||||
Financing receivable, sale | $ 1,050 | |||
Sale of stock issued in transaction (in shares) | 76,630,965 | |||
Sale of stock price, (in dollars per share) | $ 2 | |||
Subsequent Event | Forecast | ||||
Subsequent Event [Line Items] | ||||
Financing receivable, sale | $ 899 | |||
Series B Noncumulative Convertible Preferred Stock | Subsequent Event | Equity Capital Raise | ||||
Subsequent Event [Line Items] | ||||
Sale of stock issued in transaction (in shares) | 192,062 | |||
Sale of stock price, (in dollars per share) | $ 2,000 | |||
Preferred stock, par value (in usd per share) | $ 0.01 | |||
Series C Noncumulative Convertible Preferred Stock | Subsequent Event | Equity Capital Raise | ||||
Subsequent Event [Line Items] | ||||
Sale of stock issued in transaction (in shares) | 256,307 | |||
Sale of stock price, (in dollars per share) | $ 2,000 | |||
Preferred stock, par value (in usd per share) | 0.01 | |||
Conversion price (in dollars per share) | $ 2,500 | |||
Convertible Preferred Stock, Shares Issued upon Conversion | 1,000 |