Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2021 | Jul. 29, 2021 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-11302 | |
Entity Registrant Name | KeyCorp | |
Entity Incorporation, State or Country Code | OH | |
Entity Tax Identification Number | 34-6542451 | |
Entity Address, Address Line One | 127 Public Square, | |
Entity Address, City or Town | Cleveland, | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 44114-1306 | |
City Area Code | 216 | |
Local Phone Number | 689-3000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 956,370,102 | |
Entity Central Index Key | 0000091576 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Common Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Common Shares, $1 par value | |
Trading Symbol | KEY | |
Security Exchange Name | NYSE | |
Series E Preferred Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Perpetual Non-Cumulative Preferred Stock, Series E) | |
Trading Symbol | KEY PrI | |
Security Exchange Name | NYSE | |
Series F Preferred Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Cumulative Preferred Stock, Series F) | |
Trading Symbol | KEY PrJ | |
Security Exchange Name | NYSE | |
Series G Preferred Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Cumulative Preferred Stock, Series G) | |
Trading Symbol | KEY PrK | |
Security Exchange Name | NYSE |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | |
ASSETS | |||
Cash and due from banks | $ 792,000 | $ 1,091,000 | |
Short-term investments | 20,460,000 | 16,194,000 | |
Trading account assets | 851,000 | 735,000 | |
Securities available for sale | 34,638,000 | 27,556,000 | |
Held-to-maturity securities (fair value: $6,474 and $8,023) | 6,175,000 | 7,595,000 | |
Other investments | 635,000 | 621,000 | |
Loans, net of unearned income of $386 and $449 | 100,730,000 | 101,185,000 | |
Less: Allowance for loan and lease losses | (1,220,000) | (1,626,000) | |
Net loans | 99,510,000 | 99,559,000 | |
Loans held for sale | [1] | 1,537,000 | 1,583,000 |
Premises and equipment | 785,000 | 753,000 | |
Goodwill | 2,673,000 | 2,664,000 | |
Other intangible assets | 159,000 | 188,000 | |
Corporate-owned life insurance | 4,304,000 | 4,286,000 | |
Accrued income and other assets | 7,966,000 | 6,812,000 | |
Discontinued assets | 630,000 | 699,000 | |
Total assets | 181,115,000 | 170,336,000 | |
Deposits in domestic offices: | |||
NOW and money market deposit accounts | 85,242,000 | 80,427,000 | |
Savings deposits | 6,993,000 | 5,913,000 | |
Certificates of deposit ($100,000 or more) | 2,064,000 | 2,733,000 | |
Other time deposits | 2,493,000 | 3,010,000 | |
Total interest-bearing deposits | 96,792,000 | 92,083,000 | |
Noninterest-bearing deposits | 49,280,000 | 43,199,000 | |
Total deposits | 146,072,000 | 135,282,000 | |
Federal funds purchased and securities sold under repurchase agreements | 211,000 | 220,000 | |
Bank notes and other short-term borrowings | 723,000 | 759,000 | |
Accrued expense and other liabilities | 2,957,000 | 2,385,000 | |
Long-term debt | 13,211,000 | 13,709,000 | |
Total liabilities | 163,174,000 | 152,355,000 | |
EQUITY | |||
Preferred stock | 1,900,000 | 1,900,000 | |
Common Shares, $1 par value; authorized 2,100,000,000 and 2,100,000,000 shares; issued 1,256,702,081 and 1,256,702,081 shares | 1,257,000 | 1,257,000 | |
Capital surplus | 6,232,000 | 6,281,000 | |
Retained earnings | 13,689,000 | 12,751,000 | |
Treasury stock, at cost (296,426,197 and 280,928,782 shares) | (5,287,000) | (4,946,000) | |
Accumulated other comprehensive income (loss) | 150,000 | 738,000 | |
Key shareholders’ equity | 17,941,000 | 17,981,000 | |
Noncontrolling interests | 0 | 0 | |
Total equity | 17,941,000 | 17,981,000 | |
Total liabilities and equity | $ 181,115,000 | $ 170,336,000 | |
[1] | Total loans held for sale include real estate — residential mortgage loans held for sale at fair value of $231 million at June 30, 2021, and $264 million at December 31, 2020. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value | $ 6,474,000,000 | $ 8,023,000,000 |
Financing Receivable, Deferred Commitment Fee | 386,000,000 | 449,000,000 |
Aggregate Amount Of Certificates Of Deposit | $ 100,000 | $ 100,000 |
Common shares, par value (in usd per share) | $ 1 | $ 1 |
Common shares, shares authorized (in shares) | 2,100,000,000 | 2,100,000,000 |
Common shares, shares issued (in shares) | 1,256,702,081 | 1,256,702,081 |
Treasury stock, shares (in shares) | 296,426,197 | 280,928,782 |
Residential Mortgage | ||
Loans held for sale | $ 231,000,000 | $ 264,000,000 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
INTEREST INCOME | |||||
Loans | $ 888 | $ 980 | $ 1,777 | $ 2,006 | |
Loans held for sale | 11 | 21 | 22 | 40 | |
Securities available for sale | 133 | 121 | 263 | 250 | |
Held-to-maturity securities | 45 | 56 | 90 | 118 | |
Trading account assets | 5 | 5 | 10 | 13 | |
Short-term investments | 6 | 7 | 11 | 13 | |
Other investments | 2 | 0 | 4 | 1 | |
Total interest income | 1,090 | 1,190 | 2,177 | 2,441 | |
INTEREST EXPENSE | |||||
Deposits | 16 | 96 | 37 | 265 | |
Federal funds purchased and securities sold under repurchase agreements | 0 | 0 | 0 | 6 | |
Bank notes and other short-term borrowings | 3 | 5 | 4 | 10 | |
Long-term debt | 54 | 71 | 114 | 161 | |
Total interest expense | 73 | 172 | 155 | 442 | |
NET INTEREST INCOME | 1,017 | 1,018 | 2,022 | 1,999 | |
Provision for credit losses | (222) | 482 | (315) | 841 | |
Net interest income after provision for credit losses | 1,239 | 536 | 2,337 | 1,158 | |
NONINTEREST INCOME | |||||
Trust and investment services income | 133 | 123 | 266 | 256 | |
Investment banking and debt placement fees | 217 | 156 | 379 | 272 | |
Service charges on deposit accounts | 83 | 68 | 156 | 152 | |
Operating lease income and other leasing gains | 36 | 60 | 74 | 90 | |
Corporate services income | 55 | 52 | 119 | 114 | |
Cards and payments income | 113 | 91 | 218 | 157 | |
Corporate-owned life insurance income | 30 | 35 | 61 | 71 | |
Consumer mortgage income | 26 | 62 | 73 | 82 | |
Commercial mortgage servicing fees | 44 | 12 | 78 | 30 | |
Other income | [1] | 13 | 33 | 64 | (55) |
Total noninterest income | 750 | 692 | 1,488 | 1,169 | |
NONINTEREST EXPENSE | |||||
Personnel | 623 | 572 | 1,247 | 1,087 | |
Net occupancy | 75 | 71 | 151 | 147 | |
Computer processing | 71 | 56 | 144 | 111 | |
Business services and professional fees | 51 | 49 | 101 | 93 | |
Equipment | 25 | 25 | 50 | 49 | |
Operating lease expense | 31 | 34 | 65 | 70 | |
Marketing | 31 | 24 | 57 | 45 | |
Intangible asset amortization | 14 | 18 | 29 | 35 | |
Other expense | 155 | 164 | 303 | 307 | |
Total noninterest expense | 1,076 | 1,013 | 2,147 | 1,944 | |
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 913 | 215 | 1,678 | 383 | |
Income taxes | 189 | 30 | 336 | 53 | |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 724 | 185 | 1,342 | 330 | |
Income (loss) from discontinued operations | 5 | 2 | 9 | 3 | |
NET INCOME (LOSS) | 729 | 187 | 1,351 | 333 | |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 | |
NET INCOME (LOSS) ATTRIBUTABLE TO KEY | 729 | 187 | 1,351 | 333 | |
Income (loss) from continuing operations attributable to Key common shareholders | 698 | 159 | 1,289 | 277 | |
Net income (loss) attributable to Key common shareholders | $ 703 | $ 161 | $ 1,298 | $ 280 | |
Per Common Share: | |||||
Income (loss) from continuing operations attributable to Key common shareholders (in usd per share) | $ 0.73 | $ 0.16 | $ 1.34 | $ 0.29 | |
Income (loss) from discontinued operations, net of taxes (in usd per share) | 0 | 0 | 0.01 | 0 | |
Net income (loss) attributable to Key common shareholders (in usd per share) | [2] | 0.73 | 0.17 | 1.35 | 0.29 |
Per Common Share — assuming dilution: | |||||
Income (loss) from continuing operations attributable to Key common shareholders (in usd per share) | 0.72 | 0.16 | 1.33 | 0.28 | |
Income (loss) from discontinued operations, net of taxes (in usd per share) | 0 | 0 | 0.01 | 0 | |
Net income (loss) attributable to Key common shareholders (in usd per share) | [2] | 0.73 | 0.17 | 1.34 | 0.29 |
Cash dividends declared per common share (in usd per share) | $ 0.185 | $ 0.185 | $ 0.370 | $ 0.370 | |
Weighted-average common shares outstanding (000) (in shares) | 957,423 | 967,147 | 961,292 | 967,380 | |
Effect of common share options and other stock awards (in shares) | 9,740 | 4,994 | 9,514 | 6,892 | |
Weighted-average common shares and potential common shares outstanding (in shares) | [3] | 967,163 | 972,141 | 970,806 | 974,272 |
[1] | For the three and six months ended June 30, 2021, net securities gains (losses) totaled less than $1 million. For the three months ended June 30, 2021 and June 30, 2020, we did not have any impairment losses related to securities. For the three months ended June 30, 2020, we had no net securities gains (losses). For the six months ended June 30, 2020, net securities gains (losses) totaled $4 million. | ||||
[2] | EPS may not foot due to rounding. | ||||
[3] | Assumes conversion of Common Share options and other stock awards and/or convertible preferred stock, as applicable. |
Consolidated Statements of In_2
Consolidated Statements of Income (Parenthetical) - USD ($) | 3 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Income Statement [Abstract] | ||
Impairment losses related to securities | $ 0 | $ 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 729 | $ 187 | $ 1,351 | $ 333 |
Other comprehensive income (loss), net of tax: | ||||
Net unrealized gains (losses) on securities available for sale, net of income taxes of $(59), $40, $139, and $166 | 185 | 130 | (443) | 535 |
Net unrealized gains (losses) on derivative financial instruments, net of income taxes of $45, $(5), $48, and $112 | (141) | (14) | (151) | 363 |
Foreign currency translation adjustments, net of income taxes of $0, $0, $0, and $0 | 0 | 0 | 0 | 0 |
Net pension and postretirement benefit costs, net of income taxes of $(1), $2, $(2), and $4 | 3 | 6 | 6 | 12 |
Total other comprehensive income (loss), net of tax | 47 | 122 | (588) | 910 |
Comprehensive income (loss) | 776 | 309 | 763 | 1,243 |
Less: Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 | |
Comprehensive income (loss) attributable to Key | $ 776 | $ 309 | $ 763 | $ 1,243 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net unrealized gains (losses) on securities available for sale, tax | $ (59) | $ 40 | $ 139 | $ 166 |
Net unrealized gains (losses) on derivative financial instruments, tax | 45 | (5) | 48 | 112 |
Foreign currency translation adjustment, tax | 0 | 0 | 0 | 0 |
Net pension and postretirement benefit costs, tax | $ (1) | $ 2 | $ (2) | $ 4 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Millions | Total | Series D Preferred Stock | Series E Preferred Stock | Series F Preferred Stock | Series G Preferred Stock | Preferred Stock | Common Stock | Capital Surplus | Retained Earnings | Retained EarningsSeries D Preferred Stock | Retained EarningsSeries E Preferred Stock | Retained EarningsSeries F Preferred Stock | Retained EarningsSeries G Preferred Stock | Treasury Stock, at Cost | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests | Cumulative Effect, Period of Adoption, AdjustmentRetained Earnings |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Beginning Balance | $ 1,900 | $ 1,257 | $ 6,295 | $ 12,469 | $ (4,909) | $ 26 | $ 0 | $ (230) | |||||||||
Beginning Balance, Preferred Shares (in shares) at Dec. 31, 2019 | 1,396,000 | ||||||||||||||||
Beginning Balance, Common Shares (in shares) at Dec. 31, 2019 | 977,189,000 | ||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Net income (loss) | $ 333 | 333 | |||||||||||||||
Other comprehensive income (loss) | 910 | 910 | |||||||||||||||
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense | 0 | ||||||||||||||||
Cash dividends declared on common shares | (362) | ||||||||||||||||
Cash dividends declared on preferred stock | $ (13) | $ (15) | $ (12) | $ (13) | |||||||||||||
Open market Common Share repurchases (in shares) | (6,067,000) | ||||||||||||||||
Open market Common Share repurchases | (117) | ||||||||||||||||
Employee equity compensation program Common Share repurchases (in shares) | (1,814,000) | ||||||||||||||||
Employee equity compensation program Common Share repurchases | (55) | (36) | |||||||||||||||
Common shares reissued (returned) for stock options and other employee benefit plans (in shares) | 6,639,000 | ||||||||||||||||
Common Shares reissued (returned) for stock options and other employee benefit plans | 117 | ||||||||||||||||
Net contribution from (distribution to) noncontrolling interests | 0 | ||||||||||||||||
Other | (3) | ||||||||||||||||
Ending Balance, Preferred Shares (in shares) at Jun. 30, 2020 | 1,396,000 | ||||||||||||||||
Ending Balance, Common Shares (in shares) at Jun. 30, 2020 | 975,947,000 | ||||||||||||||||
Ending Balance at Jun. 30, 2020 | $ 1,900 | $ 1,257 | 6,240 | 12,154 | (4,945) | 936 | 0 | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Beginning Balance | $ 1,900 | $ 1,257 | 6,222 | 12,174 | (4,956) | 814 | 0 | ||||||||||
Beginning Balance, Preferred Shares (in shares) at Mar. 31, 2020 | 1,396,000 | ||||||||||||||||
Beginning Balance, Common Shares (in shares) at Mar. 31, 2020 | 975,319,000 | ||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Net income (loss) | 187 | 187 | |||||||||||||||
Other comprehensive income (loss) | 122 | ||||||||||||||||
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense | 1 | ||||||||||||||||
Cash dividends declared on common shares | (181) | 122 | |||||||||||||||
Cash dividends declared on preferred stock | (6) | (7) | (6) | (7) | |||||||||||||
Open market Common Share repurchases (in shares) | 0 | ||||||||||||||||
Open market Common Share repurchases | 0 | ||||||||||||||||
Employee equity compensation program Common Share repurchases (in shares) | (19,000) | ||||||||||||||||
Employee equity compensation program Common Share repurchases | 17 | (1) | |||||||||||||||
Common shares reissued (returned) for stock options and other employee benefit plans (in shares) | 647,000 | ||||||||||||||||
Common Shares reissued (returned) for stock options and other employee benefit plans | 0 | 12 | |||||||||||||||
Net contribution from (distribution to) noncontrolling interests | 0 | ||||||||||||||||
Ending Balance, Preferred Shares (in shares) at Jun. 30, 2020 | 1,396,000 | ||||||||||||||||
Ending Balance, Common Shares (in shares) at Jun. 30, 2020 | 975,947,000 | ||||||||||||||||
Ending Balance at Jun. 30, 2020 | $ 1,900 | $ 1,257 | 6,240 | 12,154 | (4,945) | 936 | 0 | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Beginning Balance | 1,900 | 1,257 | 6,240 | 12,154 | (4,945) | 936 | 0 | ||||||||||
Beginning Balance | 17,981 | $ 1,900 | $ 1,257 | 6,281 | 12,751 | (4,946) | 738 | 0 | |||||||||
Beginning Balance, Preferred Shares (in shares) at Dec. 31, 2020 | 1,396,000 | ||||||||||||||||
Beginning Balance, Common Shares (in shares) at Dec. 31, 2020 | 975,773,000 | ||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Net income (loss) | 1,351 | 1,351 | 0 | ||||||||||||||
Other comprehensive income (loss) | (588) | (588) | |||||||||||||||
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense | 0 | ||||||||||||||||
Cash dividends declared on common shares | (360) | ||||||||||||||||
Cash dividends declared on preferred stock | (13) | (15) | (12) | (13) | |||||||||||||
Open market Common Share repurchases (in shares) | (20,979,000) | ||||||||||||||||
Open market Common Share repurchases | (435) | ||||||||||||||||
Employee equity compensation program Common Share repurchases (in shares) | (1,602,000) | ||||||||||||||||
Employee equity compensation program Common Share repurchases | 0 | (32) | |||||||||||||||
Common shares reissued (returned) for stock options and other employee benefit plans (in shares) | 7,084,000 | ||||||||||||||||
Common Shares reissued (returned) for stock options and other employee benefit plans | (49) | 126 | |||||||||||||||
Net contribution from (distribution to) noncontrolling interests | 0 | ||||||||||||||||
Other | 0 | ||||||||||||||||
Ending Balance, Preferred Shares (in shares) at Jun. 30, 2021 | 21,000 | 500,000 | 425,000 | 450,000 | 1,396,000 | ||||||||||||
Ending Balance, Common Shares (in shares) at Jun. 30, 2021 | 960,276,000 | ||||||||||||||||
Ending Balance at Jun. 30, 2021 | 17,941 | $ 1,900 | $ 1,257 | 6,232 | 13,689 | (5,287) | 150 | 0 | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Beginning Balance | $ 1,900 | $ 1,257 | 6,213 | 13,166 | (5,005) | 103 | 0 | ||||||||||
Beginning Balance, Preferred Shares (in shares) at Mar. 31, 2021 | 1,396,000 | ||||||||||||||||
Beginning Balance, Common Shares (in shares) at Mar. 31, 2021 | 972,587,000 | ||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Net income (loss) | 729 | 729 | |||||||||||||||
Other comprehensive income (loss) | 47 | 47 | |||||||||||||||
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense | 3 | ||||||||||||||||
Cash dividends declared on common shares | (179) | ||||||||||||||||
Cash dividends declared on preferred stock | $ (6) | $ (8) | $ (6) | $ (7) | |||||||||||||
Open market Common Share repurchases (in shares) | (13,278,000) | ||||||||||||||||
Open market Common Share repurchases | (299) | ||||||||||||||||
Employee equity compensation program Common Share repurchases (in shares) | (26,000) | ||||||||||||||||
Employee equity compensation program Common Share repurchases | 0 | (1) | |||||||||||||||
Common shares reissued (returned) for stock options and other employee benefit plans (in shares) | 993,000 | ||||||||||||||||
Common Shares reissued (returned) for stock options and other employee benefit plans | 16 | 18 | |||||||||||||||
Ending Balance, Preferred Shares (in shares) at Jun. 30, 2021 | 21,000 | 500,000 | 425,000 | 450,000 | 1,396,000 | ||||||||||||
Ending Balance, Common Shares (in shares) at Jun. 30, 2021 | 960,276,000 | ||||||||||||||||
Ending Balance at Jun. 30, 2021 | 17,941 | $ 1,900 | $ 1,257 | 6,232 | 13,689 | (5,287) | 150 | 0 | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||
Beginning Balance | $ 17,941 | $ 1,900 | $ 1,257 | $ 6,232 | $ 13,689 | $ (5,287) | $ 150 | $ 0 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Cash dividends declared on Common Shares (in usd per share) | $ 0.185 | $ 0.185 | $ 0.370 | $ 0.370 |
Series D Preferred Stock | ||||
Cash dividends declared on Preferred Stock (in usd per share) | 12.50 | 12.50 | 25 | 25 |
Series E Preferred Stock | ||||
Cash dividends declared on Preferred Stock (in usd per share) | 0.382813 | 0.382813 | 0.765626 | 0.765626 |
Series F Preferred Stock | ||||
Cash dividends declared on Preferred Stock (in usd per share) | 0.353125 | 0.353125 | 0.706250 | 0.706250 |
Series G Preferred Stock | ||||
Cash dividends declared on Preferred Stock (in usd per share) | $ 0.351563 | $ 0.53125 | $ 0.703126 | $ 0.703126 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
OPERATING ACTIVITIES | ||
Net income (loss) | $ 1,351 | $ 333 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Provision for credit losses | (315) | 841 |
Depreciation and amortization expense, net | 21 | 86 |
Accretion of acquired loans | 13 | 18 |
Increase in cash surrender value of corporate-owned life insurance | (54) | (58) |
Stock-based compensation expense | 52 | 51 |
Deferred income taxes (benefit) | 196 | (148) |
Proceeds from sales of loans held for sale | 7,629 | 6,437 |
Originations of loans held for sale, net of repayments | (7,494) | (6,816) |
Net losses (gains) on sales of loans held for sale | (120) | (109) |
Net losses (gains) on leased equipment | (6) | (16) |
Net securities losses (gains) | 0 | (4) |
Net losses (gains) on sales of fixed assets | 7 | 3 |
Net decrease (increase) in trading account assets | (116) | 395 |
Net transfers of loans held for sale | 26 | 0 |
Other operating activities, net | (942) | (908) |
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 248 | 105 |
INVESTING ACTIVITIES | ||
Cash received (used) in acquisitions, net of cash acquired | (9) | 0 |
Net decrease (increase) in short-term investments, excluding acquisitions | (4,266) | (12,764) |
Purchases of securities available for sale | (11,978) | (4,567) |
Proceeds from sales of securities available for sale | 0 | 583 |
Proceeds from prepayments and maturities of securities available for sale | 4,286 | 2,933 |
Proceeds from prepayments and maturities of held-to-maturity securities | 1,427 | 998 |
Purchases of held-to-maturity securities | (3) | (5) |
Purchases of other investments | (19) | (96) |
Proceeds from sales of other investments | 26 | 26 |
Proceeds from prepayments and maturities of other investments | 6 | 11 |
Net decrease (increase) in loans, excluding acquisitions, sales and transfers | 575 | (11,967) |
Proceeds from sales of portfolio loans | (163) | |
Proceeds from sales of portfolio loans | 91 | |
Proceeds from corporate-owned life insurance | 36 | 40 |
Purchases of premises, equipment, and software | (32) | (27) |
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES | (10,114) | (24,744) |
FINANCING ACTIVITIES | ||
Net increase (decrease) in deposits, excluding acquisitions | 10,790 | 23,643 |
Net increase (decrease) in short-term borrowings | (45) | 891 |
Net proceeds from issuance of long-term debt | 1,200 | 2,501 |
Payments on long-term debt | (1,518) | (1,507) |
Open market Common Share repurchases | (435) | (117) |
Employee equity compensation program Common Share repurchases | (32) | (36) |
Net proceeds from reissuance of Common Shares | 20 | 6 |
Cash dividends paid | (413) | (415) |
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | 9,567 | 24,966 |
NET INCREASE (DECREASE) IN CASH AND DUE FROM BANKS | (299) | 327 |
CASH AND DUE FROM BANKS AT BEGINNING OF PERIOD | 1,091 | 732 |
CASH AND DUE FROM BANKS AT END OF PERIOD | 792 | 1,059 |
Additional disclosures relative to cash flows: | ||
Interest paid | 200 | 465 |
Income taxes paid (refunded) | 191 | 59 |
Noncash items: | ||
Reduction of secured borrowing and related collateral | 2 | 3 |
Loans transferred to portfolio from held for sale | 86 | 25 |
Loans transferred to held for sale from portfolio | 97 | 210 |
Loans transferred to OREO | 2 | 93 |
CMBS risk retentions | 0 | 27 |
ABS risk retentions | $ 14 | $ 9 |
Basis of Presentation and Accou
Basis of Presentation and Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Accounting Policies | 1. Basis of Presentation and Accounting Policies The consolidated financial statements include the accounts of KeyCorp and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Some previously reported amounts have been reclassified to conform to current reporting practices. The consolidated financial statements include any voting rights entities in which we have a controlling financial interest. In accordance with the applicable accounting guidance for consolidations, we consolidate a VIE if we have: (i) a variable interest in the entity; (ii) the power to direct activities of the VIE that most significantly affect the entity’s economic performance; and (iii) the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE (i.e., we are considered to be the primary beneficiary). Variable interests can include equity interests, subordinated debt, derivative contracts, leases, service agreements, guarantees, standby letters of credit, loan commitments, and other contracts, agreements, and financial instruments. See Note 11 (“Variable Interest Entities”) for information on our involvement with VIEs. We use the equity method to account for unconsolidated investments in voting rights entities or VIEs if we have significant influence over the entity’s operating and financing decisions (usually defined as a voting or economic interest of 20% to 50%, but not controlling). Unconsolidated investments in voting rights entities or VIEs in which we have a voting or economic interest of less than 20% are carried at the cost measurement alternative or at fair value. Investments held by our registered broker-dealer and investment company subsidiaries (principal investing entities and Real Estate Capital line of business) are carried at fair value. The unaudited consolidated interim financial statements reflect all adjustments of a normal recurring nature and disclosures that are necessary for a fair presentation of the results for the interim periods presented. The results of operations for the interim period are not necessarily indicative of the results of operations to be expected for the full year. The interim financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in our 2020 Form 10-K. In preparing these financial statements, subsequent events were evaluated through the time the financial statements were issued. Financial statements are considered issued when they are widely distributed to all shareholders and other financial statement users or filed with the SEC. Goodwill and Other Intangible Assets Effective January 1, 2021, Key changed its approach for allocating equity to its reporting units. The carrying amounts of Key’s reporting units now represent the combination of regulatory and economic equity for goodwill impairment testing and management reporting purposes. The fair values of each reporting unit are estimated using a combination of market and income approaches. For more information, refer to Note 10 (“Goodwill”). Accounting Guidance Adopted in 2021 Standard Required Adoption Description Effect on Financial Statements or ASU 2019-12, January 1, 2021 This ASU simplifies the accounting for income Along with general improvements, it adds The guidance should be applied on either a The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2020-01, January 1, 2021 This guidance clarifies that when applying the It also clarifies that companies should not This guidance should be applied on prospective basis. The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2020-08, Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs January 1, 2021 This ASU clarifies that at each reporting period an entity should reevaluate whether a callable debt security is within the scope of ASC 310, which says that to the extent the amortized cost basis of an individual callable debt security exceeds the amount repayable by the issuer at the earliest call date, the premium shall be amortized to the earliest call date, unless prepayment guidance is applied. This guidance should be applied on a prospective basis. The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2021-01, Reference January 1, 2021 The ASU clarifies that certain optional expedients and exceptions related to contracts modified as a result of reference rate reform and hedge accounting apply to derivatives affected by the discounting transition, such as those that use an interest rate for margining, The guidance may be applied on a full retrospective basis as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020. Alternatively, it may be applied on a prospective basis to new modifications from any date within an interim period that includes or is subsequent to the date of the issuance of a final Update, until the financial statements are available to be issued. Key adopted this guidance on January 1, 2021, on a prospective basis and will assess the impact in conjunction with the reference rate transition as it occurs over the next two years. |
Earnings Per Common Share
Earnings Per Common Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | 2. Earnings Per Common Share Basic earnings per share is the amount of earnings (adjusted for dividends declared on our preferred stock) available to each Common Share outstanding during the reporting periods. Diluted earnings per share is the amount of earnings available to each Common Share outstanding during the reporting periods adjusted to include the effects of potentially dilutive Common Shares. Potentially dilutive Common Shares include stock options and other stock-based awards. Potentially dilutive Common Shares are excluded from the computation of diluted earnings per share in the periods where the effect would be antidilutive. Our basic and diluted earnings per Common Share are calculated as follows: Three months ended June 30, Six months ended June 30, dollars in millions, except per share amounts 2021 2020 2021 2020 EARNINGS Income (loss) from continuing operations $ 724 $ 185 $ 1,342 $ 330 Less: Net income (loss) attributable to noncontrolling interests — — — — Income (loss) from continuing operations attributable to Key 724 185 1,342 330 Less: Dividends on Preferred Stock 26 26 53 53 Income (loss) from continuing operations attributable to Key common shareholders 698 159 1,289 277 Income (loss) from discontinued operations, net of taxes 5 2 9 3 Net income (loss) attributable to Key common shareholders $ 703 $ 161 $ 1,298 $ 280 WEIGHTED-AVERAGE COMMON SHARES Weighted-average Common Shares outstanding (000) 957,423 967,147 961,292 967,380 Effect of Common Share options and other stock awards 9,740 4,994 9,514 6,892 Weighted-average Common Shares and potential Common Shares outstanding (000) (a) 967,163 972,141 970,806 974,272 EARNINGS PER COMMON SHARE Income (loss) from continuing operations attributable to Key common shareholders $ .73 $ .16 $ 1.34 $ .29 Income (loss) from discontinued operations, net of taxes — — .01 — Net income (loss) attributable to Key common shareholders (b) .73 .17 1.35 .29 Income (loss) from continuing operations attributable to Key common shareholders — assuming dilution $ .72 $ .16 $ 1.33 $ .28 Income (loss) from discontinued operations, net of taxes — assuming dilution — — .01 — Net income (loss) attributable to Key common shareholders — assuming dilution (b) .73 .17 1.34 .29 (a) Assumes conversion of Common Share options and other stock awards and/or convertible preferred stock, as applicable. (b) EPS may not foot due to rounding. |
Loan Portfolio
Loan Portfolio | 6 Months Ended |
Jun. 30, 2021 | |
Loans Receivables [Abstract] | |
Loan Portfolio | 3. Loan Portfolio Loan Portfolio by Portfolio Segment and Financing Receivable (a) in millions June 30, 2021 December 31, 2020 Commercial and industrial (b) $ 50,672 $ 52,907 Commercial real estate: Commercial mortgage 12,965 12,687 Construction 2,132 1,987 Total commercial real estate loans 15,097 14,674 Commercial lease financing (c) 4,061 4,399 Total commercial loans 69,830 71,980 Residential — prime loans: Real estate — residential mortgage 12,131 9,298 Home equity loans 9,047 9,360 Total residential — prime loans 21,178 18,658 Consumer direct loans 5,049 4,714 Credit cards 923 989 Consumer indirect loans 3,750 4,844 Total consumer loans 30,900 29,205 Total loans (d) $ 100,730 $ 101,185 (a) Accrued interest of $225 million and $241 million at June 30, 2021, and December 31, 2020, respectively, presented in "other assets" on the Consolidated Balance Sheets is excluded from the amortized cost basis disclosed in this table. (b) Loan balances include $135 million and $127 million of commercial credit card balances at June 30, 2021, and December 31, 2020, respectively. (c) Commercial lease financing includes receivables held as collateral for a secured borrowing of $19 million and $23 million at June 30, 2021, and December 31, 2020, respectively. Principal reductions are based on the cash payments received from these related receivables. Additional information pertaining to this secured borrowing is included in Note 20 (“Long-Term Debt”) beginning on page 171 of our 2020 Form 10-K. |
Asset Quality
Asset Quality | 6 Months Ended |
Jun. 30, 2021 | |
Credit Loss [Abstract] | |
Asset Quality | 4. Asset Quality ALLL We estimate the appropriate level of the ALLL on at least a quarterly basis. The methodology is described in Note 1 ("Summary of Significant Accounting Policies") under the heading "Allowance for Loan and Lease Losses" beginning on page 110 of our 2020 Form 10-K. The ALLL at June 30, 2021, represents our current estimate of lifetime credit losses inherent in the loan portfolio at that date. The changes in the ALLL by loan category for the periods indicated are as follows: Three months ended June 30, 2021: in millions March 31, 2021 Provision Charge-offs Recoveries June 30, 2021 Commercial and Industrial $ 596 $ (88) $ (41) $ 32 $ 499 Commercial real estate: Real estate — commercial mortgage 256 (31) (4) 6 227 Real estate — construction 45 (10) — — 35 Total commercial real estate loans 301 (41) (4) 6 262 Commercial lease financing 40 (6) — — 34 Total commercial loans 937 (135) (45) 38 795 Real estate — residential mortgage 100 (13) (1) — 86 Home equity loans 157 (18) (4) 1 136 Consumer direct loans 126 (6) (7) 2 115 Credit cards 80 (6) (9) 3 68 Consumer indirect loans 38 (18) (5) 5 20 Total consumer loans 501 (61) (26) 11 425 Total ALLL — continuing operations 1,438 (196) (a) (71) 49 1,220 Discontinued operations 33 (2) (1) — 30 Total ALLL — including discontinued operations $ 1,471 $ (198) $ (72) $ 49 $ 1,250 (a) Excludes a credit for losses on lending-related commitments of $26 million. Three months ended June 30, 2020: in millions March 31, 2020 Provision Charge-offs Recoveries June 30, 2020 Commercial and Industrial $ 542 $ 249 $ (71) $ 5 $ 725 Commercial real estate: Real estate — commercial mortgage 207 87 (2) — 292 Real estate — construction 25 16 — — 41 Total commercial real estate loans 232 103 (2) — 333 Commercial lease financing 44 14 (4) 1 55 Total commercial loans 818 366 (77) 6 1,113 Real estate — residential mortgage 89 14 (2) — 101 Home equity loans 184 14 (2) 1 197 Consumer direct loans 116 22 (10) 2 130 Credit cards 104 13 (12) 2 107 Consumer indirect loans 48 16 (7) 3 60 Total consumer loans 541 79 (33) 8 595 Total ALLL — continuing operations 1,359 445 (a) (110) 14 1,708 Discontinued operations 43 — (2) 2 43 Total ALLL — including discontinued operations $ 1,402 $ 445 $ (112) $ 16 $ 1,751 (a) Excludes a provision for losses on lending-related commitments of $37 million. Six months ended June 30, 2021 in millions December 31, 2020 Provision Charge-offs Recoveries June 30, 2021 Commercial and Industrial $ 678 $ (105) $ (114) $ 40 $ 499 Commercial real estate: Real estate — commercial mortgage 327 (68) (39) 7 227 Real estate — construction 47 (12) — — 35 Total commercial real estate loans 374 (80) — — 262 Commercial lease financing 47 (10) (4) 1 34 Total commercial loans 1,099 (195) (157) 48 795 Real estate — residential mortgage 102 (16) (1) 1 86 Home equity loans 171 (31) (6) 2 136 Consumer direct loans 128 (2) (15) 4 115 Credit cards 87 (9) (15) 5 68 Consumer indirect loans 39 (17) (12) 10 20 Total consumer loans 527 (75) (49) 22 425 Total ALLL — continuing operations 1,626 (270) (a) (206) 70 1,220 Discontinued operations 36 (5) (2) 1 30 Total ALLL — including discontinued operations $ 1,662 $ (275) $ (208) $ 71 $ 1,250 (a) Excludes a credit for losses on lending-related commitm ents of $45 million Six months ended June 30, 2020 in millions Pre-ASC 326 Adoption December 31, 2019 Impact of ASC 326 Adoption January 1, 2020 Provision Charge-offs Recoveries June 30, 2020 Commercial and Industrial $ 551 $ (141) $ 410 $ 436 $ (131) $ 10 $ 725 Commercial real estate: Real estate — commercial mortgage 143 16 159 137 (5) 1 292 Real estate — construction 22 (7) 15 26 — — 41 Total commercial real estate loans 165 9 174 163 (5) 1 333 Commercial lease financing 35 8 43 17 (6) 1 55 Total commercial loans 751 (124) 627 616 (142) 12 1,113 Real estate — residential mortgage 7 77 84 19 (2) — 101 Home equity loans 31 147 178 22 (6) 3 197 Consumer direct loans 34 63 97 51 (22) 4 130 Credit cards 47 35 82 44 (23) 4 107 Consumer indirect loans 30 6 36 32 (16) 8 60 Total consumer loans 149 328 477 168 (69) 19 595 Total ALLL — continuing operations 900 204 1,104 784 (a) (211) 31 1,708 Discontinued operations 10 31 41 3 (4) 3 43 Total ALLL — including discontinued operations $ 910 $ 235 $ 1,145 $ 787 $ (215) $ 34 $ 1,751 (a) Excludes a provision for losses on lending-related commitments of $57 million. As described in Note 1 ("Summary of Significant Accounting Policies"), under the heading “Allowance for Loan and Lease Losses” beginning on page 110 of our 2020 Form 10-K, we estimate the ALLL using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. In our estimation of expected credit losses, we use a two year reasonable and supportable period across all products. Following this two year period in which supportable forecasts can be generated, for all modeled loan portfolios, we revert expected credit losses to a level that is consistent with our historical information by reverting the macroeconomic variables (model inputs) to their long run average. We revert to historical loss rates for less complex estimation methods for smaller portfolios. A 20 year fixed length look back period is used to calculate the long run average of the macroeconomic variables. A four quarter reversion period is used where the macroeconomic variables linearly revert to their long run average following the two year reasonable and supportable period. We develop our reasonable and supportable forecasts using relevant data including, but not limited to, changes in economic output, unemployment rates, property values, and other factors associated with the credit losses on financial assets. Some macroeconomic variables apply to all portfolio segments, while others are more portfolio specific. The following table discloses key macroeconomic variables for each loan portfolio. Segment Portfolio Key Macroeconomic Variables (a) Commercial Commercial and industrial BBB corporate bond rate (spread), GDP, industrial production, and unemployment rate Commercial real estate BBB corporate bond rate (spread), property and real estate price indices, and unemployment rate Commercial lease financing BBB corporate bond rate (spread), GDP, and unemployment rate Consumer Real estate — residential mortgage GDP, home price index, unemployment rate, and 30 year mortgage rate Home equity Home price index, unemployment rate, and 30 year mortgage rate Consumer direct Unemployment rate and U.S. household income Consumer indirect New vehicle sales, used vehicle prices, and unemployment rate Credit cards Unemployment rate and U.S. household income Discontinued operations Unemployment rate (a) Variables include all transformations and interactions with other risk drivers. Additionally, variables may have varying impacts at different points in the economic cycle. In addition to macroeconomic drivers, portfolio attributes such as remaining term, outstanding balance, risk ratings, FICO, LTV, and delinquency also drive ALLL changes. Our ALLL models were designed to capture the correlation between economic and portfolio changes. As such, evaluating shifts in individual portfolio attributes and macroeconomic variables in isolation may not be indicative of past or future performance. Economic Outlook As of June 30, 2021, the economic prospects continue to improve at a more accelerated pace than in the first quarter of 2021, but the continuation of the COVID-19 pandemic and the wind-down of various governmental assistance programs still creates much uncertainty. We utilized the Moody’s May 2021 Consensus forecast to estimate our expected credit losses as of June 30, 2021. We determined such forecast to be a reasonable view of the outlook for the economy given all available information at quarter end. The baseline scenario reflects moderate economic growth over the next two years in markets in which we operate. U.S. GDP continues to rebound with a projected 10.6% annualized growth rate in the second quarter of 2021 and an overall growth rate of approximately 7% expected for the year. The national unemployment rate forecast is 5.9% in the second quarter of 2021, and is expected to decline to 4.7% by the fourth quarter of 2021. To the extent we identified credit risk considerations that were not captured by the third-party economic forecast, we addressed the risk through management’s qualitative adjustments to the ALLL. As a result of the unprecedented economic uncertainty caused by the COVID-19 pandemic, our future loss estimates may vary considerably from our June 30, 2021 assumptions. Commercial Loan Portfolio The ALLL from continuing operations for the commercial segment decreased by $142 million, or 15.2%, from March 31, 2021. The overall decrease in the allowance is driven by improvements in economic forecasts, a slight decline in loan balances, and improving asset quality. The changes to the economic forecast primarily reflect improvements in economic drivers used in our models. The unemployment and GDP positive growth outlook contributes to the overall commercial segment reserve decrease. Expected improvements in real estate price indices lead to a reduction in reserve in our commercial real estate book. Risk rating migrations are driving a modest decrease in ALLL levels for the commercial and industrial portfolio. The ALLL results also reflect incremental credit risk considerations as a result of the future economic uncertainties which are addressed through qualitative adjustments. As of June 30, 2021, we concluded that no ALLL is necessary for $5.7 billion in outstanding PPP loans as they are 100% guaranteed by the SBA. Consumer Loan Portfolio The ALLL from continuing operations for the consumer segment decreased by $76 million, or 15.2%, from March 31, 2021. The overall decrease in the allowance is driven by updated economic forecasts that capture an im proving outlook for several drivers and strong portfolio performance, partially offset by growth in consumer real estate. The most meaningful changes to the economic forecast contributing to the reduction in reserves include improvement in the unemployment rate outlook, which impacts all consumer portfolios. In addition, the housing market and HPI outlook continue to display strength, which impacts the residential mortgage and home equity segments. The unprecedented increase in used vehicle prices and favorable outlook are the main driver for the reserve reduction in the indirect auto loan portfolio. As it relates to the decline in the ALLL due to portfolio factors, shifts are largely driven by attrition activity, targeted portfolio growth and overall strong credit drivers. The ALLL results also reflect incremental credit risk considerations as a result of the economic stress and related borrower assistance programs, which are addressed through qualitative adjustments. Credit Risk Profile The prevalent risk characteristic for both commercial and consumer loans is the risk of loss arising from an obligor’s inability or failure to meet contractual payment or performance terms. Evaluation of this risk is stratified and monitored by the loan risk rating grades assigned for the commercial loan portfolios and the refreshed FICO score assigned for the consumer loan portfolios. The internal risk grades assigned to loans follow our definitions of Pass and Criticized, which are consistent with published definitions of regulatory risk classifications. Loans with a pass rating represent those loans not classified on our rating scale for problem credits, as minimal credit risk has been identified. Criticized loans are those loans that either have a potential weakness deserving management's close attention or have a well-defined weakness that may put full collection of contractual cash flows at risk. Borrower FICO scores provide information about the credit quality of our consumer loan portfolio as they provide an indication as to the likelihood that a debtor will repay its debts. The scores are obtained from a nationally recognized consumer rating agency and are presented in the tables below at the dates indicated. Most extensions of credit are subject to loan grading or scoring. Loan grades are assigned at the time of origination, verified by credit risk management, and periodically re-evaluated thereafter. This risk rating methodology blends our judgment with quantitative modeling. Commercial loans generally are assigned two internal risk ratings. The first rating reflects the probability that the borrower will default on an obligation; the second rating reflects expected recovery rates on the credit facility. Default probability is determined based on, among other factors, the financial strength of the borrower, an assessment of the borrower’s management, the borrower’s competitive position within its industry sector, and our view of industry risk in the context of the general economic outlook. Types of exposure, transaction structure, and collateral, including credit risk mitigants, affect the expected recovery assessment. Commercial Credit Exposure Credit Risk Profile by Creditworthiness Category and Vintage (a) As of June 30, 2021 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and Internal Risk Rating in millions 2021 2020 2019 2018 2017 Prior Total Commercial and Industrial Risk Rating: Pass $ 6,763 $ 8,185 $ 4,542 $ 3,382 $ 2,124 $ 3,974 $ 19,061 $ 104 $ 48,135 Criticized (Accruing) 30 118 232 242 208 236 1,086 30 2,182 Criticized (Nonaccruing) 1 7 17 52 7 48 221 2 355 Total commercial and industrial 6,794 8,310 4,791 3,676 2,339 4,258 20,368 136 50,672 Real estate — commercial mortgage Risk Rating: Pass 1,678 1,415 2,703 1,371 786 3,254 716 46 11,969 Criticized (Accruing) 12 25 156 152 142 330 111 2 930 Criticized (Nonaccruing) — — 4 1 16 41 4 — 66 Total real estate — commercial mortgage 1,690 1,440 2,863 1,524 944 3,625 831 48 12,965 Real estate — construction Risk Rating: Pass 177 555 700 365 152 36 28 9 2,022 Criticized (Accruing) — 4 14 54 22 14 2 — 110 Criticized (Nonaccruing) — — — — — — — — — Total real estate — construction 177 559 714 419 174 50 30 9 2,132 Commercial lease financing Risk Rating: Pass 409 880 825 416 380 1,037 — — 3,947 Criticized (Accruing) — 19 40 17 23 8 — — 107 Criticized (Nonaccruing) — — 2 1 2 2 — — 7 Total commercial lease financing 409 899 867 434 405 1,047 — 4,061 Total commercial loans $ 9,070 $ 11,208 $ 9,235 $ 6,053 $ 3,862 $ 8,980 $ 21,229 $ 193 $ 69,830 As of December 31, 2020 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and Internal Risk Rating in millions 2020 2019 2018 2017 2016 Prior Total Commercial and Industrial Risk Rating: Pass $ 13,100 $ 5,487 $ 4,040 $ 2,617 $ 1,967 $ 2,709 $ 19,832 $ 118 $ 49,870 Criticized (Accruing) 66 198 174 236 150 279 1,527 22 2,652 Criticized (Nonaccruing) 8 27 71 28 17 7 226 1 385 Total commercial and industrial 13,174 5,712 4,285 2,881 2,134 2,995 21,585 141 52,907 Real estate — commercial mortgage Risk Rating: Pass 1,591 2,937 1,737 867 765 3,027 885 43 11,852 Criticized (Accruing) 12 142 81 145 72 255 22 2 731 Criticized (Nonaccruing) — 1 4 4 2 88 5 — 104 Total real estate — commercial mortgage 1,603 3,080 1,822 1,016 839 3,370 912 45 12,687 Real estate — construction Risk Rating: Pass 367 764 510 188 27 22 31 5 1,914 Criticized (Accruing) — 14 38 18 — 2 1 — 73 Criticized (Nonaccruing) — — — — — — — — — Total real estate — construction 367 778 548 206 27 24 32 5 1,987 Commercial lease financing Risk Rating: Pass 1,076 1,050 534 504 228 901 — — 4,293 Criticized (Accruing) 10 35 15 26 7 4 — — 97 Criticized (Nonaccruing) — 2 2 2 2 1 — — 9 Total commercial lease financing 1,086 1,087 551 532 237 906 — — 4,399 Total commercial loans $ 16,230 $ 10,657 $ 7,206 $ 4,635 $ 3,237 $ 7,295 $ 22,529 $ 191 $ 71,980 (a) Accrued interest of $127 million and $140 million as of June 30, 2021 and December 31, 2020, respectively, presented in Other Assets on the Consolidated Balance Sheets, was excluded from the amortized cost basis disclosed in these tables. Consumer Credit Exposure Credit Risk Profile by FICO Score and Vintage (a) As of June 30, 2021 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and FICO Score in millions 2021 2020 2019 2018 2017 Prior Total Real estate — residential mortgage FICO Score: 750 and above $ 3,871 $ 3,348 $ 1,106 $ 129 $ 173 $ 1,353 — — $ 9,980 660 to 749 743 462 201 54 37 363 — — 1,860 Less than 660 10 14 17 18 9 157 — — 225 No Score 18 1 2 2 4 39 — — 66 Total real estate — residential mortgage 4,642 3,825 1,326 203 223 1,912 — — 12,131 Home equity loans FICO Score: 750 and above 799 911 321 128 160 818 $ 2,426 $ 508 6,071 660 to 749 262 335 147 56 55 247 1,087 172 2,361 Less than 660 14 28 21 15 15 106 353 51 603 No Score — 2 2 1 — 2 4 1 12 Total home equity loans 1,075 1,276 491 200 230 1,173 3,870 732 9,047 Consumer direct loans FICO Score: 750 and above 867 1,457 688 90 24 120 112 — 3,358 660 to 749 251 383 220 58 15 48 224 — 1,199 Less than 660 10 20 28 14 4 12 64 — 152 No Score 31 44 36 14 12 22 181 — 340 Total consumer direct loans 1,159 1,904 972 176 55 202 581 — 5,049 Credit cards FICO Score: 750 and above — — — — — — 472 — 472 660 to 749 — — — — — — 372 — 372 Less than 660 — — — — — — 77 — 77 No Score — — — — — — 2 — 2 Total credit cards — — — — — — 923 — 923 Consumer indirect loans FICO Score: 750 and above 115 821 770 286 130 81 — — 2,203 660 to 749 — 496 416 163 63 54 — — 1,192 Less than 660 — 102 116 70 35 32 — — 355 No Score — — — — — — — — — Total consumer indirect loans 115 1,419 1,302 519 228 167 — — 3,750 Total consumer loans $ 6,991 $ 8,424 $ 4,091 $ 1,098 $ 736 $ 3,454 $ 5,374 $ 732 $ 30,900 As of December 31, 2020 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and FICO Score in millions 2020 2019 2018 2017 2016 Prior Total Real estate — residential mortgage FICO Score: 750 and above $ 3,595 $ 1,620 $ 194 $ 254 $ 537 $ 1,211 — — $ 7,411 660 to 749 710 284 76 48 100 332 — — 1,550 Less than 660 16 28 21 10 26 170 — — 271 No Score 1 2 2 7 2 52 — — 66 Total real estate — residential mortgage 4,322 1,934 293 319 665 1,765 — — 9,298 Home equity loans FICO Score: 750 and above 1,043 404 168 202 190 839 $ 2,689 $ 590 6,125 660 to 749 385 198 82 77 69 253 1,237 206 2,507 Less than 660 27 30 18 20 20 113 426 61 715 No Score 2 2 1 — — 2 5 1 13 Total home equity loans 1,457 634 269 299 279 1,207 4,357 858 9,360 Consumer direct loans FICO Score: 750 and above 1,840 883 115 32 16 57 119 — 3,062 660 to 749 479 268 80 22 14 33 254 1 1,151 Less than 660 23 37 21 8 5 10 81 — 185 No Score 65 35 21 21 10 11 153 — 316 Total consumer direct loans 2,407 1,223 237 83 45 111 607 1 4,714 Credit cards FICO Score: 750 and above — — — — — — 488 — 488 660 to 749 — — — — — — 407 — 407 Less than 660 — — — — — — 93 — 93 No Score — — — — — — 1 — 1 Total credit cards — — — — — — 989 — 989 Consumer indirect loans FICO Score: 750 and above 1,092 924 369 188 69 66 — — 2,708 660 to 749 653 558 232 97 36 47 — — 1,623 Less than 660 143 163 99 54 25 28 — — 512 No Score 1 — — — — — — — 1 Total consumer indirect loans 1,889 1,645 700 339 130 141 — — 4,844 Total consumer loans $ 10,075 $ 5,436 $ 1,499 $ 1,040 $ 1,119 $ 3,224 $ 5,953 $ 859 $ 29,205 (a) Accrued interest of $97 million and $101 million as of June 30, 2021 and December 31, 2020, respectively, presented in Other Assets on the Consolidated Balance Sheets, was excluded from the amortized cost basis disclosed in this table. Nonperforming and Past Due Loans Our policies for determining past due loans, placing loans on nonaccrual, applying payments on nonaccrual loans, and resuming accrual of interest for our commercial and consumer loan portfolios are disclosed in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Nonperforming Loans” beginning on page 108 of our 2020 Form 10-K. Under the CARES Act as well as banking regulator interagency guidance, certain loan modifications to borrowers experiencing financial distress as a result of the economic impacts created by the COVID-19 pandemic may not be required to be reported as past due. For COVID-19 related loan modifications which occurred from March 1, 2020, through June 30, 2021, and met the loan modification criteria under either the CARES Act or the criteria specified by the regulatory agencies, we have elected to re-age to current status all commercial loans and consumer loans that are not secured by real-estate and freeze the delinquency status of consumer real estate secured loans as of the modification or forbearance grant date. At June 30, 2021 , th e portfolio loans and leases in active deferral or forebearance as part of our COVID-19 hardship relief programs totaled $259 million, of which $209 million of loan modifications and forbearances made under the criteria of either the CARES Act, banking regulator interagency guidance, or short-term forbearance policies were not reported as nonperforming. The following aging analysis of past due and current loans as of June 30, 2021, and December 31, 2020, provides further information regarding Key’s credit exposure. Aging Analysis of Loan Portfolio (a) June 30, 2021 Current 30-59 Days Past Due (b) 60-89 Days Past Due (b) 90 and Greater Days Past Due (b) Non-performing Total Past Total Loans (c) in millions LOAN TYPE Commercial and industrial $ 50,188 $ 71 $ 19 $ 39 $ 355 $ 484 $ 50,672 Commercial real estate: Commercial mortgage 12,865 12 7 15 66 100 12,965 Construction 2,131 — 1 — — 1 2,132 Total commercial real estate loans 14,996 12 8 15 66 101 15,097 Commercial lease financing 4,043 7 1 3 7 18 4,061 Total commercial loans $ 69,227 $ 90 $ 28 $ 57 $ 428 $ 603 $ 69,830 Real estate — residential mortgage $ 12,023 $ 7 $ 2 $ — $ 99 $ 108 $ 12,131 Home equity loans 8,861 23 10 7 146 186 9,047 Consumer direct loans 5,035 5 2 3 4 14 5,049 Credit cards 909 3 2 6 3 14 923 Consumer indirect loans 3,717 14 4 1 14 33 3,750 Total consumer loans $ 30,545 $ 52 $ 20 $ 17 $ 266 $ 355 $ 30,900 Total loans $ 99,772 $ 142 $ 48 $ 74 $ 694 $ 958 $ 100,730 (a) Amounts in table represent amortized cost and exclude loans held for sale. (b) Accrued interest of $225 million presented in Other Assets on the Consolidated Balance Sheets is excluded from the amortized cost basis disclosed in this table. (c) Net of unearned income, net of deferred fees and costs, and unamortized discounts and premiums. December 31, 2020 Current 30-59 Days Past Due (b) 60-89 Days Past Due (b) 90 and Greater Days Past Due (b) Non-performing Loans Total Past Due and Non-performing Loans Total Loans (c) in millions LOAN TYPE Commercial and industrial $ 52,396 $ 36 $ 50 $ 40 $ 385 $ 511 $ 52,907 Commercial real estate: Commercial mortgage 12,548 9 5 21 104 139 12,687 Construction 1,986 — — 1 — 1 1,987 Total commercial real estate loans 14,534 9 5 22 104 140 14,674 Commercial lease financing 4,369 21 1 — 8 30 4,399 Total commercial loans $ 71,299 $ 66 $ 56 $ 62 $ 497 $ 681 $ 71,980 Real estate — residential mortgage $ 9,173 $ 11 $ 3 $ 1 $ 110 $ 125 $ 9,298 Home equity loans 9,143 34 20 9 154 217 9,360 Consumer direct loans 4,694 7 4 4 5 20 4,714 Credit cards 972 5 3 7 2 17 989 Consumer indirect loans 4,792 25 7 3 17 52 4,844 Total consumer loans $ 28,774 $ 82 $ 37 $ 24 $ 288 $ 431 $ 29,205 Total loans $ 100,073 $ 148 $ 93 $ 86 $ 785 $ 1,112 $ 101,185 (a) Amounts in table represent amortized cost and exclude loans held for sale. (b) Accrued interest of $241 million presented in Other Assets on the Consolidated Balance Sheets is excluded from the amortized cost basis disclosed in this table. (c) Net of unearned income, net of deferred fees and costs, and unamortized discounts and premiums. At June 30, 2021, the approximate carrying amount of our commercial nonperforming loans outstanding represented 69% of their original contractual amount owed, total nonperforming loans outstanding represented 76% of their original contractual amount owed, and nonperforming assets in total were carried at 81% of their original contractual amount owed. Nonperforming loans reduced expected interest income by $7 million and $14 million for the three and six months ended June 30, 2021,respectively, and $7 million and $13 million for the three and six months ended June 30, 2020, respectively. The amortized cost basis of nonperforming loans on nonaccrual status for which there is no related allowance for credit losses was $474 million at June 30, 2021. Collateral-dependent Financial Assets We classify financial assets as collateral-dependent when our borrower is experiencing financial difficulty, and we expect repayment to be provided substantially through the operation or sale of the collateral. Our commercial loans have collateral that includes commercial machinery, commercial properties, and commercial real estate construction projects. Our consumer loans have collateral that includes residential real estate, automobiles, boats, and RVs. There were no significant changes in the extent to which collateral secures our collateral-dependent financial assets during the three months ended June 30, 2021 . TDRs We classify loan modifications as TDRs when a borrower is experiencing financial difficulties and we have granted a concession without commensurate financial, structural, or legal consideration. Our loan modifications are handled on a case-by-case basis and are negotiated to achieve mutually agreeable terms that maximize loan collectability and meet the borrower’s financial needs. Under the CARES Act as well as banking regulator interagency guidance, certain loan modifications to borrowers experiencing financial distress as a result of the economic impacts created by the COVID-19 pandemic may not be required to be treated as TDRs under U.S. GAAP. As of June 30, 2021, the outstanding balance of loans that underwent CO VID-19 related loan modifications for which we elected to suspend TDR accoun ting as such loan modifications met the criteria under either the CARES Act or banking regulator interagency guidance totaled $209 million . Commitments outstanding to lend additional funds to borrowers whose loan terms have been modified in TDRs were $30 million and $1 million at June 30, 2021, and December 31, 2020, respectively. The consumer TDR other concession category in the table below primarily includes those borrowers’ debts that are discharged through Chapter 7 bankruptcy and have not been formally re-affirmed. At June 30, 2021, and December 31, 2020, the recorded investment of consumer residential mortgage loans in the process of foreclosure was appro ximately $78 million and $92 million, respectively. The following table shows the post-modification outstanding recorded investment by concession type for our commercial and consumer accruing and nonaccruing TDRs that occurred during the periods indicated: Three Months Ended June 30, Six Months Ended June 30, in millions 2021 2020 2021 2020 Commercial loans: Extension of Maturity Date — $ 8 $ 26 $ 8 Payment or Covenant Modification/Deferment $ 16 — 23 — Bankruptcy Plan Modification — — — — Increase in new commitment or new money — 4 — 4 Total $ 16 $ 12 $ 49 $ 12 Consumer loans: Interest rate reduction $ 2 $ 1 $ 4 $ 9 Other 4 5 7 13 Total $ 6 $ 6 $ 11 $ 22 Total TDRs $ 22 $ 18 $ 60 $ 34 The following table summarizes the change in the post-modification outstanding recorded investment of our accruing and nonaccruing TDRs during the periods indicated: Three Months Ended June 30, Six Months Ended June 30, in millions 2021 2020 2021 2020 Balance at beginning of the period $ 376 $ 340 $ 363 $ 347 Additions 22 22 81 39 Payments (60) (35) (81) (53) Charge-offs (4) (17) (29) (23) Balance at end of period $ 334 $ 310 $ 334 $ 310 A further breakdown of TDRs included in nonperforming loans by loan category for the periods indicated are as follows: June 30, 2021 December 31, 2020 Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment dollars in millions LOAN TYPE Nonperforming: Commercial and industrial 41 $ 112 $ 65 66 $ 136 $ 92 Commercial real estate: Commercial mortgage 4 66 45 7 62 50 Total commercial real estate loans 4 66 45 7 62 50 Total commercial loans 45 178 110 73 198 142 Real estate — residential mortgage 214 25 23 258 35 34 Home equity loans 532 35 30 630 41 37 Consumer direct loans 200 3 3 212 3 3 Credit cards 291 2 2 356 2 2 Consumer indirect loans 735 13 9 861 15 11 Total consumer loans 1,972 78 67 2,317 96 87 Total nonperforming TDRs 2,017 256 177 2,390 294 229 Prior-year accruing: (a) Commercial and industrial 13 26 25 3 5 — Commercial real estate Commercial mortgage — — — — — — Total commercial real estate loans — — — — — — Total commercial loans 13 26 25 3 5 — Real estate — residential mortgage 480 40 34 485 37 31 Home equity loans 1,717 103 81 1,781 106 83 Consumer direct loans 200 5 2 163 4 3 Credit cards 598 4 1 536 3 1 Consumer indirect loans 705 26 14 775 29 16 Total consumer loans 3,700 178 132 3,740 179 134 Total prior-year accruing TDRs 3,713 204 157 3,743 184 134 Total TDRs 5,730 $ 460 $ 334 6,133 $ 478 $ 363 (a) All TDRs that were restructured prior to January 1, 2021, and January 1, 2020, are fully accruing. Commercial loan TDRs are considered defaulted when principal and interest payments are 90 days past due. Consumer loan TDRs are considered defaulted when principal and interest payments are more than 60 days past due. During the three months ended June 30, 2021, there was one commercial loan TDR and 29 consumer loan TDRs with a combined recorded investment of $1 million that experienced payment defaults after modifications resulting in TDR status during 2020. During the three months ended June 30, 2020, there were no commercial loan TDRs and 43 consumer loan TDRs with a combined recorded investment of $1 million that experienced payment defaults after modifications resulting in TDR status during 2019. During the six months ended June 30, 2021, there were three commercial loan TDRs and 65 consumer loan TDRs with a combined recorded investment of $2 million that experienced payment defaults after modifications resulting in TDR status during 2020. During the six months ended June 30, 2020, there were no commercial loan TDRs and 127 consumer loan TDRs with a combined recorded investment of $3 million that experienced payment defaults after modifications resulting in TDR status during 2019. Liability for Credit Losses on Off Balance Sheet Exposures The liability for credit losses inherent in unfunded lending-related commitments, such as letters of credit and unfunded loan commitments, and certain financial guarantees is included in “accrued expense and other liabilities” on the balance sheet. Changes in the liability for credit losses on off balance sheet exposures are summarized as follows: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Balance at the end of the prior period $ 178 $ 161 $ 197 $ 68 Liability for credit losses on contingent guarantees at the end of the prior period — — — 7 Cumulative effect from change in accounting principle (a), (b) — — — 66 Balance at beginning of period 178 161 197 141 Provision (credit) for losses on off balance sheet exposures (26) 37 (45) 57 Balance at end of period $ 152 $ 198 $ 152 $ 198 (a) The cumulative effect from change in accounting principle relates to the January 1, 2020, adoption of ASU 2016-13. (b) The six months ended June 30, 2020, amount exclud es $4 million related to the provision for other financial assets. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 5. Fair Value Measurements In accordance with GAAP, Key measures certain assets and liabilities at fair value. Fair value is defined as the price to sell an asset or transfer a liability in an orderly transaction between market participants in our principal market. Additional information regarding our accounting policies for determining fair value is provided in Note 6 (“Fair Value Measurements”) and Note 1 (“Summary of Significant Accounting Policies”) under the heading “Fair Value Measurements” of our 2020 Form 10-K. Assets and Liabilities Measured at Fair Value on a Recurring Basis Certain assets and liabilities are measured at fair value on a recurring basis in accordance with GAAP. For more information on the valuation techniques used to measure classes of assets and liabilities reported at fair value on a recurring basis as well as the classification of each in the valuation hierarchy, refer to Note 6 (“Fair Value Measurements” in our 2020 Form 10-K. The following tables present these assets and liabilities at June 30, 2021, and December 31, 2020. June 30, 2021 December 31, 2020 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total in millions ASSETS MEASURED ON A RECURRING BASIS Trading account assets: U.S. Treasury, agencies and corporations — $ 631 — $ 631 — $ 633 — $ 633 States and political subdivisions — 86 — 86 — 24 — 24 Other mortgage-backed securities — 106 — 106 — 47 — 47 Other securities — 13 — 13 — 13 — 13 Total trading account securities — 836 — 836 — 717 — 717 Commercial loans — 15 — 15 — 18 — 18 Total trading account assets — 851 — 851 — 735 — 735 Securities available for sale: U.S. Treasury, agencies and corporations — 4,886 — 4,886 — 1,000 — 1,000 States and political subdivisions — — — — — — — — Agency residential collateralized mortgage obligations — 14,374 — 14,374 — 14,273 — 14,273 Agency residential mortgage-backed securities — 4,878 — 4,878 — 2,164 — 2,164 Agency commercial mortgage-backed securities — 10,478 — 10,478 — 10,106 — 10,106 Other securities — — $ 22 22 — — $ 13 13 Total securities available for sale — 34,616 22 34,638 — 27,543 13 27,556 Other investments: Principal investments: Direct — — 1 1 — — 1 1 Indirect (measured at NAV) (a) — — — 53 — — — 53 Total principal investments — — 1 54 — — 1 54 Equity investments: Direct 11 — 9 20 — — 13 13 Direct (measured at NAV) (a) — — — 12 — — — 7 Indirect (measured at NAV) (a) — — — 7 — — — 7 Total equity investments 11 — 9 39 — — 13 27 Total other investments 11 — 10 93 — — 14 81 Loans, net of unearned income (residential) — — 11 11 — — 11 11 Loans held for sale (residential) — 231 — 231 — 264 — 264 Derivative assets: Interest rate — 1,070 35 1,105 — 1,528 56 1,584 Foreign exchange $ 65 22 — 87 $ 78 31 — 109 Commodity — 1,198 — 1,198 — 424 2 426 Credit — — 1 1 — — 1 1 Other — 7 13 20 — 26 32 58 Derivative assets 65 2,297 49 2,411 78 2,009 91 2,178 Netting adjustments (b) — — — (251) — — — (380) Total derivative assets 65 2,297 49 2,160 78 2,009 91 1,798 Accrued income and other assets — — — — — — — — Total assets on a recurring basis at fair value $ 76 $ 37,995 $ 92 $ 37,984 $ 78 $ 30,551 $ 129 $ 30,445 LIABILITIES MEASURED ON A RECURRING BASIS Bank notes and other short-term borrowings: Short positions $ 211 $ 512 — $ 723 $ 256 $ 503 — $ 759 Derivative liabilities: Interest rate — 289 — 289 — 288 — 288 Foreign exchange 62 21 — 83 72 31 — 103 Commodity — 1,205 — 1,205 — 408 — 408 Credit — 2 $ 6 8 — — $ 11 11 Other — 12 — 12 — 16 — 16 Derivative liabilities 62 1,529 6 1,597 72 743 11 826 Netting adjustments (b) — — — (1,428) — — — (675) Total derivative liabilities 62 1,529 6 169 72 743 11 151 Total liabilities on a recurring basis at fair value $ 273 $ 2,041 $ 6 $ 892 $ 328 $ 1,246 $ 11 $ 910 (a) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated balance sheet. (b) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The net basis takes into account the impact of bilateral collateral and master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related cash collateral. Total derivative assets and liabilities include these netting adjustments. The following table presents the fair value of our direct and indirect principal investments and related unfunded commitments at June 30, 2021, as well as financial support provided for the three and six months ended June 30, 2021, and June 30, 2020. Financial support provided Three months ended June 30, Six months ended June 30, June 30, 2021 2021 2020 2021 2020 in millions Fair Value Unfunded Commitments Funded Commitments Funded Other Funded Commitments Funded Other Funded Commitments Funded Other Funded Commitments Funded Other INVESTMENT TYPE Direct investments $ 1 — — — — — — — — — Indirect investments (measured at NAV) (a) 53 $ 13 $ 2 — — — $ 4 — $ — — Total $ 54 $ 13 $ 2 — — — $ 4 — $ — — (a) Our indirect investments consist of buyout funds, venture capital funds, and fund of funds. These investments are generally not redeemable. Instead, distributions are received through the liquidation of the underlying investments of the fund. An investment in any one of these funds typically can be sold only with the approval of the fund’s general partners. At June 30, 2021, no significant liquidation of the underlying investments has been communicated to Key. The purpose of funding our capital commitments to these investments is to allow the funds to make additional follow-on investments and pay fund expenses until the fund dissolves. We, and all other investors in the fund, are obligated to fund the full amount of our respective capital commitments to the fund based on our and their respective ownership percentages, as noted in the applicable Limited Partnership Agreement. Changes in Level 3 Fair Value Measurements The following table shows the components of the change in the fair values of our Level 3 financial instruments measured at fair value on a recurring basis for the three and six months ended June 30, 2021, and June 30, 2020. in millions Beginning of Period Balance Gains (Losses) Included in Other Comprehensive Income Gains (Losses) Included in Earnings Purchases Sales Settlements Transfers Other Transfers into Level 3 Transfers out of Level 3 End of Period Balance Unrealized Gains (Losses) Included in Earnings Six months ended June 30, 2021 Securities available for sale Other securities $ 13 $ 9 — — — — — — — $ 22 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 13 — $ (1) — — — — — $ (3) 9 $ (1) Loans held for sale (residential) — — — — $ (1) — $ 1 — — — — Loans, net of unearned income (residential) 11 — — — (1) — 1 — — 11 — Derivative instruments (b) Interest rate 56 — (15) (c) $ 1 (7) — — $ 12 (d) (12) (d) 35 — Credit (10) — 5 (c) — — — — — — (5) — Other (e) 32 — (3) (c) — — — (16) — — 13 — Three months ended June 30, 2021 Securities available for sale Other securities $ 22 — — — — — — — — $ 22 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 9 — — — — — — — — 9 — Loans held for sale (residential) — — — — — — — — — — — Loans, net of unearned income (residential) 11 — — — — — — — — 11 — Derivative instruments (b) Interest rate 30 — $ 7 (c) $ — $ (2) — — $ 5 (d) $ (5) (d) 35 — Credit (5) — — — — — — (5) — Other (e) 6 — 1 (c) — — — $ 6 — — 13 — in millions Beginning of Period Balance Gains (Losses) Included in Other Comprehensive Income Gains (Losses) Included in Earnings Purchases Sales Settlements Transfers Other Transfers into Level 3 Transfers out of Level 3 End of Period Balance Unrealized Gains (Losses) Included in Earnings Six months ended June 30, 2020 Trading account assets Other mortgage-backed securities $ — $ — $ — $ — $ — $ — $ — $ 36 $ — $ 36 $ — Securities available for sale Other securities 11 1 — — — — — — — 12 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 12 — $ — — — — — — — 12 $ — Loans held for sale (residential) — — — — (10) — $ 10 — — — — Loans, net of unearned income (residential) 4 — — — $ (1) — 2 — — 5 — Derivative instruments (b) Interest rate 22 — 22 (c) 11 (1) — — $ 62 (d) $ (64) (d) 52 — Credit (8) — (10) (c) $ 1 — — — (17) — Other (e) 5 — — — — — 41 — — 46 — Three months ended June 30, 2020 Trading account assets Other mortgage-backed securities — — — $ — $ — $ — — $ 36 — $ 36 $ — Securities available for sale Other securities $ 9 $ 3 — — — — — — — 12 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 10 $ 2 12 2 Loans held for sale (residential) 10 — — — $ (10) — — — — — — Loans, net of unearned income (residential) 3 — — — — — $ 2 — — 5 — Derivative instruments (b) Interest rate 96 3 (c) 7 (d) $ (54) (d) 52 Credit (23) — 6 (c) — — — — — — (17) — Other (e) 23 — — — — 23 — 46 — (a) Realized and unrealized gains and losses on principal investments and other equity investments are reported in “other income” on the income statement. (b) Amounts represent Level 3 derivative assets less Level 3 derivative liabilities. (c) Realized and unrealized gains and losses on derivative instruments are reported in “corporate services income” and “other income” on the income statement. (d) Certain instruments previously classified as Level 2 were transferred to Level 3 because Level 3 unobservable inputs became significant. Certain derivatives previously classified as Level 3 were transferred to Level 2 because Level 3 unobservable inputs became less significant. (e) Amounts represent Level 3 interest rate lock commitments. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Certain assets and liabilities are measured at fair value on a nonrecurring basis in accordance with GAAP. The adjustments to fair value generally result from the application of accounting guidance that requires assets and liabilities to be recorded at the lower of cost or fair value, or assessed for impairment. For more information on the valuation techniques used to measure classes of assets and liabilities measured at fair value on a nonrecurring basis, refer to Note 6 (“Fair Value Measurements” in our 2020 Form 10-K. There were no liabilities measured at fair value on a nonrecurring basis at June 30, 2021, and December 31, 2020. The following table presents our assets measured at fair value on a nonrecurring basis at June 30, 2021, and December 31, 2020: June 30, 2021 December 31, 2020 in millions Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total ASSETS MEASURED ON A NONRECURRING BASIS Collateral-dependent loans — — $ 36 $ 36 — — $ 108 $ 108 Accrued income and other assets — — 101 101 — $ — 56 56 Total assets on a nonrecurring basis at fair value — — $ 137 $ 137 — — $ 164 $ 164 We have other investments in equity securities that do not have readily determinable fair values and do not qualify for the practical expedient to measure the investment using a net asset value per share. We have elected to measure these securities at cost less impairment plus or minus adjustments due to observable orderly transactions. Impairment is recorded when there is evidence that the expected fair value of the investment has declined to below the recorded cost. At each reporting period, we assess if these investments continue to qualify for this measurement alternative. At June 30, 2021, and December 31, 2020, the carrying amount of equity investments under this method was $169 million and $171 million, respectively. No impairment was recorded for the three months ended June 30, 2021. Quantitative Information about Level 3 Fair Value Measurements The range and weighted-average of the significant unobservable inputs used to fair value our material Level 3 recurring and nonrecurring assets at June 30, 2021, and December 31, 2020, along with the valuation techniques used, are shown in the following table: Level 3 Asset (Liability) Valuation Technique Significant Unobservable Input Range (Weighted-Average) (b), (c) dollars in millions June 30, 2021 December 31, 2020 June 30, 2021 December 31, 2020 Recurring Securities available-for-sale: Other securities $ 22 13 Discounted cash flows Discount rate N/A (16.61%) N/A (15.09%) Marketability discount N/A (30.00%) N/A (30.00%) Volatility factor N/A (55.00%) N/A (44.00%) Other investments: (a) Equity investments Direct 9 13 Discounted cash flows Discount rate N/A (14.15%) 13.90 - 17.04% (15.47%) Marketability discount N/A N/A (30.00%) Volatility factor N/A N/A (52.00%) Loans, net of unearned income (residential) 11 11 Market comparable pricing Comparability factor 80.88 - 98.37% (94.96%) 64.50-99.04% (94.17%) Derivative instruments: Interest rate 35 56 Discounted cash flows Probability of default .02 - 100% (7.50%) .02 - 100% (7.90%) Internal risk rating 1 - 19 (9.803) 1 - 19 (9.675) Loss given default 0 - 1 (.485) 0 - 1 (.483) Credit (assets) 1 1 Discounted cash flows Probability of default .02 - 100% (3.20%) .02 - 100% (4.70%) Internal risk rating 1 - 19 (9.331) 1 - 19 (10.478) Loss given default 0 - 1 (.491) 0 - 1 (.490) Credit (liabilities) (6) (11) Discounted cash flows Probability of default .02 - 100% (14.15%) .02 - 100% (15.45%) Internal risk rating 1 - 19 (8.546) 1 - 19 (8.555) Loss given default 0 - 1 (.429) 0 - 1 (.431) Other (d) 13 32 Discounted cash flows Loan closing rates 2.43 - 103.66% (86.92%) 36.95 - 99.68% (77.51%) Nonrecurring Collateral-dependent loans 36 108 Fair value of collateral Discount rate 0 - 100.00% (28.00%) 0 - 100.00% (36.00%) Accrued income and other assets: OREO and other Level 3 assets (e) 13 16 Appraised value Appraised value N/M N/M (a) Principal investments, direct is excluded from this table as the balance at June 30, 2021, and December 31, 2020, is insignificant (less than $1 million). (b) The weighted average of significant unobservable inputs is calculated using a weighting relative to fair value. (c) For significant unobservable inputs with no range, a single figure is reported to denote the single quantitative factor used. (d) Amounts represent interest rate lock commitments. (e) Excludes $88 million and $40 million pertaining to servicing assets at June 30, 2021, and December 31, 2020, respectively. Refer to Note 8 (“Mortgage Servicing Assets”) for significant unobservable inputs pertaining to these assets. Fair Value Disclosures of Financial Instruments The Levels in the fair value hierarchy ascribed to our financial instruments and the related carrying amounts at June 30, 2021, and December 31, 2020, are shown in the following tables. Assets and liabilities are further arranged by measurement category. June 30, 2021 Fair Value in millions Carrying Amount Level 1 Level 2 Level 3 Measured at NAV Netting Adjustment Total ASSETS (by measurement category) Fair value - net income Trading account assets (b) $ 851 $ — $ 851 — — — $ 851 Other investments (b) 635 11 — $ 551 $ 73 — 635 Loans, net of unearned income (residential) (d) 11 — — 11 — — 11 Loans held for sale (residential) (b) 231 — 231 — — — 231 Derivative assets - trading (b) 2,064 65 2,248 49 — $ (298) (f) 2,064 Fair value - OCI Securities available for sale (b) 34,638 — 34,616 22 — — 34,638 Derivative assets - hedging (b)(g) 96 — 49 — — 47 (f) 96 Amortized cost Held-to-maturity securities (c) 6,175 — 6,474 — — — 6,474 Loans, net of unearned income (d) 99,499 — — 99,283 — — 99,283 Loans held for sale (b) 1,306 — — 1,306 — — 1,306 Other Cash and other short-term investments (a) 21,252 21,252 — — — — 21,252 LIABILITIES (by measurement category) Fair value - net income Derivative liabilities - trading (b) $ 152 $ 62 $ 1,511 7 — $ (1,428) (f) $ 152 Fair value - OCI Derivative liabilities - hedging (b)(g) 17 — 17 — — — (f) 17 Amortized cost Time deposits (e) 4,557 — 4,567 — — — 4,567 Short-term borrowings (a) 934 211 723 — — — 934 Long-term debt (e) 13,211 13,172 723 — — — 13,895 Other Deposits with no stated maturity (a) 141,515 — 141,515 — — — 141,515 December 31, 2020 Fair Value in millions Carrying Amount Level 1 Level 2 Level 3 Measured at NAV Netting Adjustment Total ASSETS (by measurement category) Fair value - net income Trading account assets (b) $ 735 — $ 735 — — — $ 735 Other investments (b) 621 — — $ 555 $ 66 — 621 Loans, net of unearned income (residential) (d) 11 — — 11 — — 11 Loans held for sale (residential) (b) 264 — 264 — — — 264 Derivative assets - trading (b) 1,676 $ 78 1,939 91 — $ (433) (f) 1,675 Fair value - OCI Securities available for sale (b) 27,556 — 27,543 13 — — 27,556 Derivative assets - hedging (b)(g) 123 — 70 — — 53 (f) 123 Amortized cost Held-to-maturity securities (c) 7,595 — 8,023 — — — 8,023 Loans, net of unearned income (d) 99,548 — — 98,946 — — 98,946 Loans held for sale (b) 1,319 — — 1,319 — — 1,319 Other Short-term investments - U.S. Treasury Bills (b) — — — — — — — Cash and other short-term investments (a) 17,285 17,285 — — — — 17,285 LIABILITIES (by measurement category) Fair value - net income Derivative liabilities - trading (b) $ 154 $ 72 $ 746 $ 11 — $ (675) (f) $ 154 Fair value - OCI Derivative liabilities - hedging (b)(g) (3) — (3) — — — (f) (3) Amortized cost Time deposits (e) 5,743 — 5,765 — — — 5,765 Short-term borrowings (a) 979 256 723 — — — 979 Long-term debt (e) 13,709 13,925 734 — — — 14,659 Other Deposits with no stated maturity (a) 129,539 — 129,539 — — — 129,539 Valuation Methods and Assumptions (a) Fair value equals or approximates carrying amount. The fair value of deposits with no stated maturity does not take into consideration the value ascribed to core deposit intangibles. (b) Information pertaining to our methodology for measuring the fair values of these assets and liabilities is included in the sections entitled “Qualitative Disclosures of Valuation Techniques” and “Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis” within our 2020 Form 10-K Note 6 (“Fair Value Measurements”). Investments accounted for under the cost method (or cost less impairment adjusted for observable price changes for certain equity investments) are classified as Level 3 assets. These investments are not actively traded in an open market as sales for these types of investments are rare. The carrying amount of the investments carried at cost are adjusted for declines in value if they are considered to be other-than-temporary (or due to observable orderly transactions of the same issuer for equity investments eligible for the cost less impairment measurement alternative). These adjustments are included in “other income” on the income statement. (c) Fair values of held-to-maturity securities are determined by using models that are based on security-specific details, as well as relevant industry and economic factors. The most significant of these inputs are quoted market prices, interest rate spreads on relevant benchmark securities, and certain prepayment assumptions. We review the valuations derived from the models to ensure that they are reasonable and consistent with the values placed on similar securities traded in the secondary markets. (d) The fair value of loans is based on the present value of the expected cash flows. The projected cash flows are based on the contractual terms of the loans, adjusted for prepayments and use of a discount rate based on the relative risk of the cash flows, taking into account the loan type, maturity of the loan, liquidity risk, servicing costs, and a required return on debt and capital. In addition, an incremental liquidity discount is applied to certain loans, using historical sales of loans during periods of similar economic conditions as a benchmark. The fair value of loans includes lease financing receivables at their aggregate carrying amount, which is equivalent to their fair value. (e) Fair values of time deposits and long-term debt are based on discounted cash flows utilizing relevant market inputs. (f) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The net basis takes into account the impact of bilateral collateral and master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related cash collateral. Total derivative assets and liabilities include these netting adjustments. (g) Derivative assets-hedging and derivative liabilities-hedging includes both cash flow and fair value hedges. Additional information regarding our accounting policies for cash flow and fair value hedges is provided in Note 1 (“1. Summary of Significant Accounting Policies”) under the heading “Derivatives and Hedging” beginning on page 114 of our 2020 Form 10-K. Discontinued assets — education lending business . Our discontinued assets include government-guaranteed and private education loans originated through our education lending business that was discontinued in September 2009. This portfolio consists of loans recorded at carrying value with appropriate valuation reserves, and loans in portfolio recorded at fair value. All of these loans were excluded from the table above as follows: • Loans at carrying value, net of allowance, of $636 million ($538 million at fair value) at June 30, 2021, and $674 million ($567 million at fair value) at December 31, 2020; • Portfolio loans at fair value of $2 million at June 30, 2021, and $2 million at December 31, 2020. These loans and securities are classified as Level 3 because we rely on unobservable inputs when determining fair value since observable market data is not available. |
Securities
Securities | 6 Months Ended |
Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | 6. Securities The amortized cost, unrealized gains and losses, and approximate fair value of our securities available for sale and held-to-maturity securities are presented in the following tables. Gross unrealized gains and losses represent the difference between the amortized cost and the fair value of securities on the balance sheet as of the dates indicated. Accordingly, the amount of these gains and losses may change in the future as market conditions change. June 30, 2021 December 31, 2020 in millions Amortized Cost (a) Gross Unrealized Gains Gross Unrealized Losses Fair Value Amortized Cost (b) Gross Unrealized Gains Gross Unrealized Losses Fair Value SECURITIES AVAILABLE FOR SALE U.S. Treasury, agencies, and corporations $ 4,900 — $ 14 $ 4,886 $ 1,000 — — $ 1,000 Agency residential collateralized mortgage obligations 14,374 $ 209 209 14,374 14,001 $ 297 $ 25 14,273 Agency residential mortgage-backed securities 4,848 58 28 4,878 2,094 70 — 2,164 Agency commercial mortgage-backed securities 10,345 298 165 10,478 9,707 432 33 10,106 Other securities 8 14 22 8 5 — 13 Total securities available for sale $ 34,475 $ 579 $ 416 $ 34,638 $ 26,810 $ 804 $ 58 $ 27,556 HELD-TO-MATURITY SECURITIES Agency residential collateralized mortgage obligations $ 2,861 $ 91 — $ 2,952 $ 3,775 $ 124 — $ 3,899 Agency residential mortgage-backed securities 207 8 — 215 271 14 — 285 Agency commercial mortgage-backed securities 3,077 200 — 3,277 3,515 290 — 3,805 Asset-backed securities 14 — — 14 19 — — 19 Other securities 16 — — 16 15 — — 15 Total held-to-maturity securities $ 6,175 $ 299 — $ 6,474 $ 7,595 $ 428 $ — $ 8,023 (a) Amortized cost amounts exclude accrued interes t receivable which is recorded within Other Assets on the balance sheet. At June 30, 2021, accrued interest receivable on available for sale securities and held-to-maturity securities totaled $66 million and $13 million, respectively. (b) Amortized cost amounts exclude accrued interes t receivable which is recorded within Other Assets on the balance sheet. At December 31, 2020, accrued interest receivable on available for sale securities and held-to-maturity securities totaled $42 million and $15 million , respectively. The following table summarizes available for sale securities in an unrealized loss position for which an allowance for credit losses has not been recorded as of June 30, 2021, and December 31, 2020. Duration of Unrealized Loss Position Less than 12 Months 12 Months or Longer Total in millions Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses June 30, 2021 Securities available for sale: U.S Treasury, agencies, and corporations $ 4,886 $ 14 — — $ 4,886 $ 14 Agency residential collateralized mortgage obligations 6,366 207 $ 97 $ 2 6,463 209 Agency residential mortgage-backed securities 2,644 28 6 — (a) 2,650 28 Agency commercial mortgage-backed securities 5,421 165 — — 5,421 165 Held-to-maturity securities: Asset-backed securities 9 — (a) 1 — 10 — Other securities 3 — (a) — — (a) 3 — Total securities in an unrealized loss position $ 19,329 $ 414 $ 104 $ 2 $ 19,433 $ 416 December 31, 2020 Securities available for sale: Agency residential collateralized mortgage obligations $ 2,110 $ 25 — — $ 2,110 $ 25 Agency residential mortgage-backed securities 6 — (b) $ 5 — (b) 11 — Agency commercial mortgage-backed securities 2,709 33 — — 2,709 33 Held-to-maturity securities: Agency residential collateralized mortgage obligations — — 24 — (b) 24 — Other securities 5 — (b) — — 5 — Total securities in an unrealized loss position $ 4,830 $ 58 $ 29 — $ 4,859 $ 58 (a) At June 30, 2021, gross unrealized losses totaled less than $1 million for asset-backed securities and other securities held-to-maturity with a loss duration of less than 12 months and asset-backed securities held-to-maturity with a loss duration of 12 months or longer. At June 30, 2021, gross unrealized losses totaled less than $1 million for agency residential mortgage-backed securities available for sale with a loss duration greater than 12 months and other securities available for sale with a loss duration of less than 12 months and a loss duration greater than 12 months. (b) At December 31, 2020, gross unrealized losses totaled less than $1 million for agency residential mortgage-backed securities available for sale with a loss duration of less than 12 months and less than $1 million for other securities held-to-maturity with a loss duration of less than 12 months. At December 31, 2020, gross unrealized losses totaled less than $1 million for agency residential mortgage-backed securities available for sale with a loss duration greater than 12 months or longer and less than $1 million for agency residential collateralized mortgage obligations held to maturity with a loss duration greater than 12 months or longer. Based on our evaluation at June 30, 2021, an allowance for credit losses has not been recorded nor have unrealized losses been recognized into income. The issuers of the securities are of high credit quality and have a long history of no credit losses, management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery, and the decline in fair value is largely attributed to changes in interest rates and other market conditions. The issuers continue to make timely principal and interest payments. At June 30, 2021, securities available for sale and held-to-maturity securities totaling $13.7 billion were pledged to secure securities sold under repurchase agreements, to secure public and trust deposits, to facilitate access to secured funding, and for other purposes required or permitted by law. The following table shows our securities by remaining maturity. CMOs and other mortgage-backed securities in the available for sale portfolio and held-to-maturity portfolio are presented based on their expected average lives. The remaining securities, in both the available-for-sale and held-to-maturity portfolios, are presented based on their remaining contractual maturity. Actual maturities may differ from expected or contractual maturities since borrowers have the right to prepay obligations with or without prepayment penalties. June 30, 2021 Securities Available for Sale Held to Maturity Securities in millions Amortized Cost Fair Value Amortized Cost Fair Value Due in one year or less $ 268 $ 284 $ 121 $ 122 Due after one through five years 15,505 15,821 3,934 4,085 Due after five through ten years 14,962 14,923 2,120 2,267 Due after ten years 3,740 3,610 — — Total $ 34,475 $ 34,638 $ 6,175 $ 6,474 |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 6 Months Ended |
Jun. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Activities | 7. Derivatives and Hedging Activities We are a party to various derivative instruments, mainly through our subsidiary, KeyBank. The primary derivatives that we use are interest rate swaps, caps, floors, and futures; foreign exchange contracts; commodity derivatives; and credit derivatives. Generally, these instruments help us manage exposure to interest rate risk, mitigate the credit risk inherent in our loan portfolio, hedge against changes in foreign currency exchange rates, and meet client financing and hedging needs. At June 30, 2021, after taking into account the effects of bilateral collateral and master netting agreements, we had $96 million of derivative assets and $15 million of derivative liabilities that relate to contracts entered into for hedging purposes. As of the same date, after taking into account the effects of bilateral collateral and master netting agreements and a reserve for potential future losses, we had derivative assets of $2.1 billion and derivative liabilities of $154 million that were not designated as hedging instruments. These positions are primarily comprised of derivative contracts entered into for client accommodation purposes. Additional information regarding our accounting policies for derivatives is provided in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Derivatives and Hedging” beginning on page 108 of our 2020 Form 10-K. Our derivative strategies and related risk management objectives are described in Note 8 (“Derivatives and Hedging Activities”) beginning on page 143 of our 2020 Form 10-K. Fair Values, Volume of Activity, and Gain/Loss Information Related to Derivative Instruments The following table summarizes the fair values of our derivative instruments on a gross and net basis as of June 30, 2021, and December 31, 2020. The derivative asset and liability balances are presented on a gross basis, prior to the application of bilateral collateral and master netting agreements, but after the variation margin payments with central clearing organizations have been applied as settlement, as applicable. Total derivative assets and liabilities are adjusted to take into account the impact of legally enforceable master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related cash collateral. Securities collateral related to legally enforceable master netting agreements is not offset on the balance sheet. Our derivative instruments are included in “accrued income and other assets” or “accrued expenses and other liabilities” on the balance sheet, as follows: June 30, 2021 December 31, 2020 Fair Value Fair Value in millions Notional Amount Derivative Assets Derivative Liabilities Notional Amount Derivative Assets Derivative Liabilities Derivatives designated as hedging instruments: Interest rate $ 34,017 $ 49 $ 17 $ 36,135 $ 70 $ (3) Derivatives not designated as hedging instruments: Interest rate 74,012 1,056 272 78,424 1,514 291 Foreign exchange 6,142 87 83 6,385 109 103 Commodity 12,928 1,198 1,205 9,702 426 408 Credit 366 1 8 423 1 11 Other (a) 4,022 20 12 4,951 58 16 Total 97,470 2,362 1,580 99,885 2,108 829 Netting adjustments (b) — (251) (1,428) — (380) (675) Net derivatives in the balance sheet 131,487 2,160 169 136,020 1,798 151 Other collateral (c) — (1) (38) — (2) (11) Net derivative amounts $ 131,487 $ 2,159 $ 131 $ 136,020 $ 1,796 $ 140 (a) Other derivatives include interest rate lock commitments and forward sale commitments related to our residential mortgage banking activities, forward purchase and sales contracts consisting of contractual commitments associated with “to be announced” securities and when-issued securities, and other customized derivative contracts. (b) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. (c) Other collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The other collateral consists of securities and is exchanged under bilateral collateral and master netting agreements that allow us to offset the net derivative position with the related collateral. The application of the other collateral cannot reduce the net derivative position below zero. Therefore, excess other collateral, if any, is not reflected above. Fair value hedges. During the six-month period ended June 30, 2021, we did not exclude any portion of fair value hedging instruments from the assessment of hedge effectiveness. The following tables summarize the amounts that were recorded on the balance sheet as of June 30, 2021, and December 31, 2020, related to cumulative basis adjustments for fair value hedges. June 30, 2021 in millions Balance sheet line item in which the hedge item is included Carrying amount of hedged item (a) Hedge accounting basis adjustment (b) Interest rate contracts Long-term debt $ 8,112 $ 242 Interest rate contracts Securities Available for Sale (c) 3,880 129 December 31, 2020 Balance sheet line item in which the hedge item is included Carrying amount of hedged item (a) Hedge accounting basis adjustment (b) Interest rate contracts Long-term debt $ 8,182 $ 416 Interest rate contracts Securities Available for Sale (c) 2,080 21 (a) The carrying amount represents the portion of the liability designated as the hedged item. (b) Basis adjustments related to de-designated hedged items that no longer qualify as fair value hedges reduced the hedge accounting basis adjustm ent by $8 million and $8 million at June 30, 2021, and December 31, 2020, respectively, (c) These amounts are designed as fair value hedges under the last-of-layer method. The carrying amount represents the amortized costs basis of the prepayable financial assets used to designate hedging relationships in which the hedged item is the las t layer expected to be remaining at the end of the relationship. At June 30, 2021, and December 31, 2020 , the amortized costs of the closed portfolios in these hedging relationships was $5.0 billion and $2.5 billion, respectively. Cash flow hedges. During the six-month period ended June 30, 2021, we did not exclude any portion of cash flow hedging instruments from the assessment of hedge effectiveness. Considering the interest rates, yield curves, and notional amounts as of June 30, 2021, we expect to reclassify an estimat ed $190 million of after -tax net gains on derivative instruments designated as cash flow hedges from AOCI to income during the next 12 months. In addition, we expect to reclassify approxima tely $19 million of net gains related to terminated cash flow hedges from AOCI to income during the next 12 months. As of June 30, 2021, the maximum length of time over which we hedge forecasted transac tions is 6.2 years . The following tables summarize the effect of fair value and cash flow hedge accounting on the income statement for the three- and six-month periods ended June 30, 2021, and June 30, 2020. Location and amount of net gains (losses) recognized in income on fair value and cash flow hedging relationships in millions Interest expense – long-term debt Interest income – loans Interest Income - securities Investment banking and debt placement fees Interest expense - deposits Other income Three months ended June 30, 2021 Total amounts presented in the consolidated statement of income $ (54) $ 888 $ 133 $ 217 $ (16) $ 13 Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items (31) — 158 — — — Recognized on derivatives designated as hedging instruments 62 — (159) — — — Net income (expense) recognized on fair value hedges $ 31 — $ (1) — — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (1) $ 85 $ — $ (1) — — Net income (expense) recognized on cash flow hedges $ (1) $ 85 — $ (1) — — Three months ended June 30, 2020 Total amounts presented in the consolidated statement of income $ (71) $ 980 $ 121 $ 156 $ (96) $ 33 Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items $ (5) — — — — — Recognized on derivatives designated as hedging instruments 39 — — — — — Net income (expense) recognized on fair value hedges $ 34 — — — — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (1) $ 90 — — — — Net income (expense) recognized on cash flow hedges $ (1) $ 90 — — — — Location and amount of net gains (losses) recognized in income on fair value and cash flow hedging relationships in millions Interest expense – long-term debt Interest income – loans Interest Income - Securities Investment banking and debt placement fees Interest expense - deposits Other income Six months ended June 30, 2021 Total amounts presented in the consolidated statement of income $ (114) $ 1,777 $ 263 $ 379 $ (37) $ 64 Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items 173 — (107) — — — Recognized on derivatives designated as hedging instruments (104) — 108 — — — Net income (expense) recognized on fair value hedges $ 69 — 1 — — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (2) $ 173 — 1 — — Net income (expense) recognized on cash flow hedges $ (2) $ 173 — $ 1 — — Six months ended June 30, 2020 Total amounts presented in the consolidated statement of income $ (161) $ 2,006 $ 250 $ 272 $ (265) $ (55) Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items $ (299) — — — $ — — Recognized on derivatives designated as hedging instruments 350 — — — — — Net income (expense) recognized on fair value hedges $ 51 — — — $ — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (2) $ 124 — — — — Net income (expense) recognized on cash flow hedges $ (2) $ 124 — — — — The following tables summarize the pre-tax net gains (losses) on our cash flow hedges for the three- and six-month periods ended June 30, 2021, and June 30, 2020, and where they are recorded on the income statement. The table includes net gains (losses) recognized in OCI during the period and net gains (losses) reclassified from OCI into income during the current period. in millions Net Gains (Losses) Recognized in OCI Income Statement Location of Net Gains (Losses) Reclassified From OCI Into Income Net Gains (Losses) Reclassified From OCI Into Income Three months ended June 30, 2021 Cash Flow Hedges Interest rate $ 61 Interest income — Loans $ 85 Interest rate (2) Interest expense — Long-term debt (1) Interest rate (4) Investment banking and debt placement fees (1) Total $ 55 $ 83 Three months ended June 30, 2020 Cash Flow Hedges Interest rate $ 62 Interest income — Loans $ 90 Interest rate (1) Interest expense — Long-term debt (1) Interest rate 10 Investment banking and debt placement fees — Total $ 71 $ (89) in millions Net Gains (Losses) Recognized in OCI Income Statement Location of Net Gains (Losses) Reclassified From OCI Into Income Net Gains (Losses) Reclassified From OCI Into Income (a) Six months ended June 30, 2021 Cash Flow Hedges Interest rate $ (142) Interest income — Loans $ 173 Interest rate 2 Interest expense — Long-term debt (2) Interest rate 5 Investment banking and debt placement fees 1 Net Investment Hedges Foreign exchange contracts — Other Income — Total $ (135) $ 172 Six months ended June 30, 2020 Cash Flow Hedges Interest rate $ 624 Interest income — Loans $ 124 Interest rate (6) Interest expense — Long-term debt (2) Interest rate (20) Investment banking and debt placement fees — Net Investment Hedges Foreign exchange contracts — Other Income — Total $ 598 $ 122 Nonhedging instruments The following table summarizes the pre-tax net gains (losses) on our derivatives that are not designated as hedging instruments for the three- and six-month periods ended June 30, 2021, and June 30, 2020, and where they are recorded on the income statement. Three months ended June 30, 2021 Three months ended June 30, 2020 in millions Corporate services income Consumer mortgage income Other income Total Corporate services income Consumer mortgage income Other income Total NET GAINS (LOSSES) Interest rate $ 5 — — $ 5 $ 7 — — $ 7 Foreign exchange 11 — — 11 8 — — 8 Commodity 4 — — 4 6 — — 6 Credit (1) — $ (9) (10) 6 — $ (13) (7) Other — $ 12 — 12 — $ 4 16 20 Total net gains (losses) $ 19 $ 12 $ (9) $ 22 $ 27 $ 4 $ 3 $ 34 Six months ended June 30, 2021 Six months ended June 30, 2020 in millions Corporate services income Consumer mortgage income Other income Total Corporate services income Consumer mortgage income Other income Total NET GAINS (LOSSES) Interest rate $ 11 — — $ 11 $ 18 $ — $ (9) $ 9 Foreign exchange 23 — — 23 20 — — 20 Commodity 8 — — 8 8 — — 8 Credit 4 — $ (18) (14) (10) — (12) (22) Other — $ 13 (22) (9) — 8 25 33 Total net gains (losses) $ 46 $ 13 $ (40) $ 19 $ 36 $ 8 $ 4 $ 48 Counterparty Credit Risk We hold collateral in the form of cash and highly rated securities issued by the U.S. Treasury, government-sponsored enterprises, or GNMA. Cash collateral of $63 million wa s netted against derivative assets on the balance sheet at June 30, 2021, compa red to $63 million of cash collateral netted against derivative assets at December 31, 2020. The cash collateral netted against derivative liabilities totaled $1 billion at June 30, 2021, and $232 million at December 31, 2020. Our means of mitigating and managing exposure to credit risk on derivative contracts is described in Note 8 (“Derivatives and Hedging Activities”) beginning on page 147 of our 2020 Form 10-K under the heading “Counterparty Credit Risk.” The following table summarizes the fair value of our derivative assets by type at the dates indicated. These assets represent our gross exposure to potential loss after taking into account the effects of bilateral collateral and master netting agreements and other means used to mitigate risk. in millions June 30, 2021 December 31, 2020 Interest rate $ 985 $ 1,448 Foreign exchange 46 52 Commodity 1,046 178 Credit — (1) Other 20 58 Derivative assets before collateral 2,097 1,735 Plus(Less): Related collateral 63 63 Total derivative assets $ 2,160 $ 1,798 We enter into derivative transactions with two primary groups: broker-dealers and banks, and clients. Given that these groups have different economic characteristics, we have different methods for managing counterparty credit exposure and credit risk. We enter into transactions with broker-dealers and banks for various risk management purposes. These types of transactions are primarily high dollar volume. We enter into bilateral collateral and master netting agreements with these counterparties. We clear certain types of derivative transactions with these counterparties, whereby central clearing organizations become the counterparties to our derivative contracts. In addition, we enter into derivative contracts through swap execution facilities. Swap clearing and swap execution facilities reduce our exposure to counterpa rty credit risk. At June 30, 2021, we had gross exposure of $152 million to broker-dealers and banks. We had net exposure of $177 million after the application of master netting agreements and cash collateral, where such qualifying agreements exist. We had net exposure of $174 million after considering $2 million of additional collateral held in the form of securities. We enter into transactions using master netting agreements with clients to accommodate their business needs. In most cases, we mitigate our credit exposure by cross-collateralizing these transactions to the underlying loan collateral. For transactions that are not clearable, we mitigate our market risk by buying and selling U.S. Treasuries and Eurodollar futures or entering into offsetting positions. Due to the cross-collateralization to the underlying loan, we typically do not exchange cash or marketable securities collateral in connection with these transactions. To address the risk of default associated with these contracts, we have established a CVA reserve (included in “accrued income and other assets”) in the amount of $30 million at June 30, 2021. The CVA is calculated from potential future exposures, expected recovery rates, and market-implied probabilities of default. At June 30, 2021, we had gross exposure of $2.1 billion to client counterparties and other entities that are not broker-dealers or banks for derivatives that have associated master netting agreements. We had net exposure of $2.0 billion on our derivatives with these counterparties after the application of master netting agreements, collateral, an d the related reserve. Credit Derivatives We are a buyer and, under limited circumstances, may be a seller of credit protection through the credit derivative market. We purchase credit derivatives to manage the credit risk associated with specific commercial lending and swap obligations as well as exposures to debt securities. Our credit derivative portfolio was in a net liability position of $7 million as of June 30, 2021, and $9 million as of December 31, 2020. Our credit derivative portfolio consists of traded credit default swap indices and risk participation agreements. Additional descriptions of our credit derivatives are provided in Note 8 (“Derivatives and Hedging Activities”) beginning on page 148 of our 2020 Form 10-K under the heading “Credit Derivatives.” The following table provides information on the types of credit derivatives sold by us and held on the balance sheet at June 30, 2021, and December 31, 2020. The notional amount represents the amount that the seller could be required to pay. The payment/performance risk shown in the table represents a weighted average of the default probabilities for all reference entities in the respective portfolios. These default probabilities are implied from observed credit indices in the credit default swap market, which are mapped to reference entities based on Key’s internal risk rating. June 30, 2021 December 31, 2020 dollars in millions Notional Amount Average Term (Years) Payment / Performance Risk Notional Amount Average Term (Years) Payment / Performance Risk Other $ 160 12.74 18.14 % $ 227 12.76 19.53 % Total credit derivatives sold $ 160 — — $ 227 — — Credit Risk Contingent Features We have entered into certain derivative contracts that require us to post collateral to the counterparties when these contracts are in a net liability position. The amount of collateral to be posted is based on the amount of the net liability and thresholds generally related to our long-term senior unsecured credit ratings with Moody’s and S&P. Collateral requirements also are based on minimum transfer amounts, which are specific to each Credit Support Annex (a component of the ISDA Master Agreement) that we have signed with the counterparties. In a limited number of instances, counterparties have the right to terminate their ISDA Master Agreements with us if our ratings fall below a certain lev el, usually investment-grade level (i.e., “Baa3” for Moody’s and “BBB-” for S&P). At June 30, 2021, KeyBank’s rating was “A3” with Moody’s and “A-” with S&P, and KeyCorp’s rating was “Baa1” with Moody’s and “BBB+” with S&P. As of June 30, 2021, the aggregate fair value of all derivative contracts with credit risk contingent features (i.e., those containing collateral posting or termination provisions based on our ratings) held by KeyBank that were in a net liability position totaled $1 billion, which was comprised of $95 million in derivative assets and $1.1 billion in derivative liabilities. We had $1 billion in cash and securities collateral posted to cover those positions as of June 30, 2021. There were no derivative contracts with credit risk contingent features held by KeyCorp at June 30, 2021. The following table summarizes the additional cash and securities collateral that KeyBank would have been required to deliver under the ISDA Master Agreements had the credit risk contingent features been triggered for the derivative contracts in a net liability position as of June 30, 2021, and December 31, 2020. The additional collateral amounts were calculated based on scenarios under which KeyBank’s ratings are downgraded one, two, or three ratings as of June 30, 2021, and December 31, 2020, and take into account all collateral already posted. A similar calculation was performed for Ke yCorp, and no addition al collateral would have been required as of June 30, 2021, and December 31, 2020. For more information about the credit ratings for KeyBank and KeyCorp, see the discussion under the heading “Factors affecting liquidity” in the section entitled “Liquidity risk management” in Item 2 of this report. June 30, 2021 December 31, 2020 in millions Moody’s S&P Moody’s S&P KeyBank’s long-term senior unsecured credit ratings A3 A- A3 A- One rating downgrade $ 1 $ 1 $ 1 $ 1 Two rating downgrades 2 2 1 1 Three rating downgrades 2 2 1 1 KeyBank’s long-term senior unsecured credit rating was four ratings above noninvestment grade at Moody’s and S&P as of June 30, 2021, and December 31, 2020. If Key Bank’s ratings had been downgraded below investment grade as of June 30, 2021, or December 31, 2020, payments of $3 million and $2 million, respectively, would have been required to either terminate the contracts or post additional collateral for th ose contracts in a net liability position, taking into account all collateral already posted. If KeyCorp’s ratings had been downgraded below investment grade as of June 30, 2021, or December 31, 2020, no payments would have been required to either terminate the contracts or post additional collateral for those contracts in a net liability position, taking into account all collateral already posted. |
Mortgage Servicing Assets
Mortgage Servicing Assets | 6 Months Ended |
Jun. 30, 2021 | |
Servicing Asset [Abstract] | |
Mortgage Servicing Assets | 8. Mortgage Servicing Assets We originate and periodically sell commercial and residential mortgage loans but continue to service those loans for the buyers. We also may purchase the right to service commercial mortgage loans for other lenders. We record a servicing asset if we purchase or retain the right to service loans in exchange for servicing fees that exceed the going market servicing rate and are considered more than adequate compensation for servicing. Additional information pertaining to the accounting for mortgage and other servicing assets is included in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Servicing Assets” beginning on page 115 of our 2020 Form 10-K. Commercial Changes in the carrying amount of commercial mortgage servicing assets are summarized as follows: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Balance at beginning of period $ 588 $ 543 $ 578 $ 539 Servicing retained from loan sales 28 53 57 77 Purchases 7 7 14 18 Amortization (30) (30) (59) (59) Temporary (impairments) recoveries 7 (8) 10 (10) Balance at end of period $ 600 $ 565 $ 600 $ 565 Fair value at end of period $ 704 $ 663 $ 704 $ 663 The fair value of commercial mortgage servicing assets is determined by calculating the present value of future cash flows associated with servicing the loans. This calculation uses a number of assumptions that are based on current market conditions. The range and weighted average of the significant unobservable inputs used to determine the fair value of our commercial mortgage servicing assets at June 30, 2021, and June 30, 2020, along with the valuation techniques, are shown in the following table: dollars in millions June 30, 2021 June 30, 2020 Valuation Technique Significant Unobservable Input Range Weighted Average Range Weighted Average Discounted cash flow Expected defaults 1.01 % 2.00 % 1.16 % 1.00 % 2.00 % 1.15 % Residual cash flows discount rate 7.48 % 10.53 % 9.24 % 6.97 % 16.16 % 9.42 % Escrow earn rate 1.14 % 1.26 % 1.19 % 0.78 % 2.25 % 1.66 % Loan assumption rate — % 1.73 % 1.43 % — % 3.37 % 1.32 % If these economic assumptions change or prove incorrect, the fair value of commercial mortgage servicing assets may also change. Expected credit losses, escrow earning rates, and discount rates are critical to the valuation of commercial mortgage servicing assets. Estimates of these assumptions are based on how a market participant would view the respective rates, and reflect historical data associated with the commercial mortgage loans, industry trends, and other considerations. Actual rates may differ from those estimated due to changes in a variety of economic factors. A decrease in the value assigned to the escrow earning rates would cause a decrease in the fair value of our commercial mortgage servicing assets. An increase in the assumed default rates of commercial mortgage loans or an increase in the assigned discount rates would cause a decrease in the fair value of our commercial mortgage servicing assets. Prepayment activity on commercial serviced loans does not significantly affect the valuation of our commercial mortgage servicing assets. Unlike residential mortgages, commercial mortgages experience significantly lower prepayments due to certain contractual restrictions affecting the borrower’s ability to prepay the mortgage. The amortization of commercial servicing assets is determined in proportion to, and over the period of, the estimated net servicing income. The amortization of commercial servicing assets for each period, as shown in the table at the beginning of this note, is recorded as a reduction to contractual fee income. The contractual fee income from servicing commercial mortgage loans totaled $128 million for the six-month period ended June 30, 2021, and $99 million for the six-month period ended June 30, 2020. This fee income was offset by $59 million of amortization for the six-month period ended June 30, 2021, and $59 million for the six-month period ended June 30, 2020. Both the contractual fee income and the amortization are recorded, net, in “commercial mortgage servicing fees” on the income statement. Residential Changes in the carrying amount of residential mortgage servicing assets are summarized as follows: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Balance at beginning of period $ 72 $ 40 $ 58 $ 46 Servicing retained from loan sales 12 8 23 13 Purchases — — — — Amortization (5) (3) (10) (5) Temporary (impairments) recoveries (2) 1 6 (8) Balance at end of period $ 77 $ 46 $ 77 $ 46 Fair value at end of period $ 81 $ 46 $ 81 $ 46 The fair value of mortgage servicing assets is determined by calculating the present value of future cash flows associated with servicing the loans. This calculation uses a number of assumptions that are based on current market conditions. The range and weighted-average of the significant unobservable inputs used to fair value our mortgage servicing assets at June 30, 2021, and June 30, 2020, along with the valuation techniques, are shown in the following table: June 30, 2021 June 30, 2020 Valuation Technique Significant Unobservable Input Range Weighted Average Range Weighted Average Discounted cash flow Prepayment speed 7.70 % 52.85 % 13.27 % 12.29 % 55.18 % 16.89 % Discount rate 7.50 % 8.60 % 7.54 % 7.55 % 9.27 % 7.64 % Servicing cost $62.00 5,125 70.00 $ 62.00 5,135 77.45 If these economic assumptions change or prove incorrect, the fair value of residential mortgage servicing assets may also change. Prepayment speed, discount rates, and servicing cost are critical to the valuation of residential mortgage servicing assets. Estimates of these assumptions are based on how a market participant would view the respective rates and reflect historical data associated with the residential mortgage loans, industry trends, and other considerations. Actual rates may differ from those estimated due to changes in a variety of economic factors. An increase in the prepayment speed would cause a decrease in the fair value of our residential mortgage servicing assets. An increase in the assigned discount rates and servicing cost assumptions would cause a decrease in the fair value of our residential mortgage servicing assets. The amortization of servicing assets for June 30, 2021, as shown in the table above, is recorded as a reduction to contractual fee income. The contractual fee income from servicing residential mortgage loans totaled $20 million for the six-month period ended June 30, 2021, and $14 million for the six-month period ended June 30, 2020. This fee income was offset by $10 million of amortization for the six-month period ended June 30, 2021, and $5 million for the six-month period ended June 30, 2020. Both the contractual fee income and the amortization are recorded, net, in “consumer mortgage income” on the income statement. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Leases | 9. Leases As a lessee, we enter into leases of land, buildings, and equipment. Our real estate leases primarily relate to bank branches and office space. The leases of equipment principally relate to technology assets for data processing and data storage. As a lessor, we primarily provide financing through our equipment leasing business. For more information on our leasing activity, see Note 10 (“Leases”) beginning on page 152 of our 2020 Form 10-K. Lessor Equipment Leasing Leases may have fixed or floating rate terms. Variable payments are based on an index or other specified rate and are included in rental payments. Certain leases contain an option to extend the lease term or the option to terminate at the discretion of the lessee. Under certain conditions, lease agreements may also contain the option for a lessee to purchase the underlying asset. Interest income from sales-type and direct financing leases is recognized in "interest income — loans" on the income statement. Income related to operating leases is recognized in “operating lease income and other leasing gains” on the income statement. The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 In April 2020, the FASB provided elections under which entities can choose to account for eligible rent concessions either by applying the modification accounting in ASC 842 or by applying an expedient to account for them outside |
Leases | 9. Leases As a lessee, we enter into leases of land, buildings, and equipment. Our real estate leases primarily relate to bank branches and office space. The leases of equipment principally relate to technology assets for data processing and data storage. As a lessor, we primarily provide financing through our equipment leasing business. For more information on our leasing activity, see Note 10 (“Leases”) beginning on page 152 of our 2020 Form 10-K. Lessor Equipment Leasing Leases may have fixed or floating rate terms. Variable payments are based on an index or other specified rate and are included in rental payments. Certain leases contain an option to extend the lease term or the option to terminate at the discretion of the lessee. Under certain conditions, lease agreements may also contain the option for a lessee to purchase the underlying asset. Interest income from sales-type and direct financing leases is recognized in "interest income — loans" on the income statement. Income related to operating leases is recognized in “operating lease income and other leasing gains” on the income statement. The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 In April 2020, the FASB provided elections under which entities can choose to account for eligible rent concessions either by applying the modification accounting in ASC 842 or by applying an expedient to account for them outside |
Leases | 9. Leases As a lessee, we enter into leases of land, buildings, and equipment. Our real estate leases primarily relate to bank branches and office space. The leases of equipment principally relate to technology assets for data processing and data storage. As a lessor, we primarily provide financing through our equipment leasing business. For more information on our leasing activity, see Note 10 (“Leases”) beginning on page 152 of our 2020 Form 10-K. Lessor Equipment Leasing Leases may have fixed or floating rate terms. Variable payments are based on an index or other specified rate and are included in rental payments. Certain leases contain an option to extend the lease term or the option to terminate at the discretion of the lessee. Under certain conditions, lease agreements may also contain the option for a lessee to purchase the underlying asset. Interest income from sales-type and direct financing leases is recognized in "interest income — loans" on the income statement. Income related to operating leases is recognized in “operating lease income and other leasing gains” on the income statement. The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 In April 2020, the FASB provided elections under which entities can choose to account for eligible rent concessions either by applying the modification accounting in ASC 842 or by applying an expedient to account for them outside |
Leases | 9. Leases As a lessee, we enter into leases of land, buildings, and equipment. Our real estate leases primarily relate to bank branches and office space. The leases of equipment principally relate to technology assets for data processing and data storage. As a lessor, we primarily provide financing through our equipment leasing business. For more information on our leasing activity, see Note 10 (“Leases”) beginning on page 152 of our 2020 Form 10-K. Lessor Equipment Leasing Leases may have fixed or floating rate terms. Variable payments are based on an index or other specified rate and are included in rental payments. Certain leases contain an option to extend the lease term or the option to terminate at the discretion of the lessee. Under certain conditions, lease agreements may also contain the option for a lessee to purchase the underlying asset. Interest income from sales-type and direct financing leases is recognized in "interest income — loans" on the income statement. Income related to operating leases is recognized in “operating lease income and other leasing gains” on the income statement. The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 In April 2020, the FASB provided elections under which entities can choose to account for eligible rent concessions either by applying the modification accounting in ASC 842 or by applying an expedient to account for them outside |
Leases | 9. Leases As a lessee, we enter into leases of land, buildings, and equipment. Our real estate leases primarily relate to bank branches and office space. The leases of equipment principally relate to technology assets for data processing and data storage. As a lessor, we primarily provide financing through our equipment leasing business. For more information on our leasing activity, see Note 10 (“Leases”) beginning on page 152 of our 2020 Form 10-K. Lessor Equipment Leasing Leases may have fixed or floating rate terms. Variable payments are based on an index or other specified rate and are included in rental payments. Certain leases contain an option to extend the lease term or the option to terminate at the discretion of the lessee. Under certain conditions, lease agreements may also contain the option for a lessee to purchase the underlying asset. Interest income from sales-type and direct financing leases is recognized in "interest income — loans" on the income statement. Income related to operating leases is recognized in “operating lease income and other leasing gains” on the income statement. The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 In April 2020, the FASB provided elections under which entities can choose to account for eligible rent concessions either by applying the modification accounting in ASC 842 or by applying an expedient to account for them outside |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | 10. Goodwill Our annual goodwill impairment testing is performed as of October 1 each year, or more frequently as events occur or circumstances change that would more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. A quantitative or qualitative testing approach may be used. Additional information pertaining to our accounting policy for goodwill and other intangible assets is summarized in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Goodwill and Other Intangible Assets” beginning on page 115 of our 2020 Form 10-K. The fair values of each reporting unit are estimated using a combination of market and income approaches. In our latest quantitative test as of September 30, 2020, the income approach, which was weighted at 75%, utilized discounted cash flow projections for each reporting unit. The market approach, which was weighted at 25%, consisted primarily of public company metrics but also considered recent transactions in the financial services industry. The carrying amounts of Key’s reporting units represent the combination of regulatory and economic equity for goodwill impairment testing and management reporting purposes. Changes in the carrying amount of goodwill by reporting segment are presented in the following table: in millions Consumer Bank Commercial Bank Total BALANCE AT JUNE 30, 2020 $ 1,752 $ 912 $ 2,664 BALANCE AT BALANCE AT DECEMBER 31, 2020 $ 1,752 $ 912 $ 2,664 AQN Strategies acquisition 9 — 9 BALANCE AT JUNE 30, 2021 $ 1,761 $ 912 $ 2,673 |
Variable Interest Entities
Variable Interest Entities | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | 11. Variable Interest Entities Our significant VIEs are summarized below. Additional information pertaining to the criteria used in determining if an entity is a VIE is included in Note 13 (“Variable Interest Entities “) beginning on page 156 of our 2020 Form 10-K. LIHTC investments. We had $1.5 billion and $1.4 billion of investments in LIHTC operating partnerships at June 30, 2021, and December 31, 2020, respectively. These investments are recorded in “accrued income and other assets” on our balance sheet. We do not have any loss reserves recorded related to these investments because we believe the likelihood of any loss to be remote. For all legally binding, unfunded equity commitments, we increase our recognized investment and recognize a liability. As of June 30, 2021, and December 31, 2020, we had liabilities of $538 million and $484 million, respectively, related to investments in qualified affordable housing projects, which are recorded in “accrued expenses and other liabilities” on our balance sheet. We continue to invest in these LIHTC operating partnerships. The assets and liabilities presented in the table below convey the size of KCDC’s direct and indirect investments at June 30, 2021, and December 31, 2020. As these investments represent unconsolidated VIEs, the assets and liabilities of the investments themselves are not recorded on our balance sheet. Additional information pertaining to our LIHTC investments is included in Note 13 (“Variable Interest Entities”) beginning on page 156 of our 2020 Form 10-K. Unconsolidated VIEs in millions Total Assets Total Liabilities Maximum Exposure to Loss June 30, 2021 LIHTC investments $ 6,599 $ 2,232 $ 1,885 December 31, 2020 LIHTC investments $ 6,914 $ 2,765 $ 1,823 We amortize our LIHTC investments over the period that we expect to receive the tax benefits. During the first six months of 2021, we recognized $99 million of amortization and $94 million of tax credits associated with these investments within “income taxes” on our income statement. During the first six months of 2020, we recognized $97 million of amortization and $90 million of tax credits associated with these investments within “income taxes” on our income statement. Principal investments. Our maximum exposure to loss associated with indirect principal investments consists of the investments’ fair value plus any unfunded equity commitments. The fair value of our indirect principal investments totaled $53 million and $53 million at June 30, 2021, and December 31, 2020, respectively. These investments are recorded in “other investments” on our balance sheet. The table below reflects the size of the private equity funds in which we were invested as well as our maximum exposure to loss in connection with these investments at June 30, 2021, and December 31, 2020. Unconsolidated VIEs in millions Total Assets Total Liabilities Maximum Exposure to Loss June 30, 2021 Indirect investments $ 10,828 $ 179 $ 66 December 31, 2020 Indirect investments $ 10,899 $ 168 $ 78 Through our principal investing entities, we have formed and funded operating entities that provide management and other related services to our investment company funds, which directly invest in portfolio companies. These entities had no assets at June 30, 2021, and December 31, 2020, that can be used to settle the entities’ obligations. The entities had no liabilities at June 30, 2021, and December 31, 2020, and other equity investors have no recourse to our general credit. Additional information on our indirect and direct principal investments is provided in Note 5 (“Fair Value Measurements”) and in Note 13 (“Variable Interest Entities “) beginning on page 156 of our 2020 Form 10-K. Other unconsolidated VIEs. We are involved with other various entities in the normal course of business which we have determined to be VIEs. We have determined that we are not the primary beneficiary of these VIEs because we do not have the power to direct the activities that most significantly impact their economic performance. Our assets associated with these unconsolidated VIEs totaled $369 million at June 30, 2021, and $351 million at December 31, 2020. These assets are recorded in “accrued income and other assets,” “other investments,” “securities available for sale,” and “loans, net of unearned income” on our balance sheet. We had liabilities totaling $1 million and $1 million associated with these unconsolidated VIEs at June 30, 2021, and December 31, 2020, respectively. Additional information pertaining to our other unconsolidated VIEs is included in Note 13 (“Variable Interest Entities“) under the heading “Other unconsolidated VIEs” on page 1 of our 2020 Form 10-K. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 12. Income Taxes Income Tax Provision In accordance with the applicable accounting guidance, the principal method established for computing the provision for income taxes in interim periods requires us to make our best estimate of the effective tax rate expected to be applicable for the full year. This estimated effective tax rate is then applied to interim consolidated pre-tax operating income to determine the interim provision for income taxes. The effective tax rate, which is the provision for income taxes as a percentage of income before income taxes, was 20.6% for the second quarter of 2021 and 14.0% for the second quarter of 2020. The effective tax rates are less than our combined federal and state statutory tax rate of 23.7%, primarily due to income from investments in tax- advantaged assets such as corporate-owned life insurance and credits associated with renewable energy and low-income housing investments. Deferred Taxes At June 30, 2021, we had a net deferred tax liability of $112 million, compared to a net deferred tax liability of $100 million at December 31, 2020, which are both included in “accrued expense and other liabilities” on the balance sheet. To determine the amount of deferred tax assets that are more likely than not to be realized, and therefore recorded, we conduct a quarterly assessment of all available evidence. This evidence includes, but is not limited to, taxable income in prior periods, projected future taxable income, and projected future reversals of deferred tax items. These assessments involve a degree of subjectivity and may undergo change. Based on these criteria, we had no valuation allowance at June 30, 2021, and December 31, 2020. Unrecognized Tax Benefits At June 30, 2021, Key’s unrecognized tax benefits were $55 million. As permitted under the applicable accounting guidance for income taxes, it is our policy to recognize interest and penalties related to unrecognized tax benefits in “income tax expense.” Pre-1988 Bank Reserves Acquired in a Business Combination Retained earnings of KeyBank included approximately $92 million of allocated bad debt deductions for which no income taxes have been recorded. Under current federal law, these reserves are subject to recapture into taxable income if KeyBank, or any successor, fails to maintain its bank status under the Internal Revenue Code or makes non-dividend distributions or distributions greater than its accumulated earnings and profits. No deferred tax liability has been established as these events are not expected to occur in the foreseeable future. |
Acquisitions and Discontinued O
Acquisitions and Discontinued Operations | 6 Months Ended |
Jun. 30, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions and Discontinued Operations | 13. Acquisition and Discontinued Operations Acquisitions Arbitria Quum Notitia, LLC (AQN Strategies). On February 25, 2021, KeyCorp acquired AQN Strategies, a diversified consulting practice, specializing in analytically driven strategies and solutions as it relates to bank transformations, credit and growth, and payments intelligence. The acquisition of AQN Strategies will advance Key’s analytics by adding senior talent and expertise directly aligned to Key’s focus areas. The acquisition was accounted for as a business combination. As a result, we recognized goodwill of $9 million. No other material assets were acquired or liabilities assumed as a result of the acquisition. Discontinued operations Discontinued operations primarily includes our government-guaranteed and private education lending business. At June 30, 2021, and December 31, 2020, approximately $636 million and $710 million, respectively, of education loans are included in discontinued assets on the Consolidated Balance Sheets. Net interest income after provision for credit losses for this business is not material and is included in income (loss) from discontinued operations, net of taxes on the Consolidated Statements of Income. |
Securities Financing Activities
Securities Financing Activities | 6 Months Ended |
Jun. 30, 2021 | |
Banking and Thrift, Other Disclosures [Abstract] | |
Securities Financing Activities | 14. Securities Financing Activities We enter into repurchase agreements to finance overnight customer sweep deposits. We also enter into repurchase and reverse repurchase agreements to settle other securities obligations. We account for these securities financing agreements as collateralized financing transactions. Repurchase and reverse repurchase agreements are recorded on the balance sheet at the amounts for which the securities will be subsequently sold or repurchased. Securities borrowed transactions are recorded on the balance sheet at the amounts of cash collateral advanced. While our securities financing agreements incorporate a right of set off, the assets and liabilities are reported on a gross basis. Reverse repurchase agreements and securities borrowed transactions are included in “short-term investments” on the Consolidated Balance Sheets; repurchase agreements are included in “federal funds purchased and securities sold under repurchase agreements.” Additional information regarding our securities financing activities, including risk management activities, is provided in Note 16 (“Securities Financing Activities”) beginning on page 160 of our 2020 Form 10-K. The following table summarizes our securities financing agreements at June 30, 2021, and December 31, 2020: June 30, 2021 December 31, 2020 in millions Gross Amount Presented in Balance Sheet Netting Adjustments (a) Collateral (b) Net Amounts Gross Amount Presented in Balance Sheet Netting Adjustments (a) Collateral (b) Net Amounts Offsetting of financial assets: Reverse repurchase agreements $ 5 $ (5) — — $ 6 $ (6) — — Securities borrowed 500 — (500) — 500 — $ (500) — Total $ 505 $ (5) (500) — $ 506 $ (6) $ (500) — Offsetting of financial liabilities: Repurchase agreements (c) $ 211 $ (5) $ (206) — $ 220 $ (6) $ (214) — Total $ 211 $ (5) $ (206) — $ 220 $ (6) $ (214) — (a) Netting adjustments take into account the impact of master netting agreements that allow us to settle with a single counterparty on a net basis. (b) These adjustments take into account the impact of bilateral collateral agreements that allow us to offset the net positions with the related collateral. The application of collateral cannot reduce the net position below zero. Therefore, excess collateral, if any, is not reflected above. (c) Repurchase agreements are collateralized by mortgaged-backed agency securities and are contracted on an overnight or continuous basis. As of June 30, 2021, the carrying amount of assets pledged as collateral against repurchase agreements totaled $301 million. Assets pledged as collateral are reported in “securities available for sale” and “held-to-maturity securities” on the Consolidated Balance Sheets. At June 30, 2021, the liabilities associated with collateral pledged were solely comprised of customer sweep financing activity and had a carrying value of $206 million. The collateral pledged under customer sweep repurchase agreements is posted to a third-party custodian and cannot be sold or repledged by the secured party. The risk related to a decline in the market value of collateral pledged is minimal given the collateral's high credit quality and the overnight duration of the repurchase agreements. |
Employee Benefits
Employee Benefits | 6 Months Ended |
Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |
Employee Benefits | 15. Employee Benefits Pension Plans The components of net pension cost (benefit) for all funded and unfunded plans are recorded in Other expense and are summarized in the following table. For more information on our Pension Plans and Other Postretirement Benefit Plans, see Note 18 (“Employee Benefits”) beginning on page 164 of our 2020 Form 10-K. Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Interest cost on PBO $ 6 $ 8 $ 12 $ 17 Expected return on plan assets (7) (9) (14) (19) Amortization of losses 4 4 9 8 Settlement loss — 4 — 8 Net pension cost $ 3 $ 7 $ 7 $ 14 |
Trust Preferred Securities Issu
Trust Preferred Securities Issued by Unconsolidated Subsidiaries | 6 Months Ended |
Jun. 30, 2021 | |
Banking and Thrift, Other Disclosures [Abstract] | |
Trust Preferred Securities Issued by Unconsolidated Subsidiaries | 16. Trust Preferred Securities Issued by Unconsolidated Subsidiaries We own the outstanding common stock of business trusts formed by us that issued corporation-obligated, mandatorily redeemable, trust preferred securities. The trusts used the proceeds from the issuance of their trust preferred securities and common stock to buy debentures issued by KeyCorp. These debentures are the trusts’ only assets; the interest payments from the debentures finance the distributions paid on the mandatorily redeemable trust preferred securities. The outstanding common stock of these business trusts is recorded in Other investments on the Consolidated Balance Sheets. We unconditionally guarantee the following payments or distributions on behalf of the trusts: • required distributions on the trust preferred securities; • the redemption price when a capital security is redeemed; and • the amounts due if a trust is liquidated or terminated. The Regulatory Capital Rules, discussed in “Supervision and regulation” in Item 2 of this report, require us to treat our mandatorily redeemable trust preferred securities as Tier 2 capital. The trust preferred securities, common stock, and related debentures are summarized as follows: dollars in millions Trust Preferred Securities, Net of Discount (a) Common Stock Principal Amount of Debentures, Net of Discount (b) Interest Rate of Trust Preferred Securities and Debentures (c) Maturity of Trust Preferred Securities and Debentures June 30, 2021 KeyCorp Capital I $ 156 $ 6 $ 162 0.942 % 2028 KeyCorp Capital II 138 4 142 6.875 2029 KeyCorp Capital III 106 4 110 7.750 2029 HNC Statutory Trust III 20 1 21 1.550 2035 Willow Grove Statutory Trust I 19 1 20 1.466 2036 HNC Statutory Trust IV 17 1 18 1.429 2037 Westbank Capital Trust II 8 — 8 2.325 2034 Westbank Capital Trust III 8 — 8 2.325 2034 Total $ 472 $ 17 $ 489 4.315 % — December 31, 2020 $ 483 $ 17 $ 500 4.464 % — (a) The trust preferred securities must be redeemed when the related debentures mature, or earlier if provided in the governing indenture. Each issue of trust preferred securities carries an interest rate identical to that of the related debenture. Certain trust preferred securities include basis adjustments related to fair value hedges totaling $59 million at June 30, 2021, and $70 million at December 31, 2020. See Note 7 (“Derivatives and Hedging Activities”) for an explanation of fair value hedges. (b) We have the right to redeem these debentures. If the debentures purchased by KeyCorp Capital I, HNC Statutory Trust III, Willow Grove Statutory Trust I, HNC Statutory Trust IV, Westbank Capital Trust II, or Westbank Capital Trust III are redeemed before they mature, the redemption price will be the principal amount, plus any accrued but unpaid interest. If the debentures purchased by KeyCorp Capital II or KeyCorp Capital III are redeemed before they mature, the redemption price will be the greater of: (i) the principal amount, plus any accrued but unpaid interest, or (ii) the sum of the present values of principal and interest payments discounted at the Treasury Rate (as defined in the applicable indenture), plus 20 basis points for KeyCorp Capital II or 25 basis points for KeyCorp Capital III, or 50 basis points in the case of redemption upon either a tax or a capital treatment event for either KeyCorp Capital II or KeyCorp Capital III, plus any accrued but unpaid interest. The principal amount of certain debentures includes basis adjustments related to fair value hedges totaling $59 million at June 30, 2021, and $70 million at December 31, 2020. See Note 7 (“Derivatives and Hedging Activities”) for an explanation of fair value hedges. The principal amount of debentures, net of discounts, is included in “long-term debt” on the balance sheet. (c) The interest rates for the trust preferred securities issued by KeyCorp Capital II and KeyCorp Capital III are fixed. The trust preferred securities issued by KeyCorp Capital I have a floating interest rate, equal to three-month LIBOR plus 74 basis points, that reprices quarterly. The trust preferred securities issued by HNC Statutory Trust III have a floating interest rate, equal to three-month LIBOR plus 140 basis points, that reprices quarterly. The trust preferred securities issued by Willow Grove Statutory Trust I have a floating interest rate, equal to three-month LIBOR plus 131 basis points, that reprices quarterly. The trust preferred securities issued by HNC Statutory Trust IV have a floating interest rate, equal to three-month LIBOR plus 128 basis points, that reprices quarterly. The trust preferred securities issued by Westbank Capital Trust II and Westbank Capital Trust III each have a floating interest rate, equal to three-month LIBOR plus 219 basis points, that reprices quarterly. The total interest rates are weighted-average rates. |
Contingent Liabilities and Guar
Contingent Liabilities and Guarantees | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingent Liabilities and Guarantees | 17. Contingent Liabilities and Guarantees Legal Proceedings Litigation. From time to time, in the ordinary course of business, we and our subsidiaries are subject to various litigation, investigations, and administrative proceedings. Private, civil litigation may range from individual actions involving a single plaintiff to putative class action lawsuits with potentially thousands of class members. Investigations may involve both formal and informal proceedings, by both government agencies and self-regulatory bodies. These matters may involve claims for substantial monetary relief. At times, these matters may present novel claims or legal theories. Due to the complex nature of these various other matters, it may be years before some matters are resolved. While it is impossible to ascertain the ultimate resolution or range of financial liability, based on information presently known to us, we do not believe there is any matter to which we are a party, or involving any of our properties that, individually or in the aggregate, would reasonably be expected to have a material adverse effect on our financial condition. We continually monitor and reassess the potential materiality of these litigation matters. We note, however, that in light of the inherent uncertainty in legal proceedings there can be no assurance that the ultimate resolution will not exceed established reserves. As a result, the outcome of a particular matter, or a combination of matters, may be material to our results of operations for a particular period, depending upon the size of the loss or our income for that particular period. Guarantees We are a guarantor in various agreements with third parties. The following table shows the types of guarantees that we had outstanding at June 30, 2021. Information pertaining to the basis for determining the liabilities recorded in connection with these guarantees is included in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Contingencies and Guarantees” beginning on page 116 of our 2020 Form 10-K. June 30, 2021 Maximum Potential Undiscounted Future Payments Liability Recorded in millions Financial guarantees: Standby letters of credit $ 3,304 $ 72 Recourse agreement with FNMA 5,999 24 Residential mortgage reserve 2,850 12 Written put options (a) 3,756 34 Total $ 15,909 $ 142 (a) The maximum potential undiscounted future payments represent notional amounts of derivatives qualifying as guarantees. We determine the payment/performance risk associated with each type of guarantee described below based on the probability that we could be required to make the maximum potential undiscounted future payments shown in the preceding table. We use a scale of low (0% to 30% probability of payment), moderate (greater than 30% to 70% probability of payment), or high (greater than 70% probability of payment) to assess the payment/performance risk, and have determined that the payment/performance risk associated with each type of guarantee outstanding at June 30, 2021, is low. Information pertaining to the nature of each of the guarantees listed below is included in Note 22 (“Commitments, Contingent Liabilities, and Guarantees”) under the heading “Guarantees” beginning on page 174 of our 2020 Form 10-K. Standby letters of credit. At June 30, 2021, our standby letters of credit had a remaining weighted-average life of 1.8 years, with remaining actual lives ranging from less than 1 year to as many as 13.4 years. Recourse agreement with FNMA. At June 30, 2021, the outstanding commercial mortgage loans in this program had a weighted-average remaining term of 7.7 years, and the unpaid principal balance outstanding of loans sold by us as a participant was $19.8 billion. The maximum potential amount of undiscounted future payments that we could be required to make under this program, as shown in the preceding table, is equal to approximately 30% of the principal balance of loans outstanding at June 30, 2021. FNMA delegates responsibility for originating, underwriting, and servicing mortgages, and we assume a limited portion of the risk of loss during the remaining term on each commercial mortgage loan that we sell to FNMA. We maintain a reserve for such potential losses in an amount that we believe approximates the fair value of our liability in addition to the expected credit loss for the guarantee as described in Note 4 (“Asset Quality“). Residential Mortgage Banking. At June 30, 2021, the unpaid principal balance outstanding of loans sold by us in this program was $9.4 billion. The maximum potential amount of undiscounted future payments that we could be required to make under this program, as shown in the preceding table, is equal to approximately 30% of the principal balance of loans outstanding at June 30, 2021. Our liability for estimated repurchase obligations on loans sold, which is included in Other liabilities on the Consolidated Balance Sheets, was $12 million at June 30, 2021. For more information on our residential mortgages, see Note 8 (“Mortgage Servicing Assets“). Written put options. At June 30, 2021, our written put options had an average life of 2.2 years. These written put options are accounted for as derivatives at fair value, as further discussed in Note 7 (“Derivatives and Hedging Activities”). Written put options where the counterparty is a broker-dealer or bank are accounted for as derivatives at fair value but are not considered guarantees since these counterparties typically do not hold the underlying instruments. In addition, we are a purchaser and seller of credit derivatives, which are further discussed in Note 7 (“Derivatives and Hedging Activities”). Other Off-Balance Sheet Risk Other off-balance sheet risk stems from financial instruments that do not meet the definition of a guarantee as specified in the applicable accounting guidance, and from other relationships. Additional information pertaining to types of other off-balance sheet risk is included in Note 22 (“Commitments, Contingent Liabilities, and Guarantees”) under the heading “Other Off-Balance Sheet Risk” on page 175 of our 2020 Form 10-K. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | 18. Accumulated Other Comprehensive Income Our changes in AOCI for the three and six months ended June 30, 2021, and June 30, 2020, are as follows: in millions Unrealized gains (losses) on securities available for sale Unrealized gains (losses) on derivative financial instruments Foreign currency translation adjustment Net pension and postretirement benefit costs Total Balance at December 31, 2020 $ 567 $ 476 — $ (305) $ 738 Other comprehensive income before reclassification, net of income taxes (443) (20) — (1) (464) Amounts reclassified from AOCI, net of income taxes (a) — (131) — 7 (124) Net current-period other comprehensive income, net of income taxes (443) (151) — 6 (588) Balance at June 30, 2021 $ 124 $ 325 — $ (299) $ 150 Balance at March 31, 2021 $ (61) $ 466 — $ (302) $ 103 Other comprehensive income before reclassification, net of income taxes 185 (78) — — 107 Amounts reclassified from AOCI, net of income taxes (a) — (63) — 3 (60) Net current-period other comprehensive income, net of income taxes 185 (141) — 3 47 Balance at June 30, 2021 $ 124 $ 325 — $ (299) $ 150 Balance at December 31, 2019 $ 115 $ 250 — $ (339) $ 26 Other comprehensive income before reclassification, net of income taxes 538 456 — — 994 Amounts reclassified from AOCI, net of income taxes (a) (3) (93) — 12 (84) Net current-period other comprehensive income, net of income taxes 535 363 — 12 910 Balance at June 30, 2020 $ 650 $ 613 — $ (327) $ 936 Balance at March 31, 2020 $ 520 $ 627 — $ (333) $ 814 Other comprehensive income before reclassification, net of income taxes 130 54 — — 184 Amounts reclassified from AOCI, net of income taxes (a) — (68) — 6 (62) Net current-period other comprehensive income, net of income taxes 130 (14) — 6 122 Balance at June 30, 2020 $ 650 $ 613 — $ (327) $ 936 (a) See table below for details about these reclassifications. Our reclassifications out of AOCI for the three and six months ended June 30, 2021, and June 30, 2020, are as follows: Three months ended June 30, Affected Line Item in the Statement Where Net Income is Presented in millions 2021 2020 Unrealized gains (losses) on derivative financial instruments Interest rate $ 85 $ 90 Interest income — Loans Interest rate (1) (1) Interest expense — Long-term debt Interest rate (1) — Investment banking and debt placement fees 83 89 Income (loss) from continuing operations before income taxes 20 21 Income taxes $ 63 $ 68 Income (loss) from continuing operations Net pension and postretirement benefit costs Amortization of losses $ (4) $ (4) Other expense Settlement loss — (4) Other expense (4) (8) Income (loss) from continuing operations before income taxes (1) (2) Income taxes $ (3) $ (6) Income (loss) from continuing operations Six months ended June 30, Affected Line Item in the Statement Where Net Income is Presented in millions 2021 2020 Unrealized gains (losses) on available for sale securities Realized gains — $ 4 Other income — 4 Income (loss) from continuing operations before income taxes — 1 Income taxes — $ 3 Income (loss) from continuing operations Unrealized gains (losses) on derivative financial instruments Interest rate $ 173 $ 124 Interest income — Loans Interest rate (2) (2) Interest expense — Long-term debt Interest rate 1 — Investment banking and debt placement fees 172 122 Income (loss) from continuing operations before income taxes 41 29 Income taxes $ 131 $ 93 Income (loss) from continuing operations Net pension and postretirement benefit costs Amortization of losses $ (9) $ (8) Other expense Settlement loss — (8) Other expense (9) (16) Income (loss) from continuing operations before income taxes (2) (4) Income taxes $ (7) $ (12) Income (loss) from continuing operations |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Shareholders' Equity | 19. Shareholders' Equity Comprehensive Capital Plan In July 2021, the Board of Directors authorized the repurchase of up to $1.5 billion of our Common Shares effective through the third quarter of 2022. In the second quarter of 2021, under our previous authorization pursuant to our 2020 capital plan, we completed $300 million of Common Share repurchases, including $299 million of Common Share repurchases in the open market and $1 million of Common Share repurchases related to employee equity compensation programs. Consistent with our 2020 capital plan, the Board declared a quarterly dividend of $.185 per Common Share for the second quarter of 2021. Common Share repurchases and Common Share dividends paid during the second quarter are consistent with the Federal Reserve’s second quarter capital distribution limitations. Preferred Stock Preferred stock series Amount outstanding (in millions) Shares authorized and outstanding Par value Liquidation preference Ownership interest per depositary share Liquidation preference per depositary share Second quarter 2021 dividends paid per depositary share Fixed-to-Floating Rate Perpetual Noncumulative Series D $ 525 21,000 $ 1 $ 25,000 1/25th $ 1,000 $ 12.50 Fixed-to-Floating Rate Perpetual Noncumulative Series E 500 500,000 1 1,000 1/40th 25 .382813 Fixed Rate Perpetual Noncumulative Series F 425 425,000 1 1,000 1/40th 25 .353125 Fixed Rate Perpetual Non-Cumulative Series G 450 450,000 1 1,000 1/40th 25 .351563 |
Business Segment Reporting
Business Segment Reporting | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
Business Segment Reporting | 20. Business Segment Reporting Consumer Bank The Consumer Bank serves individuals and small businesses throughout our 15-state branch footprint and through our Laurel Road digital brand by offering a variety of deposit and investment products, personal finance and financial wellness services, lending, student loan refinancing, mortgage and home equity,credit card, treasury services, and business advisory services. In addition, wealth management and investment services are offered to assist non-profit, and high-net-worth clients with their banking, trust, portfolio management, life insurance, charitable giving, and related needs. Commercial Bank The Commercial Bank is an aggregation of our Institutional and Commercial operating segments. The Commercial operating segment is a full-service corporate bank focused principally on serving the needs of middle market clients in seven industry sectors: consumer, energy, healthcare, industrial, public sector, real estate, and technology. The Commercial operating segment is also a significant servicer of commercial mortgage loans and a significant special servicer of CMBS. The Institutional operating segment delivers a broad suite of banking and capital markets products to its clients, including syndicated finance, debt and equity capital markets, commercial payments, equipment finance, commercial mortgage banking, derivatives, foreign exchange, financial advisory, and public finance. Other Other includes various corporate treasury activities such as management of our investment securities portfolio, long-term debt, short-term liquidity and funding activities, and balance sheet risk management, our principal investing unit, and various exit portfolios as well as reconciling items which primarily represents the unallocated portion of nonearning assets of corporate support functions. Charges related to the funding of these assets are part of net interest income and are allocated to the business segments through noninterest expense. Reconciling items also include intercompany eliminations and certain items that are not allocated to the business segments because they do not reflect their normal operations. The development and application of the methodologies that we use to allocate items among our business segments is a dynamic process. Accordingly, financial results may be revised periodically to reflect enhanced alignment of expense base allocations drivers, changes in the risk profile of a particular business, or changes in our organizational structure. The table below shows selected financial data for our business segments for the three- and six-month periods ended June 30, 2021, and June 30, 2020. Capital is assigned to each business segment based on a combination of regulatory and economic equity. Three months ended June 30, Consumer Bank Commercial Bank Other Total Key dollars in millions 2021 2020 2021 2020 2021 2020 2021 2020 SUMMARY OF OPERATIONS Net interest income (TE) $ 600 $ 589 $ 419 $ 458 $ 4 $ (22) $ 1,023 $ 1,025 Noninterest income 254 246 455 421 41 25 750 692 Total revenue (TE) (a) 854 835 874 879 45 3 1,773 1,717 Provision for credit losses (70) 155 (131) 326 (21) 1 (222) 482 Depreciation and amortization expense 22 20 33 37 35 34 90 91 Other noninterest expense 562 532 418 404 6 (14) 986 922 Income (loss) from continuing operations before income taxes (TE) 340 128 554 112 25 (18) 919 222 Allocated income taxes and TE adjustments 81 30 120 6 (6) 1 195 37 Income (loss) from continuing operations 259 98 434 106 31 (19) 724 185 Income (loss) from discontinued operations, net of taxes — — — — 5 2 5 2 Net income (loss) 259 98 434 106 36 (17) 729 187 Less: Net income (loss) attributable to noncontrolling interests — — — — — — — — Net income (loss) attributable to Key $ 259 $ 98 $ 434 $ 106 $ 36 $ (17) $ 729 $ 187 AVERAGE BALANCES (b) Loans and leases $ 40,598 $ 37,300 $ 59,953 $ 70,336 $ 263 $ 305 $ 100,814 $ 107,941 Total assets (a) 43,991 42,194 69,101 79,267 64,778 42,638 177,870 164,099 Deposits 88,412 79,235 54,814 47,954 1,096 788 144,322 127,977 OTHER FINANCIAL DATA Net loan charge-offs (b) $ 34 $ 39 $ 9 $ 57 $ (21) $ — $ 22 $ 96 Return on average allocated equity (b) 28.74 % 11.50 % 20.79 % 8.66 % 2.35 % (.82) % 16.81 % 4.21 % Return on average allocated equity 28.74 11.50 20.79 8.66 2.73 (.73) 16.93 4.25 Average full-time equivalent employees (c) 7,929 8,046 2,483 2,293 6,745 6,307 17,157 16,646 (a) Substantially all revenue generated by our major business segments is derived from clients that reside in the United States. Substantially all long-lived assets, including premises and equipment, capitalized software, and goodwill held by our major business segments, are located in the United States. (b) From continuing operations. (c) The number of average full-time equivalent employees was not adjusted for discontinued operations. Six months ended June 30, Consumer Bank Commercial Bank Other Total Key dollars in millions 2021 2020 2021 2020 2021 2020 2021 2020 SUMMARY OF OPERATIONS Net interest income (TE) $ 1,210 $ 1,172 $ 832 $ 881 $ (7) $ (39) $ 2,035 $ 2,014 Noninterest income 511 474 901 639 76 56 1,488 1,169 Total revenue (TE) (a) 1,721 1,646 1,733 1,520 69 17 3,523 3,183 Provision for credit losses (94) 292 (198) 547 (23) 2 (315) 841 Depreciation and amortization expense 40 41 67 73 73 68 180 182 Other noninterest expense 1,146 1,048 827 732 (6) (18) 1,967 1,762 Income (loss) from continuing operations before income taxes (TE) 629 265 1,037 168 25 (35) 1,691 398 Allocated income taxes and TE adjustments 150 61 218 (4) (19) 11 349 68 Income (loss) from continuing operations 479 204 819 172 44 (46) 1,342 330 Income (loss) from discontinued operations, net of taxes — — — — 9 3 9 3 Net income (loss) 479 204 819 172 53 (43) 1,351 333 Less: Net income (loss) attributable to noncontrolling interests — — — — — — — — Net income (loss) attributable to Key $ 479 $ 204 $ 819 $ 172 $ 53 (d) $ (43) $ 1,351 $ 333 AVERAGE BALANCES (b) Loans and leases $ 39,927 $ 35,242 $ 60,584 $ 66,430 $ 266 $ 386 $ 100,777 $ 102,058 Total assets (a) 43,237 39,310 69,771 75,547 62,063 40,307 175,071 155,164 Deposits 86,732 76,184 53,362 42,199 950 770 141,044 119,153 OTHER FINANCIAL DATA Net loan charge-offs (b) $ 70 $ 83 $ 87 $ 97 (21) — $ 136 $ 180 Return on average allocated equity (b) 27.46 % 12.07 % 19.10 % 7.13 % 1.66 % (1.01) % 15.45 % 3.80 % Return on average allocated equity 27.46 12.07 19.10 7.13 2.00 (.94) 15.55 3.84 Average full-time equivalent employees (c) 8,106 8,095 2,371 2,277 6,645 6,215 17,122 16,587 (a) Substantially all revenue generated by our major business segments is derived from clients that reside in the United States. Substantially all long-lived assets, including premises and equipment, capitalized software, and goodwill held by our major business segments, are located in the United States. (b) From continuing operations. (c) The number of average full-time equivalent employees was not adjusted for discontinued operations. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | 21. Revenue from Contracts with Customers The following table represents a disaggregation of revenue from contracts with customers, by business segment, for the three- and six-month periods ended June 30, 2021, and June 30, 2020. The development and application of the methodologies that we use to allocate items among our business segments is a dynamic process. Accordingly, financial results may be revised periodically to reflect enhanced alignment of expense base allocations drivers, changes in the risk profile of a particular business, or changes in our organizational structure. Three months ended June 30, 2021 Three months ended June 30, 2020 dollars in millions Consumer Bank Commercial Bank Total Contract Revenue Consumer Bank Commercial Bank Total Contract Revenue NONINTEREST INCOME Trust and investment services income $ 105 $ 15 $ 120 $ 87 $ 15 $ 102 Investment banking and debt placement fees — 121 121 — 60 60 Services charges on deposit accounts 48 34 82 38 30 68 Cards and payments income 47 64 111 37 52 89 Other noninterest income 2 — 2 2 — 2 Total revenue from contracts with customers $ 202 $ 234 $ 436 $ 164 $ 157 $ 321 Other noninterest income (a) $ 273 $ 346 Noninterest income from Other (b) 41 25 Total noninterest income $ 750 $ 692 (a) Noninterest income considered earned outside the scope of contracts with customers. (b) Other includes other segments that consists of corporate treasury, our principal investing unit, and various exit portfolios as well as reconciling items which primarily represents the unallocated portion of nonearning assets of corporate support functions. Charges related to the funding of these assets are part of net interest income and are allocated to the business segments through noninterest expense. Reconciling items also includes intercompany eliminations and certain items that are not allocated to the business segments because they do not reflect their normal operations. Refer to Note 20 (“Business Segment Reporting”) for more information. Six months ended June 30, 2021 Six months ended June 30, 2020 dollars in millions Consumer Bank Commercial Bank Total Contract Revenue Consumer Bank Commercial Bank Total Contract Revenue NONINTEREST INCOME Trust and investment services income $ 206 $ 34 $ 240 $ 179 $ 34 $ 213 Investment banking and debt placement fees — 202 202 — 107 107 Services charges on deposit accounts 88 68 156 94 58 152 Cards and payments income 88 126 214 75 78 153 Other noninterest income 4 1 5 4 — 4 Total revenue from contracts with customers $ 386 $ 431 $ 817 $ 352 $ 277 $ 629 Other noninterest income (a) $ 595 $ 484 Noninterest income from Other (b) 76 56 Total noninterest income $ 1,488 $ 1,169 (a) Noninterest income considered earned outside the scope of contracts with customers. (b) Other includes other segments that consists of corporate treasury, our principal investing unit, and various exit portfolios as well as reconciling items which primarily represents the unallocated portion of nonearning assets of corporate support functions. Charges related to the funding of these assets are part of net interest income and are allocated to the business segments through noninterest expense. Reconciling items also includes intercompany eliminations and certain items that are not allocated to the business segments because they do not reflect their normal operations. Refer to Note 20 (“Business Segment Reporting”) for more information. We had no material contract assets or contract liabilities as of June 30, 2021, and June 30, 2020. |
Basis of Presentation and Acc_2
Basis of Presentation and Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation | The consolidated financial statements include the accounts of KeyCorp and its subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Some previously reported amounts have been reclassified to conform to current reporting practices. The consolidated financial statements include any voting rights entities in which we have a controlling financial interest. In accordance with the applicable accounting guidance for consolidations, we consolidate a VIE if we have: (i) a variable interest in the entity; (ii) the power to direct activities of the VIE that most significantly affect the entity’s economic performance; and (iii) the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE (i.e., we are considered to be the primary beneficiary). Variable interests can include equity interests, subordinated debt, derivative contracts, leases, service agreements, guarantees, standby letters of credit, loan commitments, and other contracts, agreements, and financial instruments. See Note 11 (“Variable Interest Entities”) for information on our involvement with VIEs. We use the equity method to account for unconsolidated investments in voting rights entities or VIEs if we have significant influence over the entity’s operating and financing decisions (usually defined as a voting or economic interest of 20% to 50%, but not controlling). Unconsolidated investments in voting rights entities or VIEs in which we have a voting or economic interest of less than 20% are carried at the cost measurement alternative or at fair value. Investments held by our registered broker-dealer and investment company subsidiaries (principal investing entities and Real Estate Capital line of business) are carried at fair value. The unaudited consolidated interim financial statements reflect all adjustments of a normal recurring nature and disclosures that are necessary for a fair presentation of the results for the interim periods presented. The results of operations for the interim period are not necessarily indicative of the results of operations to be expected for the full year. The interim financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in our 2020 Form 10-K. |
Subsequent Events | In preparing these financial statements, subsequent events were evaluated through the time the financial statements were issued. Financial statements are considered issued when they are widely distributed to all shareholders and other financial statement users or filed with the SEC. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Effective January 1, 2021, Key changed its approach for allocating equity to its reporting units. The carrying amounts of Key’s reporting units now represent the combination of regulatory and economic equity for goodwill impairment testing and management reporting purposes. The fair values of each reporting unit are estimated using a combination of market and income approaches. For more information, refer to Note 10 (“Goodwill”). |
Accounting Guidance Adopted in 2021 | Accounting Guidance Adopted in 2021 Standard Required Adoption Description Effect on Financial Statements or ASU 2019-12, January 1, 2021 This ASU simplifies the accounting for income Along with general improvements, it adds The guidance should be applied on either a The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2020-01, January 1, 2021 This guidance clarifies that when applying the It also clarifies that companies should not This guidance should be applied on prospective basis. The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2020-08, Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs January 1, 2021 This ASU clarifies that at each reporting period an entity should reevaluate whether a callable debt security is within the scope of ASC 310, which says that to the extent the amortized cost basis of an individual callable debt security exceeds the amount repayable by the issuer at the earliest call date, the premium shall be amortized to the earliest call date, unless prepayment guidance is applied. This guidance should be applied on a prospective basis. The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2021-01, Reference January 1, 2021 The ASU clarifies that certain optional expedients and exceptions related to contracts modified as a result of reference rate reform and hedge accounting apply to derivatives affected by the discounting transition, such as those that use an interest rate for margining, The guidance may be applied on a full retrospective basis as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020. Alternatively, it may be applied on a prospective basis to new modifications from any date within an interim period that includes or is subsequent to the date of the issuance of a final Update, until the financial statements are available to be issued. Key adopted this guidance on January 1, 2021, on a prospective basis and will assess the impact in conjunction with the reference rate transition as it occurs over the next two years. |
Basis of Presentation and Acc_3
Basis of Presentation and Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Standard Required Adoption Description Effect on Financial Statements or ASU 2019-12, January 1, 2021 This ASU simplifies the accounting for income Along with general improvements, it adds The guidance should be applied on either a The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2020-01, January 1, 2021 This guidance clarifies that when applying the It also clarifies that companies should not This guidance should be applied on prospective basis. The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2020-08, Codification Improvements to Subtopic 310-20, Receivables—Nonrefundable Fees and Other Costs January 1, 2021 This ASU clarifies that at each reporting period an entity should reevaluate whether a callable debt security is within the scope of ASC 310, which says that to the extent the amortized cost basis of an individual callable debt security exceeds the amount repayable by the issuer at the earliest call date, the premium shall be amortized to the earliest call date, unless prepayment guidance is applied. This guidance should be applied on a prospective basis. The adoption of this accounting guidance did not have a material effect on our financial condition or results of operations. ASU 2021-01, Reference January 1, 2021 The ASU clarifies that certain optional expedients and exceptions related to contracts modified as a result of reference rate reform and hedge accounting apply to derivatives affected by the discounting transition, such as those that use an interest rate for margining, The guidance may be applied on a full retrospective basis as of any date from the beginning of an interim period that includes or is subsequent to March 12, 2020. Alternatively, it may be applied on a prospective basis to new modifications from any date within an interim period that includes or is subsequent to the date of the issuance of a final Update, until the financial statements are available to be issued. Key adopted this guidance on January 1, 2021, on a prospective basis and will assess the impact in conjunction with the reference rate transition as it occurs over the next two years. |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Common Share | Our basic and diluted earnings per Common Share are calculated as follows: Three months ended June 30, Six months ended June 30, dollars in millions, except per share amounts 2021 2020 2021 2020 EARNINGS Income (loss) from continuing operations $ 724 $ 185 $ 1,342 $ 330 Less: Net income (loss) attributable to noncontrolling interests — — — — Income (loss) from continuing operations attributable to Key 724 185 1,342 330 Less: Dividends on Preferred Stock 26 26 53 53 Income (loss) from continuing operations attributable to Key common shareholders 698 159 1,289 277 Income (loss) from discontinued operations, net of taxes 5 2 9 3 Net income (loss) attributable to Key common shareholders $ 703 $ 161 $ 1,298 $ 280 WEIGHTED-AVERAGE COMMON SHARES Weighted-average Common Shares outstanding (000) 957,423 967,147 961,292 967,380 Effect of Common Share options and other stock awards 9,740 4,994 9,514 6,892 Weighted-average Common Shares and potential Common Shares outstanding (000) (a) 967,163 972,141 970,806 974,272 EARNINGS PER COMMON SHARE Income (loss) from continuing operations attributable to Key common shareholders $ .73 $ .16 $ 1.34 $ .29 Income (loss) from discontinued operations, net of taxes — — .01 — Net income (loss) attributable to Key common shareholders (b) .73 .17 1.35 .29 Income (loss) from continuing operations attributable to Key common shareholders — assuming dilution $ .72 $ .16 $ 1.33 $ .28 Income (loss) from discontinued operations, net of taxes — assuming dilution — — .01 — Net income (loss) attributable to Key common shareholders — assuming dilution (b) .73 .17 1.34 .29 (a) Assumes conversion of Common Share options and other stock awards and/or convertible preferred stock, as applicable. (b) EPS may not foot due to rounding. |
Loan Portfolio (Tables)
Loan Portfolio (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Loans Receivables [Abstract] | |
Loans by Category | in millions June 30, 2021 December 31, 2020 Commercial and industrial (b) $ 50,672 $ 52,907 Commercial real estate: Commercial mortgage 12,965 12,687 Construction 2,132 1,987 Total commercial real estate loans 15,097 14,674 Commercial lease financing (c) 4,061 4,399 Total commercial loans 69,830 71,980 Residential — prime loans: Real estate — residential mortgage 12,131 9,298 Home equity loans 9,047 9,360 Total residential — prime loans 21,178 18,658 Consumer direct loans 5,049 4,714 Credit cards 923 989 Consumer indirect loans 3,750 4,844 Total consumer loans 30,900 29,205 Total loans (d) $ 100,730 $ 101,185 (a) Accrued interest of $225 million and $241 million at June 30, 2021, and December 31, 2020, respectively, presented in "other assets" on the Consolidated Balance Sheets is excluded from the amortized cost basis disclosed in this table. (b) Loan balances include $135 million and $127 million of commercial credit card balances at June 30, 2021, and December 31, 2020, respectively. (c) Commercial lease financing includes receivables held as collateral for a secured borrowing of $19 million and $23 million at June 30, 2021, and December 31, 2020, respectively. Principal reductions are based on the cash payments received from these related receivables. Additional information pertaining to this secured borrowing is included in Note 20 (“Long-Term Debt”) beginning on page 171 of our 2020 Form 10-K. |
Asset Quality (Tables)
Asset Quality (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Credit Loss [Abstract] | |
Financing Receivable, Allowance for Credit Loss | The changes in the ALLL by loan category for the periods indicated are as follows: Three months ended June 30, 2021: in millions March 31, 2021 Provision Charge-offs Recoveries June 30, 2021 Commercial and Industrial $ 596 $ (88) $ (41) $ 32 $ 499 Commercial real estate: Real estate — commercial mortgage 256 (31) (4) 6 227 Real estate — construction 45 (10) — — 35 Total commercial real estate loans 301 (41) (4) 6 262 Commercial lease financing 40 (6) — — 34 Total commercial loans 937 (135) (45) 38 795 Real estate — residential mortgage 100 (13) (1) — 86 Home equity loans 157 (18) (4) 1 136 Consumer direct loans 126 (6) (7) 2 115 Credit cards 80 (6) (9) 3 68 Consumer indirect loans 38 (18) (5) 5 20 Total consumer loans 501 (61) (26) 11 425 Total ALLL — continuing operations 1,438 (196) (a) (71) 49 1,220 Discontinued operations 33 (2) (1) — 30 Total ALLL — including discontinued operations $ 1,471 $ (198) $ (72) $ 49 $ 1,250 (a) Excludes a credit for losses on lending-related commitments of $26 million. Three months ended June 30, 2020: in millions March 31, 2020 Provision Charge-offs Recoveries June 30, 2020 Commercial and Industrial $ 542 $ 249 $ (71) $ 5 $ 725 Commercial real estate: Real estate — commercial mortgage 207 87 (2) — 292 Real estate — construction 25 16 — — 41 Total commercial real estate loans 232 103 (2) — 333 Commercial lease financing 44 14 (4) 1 55 Total commercial loans 818 366 (77) 6 1,113 Real estate — residential mortgage 89 14 (2) — 101 Home equity loans 184 14 (2) 1 197 Consumer direct loans 116 22 (10) 2 130 Credit cards 104 13 (12) 2 107 Consumer indirect loans 48 16 (7) 3 60 Total consumer loans 541 79 (33) 8 595 Total ALLL — continuing operations 1,359 445 (a) (110) 14 1,708 Discontinued operations 43 — (2) 2 43 Total ALLL — including discontinued operations $ 1,402 $ 445 $ (112) $ 16 $ 1,751 (a) Excludes a provision for losses on lending-related commitments of $37 million. Six months ended June 30, 2021 in millions December 31, 2020 Provision Charge-offs Recoveries June 30, 2021 Commercial and Industrial $ 678 $ (105) $ (114) $ 40 $ 499 Commercial real estate: Real estate — commercial mortgage 327 (68) (39) 7 227 Real estate — construction 47 (12) — — 35 Total commercial real estate loans 374 (80) — — 262 Commercial lease financing 47 (10) (4) 1 34 Total commercial loans 1,099 (195) (157) 48 795 Real estate — residential mortgage 102 (16) (1) 1 86 Home equity loans 171 (31) (6) 2 136 Consumer direct loans 128 (2) (15) 4 115 Credit cards 87 (9) (15) 5 68 Consumer indirect loans 39 (17) (12) 10 20 Total consumer loans 527 (75) (49) 22 425 Total ALLL — continuing operations 1,626 (270) (a) (206) 70 1,220 Discontinued operations 36 (5) (2) 1 30 Total ALLL — including discontinued operations $ 1,662 $ (275) $ (208) $ 71 $ 1,250 (a) Excludes a credit for losses on lending-related commitm ents of $45 million Six months ended June 30, 2020 in millions Pre-ASC 326 Adoption December 31, 2019 Impact of ASC 326 Adoption January 1, 2020 Provision Charge-offs Recoveries June 30, 2020 Commercial and Industrial $ 551 $ (141) $ 410 $ 436 $ (131) $ 10 $ 725 Commercial real estate: Real estate — commercial mortgage 143 16 159 137 (5) 1 292 Real estate — construction 22 (7) 15 26 — — 41 Total commercial real estate loans 165 9 174 163 (5) 1 333 Commercial lease financing 35 8 43 17 (6) 1 55 Total commercial loans 751 (124) 627 616 (142) 12 1,113 Real estate — residential mortgage 7 77 84 19 (2) — 101 Home equity loans 31 147 178 22 (6) 3 197 Consumer direct loans 34 63 97 51 (22) 4 130 Credit cards 47 35 82 44 (23) 4 107 Consumer indirect loans 30 6 36 32 (16) 8 60 Total consumer loans 149 328 477 168 (69) 19 595 Total ALLL — continuing operations 900 204 1,104 784 (a) (211) 31 1,708 Discontinued operations 10 31 41 3 (4) 3 43 Total ALLL — including discontinued operations $ 910 $ 235 $ 1,145 $ 787 $ (215) $ 34 $ 1,751 (a) Excludes a provision for losses on lending-related commitments of $57 million. |
Significant Macroeconomic Variables of Loan Portfolios | The following table discloses key macroeconomic variables for each loan portfolio. Segment Portfolio Key Macroeconomic Variables (a) Commercial Commercial and industrial BBB corporate bond rate (spread), GDP, industrial production, and unemployment rate Commercial real estate BBB corporate bond rate (spread), property and real estate price indices, and unemployment rate Commercial lease financing BBB corporate bond rate (spread), GDP, and unemployment rate Consumer Real estate — residential mortgage GDP, home price index, unemployment rate, and 30 year mortgage rate Home equity Home price index, unemployment rate, and 30 year mortgage rate Consumer direct Unemployment rate and U.S. household income Consumer indirect New vehicle sales, used vehicle prices, and unemployment rate Credit cards Unemployment rate and U.S. household income Discontinued operations Unemployment rate (a) Variables include all transformations and interactions with other risk drivers. Additionally, variables may have varying impacts at different points in the economic cycle. |
Financing Receivable Credit Quality Indicators | Credit Risk Profile by Creditworthiness Category and Vintage (a) As of June 30, 2021 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and Internal Risk Rating in millions 2021 2020 2019 2018 2017 Prior Total Commercial and Industrial Risk Rating: Pass $ 6,763 $ 8,185 $ 4,542 $ 3,382 $ 2,124 $ 3,974 $ 19,061 $ 104 $ 48,135 Criticized (Accruing) 30 118 232 242 208 236 1,086 30 2,182 Criticized (Nonaccruing) 1 7 17 52 7 48 221 2 355 Total commercial and industrial 6,794 8,310 4,791 3,676 2,339 4,258 20,368 136 50,672 Real estate — commercial mortgage Risk Rating: Pass 1,678 1,415 2,703 1,371 786 3,254 716 46 11,969 Criticized (Accruing) 12 25 156 152 142 330 111 2 930 Criticized (Nonaccruing) — — 4 1 16 41 4 — 66 Total real estate — commercial mortgage 1,690 1,440 2,863 1,524 944 3,625 831 48 12,965 Real estate — construction Risk Rating: Pass 177 555 700 365 152 36 28 9 2,022 Criticized (Accruing) — 4 14 54 22 14 2 — 110 Criticized (Nonaccruing) — — — — — — — — — Total real estate — construction 177 559 714 419 174 50 30 9 2,132 Commercial lease financing Risk Rating: Pass 409 880 825 416 380 1,037 — — 3,947 Criticized (Accruing) — 19 40 17 23 8 — — 107 Criticized (Nonaccruing) — — 2 1 2 2 — — 7 Total commercial lease financing 409 899 867 434 405 1,047 — 4,061 Total commercial loans $ 9,070 $ 11,208 $ 9,235 $ 6,053 $ 3,862 $ 8,980 $ 21,229 $ 193 $ 69,830 As of December 31, 2020 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and Internal Risk Rating in millions 2020 2019 2018 2017 2016 Prior Total Commercial and Industrial Risk Rating: Pass $ 13,100 $ 5,487 $ 4,040 $ 2,617 $ 1,967 $ 2,709 $ 19,832 $ 118 $ 49,870 Criticized (Accruing) 66 198 174 236 150 279 1,527 22 2,652 Criticized (Nonaccruing) 8 27 71 28 17 7 226 1 385 Total commercial and industrial 13,174 5,712 4,285 2,881 2,134 2,995 21,585 141 52,907 Real estate — commercial mortgage Risk Rating: Pass 1,591 2,937 1,737 867 765 3,027 885 43 11,852 Criticized (Accruing) 12 142 81 145 72 255 22 2 731 Criticized (Nonaccruing) — 1 4 4 2 88 5 — 104 Total real estate — commercial mortgage 1,603 3,080 1,822 1,016 839 3,370 912 45 12,687 Real estate — construction Risk Rating: Pass 367 764 510 188 27 22 31 5 1,914 Criticized (Accruing) — 14 38 18 — 2 1 — 73 Criticized (Nonaccruing) — — — — — — — — — Total real estate — construction 367 778 548 206 27 24 32 5 1,987 Commercial lease financing Risk Rating: Pass 1,076 1,050 534 504 228 901 — — 4,293 Criticized (Accruing) 10 35 15 26 7 4 — — 97 Criticized (Nonaccruing) — 2 2 2 2 1 — — 9 Total commercial lease financing 1,086 1,087 551 532 237 906 — — 4,399 Total commercial loans $ 16,230 $ 10,657 $ 7,206 $ 4,635 $ 3,237 $ 7,295 $ 22,529 $ 191 $ 71,980 (a) Accrued interest of $127 million and $140 million as of June 30, 2021 and December 31, 2020, respectively, presented in Other Assets on the Consolidated Balance Sheets, was excluded from the amortized cost basis disclosed in these tables. Consumer Credit Exposure Credit Risk Profile by FICO Score and Vintage (a) As of June 30, 2021 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and FICO Score in millions 2021 2020 2019 2018 2017 Prior Total Real estate — residential mortgage FICO Score: 750 and above $ 3,871 $ 3,348 $ 1,106 $ 129 $ 173 $ 1,353 — — $ 9,980 660 to 749 743 462 201 54 37 363 — — 1,860 Less than 660 10 14 17 18 9 157 — — 225 No Score 18 1 2 2 4 39 — — 66 Total real estate — residential mortgage 4,642 3,825 1,326 203 223 1,912 — — 12,131 Home equity loans FICO Score: 750 and above 799 911 321 128 160 818 $ 2,426 $ 508 6,071 660 to 749 262 335 147 56 55 247 1,087 172 2,361 Less than 660 14 28 21 15 15 106 353 51 603 No Score — 2 2 1 — 2 4 1 12 Total home equity loans 1,075 1,276 491 200 230 1,173 3,870 732 9,047 Consumer direct loans FICO Score: 750 and above 867 1,457 688 90 24 120 112 — 3,358 660 to 749 251 383 220 58 15 48 224 — 1,199 Less than 660 10 20 28 14 4 12 64 — 152 No Score 31 44 36 14 12 22 181 — 340 Total consumer direct loans 1,159 1,904 972 176 55 202 581 — 5,049 Credit cards FICO Score: 750 and above — — — — — — 472 — 472 660 to 749 — — — — — — 372 — 372 Less than 660 — — — — — — 77 — 77 No Score — — — — — — 2 — 2 Total credit cards — — — — — — 923 — 923 Consumer indirect loans FICO Score: 750 and above 115 821 770 286 130 81 — — 2,203 660 to 749 — 496 416 163 63 54 — — 1,192 Less than 660 — 102 116 70 35 32 — — 355 No Score — — — — — — — — — Total consumer indirect loans 115 1,419 1,302 519 228 167 — — 3,750 Total consumer loans $ 6,991 $ 8,424 $ 4,091 $ 1,098 $ 736 $ 3,454 $ 5,374 $ 732 $ 30,900 As of December 31, 2020 Term Loans Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Amortized Cost Basis by Origination Year and FICO Score in millions 2020 2019 2018 2017 2016 Prior Total Real estate — residential mortgage FICO Score: 750 and above $ 3,595 $ 1,620 $ 194 $ 254 $ 537 $ 1,211 — — $ 7,411 660 to 749 710 284 76 48 100 332 — — 1,550 Less than 660 16 28 21 10 26 170 — — 271 No Score 1 2 2 7 2 52 — — 66 Total real estate — residential mortgage 4,322 1,934 293 319 665 1,765 — — 9,298 Home equity loans FICO Score: 750 and above 1,043 404 168 202 190 839 $ 2,689 $ 590 6,125 660 to 749 385 198 82 77 69 253 1,237 206 2,507 Less than 660 27 30 18 20 20 113 426 61 715 No Score 2 2 1 — — 2 5 1 13 Total home equity loans 1,457 634 269 299 279 1,207 4,357 858 9,360 Consumer direct loans FICO Score: 750 and above 1,840 883 115 32 16 57 119 — 3,062 660 to 749 479 268 80 22 14 33 254 1 1,151 Less than 660 23 37 21 8 5 10 81 — 185 No Score 65 35 21 21 10 11 153 — 316 Total consumer direct loans 2,407 1,223 237 83 45 111 607 1 4,714 Credit cards FICO Score: 750 and above — — — — — — 488 — 488 660 to 749 — — — — — — 407 — 407 Less than 660 — — — — — — 93 — 93 No Score — — — — — — 1 — 1 Total credit cards — — — — — — 989 — 989 Consumer indirect loans FICO Score: 750 and above 1,092 924 369 188 69 66 — — 2,708 660 to 749 653 558 232 97 36 47 — — 1,623 Less than 660 143 163 99 54 25 28 — — 512 No Score 1 — — — — — — — 1 Total consumer indirect loans 1,889 1,645 700 339 130 141 — — 4,844 Total consumer loans $ 10,075 $ 5,436 $ 1,499 $ 1,040 $ 1,119 $ 3,224 $ 5,953 $ 859 $ 29,205 (a) Accrued interest of $97 million and $101 million as of June 30, 2021 and December 31, 2020, respectively, presented in Other Assets on the Consolidated Balance Sheets, was excluded from the amortized cost basis disclosed in this table. |
Past Due Loans Including Current Loans | The following aging analysis of past due and current loans as of June 30, 2021, and December 31, 2020, provides further information regarding Key’s credit exposure. Aging Analysis of Loan Portfolio (a) June 30, 2021 Current 30-59 Days Past Due (b) 60-89 Days Past Due (b) 90 and Greater Days Past Due (b) Non-performing Total Past Total Loans (c) in millions LOAN TYPE Commercial and industrial $ 50,188 $ 71 $ 19 $ 39 $ 355 $ 484 $ 50,672 Commercial real estate: Commercial mortgage 12,865 12 7 15 66 100 12,965 Construction 2,131 — 1 — — 1 2,132 Total commercial real estate loans 14,996 12 8 15 66 101 15,097 Commercial lease financing 4,043 7 1 3 7 18 4,061 Total commercial loans $ 69,227 $ 90 $ 28 $ 57 $ 428 $ 603 $ 69,830 Real estate — residential mortgage $ 12,023 $ 7 $ 2 $ — $ 99 $ 108 $ 12,131 Home equity loans 8,861 23 10 7 146 186 9,047 Consumer direct loans 5,035 5 2 3 4 14 5,049 Credit cards 909 3 2 6 3 14 923 Consumer indirect loans 3,717 14 4 1 14 33 3,750 Total consumer loans $ 30,545 $ 52 $ 20 $ 17 $ 266 $ 355 $ 30,900 Total loans $ 99,772 $ 142 $ 48 $ 74 $ 694 $ 958 $ 100,730 (a) Amounts in table represent amortized cost and exclude loans held for sale. (b) Accrued interest of $225 million presented in Other Assets on the Consolidated Balance Sheets is excluded from the amortized cost basis disclosed in this table. (c) Net of unearned income, net of deferred fees and costs, and unamortized discounts and premiums. December 31, 2020 Current 30-59 Days Past Due (b) 60-89 Days Past Due (b) 90 and Greater Days Past Due (b) Non-performing Loans Total Past Due and Non-performing Loans Total Loans (c) in millions LOAN TYPE Commercial and industrial $ 52,396 $ 36 $ 50 $ 40 $ 385 $ 511 $ 52,907 Commercial real estate: Commercial mortgage 12,548 9 5 21 104 139 12,687 Construction 1,986 — — 1 — 1 1,987 Total commercial real estate loans 14,534 9 5 22 104 140 14,674 Commercial lease financing 4,369 21 1 — 8 30 4,399 Total commercial loans $ 71,299 $ 66 $ 56 $ 62 $ 497 $ 681 $ 71,980 Real estate — residential mortgage $ 9,173 $ 11 $ 3 $ 1 $ 110 $ 125 $ 9,298 Home equity loans 9,143 34 20 9 154 217 9,360 Consumer direct loans 4,694 7 4 4 5 20 4,714 Credit cards 972 5 3 7 2 17 989 Consumer indirect loans 4,792 25 7 3 17 52 4,844 Total consumer loans $ 28,774 $ 82 $ 37 $ 24 $ 288 $ 431 $ 29,205 Total loans $ 100,073 $ 148 $ 93 $ 86 $ 785 $ 1,112 $ 101,185 (a) Amounts in table represent amortized cost and exclude loans held for sale. (b) Accrued interest of $241 million presented in Other Assets on the Consolidated Balance Sheets is excluded from the amortized cost basis disclosed in this table. (c) Net of unearned income, net of deferred fees and costs, and unamortized discounts and premiums. |
Post-Modification Outstanding Recorded Investment by Concession Type for Our Commercial Accruing and Nonaccruing TDRs | The following table shows the post-modification outstanding recorded investment by concession type for our commercial and consumer accruing and nonaccruing TDRs that occurred during the periods indicated: Three Months Ended June 30, Six Months Ended June 30, in millions 2021 2020 2021 2020 Commercial loans: Extension of Maturity Date — $ 8 $ 26 $ 8 Payment or Covenant Modification/Deferment $ 16 — 23 — Bankruptcy Plan Modification — — — — Increase in new commitment or new money — 4 — 4 Total $ 16 $ 12 $ 49 $ 12 Consumer loans: Interest rate reduction $ 2 $ 1 $ 4 $ 9 Other 4 5 7 13 Total $ 6 $ 6 $ 11 $ 22 Total TDRs $ 22 $ 18 $ 60 $ 34 |
Summary Of Post-Modification Outstanding Recorded Investment, Accruing And Nonaccruing TDRs | The following table summarizes the change in the post-modification outstanding recorded investment of our accruing and nonaccruing TDRs during the periods indicated: Three Months Ended June 30, Six Months Ended June 30, in millions 2021 2020 2021 2020 Balance at beginning of the period $ 376 $ 340 $ 363 $ 347 Additions 22 22 81 39 Payments (60) (35) (81) (53) Charge-offs (4) (17) (29) (23) Balance at end of period $ 334 $ 310 $ 334 $ 310 |
Breakdown of Nonperforming TDRs by Loans Category | A further breakdown of TDRs included in nonperforming loans by loan category for the periods indicated are as follows: June 30, 2021 December 31, 2020 Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment dollars in millions LOAN TYPE Nonperforming: Commercial and industrial 41 $ 112 $ 65 66 $ 136 $ 92 Commercial real estate: Commercial mortgage 4 66 45 7 62 50 Total commercial real estate loans 4 66 45 7 62 50 Total commercial loans 45 178 110 73 198 142 Real estate — residential mortgage 214 25 23 258 35 34 Home equity loans 532 35 30 630 41 37 Consumer direct loans 200 3 3 212 3 3 Credit cards 291 2 2 356 2 2 Consumer indirect loans 735 13 9 861 15 11 Total consumer loans 1,972 78 67 2,317 96 87 Total nonperforming TDRs 2,017 256 177 2,390 294 229 Prior-year accruing: (a) Commercial and industrial 13 26 25 3 5 — Commercial real estate Commercial mortgage — — — — — — Total commercial real estate loans — — — — — — Total commercial loans 13 26 25 3 5 — Real estate — residential mortgage 480 40 34 485 37 31 Home equity loans 1,717 103 81 1,781 106 83 Consumer direct loans 200 5 2 163 4 3 Credit cards 598 4 1 536 3 1 Consumer indirect loans 705 26 14 775 29 16 Total consumer loans 3,700 178 132 3,740 179 134 Total prior-year accruing TDRs 3,713 204 157 3,743 184 134 Total TDRs 5,730 $ 460 $ 334 6,133 $ 478 $ 363 (a) All TDRs that were restructured prior to January 1, 2021, and January 1, 2020, are fully accruing. |
Changes in Liability for Credit Losses on Off-Balance Sheet Exposures | Changes in the liability for credit losses on off balance sheet exposures are summarized as follows: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Balance at the end of the prior period $ 178 $ 161 $ 197 $ 68 Liability for credit losses on contingent guarantees at the end of the prior period — — — 7 Cumulative effect from change in accounting principle (a), (b) — — — 66 Balance at beginning of period 178 161 197 141 Provision (credit) for losses on off balance sheet exposures (26) 37 (45) 57 Balance at end of period $ 152 $ 198 $ 152 $ 198 (a) The cumulative effect from change in accounting principle relates to the January 1, 2020, adoption of ASU 2016-13. (b) The six months ended June 30, 2020, amount exclud es $4 million related to the provision for other financial assets. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities Measured on Recurring Basis | The following tables present these assets and liabilities at June 30, 2021, and December 31, 2020. June 30, 2021 December 31, 2020 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total in millions ASSETS MEASURED ON A RECURRING BASIS Trading account assets: U.S. Treasury, agencies and corporations — $ 631 — $ 631 — $ 633 — $ 633 States and political subdivisions — 86 — 86 — 24 — 24 Other mortgage-backed securities — 106 — 106 — 47 — 47 Other securities — 13 — 13 — 13 — 13 Total trading account securities — 836 — 836 — 717 — 717 Commercial loans — 15 — 15 — 18 — 18 Total trading account assets — 851 — 851 — 735 — 735 Securities available for sale: U.S. Treasury, agencies and corporations — 4,886 — 4,886 — 1,000 — 1,000 States and political subdivisions — — — — — — — — Agency residential collateralized mortgage obligations — 14,374 — 14,374 — 14,273 — 14,273 Agency residential mortgage-backed securities — 4,878 — 4,878 — 2,164 — 2,164 Agency commercial mortgage-backed securities — 10,478 — 10,478 — 10,106 — 10,106 Other securities — — $ 22 22 — — $ 13 13 Total securities available for sale — 34,616 22 34,638 — 27,543 13 27,556 Other investments: Principal investments: Direct — — 1 1 — — 1 1 Indirect (measured at NAV) (a) — — — 53 — — — 53 Total principal investments — — 1 54 — — 1 54 Equity investments: Direct 11 — 9 20 — — 13 13 Direct (measured at NAV) (a) — — — 12 — — — 7 Indirect (measured at NAV) (a) — — — 7 — — — 7 Total equity investments 11 — 9 39 — — 13 27 Total other investments 11 — 10 93 — — 14 81 Loans, net of unearned income (residential) — — 11 11 — — 11 11 Loans held for sale (residential) — 231 — 231 — 264 — 264 Derivative assets: Interest rate — 1,070 35 1,105 — 1,528 56 1,584 Foreign exchange $ 65 22 — 87 $ 78 31 — 109 Commodity — 1,198 — 1,198 — 424 2 426 Credit — — 1 1 — — 1 1 Other — 7 13 20 — 26 32 58 Derivative assets 65 2,297 49 2,411 78 2,009 91 2,178 Netting adjustments (b) — — — (251) — — — (380) Total derivative assets 65 2,297 49 2,160 78 2,009 91 1,798 Accrued income and other assets — — — — — — — — Total assets on a recurring basis at fair value $ 76 $ 37,995 $ 92 $ 37,984 $ 78 $ 30,551 $ 129 $ 30,445 LIABILITIES MEASURED ON A RECURRING BASIS Bank notes and other short-term borrowings: Short positions $ 211 $ 512 — $ 723 $ 256 $ 503 — $ 759 Derivative liabilities: Interest rate — 289 — 289 — 288 — 288 Foreign exchange 62 21 — 83 72 31 — 103 Commodity — 1,205 — 1,205 — 408 — 408 Credit — 2 $ 6 8 — — $ 11 11 Other — 12 — 12 — 16 — 16 Derivative liabilities 62 1,529 6 1,597 72 743 11 826 Netting adjustments (b) — — — (1,428) — — — (675) Total derivative liabilities 62 1,529 6 169 72 743 11 151 Total liabilities on a recurring basis at fair value $ 273 $ 2,041 $ 6 $ 892 $ 328 $ 1,246 $ 11 $ 910 (a) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated balance sheet. (b) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The net basis takes into account the impact of bilateral collateral and master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related cash collateral. Total derivative assets and liabilities include these netting adjustments. |
Fair Value of Direct and Indirect Investments, Related Unfunded Commitments and Financial Support Provided | The following table presents the fair value of our direct and indirect principal investments and related unfunded commitments at June 30, 2021, as well as financial support provided for the three and six months ended June 30, 2021, and June 30, 2020. Financial support provided Three months ended June 30, Six months ended June 30, June 30, 2021 2021 2020 2021 2020 in millions Fair Value Unfunded Commitments Funded Commitments Funded Other Funded Commitments Funded Other Funded Commitments Funded Other Funded Commitments Funded Other INVESTMENT TYPE Direct investments $ 1 — — — — — — — — — Indirect investments (measured at NAV) (a) 53 $ 13 $ 2 — — — $ 4 — $ — — Total $ 54 $ 13 $ 2 — — — $ 4 — $ — — (a) Our indirect investments consist of buyout funds, venture capital funds, and fund of funds. These investments are generally not redeemable. Instead, distributions are received through the liquidation of the underlying investments of the fund. An investment in any one of these funds typically can be sold only with the approval of the fund’s general partners. At June 30, 2021, no significant liquidation of the underlying investments has been communicated to Key. The purpose of funding our capital commitments to these investments is to allow the funds to make additional follow-on investments and pay fund expenses until the fund dissolves. We, and all other investors in the fund, are obligated to fund the full amount of our respective capital commitments to the fund based on our and their respective ownership percentages, as noted in the applicable Limited Partnership Agreement. |
Change in Fair Values of Level 3 Financial Instruments | The following table shows the components of the change in the fair values of our Level 3 financial instruments measured at fair value on a recurring basis for the three and six months ended June 30, 2021, and June 30, 2020. in millions Beginning of Period Balance Gains (Losses) Included in Other Comprehensive Income Gains (Losses) Included in Earnings Purchases Sales Settlements Transfers Other Transfers into Level 3 Transfers out of Level 3 End of Period Balance Unrealized Gains (Losses) Included in Earnings Six months ended June 30, 2021 Securities available for sale Other securities $ 13 $ 9 — — — — — — — $ 22 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 13 — $ (1) — — — — — $ (3) 9 $ (1) Loans held for sale (residential) — — — — $ (1) — $ 1 — — — — Loans, net of unearned income (residential) 11 — — — (1) — 1 — — 11 — Derivative instruments (b) Interest rate 56 — (15) (c) $ 1 (7) — — $ 12 (d) (12) (d) 35 — Credit (10) — 5 (c) — — — — — — (5) — Other (e) 32 — (3) (c) — — — (16) — — 13 — Three months ended June 30, 2021 Securities available for sale Other securities $ 22 — — — — — — — — $ 22 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 9 — — — — — — — — 9 — Loans held for sale (residential) — — — — — — — — — — — Loans, net of unearned income (residential) 11 — — — — — — — — 11 — Derivative instruments (b) Interest rate 30 — $ 7 (c) $ — $ (2) — — $ 5 (d) $ (5) (d) 35 — Credit (5) — — — — — — (5) — Other (e) 6 — 1 (c) — — — $ 6 — — 13 — in millions Beginning of Period Balance Gains (Losses) Included in Other Comprehensive Income Gains (Losses) Included in Earnings Purchases Sales Settlements Transfers Other Transfers into Level 3 Transfers out of Level 3 End of Period Balance Unrealized Gains (Losses) Included in Earnings Six months ended June 30, 2020 Trading account assets Other mortgage-backed securities $ — $ — $ — $ — $ — $ — $ — $ 36 $ — $ 36 $ — Securities available for sale Other securities 11 1 — — — — — — — 12 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 12 — $ — — — — — — — 12 $ — Loans held for sale (residential) — — — — (10) — $ 10 — — — — Loans, net of unearned income (residential) 4 — — — $ (1) — 2 — — 5 — Derivative instruments (b) Interest rate 22 — 22 (c) 11 (1) — — $ 62 (d) $ (64) (d) 52 — Credit (8) — (10) (c) $ 1 — — — (17) — Other (e) 5 — — — — — 41 — — 46 — Three months ended June 30, 2020 Trading account assets Other mortgage-backed securities — — — $ — $ — $ — — $ 36 — $ 36 $ — Securities available for sale Other securities $ 9 $ 3 — — — — — — — 12 — Other investments Principal investments Direct (a) 1 — — — — — — — — 1 — Equity investments Direct (a) 10 $ 2 12 2 Loans held for sale (residential) 10 — — — $ (10) — — — — — — Loans, net of unearned income (residential) 3 — — — — — $ 2 — — 5 — Derivative instruments (b) Interest rate 96 3 (c) 7 (d) $ (54) (d) 52 Credit (23) — 6 (c) — — — — — — (17) — Other (e) 23 — — — — 23 — 46 — (a) Realized and unrealized gains and losses on principal investments and other equity investments are reported in “other income” on the income statement. (b) Amounts represent Level 3 derivative assets less Level 3 derivative liabilities. (c) Realized and unrealized gains and losses on derivative instruments are reported in “corporate services income” and “other income” on the income statement. (d) Certain instruments previously classified as Level 2 were transferred to Level 3 because Level 3 unobservable inputs became significant. Certain derivatives previously classified as Level 3 were transferred to Level 2 because Level 3 unobservable inputs became less significant. (e) Amounts represent Level 3 interest rate lock commitments. |
Assets and Liabilities Measured at Fair Value on Nonrecurring Basis | The following table presents our assets measured at fair value on a nonrecurring basis at June 30, 2021, and December 31, 2020: June 30, 2021 December 31, 2020 in millions Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total ASSETS MEASURED ON A NONRECURRING BASIS Collateral-dependent loans — — $ 36 $ 36 — — $ 108 $ 108 Accrued income and other assets — — 101 101 — $ — 56 56 Total assets on a nonrecurring basis at fair value — — $ 137 $ 137 — — $ 164 $ 164 |
Quantitative Information about Level 3 Fair Value Measurements | The range and weighted-average of the significant unobservable inputs used to fair value our material Level 3 recurring and nonrecurring assets at June 30, 2021, and December 31, 2020, along with the valuation techniques used, are shown in the following table: Level 3 Asset (Liability) Valuation Technique Significant Unobservable Input Range (Weighted-Average) (b), (c) dollars in millions June 30, 2021 December 31, 2020 June 30, 2021 December 31, 2020 Recurring Securities available-for-sale: Other securities $ 22 13 Discounted cash flows Discount rate N/A (16.61%) N/A (15.09%) Marketability discount N/A (30.00%) N/A (30.00%) Volatility factor N/A (55.00%) N/A (44.00%) Other investments: (a) Equity investments Direct 9 13 Discounted cash flows Discount rate N/A (14.15%) 13.90 - 17.04% (15.47%) Marketability discount N/A N/A (30.00%) Volatility factor N/A N/A (52.00%) Loans, net of unearned income (residential) 11 11 Market comparable pricing Comparability factor 80.88 - 98.37% (94.96%) 64.50-99.04% (94.17%) Derivative instruments: Interest rate 35 56 Discounted cash flows Probability of default .02 - 100% (7.50%) .02 - 100% (7.90%) Internal risk rating 1 - 19 (9.803) 1 - 19 (9.675) Loss given default 0 - 1 (.485) 0 - 1 (.483) Credit (assets) 1 1 Discounted cash flows Probability of default .02 - 100% (3.20%) .02 - 100% (4.70%) Internal risk rating 1 - 19 (9.331) 1 - 19 (10.478) Loss given default 0 - 1 (.491) 0 - 1 (.490) Credit (liabilities) (6) (11) Discounted cash flows Probability of default .02 - 100% (14.15%) .02 - 100% (15.45%) Internal risk rating 1 - 19 (8.546) 1 - 19 (8.555) Loss given default 0 - 1 (.429) 0 - 1 (.431) Other (d) 13 32 Discounted cash flows Loan closing rates 2.43 - 103.66% (86.92%) 36.95 - 99.68% (77.51%) Nonrecurring Collateral-dependent loans 36 108 Fair value of collateral Discount rate 0 - 100.00% (28.00%) 0 - 100.00% (36.00%) Accrued income and other assets: OREO and other Level 3 assets (e) 13 16 Appraised value Appraised value N/M N/M (a) Principal investments, direct is excluded from this table as the balance at June 30, 2021, and December 31, 2020, is insignificant (less than $1 million). (b) The weighted average of significant unobservable inputs is calculated using a weighting relative to fair value. (c) For significant unobservable inputs with no range, a single figure is reported to denote the single quantitative factor used. (d) Amounts represent interest rate lock commitments. (e) Excludes $88 million and $40 million pertaining to servicing assets at June 30, 2021, and December 31, 2020, respectively. Refer to Note 8 (“Mortgage Servicing Assets”) for significant unobservable inputs pertaining to these assets. |
Fair Value Disclosures of Financial Instruments | The Levels in the fair value hierarchy ascribed to our financial instruments and the related carrying amounts at June 30, 2021, and December 31, 2020, are shown in the following tables. Assets and liabilities are further arranged by measurement category. June 30, 2021 Fair Value in millions Carrying Amount Level 1 Level 2 Level 3 Measured at NAV Netting Adjustment Total ASSETS (by measurement category) Fair value - net income Trading account assets (b) $ 851 $ — $ 851 — — — $ 851 Other investments (b) 635 11 — $ 551 $ 73 — 635 Loans, net of unearned income (residential) (d) 11 — — 11 — — 11 Loans held for sale (residential) (b) 231 — 231 — — — 231 Derivative assets - trading (b) 2,064 65 2,248 49 — $ (298) (f) 2,064 Fair value - OCI Securities available for sale (b) 34,638 — 34,616 22 — — 34,638 Derivative assets - hedging (b)(g) 96 — 49 — — 47 (f) 96 Amortized cost Held-to-maturity securities (c) 6,175 — 6,474 — — — 6,474 Loans, net of unearned income (d) 99,499 — — 99,283 — — 99,283 Loans held for sale (b) 1,306 — — 1,306 — — 1,306 Other Cash and other short-term investments (a) 21,252 21,252 — — — — 21,252 LIABILITIES (by measurement category) Fair value - net income Derivative liabilities - trading (b) $ 152 $ 62 $ 1,511 7 — $ (1,428) (f) $ 152 Fair value - OCI Derivative liabilities - hedging (b)(g) 17 — 17 — — — (f) 17 Amortized cost Time deposits (e) 4,557 — 4,567 — — — 4,567 Short-term borrowings (a) 934 211 723 — — — 934 Long-term debt (e) 13,211 13,172 723 — — — 13,895 Other Deposits with no stated maturity (a) 141,515 — 141,515 — — — 141,515 December 31, 2020 Fair Value in millions Carrying Amount Level 1 Level 2 Level 3 Measured at NAV Netting Adjustment Total ASSETS (by measurement category) Fair value - net income Trading account assets (b) $ 735 — $ 735 — — — $ 735 Other investments (b) 621 — — $ 555 $ 66 — 621 Loans, net of unearned income (residential) (d) 11 — — 11 — — 11 Loans held for sale (residential) (b) 264 — 264 — — — 264 Derivative assets - trading (b) 1,676 $ 78 1,939 91 — $ (433) (f) 1,675 Fair value - OCI Securities available for sale (b) 27,556 — 27,543 13 — — 27,556 Derivative assets - hedging (b)(g) 123 — 70 — — 53 (f) 123 Amortized cost Held-to-maturity securities (c) 7,595 — 8,023 — — — 8,023 Loans, net of unearned income (d) 99,548 — — 98,946 — — 98,946 Loans held for sale (b) 1,319 — — 1,319 — — 1,319 Other Short-term investments - U.S. Treasury Bills (b) — — — — — — — Cash and other short-term investments (a) 17,285 17,285 — — — — 17,285 LIABILITIES (by measurement category) Fair value - net income Derivative liabilities - trading (b) $ 154 $ 72 $ 746 $ 11 — $ (675) (f) $ 154 Fair value - OCI Derivative liabilities - hedging (b)(g) (3) — (3) — — — (f) (3) Amortized cost Time deposits (e) 5,743 — 5,765 — — — 5,765 Short-term borrowings (a) 979 256 723 — — — 979 Long-term debt (e) 13,709 13,925 734 — — — 14,659 Other Deposits with no stated maturity (a) 129,539 — 129,539 — — — 129,539 Valuation Methods and Assumptions (a) Fair value equals or approximates carrying amount. The fair value of deposits with no stated maturity does not take into consideration the value ascribed to core deposit intangibles. (b) Information pertaining to our methodology for measuring the fair values of these assets and liabilities is included in the sections entitled “Qualitative Disclosures of Valuation Techniques” and “Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis” within our 2020 Form 10-K Note 6 (“Fair Value Measurements”). Investments accounted for under the cost method (or cost less impairment adjusted for observable price changes for certain equity investments) are classified as Level 3 assets. These investments are not actively traded in an open market as sales for these types of investments are rare. The carrying amount of the investments carried at cost are adjusted for declines in value if they are considered to be other-than-temporary (or due to observable orderly transactions of the same issuer for equity investments eligible for the cost less impairment measurement alternative). These adjustments are included in “other income” on the income statement. (c) Fair values of held-to-maturity securities are determined by using models that are based on security-specific details, as well as relevant industry and economic factors. The most significant of these inputs are quoted market prices, interest rate spreads on relevant benchmark securities, and certain prepayment assumptions. We review the valuations derived from the models to ensure that they are reasonable and consistent with the values placed on similar securities traded in the secondary markets. (d) The fair value of loans is based on the present value of the expected cash flows. The projected cash flows are based on the contractual terms of the loans, adjusted for prepayments and use of a discount rate based on the relative risk of the cash flows, taking into account the loan type, maturity of the loan, liquidity risk, servicing costs, and a required return on debt and capital. In addition, an incremental liquidity discount is applied to certain loans, using historical sales of loans during periods of similar economic conditions as a benchmark. The fair value of loans includes lease financing receivables at their aggregate carrying amount, which is equivalent to their fair value. (e) Fair values of time deposits and long-term debt are based on discounted cash flows utilizing relevant market inputs. (f) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The net basis takes into account the impact of bilateral collateral and master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related cash collateral. Total derivative assets and liabilities include these netting adjustments. (g) Derivative assets-hedging and derivative liabilities-hedging includes both cash flow and fair value hedges. Additional information regarding our accounting policies for cash flow and fair value hedges is provided in Note 1 (“1. Summary of Significant Accounting Policies”) under the heading “Derivatives and Hedging” beginning on page 114 of our 2020 Form 10-K. |
Securities (Tables)
Securities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Details of Securities | The amortized cost, unrealized gains and losses, and approximate fair value of our securities available for sale and held-to-maturity securities are presented in the following tables. Gross unrealized gains and losses represent the difference between the amortized cost and the fair value of securities on the balance sheet as of the dates indicated. Accordingly, the amount of these gains and losses may change in the future as market conditions change. June 30, 2021 December 31, 2020 in millions Amortized Cost (a) Gross Unrealized Gains Gross Unrealized Losses Fair Value Amortized Cost (b) Gross Unrealized Gains Gross Unrealized Losses Fair Value SECURITIES AVAILABLE FOR SALE U.S. Treasury, agencies, and corporations $ 4,900 — $ 14 $ 4,886 $ 1,000 — — $ 1,000 Agency residential collateralized mortgage obligations 14,374 $ 209 209 14,374 14,001 $ 297 $ 25 14,273 Agency residential mortgage-backed securities 4,848 58 28 4,878 2,094 70 — 2,164 Agency commercial mortgage-backed securities 10,345 298 165 10,478 9,707 432 33 10,106 Other securities 8 14 22 8 5 — 13 Total securities available for sale $ 34,475 $ 579 $ 416 $ 34,638 $ 26,810 $ 804 $ 58 $ 27,556 HELD-TO-MATURITY SECURITIES Agency residential collateralized mortgage obligations $ 2,861 $ 91 — $ 2,952 $ 3,775 $ 124 — $ 3,899 Agency residential mortgage-backed securities 207 8 — 215 271 14 — 285 Agency commercial mortgage-backed securities 3,077 200 — 3,277 3,515 290 — 3,805 Asset-backed securities 14 — — 14 19 — — 19 Other securities 16 — — 16 15 — — 15 Total held-to-maturity securities $ 6,175 $ 299 — $ 6,474 $ 7,595 $ 428 $ — $ 8,023 (a) Amortized cost amounts exclude accrued interes t receivable which is recorded within Other Assets on the balance sheet. At June 30, 2021, accrued interest receivable on available for sale securities and held-to-maturity securities totaled $66 million and $13 million, respectively. (b) Amortized cost amounts exclude accrued interes t receivable which is recorded within Other Assets on the balance sheet. At December 31, 2020, accrued interest receivable on available for sale securities and held-to-maturity securities totaled $42 million and $15 million , respectively. |
Schedule of Unrealized Loss on Investments | The following table summarizes available for sale securities in an unrealized loss position for which an allowance for credit losses has not been recorded as of June 30, 2021, and December 31, 2020. Duration of Unrealized Loss Position Less than 12 Months 12 Months or Longer Total in millions Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses June 30, 2021 Securities available for sale: U.S Treasury, agencies, and corporations $ 4,886 $ 14 — — $ 4,886 $ 14 Agency residential collateralized mortgage obligations 6,366 207 $ 97 $ 2 6,463 209 Agency residential mortgage-backed securities 2,644 28 6 — (a) 2,650 28 Agency commercial mortgage-backed securities 5,421 165 — — 5,421 165 Held-to-maturity securities: Asset-backed securities 9 — (a) 1 — 10 — Other securities 3 — (a) — — (a) 3 — Total securities in an unrealized loss position $ 19,329 $ 414 $ 104 $ 2 $ 19,433 $ 416 December 31, 2020 Securities available for sale: Agency residential collateralized mortgage obligations $ 2,110 $ 25 — — $ 2,110 $ 25 Agency residential mortgage-backed securities 6 — (b) $ 5 — (b) 11 — Agency commercial mortgage-backed securities 2,709 33 — — 2,709 33 Held-to-maturity securities: Agency residential collateralized mortgage obligations — — 24 — (b) 24 — Other securities 5 — (b) — — 5 — Total securities in an unrealized loss position $ 4,830 $ 58 $ 29 — $ 4,859 $ 58 (a) At June 30, 2021, gross unrealized losses totaled less than $1 million for asset-backed securities and other securities held-to-maturity with a loss duration of less than 12 months and asset-backed securities held-to-maturity with a loss duration of 12 months or longer. At June 30, 2021, gross unrealized losses totaled less than $1 million for agency residential mortgage-backed securities available for sale with a loss duration greater than 12 months and other securities available for sale with a loss duration of less than 12 months and a loss duration greater than 12 months. (b) At December 31, 2020, gross unrealized losses totaled less than $1 million for agency residential mortgage-backed securities available for sale with a loss duration of less than 12 months and less than $1 million for other securities held-to-maturity with a loss duration of less than 12 months. At December 31, 2020, gross unrealized losses totaled less than $1 million for agency residential mortgage-backed securities available for sale with a loss duration greater than 12 months or longer and less than $1 million for agency residential collateralized mortgage obligations held to maturity with a loss duration greater than 12 months or longer. |
Securities by Maturity | The following table shows our securities by remaining maturity. CMOs and other mortgage-backed securities in the available for sale portfolio and held-to-maturity portfolio are presented based on their expected average lives. The remaining securities, in both the available-for-sale and held-to-maturity portfolios, are presented based on their remaining contractual maturity. Actual maturities may differ from expected or contractual maturities since borrowers have the right to prepay obligations with or without prepayment penalties. June 30, 2021 Securities Available for Sale Held to Maturity Securities in millions Amortized Cost Fair Value Amortized Cost Fair Value Due in one year or less $ 268 $ 284 $ 121 $ 122 Due after one through five years 15,505 15,821 3,934 4,085 Due after five through ten years 14,962 14,923 2,120 2,267 Due after ten years 3,740 3,610 — — Total $ 34,475 $ 34,638 $ 6,175 $ 6,474 |
Derivatives and Hedging Activ_2
Derivatives and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Values, Volume of Activity and Gain (Loss) Information Related to Derivative Instruments | The following table summarizes the fair values of our derivative instruments on a gross and net basis as of June 30, 2021, and December 31, 2020. The derivative asset and liability balances are presented on a gross basis, prior to the application of bilateral collateral and master netting agreements, but after the variation margin payments with central clearing organizations have been applied as settlement, as applicable. Total derivative assets and liabilities are adjusted to take into account the impact of legally enforceable master netting agreements that allow us to settle all derivative contracts with a single counterparty on a net basis and to offset the net derivative position with the related cash collateral. Securities collateral related to legally enforceable master netting agreements is not offset on the balance sheet. Our derivative instruments are included in “accrued income and other assets” or “accrued expenses and other liabilities” on the balance sheet, as follows: June 30, 2021 December 31, 2020 Fair Value Fair Value in millions Notional Amount Derivative Assets Derivative Liabilities Notional Amount Derivative Assets Derivative Liabilities Derivatives designated as hedging instruments: Interest rate $ 34,017 $ 49 $ 17 $ 36,135 $ 70 $ (3) Derivatives not designated as hedging instruments: Interest rate 74,012 1,056 272 78,424 1,514 291 Foreign exchange 6,142 87 83 6,385 109 103 Commodity 12,928 1,198 1,205 9,702 426 408 Credit 366 1 8 423 1 11 Other (a) 4,022 20 12 4,951 58 16 Total 97,470 2,362 1,580 99,885 2,108 829 Netting adjustments (b) — (251) (1,428) — (380) (675) Net derivatives in the balance sheet 131,487 2,160 169 136,020 1,798 151 Other collateral (c) — (1) (38) — (2) (11) Net derivative amounts $ 131,487 $ 2,159 $ 131 $ 136,020 $ 1,796 $ 140 (a) Other derivatives include interest rate lock commitments and forward sale commitments related to our residential mortgage banking activities, forward purchase and sales contracts consisting of contractual commitments associated with “to be announced” securities and when-issued securities, and other customized derivative contracts. (b) Netting adjustments represent the amounts recorded to convert our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. (c) Other collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The other collateral consists of securities and is exchanged under bilateral collateral and master netting agreements that allow us to offset the net derivative position with the related collateral. The application of the other collateral cannot reduce the net derivative position below zero. Therefore, excess other collateral, if any, is not reflected above. |
Pre-Tax Net Gains (Losses) on Fair Value Hedges | The following tables summarize the amounts that were recorded on the balance sheet as of June 30, 2021, and December 31, 2020, related to cumulative basis adjustments for fair value hedges. June 30, 2021 in millions Balance sheet line item in which the hedge item is included Carrying amount of hedged item (a) Hedge accounting basis adjustment (b) Interest rate contracts Long-term debt $ 8,112 $ 242 Interest rate contracts Securities Available for Sale (c) 3,880 129 December 31, 2020 Balance sheet line item in which the hedge item is included Carrying amount of hedged item (a) Hedge accounting basis adjustment (b) Interest rate contracts Long-term debt $ 8,182 $ 416 Interest rate contracts Securities Available for Sale (c) 2,080 21 (a) The carrying amount represents the portion of the liability designated as the hedged item. (b) Basis adjustments related to de-designated hedged items that no longer qualify as fair value hedges reduced the hedge accounting basis adjustm ent by $8 million and $8 million at June 30, 2021, and December 31, 2020, respectively, (c) These amounts are designed as fair value hedges under the last-of-layer method. The carrying amount represents the amortized costs basis of the prepayable financial assets used to designate hedging relationships in which the hedged item is the las t layer expected to be remaining at the end of the relationship. At June 30, 2021, and December 31, 2020 |
Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position, Location | The following tables summarize the effect of fair value and cash flow hedge accounting on the income statement for the three- and six-month periods ended June 30, 2021, and June 30, 2020. Location and amount of net gains (losses) recognized in income on fair value and cash flow hedging relationships in millions Interest expense – long-term debt Interest income – loans Interest Income - securities Investment banking and debt placement fees Interest expense - deposits Other income Three months ended June 30, 2021 Total amounts presented in the consolidated statement of income $ (54) $ 888 $ 133 $ 217 $ (16) $ 13 Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items (31) — 158 — — — Recognized on derivatives designated as hedging instruments 62 — (159) — — — Net income (expense) recognized on fair value hedges $ 31 — $ (1) — — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (1) $ 85 $ — $ (1) — — Net income (expense) recognized on cash flow hedges $ (1) $ 85 — $ (1) — — Three months ended June 30, 2020 Total amounts presented in the consolidated statement of income $ (71) $ 980 $ 121 $ 156 $ (96) $ 33 Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items $ (5) — — — — — Recognized on derivatives designated as hedging instruments 39 — — — — — Net income (expense) recognized on fair value hedges $ 34 — — — — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (1) $ 90 — — — — Net income (expense) recognized on cash flow hedges $ (1) $ 90 — — — — Location and amount of net gains (losses) recognized in income on fair value and cash flow hedging relationships in millions Interest expense – long-term debt Interest income – loans Interest Income - Securities Investment banking and debt placement fees Interest expense - deposits Other income Six months ended June 30, 2021 Total amounts presented in the consolidated statement of income $ (114) $ 1,777 $ 263 $ 379 $ (37) $ 64 Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items 173 — (107) — — — Recognized on derivatives designated as hedging instruments (104) — 108 — — — Net income (expense) recognized on fair value hedges $ 69 — 1 — — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (2) $ 173 — 1 — — Net income (expense) recognized on cash flow hedges $ (2) $ 173 — $ 1 — — Six months ended June 30, 2020 Total amounts presented in the consolidated statement of income $ (161) $ 2,006 $ 250 $ 272 $ (265) $ (55) Net gains (losses) on fair value hedging relationships Interest contracts Recognized on hedged items $ (299) — — — $ — — Recognized on derivatives designated as hedging instruments 350 — — — — — Net income (expense) recognized on fair value hedges $ 51 — — — $ — — Net gain (loss) on cash flow hedging relationships Interest contracts Realized gains (losses) (pre-tax) reclassified from AOCI into net income $ (2) $ 124 — — — — Net income (expense) recognized on cash flow hedges $ (2) $ 124 — — — — |
Derivative Instrument Cash Flow Hedge Earning Recognized by Income Statement Location | The following tables summarize the pre-tax net gains (losses) on our cash flow hedges for the three- and six-month periods ended June 30, 2021, and June 30, 2020, and where they are recorded on the income statement. The table includes net gains (losses) recognized in OCI during the period and net gains (losses) reclassified from OCI into income during the current period. in millions Net Gains (Losses) Recognized in OCI Income Statement Location of Net Gains (Losses) Reclassified From OCI Into Income Net Gains (Losses) Reclassified From OCI Into Income Three months ended June 30, 2021 Cash Flow Hedges Interest rate $ 61 Interest income — Loans $ 85 Interest rate (2) Interest expense — Long-term debt (1) Interest rate (4) Investment banking and debt placement fees (1) Total $ 55 $ 83 Three months ended June 30, 2020 Cash Flow Hedges Interest rate $ 62 Interest income — Loans $ 90 Interest rate (1) Interest expense — Long-term debt (1) Interest rate 10 Investment banking and debt placement fees — Total $ 71 $ (89) in millions Net Gains (Losses) Recognized in OCI Income Statement Location of Net Gains (Losses) Reclassified From OCI Into Income Net Gains (Losses) Reclassified From OCI Into Income (a) Six months ended June 30, 2021 Cash Flow Hedges Interest rate $ (142) Interest income — Loans $ 173 Interest rate 2 Interest expense — Long-term debt (2) Interest rate 5 Investment banking and debt placement fees 1 Net Investment Hedges Foreign exchange contracts — Other Income — Total $ (135) $ 172 Six months ended June 30, 2020 Cash Flow Hedges Interest rate $ 624 Interest income — Loans $ 124 Interest rate (6) Interest expense — Long-term debt (2) Interest rate (20) Investment banking and debt placement fees — Net Investment Hedges Foreign exchange contracts — Other Income — Total $ 598 $ 122 |
Pre-Tax Net Gains (Losses) on Derivatives Not Designated as Hedging Instruments | The following table summarizes the pre-tax net gains (losses) on our derivatives that are not designated as hedging instruments for the three- and six-month periods ended June 30, 2021, and June 30, 2020, and where they are recorded on the income statement. Three months ended June 30, 2021 Three months ended June 30, 2020 in millions Corporate services income Consumer mortgage income Other income Total Corporate services income Consumer mortgage income Other income Total NET GAINS (LOSSES) Interest rate $ 5 — — $ 5 $ 7 — — $ 7 Foreign exchange 11 — — 11 8 — — 8 Commodity 4 — — 4 6 — — 6 Credit (1) — $ (9) (10) 6 — $ (13) (7) Other — $ 12 — 12 — $ 4 16 20 Total net gains (losses) $ 19 $ 12 $ (9) $ 22 $ 27 $ 4 $ 3 $ 34 Six months ended June 30, 2021 Six months ended June 30, 2020 in millions Corporate services income Consumer mortgage income Other income Total Corporate services income Consumer mortgage income Other income Total NET GAINS (LOSSES) Interest rate $ 11 — — $ 11 $ 18 $ — $ (9) $ 9 Foreign exchange 23 — — 23 20 — — 20 Commodity 8 — — 8 8 — — 8 Credit 4 — $ (18) (14) (10) — (12) (22) Other — $ 13 (22) (9) — 8 25 33 Total net gains (losses) $ 46 $ 13 $ (40) $ 19 $ 36 $ 8 $ 4 $ 48 |
Fair Value of Derivative Assets by Type | The following table summarizes the fair value of our derivative assets by type at the dates indicated. These assets represent our gross exposure to potential loss after taking into account the effects of bilateral collateral and master netting agreements and other means used to mitigate risk. in millions June 30, 2021 December 31, 2020 Interest rate $ 985 $ 1,448 Foreign exchange 46 52 Commodity 1,046 178 Credit — (1) Other 20 58 Derivative assets before collateral 2,097 1,735 Plus(Less): Related collateral 63 63 Total derivative assets $ 2,160 $ 1,798 |
Credit Derivatives Sold and Held | The following table provides information on the types of credit derivatives sold by us and held on the balance sheet at June 30, 2021, and December 31, 2020. The notional amount represents the amount that the seller could be required to pay. The payment/performance risk shown in the table represents a weighted average of the default probabilities for all reference entities in the respective portfolios. These default probabilities are implied from observed credit indices in the credit default swap market, which are mapped to reference entities based on Key’s internal risk rating. June 30, 2021 December 31, 2020 dollars in millions Notional Amount Average Term (Years) Payment / Performance Risk Notional Amount Average Term (Years) Payment / Performance Risk Other $ 160 12.74 18.14 % $ 227 12.76 19.53 % Total credit derivatives sold $ 160 — — $ 227 — — |
Credit Risk Contingent Feature | The following table summarizes the additional cash and securities collateral that KeyBank would have been required to deliver under the ISDA Master Agreements had the credit risk contingent features been triggered for the derivative contracts in a net liability position as of June 30, 2021, and December 31, 2020. The additional collateral amounts were calculated based on scenarios under which KeyBank’s ratings are downgraded one, two, or three ratings as of June 30, 2021, and December 31, 2020, and take into account all collateral already posted. A similar calculation was performed for Ke yCorp, and no addition al collateral would have been required as of June 30, 2021, and December 31, 2020. For more information about the credit ratings for KeyBank and KeyCorp, see the discussion under the heading “Factors affecting liquidity” in the section entitled “Liquidity risk management” in Item 2 of this report. June 30, 2021 December 31, 2020 in millions Moody’s S&P Moody’s S&P KeyBank’s long-term senior unsecured credit ratings A3 A- A3 A- One rating downgrade $ 1 $ 1 $ 1 $ 1 Two rating downgrades 2 2 1 1 Three rating downgrades 2 2 1 1 |
Mortgage Servicing Assets (Tabl
Mortgage Servicing Assets (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Servicing Asset [Abstract] | |
Changes in Carrying Amount of Mortgage Servicing Assets | Changes in the carrying amount of commercial mortgage servicing assets are summarized as follows: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Balance at beginning of period $ 588 $ 543 $ 578 $ 539 Servicing retained from loan sales 28 53 57 77 Purchases 7 7 14 18 Amortization (30) (30) (59) (59) Temporary (impairments) recoveries 7 (8) 10 (10) Balance at end of period $ 600 $ 565 $ 600 $ 565 Fair value at end of period $ 704 $ 663 $ 704 $ 663 Changes in the carrying amount of residential mortgage servicing assets are summarized as follows: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Balance at beginning of period $ 72 $ 40 $ 58 $ 46 Servicing retained from loan sales 12 8 23 13 Purchases — — — — Amortization (5) (3) (10) (5) Temporary (impairments) recoveries (2) 1 6 (8) Balance at end of period $ 77 $ 46 $ 77 $ 46 Fair value at end of period $ 81 $ 46 $ 81 $ 46 |
Schedule of Range and Weighted-Average of Significant Unobservable Inputs | The range and weighted average of the significant unobservable inputs used to determine the fair value of our commercial mortgage servicing assets at June 30, 2021, and June 30, 2020, along with the valuation techniques, are shown in the following table: dollars in millions June 30, 2021 June 30, 2020 Valuation Technique Significant Unobservable Input Range Weighted Average Range Weighted Average Discounted cash flow Expected defaults 1.01 % 2.00 % 1.16 % 1.00 % 2.00 % 1.15 % Residual cash flows discount rate 7.48 % 10.53 % 9.24 % 6.97 % 16.16 % 9.42 % Escrow earn rate 1.14 % 1.26 % 1.19 % 0.78 % 2.25 % 1.66 % Loan assumption rate — % 1.73 % 1.43 % — % 3.37 % 1.32 % June 30, 2021 June 30, 2020 Valuation Technique Significant Unobservable Input Range Weighted Average Range Weighted Average Discounted cash flow Prepayment speed 7.70 % 52.85 % 13.27 % 12.29 % 55.18 % 16.89 % Discount rate 7.50 % 8.60 % 7.54 % 7.55 % 9.27 % 7.64 % Servicing cost $62.00 5,125 70.00 $ 62.00 5,135 77.45 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Operating Lease, Lease Income | The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 |
Sales-type Lease, Lease Income | The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 |
Direct Financing Lease, Lease Income | The components of equipment leasing income are summarized in the table below: Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Sales-type and direct financing leases Interest income on lease receivable $ 23 $ 27 $ 46 $ 55 Interest income related to accretion of unguaranteed residual asset 1 3 3 6 Total sales-type and direct financing lease income 24 30 49 61 Operating leases Operating lease income related to lease payments 32 35 64 69 Other operating leasing gains 4 25 10 21 Total operating lease income and other leasing gains 36 60 74 90 Total lease income $ 60 $ 90 $ 123 $ 151 |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Changes in the carrying amount of goodwill by reporting segment are presented in the following table: in millions Consumer Bank Commercial Bank Total BALANCE AT JUNE 30, 2020 $ 1,752 $ 912 $ 2,664 BALANCE AT BALANCE AT DECEMBER 31, 2020 $ 1,752 $ 912 $ 2,664 AQN Strategies acquisition 9 — 9 BALANCE AT JUNE 30, 2021 $ 1,761 $ 912 $ 2,673 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities Information | The assets and liabilities presented in the table below convey the size of KCDC’s direct and indirect investments at June 30, 2021, and December 31, 2020. As these investments represent unconsolidated VIEs, the assets and liabilities of the investments themselves are not recorded on our balance sheet. Additional information pertaining to our LIHTC investments is included in Note 13 (“Variable Interest Entities”) beginning on page 156 of our 2020 Form 10-K. Unconsolidated VIEs in millions Total Assets Total Liabilities Maximum Exposure to Loss June 30, 2021 LIHTC investments $ 6,599 $ 2,232 $ 1,885 December 31, 2020 LIHTC investments $ 6,914 $ 2,765 $ 1,823 Unconsolidated VIEs in millions Total Assets Total Liabilities Maximum Exposure to Loss June 30, 2021 Indirect investments $ 10,828 $ 179 $ 66 December 31, 2020 Indirect investments $ 10,899 $ 168 $ 78 |
Securities Financing Activiti_2
Securities Financing Activities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Banking and Thrift, Other Disclosures [Abstract] | |
Summarized Securities Financing Agreements | The following table summarizes our securities financing agreements at June 30, 2021, and December 31, 2020: June 30, 2021 December 31, 2020 in millions Gross Amount Presented in Balance Sheet Netting Adjustments (a) Collateral (b) Net Amounts Gross Amount Presented in Balance Sheet Netting Adjustments (a) Collateral (b) Net Amounts Offsetting of financial assets: Reverse repurchase agreements $ 5 $ (5) — — $ 6 $ (6) — — Securities borrowed 500 — (500) — 500 — $ (500) — Total $ 505 $ (5) (500) — $ 506 $ (6) $ (500) — Offsetting of financial liabilities: Repurchase agreements (c) $ 211 $ (5) $ (206) — $ 220 $ (6) $ (214) — Total $ 211 $ (5) $ (206) — $ 220 $ (6) $ (214) — (a) Netting adjustments take into account the impact of master netting agreements that allow us to settle with a single counterparty on a net basis. (b) These adjustments take into account the impact of bilateral collateral agreements that allow us to offset the net positions with the related collateral. The application of collateral cannot reduce the net position below zero. Therefore, excess collateral, if any, is not reflected above. (c) Repurchase agreements are collateralized by mortgaged-backed agency securities and are contracted on an overnight or continuous basis. |
Employee Benefits (Tables)
Employee Benefits (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |
Net Pension Cost (Benefit) for All Funded and Unfunded Plans | The components of net pension cost (benefit) for all funded and unfunded plans are recorded in Other expense and are summarized in the following table. For more information on our Pension Plans and Other Postretirement Benefit Plans, see Note 18 (“Employee Benefits”) beginning on page 164 of our 2020 Form 10-K. Three months ended June 30, Six months ended June 30, in millions 2021 2020 2021 2020 Interest cost on PBO $ 6 $ 8 $ 12 $ 17 Expected return on plan assets (7) (9) (14) (19) Amortization of losses 4 4 9 8 Settlement loss — 4 — 8 Net pension cost $ 3 $ 7 $ 7 $ 14 |
Trust Preferred Securities Is_2
Trust Preferred Securities Issued by Unconsolidated Subsidiaries (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Banking and Thrift, Other Disclosures [Abstract] | |
Summary of Trust Preferred Securities, Common Stock and Related Debentures | The trust preferred securities, common stock, and related debentures are summarized as follows: dollars in millions Trust Preferred Securities, Net of Discount (a) Common Stock Principal Amount of Debentures, Net of Discount (b) Interest Rate of Trust Preferred Securities and Debentures (c) Maturity of Trust Preferred Securities and Debentures June 30, 2021 KeyCorp Capital I $ 156 $ 6 $ 162 0.942 % 2028 KeyCorp Capital II 138 4 142 6.875 2029 KeyCorp Capital III 106 4 110 7.750 2029 HNC Statutory Trust III 20 1 21 1.550 2035 Willow Grove Statutory Trust I 19 1 20 1.466 2036 HNC Statutory Trust IV 17 1 18 1.429 2037 Westbank Capital Trust II 8 — 8 2.325 2034 Westbank Capital Trust III 8 — 8 2.325 2034 Total $ 472 $ 17 $ 489 4.315 % — December 31, 2020 $ 483 $ 17 $ 500 4.464 % — (a) The trust preferred securities must be redeemed when the related debentures mature, or earlier if provided in the governing indenture. Each issue of trust preferred securities carries an interest rate identical to that of the related debenture. Certain trust preferred securities include basis adjustments related to fair value hedges totaling $59 million at June 30, 2021, and $70 million at December 31, 2020. See Note 7 (“Derivatives and Hedging Activities”) for an explanation of fair value hedges. (b) We have the right to redeem these debentures. If the debentures purchased by KeyCorp Capital I, HNC Statutory Trust III, Willow Grove Statutory Trust I, HNC Statutory Trust IV, Westbank Capital Trust II, or Westbank Capital Trust III are redeemed before they mature, the redemption price will be the principal amount, plus any accrued but unpaid interest. If the debentures purchased by KeyCorp Capital II or KeyCorp Capital III are redeemed before they mature, the redemption price will be the greater of: (i) the principal amount, plus any accrued but unpaid interest, or (ii) the sum of the present values of principal and interest payments discounted at the Treasury Rate (as defined in the applicable indenture), plus 20 basis points for KeyCorp Capital II or 25 basis points for KeyCorp Capital III, or 50 basis points in the case of redemption upon either a tax or a capital treatment event for either KeyCorp Capital II or KeyCorp Capital III, plus any accrued but unpaid interest. The principal amount of certain debentures includes basis adjustments related to fair value hedges totaling $59 million at June 30, 2021, and $70 million at December 31, 2020. See Note 7 (“Derivatives and Hedging Activities”) for an explanation of fair value hedges. The principal amount of debentures, net of discounts, is included in “long-term debt” on the balance sheet. (c) The interest rates for the trust preferred securities issued by KeyCorp Capital II and KeyCorp Capital III are fixed. The trust preferred securities issued by KeyCorp Capital I have a floating interest rate, equal to three-month LIBOR plus 74 basis points, that reprices quarterly. The trust preferred securities issued by HNC Statutory Trust III have a floating interest rate, equal to three-month LIBOR plus 140 basis points, that reprices quarterly. The trust preferred securities issued by Willow Grove Statutory Trust I have a floating interest rate, equal to three-month LIBOR plus 131 basis points, that reprices quarterly. The trust preferred securities issued by HNC Statutory Trust IV have a floating interest rate, equal to three-month LIBOR plus 128 basis points, that reprices quarterly. The trust preferred securities issued by Westbank Capital Trust II and Westbank Capital Trust III each have a floating interest rate, equal to three-month LIBOR plus 219 basis points, that reprices quarterly. The total interest rates are weighted-average rates. |
Contingent Liabilities and Gu_2
Contingent Liabilities and Guarantees (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Guarantees | The following table shows the types of guarantees that we had outstanding at June 30, 2021. Information pertaining to the basis for determining the liabilities recorded in connection with these guarantees is included in Note 1 (“Summary of Significant Accounting Policies”) under the heading “Contingencies and Guarantees” beginning on page 116 of our 2020 Form 10-K. June 30, 2021 Maximum Potential Undiscounted Future Payments Liability Recorded in millions Financial guarantees: Standby letters of credit $ 3,304 $ 72 Recourse agreement with FNMA 5,999 24 Residential mortgage reserve 2,850 12 Written put options (a) 3,756 34 Total $ 15,909 $ 142 (a) The maximum potential undiscounted future payments represent notional amounts of derivatives qualifying as guarantees. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Changes in AOCI | Our changes in AOCI for the three and six months ended June 30, 2021, and June 30, 2020, are as follows: in millions Unrealized gains (losses) on securities available for sale Unrealized gains (losses) on derivative financial instruments Foreign currency translation adjustment Net pension and postretirement benefit costs Total Balance at December 31, 2020 $ 567 $ 476 — $ (305) $ 738 Other comprehensive income before reclassification, net of income taxes (443) (20) — (1) (464) Amounts reclassified from AOCI, net of income taxes (a) — (131) — 7 (124) Net current-period other comprehensive income, net of income taxes (443) (151) — 6 (588) Balance at June 30, 2021 $ 124 $ 325 — $ (299) $ 150 Balance at March 31, 2021 $ (61) $ 466 — $ (302) $ 103 Other comprehensive income before reclassification, net of income taxes 185 (78) — — 107 Amounts reclassified from AOCI, net of income taxes (a) — (63) — 3 (60) Net current-period other comprehensive income, net of income taxes 185 (141) — 3 47 Balance at June 30, 2021 $ 124 $ 325 — $ (299) $ 150 Balance at December 31, 2019 $ 115 $ 250 — $ (339) $ 26 Other comprehensive income before reclassification, net of income taxes 538 456 — — 994 Amounts reclassified from AOCI, net of income taxes (a) (3) (93) — 12 (84) Net current-period other comprehensive income, net of income taxes 535 363 — 12 910 Balance at June 30, 2020 $ 650 $ 613 — $ (327) $ 936 Balance at March 31, 2020 $ 520 $ 627 — $ (333) $ 814 Other comprehensive income before reclassification, net of income taxes 130 54 — — 184 Amounts reclassified from AOCI, net of income taxes (a) — (68) — 6 (62) Net current-period other comprehensive income, net of income taxes 130 (14) — 6 122 Balance at June 30, 2020 $ 650 $ 613 — $ (327) $ 936 (a) See table below for details about these reclassifications. |
Reclassifications Out of AOCI | Our reclassifications out of AOCI for the three and six months ended June 30, 2021, and June 30, 2020, are as follows: Three months ended June 30, Affected Line Item in the Statement Where Net Income is Presented in millions 2021 2020 Unrealized gains (losses) on derivative financial instruments Interest rate $ 85 $ 90 Interest income — Loans Interest rate (1) (1) Interest expense — Long-term debt Interest rate (1) — Investment banking and debt placement fees 83 89 Income (loss) from continuing operations before income taxes 20 21 Income taxes $ 63 $ 68 Income (loss) from continuing operations Net pension and postretirement benefit costs Amortization of losses $ (4) $ (4) Other expense Settlement loss — (4) Other expense (4) (8) Income (loss) from continuing operations before income taxes (1) (2) Income taxes $ (3) $ (6) Income (loss) from continuing operations Six months ended June 30, Affected Line Item in the Statement Where Net Income is Presented in millions 2021 2020 Unrealized gains (losses) on available for sale securities Realized gains — $ 4 Other income — 4 Income (loss) from continuing operations before income taxes — 1 Income taxes — $ 3 Income (loss) from continuing operations Unrealized gains (losses) on derivative financial instruments Interest rate $ 173 $ 124 Interest income — Loans Interest rate (2) (2) Interest expense — Long-term debt Interest rate 1 — Investment banking and debt placement fees 172 122 Income (loss) from continuing operations before income taxes 41 29 Income taxes $ 131 $ 93 Income (loss) from continuing operations Net pension and postretirement benefit costs Amortization of losses $ (9) $ (8) Other expense Settlement loss — (8) Other expense (9) (16) Income (loss) from continuing operations before income taxes (2) (4) Income taxes $ (7) $ (12) Income (loss) from continuing operations |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Schedule of Stockholders Equity | Preferred stock series Amount outstanding (in millions) Shares authorized and outstanding Par value Liquidation preference Ownership interest per depositary share Liquidation preference per depositary share Second quarter 2021 dividends paid per depositary share Fixed-to-Floating Rate Perpetual Noncumulative Series D $ 525 21,000 $ 1 $ 25,000 1/25th $ 1,000 $ 12.50 Fixed-to-Floating Rate Perpetual Noncumulative Series E 500 500,000 1 1,000 1/40th 25 .382813 Fixed Rate Perpetual Noncumulative Series F 425 425,000 1 1,000 1/40th 25 .353125 Fixed Rate Perpetual Non-Cumulative Series G 450 450,000 1 1,000 1/40th 25 .351563 |
Business Segment Reporting (Tab
Business Segment Reporting (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
Financial Information of Business Groups | The table below shows selected financial data for our business segments for the three- and six-month periods ended June 30, 2021, and June 30, 2020. Capital is assigned to each business segment based on a combination of regulatory and economic equity. Three months ended June 30, Consumer Bank Commercial Bank Other Total Key dollars in millions 2021 2020 2021 2020 2021 2020 2021 2020 SUMMARY OF OPERATIONS Net interest income (TE) $ 600 $ 589 $ 419 $ 458 $ 4 $ (22) $ 1,023 $ 1,025 Noninterest income 254 246 455 421 41 25 750 692 Total revenue (TE) (a) 854 835 874 879 45 3 1,773 1,717 Provision for credit losses (70) 155 (131) 326 (21) 1 (222) 482 Depreciation and amortization expense 22 20 33 37 35 34 90 91 Other noninterest expense 562 532 418 404 6 (14) 986 922 Income (loss) from continuing operations before income taxes (TE) 340 128 554 112 25 (18) 919 222 Allocated income taxes and TE adjustments 81 30 120 6 (6) 1 195 37 Income (loss) from continuing operations 259 98 434 106 31 (19) 724 185 Income (loss) from discontinued operations, net of taxes — — — — 5 2 5 2 Net income (loss) 259 98 434 106 36 (17) 729 187 Less: Net income (loss) attributable to noncontrolling interests — — — — — — — — Net income (loss) attributable to Key $ 259 $ 98 $ 434 $ 106 $ 36 $ (17) $ 729 $ 187 AVERAGE BALANCES (b) Loans and leases $ 40,598 $ 37,300 $ 59,953 $ 70,336 $ 263 $ 305 $ 100,814 $ 107,941 Total assets (a) 43,991 42,194 69,101 79,267 64,778 42,638 177,870 164,099 Deposits 88,412 79,235 54,814 47,954 1,096 788 144,322 127,977 OTHER FINANCIAL DATA Net loan charge-offs (b) $ 34 $ 39 $ 9 $ 57 $ (21) $ — $ 22 $ 96 Return on average allocated equity (b) 28.74 % 11.50 % 20.79 % 8.66 % 2.35 % (.82) % 16.81 % 4.21 % Return on average allocated equity 28.74 11.50 20.79 8.66 2.73 (.73) 16.93 4.25 Average full-time equivalent employees (c) 7,929 8,046 2,483 2,293 6,745 6,307 17,157 16,646 (a) Substantially all revenue generated by our major business segments is derived from clients that reside in the United States. Substantially all long-lived assets, including premises and equipment, capitalized software, and goodwill held by our major business segments, are located in the United States. (b) From continuing operations. (c) The number of average full-time equivalent employees was not adjusted for discontinued operations. Six months ended June 30, Consumer Bank Commercial Bank Other Total Key dollars in millions 2021 2020 2021 2020 2021 2020 2021 2020 SUMMARY OF OPERATIONS Net interest income (TE) $ 1,210 $ 1,172 $ 832 $ 881 $ (7) $ (39) $ 2,035 $ 2,014 Noninterest income 511 474 901 639 76 56 1,488 1,169 Total revenue (TE) (a) 1,721 1,646 1,733 1,520 69 17 3,523 3,183 Provision for credit losses (94) 292 (198) 547 (23) 2 (315) 841 Depreciation and amortization expense 40 41 67 73 73 68 180 182 Other noninterest expense 1,146 1,048 827 732 (6) (18) 1,967 1,762 Income (loss) from continuing operations before income taxes (TE) 629 265 1,037 168 25 (35) 1,691 398 Allocated income taxes and TE adjustments 150 61 218 (4) (19) 11 349 68 Income (loss) from continuing operations 479 204 819 172 44 (46) 1,342 330 Income (loss) from discontinued operations, net of taxes — — — — 9 3 9 3 Net income (loss) 479 204 819 172 53 (43) 1,351 333 Less: Net income (loss) attributable to noncontrolling interests — — — — — — — — Net income (loss) attributable to Key $ 479 $ 204 $ 819 $ 172 $ 53 (d) $ (43) $ 1,351 $ 333 AVERAGE BALANCES (b) Loans and leases $ 39,927 $ 35,242 $ 60,584 $ 66,430 $ 266 $ 386 $ 100,777 $ 102,058 Total assets (a) 43,237 39,310 69,771 75,547 62,063 40,307 175,071 155,164 Deposits 86,732 76,184 53,362 42,199 950 770 141,044 119,153 OTHER FINANCIAL DATA Net loan charge-offs (b) $ 70 $ 83 $ 87 $ 97 (21) — $ 136 $ 180 Return on average allocated equity (b) 27.46 % 12.07 % 19.10 % 7.13 % 1.66 % (1.01) % 15.45 % 3.80 % Return on average allocated equity 27.46 12.07 19.10 7.13 2.00 (.94) 15.55 3.84 Average full-time equivalent employees (c) 8,106 8,095 2,371 2,277 6,645 6,215 17,122 16,587 (a) Substantially all revenue generated by our major business segments is derived from clients that reside in the United States. Substantially all long-lived assets, including premises and equipment, capitalized software, and goodwill held by our major business segments, are located in the United States. (b) From continuing operations. (c) The number of average full-time equivalent employees was not adjusted for discontinued operations. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table represents a disaggregation of revenue from contracts with customers, by business segment, for the three- and six-month periods ended June 30, 2021, and June 30, 2020. The development and application of the methodologies that we use to allocate items among our business segments is a dynamic process. Accordingly, financial results may be revised periodically to reflect enhanced alignment of expense base allocations drivers, changes in the risk profile of a particular business, or changes in our organizational structure. Three months ended June 30, 2021 Three months ended June 30, 2020 dollars in millions Consumer Bank Commercial Bank Total Contract Revenue Consumer Bank Commercial Bank Total Contract Revenue NONINTEREST INCOME Trust and investment services income $ 105 $ 15 $ 120 $ 87 $ 15 $ 102 Investment banking and debt placement fees — 121 121 — 60 60 Services charges on deposit accounts 48 34 82 38 30 68 Cards and payments income 47 64 111 37 52 89 Other noninterest income 2 — 2 2 — 2 Total revenue from contracts with customers $ 202 $ 234 $ 436 $ 164 $ 157 $ 321 Other noninterest income (a) $ 273 $ 346 Noninterest income from Other (b) 41 25 Total noninterest income $ 750 $ 692 (a) Noninterest income considered earned outside the scope of contracts with customers. (b) Other includes other segments that consists of corporate treasury, our principal investing unit, and various exit portfolios as well as reconciling items which primarily represents the unallocated portion of nonearning assets of corporate support functions. Charges related to the funding of these assets are part of net interest income and are allocated to the business segments through noninterest expense. Reconciling items also includes intercompany eliminations and certain items that are not allocated to the business segments because they do not reflect their normal operations. Refer to Note 20 (“Business Segment Reporting”) for more information. Six months ended June 30, 2021 Six months ended June 30, 2020 dollars in millions Consumer Bank Commercial Bank Total Contract Revenue Consumer Bank Commercial Bank Total Contract Revenue NONINTEREST INCOME Trust and investment services income $ 206 $ 34 $ 240 $ 179 $ 34 $ 213 Investment banking and debt placement fees — 202 202 — 107 107 Services charges on deposit accounts 88 68 156 94 58 152 Cards and payments income 88 126 214 75 78 153 Other noninterest income 4 1 5 4 — 4 Total revenue from contracts with customers $ 386 $ 431 $ 817 $ 352 $ 277 $ 629 Other noninterest income (a) $ 595 $ 484 Noninterest income from Other (b) 76 56 Total noninterest income $ 1,488 $ 1,169 (a) Noninterest income considered earned outside the scope of contracts with customers. (b) Other includes other segments that consists of corporate treasury, our principal investing unit, and various exit portfolios as well as reconciling items which primarily represents the unallocated portion of nonearning assets of corporate support functions. Charges related to the funding of these assets are part of net interest income and are allocated to the business segments through noninterest expense. Reconciling items also includes intercompany eliminations and certain items that are not allocated to the business segments because they do not reflect their normal operations. Refer to Note 20 (“Business Segment Reporting”) for more information. |
Earnings Per Common Share - Bas
Earnings Per Common Share - Basic and Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
EARNINGS | |||||
Income (loss) from continuing operations | $ 724 | $ 185 | $ 1,342 | $ 330 | |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 | |
Income (loss) from continuing operations attributable to Key | 724 | 185 | 1,342 | 330 | |
Less: Dividends on Preferred Stock | 26 | 26 | 53 | 53 | |
Income (loss) from continuing operations attributable to Key common shareholders | 698 | 159 | 1,289 | 277 | |
Income (loss) from discontinued operations, net of taxes | 5 | 2 | 9 | 3 | |
Net income (loss) attributable to Key common shareholders | $ 703 | $ 161 | $ 1,298 | $ 280 | |
WEIGHTED-AVERAGE COMMON SHARES | |||||
Weighted-average common shares outstanding (000) (in shares) | 957,423 | 967,147 | 961,292 | 967,380 | |
Effect of common share options and other stock awards (in shares) | 9,740 | 4,994 | 9,514 | 6,892 | |
Weighted-average common shares and potential common shares outstanding (in shares) | [1] | 967,163 | 972,141 | 970,806 | 974,272 |
EARNINGS PER COMMON SHARE | |||||
Income (loss) from continuing operations attributable to Key common shareholders (in usd per share) | $ 0.73 | $ 0.16 | $ 1.34 | $ 0.29 | |
Income (loss) from discontinued operations, net of taxes (in usd per share) | 0 | 0 | 0.01 | 0 | |
Net income (loss) attributable to Key common shareholders (in usd per share) | [2] | 0.73 | 0.17 | 1.35 | 0.29 |
Income (loss) from continuing operations attributable to Key common shareholders - assuming dilution (in usd per share) | 0.72 | 0.16 | 1.33 | 0.28 | |
Income (loss) from discontinued operations, net of taxes - assuming dilution (in usd per share) | 0 | 0 | 0.01 | 0 | |
Net income (loss) attributable to Key common shareholders (in usd per share) | [2] | $ 0.73 | $ 0.17 | $ 1.34 | $ 0.29 |
[1] | Assumes conversion of Common Share options and other stock awards and/or convertible preferred stock, as applicable. | ||||
[2] | EPS may not foot due to rounding. |
Loan Portfolio - Loans by Categ
Loan Portfolio - Loans by Category (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 100,730 | $ 101,185 |
Accrued interest | 225 | 241 |
Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 69,830 | 71,980 |
Accrued interest | 127 | 140 |
Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 30,900 | 29,205 |
Accrued interest | 97 | 101 |
Commercial and Industrial | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 50,672 | 52,907 |
Commercial mortgage | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 12,965 | 12,687 |
Construction | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,132 | 1,987 |
Commercial real estate loans | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 15,097 | 14,674 |
Commercial lease financing | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 4,061 | 4,399 |
Real estate — residential mortgage | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 12,131 | 9,298 |
Home equity loans | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 9,047 | 9,360 |
Residential - Prime Loans | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 21,178 | 18,658 |
Consumer direct loans | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 5,049 | 4,714 |
Credit cards | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 923 | 989 |
Consumer indirect loans | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 3,750 | 4,844 |
Commercial credit card | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 135 | 127 |
Commercial credit card | Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 923 | 989 |
Collateral pledged | Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 19 | 23 |
Education Lending | Discontinued Operations | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 636 | $ 710 |
Asset Quality - Changes in Allo
Asset Quality - Changes in Allowance for Loan and Lease Losses by Loan Category (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | $ 1,438 | $ 1,359 | $ 1,626 | $ 900 | ||||
Provision | (196) | 445 | (270) | 784 | ||||
Charge-offs | (71) | (110) | (206) | (211) | ||||
Recoveries | 49 | 14 | 70 | 31 | ||||
Ending balance | 1,220 | 1,708 | 1,220 | 1,708 | ||||
Total ALLL, including discontinued operations | 1,250 | 1,751 | 1,250 | 1,751 | $ 1,471 | $ 1,662 | $ 1,402 | $ 910 |
Total provision, including discontinued operations | (198) | 445 | (275) | 787 | ||||
Total charge-offs, including discontinued operations | (72) | (112) | (208) | (215) | ||||
Total recoveries, including discontinued operations | 49 | 16 | 71 | 34 | ||||
Provision (credit) for losses on lending-related commitments | (26) | 37 | (45) | 57 | ||||
Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 204 | |||||||
Total ALLL, including discontinued operations | 235 | |||||||
Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 1,104 | |||||||
Total ALLL, including discontinued operations | $ 1,145 | |||||||
Commercial Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 937 | 818 | 1,099 | 751 | ||||
Provision | (135) | 366 | (195) | 616 | ||||
Charge-offs | (45) | (77) | (157) | (142) | ||||
Recoveries | 38 | 6 | 48 | 12 | ||||
Ending balance | 795 | 1,113 | 795 | 1,113 | ||||
Commercial Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | (124) | |||||||
Commercial Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 627 | |||||||
Consumer Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 501 | 541 | 527 | 149 | ||||
Provision | (61) | 79 | (75) | 168 | ||||
Charge-offs | (26) | (33) | (49) | (69) | ||||
Recoveries | 11 | 8 | 22 | 19 | ||||
Ending balance | 425 | 595 | 425 | 595 | ||||
Consumer Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 328 | |||||||
Consumer Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 477 | |||||||
Commercial and Industrial | Commercial Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 596 | 542 | 678 | 551 | ||||
Provision | (88) | 249 | (105) | 436 | ||||
Charge-offs | (41) | (71) | (114) | (131) | ||||
Recoveries | 32 | 5 | 40 | 10 | ||||
Ending balance | 499 | 725 | 499 | 725 | ||||
Commercial and Industrial | Commercial Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | (141) | |||||||
Commercial and Industrial | Commercial Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 410 | |||||||
Commercial mortgage | Commercial Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 256 | 207 | 327 | 143 | ||||
Provision | (31) | 87 | (68) | 137 | ||||
Charge-offs | (4) | (2) | (39) | (5) | ||||
Recoveries | 6 | 0 | 7 | 1 | ||||
Ending balance | 227 | 292 | 227 | 292 | ||||
Commercial mortgage | Commercial Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 16 | |||||||
Commercial mortgage | Commercial Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 159 | |||||||
Construction | Commercial Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 45 | 25 | 47 | 22 | ||||
Provision | (10) | 16 | (12) | 26 | ||||
Charge-offs | 0 | 0 | 0 | 0 | ||||
Recoveries | 0 | 0 | 0 | 0 | ||||
Ending balance | 35 | 41 | 35 | 41 | ||||
Construction | Commercial Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | (7) | |||||||
Construction | Commercial Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 15 | |||||||
Commercial real estate loans | Commercial Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 301 | 232 | 374 | 165 | ||||
Provision | (41) | 103 | (80) | 163 | ||||
Charge-offs | (4) | (2) | 0 | (5) | ||||
Recoveries | 6 | 0 | 0 | 1 | ||||
Ending balance | 262 | 333 | 262 | 333 | ||||
Commercial real estate loans | Commercial Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 9 | |||||||
Commercial real estate loans | Commercial Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 174 | |||||||
Commercial lease financing | Commercial Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 40 | 44 | 47 | 35 | ||||
Provision | (6) | 14 | (10) | 17 | ||||
Charge-offs | 0 | (4) | (4) | (6) | ||||
Recoveries | 0 | 1 | 1 | 1 | ||||
Ending balance | 34 | 55 | 34 | 55 | ||||
Commercial lease financing | Commercial Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 8 | |||||||
Commercial lease financing | Commercial Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 43 | |||||||
Real estate — residential mortgage | Consumer Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 100 | 89 | 102 | 7 | ||||
Provision | (13) | 14 | (16) | 19 | ||||
Charge-offs | (1) | (2) | (1) | (2) | ||||
Recoveries | 0 | 0 | 1 | 0 | ||||
Ending balance | 86 | 101 | 86 | 101 | ||||
Real estate — residential mortgage | Consumer Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 77 | |||||||
Real estate — residential mortgage | Consumer Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 84 | |||||||
Home equity loans | Consumer Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 157 | 184 | 171 | 31 | ||||
Provision | (18) | 14 | (31) | 22 | ||||
Charge-offs | (4) | (2) | (6) | (6) | ||||
Recoveries | 1 | 1 | 2 | 3 | ||||
Ending balance | 136 | 197 | 136 | 197 | ||||
Home equity loans | Consumer Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 147 | |||||||
Home equity loans | Consumer Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 178 | |||||||
Consumer direct loans | Consumer Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 126 | 116 | 128 | 34 | ||||
Provision | (6) | 22 | (2) | 51 | ||||
Charge-offs | (7) | (10) | (15) | (22) | ||||
Recoveries | 2 | 2 | 4 | 4 | ||||
Ending balance | 115 | 130 | 115 | 130 | ||||
Consumer direct loans | Consumer Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 63 | |||||||
Consumer direct loans | Consumer Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 97 | |||||||
Credit cards | Consumer Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 80 | 104 | 87 | 47 | ||||
Provision | (6) | 13 | (9) | 44 | ||||
Charge-offs | (9) | (12) | (15) | (23) | ||||
Recoveries | 3 | 2 | 5 | 4 | ||||
Ending balance | 68 | 107 | 68 | 107 | ||||
Credit cards | Consumer Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 35 | |||||||
Credit cards | Consumer Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 82 | |||||||
Consumer indirect loans | Consumer Loans | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 38 | 48 | 39 | 30 | ||||
Provision | (18) | 16 | (17) | 32 | ||||
Charge-offs | (5) | (7) | (12) | (16) | ||||
Recoveries | 5 | 3 | 10 | 8 | ||||
Ending balance | 20 | 60 | 20 | 60 | ||||
Consumer indirect loans | Consumer Loans | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 6 | |||||||
Consumer indirect loans | Consumer Loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 36 | |||||||
Discontinued Operations | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 33 | 43 | 36 | 10 | ||||
Provision | (2) | 0 | (5) | 3 | ||||
Charge-offs | (1) | (2) | (2) | (4) | ||||
Recoveries | 0 | 2 | 1 | 3 | ||||
Ending balance | $ 30 | $ 43 | $ 30 | 43 | ||||
Discontinued Operations | Impact of ASC 326 Adoption | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | 31 | |||||||
Discontinued Operations | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||||
Beginning balance | $ 41 |
Asset Quality - Additional Info
Asset Quality - Additional Information (Details) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021USD ($)SecurityLoan | Jun. 30, 2020USD ($)SecurityLoan | Jun. 30, 2021USD ($)SecurityLoan | Jun. 30, 2020USD ($)SecurityLoan | Dec. 31, 2020USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans, net of unearned income (residential) | $ 100,730 | $ 100,730 | $ 101,185 | ||
Loan modifications and forbearance, CARES Act | 209 | ||||
Loans that have received payment deferral or forbearance, CARES Act | 259 | ||||
Accrued interest | $ 225 | $ 225 | 241 | ||
Percentage of carrying amount of our commercial nonperforming loans outstanding | 69.00% | 69.00% | |||
Percentage of nonperforming loans outstanding face value | 76.00% | 76.00% | |||
Percentage of loans held for sale and other nonperforming assets | 81.00% | 81.00% | |||
Net reduction to interest income | $ 7 | $ 7 | $ 14 | $ 13 | |
Commitments outstanding to lend additional funds to borrowers (less than $1 million) | 30 | 30 | 1 | ||
Financial receivable, modifications, subsequent default, recorded investment | 1 | $ 1 | 2 | $ 3 | |
Commercial Loans | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Accrued interest | $ 127 | $ 127 | 140 | ||
TDRs, period for default | 90 days | ||||
Number of loans | SecurityLoan | 1 | 0 | 3 | 0 | |
Consumer Loans | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Accrued interest | $ 97 | $ 97 | 101 | ||
TDRs, period for default | 60 days | ||||
Number of loans | SecurityLoan | 29 | 43 | 65 | 127 | |
Continuing operations | Commercial Loans | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Increase in ALLL | $ (142) | ||||
Increase in ALLL, percent | (15.20%) | ||||
Continuing operations | Consumer Loans | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Increase in ALLL | $ (76) | ||||
Increase in ALLL, percent | (15.20%) | ||||
PPP | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans, net of unearned income (residential) | $ 5,700 | $ 5,700 | |||
Nonperforming financial instruments | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Nonperforming loans on nonaccrual status with no allowance | $ 474 | 474 | |||
Real estate — residential mortgage | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Financial receivable, modifications, subsequent default, recorded investment | $ 78 | $ 92 |
Asset Quality - Commercial Cred
Asset Quality - Commercial Credit Exposure (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 100,730 | $ 101,185 |
Accrued interest | 225 | 241 |
Commercial Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 9,070 | 16,230 |
One year prior | 11,208 | 10,657 |
Two years prior | 9,235 | 7,206 |
Three years prior | 6,053 | 4,635 |
Four years prior | 3,862 | 3,237 |
Prior | 8,980 | 7,295 |
Revolving Loans Amortized Cost Basis | 21,229 | 22,529 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 193 | 191 |
Total | 69,830 | 71,980 |
Accrued interest | 127 | 140 |
Commercial Loans | Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 6,794 | 13,174 |
One year prior | 8,310 | 5,712 |
Two years prior | 4,791 | 4,285 |
Three years prior | 3,676 | 2,881 |
Four years prior | 2,339 | 2,134 |
Prior | 4,258 | 2,995 |
Revolving Loans Amortized Cost Basis | 20,368 | 21,585 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 136 | 141 |
Total | 50,672 | 52,907 |
Commercial Loans | Commercial and Industrial | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 6,763 | 13,100 |
One year prior | 8,185 | 5,487 |
Two years prior | 4,542 | 4,040 |
Three years prior | 3,382 | 2,617 |
Four years prior | 2,124 | 1,967 |
Prior | 3,974 | 2,709 |
Revolving Loans Amortized Cost Basis | 19,061 | 19,832 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 104 | 118 |
Total | 48,135 | 49,870 |
Commercial Loans | Commercial and Industrial | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 30 | 66 |
One year prior | 118 | 198 |
Two years prior | 232 | 174 |
Three years prior | 242 | 236 |
Four years prior | 208 | 150 |
Prior | 236 | 279 |
Revolving Loans Amortized Cost Basis | 1,086 | 1,527 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 30 | 22 |
Total | 2,182 | 2,652 |
Commercial Loans | Commercial and Industrial | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1 | 8 |
One year prior | 7 | 27 |
Two years prior | 17 | 71 |
Three years prior | 52 | 28 |
Four years prior | 7 | 17 |
Prior | 48 | 7 |
Revolving Loans Amortized Cost Basis | 221 | 226 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 2 | 1 |
Total | 355 | 385 |
Commercial Loans | Commercial mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1,690 | 1,603 |
One year prior | 1,440 | 3,080 |
Two years prior | 2,863 | 1,822 |
Three years prior | 1,524 | 1,016 |
Four years prior | 944 | 839 |
Prior | 3,625 | 3,370 |
Revolving Loans Amortized Cost Basis | 831 | 912 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 48 | 45 |
Total | 12,965 | 12,687 |
Commercial Loans | Commercial mortgage | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1,678 | 1,591 |
One year prior | 1,415 | 2,937 |
Two years prior | 2,703 | 1,737 |
Three years prior | 1,371 | 867 |
Four years prior | 786 | 765 |
Prior | 3,254 | 3,027 |
Revolving Loans Amortized Cost Basis | 716 | 885 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 46 | 43 |
Total | 11,969 | 11,852 |
Commercial Loans | Commercial mortgage | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 12 | 12 |
One year prior | 25 | 142 |
Two years prior | 156 | 81 |
Three years prior | 152 | 145 |
Four years prior | 142 | 72 |
Prior | 330 | 255 |
Revolving Loans Amortized Cost Basis | 111 | 22 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 2 | 2 |
Total | 930 | 731 |
Commercial Loans | Commercial mortgage | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 1 |
Two years prior | 4 | 4 |
Three years prior | 1 | 4 |
Four years prior | 16 | 2 |
Prior | 41 | 88 |
Revolving Loans Amortized Cost Basis | 4 | 5 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 66 | 104 |
Commercial Loans | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 177 | 367 |
One year prior | 559 | 778 |
Two years prior | 714 | 548 |
Three years prior | 419 | 206 |
Four years prior | 174 | 27 |
Prior | 50 | 24 |
Revolving Loans Amortized Cost Basis | 30 | 32 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 9 | 5 |
Total | 2,132 | 1,987 |
Commercial Loans | Construction | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 177 | 367 |
One year prior | 555 | 764 |
Two years prior | 700 | 510 |
Three years prior | 365 | 188 |
Four years prior | 152 | 27 |
Prior | 36 | 22 |
Revolving Loans Amortized Cost Basis | 28 | 31 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 9 | 5 |
Total | 2,022 | 1,914 |
Commercial Loans | Construction | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 4 | 14 |
Two years prior | 14 | 38 |
Three years prior | 54 | 18 |
Four years prior | 22 | 0 |
Prior | 14 | 2 |
Revolving Loans Amortized Cost Basis | 2 | 1 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 110 | 73 |
Commercial Loans | Construction | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 0 | 0 |
Commercial Loans | Commercial lease financing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 409 | 1,086 |
One year prior | 899 | 1,087 |
Two years prior | 867 | 551 |
Three years prior | 434 | 532 |
Four years prior | 405 | 237 |
Prior | 1,047 | 906 |
Revolving Loans Amortized Cost Basis | 0 | |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 4,061 | 4,399 |
Commercial Loans | Commercial lease financing | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 409 | 1,076 |
One year prior | 880 | 1,050 |
Two years prior | 825 | 534 |
Three years prior | 416 | 504 |
Four years prior | 380 | 228 |
Prior | 1,037 | 901 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 3,947 | 4,293 |
Commercial Loans | Commercial lease financing | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 10 |
One year prior | 19 | 35 |
Two years prior | 40 | 15 |
Three years prior | 17 | 26 |
Four years prior | 23 | 7 |
Prior | 8 | 4 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 107 | 97 |
Commercial Loans | Commercial lease financing | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 2 |
Two years prior | 2 | 2 |
Three years prior | 1 | 2 |
Four years prior | 2 | 2 |
Prior | 2 | 1 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | $ 7 | $ 9 |
Asset Quality - Consumer Credit
Asset Quality - Consumer Credit Exposure (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 100,730 | $ 101,185 |
Accrued interest | 225 | 241 |
Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 6,991 | 10,075 |
One year prior | 8,424 | 5,436 |
Two years prior | 4,091 | 1,499 |
Three years prior | 1,098 | 1,040 |
Four years prior | 736 | 1,119 |
Prior | 3,454 | 3,224 |
Revolving Loans Amortized Cost Basis | 5,374 | 5,953 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 732 | 859 |
Total | 30,900 | 29,205 |
Accrued interest | 97 | 101 |
Consumer Loans | Real estate — residential mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 4,642 | 4,322 |
One year prior | 3,825 | 1,934 |
Two years prior | 1,326 | 293 |
Three years prior | 203 | 319 |
Four years prior | 223 | 665 |
Prior | 1,912 | 1,765 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 12,131 | 9,298 |
Consumer Loans | Real estate — residential mortgage | FICO Score, 750 and above | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 3,871 | 3,595 |
One year prior | 3,348 | 1,620 |
Two years prior | 1,106 | 194 |
Three years prior | 129 | 254 |
Four years prior | 173 | 537 |
Prior | 1,353 | 1,211 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 9,980 | 7,411 |
Consumer Loans | Real estate — residential mortgage | FICO Score, 660 to 749 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 743 | 710 |
One year prior | 462 | 284 |
Two years prior | 201 | 76 |
Three years prior | 54 | 48 |
Four years prior | 37 | 100 |
Prior | 363 | 332 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 1,860 | 1,550 |
Consumer Loans | Real estate — residential mortgage | FICO Score, Less than 660 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 10 | 16 |
One year prior | 14 | 28 |
Two years prior | 17 | 21 |
Three years prior | 18 | 10 |
Four years prior | 9 | 26 |
Prior | 157 | 170 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 225 | 271 |
Consumer Loans | Real estate — residential mortgage | FICO Score, No Score | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 18 | 1 |
One year prior | 1 | 2 |
Two years prior | 2 | 2 |
Three years prior | 2 | 7 |
Four years prior | 4 | 2 |
Prior | 39 | 52 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 66 | 66 |
Consumer Loans | Home equity loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1,075 | 1,457 |
One year prior | 1,276 | 634 |
Two years prior | 491 | 269 |
Three years prior | 200 | 299 |
Four years prior | 230 | 279 |
Prior | 1,173 | 1,207 |
Revolving Loans Amortized Cost Basis | 3,870 | 4,357 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 732 | 858 |
Total | 9,047 | 9,360 |
Consumer Loans | Home equity loans | FICO Score, 750 and above | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 799 | 1,043 |
One year prior | 911 | 404 |
Two years prior | 321 | 168 |
Three years prior | 128 | 202 |
Four years prior | 160 | 190 |
Prior | 818 | 839 |
Revolving Loans Amortized Cost Basis | 2,426 | 2,689 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 508 | 590 |
Total | 6,071 | 6,125 |
Consumer Loans | Home equity loans | FICO Score, 660 to 749 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 262 | 385 |
One year prior | 335 | 198 |
Two years prior | 147 | 82 |
Three years prior | 56 | 77 |
Four years prior | 55 | 69 |
Prior | 247 | 253 |
Revolving Loans Amortized Cost Basis | 1,087 | 1,237 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 172 | 206 |
Total | 2,361 | 2,507 |
Consumer Loans | Home equity loans | FICO Score, Less than 660 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 14 | 27 |
One year prior | 28 | 30 |
Two years prior | 21 | 18 |
Three years prior | 15 | 20 |
Four years prior | 15 | 20 |
Prior | 106 | 113 |
Revolving Loans Amortized Cost Basis | 353 | 426 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 51 | 61 |
Total | 603 | 715 |
Consumer Loans | Home equity loans | FICO Score, No Score | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 2 |
One year prior | 2 | 2 |
Two years prior | 2 | 1 |
Three years prior | 1 | 0 |
Four years prior | 0 | 0 |
Prior | 2 | 2 |
Revolving Loans Amortized Cost Basis | 4 | 5 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 1 | 1 |
Total | 12 | 13 |
Consumer Loans | Consumer direct loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1,159 | 2,407 |
One year prior | 1,904 | 1,223 |
Two years prior | 972 | 237 |
Three years prior | 176 | 83 |
Four years prior | 55 | 45 |
Prior | 202 | 111 |
Revolving Loans Amortized Cost Basis | 581 | 607 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 1 |
Total | 5,049 | 4,714 |
Consumer Loans | Consumer direct loans | FICO Score, 750 and above | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 867 | 1,840 |
One year prior | 1,457 | 883 |
Two years prior | 688 | 115 |
Three years prior | 90 | 32 |
Four years prior | 24 | 16 |
Prior | 120 | 57 |
Revolving Loans Amortized Cost Basis | 112 | 119 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 3,358 | 3,062 |
Consumer Loans | Consumer direct loans | FICO Score, 660 to 749 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 251 | 479 |
One year prior | 383 | 268 |
Two years prior | 220 | 80 |
Three years prior | 58 | 22 |
Four years prior | 15 | 14 |
Prior | 48 | 33 |
Revolving Loans Amortized Cost Basis | 224 | 254 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 1 |
Total | 1,199 | 1,151 |
Consumer Loans | Consumer direct loans | FICO Score, Less than 660 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 10 | 23 |
One year prior | 20 | 37 |
Two years prior | 28 | 21 |
Three years prior | 14 | 8 |
Four years prior | 4 | 5 |
Prior | 12 | 10 |
Revolving Loans Amortized Cost Basis | 64 | 81 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 152 | 185 |
Consumer Loans | Consumer direct loans | FICO Score, No Score | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 31 | 65 |
One year prior | 44 | 35 |
Two years prior | 36 | 21 |
Three years prior | 14 | 21 |
Four years prior | 12 | 10 |
Prior | 22 | 11 |
Revolving Loans Amortized Cost Basis | 181 | 153 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 340 | 316 |
Consumer Loans | Commercial credit card | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 923 | 989 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 923 | 989 |
Consumer Loans | Commercial credit card | FICO Score, 750 and above | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 472 | 488 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 472 | 488 |
Consumer Loans | Commercial credit card | FICO Score, 660 to 749 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 372 | 407 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 372 | 407 |
Consumer Loans | Commercial credit card | FICO Score, Less than 660 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 77 | 93 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 77 | 93 |
Consumer Loans | Commercial credit card | FICO Score, No Score | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 2 | 1 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 2 | 1 |
Consumer Loans | Consumer indirect loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 115 | 1,889 |
One year prior | 1,419 | 1,645 |
Two years prior | 1,302 | 700 |
Three years prior | 519 | 339 |
Four years prior | 228 | 130 |
Prior | 167 | 141 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 3,750 | 4,844 |
Consumer Loans | Consumer indirect loans | FICO Score, 750 and above | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 115 | 1,092 |
One year prior | 821 | 924 |
Two years prior | 770 | 369 |
Three years prior | 286 | 188 |
Four years prior | 130 | 69 |
Prior | 81 | 66 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 2,203 | 2,708 |
Consumer Loans | Consumer indirect loans | FICO Score, 660 to 749 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 653 |
One year prior | 496 | 558 |
Two years prior | 416 | 232 |
Three years prior | 163 | 97 |
Four years prior | 63 | 36 |
Prior | 54 | 47 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 1,192 | 1,623 |
Consumer Loans | Consumer indirect loans | FICO Score, Less than 660 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 143 |
One year prior | 102 | 163 |
Two years prior | 116 | 99 |
Three years prior | 70 | 54 |
Four years prior | 35 | 25 |
Prior | 32 | 28 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 355 | 512 |
Consumer Loans | Consumer indirect loans | FICO Score, No Score | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 1 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 0 | 1 |
Commercial Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 9,070 | 16,230 |
One year prior | 11,208 | 10,657 |
Two years prior | 9,235 | 7,206 |
Three years prior | 6,053 | 4,635 |
Four years prior | 3,862 | 3,237 |
Prior | 8,980 | 7,295 |
Revolving Loans Amortized Cost Basis | 21,229 | 22,529 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 193 | 191 |
Total | 69,830 | 71,980 |
Accrued interest | 127 | 140 |
Commercial Loans | Commercial credit card | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 135 | 127 |
Commercial Loans | Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 6,794 | 13,174 |
One year prior | 8,310 | 5,712 |
Two years prior | 4,791 | 4,285 |
Three years prior | 3,676 | 2,881 |
Four years prior | 2,339 | 2,134 |
Prior | 4,258 | 2,995 |
Revolving Loans Amortized Cost Basis | 20,368 | 21,585 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 136 | 141 |
Total | 50,672 | 52,907 |
Commercial Loans | Commercial and Industrial | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 6,763 | 13,100 |
One year prior | 8,185 | 5,487 |
Two years prior | 4,542 | 4,040 |
Three years prior | 3,382 | 2,617 |
Four years prior | 2,124 | 1,967 |
Prior | 3,974 | 2,709 |
Revolving Loans Amortized Cost Basis | 19,061 | 19,832 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 104 | 118 |
Total | 48,135 | 49,870 |
Commercial Loans | Commercial and Industrial | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 30 | 66 |
One year prior | 118 | 198 |
Two years prior | 232 | 174 |
Three years prior | 242 | 236 |
Four years prior | 208 | 150 |
Prior | 236 | 279 |
Revolving Loans Amortized Cost Basis | 1,086 | 1,527 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 30 | 22 |
Total | 2,182 | 2,652 |
Commercial Loans | Commercial and Industrial | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1 | 8 |
One year prior | 7 | 27 |
Two years prior | 17 | 71 |
Three years prior | 52 | 28 |
Four years prior | 7 | 17 |
Prior | 48 | 7 |
Revolving Loans Amortized Cost Basis | 221 | 226 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 2 | 1 |
Total | 355 | 385 |
Commercial Loans | Commercial mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1,690 | 1,603 |
One year prior | 1,440 | 3,080 |
Two years prior | 2,863 | 1,822 |
Three years prior | 1,524 | 1,016 |
Four years prior | 944 | 839 |
Prior | 3,625 | 3,370 |
Revolving Loans Amortized Cost Basis | 831 | 912 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 48 | 45 |
Total | 12,965 | 12,687 |
Commercial Loans | Commercial mortgage | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 1,678 | 1,591 |
One year prior | 1,415 | 2,937 |
Two years prior | 2,703 | 1,737 |
Three years prior | 1,371 | 867 |
Four years prior | 786 | 765 |
Prior | 3,254 | 3,027 |
Revolving Loans Amortized Cost Basis | 716 | 885 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 46 | 43 |
Total | 11,969 | 11,852 |
Commercial Loans | Commercial mortgage | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 12 | 12 |
One year prior | 25 | 142 |
Two years prior | 156 | 81 |
Three years prior | 152 | 145 |
Four years prior | 142 | 72 |
Prior | 330 | 255 |
Revolving Loans Amortized Cost Basis | 111 | 22 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 2 | 2 |
Total | 930 | 731 |
Commercial Loans | Commercial mortgage | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 1 |
Two years prior | 4 | 4 |
Three years prior | 1 | 4 |
Four years prior | 16 | 2 |
Prior | 41 | 88 |
Revolving Loans Amortized Cost Basis | 4 | 5 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 66 | 104 |
Commercial Loans | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 177 | 367 |
One year prior | 559 | 778 |
Two years prior | 714 | 548 |
Three years prior | 419 | 206 |
Four years prior | 174 | 27 |
Prior | 50 | 24 |
Revolving Loans Amortized Cost Basis | 30 | 32 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 9 | 5 |
Total | 2,132 | 1,987 |
Commercial Loans | Construction | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 177 | 367 |
One year prior | 555 | 764 |
Two years prior | 700 | 510 |
Three years prior | 365 | 188 |
Four years prior | 152 | 27 |
Prior | 36 | 22 |
Revolving Loans Amortized Cost Basis | 28 | 31 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 9 | 5 |
Total | 2,022 | 1,914 |
Commercial Loans | Construction | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 4 | 14 |
Two years prior | 14 | 38 |
Three years prior | 54 | 18 |
Four years prior | 22 | 0 |
Prior | 14 | 2 |
Revolving Loans Amortized Cost Basis | 2 | 1 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 110 | 73 |
Commercial Loans | Construction | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 0 |
Two years prior | 0 | 0 |
Three years prior | 0 | 0 |
Four years prior | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 0 | 0 |
Commercial Loans | Commercial lease financing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 409 | 1,086 |
One year prior | 899 | 1,087 |
Two years prior | 867 | 551 |
Three years prior | 434 | 532 |
Four years prior | 405 | 237 |
Prior | 1,047 | 906 |
Revolving Loans Amortized Cost Basis | 0 | |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 4,061 | 4,399 |
Commercial Loans | Commercial lease financing | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 409 | 1,076 |
One year prior | 880 | 1,050 |
Two years prior | 825 | 534 |
Three years prior | 416 | 504 |
Four years prior | 380 | 228 |
Prior | 1,037 | 901 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 3,947 | 4,293 |
Commercial Loans | Commercial lease financing | Criticized (Accruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 10 |
One year prior | 19 | 35 |
Two years prior | 40 | 15 |
Three years prior | 17 | 26 |
Four years prior | 23 | 7 |
Prior | 8 | 4 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 107 | 97 |
Commercial Loans | Commercial lease financing | Criticized (Nonaccruing) | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current | 0 | 0 |
One year prior | 0 | 2 |
Two years prior | 2 | 2 |
Three years prior | 1 | 2 |
Four years prior | 2 | 2 |
Prior | 2 | 1 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | $ 7 | $ 9 |
Asset Quality - Aging Analysis
Asset Quality - Aging Analysis of Past Due and Current Loans (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 100,730 | $ 101,185 |
Accrued interest | 225 | 241 |
Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 69,830 | 71,980 |
Accrued interest | 127 | 140 |
Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 30,900 | 29,205 |
Accrued interest | 97 | 101 |
Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 50,672 | 52,907 |
Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 12,965 | 12,687 |
Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,132 | 1,987 |
Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 15,097 | 14,674 |
Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4,061 | 4,399 |
Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 12,131 | 9,298 |
Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 9,047 | 9,360 |
Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 5,049 | 4,714 |
Commercial credit card | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 135 | 127 |
Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 923 | 989 |
Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 3,750 | 4,844 |
Financial Asset, Not Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 99,772 | 100,073 |
Financial Asset, Not Past Due | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 69,227 | 71,299 |
Financial Asset, Not Past Due | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 30,545 | 28,774 |
Financial Asset, Not Past Due | Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 50,188 | 52,396 |
Financial Asset, Not Past Due | Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 12,865 | 12,548 |
Financial Asset, Not Past Due | Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,131 | 1,986 |
Financial Asset, Not Past Due | Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 14,996 | 14,534 |
Financial Asset, Not Past Due | Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4,043 | 4,369 |
Financial Asset, Not Past Due | Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 12,023 | 9,173 |
Financial Asset, Not Past Due | Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 8,861 | 9,143 |
Financial Asset, Not Past Due | Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 5,035 | 4,694 |
Financial Asset, Not Past Due | Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 909 | 972 |
Financial Asset, Not Past Due | Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 3,717 | 4,792 |
30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 142 | 148 |
30-59 Days Past Due | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 90 | 66 |
30-59 Days Past Due | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 52 | 82 |
30-59 Days Past Due | Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 71 | 36 |
30-59 Days Past Due | Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 12 | 9 |
30-59 Days Past Due | Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
30-59 Days Past Due | Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 12 | 9 |
30-59 Days Past Due | Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 21 |
30-59 Days Past Due | Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 11 |
30-59 Days Past Due | Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 23 | 34 |
30-59 Days Past Due | Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 5 | 7 |
30-59 Days Past Due | Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 3 | 5 |
30-59 Days Past Due | Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 14 | 25 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 48 | 93 |
60-89 Days Past Due | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 28 | 56 |
60-89 Days Past Due | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 20 | 37 |
60-89 Days Past Due | Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 19 | 50 |
60-89 Days Past Due | Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 5 |
60-89 Days Past Due | Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1 | 0 |
60-89 Days Past Due | Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 8 | 5 |
60-89 Days Past Due | Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1 | 1 |
60-89 Days Past Due | Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2 | 3 |
60-89 Days Past Due | Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 10 | 20 |
60-89 Days Past Due | Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2 | 4 |
60-89 Days Past Due | Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2 | 3 |
60-89 Days Past Due | Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4 | 7 |
90 and Greater Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 74 | 86 |
90 and Greater Days Past Due | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 57 | 62 |
90 and Greater Days Past Due | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 17 | 24 |
90 and Greater Days Past Due | Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 39 | 40 |
90 and Greater Days Past Due | Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 15 | 21 |
90 and Greater Days Past Due | Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 1 |
90 and Greater Days Past Due | Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 15 | 22 |
90 and Greater Days Past Due | Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 3 | 0 |
90 and Greater Days Past Due | Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 1 |
90 and Greater Days Past Due | Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 9 |
90 and Greater Days Past Due | Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 3 | 4 |
90 and Greater Days Past Due | Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 6 | 7 |
90 and Greater Days Past Due | Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1 | 3 |
Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 958 | 1,112 |
Financial Asset, Past Due | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 603 | 681 |
Financial Asset, Past Due | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 355 | 431 |
Financial Asset, Past Due | Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 484 | 511 |
Financial Asset, Past Due | Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 100 | 139 |
Financial Asset, Past Due | Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1 | 1 |
Financial Asset, Past Due | Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 101 | 140 |
Financial Asset, Past Due | Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 18 | 30 |
Financial Asset, Past Due | Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 108 | 125 |
Financial Asset, Past Due | Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 186 | 217 |
Financial Asset, Past Due | Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 14 | 20 |
Financial Asset, Past Due | Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 14 | 17 |
Financial Asset, Past Due | Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 33 | 52 |
Nonperforming financial instruments | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 694 | 785 |
Nonperforming financial instruments | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 428 | 497 |
Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 266 | 288 |
Nonperforming financial instruments | Commercial and Industrial | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 355 | 385 |
Nonperforming financial instruments | Commercial mortgage | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 66 | 104 |
Nonperforming financial instruments | Commercial real estate: Construction | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
Nonperforming financial instruments | Commercial real estate loans | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 66 | 104 |
Nonperforming financial instruments | Commercial lease financing | Commercial Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7 | 8 |
Nonperforming financial instruments | Real estate — residential mortgage | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 99 | 110 |
Nonperforming financial instruments | Home equity loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 146 | 154 |
Nonperforming financial instruments | Consumer direct loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4 | 5 |
Nonperforming financial instruments | Commercial credit card | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 3 | 2 |
Nonperforming financial instruments | Consumer indirect loans | Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 14 | $ 17 |
Asset Quality - Post-Modificati
Asset Quality - Post-Modification Outstanding Recorded Investment by Concession Type for Our Commercial Accruing and Nonaccruing TDRs (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Total commercial and consumer TDRs | $ 22 | $ 18 | $ 60 | $ 34 |
Commercial Loans | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Extension of Maturity Date | 0 | 8 | 26 | 8 |
Payment or Covenant Modification/Deferment | 16 | 0 | 23 | 0 |
Bankruptcy Plan Modification | 0 | 0 | 0 | 0 |
Increase in new commitment or new money | 0 | 4 | 0 | 4 |
Total | 16 | 12 | 49 | 12 |
Consumer Loans | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Interest rate reduction | 2 | 1 | 4 | 9 |
Other | 4 | 5 | 7 | 13 |
Total | $ 6 | $ 6 | $ 11 | $ 22 |
Asset Quality - Summary of Post
Asset Quality - Summary of Post-Modification Outstanding Recorded Investment TDRs (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Financing Receivables, Modifications, Rollforward [Roll Forward] | ||||
Balance at beginning of the period | $ 376 | $ 340 | $ 363 | $ 347 |
Additions | 22 | 22 | 81 | 39 |
Payments | (60) | (35) | (81) | (53) |
Charge-offs | (4) | (17) | (29) | (23) |
Balance at end of period | $ 334 | $ 310 | $ 334 | $ 310 |
Asset Quality - Breakdown of No
Asset Quality - Breakdown of Nonperforming TDRs by Loans Category (Details) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021USD ($)SecurityLoan | Dec. 31, 2020USD ($)SecurityLoan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 5,730 | 6,133 |
Pre-modification Outstanding Recorded Investment | $ 460 | $ 478 |
Post-modification Outstanding Recorded Investment | $ 334 | $ 363 |
Prior-Year accruing | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 3,713 | 3,743 |
Pre-modification Outstanding Recorded Investment | $ 204 | $ 184 |
Post-modification Outstanding Recorded Investment | $ 157 | $ 134 |
Prior-Year accruing | Commercial Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 13 | 3 |
Pre-modification Outstanding Recorded Investment | $ 26 | $ 5 |
Post-modification Outstanding Recorded Investment | $ 25 | $ 0 |
Prior-Year accruing | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 3,700 | 3,740 |
Pre-modification Outstanding Recorded Investment | $ 178 | $ 179 |
Post-modification Outstanding Recorded Investment | $ 132 | $ 134 |
Nonperforming financial instruments | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 2,017 | 2,390 |
Pre-modification Outstanding Recorded Investment | $ 256 | $ 294 |
Post-modification Outstanding Recorded Investment | $ 177 | $ 229 |
Nonperforming financial instruments | Commercial Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 45 | 73 |
Pre-modification Outstanding Recorded Investment | $ 178 | $ 198 |
Post-modification Outstanding Recorded Investment | $ 110 | $ 142 |
Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 1,972 | 2,317 |
Pre-modification Outstanding Recorded Investment | $ 78 | $ 96 |
Post-modification Outstanding Recorded Investment | $ 67 | $ 87 |
Commercial and Industrial | Prior-Year accruing | Commercial Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 13 | 3 |
Pre-modification Outstanding Recorded Investment | $ 26 | $ 5 |
Post-modification Outstanding Recorded Investment | $ 25 | $ 0 |
Commercial and Industrial | Nonperforming financial instruments | Commercial Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 41 | 66 |
Pre-modification Outstanding Recorded Investment | $ 112 | $ 136 |
Post-modification Outstanding Recorded Investment | $ 65 | $ 92 |
Commercial mortgage | Prior-Year accruing | Commercial Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 0 | 0 |
Pre-modification Outstanding Recorded Investment | $ 0 | $ 0 |
Post-modification Outstanding Recorded Investment | $ 0 | $ 0 |
Commercial mortgage | Nonperforming financial instruments | Commercial Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 4 | 7 |
Pre-modification Outstanding Recorded Investment | $ 66 | $ 62 |
Post-modification Outstanding Recorded Investment | $ 45 | $ 50 |
Commercial real estate loans | Prior-Year accruing | Commercial Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 0 | 0 |
Pre-modification Outstanding Recorded Investment | $ 0 | $ 0 |
Post-modification Outstanding Recorded Investment | $ 0 | $ 0 |
Commercial real estate loans | Nonperforming financial instruments | Commercial Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 4 | 7 |
Pre-modification Outstanding Recorded Investment | $ 66 | $ 62 |
Post-modification Outstanding Recorded Investment | $ 45 | $ 50 |
Real estate — residential mortgage | Prior-Year accruing | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 480 | 485 |
Pre-modification Outstanding Recorded Investment | $ 40 | $ 37 |
Post-modification Outstanding Recorded Investment | $ 34 | $ 31 |
Real estate — residential mortgage | Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 214 | 258 |
Pre-modification Outstanding Recorded Investment | $ 25 | $ 35 |
Post-modification Outstanding Recorded Investment | $ 23 | $ 34 |
Home equity loans | Prior-Year accruing | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 1,717 | 1,781 |
Pre-modification Outstanding Recorded Investment | $ 103 | $ 106 |
Post-modification Outstanding Recorded Investment | $ 81 | $ 83 |
Home equity loans | Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 532 | 630 |
Pre-modification Outstanding Recorded Investment | $ 35 | $ 41 |
Post-modification Outstanding Recorded Investment | $ 30 | $ 37 |
Consumer direct loans | Prior-Year accruing | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 200 | 163 |
Pre-modification Outstanding Recorded Investment | $ 5 | $ 4 |
Post-modification Outstanding Recorded Investment | $ 2 | $ 3 |
Consumer direct loans | Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 200 | 212 |
Pre-modification Outstanding Recorded Investment | $ 3 | $ 3 |
Post-modification Outstanding Recorded Investment | $ 3 | $ 3 |
Credit cards | Prior-Year accruing | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 598 | 536 |
Pre-modification Outstanding Recorded Investment | $ 4 | $ 3 |
Post-modification Outstanding Recorded Investment | $ 1 | $ 1 |
Credit cards | Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 291 | 356 |
Pre-modification Outstanding Recorded Investment | $ 2 | $ 2 |
Post-modification Outstanding Recorded Investment | $ 2 | $ 2 |
Consumer indirect loans | Prior-Year accruing | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 705 | 775 |
Pre-modification Outstanding Recorded Investment | $ 26 | $ 29 |
Post-modification Outstanding Recorded Investment | $ 14 | $ 16 |
Consumer indirect loans | Nonperforming financial instruments | Consumer Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | SecurityLoan | 735 | 861 |
Pre-modification Outstanding Recorded Investment | $ 13 | $ 15 |
Post-modification Outstanding Recorded Investment | $ 9 | $ 11 |
Asset Quality - Changes in Liab
Asset Quality - Changes in Liability for Credit Losses on Lending Related Commitments (Details) - USD ($) $ in Millions | Jan. 01, 2020 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 |
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||||||||
Balance at the end of the prior period | $ 68 | $ 178 | $ 197 | $ 161 | $ 68 | $ 197 | $ 68 | $ 68 | |
Liability for credit losses on contingent guarantees at the end of the prior period | 0 | 0 | 0 | $ 7 | |||||
Balance at beginning of period | 152 | 178 | 198 | 161 | 152 | 198 | 197 | 68 | |
Provision (credit) for losses on off balance sheet exposures | (26) | 37 | (45) | 57 | |||||
Balance at end of period | 152 | 178 | 198 | 161 | 152 | 198 | 197 | 68 | |
Impact of ASC 326 Adoption | |||||||||
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||||||||
Cumulative effect from changes in accounting principle | 0 | 0 | 0 | 66 | |||||
Cumulative Effect, Period of Adoption, Adjusted Balance | |||||||||
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||||||||
Balance at the end of the prior period | 141 | $ 178 | 197 | $ 161 | 141 | $ 197 | $ 141 | 141 | |
Balance at beginning of period | 178 | 161 | 197 | 141 | |||||
Balance at end of period | $ 178 | $ 161 | $ 197 | $ 141 | |||||
Other Financial Assets | Impact of ASC 326 Adoption | |||||||||
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||||||||
Cumulative effect from changes in accounting principle | $ 4 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | $ 851 | $ 735 |
Securities available for sale | 34,638 | 27,556 |
Loans, net of unearned income (residential) | 100,730 | 101,185 |
Derivative assets, netting adjustments | (251) | (380) |
Total derivative assets | 2,160 | 1,798 |
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, netting adjustments | (1,428) | (675) |
Other | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 13 | |
Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 836 | 717 |
Commercial loans | 15 | 18 |
Total trading account assets | 851 | 735 |
Securities available for sale | 34,638 | 27,556 |
Total other investments | 93 | 81 |
Loans, net of unearned income (residential) | 11 | 11 |
Loans held for sale (residential) | 231 | 264 |
Derivative assets, gross | 2,411 | 2,178 |
Derivative assets, netting adjustments | (251) | (380) |
Total derivative assets | 2,160 | 1,798 |
Accrued income and other assets | 0 | 0 |
Total assets at fair value | 37,984 | 30,445 |
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Total liabilities on a recurring basis at fair value | 892 | 910 |
Recurring | U.S. Treasury, agencies and corporations | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 631 | 633 |
Securities available for sale | 4,886 | 1,000 |
Recurring | States and political subdivisions | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 86 | 24 |
Securities available for sale | 0 | 0 |
Recurring | Other securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 13 | 13 |
Securities available for sale | 22 | 13 |
Recurring | Agency commercial mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 10,478 | 10,106 |
Recurring | Principal investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 1 | 1 |
Recurring | Principal Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 54 | 54 |
Recurring | Equity Investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 20 | 13 |
Recurring | Equity Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 39 | 27 |
Recurring | Mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 106 | 47 |
Recurring | Mortgage-backed securities | Agency residential mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 4,878 | 2,164 |
Recurring | Short positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Short positions | 723 | 759 |
Recurring | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 1,597 | 826 |
Derivative liabilities, netting adjustments | (1,428) | (675) |
Total derivative liabilities | 169 | 151 |
Recurring | Interest rate | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 1,105 | 1,584 |
Recurring | Interest rate | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 289 | 288 |
Recurring | Foreign exchange | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 87 | 109 |
Recurring | Foreign exchange | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 83 | 103 |
Recurring | Commodity | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 1,198 | 426 |
Recurring | Commodity | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 1,205 | 408 |
Recurring | Credit | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 1 | 1 |
Recurring | Credit | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 8 | 11 |
Recurring | Other | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 20 | 58 |
Recurring | Other | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 12 | 16 |
Level 1 | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Commercial loans | 0 | 0 |
Total trading account assets | 0 | 0 |
Securities available for sale | 0 | 0 |
Total other investments | 11 | 0 |
Loans, net of unearned income (residential) | 0 | 0 |
Loans held for sale (residential) | 0 | 0 |
Derivative assets, gross | 65 | 78 |
Derivative assets, netting adjustments | 0 | 0 |
Total derivative assets | 65 | 78 |
Accrued income and other assets | 0 | 0 |
Total assets at fair value | 76 | 78 |
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Total liabilities on a recurring basis at fair value | 273 | 328 |
Level 1 | Recurring | U.S. Treasury, agencies and corporations | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Securities available for sale | 0 | 0 |
Level 1 | Recurring | States and political subdivisions | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Securities available for sale | 0 | 0 |
Level 1 | Recurring | Other securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Securities available for sale | 0 | 0 |
Level 1 | Recurring | Agency commercial mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 0 | 0 |
Level 1 | Recurring | Principal investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 0 | 0 |
Level 1 | Recurring | Principal Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 0 | 0 |
Level 1 | Recurring | Equity Investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 11 | 0 |
Level 1 | Recurring | Equity Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 11 | 0 |
Level 1 | Recurring | Mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Level 1 | Recurring | Mortgage-backed securities | Agency residential mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 0 | 0 |
Level 1 | Recurring | Short positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Short positions | 211 | 256 |
Level 1 | Recurring | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 62 | 72 |
Derivative liabilities, netting adjustments | 0 | 0 |
Total derivative liabilities | 62 | 72 |
Level 1 | Recurring | Interest rate | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 0 |
Level 1 | Recurring | Interest rate | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 1 | Recurring | Foreign exchange | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 65 | 78 |
Level 1 | Recurring | Foreign exchange | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 62 | 72 |
Level 1 | Recurring | Commodity | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 0 |
Level 1 | Recurring | Commodity | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 1 | Recurring | Credit | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 0 |
Level 1 | Recurring | Credit | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 1 | Recurring | Other | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 0 |
Level 1 | Recurring | Other | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 2 | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 836 | 717 |
Commercial loans | 15 | 18 |
Total trading account assets | 851 | 735 |
Securities available for sale | 34,616 | 27,543 |
Total other investments | 0 | 0 |
Loans, net of unearned income (residential) | 0 | 0 |
Loans held for sale (residential) | 231 | 264 |
Derivative assets, gross | 2,297 | 2,009 |
Derivative assets, netting adjustments | 0 | 0 |
Total derivative assets | 2,297 | 2,009 |
Accrued income and other assets | 0 | 0 |
Total assets at fair value | 37,995 | 30,551 |
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Total liabilities on a recurring basis at fair value | 2,041 | 1,246 |
Level 2 | Recurring | U.S. Treasury, agencies and corporations | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 631 | 633 |
Securities available for sale | 4,886 | 1,000 |
Level 2 | Recurring | States and political subdivisions | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 86 | 24 |
Securities available for sale | 0 | 0 |
Level 2 | Recurring | Other securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 13 | 13 |
Securities available for sale | 0 | 0 |
Level 2 | Recurring | Agency commercial mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 10,478 | 10,106 |
Level 2 | Recurring | Principal investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 0 | 0 |
Level 2 | Recurring | Principal Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 0 | 0 |
Level 2 | Recurring | Equity Investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 0 | 0 |
Level 2 | Recurring | Equity Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 0 | 0 |
Level 2 | Recurring | Mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 106 | 47 |
Level 2 | Recurring | Mortgage-backed securities | Agency residential mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 4,878 | 2,164 |
Level 2 | Recurring | Short positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Short positions | 512 | 503 |
Level 2 | Recurring | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 1,529 | 743 |
Derivative liabilities, netting adjustments | 0 | 0 |
Total derivative liabilities | 1,529 | 743 |
Level 2 | Recurring | Interest rate | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 1,070 | 1,528 |
Level 2 | Recurring | Interest rate | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 289 | 288 |
Level 2 | Recurring | Foreign exchange | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 22 | 31 |
Level 2 | Recurring | Foreign exchange | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 21 | 31 |
Level 2 | Recurring | Commodity | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 1,198 | 424 |
Level 2 | Recurring | Commodity | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 1,205 | 408 |
Level 2 | Recurring | Credit | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 0 |
Level 2 | Recurring | Credit | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 2 | 0 |
Level 2 | Recurring | Other | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 7 | 26 |
Level 2 | Recurring | Other | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 12 | 16 |
Level 3 | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Commercial loans | 0 | 0 |
Total trading account assets | 0 | 0 |
Securities available for sale | 22 | 13 |
Total other investments | 10 | 14 |
Loans, net of unearned income (residential) | 11 | 11 |
Loans held for sale (residential) | 0 | 0 |
Derivative assets, gross | 49 | 91 |
Derivative assets, netting adjustments | 0 | 0 |
Total derivative assets | 49 | 91 |
Accrued income and other assets | 0 | 0 |
Total assets at fair value | 92 | 129 |
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Total liabilities on a recurring basis at fair value | 6 | 11 |
Level 3 | Recurring | U.S. Treasury, agencies and corporations | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Securities available for sale | 0 | 0 |
Level 3 | Recurring | States and political subdivisions | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Securities available for sale | 0 | 0 |
Level 3 | Recurring | Other securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Securities available for sale | 22 | 13 |
Level 3 | Recurring | Agency commercial mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 0 | 0 |
Level 3 | Recurring | Principal investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 1 | 1 |
Level 3 | Recurring | Principal Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 1 | 1 |
Level 3 | Recurring | Equity Investments, Direct | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 9 | 13 |
Level 3 | Recurring | Equity Investments | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 9 | 13 |
Level 3 | Recurring | Mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total trading account securities | 0 | 0 |
Level 3 | Recurring | Mortgage-backed securities | Agency residential mortgage-backed securities | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 0 | 0 |
Level 3 | Recurring | Short positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Short positions | 0 | 0 |
Level 3 | Recurring | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 6 | 11 |
Derivative liabilities, netting adjustments | 0 | 0 |
Total derivative liabilities | 6 | 11 |
Level 3 | Recurring | Interest rate | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 35 | 56 |
Level 3 | Recurring | Interest rate | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 3 | Recurring | Foreign exchange | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 0 |
Level 3 | Recurring | Foreign exchange | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 3 | Recurring | Commodity | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 0 | 2 |
Level 3 | Recurring | Commodity | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Level 3 | Recurring | Credit | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 1 | 1 |
Level 3 | Recurring | Credit | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 6 | 11 |
Level 3 | Recurring | Other | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Derivative assets, gross | 32 | |
Level 3 | Recurring | Other | Long positions | ||
LIABILITIES MEASURED ON A RECURRING BASIS | ||
Derivative liabilities, gross | 0 | 0 |
Measured at NAV | Recurring | Equity Investments Direct, NAV | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 12 | 7 |
Measured at NAV | Recurring | Equity Investments Indirect, NAV | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | 7 | 7 |
Agency residential collateralized mortgage obligations | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 14,374 | 14,273 |
Agency residential collateralized mortgage obligations | Level 1 | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 0 | 0 |
Agency residential collateralized mortgage obligations | Level 2 | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 14,374 | 14,273 |
Agency residential collateralized mortgage obligations | Level 3 | Recurring | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Securities available for sale | 0 | 0 |
Variable Interest Entity, Not Primary Beneficiary | Measured at NAV | Recurring | Principal Investments, Indirect | ||
ASSETS MEASURED ON A RECURRING BASIS | ||
Total other investments | $ 53 | $ 53 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans, net of allowance | $ 99,510,000,000 | $ 99,559,000,000 |
Other equity investments | 169,000,000 | 171,000,000 |
Impairment loss | 0 | |
Discontinued Operations | Education Lending | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans at fair value | 2,000,000 | 2,000,000 |
Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans at fair value | 11,000,000 | 11,000,000 |
Carrying Amount | Discontinued Operations | Education Lending | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans, net of allowance | 636,000,000 | 674,000,000 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans at fair value | 11,000,000 | 11,000,000 |
Fair Value | Nonrecurring | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities measured at fair value on non recurring basis | 0 | 0 |
Fair Value | Discontinued Operations | Education Lending | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans, net of allowance | 538,000,000 | 567,000,000 |
Level 3 | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans at fair value | $ 11,000,000 | $ 11,000,000 |
Fair Value Measurements - Fai_2
Fair Value Measurements - Fair Value of Direct and Indirect Investments, Related Unfunded Commitments and Financial Support Provided (Details) - Principal Investments - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||||
Fair Value | $ 54 | $ 54 | ||
Unfunded Commitments | 13 | 13 | ||
Funded Commitments | 2 | $ 0 | 4 | $ 0 |
Funded Other | 0 | 0 | 0 | 0 |
Direct investments | ||||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||||
Fair Value | 1 | 1 | ||
Unfunded Commitments | 0 | 0 | ||
Funded Commitments | 0 | 0 | 0 | 0 |
Funded Other | 0 | 0 | 0 | 0 |
Indirect investments (measured at NAV) | ||||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||||
Fair Value | 53 | 53 | ||
Unfunded Commitments | 13 | 13 | ||
Funded Commitments | 2 | 0 | 4 | 0 |
Funded Other | $ 0 | $ 0 | $ 0 | $ 0 |
Fair Value Measurements - Chang
Fair Value Measurements - Change in Fair Values of Level 3 Financial Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Other investments | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | $ 9 | $ 10 | $ 13 | $ 12 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | |
Gains (Losses) Included in Earnings | 0 | 2 | (1) | 0 |
Purchases | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | |
Transfers Other | 0 | 0 | 0 | |
Transfers into Level 3 | 0 | 0 | 0 | |
Transfers out of Level 3 | 0 | (3) | 0 | |
End of Period Balance | 9 | 12 | 9 | 12 |
Unrealized Gains (Losses) Included in Earnings | 0 | 2 | (1) | 0 |
Other investments | Principal investments, Direct | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 1 | 1 | 1 | 1 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | 0 |
Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers Other | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
End of Period Balance | 1 | 1 | 1 | 1 |
Unrealized Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Securities available for sale | Other securities | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 22 | 9 | 13 | 11 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 3 | 9 | 1 |
Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Transfers Other | 0 | 0 | 0 | |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | |
End of Period Balance | 22 | 12 | 22 | 12 |
Unrealized Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Interest rate | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 30 | 96 | 56 | 22 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | |
Gains (Losses) Included in Earnings | 7 | 3 | (15) | 22 |
Purchases | 0 | 1 | 11 | |
Sales | (2) | (7) | (1) | |
Settlements | 0 | 0 | 0 | |
Transfers Other | 0 | 0 | 0 | |
Transfers into Level 3 | 5 | 7 | 12 | 62 |
Transfers out of Level 3 | (5) | (54) | (12) | (64) |
End of Period Balance | 35 | 52 | 35 | 52 |
Unrealized Gains (Losses) Included in Earnings | 0 | 0 | 0 | |
Credit | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | (5) | (23) | (10) | (8) |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | 0 |
Gains (Losses) Included in Earnings | 0 | 6 | 5 | (10) |
Purchases | 0 | 0 | 0 | 1 |
Sales | 0 | 0 | ||
Settlements | 0 | 0 | 0 | 0 |
Transfers Other | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | ||
End of Period Balance | (5) | (17) | (5) | (17) |
Unrealized Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Other | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 6 | 23 | 32 | 5 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | 0 |
Gains (Losses) Included in Earnings | 1 | 0 | (3) | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 |
Transfers Other | (6) | (23) | (16) | 41 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | |
End of Period Balance | 13 | 46 | 13 | 46 |
Unrealized Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Loans held for sale (residential) | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 0 | 10 | 0 | 0 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | 0 |
Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | (10) | (1) | (10) |
Settlements | 0 | 0 | 0 | 0 |
Transfers Other | 0 | 0 | 1 | 10 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
End of Period Balance | 0 | 0 | 0 | 0 |
Unrealized Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Loans, net of unearned income (residential) | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 11 | 3 | 11 | 4 |
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | 0 | 0 |
Gains (Losses) Included in Earnings | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | (1) | (1) |
Settlements | 0 | 0 | 0 | 0 |
Transfers Other | 0 | (2) | 1 | 2 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
End of Period Balance | 11 | 5 | 11 | 5 |
Unrealized Gains (Losses) Included in Earnings | $ 0 | 0 | $ 0 | 0 |
Trading account assets | Other mortgage-backed securities | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning of Period Balance | 0 | 0 | ||
Gains (Losses) Included in Other Comprehensive Income | 0 | 0 | ||
Gains (Losses) Included in Earnings | 0 | 0 | ||
Purchases | 0 | 0 | ||
Sales | 0 | 0 | ||
Settlements | 0 | 0 | ||
Transfers Other | 0 | 0 | ||
Transfers into Level 3 | 36 | 36 | ||
Transfers out of Level 3 | 0 | |||
End of Period Balance | 36 | 36 | ||
Unrealized Gains (Losses) Included in Earnings | $ 0 | $ 0 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Details) - Nonrecurring - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
ASSETS MEASURED ON A NONRECURRING BASIS | ||
Collateral-dependent loans | $ 36 | $ 108 |
Accrued income and other assets | 101 | 56 |
Total assets at fair value | 137 | 164 |
Level 1 | ||
ASSETS MEASURED ON A NONRECURRING BASIS | ||
Collateral-dependent loans | 0 | 0 |
Accrued income and other assets | 0 | 0 |
Total assets at fair value | 0 | 0 |
Level 2 | ||
ASSETS MEASURED ON A NONRECURRING BASIS | ||
Collateral-dependent loans | 0 | 0 |
Accrued income and other assets | 0 | 0 |
Total assets at fair value | 0 | 0 |
Level 3 | ||
ASSETS MEASURED ON A NONRECURRING BASIS | ||
Collateral-dependent loans | 36 | 108 |
Accrued income and other assets | 101 | 56 |
Total assets at fair value | $ 137 | $ 164 |
Fair Value Measurements - Quant
Fair Value Measurements - Quantitative Information about Level 3 Fair Value Measurements (Details) $ in Millions | Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale | $ 34,638 | $ 27,556 |
Derivative assets | 2,160 | 1,798 |
Mortgage servicing assets excluded from OREO | 88 | 40 |
Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale | 34,638 | 27,556 |
Other investments | 93 | 81 |
Derivative assets | 2,160 | 1,798 |
Nonrecurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Impaired loans | 36 | 108 |
Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale | 22 | 13 |
Other investments | 10 | 14 |
Derivative assets | 49 | 91 |
Level 3 | Nonrecurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Impaired loans | 36 | 108 |
Valuation Technique, Discounted Cash Flow | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Other investments | $ 9 | $ 13 |
Valuation Technique, Discounted Cash Flow | Measurement Input, Discount Rate | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale, measurement input | 0.1661 | 0.1509 |
Valuation Technique, Discounted Cash Flow | Measurement Input, Discount Rate | Level 3 | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Other investments, measurement input | 0.1390 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Discount Rate | Level 3 | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Other investments, measurement input | 0.1704 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Discount Rate | Level 3 | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Other investments, measurement input | 0.1415 | 0.1547 |
Valuation Technique, Discounted Cash Flow | Measurement Input, Discount Marketability | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale, measurement input | 0.3000 | 0.3000 |
Other investments, measurement input | 0.3000 | |
Valuation Technique, Discounted Cash Flow | Measurement Input, Price Volatility | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale, measurement input | 0.5500 | 0.4400 |
Other investments, measurement input | 0.5200 | |
Valuation, Market Comparable Pricing | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Loans, net of unearned income (residential) | $ 11 | $ 11 |
Valuation, Market Comparable Pricing | Measurement Input, Comparability Adjustment | Level 3 | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Loans, net of unearned income (residential), measurement input | 0.8088 | 0.6450 |
Valuation, Market Comparable Pricing | Measurement Input, Comparability Adjustment | Level 3 | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Loans, net of unearned income (residential), measurement input | 0.9837 | 0.9904 |
Valuation, Market Comparable Pricing | Measurement Input, Comparability Adjustment | Level 3 | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Loans, net of unearned income (residential), measurement input | 0.9496 | 0.9417 |
Valuation, Fair Value Of Underlying Collateral | Level 3 | Nonrecurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Impaired loans | $ 36 | $ 108 |
Valuation, Fair Value Of Underlying Collateral | Measurement Input, Discount Rate | Nonrecurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Impaired loans, measurement input | 0 | 0 |
Valuation, Fair Value Of Underlying Collateral | Measurement Input, Discount Rate | Nonrecurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Impaired loans, measurement input | 1 | 1 |
Valuation, Fair Value Of Underlying Collateral | Measurement Input, Discount Rate | Nonrecurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Impaired loans, measurement input | 0.2800 | 0.3600 |
Valuation, Appraised Value | Level 3 | Nonrecurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
OREO and other Level 3 assets | $ 13 | $ 16 |
Interest rate | Valuation Technique, Discounted Cash Flow | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets | $ 35 | $ 56 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Default Rate | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.0002 | 0.0002 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Default Rate | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1 | 1 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Default Rate | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.0750 | 0.0790 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Internal Risk Rating | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1 | 1 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Internal Risk Rating | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 19 | 19 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Internal Risk Rating | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 9.803 | 9.675 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Loss Given Default | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0 | 0 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Loss Given Default | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1 | 1 |
Interest rate | Valuation Technique, Discounted Cash Flow | Measurement Input, Loss Given Default | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.485 | 0.483 |
Credit | Valuation Technique, Discounted Cash Flow | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets | $ 1 | $ 1 |
Derivative liabilities | $ (6) | $ (11) |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Default Rate | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.0002 | 0.0002 |
Derivative liabilities, measurement input | 0.0002 | 0.0002 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Default Rate | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1 | 1 |
Derivative liabilities, measurement input | 1 | 1 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Default Rate | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.0320 | 0.0470 |
Derivative liabilities, measurement input | 0.1415 | 0.1545 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Internal Risk Rating | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1 | 1 |
Derivative liabilities, measurement input | 1 | 1 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Internal Risk Rating | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 19 | 19 |
Derivative liabilities, measurement input | 19 | 19 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Internal Risk Rating | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 9.331 | 10.478 |
Derivative liabilities, measurement input | 8.546 | 8.555 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Loss Given Default | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0 | 0 |
Derivative liabilities, measurement input | 0 | 0 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Loss Given Default | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1 | 1 |
Derivative liabilities, measurement input | 1 | 1 |
Credit | Valuation Technique, Discounted Cash Flow | Measurement Input, Loss Given Default | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.491 | 0.490 |
Derivative liabilities, measurement input | 0.429 | 0.431 |
Other | Valuation Technique, Discounted Cash Flow | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets | $ 13 | $ 32 |
Other | Valuation Technique, Discounted Cash Flow | Measurement Input, Loan Closing Rates | Recurring | Minimum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.0243 | 0.3695 |
Other | Valuation Technique, Discounted Cash Flow | Measurement Input, Loan Closing Rates | Recurring | Maximum | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 1.0366 | 0.9968 |
Other | Valuation Technique, Discounted Cash Flow | Measurement Input, Loan Closing Rates | Recurring | Weighted Average | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Derivative assets, measurement input | 0.8692 | 0.7751 |
Other securities | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale | $ 22 | $ 13 |
Other securities | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale | 22 | 13 |
Other securities | Valuation Technique, Discounted Cash Flow | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Securities available for sale | 22 | 13 |
Principal investments, Direct | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Other investments | 1 | 1 |
Principal investments, Direct | Level 3 | Recurring | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Other investments | $ 1 | $ 1 |
Fair Value Measurements - Fai_3
Fair Value Measurements - Fair Value Disclosures of Financial Instruments (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 | |
ASSETS | |||
Trading account assets | $ 851 | $ 735 | |
Derivative assets | 2,160 | 1,798 | |
Securities available for sale | 34,638 | 27,556 | |
Amortized cost | 6,175 | 7,595 | |
Held-to-maturity securities | 6,474 | 8,023 | |
Loans, net of unearned income (residential) | 100,730 | 101,185 | |
Loans held for sale | [1] | 1,537 | 1,583 |
LIABILITIES | |||
Long-term debt | 13,211 | 13,709 | |
Carrying Amount | |||
ASSETS | |||
Trading account assets | 851 | 735 | |
Other investments | 635 | 621 | |
Loans, net of unearned income (residential) | 11 | 11 | |
Loans held for sale | 231 | 264 | |
Securities available for sale | 34,638 | 27,556 | |
Amortized cost | 6,175 | 7,595 | |
Loans, net of unearned income (residential) | 99,499 | 99,548 | |
Loans held for sale | 1,306 | 1,319 | |
Short-term investments | 0 | ||
Cash and short-term investments | 21,252 | 17,285 | |
LIABILITIES | |||
Time deposits | 4,557 | 5,743 | |
Short-term borrowings | 934 | 979 | |
Long-term debt | 13,211 | 13,709 | |
Deposits with no stated maturity | 141,515 | 129,539 | |
Fair Value | |||
ASSETS | |||
Trading account assets | 851 | 735 | |
Other investments | 635 | 621 | |
Loans, net of unearned income (residential) | 11 | 11 | |
Loans held for sale | 231 | 264 | |
Securities available for sale | 34,638 | 27,556 | |
Held-to-maturity securities | 6,474 | 8,023 | |
Loans, net of unearned income (residential) | 99,283 | 98,946 | |
Loans held for sale | 1,306 | 1,319 | |
Short-term investments | 0 | ||
Cash and short-term investments | 21,252 | 17,285 | |
LIABILITIES | |||
Time deposits | 4,567 | 5,765 | |
Short-term borrowings | 934 | 979 | |
Long-term debt | 13,895 | 14,659 | |
Deposits with no stated maturity | 141,515 | 129,539 | |
Level 1 | Fair Value | |||
ASSETS | |||
Trading account assets | 0 | 0 | |
Other investments | 11 | 0 | |
Loans, net of unearned income (residential) | 0 | 0 | |
Loans held for sale | 0 | 0 | |
Securities available for sale | 0 | 0 | |
Held-to-maturity securities | 0 | 0 | |
Loans, net of unearned income (residential) | 0 | 0 | |
Loans held for sale | 0 | 0 | |
Short-term investments | 0 | ||
Cash and short-term investments | 21,252 | 17,285 | |
LIABILITIES | |||
Time deposits | 0 | 0 | |
Short-term borrowings | 211 | 256 | |
Long-term debt | 13,172 | 13,925 | |
Deposits with no stated maturity | 0 | 0 | |
Level 2 | Fair Value | |||
ASSETS | |||
Trading account assets | 851 | 735 | |
Other investments | 0 | 0 | |
Loans, net of unearned income (residential) | 0 | 0 | |
Loans held for sale | 231 | 264 | |
Securities available for sale | 34,616 | 27,543 | |
Held-to-maturity securities | 6,474 | 8,023 | |
Loans, net of unearned income (residential) | 0 | 0 | |
Loans held for sale | 0 | 0 | |
Short-term investments | 0 | ||
Cash and short-term investments | 0 | 0 | |
LIABILITIES | |||
Time deposits | 4,567 | 5,765 | |
Short-term borrowings | 723 | 723 | |
Long-term debt | 723 | 734 | |
Deposits with no stated maturity | 141,515 | 129,539 | |
Level 3 | Fair Value | |||
ASSETS | |||
Trading account assets | 0 | 0 | |
Other investments | 551 | 555 | |
Loans, net of unearned income (residential) | 11 | 11 | |
Loans held for sale | 0 | 0 | |
Securities available for sale | 22 | 13 | |
Held-to-maturity securities | 0 | 0 | |
Loans, net of unearned income (residential) | 99,283 | 98,946 | |
Loans held for sale | 1,306 | 1,319 | |
Short-term investments | 0 | ||
Cash and short-term investments | 0 | 0 | |
LIABILITIES | |||
Time deposits | 0 | 0 | |
Short-term borrowings | 0 | 0 | |
Long-term debt | 0 | 0 | |
Deposits with no stated maturity | 0 | 0 | |
Measured at NAV | Fair Value | |||
ASSETS | |||
Other investments | 73 | 66 | |
Derivatives Not Designated as Hedging Instruments | Carrying Amount | |||
ASSETS | |||
Derivative assets | 2,064 | 1,676 | |
LIABILITIES | |||
Derivative liabilities | 152 | 154 | |
Derivatives Not Designated as Hedging Instruments | Fair Value | |||
ASSETS | |||
Derivative assets | 2,064 | 1,675 | |
Derivative assets, Netting Adjustment | (298) | (433) | |
LIABILITIES | |||
Derivative liabilities | 152 | 154 | |
Derivative liabilities, Netting Adjustment | (1,428) | (675) | |
Derivatives Not Designated as Hedging Instruments | Level 1 | Fair Value | |||
ASSETS | |||
Derivative assets | 65 | 78 | |
LIABILITIES | |||
Derivative liabilities | 62 | 72 | |
Derivatives Not Designated as Hedging Instruments | Level 2 | Fair Value | |||
ASSETS | |||
Derivative assets | 2,248 | 1,939 | |
LIABILITIES | |||
Derivative liabilities | 1,511 | 746 | |
Derivatives Not Designated as Hedging Instruments | Level 3 | Fair Value | |||
ASSETS | |||
Derivative assets | 49 | 91 | |
LIABILITIES | |||
Derivative liabilities | 7 | 11 | |
Derivatives Designated as Hedging Instruments | Carrying Amount | |||
ASSETS | |||
Derivative assets | 96 | 123 | |
LIABILITIES | |||
Derivative liabilities | 17 | (3) | |
Derivatives Designated as Hedging Instruments | Fair Value | |||
ASSETS | |||
Derivative assets | 96 | 123 | |
Derivative assets, Netting Adjustment | 47 | 53 | |
LIABILITIES | |||
Derivative liabilities | 17 | (3) | |
Derivative liabilities, Netting Adjustment | 0 | 0 | |
Derivatives Designated as Hedging Instruments | Level 1 | Fair Value | |||
ASSETS | |||
Derivative assets | 0 | 0 | |
LIABILITIES | |||
Derivative liabilities | 0 | 0 | |
Derivatives Designated as Hedging Instruments | Level 2 | Fair Value | |||
ASSETS | |||
Derivative assets | 49 | 70 | |
LIABILITIES | |||
Derivative liabilities | 17 | (3) | |
Derivatives Designated as Hedging Instruments | Level 3 | Fair Value | |||
ASSETS | |||
Derivative assets | 0 | 0 | |
LIABILITIES | |||
Derivative liabilities | $ 0 | $ 0 | |
[1] | Total loans held for sale include real estate — residential mortgage loans held for sale at fair value of $231 million at June 30, 2021, and $264 million at December 31, 2020. |
Securities - Details of Securit
Securities - Details of Securities (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
SECURITIES AVAILABLE FOR SALE | ||
Amortized Cost | $ 34,475 | $ 26,810 |
Gross Unrealized Gains | 579 | 804 |
Gross Unrealized Losses | 416 | 58 |
Fair Value | 34,638 | 27,556 |
HELD-TO-MATURITY SECURITIES | ||
Amortized Cost | 6,175 | 7,595 |
Gross Unrealized Gains | 299 | 428 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 6,474 | 8,023 |
Accrued interest | 225 | 241 |
U.S. Treasury, agencies and corporations | ||
SECURITIES AVAILABLE FOR SALE | ||
Amortized Cost | 4,900 | 1,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 14 | 0 |
Fair Value | 4,886 | 1,000 |
Agency residential collateralized mortgage obligations | ||
SECURITIES AVAILABLE FOR SALE | ||
Amortized Cost | 14,374 | 14,001 |
Gross Unrealized Gains | 209 | 297 |
Gross Unrealized Losses | 209 | 25 |
Fair Value | 14,374 | 14,273 |
HELD-TO-MATURITY SECURITIES | ||
Amortized Cost | 2,861 | 3,775 |
Gross Unrealized Gains | 91 | 124 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 2,952 | 3,899 |
Agency residential mortgage-backed securities | ||
SECURITIES AVAILABLE FOR SALE | ||
Amortized Cost | 4,848 | 2,094 |
Gross Unrealized Gains | 58 | 70 |
Gross Unrealized Losses | 28 | 0 |
Fair Value | 4,878 | 2,164 |
HELD-TO-MATURITY SECURITIES | ||
Amortized Cost | 207 | 271 |
Gross Unrealized Gains | 8 | 14 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 215 | 285 |
Asset-backed securities | ||
HELD-TO-MATURITY SECURITIES | ||
Amortized Cost | 14 | 19 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 14 | 19 |
Other securities | ||
SECURITIES AVAILABLE FOR SALE | ||
Amortized Cost | 8 | 8 |
Gross Unrealized Gains | 14 | 5 |
Gross Unrealized Losses | 0 | |
Fair Value | 22 | 13 |
HELD-TO-MATURITY SECURITIES | ||
Amortized Cost | 16 | 15 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 16 | 15 |
Mortgage-backed securities | Agency commercial mortgage-backed securities | ||
SECURITIES AVAILABLE FOR SALE | ||
Amortized Cost | 10,345 | 9,707 |
Gross Unrealized Gains | 298 | 432 |
Gross Unrealized Losses | 165 | 33 |
Fair Value | 10,478 | 10,106 |
HELD-TO-MATURITY SECURITIES | ||
Amortized Cost | 3,077 | 3,515 |
Gross Unrealized Gains | 200 | 290 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 3,277 | 3,805 |
Securities available for sale | ||
HELD-TO-MATURITY SECURITIES | ||
Accrued interest | 66 | 42 |
Securities held-to-maturity | ||
HELD-TO-MATURITY SECURITIES | ||
Accrued interest | $ 13 | $ 15 |
Securities - Available for Sale
Securities - Available for Sale Securities (Unrealized Loss Position) (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Held-to-maturity securities: | ||
Temporarily impaired securities, fair value, less than 12 months | $ 19,329 | $ 4,830 |
Temporarily impaired securities, gross unrealized losses, less than 12 months | 414 | 58 |
Temporarily impaired securities, fair value, 12 months or longer | 104 | 29 |
Temporarily impaired securities, gross unrealized losses, 12 months or longer | 2 | 0 |
Temporarily impaired securities, fair value | 19,433 | 4,859 |
Temporarily impaired securities, gross unrealized losses | 416 | 58 |
U.S. Treasury, agencies and corporations | ||
Securities available for sale: | ||
Fair value, less than 12 months | 4,886 | |
Gross unrealized losses, less than 12 months | 14 | |
Fair value, 12 months or longer | 0 | |
Gross unrealized losses, 12 months or longer | 0 | |
Fair value | 4,886 | |
Gross unrealized losses | 14 | |
Agency residential collateralized mortgage obligations | ||
Securities available for sale: | ||
Fair value, less than 12 months | 6,366 | 2,110 |
Gross unrealized losses, less than 12 months | 207 | 25 |
Fair value, 12 months or longer | 97 | 0 |
Gross unrealized losses, 12 months or longer | 2 | 0 |
Fair value | 6,463 | 2,110 |
Gross unrealized losses | 209 | 25 |
Held-to-maturity securities: | ||
Fair value, less than 12 months | 0 | |
Gross unrealized losses, less than 12 months | 0 | |
Fair value, 12 months or longer | 24 | |
Gross unrealized losses, 12 months or longer | 0 | |
Fair value | 24 | |
Gross unrealized losses | 0 | |
Agency residential collateralized mortgage obligations | Maximum | ||
Securities available for sale: | ||
Gross unrealized losses, 12 months or longer | 1 | |
Agency commercial mortgage-backed securities | ||
Securities available for sale: | ||
Fair value, less than 12 months | 5,421 | 2,709 |
Gross unrealized losses, less than 12 months | 165 | 33 |
Fair value, 12 months or longer | 0 | 0 |
Gross unrealized losses, 12 months or longer | 0 | 0 |
Fair value | 5,421 | 2,709 |
Gross unrealized losses | 165 | 33 |
Asset-backed securities | ||
Held-to-maturity securities: | ||
Fair value, less than 12 months | 9 | |
Gross unrealized losses, less than 12 months | 0 | |
Fair value, 12 months or longer | 1 | |
Gross unrealized losses, 12 months or longer | 0 | |
Fair value | 10 | |
Gross unrealized losses | 0 | |
Asset-backed securities | Maximum | ||
Held-to-maturity securities: | ||
Gross unrealized losses | 1 | |
Other securities | ||
Held-to-maturity securities: | ||
Fair value, less than 12 months | 3 | 5 |
Gross unrealized losses, less than 12 months | 0 | 0 |
Fair value, 12 months or longer | 0 | 0 |
Gross unrealized losses, 12 months or longer | 0 | 0 |
Fair value | 3 | 5 |
Gross unrealized losses | 0 | 0 |
Other securities | Maximum | ||
Held-to-maturity securities: | ||
Gross unrealized losses, less than 12 months | 1 | |
Mortgage-backed securities | Agency residential mortgage-backed securities | ||
Securities available for sale: | ||
Fair value, less than 12 months | 2,644 | 6 |
Gross unrealized losses, less than 12 months | 28 | 0 |
Fair value, 12 months or longer | 6 | 5 |
Gross unrealized losses, 12 months or longer | 0 | 0 |
Fair value | 2,650 | 11 |
Gross unrealized losses | $ 28 | 0 |
Mortgage-backed securities | Agency residential mortgage-backed securities | Maximum | ||
Securities available for sale: | ||
Gross unrealized losses, less than 12 months | 1 | |
Gross unrealized losses, 12 months or longer | $ 1 |
Securities - Additional Informa
Securities - Additional Information (Details) $ in Billions | Jun. 30, 2021USD ($) |
Investments, Debt and Equity Securities [Abstract] | |
Loans pledged as collateral | $ 13.7 |
Securities - Securities by Matu
Securities - Securities by Maturity (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Investments, Debt and Equity Securities [Abstract] | ||
Amortized Cost of Securities Available for sale, Due in one year or less | $ 268 | |
Amortized Cost of Securities Available for sale, Due after one through five years | 15,505 | |
Amortized Cost of Securities Available for sale, Due after five through ten years | 14,962 | |
Amortized Cost of Securities Available for sale, Due after ten years | 3,740 | |
Amortized Cost | 34,475 | |
Fair Value of Securities Available for sale, Due in one year or less | 284 | |
Fair Value of Securities Available for sale, Due after one through five years | 15,821 | |
Fair Value of Securities Available for sale, Due after five through ten years | 14,923 | |
Fair Value of Securities Available for sale, Due after ten years | 3,610 | |
Total Fair Value of Securities Available For Sale | 34,638 | $ 27,556 |
Amortized Cost of Held-to-Maturity Securities, Due in one year or less | 121 | |
Amortized Cost of Held-to-Maturity Securities, Due after one through five years | 3,934 | |
Amortized Cost of Held-to-Maturity Securities, Due after five through ten years | 2,120 | |
Amortized Cost of Held-to-Maturity Securities, Due after ten years | 0 | |
Amortized Cost | 6,175 | 7,595 |
Fair Value of Held-to-Maturity Securities, Due in one year or less | 122 | |
Fair Value of Held-to-Maturity Securities, Due after one through five years | 4,085 | |
Fair Value of Held-to-Maturity Securities, Due after five through ten years | 2,267 | |
Fair Value of Held-to-Maturity Securities, Due after ten years | 0 | |
Total Fair Value of Held-to-Maturity Securities | $ 6,474 | $ 8,023 |
Derivatives and Hedging Activ_3
Derivatives and Hedging Activities - Additional Information (Details) $ in Millions | 6 Months Ended | |
Jun. 30, 2021USD ($)ratingderivative | Dec. 31, 2020USD ($)rating | |
Credit Derivatives [Line Items] | ||
Derivative assets after effects of bilateral collateral and master netting agreements | $ 96 | |
Derivative liabilities after effects of bilateral collateral and master netting agreements | 15 | |
Derivative assets not designated as hedging instruments after effects of bilateral collateral and master netting agreements, and a reserve for potential future losses | 2,100 | |
Derivative liabilities not designated as hedging instruments after effects of bilateral collateral and master netting agreements, and a reserve for potential future losses | 154 | |
Reclassify of after-tax net gains on derivative instruments from AOCI | $ 190 | |
Length of time hedge in cash flow hedge | 12 months | |
Reclassification of net losses related to terminated cash flow hedges from AOCI to income | $ 19 | |
Maximum length of time over which forecasted transactions are hedged, years | 6 years 2 months 12 days | |
Cash collateral netted against derivative assets | $ 63 | $ 63 |
Collateral netted against derivative liabilities | 1,000 | 232 |
Gross exposure on derivatives, after taking into account the effects of bilateral collateral and master netting agreements | 152 | |
Net exposure on derivatives, after taking into account, the effects of bilateral collateral and master netting agreements | 177 | |
Over-collateralization on derivatives to broker-dealers and banks, after the application of master netting agreements and collateral | 174 | |
Additional collateral held in the form of securities | 2 | |
Default reserve associated with uncollateralized contracts | 30 | |
Gross exposure on derivatives after taking into account effects of master netting agreements | 2,100 | |
Net exposure on derivatives with clients after application of master netting agreements collateral and related reserve | 2,000 | |
Net liability position totaled | 7 | $ 9 |
Banking Subsidiary | ||
Credit Derivatives [Line Items] | ||
Net liability position totaled | 1,000 | |
Derivative assets included in net liability position | 95 | |
Derivative liabilities included in net liability position | 1,100 | |
Cash and securities collateral posted | $ 1,000 | |
Number of credit risk derivatives held | derivative | 0 | |
Banking Subsidiary | Unsecured Debt | ||
Credit Derivatives [Line Items] | ||
Number of ratings above noninvestment | rating | 4 | 4 |
Banking Subsidiary | Maximum | Unsecured Debt | ||
Credit Derivatives [Line Items] | ||
Payments to terminate contracts (less than for the $1 million) | $ 3 | $ 2 |
Derivatives and Hedging Activ_4
Derivatives and Hedging Activities - Fair Values, Volume of Activity and Gain (Loss) Information Related to Derivative Instruments (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Notional Amount | $ 131,487 | $ 136,020 |
Derivative assets, netting adjustments | (251) | (380) |
Derivative Assets, net | 2,159 | 1,796 |
Derivative liabilities, netting adjustments | (1,428) | (675) |
Derivative Liabilities, net | 131 | 140 |
Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 97,470 | 99,885 |
Derivative Assets | 2,362 | 2,108 |
Derivative Liabilities | 1,580 | 829 |
Interest rate | Derivatives Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 34,017 | 36,135 |
Derivative Assets | 49 | 70 |
Derivative Liabilities | 17 | (3) |
Interest rate | Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 74,012 | 78,424 |
Derivative Assets | 1,056 | 1,514 |
Derivative Liabilities | 272 | 291 |
Foreign exchange | Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 6,142 | 6,385 |
Derivative Assets | 87 | 109 |
Derivative Liabilities | 83 | 103 |
Commodity | Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 12,928 | 9,702 |
Derivative Assets | 1,198 | 426 |
Derivative Liabilities | 1,205 | 408 |
Credit | Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 366 | 423 |
Derivative Assets | 1 | 1 |
Derivative Liabilities | 8 | 11 |
Other | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 13 | |
Other | Derivatives Not Designated as Hedging Instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 4,022 | 4,951 |
Derivative Assets | 20 | 58 |
Derivative Liabilities | 12 | 16 |
Net derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 131,487 | 136,020 |
Derivative Assets, net | 2,160 | 1,798 |
Derivative Liabilities, net | 169 | 151 |
Other collateral | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Derivative Assets, net | (1) | (2) |
Derivative Liabilities, net | $ (38) | $ (11) |
Derivatives and Hedging Activ_5
Derivatives and Hedging Activities - Cumulative Basis Adjustments on Fair Value Hedges (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Fair Value | $ 34,638 | $ 27,556 |
Long-term debt | Interest rate | ||
Derivatives, Fair Value [Line Items] | ||
Carrying amount of hedged item | 8,112 | 8,182 |
Hedge accounting basis adjustment | 242 | 416 |
Securities available for sale | Interest rate | ||
Derivatives, Fair Value [Line Items] | ||
Carrying amount of hedged item | 3,880 | 2,080 |
Hedge accounting basis adjustment | 129 | 21 |
Fair Value | 5,000 | 2,500 |
Derivatives Not Designated as Hedging Instruments | Long-term debt | Interest rate | ||
Derivatives, Fair Value [Line Items] | ||
Hedge accounting basis adjustment | $ (8) | $ (8) |
Derivatives and Hedging Activ_6
Derivatives and Hedging Activities - Effect of Fair Value and Cash Flow Hedges on Income (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Interest expense — Long-term debt | $ (54) | $ (71) | $ (114) | $ (161) | |
Interest income — Loans | 888 | 980 | 1,777 | 2,006 | |
Interest Income - securities | 133 | 121 | 263 | 250 | |
Investment banking and debt placement fees | 217 | 156 | 379 | 272 | |
Deposits | (16) | (96) | (37) | (265) | |
Other income | [1] | 13 | 33 | 64 | (55) |
Net gain (loss) on cash flow hedging relationships | |||||
Net Gains (Losses) Reclassified From OCI Into Income | 83 | (89) | 172 | 122 | |
Interest rate | Interest expense – long-term debt | Fair Value Hedging | |||||
Net gains (losses) on fair value hedging relationships | |||||
Recognized on hedged items | (31) | (5) | 173 | (299) | |
Recognized on derivatives designated as hedging instruments | 62 | 39 | (104) | 350 | |
Net income (expense) recognized on fair value hedges | 31 | 34 | 69 | 51 | |
Interest rate | Interest expense – long-term debt | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Realized gains (losses) (pre-tax) reclassified from AOCI into net income | (1) | (1) | (2) | (2) | |
Net income (expense) recognized on cash flow hedges | (1) | (1) | (2) | ||
Interest rate | Interest income – loans | Fair Value Hedging | |||||
Net gains (losses) on fair value hedging relationships | |||||
Recognized on hedged items | 0 | 0 | 0 | 0 | |
Recognized on derivatives designated as hedging instruments | 0 | 0 | 0 | 0 | |
Net income (expense) recognized on fair value hedges | 0 | 0 | 0 | 0 | |
Interest rate | Interest income – loans | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Realized gains (losses) (pre-tax) reclassified from AOCI into net income | 85 | 90 | 173 | 124 | |
Net Gains (Losses) Reclassified From OCI Into Income | 85 | 90 | 173 | 124 | |
Net income (expense) recognized on cash flow hedges | 85 | 90 | 173 | ||
Interest rate | Interest Income - securities | Fair Value Hedging | |||||
Net gains (losses) on fair value hedging relationships | |||||
Recognized on hedged items | 158 | 0 | (107) | 0 | |
Recognized on derivatives designated as hedging instruments | (159) | 0 | 108 | 0 | |
Net income (expense) recognized on fair value hedges | (1) | 0 | 1 | 0 | |
Interest rate | Interest Income - securities | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Realized gains (losses) (pre-tax) reclassified from AOCI into net income | 0 | 0 | 0 | 0 | |
Net income (expense) recognized on cash flow hedges | 0 | 0 | 0 | ||
Interest rate | Investment banking and debt placement fees | Fair Value Hedging | |||||
Net gains (losses) on fair value hedging relationships | |||||
Recognized on hedged items | 0 | 0 | 0 | 0 | |
Recognized on derivatives designated as hedging instruments | 0 | 0 | 0 | 0 | |
Net income (expense) recognized on fair value hedges | 0 | 0 | 0 | 0 | |
Interest rate | Investment banking and debt placement fees | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Realized gains (losses) (pre-tax) reclassified from AOCI into net income | 0 | ||||
Net income (expense) recognized on cash flow hedges | (1) | 0 | 1 | ||
Interest rate | Interest expense - deposits | Fair Value Hedging | |||||
Net gains (losses) on fair value hedging relationships | |||||
Recognized on hedged items | 0 | 0 | 0 | ||
Recognized on derivatives designated as hedging instruments | 0 | 0 | 0 | ||
Net income (expense) recognized on fair value hedges | 0 | 0 | 0 | ||
Interest rate | Interest expense - deposits | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Realized gains (losses) (pre-tax) reclassified from AOCI into net income | 0 | 0 | 0 | 0 | |
Net income (expense) recognized on cash flow hedges | 0 | 0 | 0 | ||
Interest rate | Other income | Fair Value Hedging | |||||
Net gains (losses) on fair value hedging relationships | |||||
Recognized on hedged items | 0 | 0 | 0 | 0 | |
Recognized on derivatives designated as hedging instruments | 0 | 0 | 0 | 0 | |
Net income (expense) recognized on fair value hedges | 0 | 0 | 0 | 0 | |
Interest rate | Other income | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Realized gains (losses) (pre-tax) reclassified from AOCI into net income | 0 | 0 | 0 | 0 | |
Net income (expense) recognized on cash flow hedges | 0 | 0 | 0 | ||
Interest rate | Investment banking and debt placement fees | Cash Flow Hedging | |||||
Net gain (loss) on cash flow hedging relationships | |||||
Net Gains (Losses) Reclassified From OCI Into Income | $ (1) | $ 0 | $ 1 | $ 0 | |
[1] | For the three and six months ended June 30, 2021, net securities gains (losses) totaled less than $1 million. For the three months ended June 30, 2021 and June 30, 2020, we did not have any impairment losses related to securities. For the three months ended June 30, 2020, we had no net securities gains (losses). For the six months ended June 30, 2020, net securities gains (losses) totaled $4 million. |
Derivatives and Hedging Activ_7
Derivatives and Hedging Activities - Derivative Instrument Cash Flow Hedge Earning Recognized by Income Statement Location (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Derivatives, Fair Value [Line Items] | ||||
Net Gains (Losses) Recognized in OCI | $ 55 | $ 71 | $ (135) | $ 598 |
Net Gains (Losses) Reclassified From OCI Into Income | 83 | (89) | 172 | 122 |
Interest income – loans | Interest rate | Cash Flow Hedges | ||||
Derivatives, Fair Value [Line Items] | ||||
Net Gains (Losses) Recognized in OCI | 61 | 62 | (142) | 624 |
Net Gains (Losses) Reclassified From OCI Into Income | 85 | 90 | 173 | 124 |
Interest expense — Long-term debt | Interest rate | Cash Flow Hedges | ||||
Derivatives, Fair Value [Line Items] | ||||
Net Gains (Losses) Recognized in OCI | (2) | (1) | 2 | (6) |
Net Gains (Losses) Reclassified From OCI Into Income | (1) | (1) | (2) | (2) |
Investment banking and debt placement fees | Interest rate | Cash Flow Hedges | ||||
Derivatives, Fair Value [Line Items] | ||||
Net Gains (Losses) Recognized in OCI | (4) | 10 | 5 | (20) |
Net Gains (Losses) Reclassified From OCI Into Income | $ (1) | $ 0 | 1 | 0 |
Other income | Foreign exchange | Net Investment Hedges | ||||
Derivatives, Fair Value [Line Items] | ||||
Net Gains (Losses) Recognized in OCI | 0 | 0 | ||
Net Gains (Losses) Reclassified From OCI Into Income | $ 0 | $ 0 |
Derivatives and Hedging Activ_8
Derivatives and Hedging Activities - Pre-Tax Net Gains (Losses) on Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | $ 22 | $ 34 | $ 19 | $ 48 |
Interest rate | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 5 | 7 | 11 | 9 |
Foreign exchange | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 11 | 8 | 23 | 20 |
Commodity | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 4 | 6 | 8 | 8 |
Credit | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | (10) | (7) | (14) | (22) |
Other | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 12 | 20 | (9) | 33 |
Corporate services income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 19 | 27 | 46 | 36 |
Corporate services income | Interest rate | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 5 | 7 | 11 | 18 |
Corporate services income | Foreign exchange | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 11 | 8 | 23 | 20 |
Corporate services income | Commodity | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 4 | 6 | 8 | 8 |
Corporate services income | Credit | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | (1) | 6 | 4 | (10) |
Corporate services income | Other | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Consumer mortgage income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 12 | 4 | 13 | 8 |
Consumer mortgage income | Interest rate | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Consumer mortgage income | Foreign exchange | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Consumer mortgage income | Commodity | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Consumer mortgage income | Credit | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Consumer mortgage income | Other | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 12 | 4 | 13 | 8 |
Other income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | (9) | 3 | (40) | 4 |
Other income | Interest rate | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | (9) |
Other income | Foreign exchange | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Other income | Commodity | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | 0 | 0 | 0 | 0 |
Other income | Credit | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | (9) | (13) | (18) | (12) |
Other income | Other | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total net gains (losses) | $ 0 | $ 16 | $ (22) | $ 25 |
Derivatives and Hedging Activ_9
Derivatives and Hedging Activities - Fair Value of Derivative Assets by Type (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Credit Derivatives [Line Items] | ||
Derivative assets before collateral | $ 2,097 | $ 1,735 |
Plus(Less): Related collateral | 63 | 63 |
Total derivative assets | 2,160 | 1,798 |
Interest rate | ||
Credit Derivatives [Line Items] | ||
Derivative assets before collateral | 985 | 1,448 |
Foreign exchange | ||
Credit Derivatives [Line Items] | ||
Derivative assets before collateral | 46 | 52 |
Commodity | ||
Credit Derivatives [Line Items] | ||
Derivative assets before collateral | 1,046 | 178 |
Credit | ||
Credit Derivatives [Line Items] | ||
Derivative assets before collateral | 0 | (1) |
Other | ||
Credit Derivatives [Line Items] | ||
Derivative assets before collateral | $ 20 | $ 58 |
Derivatives and Hedging Acti_10
Derivatives and Hedging Activities - Credit Derivatives Sold and Held (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Credit Derivatives [Line Items] | ||
Notional Amount | $ 160 | $ 227 |
Payment / Performance Risk | 0.00% | 0.00% |
Other | ||
Credit Derivatives [Line Items] | ||
Notional Amount | $ 160 | $ 227 |
Average Term (Years) | 12 years 8 months 26 days | 12 years 9 months 3 days |
Payment / Performance Risk | 18.14% | 19.53% |
Derivatives and Hedging Acti_11
Derivatives and Hedging Activities - Credit Risk Contingent Feature (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | $ 2 | |
Standard & Poor's, A- Rating | One rating downgrade | ||
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | 1 | $ 1 |
Standard & Poor's, A- Rating | Two rating downgrades | ||
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | 2 | 1 |
Standard & Poor's, A- Rating | Three rating downgrades | ||
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | 2 | 1 |
Moody's, A3 Rating | One rating downgrade | ||
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | 1 | 1 |
Moody's, A3 Rating | Two rating downgrades | ||
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | 2 | 1 |
Moody's, A3 Rating | Three rating downgrades | ||
Credit Derivatives [Line Items] | ||
Additional collateral aggregate fair value | $ 2 | $ 1 |
Mortgage Servicing Assets - Cha
Mortgage Servicing Assets - Changes in Carrying Amount of Mortgage Servicing Assets (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Commercial Mortgage Backed Securities | ||||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||||
Balance at beginning of period | $ 588 | $ 543 | $ 578 | $ 539 |
Servicing retained from loan sales | 28 | 53 | 57 | 77 |
Purchases | 7 | 7 | 14 | 18 |
Amortization | (30) | (30) | (59) | (59) |
Temporary (impairments) recoveries | 7 | (8) | 10 | (10) |
Balance at end of period | 600 | 565 | 600 | 565 |
Fair value at end of period | 704 | 663 | 704 | 663 |
Agency residential mortgage-backed securities | ||||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||||
Balance at beginning of period | 72 | 40 | 58 | 46 |
Servicing retained from loan sales | 12 | 8 | 23 | 13 |
Purchases | 0 | 0 | 0 | 0 |
Amortization | (5) | (3) | (10) | (5) |
Temporary (impairments) recoveries | (2) | 1 | 6 | (8) |
Balance at end of period | 77 | 46 | 77 | 46 |
Fair value at end of period | $ 81 | $ 46 | $ 81 | $ 46 |
Mortgage Servicing Assets - Sch
Mortgage Servicing Assets - Schedule of Range and Weighted-Average of Significant Unobservable Inputs (Details) - Discounted cash flow - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Commercial Mortgage Backed Securities | Minimum | ||
Servicing Assets at Fair Value [Line Items] | ||
Expected defaults | 1.01% | 1.00% |
Discount rate | 7.48% | 6.97% |
Escrow earn rate | 1.14% | 0.78% |
Loan assumption rate | 0.00% | 0.00% |
Commercial Mortgage Backed Securities | Maximum | ||
Servicing Assets at Fair Value [Line Items] | ||
Expected defaults | 2.00% | 2.00% |
Discount rate | 10.53% | 16.16% |
Escrow earn rate | 1.26% | 2.25% |
Loan assumption rate | 1.73% | 3.37% |
Commercial Mortgage Backed Securities | Weighted Average | ||
Servicing Assets at Fair Value [Line Items] | ||
Expected defaults | 1.16% | 1.15% |
Discount rate | 9.24% | 9.42% |
Escrow earn rate | 1.19% | 1.66% |
Loan assumption rate | 1.43% | 1.32% |
Agency residential mortgage-backed securities | Minimum | ||
Servicing Assets at Fair Value [Line Items] | ||
Discount rate | 7.50% | 7.55% |
Servicing cost | $ 62 | $ 62 |
Prepayment speed | 7.70% | 12.29% |
Agency residential mortgage-backed securities | Maximum | ||
Servicing Assets at Fair Value [Line Items] | ||
Discount rate | 8.60% | 9.27% |
Servicing cost | $ 5,125 | $ 5,135 |
Prepayment speed | 52.85% | 55.18% |
Agency residential mortgage-backed securities | Weighted Average | ||
Servicing Assets at Fair Value [Line Items] | ||
Discount rate | 7.54% | 7.64% |
Servicing cost | $ 70 | $ 77.45 |
Prepayment speed | 13.27% | 16.89% |
Mortgage Servicing Assets - Add
Mortgage Servicing Assets - Additional Information (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Commercial Mortgage Backed Securities | ||
Servicing Assets at Fair Value [Line Items] | ||
Contractual fee income from servicing commercial mortgage loans | $ 128 | $ 99 |
Amortization of servicing commercial mortgage loans | 59 | 59 |
Residential mortgage-backed securities | ||
Servicing Assets at Fair Value [Line Items] | ||
Contractual fee income from servicing commercial mortgage loans | 20 | 14 |
Amortization of servicing commercial mortgage loans | $ 10 | $ 5 |
Leases - Components of Equipmen
Leases - Components of Equipment Leasing Income (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Sales-type and direct financing leases | ||||
Interest income on lease receivable | $ 23 | $ 27 | $ 46 | $ 55 |
Interest income related to accretion of unguaranteed residual asset | 1 | 3 | 3 | 6 |
Total sales-type and direct financing lease income | 24 | 30 | 49 | 61 |
Operating leases | ||||
Operating lease income related to lease payments | 32 | 35 | 64 | 69 |
Other operating leasing gains | 4 | 25 | 10 | 21 |
Total operating lease income and other leasing gains | 36 | 60 | 74 | 90 |
Total lease income | $ 60 | $ 90 | $ 123 | $ 151 |
Goodwill (Details)
Goodwill (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 2,664 |
AQN Strategies acquisition | 9 |
Ending balance | 2,673 |
Consumer Bank | |
Goodwill [Roll Forward] | |
Beginning balance | 1,752 |
AQN Strategies acquisition | 9 |
Ending balance | 1,761 |
Commercial Bank | |
Goodwill [Roll Forward] | |
Beginning balance | 912 |
AQN Strategies acquisition | 0 |
Ending balance | $ 912 |
Variable Interest Entities - Ad
Variable Interest Entities - Additional Information (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Variable Interest Entity [Line Items] | |||
VIE, assets that can only be used to settle obligations | $ 181,115,000,000 | $ 170,336,000,000 | |
VIE, liabilities | 163,174,000,000 | 152,355,000,000 | |
Recurring | |||
Variable Interest Entity [Line Items] | |||
Other investments | 93,000,000 | 81,000,000 | |
Variable Interest Entity, Not Primary Beneficiary | |||
Variable Interest Entity [Line Items] | |||
VIE, assets that can only be used to settle obligations | 369,000,000 | 351,000,000 | |
VIE, liabilities | 1,000,000 | 1,000,000 | |
Tax credit of investment | $ 90,000,000 | ||
Variable Interest Entity, Not Primary Beneficiary | Qualified affordable housing projects investment | |||
Variable Interest Entity [Line Items] | |||
VIE, liabilities | 538,000,000 | 484,000,000 | |
Variable Interest Entity, Not Primary Beneficiary | Accrued Income And Other Assets | |||
Variable Interest Entity [Line Items] | |||
VIE, assets that can only be used to settle obligations | 1,500,000,000 | 1,400,000,000 | |
Variable Interest Entity, Not Primary Beneficiary | Investments | |||
Variable Interest Entity [Line Items] | |||
Amortization of investment | 99,000,000 | $ 97,000,000 | |
Tax credit of investment | 94,000,000 | ||
Variable Interest Entity, Primary Beneficiary | Investments | |||
Variable Interest Entity [Line Items] | |||
VIE, assets that can only be used to settle obligations | 0 | 0 | |
VIE, liabilities | 0 | 0 | |
Measured at NAV | Variable Interest Entity, Not Primary Beneficiary | Recurring | Principal Investments, Indirect | |||
Variable Interest Entity [Line Items] | |||
Other investments | $ 53,000,000 | $ 53,000,000 |
Variable Interest Entities - Su
Variable Interest Entities - Summary of Variable Interest Entities Information (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Variable Interest Entity [Line Items] | ||
Total Assets | $ 181,115 | $ 170,336 |
Total Liabilities | 163,174 | 152,355 |
Variable Interest Entity, Not Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 369 | 351 |
Total Liabilities | 1 | 1 |
Variable Interest Entity, Not Primary Beneficiary | LIHTC investments | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 6,599 | 6,914 |
Total Liabilities | 2,232 | 2,765 |
Maximum Exposure to Loss | 1,885 | 1,823 |
Variable Interest Entity, Not Primary Beneficiary | Principal Investments, Indirect | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 10,828 | 10,899 |
Total Liabilities | 179 | 168 |
Maximum Exposure to Loss | $ 66 | $ 78 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Dec. 31, 2020 | |
Income Tax Contingency [Line Items] | ||||
Total income tax expense (benefit), rate | 20.60% | 14.00% | ||
Combined federal and state statutory tax rate | 23.70% | |||
Valuation allowance | $ 0 | $ 0 | $ 0 | |
Accrued Liabilities and Other Liabilities | ||||
Income Tax Contingency [Line Items] | ||||
Net deferred tax liability | 112,000,000 | 112,000,000 | $ 100,000,000 | |
Key Corp | ||||
Income Tax Contingency [Line Items] | ||||
Unrecognized tax benefits | 55,000,000 | 55,000,000 | ||
First Niagara Bank, N.A. | ||||
Income Tax Contingency [Line Items] | ||||
Allocated bad debt deductions | $ 92,000,000 | $ 92,000,000 |
Acquisitions and Discontinued_2
Acquisitions and Discontinued Operations (Details) - USD ($) $ in Millions | Feb. 25, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
AQN Strategies acquisition | $ 9 | ||
Discontinued Operations | Government Guaranteed Loans | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Loans included in divestiture | $ 636 | $ 710 | |
Arbitria Quum Notitia, LLC | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
AQN Strategies acquisition | $ 9 |
Securities Financing Activiti_3
Securities Financing Activities (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Securities Financing Transaction [Line Items] | ||
Reverse repurchase agreements | $ 0 | $ 0 |
Securities borrowed | 0 | 0 |
Total | 0 | 0 |
Repurchase agreements | 0 | 0 |
Total | 0 | 0 |
Collateral | ||
Securities Financing Transaction [Line Items] | ||
Reverse repurchase agreements | 0 | 0 |
Securities borrowed | (500) | (500) |
Total | (500) | (500) |
Repurchase agreements | (206) | (214) |
Total | (206) | (214) |
Federal Agency CMOs | ||
Securities Financing Transaction [Line Items] | ||
Assets pledged as collateral | 301 | |
Liabilities pledged as collateral | 206 | |
Gross Amount Presented in Balance Sheet | ||
Securities Financing Transaction [Line Items] | ||
Reverse repurchase agreements | 5 | 6 |
Securities borrowed | 500 | 500 |
Total | 505 | 506 |
Repurchase agreements | 211 | 220 |
Total | 211 | 220 |
Netting Adjustments | ||
Securities Financing Transaction [Line Items] | ||
Reverse repurchase agreements | (5) | (6) |
Securities borrowed | 0 | 0 |
Total | (5) | (6) |
Repurchase agreements | (5) | (6) |
Total | $ (5) | $ (6) |
Employee Benefits - Net Pension
Employee Benefits - Net Pension Cost (Benefit) for All Funded and Unfunded Plans (Details) - Pension Plans - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost on PBO | $ 6 | $ 8 | $ 12 | $ 17 |
Expected return on plan assets | (7) | (9) | (14) | (19) |
Amortization of losses | 4 | 4 | 9 | 8 |
Settlement loss | 0 | 4 | 0 | 8 |
Net pension cost | $ 3 | $ 7 | $ 7 | $ 14 |
Trust Preferred Securities Is_3
Trust Preferred Securities Issued by Unconsolidated Subsidiaries - Summary of Trust Preferred Securities, Common Stock and Related Debentures (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common Stock | $ 1,257 | $ 1,257 |
Debentures adjustments related to financial instrument hedging | 59 | 70 |
KeyCorp Capital I | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | 156 | |
Common Stock | 6 | |
Principal Amount of of Debentures, Net of Discount | $ 162 | |
Interest Rate of Trust Preferred Securities and Debentures | 0.942% | |
KeyCorp Capital II | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 138 | |
Common Stock | 4 | |
Principal Amount of of Debentures, Net of Discount | $ 142 | |
Interest Rate of Trust Preferred Securities and Debentures | 6.875% | |
KeyCorp Capital III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 106 | |
Common Stock | 4 | |
Principal Amount of of Debentures, Net of Discount | $ 110 | |
Interest Rate of Trust Preferred Securities and Debentures | 7.75% | |
HNC Statutory Trust III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 20 | |
Common Stock | 1 | |
Principal Amount of of Debentures, Net of Discount | $ 21 | |
Interest Rate of Trust Preferred Securities and Debentures | 1.55% | |
Willow Grove Statutory Trust I | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 19 | |
Common Stock | 1 | |
Principal Amount of of Debentures, Net of Discount | $ 20 | |
Interest Rate of Trust Preferred Securities and Debentures | 1.466% | |
HNC Statutory Trust IV | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 17 | |
Common Stock | 1 | |
Principal Amount of of Debentures, Net of Discount | $ 18 | |
Interest Rate of Trust Preferred Securities and Debentures | 1.429% | |
Westbank Capital Trust II | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 8 | |
Common Stock | 0 | |
Principal Amount of of Debentures, Net of Discount | $ 8 | |
Interest Rate of Trust Preferred Securities and Debentures | 2.325% | |
Westbank Capital Trust III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 8 | |
Common Stock | 0 | |
Principal Amount of of Debentures, Net of Discount | $ 8 | |
Interest Rate of Trust Preferred Securities and Debentures | 2.325% | |
Business Trusts | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Trust Preferred Securities, Net of Discount | $ 472 | 483 |
Common Stock | 17 | 17 |
Principal Amount of of Debentures, Net of Discount | $ 489 | $ 500 |
Interest Rate of Trust Preferred Securities and Debentures | 4.315% | 4.464% |
Treasury Rate | KeyCorp Capital II | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 0.20% | |
Treasury Rate | KeyCorp Capital III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 0.25% | |
London Interbank Offered Rate (LIBOR) | KeyCorp Capital I | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 0.74% | |
London Interbank Offered Rate (LIBOR) | HNC Statutory Trust III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 1.40% | |
London Interbank Offered Rate (LIBOR) | Willow Grove Statutory Trust I | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 1.31% | |
London Interbank Offered Rate (LIBOR) | HNC Statutory Trust IV | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 1.28% | |
London Interbank Offered Rate (LIBOR) | Westbank Capital Trust II and III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 2.19% | |
Redemption upon either tax or a capital treatment event | Treasury Rate | Keycorp Capital II and III | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Basis spread on variable rate | 0.50% |
Contingent Liabilities and Gu_3
Contingent Liabilities and Guarantees - Guarantees (Details) $ in Millions | Jun. 30, 2021USD ($) |
Guarantor Obligations [Line Items] | |
Maximum Potential Undiscounted Future Payments | $ 15,909 |
Liability Recorded | 142 |
Written put options | |
Guarantor Obligations [Line Items] | |
Maximum Potential Undiscounted Future Payments | 3,756 |
Liability Recorded | 34 |
Standby letters of credit | |
Guarantor Obligations [Line Items] | |
Maximum Potential Undiscounted Future Payments | 3,304 |
Liability Recorded | 72 |
Recourse agreement with FNMA | |
Guarantor Obligations [Line Items] | |
Maximum Potential Undiscounted Future Payments | 5,999 |
Liability Recorded | 24 |
Residential mortgage reserve | |
Guarantor Obligations [Line Items] | |
Maximum Potential Undiscounted Future Payments | 2,850 |
Liability Recorded | $ 12 |
Contingent Liabilities and Gu_4
Contingent Liabilities and Guarantees - Additional Information (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Written put options | |
Commitments Contingencies And Guarantees [Line Items] | |
Weighted average life of written put options | 2 years 2 months 12 days |
Standby letters of credit | |
Commitments Contingencies And Guarantees [Line Items] | |
Remaining weighted-average life of standby letters of credit in years | 1 year 9 months 18 days |
Recourse agreement with FNMA | |
Commitments Contingencies And Guarantees [Line Items] | |
Weighted-average remaining term for outstanding commercial mortgage loans in years | 7 years 8 months 12 days |
Unpaid principal balance outstanding of loans sold | $ 19,800 |
Maximum potential amount of undiscounted future payments possibly required as percentage of principal balance of loans outstanding | 30.00% |
Residential mortgage reserve | |
Commitments Contingencies And Guarantees [Line Items] | |
Unpaid principal balance outstanding of loans sold | $ 9,400 |
Maximum potential amount of undiscounted future payments possibly required as percentage of principal balance of loans outstanding | 30.00% |
Liability for estimated repurchase obligations on loans sold | $ 12 |
Minimum | Standby letters of credit | |
Commitments Contingencies And Guarantees [Line Items] | |
Remaining actual life of standby letters of credit | 1 year |
Minimum | Low | |
Commitments Contingencies And Guarantees [Line Items] | |
Guarantee obligations, percentage | 0.00% |
Minimum | Moderate | |
Commitments Contingencies And Guarantees [Line Items] | |
Guarantee obligations, percentage | 30.00% |
Minimum | High | |
Commitments Contingencies And Guarantees [Line Items] | |
Guarantee obligations, percentage | 70.00% |
Maximum | Standby letters of credit | |
Commitments Contingencies And Guarantees [Line Items] | |
Remaining actual life of standby letters of credit | 13 years 4 months 24 days |
Maximum | Low | |
Commitments Contingencies And Guarantees [Line Items] | |
Guarantee obligations, percentage | 30.00% |
Maximum | Moderate | |
Commitments Contingencies And Guarantees [Line Items] | |
Guarantee obligations, percentage | 70.00% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income - Changes in AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | $ 17,981 | |||
Other comprehensive income before reclassification, net of income taxes | $ 107 | $ 184 | (464) | $ 994 |
Amounts reclassified from AOCI, net of income taxes | (60) | (62) | (124) | (84) |
Total other comprehensive income (loss), net of tax | 47 | 122 | (588) | 910 |
Ending Balance | 17,941 | 17,941 | ||
Unrealized gains (losses) on securities available for sale | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (61) | 520 | 567 | 115 |
Other comprehensive income before reclassification, net of income taxes | 185 | 130 | (443) | 538 |
Amounts reclassified from AOCI, net of income taxes | 0 | 0 | 0 | (3) |
Total other comprehensive income (loss), net of tax | 185 | 130 | (443) | 535 |
Ending Balance | 124 | 650 | 124 | 650 |
Unrealized gains (losses) on derivative financial instruments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 466 | 627 | 476 | 250 |
Other comprehensive income before reclassification, net of income taxes | (78) | 54 | (20) | 456 |
Amounts reclassified from AOCI, net of income taxes | (63) | (68) | (131) | (93) |
Total other comprehensive income (loss), net of tax | (141) | (14) | (151) | 363 |
Ending Balance | 325 | 613 | 325 | 613 |
Foreign currency translation adjustment | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 0 | 0 | 0 | 0 |
Other comprehensive income before reclassification, net of income taxes | 0 | 0 | 0 | 0 |
Amounts reclassified from AOCI, net of income taxes | 0 | 0 | 0 | 0 |
Total other comprehensive income (loss), net of tax | 0 | 0 | 0 | 0 |
Ending Balance | 0 | 0 | 0 | 0 |
Net pension and postretirement benefit costs | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (302) | (333) | (305) | (339) |
Other comprehensive income before reclassification, net of income taxes | 0 | 0 | (1) | 0 |
Amounts reclassified from AOCI, net of income taxes | 3 | 6 | 7 | 12 |
Total other comprehensive income (loss), net of tax | 3 | 6 | 6 | 12 |
Ending Balance | (299) | (327) | (299) | (327) |
Accumulated Other Comprehensive Income (Loss) | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 103 | 814 | 738 | 26 |
Total other comprehensive income (loss), net of tax | 47 | (588) | 910 | |
Ending Balance | $ 150 | $ 936 | $ 150 | $ 936 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income - Reclassifications Out of AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Other income | [1] | $ 13 | $ 33 | $ 64 | $ (55) |
Income (loss) from continuing operations before income taxes | 919 | 222 | 1,691 | 398 | |
Income taxes | 189 | 30 | 336 | 53 | |
Interest income — Loans | 888 | 980 | 1,777 | 2,006 | |
Interest expense — Long-term debt | (54) | (71) | (114) | (161) | |
Investment banking and debt placement fees | 217 | 156 | 379 | 272 | |
Other expense | 623 | 572 | 1,247 | 1,087 | |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 724 | 185 | 1,342 | 330 | |
Reclassification out of Accumulated Other Comprehensive Income | Realized gains on available for sale securities | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Other income | 0 | 4 | |||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains (losses) on securities available for sale | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Income (loss) from continuing operations before income taxes | 0 | 4 | |||
Income taxes | 0 | 1 | |||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 0 | 3 | |||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains (losses) on derivative financial instruments | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Income (loss) from continuing operations before income taxes | 83 | 89 | 172 | 122 | |
Income taxes | 20 | 21 | 41 | 29 | |
Investment banking and debt placement fees | (1) | 0 | 1 | 0 | |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 63 | 68 | 131 | 93 | |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of losses | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Other expense | (4) | (4) | (9) | (8) | |
Reclassification out of Accumulated Other Comprehensive Income | Settlement loss | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Other expense | 0 | (4) | 0 | (8) | |
Reclassification out of Accumulated Other Comprehensive Income | Net pension and postretirement benefit costs | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Income (loss) from continuing operations before income taxes | (4) | (8) | (9) | (16) | |
Income taxes | (1) | (2) | (2) | (4) | |
INCOME (LOSS) FROM CONTINUING OPERATIONS | (3) | (6) | (7) | (12) | |
Interest income – loans | Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains (losses) on derivative financial instruments | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Interest income — Loans | 85 | 90 | 173 | 124 | |
Interest expense — Long-term debt | Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains (losses) on derivative financial instruments | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Interest expense — Long-term debt | $ (1) | $ (1) | $ (2) | $ (2) | |
[1] | For the three and six months ended June 30, 2021, net securities gains (losses) totaled less than $1 million. For the three months ended June 30, 2021 and June 30, 2020, we did not have any impairment losses related to securities. For the three months ended June 30, 2020, we had no net securities gains (losses). For the six months ended June 30, 2020, net securities gains (losses) totaled $4 million. |
Shareholders' Equity - Comprehe
Shareholders' Equity - Comprehensive Capital Plan (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jul. 31, 2021 | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Cash dividends declared on Common Shares (in usd per share) | $ 0.185 | $ 0.185 | $ 0.370 | $ 0.370 | |
2021 Capital Plan | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Common stock repurchased during period | $ 300,000,000 | ||||
Cash dividends declared on Common Shares (in usd per share) | $ 0.185 | ||||
2021 Capital Plan | Subsequent Event [Member] | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Stock repurchase program, amount authorized | $ 1,500,000,000 | ||||
Open Market Share Repurchases | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Common stock repurchased during period | $ 299,000,000 | ||||
Employee Equity Compensation Programs | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Common stock repurchased during period | $ 1,000,000 |
Shareholders' Equity - Schedule
Shareholders' Equity - Schedule of Preferred Stock (Details) | Jun. 30, 2021USD ($)$ / sharesshares |
Series D Preferred Stock | |
Class of Stock [Line Items] | |
Preferred stock, amount outstanding | $ | $ 525,000,000 |
Preferred stock, shares authorized (in shares) | shares | 21,000 |
Preferred stock, shares outstanding (in shares) | shares | 21,000 |
Preferred stock, par value (in usd per share) | $ 1 |
Preferred stock, liquidation preference, value | $ | $ 25,000 |
Depository Shares, Series D | |
Class of Stock [Line Items] | |
Depository receipt ratio | 0.04 |
Preferred stock, liquidation preference (in usd per share) | $ 1,000 |
Dividend payable per share (in usd per share) | $ 12.50 |
Series E Preferred Stock | |
Class of Stock [Line Items] | |
Preferred stock, amount outstanding | $ | $ 500,000,000 |
Preferred stock, shares authorized (in shares) | shares | 500,000 |
Preferred stock, shares outstanding (in shares) | shares | 500,000 |
Preferred stock, par value (in usd per share) | $ 1 |
Preferred stock, liquidation preference, value | $ | $ 1,000 |
Depository Shares, Series E | |
Class of Stock [Line Items] | |
Depository receipt ratio | 0.025 |
Preferred stock, liquidation preference (in usd per share) | $ 25 |
Dividend payable per share (in usd per share) | $ 0.382813 |
Series F Preferred Stock | |
Class of Stock [Line Items] | |
Preferred stock, amount outstanding | $ | $ 425,000,000 |
Preferred stock, shares authorized (in shares) | shares | 425,000 |
Preferred stock, shares outstanding (in shares) | shares | 425,000 |
Preferred stock, par value (in usd per share) | $ 1 |
Preferred stock, liquidation preference, value | $ | $ 1,000 |
Depository Shares, Series F | |
Class of Stock [Line Items] | |
Depository receipt ratio | 0.025 |
Preferred stock, liquidation preference (in usd per share) | $ 25 |
Dividend payable per share (in usd per share) | $ 0.353125 |
Series G Preferred Stock | |
Class of Stock [Line Items] | |
Preferred stock, amount outstanding | $ | $ 450,000,000 |
Preferred stock, shares authorized (in shares) | shares | 450,000 |
Preferred stock, shares outstanding (in shares) | shares | 450,000 |
Preferred stock, par value (in usd per share) | $ 1 |
Preferred stock, liquidation preference, value | $ | $ 1,000 |
Depository Shares, Series G | |
Class of Stock [Line Items] | |
Depository receipt ratio | 0.025 |
Preferred stock, liquidation preference (in usd per share) | $ 25 |
Dividend payable per share (in usd per share) | $ 0.351563 |
Business Segment Reporting - Ad
Business Segment Reporting - Additional Information (Details) | Jun. 30, 2021branchsector |
Consumer Bank | |
Segment Reporting Information [Line Items] | |
Number of state branch networks | branch | 15 |
Commercial Bank | |
Segment Reporting Information [Line Items] | |
Number of industry sectors | sector | 7 |
Business Segment Reporting - Sc
Business Segment Reporting - Schedule of Segment Reporting Information (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021USD ($)employee | Jun. 30, 2020USD ($)employee | Jun. 30, 2021USD ($)employee | Jun. 30, 2020USD ($)employee | |
SUMMARY OF OPERATIONS | ||||
Net interest income (TE) | $ 1,023 | $ 1,025 | $ 2,035 | $ 2,014 |
Noninterest income | 750 | 692 | 1,488 | 1,169 |
Total revenue (TE) | 1,773 | 1,717 | 3,523 | 3,183 |
Provision for credit losses | (222) | 482 | (315) | 841 |
Depreciation and amortization expense | 90 | 91 | 180 | 182 |
Other noninterest expense | 986 | 922 | 1,967 | 1,762 |
Income (loss) from continuing operations before income taxes (TE) | 919 | 222 | 1,691 | 398 |
Allocated income taxes and TE adjustments | 195 | 37 | 349 | 68 |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 724 | 185 | 1,342 | 330 |
Income (loss) from discontinued operations, net of taxes | 5 | 2 | 9 | 3 |
NET INCOME (LOSS) | 729 | 187 | 1,351 | 333 |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) ATTRIBUTABLE TO KEY | 729 | 187 | 1,351 | 333 |
AVERAGE BALANCES | ||||
Loans and leases | 100,814 | 107,941 | 100,777 | 102,058 |
Total assets | 177,870 | 164,099 | 175,071 | 155,164 |
Deposits | 144,322 | 127,977 | 141,044 | 119,153 |
OTHER FINANCIAL DATA | ||||
Net loan charge-offs | $ 22 | $ 96 | $ 136 | $ 180 |
Return on average allocated equity, continuing operations (as a percent) | 16.81% | 4.21% | 15.45% | 3.80% |
Return on average allocated equity (as a percent) | 16.93% | 4.25% | 15.55% | 3.84% |
Average full-time equivalent employees | employee | 17,157 | 16,646 | 17,122 | 16,587 |
Operating Segments | Consumer Bank | ||||
SUMMARY OF OPERATIONS | ||||
Net interest income (TE) | $ 600 | $ 589 | $ 1,210 | $ 1,172 |
Noninterest income | 254 | 246 | 511 | 474 |
Total revenue (TE) | 854 | 835 | 1,721 | 1,646 |
Provision for credit losses | (70) | 155 | (94) | 292 |
Depreciation and amortization expense | 22 | 20 | 40 | 41 |
Other noninterest expense | 562 | 532 | 1,146 | 1,048 |
Income (loss) from continuing operations before income taxes (TE) | 340 | 128 | 629 | 265 |
Allocated income taxes and TE adjustments | 81 | 30 | 150 | 61 |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 259 | 98 | 479 | 204 |
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) | 259 | 98 | 479 | 204 |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) ATTRIBUTABLE TO KEY | 259 | 98 | 479 | 204 |
AVERAGE BALANCES | ||||
Loans and leases | 40,598 | 37,300 | 39,927 | 35,242 |
Total assets | 43,991 | 42,194 | 43,237 | 39,310 |
Deposits | 88,412 | 79,235 | 86,732 | 76,184 |
OTHER FINANCIAL DATA | ||||
Net loan charge-offs | $ 34 | $ 39 | $ 70 | $ 83 |
Return on average allocated equity, continuing operations (as a percent) | 28.74% | 11.50% | 27.46% | 12.07% |
Return on average allocated equity (as a percent) | 28.74% | 11.50% | 27.46% | 12.07% |
Average full-time equivalent employees | employee | 7,929 | 8,046 | 8,106 | 8,095 |
Operating Segments | Commercial Bank | ||||
SUMMARY OF OPERATIONS | ||||
Net interest income (TE) | $ 419 | $ 458 | $ 832 | $ 881 |
Noninterest income | 455 | 421 | 901 | 639 |
Total revenue (TE) | 874 | 879 | 1,733 | 1,520 |
Provision for credit losses | (131) | 326 | (198) | 547 |
Depreciation and amortization expense | 33 | 37 | 67 | 73 |
Other noninterest expense | 418 | 404 | 827 | 732 |
Income (loss) from continuing operations before income taxes (TE) | 554 | 112 | 1,037 | 168 |
Allocated income taxes and TE adjustments | 120 | 6 | 218 | (4) |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 434 | 106 | 819 | 172 |
Income (loss) from discontinued operations, net of taxes | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) | 434 | 106 | 819 | 172 |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) ATTRIBUTABLE TO KEY | 434 | 106 | 819 | 172 |
AVERAGE BALANCES | ||||
Loans and leases | 59,953 | 70,336 | 60,584 | 66,430 |
Total assets | 69,101 | 79,267 | 69,771 | 75,547 |
Deposits | 54,814 | 47,954 | 53,362 | 42,199 |
OTHER FINANCIAL DATA | ||||
Net loan charge-offs | $ 9 | $ 57 | $ 87 | $ 97 |
Return on average allocated equity, continuing operations (as a percent) | 20.79% | 8.66% | 19.10% | 7.13% |
Return on average allocated equity (as a percent) | 20.79% | 8.66% | 19.10% | 7.13% |
Average full-time equivalent employees | employee | 2,483 | 2,293 | 2,371 | 2,277 |
Other | ||||
SUMMARY OF OPERATIONS | ||||
Net interest income (TE) | $ 4 | $ (22) | $ (7) | $ (39) |
Noninterest income | 41 | 25 | 76 | 56 |
Total revenue (TE) | 45 | 3 | 69 | 17 |
Provision for credit losses | (21) | 1 | (23) | 2 |
Depreciation and amortization expense | 35 | 34 | 73 | 68 |
Other noninterest expense | 6 | (14) | (6) | (18) |
Income (loss) from continuing operations before income taxes (TE) | 25 | (18) | 25 | (35) |
Allocated income taxes and TE adjustments | (6) | 1 | (19) | 11 |
INCOME (LOSS) FROM CONTINUING OPERATIONS | 31 | (19) | 44 | (46) |
Income (loss) from discontinued operations, net of taxes | 5 | 2 | 9 | 3 |
NET INCOME (LOSS) | 36 | (17) | 53 | (43) |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
NET INCOME (LOSS) ATTRIBUTABLE TO KEY | 36 | (17) | 53 | (43) |
AVERAGE BALANCES | ||||
Loans and leases | 263 | 305 | 266 | 386 |
Total assets | 64,778 | 42,638 | 62,063 | 40,307 |
Deposits | 1,096 | 788 | 950 | 770 |
OTHER FINANCIAL DATA | ||||
Net loan charge-offs | $ (21) | $ 0 | $ (21) | $ 0 |
Return on average allocated equity, continuing operations (as a percent) | 2.35% | (0.82%) | 1.66% | (1.01%) |
Return on average allocated equity (as a percent) | 2.73% | (0.73%) | 2.00% | (0.94%) |
Average full-time equivalent employees | employee | 6,745 | 6,307 | 6,645 | 6,215 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | $ 436 | $ 321 | $ 817 | $ 629 |
Noninterest income | 750 | 692 | 1,488 | 1,169 |
Contract assets | 0 | 0 | 0 | 0 |
Contract liabilities | 0 | 0 | 0 | 0 |
Trust and investment services income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 120 | 102 | 240 | 213 |
Investment banking and debt placement fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 121 | 60 | 202 | 107 |
Services charges on deposit accounts | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 82 | 68 | 156 | 152 |
Cards and payments income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 111 | 89 | 214 | 153 |
Other noninterest income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 2 | 2 | 5 | 4 |
Noninterest income | 273 | 346 | 595 | 484 |
Operating Segments | Consumer Bank | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 202 | 164 | 386 | 352 |
Operating Segments | Consumer Bank | Trust and investment services income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 105 | 87 | 206 | 179 |
Operating Segments | Consumer Bank | Investment banking and debt placement fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments | Consumer Bank | Services charges on deposit accounts | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 48 | 38 | 88 | 94 |
Operating Segments | Consumer Bank | Cards and payments income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 47 | 37 | 88 | 75 |
Operating Segments | Consumer Bank | Other noninterest income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 2 | 2 | 4 | 4 |
Operating Segments | Commercial Bank | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 234 | 157 | 431 | 277 |
Operating Segments | Commercial Bank | Trust and investment services income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 15 | 15 | 34 | 34 |
Operating Segments | Commercial Bank | Investment banking and debt placement fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 121 | 60 | 202 | 107 |
Operating Segments | Commercial Bank | Services charges on deposit accounts | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 34 | 30 | 68 | 58 |
Operating Segments | Commercial Bank | Cards and payments income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 64 | 52 | 126 | 78 |
Operating Segments | Commercial Bank | Other noninterest income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue from contracts with customers | 0 | 0 | 1 | 0 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Noninterest income | $ 41 | $ 25 | $ 76 | $ 56 |
Uncategorized Items - key-20210
Label | Element | Value |
Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2016-13 [Member] |
Consumer Bank [Member] | ||
Goodwill | us-gaap_Goodwill | $ 1,752,000,000 |
Commercial Bank [Member] | ||
Goodwill | us-gaap_Goodwill | $ 912,000,000 |