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Loans Receivable, Net (Tables)
 12 Months Ended
Dec. 31, 2015
Loans and Leases Receivable Disclosure [Abstract]  
Total Loans Receivable, Net [Table Text Block]
Loans receivable, net at December 31, 2015 and 2014 are summarized as follows (dollars in millions): 
 
December 31,
 
2015
 
2014
One- to four-family
$
2,488

 
$
3,060

Home equity
2,114

 
2,834

Consumer and other
341

 
455

Total loans receivable
4,943

 
6,349

Unamortized premiums, net
23

 
34

Allowance for loan losses
(353
)
 
(404
)
Total loans receivable, net
$
4,613

 
$
5,979
Loans Receivable, Allowance for Loan Losses
The following table provides a roll forward by loan portfolio of the allowance for loan losses for the year ended December 31, 2015, 2014 and 2013 (dollars in millions): 
 
Year Ended December 31, 2015
 
One- to
Four-Family
 
Home
Equity
 
Consumer
and Other
 
Total
Allowance for loan losses, beginning of period
$
27

 
$
367

 
$
10

 
$
404

Provision (benefit) for loan losses
15

 
(55
)
 
—

 
(40
)
Charge-offs
(2
)
 
(31
)
 
(11
)
 
(44
)
Recoveries(1)
—

 
26

 
7

 
33

Charge-offs, net
(2
)
 
(5
)
 
(4
)
 
(11
)
Allowance for loan losses, end of period
$
40

 
$
307

 
$
6

 
$
353

 
Year Ended December 31, 2014
 
One- to
Four-Family
 
Home
Equity
 
Consumer
and Other
 
Total
Allowance for loan losses, beginning of period
$
102

 
$
326

 
$
25

 
$
453

Provision (benefit) for loan losses
(42
)
 
82

 
(4
)
 
36

Charge-offs
(44
)
 
(65
)
 
(17
)
 
(126
)
Recoveries(1)
11

 
24

 
6

 
41

Charge-offs, net
(33
)
 
(41
)
 
(11
)
 
(85
)
Allowance for loan losses, end of period
$
27

 
$
367

 
$
10

 
$
404

 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
One- to
Four-Family
 
Home
Equity
 
Consumer
and Other
 
Total
Allowance for loan losses, beginning of period
$
184

 
$
257

 
$
40

 
$
481

Provision (benefit) for loan losses
(55
)
 
192

 
6

 
143

Charge-offs
(41
)
 
(157
)
 
(33
)
 
(231
)
Recoveries
14

 
34

 
12

 
60

Charge-offs, net
(27
)
 
(123
)
 
(21
)
 
(171
)
Allowance for loan losses, end of period
$
102

 
$
326

 
$
25

 
$
453

(1)
Includes one-time payments from third party mortgage originators of $2 million and $11 million to satisfy in full all pending and future repurchase requests with them for the years ended December 31, 2015 and 2014, respectively.
The following table presents the total recorded investment in loans receivable and allowance for loan losses by loans that have been collectively evaluated for impairment and those that have been individually evaluated for impairment by loan class at December 31, 2015 and 2014 (dollars in millions): 
 
Recorded Investment
 
Allowance for Loan Losses
 
December 31,
 
December 31,
 
2015
 
2014
 
2015
 
2014
Collectively evaluated for impairment:
 
 
 
 
 
 
 
One- to four-family
$
2,219

 
$
2,764

 
$
31

 
$
18

Home equity
1,915

 
2,625

 
255

 
310

Consumer and other
344

 
461

 
6

 
10

Total collectively evaluated for impairment
4,478

 
5,850

 
292

 
338

Individually evaluated for impairment:
 
 
 
 
 
 
 
One- to four-family
286

 
316

 
9

 
9

Home equity
202

 
217

 
52

 
57

Total individually evaluated for impairment
488

 
533

 
61

 
66

Total
$
4,966

 
$
6,383

 
$
353

 
$
404
Credit Quality Indicators for Loan Portfolio
The following tables show the distribution of the Company’s mortgage loan portfolios by credit quality indicator at December 31, 2015 and 2014 (dollars in millions): 
 
One- to Four-Family
 
Home Equity
 
December 31,
 
December 31,
Current LTV/CLTV (1)
2015
 
2014
 
2015
 
2014
<=80%
$
1,519

 
$
1,757

 
$
843

 
$
1,081

80%-100%
609

 
807

 
549

 
755

100%-120%
227

 
311

 
420

 
557

>120%
133

 
185

 
302

 
441

Total mortgage loans receivable
$
2,488

 
$
3,060

 
$
2,114

 
$
2,834

Average estimated current LTV/CLTV (2)
77
%
 
79
%
 
90
%
 
92
%
Average LTV/CLTV at loan origination (3)
71
%
 
71
%
 
81
%
 
80
%
 
(1)
Current CLTV calculations for home equity loans are based on the maximum available line for home equity lines of credit and outstanding principal balance for home equity installment loans. For home equity loans in the second lien position, the original balance of the first lien loan at origination date and updated valuations on the property underlying the loan are used to calculate CLTV. Current property values are updated on a quarterly basis using the most recent property value data available to the Company. For properties in which the Company did not have an updated valuation, home price indices were utilized to estimate the current property value.
(2)
The average estimated current LTV/CLTV ratio reflects the outstanding balance at the balance sheet date and the maximum available line for home equity lines of credit, divided by the estimated current value of the underlying property.
(3)
Average LTV/CLTV at loan origination calculations are based on LTV/CLTV at time of purchase for one- to four-family purchased loans and home equity installment loans and maximum available line for home equity lines of credit.
 
One- to Four-Family
 
Home Equity
 
December 31,
 
December 31,
Current FICO (1)
2015
 
2014
 
2015
 
2014
>=720
$
1,423

 
$
1,734

 
$
1,069

 
$
1,487

719 - 700
246

 
296

 
222

 
292

699 - 680
198

 
260

 
183

 
238

679 - 660
150

 
197

 
152

 
203

659 - 620
198

 
237

 
203

 
258

<620
273

 
336

 
285

 
356

Total mortgage loans receivable
$
2,488

 
$
3,060

 
$
2,114

 
$
2,834

(1)
FICO scores are updated on a quarterly basis; however, there were approximately $39 million and $49 million of one- to four-family loans at December 31, 2015 and 2014, respectively, and $3 million and $4 million of home equity loans, respectively, for which the updated FICO scores were not available. For these loans, the current FICO distribution included the most recent FICO scores where available, otherwise the original FICO score was used.
Concentration of Credit Risk
The following table outlines when one- to four-family and home equity lines of credit convert to amortizing by percentage of the one- to four-family portfolio and home equity line of credit portfolios, respectively, at December 31, 2015:
Period of Conversion to Amortizing Loan
% of One- to Four-Family
Portfolio
 
% of Home Equity Line of 
Credit Portfolio
Already amortizing
61%
 
39%
Through December 31, 2016
17%
 
45%
Year ending December 31, 2017
22%
 
15%
Year ending December 31, 2018 or later
—%
 
1%
Loans by Delinquency Category and Non-Performing Loans
The following table shows the comparative data for nonperforming loans at December 31, 2015 and 2014 (dollars in millions):
  
December 31,
 
2015
 
2014
One- to four-family
$
263

 
$
294

Home equity
154

 
165

Consumer and other
1

 
1

Total nonperforming loans receivable
$
418

 
$
460

The following table shows total loans receivable by delinquency category at December 31, 2015 and 2014 (dollars in millions): 
 
Current
 
30-89 Days
Delinquent
 
90-179 Days
Delinquent
 
180+ Days
Delinquent
 
Total
December 31, 2015
 
 
 
 
 
 
 
 
 
One- to four-family
$
2,279

 
$
72

 
$
26

 
$
111

 
$
2,488

Home equity
1,978

 
52

 
31

 
53

 
2,114

Consumer and other
334

 
6

 
1

 
—

 
341

Total loans receivable
$
4,591

 
$
130

 
$
58

 
$
164

 
$
4,943

December 31, 2014
 
 
 
 
 
 
 
 
 
One- to four-family
$
2,813

 
$
88

 
$
28

 
$
131

 
$
3,060

Home equity
2,702

 
60

 
29

 
43

 
2,834

Consumer and other
447

 
7

 
1

 
—

 
455

Total loans receivable
$
5,962

 
$
155

 
$
58

 
$
174

 
$
6,349
Impaired Financing Receivables
The following table shows the average recorded investment and interest income recognized both on a cash and accrual basis for the Company’s TDRs during the year ended December 31, 2015, 2014 and 2013 (dollars in millions): 
 
Average Recorded Investment
 
Interest Income Recognized
 
December 31,
 
December 31,
 
2015
 
2014
 
2013
 
2015
 
2014
 
2013
One- to four-family
$
303

 
$
576

 
$
1,205

 
$
9

 
$
16

 
$
33

Home equity
213

 
227

 
262

 
17

 
18

 
20

Total
$
516

 
$
803

 
$
1,467

 
$
26

 
$
34

 
$
53

The following table shows detailed information related to the Company’s TDRs at December 31, 2015 and 2014 (dollars in millions): 
  
December 31, 2015
 
December 31, 2014
 
Recorded
Investment
in TDRs
 
Specific
Valuation
Allowance
 
Net Investment
in TDRs
 
Recorded
Investment
in TDRs
 
Specific
Valuation
Allowance
 
Net Investment
in TDRs
With a recorded allowance:
 
 
 
 
 
 
 
 
 
 
 
One- to four-family
$
72

 
$
9

 
$
63

 
$
88

 
$
9

 
$
79

Home equity
$
111

 
$
52

 
$
59

 
$
118

 
$
57

 
$
61

Without a recorded allowance:(1)
 
 
 
 
 
 
 
 
 
 
 
One- to four-family
$
214

 
$
—

 
$
214

 
$
228

 
$
—

 
$
228

Home equity
$
91

 
$
—

 
$
91

 
$
99

 
$
—

 
$
99

Total:
 
 
 
 
 
 
 
 
 
 
 
One- to four-family
$
286

 
$
9

 
$
277

 
$
316

 
$
9

 
$
307

Home equity
$
202

 
$
52

 
$
150

 
$
217

 
$
57

 
$
160

(1)
Represents loans where the discounted cash flow analysis or collateral value is equal to or exceeds the recorded investment in the loan.
The following table shows a summary of the Company’s recorded investment in TDRs that were on accrual and nonaccrual status, further disaggregated by delinquency status, in addition to the recorded investment in TDRs at December 31, 2015 and 2014 (dollars in millions): 
  
 
 
Nonaccrual TDRs
 
 
 
Accrual 
TDRs(1)
 
Current(2)
 
30-89 Days
Delinquent
 
90-179 Days
Delinquent
 
180+ Days
Delinquent
 
Total Recorded
Investment in 
TDRs (3)(4)
December 31, 2015
 
 
 
 
 
 
 
 
 
 
 
One- to four-family
$
106

 
$
106

 
$
19

 
$
8

 
$
47

 
$
286

Home equity
120

 
42

 
11

 
8

 
21

 
202

Total
$
226

 
$
148

 
$
30

 
$
16

 
$
68

 
$
488

December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
One- to four-family
$
121

 
$
111

 
$
24

 
$
12

 
$
48

 
$
316

Home equity
127

 
51

 
14

 
6

 
19

 
217

Total
$
248

 
$
162

 
$
38

 
$
18

 
$
67

 
$
533

(1)
Represents loans modified as TDRs that are current and have made six or more consecutive payments.
(2)
Represents loans modified as TDRs that are current but have not yet made six consecutive payments, bankruptcy loans and certain junior lien TDRs that have a delinquent senior lien.
(3)
The unpaid principal balance in one- to four-family TDRs was $283 million and $314 million at December 31, 2015 and 2014, respectively. For home equity loans, the recorded investment in TDRs represents the unpaid principal balance.
(4)
Total recorded investment in TDRs at December 31, 2015 consisted of $334 million of loans modified as TDRs and $154 million of loans that have been charged off due to bankruptcy notification. Total recorded investment in TDRs at December 31, 2014 consisted of $354 million of loans modified as TDRs and $179 million of loans that have been charged off due to bankruptcy notification.
Troubled Debt Restructurings - Modifications
The following tables provide the number of loans, post-modification balances immediately after being modified by major class, and the financial impact of modifications during the years ended December 31, 2015, 2014 and 2013 (dollars in millions):
 
Year Ended December 31, 2015
 
 
 
Interest Rate Reduction
 
 
 
 
 
Number of
Loans
 
Principal
Forgiven
 
Principal Deferred
 
Re-age/
Extension/
Interest
Capitalization
 
Other with
Interest Rate
Reduction
 
Other
 
Total
One- to four-family
34

 
$
—

 
$
1

 
$
9

 
$
—

 
$
3

 
$
13

Home equity
367

 
—

 
—

 
3

 
2

 
19

 
24

Total
401

 
$
—

 
$
1

 
$
12

 
$
2

 
$
22

 
$
37

 
Year Ended December 31, 2014
 
 
 
Interest Rate Reduction
 
 
 
 
 
Number of
Loans
 
Principal
Forgiven
 
Principal Deferred
 
Re-age/
Extension/
Interest
Capitalization
 
Other with
Interest Rate
Reduction
 
Other
 
Total
One- to four-family
64

 
$
1

 
$
—

 
$
11

 
$
2

 
$
6

 
$
20

Home equity
195

 
—

 
—

 
4

 
2

 
9

 
15

Total
259

 
$
1

 
$
—

 
$
15

 
$
4

 
$
15

 
$
35

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
 
 
Interest Rate Reduction
 
 
 
 
 
Number of
Loans
 
Principal
Forgiven
 
Principal Deferred
 
Re-age/
Extension/
Interest
Capitalization
 
Other with
Interest Rate
Reduction
 
Other
 
Total
One- to four-family
324

 
$
19

 
$
5

 
$
71

 
$
11

 
$
18

 
$
124

Home equity
253

 
—

 
—

 
7

 
7

 
7

 
21

Total
577

 
$
19

 
$
5

 
$
78

 
$
18

 
$
25

 
$
145

The following table shows the recorded investment in modifications that experienced a payment default within 12 months after the modification for the years ended December 31, 2015, 2014 and 2013 (dollars in millions): 
 
Year Ended December 31,
 
2015
 
2014
 
2013
 
Number of
Loans
 
Recorded
Investment
 
Number of
Loans
 
Recorded
Investment
 
Number of
Loans
 
Recorded
Investment
One- to four-family(1)
7

 
$
3

 
27

 
$
9

 
142

 
$
53

Home equity(2)(3)
90

 
5

 
55

 
3

 
69

 
3

Total
97

 
$
8

 
82

 
$
12

 
211

 
$
56

(1)
For years ended December 31, 2015, 2014 and 2013 less than $1 million, $1 million and $18 million, respectively, of the recorded investment in one- to four-family loans that had a payment default in the trailing 12 months was classified as current.
(2)
For the years ended December 31, 2015, 2014 and 2013, $3 million, $1 million and $1 million, respectively, of the recorded investment in home equity loans that had a payment default in the trailing 12 months was classified as current.
(3)
The majority of these home equity modifications during the year ended December 31, 2015 experienced servicer transfers during this same period.