Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2020

Fair Value Disclosures [Abstract]

Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis

Assets and liabilities measured at fair value on a recurring basis are as follows (dollars in millions):

	Quoted Price in Active Markets for Identical Assets  (Level 1)		Significant Other Observable Inputs  (Level 2)		Significant Unobservable Inputs  (Level 3)		Total
Balance at September 30, 2020
Assets
Fair value - OCI
U.S. Treasury securities	$	9,548	$	—	$	—	$	9,548
Residential mortgage-backed securities - Agency	—		11,025		—		11,025
Available-for-sale investment securities	$	9,548	$	11,025	$	—	$	20,573
Liabilities
Fair value - OCI
Derivative financial instruments - cash flow hedges(1)	$	—	$	1	$	—	$	1
Fair value - Net income
Derivative financial instruments - fair value hedges(1)	$	—	$	1	$	—	$	1
Balance at December 31, 2019
Assets
Fair value - OCI
U.S. Treasury securities	$	9,906	$	—	$	—	$	9,906
Residential mortgage-backed securities - Agency	—		417		—		417
Available-for-sale investment securities	$	9,906	$	417	$	—	$	10,323
Liabilities
Fair value - OCI
Derivative financial instruments - cash flow hedges(1)	$	—	$	2	$	—	$	2
Fair value - Net income
Derivative financial instruments - fair value hedges(1)	$	—	$	4	$	—	$	4
Derivative financial instruments - foreign exchange forward contracts(1)	$	—	$	1	$	—	$	1

(1)Derivative instrument carrying values in an asset or liability position are presented as part of other assets or accrued expenses and other liabilities, respectively, in the Company's condensed consolidated statements of financial condition.

Schedule of Financial Instruments Measured at Other Than Fair Value

The following tables disclose the estimated fair value of the Company's financial assets and financial liabilities that are not required to be carried at fair value (dollars in millions):

Balance at September 30, 2020	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		Carrying Value
Assets
Amortized cost
Residential mortgage-backed securities - Agency	$	—	$	290	$	—	$	290	$	281
Held-to-maturity investment securities	$	—	$	290	$	—	$	290	$	281
Net loan receivables	$	—	$	—	$	89,767	$	89,767	$	80,434
Carrying value approximates fair value(1)
Cash and cash equivalents	$	9,513	$	—	$	—	$	9,513	$	9,513
Restricted cash	$	576	$	—	$	—	$	576	$	576
Other short-term investments	$	8,048	$	—	$	—	$	8,048	$	8,048
Accrued interest receivables(2)	$	—	$	1,008	$	—	$	1,008	$	1,008
Liabilities
Amortized cost
Time deposits(3)	$	—	$	31,739	$	—	$	31,739	$	30,842
Short-term borrowings	$	—	$	10,700	$	—	$	10,700	$	10,700
Long-term borrowings - owed to securitization investors	$	—	$	11,378	$	136	$	11,514	$	11,425
Other long-term borrowings	—		11,278		—		11,278		10,416
Long-term borrowings	$	—	$	22,656	$	136	$	22,792	$	21,841
Carrying value approximates fair value(1)
Accrued interest payables(2)	$	—	$	170	$	—	$	170	$	170
(1)The carrying values of these assets and liabilities approximate fair value due to their short-term nature.
(2)Accrued interest receivable and payable carrying values are presented as part of other assets or accrued expenses and other liabilities, respectively, in the Company's
condensed consolidated statements of financial condition.
(3)Excludes deposits without contractually defined maturities for all periods presented.

Balance at December 31, 2019	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total		Carrying Value
Assets
Amortized cost
Residential mortgage-backed securities - Agency	$	—	$	274	$	—	$	274	$	272
Held-to-maturity investment securities	$	—	$	274	$	—	$	274	$	272
Net loan receivables	$	—	$	—	$	96,094	$	96,094	$	92,511
Carrying value approximates fair value(1)
Cash and cash equivalents	$	6,924	$	—	$	—	$	6,924	$	6,924
Restricted cash	$	40	$	—	$	—	$	40	$	40
Accrued interest receivables(2)	$	—	$	1,044	$	—	$	1,044	$	1,044
Liabilities
Amortized cost
Time deposits(3)	$	—	$	34,910	$	—	$	34,910	$	34,381
Long-term borrowings - owed to securitization investors	$	—	$	14,211	$	172	$	14,383	$	14,284
Other long-term borrowings	—		12,189		—		12,189		11,417
Long-term borrowings	$	—	$	26,400	$	172	$	26,572	$	25,701
Carrying value approximates fair value(1)
Accrued interest payables(2)	$	—	$	283	$	—	$	283	$	283

(1)The carrying values of these assets and liabilities approximate fair value due to their short-term nature.

(2)Accrued interest receivable and payable carrying values are presented as part of other assets or accrued expenses and other liabilities, respectively, in the Company's condensed consolidated statements of financial condition.

(3)Excludes deposits without contractually defined maturities for all periods presented.