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Off-Balance Sheet Lending-Related Financial Instruments, Guarantees and Other Commitments (Tables)
 12 Months Ended
Dec. 31, 2014
Off-Balance Sheet Lending-Related Financial Instruments, Guarantees and Other Commitments [Abstract]  
Off-balance sheet lending related financial instruments, and guarantees and other commitments
Off–balance sheet lending-related financial instruments, guarantees and other commitments
 
 
Contractual amount
 
Carrying value(i)
 
2014
 
2013
 
2014
2013
By remaining maturity at December 31,
(in millions)
Expires in 1 year or less
Expires after
1 year through
3 years
Expires after
3 years through
5 years
Expires after 5 years
Total
 
Total
 
 
 
Lending-related
 
 
 
 
 
 
 
 
 
 
Consumer, excluding credit card:
 
 
 
 
 
 
 
 
 
 
Home equity – senior lien
$
2,166

$
4,389

$
1,841

$
3,411

$
11,807

 
$
13,158

 
$
—

$
—

Home equity – junior lien
3,469

5,920

2,141

3,329

14,859

 
17,837

 
—

—

Prime mortgage(a)
8,579

—

—

—

8,579

 
4,817

 
—

—

Subprime mortgage
—

—

—

—

—

 
—

 
—

—

Auto
9,302

921

192

47

10,462

 
8,309

 
2

1

Business banking
10,557

807

117

413

11,894

 
11,251

 
11

7

Student and other
97

8

—

447

552

 
685

 
—

—

Total consumer, excluding credit card
34,170

12,045

4,291

7,647

58,153

 
56,057

 
13

8

Credit card
525,963

—

—

—

525,963

 
529,383

 
—

—

Total consumer(b)
560,133

12,045

4,291

7,647

584,116

 
585,440

 
13

8

Wholesale:
 
 
 
 
 
 
 
 
 
 
Other unfunded commitments to extend credit(c)(d)
68,688

83,877

112,992

7,119

272,676

 
246,495

 
374

432

Standby letters of credit and other financial guarantees(c)(d)(e)
22,584

29,753

34,982

2,555

89,874

 
92,723

 
788

943

Unused advised lines of credit
90,816

13,702

519

138

105,175

 
101,994

 
—

—

Other letters of credit(c)
3,363

877

91

—

4,331

 
5,020

 
1

2

Total wholesale(f)
185,451

128,209

148,584

9,812

472,056

 
446,232

 
1,163

1,377

Total lending-related
$
745,584

$
140,254

$
152,875

$
17,459

$
1,056,172

 
$
1,031,672

 
$
1,176

$
1,385

Other guarantees and commitments
 
 
 
 
 
 
 
 
 
 
Securities lending indemnification agreements and guarantees(g)
$
171,059

$
—

$
—

$
—

$
171,059

 
$
169,709

 
$
—

$
—

Derivatives qualifying as guarantees
3,009

167

12,313

38,100

53,589

 
56,274

 
80

72

Unsettled reverse repurchase and securities borrowing agreements
40,993

—

—

—

40,993

 
38,211

 
—

—

Loan sale and securitization-related indemnifications:










 
 
 


Mortgage repurchase liability
 NA

 NA

 NA

 NA

NA

 
NA

 
275

681

Loans sold with recourse
 NA

 NA

 NA

 NA

6,063

 
7,692

 
102

131

Other guarantees and commitments(h)
487

506

3,391

1,336

5,720

 
6,786

 
(121
)
(99
)
(a)
Includes certain commitments to purchase loans from correspondents.
(b)
Predominantly all consumer lending-related commitments are in the U.S.
(c)
At December 31, 2014 and 2013, reflects the contractual amount net of risk participations totaling $243 million and $476 million, respectively, for other unfunded commitments to extend credit; $13.0 billion and $14.8 billion, respectively, for standby letters of credit and other financial guarantees; and $469 million and $622 million, respectively, for other letters of credit. In regulatory filings with the Federal Reserve these commitments are shown gross of risk participations.
(d)
At December 31, 2014 and 2013, included credit enhancements and bond and commercial paper liquidity commitments to U.S. states and municipalities, hospitals and other non-profit entities of $14.8 billion and $18.9 billion, respectively, within other unfunded commitments to extend credit; and $13.3 billion and $17.2 billion, respectively, within standby letters of credit and other financial guarantees. Other unfunded commitments to extend credit also include liquidity facilities to nonconsolidated municipal bond VIEs; see Note 16.
(e)
At December 31, 2014 and 2013, included unissued standby letters of credit commitments of $45.6 billion and $42.8 billion, respectively.
(f)
At December 31, 2014 and 2013, the U.S. portion of the contractual amount of total wholesale lending-related commitments was 65% and 68%, respectively.
(g)
At December 31, 2014 and 2013, collateral held by the Firm in support of securities lending indemnification agreements was $177.1 billion and $176.4 billion, respectively. Securities lending collateral comprises primarily cash and securities issued by governments that are members of the Organisation for Economic Co-operation and Development (“OECD”) and U.S. government agencies.
(h)
At December 31, 2014 and 2013, included unfunded commitments of $147 million and $215 million, respectively, to third-party private equity funds; and $961 million and $1.9 billion, respectively, to other equity investments. These commitments included $150 million and $184 million, respectively, related to investments that are generally fair valued at net asset value as discussed in Note 3. In addition, at both December 31, 2014 and 2013, included letters of credit hedged by derivative transactions and managed on a market risk basis of $4.5 billion.
(i)
For lending-related products, the carrying value represents the allowance for lending-related commitments and the guarantee liability; for derivative-related products, the carrying value represents the fair value.
Standby letters of credit, other financial guarantees and other letters of credit
The following table summarizes the types of facilities under which standby letters of credit and other letters of credit arrangements are outstanding by the ratings profiles of the Firm’s customers, as of December 31, 2014 and 2013.
Standby letters of credit, other financial guarantees and other letters of credit
 
2014
 
2013
December 31,
(in millions)
Standby letters of
credit and other financial guarantees
Other letters
of credit
 
Standby letters of
credit and other financial guarantees
Other letters
of credit
Investment-grade(a)
 
$
66,856

 
$
3,476

 
 
$
69,109

 
$
3,939

Noninvestment-grade(a)
 
23,018

 
855

 
 
23,614

 
1,081

Total contractual amount
 
$
89,874

 
$
4,331

 
 
$
92,723

 
$
5,020

Allowance for lending-related commitments
 
$
234

 
$
1

 
 
$
263

 
$
2

Commitments with collateral
 
39,726

 
1,509

 
 
40,410

 
1,473

(a)
The ratings scale is based on the Firm’s internal ratings, which generally correspond to ratings as defined by S&P and Moody’s.
Summary of changes in mortgage repurchase liability
The following table summarizes the change in the mortgage repurchase liability for each of the periods presented.
Summary of changes in mortgage repurchase liability(a)
Year ended December 31,
(in millions)
2014
 
2013
 
2012
 
Repurchase liability at beginning of period
$
681

 
$
2,811

 
$
3,557

 
Net realized gains/(losses)(b)
53

 
(1,561
)
 
(1,158
)
 
Reclassification to litigation reserve
—

 
(179
)
 
—

 
(Benefit)/provision for repurchase(c)
(459
)
 
(390
)
 
412

 
Repurchase liability at end of period
$
275

 
$
681

 
$
2,811

 
(a)
On October 25, 2013, the Firm announced that it had reached a $1.1 billion agreement with the FHFA to resolve, other than certain limited types of exposures, outstanding and future mortgage repurchase demands associated with loans sold to the GSEs from 2000 to 2008.
(b)
Presented net of third-party recoveries and included principal losses and accrued interest on repurchased loans, “make-whole” settlements, settlements with claimants, and certain related expense. Make-whole settlements were $11 million, $414 million and $524 million, for the years ended December 31, 2014, 2013 and 2012, respectively.
(c)
Included a provision related to new loan sales of $4 million, $20 million and $112 million, for the years ended December 31, 2014, 2013 and 2012, respectively.