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Off-balance Sheet Lending-related Financial Instruments, Guarantees, and Other Commitments (Tables)
 9 Months Ended
Sep. 30, 2019
Off-Balance Sheet Lending-Related Financial Instruments, Guarantees and Other Commitments [Abstract]  
Off-balance sheet lending related financial instruments, guarantees and other commitments The following table summarizes the contractual amounts and carrying values of off-balance sheet lending-related financial instruments, guarantees and other commitments at September 30, 2019, and December 31, 2018. The amounts in the table below for credit card and home equity lending-related commitments represent the total available credit for these products. The Firm has not experienced, and does not anticipate, that all available lines of credit for these products will be utilized at the same time. The Firm can reduce or cancel credit card lines of credit by providing the borrower notice or, in some cases as permitted by law, without notice. In addition, the Firm typically closes credit card lines when the borrower is 60 days or more past due. The Firm may reduce or close HELOCs when there are significant decreases in the value of the underlying property, or when there has been a demonstrable decline in the creditworthiness of the borrower.
Off–balance sheet lending-related financial instruments, guarantees and other commitments


Contractual amount

Carrying value(g)

September 30, 2019

Dec 31,
2018


Sep 30,
2019

Dec 31,
2018

By remaining maturity
(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
$
597

$
1,156

$
2,353

$
17,077

$
21,183

 
$
20,901

 
$
12

$
12

Residential mortgage(a)
10,904

—

—

12

10,916

 
5,481

 
—

—

Auto
8,062

1,238

118

49

9,467

 
8,011

 
2

2

Consumer & Business Banking
10,324

643

106

952

12,025

 
11,673

 
19

19

Total consumer, excluding credit card
29,887

3,037

2,577

18,090

53,591

 
46,066

 
33

33

Credit card
645,880

—

—

—

645,880

 
605,379

 
—

—

Total consumer(b)
675,767

3,037

2,577

18,090

699,471

 
651,445

 
33

33

Wholesale:
 
 
 
 
 
 
 
 
 
 
Other unfunded commitments to extend credit(c)
55,258

128,911

161,963

11,200

357,332

 
351,490

 
912

852

Standby letters of credit and other financial guarantees(c)
16,373

10,525

5,349

1,842

34,089

 
33,498

 
605

521

Other letters of credit(c)
3,853

305

40

—

4,198

 
2,825

 
5

3

Total wholesale(b)
75,484

139,741

167,352

13,042

395,619

 
387,813

 
1,522

1,376

Total lending-related
$
751,251

$
142,778

$
169,929

$
31,132

$
1,095,090

 
$
1,039,258

 
$
1,555

$
1,409

Other guarantees and commitments
 
 
 
 
 
 
 
 
 
 
Securities lending indemnification agreements and guarantees(d)
$
214,338

$
—

$
—

$
—

$
214,338

 
$
186,077

 
$
—

$
—

Derivatives qualifying as guarantees
1,772

196

12,081

40,369

54,418

 
55,271

 
231

367

Unsettled resale and securities borrowed agreements
122,946

1,125

66

—

124,137

 
102,008

 
—

—

Unsettled repurchase and securities loaned agreements
120,679

670

—

—

121,349

 
57,732

 
—

—

Loan sale and securitization-related indemnifications:
 
 
 
 
 
 
 
 
 
 
Mortgage repurchase liability
NA

NA

NA

NA

NA

 
NA

 
61

89

Loans sold with recourse
NA

NA

NA

NA

1,001

 
1,019

 
27

30

Exchange & clearing house guarantees and commitments(e)
161,580

—

—

—

161,580

 
58,960

 
—

—

Other guarantees and commitments(f)
4,098

590

260

2,832

7,780

 
8,183

 
(89
)
(73
)
(a)
Includes certain commitments to purchase loans from correspondents.
(b)
Predominantly all consumer and wholesale lending-related commitments are in the U.S.
(c)
At September 30, 2019, and December 31, 2018, reflected the contractual amount net of risk participations totaling $198 million and $282 million respectively, for other unfunded commitments to extend credit; $9.7 billion and $10.4 billion, respectively, for standby letters of credit and other financial guarantees; and $705 million and $385 million, respectively, for other letters of credit. In regulatory filings with the Federal Reserve these commitments are shown gross of risk participations.
(d)
At September 30, 2019, and December 31, 2018, collateral held by the Firm in support of securities lending indemnification agreements was $226.5 billion and $195.6 billion, respectively. Securities lending collateral primarily consists of cash, G7 government securities, and securities issued by U.S. GSEs and government agencies.
(e)
At September 30, 2019, and December 31, 2018, includes guarantees to the Fixed Income Clearing Corporation under the sponsored member repo program and commitments and guarantees associated with the Firm’s membership in certain clearing houses.
(f)
At September 30, 2019, and December 31, 2018, primarily includes letters of credit hedged by derivative transactions and managed on a market risk basis, and unfunded commitments related to institutional lending. Additionally, includes unfunded commitments predominantly related to certain tax-oriented equity investments.
(g)
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 contractual amount and carrying value of standby letters of credit and other financial guarantees and other letters of credit arrangements as of September 30, 2019, and December 31, 2018.
Standby letters of credit, other financial guarantees and other letters of credit
 
September 30, 2019
 
December 31, 2018
(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)
$
27,131

 
$
3,249

 
$
26,420

 
$
2,079

Noninvestment-grade(a)
6,958

 
949

 
7,078

 
746

Total contractual amount
$
34,089

 
$
4,198

 
$
33,498

 
$
2,825

 
 
 
 
 
 
 
 
Allowance for lending-related commitments
$
215

 
$
5

 
$
167

 
$
3

Guarantee liability
390

 
—

 
354

 
—

Total carrying value
$
605

 
$
5

 
$
521

 
$
3

 
 
 
 
 
 
 
 
Commitments with collateral
$
17,690

 
$
877

 
$
17,400

 
$
583

(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.
Derivatives qualifying as guarantees
The following table summarizes the derivatives qualifying as guarantees as of September 30, 2019, and December 31, 2018.
(in millions)
September 30, 2019

 
December 31, 2018

Notional amounts
 
 
 
Derivative guarantees
$
54,418

 
$
55,271

Stable value contracts with contractually limited exposure
28,886

 
28,637

Maximum exposure of stable value contracts with contractually limited exposure
2,960

 
2,963

 
 
 
 
Fair value
 
 
 
Derivative payables
231

 
367

Derivative receivables
—

 
—