Interest Income and Interest Expense (Tables)

6 Months Ended

Jun. 30, 2021

Interest Income (Expense), Net [Abstract]

Details of interest income and interest expense

The following table presents the components of interest income and interest expense.

	Three months ended June 30,				Six months ended June 30,
(in millions)	2021		2020		2021		2020
Interest income
Loans(a)	$	10,145	$	10,889	$	20,332	$	23,194
Taxable securities	1,577		2,154		3,182		4,387
Non-taxable securities(b)	270		307		547		607
Total investment securities(a)	1,847		2,461		3,729		4,994
Trading assets - debt instruments	1,711		2,066		3,493		4,130
Federal funds sold and securities purchased under resale agreements	175		601		408		1,696
Securities borrowed(c)	(90)		(175)		(167)		(23)
Deposits with banks	103		70		168		639
All other interest-earning assets(d)	203		200		402		643
Total interest income	$	14,094	$	16,112	$	28,365	$	35,273
Interest expense
Interest-bearing deposits	$	132	$	349	$	278	$	1,924
Federal funds purchased and securities loaned or sold under repurchase agreements	60		131		75		918
Short-term borrowings(e)	33		124		66		275
Trading liabilities – debt and all other interest-bearing liabilities(c)(f)	51		(43)		78		329
Long-term debt	1,056		1,639		2,190		3,386
Beneficial interest issued by consolidated VIEs	21		59		48		149
Total interest expense	$	1,353	$	2,259	$	2,735	$	6,981
Net interest income	$	12,741	$	13,853	$	25,630	$	28,292
Provision for credit losses	(2,285)		10,473		(6,441)		18,758
Net interest income after provision for credit losses	$	15,026	$	3,380	$	32,071	$	9,534

(a)Includes the amortization/accretion of unearned income (e.g., purchase premiums/discounts and net deferred fees/costs).

(b)Represents securities which are tax-exempt for U.S. federal income tax purposes.

(c)Negative interest income is related to the impact of current interest rates combined with the fees paid on client-driven securities borrowed balances. The negative interest expense related to prime brokerage customer payables is recognized in interest expense and reported within trading liabilities - debt and all other interest-bearing liabilities.

(d)Includes interest earned on brokerage-related held-for-investment customer receivables, which are classified in accrued interest and accounts receivable, and all other interest-earning assets which are classified in other assets on the Consolidated balance sheets.

(e)Includes commercial paper.

(f)All other interest-bearing liabilities includes interest expense on brokerage-related customer payables.