Sales of Receivables and Servicing Rights (Tables)

3 Months Ended

Mar. 31, 2025

Transfers and Servicing [Abstract]

Activity Related to Mortgage Banking Net Revenue

Information related to residential mortgage loan sales and the Bancorp’s mortgage banking activity, which is included in mortgage banking net revenue in the Condensed Consolidated Statements of Income, is as follows:

	For the three months ended March 31,
($ in millions)	2025		2024
Residential mortgage loan sales(a)	$	1,003	714
Origination fees and gains on loan sales	14		14
Gross mortgage servicing fees	74		78

(a)Represents the unpaid principal balance at the time of the sale.

Changes in Servicing Assets

The following table presents changes in the servicing rights related to residential mortgage loans for the three months ended March 31:

($ in millions)	2025		2024
Balance, beginning of period	$	1,704	1,737
Servicing rights originated	9		11
Changes in fair value:
Due to changes in inputs or assumptions(a)	(16)		41
Other changes in fair value(b)	(34)		(33)
Balance, end of period	$	1,663	1,756

(a)Primarily reflects changes in prepayment speed and OAS assumptions which are updated based on market interest rates.

(b)Primarily reflects changes due to realized cash flows and the passage of time.

Servicing Assets and Residual Interests Economic Assumptions

The key economic assumptions used in measuring the servicing rights related to residential mortgage loans that continued to be held by the Bancorp at the date of sale, securitization or purchase resulting from transactions completed during the three months ended March 31, 2025 and 2024 were as follows:

	March 31, 2025				March 31, 2024
	Weighted- Average Life (in years)	Prepayment Speed (annual)		OAS (bps)	Weighted- Average Life (in years)	Prepayment Speed (annual)		OAS (bps)
Fixed-rate	7.4	10.7	%	483	5.9	14.3	%	503

Sensitivity of the Current Fair Value of Residual Cash Flows to Immediate 10%, 20% and 50% Adverse Changes in Assumptions

At March 31, 2025, the sensitivity of the current fair value of residual cash flows to immediate 10%, 20% and 50% adverse changes in prepayment speed assumptions and immediate 10% and 20% adverse changes in OAS for servicing rights related to residential mortgage loans are as follows:

($ in millions)(a)				Prepayment Speed Assumption						OAS Assumption
	Fair Value		Weighted- Average Life (in years)			Impact of Adverse Change on Fair Value				OAS (bps)	Impact of Adverse Change on Fair Value
				Rate		10%		20%	50%		10%		20%
Fixed-rate	$	1,660	8.2	6.3	%	$	(39)	(76)	(176)	418	$	(32)	(63)
Adjustable-rate	3		4.8	16.0		—		(1)	(1)	725	—		—

(a)The impact of the weighted-average default rate on the current fair value of residual cash flows for all scenarios is immaterial.