XML 50 R40.htm IDEA: XBRL DOCUMENT v3.25.1
Fair Values of Assets and Liabilities (Tables)
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Valuation Assumption Ranges for MSRs
The following table shows the significant valuation assumption ranges for MSRs at March 31, 2025:
 Minimum Maximum
Weighted-
Average(a)
Expected prepayment6 %19 %9 %
Option adjusted spread5 11 6 
(a)Determined based on the relative fair value of the related mortgage loans serviced.
Valuation Assumption Ranges for Derivative Commitments
The following table shows the significant valuation assumption ranges for the Company’s derivative commitments to purchase and originate mortgage loans at March 31, 2025:
 Minimum Maximum
Weighted-
Average(a)
Expected loan close rate5 %100 %81 %
Inherent MSR value (basis points per loan)57 200 110 
(a)Determined based on the relative fair value of the related mortgage loans.
Assets and Liabilities Measured at Fair Value on Recurring Basis
The following table summarizes the balances of assets and liabilities measured at fair value on a recurring basis:
(Dollars in Millions)Level 1Level 2Level 3Netting Total
March 31, 2025     
Available-for-sale securities     
U.S. Treasury and agencies$23,999 $4,617 $— $— $28,616 
Mortgage-backed securities     
Residential agency— 33,674 — — 33,674 
Commercial     
Agency— 7,503 — — 7,503 
Non-agency— 7 — — 7 
Asset-backed securities— 7,332 — — 7,332 
Obligations of state and political subdivisions— 9,326 — — 9,326 
Other— 316 — — 316 
Total available-for-sale23,999 62,775 — — 86,774 
Mortgage loans held for sale— 1,704 — — 1,704 
Mortgage servicing rights— — 3,312 — 3,312 
Derivative assets53 4,374 1,523 (2,680)3,270 
Other assets434 2,333 — — 2,767 
Total$24,486 $71,186 $4,835 $(2,680)$97,827 
Time deposits$— $6,506 $— $— $6,506 
Long-term debt— 645 — — 645 
Derivative liabilities84 4,429 2,250 (2,835)3,928 
Short-term borrowings and other liabilities(a)
587 1,859 — — 2,446 
Total$671 $13,439 $2,250 $(2,835)$13,525 
December 31, 2024     
Available-for-sale securities     
U.S. Treasury and agencies$23,891 $4,496 $— $— $28,387 
Mortgage-backed securities     
Residential agency— 33,281 — — 33,281 
Commercial     
Agency— 7,351 — — 7,351 
Non-agency— 6 — — 6 
Asset-backed securities— 7,165 — — 7,165 
Obligations of state and political subdivisions— 9,552 — — 9,552 
Other— 250 — — 250 
Total available-for-sale23,891 62,101 — — 85,992 
Mortgage loans held for sale— 2,251 — — 2,251 
Mortgage servicing rights— — 3,369 — 3,369 
Derivative assets27 5,208 1,202 (2,979)3,458 
Other assets420 1,769 — — 2,189 
Total$24,338 $71,329 $4,571 $(2,979)$97,259 
Time deposits$— $5,754 $— $— $5,754 
Long-term debt— 391 — — 391 
Derivative liabilities27 5,131 3,002 (2,949)5,211 
Short-term borrowings and other liabilities(a)
475 1,460 — — 1,935 
Total$502 $12,736 $3,002 $(2,949)$13,291 
Note: Excluded from the table above are equity investments without readily determinable fair values. The Company has elected to carry these investments at historical cost, adjusted for impairment and any changes resulting from observable price changes for identical or similar investments of the issuer. The aggregate carrying amount of these equity investments was $166 million and $159 million at March 31, 2025 and December 31, 2024, respectively, and reflect no impairment or observable price change adjustment at both March 31, 2025 and December 31, 2024. The Company did not record any adjustments for observable price changes during the first three months of 2025 and 2024.
(a)Primarily represents the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.
Changes in Fair Value for Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)
The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3):
Three Months Ended March 31
(Dollars in Millions)		Beginning of Period BalanceNet Gains (Losses) Included in Net IncomePurchasesSalesIssuancesSettlementsEnd of Period BalanceNet Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period
2025
Mortgage servicing rights$3,369 $(117)
(a)
$— $1 $59 
(c)
$— $3,312 $(117)
(a)
Net derivative assets and liabilities(1,800)(191)
(b)
669 (2)1 596 (727)996 
(d)
2024
Mortgage servicing rights$3,377 $30 
(a)
$— $— $55 
(c)
$— $3,462 $30 
(a)
Net derivative assets and liabilities(1,885)(1,683)
(e)
378 (2)— 831 (2,361)(181)
(f)
(a)Included in mortgage banking revenue.
(b)Approximately $51 million, $(241) million and $(1) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
(c)Represents MSRs capitalized during the period.
(d)Approximately $16 million, $981 million and $(1) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
(e)Approximately $44 million, $(1.7) billion and $(75) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
(f)Approximately $19 million, $(125) million and $(75) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
Changes in Fair Value for Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)
The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3):
Three Months Ended March 31
(Dollars in Millions)		Beginning of Period BalanceNet Gains (Losses) Included in Net IncomePurchasesSalesIssuancesSettlementsEnd of Period BalanceNet Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Held at End of Period
2025
Mortgage servicing rights$3,369 $(117)
(a)
$— $1 $59 
(c)
$— $3,312 $(117)
(a)
Net derivative assets and liabilities(1,800)(191)
(b)
669 (2)1 596 (727)996 
(d)
2024
Mortgage servicing rights$3,377 $30 
(a)
$— $— $55 
(c)
$— $3,462 $30 
(a)
Net derivative assets and liabilities(1,885)(1,683)
(e)
378 (2)— 831 (2,361)(181)
(f)
(a)Included in mortgage banking revenue.
(b)Approximately $51 million, $(241) million and $(1) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
(c)Represents MSRs capitalized during the period.
(d)Approximately $16 million, $981 million and $(1) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
(e)Approximately $44 million, $(1.7) billion and $(75) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
(f)Approximately $19 million, $(125) million and $(75) million included in mortgage banking revenue, capital markets revenue and other noninterest income, respectively.
Assets Measured at Fair Value on Nonrecurring Basis
The following table summarizes the balances as of the measurement date of assets measured at fair value on a nonrecurring basis, and still held as of the reporting date:
March 31, 2025December 31, 2024
(Dollars in Millions)Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Loans(a)
$— $— $339 $339 $— $— $636 $636 
Other assets(b)
— — 5 5 — — 25 25 
(a)Represents the carrying value of loans for which adjustments were based on the fair value of the collateral, excluding loans fully charged-off.
(b)Primarily represents the fair value of foreclosed properties that were measured at fair value based on an appraisal or broker price opinion of the collateral subsequent to their initial acquisition.
Losses Recognized Related to Nonrecurring Fair Value Measurements
The following table summarizes losses recognized related to nonrecurring fair value measurements of individual assets or portfolios:
Three Months Ended March 31
(Dollars in Millions)20252024
Loans(a)
$99 $67 
Other assets(b)
1 2 
(a)Represents write-downs of loans which were based on the fair value of the collateral, excluding loans fully charged-off.
(b)Primarily represents related losses of foreclosed properties that were measured at fair value subsequent to their initial acquisition.
Fair Value Option
The following table summarizes the differences between the aggregate fair value carrying amount of the assets and liabilities for which the fair value option has been elected and the aggregate remaining contractual principal balance outstanding:
March 31, 2025December 31, 2024
(Dollars in Millions)Fair Value Carrying AmountContractual Principal OutstandingCarrying Amount Over (Under) Contractual Principal OutstandingFair Value Carrying AmountContractual Principal OutstandingCarrying Amount Over (Under) Contractual Principal Outstanding
Total loans(a)
$1,704 $1,695 $9 $2,251 $2,243 $8 
Time deposits6,506 6,517 (11)5,754 5,762 (8)
Long-term debt645 664 (19)391 409 (18)
(a)Includes nonaccrual loans of $1 million carried at fair value with contractual principal outstanding of $1 million at March 31, 2025 and $1 million carried at fair value with contractual principal outstanding of $1 million at December 31, 2024. Includes loans 90 days or more past due of $5 million carried at fair value with contractual principal outstanding of $5 million at March 31, 2025 and $4 million carried at fair value with contractual principal outstanding of $4 million at December 31, 2024.
Estimated Fair Values of Financial Instruments
The estimated fair values of the Company’s financial instruments are shown in the table below:
March 31, 2025December 31, 2024
Carrying AmountFair ValueCarrying AmountFair Value
(Dollars in Millions)Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Financial Assets
Cash and due from banks$50,013 $50,013 $— $— $50,013 $56,502 $56,502 $— $— $56,502 
Federal funds sold and securities purchased under resale agreements7,236 — 7,236 — 7,236 6,380 — 6,380 — 6,380 
Investment securities held-to-maturity78,008 1,284 65,815 — 67,099 78,634 1,275 65,000 — 66,275 
Loans held for sale(a)
42 — — 42 42 322 — — 322 322 
Loans, net of allowance for losses374,235 — — 369,966 369,966 372,249 — — 365,628 365,628 
Other(b)
2,584 — 1,930 654 2,584 2,482 — 1,767 715 2,482 
Financial Liabilities
Time deposits(c)
48,740 — 48,823 — 48,823 49,015 — 49,156 — 49,156 
Short-term borrowings(d)
14,765 — 14,567 — 14,567 13,583 — 13,419 — 13,419 
Long-term debt(e)
59,214 — 58,346 — 58,346 57,611 — 56,441 — 56,441 
Other(f)
4,565 — 1,350 3,215 4,565 5,220 — 1,369 3,851 5,220 
(a)Excludes mortgages held for sale for which the fair value option under applicable accounting guidance was elected.
(b)Includes investments in Federal Reserve Bank and FHLB stock and tax-advantaged investments.
(c)Excludes time deposits for which the fair value option under applicable accounting guidance was elected.
(d)Excludes the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.
(e)Excludes structured long-term notes for which the fair value option under applicable accounting guidance was elected.
(f)Includes operating lease liabilities and liabilities related to tax-advantaged investments.