Fair value measurements (Tables)

9 Months Ended

Sep. 30, 2024

Fair Value Disclosures [Abstract]

Assets and Liabilities Measured at Estimated Fair Value on Recurring Basis

The following tables present assets and liabilities at September 30, 2024 and December 31, 2023 measured at estimated fair value on a recurring basis:

(Dollars in millions)	Fair Value Measurements		Level 1		Level 2		Level 3 (a)
September 30, 2024
Trading account	$	102	$	102	$	—	$	—
Investment securities available for sale:
U.S. Treasury and federal agencies	7,860		—		7,860		—
Mortgage-backed securities:
Government issued or guaranteed:
Commercial	3,177		—		3,177		—
Residential	5,589		—		5,589		—
Other debt securities	101		—		101		—
	16,727		—		16,727		—
Equity securities	257		244		13		—
Real estate loans held for sale	958		—		958		—
Other assets (b)	286		—		257		29
Total assets	$	18,330	$	346	$	17,955	$	29
Other liabilities (b)	$	679	$	—	$	658	$	21
Total liabilities	$	679	$	—	$	658	$	21
December 31, 2023
Trading account	$	106	$	101	$	5	$	—
Investment securities available for sale:
U.S. Treasury and federal agencies	7,705		—		7,705		—
Mortgage-backed securities:
Government issued or guaranteed:
Commercial	416		—		416		—
Residential	2,154		—		2,154		—
Other debt securities	165		—		165		—
	10,440		—		10,440		—
Equity securities	268		258		10		—
Real estate loans held for sale	379		—		379		—
Other assets (b)	324		—		309		15
Total assets	$	11,517	$	359	$	11,143	$	15
Other liabilities (b)	$	943	$	—	$	911	$	32
Total liabilities	$	943	$	—	$	911	$	32

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(a)Significant unobservable inputs used in the fair value measurement of commitments to originate real estate loans held for sale included weighted-average commitment expirations of 6% at September 30, 2024 and 5% at December 31, 2023. An increase (decrease) in the estimate of expirations for commitments to originate real estate loans would generally result in a lower (higher) fair value measurement. Estimated commitment expirations are derived considering loan type, changes in interest rates and remaining length of time until closing.

(b)Comprised predominantly of interest rate swap agreements used for interest rate risk management (Level 2), interest rate and foreign exchange contracts not designated as hedging instruments (Level 2), commitments to sell real estate loans (Level 2) and commitments to originate real estate loans to be held for sale (Level 3).

Carrying Amounts and Estimated Fair Value for Financial Instrument Assets (Liabilities)

The carrying amounts and estimated fair value for certain financial instruments that are not recorded at fair value in the Consolidated Balance Sheet are presented in the following table:

(Dollars in millions)	Carrying Amount		Estimated Fair Value		Level 1		Level 2		Level 3
September 30, 2024
Financial assets:
Cash and cash equivalents	$	2,216	$	2,216	$	2,107	$	109	$	—
Interest-bearing deposits at banks	24,417		24,417		—		24,417		—
Investment securities held to maturity	14,503		13,709		—		13,666		43
Loans and leases, net	133,716		132,086		—		7,581		124,505
Financial liabilities:
Time deposits	16,512		16,514		—		16,514		—
Short-term borrowings	2,605		2,605		—		2,605		—
Long-term borrowings	11,583		11,705		—		11,705		—
December 31, 2023
Financial assets:
Cash and cash equivalents	1,731		1,731		1,668		63		—
Interest-bearing deposits at banks	28,069		28,069		—		28,069		—
Investment securities held to maturity	15,330		14,308		—		14,262		46
Loans and leases, net	131,939		129,138		—		7,240		121,898
Financial liabilities:
Time deposits	20,759		20,715		—		20,715		—
Short-term borrowings	5,316		5,316		—		5,316		—
Long-term borrowings	8,201		8,107		—		8,107		—