Offsetting Assets and Liabilities

Our qualifying master netting agreements are written, legally enforceable bilateral agreements that (1) create a single legal obligation for all individual transactions covered by the agreement to the non-defaulting entity upon an event of default of the counterparty, including bankruptcy, insolvency, or similar proceeding, and (2) provide the non-defaulting entity the right to accelerate, terminate, and close-out on a net basis all transactions under the agreement and to liquidate or set off collateral promptly upon an event of default of the counterparty. In certain instances we have the option to report financial instruments that are subject to a qualifying master netting agreement on a net basis. However, we have elected to report these instruments as gross assets and liabilities on the Condensed Consolidated Balance Sheet.

To further mitigate the risk of counterparty default related to derivative instruments, we maintain collateral agreements with certain counterparties. The agreements require both parties to maintain collateral in the event the fair values of the derivative financial instruments meet established thresholds. In the event that either party defaults on the obligation, the secured party may seize the collateral. Generally, our collateral arrangements are bilateral such that we and the counterparty post collateral for the value of our total obligation to each other. Contractual terms provide for standard and customary exchange of collateral based on changes in the market value of the outstanding derivatives. The securing party posts additional collateral when their obligation rises or removes collateral when it falls, such that the net replacement cost of the non-defaulting party is covered in the event of counterparty default.

The composition of offsetting derivative instruments, financial assets, and financial liabilities was as follows.



	Gross Amounts of Recognized Assets/(Liabilities)			Gross Amounts Offset in the Condensed Consolidated Balance Sheet		Net Amounts of Assets/(Liabilities) Presented in the Condensed Consolidated Balance Sheet
									Gross Amounts Not Offset in the Condensed Consolidated Balance Sheet
March 31, 2015 ($ in millions)									Financial Instruments			Collateral (a) (b)			Net Amount
Assets
Derivative assets in net asset positions	$	261		$	—	$	261		$	(72	)	$	(102	)	$	87
Derivative assets in net liability positions	54			—		54			(54		)	—			—
Total derivative assets (c)	315			—		315			(126		)	(102		)	87
Reverse repurchase, securities borrowing, and similar arrangements	50			—		50			—			—			50
Total assets	$	365		$	—	$	365		$	(126	)	$	(102	)	$	137
Liabilities
Derivative liabilities in net liability positions	$	(186	)	$	—	$	(186	)	$	54		$	68		$	(64	)
Derivative liabilities in net asset positions	(72		)	—		(72		)	72			—			—
Derivative liabilities with no offsetting arrangements	(10		)	—		(10		)	—			—			(10		)
Total derivative liabilities (c)	(268		)	—		(268		)	126			68			(74		)
Securities sold under agreements to repurchase (d)	(2,166		)	—		(2,166		)	—			2,166			—
Total liabilities	$	(2,434	)	$	—	$	(2,434	)	$	126		$	2,234		$	(74	)


(a)	Financial collateral received/pledged shown as a balance based on the sum of all net asset and liability positions between Ally and each individual derivative counterparty.

(b)

Amounts disclosed are limited to the financial asset or liability balance and, accordingly, exclude excess collateral received or pledged. As of March 31, 2015, $10 million of derivative non-cash collateral received and $50 million of non-cash collateral related to the reverse repurchase agreement were excluded. We do not record such collateral received on our Condensed Consolidated Balance Sheet unless certain conditions are met.


(c)	For additional information on derivative instruments and hedging activities, refer to Note 20.


(d)	For additional information on securities sold under agreements to repurchase, refer to Note 13.



	Gross Amounts of Recognized Assets/(Liabilities)			Gross Amounts Offset in the Condensed Consolidated Balance Sheet		Net Amounts of Assets/(Liabilities) Presented in the Condensed Consolidated Balance Sheet
									Gross Amounts Not Offset in the Condensed Consolidated Balance Sheet
December 31, 2014 ($ in millions)									Financial Instruments			Collateral (a)			Net Amount
Assets
Derivative assets in net asset positions	$	216		$	—	$	216		$	(60	)	$	(68	)	$	88
Derivative assets in net liability positions	47			—		47			(47		)	—			—
Total assets (b)	$	263		$	—	$	263		$	(107	)	$	(68	)	$	88
Liabilities
Derivative liabilities in net liability positions	$	(188	)	$	—	$	(188	)	$	47		$	54		$	(87	)
Derivative liabilities in net asset positions	(60		)	—		(60		)	60			—			—
Derivative liabilities with no offsetting arrangements	(4		)	—		(4		)	—			—			(4		)
Total derivative liabilities (b)	(252		)	—		(252		)	107			54			(91		)
Securities sold under agreements to repurchase (c)	(774		)	—		(774		)	—			774			—
Total liabilities	$	(1,026	)	$	—	$	(1,026	)	$	107		$	828		$	(91	)


(a)	Financial collateral received/pledged shown as a balance based on the sum of all net asset and liability positions between Ally and each individual derivative counterparty.


(b)	For additional information on derivative instruments and hedging activities, refer to Note 20.


(c)	For additional information on securities sold under agreements to repurchase, refer to Note 13.