Accumulated Other Comprehensive Income (Tables)

12 Months Ended

Dec. 31, 2021

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Income

The following table presents changes, net of tax, in each component of accumulated other comprehensive (loss) income.

($ in millions)	Unrealized (losses) gains on investment securities (a)		Translation adjustments and net investment hedges (b)		Cash flow hedges (b)		Defined benefit pension plans		Accumulated other comprehensive (loss) income
Balance at December 31, 2018	$	(481)	$	18	$	19	$	(95)	$	(539)
Cumulative effect of changes in accounting principles, net of tax
Adoption of Accounting Standards Update 2017-08	8		—		—		—		8
Balance at January 1, 2019	(473)		18		19		(95)		(531)
Net change	681		1		(17)		(11)		654
Balance at December 31, 2019	208		19		2		(106)		123
Net change	432		—		80		(4)		508
Balance at December 31, 2020	640		19		82		(110)		631
Net change (c)	(735)		—		(47)		(7)		(789)
Balance at December 31, 2021	$	(95)	$	19	$	35	$	(117)	$	(158)

(a)Represents the after-tax difference between the fair value and amortized cost of our available-for-sale securities portfolio.

(b)For additional information on derivative instruments and hedging activities, refer to Note 21.

(c)Includes activity related to our defined benefit plans based on valuations reflecting our current intention to terminate our qualified defined benefit plan in the future. Upon termination and settlement, the unrealized loss and associated tax effects related to our qualified defined benefit pension plan recorded in accumulated other comprehensive income would be recognized in our Consolidated Statement of Income.

Reclassification Out of Accumulated Other Comprehensive Income

The following tables present the before- and after-tax changes in each component of accumulated other comprehensive (loss) income.

Year ended December 31, 2021 ($ in millions)	Before tax			Tax effect			After tax
Investment securities
Net unrealized losses arising during the period	$	(859)		$	203		$	(656)
Less: Net realized gains reclassified to income from continuing operations	102		(a)	(23)		(b)	79
Net change	(961)			226			(735)
Cash flow hedges (c)
Less: Net realized gains reclassified to income from continuing operations	61		(d)	(14)		(b)	47
Defined benefit pension plans
Net unrealized losses arising during the period (e)	(11)			3			(8)
Less: Net realized losses reclassified to income from continuing operations	(1)			—		(b)	(1)
Net change	(10)			3			(7)
Other comprehensive loss	$	(1,032)		$	243		$	(789)

(a)Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income.

(b)Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income.

(c)For additional information on derivative instruments and hedging activities, refer to Note 21.

(d)Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income.

(e)Includes activity related to our defined benefit plans based on valuations reflecting our current intention to terminate our qualified defined benefit plan in the future. Upon termination and settlement, the unrealized loss and associated tax effects related to our qualified defined benefit pension plan recorded in accumulated other comprehensive income would be recognized in our Consolidated Statement of Income.

Year ended December 31, 2020 ($ in millions)	Before tax			Tax effect			After tax
Investment securities
Net unrealized gains arising during the period	$	737		$	(173)		$	564
Less: Net realized gains reclassified to income from continuing operations	171		(a)	(39)		(b)	132
Net change	566			(134)			432
Translation adjustments
Net unrealized gains arising during the period	4			(1)			3
Net investment hedges (c)
Net unrealized losses arising during the period	(4)			1			(3)
Cash flow hedges (c)
Net unrealized gains arising during the period	169			(40)			129
Less: Net realized gains reclassified to income from continuing operations	64		(d)	(15)		(b)	49
Net change	105			(25)			80
Defined benefit pension plans
Net unrealized losses arising during the period	(5)			1			(4)
Other comprehensive income	$	666		$	(158)		$	508

(a)Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income.

(b)Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income.

(c)For additional information on derivative instruments and hedging activities, refer to Note 21.

(d)Includes gains reclassified to interest and fees on finance receivables and loans in our Consolidated Statement of Income.

Year ended December 31, 2019 ($ in millions)	Before tax			Tax effect			After tax
Investment securities
Net unrealized gains arising during the period	$	968		$	(227)		$	741
Less: Net realized gains reclassified to income from continuing operations	78		(a)	(18)		(b)	60
Net change	890			(209)			681
Translation adjustments
Net unrealized gains arising during the period	7			(2)			5
Net investment hedges (c)
Net unrealized loss arising during the period	(6)			2			(4)
Cash flow hedges (c)
Net unrealized losses arising during the period	(11)			4			(7)
Less: Net realized gains reclassified to income from continuing operations	12		(d)	(2)			10
Net change	(23)			6			(17)
Defined benefit pension plans
Net unrealized losses arising during the period	(14)			3			(11)
Other comprehensive income	$	854		$	(200)		$	654

(a)Includes gains reclassified to other gain on investments, net in our Consolidated Statement of Income.

(b)Includes amounts reclassified to income tax expense from continuing operations in our Consolidated Statement of Income.

(c)For additional information on derivative instruments and hedging activities, refer to Note 21.

(d)Includes gains reclassified to interest on deposits and interest on long-term debt in our Consolidated Statement of Income.