XML 50 R41.htm IDEA: XBRL DOCUMENT

Securitizations and Variable Interest Entities (Tables)

3 Months Ended

Mar. 31, 2023

Securitizations And Variable Interest Entities [Abstract]

The following table presents our involvement in consolidated and nonconsolidated VIEs in which we hold variable interests. We have excluded certain transactions with nonconsolidated entities from the balances presented in the table below, where our only continuing involvement relates to financial interests obtained through the ordinary course of business, primarily from lending and investing arrangements. For additional detail related to the assets and liabilities of consolidated variable interest entities refer to the Condensed Consolidated Balance Sheet.


($ in millions)	Carrying value of total assets			Carrying value of total liabilities			Assets sold to nonconsolidated VIEs (a)		Maximum exposure to loss in nonconsolidated VIEs
March 31, 2023
On-balance sheet variable interest entities
Consumer automotive	$	22,126	(b)	$	3,162	(c)	$	—	$	—


Off-balance sheet variable interest entities
Consumer automotive	—			—			461		461		(d)
Consumer other (e)	—			—			118		118
Commercial other	2,203		(f)	864		(g)	—		2,767		(h)
Total	$	24,329		$	4,026		$	579	$	3,346
December 31, 2022
On-balance sheet variable interest entities
Consumer automotive	$	20,415	(b)	$	2,553	(c)	$	—	$	—


Off-balance sheet variable interest entities
Consumer automotive	—			—			$	227	$	227	(d)
Consumer other (e)	—			—			103		103
Commercial other	2,199		(f)	873		(g)	—		2,767		(h)
Total	$	22,614		$	3,426		$	330	$	3,097

(a)Asset values represent the current unpaid principal balance of outstanding consumer automotive and credit card finance receivables and loans within the VIEs.

(b)Includes $10.4 billion and $10.6 billion of assets that were not encumbered by VIE beneficial interests held by third parties at March 31, 2023, and December 31, 2022, respectively. Ally or consolidated affiliates hold the interests in these assets.

(c)Includes $111 million and $113 million of liabilities that were not obligations to third-party beneficial interest holders at March 31, 2023, and December 31, 2022, respectively.

(d)Maximum exposure to loss represents the current unpaid principal balance of outstanding loans based on our customary representation and warranty provisions. This measure is based on the unlikely event that all the loans have underwriting defects or other defects that trigger a representation and warranty provision and the collateral supporting the loans are worthless. This required disclosure is not an indication of our expected loss.

(e)Represents balances from Ally Credit Card.

(f)Amounts are classified as other assets except for $41 million and $38 million classified as equity securities at March 31, 2023, and December 31, 2022, respectively.

(g)Amounts are classified as accrued expenses and other liabilities.

(h)For certain nonconsolidated affordable housing entities, maximum exposure to loss represents the yield we guaranteed investors through long-term guarantee contracts. The amount disclosed is based on the unlikely event that the yield delivered to investors in the form of low-income tax housing credits is recaptured. For nonconsolidated equity investments, maximum exposure to loss represents our outstanding investment, additional committed capital, and low-income housing tax credits subject to recapture. The amount disclosed is based on the unlikely event that our committed capital is funded, our investments become worthless, and the tax credits previously delivered to us are recaptured. This required disclosure is not an indication of our expected loss.

Schedule of Cash Flows with Nonconsolidated Special-Purpose Entities

The following table summarizes cash flows received and paid related to SPEs and asset-backed financings where the transfer is accounted for as a sale and we have a continuing involvement with the transferred consumer automotive and credit card assets (for example, servicing) that were outstanding during the three months ended March 31, 2023, and 2022. Additionally, this table contains information regarding cash flows received from and paid to nonconsolidated SPEs that existed during each period.


	Three months ended March 31,
($ in millions)	2023		2022
Consumer automotive
Cash proceeds from transfers completed during the period	$	252	$	—

Servicing fees	2		—

Consumer other (a)
Cash proceeds from transfers completed during the period	39		12
Servicing fees	3		1
Total	$	296	$	13

(a)Represents activity from Ally Credit Card.

Schedule of Quantitative Information and Net Credit Losses about Securitized and Other Financial Assets Managed Together

The following tables present quantitative information about off-balance sheet whole-loan sales where we have continuing involvement.


	Total amount				Amount 60 days or more past due
($ in millions)	March 31, 2023		December 31, 2022		March 31, 2023		December 31, 2022
Whole-loan sales (a)
Consumer automotive	$	461	$	227	$	5	$	2
Consumer other	118		103		11		8
Total	$	579	$	330	$	16	$	10

(a)Whole-loan sales are not part of a securitization transaction, but represent consumer automotive and credit card pools of loans sold to third-party investors.


	Net credit losses
	Three months ended March 31,
($ in millions)	2023		2022
Whole-loan sales (a)
Consumer automotive	$	1	$	—
Consumer other	5		—
Total	$	6	$	—

(a)Whole-loan sales are not part of a securitization transaction, but represent consumer automotive and credit card pools of loans sold to third-party investors.

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details