LOANS AND LEASES

The Company’s loans and leases are disclosed in portfolio segments and classes. The Company’s loan and lease portfolio segments are commercial and retail. The classes of loans and leases are: commercial, commercial real estate, leases, residential mortgages, home equity loans, home equity lines of credit, home equity loans serviced by others, home equity lines of credit serviced by others, automobile, education, credit cards and other retail. The Company’s SBO portfolio consists of purchased home equity loans and lines that were originally serviced by others, which the Company now services a portion of internally. A summary of the loans and leases portfolio is presented below:



(in millions)	June 30, 2017		December 31, 2016
Commercial		$37,329		$37,274
Commercial real estate	11,213		10,624
Leases	3,346		3,753
Total commercial	51,888		51,651
Residential mortgages	16,082		15,115
Home equity loans	1,606		1,858
Home equity lines of credit	13,696		14,100
Home equity loans serviced by others	647		750
Home equity lines of credit serviced by others	182		219
Automobile	13,449		13,938
Education ⁽¹⁾	7,720		6,610
Credit cards	1,711		1,691
Other retail	2,065		1,737
Total retail	57,158		56,018
Total loans and leases ^{(2) (3)}		$109,046		$107,669

⁽¹⁾During first quarter 2017, student loans were renamed “education” loans. Refer to Note 1 “Basis of Presentation” for more information.

⁽²⁾ Excluded from the table above are loans held for sale totaling $707 million and $625 million as of June 30, 2017 and December 31, 2016, respectively.

⁽³⁾Mortgage loans serviced for others by the Company’s subsidiaries are not included above, and amounted to $17.6 billion and $17.3 billion at June 30, 2017 and December 31, 2016, respectively.

During the three months ended June 30, 2017, the Company purchased approximately $407 million of education loans and $30 million of automobile loans. During the three months ended June 30, 2016, the Company purchased $348 million of education loans, $200 million of automobile loans and $63 million of residential mortgages.

During the six months ended June 30, 2017, the Company purchased approximately $732 million of education loans and $153 million of automobile loans. During the six months ended June 30, 2016, the Company purchased $717 million of education loans, $334 million of automobile loans and $183 million of residential mortgages.

During the three months ended June 30, 2017, the Company sold $206 million of residential mortgage loans and $596 million of commercial loans. During the three months ended June 30, 2016, the Company sold $108 million of residential mortgage loans and $45 million of commercial loans.

During the six months ended June 30, 2017, the Company sold $206 million of residential mortgage loans and $596 million of commercial loans. During the six months ended June 30, 2016, the Company sold $281 million of residential mortgage loans and $118 million of commercial loans.

Loans held for sale at fair value as of June 30, 2017 totaled $520 million and consisted of residential mortgages originated for sale of $386 million and loans in the commercial trading portfolio of $134 million. Loans held for sale at fair value as of December 31, 2016 totaled $583 million and consisted of residential mortgages originated for sale of $504 million and loans in the commercial trading portfolio of $79 million. Other loans held for sale totaled $187 million and $42 million as of June 30, 2017 and December 31, 2016, respectively, and consisted of commercial loan syndications.

Loans pledged as collateral for FHLB borrowed funds, primarily residential mortgages loans, totaled $24.3 billion and $24.0 billion at June 30, 2017 and December 31, 2016, respectively. Loans pledged as collateral to support the contingent ability to borrow at the FRB discount window, if necessary, totaled $17.4 billion and $16.8 billion at June 30, 2017 and December 31, 2016, respectively.