ALLOWANCE FOR CREDIT LOSSES, NONPERFORMING ASSETS, AND CONCENTRATIONS OF CREDIT RISK (Tables)

6 Months Ended

Jun. 30, 2019

Receivables [Abstract]

Schedule of changes in the allowance for credit losses

A summary of changes in the ACL is presented below:

	Three Months Ended June 30, 2019									Six Months Ended June 30, 2019
(in millions)	Commercial			Retail			Total			Commercial			Retail			Total
Allowance for loan and lease losses, beginning of period		$691			$554			$1,245			$690			$552			$1,242
Charge-offs	(45		)	(111		)	(156		)	(71		)	(223		)	(294		)
Recoveries	12			38			50			14			85			99
Net charge-offs	(33		)	(73		)	(106		)	(57		)	(138		)	(195		)
Provision charged to income	22			66			88			47			133			180
Allowance for loan and lease losses, end of period	680			547			1,227			680			547			1,227
Reserve for unfunded lending commitments, beginning of period	84			—			84			91			—			91
Provision for unfunded lending commitments	9			—			9			2			—			2
Reserve for unfunded lending commitments, end of period	93			—			93			93			—			93
Total allowance for credit losses, end of period		$773			$547			$1,320			$773			$547			$1,320

	Three Months Ended June 30, 2018									Six Months Ended June 30, 2018
(in millions)	Commercial			Retail			Total			Commercial			Retail			Total
Allowance for loan and lease losses, beginning of period		$711			$535			$1,246			$685			$551			$1,236
Charge-offs	(14		)	(106		)	(120		)	(17		)	(219		)	(236		)
Recoveries	2			42			44			8			82			90
Net charge-offs	(12		)	(64		)	(76		)	(9		)	(137		)	(146		)
Provision charged to income	16			67			83			39			124			163
Allowance for loan and lease losses, end of period	715			538			1,253			715			538			1,253
Reserve for unfunded lending commitments, beginning of period	86			—			86			88			—			88
Provision for unfunded lending commitments	2			—			2			—			—			—
Reserve for unfunded lending commitments, end of period	88			—			88			88			—			88
Total allowance for credit losses, end of period		$803			$538			$1,341			$803			$538			$1,341

Schedule of loans and leases based on evaluation method

The recorded investment in loans and leases based on the Company’s evaluation methodology is presented below:

	June 30, 2019						December 31, 2018
(in millions)	Commercial		Retail		Total		Commercial		Retail		Total
Individually evaluated		$314		$686		$1,000		$391		$723		$1,114
Formula-based evaluation	56,649		59,189		115,838		56,392		59,154		115,546
Total loans and leases		$56,963		$59,875		$116,838		$56,783		$59,877		$116,660

Schedule of allowance for credit losses by evaluation method

A summary of the ACL by evaluation methodology is presented below:

	June 30, 2019						December 31, 2018
(in millions)	Commercial		Retail		Total		Commercial		Retail		Total
Individually evaluated		$34		$25		$59		$38		$26		$64
Formula-based evaluation	739		522		1,261		743		526		1,269
Allowance for credit losses		$773		$547		$1,320		$781		$552		$1,333

Schedule of classes of commercial loans and leases based on regulatory classifications

The recorded investment in commercial loans and leases based on regulatory classification ratings is presented below:

	June 30, 2019
			Criticized
(in millions)	Pass		Special Mention		Substandard		Doubtful		Total
Commercial		$39,011		$1,174		$770		$201		$41,156
Commercial real estate	12,705		377		38		3		13,123
Leases	2,578		46		43		17		2,684
Total commercial loans and leases		$54,294		$1,597		$851		$221		$56,963

	December 31, 2018
			Criticized
(in millions)	Pass		Special Mention		Substandard		Doubtful		Total
Commercial		$38,600		$1,231		$828		$198		$40,857
Commercial real estate	12,523		412		82		6		13,023
Leases	2,823		39		41		—		2,903
Total commercial loans and leases		$53,946		$1,682		$951		$204		$56,783

Schedule of retail loan investments categorized by delinquency status

The recorded investment in classes of retail loans, categorized by delinquency status is presented below:

	June 30, 2019
			Days Past Due
(in millions)	Current		1-29		30-59		60-89		90 or More		Total
Residential mortgages		$18,882		$129		$32		$15		$134		$19,192
Home equity loans	825		73		11		5		24		938
Home equity lines of credit	11,652		372		58		31		153		12,266
Home equity loans serviced by others	301		26		5		3		13		348
Home equity lines of credit serviced by others	60		14		2		1		11		88
Automobile	10,630		1,083		201		67		19		12,000
Education	9,089		166		25		13		12		9,305
Credit cards	1,935		67		15		9		20		2,046
Other retail	3,528		97		30		21		16		3,692
Total retail loans		$56,902		$2,027		$379		$165		$402		$59,875

	December 31, 2018
			Days Past Due
(in millions)	Current		1-29		30-59		60-89		90 or More		Total
Residential mortgages		$18,664		$131		$37		$13		$133		$18,978
Home equity loans	945		75		12		3		38		1,073
Home equity lines of credit	12,042		386		65		22		195		12,710
Home equity loans serviced by others	355		21		7		3		13		399
Home equity lines of credit serviced by others	79		15		2		1		7		104
Automobile	10,729		1,039		207		59		72		12,106
Education	8,694		159		23		13		11		8,900
Credit cards	1,894		53		14		10		20		1,991
Other retail	3,481		76		26		18		15		3,616
Total retail loans		$56,883		$1,955		$393		$142		$504		$59,877

Schedule of nonperforming loans and leases by class

The following table presents nonperforming loans and leases and loans accruing and 90 days or more past due:

	Nonperforming				Accruing and 90 days or more past due
(in millions)	June 30, 2019		December 31, 2018		June 30, 2019		December 31, 2018
Commercial		$198		$194		$4		$1
Commercial real estate	4		7		—		—
Leases	17		—		1		—
Total commercial loans and leases	219		201		5		1
Residential mortgages (1)(2)	141		136		14		15
Home equity loans	38		50		—		—
Home equity lines of credit	210		231		—		—
Home equity loans serviced by others	16		17		—		—
Home equity lines of credit serviced by others	14		15		—		—
Automobile	62		81		—		—
Education	40		38		3		2
Credit card	20		20		—		—
Other retail	10		8		9		7
Total retail loans	551		596		26		24
Total		$770		$797		$31		$25

⁽¹⁾ Nonperforming balances exclude first lien residential mortgage loans which are accruing and 90 days or more past due that are 100% guaranteed by the Federal Housing Administration. These loans totaled $11 million and $12 million as of June 30, 2019 and December 31, 2018, respectively.

⁽²⁾ Nonperforming balances exclude guaranteed residential mortgage loans sold to GNMA for which the Company has the right, but not the obligation, to repurchase. These loans totaled $158 million and $133 million as of June 30, 2019 and December 31, 2018, respectively, and are included in the Company’s Consolidated Balance Sheets.

Summary of key performance indicators

A summary of nonperforming loan and lease key performance indicators is presented below:

	June 30, 2019		December 31, 2018
Nonperforming commercial loans and leases as a percentage of total loans and leases	0.19	%	0.17	%
Nonperforming retail loans as a percentage of total loans and leases	0.47		0.51
Nonperforming loans and leases as a percentage of total loans and leases	0.66	%	0.68	%
Nonperforming commercial assets as a percentage of total assets	0.13	%	0.13	%
Nonperforming retail assets as a percentage of total assets	0.36		0.39
Nonperforming assets as a percentage of total assets	0.49	%	0.52	%

Analysis of age of past due amounts

The aging of both accruing and nonaccruing loan and lease past due amounts is presented below:

	June 30, 2019								December 31, 2018
	Days Past Due								Days Past Due
(in millions)	30-59		60-89		90 or More		Total		30-59		60-89		90 or More		Total
Commercial		$12		$17		$51		$80		$85		$3		$78		$166
Commercial real estate	—		6		2		8		8		32		5		45
Leases	1		—		1		2		7		—		—		7
Total commercial loans and leases	13		23		54		90		100		35		83		218
Residential mortgages	32		15		134		181		37		13		133		183
Home equity loans	11		5		24		40		12		3		38		53
Home equity lines of credit	58		31		153		242		65		22		195		282
Home equity loans serviced by others	5		3		13		21		7		3		13		23
Home equity lines of credit serviced by others	2		1		11		14		2		1		7		10
Automobile	201		67		19		287		207		59		72		338
Education	25		13		12		50		23		13		11		47
Credit cards	15		9		20		44		14		10		20		44
Other retail	30		21		16		67		26		18		15		59
Total retail loans	379		165		402		946		393		142		504		1,039
Total		$392		$188		$456		$1,036		$493		$177		$587		$1,257

Schedule of impaired loans by class

A summary of impaired loans by class is presented below:

	June 30, 2019
(in millions)	Impaired Loans With a Related Allowance		Allowance on Impaired Loans		Impaired Loans Without a Related Allowance		Unpaid Contractual Balance		Total Recorded Investment in Impaired Loans
Commercial		$170		$34		$118		$359		$288
Commercial real estate	—		—		26		26		26
Total commercial loans	170		34		144		385		314
Residential mortgages	25		2		122		192		147
Home equity loans	26		2		70		130		96
Home equity lines of credit	23		2		178		242		201
Home equity loans serviced by others	19		1		17		48		36
Home equity lines of credit serviced by others	1		—		6		10		7
Automobile	1		—		21		31		22
Education	121		9		23		144		144
Credit cards	26		8		1		27		27
Other retail	3		1		3		7		6
Total retail loans	245		25		441		831		686
Total		$415		$59		$585		$1,216		$1,000

	December 31, 2018
(in millions)	Impaired Loans With a Related Allowance		Allowance on Impaired Loans		Impaired Loans Without a Related Allowance		Unpaid Contractual Balance		Total Recorded Investment in Impaired Loans
Commercial		$186		$31		$167		$450		$353
Commercial real estate	32		7		6		38		38
Total commercial loans	218		38		173		488		391
Residential mortgages	28		2		127		201		155
Home equity loans	34		3		76		148		110
Home equity lines of credit	21		1		181		244		202
Home equity loans serviced by others	22		1		19		54		41
Home equity lines of credit serviced by others	1		—		7		11		8
Automobile	1		—		22		31		23
Education	130		11		23		153		153
Credit cards	24		7		1		25		25
Other retail	4		1		2		8		6
Total retail loans	265		26		458		875		723
Total		$483		$64		$631		$1,363		$1,114

Schedule of additional information on impaired loans

Additional information on impaired loans is presented below:

	Three Months Ended June 30,
	2019				2018
(in millions)	Interest Income Recognized		Average Recorded Investment		Interest Income Recognized		Average Recorded Investment
Commercial		$2		$310		$2		$332
Commercial real estate	1		27		—		36
Total commercial loans	3		337		2		368
Residential mortgages	2		145		2		152
Home equity loans	1		97		1		112
Home equity lines of credit	2		199		2		198
Home equity loans serviced by others	—		36		—		46
Home equity lines of credit serviced by others	—		7		—		9
Automobile	—		22		—		22
Education	2		145		2		165
Credit cards	1		25		1		24
Other retail	—		6		—		8
Total retail loans	8		682		8		736
Total		$11		$1,019		$10		$1,104

	Six Months Ended June 30,
	2019				2018
(in millions)	Interest Income Recognized		Average Recorded Investment		Interest Income Recognized		Average Recorded Investment
Commercial		$5		$304		$4		$311
Commercial real estate	1		27		—		32
Total commercial loans	6		331		4		343
Residential mortgages	3		142		3		149
Home equity loans	3		97		3		112
Home equity lines of credit	4		193		4		192
Home equity loans serviced by others	1		37		1		47
Home equity lines of credit serviced by others	—		7		—		9
Automobile	—		21		—		21
Education	4		145		4		165
Credit cards	1		24		1		23
Other retail	—		6		—		8
Total retail loans	16		672		16		726
Total		$22		$1,003		$20		$1,069

Troubled debt restructurings on financing receivables

The table below summarizes TDRs by class and total unfunded commitments:

(in millions)	June 30, 2019		December 31, 2018
Commercial		$253		$304
Retail	686		723
Unfunded commitments related to TDRs	70		30

The table below summarizes how loans were modified during the three months and six months ended June 30, 2019 and 2018. The reported balances represent the post-modification outstanding recorded investment and can include loans that became TDRs during the period and were paid off in full, charged off, or sold prior to period end. Pre-modification balances for modified loans approximate the post-modification balances shown.

	Three Months Ended June 30, 2019
	Primary Modification Types
	Interest Rate Reduction1			Maturity Extension2			Other3
(dollars in millions)	Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment
Commercial	1		$—	7		$—	6		$47
Commercial real estate	—	—		1	—		—	—
Total commercial loans	1	—		8	—		6	47
Residential mortgages	9	2		10	1		32	5
Home equity loans	6	1		—	—		18	1
Home equity lines of credit	43	4		15	3		77	4
Home equity loans serviced by others	—	—		—	—		3	1
Home equity lines of credit serviced by others	—	—		—	—		2	—
Automobile	40	1		7	—		335	5
Education	—	—		—	—		13	1
Credit cards	941	5		—	—		141	—
Other retail	—	—		—	—		2	—
Total retail loans	1,039	13		32	4		623	17
Total	1,040		$13	40		$4	629		$64

	Three Months Ended June 30, 2018
	Primary Modification Types
	Interest Rate Reduction1			Maturity Extension2			Other3
(dollars in millions)	Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment
Commercial	4		$1	4		$—	17		$59
Commercial real estate	—	—		—	—		2	31
Total commercial loans	4	1		4	—		19	90
Residential mortgages	16	2		23	3		33	5
Home equity loans	11	1		1	—		34	1
Home equity lines of credit	13	1		47	6		113	7
Home equity loans serviced by others	—	—		—	—		8	—
Home equity lines of credit serviced by others	2	—		1	—		2	—
Automobile	41	1		16	—		309	5
Education	—	—		—	—		139	3
Credit cards	559	3		—	—		—	—
Other retail	—	—		—	—		—	—
Total retail loans	642	8		88	9		638	21
Total	646		$9	92		$9	657		$111

	Six Months Ended June 30, 2019
	Primary Modification Types
	Interest Rate Reduction1			Maturity Extension2			Other3
(dollars in millions)	Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment
Commercial	1		$—	12		$1	18		$87
Commercial real estate	—	—		1	—		—	—
Total commercial loans	1	—		13	1		18	87
Residential mortgages	13	4		21	3		62	9
Home equity loans	13	1		—	—		45	2
Home equity lines of credit	72	8		50	9		182	12
Home equity loans serviced by others	—	—		—	—		7	1
Home equity lines of credit serviced by others	—	—		—	—		4	—
Automobile	65	1		12	—		624	9
Education	—	—		—	—		80	3
Credit cards	1,557	9		—	—		141	—
Other retail	—	—		—	—		3	—
Total retail loans	1,720	23		83	12		1,148	36
Total	1,721		$23	96		$13	1,166		$123

	Six Months Ended June 30, 2018
	Primary Modification Types
	Interest Rate Reduction1			Maturity Extension2			Other3
(dollars in millions)	Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment		Number of Contracts	Recorded Investment
Commercial	5		$1	10		$1	35		$134
Commercial real estate	—	—		1	—		2	31
Total commercial loans	5	1		11	1		37	165
Residential mortgages	23	3		30	4		86	11
Home equity loans	22	2		1	—		66	3
Home equity lines of credit	28	2		89	11		206	14
Home equity loans serviced by others	1	—		—	—		15	—
Home equity lines of credit serviced by others	4	—		1	—		5	—
Automobile	77	2		33	1		578	9
Education	—	—		—	—		251	4
Credit cards	1,153	6		—	—		—	—
Other retail	1	—		—	—		4	—
Total retail loans	1,309	15		154	16		1,211	41
Total	1,314		$16	165		$17	1,248		$206

⁽¹⁾ Includes modifications that consist of multiple concessions, one of which is an interest rate reduction.

⁽²⁾ Includes modifications that consist of multiple concessions, one of which is a maturity extension (unless one of the other concessions was an interest rate reduction).

⁽³⁾ Includes modifications other than interest rate reductions or maturity extensions, such as lowering scheduled payments for a specified period of time, principal forgiveness, and capitalizing arrearages. Also included are the following: deferrals, trial modifications, certain bankruptcies, loans in forbearance and prepayment plans. Modifications can include the deferral of accrued interest resulting in post modification balances being higher than pre-modification.

Schedule of loans that may increase credit exposure

The following tables present balances of loans with these characteristics:

	June 30, 2019
(in millions)	Residential Mortgages		Home Equity Loans and Lines of Credit		Home Equity Products Serviced by Others		Credit Cards		Total
High loan-to-value		$441		$78		$125		$—		$644
Interest-only/negative amortization	1,765		—		—		—		1,765
Low introductory rate	—		—		—		221		221
Multiple characteristics and other	3		—		—		—		3
Total		$2,209		$78		$125		$221		$2,633

	December 31, 2018
(in millions)	Residential Mortgages		Home Equity Loans and Lines of Credit		Home Equity Products Serviced by Others		Credit Cards		Education		Total
High loan-to-value		$318		$87		$148		$—		$—		$553
Interest-only/negative amortization	1,794		—		—		—		1		1,795
Low introductory rate	—		—		—		217		—		217
Multiple characteristics and other	1		—		—		—		—		1
Total		$2,113		$87		$148		$217		$1		$2,566