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DERIVATIVES (Tables)
 12 Months Ended
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of derivative instruments in consolidated balance sheets
The following table presents derivative instruments included on the Consolidated Balance Sheets:
December 31, 2021December 31, 2020
(in millions)
Notional Amount(1)
Derivative AssetsDerivative Liabilities
Notional Amount(1)
Derivative AssetsDerivative Liabilities
Derivatives designated as hedging instruments:
Interest rate contracts$23,450 $12 $2 $22,300 $1 $3 
Derivatives not designated as hedging instruments:
Interest rate contracts142,987 680 174 149,021 1,565 214 
Foreign exchange contracts21,336 263 231 16,789 320 291 
Commodities contracts514 508 505 246 62 61 
TBA contracts7,776 8 8 11,149 8 65 
Other contracts3,555 38 2 8,051 197 — 
Total derivatives not designated as hedging instruments1,497 920 2,152 631 
Gross derivative fair values1,509 922 2,153 634 
Less: Gross amounts offset in the Consolidated Balance Sheets(2)
(235)(235)(182)(182)
Less: Cash collateral applied(2)
(58)(490)(56)(324)
Total net derivative fair values presented in the Consolidated Balance Sheets$1,216 $197 $1,915 $128 
(1) The notional or contractual amount of interest rate derivatives and foreign exchange contracts is the amount upon which interest and other payments under the contract are based. For interest rate contracts, the notional amount is typically not exchanged. Therefore, notional amounts should not be taken as the measure of credit or market risk, as they do not measure the true economic risk of these contracts.
(2) Amounts represent the impact of enforceable master netting agreements that allow the Company to net settle positive and negative positions as well as collateral paid and received.
Schedule of fair value hedges
The following table presents the change in fair value of interest rate contracts designated as fair value hedges, as well as the change in fair value of the related hedged items attributable to the risk being hedged, included in the Consolidated Statements of Operations:
Year Ended December 31,
(in millions)202120202019Affected Line Item in the Consolidated Statements of Operations
Interest rate swaps hedging borrowed funds($72)$65 $107 Interest expense - long-term borrowed funds
Hedged long-term debt attributable to the risk being hedged71 (63)(107)Interest expense - long-term borrowed funds
Interest rate swaps hedging fixed rate loans— 17 (17)Interest and fees on loans and leases
Hedged fixed rate loans attributable to the risk being hedged— (17)17 Interest and fees on loans and leases
Interest rate swaps hedging debt securities available for sale68 (104)8 Interest income - investment securities
Hedged debt securities available for sale attributable to risk being hedged(68)104 (8)Interest income - investment securities
The following table reflects amounts recorded in the Consolidated Balance Sheets related to cumulative basis adjustments for fair value hedges:    
December 31, 2021December 31, 2020
(in millions)
Debt securities available for sale(1)
Long-term borrowed funds
Debt securities available for sale(1)
Long-term borrowed funds
Carrying amount of hedged assets$6,042 $— $10,869 $— 
Carrying amount of hedged liabilities— 2,239 — 3,307 
Cumulative amount of fair value hedging adjustments included in the carrying amount of the hedged items29 42 96 112 
(1) The Company designated $2.0 billion as the hedged amount (from a closed portfolio of prepayable financial assets with an amortized cost basis of $6.0 billion and $10.9 billion as of December 31, 2021 and 2020, respectively) in a last-of-layer hedging relationship, which commenced in the third quarter of 2019.
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)
The following table presents the pre-tax net gains (losses) recorded in the Consolidated Statements of Operations and in the Consolidated Statements of Comprehensive Income relating to derivative instruments designated as cash flow hedges:
Amounts Recognized for the Year Ended December 31,
(in millions)202120202019
Amount of pre-tax net gains (losses) recognized in OCI($66)$130 $138 
Amount of pre-tax net gains (losses) reclassified from OCI into interest income183 184 (68)
Amount of pre-tax net gains (losses) reclassified from OCI into interest expense(48)(35)11 
Schedule of effect of derivative Instruments on net income
The following table presents the effect of economic hedges on noninterest income:
Amounts Recognized in Noninterest Income for the Year Ended December 31,Affected Line Item in the Consolidated Statements of Operations
(in millions)202120202019
Economic hedge type:
Customer interest rate contracts($374)$1,234 $687 Foreign exchange and interest rate products
Derivatives hedging interest rate risk401 (1,188)(620)Foreign exchange and interest rate products
Customer foreign exchange contracts(207)216 (166)Foreign exchange and interest rate products
Derivatives hedging foreign exchange risk305 (263)200 Foreign exchange and interest rate products
Customer commodity contracts779 (9)— Foreign exchange and interest rate products
Derivatives hedging commodity price risk(770)13 — Foreign exchange and interest rate products
Residential loan commitments(208)179 8 Mortgage banking fees
Derivatives hedging residential loan commitments and mortgage loans held for sale, at fair value152 (50)20 Mortgage banking fees
Derivative contracts used to hedge residential MSRs(1)
(150)311 134 Mortgage banking fees
Total($72)$443 $263 
(1) Includes ($5) million related to interest rate derivative contracts used to hedge residential MSRs valued at the lower of cost or market for the year ended December 31, 2019.