SECURITIES (Tables)

12 Months Ended

Dec. 31, 2024

Investments, Debt and Equity Securities [Abstract]

The following table presents the major components of securities at amortized cost and fair value:


	December 31, 2024				December 31, 2023
(dollars in millions)	Amortized Cost(1)	Gross Unrealized Gains	Gross Unrealized Losses	Fair Value	Amortized Cost(1)	Gross Unrealized Gains	Gross Unrealized Losses	Fair Value
U.S. Treasury and other	$3,631	$3	($109)	$3,525	$4,493	$26	($139)	$4,380
State and political subdivisions	1	—	—	1	1	—	—	1
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	30,897	33	(2,135)	28,795	26,289	45	(1,857)	24,477
Other/non-agency	273	—	(13)	260	279	—	(24)	255
Total mortgage-backed securities	31,170	33	(2,148)	29,055	26,568	45	(1,881)	24,732
Collateralized loan obligations	184	—	—	184	667	—	(3)	664
Total debt securities available for sale, at fair value	$34,986	$36	($2,257)	$32,765	$31,729	$71	($2,023)	$29,777
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	$8,187	$—	($1,051)	$7,136	$8,696	$9	($818)	$7,887

Total mortgage-backed securities	8,187	—	(1,051)	7,136	8,696	9	(818)	7,887
Asset-backed securities	412	1	(9)	404	488	—	(25)	463
Total debt securities held to maturity	$8,599	$1	($1,060)	$7,540	$9,184	$9	($843)	$8,350
Equity securities, at cost(2)	$710	$—	$—	$710	$869	$—	$—	$869
Equity securities, at fair value(2)	220	—	—	220	173	—	—	173

(1) Excludes portfolio level basis adjustments of $(75) million and $60 million, respectively, for securities designated in active fair value hedge relationships under the portfolio layer method at December 31, 2024 and 2023.

(2) Included in other assets in the Consolidated Balance Sheets.

Schedule of investments classified by maturity date

The following table presents the amortized cost and fair value of debt securities by contractual maturity as of December 31, 2024. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without incurring penalties.


	Distribution of Maturities
(dollars in millions)	1 Year or Less	After 1 Year through 5 Years	After 5 Years through 10 Years	After 10 Years	Total
Amortized cost:
U.S. Treasury and other	$—	$3,115	$516	$—	$3,631
State and political subdivisions	—	—	—	1	1
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	—	2,221	1,151	27,525	30,897
Other/non-agency	—	—	—	273	273
Collateralized loan obligations	—	—	100	84	184
Total debt securities available for sale	—	5,336	1,767	27,883	34,986
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	—	—	—	8,187	8,187

Asset-backed securities	—	412	—	—	412
Total debt securities held to maturity	—	412	—	8,187	8,599
Total amortized cost of debt securities	$—	$5,748	$1,767	$36,070	$43,585

Fair value:
U.S. Treasury and other	$—	$3,008	$517	$—	$3,525
State and political subdivisions	—	—	—	1	1
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	—	2,135	1,079	25,581	28,795
Other/non-agency	—	—	—	260	260
Collateralized loan obligations	—	—	100	84	184
Total debt securities available for sale	—	5,143	1,696	25,926	32,765
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	—	—	—	7,136	7,136

Asset-backed securities	—	404	—	—	404
Total debt securities held to maturity	—	404	—	7,136	7,540
Total fair value of debt securities	$—	$5,547	$1,696	$33,062	$40,305

Schedule of income recognized on investment securities

The following table presents realized gains and losses on sale of securities:


	Year Ended December 31,
(dollars in millions)	2024	2023	2022
Gains	$32	$36	$13
Losses	(14)	(8)	(4)
Securities gains, net	$18	$28	$9

Schedule of financial instruments owned and pledged as collateral

The following table presents the amortized cost and fair value of debt securities pledged:


	December 31, 2024		December 31, 2023
(dollars in millions)	Amortized Cost	Fair Value	Amortized Cost	Fair Value
Pledged against derivatives, to qualify for fiduciary powers, or to secure public and other deposits as required by law	$3,975	$3,644	$5,619	$5,305
Pledged as collateral for FHLB borrowing capacity	237	224	242	220
Pledged against repurchase agreements	—	—	—	—

Schedule of unrealized loss on investments

The following tables present AFS debt securities with fair values below their respective carrying values, separated by the duration the securities have been in a continuous unrealized loss position:


	December 31, 2024
	Less than 12 Months		12 Months or Longer		Total
(dollars in millions)	Fair Value	Gross Unrealized Losses	Fair Value	Gross Unrealized Losses	Fair Value	Gross Unrealized Losses
U.S. Treasury and other	$—	$—	$2,544	($109)	$2,544	($109)
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	9,560	(265)	14,304	(1,870)	23,864	(2,135)
Other/non-agency	—	—	260	(13)	260	(13)
Total mortgage-backed securities	9,560	(265)	14,564	(1,883)	24,124	(2,148)
Collateralized loan obligations	—	—	—	—	—	—
Total	$9,560	($265)	$17,108	($1,992)	$26,668	($2,257)


	December 31, 2023
	Less than 12 Months		12 Months or Longer		Total
(dollars in millions)	Fair Value	Gross Unrealized Losses	Fair Value	Gross Unrealized Losses	Fair Value	Gross Unrealized Losses
U.S. Treasury and other	$49	$—	$3,245	($139)	$3,294	($139)
Mortgage-backed securities:
Federal agencies and U.S. government sponsored entities	2,939	(24)	16,398	(1,833)	19,337	(1,857)
Other/non-agency	—	—	255	(24)	255	(24)
Total mortgage-backed securities	2,939	(24)	16,653	(1,857)	19,592	(1,881)
Collateralized loan obligations	56	—	607	(3)	663	(3)
Total	$3,044	($24)	$20,505	($1,999)	$23,549	($2,023)