XML 34 R22.htm IDEA: XBRL DOCUMENT v3.25.2
Fair Value Disclosures
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value Disclosures Fair Value Disclosures
Recurring Fair Value Measurements

Accounting standards define fair value as the price that would be received on the measurement date to sell an asset or the price paid to transfer a liability in the principal or most advantageous market available to the entity in an orderly transaction between market participants, with a three-level measurement hierarchy:

•Level 1: Quoted prices for identical instruments in active markets
•Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are observable in active markets
•Level 3: Valuations derived from valuation techniques in which one or more significant inputs are unobservable

The following tables present fair value information for assets and liabilities measured at fair value on a recurring basis:

June 30, 2025
(Dollars in millions)		TotalLevel 1Level 2Level 3
Netting Adjustments(1)
Assets:    
Trading assets:
U.S. Treasury$220 $— $220 $— $— 
GSE42 — 42 — — 
States and political subdivisions796 — 796 — — 
Corporate and other debt securities1,720 — 1,720 — — 
Loans2,184 — 2,184 — — 
Equity securities916 916 — — — 
Other85 — 85 — — 
Total trading assets5,963 916 5,047 — — 
AFS securities: 
U.S. Treasury13,471 — 13,471 — — 
GSE435 — 435 — — 
Agency MBS – residential49,455 — 49,455 — — 
Agency MBS – commercial2,653 — 2,653 — — 
States and political subdivisions361 — 361 — — 
Other15 — 15 — — 
Total AFS securities66,390 — 66,390 — — 
LHFS at fair value1,105 — 1,105 — — 
Loans and leases12 — — 12 — 
Loan servicing rights at fair value3,612 — — 3,612 — 
Other assets:
Derivative assets1,647 1,212 2,121 6 (1,692)
Equity securities330 278 52 — — 
Total assets$79,059 $2,406 $74,715 $3,630 $(1,692)
Liabilities:    
Interest-bearing deposits:
Brokered time deposits$396 $— $396 $— $— 
Short-term borrowings:
Securities sold short1,999 497 1,502 — — 
Other trading liabilities200 — 200 — — 
Other liabilities:
Derivative liabilities1,812 546 4,024 26 (2,784)
Total liabilities$4,407 $1,043 $6,122 $26 $(2,784)
December 31, 2024
(Dollars in millions)		TotalLevel 1Level 2Level 3
Netting Adjustments(1)
Assets:    
Trading assets:
U.S. Treasury$143 $— $143 $— $— 
GSE41 — 41 — — 
States and political subdivisions786 — 786 — — 
Corporate and other debt securities1,679 — 1,679 — — 
Loans1,671 — 1,671 — — 
Equity securities413 413 — — — 
Other367 267 100 — — 
Total trading assets5,100 680 4,420 — — 
AFS securities: 
U.S. Treasury14,411 — 14,411 — — 
GSE403 — 403 — — 
Agency MBS – residential49,959 — 49,959 — — 
Agency MBS – commercial2,293 — 2,293 — — 
States and political subdivisions382 — 382 — — 
Other16 — 16 — — 
Total AFS securities67,464 — 67,464 — — 
LHFS at fair value1,233 — 1,233 — — 
Loans and leases13 — — 13 — 
Loan servicing rights at fair value3,708 — — 3,708 — 
Other assets: 
Derivative assets966 1,147 1,675 2 (1,858)
Equity securities305 298 7 — — 
Total assets$78,789 $2,125 $74,799 $3,723 $(1,858)
Liabilities:    
Interest-bearing deposits:
Brokered time deposits$192 $— $192 $— $— 
Short-term borrowings:
Securities sold short1,694 358 1,336 — — 
Other trading liabilities202 — 202 — — 
Other liabilities:
Derivative liabilities2,286 569 4,088 43 (2,414)
Total liabilities$4,374 $927 $5,818 $43 $(2,414)
(1)Refer to “Note 16. Derivative Financial Instruments” for additional discussion on netting adjustments.

At June 30, 2025 and December 31, 2024, investments totaling $584 million and $535 million, respectively, have been excluded from the table above as they are valued based on net asset value as a practical expedient. These investments primarily consist of certain SBIC funds.

For additional information on the valuation techniques and significant inputs for Level 2 and Level 3 assets and liabilities that are measured at fair value on a recurring basis, see “Note 18. Fair Value Disclosures” of the Annual Report on Form 10-K for the year ended December 31, 2024.
Activity for Level 3 assets and liabilities is summarized below:

Three Months Ended June 30, 2025 and 2024
(Dollars in millions)		Loans and LeasesLoan Servicing RightsNet Derivatives
Balance at April 1, 2024$14 $3,417 $(21)
Total realized and unrealized gains (losses):
Included in earnings— 30 (4)
Issuances— 52 12 
Sales— (1)— 
Settlements— (88)(7)
Balance at June 30, 2024$14 $3,410 $(20)
Balance at April 1, 2025$12 $3,628 $(33)
Total realized and unrealized gains (losses):
Included in earnings— 27 2 
Issuances— 54 13 
Settlements— (97)(2)
Balance at June 30, 2025$12 $3,612 $(20)
Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at June 30, 2025$— $27 $4 
Six Months Ended June 30, 2025 and 2024
(Dollars in millions)		Loans and LeasesLoan Servicing RightsNet Derivatives
Balance at January 1, 2024$15 $3,378 $(19)
Total realized and unrealized gains (losses): 
Included in earnings— 112 (7)
Issuances— 84 11 
Sales— (2)— 
Settlements(1)(162)(5)
Balance at June 30, 2024$14 $3,410 $(20)
Balance at January 1, 2025$13 $3,708 $(41)
Total realized and unrealized gains (losses):
Included in earnings— (29)8 
Issuances— 111 17 
Settlements(1)(178)(4)
Balance at June 30, 2025$12 $3,612 $(20)
Change in unrealized gains (losses) included in earnings for the period, attributable to assets and liabilities still held at June 30, 2025$— $(29)$1 
Primary income statement location of realized gains (losses) included in earnings
Other incomeMortgage banking incomeMortgage banking income and other income

Fair Value Option

The following table details the fair value and UPB of certain loans and time deposits that were elected to be measured at fair value:

 June 30, 2025December 31, 2024
(Dollars in millions)Fair ValueUPBDifferenceFair ValueUPBDifference
Trading loans$2,184 $2,240 $(56)$1,671 $1,697 $(26)
Loans and leases12 13 (1)13 14 (1)
LHFS at fair value1,105 1,084 21 1,233 1,232 1 
Brokered time deposits396 399 (3)192 195 (3)
Nonrecurring Fair Value Measurements

The following table provides information about certain assets measured at fair value on a nonrecurring basis still held as of period end with valuation adjustments recorded during the period. The carrying values represent end of period values, which approximate the fair value.

(Dollars in millions)Fair Value HierarchyJun 30, 2025Dec 31, 2024
Carrying value:
LHFSLevel 2$60 $— 
LHFSLevel 33 4 
Loans and leases(1)
Level 3293 525 
OtherLevel 3103 147 
(1)Total loans and leases measured at fair value on a nonrecurring basis still held as of period end were $485 million and $682 million at June 30, 2025 and December 31, 2024, respectively.

The following table provides information about valuation adjustments for certain assets measured at fair value on a nonrecurring basis. The valuation adjustments represent the amounts recorded during the period regardless of whether the asset is still held at period end.

Six Months Ended June 30,
(Dollars in millions)20252024
Valuation adjustments:
LHFS$(68)$(16)
Loans and leases(420)(557)
Other(148)(166)

LHFS with valuation adjustments in the table above consisted primarily of residential mortgages and commercial loans that were valued using market prices and measured at LOCOM.

Loans and leases consist of larger commercial loans and leases that are collateral-dependent and other secured loans and leases that have been charged-off to the fair value of the collateral. Valuation adjustments for loans and leases are primarily recorded in the Provision for credit losses in the Consolidated Statement of Income. Refer to “Note 1. Basis of Presentation” in Truist’s Annual Report on Form 10-K for the year ended December 31, 2024 for additional discussion of individually evaluated loans and leases.

Other includes foreclosed real estate, other foreclosed property, partnership investments, premises and equipment, OREO, and held for sale operating leases, and consists primarily of residential homes, commercial properties, vacant lots, and automobiles. Partnership investments are measured based on discounted expected future cash flows. The remaining assets are measured at LOCOM, less costs to sell.
Financial Instruments Not Recorded at Fair Value

For financial instruments not recorded at fair value, estimates of fair value are based on relevant market data and information about the instruments. Values obtained relate to trading without regard to any premium or discount that may result from concentrations of ownership, possible tax ramifications, estimated transaction costs that may result from bulk sales, or the relationship between various instruments.

An active market does not exist for certain financial instruments. Fair value estimates for these instruments are based on current economic conditions and interest rate risk characteristics, loss experience, and other factors. Many of these estimates involve uncertainties and matters of significant judgment and cannot be determined with precision. Therefore, the fair value estimates in many instances cannot be substantiated by comparison to independent markets. In addition, changes in assumptions could significantly affect these fair value estimates. Financial assets and liabilities not recorded at fair value are summarized below:

June 30, 2025December 31, 2024
(Dollars in millions)Fair Value HierarchyCarrying AmountFair ValueCarrying AmountFair Value
Financial assets:
HTM securitiesLevel 2$48,973 $39,611 $50,640 $40,286 
Loans and leases HFI, net of ALLLLevel 3313,885 309,836 301,513 294,190 
Financial liabilities:  
Time depositsLevel 247,271 47,147 36,532 36,377 
Long-term debtLevel 244,427 44,610 34,956 34,917 

The carrying value of the RUFC, which approximates the fair value, was $354 million and $304 million at June 30, 2025 and December 31, 2024, respectively. Cash and due from banks, interest-bearing deposits with banks, securities borrowed or purchased under agreements to resell, and short-term borrowings are reflected in the Consolidated balance sheets at cost, which approximates the fair value due to the short-term nature of these instruments and their limited inherent credit risk.