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Commitments, Contingencies, Guarantees, and Others (Tables)
 9 Months Ended
Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Unpaid Principal Balance of Mortgage Loans Originated and Sold to Third Parties Based on Category of Purchaser
The following table presents the original principal balance of mortgage loan originations, by vintage for 2005 through 2008, for the three general categories of purchasers of mortgage loans and the estimated unpaid principal balance as of September 30, 2014 and December 31, 2013:
Table 14.1: Unpaid Principal Balance of Mortgage Loans Originated and Sold to Third Parties Based on Category of Purchaser
 
 
Estimated Unpaid Principal Balance
 
Original Principal Balance
(Dollars in billions)
 
September 30, 2014
 
December 31, 2013
 
Total
 
2008
 
2007
 
2006
 
2005
Government-sponsored enterprises (“GSEs”)
 
$
3

 
$
3

 
$
11

 
$
1

 
$
4

 
$
3

 
$
3

Insured Securitizations
 
4

 
5

 
20

 
0

 
2

 
8

 
10

Uninsured Securitizations and Other
 
17

 
18

 
80

 
3

 
15

 
30

 
32

Total
 
$
24

 
$
26

 
$
111

 
$
4

 
$
21

 
$
41

 
$
45
Schedule of Open Claims in Pipeline
The following table presents information on pending repurchase requests by counterparty category and timing of initial repurchase request. The amounts presented are based on original loan principal balances.
Table 14.2: Open Pipeline All Vintages (all entities)(1)
(Dollars in millions) (All amounts are Original Principal Balance)
 
GSEs
 
Insured
Securitizations
 
Uninsured
Securitizations
and Other
 
Total
Open claims as of December 31, 2012
 
$
59

 
$
1,579

 
$
781

 
$
2,419

Gross new demands received
 
203

 
40

 
391

 
634

Loans repurchased/made whole
 
(49
)
 
(5
)
 
(27
)
 
(81
)
Demands rescinded
 
(124
)
 
0

 
(23
)
 
(147
)
Open claims as of December 31, 2013
 
89

 
1,614

 
1,122

 
2,825

Gross new demands received
 
19

 
1

 
740

 
760

Loans repurchased/made whole
 
(28
)
 
0

 
(3
)
 
(31
)
Demands rescinded
 
(61
)
 
(745
)
 
(12
)
 
(818
)
Open claims as of September 30, 2014
 
$
19

 
$
870

 
$
1,847

 
$
2,736

__________
(1) 
The open pipeline includes all repurchase requests ever received by our subsidiaries where either the requesting party has not formally rescinded the repurchase request and where our subsidiary has not agreed to either repurchase the loan at issue or make the requesting party whole with respect to its losses. Accordingly, repurchase requests denied by our subsidiaries and not pursued by the counterparty remain in the open pipeline, with the exception of certain aged repurchase requests submitted by parties without contractual standing to pursue such requests, which may be removed from the pipeline. Finally, the amounts reflected in this chart are the original principal balance amounts of the mortgage loans at issue and do not correspond to the losses our subsidiary would incur upon the repurchase of these loans.
Schedule of Changes in Representation and Warranty Reserve
The following table summarizes changes in our representation and warranty reserves for the three and nine months ended September 30, 2014 and 2013:
Table 14.3: Changes in Representation and Warranty Reserve
 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
(Dollars in millions)
 
2014
 
2013
 
2014
 
2013
Representation and warranty repurchase reserve, beginning of period(1) 
 
$
1,012

 
$
1,156

 
$
1,172

 
$
899

Provision (benefit) for mortgage representation and warranty losses:
 
 
 
 
 
 
 
 
Recorded in continuing operations
 
0

 
(13
)
 
(15
)
 
(27
)
Recorded in discontinued operations
 
70

 
9

 
34

 
303

Total provision (benefit) for mortgage representation and warranty losses
 
70

 
(4
)
 
19

 
276

Net realized losses
 
(2
)
 
(7
)
 
(111
)
 
(30
)
Representation and warranty repurchase reserve, end of period(1)
 
$
1,080

 
$
1,145

 
$
1,080

 
$
1,145

__________
(1) 
Reported on our consolidated balance sheets as a component of other liabilities.
Schedule of Allocation of Representation and Warranty Reserves
As indicated in the table below, most of the reserves relate to the $27 billion in original principal balance of mortgage loans sold directly to the GSEs or to the Active Insured Securitizations.
Table 14.4: Allocation of Representation and Warranty Reserve
 
 
Reserve Liability
 
Loans Sold
2005 to 2008(1)
(Dollars in millions, except for loans sold)
 
September 30, 2014
 
December 31, 2013
 
Selected period-end data:
 
 
 
 
 
 
GSEs and Active Insured Securitizations
 
$
797

 
$
965

 
$
27

Inactive Insured Securitizations and Others
 
283

 
207

 
84

Total
 
$
1,080

 
$
1,172

 
$
111

___________
(1) 
Reflects, in billions, the total original principal balance of mortgage loans originated by our subsidiaries and sold to third-party investors between 2005 and 2008.