| Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis |
Assets and liabilities measured at fair value on a recurring basis are as follows (dollars in millions): | | | | | | | | | | | | | | | | | | | | | | | | | Quoted Price in Active Markets
for Identical Assets
(Level 1) | | Significant Other Observable Inputs
(Level 2) | | Significant Unobservable Inputs
(Level 3) | | Total | | Balance at December 31, 2023 | | | | | | | | | Assets | | | | | | | | | Fair value - OCI | | | | | | | | | U.S. Treasury and U.S. GSE securities | $ | 12,928 | | | $ | 9 | | | $ | — | | | $ | 12,937 | | | Residential mortgage-backed securities - Agency | — | | | 465 | | | — | | | 465 | | | Available-for-sale investment securities | $ | 12,928 | | | $ | 474 | | | $ | — | | | $ | 13,402 | | | | | | | | | | Derivative financial instruments - cash flow hedges(1) | $ | — | | | $ | 2 | | | $ | — | | | $ | 2 | | | | | | | | | | | Fair value - Net income | | | | | | | | | Marketable equity securities | $ | 1 | | | $ | — | | | $ | — | | | $ | 1 | | Derivative financial instruments - fair value hedges(1) | $ | — | | | $ | 2 | | | $ | — | | | $ | 2 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Balance at December 31, 2022 | | | | | | | | | Assets | | | | | | | | | Fair value - OCI | | | | | | | | | U.S. Treasury and U.S. GSE securities | $ | 11,416 | | | $ | 7 | | | $ | — | | | $ | 11,423 | | | Residential mortgage-backed securities - Agency | — | | | 564 | | | — | | | 564 | | | Available-for-sale investment securities | $ | 11,416 | | | $ | 571 | | | $ | — | | | $ | 11,987 | | | | | | | | | | Derivative financial instruments - cash flow hedges(1) | $ | — | | | $ | 1 | | | $ | — | | | $ | 1 | | | | | | | | | | | Fair value - Net income | | | | | | | | | Marketable equity securities | $ | 41 | | | $ | — | | | $ | — | | | $ | 41 | | | | | | | | | | | | | | | | | | | Liabilities | | | | | | | | | Fair value - OCI | | | | | | | | Derivative financial instruments - cash flow hedges(1) | $ | — | | | $ | 3 | | | $ | — | | | $ | 3 | | | | | | | | | | | Fair value - Net income | | | | | | | | Derivative financial instruments - fair value hedges(1) | $ | — | | | $ | 2 | | | $ | — | | | $ | 2 | | | | | | | | | | | | | | | | | |
(1)Derivative instrument carrying values in an asset or liability position are presented as part of other assets or accrued expenses and other liabilities, respectively, in the Company’s consolidated statements of financial condition.
|
| Schedule of Financial Instruments Measured at Other Than Fair Value |
The following tables disclose the estimated fair value of the Company’s financial assets and financial liabilities that are not required to be carried at fair value (dollars in millions): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Balance at December 31, 2023 | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | | Total | | Carrying Value | | Assets | | | | | | | | | | | Amortized cost | | | | | | | | | | | Residential mortgage-backed securities - Agency | $ | — | | | $ | 234 | | | $ | — | | | $ | 234 | | | $ | 253 | | | Held-to-maturity investment securities | $ | — | | | $ | 234 | | | $ | — | | | $ | 234 | | | $ | 253 | | | | | | | | | | | | | Net loan receivables | $ | — | | | $ | — | | | $ | 126,940 | | | $ | 126,940 | | | $ | 119,126 | | | | | | | | | | | | Carrying value approximates fair value(1) | | | | | | | | | | | Cash and cash equivalents | $ | 11,685 | | | $ | — | | | $ | — | | | $ | 11,685 | | | $ | 11,685 | | | Restricted cash | $ | 43 | | | $ | — | | | $ | — | | | $ | 43 | | | $ | 43 | | | | | | | | | | | | Accrued interest receivables(2) | $ | — | | | $ | 1,450 | | | $ | — | | | $ | 1,450 | | | $ | 1,450 | | | | | | | | | | | | | Liabilities | | | | | | | | | | | Amortized cost | | | | | | | | | | Time deposits(3) | $ | — | | | $ | 45,333 | | | $ | — | | | $ | 45,333 | | | $ | 45,240 | | | Short-term borrowings | $ | — | | | $ | 750 | | | $ | — | | | $ | 750 | | | $ | 750 | | | | | | | | | | | | | Long-term borrowings - owed to securitization investors | $ | — | | | $ | 10,770 | | | $ | 65 | | | $ | 10,835 | | | $ | 10,993 | | | Other long-term borrowings | — | | | 9,469 | | | — | | | 9,469 | | | 9,588 | | | Long-term borrowings | $ | — | | | $ | 20,239 | | | $ | 65 | | | $ | 20,304 | | | $ | 20,581 | | | | | | | | | | | | Carrying value approximates fair value(1) | | | | | | | | | | Accrued interest payables(2) | $ | — | | | $ | 421 | | | $ | — | | | $ | 421 | | | $ | 421 | | | | | | | | | | | | | Balance at December 31, 2022 | | | | | | | | | | | Assets | | | | | | | | | | | Amortized cost | | | | | | | | | | | Residential mortgage-backed securities - Agency | $ | — | | | $ | 199 | | | $ | — | | | $ | 199 | | | $ | 221 | | | Held-to-maturity investment securities | $ | — | | | $ | 199 | | | $ | — | | | $ | 199 | | | $ | 221 | | | | | | | | | | | | | Net loan receivables | $ | — | | | $ | — | | | $ | 110,796 | | | $ | 110,796 | | | $ | 104,746 | | | | | | | | | | | | Carrying value approximates fair value(1) | | | | | | | | | | | Cash and cash equivalents | $ | 8,856 | | | $ | — | | | $ | — | | | $ | 8,856 | | | $ | 8,856 | | | Restricted cash | $ | 41 | | | $ | — | | | $ | — | | | $ | 41 | | | $ | 41 | | | | | | | | | | | | Accrued interest receivables(2) | $ | — | | | $ | 1,211 | | | $ | — | | | $ | 1,211 | | | $ | 1,211 | | | | | | | | | | | | | Liabilities | | | | | | | | | | | Amortized cost | | | | | | | | | | Time deposits(3) | $ | — | | | $ | 32,710 | | | $ | — | | | $ | 32,710 | | | $ | 33,070 | | | | | | | | | | | | | | | | | | | | | | | Long-term borrowings - owed to securitization investors | $ | — | | | $ | 9,862 | | | $ | 84 | | | $ | 9,946 | | | $ | 10,259 | | | Other long-term borrowings | — | | | 9,468 | | | — | | | 9,468 | | | 9,849 | | | Long-term borrowings | $ | — | | | $ | 19,330 | | | $ | 84 | | | $ | 19,414 | | | $ | 20,108 | | | | | | | | | | | | Carrying value approximates fair value(1) | | | | | | | | | | Accrued interest payables(2) | $ | — | | | $ | 308 | | | $ | — | | | $ | 308 | | | $ | 308 | | | | | | | | | | | |
(1) The carrying values of these assets and liabilities approximate fair value due to their short-term nature. (2) Accrued interest receivable and payable carrying values are presented as part of other assets and accrued expenses and other liabilities, respectively, in the Company’s consolidated statements of financial condition. (3) Excludes deposits without contractually defined maturities for all periods presented.
|