Fair Value of Financial Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2022

Fair Value of Financial Assets and Liabilities [Abstract]

Schedule of fair value of financial assets liabilities on the balance sheet

	Level 1				Level 2				Level 3				Total
	2022		2021		2022		2021		2022		2021		2022		2021
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Financial Assets
Financial Assets held for trading at fair value through profit or loss
Derivative contracts financial:
Forwards		—		—		566,050		742,545		—		—		566,050		742,545
Swaps		—		—		2,389,577		1,958,243		—		—		2,389,577		1,958,243
Call Options		—		—		2,321		4,509		—		—		2,321		4,509
Put Options		—		—		2,758		199		—		—		2,758		199
Futures		—		—		—		—		—		—		—		—
Subtotal		—		—		2,960,706		2,705,496		—		—		2,960,706		2,705,496
Debt Financial Instruments:
From the Chilean Government and Central Bank		28,128		169,067		3,031,164		3,303,055		—		—		3,059,292		3,472,122
Other debt financial instruments issued in Chile		—		—		273,934		214,336		100,519		51,484		374,453		265,820
Financial debt instruments issued Abroad		—		—		—		—		—		—		—		—
Subtotal		28,128		169,067		3,305,098		3,517,391		100,519		51,484		3,433,745		3,737,942
Others		257,325		138,753		—		—		—		—		257,325		138,753
Financial Assets at fair value through Other Comprehensive Income
Debt Financial Instruments: (1)
From the Chilean Government and Central Bank		552,763		507,368		1,706,094		1,981,482		—		—		2,258,857		2,488,850
Other debt financial instruments issued in Chile		—		—		1,499,625		540,756		41,283		25,203		1,540,908		565,959
Financial debt instruments issued Abroad		—		—		167,627		—		—		—		167,627		—
Equity Instruments:
Instruments issued in Chile		—		—		5,700		5,499		—		—		5,700		5,499
Instruments issued abroad		820		841		—		—		25		25		845		866
Subtotal		553,583		508,209		3,379,046		2,527,737		41,308		25,228		3,973,937		3,061,174
Derivative contracts financial for hedging purposes
Forwards		—		—		—		—		—		—		—		—
Swaps		—		—		27,077		277,802		—		—		27,077		277,802
Call Options		—		—		—		—		—		—		—		—
Put Options		—		—		—		—		—		—		—		—
Futures		—		—		—		—		—		—		—		—
Subtotal		—		—		27,077		277,802		—		—		27,077		277,802
Total		839,036		816,029		9,671,927		9,028,426		141,827		76,712		10,652,790		9,921,167
Financial Liabilities
Financial liabilities held for trading at fair value through profit or loss
Derivative contracts financial:
Forwards		—		—		535,630		505,463		—		—		535,630		505,463
Swaps		—		—		2,560,285		2,264,132		—		—		2,560,285		2,264,132
Call Options		—		—		1,665		2,726		—		—		1,665		2,726
Put Options		—		—		3,889		459		—		—		3,889		459
Futures		—		—		—		—		—		—		—		—
Subtotal		—		—		3,101,469		2,772,780		—		—		3,101,469		2,772,780
Others		—		—		6,271		—		—		—		6,271		—
Derivative contracts financial for hedging purposes
Forwards		—		—		—		88		—		—		—		88
Swaps		—		—		223,016		608		—		—		223,016		608
Call Options		—		—		—		—		—		—		—		—
Put Options		—		—		—		—		—		—		—		—
Futures		—		—		—		—		—		—		—		—
Subtotal		—		—		223,016		696		—		—		223,016		696
Total		—		—		3,330,756		2,773,476		—		—		3,330,756		2,773,476

(1) As of December 31, 2022, 100% of instruments of level 3 have denomination “Investment Grade”. Also, 100% of total of these financial instruments correspond to domestic issuers.

Schedule of reconciliation between the beginning and ending balances of instruments

	2022
	Balance as of January 1, 2022		Gain (Loss) Recognized in Income (1)			Gain (Loss) Recognized in Equity (2)		Purchases		Sales			Transfer from Level 1 and 2		Transfer to Level 1 and 2		Balance as of December 31, 2022
	MCh		$MCh			$MCh		$MCh		$MCh			$MCh		$MCh		$MCh$
Financial Assets held for trading at fair value through profit or loss
Debt Financial Instruments:
Other debt financial instruments issued in Chile		51,484		902			—		111,960		(63,827	)		—		—		100,519
Subtotal		51,484		902			—		111,960		(63,827	)		—		—		100,519
Financial Assets at fair value through Other Comprehensive Income:
Debt Financial Instruments:
Other debt financial instruments issued in Chile		25,203		(1,477	)		4,921		25,044		(12,408	)		—		—		41,283
Equity Instruments:
Instruments issued abroad		25		—			—		—		—			—		—		25
Subtotal		25,228		(1,477	)		4,921		25,044		(12,408	)		—		—		41,308
Total		76,712		(575	)		4,921		137,004		(76,235	)		—		—		141,827

	2021
	Balance as of January 1, 2021		Gain (Loss) Recognized in Income (1)			Gain (Loss) Recognized in Equity (2)			Purchases		Sales			Transfer from Level 1 and 2		Transfer to Level 1 and 2			Balance as of December 31, 2021
	MCh$		MCh$			MCh$			MCh$		MCh$			MCh$		MCh$			MCh$
Financial Assets held for trading at fair value through profit or loss
Debt Financial Instruments:
Other debt financial instruments issued in Chile		5,494		(503	)		—			42,484		(3,160	)		7,169		—			51,484
Subtotal		5,494		(503	)		—			42,484		(3,160	)		7,169		—			51,484
Financial Assets at fair value through Other Comprehensive Income:
Debt Financial Instruments:
Other debt financial instruments issued in Chile		36,596		1,084			(3,168	)		10,212		(20,453	)		6,399		(5,467	)		25,203
Equity Instruments:
Instruments issued abroad		91		—			(66	)		—		—			—		—			25
Subtotal		36,687		1,084			(3,234	)		10,212		(20,453	)		6,399		(5,467	)		25,228
Total		42,181		581			(3,234	)		52,696		(23,613	)		13,568		(5,467	)		76,712

(1) Recorded in income under item “Net Financial income (expense)”.

(2) Recorded in equity under item “Accumulated other comprehensive income”.

Schedule of instruments classified in Level 3 using alternative in key valuation assumptions

	As of December 31, 2022					As of December 31, 2021
	Level 3		Sensitivity to changes in key assumptions of models			Level 3		Sensitivity to changes in key assumptions of models
	MCh$		MCh$			MCh$		MCh$
Financial Assets held for trading at fair value through profit or loss
Debt Financial Instruments:
Other debt financial instruments issued in Chile		100,519		(997	)		51,484		(506	)
Subtotal		100,519		(997	)		51,484		(506	)
Financial Assets at fair value through Other Comprehensive Income
Debt Financial Instruments:
Other debt financial instruments issued in Chile		41,283		(1,263	)		25,203		(782	)
Equity Instruments:
Instruments issued abroad		25		—			25		—
Subtotal		41,308		(1,263	)		25,228		(782	)
Total		141,827		(2,260	)		76,712		(1,288	)

Schedule of fair values of the financial assets and liabilities that are not recorded at fair value in the statement of financial position

	Book Value				Estimated Fair Value
	2022		2021		2022		2021
	MCh$		MCh$		MCh$		MCh$
Assets
Cash and due from banks		2,764,884		3,713,734		2,764,884		3,713,734
Transactions in the course of collection		772,196		326,446		772,196		326,446
Subtotal		3,537,080		4,040,180		3,537,080		4,040,180
Financial assets at amortized cost
Rights by resale agreements and securities lending		54,061		64,365		54,061		64,365
Debt financial instruments		902,355		839,744		836,527		821,743
Loans and advances to Banks
Domestic banks		—		159,987		—		159,960
Central Bank of Chile		1,801,100		1,090,000		1,801,100		1,090,000
Foreign banks		372,051		279,764		369,526		278,813
Subtotal		3,129,567		2,433,860		3,061,214		2,414,881
Loans to customers, net
Commercial loans		19,987,278		19,353,491		19,161,774		18,423,126
Residential mortgage loans		11,371,676		10,307,542		11,138,046		9,753,455
Consumer loans		4,545,734		3,931,344		4,608,041		3,899,940
Subtotal		35,904,688		33,592,377		34,907,861		32,076,521
Total		42,571,335		40,066,417		41,506,155		38,531,582
Liabilities
Transactions in the course of payment		681,792		210,479		681,792		210,479
Financial liabilities at amortized cost
Current accounts and other demand deposits		13,592,155		18,542,791		13,592,155		18,542,791
Saving accounts and time deposits		14,358,987		9,140,006		14,342,841		9,145,192
Obligations by repurchase agreements and securities lending		216,264		95,009		216,264		95,009
Borrowings from financial institutions		5,397,676		4,861,865		4,844,427		4,325,869
Debt financial instruments issued
Letters of credit for residential purposes		2,328		4,005		2,466		4,209
Letters of credit for general purposes		49		109		52		116
Bonds		9,265,570		8,557,281		9,030,443		8,397,835
Other financial obligations		344,030		250,005		363,809		274,838
Subtotal		43,177,059		41,451,071		42,392,457		40,785,859
Debt financial instruments issued for regulatory capital purposes
Subordinate bonds		1,010,905		917,510		1,002,250		869,364
Total		44,869,756		42,579,060		44,076,499		41,865,702

Schedule of figures by hierarchy, for financial assets/liabilities not measured at fair value on the balance sheet

	Level 1 Estimated Fair Value				Level 2 Estimated Fair Value				Level 3 Estimated Fair Value				Total Estimated Fair Value
	2022		2021		2022		2021		2022		2021		2022		2021
	MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$		MCh$
Assets
Cash and due from banks		2,764,884		3,713,734		—		—		—		—		2,764,884		3,713,734
Transactions in the course of collection		772,196		326,446		—		—		—		—		772,196		326,446
Subtotal		3,537,080		4,040,180		—		—		—		—		3,537,080		4,040,180
Financial assets at amortized cost
Rights by resale agreements and securities lending		54,061		64,365		—		—		—		—		54,061		64,365
Debt financial instruments		836,527		821,743		—		—		—		—		836,527		821,743
Loans and advances to Banks
Domestic banks		—		159,960		—		—		—		—		—		159,960
Central Bank of Chile		1,801,100		1,090,000		—		—		—		—		1,801,100		1,090,000
Foreign banks		—		—		—		—		369,526		278,813		369,526		278,813
Subtotal		2,691,688		2,136,068		—		—		369,526		278,813		3,061,214		2,414,881
Loans to customers, net
Commercial loans		—		—		—		—		19,161,774		18,423,126		19,161,774		18,423,126
Residential mortgage loans		—		—		—		—		11,138,046		9,753,455		11,138,046		9,753,455
Consumer loans		—		—		—		—		4,608,041		3,899,940		4,608,041		3,899,940
Subtotal		—		—		—		—		34,907,861		32,076,521		34,907,861		32,076,521
Total		6,228,768		6,176,248		—		—		35,277,387		32,355,334		41,506,155		38,531,582
Liabilities
Transactions in the course of payment		681,792		210,479		—		—		—		—		681,792		210,479
Financial liabilities at amortized cost
Current accounts and other demand deposits		13,592,155		18,542,791		—		—		—		—		13,592,155		18,542,791
Saving accounts and time deposits		—		—		—		—		14,342,841		9,145,192		14,342,841		9,145,192
Obligations by repurchase agreements and securities lending		216,264		95,009		—		—		—		—		216,264		95,009
Borrowings from financial institutions		—		—		—		—		4,844,427		4,325,869		4,844,427		4,325,869
Debt financial instruments issued
Letters of credit for residential purposes		—		—		2,466		4,209		—		—		2,466		4,209
Letters of credit for general purposes		—		—		52		116		—		—		52		116
Bonds		—		—		9,030,443		8,397,835		—		—		9,030,443		8,397,835
Other financial obligations		—		—		—		—		363,809		274,838		363,809		274,838
Subtotal		13,808,419		18,637,800		9,032,961		8,402,160		19,551,077		13,745,899		42,392,457		40,785,859
Debt financial instruments issued for regulatory capital purposes
Subordinate bonds		—		—		—		—		1,002,250		869,364		1,002,250		869,364
Total		14,490,211		18,848,279		9,032,961		8,402,160		20,553,327		14,615,263		44,076,499		41,865,702