Note 17. Fair Value

We believe the carrying values of our financial instruments related to current assets and current liabilities approximate fair value. The following table presents the carrying amounts and estimated fair values of our long-term financial instruments (in millions):


		March 31, 2015				December 31, 2014
	Hierarchy Level	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Assets:
Restricted cash	1	$	3	$	3	$	3	$	3
VOI notes receivable	3		306		384		295		369
Securitized vacation ownership notes receivable	3		210		266		227		287
Other notes receivable	3		58		58		51		51

Total financial assets		$	577	$	711	$	576	$	710

Liabilities:
Long-term debt	1	$	2,231	$	2,361	$	2,398	$	2,503
Long-term securitized debt	3		164		170		176		182

Total financial liabilities		$	2,395	$	2,531	$	2,574	$	2,685

Off-Balance sheet:
Letters of credit	2	$	—	$	83	$	—	$	83
Surety bonds	2		—		28		—		27

Total off-balance sheet		$	—	$	111	$	—	$	110

The carrying value of our restricted cash approximates its fair value. We estimate the fair value of our VOI notes receivable and securitized VOI notes receivable using assumptions related to current or recent securitization market transactions. The amount is then compared to a discounted expected future cash flow model using a discount rate commensurate with the risk of the underlying notes, primarily determined by the credit worthiness of the borrowers based on their FICO scores. The results of these two methods are then evaluated to determine the estimated fair value. The fair value of other notes receivable is estimated based on the terms of the instrument and current market conditions. These financial instrument assets are recorded in the other assets line item in our consolidated balance sheet.

We estimate the fair value of our publicly traded debt based on the bid prices in the public debt markets. The carrying amount of our floating rate debt is a reasonable basis of fair value due to the variable nature of the interest rates. Our non-public, securitized debt and fixed rate debt fair value is determined based upon discounted cash flows for the debt at rates deemed reasonable for the type of debt, prevailing market conditions and the length to maturity for the debt.

The fair values of our letters of credit and surety bonds are estimated to be the same as the contract values based on the nature of the fee arrangements with the issuing financial institutions.