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Fair Values of Assets and Liabilities
 9 Months Ended
Sep. 30, 2020
Fair Value Disclosures [Abstract]  
Fair Values of Assets and Liabilities Fair Values of Assets and Liabilities
Assets and liabilities measured at fair value on a recurring basis

Schwab’s assets and liabilities measured at fair value on a recurring basis include: certain cash equivalents, certain investments segregated and on deposit for regulatory purposes, AFS securities, and certain other assets. The Company uses the market approach to determine the fair value of assets and liabilities. When available, the Company uses quoted prices in active markets to measure the fair value of assets and liabilities. Quoted prices for investments in exchange-traded securities represent end-of-day close prices published by exchanges. Quoted prices for money market funds and other mutual funds represent reported net asset values. When utilizing market data and bid-ask spread, the Company uses the price within the bid-ask spread that best represents fair value. When quoted prices in active markets do not exist, the Company uses prices obtained from independent third-party pricing services to measure the fair value of investment assets. We generally obtain prices from three independent third-party pricing sources for assets recorded at fair value.

Our primary independent pricing service provides prices for our fixed income investments such as commercial paper; certificates of deposit; U.S. government and agency securities; state and municipal securities; corporate debt securities; asset-backed securities; foreign government agency securities; and non-agency commercial mortgage-backed securities. Such prices are based on observable trades, broker/dealer quotes, and discounted cash flows that incorporate observable information such as yields for similar types of securities (a benchmark interest rate plus observable spreads) and weighted-average maturity for the same or similar “to-be-issued” securities. We compare the prices obtained from the primary independent pricing service to the prices obtained from the additional independent pricing services to determine if the price obtained from the primary independent pricing service is reasonable. Schwab does not adjust the prices received from independent third-party pricing services unless such prices are inconsistent with the definition of fair value and result in material differences in the amounts recorded.

For a description of the fair value hierarchy and Schwab’s fair value methodologies, see Item 8 – Note 2 in the 2019 Form 10-K. The Company did not adjust prices received from the primary independent third-party pricing service at September 30, 2020 or December 31, 2019.
Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables present the fair value hierarchy for assets measured at fair value on a recurring basis. Liabilities recorded at fair value were not material, and therefore are not included in the following tables:
September 30, 2020Level 1Level 2Level 3Balance at
Fair Value
Cash equivalents:
Money market funds$3,757 $— $— $3,757 
Total cash equivalents3,757 — — 3,757 
Investments segregated and on deposit for regulatory purposes:
Certificates of deposit— 901 — 901 
U.S. Government securities— 13,173 — 13,173 
Total investments segregated and on deposit for regulatory purposes— 14,074 — 14,074 
Available for sale securities:
U.S. agency mortgage-backed securities— 258,266 — 258,266 
Asset-backed securities— 19,321 — 19,321 
Corporate debt securities— 13,580 — 13,580 
U.S. Treasury securities— 7,902 — 7,902 
U.S. state and municipal securities— 1,690 — 1,690 
Non-agency commercial mortgage-backed securities— 1,266 — 1,266 
Certificates of deposit— 501 — 501 
Foreign government agency securities— 1,210 — 1,210 
Other— 22 — 22 
Total available for sale securities— 303,758 — 303,758 
Other assets:
Equity and bond mutual funds352 — — 352 
U.S. Government securities— 276 — 276 
State and municipal debt obligations— 22 — 22 
Equity, corporate debt, and other securities94 37 — 131 
Total other assets446 335 — 781 
Total$4,203 $318,167 $— $322,370 
December 31, 2019Level 1Level 2Level 3Balance at
Fair Value
Cash equivalents:
Money market funds$5,179 $— $— $5,179 
Commercial paper— 2,498 — 2,498 
Total cash equivalents5,179 2,498 — 7,677 
Investments segregated and on deposit for regulatory purposes:
Certificates of deposit— 1,351 — 1,351 
U.S. Government securities— 7,276 — 7,276 
Total investments segregated and on deposit for regulatory purposes— 8,627 — 8,627 
Available for sale securities:
U.S. agency mortgage-backed securities— 46,155 — 46,155 
Corporate debt securities— 5,484 — 5,484 
Asset-backed securities— 4,987 — 4,987 
U.S. Treasury securities— 3,384 — 3,384 
Certificates of deposit— 1,004 — 1,004 
Commercial paper— 395 — 395 
Non-agency commercial mortgage-backed securities— 13 — 13 
Total available for sale securities— 61,422 — 61,422 
Other assets:
Equity and bond mutual funds442 — — 442 
U.S. Government securities— 202 — 202 
State and municipal debt obligations— 47 — 47 
Equity, corporate debt, and other securities5 22 — 27 
Total other assets447 271 — 718 
Total$5,626 $72,818 $— $78,444 
Fair Value of Other Financial Instruments
The following tables present the fair value hierarchy for other financial instruments:
September 30, 2020Carrying
Amount		Level 1Level 2Level 3Balance at
Fair Value
Assets     
Cash and cash equivalents$23,708 $23,708 $— $— $23,708 
Cash and investments segregated and on deposit for
regulatory purposes		15,494 1,772 13,722 — 15,494 
Receivables from brokerage clients — net25,438 — 25,438 — 25,438 
Bank loans — net:     
First Mortgages14,319 — 14,733 — 14,733 
HELOCs908 — 900 — 900 
Pledged asset lines6,885 — 6,885 — 6,885 
Other174 — 174 — 174 
Total bank loans — net22,286 — 22,692 — 22,692 
Other assets1,617 — 1,617 — 1,617 
Liabilities     
Bank deposits$320,717 $— $320,717 $— $320,717 
Payables to brokerage clients52,006 — 52,006 — 52,006 
Accrued expenses and other liabilities2,208 — 2,208 — 2,208 
Long-term debt7,829 — 8,717 — 8,717 
December 31, 2019Carrying
Amount		Level 1Level 2Level 3Balance at
Fair Value
Assets     
Cash and cash equivalents$21,668 $21,668 $— $— $21,668 
Cash and investments segregated and on deposit for
regulatory purposes		11,807 2,792 9,015 — 11,807 
Receivables from brokerage clients — net21,763 — 21,763 — 21,763 
Held to maturity securities:    
U.S. agency mortgage-backed securities109,325 — 110,566 — 110,566 
Asset-backed securities17,806 — 17,771 — 17,771 
Corporate debt securities4,661 — 4,718 — 4,718 
U.S. state and municipal securities1,301 — 1,404 — 1,404 
Non-agency commercial mortgage-backed securities1,119 — 1,141 — 1,141 
U.S. Treasury securities223 — 228 — 228 
Certificates of deposit200 — 200 — 200 
Foreign government agency securities50 — 50 — 50 
Other21 — 21 — 21 
Total held to maturity securities134,706 — 136,099 — 136,099 
Bank loans — net:     
First Mortgages11,693 — 11,639 — 11,639 
HELOCs1,113 — 1,153 — 1,153 
Pledged asset lines5,206 — 5,206 — 5,206 
Other200 — 200 — 200 
Total bank loans — net18,212 — 18,198 — 18,198 
Other assets1,014 — 1,014 — 1,014 
Liabilities     
Bank deposits$220,094 $— $220,094 $— $220,094 
Payables to brokerage clients39,220 — 39,220 — 39,220 
Accrued expenses and other liabilities1,882 — 1,882 — 1,882 
Long-term debt7,430 — 7,775 — 7,775