Short-Term Borrowings

12 Months Ended

Dec. 31, 2019

Short-Term Borrowings

Short-Term Borrowings

17. SHORT-TERM BORROWINGS

Borrowings with original maturities of one year or less are classified as short-term and include federal funds purchased and other short-term borrowings. Federal funds purchased are excess balances in reserve accounts held at the FRB that the Bancorp purchased from

other member banks on an overnight basis. Other short-term borrowings include securities sold under repurchase agreements, derivative collateral, FHLB advances and other borrowings with original maturities of one year or less.

The following table summarizes short-term borrowings and weighted-average rates:

	2019				2018
($ in millions)	Amount		Rate		Amount		Rate
As of December 31:
Federal funds purchased	$	260		1.49%	$	1,925		2.40%
Other short-term borrowings		1,011		1.24		573		1.95
Average for the years ended December 31:
Federal funds purchased	$	1,267		2.26%	$	1,509		1.97%
Other short-term borrowings		1,046		2.67		1,611		1.82
Maximum month-end balance for the years ended December 31:
Federal funds purchased	$	2,693			$	2,684
Other short-term borrowings		4,046				6,313

The following table presents a summary of the Bancorp’s other short-term borrowings as of December 31:    

($ in millions)	2019		2018
Securities sold under repurchase agreements	$	469		302
Derivative collateral		542		271
Total other short-term borrowings	$	1,011		573

The Bancorp’s securities sold under repurchase agreements are accounted for as secured borrowings and are collateralized by securities included in available-for-sale and other securities in the Consolidated Balance Sheets. These securities are subject to changes in market value and, therefore, the Bancorp may increase or decrease the level of securities pledged as collateral based upon these movements in market value.

As of both December 31, 2019 and 2018, all securities sold under repurchase agreements were secured by agency residential mortgage-backed securities and the repurchase agreements have an overnight remaining contractual maturity.