10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

þ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2014

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from (not applicable)

Commission file number 1-6880

U.S. BANCORP

(Exact name of registrant as specified in its charter)

Delaware	41-0255900
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

800 Nicollet Mall

Minneapolis, Minnesota 55402

(Address of principal executive offices, including zip code)

651-466-3000

(Registrant’s telephone number, including area code)

(not applicable)

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months, and (2) has been subject to such filing requirements for the past 90 days.

YES þ    NO ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

YES þ    NO ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer þ	Accelerated filer ¨
Non-accelerated filer ¨ (Do not check if a smaller reporting company)	Smaller reporting company ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

YES ¨    NO þ

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Class	Outstanding as of October 31, 2014
Common Stock, $.01 Par Value	1,789,386,385 shares

Table of Contents and Form 10-Q Cross Reference Index

Part I — Financial Information
1) Management’s Discussion and Analysis of Financial Condition and Results of Operations (Item 2)	3
a) Overview	3
b) Statement of Income Analysis	4
c) Balance Sheet Analysis	6
d) Non-GAAP Financial Measures	33
e) Critical Accounting Policies	35
f) Controls and Procedures (Item 4)	35
2) Quantitative and Qualitative Disclosures About Market Risk/Corporate Risk Profile (Item 3)	8
a) Overview	8
b) Credit Risk Management	9
c) Residual Value Risk Management	23
d) Operational Risk Management	23
e) Compliance Risk Management	23
f) Interest Rate Risk Management	23
g) Market Risk Management	24
h) Liquidity Risk Management	25
i) Capital Management	27
3) Line of Business Financial Review	28
4) Financial Statements (Item 1)	36
Part II — Other Information
1) Legal Proceedings (Item 1)	83
2) Risk Factors (Item 1A)	83
3) Unregistered Sales of Equity Securities and Use of Proceeds (Item 2)	83
4) Exhibits (Item 6)	83
5) Signature	84
6) Exhibits	85

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995.

This quarterly report on Form 10-Q contains forward-looking statements about U.S. Bancorp. Statements that are not historical or current facts, including statements about beliefs and expectations, are forward-looking statements and are based on the information available to, and assumptions and estimates made by, management as of the date hereof. These forward-looking statements cover, among other things, anticipated future revenue and expenses and the future plans and prospects of U.S. Bancorp. Forward-looking statements involve inherent risks and uncertainties, and important factors could cause actual results to differ materially from those anticipated. A reversal or slowing of the current moderate economic recovery or another severe contraction could adversely affect U.S. Bancorp’s revenues and the values of its assets and liabilities. Global financial markets could experience a recurrence of significant turbulence, which could reduce the availability of funding to certain financial institutions and lead to a tightening of credit, a reduction of business activity, and increased market volatility. Continued stress in the commercial real estate markets, as well as a delay or failure of recovery in the residential real estate markets could cause additional credit losses and deterioration in asset values. In addition, U.S. Bancorp’s business and financial performance is likely to be negatively impacted by recently enacted and future legislation and regulation. U.S. Bancorp’s results could also be adversely affected by deterioration in general business and economic conditions; changes in interest rates; deterioration in the credit quality of its loan portfolios or in the value of the collateral securing those loans; deterioration in the value of securities held in its investment securities portfolio; legal and regulatory developments; increased competition from both banks and non-banks; changes in customer behavior and preferences; breaches in data security; effects of mergers and acquisitions and related integration; effects of critical accounting policies and judgments; and management’s ability to effectively manage credit risk, residual value risk, market risk, operational risk, compliance risk, strategic risk, interest rate risk, liquidity risk and reputational risk.

For discussion of these and other risks that may cause actual results to differ from expectations, refer to U.S. Bancorp’s Annual Report on Form 10-K for the year ended December 31, 2013, on file with the Securities and Exchange Commission, including the sections entitled “Risk Factors” and “Corporate Risk Profile” contained in Exhibit 13, and all subsequent filings with the Securities and Exchange Commission under Sections 13(a), 13(c), 14 or 15(d) of the Securities Exchange Act of 1934. However, factors other than these also could adversely affect U.S. Bancorp’s results, and the reader should not consider these factors to be a complete set of all potential risks or uncertainties. Forward-looking statements speak only as of the date hereof, and U.S. Bancorp undertakes no obligation to update them in light of new information or future events.

U.S. Bancorp 1

 Table 1  Selected Financial Data

	Three Months Ended September 30,									Nine Months Ended September 30,
(Dollars and Shares in Millions, Except Per Share Data)	2014			2013			Percent Change			2014			2013			Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis) (a)	$	2,748		$	2,714			1.3	%	$	8,198		$	8,095			1.3	%
Noninterest income		2,245			2,180			3.0			6,792			6,610			2.8
Securities gains (losses), net		(3	)		(3	)		–			2			8			(75.0	)
Total net revenue		4,990			4,891			2.0			14,992			14,713			1.9
Noninterest expense		2,614			2,565			1.9			7,911			7,592			4.2
Provision for credit losses		311			298			4.4			941			1,063			(11.5	)
Income before taxes		2,065			2,028			1.8			6,140			6,058			1.4
Taxable-equivalent adjustment		56			56			–			167			168			(.6	)
Applicable income taxes		523			542			(3.5	)		1,566			1,629			(3.9	)
Net income		1,486			1,430			3.9			4,407			4,261			3.4
Net (income) loss attributable to noncontrolling interests		(15	)		38			*			(44	)		119			*
Net income attributable to U.S. Bancorp	$	1,471		$	1,468			.2		$	4,363		$	4,380			(.4	)
Net income applicable to U.S. Bancorp common shareholders	$	1,405		$	1,400			.4		$	4,163		$	4,163			–
Per Common Share
Earnings per share	$	.78		$	.76			2.6	%	$	2.30		$	2.26			1.8	%
Diluted earnings per share		.78			.76			2.6			2.29			2.25			1.8
Dividends declared per share		.245			.230			6.5			.720			.655			9.9
Book value per share		21.38			19.31			10.7
Market value per share		41.83			36.58			14.4
Average common shares outstanding		1,798			1,832			(1.9	)		1,809			1,844			(1.9	)
Average diluted common shares outstanding		1,807			1,843			(2.0	)		1,819			1,854			(1.9	)
Financial Ratios
Return on average assets		1.51	%		1.65	%					1.56	%		1.67	%
Return on average common equity		14.5			15.8						14.7			16.0
Net interest margin (taxable-equivalent basis) (a)		3.16			3.43						3.26			3.45
Efficiency ratio (b)		52.4			52.4						52.8			51.6
Net charge-offs as a percent of average loans outstanding		.55			.57						.57			.68
Average Balances
Loans	$	243,867		$	229,362			6.3	%	$	240,098		$	225,682			6.4	%
Loans held for sale		3,552			4,965			(28.5	)		2,811			6,659			(57.8	)
Investment securities (c)		93,141			74,988			24.2			87,687			74,303			18.0
Earning assets		346,422			315,060			10.0			336,287			313,663			7.2
Assets		385,823			352,161			9.6			375,047			351,048			6.8
Noninterest-bearing deposits		74,126			68,264			8.6			72,274			67,183			7.6
Deposits		271,008			252,368			7.4			263,662			248,284			6.2
Short-term borrowings		30,961			27,495			12.6			30,362			27,736			9.5
Long-term debt		26,658			19,226			38.7			24,864			21,968			13.2
Total U.S. Bancorp shareholders’ equity		43,132			39,936			8.0			42,498			39,675			7.1
	September 30, 2014			December 31, 2013
Period End Balances
Loans	$	245,591		$	235,235			4.4	%
Investment securities		96,905			79,855			21.4
Assets		391,284			364,021			7.5
Deposits		273,097			262,123			4.2
Long-term debt		30,768			20,049			53.5
Total U.S. Bancorp shareholders’ equity		43,141			41,113			4.9
Asset Quality
Nonperforming assets	$	1,923		$	2,037			(5.6	)
Allowance for credit losses		4,414			4,537			(2.7	)
Allowance for credit losses as a percent of period-end loans		1.80	%		1.93	%
Capital Ratios
Common equity tier 1 capital (d)		9.7	%		9.4	%(e)
Tier 1 capital (d)		11.3			11.2
Total risk-based capital (d)		13.6			13.2
Leverage (d)		9.4			9.6
Common equity tier 1 capital to risk-weighted assets for the Basel III transitional advanced approaches		12.4
Common equity tier 1 capital to risk-weighted assets estimated for the Basel III fully implemented standardized approach (e)		9.0			8.8
Common equity tier 1 capital to risk-weighted assets estimated for the Basel III fully implemented advanced approaches (e)		11.8
Tangible common equity to tangible assets (e)		7.6			7.7
Tangible common equity to risk-weighted assets (e)		9.3			9.1

   * Not meaningful.

(a) Presented on a fully taxable-equivalent basis utilizing a tax rate of 35 percent.

(b) Computed as noninterest expense divided by the sum of net interest income on a taxable-equivalent basis and noninterest income excluding net securities gains (losses).

(c) Excludes unrealized gains and losses on available-for-sale investment securities and any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale to held-to-maturity.

(d) September 30, 2014, calculated under the Basel III transitional standardized approach; December 31, 2013, calculated under Basel I.

(e) See Non-GAAP Financial Measures beginning on page 33.

2 U.S. Bancorp

Management’s Discussion and Analysis

OVERVIEW

Earnings Summary U.S. Bancorp and its subsidiaries (the “Company”) reported net income attributable to U.S. Bancorp of $1.5 billion for the third quarter of 2014, or $.78 per diluted common share, compared with $1.5 billion, or $.76 per diluted common share, for the third quarter of 2013. Return on average assets and return on average common equity were 1.51 percent and 14.5 percent, respectively, for the third quarter of 2014, compared with 1.65 percent and 15.8 percent, respectively, for the third quarter of 2013.

Total net revenue, on a taxable-equivalent basis, for the third quarter of 2014 was $99 million (2.0 percent) higher than the third quarter of 2013, reflecting a 1.3 percent increase in net interest income and a 3.0 percent increase in noninterest income. The increase in net interest income from a year ago was the result of an increase in average earning assets and continued growth in lower cost core deposit funding, partially offset by a decrease in the net interest margin. The noninterest income increase was primarily due to higher revenue in most fee businesses, partially offset by lower mortgage banking revenue.

Noninterest expense in the third quarter of 2014 was $49 million (1.9 percent) higher than the third quarter of 2013, primarily due to higher compensation expense, reflecting the impact of merit increases, acquisitions and higher staffing for risk, compliance and internal audit activities.

The provision for credit losses for the third quarter of 2014 of $311 million was $13 million (4.4 percent) higher than the third quarter of 2013. Net charge-offs in the third quarter of 2014 were $336 million, compared with $328 million in the third quarter of 2013. Refer to “Corporate Risk Profile” for further information on the provision for credit losses, net charge-offs, nonperforming assets and other factors considered by the Company in assessing the credit quality of the loan portfolio and establishing the allowance for credit losses.

Net income attributable to U.S. Bancorp for the first nine months of 2014 was $4.4 billion, or $2.29 per diluted common share, compared with $4.4 billion, or $2.25 per diluted common share for the first nine months of 2013. Return on average assets and return on average common equity were 1.56 percent and 14.7 percent, respectively, for the first nine months of 2014, compared with 1.67 percent and 16.0 percent, respectively, for the first nine months of 2013. The results for the first nine months of 2014 included a second quarter $214 million gain related to the sale of Visa Inc. Class B common stock (“Visa sale”), offset by a $200 million settlement with the U.S. Department of Justice to resolve an investigation relating to the endorsement of mortgage loans under the Federal Housing Administration’s insurance program (“FHA DOJ settlement”). Together, these two items had no impact on diluted earnings per common share.

Total net revenue, on a taxable-equivalent basis, for the first nine months of 2014 was $279 million (1.9 percent) higher than the first nine months of 2013, primarily reflecting a 1.3 percent increase in net interest income and a 2.7 percent increase in noninterest income. The increase in net interest income from a year ago was the result of an increase in average earning assets and continued growth in lower cost core deposit funding, partially offset by a decrease in the net interest margin. The noninterest income increase was primarily due to higher revenue in most fee businesses and the Visa sale, partially offset by lower mortgage banking revenue.

Noninterest expense in the first nine months of 2014 was $319 million (4.2 percent) higher than the first nine months of 2013, primarily due to the FHA DOJ settlement and higher compensation expense.

The provision for credit losses for the first nine months of 2014 of $941 million was $122 million (11.5 percent) lower than the first nine months of 2013. Net charge-offs in the first nine months of 2014 were $1.0 billion, compared with $1.2 billion in the first nine months of 2013. Refer to “Corporate Risk Profile” for further information on the provision for credit losses, net charge-offs, nonperforming assets and other factors considered by the Company in assessing the credit quality of the loan portfolio and establishing the allowance for credit losses.

Acquisitions In June 2014, the Company acquired the Chicago-area branch banking operations of the Charter One Bank franchise (“Charter One”) owned by RBS Citizens Financial Group. The acquisition included Charter One’s retail branch network, small business operations and select middle market relationships. The Company acquired approximately $969 million of loans and $4.8 billion of deposits with this transaction.

U.S. Bancorp 3

STATEMENT OF INCOME ANALYSIS

Net Interest Income Net interest income, on a taxable-equivalent basis, was $2.7 billion in the third quarter and $8.2 billion in the first nine months of 2014, or increases of $34 million (1.3 percent) and $103 million (1.3 percent), respectively, compared with the same periods of 2013. The increases were the result of growth in average earning assets and lower cost core deposit funding, partially offset by lower rates on new loans and investment securities and lower loan fees. Average earning assets were $31.4 billion (10.0 percent) higher in the third quarter and $22.6 billion (7.2 percent) higher in the first nine months of 2014, compared with the same periods of 2013, driven by increases in loans and investment securities, partially offset by decreases in loans held for sale. The net interest margin, on a taxable-equivalent basis, in the third quarter and first nine months of 2014 was 3.16 percent and 3.26 percent, respectively, compared with 3.43 percent and 3.45 percent in the third quarter and first nine months of 2013, respectively. The decreases from the same periods of the prior year primarily reflected lower reinvestment rates on investment securities, as well as growth in the investment portfolio at lower average rates, lower loan fees due to the wind down of the short-term, small dollar advance product, Checking Account Advance (“CAA”), and strong growth in lower rate commercial loans, partially offset by lower funding costs. Refer to the “Consolidated Daily Average Balance Sheet and Related Yields and Rates” tables for further information on net interest income.

Average total loans for the third quarter and first nine months of 2014 were $14.5 billion (6.3 percent) and $14.4 billion (6.4 percent) higher, respectively, than the same periods of 2013, driven by growth in commercial loans, residential mortgages, commercial real estate loans, credit card loans and other retail loans. These increases were driven by higher demand for loans from new and existing customers. The increases were partially offset by a decline in loans covered by loss sharing agreements with the Federal Deposit Insurance Corporation (“FDIC”). Average loans acquired in FDIC-assisted transactions that are covered by loss sharing agreements with the FDIC (“covered” loans) decreased $2.5 billion (25.6 percent) in the third quarter and $2.6 billion (24.9 percent) in the first nine months of 2014, compared with the same periods of 2013, respectively.

Average investment securities in the third quarter and first nine months of 2014 were $18.2 billion (24.2 percent) and $13.4 billion (18.0 percent) higher, respectively, than the same periods of 2013, primarily due to purchases of U.S. government agency-backed securities, net of prepayments and maturities, in preparation for final liquidity coverage ratio regulatory requirements.

Average total deposits for the third quarter and first nine months of 2014 were $18.6 billion (7.4 percent) and $15.4 billion (6.2 percent) higher, respectively, than the same periods of 2013. Average noninterest-bearing deposits for the third quarter and first nine months of 2014 were $5.9 billion (8.6 percent) and $5.1 billion (7.6 percent) higher, respectively, than the same periods of the prior year, reflecting growth in Consumer and Small Business Banking, Wholesale Banking and Commercial Real Estate, and corporate trust balances, as well as the impact of the Charter One acquisition. Average total savings deposits for the third quarter and first nine months of 2014 were $19.0 billion (14.0 percent) and $14.2 billion (10.5 percent) higher, respectively, than the same periods of 2013, reflecting growth in Consumer and Small Business Banking, Wholesale Banking and Commercial Real Estate and corporate trust balances, as well as the impact of the Charter One acquisition. Average time deposits less than $100,000 for the third quarter and first nine months of 2014 were $1.5 billion (11.6 percent) and $1.9 billion (14.8 percent) lower, respectively, than the same periods of 2013, due to maturities. Average time deposits greater than $100,000 for the third quarter and first nine months of 2014 were $4.8 billion (13.6 percent) and $2.0 billion (6.0 percent) lower, respectively, than the same periods of the prior year, primarily due to declines in Consumer and Small Business Banking and broker-dealer balances. Time deposits greater than $100,000 are managed as an alternative to other funding sources, such as wholesale borrowing, based largely on relative pricing and liquidity characteristics.

4 U.S. Bancorp

 Table 2  Noninterest Income

	Three Months Ended September 30,									Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			Percent Change			2014		2013		Percent Change
Credit and debit card revenue	$	251		$	244			2.9	%	$	749	$	702		6.7	%
Corporate payment products revenue		195			192			1.6			550		540		1.9
Merchant processing services		387			371			4.3			1,127		1,091		3.3
ATM processing services		81			83			(2.4	)		241		248		(2.8	)
Trust and investment management fees		315			280			12.5			930		842		10.5
Deposit service charges		185			180			2.8			513		493		4.1
Treasury management fees		136			134			1.5			409		408		.2
Commercial products revenue		209			207			1.0			635		616		3.1
Mortgage banking revenue		260			328			(20.7	)		774		1,125		(31.2	)
Investment products fees		49			46			6.5			142		133		6.8
Securities gains (losses), net		(3	)		(3	)		—			2		8		(75.0	)
Other		177			115			53.9			722		412		75.2
Total noninterest income	$	2,242		$	2,177			3.0	%	$	6,794	$	6,618		2.7	%

Provision for Credit Losses The provision for credit losses for the third quarter and first nine months of 2014 increased $13 million (4.4 percent) and decreased $122 million (11.5 percent), respectively, compared with the same periods of 2013. Net charge-offs increased $8 million (2.4 percent) and decreased $127 million (11.0 percent) in the third quarter and first nine months of 2014, respectively, compared with the same periods of the prior year, reflecting higher commercial loan charge-offs and lower recoveries in commercial real estate in the current year, offset by improvements in residential mortgages and home equity and second mortgages. The provision for credit losses was lower than net charge-offs by $25 million in the third quarter and $85 million in the first nine months of 2014, compared with $30 million in the third quarter and $90 million in the first nine months of 2013. Refer to “Corporate Risk Profile” for further information on the provision for credit losses, net charge-offs, nonperforming assets and other factors considered by the Company in assessing the credit quality of the loan portfolio and establishing the allowance for credit losses.

Noninterest Income Noninterest income was $2.2 billion in the third quarter and $6.8 billion in the first nine months of 2014, reflecting increases of $65 million (3.0 percent) and $176 million (2.7 percent), respectively, compared with the same periods of 2013. The increases over a year ago were principally due to increases in a majority of fee revenue categories, partially offset by reductions in mortgage banking revenue. Trust and investment management fees increased, reflecting account growth, improved market conditions and business expansion. Merchant processing services revenue was higher as a result of increases in fee-based product revenue and higher volumes, partially offset by lower rates. Credit and debit card revenue and corporate payment products revenue increased primarily due to higher transaction volumes. Deposit service charges were higher due to account growth, the Charter One acquisition and pricing changes. Other income increased, reflecting higher equity investment income and retail leasing revenue. Other income further increased in the first nine months of 2014, compared with the same period of the prior year, due to the second quarter 2014 Visa sale. In addition, commercial products revenue for the first nine months of 2014 increased compared with the same period of the prior year, principally due to higher syndication fees on tax-advantaged projects and higher bond underwriting fees, partially offset by lower standby letters of credit fees. The decrease in mortgage banking revenue in the third quarter of 2014, compared with the third quarter of 2013, was principally due to an unfavorable change in the valuation of mortgage servicing rights (“MSRs”), net of hedging activities. The decrease in mortgage banking revenue in the first nine months of 2014, compared with the same period of the prior year, was primarily due to lower origination and sales revenue.

Noninterest Expense Noninterest expense was $2.6 billion in the third quarter and $7.9 billion in the first nine months of 2014, reflecting increases of $49 million (1.9 percent) and $319 million (4.2 percent), respectively, compared with the same periods of 2013. The increases over a year ago were the result of higher compensation expense, reflecting the impact of merit increases, acquisitions and higher staffing for risk, compliance and internal audit activities (partially offset by lower employee benefits expense driven by lower pension costs), higher net occupancy and equipment expense due to business initiatives and higher maintenance costs, higher professional services expense due mainly to mortgage servicing-related project costs, and higher other expense reflecting the Charter One merger integration and mortgage servicing-related expenses, partially offset by lower tax-advantaged project costs in the current year as a result of the first quarter of 2014 adoption of new

U.S. Bancorp 5

 Table 3  Noninterest Expense

	Three Months Ended September 30,									Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			Percent Change			2014			2013			Percent Change
Compensation	$	1,132		$	1,088			4.0	%	$	3,372		$	3,268			3.2	%
Employee benefits		250			278			(10.1	)		796			865			(8.0	)
Net occupancy and equipment		249			240			3.8			739			709			4.2
Professional services		102			94			8.5			282			263			7.2
Marketing and business development		78			85			(8.2	)		253			254			(.4	)
Technology and communications		219			214			2.3			644			639			.8
Postage, printing and supplies		81			76			6.6			242			230			5.2
Other intangibles		51			55			(7.3	)		148			167			(11.4	)
Other		452			435			3.9			1,435			1,197			19.9
Total noninterest expense	$	2,614		$	2,565			1.9	%	$	7,911		$	7,592			4.2	%
Efficiency ratio (a)		52.4	%		52.4	%					52.8	%		51.6	%

(a) Computed as noninterest expense divided by the sum of net interest income on a taxable-equivalent basis and noninterest income excluding securities gains (losses), net.

accounting guidance for certain affordable housing tax credit investments. In addition, other expense further increased in the first nine months of 2014, compared with the same period of 2013, due to the second quarter 2014 FHA DOJ settlement.

Income Tax Expense The provision for income taxes was $523 million (an effective rate of 26.0 percent) for the third quarter and $1.6 billion (an effective rate of 26.2 percent) for the first nine months of 2014, compared with $542 million (an effective rate of 27.5 percent) and $1.6 billion (an effective rate of 27.7 percent) for the same periods of 2013. For further information on income taxes, refer to Note 12 of the Notes to Consolidated Financial Statements.

BALANCE SHEET ANALYSIS

Loans The Company’s loan portfolio was $245.6 billion at September 30, 2014, compared with $235.2 billion at December 31, 2013, an increase of $10.4 billion (4.4 percent). The increase was driven primarily by increases in commercial loans, commercial real estate loans, other retail loans and residential mortgages, including the Charter One acquisition, partially offset by lower credit card and covered loans.

Commercial loans and commercial real estate loans increased $8.8 billion (12.6 percent) and $1.0 billion (2.6 percent), respectively, at September 30, 2014, compared with December 31, 2013, reflecting higher demand from new and existing customers.

Other retail loans, which include retail leasing, home equity and second mortgages and other retail loans, increased $1.3 billion (2.6 percent) at September 30, 2014, compared with December 31, 2013. The increase was driven by higher auto and installment loans, home equity and second mortgages, and the Charter One acquisition, partially offset by lower student loan balances.

Residential mortgages held in the loan portfolio increased $801 million (1.6 percent) at September 30, 2014, compared with December 31, 2013. Residential mortgages originated and placed in the Company’s loan portfolio are primarily well-secured jumbo mortgages and branch-originated first lien home equity loans to borrowers with high credit quality. The Company generally retains portfolio loans through maturity; however, the Company’s intent may change over time based upon various factors such as ongoing asset/liability management activities, assessment of product profitability, credit risk, liquidity needs, and capital implications. If the Company’s intent or ability to hold an existing portfolio loan changes, the loan is transferred to loans held for sale.

Credit card loans decreased $163 million (.9 percent) at September 30, 2014, compared with December 31, 2013, primarily the result of customers paying down balances.

Loans Held for Sale Loans held for sale, consisting primarily of residential mortgages to be sold in the secondary market, were $3.9 billion at September 30, 2014, compared with $3.3 billion at December 31, 2013. The increase in loans held for sale was principally due to the higher level of mortgage loan closings.

Almost all of the residential mortgage loans the Company originates or purchases for sale follow guidelines that allow the loans to be sold into existing, highly liquid secondary markets; in particular in government agency transactions and to government-sponsored enterprises (“GSEs”).

Investment Securities Investment securities totaled $96.9 billion at September 30, 2014, compared with $79.9 billion at December 31, 2013. The $17.0 billion (21.4 percent) increase reflected $16.6 billion of net investment purchases, primarily U.S. government agency-backed securities in preparation for final liquidity coverage ratio regulatory requirements, and a

6 U.S. Bancorp

 Table 4  Investment Securities

	Available-for-Sale									Held-to-Maturity
At September 30, 2014 (Dollars in Millions)	Amortized Cost		Fair Value		Weighted- Average Maturity in Years		Weighted- Average Yield (e)			Amortized Cost		Fair Value		Weighted- Average Maturity in Years		Weighted- Average Yield (e)
U.S. Treasury and Agencies
Maturing in one year or less	$	27	$	27		.3		4.17	%	$	80	$	81		.7		1.36	%
Maturing after one year through five years		1,385		1,387		3.7		1.39			1,096		1,096		3.9		1.42
Maturing after five years through ten years		1,179		1,163		8.1		2.83			1,445		1,412		7.8		2.20
Maturing after ten years		101		101		18.5		1.38			58		58		10.8		1.73
Total	$	2,692	$	2,678		6.1		2.05	%	$	2,679	$	2,647		6.1		1.85	%
Mortgage-Backed Securities(a)
Maturing in one year or less	$	565	$	573		.7		1.81	%	$	120	$	120		.8		1.16	%
Maturing after one year through five years		24,490		24,625		3.8		2.02			28,283		28,200		3.6		2.12
Maturing after five years through ten years		16,133		16,121		5.7		1.62			12,674		12,640		5.6		1.55
Maturing after ten years		1,355		1,350		12.5		1.21			343		346		12.7		1.17
Total	$	42,543	$	42,669		4.8		1.84	%	$	41,420	$	41,306		4.3		1.94	%
Asset-Backed Securities(a)
Maturing in one year or less	$	–	$	–		–		–	%	$	1	$	1		.7		.78	%
Maturing after one year through five years		271		281		3.5		2.32			6		9		2.9		.89
Maturing after five years through ten years		357		364		7.0		2.15			7		8		6.3		.81
Maturing after ten years		–		–		–		–			–		7		15.5		.88
Total	$	628	$	645		5.5		2.23	%	$	14	$	25		4.8		.84	%
Obligations of State and Political Subdivisions(b)(c)
Maturing in one year or less	$	724	$	742		.6		6.66	%	$	–	$	–		.4		11.64	%
Maturing after one year through five years		4,121		4,334		2.3		6.79			2		2		2.2		8.31
Maturing after five years through ten years		448		453		6.9		4.76			1		1		7.4		8.14
Maturing after ten years		34		34		18.0		5.06			7		7		11.4		2.51
Total	$	5,327	$	5,563		2.5		6.59	%	$	10	$	10		9.0		4.54	%
Other Debt Securities
Maturing in one year or less	$	6	$	6		.4		1.01	%	$	2	$	2		–		1.78	%
Maturing after one year through five years		–		–		–		–			82		82		1.2		1.13
Maturing after five years through ten years		–		–		–		–			24		22		6.1		.97
Maturing after ten years		690		639		18.7		2.47			–		–		–		–
Total	$	696	$	645		18.6		2.45	%	$	108	$	106		2.2		1.11	%
Other Investments	$	428	$	474		14.4		2.30	%	$	–	$	–		–		–	%
Total investment securities (d)	$	52,314	$	52,674		4.9		2.35	%	$	44,231	$	44,094		4.4		1.93	%

(a) Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities anticipating future prepayments.

(b) Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, yield to maturity if purchased at par or a discount.

(c) Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and contractual maturity for securities with a fair value equal to or below par.

(d) The weighted-average maturity of the available-for-sale investment securities was 6.0 years at December 31, 2013, with a corresponding weighted-average yield of 2.64 percent. The weighted-average maturity of the held-to-maturity investment securities was 4.5 years at December 31, 2013, with a corresponding weighted-average yield of 2.00 percent.

(e) Average yields are presented on a fully-taxable equivalent basis under a tax rate of 35 percent. Yields on available-for-sale and held-to-maturity investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale to held-to-maturity. Average yield and maturity calculations exclude equity securities that have no stated yield or maturity.

	September 30, 2014					December 31, 2013
(Dollars in Millions)	Amortized Cost		Percent of Total			Amortized Cost		Percent of Total
U.S. Treasury and agencies	$	5,371		5.5	%	$	4,222		5.3	%
Mortgage-backed securities		83,963		87.0			68,236		85.3
Asset-backed securities		642		.7			652		.8
Obligations of state and political subdivisions		5,337		5.5			5,685		7.1
Other debt securities and investments		1,232		1.3			1,184		1.5
Total investment securities	$	96,545		100.0	%	$	79,979		100.0	%

$485 million favorable change in net unrealized gains (losses) on available-for-sale investment securities.

The Company’s available-for-sale securities are carried at fair value with changes in fair value reflected in other comprehensive income (loss) unless a security is deemed to be other-than-temporarily impaired. At September 30, 2014, the Company’s net unrealized gains on available-for-sale securities were $360 million, compared with net unrealized losses of $125 million at December 31, 2013. The favorable change in net unrealized gains (losses) was primarily due to increases in the fair value of agency mortgage-backed and state and

U.S. Bancorp 7

political securities as a result of decreases in interest rates and changes in credit spreads. Gross unrealized losses on available-for-sale securities totaled $513 million at September 30, 2014, compared with $775 million at December 31, 2013. At September 30, 2014, the Company had no plans to sell securities with unrealized losses, and believes it is more likely than not that it would not be required to sell such securities before recovery of their amortized cost.

In December 2013, U.S. banking regulators approved final rules that prohibit banks from holding certain types of investments, such as investments in hedge and private equity funds. The Company does not anticipate the implementation of these final rules will require any significant liquidation of securities held or impairment charges. Refer to Notes 4 and 15 in the Notes to Consolidated Financial Statements for further information on investment securities.

Deposits Total deposits were $273.1 billion at September 30, 2014, compared with $262.1 billion at December 31, 2013, the result of increases in total savings deposits, noninterest-bearing deposits and time deposits greater than $100,000, including the Charter One acquisition, partially offset by a decrease in time deposits less than $100,000. Money market deposit balances increased $6.1 billion (10.3 percent) at September 30, 2014, compared with December 31, 2013, primarily due to higher corporate trust, Wholesale Banking and Commercial Real Estate, and Consumer and Small Business Banking balances, including the Charter One acquisition. Savings account balances increased $2.2 billion (6.7 percent), primarily due to continued strong participation in a savings product offered by Consumer and Small Business Banking. Interest checking balances increased $1.5 billion (2.8 percent) primarily due to higher Wholesale Banking and Commercial Real Estate, and Consumer and Small Business Banking balances, including the Charter One acquisition, partially offset by lower corporate trust and broker-dealer balances. Noninterest-bearing deposits increased $1.7 billion (2.2 percent) at September 30, 2014, compared with December 31, 2013, primarily due to higher Consumer and Small Business Banking balances, including the Charter One acquisition. Time deposits greater than $100,000 increased $369 million (1.3 percent) at September 30, 2014, compared with December 31, 2013. Time deposits greater than $100,000 are managed as an alternative to other funding sources such as wholesale borrowing, based largely on relative pricing and liquidity characteristics. Time deposits less than $100,000 decreased $876 million (7.4 percent) at September 30, 2014, compared with December 31, 2013, primarily due to maturities.

Borrowings The Company utilizes both short-term and long-term borrowings as part of its asset/liability management and funding strategies. Short-term borrowings, which include federal funds purchased, commercial paper, repurchase agreements, borrowings secured by high-grade assets and other short-term borrowings, were $30.0 billion at September 30, 2014, compared with $27.6 billion at December 31, 2013. The $2.4 billion (8.8 percent) increase in short-term borrowings was primarily due to higher commercial paper and other short-term borrowings balances, partially offset by lower repurchase agreement balances. Long-term debt was $30.8 billion at September 30, 2014, compared with $20.0 billion at December 31, 2013. The $10.8 billion (53.5 percent) increase was primarily due to the issuances of $7.6 billion of bank notes, $2.3 billion of medium-term notes and $1.0 billion of subordinated notes, and a $1.8 billion increase in Federal Home Loan Bank advances, partially offset by $1.0 billion of subordinated note and $1.0 billion of medium-term note maturities. These increases in borrowings were used to fund the Company’s loan growth and securities purchases. Refer to the “Liquidity Risk Management” section for discussion of liquidity management of the Company.

CORPORATE RISK PROFILE

Overview Managing risks is an essential part of successfully operating a financial services company. The Company’s Board of Directors has approved a risk management framework which establishes governance and risk management requirements for all risk-taking activities. This framework includes Company and business line risk appetite statements which set boundaries for the types and amount of risk that may be undertaken in pursuing business objectives and initiatives. The Board of Directors, through its Risk Management Committee, oversees performance relative to the risk management framework, risk appetite statements, and other policy requirements.

The Executive Risk Management Committee (“ERC”), which is comprised of senior management and chaired by the Chief Risk Officer, oversees execution against the risk management framework and risk appetite statements. The ERC focuses on current and emerging risks, including strategic and reputational risks, directing timely and comprehensive actions. Senior operating committees have also been established, each responsible for overseeing a specified category of risk.

The Company’s most prominent risk exposures are credit, residual value, interest rate, market, liquidity, operational, compliance, strategic, and reputational. Credit risk is the risk of not collecting the interest and/or the

8 U.S. Bancorp

principal balance of a loan, investment or derivative contract when it is due. Residual value risk is the potential reduction in the end-of-term value of leased assets. Interest rate risk is the potential reduction of net interest income as a result of changes in interest rates, which can affect the re-pricing of assets and liabilities differently. Market risk arises from fluctuations in interest rates, foreign exchange rates, and security prices that may result in changes in the values of financial instruments, such as trading and available-for-sale securities, mortgage loans held for sale, MSRs and derivatives that are accounted for on a fair value basis. Liquidity risk is the possible inability to fund obligations to depositors, investors, or borrowers. Operational risk is the risk of loss resulting from inadequate or failed internal processes, people, or systems, or from external events, including the risk of loss resulting from breaches in data security. Compliance risk is the risk that customers may suffer economic loss or other injury, and/or that the Company may suffer regulatory sanctions, material financial loss, or loss to reputation through failure to comply with laws, regulations, rules, standards of good practice, and codes of conduct. Strategic risk is the risk to earnings or capital arising from adverse business decisions or improper implementation of those decisions. Reputational risk is the potential that negative publicity or press regarding the Company’s business practices or products, whether true or not, will cause a decline in the customer base, costly litigation, or revenue reductions. In addition to the risks identified above, other risk factors exist that may impact the Company. Refer to “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for a detailed discussion of these factors.

The Company’s Board and management-level governance committees are supported by a “three lines of defense” model for establishing effective checks and balances. The first line of defense, the business lines, manages risks in conformity with established limits and policy requirements. In turn, business leaders and their risk officers establish programs to ensure conformity with these limits and policy requirements. The second line of defense, which includes the Chief Risk Officer’s organization as well as policy and oversight activities of corporate support functions, translates risk appetite and strategy into actionable risk limits and policies. The second line of defense monitors first line of defense conformity with limits and policies, and provides reporting and escalation of emerging risks and other concerns to senior management and the Risk Management Committee of the Board of Directors. The third line of defense, internal audit, is responsible for providing the Audit Committee of the Board of Directors and senior management with independent assessment and assurance regarding the effectiveness of the Company’s governance, risk management, and control processes.

Management provides various risk reports to the Risk Management Committee of the Board of Directors. The Risk Management Committee discusses with management the Company’s risk management performance, and provides a summary of key risks to the entire Board of Directors, covering the status of existing matters, areas of potential future concern, and specific information on certain types of loss events. The discussion also covers quarterly reports by management assessing the Company’s performance relative to the risk appetite statements and the associated risk limits, including:

• Qualitative considerations, such as the macroeconomic environment, regulatory and compliance changes, litigation developments, and technology and cybersecurity;

• Capital ratios and projections, including regulatory measures and stressed scenarios;

• Credit measures, including adversely rated and nonperforming loans, leveraged transactions, credit concentrations and lending limits;

• Interest rate and market risk, including market value and net income simulation, and trading-related Value at Risk;

• Liquidity risk, including funding projections under various stressed scenarios;

• Operational, compliance and strategic risk, including losses stemming from events such as fraud, processing errors, control breaches, breaches in data security, or adverse business decisions, as well as reporting on technology performance, and various legal and regulatory compliance measures; and

• Reputational risk considerations, impacts and responses.

Credit Risk Management The Company’s strategy for credit risk management includes well-defined, centralized credit policies, uniform underwriting criteria, and ongoing risk monitoring and review processes for all commercial and consumer credit exposures. In evaluating its credit risk, the Company considers changes, if any, in underwriting activities, the loan portfolio composition (including product mix and geographic, industry or customer-specific concentrations), trends in loan performance, the level of allowance coverage relative to similar banking institutions and macroeconomic factors, such as changes in unemployment rates, gross domestic product and consumer bankruptcy filings. The Risk Management Committee oversees the Company’s credit risk management process.

In addition, credit quality ratings, as defined by the Company, are an important part of the Company’s overall credit risk management and evaluation of its

U.S. Bancorp 9

allowance for credit losses. Loans with a pass rating represent those loans not classified on the Company’s rating scale for problem credits, as minimal risk has been identified. Loans with a special mention or classified rating, including all of the Company’s loans that are 90 days or more past due and still accruing, nonaccrual loans, loans considered troubled debt restructurings (“TDRs”), and loans in a junior lien position that are current but are behind a modified or delinquent loan in a first lien position, encompass all loans held by the Company that it considers to have a potential or well-defined weakness that may put full collection of contractual cash flows at risk. The Company’s internal credit quality ratings for consumer loans are primarily based on delinquency and nonperforming status, except for a limited population of larger loans within those portfolios that are individually evaluated. For this limited population, the determination of the internal credit quality rating may also consider collateral value and customer cash flows. The Company obtains recent collateral value estimates for the majority of its residential mortgage and home equity and second mortgage portfolios, which allows the Company to compute estimated loan-to-value (“LTV”) ratios reflecting current market conditions. These individual refreshed LTV ratios are considered in the determination of the appropriate allowance for credit losses. However, the underwriting criteria the Company employs consider the relevant income and credit characteristics of the borrower, such that the collateral is not the primary source of repayment. Refer to Note 5 in the Notes to Consolidated Financial Statements for further discussion of the Company’s loan portfolios including internal credit quality ratings. In addition, refer to “Management’s Discussion and Analysis — Credit Risk Management” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for a more detailed discussion on credit risk management processes.

The Company manages its credit risk, in part, through diversification of its loan portfolio and limit setting by product type criteria and concentrations. As part of its normal business activities, the Company offers a broad array of lending products. The Company categorizes its loan portfolio into three segments, which is the level at which it develops and documents a systematic methodology to determine the allowance for credit losses. The Company’s three loan portfolio segments are commercial lending, consumer lending and covered loans. The commercial lending segment includes loans and leases made to small business, middle market, large corporate, commercial real estate, financial institution, non-profit and public sector customers. Key risk characteristics relevant to commercial lending segment loans include the industry and geography of the borrower’s business, purpose of the loan, repayment source, borrower’s debt capacity and financial flexibility, loan covenants, and nature of pledged collateral, if any. These risk characteristics, among others, are considered in determining estimates about the likelihood of default by the borrowers and the severity of loss in the event of default. The Company considers these risk characteristics in assigning internal risk ratings to, or forecasting losses on, these loans which are the significant factors in determining the allowance for credit losses for loans in the commercial lending segment.

The consumer lending segment represents loans and leases made to consumer customers including residential mortgages, credit card loans, and other retail loans such as revolving consumer lines, auto loans and leases, student loans, and home equity loans and lines. Home equity or second mortgage loans are junior lien closed-end accounts fully disbursed at origination. These loans typically are fixed rate loans, secured by residential real estate, with a 10- or 15-year fixed payment amortization schedule. Home equity lines are revolving accounts giving the borrower the ability to draw and repay balances repeatedly, up to a maximum commitment, and are secured by residential real estate. These include accounts in either a first or junior lien position. Typical terms on home equity lines in the portfolio are variable rates benchmarked to the prime rate, with a 15-year draw period during which a minimum payment is equivalent to the monthly interest, followed by a 10-year amortization period. A 10-year draw and 20-year amortization product was introduced during 2013 to provide customers the option to repay their outstanding balances over a longer period. At September 30, 2014, substantially all of the Company’s home equity lines were in the draw period. Key risk characteristics relevant to consumer lending segment loans primarily relate to the borrowers’ capacity and willingness to repay and include unemployment rates and other economic factors, customer payment history and in some cases, updated LTV information on real estate based loans. These risk characteristics, among others, are reflected in forecasts of delinquency levels, bankruptcies and losses which are the primary factors in determining the allowance for credit losses for the consumer lending segment.

The covered loan segment represents loans acquired in FDIC-assisted transactions that are covered by loss sharing agreements with the FDIC that greatly reduce the risk of future credit losses to the Company. Key risk characteristics for covered segment loans are consistent with the segment they would otherwise be included in had the loss share coverage not been in place, but consider the indemnification provided by the FDIC.

10 U.S. Bancorp

The Company further disaggregates its loan portfolio segments into various classes based on their underlying risk characteristics. The two classes within the commercial lending segment are commercial loans and commercial real estate loans. The three classes within the consumer lending segment are residential mortgages, credit card loans and other retail loans. The covered loan segment consists of only one class.

The Company’s consumer lending segment utilizes several distinct business processes and channels to originate consumer credit, including traditional branch lending, indirect lending, portfolio acquisitions, correspondent banks and loan brokers. Each distinct underwriting and origination activity manages unique credit risk characteristics and prices its loan production commensurate with the differing risk profiles.

Residential mortgages are originated through the Company’s branches, loan production offices and a wholesale network of originators. The Company may retain residential mortgage loans it originates on its balance sheet or sell the loans into the secondary market while retaining the servicing rights and customer relationships. Utilizing the secondary markets enables the Company to effectively reduce its credit and other asset/liability risks. For residential mortgages that are retained in the Company’s portfolio and for home equity and second mortgages, credit risk is also diversified by geography and managed by adherence to LTV and borrower credit criteria during the underwriting process.

The Company estimates updated LTV information quarterly, based on a method that combines automated valuation model updates and relevant home price indices. LTV is the ratio of the loan’s outstanding principal balance to the current estimate of property value. For home equity and second mortgages, combined loan-to-value (“CLTV”) is the combination of the first mortgage original principal balance and the second lien outstanding principal balance, relative to the current estimate of property value. Certain loans do not have a LTV or CLTV, primarily due to lack of availability of relevant automated valuation model and/or home price indices values, or lack of necessary valuation data on acquired loans.

The following tables provide summary information for the LTVs of residential mortgages and home equity and second mortgages by borrower type at September 30, 2014:

Residential mortgages (Dollars in Millions)	Interest Only		Amortizing		Total		Percent of Total
Prime Borrowers
Less than or equal to 80%	$	1,880	$	37,335	$	39,215		88.3	%
Over 80% through 90%		172		2,450		2,622		5.9
Over 90% through 100%		133		1,020		1,153		2.6
Over 100%		187		1,156		1,343		3.0
No LTV available		–		98		98		.2
Total	$	2,372	$	42,059	$	44,431		100.0	%
Sub-Prime Borrowers
Less than or equal to 80%	$	–	$	610	$	610		48.1	%
Over 80% through 90%		–		202		202		15.9
Over 90% through 100%		–		173		173		13.6
Over 100%		–		284		284		22.4
No LTV available		–		–		–		–
Total	$	–	$	1,269	$	1,269		100.0	%
Other Borrowers
Less than or equal to 80%	$	5	$	459	$	464		55.5	%
Over 80% through 90%		–		153		153		18.3
Over 90% through 100%		–		66		66		7.9
Over 100%		–		153		153		18.3
No LTV available		–		–		–		–
Total	$	5	$	831	$	836		100.0	%
Loans Purchased From GNMA Mortgage Pools (a)	$	–	$	5,421	$	5,421		100.0	%
Total
Less than or equal to 80%	$	1,885	$	38,404	$	40,289		77.6	%
Over 80% through 90%		172		2,805		2,977		5.7
Over 90% through 100%		133		1,259		1,392		2.7
Over 100%		187		1,593		1,780		3.4
No LTV available		–		98		98		.2
Loans purchased from GNMA mortgage pools (a)		–		5,421		5,421		10.4
Total	$	2,377	$	49,580	$	51,957		100.0	%

(a) Represents loans purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose payments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

Home equity and second mortgages (Dollars in Millions)	Lines		Loans		Total		Percent of Total
Prime Borrowers
Less than or equal to 80%	$	9,466	$	715	$	10,181		67.8	%
Over 80% through 90%		2,027		227		2,254		15.0
Over 90% through 100%		901		103		1,004		6.7
Over 100%		1,206		113		1,319		8.8
No LTV/CLTV available		226		34		260		1.7
Total	$	13,826	$	1,192	$	15,018		100.0	%
Sub-Prime Borrowers
Less than or equal to 80%	$	38	$	31	$	69		27.5	%
Over 80% through 90%		12		23		35		14.0
Over 90% through 100%		10		28		38		15.1
Over 100%		27		79		106		42.2
No LTV/CLTV available		–		3		3		1.2
Total	$	87	$	164	$	251		100.0	%
Other Borrowers
Less than or equal to 80%	$	378	$	13	$	391		78.2	%
Over 80% through 90%		66		7		73		14.6
Over 90% through 100%		14		1		15		3.0
Over 100%		16		3		19		3.8
No LTV/CLTV available		2		–		2		.4
Total	$	476	$	24	$	500		100.0	%
Total
Less than or equal to 80%	$	9,882	$	759	$	10,641		67.5	%
Over 80% through 90%		2,105		257		2,362		15.0
Over 90% through 100%		925		132		1,057		6.7
Over 100%		1,249		195		1,444		9.1
No LTV/CLTV available		228		37		265		1.7
Total	$	14,389	$	1,380	$	15,769		100.0	%

U.S. Bancorp 11

At September 30, 2014, approximately $1.3 billion of residential mortgages were to customers that may be defined as sub-prime borrowers based on credit scores from independent agencies at loan origination, compared with $1.4 billion at December 31, 2013. In addition to residential mortgages, at September 30, 2014, $.3 billion of home equity and second mortgage loans were to customers that may be defined as sub-prime borrowers, unchanged from December 31, 2013. The total amount of consumer lending segment residential mortgage, home equity and second mortgage loans to customers that may be defined as sub-prime borrowers represented only .4 percent of total assets at September 30, 2014, compared with .5 percent at December 31, 2013. The Company considers sub-prime loans to be those made to borrowers with a risk of default significantly higher than those approved for prime lending programs, as reflected in credit scores obtained from independent agencies at loan origination, in addition to other credit underwriting criteria. Sub-prime portfolios include only loans originated according to the Company’s underwriting programs specifically designed to serve customers with weakened credit histories. The sub-prime designation indicators have been and will continue to be subject to re-evaluation over time as borrower characteristics, payment performance and economic conditions change. The sub-prime loans originated during periods from June 2009 and after are with borrowers who met the Company’s program guidelines and have a credit score that generally is at or below a threshold of 620 to 650 depending on the program. Sub-prime loans originated during periods prior to June 2009 were based upon program level guidelines without regard to credit score.

Covered loans included $880 million in loans with negative-amortization payment options at September 30, 2014, compared with $986 million at December 31, 2013. Other than covered loans, the Company does not have any residential mortgages with payment schedules that would cause balances to increase over time.

Home equity and second mortgages were $15.8 billion at September 30, 2014, compared with $15.4 billion at December 31, 2013, and included $5.0 billion of home equity lines in a first lien position and $10.8 billion of home equity and second mortgage loans and lines in a junior lien position. Loans and lines in a junior lien position at September 30, 2014, included approximately $4.1 billion of loans and lines for which the Company also serviced the related first lien loan, and approximately $6.7 billion where the Company did not service the related first lien loan. The Company was able to determine the status of the related first liens using information the Company has as the servicer of the first lien or information reported on customer credit bureau files. The Company also evaluates other indicators of credit risk for these junior lien loans and lines including delinquency, estimated average CLTV ratios and updated weighted-average credit scores in making its assessment of credit risk, related loss estimates and determining the allowance for credit losses.

The following table provides a summary of delinquency statistics and other credit quality indicators

for the Company’s junior lien positions at September 30, 2014:

	Junior Liens Behind
	Company Owned or Serviced			Third Party
(Dollars in Millions)	First Lien			First Lien			Total
Total	$	4,070		$	6,739		$	10,809
Percent 30-89 days past due		.44	%		.58	%		.53	%
Percent 90 days or more past due		.09	%		.13	%		.11	%
Weighted-average CLTV		76	%		74	%		75	%
Weighted-average credit score		749			743			745

See the Analysis and Determination of the Allowance for Credit Losses section for additional information on how the Company determines the allowance for credit losses for loans in a junior lien position.

12 U.S. Bancorp

 Table 5  Delinquent Loan Ratios as a Percent of Ending Loan Balances

90 days or more past due excluding nonperforming loans	September 30, 2014			December 31, 2013
Commercial
Commercial		.05	%		.08	%
Lease financing		–			–
Total commercial		.05			.08
Commercial Real Estate
Commercial mortgages		.01			.02
Construction and development		.11			.30
Total commercial real estate		.03			.07
Residential Mortgages (a)		.41			.65
Credit Card		1.10			1.17
Other Retail
Retail leasing		.02			–
Other		.17			.21
Total other retail (b)		.16			.18
Total loans, excluding covered loans		.22			.31
Covered Loans		6.10			5.63
Total loans		.39	%		.51	%
90 days or more past due including nonperforming loans	September 30, 2014			December 31, 2013
Commercial		.27	%		.27	%
Commercial real estate		.62			.83
Residential mortgages (a)		2.02			2.16
Credit card		1.32			1.60
Other retail (b)		.53			.58
Total loans, excluding covered loans		.84			.97
Covered loans		7.34			7.13
Total loans		1.03	%		1.19	%

(a) Delinquent loan ratios exclude $3.1 billion at September 30, 2014, and $3.7 billion at December 31, 2013, of loans purchased from GNMA mortgage pools whose repayments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs. Including these loans, the ratio of residential mortgages 90 days or more past due including all nonperforming loans was 7.91 percent at September 30, 2014, and 9.34 percent at December 31, 2013.

(b) Delinquent loan ratios exclude student loans that are guaranteed by the federal government. Including these loans, the ratio of total other retail loans 90 days or more past due including all nonperforming loans was .84 percent at September 30, 2014, and .93 percent at December 31, 2013.

Loan Delinquencies Trends in delinquency ratios are an indicator, among other considerations, of credit risk within the Company’s loan portfolios. The Company measures delinquencies, both including and excluding nonperforming loans, to enable comparability with other companies. Accruing loans 90 days or more past due totaled $962 million ($532 million excluding covered loans) at September 30, 2014, compared with $1.2 billion ($713 million excluding covered loans) at December 31, 2013. These balances exclude loans purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs. Accruing loans 90 days or more past due are not included in nonperforming assets and continue to accrue interest because they are adequately secured by collateral, are in the process of collection and are reasonably expected to result in repayment or restoration to current status, or are managed in homogeneous portfolios with specified charge-off timeframes adhering to regulatory guidelines. The ratio of accruing loans 90 days or more past due to total loans was .39 percent (.22 percent excluding covered loans) at September 30, 2014, compared with .51 percent (.31 percent excluding covered loans) at December 31, 2013.

U.S. Bancorp 13

The following table provides summary delinquency information for residential mortgages, credit card and other retail loans included in the consumer lending segment:

	Amount				As a Percent of Ending Loan Balances
(Dollars in Millions)	September 30, 2014		December 31, 2013		September 30, 2014			December 31, 2013
Residential Mortgages (a)
30-89 days	$	243	$	358		.46	%		.70	%
90 days or more		211		333		.41			.65
Nonperforming		841		770		1.62			1.51
Total	$	1,295	$	1,461		2.49	%		2.86	%
Credit Card
30-89 days	$	219	$	226		1.23	%		1.25	%
90 days or more		196		210		1.10			1.17
Nonperforming		40		78		.22			.43
Total	$	455	$	514		2.55	%		2.85	%
Other Retail
Retail Leasing
30-89 days	$	9	$	11		.14	%		.18	%
90 days or more		1		–		.02			–
Nonperforming		1		1		.02			.02
Total	$	11	$	12		.18	%		.20	%
Home Equity and Second Mortgages
30-89 days	$	80	$	102		.51	%		.66	%
90 days or more		41		49		.26			.32
Nonperforming		166		167		1.05			1.08
Total	$	287	$	318		1.82	%		2.06	%
Other (b)
30-89 days	$	133	$	132		.49	%		.50	%
90 days or more		34		37		.13			.14
Nonperforming		17		23		.06			.09
Total	$	184	$	192		.68	%		.73	%

(a) Excludes $422 million of loans 30-89 days past due and $3.1 billion of loans 90 days or more past due at September 30, 2014, purchased from GNMA mortgage pools that continue to accrue interest, compared with $440 million and $3.7 billion at December 31, 2013, respectively.

(b) Includes revolving credit, installment, automobile and student loans.

The following tables provide further information on residential mortgages and home equity and second mortgages as a percent of ending loan balances by borrower type:

Residential mortgages (a)	September 30, 2014			December 31, 2013
Prime Borrowers
30-89 days		.39	%		.55	%
90 days or more		.34			.55
Nonperforming		1.38			1.31
Total		2.11	%		2.41	%
Sub-Prime Borrowers
30-89 days		4.65	%		7.60	%
90 days or more		3.70			6.02
Nonperforming		16.08			13.19
Total		24.43	%		26.81	%
Other Borrowers
30-89 days		1.20	%		1.65	%
90 days or more		1.31			1.43
Nonperforming		3.11			2.09
Total		5.62	%		5.17	%

(a) Excludes delinquent and nonperforming information on loans purchased from GNMA mortgage pools as their repayments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

Home equity and second mortgages	September 30, 2014			December 31, 2013
Prime Borrowers
30-89 days		.43	%		.57	%
90 days or more		.24			.27
Nonperforming		.94			.98
Total		1.61	%		1.82	%
Sub-Prime Borrowers
30-89 days		3.59	%		4.39	%
90 days or more		1.19			2.03
Nonperforming		5.58			4.73
Total		10.36	%		11.15	%
Other Borrowers
30-89 days		1.20	%		1.24	%
90 days or more		.40			.62
Nonperforming		2.20			1.86
Total		3.80	%		3.72	%

14 U.S. Bancorp

The following table provides summary delinquency information for covered loans:

	Amount				As a Percent of Ending Loan Balances
(Dollars in Millions)	September 30, 2014		December 31, 2013		September 30, 2014			December 31, 2013
30-89 days	$	102	$	166		1.44	%		1.96	%
90 days or more		430		476		6.10			5.63
Nonperforming		88		127		1.25			1.50
Total	$	620	$	769		8.79	%		9.09	%

Restructured Loans In certain circumstances, the Company may modify the terms of a loan to maximize the collection of amounts due when a borrower is experiencing financial difficulties or is expected to experience difficulties in the near-term. In most cases the modification is either a concessionary reduction in interest rate, extension of the maturity date or reduction in the principal balance that would otherwise not be considered.

Troubled Debt Restructurings Concessionary modifications are classified as TDRs unless the modification results in only an insignificant delay in the payments to be received. TDRs accrue interest if the borrower complies with the revised terms and conditions and has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. At September 30, 2014, performing TDRs were $5.5 billion, compared with $6.0 billion at December 31, 2013. Loans classified as TDRs are considered impaired loans for reporting and measurement purposes.

The Company continues to work with customers to modify loans for borrowers who are experiencing financial difficulties, including those acquired through FDIC-assisted acquisitions. Many of the Company’s TDRs are determined on a case-by-case basis in connection with ongoing loan collection processes. The modifications vary within each of the Company’s loan classes. Commercial lending segment TDRs generally include extensions of the maturity date and may be accompanied by an increase or decrease to the interest rate. The Company may also work with the borrower to make other changes to the loan to mitigate losses, such as obtaining additional collateral and/or guarantees to support the loan.

The Company has also implemented certain residential mortgage loan restructuring programs that may result in TDRs. The Company participates in the U.S. Department of the Treasury Home Affordable Modification Program (“HAMP”). HAMP gives qualifying homeowners an opportunity to permanently modify their loan and achieve more affordable monthly payments, with the U.S. Department of the Treasury compensating the Company for a portion of the reduction in monthly amounts due from borrowers participating in this program. The Company also modifies residential mortgage loans under Federal Housing Administration, Department of Veterans Affairs, and its own internal programs. Under these programs, the Company provides concessions to qualifying borrowers experiencing financial difficulties. The concessions may include adjustments to interest rates, conversion of adjustable rates to fixed rates, extensions of maturity dates or deferrals of payments, capitalization of accrued interest and/or outstanding advances, or in limited situations, partial forgiveness of loan principal. In most instances, participation in residential mortgage loan restructuring programs requires the customer to complete a short-term trial period. A permanent loan modification is contingent on the customer successfully completing the trial period arrangement and the loan documents are not modified until that time. The Company reports loans in a trial period arrangement as TDRs.

Credit card and other retail loan modifications are generally part of distinct restructuring programs providing customers modification solutions over a specified time period, generally up to 60 months.

In accordance with regulatory guidance, the Company considers secured consumer loans that have had debt discharged through bankruptcy where the borrower has not reaffirmed the debt to be TDRs. If the loan amount exceeds the collateral value, the loan is charged down to collateral value and the remaining amount is reported as nonperforming.

Modifications to loans in the covered segment are similar in nature to that described above for non-covered loans, and the evaluation and determination of TDR status is similar, except that acquired loans restructured after acquisition are not considered TDRs for purposes of the Company’s accounting and disclosure if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools. Losses associated with modifications on covered loans, including the economic impact of interest rate reductions, are generally eligible for reimbursement under the loss sharing agreements.

U.S. Bancorp 15

The following table provides a summary of TDRs by loan class, including the delinquency status for TDRs that continue to accrue interest and TDRs included in nonperforming assets:

			As a Percent of Performing TDRs
At September 30, 2014 (Dollars in Millions)	Performing TDRs		30-89 Days Past Due			90 Days or More Past Due			Nonperforming TDRs			Total TDRs
Commercial	$	235		1.5	%		1.6	%	$	92	(a)	$	327
Commercial real estate		284		1.3			.6			95	(b)		379
Residential mortgages		1,899		4.7			4.7			539			2,438	(d)
Credit card		216		8.9			6.6			40	(c)		256
Other retail		184		6.2			4.7			64	(c)		248	(e)
TDRs, excluding GNMA and covered loans		2,818		4.5			4.2			830			3,648
Loans purchased from GNMA mortgage pools		2,478		8.1			53.8			–			2,478	(f)
Covered loans		207		7.8			1.6			38			245
Total	$	5,503		6.3	%		26.4	%	$	868		$	6,371

(a) Primarily represents loans less than six months from the modification date that have not met the performance period required to return to accrual status (generally six months) and small business credit cards with a modified rate equal to 0 percent.

(b) Primarily represents loans less than six months from the modification date that have not met the performance period required to return to accrual status (generally six months).

(c) Primarily represents loans with a modified rate equal to 0 percent.

(d) Includes $318 million of residential mortgage loans to borrowers that have had debt discharged through bankruptcy and $99 million in trial period arrangements or previously placed in trial period arrangements but not successfully completed.

(e) Includes $140 million of other retail loans to borrowers that have had debt discharged through bankruptcy and $6 million in trial period arrangements or previously placed in trial period arrangements but not successfully completed.

(f) Includes $492 million of Federal Housing Administration and Department of Veterans Affairs residential mortgage loans to borrowers that have had debt discharged through bankruptcy and $665 million in trial period arrangements or previously placed in trial period arrangements but not successfully completed.

Short-term Modifications The Company makes short-term modifications that it does not consider to be TDRs, in limited circumstances, to assist borrowers experiencing temporary hardships. Consumer lending programs include payment reductions, deferrals of up to three past due payments, and the ability to return to current status if the borrower makes required payments. The Company may also make short-term modifications to commercial lending loans, with the most common modification being an extension of the maturity date of three months or less. Such extensions generally are used when the maturity date is imminent and the borrower is experiencing some level of financial stress, but the Company believes the borrower will pay all contractual amounts owed. Short-term modified loans were not material at September 30, 2014.

16 U.S. Bancorp

 Table 6  Nonperforming Assets (a)

(Dollars in Millions)	September 30, 2014			December 31, 2013
Commercial
Commercial	$	161		$	122
Lease financing		12			12
Total commercial		173			134
Commercial Real Estate
Commercial mortgages		147			182
Construction and development		94			121
Total commercial real estate		241			303
Residential Mortgages (b)		841			770
Credit Card		40			78
Other Retail
Retail leasing		1			1
Other		183			190
Total other retail		184			191
Total nonperforming loans, excluding covered loans		1,479			1,476
Covered Loans		88			127
Total nonperforming loans		1,567			1,603
Other Real Estate (c)(d)		275			327
Covered Other Real Estate (d)		72			97
Other Assets		9			10
Total nonperforming assets	$	1,923		$	2,037
Total nonperforming assets, excluding covered assets	$	1,763		$	1,813
Excluding covered assets
Accruing loans 90 days or more past due (b)	$	532		$	713
Nonperforming loans to total loans		.62	%		.65	%
Nonperforming assets to total loans plus other real estate (c)		.74	%		.80	%
Including covered assets
Accruing loans 90 days or more past due (b)	$	962		$	1,189
Nonperforming loans to total loans		.64	%		.68	%
Nonperforming assets to total loans plus other real estate (c)		.78	%		.86	%

Changes in Nonperforming Assets

(Dollars in Millions)	Commercial and Commercial Real Estate			Credit Card, Other Retail and Residential Mortgages			Covered Assets			Total
Balance December 31, 2013	$	494		$	1,319		$	224		$	2,037
Additions to nonperforming assets
New nonaccrual loans and foreclosed properties		362			512			55			929
Advances on loans		42			–			–			42
Total additions		404			512			55			971
Reductions in nonperforming assets
Paydowns, payoffs		(145	)		(199	)		(69	)		(413	)
Net sales		(104	)		(93	)		(47	)		(244	)
Return to performing status		(18	)		(100	)		(2	)		(120	)
Charge-offs (e)		(174	)		(133	)		(1	)		(308	)
Total reductions		(441	)		(525	)		(119	)		(1,085	)
Net additions to (reductions in) nonperforming assets		(37	)		(13	)		(64	)		(114	)
Balance September 30, 2014	$	457		$	1,306		$	160		$	1,923

(a) Throughout this document, nonperforming assets and related ratios do not include accruing loans 90 days or more past due.

(b) Excludes $3.1 billion and $3.7 billion at September 30, 2014, and December 31, 2013, respectively, of loans purchased from GNMA mortgage pools that are 90 days or more past due that continue to accrue interest, as their repayments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

(c) Foreclosed GNMA loans of $623 million and $527 million at September 30, 2014, and December 31, 2013, respectively, continue to accrue interest and are recorded as other assets and excluded from nonperforming assets because they are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

(d) Includes equity investments in entities whose principal assets are other real estate owned.

(e) Charge-offs exclude actions for certain card products and loan sales that were not classified as nonperforming at the time the charge-off occurred.

U.S. Bancorp 17

Nonperforming Assets The level of nonperforming assets represents another indicator of the potential for future credit losses. Nonperforming assets include nonaccrual loans, restructured loans not performing in accordance with modified terms and not accruing interest, restructured loans that have not met the performance period required to return to accrual status, other real estate owned and other nonperforming assets owned by the Company. Nonperforming assets are generally either originated by the Company or acquired under FDIC loss sharing agreements that substantially reduce the risk of credit losses to the Company. Interest payments collected from assets on nonaccrual status are generally applied against the principal balance and not recorded as income. However, interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible.

At September 30, 2014, total nonperforming assets were $1.9 billion, compared with $2.0 billion at December 31, 2013. Excluding covered assets, nonperforming assets were $1.8 billion at September 30, 2014, representing a $50 million (2.8 percent) decrease from December 31, 2013. The decrease in nonperforming assets, excluding covered assets, was primarily driven by reductions in the commercial mortgage portfolio, as well as by improvement in construction and development and credit card loans. Nonperforming covered assets at September 30, 2014, were $160 million, compared with $224 million at December 31, 2013. The loss sharing agreement for the majority of the nonperforming covered assets expires in the fourth quarter of 2014. The ratio of total nonperforming assets to total loans and other real estate was ..78 percent (.74 percent excluding covered assets) at September 30, 2014, compared with .86 percent (.80 percent excluding covered assets) at December 31, 2013. The Company expects total nonperforming assets to remain relatively stable in the fourth quarter of 2014.

Other real estate owned, excluding covered assets, was $275 million at September 30, 2014, compared with $327 million at December 31, 2013, and was related to foreclosed properties that previously secured loan balances. These balances exclude foreclosed GNMA loans whose repayments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

The following table provides an analysis of other real estate owned, excluding covered assets, as a percent of their related loan balances, including geographical location detail for residential (residential mortgage, home equity and second mortgage) and commercial (commercial and commercial real estate) loan balances:

	Amount				As a Percent of Ending Loan Balances
(Dollars in Millions)	September 30, 2014		December 31, 2013		September 30, 2014			December 31, 2013
Residential
Florida	$	18	$	17		1.10	%		1.03	%
Minnesota		15		15		.24			.24
Illinois		14		14		.32			.36
Washington		13		16		.32			.40
Colorado		12		13		.28			.31
All other states		164		191		.35			.41
Total residential		236		266		.35			.40
Commercial
California		11		14		.06			.08
Missouri		5		14		.11			.30
Tennessee		3		5		.13			.25
Indiana		3		–		.22			–
Virginia		3		2		.19			.16
All other states		14		26		.02			.03
Total commercial		39		61		.03			.06
Total	$	275	$	327		.12	%		.14	%

Analysis of Loan Net Charge-Offs Total loan net charge-offs were $336 million for the third quarter and $1.0 billion for the first nine months of 2014, compared with $328 million and $1.2 billion for the same periods of 2013. The ratio of total loan net charge-offs to average loans outstanding on an annualized basis for the third quarter and first nine months of 2014 was .55 percent and .57 percent, respectively, compared with ..57 percent and .68 percent for the third quarter and first nine months of 2013, respectively. The year-over-year changes in total net charge-offs reflected higher commercial loan charge-offs and lower recoveries in commercial and commercial real estate, offset by improvements in residential mortgages and home equity and second mortgages. Given current economic conditions, the Company expects the level of net charge-offs to remain relatively stable in the fourth quarter of 2014.

Commercial and commercial real estate loan net charge-offs for the third quarter of 2014 were $62 million (.21 percent of average loans outstanding on an annualized basis), compared with $5 million (.02 percent of average loans outstanding on an annualized basis) for the third quarter of 2013. Commercial and commercial real estate loan net charge-offs for the first nine months of 2014 were $146 million (.17 percent of average loans outstanding on an annualized basis), compared with $80 million (.10 percent of average loans outstanding on an annualized basis) for the first nine months of 2013.

18 U.S. Bancorp

 Table 7  Net Charge-offs as a Percent of Average Loans Outstanding

	Three Months Ended September 30,						Nine Months Ended September 30,
	2014			2013			2014			2013
Commercial
Commercial		.29	%		.11	%		.27	%		.18	%
Lease financing		.46			(.53	)		.29			–
Total commercial		.30			.06			.27			.17
Commercial Real Estate
Commercial mortgages		.01			.03			(.03	)		.11
Construction and development		.13			(.46	)		.05			(.59	)
Total commercial real estate		.04			(.06	)		(.01	)		(.01	)
Residential Mortgages		.32			.46			.40			.63
Credit Card		3.53			3.75			3.80			3.96
Other Retail
Retail leasing		–			.07			.02			.02
Home equity and second mortgages		.61			1.09			.67			1.45
Other		.72			.83			.70			.81
Total other retail		.59			.83			.61			.94
Total loans, excluding covered loans		.56			.58			.59			.70
Covered Loans		.05			.33			.14			.36
Total loans		.55	%		.57	%		.57	%		.68	%

Residential mortgage loan net charge-offs for the third quarter of 2014 were $42 million (.32 percent of average loans outstanding on an annualized basis), compared with $57 million (.46 percent of average loans outstanding on an annualized basis) for the third quarter of 2013. Residential mortgage loan net charge-offs for the first nine months of 2014 were $156 million (.40 percent of average loans outstanding on an annualized basis), compared with $223 million (.63 percent of average loans outstanding on an annualized basis) for the first nine months of 2013. Credit card loan net charge-offs for the third quarter of 2014 were $158 million (3.53 percent of average loans outstanding on an annualized basis), compared with $160 million (3.75 percent of average loans outstanding on an annualized basis) for the third quarter of 2013. Credit card loan net charge-offs for the first nine months of 2014 were $498 million (3.80 percent of average loans outstanding on an annualized basis), compared with $493 million (3.96 percent of average loans outstanding on an annualized basis) for the first nine months of 2013. Other retail loan net charge-offs for the third quarter of 2014 were $73 million (.59 percent of average loans outstanding on an annualized basis), compared with $98 million (.83 percent of average loans outstanding on an annualized basis) for the third quarter of 2013. Other retail loan net charge-offs for the first nine months of 2014 were $218 million (.61 percent of average loans outstanding on an annualized basis), compared with $329 million (.94 percent of average loans outstanding on an annualized basis) for the first nine months of 2013. The year-over-year decreases in total residential mortgage, credit card and other retail loan net charge-offs reflected the improvement in economic conditions.

The following table provides an analysis of net charge-offs as a percent of average loans outstanding for residential mortgages and home equity and second mortgages by borrower type:

	Three Months Ended September 30,										Nine Months Ended September 30,
	Average Loans				Percent of Average Loans						Average Loans				Percent of Average Loans
(Dollars in Millions)	2014		2013		2014			2013			2014		2013		2014			2013
Residential Mortgages
Prime borrowers	$	44,247	$	41,224		.26	%		.40	%	$	43,844	$	39,187		.32	%		.55	%
Sub-prime borrowers		1,284		1,450		3.40			3.28			1,322		1,500		4.35			4.90
Other borrowers		845		903		.94			.88			873		875		.92			1.07
Loans purchased from GNMA mortgage pools (a)		5,618		5,562		–			.07			5,760		5,493		.07			.02
Total	$	51,994	$	49,139		.32	%		.46	%	$	51,799	$	47,055		.40	%		.63	%
Home Equity and Second Mortgages
Prime borrowers	$	14,949	$	14,885		.50	%		.99	%	$	14,703	$	15,248		.58	%		1.29	%
Sub-prime borrowers		255		312		6.22			6.36			269		333		5.46			8.03
Other borrowers		500		451		.79			.88			495		440		.81			2.13
Total	$	15,704	$	15,648		.61	%		1.09	%	$	15,467	$	16,021		.67	%		1.45	%

(a) Represents loans purchased from GNMA mortgage pools whose payments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

U.S. Bancorp 19

Analysis and Determination of the Allowance for Credit Losses The allowance for credit losses reserves for probable and estimable losses incurred in the Company’s loan and lease portfolio, including unfunded credit commitments, and includes certain amounts that do not represent loss exposure to the Company because those losses are recoverable under loss sharing agreements with the FDIC. The allowance for credit losses is increased through provisions charged to operating earnings and reduced by net charge-offs. Management evaluates the allowance each quarter to ensure it appropriately reserves for incurred losses.

The allowance recorded for loans in the commercial lending segment is based on reviews of individual credit relationships and considers the migration analysis of commercial lending segment loans and actual loss experience. In the migration analysis applied to risk-rated loan portfolios, the Company currently examines up to a 13-year period of historical loss experience. For each loan type, this historical loss experience is adjusted as necessary to consider any relevant changes in portfolio composition, lending policies, underwriting standards, risk management practices or economic conditions. The results of the analysis are evaluated quarterly to confirm an appropriate historical timeframe is selected for each commercial loan type. The allowance recorded for impaired loans greater than $5 million in the commercial lending segment is based on an individual loan analysis utilizing expected cash flows discounted using the original effective interest rate, the observable market price of the loan, or the fair value of the collateral for collateral-dependent loans, rather than the migration analysis. The allowance recorded for all other commercial lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, and historical losses, adjusted for current trends.

The allowance recorded for TDR loans and purchased impaired loans in the consumer lending segment is determined on a homogenous pool basis utilizing expected cash flows discounted using the original effective interest rate of the pool, or the prior quarter effective rate, respectively. The allowance for collateral-dependent loans in the consumer lending segment is determined based on the fair value of the collateral less costs to sell. The allowance recorded for all other consumer lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, delinquency status, refreshed LTV ratios when possible, portfolio growth and historical losses, adjusted for current trends. Credit card and other retail loans 90 days or more past due are generally not placed on nonaccrual status because of the relatively short period of time to charge-off and, therefore, are excluded from nonperforming loans and measures that include nonperforming loans as part of the calculation.

When evaluating the appropriateness of the allowance for credit losses for any loans and lines in a junior lien position, the Company considers the delinquency and modification status of the first lien. At September 30, 2014, the Company serviced the first lien on 38 percent of the home equity loans and lines in a junior lien position. The Company also considers information received from its primary regulator on the status of the first liens that are serviced by other large servicers in the industry and the status of first lien mortgage accounts reported on customer credit bureau files. Regardless of whether or not the Company services the first lien, an assessment is made of economic conditions, problem loans, recent loss experience and other factors in determining the allowance for credit losses. Based on the available information, the Company estimated $357 million or 2.3 percent of the total home equity portfolio at September 30, 2014, represented junior liens where the first lien was delinquent or modified.

The Company uses historical loss experience on the loans and lines in a junior lien position where the first lien is serviced by the Company, or can be identified in credit bureau data, to establish loss estimates for junior lien loans and lines the Company services that are current, but the first lien is delinquent or modified. Historically, the number of junior lien defaults in any period has been a small percentage of the total portfolio (for example, only 1.1 percent for the twelve months ended September 30, 2014), and the long-term average loss rate on the small percentage of loans that default has been approximately 80 percent. In addition, the Company obtains updated credit scores on its home equity portfolio each quarter, and in some cases more frequently, and uses this information to qualitatively supplement its loss estimation methods. Credit score distributions for the portfolio are monitored monthly and any changes in the distribution are one of the factors considered in assessing the Company’s loss estimates. In its evaluation of the allowance for credit losses, the Company also considers the increased risk of loss associated with home equity lines that are contractually scheduled to convert from a revolving status to a fully amortizing payment and with residential lines and loans that have a balloon payoff provision.

20 U.S. Bancorp

The allowance for the covered loan segment is evaluated each quarter in a manner similar to that described for non-covered loans, and reflects decreases in expected cash flows on those loans after the acquisition date. The provision for credit losses for covered loans considers the indemnification provided by the FDIC.

In addition, the evaluation of the appropriate allowance for credit losses for purchased non-impaired loans acquired after January 1, 2009, in the various loan segments considers credit discounts recorded as a part of the initial determination of the fair value of the loans. For these loans, no allowance for credit losses is recorded at the purchase date. Credit discounts representing the principal losses expected over the life of the loans are a component of the initial fair value. Subsequent to the purchase date, the methods utilized to estimate the required allowance for credit losses for these loans is similar to originated loans; however, the Company records a provision for credit losses only when the required allowance, net of any expected reimbursement under any loss sharing agreements with the FDIC, exceeds any remaining credit discounts.

The evaluation of the appropriate allowance for credit losses for purchased impaired loans in the various loan segments considers the expected cash flows to be collected from the borrower. These loans are initially recorded at fair value and therefore no allowance for credit losses is recorded at the purchase date.

Subsequent to the purchase date, the expected cash flows of purchased loans are subject to evaluation. Decreases in expected cash flows are recognized by recording an allowance for credit losses with the related provision for credit losses reduced for the amount reimbursable by the FDIC, where applicable. If the expected cash flows on the purchased loans increase such that a previously recorded impairment allowance can be reversed, the Company records a reduction in the allowance with a related reduction in losses reimbursable by the FDIC, where applicable. Increases in expected cash flows of purchased loans, when there are no reversals of previous impairment allowances, are recognized over the remaining life of the loans and resulting decreases in expected cash flows of the FDIC indemnification assets are amortized over the shorter of the remaining contractual term of the indemnification agreements or the remaining life of the loans. Refer to Note 5 of the Notes to Consolidated Financial Statements, for more information.

The Company’s methodology for determining the appropriate allowance for credit losses for all the loan segments also considers the imprecision inherent in the methodologies used. As a result, in addition to the amounts determined under the methodologies described above, management also considers the potential impact of other qualitative factors which include, but are not limited to, economic factors; geographic and other concentration risks; delinquency and nonaccrual trends; current business conditions; changes in lending policy, underwriting standards, internal review and other relevant business practices; and the regulatory environment. The consideration of these items results in adjustments to allowance amounts included in the Company’s allowance for credit losses for each of the above loan segments.

Refer to “Management’s Discussion and Analysis — Analysis and Determination of the Allowance for Credit Losses” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on the analysis and determination of the allowance for credit losses.

At September 30, 2014, the allowance for credit losses was $4.4 billion (1.80 percent of total loans and 1.81 percent of loans excluding covered loans), compared with $4.5 billion (1.93 percent of total loans and 1.94 percent of loans excluding covered loans) at December 31, 2013. The ratio of the allowance for credit losses to nonperforming loans was 282 percent (291 percent excluding covered loans) at September 30, 2014, compared with 283 percent (297 percent excluding covered loans) at December 31, 2013. The ratio of the allowance for credit losses to annualized loan net charge-offs was 331 percent at September 30, 2014, compared with 310 percent of full year 2013 net charge-offs at December 31, 2013, reflecting the impact of improving economic conditions over the past year.

U.S. Bancorp 21

 Table 8  Summary of Allowance for Credit Losses

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	4,449		$	4,612		$	4,537		$	4,733
Charge-Offs
Commercial
Commercial		71			57			197			157
Lease financing		9			8			22			27
Total commercial		80			65			219			184
Commercial real estate
Commercial mortgages		5			14			15			57
Construction and development		5			3			12			19
Total commercial real estate		10			17			27			76
Residential mortgages		48			62			171			243
Credit card		174			175			546			559
Other retail
Retail leasing		1			1			4			4
Home equity and second mortgages		31			51			98			195
Other		64			70			189			213
Total other retail		96			122			291			412
Covered loans (a)		2			9			10			31
Total charge-offs		410			450			1,264			1,505
Recoveries
Commercial
Commercial		19			39			59			73
Lease financing		3			15			11			27
Total commercial		22			54			70			100
Commercial real estate
Commercial mortgages		4			12			21			32
Construction and development		2			11			9			48
Total commercial real estate		6			23			30			80
Residential mortgages		6			5			15			20
Credit card		16			15			48			66
Other retail
Retail leasing		1			–			3			3
Home equity and second mortgages		7			8			20			21
Other		15			16			50			59
Total other retail		23			24			73			83
Covered loans (a)		1			1			2			3
Total recoveries		74			122			238			352
Net Charge-Offs
Commercial
Commercial		52			18			138			84
Lease financing		6			(7	)		11			–
Total commercial		58			11			149			84
Commercial real estate
Commercial mortgages		1			2			(6	)		25
Construction and development		3			(8	)		3			(29	)
Total commercial real estate		4			(6	)		(3	)		(4	)
Residential mortgages		42			57			156			223
Credit card		158			160			498			493
Other retail
Retail leasing		–			1			1			1
Home equity and second mortgages		24			43			78			174
Other		49			54			139			154
Total other retail		73			98			218			329
Covered loans (a)		1			8			8			28
Total net charge-offs		336			328			1,026			1,153
Provision for credit losses		311			298			941			1,063
Other changes (b)		(10	)		(4	)		(38	)		(65	)
Balance at end of period (c)	$	4,414		$	4,578		$	4,414		$	4,578
Components
Allowance for loan losses	$	4,065		$	4,258
Liability for unfunded credit commitments		349			320
Total allowance for credit losses	$	4,414		$	4,578
Allowance for Credit Losses as a Percentage of
Period-end loans, excluding covered loans		1.81	%		1.99	%
Nonperforming loans, excluding covered loans		291			294
Nonperforming and accruing loans 90 days or more past due, excluding covered loans		214			211
Nonperforming assets, excluding covered assets		245			235
Annualized net charge-offs, excluding covered loans		324			348
Period-end loans		1.80	%		1.98	%
Nonperforming loans		282			276
Nonperforming and accruing loans 90 days or more past due		175			166
Nonperforming assets		230			207
Annualized net charge-offs		331			352

(a) Relates to covered loan charge-offs and recoveries not reimbursable by the FDIC.

(b) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

(c) At September 30, 2014 and 2013, $1.7 billion of the total allowance for credit losses related to incurred losses on credit card and other retail loans.

22 U.S. Bancorp

Residual Value Risk Management The Company manages its risk to changes in the residual value of leased assets through disciplined residual valuation setting at the inception of a lease, diversification of its leased assets, regular residual asset valuation reviews and monitoring of residual value gains or losses upon the disposition of assets. As of September 30, 2014, no significant change in the amount of residual values or concentration of the portfolios had occurred since December 31, 2013. Refer to “Management’s Discussion and Analysis — Residual Value Risk Management” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on residual value risk management.

Operational Risk Management Operational risk is inherent in all business activities, and the management of this risk is important to the achievement of the Company’s objectives. Business lines have direct and primary responsibility and accountability for identifying, controlling, and monitoring operational risks embedded in their business activities. Business managers maintain a system of controls with the objective of providing proper transaction authorization and execution, proper system operations, proper oversight of third parties with whom they do business, safeguarding of assets from misuse or theft, and ensuring the reliability and security of financial and other data. Refer to “Management’s Discussion and Analysis — Operational Risk Management” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on operational risk management.

Compliance Risk Management The Company may suffer legal or regulatory sanctions, material financial loss, or damage to reputation through failure to comply with laws, regulations, rules, standards of good practice, and codes of conduct. The Company has controls and processes in place to ensure assessment, identification, monitoring, management and reporting of compliance risks and issues.

Interest Rate Risk Management In the banking industry, changes in interest rates are a significant risk that can impact earnings, market valuations and the safety and soundness of an entity. To manage the impact on net interest income and the market value of assets and liabilities, the Company manages its exposure to changes in interest rates through asset and liability management activities within guidelines established by its Asset Liability Committee (“ALCO”) and approved by the Board of Directors. The ALCO has the responsibility for approving and ensuring compliance with the ALCO management policies, including interest rate risk exposure. The Company uses net interest income simulation analysis and market value of equity modeling for measuring and analyzing consolidated interest rate risk.

Net Interest Income Simulation Analysis Management estimates the impact on net interest income of changes in market interest rates under a number of scenarios, including gradual shifts, immediate and sustained parallel shifts, and flattening or steepening of the yield curve. The table below summarizes the projected impact to net interest income over the next 12 months of various potential interest rate changes. The ALCO policy limits the estimated change in net interest income in a gradual 200 basis point (“bps”) rate change scenario to a 4.0 percent decline of forecasted net interest income over the next 12 months. At September 30, 2014, and December 31, 2013, the Company was within policy. Refer to “Management’s Discussion and Analysis — Net Interest Income Simulation Analysis” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on net interest income simulation analysis.

Market Value of Equity Modeling The Company also manages interest rate sensitivity by utilizing market value of equity modeling, which measures the degree to which the market values of the Company’s assets and liabilities and off-balance sheet instruments will change given a change in interest rates. Management measures the impact of changes in market interest rates under a number of scenarios, including immediate and sustained parallel shifts, and flattening or steepening of the yield curve. The ALCO policy limits the change in market value of equity in a 200 bps parallel rate shock to a 15.0 percent decline. A 200 bps increase would have resulted in a 4.3 percent decrease in the market value of equity at September 30, 2014, compared with a 5.1 percent decrease at December 31, 2013. A 200 bps decrease, where possible given current rates, would have resulted in a 4.4 percent decrease in the market value of equity at September 30, 2014, compared with a .8 percent decrease at December 31, 2013. Refer to “Management’s Discussion and Analysis — Market Value of Equity Modeling” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on market value of equity modeling.

Sensitivity of Net Interest Income

September 30, 2014

December 31, 2013

Down 50 bps Immediate

Up 50 bps Immediate

Down 200 bps Gradual

Up 200 bps Gradual

Down 50 bps Immediate

Up 50 bps Immediate

Down 200 bps Gradual

Up 200 bps Gradual

Net interest income

*

1.30

%

*

1.75

%

*

1.07

%

*

1.53

%

* Given the current level of interest rates, a downward rate scenario can not be computed.

U.S. Bancorp 23

Use of Derivatives to Manage Interest Rate and Other Risks To manage the sensitivity of earnings and capital to interest rate, prepayment, credit, price and foreign currency fluctuations (asset and liability management positions), the Company enters into derivative transactions. The Company uses derivatives for asset and liability management purposes primarily in the following ways:

• To convert fixed-rate debt from fixed-rate payments to floating-rate payments;

• To convert the cash flows associated with floating-rate loans and debt from floating-rate payments to fixed-rate payments;

• To mitigate changes in value of the Company’s mortgage origination pipeline, funded mortgage loans held for sale and MSRs;

• To mitigate remeasurement volatility of foreign currency denominated balances; and

• To mitigate the volatility of the Company’s investment in foreign operations driven by fluctuations in foreign currency exchange rates.

To manage these risks, the Company may enter into exchange-traded, centrally cleared and over-the-counter derivative contracts, including interest rate swaps, swaptions, futures, forwards and options. In addition, the Company enters into interest rate and foreign exchange derivative contracts to support the business requirements of its customers (customer-related positions). The Company historically has minimized the market and liquidity risks of customer-related positions by entering into similar offsetting positions with broker-dealers. In 2014, the Company began to actively manage the risks from its exposure to customer-related interest rate positions on a portfolio basis by entering into other derivative or non-derivative financial instruments that partially or fully offset the exposure from these customer-related positions. The Company does not utilize derivatives for speculative purposes.

The Company does not designate all of the derivatives that it enters into for risk management purposes as accounting hedges because of the inefficiency of applying the accounting requirements and may instead elect fair value accounting for the related hedged items. In particular, the Company enters into interest rate swaps, forward commitments to buy to-be-announced securities (“TBAs”), U.S. Treasury futures and options on U.S. Treasury futures to mitigate fluctuations in the value of its MSRs, but does not designate those derivatives as accounting hedges.

Additionally, the Company uses forward commitments to sell TBAs and other commitments to sell residential mortgage loans at specified prices to economically hedge the interest rate risk in its residential mortgage loan production activities. At September 30, 2014, the Company had $6.6 billion of forward commitments to sell, hedging $3.1 billion of mortgage loans held for sale and $4.4 billion of unfunded mortgage loan commitments. The forward commitments to sell and the unfunded mortgage loan commitments on loans intended to be sold are considered derivatives under the accounting guidance related to accounting for derivative instruments and hedging activities. The Company has elected the fair value option for the mortgage loans held for sale.

Derivatives are subject to credit risk associated with counterparties to the contracts. Credit risk associated with derivatives is measured by the Company based on the probability of counterparty default. The Company manages the credit risk of its derivative positions by diversifying its positions among various counterparties, by entering into master netting agreements, and, where possible by requiring collateral agreements. The Company may also transfer counterparty credit risk related to interest rate swaps to third parties through the use of risk participation agreements. In addition, certain interest rate swaps and forwards and credit contracts are required to be centrally cleared through clearing houses to further mitigate counterparty credit risk.

For additional information on derivatives and hedging activities, refer to Notes 13 and 14 in the Notes to Consolidated Financial Statements.

Market Risk Management In addition to interest rate risk, the Company is exposed to other forms of market risk, principally related to trading activities which support customers’ strategies to manage their own foreign currency, interest rate risk and funding activities. For purposes of its internal capital adequacy assessment process, the Company considers risk arising from its trading activities employing methodologies consistent with the requirements of regulatory rules for market risk. The Company’s Market Risk Committee (“MRC”), within the framework of the ALCO, oversees market risk management. The MRC monitors and reviews the Company’s trading positions and establishes policies for market risk management, including exposure limits for each portfolio. The Company uses a Value at Risk (“VaR”) approach to measure general market risk. Theoretically, VaR represents the statistical risk of loss the Company has to adverse market movements over a one-day time horizon. The Company uses the Historical Simulation method to calculate VaR for its trading businesses measured at the ninety-ninth percentile using a one-year look-back period for distributions derived from past market data. The market factors used in the calculations include those pertinent to market risks

24 U.S. Bancorp

inherent in the underlying trading portfolios, principally those that affect its corporate bond trading business, foreign currency transaction business, client derivatives business, loan trading business and municipal securities business. On average, the Company expects the one-day VaR to be exceeded by actual losses two to three times per year for its trading businesses. The Company monitors the effectiveness of its risk programs by back-testing the performance of its VaR models, regularly updating the historical data used by the VaR models and stress testing. If the Company were to experience market losses in excess of the estimated VaR more often than expected, the VaR models and associated assumptions would be analyzed and adjusted.

The average, high, low and period-end VaR amounts for the Company’s trading positions were as follows:

Nine Months Ended September 30 (Dollars in Millions)	2014		2013
Average	$	1	$	1
High		2		3
Low		1		1
Period-end		1		2

The Company did not experience any actual trading losses for its combined trading businesses that exceeded VaR by more than a negligible amount during the nine months ended September 30, 2014 and 2013. The Company stress tests its market risk measurements to provide management with perspectives on market events that may not be captured by its VaR models, including worst case historical market movement combinations that have not necessarily occurred on the same date.

The Company calculates Stressed VaR using the same underlying methodology and model as VaR, except that a historical continuous one-year look-back period is utilized that reflects a period of significant financial stress appropriate to the Company’s trading portfolio. The period selected by the Company includes the significant market volatility of the last four months of 2008.

The average, high, low and period-end Stressed VaR amounts for the Company’s trading positions were as follows:

Nine Months Ended September 30 (Dollars in Millions)	2014		2013
Average	$	4	$	4
High		8		8
Low		2		2
Period-end		5		4

Valuations of positions in the client derivatives and foreign currency transaction businesses are based on standard cash flow or other valuation techniques using market-based assumptions. These valuations are compared to third party quotes or other market prices to determine if there are significant differences. Significant differences are approved by the Company’s market risk management department. Valuation of positions in the corporate bond trading, loan trading and municipal securities businesses are based on trader marks. These trader marks are evaluated against third party prices, with material variances approved by the Company’s risk management department.

The Company also measures the market risk of its hedging activities related to residential mortgage loans held for sale and MSRs using the Historical Simulation method. The VaRs are measured at the ninety-ninth percentile and employ factors pertinent to the market risks inherent in the valuation of the assets and hedges. The Company monitors the effectiveness of the models through back-testing, updating the data and regular validations. A three-year look-back period is used to obtain past market data for the residential mortgage loans held for sale and related hedges. A seven-year look-back period is used to obtain past market data for the MSRs and related hedges.

The average, high and low VaR amounts for the residential mortgage loans held for sale and related hedges and the MSRs and related hedges were as follows:

Nine Months Ended September 30 (Dollars in Millions)	2014		2013
Residential Mortgage Loans Held For Sale and Related Hedges
Average	$	1	$	2
High		2		4
Low		–		–
Mortgage Servicing Rights and Related Hedges
Average	$	3	$	3
High		8		6
Low		2		1

Liquidity Risk Management The Company’s liquidity risk management process is designed to identify, measure, and manage the Company’s funding and liquidity risk to meet its daily funding needs and to address expected and unexpected changes in its funding requirements. The Company engages in various activities to manage its liquidity risk. These activities include diversifying its funding sources, stress testing, and holding readily-marketable assets which can be used as a source of liquidity if needed. In addition, the Company’s profitable operations, sound credit quality and strong capital position have enabled it to develop a large and reliable base of core deposit funding within its market areas and in domestic and global capital markets.

The Risk Management Committee of the Company’s Board of Directors oversees the Company’s liquidity risk management process, and approves the Company’s liquidity policy and contingency funding plan. The ALCO reviews and approves the Company’s liquidity policy and guidelines, and regularly assesses the

U.S. Bancorp 25

Company’s ability to meet funding requirements arising from adverse company-specific or market events.

The Company regularly projects its funding needs under various stress scenarios and maintains a contingency plan consistent with the Company’s access to diversified sources of contingent funding. The Company maintains a substantial level of total available liquidity in the form of on-balance sheet and off-balance sheet funding sources. These include cash at the Federal Reserve Bank, unencumbered liquid assets, and capacity to borrow at the Federal Home Loan Bank (“FHLB”) and the Federal Reserve Bank’s Discount Window. At September 30, 2014, the fair value of unencumbered available-for-sale and held-to-maturity investment securities totaled $82.9 billion, compared with $61.7 billion at December 31, 2013. Refer to Table 4 and “Balance Sheet Analysis” for further information on investment securities maturities and trends. Asset liquidity is further enhanced by the Company’s ability to pledge loans to access secured borrowing facilities through the FHLB and Federal Reserve Bank. At September 30, 2014, the Company could have borrowed an additional $78.9 billion at the FHLB and Federal Reserve Bank based on collateral available for additional borrowings.

The Company’s diversified deposit base provides a sizeable source of relatively stable and low-cost funding, while reducing the Company’s reliance on the wholesale markets. Total deposits were $273.1 billion at September 30, 2014, compared with $262.1 billion at December 31, 2013. Refer to “Balance Sheet Analysis” for further information on the Company’s deposits.

Additional funding is provided by long-term debt and short-term borrowings. Long-term debt was $30.8 billion at September 30, 2014, and is an important funding source because of its multi-year borrowing structure. Short-term borrowings were $30.0 billion at September 30, 2014, and supplement the Company’s other funding sources. Refer to “Balance Sheet Analysis” for further information on the Company’s long-term debt and short-term borrowings.

In addition to assessing liquidity risk on a consolidated basis, the Company monitors the parent company’s liquidity and maintains sufficient funding to meet expected parent company obligations, without access to the wholesale funding markets or dividends from subsidiaries, for 12 months when forecasted payments of common stock dividends are included and 24 months assuming dividends were reduced to zero. The parent company currently has available funds considerably greater than the amounts required to satisfy these conditions.

At September 30, 2014, parent company long-term debt outstanding was $13.6 billion, compared with $11.4 billion at December 31, 2013. The $2.2 billion increase was due to the issuances of $2.3 billion of medium-term notes and $1.0 billion of subordinated notes, partially offset by the maturity of $1.0 billion of medium-term notes. As of September 30, 2014, there was $.5 billion of parent company debt scheduled to mature in the remainder of 2014.

In 2010, the Basel Committee on Banking Supervision issued Basel III, a global regulatory framework proposed to enhance international capital and liquidity standards. In September 2014, U.S. banking regulators approved a final regulatory Liquidity Coverage Ratio (“LCR”), similar to the measure proposed by the Basel Committee as part of Basel III, requiring banks to maintain an adequate level of unencumbered high quality liquid assets to meet estimated liquidity needs over a 30-day stressed period. The LCR requirement is effective for the Company beginning January 1, 2015, subject to certain transition provisions over the next two years to full implementation by January 1, 2017. The Company expects it will be compliant with the fully implemented LCR requirement by December 31, 2014.

Refer to “Management’s Discussion and Analysis — Liquidity Risk Management” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on liquidity risk management.

European Exposures Certain European countries have experienced severe credit deterioration. The Company does not hold sovereign debt of any European country, but may have indirect exposure to sovereign debt through its investments in, and transactions with, European banks. At September 30, 2014, the Company had investments in perpetual preferred stock issued by European banks with an amortized cost totaling $67 million and unrealized losses totaling $2 million, compared with an amortized cost totaling $70 million and unrealized losses totaling $7 million, at December 31, 2013. The Company also transacts with various European banks as counterparties to interest rate, mortgage-related and foreign currency derivatives for its hedging and customer-related activities; however, none of these banks are domiciled in the countries experiencing the most significant credit deterioration. These derivatives are subject to master netting arrangements. In addition, interest rate and foreign currency derivative transactions are subject to collateral arrangements which significantly limit the Company’s exposure to loss as they generally require daily posting of collateral. At

26 U.S. Bancorp

September 30, 2014, the Company was in a net receivable position with four banks in the United Kingdom, two banks in France and one bank in Switzerland, totaling $23 million. The Company was in a net payable position to each of the other European banks.

The Company has not bought or sold credit protection on the debt of any European country or any company domiciled in Europe, nor does it provide retail lending services in Europe. While the Company does not offer commercial lending services in Europe, it does provide financing to domestic multinational corporations that generate revenue from customers in European countries and provides a limited number of corporate credit cards to their European subsidiaries. While an economic downturn in Europe could have a negative impact on these customers’ revenues, it is unlikely that any effect on the overall credit-worthiness of these multinational corporations would be material to the Company.

The Company provides merchant processing and corporate trust services in Europe either directly or through banking affiliations in Europe. Operating cash for these businesses is deposited on a short-term basis with certain European banks. However, exposure is mitigated by the Company placing deposits at multiple banks and managing the amounts on deposit at any bank based on institution-specific deposit limits. At September 30, 2014, the Company had an aggregate amount on deposit with European banks of approximately $314 million.

The money market funds managed by a subsidiary of the Company do not have any investments in European sovereign debt, other than approximately $480 million at September 30, 2014 guaranteed by the country of Germany. Other than investments in banks in the countries of the Netherlands, France and Germany, those funds do not have any unsecured investments in banks domiciled in the Eurozone.

Off-Balance Sheet Arrangements Off-balance sheet arrangements include any contractual arrangements to which an unconsolidated entity is a party, under which the Company has an obligation to provide credit or liquidity enhancements or market risk support. In the ordinary course of business, the Company enters into an array of commitments to extend credit, letters of credit and various forms of guarantees that may be considered off-balance sheet arrangements. Refer to Note 16 of the Notes to Consolidated Financial Statements for further information on these arrangements. The Company has not utilized private label asset securitizations as a source of funding. Off-balance sheet arrangements also include any obligation related to a variable interest held in an unconsolidated entity that provides financing, liquidity, credit enhancement or market risk support. Refer to Note 6 of the Notes to Consolidated Financial

Statements for further information related to the Company’s interests in variable interest entities.

Capital Management The Company is committed to managing capital to maintain strong protection for depositors and creditors and for maximum shareholder benefit. The Company also manages its capital to exceed regulatory capital requirements for well-capitalized bank holding companies. Prior to 2014, the regulatory capital requirements effective for the Company followed the Capital Accord of the Basel Committee on Banking Supervision (“Basel I”). Beginning January 1, 2014, the regulatory capital requirements effective for the Company follow Basel III, subject to certain transition provisions from Basel I over the following four years to full implementation by January 1, 2018. Basel III includes two comprehensive methodologies for calculating risk-weighted assets: a general standardized approach and more risk-sensitive advanced approaches. As of April 1, 2014, the Company exited its parallel run qualification period, resulting in its capital adequacy now being evaluated against the Basel III methodology that is most restrictive. Table 9 provides a summary of statutory regulatory capital ratios in effect for the Company at September 30, 2014 and December 31, 2013. All regulatory ratios exceeded regulatory “well-capitalized” requirements.

In September 2014, U.S. banking regulators approved a final regulatory Supplementary Leverage Ratio (“SLR”) requirement for banks calculating capital adequacy using advanced approaches under Basel III. The SLR is defined as tier 1 capital divided by total leverage exposure, which includes both on- and off-balance sheet exposures. The Company is required to calculate and report its SLR beginning in the first quarter 2015; however, the Company is not subject to the minimum SLR requirement until January 1, 2018. The Company believes it currently exceeds the applicable minimum SLR requirement.

Total U.S. Bancorp shareholders’ equity was $43.1 billion at September 30, 2014, compared with $41.1 billion at December 31, 2013. The increase was primarily the result of corporate earnings and changes in unrealized gains and losses on available-for-sale investment securities included in other comprehensive income, partially offset by dividends and common share repurchases.

The Company believes certain capital ratios in addition to statutory regulatory capital ratios are useful in evaluating its capital adequacy. The Company’s tangible common equity, as a percent of tangible assets and as a percent of risk-weighted assets calculated under the standardized approach, were 7.6 percent and 9.3 percent, respectively, at September 30, 2014, compared with 7.7 percent and 9.1 percent, respectively, at

U.S. Bancorp 27

 Table 9  Regulatory Capital Ratios

(Dollars in Millions)	September 30, 2014			December 31, 2013
Basel III transitional standardized approach/Basel I:
Common equity tier 1 capital (a)	$	30,213
Tier 1 capital		35,377		$	33,386
Total risk-based capital		42,509			39,340
Risk-weighted assets		311,914			297,919
Common equity tier 1 capital as a percent of risk-weighted assets (a)		9.7	%
Tier 1 capital as a percent of risk-weighted assets		11.3			11.2	%
Tier 1 capital as a percent of adjusted quarterly average assets (leverage ratio)		9.4			9.6
Total risk-based capital as a percent of risk-weighted assets		13.6			13.2
Basel III transitional advanced approaches:
Common equity tier 1 capital (a)	$	30,213
Tier 1 capital		35,377
Total risk-based capital		39,822
Risk-weighted assets		243,909
Common equity tier 1 capital as a percent of risk-weighted assets (a)		12.4	%
Tier 1 capital as a percent of risk-weighted assets		14.5
Total risk-based capital as a percent of risk-weighted assets		16.3

Note: September 30, 2014 amounts calculated under the Basel III transitional standardized and advanced approaches, with the Company being evaluated for capital adequacy against the approach that is most restrictive. December 31, 2013 amounts calculated under Basel I.

(a) Beginning January 1, 2014, the regulatory capital requirements effective for the Company include a common equity tier 1 capital as a percent of risk-weighted assets ratio.

December 31, 2013. The Company’s common equity tier 1 to risk-weighted assets ratio using the Basel III standardized approach as if fully implemented was 9.0 percent at September 30, 2014, compared with 8.8 percent at December 31, 2013. The Company’s common equity tier 1 to risk-weighted assets ratio using the Basel III advanced approaches as if fully implemented was 11.8 percent at September 30, 2014. Refer to “Non-GAAP Financial Measures” for further information regarding the calculation of these ratios.

On March 26, 2014, the Company announced its Board of Directors had approved a one-year authorization to repurchase up to $2.3 billion of its common stock, from April 1, 2014 through March 31, 2015.

The following table provides a detailed analysis of all shares purchased by the Company or any affiliated purchaser during the third quarter of 2014:

Period (Dollars in Millions)	Total Number of Shares Purchased			Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Program (a)		Approximate Dollar Value of Shares that May Yet Be Purchased Under the Program
July		7,896,817	(b)	$	42.46		7,746,817	$	1,340
August		4,712,874			41.65		4,712,874		1,144
September		3,041,437			42.32		3,041,437		1,015
Total		15,651,128	(b)	$	42.19		15,501,128	$	1,015

(a) All shares were purchased under the stock repurchase program announced on March 26, 2014.

(b) Includes 150,000 shares of common stock purchased, at an average price per share of $42.12, in open-market transactions by U.S. Bank National Association, the Company’s principal banking subsidiary, in its capacity as trustee of the Company’s Employee Retirement Savings Plan.

On June 17, 2014, the Company announced its Board of Directors had approved a 6.5 percent increase in the Company’s dividend rate per common share, from $.23 per quarter to $.245 per quarter.

Refer to “Management’s Discussion and Analysis —Capital Management” in the Company’s Annual Report on Form 10-K for the year ended December 31,  2013, for further discussion on capital management.

LINE OF BUSINESS FINANCIAL REVIEW

The Company’s major lines of business are Wholesale Banking and Commercial Real Estate, Consumer and Small Business Banking, Wealth Management and Securities Services, Payment Services, and Treasury and Corporate Support. These operating segments are components of the Company about which financial information is prepared and is evaluated regularly by management in deciding how to allocate resources and assess performance.

Basis for Financial Presentation Business line results are derived from the Company’s business unit profitability reporting systems by specifically attributing managed balance sheet assets, deposits and other liabilities and their related income or expense. The allowance for credit losses and related provision expense are allocated to the lines of business based on the related loan balances managed. Refer to “Management’s Discussion and Analysis — Line of Business Financial Review” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for further discussion on the business lines’ basis for financial presentation.

Designations, assignments and allocations change from time to time as management systems are enhanced, methods of evaluating performance or product lines change or business segments are realigned to better respond to the Company’s diverse customer base. During 2014, certain organization and methodology changes

28 U.S. Bancorp

were made and, accordingly, 2013 results were restated and presented on a comparable basis.

Wholesale Banking and Commercial Real Estate Wholesale Banking and Commercial Real Estate offers lending, equipment finance and small-ticket leasing, depository services, treasury management, capital markets, international trade services and other financial services to middle market, large corporate, commercial real estate, financial institution, non-profit and public sector clients. Wholesale Banking and Commercial Real Estate contributed $267 million of the Company’s net income in the third quarter and $827 million in the first nine months of 2014, or decreases of $57 million (17.6 percent) and $132 million (13.8 percent), respectively, compared with the same periods of 2013. The decreases were primarily driven by higher provision for credit losses and lower net revenue.

Net revenue decreased $18 million (2.3 percent) in the third quarter and $61 million (2.6 percent) in the first nine months of 2014, compared with the same periods of 2013. Net interest income, on a taxable-equivalent basis, increased $12 million (2.4 percent) in the third quarter and $20 million (1.3 percent) in the first nine months of 2014, compared with the same periods of 2013. The increases were primarily driven by increases in average loans and deposits, partially offset by lower rates and fees on loans. Noninterest income decreased $30 million (11.3 percent) in the third quarter and $81 million (9.9 percent) in the first nine months of 2014, compared with the same periods of 2013, driven by lower wholesale transaction activity and other loan-related fees, partially offset by increases in bond underwriting fees and commercial leasing revenue.

Noninterest expense was essentially flat in the third quarter and increased $7 million (.8 percent) in the first nine months of 2014, compared with the same periods of 2013, primarily due to increases in the FDIC insurance assessment allocation based on the level of commitments, offset by lower professional services expense and net shared services expense. The provision for credit losses increased $70 million in the third quarter and $140 million in the first nine months of 2014, compared with the same periods of 2013, due to higher net charge-offs and increases in the reserve allocation due to loan growth. Nonperforming assets were $264 million at September 30, 2014, $300 million at June 30, 2014, and $330 million at September 30, 2013. Nonperforming assets as a percentage of period-end loans were ..33 percent at September 30, 2014, .38 percent at June 30, 2014, and .46 percent at September 30, 2013. Refer to the “Corporate Risk Profile” section for further information on factors impacting the credit quality of the loan portfolios.

Consumer and Small Business Banking Consumer and Small Business Banking delivers products and services through banking offices, telephone servicing and sales, on-line services, direct mail, ATM processing and mobile devices, such as mobile phones and tablet computers. It encompasses community banking, metropolitan banking, in-store banking, small business banking, consumer lending, workplace banking, student banking and 24-hour banking (collectively, the retail banking division), as well as mortgage banking. Consumer and Small Business Banking contributed $307 million of the Company’s net income in the third quarter and $907 million in the first nine months of 2014, or decreases of $66 million (17.7 percent) and $203 million (18.3 percent), respectively, compared with the same periods of 2013. The decreases were due to lower net revenue and higher noninterest expense, partially offset by decreases in the provision for credit losses.

Within Consumer and Small Business Banking, the retail banking division contributed $170 million of the total net income in the third quarter and $509 million in the first nine months of 2014, or decreases of $48 million (22.0 percent) and $48 million (8.6 percent), respectively, from the same periods of 2013. Mortgage banking contributed $137 million and $398 million of Consumer and Small Business Banking’s net income in the third quarter and first nine months of 2014, respectively, or decreases of $18 million (11.6 percent) and $155 million (28.0 percent), respectively, from the same periods of 2013, reflecting lower mortgage banking activity in 2014.

U.S. Bancorp 29

 Table 10  Line of Business Financial Performance

	Wholesale Banking and Commercial Real Estate								Consumer and Small Business Banking
Three Months Ended September 30 (Dollars in Millions)	2014		2013			Percent Change			2014		2013		Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$	518	$	506			2.4	%	$	1,074	$	1,153		(6.9	)%
Noninterest income		236		266			(11.3	)		669		717		(6.7	)
Securities gains (losses), net		–		–			–			–		–		–
Total net revenue		754		772			(2.3	)		1,743		1,870		(6.8	)
Noninterest expense		304		302			.7			1,169		1,110		5.3
Other intangibles		1		2			(50.0	)		12		10		20.0
Total noninterest expense		305		304			.3			1,181		1,120		5.4
Income before provision and income taxes		449		468			(4.1	)		562		750		(25.1	)
Provision for credit losses		29		(41	)		*			79		163		(51.5	)
Income before income taxes		420		509			(17.5	)		483		587		(17.7	)
Income taxes and taxable-equivalent adjustment		153		185			(17.3	)		176		214		(17.8	)
Net income		267		324			(17.6	)		307		373		(17.7	)
Net (income) loss attributable to noncontrolling interests		–		–			–			–		–		–
Net income attributable to U.S. Bancorp	$	267	$	324			(17.6	)	$	307	$	373		(17.7	)
Average Balance Sheet
Commercial	$	59,048	$	51,302			15.1	%	$	9,439	$	8,584		10.0	%
Commercial real estate		21,160		19,683			7.5			18,899		18,069		4.6
Residential mortgages		19		24			(20.8	)		50,544		48,130		5.0
Credit card		–		–			–			–		–		–
Other retail		4		6			(33.3	)		46,594		44,727		4.2
Total loans, excluding covered loans		80,231		71,015			13.0			125,476		119,510		5.0
Covered loans		174		340			(48.8	)		5,688		6,434		(11.6	)
Total loans		80,405		71,355			12.7			131,164		125,944		4.1
Goodwill		1,648		1,604			2.7			3,680		3,515		4.7
Other intangible assets		21		24			(12.5	)		2,664		2,650		.5
Assets		87,449		77,708			12.5			145,604		140,621		3.5
Noninterest-bearing deposits		32,684		30,812			6.1			24,696		22,585		9.3
Interest checking		11,270		10,031			12.4			36,881		33,007		11.7
Savings products		19,082		15,067			26.6			51,229		46,532		10.1
Time deposits		17,961		22,362			(19.7	)		17,816		20,718		(14.0	)
Total deposits		80,997		78,272			3.5			130,622		122,842		6.3
Total U.S. Bancorp shareholders’ equity		7,764		7,366			5.4			11,504		12,222		(5.9	)

	Wholesale Banking and Commercial Real Estate								Consumer and Small Business Banking
Nine Months Ended September 30 (Dollars in Millions)	2014		2013			Percent Change			2014		2013		Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$	1,521	$	1,501			1.3	%	$	3,241	$	3,459		(6.3	)%
Noninterest income		738		819			(9.9	)		1,967		2,268		(13.3	)
Securities gains (losses), net		–		–			–			–		–		–
Total net revenue		2,259		2,320			(2.6	)		5,208		5,727		(9.1	)
Noninterest expense		930		920			1.1			3,421		3,377		1.3
Other intangibles		3		6			(50.0	)		29		31		(6.5	)
Total noninterest expense		933		926			.8			3,450		3,408		1.2
Income before provision and income taxes		1,326		1,394			(4.9	)		1,758		2,319		(24.2	)
Provision for credit losses		26		(114	)		*			332		573		(42.1	)
Income before income taxes		1,300		1,508			(13.8	)		1,426		1,746		(18.3	)
Income taxes and taxable-equivalent adjustment		473		549			(13.8	)		519		636		(18.4	)
Net income		827		959			(13.8	)		907		1,110		(18.3	)
Net (income) loss attributable to noncontrolling interests		–		–			–			–		–		–
Net income attributable to U.S. Bancorp	$	827	$	959			(13.8	)	$	907	$	1,110		(18.3	)
Average Balance Sheet
Commercial	$	57,029	$	50,232			13.5	%	$	8,903	$	8,567		3.9	%
Commercial real estate		20,879		19,375			7.8			18,771		17,741		5.8
Residential mortgages		20		27			(25.9	)		50,443		46,251		9.1
Credit card		–		–			–			–		–		–
Other retail		4		7			(42.9	)		45,964		44,739		2.7
Total loans, excluding covered loans		77,932		69,641			11.9			124,081		117,298		5.8
Covered loans		205		394			(48.0	)		5,871		6,690		(12.2	)
Total loans		78,137		70,035			11.6			129,952		123,988		4.8
Goodwill		1,621		1,604			1.1			3,577		3,516		1.7
Other intangible assets		21		26			(19.2	)		2,698		2,293		17.7
Assets		85,198		76,455			11.4			143,337		140,056		2.3
Noninterest-bearing deposits		32,029		30,299			5.7			23,218		21,976		5.7
Interest checking		11,042		10,378			6.4			35,832		32,841		9.1
Savings products		17,929		13,320			34.6			49,496		46,106		7.4
Time deposits		18,217		18,450			(1.3	)		18,080		21,591		(16.3	)
Total deposits		79,217		72,447			9.3			126,626		122,514		3.4
Total U.S. Bancorp shareholders’ equity		7,653		7,269			5.3			11,480		12,125		(5.3	)

* Not meaningful

30 U.S. Bancorp

Wealth Management and Securities Services							Payment Services									Treasury and Corporate Support									Consolidated Company
2014		2013		Percent Change			2014			2013			Percent Change			2014			2013			Percent Change			2014			2013			Percent Change
$	96	$	82		17.1	%	$	442		$	393			12.5	%	$	618		$	580			6.6	%	$	2,748		$	2,714			1.3	%
	352		314		12.1			842			822			2.4			146			61			*			2,245			2,180			3.0
	–		–		–			–			–			–			(3	)		(3	)		–			(3	)		(3	)		–
	448		396		13.1			1,284			1,215			5.7			761			638			19.3			4,990			4,891			2.0
	335		324		3.4			582			575			1.2			173			199			(13.1	)		2,563			2,510			2.1
	8		9		(11.1	)		30			34			(11.8	)		–			–			–			51			55			(7.3	)
	343		333		3.0			612			609			.5			173			199			(13.1	)		2,614			2,565			1.9
	105		63		66.7			672			606			10.9			588			439			33.9			2,376			2,326			2.1
	6		6		–			190			172			10.5			7			(2	)		*			311			298			4.4
	99		57		73.7			482			434			11.1			581			441			31.7			2,065			2,028			1.8
	36		21		71.4			175			158			10.8			39			20			95.0			579			598			(3.2	)
	63		36		75.0			307			276			11.2			542			421			28.7			1,486			1,430			3.9
	–		–		–			(9	)		(10	)		10.0			(6	)		48			*			(15	)		38			*
$	63	$	36		75.0		$	298		$	266			12.0		$	536		$	469			14.3		$	1,471		$	1,468			.2
$	1,968	$	1,772		11.1	%	$	6,681		$	6,191			7.9	%	$	209		$	215			(2.8	)%	$	77,345		$	68,064			13.6	%
	601		655		(8.2	)		–			–			–			179			94			90.4			40,839			38,501			6.1
	1,430		984		45.3			–			–			–			1			1			–			51,994			49,139			5.8
	–		–		–			17,753			16,931			4.9			–			–			–			17,753			16,931			4.9
	1,436		1,532		(6.3	)		664			729			(8.9	)		–			–			–			48,698			46,994			3.6
	5,435		4,943		10.0			25,098			23,851			5.2			389			310			25.5			236,629			219,629			7.7
	3		17		(82.4	)		5			5			–			1,368			2,937			(53.4	)		7,238			9,733			(25.6	)
	5,438		4,960		9.6			25,103			23,856			5.2			1,757			3,247			(45.9	)		243,867			229,362			6.3
	1,572		1,533		2.5			2,517			2,509			.3			–			–			–			9,417			9,161			2.8
	155		166		(6.6	)		483			557			(13.3	)		–			2			*			3,323			3,399			(2.2	)
	8,679		7,751		12.0			31,407			30,123			4.3			112,684			95,958			17.4			385,823			352,161			9.6
	14,900		13,500		10.4			702			714			(1.7	)		1,144			653			75.2			74,126			68,264			8.6
	5,729		4,741		20.8			573			455			25.9			1			1			–			54,454			48,235			12.9
	30,373		26,326		15.4			81			60			35.0			100			80			25.0			100,865			88,065			14.5
	3,939		4,182		(5.8	)		–			–			–			1,847			542			*			41,563			47,804			(13.1	)
	54,941		48,749		12.7			1,356			1,229			10.3			3,092			1,276			*			271,008			252,368			7.4
	2,267		2,398		(5.5	)		5,690			6,102			(6.8	)		15,907			11,848			34.3			43,132			39,936			8.0

Wealth Management and Securities Services							Payment Services									Treasury and Corporate Support								Consolidated Company
2014		2013		Percent Change			2014			2013			Percent Change			2014			2013		Percent Change			2014			2013		Percent Change
$	270	$	257		5.1	%	$	1,271		$	1,168			8.8	%	$	1,895		$	1,710		10.8	%	$	8,198		$	8,095		1.3	%
	1,038		935		11.0			2,449			2,397			2.2			600			191		*			6,792			6,610		2.8
	–		–		–			–			–			–			2			8		(75.0	)		2			8		(75.0	)
	1,308		1,192		9.7			3,720			3,565			4.3			2,497			1,909		30.8			14,992			14,713		1.9
	1,002		968		3.5			1,742			1,695			2.8			668			465		43.7			7,763			7,425		4.6
	25		27		(7.4	)		91			103			(11.7	)		–			–		–			148			167		(11.4	)
	1,027		995		3.2			1,833			1,798			1.9			668			465		43.7			7,911			7,592		4.2
	281		197		42.6			1,887			1,767			6.8			1,829			1,444		26.7			7,081			7,121		(.6	)
	8		7		14.3			573			553			3.6			2			44		(95.5	)		941			1,063		(11.5	)
	273		190		43.7			1,314			1,214			8.2			1,827			1,400		30.5			6,140			6,058		1.4
	100		69		44.9			478			442			8.1			163			101		61.4			1,733			1,797		(3.6	)
	173		121		43.0			836			772			8.3			1,664			1,299		28.1			4,407			4,261		3.4
	–		–		–			(27	)		(29	)		6.9			(17	)		148		*			(44	)		119		*
$	173	$	121		43.0		$	809		$	743			8.9		$	1,647		$	1,447		13.8		$	4,363		$	4,380		(.4	)
$	1,910	$	1,686		13.3	%	$	6,402		$	6,030			6.2	%	$	180		$	204		(11.8	)%	$	74,424		$	66,719		11.5	%
	608		656		(7.3	)		–			–			–			207			100		*			40,465			37,872		6.8
	1,335		776		72.0			–			–			–			1			1		–			51,799			47,055		10.1
	–		–		–			17,516			16,627			5.3			–			–		–			17,516			16,627		5.3
	1,450		1,544		(6.1	)		680			744			(8.6	)		–			–		–			48,098			47,034		2.3
	5,303		4,662		13.7			24,598			23,401			5.1			388			305		27.2			232,302			215,307		7.9
	5		14		(64.3	)		5			5			–			1,710			3,272		(47.7	)		7,796			10,375		(24.9	)
	5,308		4,676		13.5			24,603			23,406			5.1			2,098			3,577		(41.3	)		240,098			225,682		6.4
	1,568		1,529		2.6			2,518			2,508			.4			–			–		–			9,284			9,157		1.4
	163		174		(6.3	)		494			584			(15.4	)		–			2		*			3,376			3,079		9.6
	8,409		7,514		11.9			30,901			29,659			4.2			107,202			97,364		10.1			375,047			351,048		6.8
	15,095		13,786		9.5			704			694			1.4			1,228			428		*			72,274			67,183		7.6
	5,494		4,683		17.3			559			444			25.9			1			1		–			52,928			48,347		9.5
	28,650		27,070		5.8			76			54			40.7			103			85		21.2			96,254			86,635		11.1
	4,111		5,237		(21.5	)		–			–			–			1,798			841		*			42,206			46,119		(8.5	)
	53,350		50,776		5.1			1,339			1,192			12.3			3,130			1,355		*			263,662			248,284		6.2
	2,283		2,375		(3.9	)		5,675			6,033			(5.9	)		15,407			11,873		29.8			42,498			39,675		7.1

U.S. Bancorp 31

Net revenue decreased $127 million (6.8 percent) in the third quarter and $519 million (9.1 percent) in the first nine months of 2014, compared with the same periods of 2013. Net interest income, on a taxable-equivalent basis, decreased $79 million (6.9 percent) in the third quarter and $218 million (6.3 percent) in the first nine months of 2014, compared with the same periods of 2013. The decreases in net interest income were primarily due to lower loan fees due to the wind down of the CAA product, lower rates on loans, and the impact of lower rates on the margin benefit from deposits, partially offset by higher average loan and deposit balances. Noninterest income decreased $48 million (6.7 percent) in the third quarter and $301 million (13.3 percent) in the first nine months of 2014, compared with the same periods of 2013, primarily the result of lower mortgage banking revenue, partially offset by higher deposit service charges and retail lease revenue. The decrease in mortgage banking revenue in the third quarter of 2014, compared with the third quarter of 2013, was principally due to an unfavorable change in the valuation of MSRs, net of hedging activities. The decrease in mortgage banking revenue in the first nine months of 2014, compared with the same period of the prior year, was primarily due to lower origination and sales revenue.

Noninterest expense increased $61 million (5.4 percent) in the third quarter and $42 million (1.2 percent) in the first nine months of 2014, compared with the same periods of 2013, the result of mortgage servicing-related expenses and higher compensation and employee benefits expense, partially offset by lower mortgage-related incentive compensation, due to lower mortgage portfolio production, and lower FDIC insurance assessments. The provision for credit losses decreased $84 million (51.5 percent) in the third quarter and $241 million (42.1 percent) in the first nine months of 2014, compared with the same periods of 2013. The decreases were due to lower net charge-offs and favorable changes in the reserve allocation, partially offset by higher loan balances. As a percentage of average loans outstanding on an annualized basis, net charge-offs decreased to .35 percent in the third quarter of 2014, compared with .51 percent in the third quarter of 2013. Nonperforming assets were $1.4 billion at September 30, 2014, $1.4 billion at June 30, 2014, and $1.5 billion at September 30, 2013. Nonperforming assets as a percentage of period-end loans were 1.10 percent at September 30, 2014, 1.08 percent at June 30, 2014, and 1.15 percent at September 30, 2013. Refer to the “Corporate Risk Profile” section for further information on factors impacting the credit quality of the loan portfolios.

Wealth Management and Securities Services Wealth Management and Securities Services provides private banking, financial advisory services, investment management, retail brokerage services, insurance, trust, custody and fund servicing through five businesses: Wealth Management, Corporate Trust Services, U.S. Bancorp Asset Management, Institutional Trust & Custody and Fund Services. Wealth Management and Securities Services contributed $63 million of the Company’s net income in the third quarter and $173 million in the first nine months of 2014, or increases of $27 million (75.0 percent) and $52 million (43.0 percent), respectively, compared with the same periods of 2013. The increases were primarily due to higher net revenue, partially offset by higher noninterest expense.

Net revenue increased $52 million (13.1 percent) in the third quarter and $116 million (9.7 percent) in the first nine months of 2014, compared with the same periods of 2013. The increases were primarily driven by higher noninterest income of $38 million (12.1 percent) in the third quarter and $103 million (11.0 percent) in the first nine months of 2014, compared with the same periods of 2013, reflecting the impact of account growth, improved market conditions and business expansion. Net interest income, on a taxable-equivalent basis, increased $14 million (17.1 percent) in the third quarter and $13 million (5.1 percent) in the first nine months 2014, compared with the same periods of 2013, principally due to higher average loan and deposit balances and an increase in the margin benefit of corporate trust deposits.

Noninterest expense increased $10 million (3.0 percent) in the third quarter and $32 million (3.2 percent) in the first nine months of 2014, compared with the same periods of 2013. The increases in noninterest expense were primarily due to higher compensation and employee benefits expense, including the impact of business expansion, partially offset by lower net shared services expense.

Payment Services Payment Services includes consumer and business credit cards, stored-value cards, debit cards, corporate, government and purchasing card services, consumer lines of credit and merchant processing. Payment Services contributed $298 million of the Company’s net income in the third quarter and $809 million in the first nine months of 2014, or increases of $32 million (12.0 percent) and $66 million (8.9 percent), respectively, compared with the same periods of 2013. The increases were primarily due to higher net revenue, partially offset by higher noninterest expense and provision for credit losses.

32 U.S. Bancorp

Net revenue increased $69 million (5.7 percent) in the third quarter and $155 million (4.3 percent) in the first nine months of 2014, compared with the same periods of 2013. Net interest income, on a taxable-equivalent basis, increased $49 million (12.5 percent) in the third quarter and $103 million (8.8 percent) in the first nine months of 2014, compared with the same periods of 2013, driven by higher average loan balances, higher loan-related fees and improved loan rates. Noninterest income increased $20 million (2.4 percent) in the third quarter and $52 million (2.2 percent) in the first nine months of 2014, compared with the same periods of 2013, primarily due to increases in credit and debit card revenue on higher transaction volumes, and higher merchant processing services revenue due to higher volumes and increases in fee-based product revenue, partially offset by lower rates.

Noninterest expense increased $3 million (.5 percent) in the third quarter and $35 million (1.9 percent) in the first nine months of 2014, compared with the same periods of 2013, primarily due to higher compensation and employee benefits expenses, including the impact of business initiatives, partially offset by reductions in technology and communications expense and other intangibles expense. The provision for credit losses increased $18 million (10.5 percent) in the third quarter and $20 million (3.6 percent) in the first nine months of 2014, compared with the same periods of 2013, primarily due to unfavorable changes in the reserve allocation. As a percentage of average loans outstanding, net charge-offs were 2.94 percent in the third quarter of 2014, compared with 3.16 percent in the third quarter of 2013.

Treasury and Corporate Support Treasury and Corporate Support includes the Company’s investment portfolios, most covered commercial and commercial real estate loans and related other real estate owned, funding, capital management, interest rate risk management, the net effect of transfer pricing related to average balances, income taxes not allocated to business lines, including most investments in tax-advantaged projects, and the residual aggregate of those expenses associated with corporate activities that are managed on a consolidated basis. Treasury and Corporate Support recorded net income of $536 million in the third quarter and $1.6 billion in the first nine months of 2014, compared with $469 million and $1.4 billion in the same periods of 2013, respectively.

Net revenue increased $123 million (19.3 percent) in the third quarter and $588 million (30.8 percent) in the first nine months of 2014, compared with the same periods of 2013. Net interest income, on a taxable-equivalent basis, increased $38 million (6.6 percent) in the third quarter and $185 million (10.8 percent) in the first nine months of 2014, compared with the same periods of 2013, principally due to increases in average balances in the investment securities portfolio and lower rates on short-term borrowings, partially offset by lower income from the run-off of acquired assets. Noninterest income increased $85 million in the third quarter and $403 million in the first nine months of 2014, compared with the same periods of 2013, primarily due to higher equity investment income and commercial products revenue. In addition, noninterest income was higher in the first nine months of 2014, compared with the same period of the prior year, due to the second quarter 2014 Visa sale.

Noninterest expense decreased $26 million (13.1 percent) in the third quarter of 2014, compared with the third quarter of 2013, principally due to a decrease in employee benefits expense resulting from lower pension costs, and lower costs related to investments in tax-advantaged projects related to a change in the first quarter of 2014 accounting for affordable housing investments, partially offset by increased compensation expense. Noninterest expense increased $203 million (43.7 percent) in the first nine months of 2014, compared with the first nine months of 2013, principally driven by the second quarter 2014 FHA DOJ settlement, insurance-related recoveries in the prior year and increased compensation expense, partially offset by decreases in employee benefits expense and lower costs related to investments in tax-advantaged projects.

Income taxes are assessed to each line of business at a managerial tax rate of 36.4 percent with the residual tax expense or benefit to arrive at the consolidated effective tax rate included in Treasury and Corporate Support.

NON-GAAP FINANCIAL MEASURES

In addition to capital ratios defined by banking regulators, the Company considers various other measures when evaluating capital utilization and adequacy, including:

• Tangible common equity to tangible assets,

• Tangible common equity to risk-weighted assets,

• Common equity tier 1 capital to risk-weighted assets estimated for the Basel III fully implemented standardized approach,

• Common equity tier 1 capital to risk-weighted assets estimated for the Basel III fully implemented advanced approaches, and for additional information,

• Tier 1 common equity to risk-weighted assets using Basel I definition.

U.S. Bancorp 33

These measures are viewed by management as useful additional methods of reflecting the level of capital available to withstand unexpected market or economic conditions. Additionally, presentation of these measures allows investors, analysts and banking regulators to assess the Company’s capital position relative to other financial services companies. These measures differ from currently effective capital ratios defined by banking regulations principally in that the numerator includes unrealized gains and losses related to available-for-sale securities and excludes preferred securities, including preferred stock, the nature and extent of which varies among different financial services companies. These measures are not defined in generally accepted accounting principles (“GAAP”), or are not currently effective or defined in federal banking regulations. As a result, these measures disclosed by the Company may be considered non-GAAP financial measures.

There may be limits in the usefulness of these measures to investors. As a result, the Company encourages readers to consider the consolidated financial statements and other financial information contained in this report in their entirety, and not to rely on any single financial measure.

The following table shows the Company’s calculation of these Non-GAAP financial measures:

(Dollars in Millions)	September 30, 2014			December 31, 2013
Total equity	$	43,829		$	41,807
Preferred stock		(4,756	)		(4,756	)
Noncontrolling interests		(688	)		(694	)
Goodwill (net of deferred tax liability) (1)		(8,503	)		(8,343	)
Intangible assets, other than mortgage servicing rights		(877	)		(849	)
Tangible common equity (a)		29,005			27,165
Tangible common equity (as calculated above)		29,005			27,165
Adjustments (2)		187			224
Common equity tier 1 capital estimated for the Basel III fully implemented standardized and advanced approaches (b)		29,192			27,389
Tier 1 capital, determined in accordance with prescribed regulatory requirements using Basel I definition					33,386
Preferred stock					(4,756	)
Noncontrolling interests, less preferred stock not eligible for Tier 1 capital					(688	)
Tier 1 common equity using Basel 1 definition (c)					27,942
Total assets		391,284			364,021
Goodwill (net of deferred tax liability) (1)		(8,503	)		(8,343	)
Intangible assets, other than mortgage servicing rights		(877	)		(849	)
Tangible assets (d)		381,904			354,829
Risk-weighted assets, determined in accordance with prescribed regulatory requirements (3)(e)		311,914			297,919
Adjustments (4)		12,837			13,712
Risk-weighted assets estimated for the Basel III fully implemented standardized approach (f)		324,751			311,631
Risk-weighted assets, determined in accordance with prescribed transitional advanced approaches regulatory requirements		243,909
Adjustments (5)		3,443
Risk-weighted assets estimated for the Basel III fully implemented advanced approaches (g)		247,352
Ratios
Tangible common equity to tangible assets (a)/(d)		7.6	%		7.7	%
Tangible common equity to risk-weighted assets (a)/(e)		9.3			9.1
Tier 1 common equity to risk-weighted assets using Basel I definition (c)/(e)		–			9.4
Common equity tier 1 capital to risk-weighted assets estimated for the Basel III fully implemented standardized approach (b)/(f)		9.0			8.8
Common equity tier 1 capital to risk-weighted assets estimated for the Basel III fully implemented advanced approaches (b)/(g)		11.8

(1) Includes goodwill related to certain investments in unconsolidated financial institutions per prescribed regulatory requirements beginning March 31, 2014.

(2) Includes net losses on cash flow hedges included in accumulated other comprehensive income and other adjustments.

(3) September 30, 2014, calculated under the Basel III transitional standardized approach; December 31, 2013, calculated under Basel I.

(4) Includes higher risk-weighting for unfunded loan commitments, investment securities, residential mortgages, mortgage servicing rights and other adjustments.

(5) Primarily reflects higher risk-weighting for mortgage servicing rights.

34 U.S. Bancorp

CRITICAL ACCOUNTING POLICIES

The accounting and reporting policies of the Company comply with accounting principles generally accepted in the United States and conform to general practices within the banking industry. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions. The Company’s financial position and results of operations can be affected by these estimates and assumptions, which are integral to understanding the Company’s financial statements. Critical accounting policies are those policies management believes are the most important to the portrayal of the Company’s financial condition and results, and require management to make estimates that are difficult, subjective or complex. Most accounting policies are not considered by management to be critical accounting policies. Those policies considered to be critical accounting policies relate to the allowance for credit losses, fair value estimates, purchased loans and related indemnification assets, MSRs, goodwill and other intangibles and income taxes. Management has discussed the development and the selection of critical accounting policies with the Company’s Audit Committee. These accounting policies are discussed in detail in “Management’s Discussion and Analysis — Critical Accounting Policies” and the Notes to Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December  31, 2013.

CONTROLS AND PROCEDURES

Under the supervision and with the participation of the Company’s management, including its principal executive officer and principal financial officer, the Company has evaluated the effectiveness of the design and operation of its disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”)). Based upon this evaluation, the principal executive officer and principal financial officer have concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were effective.

During the most recently completed fiscal quarter, there was no change made in the Company’s internal controls over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

U.S. Bancorp 35

U.S. Bancorp

Consolidated Balance Sheet

(Dollars in Millions)	September 30, 2014			December 31, 2013
	(Unaudited)
Assets
Cash and due from banks	$	6,183		$	8,477
Investment securities
Held-to-maturity (fair value $44,094 and $38,368, respectively; including $366 and $994 at fair value pledged as collateral, respectively) (a)		44,231			38,920
Available-for-sale ($274 and $1,106 pledged as collateral, respectively) (a)		52,674			40,935
Loans held for sale (including $3,918 and $3,263 of mortgage loans carried at fair value, respectively)		3,939			3,268
Loans
Commercial		78,878			70,033
Commercial real estate		40,909			39,885
Residential mortgages		51,957			51,156
Credit card		17,858			18,021
Other retail		48,935			47,678
Total loans, excluding covered loans		238,537			226,773
Covered loans		7,054			8,462
Total loans		245,591			235,235
Less allowance for loan losses		(4,065	)		(4,250	)
Net loans		241,526			230,985
Premises and equipment		2,608			2,606
Goodwill		9,401			9,205
Other intangible assets		3,338			3,529
Other assets (including $142 and $111 of trading securities at fair value pledged as collateral, respectively) (a)		27,384			26,096
Total assets	$	391,284		$	364,021
Liabilities and Shareholders’ Equity
Deposits
Noninterest-bearing	$	78,641		$	76,941
Interest-bearing		165,070			156,165
Time deposits greater than $100,000		29,386			29,017
Total deposits		273,097			262,123
Short-term borrowings		30,045			27,608
Long-term debt		30,768			20,049
Other liabilities		13,545			12,434
Total liabilities		347,455			322,214
Shareholders’ equity
Preferred stock		4,756			4,756
Common stock, par value $0.01 a share – authorized: 4,000,000,000 shares; issued: 9/30/14 and 12/31/13 – 2,125,725,742 shares		21			21
Capital surplus		8,293			8,216
Retained earnings		41,543			38,667
Less cost of common stock in treasury: 9/30/14 – 330,882,734 shares; 12/31/13 – 300,977,274 shares		(10,836	)		(9,476	)
Accumulated other comprehensive income (loss)		(636	)		(1,071	)
Total U.S. Bancorp shareholders’ equity		43,141			41,113
Noncontrolling interests		688			694
Total equity		43,829			41,807
Total liabilities and equity	$	391,284		$	364,021

(a) Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.

See Notes to Consolidated Financial Statements.

36 U.S. Bancorp

U.S. Bancorp

Consolidated Statement of Income

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars and Shares in Millions, Except Per Share Data) (Unaudited)	2014			2013			2014			2013
Interest Income
Loans	$	2,518		$	2,568		$	7,572		$	7,682
Loans held for sale		36			46			87			172
Investment securities		476			420			1,378			1,222
Other interest income		27			34			89			141
Total interest income		3,057			3,068			9,126			9,217
Interest Expense
Deposits		115			134			348			433
Short-term borrowings		72			98			204			270
Long-term debt		178			178			543			587
Total interest expense		365			410			1,095			1,290
Net interest income		2,692			2,658			8,031			7,927
Provision for credit losses		311			298			941			1,063
Net interest income after provision for credit losses		2,381			2,360			7,090			6,864
Noninterest Income
Credit and debit card revenue		251			244			749			702
Corporate payment products revenue		195			192			550			540
Merchant processing services		387			371			1,127			1,091
ATM processing services		81			83			241			248
Trust and investment management fees		315			280			930			842
Deposit service charges		185			180			513			493
Treasury management fees		136			134			409			408
Commercial products revenue		209			207			635			616
Mortgage banking revenue		260			328			774			1,125
Investment products fees		49			46			142			133
Securities gains (losses), net
Realized gains (losses), net		–			–			8			21
Total other-than-temporary impairment		(3	)		(2	)		(5	)		(5	)
Portion of other-than-temporary impairment recognized in other comprehensive income		–			(1	)		(1	)		(8	)
Total securities gains (losses), net		(3	)		(3	)		2			8
Other		177			115			722			412
Total noninterest income		2,242			2,177			6,794			6,618
Noninterest Expense
Compensation		1,132			1,088			3,372			3,268
Employee benefits		250			278			796			865
Net occupancy and equipment		249			240			739			709
Professional services		102			94			282			263
Marketing and business development		78			85			253			254
Technology and communications		219			214			644			639
Postage, printing and supplies		81			76			242			230
Other intangibles		51			55			148			167
Other		452			435			1,435			1,197
Total noninterest expense		2,614			2,565			7,911			7,592
Income before income taxes		2,009			1,972			5,973			5,890
Applicable income taxes		523			542			1,566			1,629
Net income		1,486			1,430			4,407			4,261
Net (income) loss attributable to noncontrolling interests		(15	)		38			(44	)		119
Net income attributable to U.S. Bancorp	$	1,471		$	1,468		$	4,363		$	4,380
Net income applicable to U.S. Bancorp common shareholders	$	1,405		$	1,400		$	4,163		$	4,163
Earnings per common share	$	.78		$	.76		$	2.30		$	2.26
Diluted earnings per common share	$	.78		$	.76		$	2.29		$	2.25
Dividends declared per common share	$	.245		$	.230		$	.720		$	.655
Average common shares outstanding		1,798			1,832			1,809			1,844
Average diluted common shares outstanding		1,807			1,843			1,819			1,854

See Notes to Consolidated Financial Statements.

U.S. Bancorp 37

U.S. Bancorp

Consolidated Statement of Comprehensive Income

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions) (Unaudited)	2014			2013			2014			2013
Net income	$	1,486		$	1,430		$	4,407		$	4,261
Other Comprehensive Income (Loss)
Changes in unrealized gains and losses on securities available-for-sale		(21	)		(237	)		486			(1,032	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		–			1			1			8
Changes in unrealized gains and losses on derivative hedges		16			(17	)		(19	)		33
Foreign currency translation		4			13			18			(20	)
Changes in unrealized gains and losses on retirement plans		–			38			–			37
Reclassification to earnings of realized gains and losses		76			99			221			270
Income taxes related to other comprehensive income		(29	)		40			(272	)		276
Total other comprehensive income (loss)		46			(63	)		435			(428	)
Comprehensive income		1,532			1,367			4,842			3,833
Comprehensive (income) loss attributable to noncontrolling interests		(15	)		38			(44	)		119
Comprehensive income attributable to U.S. Bancorp	$	1,517		$	1,405		$	4,798		$	3,952

See Notes to Consolidated Financial Statements.

38 U.S. Bancorp

U.S. Bancorp

Consolidated Statement of Shareholders’ Equity

	U.S. Bancorp Shareholders
(Dollars and Shares in Millions) (Unaudited)	Common Shares Outstanding			Preferred Stock			Common Stock		Capital Surplus			Retained Earnings			Treasury Stock			Accumulated Other Comprehensive Income (Loss)			Total U.S. Bancorp Shareholders’ Equity			Noncontrolling Interests			Total Equity
Balance December 31, 2012		1,869		$	4,769		$	21	$	8,201		$	34,720		$	(7,790	)	$	(923	)	$	38,998		$	1,269		$	40,267
Net income (loss)													4,380									4,380			(119	)		4,261
Other comprehensive income (loss)																			(428	)		(428	)					(428	)
Redemption of preferred stock					(500	)				8			(8	)								(500	)					(500	)
Preferred stock dividends													(189	)								(189	)					(189	)
Common stock dividends													(1,211	)								(1,211	)					(1,211	)
Issuance of preferred stock					487																	487						487
Issuance of common and treasury stock		15								(114	)					459						345						345
Purchase of treasury stock		(52	)													(1,843	)					(1,843	)					(1,843	)
Distributions to noncontrolling interests																						–			(45	)		(45	)
Net other changes in noncontrolling interests																						–			315			315
Stock option and restricted stock grants										93												93						93
Balance September 30, 2013		1,832		$	4,756		$	21	$	8,188		$	37,692		$	(9,174	)	$	(1,351	)	$	40,132		$	1,420		$	41,552
Balance December 31, 2013		1,825		$	4,756		$	21	$	8,216		$	38,667		$	(9,476	)	$	(1,071	)	$	41,113		$	694		$	41,807
Net income (loss)													4,363									4,363			44			4,407
Other comprehensive income (loss)																			435			435						435
Preferred stock dividends													(181	)								(181	)					(181	)
Common stock dividends													(1,306	)								(1,306	)					(1,306	)
Issuance of common and treasury stock		13								(10	)					407						397						397
Purchase of treasury stock		(43	)													(1,767	)					(1,767	)					(1,767	)
Distributions to noncontrolling interests																						–			(44	)		(44	)
Net other changes in noncontrolling interests																						–			(6	)		(6	)
Stock option and restricted stock grants										87												87						87
Balance September 30, 2014		1,795		$	4,756		$	21	$	8,293		$	41,543		$	(10,836	)	$	(636	)	$	43,141		$	688		$	43,829

See Notes to Consolidated Financial Statements.

U.S. Bancorp 39

U.S. Bancorp

Consolidated Statement of Cash Flows

	Nine Months Ended September 30,
(Dollars in Millions) (Unaudited)	2014			2013
Operating Activities
Net income attributable to U.S. Bancorp	$	4,363		$	4,380
Adjustments to reconcile net income to net cash provided by operating activities
Provision for credit losses		941			1,063
Depreciation and amortization of premises and equipment		225			222
Amortization of intangibles		148			167
Provision for deferred income taxes		(36	)		(38	)
(Gain) loss on sale of loans held for sale		(565	)		(864	)
(Gain) loss on sale of securities and other assets		(383	)		(42	)
Loans originated for sale in the secondary market, net of repayments		(21,374	)		(49,411	)
Proceeds from sales of loans held for sale		21,160			53,845
Other, net		(13	)		(665	)
Net cash provided by operating activities		4,466			8,657
Investing Activities
Proceeds from sales of available-for-sale investment securities		401			766
Proceeds from maturities of held-to-maturity investment securities		7,215			6,854
Proceeds from maturities of available-for-sale investment securities		4,944			8,395
Purchases of held-to-maturity investment securities		(12,571	)		(9,439	)
Purchases of available-for-sale investment securities		(16,627	)		(9,381	)
Net increase in loans outstanding		(10,043	)		(8,495	)
Proceeds from sales of loans		1,165			620
Purchases of loans		(1,703	)		(1,883	)
Acquisitions, net of cash acquired		3,436			–
Other, net		411			(100	)
Net cash used in investing activities		(23,372	)		(12,663	)
Financing Activities
Net increase in deposits		6,186			12,533
Net increase (decrease) in short-term borrowings		2,437			(174	)
Proceeds from issuance of long-term debt		12,978			198
Principal payments or redemption of long-term debt		(2,196	)		(2,380	)
Proceeds from issuance of preferred stock		–			487
Proceeds from issuance of common stock		377			331
Redemption of preferred stock		–			(500	)
Repurchase of common stock		(1,704	)		(1,779	)
Cash dividends paid on preferred stock		(181	)		(193	)
Cash dividends paid on common stock		(1,285	)		(1,154	)
Net cash provided by financing activities		16,612			7,369
Change in cash and due from banks		(2,294	)		3,363
Cash and due from banks at beginning of period		8,477			8,252
Cash and due from banks at end of period	$	6,183		$	11,615

See Notes to Consolidated Financial Statements.

40 U.S. Bancorp

Notes to Consolidated Financial Statements

(Unaudited)

 Note 1  Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all information and notes necessary for a complete presentation of financial position, results of operations and cash flow activity required in accordance with accounting principles generally accepted in the United States. In the opinion of management of U.S. Bancorp (the “Company”), all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of results for the interim periods have been made. These financial statements and notes should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. Certain amounts in prior periods have been reclassified to conform to the current presentation.

Accounting policies for the lines of business are generally the same as those used in preparation of the consolidated financial statements with respect to activities specifically attributable to each business line. However, the preparation of business line results requires management to establish methodologies to allocate funding costs, expenses and other financial elements to each line of business. Table 10 “Line of Business Financial Performance” included in Management’s Discussion and Analysis provides details of segment results. This information is incorporated by reference into these Notes to Consolidated Financial Statements.

 Note 2  Accounting Changes

Revenue Recognition In May 2014, the Financial Accounting Standards Board issued accounting guidance, effective for the Company on January 1, 2017, related to revenue recognition from contracts with customers, which amends certain currently existing revenue recognition accounting guidance. The guidance allows for either retrospective application to all periods presented or a modified retrospective approach where the guidance would only be applied to existing contracts in effect at the adoption date and new contracts going forward. The Company is currently evaluating the impact of this guidance under the modified retrospective approach and expects the adoption will not be material to its financial statements.

 Note 3  Business Combinations

In June 2014, the Company acquired the Chicago-area branch banking operations of the Charter One Bank franchise (“Charter One”) owned by RBS Citizens Financial Group. The acquisition included Charter One’s retail branch network, small business operations and select middle market relationships. The Company acquired approximately $969 million of loans and $4.8 billion of deposits with this transaction.

U.S. Bancorp 41

 Note 4  Investment Securities

The amortized cost, other-than-temporary impairment recorded in other comprehensive income (loss), gross unrealized holding gains and losses, and fair value of held-to-maturity and available-for-sale investment securities were as follows:

	September 30, 2014												December 31, 2013
					Unrealized Losses												Unrealized Losses
(Dollars in Millions)	Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value		Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value
Held-to-maturity (a)
U.S. Treasury and agencies	$	2,679	$	8	$	–		$	(40	)	$	2,647	$	3,114	$	5	$	–		$	(79	)	$	3,040
Mortgage-backed securities
Residential
Agency		41,419		244		–			(358	)		41,305		35,671		187		–			(665	)		35,193
Non-agency non-prime (d)		1		–		–			–			1		1		–		–			–			1
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		8		–			–			8		–		9		–			–			9
Other		14		4		(1	)		–			17		16		4		(1	)		(1	)		18
Obligations of state and political subdivisions		10		–		–			–			10		12		–		–			–			12
Obligations of foreign governments		9		–		–			–			9		7		–		–			–			7
Other debt securities		99		–		–			(2	)		97		99		–		–			(11	)		88
Total held-to-maturity	$	44,231	$	264	$	(1	)	$	(400	)	$	44,094	$	38,920	$	205	$	(1	)	$	(756	)	$	38,368
Available-for-sale (b)
U.S. Treasury and agencies	$	2,692	$	7	$	–		$	(21	)	$	2,678	$	1,108	$	4	$	–		$	(67	)	$	1,045
Mortgage-backed securities
Residential
Agency		41,734		524		–			(421	)		41,837		31,633		449		–			(529	)		31,553
Non-agency
Prime (c)		420		11		(4	)		(1	)		426		486		4		(8	)		(4	)		478
Non-prime (d)		270		15		(1	)		–			284		297		5		(5	)		–			297
Commercial agency		119		3		–			–			122		148		4		–			–			152
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		19		4		–			–			23		20		4		–			–			24
Other		609		13		–			–			622		616		13		–			–			629
Obligations of state and political subdivisions		5,327		239		–			(3	)		5,563		5,673		116		–			(51	)		5,738
Obligations of foreign governments		6		–		–			–			6		6		–		–			–			6
Corporate debt securities		690		3		–			(54	)		639		734		–		–			(94	)		640
Perpetual preferred securities		201		27		–			(8	)		220		205		24		–			(17	)		212
Other investments		227		27		–			–			254		133		28		–			–			161
Total available-for-sale	$	52,314	$	873	$	(5	)	$	(508	)	$	52,674	$	41,059	$	651	$	(13	)	$	(762	)	$	40,935

(a) Held-to-maturity investment securities are carried at historical cost or at fair value at the time of transfer from the available-for-sale to held-to-maturity category, adjusted for amortization of premiums and accretion of discounts and credit-related other-than-temporary impairment.

(b) Available-for-sale investment securities are carried at fair value with unrealized net gains or losses reported within accumulated other comprehensive income (loss) in shareholders’ equity.

(c) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads). When the Company determines the designation, prime securities typically have a weighted average credit score of 725 or higher and a loan-to-value of 80 percent or lower; however, other pool characteristics may result in designations that deviate from these credit score and loan-to-value thresholds.

(d) Includes all securities not meeting the conditions to be designated as prime.

(e) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.

(f) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.

The weighted-average maturity of the available-for-sale investment securities was 4.9 years at September 30, 2014, compared with 6.0 years at December 31, 2013. The corresponding weighted-average yields were 2.35 percent and 2.64 percent, respectively. The weighted-average maturity of the held-to-maturity investment securities was 4.4 years at September 30, 2014, compared with 4.5 years at December 31, 2013. The corresponding weighted-average yields were 1.93 percent and 2.00 percent, respectively.

For amortized cost, fair value and yield by maturity date of held-to-maturity and available-for-sale investment securities outstanding at September 30, 2014, refer to Table 4 included in Management’s Discussion and Analysis which is incorporated by reference into these Notes to Consolidated Financial Statements.

42 U.S. Bancorp

Investment securities with a fair value of $12.9 billion at September 30, 2014, and $17.3 billion at December 31, 2013, were pledged to secure public, private and trust deposits, repurchase agreements and for other purposes required by contractual obligation or law. Included in these amounts were securities where the Company and certain counterparties have agreements granting the counterparties the right to sell or pledge the securities. Investment securities delivered under these types of arrangements had a fair value of $640 million at September 30, 2014, and $2.1 billion at December 31, 2013.

The following table provides information about the amount of interest income from taxable and non-taxable investment securities:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Taxable	$	419	$	357	$	1,203	$	1,029
Non-taxable		57		63		175		193
Total interest income from investment securities	$	476	$	420	$	1,378	$	1,222

The following table provides information about the amount of gross gains and losses realized through the sales of available-for-sale investment securities:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Realized gains	$	–	$	–	$	8	$	21
Realized losses		–		–		–		–
Net realized gains (losses)	$	–	$	–	$	8	$	21
Income tax (benefit) on net realized gains (losses)	$	–	$	–	$	3	$	8

The Company conducts a regular assessment of its investment securities with unrealized losses to determine whether investment securities are other-than-temporarily impaired considering, among other factors, the nature of the investment securities, credit ratings or financial condition of the issuer, the extent and duration of the unrealized loss, expected cash flows of underlying collateral, the existence of any government or agency guarantees, market conditions and whether the Company intends to sell or it is more likely than not the Company will be required to sell the investment securities.

The following tables summarize other-than-temporary impairment by investment category:

	2014								2013
Three Months Ended September 30 (Dollars in Millions)	Losses Recorded in Earnings			Other Gains (Losses) (c)		Total			Losses Recorded in Earnings			Other Gains (Losses) (c)		Total
Available-for-sale
Mortgage-backed securities
Non-agency residential
Prime (a)	$	–		$	–	$	–		$	(1	)	$	–	$	(1	)
Non-prime (b)		–			–		–			(2	)		1		(1	)
Perpetual preferred securities		(3	)		–		(3	)		–			–		–
Total available-for-sale	$	(3	)	$	–	$	(3	)	$	(3	)	$	1	$	(2	)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Losses represent the non-credit portion of other-than-temporary impairment recorded in other comprehensive income (loss) for investment securities determined to be other-than-temporarily impaired during the period. Gains represent recoveries in the fair value of securities that had non-credit other-than-temporary impairment during the period.

U.S. Bancorp

43

	2014								2013
Nine Months Ended September 30 (Dollars in Millions)	Losses Recorded in Earnings			Other Gains (Losses) (c)		Total			Losses Recorded in Earnings			Other Gains (Losses) (c)		Total
Available-for-sale
Mortgage-backed securities
Prime (a)	$	(1	)	$	1	$	–		$	(5	)	$	2	$	(3	)
Non-prime (b)		(2	)		–		(2	)		(8	)		6		(2	)
Perpetual preferred securities		(3	)		–		(3	)		–			–		–
Total available-for-sale	$	(6	)	$	1	$	(5	)	$	(13	)	$	8	$	(5	)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Losses represent the non-credit portion of other-than-temporary impairment recorded in other comprehensive income (loss) for investment securities determined to be other-than-temporarily impaired during the period. Gains represent recoveries in the fair value of securities that had non-credit other-than-temporary impairment during the period.

The Company determined the other-than-temporary impairment recorded in earnings for debt securities not intended to be sold by estimating the future cash flows of each individual investment security, using market information where available, and discounting the cash flows at the original effective rate of the investment security. Other-than-temporary impairment recorded in other comprehensive income (loss) was measured as the difference between that discounted amount and the fair value of each investment security. For perpetual preferred securities determined to be other-than-temporarily impaired, the Company recorded a loss in earnings for the entire difference between the securities’ fair value and their amortized cost.

The following table includes the ranges for significant assumptions used for those available-for-sale non-agency mortgage-backed securities determined to be other-than-temporarily impaired during the three months ended September 30, 2014:

	Non-Prime (a)
	Minimum			Maximum			Average
Estimated lifetime prepayment rates		8	%		10	%		8	%
Lifetime probability of default rates		6			8			8
Lifetime loss severity rates		40			55			42

(a) Includes all securities not meeting the conditions to be designated as prime.

Changes in the credit losses on debt securities (excluding perpetual preferred securities) are summarized as follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	111		$	124		$	116		$	134
Additions to Credit Losses Due to Other-than-temporary Impairments
Decreases in expected cash flows on securities for which other-than-temporary impairment was previously recognized		–			3			3			13
Total other-than-temporary impairment on debt securities		–			3			3			13
Other Changes in Credit Losses
Increases in expected cash flows		(2	)		(1	)		(4	)		(2	)
Realized losses (a)		(4	)		(4	)		(10	)		(18	)
Credit losses on security sales and securities expected to be sold		–			–			–			(5	)
Balance at end of period	$	105		$	122		$	105		$	122

(a) Primarily represents principal losses allocated to mortgage and asset-backed securities in the Company’s portfolio under the terms of the securitization transaction documents.

44 U.S. Bancorp

At September 30, 2014, certain investment securities had a fair value below amortized cost. The following table shows the gross unrealized losses and fair value of the Company’s investment securities with unrealized losses, aggregated by investment category and length of time the individual investment securities have been in continuous unrealized loss positions, at September 30, 2014:

	Less Than 12 Months					12 Months or Greater					Total
(Dollars in Millions)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Held-to-maturity
U.S. Treasury and agencies	$	577	$	(2	)	$	968	$	(38	)	$	1,545	$	(40	)
Residential agency mortgage-backed securities		11,469		(76	)		9,607		(282	)		21,076		(358	)
Other asset-backed securities		–		–			6		(1	)		6		(1	)
Other debt securities		–		–			22		(2	)		22		(2	)
Total held-to-maturity	$	12,046	$	(78	)	$	10,603	$	(323	)	$	22,649	$	(401	)
Available-for-sale
U.S. Treasury and agencies	$	1,173	$	(1	)	$	825	$	(20	)	$	1,998	$	(21	)
Mortgage-backed securities
Residential
Agency		9,519		(91	)		8,317		(330	)		17,836		(421	)
Non-agency (a)
Prime (b)		40		(1	)		114		(4	)		154		(5	)
Non-prime (c)		12		–			22		(1	)		34		(1	)
Other asset-backed securities		2		–			24		–			26		–
Obligations of state and political subdivisions		15		–			217		(3	)		232		(3	)
Obligations of foreign governments		6		–			–		–			6		–
Corporate debt securities		–		–			453		(54	)		453		(54	)
Perpetual preferred securities		45		–			76		(8	)		121		(8	)
Total available-for-sale	$	10,812	$	(93	)	$	10,048	$	(420	)	$	20,860	$	(513	)

(a) The Company has $6 million of unrealized losses on residential non-agency mortgage-backed securities. Credit-related other-than-temporary impairment on these securities may occur if there is further deterioration in the underlying collateral pool performance. Borrower defaults may increase if economic conditions worsen. Additionally, deterioration in home prices may increase the severity of projected losses.

(b) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(c) Includes all securities not meeting the conditions to be designated as prime.

The Company does not consider these unrealized losses to be credit-related. These unrealized losses primarily relate to changes in interest rates and market spreads subsequent to purchase. A substantial portion of investment securities that have unrealized losses are either corporate debt issued with high investment grade credit ratings or agency mortgage-backed securities. In general, the issuers of the investment securities are contractually prohibited from prepayment at less than par, and the Company did not pay significant purchase premiums for these investment securities. At September 30, 2014, the Company had no plans to sell investment securities with unrealized losses, and believes it is more likely than not it would not be required to sell such investment securities before recovery of their amortized cost.

U.S. Bancorp 45

 Note 5  Loans and Allowance for Credit Losses

The composition of the loan portfolio, disaggregated by class and underlying specific portfolio type, was as follows:

	September 30, 2014					December 31, 2013
(Dollars in Millions)	Amount		Percent of Total			Amount		Percent of Total
Commercial
Commercial	$	73,600		30.0	%	$	64,762		27.5	%
Lease financing		5,278		2.1			5,271		2.3
Total commercial		78,878		32.1			70,033		29.8
Commercial Real Estate
Commercial mortgages		31,802		13.0			32,183		13.7
Construction and development		9,107		3.7			7,702		3.3
Total commercial real estate		40,909		16.7			39,885		17.0
Residential Mortgages
Residential mortgages		38,858		15.8			37,545		15.9
Home equity loans, first liens		13,099		5.3			13,611		5.8
Total residential mortgages		51,957		21.1			51,156		21.7
Credit Card		17,858		7.3			18,021		7.7
Other Retail
Retail leasing		5,999		2.5			5,929		2.5
Home equity and second mortgages		15,769		6.4			15,442		6.6
Revolving credit		3,242		1.3			3,276		1.4
Installment		6,173		2.5			5,709		2.4
Automobile		14,517		5.9			13,743		5.8
Student		3,235		1.3			3,579		1.5
Total other retail		48,935		19.9			47,678		20.2
Total loans, excluding covered loans		238,537		97.1			226,773		96.4
Covered Loans		7,054		2.9			8,462		3.6
Total loans	$	245,591		100.0	%	$	235,235		100.0	%

The Company had loans of $79.4 billion at September 30, 2014, and $77.2 billion at December 31, 2013, pledged at the Federal Home Loan Bank (“FHLB”), and loans of $61.8 billion at September 30, 2014, and $53.0 billion at December 31, 2013, pledged at the Federal Reserve Bank.

Originated loans are reported at the principal amount outstanding, net of unearned interest and deferred fees and costs. Net unearned interest and deferred fees and costs amounted to $575 million at September 30, 2014, and $556 million at December 31, 2013. All purchased loans and related indemnification assets are recorded at fair value at the date of purchase. The Company evaluates purchased loans for impairment at the date of purchase in accordance with applicable authoritative accounting guidance. Purchased loans with evidence of credit deterioration since origination for which it is probable that all contractually required payments will not be collected are considered “purchased impaired loans.” All other purchased loans are considered “purchased nonimpaired loans.”

46 U.S. Bancorp

On the acquisition date, the estimate of the contractually required payments receivable for all purchased nonimpaired loans acquired in the second quarter 2014 acquisition of Charter One were $1.5 billion. The contractual cash flows not expected to be collected on these loans of $247 million and the estimated fair value of the loans of $969 million were determined based upon the estimated remaining life of the underlying loans, which includes the effects of estimated prepayments. The contractual cash flows not expected to be collected primarily reflect a reduction in contractual interest payments resulting from these estimated prepayments. There were no purchased impaired loans acquired in the Charter One acquisition.

Changes in the accretable balance for purchased impaired loans were as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	1,487		$	1,802		$	1,655		$	1,709
Accretion		(105	)		(119	)		(336	)		(380	)
Disposals		(34	)		(51	)		(103	)		(120	)
Reclassifications from nonaccretable difference (a)		38			119			172			177
Other (b)		–			–			(2	)		365
Balance at end of period	$	1,386		$	1,751		$	1,386		$	1,751

(a) Primarily relates to changes in expected credit performance.

(b) The amount for the nine months ended September 30, 2013, primarily represents the reclassification of unamortized decreases in the FDIC asset (which are presented as a separate component within the covered assets table on page 56 beginning in 2013), partially offset by the impact of changes in expectations about retaining covered single-family loans beyond the term of the indemnification agreements.

Allowance for Credit Losses The allowance for credit losses reserves for probable and estimable losses incurred in the Company’s loan and lease portfolio, including unfunded credit commitments, and includes certain amounts that do not represent loss exposure to the Company because those losses are recoverable under loss sharing agreements with the Federal Deposit Insurance Corporation (“FDIC”). The allowance for credit losses is increased through provisions charged to operating earnings and reduced by net charge-offs. Management evaluates the allowance each quarter to ensure it appropriately reserves for incurred losses.

The allowance recorded for loans in the commercial lending segment is based on reviews of individual credit relationships and considers the migration analysis of commercial lending segment loans and actual loss experience. In the migration analysis applied to risk rated loan portfolios, the Company currently examines up to a 13-year period of loss experience. For each loan type, this historical loss experience is adjusted as necessary to consider any relevant changes in portfolio composition, lending policies, underwriting standards, risk management practices or economic conditions. The results of the analysis are evaluated quarterly to confirm an appropriate historical time frame is selected for each commercial loan type. The allowance recorded for impaired loans greater than $5 million in the commercial lending segment is based on an individual loan analysis utilizing expected cash flows discounted using the original effective interest rate, the observable market price of the loan, or the fair value of the collateral for collateral-dependent loans, rather than the migration analysis. The allowance recorded for all other commercial lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, portfolio growth and historical losses, adjusted for current trends. The Company also considers the impacts of any loan modifications made to commercial lending segment loans and any subsequent payment defaults to its expectations of cash flows, principal balance, and current expectations about the borrower’s ability to pay in determining the allowance for credit losses.

The allowance recorded for Troubled Debt Restructuring (“TDR”) loans and purchased impaired loans in the consumer lending segment is determined on a homogenous pool basis utilizing expected cash flows discounted using the original effective interest rate of the pool, or the prior quarter effective rate, respectively. The allowance for collateral-dependent loans in the consumer lending segment is determined based on the fair value of the collateral less costs to sell. The allowance recorded for all other consumer lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, delinquency status, refreshed loan-to-value ratios when possible, portfolio growth and historical losses, adjusted for current trends. The Company also considers any modifications made to consumer lending segment loans including the impacts of any subsequent payment defaults since modification in determining the allowance for credit losses, such as the borrower’s ability to pay under the restructured terms, and the timing and amount of payments.

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47

The allowance for the covered loan segment is evaluated each quarter in a manner similar to that described for non-covered loans and reflects decreases in expected cash flows of those loans after the acquisition date. The provision for credit losses for covered loans considers the indemnification provided by the FDIC.

In addition, subsequent payment defaults on loan modifications considered TDRs are considered in the underlying factors used in the determination of the appropriateness of the allowance for credit losses. For each loan segment, the Company estimates future loan charge-offs through a variety of analysis, trends and underlying assumptions. With respect to the commercial lending segment, TDRs may be collectively evaluated for impairment where observed performance history, including defaults, is a primary driver of the loss allocation. For commercial TDRs individually evaluated for impairment, attributes of the borrower are the primary factors in determining the allowance for credit losses. However, historical loss experience is also incorporated into the allowance methodology applied to this category of loans. With respect to the consumer lending segment, performance of the portfolio, including defaults on TDRs, is considered when estimating future cash flows.

The Company’s methodology for determining the appropriate allowance for credit losses for all the loan segments also considers the imprecision inherent in the methodologies used. As a result, in addition to the amounts determined under the methodologies described above, management also considers the potential impact of other qualitative factors which include, but are not limited to, economic factors; geographic and other concentration risks; delinquency and nonaccrual trends; current business conditions; changes in lending policy, underwriting standards, internal review and other relevant business practices; and the regulatory environment. The consideration of these items results in adjustments to allowance amounts included in the Company’s allowance for credit losses for each of the above loan segments.

The Company also assesses the credit risk associated with off-balance sheet loan commitments, letters of credit, and derivatives. Credit risk associated with derivatives is reflected in the fair values recorded for those positions. The liability for off-balance sheet credit exposure related to loan commitments and other credit guarantees is included in other liabilities. Because business processes and credit risks associated with unfunded credit commitments are essentially the same as for loans, the Company utilizes similar processes to estimate its liability for unfunded credit commitments.

Activity in the allowance for credit losses by portfolio class was as follows:

Three Months Ended September 30 (Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
2014
Balance at beginning of period	$	1,111		$	725		$	848		$	874		$	779		$	4,337		$	112		$	4,449
Add
Provision for credit losses		83			(6	)		(13	)		162			84			310			1			311
Deduct
Loans charged off		80			10			48			174			96			408			2			410
Less recoveries of loans charged off		(22	)		(6	)		(6	)		(16	)		(23	)		(73	)		(1	)		(74	)
Net loans charged off		58			4			42			158			73			335			1			336
Other changes (a)		–			–			–			–			–			–			(10	)		(10	)
Balance at end of period	$	1,136		$	715		$	793		$	878		$	790		$	4,312		$	102		$	4,414
2013
Balance at beginning of period	$	1,023		$	777		$	921		$	874		$	838		$	4,433		$	179		$	4,612
Add
Provision for credit losses		19			(22	)		70			151			84			302			(4	)		298
Deduct
Loans charged off		65			17			62			175			122			441			9			450
Less recoveries of loans charged off		(54	)		(23	)		(5	)		(15	)		(24	)		(121	)		(1	)		(122	)
Net loans charged off		11			(6	)		57			160			98			320			8			328
Other changes (a)		–			–			–			–			–			–			(4	)		(4	)
Balance at end of period	$	1,031		$	761		$	934		$	865		$	824		$	4,415		$	163		$	4,578

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

48 U.S. Bancorp

Nine Months Ended September 30 (Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
2014
Balance at beginnng of period	$	1,075		$	776		$	875		$	884		$	781		$	4,391		$	146		$	4,537
Add
Provision for credit losses		210			(64	)		74			495			227			942			(1	)		941
Deduct
Loans charged off		219			27			171			546			291			1,254			10			1,264
Less recoveries of loans charged off		(70	)		(30	)		(15	)		(48	)		(73	)		(236	)		(2	)		(238	)
Net loans charged off		149			(3	)		156			498			218			1,018			8			1,026
Other changes (a)		–			–			–			(3	)		–			(3	)		(35	)		(38	)
Balance at end of period	$	1,136		$	715		$	793		$	878		$	790		$	4,312		$	102		$	4,414
2013
Balance at beginnng of period	$	1,051		$	857		$	935		$	863		$	848		$	4,554		$	179		$	4,733
Add
Provision for credit losses		64			(100	)		222			495			305			986			77			1,063
Deduct
Loans charged off		184			76			243			559			412			1,474			31			1,505
Less recoveries of loans charged off		(100	)		(80	)		(20	)		(66	)		(83	)		(349	)		(3	)		(352	)
Net loans charged off		84			(4	)		223			493			329			1,125			28			1,153
Other changes (a)		–			–			–			–			–			–			(65	)		(65	)
Balance at end of period	$	1,031		$	761		$	934		$	865		$	824		$	4,415		$	163		$	4,578

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

Additional detail of the allowance for credit losses by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans		Total Loans
Allowance Balance at September 30, 2014 Related to
Loans individually evaluated for impairment (a)	$	10	$	6	$	–	$	–	$	–	$	16	$	–	$	16
TDRs collectively evaluated for impairment		13		15		308		64		44		444		3		447
Other loans collectively evaluated for impairment		1,113		662		485		814		746		3,820		2		3,822
Loans acquired with deteriorated credit quality		–		32		–		–		–		32		97		129
Total allowance for credit losses	$	1,136	$	715	$	793	$	878	$	790	$	4,312	$	102	$	4,414
Allowance Balance at December 31, 2013 Related to
Loans individually evaluated for impairment (a)	$	15	$	17	$	–	$	–	$	–	$	32	$	–	$	32
TDRs collectively evaluated for impairment		19		26		329		87		55		516		4		520
Other loans collectively evaluated for impairment		1,041		700		546		797		726		3,810		5		3,815
Loans acquired with deteriorated credit quality		–		33		–		–		–		33		137		170
Total allowance for credit losses	$	1,075	$	776	$	875	$	884	$	781	$	4,391	$	146	$	4,537

(a) Represents the allowance for credit losses related to loans greater than $5 million classified as nonperforming or TDRs.

Additional detail of loan balances by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans (b)		Total Loans
September 30, 2014
Loans individually evaluated for impairment (a)	$	237	$	158	$	–	$	–	$	–	$	395	$	52	$	447
TDRs collectively evaluated for impairment		129		273		4,916		256		248		5,822		74		5,896
Other loans collectively evaluated for impairment		78,511		40,368		47,041		17,602		48,687		232,209		3,615		235,824
Loans acquired with deteriorated credit quality		1		110		–		–		–		111		3,313		3,424
Total loans	$	78,878	$	40,909	$	51,957	$	17,858	$	48,935	$	238,537	$	7,054	$	245,591
December 31, 2013
Loans individually evaluated for impairment (a)	$	197	$	237	$	–	$	–	$	–	$	434	$	62	$	496
TDRs collectively evaluated for impairment		155		358		5,064		310		269		6,156		87		6,243
Other loans collectively evaluated for impairment		69,680		39,129		46,090		17,711		47,409		220,019		4,538		224,557
Loans acquired with deteriorated credit quality		1		161		2		–		–		164		3,775		3,939
Total loans	$	70,033	$	39,885	$	51,156	$	18,021	$	47,678	$	226,773	$	8,462	$	235,235

(a) Represents loans greater than $5 million classified as nonperforming or TDRs.

(b) Includes expected reimbursements from the FDIC under loss sharing agreements.

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49

Credit Quality The quality of the Company’s loan portfolios is assessed as a function of net credit losses, levels of nonperforming assets and delinquencies, and credit quality ratings as defined by the Company.

For all loan classes, loans are considered past due based on the number of days delinquent except for monthly amortizing loans which are classified delinquent based upon the number of contractually required payments not made (for example, two missed payments is considered 30 days delinquent). When a loan is placed on nonaccrual status, unpaid accrued interest is reversed.

Commercial lending segment loans are generally placed on nonaccrual status when the collection of principal and interest has become 90 days past due or is otherwise considered doubtful. Commercial lending segment loans are generally fully or partially charged down to the fair value of the collateral securing the loan, less costs to sell, when the loan is considered uncollectible.

Consumer lending segment loans are generally charged-off at a specific number of days or payments past due. Residential mortgages and other retail loans secured by 1-4 family properties are generally charged down to the fair value of the collateral securing the loan, less costs to sell, at 180 days past due, and placed on nonaccrual status in instances where a partial charge-off occurs unless the loan is well secured and in the process of collection. Loans and lines in a junior lien position secured by 1-4 family properties are placed on nonaccrual status at 120 days past due or when behind a first lien that has become 180 days or greater past due or placed on nonaccrual status. Any secured consumer lending segment loan whose borrower has had debt discharged through bankruptcy, for which the loan amount exceeds the fair value of the collateral, is charged down to the fair value of the related collateral and the remaining balance is placed on nonaccrual status. Credit card loans continue to accrue interest until the account is charged off. Credit cards are charged off at 180 days past due. Other retail loans not secured by 1-4 family properties are charged-off at 120 days past due; and revolving consumer lines are charged off at 180 days past due. Similar to credit cards, other retail loans are generally not placed on nonaccrual status because of the relative short period of time to charge-off. Certain retail customers having financial difficulties may have the terms of their credit card and other loan agreements modified to require only principal payments and, as such, are reported as nonaccrual.

For all loan classes, interest payments received on nonaccrual loans are generally recorded as a reduction to the loan carrying amount. Interest payments are generally recorded as reductions to a loan’s carrying amount while a loan is on nonaccrual and are recognized as interest income upon payoff of the loan. Interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible. In certain circumstances, loans in any class may be restored to accrual status, such as when a loan has demonstrated sustained repayment performance or no amounts are past due and prospects for future payment are no longer in doubt, or when the loan becomes well secured and is in the process of collection. Loans where there has been a partial charge-off may be returned to accrual status if all principal and interest (including amounts previously charged-off) is expected to be collected and the loan is current.

Covered loans not considered to be purchased impaired are evaluated for delinquency, nonaccrual status and charge-off consistent with the class of loan they would be included in had the loss share coverage not been in place. Generally, purchased impaired loans are considered accruing loans. However, the timing and amount of future cash flows for some loans is not reasonably estimable. Those loans are classified as nonaccrual loans and interest income is not recognized until the timing and amount of the future cash flows can be reasonably estimated.

50 U.S. Bancorp

The following table provides a summary of loans by portfolio class, including the delinquency status of those that continue to accrue interest, and those that are nonperforming:

	Accruing
(Dollars in Millions)	Current		30-89 Days Past Due		90 Days or More Past Due		Nonperforming		Total
September 30, 2014
Commercial	$	78,453	$	215	$	37	$	173	$	78,878
Commercial real estate		40,606		50		12		241		40,909
Residential mortgages (a)		50,662		243		211		841		51,957
Credit card		17,403		219		196		40		17,858
Other retail		48,453		222		76		184		48,935
Total loans, excluding covered loans		235,577		949		532		1,479		238,537
Covered loans		6,434		102		430		88		7,054
Total loans	$	242,011	$	1,051	$	962	$	1,567	$	245,591
December 31, 2013
Commercial	$	69,587	$	257	$	55	$	134	$	70,033
Commercial real estate		39,459		94		29		303		39,885
Residential mortgages (a)		49,695		358		333		770		51,156
Credit card		17,507		226		210		78		18,021
Other retail		47,156		245		86		191		47,678
Total loans, excluding covered loans		223,404		1,180		713		1,476		226,773
Covered loans		7,693		166		476		127		8,462
Total loans	$	231,097	$	1,346	$	1,189	$	1,603	$	235,235

(a) At September 30, 2014, $422 million of loans 30–89 days past due and $3.1 billion of loans 90 days or more past due purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified as current, compared with $440 million and $3.7 billion at December 31, 2013, respectively.

At September 30, 2014, the amount of foreclosed residential real estate held by the Company, and included in other real estate owned, was $273 million ($236 million excluding covered assets). This excludes $623 million of foreclosed residential real estate related to mortgage loans whose payments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs. In addition, the amount of residential mortgage loans secured by residential real estate in the process of foreclosure at September 30, 2014, was $3.0 billion, of which $2.1 billion related to loans purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

The Company classifies its loan portfolios using internal credit quality ratings on a quarterly basis. These ratings include: pass, special mention and classified, and are an important part of the Company’s overall credit risk management process and evaluation of the allowance for credit losses. Loans with a pass rating represent those not classified on the Company’s rating scale for problem credits, as minimal credit risk has been identified. Special mention loans are those that have a potential weakness deserving management’s close attention. Classified loans are those where a well-defined weakness has been identified that may put full collection of contractual cash flows at risk. It is possible that others, given the same information, may reach different reasonable conclusions regarding the credit quality rating classification of specific loans.

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51

The following table provides a summary of loans by portfolio class and the Company’s internal credit quality rating:

			Criticized
(Dollars in Millions)	Pass		Special Mention		Classified (a)		Total Criticized		Total
September 30, 2014
Commercial	$	76,688	$	1,396	$	794	$	2,190	$	78,878
Commercial real estate		39,591		474		844		1,318		40,909
Residential mortgages (b)		50,817		8		1,132		1,140		51,957
Credit card		17,622		–		236		236		17,858
Other retail		48,569		18		348		366		48,935
Total loans, excluding covered loans		233,287		1,896		3,354		5,250		238,537
Covered loans		6,852		3		199		202		7,054
Total loans	$	240,139	$	1,899	$	3,553	$	5,452	$	245,591
Total outstanding commitments	$	494,015	$	2,990	$	4,201	$	7,191	$	501,206
December 31, 2013
Commercial	$	68,075	$	1,013	$	945	$	1,958	$	70,033
Commercial real estate		38,113		616		1,156		1,772		39,885
Residential mortgages (b)		50,152		5		999		1,004		51,156
Credit card		17,733		–		288		288		18,021
Other retail		47,313		27		338		365		47,678
Total loans, excluding covered loans		221,386		1,661		3,726		5,387		226,773
Covered loans		8,160		18		284		302		8,462
Total loans	$	229,546	$	1,679	$	4,010	$	5,689	$	235,235
Total outstanding commitments	$	470,046	$	2,939	$	4,812	$	7,751	$	477,797

(a) Classified rating on consumer loans primarily based on delinquency status.

(b) At September 30, 2014, $3.1 billion of GNMA loans 90 days or more past due and $2.5 billion of restructured GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs were classified with a pass rating, compared with $3.7 billion and $2.6 billion at December 31, 2013, respectively.

For all loan classes, a loan is considered to be impaired when, based on current events or information, it is probable the Company will be unable to collect all amounts due per the contractual terms of the loan agreement. Impaired loans include all nonaccrual and TDR loans. For all loan classes, interest income on TDR loans is recognized under the modified terms and conditions if the borrower has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. Interest income is generally not recognized on other impaired loans until the loan is paid off. However, interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible.

Factors used by the Company in determining whether all principal and interest payments due on commercial and commercial real estate loans will be collected and therefore whether those loans are impaired include, but are not limited to, the financial condition of the borrower, collateral and/or guarantees on the loan, and the borrower’s estimated future ability to pay based on industry, geographic location and certain financial ratios. The evaluation of impairment on residential mortgages, credit card loans and other retail loans is primarily driven by delinquency status of individual loans or whether a loan has been modified, and considers any government guarantee where applicable. Individual covered loans, whose future losses are covered by loss sharing agreements with the FDIC that substantially reduce the risk of credit losses to the Company, are evaluated for impairment and accounted for in a manner consistent with the class of loan they would have been included in had the loss sharing coverage not been in place.

52 U.S. Bancorp

A summary of impaired loans by portfolio class was as follows:

(Dollars in Millions)	Period-end Recorded Investment (a)		Unpaid Principal Balance		Valuation Allowance		Commitments to Lend Additional Funds
September 30, 2014
Commercial	$	408	$	848	$	27	$	135
Commercial real estate		525		1,037		30		14
Residential mortgages		2,740		3,678		261		–
Credit card		256		256		64		–
Other retail		368		413		47		4
Total impaired loans, excluding GNMA and covered loans		4,297		6,232		429		153
Loans purchased from GNMA mortgage pools		2,478		2,478		51		–
Covered loans		295		607		20		1
Total	$	7,070	$	9,317	$	500	$	154
December 31, 2013
Commercial	$	382	$	804	$	36	$	54
Commercial real estate		693		1,322		51		40
Residential mortgages		2,767		3,492		308		–
Credit card		310		310		87		–
Other retail		391		593		59		14
Total impaired loans, excluding GNMA and covered loans		4,543		6,521		541		108
Loans purchased from GNMA mortgage pools		2,607		2,607		28		–
Covered loans		452		1,008		30		4
Total	$	7,602	$	10,136	$	599	$	112

(a) Substantially all loans classified as impaired at September 30, 2014 and December 31, 2013, had an associated allowance for credit losses.

Additional information on impaired loans follows:

	2014				2013
(Dollars in Millions)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Three Months Ended September 30
Commercial	$	425	$	4	$	380	$	5
Commercial real estate		541		4		819		6
Residential mortgages		2,740		33		2,765		32
Credit card		264		1		347		3
Other retail		373		5		417		7
Total impaired loans, excluding GNMA and covered loans		4,343		47		4,728		53
Loans purchased from GNMA mortgage pools		2,647		29		1,883		22
Covered loans		335		5		519		6
Total	$	7,325	$	81	$	7,130	$	81
Nine Months Ended September 30
Commercial	$	430	$	8	$	384	$	24
Commercial real estate		598		17		950		27
Residential mortgages		2,744		105		2,744		99
Credit card		281		7		380		12
Other retail		381		13		431		19
Total impaired loans, excluding GNMA and covered loans		4,434		150		4,889		181
Loans purchased from GNMA mortgage pools		2,691		95		1,869		68
Covered loans		389		15		588		21
Total	$	7,514	$	260	$	7,346	$	270

Troubled Debt Restructurings In certain circumstances, the Company may modify the terms of a loan to maximize the collection of amounts due when a borrower is experiencing financial difficulties or is expected to experience difficulties in the near-term. Concessionary modifications are classified as TDRs unless the modification results in only an insignificant delay in payments to be received. The Company recognizes interest on TDRs if the borrower complies with the revised terms and conditions as agreed upon with the Company and has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. To the extent a previous restructuring was insignificant, the Company considers the cumulative effect of past restructurings related to the receivable when determining whether a current restructuring is a TDR. Loans classified as TDRs are considered impaired loans for reporting and measurement purposes.

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53

The following table provides a summary of loans modified as TDRs during the periods presented by portfolio class:

	2014						2013
(Dollars in Millions)	Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance		Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance
Three Months Ended September 30
Commercial		448	$	28	$	26		551	$	62	$	60
Commercial real estate		27		14		13		48		76		73
Residential mortgages		525		71		70		338		42		42
Credit card		6,708		35		36		6,447		39		38
Other retail		810		18		18		847		21		21
Total loans, excluding GNMA and covered loans		8,518		166		163		8,231		240		234
Loans purchased from GNMA mortgage pools		2,273		278		278		2,315		300		284
Covered loans		18		3		3		38		19		11
Total loans		10,809	$	447	$	444		10,584	$	559	$	529
Nine Months Ended September 30
Commercial		1,633	$	181	$	169		1,962	$	150	$	140
Commercial real estate		54		33		28		147		193		186
Residential mortgages		1,732		232		231		1,575		214		210
Credit card		20,040		111		112		20,147		122		122
Other retail		2,246		52		52		3,519		86		85
Total loans, excluding GNMA and covered loans		25,705		609		592		27,350		765		743
Loans purchased from GNMA mortgage pools		7,198		816		803		6,450		822		782
Covered loans		38		14		13		109		85		64
Total loans		32,941	$	1,439	$	1,408		33,909	$	1,672	$	1,589

Residential mortgages, home equity and second mortgages, and loans purchased from GNMA mortgage pools in the table above include trial period arrangements offered to customers during the periods presented. The post-modification balances for these loans reflect the current outstanding balance until a permanent modification is made. In addition, the post-modification balances typically include capitalization of unpaid accrued interest and/or fees under the various modification programs. For those loans modified as TDRs during the third quarter of 2014, at September 30, 2014, 310 residential mortgages, 49 home equity and second mortgage loans and 1,764 loans purchased from GNMA mortgage pools with outstanding balances of $40 million, $3 million and $231million, respectively, were in a trial period and have estimated post-modification balances of $41 million, $3 million and $232 million, respectively, assuming permanent modification occurs at the end of the trial period.

The Company has implemented certain restructuring programs that may result in TDRs. However, many of the Company’s TDRs are also determined on a case-by-case basis in connection with ongoing loan collection processes.

For the commercial lending segment, modifications generally result in the Company working with borrowers on a case-by-case basis. Commercial and commercial real estate modifications generally include extensions of the maturity date and may be accompanied by an increase or decrease to the interest rate, which may not be deemed a market rate of interest. In addition, the Company may work with the borrower in identifying other changes that mitigate loss to the Company, which may include additional collateral or guarantees to support the loan. To a lesser extent, the Company may waive contractual principal. The Company classifies these concessions as TDRs to the extent the Company determines that the borrower is experiencing financial difficulty.

Modifications for the consumer lending segment are generally part of programs the Company has initiated. The Company participates in the U.S. Department of Treasury Home Affordable Modification Program (“HAMP”). HAMP gives qualifying homeowners an opportunity to permanently modify residential mortgage loans and achieve more affordable monthly payments, with the U.S. Department of Treasury compensating the Company for a portion of the reduction in monthly amounts due from borrowers participating in this program. The Company also modifies residential mortgage loans under Federal Housing Administration, Department of Veterans Affairs, or its own internal programs. Under these programs, the Company provides concessions to qualifying borrowers experiencing financial difficulties. The concessions may include adjustments to interest rates, conversion of adjustable rates to fixed rates, extension of maturity dates or deferrals of payments, capitalization of accrued interest and/or outstanding advances, or in limited situations, partial forgiveness of loan principal. In most instances, participation in residential mortgage loan restructuring programs requires the customer to complete a short-term trial period. A permanent loan modification is contingent on the customer successfully completing the trial period arrangement and the loan documents are not modified until that time. The Company reports loans in a trial period arrangement as TDRs.

54 U.S. Bancorp

Credit card and other retail loan modifications are generally part of distinct restructuring programs providing customers experiencing financial difficulty with modifications whereby balances may be amortized up to 60 months, and generally include waiver of fees and reduced interest rates.

In addition, the Company considers secured loans to consumer borrowers that have debt discharged through bankruptcy where the borrower has not reaffirmed the debt to be TDRs.

Modifications to loans in the covered segment are similar in nature to that described above for non-covered loans, and the evaluation and determination of TDR status is similar, except that acquired loans restructured after acquisition are not considered TDRs for accounting and disclosure purposes if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools. Losses associated with the modification on covered loans, including the economic impact of interest rate reductions, are generally eligible for reimbursement under loss sharing agreements with the FDIC.

The following table provides a summary of TDR loans that defaulted (fully or partially charged-off or became 90 days or more past due) during the periods presented that were modified as TDRs within 12 months previous to default:

	2014				2013
(Dollars in Millions)	Number of Loans		Amount Defaulted		Number of Loans		Amount Defaulted
Three Months Ended September 30
Commercial		161	$	34		143	$	37
Commercial real estate		4		–		30		18
Residential mortgages		147		22		303		41
Credit card		1,665		9		1,485		8
Other retail		146		5		278		10
Total loans, excluding GNMA and covered loans		2,123		70		2,239		114
Loans purchased from GNMA mortgage pools		366		41		492		69
Covered loans		4		1		24		25
Total loans		2,493	$	112		2,755	$	208
Nine Months Ended September 30
Commercial		456	$	42		483	$	42
Commercial real estate		16		10		72		90
Residential mortgages		424		61		673		100
Credit card		4,586		25		5,109		29
Other retail		489		15		1,164		53
Total loans, excluding GNMA and covered loans		5,971		153		7,501		314
Loans purchased from GNMA mortgage pools		542		63		4,795		615
Covered loans		14		5		49		37
Total loans		6,527	$	221		12,345	$	966

In addition to the defaults in the table above, for the three and nine months ended September 30, 2014, the Company had a total of 435 and 1,313 residential mortgage loans, home equity and second mortgage loans and loans purchased from GNMA mortgage pools with aggregate outstanding balances of $57 million and $159 million, respectively, where borrowers did not successfully complete the trial period arrangement and therefore are no longer eligible for a permanent modification under the applicable modification program.

U.S. Bancorp

55

Covered Assets Covered assets represent loans and other assets acquired from the FDIC, subject to loss sharing agreements, and include expected reimbursements from the FDIC. Effective December 31, 2014, the loss sharing coverage provided by the FDIC expires on all covered assets, except for single family residential mortgages that remain covered under loss sharing agreements with remaining terms up to five years. The carrying amount of the covered assets consisted of purchased impaired loans, purchased nonimpaired loans and other assets as shown in the following table:

	September 30, 2014								December 31, 2013
(Dollars in Millions)	Purchased Impaired Loans		Purchased Nonimpaired Loans		Other Assets		Total		Purchased Impaired Loans		Purchased Nonimpaired Loans		Other Assets		Total
Commercial loans	$	–	$	21	$	–	$	21	$	–	$	32	$	–	$	32
Commercial real estate loans		464		1,093		–		1,557		738		1,494		–		2,232
Residential mortgage loans		2,849		774		–		3,623		3,037		890		–		3,927
Credit card loans		–		4		–		4		–		5		–		5
Other retail loans		–		605		–		605		–		666		–		666
Losses reimbursable by the FDIC (a)		–		–		737		737		–		–		798		798
Unamortized changes in FDIC asset (b)		–		–		507		507		–		–		802		802
Covered loans		3,313		2,497		1,244		7,054		3,775		3,087		1,600		8,462
Foreclosed real estate		–		–		72		72		–		–		97		97
Total covered assets	$	3,313	$	2,497	$	1,316	$	7,126	$	3,775	$	3,087	$	1,697	$	8,559

(a) Relates to loss sharing agreements with remaining terms up to five years.

(b) Represents decreases in expected reimbursements by the FDIC as a result of decreases in expected losses on the covered loans. These amounts are amortized as a reduction in interest income on covered loans over the shorter of the expected life of the respective covered loans or the remaining contractual term of the indemnification agreements.

At September 30, 2014 and December 31, 2013, $5 million of the purchased impaired loans included in covered loans were classified as nonperforming assets, because the expected cash flows are primarily based on the liquidation of underlying collateral and the timing and amount of the cash flows could not be reasonably estimated. Interest income is recognized on other purchased impaired loans through accretion of the difference between the carrying amount of those loans and their expected cash flows. The initial determination of the fair value of the purchased loans includes the impact of expected credit losses and, therefore, no allowance for credit losses is recorded at the purchase date. To the extent credit deterioration occurs after the date of acquisition, the Company records an allowance for credit losses.

 Note 6  Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities

The Company transfers financial assets in the normal course of business. The majority of the Company’s financial asset transfers are residential mortgage loan sales primarily to government-sponsored enterprises (“GSEs”), transfers of tax-advantaged investments, commercial loan sales through participation agreements, and other individual or portfolio loan and securities sales. In accordance with the accounting guidance for asset transfers, the Company considers any ongoing involvement with transferred assets in determining whether the assets can be derecognized from the balance sheet. Guarantees provided to certain third parties in connection with the transfer of assets are further discussed in Note 16.

For loans sold under participation agreements, the Company also considers whether the terms of the loan participation agreement meet the accounting definition of a participating interest. With the exception of servicing and certain performance-based guarantees, the Company’s continuing involvement with financial assets sold is minimal and generally limited to market customary representation and warranty clauses. Any gain or loss on sale depends on the previous carrying amount of the transferred financial assets, the consideration received, and any liabilities incurred in exchange for the transferred assets. Upon transfer, any servicing assets and other interests that continue to be held by the Company are initially recognized at fair value. For further information on mortgage servicing rights (“MSRs”), refer to Note 7. On a limited basis, the Company may acquire and package high-grade corporate bonds for select corporate customers, in which the Company generally has no continuing involvement with these transactions. Additionally, the Company is an authorized GNMA issuer and issues GNMA securities on a regular basis. The Company has no other asset securitizations or similar asset-backed financing arrangements that are off-balance sheet.

The Company is involved in various entities that are considered to be variable interest entities (“VIEs”). The Company’s investments in VIEs are primarily related to investments promoting affordable housing, community development and renewable energy sources. Some of these tax-advantaged investments support the Company’s regulatory compliance with the Community Reinvestment Act. The Company’s investments in these entities generate a return primarily through the realization of federal and state income tax credits, and other tax benefits, such as tax deductions from operating losses of the investments, over specified time periods. These tax credits are recognized as

56 U.S. Bancorp

a reduction of tax expense or, for investments qualifying as investment tax credits, as a reduction to the related investment asset. In January 2014, the Financial Accounting Standards Board issued accounting guidance for qualified affordable housing projects. This new guidance permits the Company to present the expense on certain qualified affordable housing investments in tax expense rather than noninterest expense. The Company adopted this guidance January 1, 2014, on a prospective basis, because the impact on prior financial statements was not material. The Company recognized federal and state income tax credits related to its affordable housing and other tax-advantaged investments in tax expense of $189 million and $187 million for the three months ended September 30, 2014 and 2013, respectively, and $546 million and $527 million for the nine months ended September 30, 2014 and 2013, respectively. The Company also recognized $262 million and $254 million of investment tax credits for the three months ended September 30, 2014 and 2013, respectively, and $582 million and $454 million for the nine months ended September 30, 2014 and 2013, respectively. The Company recognized $187 million and $247 million of expenses related to all of these investments for the three months ended September 30, 2014 and 2013, respectively, of which $60 million and $87 million, respectively, was included in tax expense and the remainder was included in noninterest expense. The Company recognized $517 million and $686 million of expenses related to all of these investments for the nine months ended September 30, 2014 and 2013, respectively, of which $190 million and $267 million, respectively, was included in tax expense and the remainder was included in noninterest expense.

The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not have both the power to direct the entities’ most significant activities and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIEs. The Company’s investments in these unconsolidated VIEs, including funded and unfunded capital commitments, are carried in other assets on the Consolidated Balance Sheet. The Company’s unfunded capital and other commitments related to these unconsolidated VIEs are generally carried in other liabilities on the Consolidated Balance Sheet. The Company’s maximum exposure to loss from these unconsolidated VIEs include the investment recorded on the Company’s Consolidated Balance Sheet, net of unfunded capital commitments, and previously recorded tax credits which remain subject to recapture by taxing authorities based on compliance features required to be met at the project level. While the Company believes potential losses from these investments are remote, the maximum exposure was determined by assuming a scenario where the community-based business and housing projects completely fail and do not meet certain government compliance requirements resulting in recapture of the related tax credits.

The following table provides a summary of investments in community development and tax-advantaged VIEs that the Company has not consolidated:

(Dollars in Millions)	September 30, 2014		December 31, 2013
Investment carrying amount	$	4,385	$	4,178
Unfunded capital and other commitments		1,850		1,661
Maximum exposure to loss		8,038		7,390

The Company’s individual net investments in these unconsolidated VIEs, which exclude any unfunded capital commitments, ranged from less than $1 million to $54 million at September 30, 2014, compared with less than $1 million to $37 million at December 31, 2013.

In addition, the Company sponsors entities to which it transfers tax-advantaged investments to third parties. At September 30, 2014, approximately $2.6 billion of the Company’s assets and $2.0 billion of its liabilities included on the Consolidated Balance Sheet were related to community development and tax-advantaged investment VIEs which the Company has consolidated, primarily related to these transfers. These amounts compared to $2.5 billion and $1.8 billion, respectively, at December 31, 2013. The majority of the assets of these consolidated VIEs are reported in other assets, and the liabilities are reported in long-term debt and other liabilities. The assets of a particular VIE are the primary source of funds to settle its obligations. The creditors of the VIEs do not have recourse to the general credit of the Company. The Company’s exposure to the consolidated VIEs is generally limited to the carrying value of its variable interests plus any related tax credits previously recognized or transferred to others with a guarantee.

The Company also sponsors a conduit to which it previously transferred high-grade investment securities. The Company consolidates the conduit because of its ability to manage the activities of the conduit. At September 30, 2014, $114 million of the held-to-maturity investment securities on the Company’s Consolidated Balance Sheet were related to the conduit, compared with $116 million at December 31, 2013.

U.S. Bancorp

57

In addition, the Company sponsors a municipal bond securities tender option bond program. The Company controls the activities of the program’s entities, is entitled to the residual returns and provides credit, liquidity and remarketing arrangements to the program. As a result, the Company has consolidated the program’s entities. At September 30, 2014, $4.1 billion of available-for-sale securities and $3.9 billion of short-term borrowings on the Consolidated Balance Sheet were related to the tender option bond program, compared with $4.6 billion of available-for-sale securities and $4.6 billion of short-term borrowings at December 31, 2013.

The Company also has noncontrolling financial investments in private investment funds and partnerships considered VIEs, which are not consolidated. The Company’s recorded investment in these entities, carried in other assets on the Consolidated Balance Sheet, was approximately $97 million at September 30, 2014, compared with $98 million at December 31, 2013. The maximum exposure to loss related to these VIEs was $106 million at September 30, 2014 and $107 million at December 31, 2013, representing the Company’s investment balance and its unfunded commitments to invest additional amounts.

 Note 7  Mortgage Servicing Rights

The Company serviced $224.6 billion of residential mortgage loans for others at September 30, 2014, and $226.8 billion at December 31, 2013, which include subserviced mortgages with no corresponding MSRs asset. The net impact included in mortgage banking revenue of fair value changes of MSRs due to changes in valuation assumptions and derivatives used to economically hedge MSRs were net gains of $49 million and $108 million for the three months ended September 30, 2014 and 2013, respectively, and net gains of $200 million (of which $44 million related to excess servicing rights sold during the second quarter of 2014) and $163 million for the nine months ended September 30, 2014 and 2013, respectively. Loan servicing fees, not including valuation changes, included in mortgage banking revenue, were $178 million and $192 million for the three months ended September 30, 2014 and 2013, respectively, and $551 million and $566 million for the nine months ended September 30, 2014 and 2013, respectively.

Changes in fair value of capitalized MSRs are summarized as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	2,412		$	2,377		$	2,680		$	1,700
Rights purchased		1			2			3			7
Rights capitalized		109			187			264			674
Rights sold		–			–			(141	)		–
Changes in fair value of MSRs
Due to fluctuations in market interest rates (a)		29			71			(129	)		503
Due to revised assumptions or models (b)		15			42			71			33
Other changes in fair value (c)		(105	)		(102	)		(287	)		(340	)
Balance at end of period	$	2,461		$	2,577		$	2,461		$	2,577

(a) Includes changes in MSR value associated with changes in market interest rates, including estimated prepayment rates and anticipated earnings on escrow deposits.

(b) Includes changes in MSR value not caused by changes in market interest rates, such as changes in cost to service, ancillary income, and discount rate, as well as the impact of any model changes.

(c) Primarily represents changes due to realization of expected cash flows over time (decay).

The estimated sensitivity to changes in interest rates of the fair value of the MSRs portfolio and the related derivative instruments was as follows:

	September 30, 2014																		December 31, 2013
		Down			Down			Down			Up			Up			Up			Down			Down			Down			Up			Up			Up
(Dollars in Millions)	100 bps			50 bps			25 bps			25 bps			50 bps			100 bps			100 bps			50 bps			25 bps			25 bps			50 bps			100 bps
MSR portfolio	$	(490	)	$	(212	)	$	(99	)	$	84		$	157		$	297		$	(435	)	$	(199	)	$	(93	)	$	82		$	154		$	287
Derivative instrument hedges		391			196			94			(87	)		(167	)		(319	)		399			194			91			(82	)		(157	)		(301	)
Net sensitivity	$	(99	)	$	(16	)	$	(5	)	$	(3	)	$	(10	)	$	(22	)	$	(36	)	$	(5	)	$	(2	)	$	–		$	(3	)	$	(14	)

The fair value of MSRs and their sensitivity to changes in interest rates is influenced by the mix of the servicing portfolio and characteristics of each segment of the portfolio. The Company’s servicing portfolio consists of the distinct portfolios of government-insured mortgages, conventional mortgages and Mortgage Revenue Bond Programs (“MRBP”). The servicing portfolios are predominantly comprised of fixed-rate agency loans with limited adjustable-rate or jumbo mortgage loans. The MRBP division specializes in servicing loans made under state and local housing authority programs. These programs provide mortgages to low-income and moderate-income borrowers and are generally government-insured programs with a favorable rate subsidy, down payment and/or closing cost assistance.

58 U.S. Bancorp

A summary of the Company’s MSRs and related characteristics by portfolio was as follows:

	September 30, 2014												December 31, 2013
(Dollars in Millions)	MRBP			Government			Conventional (b)			Total			MRBP			Government			Conventional (b)			Total
Servicing portfolio	$	18,052		$	40,600		$	163,757		$	222,409		$	15,896		$	41,659		$	169,287		$	226,842
Fair value	$	199		$	469		$	1,793		$	2,461		$	180		$	500		$	2,000		$	2,680
Value (bps) (a)		110			116			109			111			113			120			118			118
Weighted-average servicing fees (bps)		37			33			27			29			39			32			29			30
Multiple (value/servicing fees)		2.97			3.52			4.04			3.83			2.90			3.75			4.07			3.93
Weighted-average note rate		4.62	%		4.20	%		4.15	%		4.20	%		4.70	%		4.24	%		4.17	%		4.22	%
Weighted-average age (in years)		3.7			3.1			3.0			3.1			3.8			2.6			2.5			2.6
Weighted-average expected prepayment (constant prepayment rate)		12.9	%		12.4	%		10.6	%		11.1	%		13.5	%		11.5	%		10.9	%		11.2	%
Weighted-average expected life (in years)		6.2			6.4			7.0			6.8			6.2			6.9			7.2			7.1
Weighted-average discount rate		11.9	%		11.2	%		9.6	%		10.1	%		11.9	%		11.2	%		9.8	%		10.2	%

(a) Value is calculated as fair value divided by the servicing portfolio.

(b) Represents loans sold primarily to GSEs.

 Note 8  Preferred Stock

At September 30, 2014 and December 31, 2013, the Company had authority to issue 50 million shares of preferred stock. The number of shares issued and outstanding and the carrying amount of each outstanding series of the Company’s preferred stock were as follows:

	September 30, 2014								December 31, 2013
		Shares								Shares
		Issued and		Liquidation				Carrying		Issued and		Liquidation				Carrying
(Dollars in Millions)	Outstanding		Preference		Discount		Amount		Outstanding		Preference		Discount		Amount
Series A		12,510	$	1,251	$	145	$	1,106		12,510	$	1,251	$	145	$	1,106
Series B		40,000		1,000		–		1,000		40,000		1,000		–		1,000
Series F		44,000		1,100		12		1,088		44,000		1,100		12		1,088
Series G		43,400		1,085		10		1,075		43,400		1,085		10		1,075
Series H		20,000		500		13		487		20,000		500		13		487
Total preferred stock (a)		159,910	$	4,936	$	180	$	4,756		159,910	$	4,936	$	180	$	4,756

(a) The par value of all shares issued and outstanding at September 30, 2014 and December 31, 2013, was $1.00 per share.

 Note 9  Accumulated Other Comprehensive Income (Loss)

Shareholders’ equity is affected by transactions and valuations of asset and liability positions that require adjustments to accumulated other comprehensive income (loss). The reconciliation of the transactions affecting accumulated other comprehensive income (loss) included in shareholders’ equity is as follows:

Three Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For- Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For-Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	233		$	60		$	(225	)	$	(699	)	$	(51	)	$	(682	)
Changes in unrealized gains and losses		(21	)		–			16			–			–			(5	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		–			–			–			–			–			–
Foreign currency translation adjustment		–			–			–			–			4			4
Reclassification to earnings of realized gains and losses		3			(7	)		45			35			–			76
Applicable income taxes		7			3			(23	)		(14	)		(2	)		(29	)
Balance at end of period	$	222		$	56		$	(187	)	$	(678	)	$	(49	)	$	(636	)
2013
Balance at beginning of period	$	185		$	84		$	(313	)	$	(1,184	)	$	(60	)	$	(1,288	)
Changes in unrealized gains and losses		(237	)		–			(17	)	$	38			–			(216	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1			–			–			–			–			1
Foreign currency translation adjustment		–			–			–			–			13			13
Reclassification to earnings of realized gains and losses		3			(13	)		47			62			–			99
Applicable income taxes		89			5			(11	)		(38	)		(5	)		40
Balance at end of period	$	41		$	76		$	(294	)	$	(1,122	)	$	(52	)	$	(1,351	)

U.S. Bancorp

59

Nine Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For- Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For-Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	(77	)	$	70		$	(261	)	$	(743	)	$	(60	)	$	(1,071	)
Changes in unrealized gains and losses		486			–			(19	)		–			–			467
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1			–			–			–			–			1
Foreign currency translation adjustment		–			–			–			–			18			18
Reclassification to earnings of realized gains and losses		(2	)		(23	)		139			107			–			221
Applicable income taxes		(186	)		9			(46	)		(42	)		(7	)		(272	)
Balance at end of period	$	222		$	56		$	(187	)	$	(678	)	$	(49	)	$	(636	)
2013
Balance at beginning of period	$	679		$	107		$	(404	)	$	(1,265	)	$	(40	)	$	(923	)
Changes in unrealized gains and losses		(1,032	)		–			33			37			–			(962	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		8			–			–			–			–			8
Foreign currency translation adjustment		–			–			–			–			(20	)		(20	)
Reclassification to earnings of realized gains and losses		(8	)		(50	)		142			186			–			270
Applicable income taxes		394			19			(65	)		(80	)		8			276
Balance at end of period	$	41		$	76		$	(294	)	$	(1,122	)	$	(52	)	$	(1,351	)

Additional detail about the impact to net income for items reclassified out of accumulated other comprehensive income (loss) and into earnings, is as follows:

	Impact to Net Income
	Three Months Ended September 30,						Nine Months Ended September 30,						Affected Line Item in the Consolidated Statement of Income
(Dollars in Millions)	2014			2013			2014			2013
Unrealized gains (losses) on securities available-for-sale
Realized gains (losses) on sale of securities	$	–		$	–		$	8		$	21		Total securities gains (losses), net
Other-than-temporary impairment recognized in earnings		(3	)		(3	)		(6	)		(13	)
		(3	)		(3	)		2			8		Total before tax
		1			1			(1	)		(3	)	Applicable income taxes
		(2	)		(2	)		1			5		Net-of-tax
Unrealized gains (losses) on securities transferred from available-for-sale to held-to-maturity
Amortization of unrealized gains		7			13			23			50		Interest income
		(3	)		(5	)		(9	)		(19	)	Applicable income taxes
		4			8			14			31		Net-of-tax
Unrealized gains (losses) on derivative hedges
Realized gains (losses) on derivative hedges		(45	)		(47	)		(139	)		(142	)	Net interest income
		17			18			53			55		Applicable income taxes
		(28	)		(29	)		(86	)		(87	)	Net-of-tax
Unrealized gains (losses) on retirement plans
Actuarial gains (losses), prior service cost (credit) and transition obligation (asset) amortization		(35	)		(62	)		(107	)		(186	)	Employee benefits expense
		14			24			42			72		Applicable income taxes
		(21	)		(38	)		(65	)		(114	)	Net-of-tax
Total impact to net income	$	(47	)	$	(61	)	$	(136	)	$	(165	)

60 U.S. Bancorp

 Note 10  Earnings Per Share

The components of earnings per share were:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars and Shares in Millions, Except Per Share Data)	2014			2013			2014			2013
Net income attributable to U.S. Bancorp	$	1,471		$	1,468		$	4,363		$	4,380
Preferred dividends		(60	)		(61	)		(181	)		(189	)
Impact of preferred stock redemption (a)		–			–			–			(8	)
Earnings allocated to participating stock awards		(6	)		(7	)		(19	)		(20	)
Net income applicable to U.S. Bancorp common shareholders	$	1,405		$	1,400		$	4,163		$	4,163
Average common shares outstanding		1,798			1,832			1,809			1,844
Net effect of the exercise and assumed purchase of stock awards		9			11			10			10
Average diluted common shares outstanding		1,807			1,843			1,819			1,854
Earnings per common share	$	.78		$	.76		$	2.30		$	2.26
Diluted earnings per common share	$	.78		$	.76		$	2.29		$	2.25

(a) Represents stock issuance costs originally recorded in capital surplus upon the issuance of the Company’s Series D Non-Cumulative Perpetual Preferred Stock that were reclassified to retained earnings on the redemption date.

Options outstanding at September 30, 2013, to purchase 9 million common shares were not included in the computation of diluted earnings per share for the nine months ended September 30, 2013, because they were antidilutive.

 Note 11  Employee Benefits

The components of net periodic benefit cost for the Company’s retirement plans were:

	Three Months Ended September 30,												Nine Months Ended September 30,
							Postretirement												Postretirement
	Pension Plans						Welfare Plan						Pension Plans						Welfare Plan
(Dollars in Millions)	2014			2013			2014			2013			2014			2013			2014			2013
Service cost	$	38		$	42		$	–		$	1		$	114		$	126		$	–		$	3
Interest cost		50			43			1			1			148			128			3			3
Expected return on plan assets		(51	)		(44	)		(1	)		–			(155	)		(132	)		(1	)		(1	)
Prior service cost (credit) and transition obligation (asset) amortization		(2	)		(1	)		(1	)		–			(4	)		(4	)		(3	)		–
Actuarial loss (gain) amortization		39			66			(1	)		(3	)		118			198			(4	)		(8	)
Net periodic benefit cost	$	74		$	106		$	(2	)	$	(1	)	$	221		$	316		$	(5	)	$	(3	)

 Note 12  Income Taxes

The components of income tax expense were:

	Three Months Ended					Nine Months Ended
	September 30,					September 30,
(Dollars in Millions)	2014			2013		2014			2013
Federal
Current	$	423		$	390	$	1,334		$	1,506
Deferred		10			57		(19	)		(35	)
Federal income tax		433			447		1,315			1,471
State
Current		101			84		268			161
Deferred		(11	)		11		(17	)		(3	)
State income tax		90			95		251			158
Total income tax provision	$	523		$	542	$	1,566		$	1,629

U.S. Bancorp

61

A reconciliation of expected income tax expense at the federal statutory rate of 35 percent to the Company’s applicable income tax expense follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in Millions)	2014			2013			2014			2013
Tax at statutory rate	$	704		$	690		$	2,091		$	2,061
State income tax, at statutory rates, net of federal tax benefit		62			62			163			102
Tax effect of
Tax credits and benefits, net of related expenses		(186	)		(176	)		(535	)		(394	)
Tax-exempt income		(51	)		(52	)		(154	)		(159	)
Noncontrolling interests		(5	)		13			(15	)		42
Other items		(1	)		5			16			(23	)
Applicable income taxes	$	523		$	542		$	1,566		$	1,629

The Company’s income tax returns are subject to review and examination by federal, state, local and foreign government authorities. On an ongoing basis, numerous federal, state, local and foreign examinations are in progress and cover multiple tax years. As of September 30, 2014, the federal taxing authority has completed its examination of the Company through the fiscal year ended December 31, 2010. The years open to examination by foreign, state and local government authorities vary by jurisdiction.

The Company’s net deferred tax liability was $1.8 billion at September 30, 2014, and $1.3 billion at December 31, 2013.

 Note 13  Derivative Instruments

In the ordinary course of business, the Company enters into derivative transactions to manage various risks and to accommodate the business requirements of its customers. The Company recognizes all derivatives on the Consolidated Balance Sheet at fair value in other assets or in other liabilities. On the date the Company enters into a derivative contract, the derivative is designated as either a hedge of the fair value of a recognized asset or liability (“fair value hedge”); a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”); a hedge of the volatility of an investment in foreign operations driven by changes in foreign currency exchange rates (“net investment hedge”); or a designation is not made as it is a customer-related transaction, an economic hedge for asset/liability risk management purposes or another stand-alone derivative created through the Company’s operations (“free-standing derivative”). When a derivative is designated as a fair value, cash flow or net investment hedge, the Company performs an assessment, at inception and, at a minimum, quarterly thereafter, to determine the effectiveness of the derivative in offsetting changes in the value or cash flows of the hedged item(s).

Fair Value Hedges These derivatives are interest rate swaps the Company uses to hedge the change in fair value related to interest rate changes of its underlying fixed-rate debt. Changes in the fair value of derivatives designated as fair value hedges, and changes in the fair value of the hedged items, are recorded in earnings. All fair value hedges were highly effective for the nine months ended September 30, 2014, and the change in fair value attributed to hedge ineffectiveness was not material.

Cash Flow Hedges These derivatives are interest rate swaps the Company uses to hedge the forecasted cash flows from its underlying variable-rate loans and debt. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income (loss) until the cash flows of the hedged items are realized. If a derivative designated as a cash flow hedge is terminated or ceases to be highly effective, the gain or loss in other comprehensive income (loss) is amortized to earnings over the period the forecasted hedged transactions impact earnings. If a hedged forecasted transaction is no longer probable, hedge accounting is ceased and any gain or loss included in other comprehensive income (loss) is reported in earnings immediately, unless the forecasted transaction is at least reasonably possible of occurring, whereby the amounts remain within other comprehensive income (loss). At September 30, 2014, the Company had $187 million (net-of-tax) of realized and unrealized losses on derivatives classified as cash flow hedges recorded in other comprehensive income (loss), compared with $261 million (net-of-tax) at December 31, 2013. The estimated amount to be reclassified from other comprehensive income (loss) into earnings during the remainder of 2014 and the next 12 months are losses of $31 million (net-of-tax) and $121 million (net-of-tax), respectively. These

62 U.S. Bancorp

amounts include gains and losses related to hedges that were terminated early for which the forecasted transactions are still probable. All cash flow hedges were highly effective for the nine months ended September 30, 2014, and the change in fair value attributed to hedge ineffectiveness was not material.

Net Investment Hedges The Company uses forward commitments to sell specified amounts of certain foreign currencies, and occasionally non-derivative debt instruments, to hedge the volatility of its investment in foreign operations driven by fluctuations in foreign currency exchange rates. The ineffectiveness on all net investment hedges was not material for the nine months ended September 30, 2014. There were no non-derivative debt instruments designated as net investment hedges at September 30, 2014 or December 31, 2013.

Other Derivative Positions The Company enters into free-standing derivatives to mitigate interest rate risk and for other risk management purposes. These derivatives include forward commitments to sell to-be-announced securities (“TBAs”) and other commitments to sell residential mortgage loans, which are used to economically hedge the interest rate risk related to residential mortgage loans held for sale (“MLHFS”) and unfunded mortgage loan commitments. The Company also enters into interest rate swaps, forward commitments to buy TBAs, U.S. Treasury futures and options on U.S. Treasury futures to economically hedge the change in the fair value of the Company’s MSRs. The Company also enters into foreign currency forwards to economically hedge remeasurement gains and losses the Company recognizes on foreign currency denominated assets and liabilities. In addition, the Company acts as a seller and buyer of interest rate derivatives and foreign exchange contracts for its customers. To mitigate the market and liquidity risk associated with these customer derivatives, the Company historically has entered into similar offsetting positions with broker-dealers. In 2014, the Company began to actively manage the risks from its exposure to customer-related interest rate positions on a portfolio basis by entering into other derivative or non-derivative financial instruments that partially or fully offset the exposure from these customer-related positions. The Company’s customer derivatives and related hedges are monitored and reviewed by the Company’s Market Risk Committee, which establishes policies for market risk management, including exposure limits for each portfolio. The Company also has derivative contracts that are created through its operations, including commitments to originate MLHFS and swap agreements related to the sale of a portion of its Class B common shares of Visa Inc. Refer to Note 16 for further information on the Visa restructuring and related card association litigation.

For additional information on the Company’s purpose for entering into derivative transactions and its overall risk management strategies, refer to “Management Discussion and Analysis — Use of Derivatives to Manage Interest Rate and Other Risks” which is incorporated by reference into these Notes to Consolidated Financial Statements.

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63

The following table summarizes the asset and liability management derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
September 30, 2014
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	1,750	$	21		3.65	$	1,000	$	4		9.96
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		1,972		15		3.73		4,084		351		1.81
Receive fixed/pay floating swaps		5,500		6		.15		–		–		–
Net investment hedges
Foreign exchange forward contracts		1,043		29		.05		–		–		–
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		2,981		20		.09		1,422		4		.05
Sell		2,691		10		.10		4,077		22		.11
Options
Purchased		2,100		–		.07		–		–		–
Written		2,349		32		.08		8		1		.08
Receive fixed/pay floating swaps		3,375		6		10.22		232		3		10.22
Pay fixed/receive floating swaps		–		–		–		55		–		10.22
Foreign exchange forward contracts		1,049		11		.02		3,576		38		.01
Equity contracts		27		–		1.13		57		1		.72
Credit contracts		1,263		3		3.40		2,288		5		3.04
Other (a)		722		15		.01		1,017		51		1.17
Total	$	26,822	$	168			$	17,816	$	480
December 31, 2013
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	500	$	22		2.09	$	–	$	–		–
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		772		26		6.25		4,288		498		2.46
Receive fixed/pay floating swaps		7,000		26		.84		–		–		–
Net investment hedges
Foreign exchange forward contracts		–		–		–		1,056		4		.04
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		2,310		9		.07		1,025		7		.06
Sell		5,234		58		.08		346		4		.17
Options
Purchased		2,300		–		.07		–		–		–
Written		1,902		17		.07		2		–		.08
Receive fixed/pay floating swaps		–		–		–		3,540		56		10.22
Foreign exchange forward contracts		6,813		24		.02		2,121		4		.02
Equity contracts		79		3		1.62		–		–		–
Credit contracts		1,209		4		4.04		2,352		7		3.08
Total	$	28,119	$	189			$	14,730	$	580

(a) Includes short-term underwriting purchase and sale commitments with total asset and liability notional values of $722 million at September 30, 2014, and derivative liability swap agreements related to the sale of a portion of the Company’s Class B common shares of Visa Inc. These swap agreements had a total notional value, fair value and weighted average remaining maturity of $295 million, $42 million and 4.01 years at September 30, 2014, respectively.

64 U.S. Bancorp

The following table summarizes the customer-related derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
September 30, 2014
Interest rate contracts
Receive fixed/pay floating swaps	$	16,055	$	645		5.94	$	8,509	$	47		4.33
Pay fixed/receive floating swaps		7,215		54		3.98		16,384		638		5.86
Options
Purchased		4,110		10		3.84		24		–		2.67
Written		24		–		2.67		4,096		10		3.85
Futures
Buy		2,439		–		.25		–		–		–
Sell		334		–		1.28		131		–		.96
Foreign exchange rate contracts
Forwards, spots and swaps		13,349		595		.55		13,212		575		.55
Options
Purchased		751		22		.57		–		–		–
Written		–		–		–		751		22		.57
Total	$	44,277	$	1,326			$	43,107	$	1,292
December 31, 2013
Interest rate contracts
Receive fixed/pay floating swaps	$	11,717	$	600		5.11	$	7,291	$	106		5.57
Pay fixed/receive floating swaps		6,746		114		6.03		12,361		560		4.90
Options
Purchased		3,489		33		4.53		–		–		–
Written		–		–		–		3,489		33		4.53
Foreign exchange rate contracts
Forwards, spots and swaps		10,970		457		.59		9,975		427		.62
Options
Purchased		364		11		.53		–		–		–
Written		–		–		–		364		11		.53
Total	$	33,286	$	1,215			$	33,480	$	1,137

U.S. Bancorp

65

The table below shows the effective portion of the gains (losses) recognized in other comprehensive income (loss) and the gains (losses) reclassified from other comprehensive income (loss) into earnings (net-of-tax):

	Three Months Ended September 30,											Nine Months Ended September 30,
	Gains (Losses) Recognized in Other Comprehensive Income (Loss)					Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings						Gains (Losses) Recognized in Other Comprehensive Income (Loss)						Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings
(Dollars in Millions)	2014		2013			2014			2013			2014			2013			2014			2013
Asset and Liability Management Positions
Cash flow hedges
Interest rate contracts (a)	$	10	$	(11	)	$	(28	)	$	(30	)	$	(12	)	$	22		$	(86	)	$	(88	)
Net investment hedges
Foreign exchange forward contracts	$	84		(29	)		–			–		$	93			(23	)		–			–

Note: Ineffectiveness on cash flow and net investment hedges was not material for the three and nine months ended September 30, 2014 and 2013.

(a) Gains (Losses) reclassified from other comprehensive income (loss) into interest income on loans and interest expense on long-term debt.

The table below shows the gains (losses) recognized in earnings for fair value hedges, other economic hedges and the customer-related positions:

	Location of Gains (Losses)	Three Months						Nine Months
		Ended September 30,						Ended September 30,
(Dollars in Millions)	Recognized in Earnings	2014			2013			2014			2013
Asset and Liability Management Positions
Fair value hedges (a)
Interest rate contracts	Other noninterest income	$	(19	)	$	–		$	(13	)	$	(7	)
Other economic hedges
Interest rate contracts
Futures and forwards	Mortgage banking revenue		6			33			(69	)		569
Purchased and written options	Mortgage banking revenue		64			54			210			200
Receive fixed/pay floating swaps	Mortgage banking revenue		17			(5	)		238			(264	)
Foreign exchange forward contracts	Commercial products revenue		(24	)		(16	)		(41	)		18
Equity contracts	Compensation expense		–			–			1			1
Credit contracts	Other noninterest income/expense		–			2			–			1
Other	Other noninterest income/expense		1			–			(42	)		–
Customer-Related Positions
Interest rate contracts
Receive fixed/pay floating swaps	Other noninterest income		(20	)		13			329			(288	)
Pay fixed/receive floating swaps	Other noninterest income		28			(10	)		(307	)		298
Foreign exchange rate contracts
Forwards, spots and swaps	Commercial products revenue		13			15			45			36

(a) Gains (Losses) on items hedged by interest rate contracts included in noninterest income (expense), were $19 million and zero million for the three months ended September 30, 2014 and 2013, respectively, and $13 million and $7 million for the nine months ended September 30, 2014 and 2013, respectively. The ineffective portion was immaterial for the three and nine months ended September 30, 2014 and 2013.

Derivatives are subject to credit risk associated with counterparties to the derivative contracts. The Company measures that credit risk using a credit valuation adjustment and includes it within the fair value of the derivative. The Company manages counterparty credit risk through diversification of its derivative positions among various counterparties, by entering into master netting arrangements and, where possible, by requiring collateral arrangements. A master netting arrangement allows two counterparties, who have multiple derivative contracts with each other, the ability to net settle amounts under all contracts, including any related collateral, through a single payment and in a single currency. Collateral arrangements require the counterparty to deliver collateral (typically cash or U.S. Treasury and agency securities) equal to the Company’s net derivative receivable, subject to minimum transfer and credit rating requirements.

The Company’s collateral arrangements are predominately bilateral and, therefore, contain provisions that require collateralization of the Company’s net liability derivative positions. Required collateral coverage is based on certain net liability thresholds and contingent upon the Company’s credit rating from two of the nationally recognized statistical rating organizations. If the Company’s credit rating were to fall below credit ratings thresholds established in the collateral arrangements, the counterparties to the derivatives could request immediate additional collateral coverage up to and including full collateral coverage for derivatives in a net liability position. The aggregate fair value of all derivatives under collateral arrangements that were in a net liability position at September 30, 2014, was $868 million. At September 30, 2014, the Company had $697 million of cash posted as collateral against this net liability position.

66 U.S. Bancorp

 Note 14  Netting Arrangements for Certain Financial Instruments

The majority of the Company’s derivative portfolio consists of bilateral over-the-counter trades. However, per current regulations, certain interest rate swaps and forwards and credit contracts need to be centrally cleared through clearinghouses. In addition, a portion of the Company’s derivative positions are exchange-traded. These are predominately U.S. Treasury futures or options on U.S. Treasury futures. Of the Company’s $132.0 billion total notional amount of derivative positions at September 30, 2014, $27.6 billion related to those centrally cleared through clearinghouses and $3.3 billion related to those that were exchange-traded. Irrespective of how derivatives are traded, the Company’s derivative contracts include offsetting rights (referred to as netting arrangements), and depending on expected volume, credit risk, and counterparty preference, collateral maintenance may be required. For all derivatives under collateral support agreements, fair value is determined daily and, depending on the collateral maintenance requirements, the Company and a counterparty may receive or deliver collateral, based upon the net fair value of all derivative positions between the Company and the counterparty. Collateral is typically cash, but securities may be allowed under collateral arrangements with certain counterparties. Receivables and payables related to cash collateral are included in other assets and other liabilities on the Consolidated Balance Sheet, along with the related derivative asset and liability fair values. Any securities pledged to counterparties as collateral remain on the Consolidated Balance Sheet. Securities received from counterparties as collateral are not recognized on the Consolidated Balance Sheet, unless the counterparty defaults. In general, securities used as collateral can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party. Refer to Note 13 for further discussion of the Company’s derivatives, including collateral arrangements.

As part of the Company’s treasury and broker-dealer operations, the Company executes transactions that are treated as securities sold under agreements to repurchase or securities purchased under agreements to resell, both of which are accounted for as collateralized financings. Securities sold under agreements to repurchase include repurchase agreements and securities loaned transactions. Securities purchased under agreements to resell include reverse repurchase agreements and securities borrowed transactions. For securities sold under agreements to repurchase, the Company records a liability for the cash received, which is included in short-term borrowings on the Consolidated Balance Sheet. For securities purchased under agreements to resell, the Company records a receivable for the cash paid, which is included in other assets on the Consolidated Balance Sheet.

Securities transferred to counterparties under repurchase agreements and securities loaned transactions continue to be recognized on the Consolidated Balance Sheet, are measured at fair value, and are included in investment securities or other assets. Securities received from counterparties under reverse repurchase agreements and securities borrowed transactions are not recognized on the Consolidated Balance Sheet unless the counterparty defaults. In connection with all of these transactions, the fair values of the securities are determined daily, and additional cash is obtained or refunded to counterparties where appropriate. The securities transferred under repurchase and reverse repurchase transactions typically are U.S. Treasury securities or agency mortgage-backed securities. The securities loaned or borrowed typically are high-grade corporate bonds traded by the Company’s broker-dealer. In general, the securities transferred can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party.

The Company executes its derivative, repurchase/reverse repurchase and securities loaned/borrowed transactions under the respective industry standard agreements. These agreements include master netting arrangements that allow for multiple contracts executed with the same counterparty to be viewed as a single arrangement. This allows for net settlement of a single amount on a daily basis. In the event of default, the master netting arrangement provides for close-out netting, which allows all of these positions with the defaulting counterparty to be terminated and net settled with a single payment amount.

The Company has elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of the majority of its derivative counterparties, excluding centrally cleared derivative contracts due to current uncertainty about the legal enforceability of netting arrangements with the clearinghouses. The netting occurs at the counterparty level, and includes all assets and liabilities related to the derivative contracts, including those associated with cash collateral received or delivered. The Company has not elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of repurchase/reverse repurchase and securities loaned/borrowed transactions.

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67

The following tables provide information on the Company’s netting adjustments, and items not offset on the Consolidated Balance Sheet but available for offset in the event of default:

	Gross Recognized Assets		Gross Amounts Offset on the Consolidated Balance Sheet (a)			Net Amounts Presented on the Consolidated Balance Sheet		Gross Amounts Not Offset on the Consolidated Balance Sheet
(Dollars in Millions)								Financial Instruments (b)			Collateral Received (c)			Net Amount
September 30, 2014
Derivative assets (d)	$	1,363	$	(670	)	$	693	$	(36	)	$	–		$	657
Reverse repurchase agreements		107		–			107		(56	)		(51	)		–
Securities borrowed		583		–			583		(14	)		(551	)		18
Total	$	2,053	$	(670	)	$	1,383	$	(106	)	$	(602	)	$	675
December 31, 2013
Derivative assets (d)	$	1,349	$	(599	)	$	750	$	(21	)	$	–		$	729
Reverse repurchase agreements		87		–			87		(59	)		(28	)		–
Securities borrowed		723		–			723		–			(698	)		25
Total	$	2,159	$	(599	)	$	1,560	$	(80	)	$	(726	)	$	754

(a) Includes $156 million and $124 million of cash collateral related payables that were netted against derivative assets at September 30, 2014 and December 31, 2013, respectively.

(b) For derivative assets this includes any derivative liability fair values that could be offset in the event of counterparty default; for reverse repurchase agreements this includes any repurchase agreement payables that could be offset in the event of counterparty default; for securities borrowed this includes any securities loaned payables that could be offset in the event of counterparty default.

(c) Includes the fair value of securities received by the Company from the counterparty. These securities are not included on the Consolidated Balance Sheet unless the counterparty defaults.

(d) Excludes $131 million and $55 million of derivative assets centrally cleared or otherwise not subject to netting arrangements at September 30, 2014 and December 31, 2013, respectively.

	Gross Recognized Liabilities		Gross Amounts Offset on the Consolidated Balance Sheet (a)			Net Amounts Presented on the Consolidated Balance Sheet		Gross Amounts Not Offset on the Consolidated Balance Sheet
(Dollars in Millions)								Financial Instruments (b)			Collateral Pledged (c)			Net Amount
September 30, 2014
Derivative liabilities (d)	$	1,569	$	(1,127	)	$	442	$	(36	)	$	–		$	406
Repurchase agreements		686		–			686		(56	)		(630	)		–
Securities loaned		87		–			87		(14	)		(72	)		1
Total	$	2,342	$	(1,127	)	$	1.215	$	(106	)	$	(702	)	$	407
December 31, 2013
Derivative liabilities (d)	$	1,598	$	(1,192	)	$	406	$	(21	)	$	–		$	385
Repurchase agreements		2,059		–			2,059		(59	)		(2,000	)		–
Securities loaned		–		–			–		–			–			–
Total	$	3,657	$	(1,192	)	$	2,465	$	(80	)	$	(2,000	)	$	385

(a) Includes $613 million and $717 million of cash collateral related receivables that were netted against derivative liabilities at September 30, 2014 and December 31, 2013, respectively.

(b) For derivative liabilities this includes any derivative asset fair values that could be offset in the event of counterparty default; for repurchase agreements this includes any reverse repurchase agreement receivables that could be offset in the event of counterparty default; for securities loaned this includes any securities borrowed receivables that could be offset in the event of counterparty default.

(c) Includes the fair value of securities pledged by the Company to the counterparty. These securities are included on the Consolidated Balance Sheet unless the Company defaults.

(d) Excludes $203 million and $119 million of derivative liabilities centrally cleared or otherwise not subject to netting arrangements at September 30, 2014 and December 31, 2013, respectively.

 Note 15  Fair Values of Assets and Liabilities

The Company uses fair value measurements for the initial recording of certain assets and liabilities, periodic remeasurement of certain assets and liabilities, and disclosures. Derivatives, trading and available-for-sale investment securities, MSRs and substantially all MLHFS are recorded at fair value on a recurring basis. Additionally, from time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as loans held for sale, loans held for investment and certain other assets. These nonrecurring fair value adjustments typically involve application of lower-of-cost-or-fair value accounting or impairment write-downs of individual assets.

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value measurement reflects all of the assumptions that market participants would use in pricing the asset or liability, including assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset and the risk of nonperformance.

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The Company groups its assets and liabilities measured at fair value into a three-level hierarchy for valuation techniques used to measure financial assets and financial liabilities at fair value. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

• Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 1 includes U.S. Treasury and exchange-traded instruments.

• Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 includes debt securities that are traded less frequently than exchange-traded instruments and which are typically valued using third party pricing services; derivative contracts and other assets and liabilities, including securities, whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data; and MLHFS whose values are determined using quoted prices for similar assets or pricing models with inputs that are observable in the market or can be corroborated by observable market data.

• Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category includes MSRs, certain debt securities and certain derivative contracts.

When the Company changes its valuation inputs for measuring financial assets and financial liabilities at fair value, either due to changes in current market conditions or other factors, it may need to transfer those assets or liabilities to another level in the hierarchy based on the new inputs used. The Company recognizes these transfers at the end of the reporting period in which the transfers occur. During the nine months ended September 30, 2014 and 2013, there were no transfers of financial assets or financial liabilities between the hierarchy levels.

The Company has processes and controls in place to increase the reliability of estimates it makes in determining fair value measurements. Items quoted on an exchange are verified to the quoted price. Items provided by a third party pricing service are subject to price verification procedures as described in more detail in the specific valuation discussions below. For fair value measurements modeled internally, the Company’s valuation models are subject to the Company’s Model Risk Governance Policy and Program, as maintained by the Company’s risk management department. The purpose of model validation is to assess the accuracy of the models’ input, processing, and reporting components. All models are required to be independently reviewed and approved prior to being placed in use, and are subject to formal change control procedures. Under the Company’s Model Risk Governance Policy, models are required to be reviewed at least annually to ensure they are operating as intended. Inputs into the models are market observable inputs whenever available. When market observable inputs are not available, the inputs are developed based upon analysis of historical experience and evaluation of other relevant market data. Significant unobservable model inputs are subject to review by senior management in corporate functions, who are independent from the modeling. Significant unobservable model inputs are also compared to actual results, typically on a quarterly basis. Significant Level 3 fair value measurements are also subject to corporate-level review and are benchmarked to market transactions or other market data, when available. Additional discussion of processes and controls are provided in the valuation methodologies section that follows.

The following section describes the valuation methodologies used by the Company to measure financial assets and liabilities at fair value and for estimating fair value for financial instruments not recorded at fair value as required under disclosure guidance related to the fair value of financial instruments. In addition, the following section includes an indication of the level of the fair value hierarchy in which the assets or liabilities are classified. Where appropriate, the description includes information about the valuation models and key inputs to those models. During the nine months ended September 30, 2014 and 2013, there were no significant changes to the valuation techniques used by the Company to measure fair value.

Cash and Due From Banks The carrying value of cash and due from banks approximate fair value and are classified within Level 1. Fair value is provided for disclosure purposes only.

Federal Funds Sold and Securities Purchased Under Resale Agreements The carrying value of federal funds sold and securities purchased under resale agreements approximate fair value because of the relatively short time between the

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origination of the instrument and its expected realization and are classified within Level 2. Fair value is provided for disclosure purposes only.

Investment Securities When quoted market prices for identical securities are available in an active market, these prices are used to determine fair value and these securities are classified within Level 1 of the fair value hierarchy. Level 1 investment securities are predominantly U.S. Treasury securities.

For other securities, quoted market prices may not be readily available for the specific securities. When possible, the Company determines fair value based on market observable information, including quoted market prices for similar securities, inactive transaction prices, and broker quotes. These securities are classified within Level 2 of the fair value hierarchy. Level 2 valuations are generally provided by a third party pricing service. The Company reviews the valuation methodologies utilized by the pricing service and, on a quarterly basis, reviews the security level prices provided by the pricing service against management’s expectation of fair value, based on changes in various benchmarks and market knowledge from recent trading activity. Additionally, each quarter, the Company validates the fair value provided by the pricing services by comparing them to recent observable market trades (where available), broker provided quotes, or other independent secondary pricing sources. Prices obtained from the pricing service are adjusted if they are found to be inconsistent with observable market data. Level 2 investment securities are predominantly agency mortgage-backed securities, certain other asset-backed securities, municipal securities, corporate debt securities, agency debt securities and perpetual preferred securities.

The fair value of securities for which there are no market trades, or where trading is inactive as compared to normal market activity, are classified within Level 3 of the fair value hierarchy. The Company determines the fair value of these securities by using a discounted cash flow methodology and incorporating observable market information, where available. These valuations are modeled by a unit within the Company’s treasury department. The valuations use assumptions regarding housing prices, interest rates and borrower performance. Inputs are refined and updated at least quarterly to reflect market developments and actual performance. The primary valuation drivers of these securities are the prepayment rates, default rates and default severities associated with the underlying collateral, as well as the discount rate used to calculate the present value of the projected cash flows. Level 3 fair values, including the assumptions used, are subject to review by senior management in corporate functions, who are independent from the modeling. The fair value measurements are also compared to fair values provided by third party pricing services, where available. Securities classified within Level 3 include non-agency mortgage-backed securities, non-agency commercial mortgage-backed securities, certain asset-backed securities, certain collateralized debt obligations and collateralized loan obligations and certain corporate debt securities.

Mortgage Loans Held For Sale MLHFS measured at fair value, for which an active secondary market and readily available market prices exist, are initially valued at the transaction price and are subsequently valued by comparison to instruments with similar collateral and risk profiles. MLHFS are classified within Level 2. Included in mortgage banking revenue was a $4 million net gain and a $5 million net loss for the three months ended September 30, 2014 and 2013, respectively, and a $102 million net gain and a $326 million net loss for the nine months ended September 30, 2014 and 2013, respectively, from the changes to fair value of these MLHFS under fair value option accounting guidance. Changes in fair value due to instrument specific credit risk were immaterial. Interest income for MLHFS is measured based on contractual interest rates and reported as interest income on the Consolidated Statement of Income. Electing to measure MLHFS at fair value reduces certain timing differences and better matches changes in fair value of these assets with changes in the value of the derivative instruments used to economically hedge them without the burden of complying with the requirements for hedge accounting.

Loans The loan portfolio includes adjustable and fixed-rate loans, the fair value of which is estimated using discounted cash flow analyses and other valuation techniques. The expected cash flows of loans consider historical prepayment experiences and estimated credit losses and are discounted using current rates offered to borrowers with similar credit characteristics. Generally, loan fair values reflect Level 3 information. Fair value is provided for disclosure purposes only, with the exception of impaired collateral-based loans that are measured at fair value on a non-recurring basis utilizing the underlying collateral fair value.

Mortgage Servicing Rights MSRs are valued using a discounted cash flow methodology. Accordingly, MSRs are classified within Level 3. The Company determines fair value by estimating the present value of the asset’s future cash flows using prepayment rates, discount rates, and other assumptions. The MSR valuations, as well as the assumptions used, are developed by the mortgage banking division and are subject to review by senior management in corporate

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functions, who are independent from the modeling. The MSR valuations and assumptions are validated through comparison to trade information, publicly available data and industry surveys when available, and are also compared to independent third party valuations each quarter. Risks inherent in MSR valuation include higher than expected prepayment rates and/or delayed receipt of cash flows. There is minimal observable market activity for MSRs on comparable portfolios, and, therefore the determination of fair value requires significant management judgment. Refer to Note 7 for further information on MSR valuation assumptions.

Derivatives The majority of derivatives held by the Company are executed over-the-counter and are valued using standard cash flow, Black-Derman-Toy and Monte Carlo valuation techniques. The models incorporate inputs, depending on the type of derivative, including interest rate curves, foreign exchange rates and volatility. In addition, all derivative values incorporate an assessment of the risk of counterparty nonperformance, measured based on the Company’s evaluation of credit risk as well as external assessments of credit risk, where available. The Company monitors and manages its nonperformance risk by considering its ability to net derivative positions under master netting arrangements, as well as collateral received or provided under collateral arrangements. Accordingly, the Company has elected to measure the fair value of derivatives, at a counterparty level, on a net basis. The majority of the derivatives are classified within Level 2 of the fair value hierarchy, as the significant inputs to the models, including nonperformance risk, are observable. However, certain derivative transactions are with counterparties where risk of nonperformance cannot be observed in the market, and therefore the credit valuation adjustments result in these derivatives being classified within Level 3 of the fair value hierarchy. The credit valuation adjustments for nonperformance risk are determined by the Company’s treasury department using credit assumptions provided by the risk management department. The credit assumptions are compared to actual results quarterly and are recalibrated as appropriate.

The Company also has other derivative contracts that are created through its operations, including commitments to purchase and originate mortgage loans and swap agreements executed in conjunction with the sale of a portion of its Class B common shares of Visa Inc. (“the Visa swaps”). Refer to Note 16 for further information on the Visa restructuring and related card association litigation. The mortgage loan commitments are valued by pricing models that include market observable and unobservable inputs, which result in the commitments being classified within Level 3 of the fair value hierarchy. The unobservable inputs include assumptions about the percentage of commitments that actually become a closed loan and the MSR value that is inherent in the underlying loan value, both of which are developed by the Company’s mortgage banking division. The closed loan percentages for the mortgage loan commitments are monitored on an on-going basis, as these percentages are also used for the Company’s economic hedging activities. The inherent MSR value for the commitments are generated by the same models used for the Company’s MSRs and thus are subject to the same processes and controls as described for the MSRs above. The Visa swaps require payments by either the Company or the purchaser of the Visa Inc. Class B common shares when there are changes in the conversion rate of the Visa Inc. Class B common shares to Visa Inc. Class A common shares, as well as quarterly payments to the purchaser based on specified terms of the agreements. The fair value of the Visa swaps are calculated using a discounted cash flow methodology which includes unobservable inputs about the timing and settlement amounts related to the resolution of certain Visa related litigation, as the expected litigation resolution impacts the Visa Inc. Class B common share to Visa Inc. Class A common share conversion rate, as well as the ultimate termination date for the Visa swaps. Accordingly, the Visa swaps are classified within Level 3. The Company’s corporate development department determines the valuation for the Visa swaps. Management reviews and updates the Visa swaps fair value in conjunction with its review of Visa related litigation contingencies, and the associated escrow funding.

Other Financial Instruments Other financial instruments include cost method equity investments and certain community development and tax-advantaged related assets and liabilities. The majority of the Company’s cost method equity investments are in Federal Home Loan Bank and Federal Reserve Bank stock, for which the carrying amounts approximate fair value and are classified within Level 2. Investments in private equity and other limited partnership funds are estimated using fund provided net asset values. These equity investments are classified within Level 3. The community development and tax-advantaged related asset balances primarily represent the underlying assets of consolidated community development and tax-advantaged entities. The community development and tax-advantaged related liabilities represent the underlying liabilities of the consolidated entities (included in long-term debt) and liabilities related to other third party interests (included in other liabilities). The carrying value of the community development and tax-advantaged related asset and other liability balances are a reasonable estimate of fair value and

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are classified within Level 3. Refer to Note 6 for further information on community development and tax-advantaged related assets and liabilities. Fair value is provided for disclosure purposes only.

Deposit Liabilities The fair value of demand deposits, savings accounts and certain money market deposits is equal to the amount payable on demand. The fair value of fixed-rate certificates of deposit was estimated by discounting the contractual cash flow using current market rates. Deposit liabilities are classified within Level 2. Fair value is provided for disclosure purposes only.

Short-term Borrowings Federal funds purchased, securities sold under agreements to repurchase, commercial paper and other short-term funds borrowed have floating rates or short-term maturities. The fair value of short-term borrowings was determined by discounting contractual cash flows using current market rates. Short-term borrowings are classified within Level 2. Included in short-term borrowings is the Company’s obligation on securities sold short, which is required to be accounted for at fair value per applicable accounting guidance. Fair value for other short-term borrowings is provided for disclosure purposes only.

Long-term Debt The fair value for most long-term debt was determined by discounting contractual cash flows using current market rates. Junior subordinated debt instruments were valued using market quotes. Long-term debt is classified within Level 2. Fair value is provided for disclosure purposes only.

Loan Commitments, Letters of Credit and Guarantees The fair value of commitments, letters of credit and guarantees represents the estimated costs to terminate or otherwise settle the obligations with a third party. Other loan commitments, letters of credit and guarantees are not actively traded, and the Company estimates their fair value based on the related amount of unamortized deferred commitment fees adjusted for the probable losses for these arrangements. These arrangements are classified within Level 3. Fair value is provided for disclosure purposes only.

Significant Unobservable Inputs of Level 3 Assets and Liabilities

The following section provides information on the significant inputs used by the Company to determine the fair value measurements of Level 3 assets and liabilities recorded at fair value on the Consolidated Balance Sheet. In addition, the following section includes a discussion of the sensitivity of the fair value measurements to changes in the significant inputs and a description of any interrelationships between these inputs for Level 3 assets and liabilities recorded at fair value on a recurring basis. The discussion below excludes nonrecurring fair value measurements of collateral value used for impairment measures for loans and other real estate owned. These valuations utilize third party appraisal or broker price opinions, and are classified as Level 3 due to the significant judgment involved.

Available-For-Sale Investment Securities The significant unobservable inputs used in the fair value measurement of the Company’s modeled Level 3 available-for-sale investment securities are prepayment rates, probability of default and loss severities associated with the underlying collateral, as well as the discount margin used to calculate the present value of the projected cash flows. Increases in prepayment rates for Level 3 securities will typically result in higher fair values, as increased prepayment rates accelerate the receipt of expected cash flows and reduce exposure to credit losses. Increases in the probability of default and loss severities will result in lower fair values, as these increases reduce expected cash flows. Discount margin is the Company’s estimate of the current market spread above the respective benchmark rate. Higher discount margin will result in lower fair values, as it reduces the present value of the expected cash flows.

Prepayment rates generally move in the opposite direction of market interest rates. In the current environment, an increase in the probability of default will generally be accompanied with an increase in loss severity, as both are impacted by underlying collateral values. Discount margins are influenced by market expectations about the security’s collateral performance, and therefore may directionally move with probability and severity of default; however, discount margins are also impacted by broader market forces, such as competing investment yields, sector liquidity, economic news, and other macroeconomic factors.

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The following table shows the significant valuation assumption ranges for Level 3 available-for-sale investment securities at September 30, 2014:

	Minimum			Maximum			Average
Residential Prime Non-Agency Mortgage-Backed Securities (a)
Estimated lifetime prepayment rates		6	%		20	%		14	%
Lifetime probability of default rates		–			8			4
Lifetime loss severity rates		15			75			36
Discount margin		2			4			3
Residential Non-Prime Non-Agency Mortgage-Backed Securities (b)
Estimated lifetime prepayment rates		3	%		10	%		6	%
Lifetime probability of default rates		4			14			8
Lifetime loss severity rates		20			70			53
Discount margin		1			5			2
Other Asset-Backed Securities
Estimated lifetime prepayment rates		6	%		6	%		6	%
Lifetime probability of default rates		5			5			5
Lifetime loss severity rates		40			40			40
Discount margin		6			6			6

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

Mortgage Servicing Rights The significant unobservable inputs used in the fair value measurement of the Company’s MSRs are expected prepayments and the discount rate used to calculate the present value of the projected cash flows. Significant increases in either of these inputs in isolation would result in a significantly lower fair value measurement. Significant decreases in either of these inputs in isolation would result in a significantly higher fair value measurement. There is no direct interrelationship between prepayments and discount rate. Prepayment rates generally move in the opposite direction of market interest rates. Discount rates are generally impacted by changes in market return requirements.

The following table shows the significant valuation assumption ranges for MSRs at September 30, 2014:

	Minimum			Maximum			Average
Expected prepayment		10	%		20	%		11	%
Discount rate		9			13			10

Derivatives The Company has two distinct Level 3 derivative portfolios: (i) the Company’s commitments to purchase and originate mortgage loans that meet the requirements of a derivative and (ii) the Company’s asset/liability and customer-related derivatives that are Level 3 due to unobservable inputs related to measurement of risk of nonperformance by the counterparty. In addition, the Company’s Visa swaps are classified within Level 3.

The significant unobservable inputs used in the fair value measurement of the Company’s derivative commitments to purchase and originate mortgage loans are the percentage of commitments that actually become a closed loan and the MSR value that is inherent in the underlying loan value. A significant increase in the rate of loans that close would result in a larger derivative asset or liability. A significant increase in the inherent MSR value would result in an increase in the derivative asset or a reduction in the derivative liability. Expected loan close rates and the inherent MSR values are directly impacted by changes in market rates and will generally move in the same direction as interest rates.

The following table shows the significant valuation assumption ranges for the Company’s derivative commitments to purchase and originate mortgage loans at September 30, 2014:

	Minimum			Maximum			Average
Expected loan close rate		42	%		100	%		76	%
Inherent MSR value (basis points per loan)		48			214			129

The significant unobservable input used in the fair value measurement of certain of the Company’s asset/liability and customer-related derivatives is the credit valuation adjustment related to the risk of counterparty nonperformance. A significant increase in the credit valuation adjustment would result in a lower fair value measurement. A significant decrease in the credit valuation adjustment would result in a higher fair value measurement. The credit valuation adjustment is impacted by changes in the Company’s assessment of the counterparty’s credit position. At September 30, 2014, the minimum, maximum and average credit valuation adjustment as a percentage of the derivative contract fair value prior to adjustment was 0 percent, 93 percent and 7 percent, respectively.

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The significant unobservable inputs used in the fair value measurement of the Visa swaps are management’s estimate of the probability of certain litigation scenarios, and the timing of the resolution of the related litigation loss estimates in excess, or shortfall, of the Company’s proportional share of escrow funds. An increase in the loss estimate or a delay in the resolution of the related litigation would result in an increase in the derivative liability. A decrease in the loss estimate or an acceleration of the resolution of the related litigation would result in a decrease in the derivative liability.

The following table summarizes the balances of assets and liabilities measured at fair value on a recurring basis:

(Dollars in Millions)	Level 1		Level 2		Level 3		Netting			Total
September 30, 2014
Available-for-sale securities
U.S. Treasury and agencies	$	1,345	$	1,333	$	–	$	–		$	2,678
Mortgage-backed securities
Residential
Agency		–		41,837		–		–			41,837
Non-agency
Prime (a)		–		–		426		–			426
Non-prime (b)		–		–		284		–			284
Commercial
Agency		–		122		–		–			122
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		23		–		–			23
Other		–		558		64		–			622
Obligations of state and political subdivisions		–		5,563		–		–			5,563
Obligations of foreign governments		–		6		–		–			6
Corporate debt securities		–		630		9		–			639
Perpetual preferred securities		–		220		–		–			220
Other investments		235		19		–		–			254
Total available-for-sale		1,580		50,311		783		–			52,674
Mortgage loans held for sale		–		3,918		–		–			3,918
Mortgage servicing rights		–		–		2,461		–			2,461
Derivative assets		–		937		557		(670	)		824
Other assets		157		1,026		–		–			1,183
Total	$	1,737	$	56,192	$	3,801	$	(670	)	$	61,060
Derivative liabilities	$	–	$	1,680	$	92	$	(1,127	)	$	645
Short-term borrowings (c)		160		608		–		–			768
Total	$	160	$	2,288	$	92	$	(1,127	)	$	1,413
December 31, 2013
Available-for-sale securities
U.S. Treasury and agencies	$	7	$	1,038	$	–	$	–		$	1,045
Mortgage-backed securities
Residential
Agency		–		31,553		–		–			31,553
Non-agency
Prime (a)		–		–		478		–			478
Non-prime (b)		–		–		297		–			297
Commercial
Agency		–		152		–		–			152
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		24		–		–			24
Other		–		566		63		–			629
Obligations of state and political subdivisions		–		5,738		–		–			5,738
Obligations of foreign governments		–		6		–		–			6
Corporate debt securities		–		631		9		–			640
Perpetual preferred securities		–		212		–		–			212
Other investments		141		20		–		–			161
Total available-for-sale		148		39,940		847		–			40,935
Mortgage loans held for sale		–		3,263		–		–			3,263
Mortgage servicing rights		–		–		2,680		–			2,680
Derivative assets		–		889		515		(599	)		805
Other assets		143		588		–		–			731
Total	$	291	$	44,680	$	4,042	$	(599	)	$	48,414
Derivative liabilities	$	–	$	1,647	$	70	$	(1,192	)	$	525
Short-term borrowings (c)		112		551		–		–			663
Total	$	112	$	2,198	$	70	$	(1,192	)	$	1,188

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Represents the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.

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The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended September 30:

(Dollars in Millions)	Beginning of Period Balance		Net Gains (Losses) Included in Net Income			Net Gains (Losses) Included in Other Comprehensive Income (Loss)			Purchases		Sales			Principal Payments			Issuances			Settlements			End of Period Balance		Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
2014
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	447	$	–		$	2		$	–	$	–		$	(23	)	$	–		$	–		$	426	$	2
Non-prime (b)		286		–			6			–		–			(8	)		–			–			284		6
Asset-backed securities
Other		66		–			–			–		–			(2	)		–			–			64		–
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		808		–			8	(e)		–		–			(33	)		–			–			783		8
Mortgage servicing rights		2,412		(61	) (c)		–			1		–			–			109	(f)		–			2,461		(61	) (c)
Net derivative assets and liabilities		558		95	(d)		–			–		(1	)		–			–			(187	)		465		(15	) (g)
2013
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	547	$	(2	)	$	(4	)	$	–	$	–		$	(41	)	$	–		$	–		$	500	$	(4	)
Non-prime (b)		319		(3	)		(4	)		–		–			(9	)		–			–			303		(4	)
Asset-backed securities
Other		40		1			(2	)		3		–			(2	)		–			–			40		(2	)
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		915		(4	) (h)		(10	) (e)		3		–			(52	)		–			–			852		(10	)
Mortgage servicing rights		2,377		11	(c)		–			2		–			–			187	(f)		–			2,577		11	(c)
Net derivative assets and liabilities		423		182	(i)		–			–		(2	)		–			–			14			617		55	(j)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Included in mortgage banking revenue.

(d) Approximately $7 million included in other noninterest income and $88 million included in mortgage banking revenue.

(e) Included in changes in unrealized gains and losses on securities available-for-sale.

(f) Represents MSRs capitalized during the period.

(g) Approximately $(65) million included in other noninterest income and $50 million included in mortgage banking revenue.

(h) Approximately $(3) million included in securities gains (losses) and $(1) million included in interest income.

(i) Approximately $89 million included in other noninterest income and $93 million included in mortgage banking revenue.

(j) Approximately $(28) million included in other noninterest income and $83 million included in mortgage banking revenue.

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75

The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the nine months ended September 30:

(Dollars in Millions)	Beginning of Period Balance		Net Gains (Losses) Included in Net Income			Net Gains (Losses) Included in Other Comprehensive Income (Loss)			Purchases		Sales			Principal Payments			Issuances			Settlements			End of Period Balance		Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
2014
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	478	$	–		$	14		$	–	$	–		$	(66	)	$	–		$	–		$	426	$	14
Non-prime (b)		297		(4	)		14			–		–			(23	)		–			–			284		14
Asset-backed securities
Other		63		2			1			4		–			(6	)		–			–			64		1
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		847		(2	) (c)		29	(f)		4		–			(95	)		–			–			783		29
Mortgage servicing rights		2,680		(345	) (d)		–			3		(141	)		–			264	(g)		–			2,461		(345	) (d)
Net derivative assets and liabilities		445		568	(e)		–			1		(1	)		–			–			(548	)		465		80	(h)
2013
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	624	$	(6	)	$	4		$	–	$	–		$	(122	)	$	–		$	–		$	500	$	4
Non-prime (b)		355		(11	)		13			–		(20	)		(34	)		–			–			303		14
Asset-backed securities
Other		15		2			(1	)		28		–			(4	)		–			–			40		(1	)
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		1,003		(15	) (i)		16	(f)		28		(20	)		(160	)		–			–			852		17
Mortgage servicing rights		1,700		196	(d)		–			7		–			–			674	(g)		–			2,577		196	(d)
Net derivative assets and liabilities		1,179		(34	) (j)		–			1		(4	)		–			–			(525	)		617		(218	) (k)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Included in securities gains (losses).

(d) Included in mortgage banking revenue.

(e) Approximately $215 million included in other noninterest income and $353 million included in mortgage banking revenue.

(f) Included in changes in unrealized gains and losses on securities available-for-sale.

(g) Represents MSRs capitalized during the period.

(h) Approximately $30 million included in other noninterest income and $50 million included in mortgage banking revenue.

(i) Approximately $(13) million included in securities gains (losses) and $(2) million included in interest income.

(j) Approximately $(122) million included in other noninterest income and $88 million included in mortgage banking revenue.

(k) Approximately $(301) million included in other noninterest income and $83 million included in mortgage banking revenue.

The Company is also required periodically to measure certain other financial assets at fair value on a nonrecurring basis. These measurements of fair value usually result from the application of lower-of-cost-or-fair value accounting or write-downs of individual assets.

The following table summarizes the balances of assets measured at fair value on a nonrecurring basis:

	September 30, 2014								December 31, 2013
(Dollars in Millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Loans (a)	$	–	$	–	$	142	$	142	$	–	$	–	$	128	$	128
Other assets (b)		–		–		84		84		–		–		150		150

(a) Represents the carrying value of loans for which adjustments were based on the fair value of the collateral, excluding loans fully charged-off.

(b) Primarily represents the fair value of foreclosed properties that were measured at fair value based on an appraisal or broker price opinion of the collateral subsequent to their initial acquisition.

The following table summarizes losses recognized related to nonrecurring fair value measurements of individual assets or portfolios:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Loans (a)	$	21	$	22	$	68	$	55
Other assets (b)		17		14		51		73

(a) Represents write-downs of loans which were based on the fair value of the collateral, excluding loans fully charged-off.

(b) Primarily represents related losses of foreclosed properties that were measured at fair value subsequent to their initial acquisition.

76 U.S. Bancorp

Fair Value Option

The following table summarizes the differences between the aggregate fair value carrying amount of MLHFS for which the fair value option has been elected and the aggregate unpaid principal amount that the Company is contractually obligated to receive at maturity:

	September 30, 2014							December 31, 2013
(Dollars in Millions)	Fair Value Carrying Amount		Aggregate Unpaid Principal		Carrying Amount Over (Under) Unpaid Principal			Fair Value Carrying Amount		Aggregate Unpaid Principal		Carrying Amount Over (Under) Unpaid Principal
Total loans	$	3,918	$	3,784	$	134		$	3,263	$	3,195	$	68
Nonaccrual loans		8		12		(4	)		9		14		(5	)
Loans 90 days or more past due		2		2		–			–		–		–

Disclosures about Fair Value of Financial Instruments

The following table summarizes the estimated fair value for financial instruments as of September 30, 2014 and December 31, 2013, and includes financial instruments that are not accounted for at fair value. In accordance with disclosure guidance related to fair values of financial instruments, the Company did not include assets and liabilities that are not financial instruments, such as the value of goodwill, long-term relationships with deposit, credit card, merchant processing and trust customers, other purchased intangibles, premises and equipment, deferred taxes and other liabilities. Additionally, in accordance with the disclosure guidance, insurance contracts and investments accounted for under the equity method are excluded.

The estimated fair values of the Company’s financial instruments are shown in the table below:

	September 30, 2014										December 31, 2013
	Carrying Amount		Fair Value								Carrying Amount		Fair Value
(Dollars in Millions)			Level 1		Level 2		Level 3		Total				Level 1		Level 2		Level 3		Total
Financial Assets
Cash and due from banks	$	6,183	$	6,183	$	–	$	–	$	6,183	$	8,477	$	8,477	$	–	$	–	$	8,477
Federal funds sold and securities purchased under resale agreements		168		–		168		–		168		163		–		163		–		163
Investment securities held-to-maturity		44,231		1,905		42,093		96		44,094		38,920		2,589		35,678		101		38,368
Loans held for sale (a)		21		–		–		21		21		5		–		–		5		5
Loans (b)		241,384		–		–		243,700		243,700		230,857		–		–		231,480		231,480
Other financial instruments		2,227		–		944		1,289		2,233		2,443		–		1,080		1,383		2,463
Financial Liabilities
Deposits		273,097		–		273,147		–		273,147		262,123		–		262,200		–		262,200
Short-term borrowings (c)		29,277		–		29,134		–		29,134		26,945		–		26,863		–		26,863
Long-term debt		30,768		–		31,220		–		31,220		20,049		–		20,391		–		20,391
Other liabilities		1,307		–		–		1,307		1,307		1,263		–		–		1,263		1,263

(a) Excludes mortgages held for sale for which the fair value option under applicable accounting guidance was elected.

(b) Excludes loans measured at fair value on a nonrecurring basis.

(c) Excludes the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.

The fair value of unfunded commitments, standby letters of credit and other guarantees is approximately equal to their carrying value. The carrying value of unfunded commitments and standby letters of credit was $433 million and $382 million at September 30, 2014 and December 31, 2013, respectively. The carrying value of other guarantees was $235 million and $278 million at September 30, 2014 and December 31, 2013, respectively.

 Note 16  Guarantees and Contingent Liabilities

Visa Restructuring and Card Association Litigation The Company’s payment services business issues and acquires credit and debit card transactions through the Visa U.S.A. Inc. card association or its affiliates (collectively “Visa”). In 2007, Visa completed a restructuring and issued shares of Visa Inc. common stock to its financial institution members in contemplation of its initial public offering (“IPO”) completed in the first quarter of 2008 (the “Visa Reorganization”). As a part of the Visa Reorganization, the Company received its proportionate number of shares of Visa Inc. common stock, which were subsequently converted to Class B shares of Visa Inc. (“Class B shares”). Visa U.S.A. Inc. (“Visa

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U.S.A.”) and MasterCard International (collectively, the “Card Associations”) are defendants in antitrust lawsuits challenging the practices of the Card Associations (the “Visa Litigation”). Visa U.S.A. member banks have a contingent obligation to indemnify Visa Inc. under the Visa U.S.A. bylaws (which were modified at the time of the restructuring in October 2007) for potential losses arising from the Visa Litigation. The indemnification by the Visa U.S.A. member banks has no specific maximum amount.

Using proceeds from its IPO and through reductions to the conversion ratio applicable to the Class B shares held by Visa U.S.A. member banks, Visa Inc. has funded an escrow account for the benefit of member financial institutions to fund their indemnification obligations associated with the Visa Litigation. The receivable related to the escrow account is classified in other liabilities as a direct offset to the related Visa Litigation contingent liability. On October 19, 2012, Visa signed a settlement agreement to resolve class action claims associated with the multi-district interchange litigation, the largest of the remaining Visa Litigation matters. The settlement has been approved by the court, but has been challenged by some class members and is being appealed. In addition, a number of class members opted out of the settlement and have filed actions against the Card Associations. At September 30, 2014, the carrying amount of the Company’s liability related to the Visa Litigation matters, net of its share of the escrow fundings, was $19 million. The Company sold 3.0 million and .4 million of its Class B shares during the second and third quarters of 2014, respectively. These sales do not impact the Company’s liability for the Visa Litigation matters or the receivable related to the escrow account. The remaining 9.2 million Class B shares held by the Company will be eligible for conversion to Class A shares of Visa Inc., and thereby become marketable, upon final settlement of the Visa Litigation. These shares are excluded from the Company’s financial instruments disclosures included in Note 15.

Other Guarantees and Contingent Liabilities

The following table is a summary of other guarantees and contingent liabilities of the Company at September 30, 2014:

(Dollars in Millions)	Collateral Held		Carrying Amount		Maximum Potential Future Payments
Standby letters of credit	$	–	$	63	$	15,201
Third-party borrowing arrangements		–		–		16
Securities lending indemnifications		5,166		–		5,002
Asset sales		–		160		4,040	(a)
Merchant processing		780		66		92,835
Contingent consideration arrangements		–		2		2
Tender option bond program guarantee		4,079		–		3,915
Minimum revenue guarantees		–		7		7
Other		–		–		525

(a) The maximum potential future payments do not include loan sales where the Company provides standard representation and warranties to the buyer against losses related to loan underwriting documentation defects that may have existed at the time of sale that generally are identified after the occurrence of a triggering event such as delinquency. For these types of loan sales, the maximum potential future payments is generally the unpaid principal balance of loans sold measured at the end of the current reporting period. Actual losses will be significantly less than the maximum exposure, as only a fraction of loans sold will have a representation and warranty breach, and any losses on repurchase would generally be mitigated by any collateral held against the loans.

Merchant Processing The Company, through its subsidiaries, provides merchant processing services. Under the rules of credit card associations, a merchant processor retains a contingent liability for credit card transactions processed. This contingent liability arises in the event of a billing dispute between the merchant and a cardholder that is ultimately resolved in the cardholder’s favor. In this situation, the transaction is “charged-back” to the merchant and the disputed amount is credited or otherwise refunded to the cardholder. If the Company is unable to collect this amount from the merchant, it bears the loss for the amount of the refund paid to the cardholder.

The Company currently processes card transactions in the United States, Canada, Europe, Mexico and Brazil through wholly-owned subsidiaries and joint ventures with other financial institutions. In the event a merchant was unable to fulfill product or services subject to delayed delivery, such as airline tickets, the Company could become financially liable for refunding tickets purchased through the credit card associations under the charge-back provisions. Charge-back risk related to these merchants is evaluated in a manner similar to credit risk assessments and, as such, merchant processing contracts contain various provisions to protect the Company in the event of default. At September 30, 2014, the value of airline tickets purchased to be delivered at a future date was $6.8 billion. The Company held collateral of $648 million in escrow deposits, letters of credit and indemnities from financial institutions, and liens on various assets.

Asset Sales The Company regularly sells loans to GSEs as part of its mortgage banking activities. The Company provides customary representation and warranties to the GSEs in conjunction with these sales. These representations

78 U.S. Bancorp

and warranties generally require the Company to repurchase assets if it is subsequently determined that a loan did not meet specified criteria, such as a documentation deficiency or rescission of mortgage insurance. If the Company is unable to cure or refute a repurchase request, the Company is generally obligated to repurchase the loan or otherwise reimburse the counterparty for losses. At September 30, 2014, the Company had reserved $62 million for potential losses from representation and warranty obligations, compared with $83 million at December 31, 2013. The Company’s reserve reflects management’s best estimate of losses for representation and warranty obligations. The Company’s repurchase reserve is modeled at the loan level, taking into consideration the individual credit quality and borrower activity that has transpired since origination. The model applies credit quality and economic risk factors to derive a probability of default and potential repurchase that are based on the Company’s historical loss experience, and estimates loss severity based on expected collateral value. The Company also considers qualitative factors that may result in anticipated losses differing from historical loss trends.

The following table is a rollforward of the Company’s representation and warranty reserve:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	69		$	190		$	83		$	240
Net realized losses		(1	)		(13	)		(13	)		(52	)
Change in reserve		(6	)		(1	)		(8	)		(12	)
Balance at end of period	$	62		$	176		$	62		$	176

As of September 30, 2014 and December 31, 2013, the Company had $29 million and $89 million, respectively, of unresolved representation and warranty claims from the GSEs. The Company does not have a significant amount of unresolved claims from investors other than the GSEs.

Litigation and Regulatory Matters The Company is subject to various litigation and regulatory matters that arise in the ordinary course of its business. The Company establishes reserves for such matters when potential losses become probable and can be reasonably estimated. The Company believes the ultimate resolution of existing legal and regulatory matters will not have a material adverse effect on the financial condition, results of operations or cash flows of the Company. However, changes in circumstances or additional information could result in additional accruals or resolution in excess of established accruals, which could adversely affect the Company’s results from operations, potentially materially.

The Company is currently subject to investigations and examinations by government agencies and bank regulators concerning mortgage-related practices, including those related to compliance with selling guidelines relating to residential home loans sold to GSEs, foreclosure-related expenses submitted to the Federal Housing Administration or GSEs for reimbursement, and various practices related to lender-placed insurance. The Company is also regularly subject to examinations and inquiries in areas of increasing regulatory scrutiny, such as compliance, risk management, third party management, consumer protection, anti-money laundering and Office of Foreign Assets Control requirements. The Company is cooperating fully with these examinations, inquiries and investigations, any of which could lead to administrative or legal proceedings or settlements. Remedies in these proceedings or settlements may include fines, penalties, restitution or alterations in the Company’s business practices (which may increase the Company’s operating expenses).

Certain federal and state governmental authorities reached settlement agreements in 2012 and 2013 with other major financial institutions regarding their mortgage origination, servicing, and foreclosure activities. Those governmental authorities have had settlement discussions with other financial institutions, including the Company. The Company has not agreed to any settlement; however, if a settlement were reached it would likely include an agreement to comply with specified servicing standards, and settlement payments to governmental authorities as well as a monetary commitment that could be satisfied under various loan modification programs (in addition to the programs the Company already has in place).

Due to their complex nature, it can be years before litigation and regulatory matters are resolved. For those litigation and regulatory matters where the Company has information to develop an estimate or range of loss, the Company believes the upper end of reasonably possible losses in aggregate, in excess of any reserves established for matters where a loss is considered probable, will not be material to its financial statements. The Company’s estimates are subject to significant judgment and uncertainties, and the matters underlying the estimates will change from time to time. Actual results may vary significantly from the current estimates.

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For additional information on the nature of the Company’s guarantees and contingent liabilities, refer to Note 22 in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

 Note 17  Subsequent Events

The Company has evaluated the impact of events that have occurred subsequent to September 30, 2014 through the date the consolidated financial statements were filed with the United States Securities and Exchange Commission. Based on this evaluation, the Company has determined none of these events were required to be recognized or disclosed in the consolidated financial statements and related notes.

80 U.S. Bancorp

U.S. Bancorp

Consolidated Daily Average Balance Sheet and Related Yields and Rates (a)

	For the Three Months Ended September 30,
	2014								2013
(Dollars in Millions) (Unaudited)	Average Balances			Interest		Yields and Rates			Average Balances			Interest		Yields and Rates			% Change Average Balances
Assets
Investment securities	$	93,141		$	508		2.18	%	$	74,988		$	453		2.42	%		24.2	%
Loans held for sale		3,552			36		4.08			4,965			46		3.77			(28.5	)
Loans (b)
Commercial		77,345			564		2.89			68,064			543		3.17			13.6
Commercial real estate		40,839			397		3.86			38,501			400		4.12			6.1
Residential mortgages		51,994			502		3.86			49,139			495		4.02			5.8
Credit card		17,753			467		10.45			16,931			429		10.06			4.9
Other retail		48,698			517		4.22			46,994			582		4.91			3.6
Total loans, excluding covered loans		236,629			2,447		4.11			219,629			2,449		4.43			7.7
Covered loans		7,238			96		5.31			9,733			143		5.84			(25.6	)
Total loans		243,867			2,543		4.15			229,362			2,592		4.49			6.3
Other earning assets		5,862			27		1.86			5,745			34		2.38			2.0
Total earning assets		346,422			3,114		3.58			315,060			3,125		3.95			10.0
Allowance for loan losses		(4,161	)							(4,322	)							3.7
Unrealized gain (loss) on investment securities		463								221								*
Other assets		43,099								41,202								4.6
Total assets	$	385,823							$	352,161								9.6
Liabilities and Shareholders’ Equity
Noninterest-bearing deposits	$	74,126							$	68,264								8.6	%
Interest-bearing deposits
Interest checking		54,454			9		.07			48,235			7		.07			12.9
Money market savings		66,250			31		.19			55,982			19		.14			18.3
Savings accounts		34,615			11		.13			32,083			12		.14			7.9
Time deposits less than $100,000		11,045			29		1.02			12,495			44		1.37			(11.6	)
Time deposits greater than $100,000		30,518			35		.45			35,309			52		.59			(13.6	)
Total interest-bearing deposits		196,882			115		.23			184,104			134		.29			6.9
Short-term borrowings		30,961			73		.94			27,495			99		1.42			12.6
Long-term debt		26,658			178		2.67			19,226			178		3.69			38.7
Total interest-bearing liabilities		254,501			366		.57			230,825			411		.71			10.3
Other liabilities		13,379								11,740								14.0
Shareholders’ equity
Preferred equity		4,756								4,756								—
Common equity		38,376								35,180								9.1
Total U.S. Bancorp shareholders’ equity		43,132								39,936								8.0
Noncontrolling interests		685								1,396								(50.9	)
Total equity		43,817								41,332								6.0
Total liabilities and equity	$	385,823							$	352,161								9.6
Net interest income				$	2,748							$	2,714
Gross interest margin							3.01	%							3.24	%
Gross interest margin without taxable-equivalent increments							2.95	%							3.17	%
Percent of Earning Assets
Interest income							3.58	%							3.95	%
Interest expense							.42								.52
Net interest margin							3.16	%							3.43	%
Net interest margin without taxable-equivalent increments							3.10	%							3.36	%

* Not meaningful

(a) Interest and rates are presented on a fully taxable-equivalent basis utilizing a tax rate of 35 percent.

(b) Interest income and rates on loans include loan fees. Nonaccrual loans are included in average loan balances.

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81

U.S. Bancorp

Consolidated Daily Average Balance Sheet and Related Yields and Rates (a)

	For the Nine Months Ended September 30,
	2014								2013
(Dollars in Millions) (Unaudited)	Average Balances			Interest		Yields and Rates			Average Balances			Interest		Yields and Rates			% Change Average Balances
Assets
Investment securities	$	87,687		$	1,473		2.24	%	$	74,303		$	1,325		2.38	%		18.0	%
Loans held for sale		2,811			87		4.13			6,659			172		3.45			(57.8	)
Loans (b)
Commercial		74,424			1,651		2.96			66,719			1,626		3.26			11.5
Commercial real estate		40,465			1,180		3.90			37,872			1,188		4.19			6.8
Residential mortgages		51,799			1,504		3.88			47,055			1,452		4.12			10.1
Credit card		17,516			1,338		10.21			16,627			1,256		10.10			5.3
Other retail		48,098			1,622		4.51			47,034			1,736		4.93			2.3
Total loans, excluding covered loans		232,302			7,295		4.20			215,307			7,258		4.50			7.9
Covered loans		7,796			352		6.03			10,375			492		6.33			(24.9	)
Total loans		240,098			7,647		4.26			225,682			7,750		4.59			6.4
Other earning assets		5,691			89		2.10			7,019			141		2.70			(18.9	)
Total earning assets		336,287			9,296		3.69			313,663			9,388		4.00			7.2
Allowance for loan losses		(4,212	)							(4,403	)							4.3
Unrealized gain (loss) on investment securities		388								785								(50.6	)
Other assets		42,584								41,003								3.9
Total assets	$	375,047							$	351,048								6.8
Liabilities and Shareholders’ Equity
Noninterest-bearing deposits	$	72,274							$	67,183								7.6	%
Interest-bearing deposits
Interest checking		52,928			26		.07			48,347			26		.07			9.5
Money market savings		62,314			81		.17			54,826			54		.13			13.7
Savings accounts		33,940			35		.14			31,809			38		.16			6.7
Time deposits less than $100,000		11,151			93		1.12			13,082			147		1.50			(14.8	)
Time deposits greater than $100,000		31,055			113		.48			33,037			168		.68			(6.0	)
Total interest-bearing deposits		191,388			348		.24			181,101			433		.32			5.7
Short-term borrowings		30,362			207		.91			27,736			273		1.32			9.5
Long-term debt		24,864			543		2.92			21,968			587		3.57			13.2
Total interest-bearing liabilities		246,614			1,098		.60			230,805			1,293		.75			6.8
Other liabilities		12,974								12,033								7.8
Shareholders’ equity
Preferred equity		4,756								4,820								(1.3	)
Common equity		37,742								34,855								8.3
Total U.S. Bancorp shareholders’ equity		42,498								39,675								7.1
Noncontrolling interests		687								1,352								(49.2	)
Total equity		43,185								41,027								5.3
Total liabilities and equity	$	375,047							$	351,048								6.8
Net interest income				$	8,198							$	8,095
Gross interest margin							3.09	%							3.25	%
Gross interest margin without taxable-equivalent increments							3.02	%							3.18	%
Percent of Earning Assets
Interest income							3.69	%							4.00	%
Interest expense							.43								.55
Net interest margin							3.26	%							3.45	%
Net interest margin without taxable-equivalent increments							3.19	%							3.38	%

(a) Interest and rates are presented on a fully taxable-equivalent basis utilizing a tax rate of 35 percent.

(b) Interest income and rates on loans include loan fees. Nonaccrual loans are included in average loan balances.

82 U.S. Bancorp

Part II — Other Information

Item 1. Legal Proceedings — See the information set forth in Note 16 in the Notes to Consolidated Financial Statements under Part I, Item 1 of this Report, which is incorporated herein by reference.

Item 1A. Risk Factors — There are a number of factors that may adversely affect the Company’s business, financial results or stock price. Refer to “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013, for discussion of these risks.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds — Refer to the “Capital Management” section within Management’s Discussion and Analysis in Part I for information regarding shares repurchased by the Company during the third quarter of 2014.

Item 6. Exhibits

  12 Computation of Ratio of Earnings to Fixed Charges

  31.1 Certification of Chief Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934

  31.2 Certification of Chief Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934

  32 Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. section 1350 as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002

101 Financial statements from the Quarterly Report on Form 10-Q of the Company for the quarter ended September 30, 2014, formatted in Extensible Business Reporting Language: (i) the Consolidated Balance Sheet, (ii) the Consolidated Statement of Income, (iii) the Consolidated Statement of Comprehensive Income, (iv) the Consolidated Statement of Shareholders’ Equity, (v) the Consolidated Statement of Cash Flows and (vi) the Notes to Consolidated Financial Statements.

U.S. Bancorp

83

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	U.S. BANCORP
	By:	/S/      CRAIG E. GIFFORD
		Craig E. Gifford
		Controller
Dated: November 6, 2014		(Principal Accounting Officer and Duly Authorized Officer)

84 U.S. Bancorp

EXHIBIT 12

Computation of Ratio of Earnings to Fixed Charges

(Dollars in Millions)			Three Months Ended September 30, 2014		Nine Months Ended September 30, 2014
Earnings
1.	Net income attributable to U.S. Bancorp		$	1,471	$	4,363
2.	Applicable income taxes, including expense related to unrecognized tax positions			523		1,566
3.	Net income attributable to U.S. Bancorp before income taxes (1 + 2)		$	1,994	$	5,929
4.	Fixed charges:
	a.	Interest expense excluding interest on deposits*	$	250	$	747
	b.	Portion of rents representative of interest and amortization of debt expense		28		84
	c.	Fixed charges excluding interest on deposits (4a + 4b)	$	278	$	831
	d.	Interest on deposits		115		348
	e.	Fixed charges including interest on deposits (4c + 4d)	$	393	$	1,179
5.	Amortization of interest capitalized		$	–	$	–
6.	Earnings excluding interest on deposits (3 + 4c + 5)			2,272		6,760
7.	Earnings including interest on deposits (3 + 4e + 5)			2,387		7,108
8.	Fixed charges excluding interest on deposits (4c)			278		831
9.	Fixed charges including interest on deposits (4e)			393		1,179
Ratio of Earnings to Fixed Charges
10.	Excluding interest on deposits (line 6/line 8)			8.17		8.13
11.	Including interest on deposits (line 7/line 9)			6.07		6.03

* Excludes interest expense related to unrecognized tax positions

U.S. Bancorp 85

EXHIBIT 31.1

CERTIFICATION PURSUANT TO RULE 13a-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934

I, Richard K. Davis, certify that:

(1) I have reviewed this Quarterly Report on Form 10-Q of U.S. Bancorp;

(2) Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3) Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4) The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

(5) The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

/S/    RICHARD K. DAVIS

Richard K. Davis

Chief Executive Officer

Dated: November 6, 2014

86 U.S. Bancorp

EXHIBIT 31.2

CERTIFICATION PURSUANT TO RULE 13a-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934

I, Andrew Cecere, certify that:

(1) I have reviewed this Quarterly Report on Form 10-Q of U.S. Bancorp;

(2) Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3) Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4) The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

(5) The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

/S/    ANDREW CECERE

Andrew Cecere

Chief Financial Officer

Dated: November 6, 2014

U.S. Bancorp 87

EXHIBIT 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, the undersigned, Chief Executive Officer and Chief Financial Officer of U.S. Bancorp, a Delaware corporation (the “Company”), do hereby certify that:

(1) The Quarterly Report on Form 10-Q for the quarter ended September 30, 2014 (the “Form 10-Q”) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of the Company.

/S/    RICHARD K. DAVIS	/S/    ANDREW CECERE
Richard K. Davis	Andrew Cecere
Chief Executive Officer	Chief Financial Officer
Dated: November 6, 2014

88 U.S. Bancorp

Corporate Information

Executive Offices

U.S. Bancorp

800 Nicollet Mall

Minneapolis, MN 55402

Common Stock Transfer Agent and Registrar

Computershare acts as our transfer agent and registrar, dividend paying agent and dividend reinvestment plan administrator, and maintains all shareholder records for the corporation. Inquiries related to shareholder records, stock transfers, changes of ownership, lost stock certificates, changes of address and dividend payment should be directed to the transfer agent at:

Computershare

P.O. Box 30170

College Station, TX 77842-3170

Phone: 888-778-1311 or 201-680-6578 (international calls)

Internet: www.computershare.com/investor

Registered or Certified Mail:

Computershare

211 Quality Circle, Suite 210

College Station, TX 77845

Telephone representatives are available weekdays from 8:00 a.m. to 6:00 p.m. Central Standard Time, and automated support is available 24 hours a day, 7 days a week. Specific information about your account is available on Computershare’s Investor Centre^TM website.

Independent Auditor

Ernst & Young LLP serves as the independent auditor for U.S. Bancorp’s financial statements.

Common Stock Listing and Trading

U.S. Bancorp common stock is listed and traded on the New York Stock Exchange under the ticker symbol USB.

Dividends and Reinvestment Plan

U.S. Bancorp currently pays quarterly dividends on our common stock on or about the 15th day of January, April, July and October, subject to approval by our Board of Directors. U.S. Bancorp shareholders can choose to participate in a plan that provides automatic reinvestment of dividends and/or optional cash purchase of additional shares of U.S. Bancorp common stock. For more information, please contact our transfer agent, Computershare.

Investor Relations Contact

Sean C. O’Connor, CFA

Senior Vice President, Investor Relations

sean.oconnor@usbank.com

Phone: 612-303-0778 or 866-775-9668

Financial Information

U.S. Bancorp news and financial results are available through our website and by mail.

Website For information about U.S. Bancorp, including news, financial results, annual reports and other documents filed with the Securities and Exchange Commission, access our home page on the internet at usbank.com, click on About U.S. Bank.

Mail At your request, we will mail to you our quarterly earnings, news releases, quarterly financial data reported on Form 10-Q, Form 10-K and additional copies of our annual reports. Please contact:

U.S. Bancorp Investor Relations

800 Nicollet Mall

Minneapolis, MN 55402

investorrelations@usbank.com

Phone: 866-775-9668

Media Requests

Dana Ripley

Senior Vice President, Corporate Communications

dana.ripley@usbank.com

Phone: 612-303-3167

Privacy

U.S. Bancorp is committed to respecting the privacy of our customers and safeguarding the financial and personal information provided to us. To learn more about the U.S. Bancorp commitment to protecting privacy, visit usbank.com and click on Privacy.

Code of Ethics

At U.S. Bancorp, we value high ethical standards above all else. Our ethical principles — integrity, respect, responsibility and good citizenship — guide everything we do. Demonstrating these principles through our words and actions is how we put the power of US to work for our employees, customers, shareholders and communities. Each year, every employee certifies compliance with the letter and spirit of our Code of Ethics and Business Conduct. For details about our Code of Ethics and Business Conduct, visit usbank.com and click on About U.S. Bank and Working at U.S. Bank.

Diversity and Inclusion

U.S. Bancorp and our subsidiaries are committed to developing and maintaining a workplace that reflects the diversity of the communities we serve. We value creating a culture of inclusion where individual differences are valued and respected, which enables us to innovate and drive business success. We support a work environment where each individual who shares the fundamental values of the Company has an opportunity to contribute and grow based on merit.

Equal Opportunity and Affirmative Action

U.S. Bancorp and our subsidiaries are committed to providing Equal Employment Opportunity to all employees and applicants for employment. In keeping with this commitment, employment decisions are made based on abilities, not race, color, religion, national origin or ancestry, gender, age, disability, veteran status, sexual orientation, marital status, gender identity or expression, genetic information or any other factors protected by law. The corporation complies with municipal, state and federal fair employment laws, including regulations applying to federal contractors.

U.S. Bancorp, including each of our subsidiaries, is an Equal Opportunity Employer committed to creating a diverse workforce.

Accessibility

U.S. Bancorp is committed to providing ready access to our products and services so all of our customers, including people with disabilities, can succeed financially. To learn more, visit usbank.com and click on Accessibility.

This report has been produced on recycled paper.

EX-12

EXHIBIT 12

Computation of Ratio of Earnings to Fixed Charges

(Dollars in Millions)			Three Months Ended September 30, 2014		Nine Months Ended September 30, 2014
Earnings
1.	Net income attributable to U.S. Bancorp		$	1,471	$	4,363
2.	Applicable income taxes, including expense related to unrecognized tax positions			523		1,566
3.	Net income attributable to U.S. Bancorp before income taxes (1 + 2)		$	1,994	$	5,929
4.	Fixed charges:
	a.	Interest expense excluding interest on deposits*	$	250	$	747
	b.	Portion of rents representative of interest and amortization of debt expense		28		84
	c.	Fixed charges excluding interest on deposits (4a + 4b)	$	278	$	831
	d.	Interest on deposits		115		348
	e.	Fixed charges including interest on deposits (4c + 4d)	$	393	$	1,179
5.	Amortization of interest capitalized		$	–	$	–
6.	Earnings excluding interest on deposits (3 + 4c + 5)			2,272		6,760
7.	Earnings including interest on deposits (3 + 4e + 5)			2,387		7,108
8.	Fixed charges excluding interest on deposits (4c)			278		831
9.	Fixed charges including interest on deposits (4e)			393		1,179
Ratio of Earnings to Fixed Charges
10.	Excluding interest on deposits (line 6/line 8)			8.17		8.13
11.	Including interest on deposits (line 7/line 9)			6.07		6.03

* Excludes interest expense related to unrecognized tax positions

U.S. Bancorp 85

EX-31.1

EXHIBIT 31.1

CERTIFICATION PURSUANT TO RULE 13a-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934

I, Richard K. Davis, certify that:

(1) I have reviewed this Quarterly Report on Form 10-Q of U.S. Bancorp;

(2) Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3) Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4) The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

(5) The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

/S/    RICHARD K. DAVIS

Richard K. Davis

Chief Executive Officer

Dated: November 6, 2014

86 U.S. Bancorp

EX-31.2

EXHIBIT 31.2

CERTIFICATION PURSUANT TO RULE 13a-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934

I, Andrew Cecere, certify that:

(1) I have reviewed this Quarterly Report on Form 10-Q of U.S. Bancorp;

(2) Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3) Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4) The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

(5) The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

/S/    ANDREW CECERE

Andrew Cecere

Chief Financial Officer

Dated: November 6, 2014

U.S. Bancorp 87

EX-32

EXHIBIT 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, the undersigned, Chief Executive Officer and Chief Financial Officer of U.S. Bancorp, a Delaware corporation (the “Company”), do hereby certify that:

(1) The Quarterly Report on Form 10-Q for the quarter ended September 30, 2014 (the “Form 10-Q”) of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of the Company.

/S/    RICHARD K. DAVIS	/S/    ANDREW CECERE
Richard K. Davis	Andrew Cecere
Chief Executive Officer	Chief Financial Officer
Dated: November 6, 2014

88 U.S. Bancorp

XML

Guarantees and Contingent Liabilities (Tables)

9 Months Ended

Sep. 30, 2014

Commitments and Contingencies Disclosure [Abstract]

Summary of Other Guarantees and Contingent Liabilities

The following table is a summary of other guarantees and contingent liabilities of the Company at September 30, 2014:

(Dollars in Millions)	Collateral Held		Carrying Amount		Maximum Potential Future Payments
Standby letters of credit	$	–	$	63	$	15,201
Third-party borrowing arrangements		–		–		16
Securities lending indemnifications		5,166		–		5,002
Asset sales		–		160		4,040	(a)
Merchant processing		780		66		92,835
Contingent consideration arrangements		–		2		2
Tender option bond program guarantee		4,079		–		3,915
Minimum revenue guarantees		–		7		7
Other		–		–		525

(a) The maximum potential future payments do not include loan sales where the Company provides standard representation and warranties to the buyer against losses related to loan underwriting documentation defects that may have existed at the time of sale that generally are identified after the occurrence of a triggering event such as delinquency. For these types of loan sales, the maximum potential future payments is generally the unpaid principal balance of loans sold measured at the end of the current reporting period. Actual losses will be significantly less than the maximum exposure, as only a fraction of loans sold will have a representation and warranty breach, and any losses on repurchase would generally be mitigated by any collateral held against the loans.

Representation and Warranty Reserve Rollforward

The following table is a rollforward of the Company’s representation and warranty reserve:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	69		$	190		$	83		$	240
Net realized losses		(1	)		(13	)		(13	)		(52	)
Change in reserve		(6	)		(1	)		(8	)		(12	)
Balance at end of period	$	62		$	176		$	62		$	176

XML

Investment Securities - Gross Unrealized Losses and Fair Value of Company's Investment Securities (Parenthetical) (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Residential Non-Agency Mortgage-Backed Securities Unrealized Losses	$ 6

XML

Investment Securities - Amount of Interest Income from Taxable and Non-Taxable Investment Securities (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Interest Income, Securities, Operating, by Taxable Status [Abstract]
Taxable	$ 419	$ 357	$ 1,203	$ 1,029
Non-taxable	57	63	175	193
Total interest income from investment securities	$ 476	$ 420	$ 1,378	$ 1,222

XML

Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities - Additional Information (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Minimum [Member]
Variable Interest Entity [Line Items]
Aggregate amount of investments in unconsolidated VIEs	$ 1,000,000		$ 1,000,000		$ 1,000,000
Maximum [Member]
Variable Interest Entity [Line Items]
Aggregate amount of investments in unconsolidated VIEs	54,000,000		54,000,000		37,000,000
Conduit [Member]
Variable Interest Entity [Line Items]
Assets related to consolidated VIEs	114,000,000		114,000,000		116,000,000
Tender Option Bond Program [Member]
Variable Interest Entity [Line Items]
Assets related to consolidated VIEs	4,100,000,000		4,100,000,000		4,600,000,000
Liabilities related to consolidated VIEs	3,900,000,000		3,900,000,000		4,600,000,000
Community Development and Tax Advantaged Investments [Member]
Variable Interest Entity [Line Items]
Federal and state income tax credits recognized in tax expense	189,000,000	187,000,000	546,000,000	527,000,000
Expense related to investments	187,000,000	247,000,000	517,000,000	686,000,000
Expenses related to investments recognized in tax expense	60,000,000	87,000,000	190,000,000	267,000,000
Investment tax credits	262,000,000	254,000,000	582,000,000	454,000,000
Assets related to consolidated VIEs	2,600,000,000		2,600,000,000		2,500,000,000
Liabilities related to consolidated VIEs	2,000,000,000		2,000,000,000		1,800,000,000
Investment carrying amount	4,385,000,000		4,385,000,000		4,178,000,000
Maximum exposure to loss	8,038,000,000		8,038,000,000		7,390,000,000
Private Investment Funds And Partnerships [Member]
Variable Interest Entity [Line Items]
Investment carrying amount	97,000,000		97,000,000		98,000,000
Maximum exposure to loss	$ 106,000,000		$ 106,000,000		$ 107,000,000

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Loans and Allowance for Credit Losses - Composition of Loan Portfolio (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	$ 238,537	$ 226,773
Total loans	245,591	235,235
Total loans, Percentage	100.00%	100.00%
Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	73,600	64,762
Loans, excluding covered loans, percentage	30.00%	27.50%
Lease Financing [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	5,278	5,271
Loans, excluding covered loans, percentage	2.10%	2.30%
Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	78,878	70,033
Loans, excluding covered loans, percentage	32.10%	29.80%
Commercial Mortgages [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	31,802	32,183
Loans, excluding covered loans, percentage	13.00%	13.70%
Construction and Development [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	9,107	7,702
Loans, excluding covered loans, percentage	3.70%	3.30%
Commercial Real Estate [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	40,909	39,885
Loans, excluding covered loans, percentage	16.70%	17.00%
Residential Mortgages [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	38,858	37,545
Loans, excluding covered loans, percentage	15.80%	15.90%
Home Equity Loans, First Liens [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	13,099	13,611
Loans, excluding covered loans, percentage	5.30%	5.80%
Residential Mortgages [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	51,957	51,156
Loans, excluding covered loans, percentage	21.10%	21.70%
Credit Card [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	17,858	18,021
Loans, excluding covered loans, percentage	7.30%	7.70%
Retail Leasing [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	5,999	5,929
Loans, excluding covered loans, percentage	2.50%	2.50%
Home Equity And Second Mortgages [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	15,769	15,442
Loans, excluding covered loans, percentage	6.40%	6.60%
Revolving Credit [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	3,242	3,276
Loans, excluding covered loans, percentage	1.30%	1.40%
Installment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	6,173	5,709
Loans, excluding covered loans, percentage	2.50%	2.40%
Automobile [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	14,517	13,743
Loans, excluding covered loans, percentage	5.90%	5.80%
Student [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	3,235	3,579
Loans, excluding covered loans, percentage	1.30%	1.50%
Other Retail [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	48,935	47,678
Loans, excluding covered loans, percentage	19.90%	20.20%
Total Loans, Excluding Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans, excluding covered loans	238,537	226,773
Loans, excluding covered loans, percentage	97.10%	96.40%
Covered Loans [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 7,054	$ 8,462
Total loans, Percentage	2.90%	3.60%

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Preferred Stock - Number of Shares Issued and Outstanding and Carrying Amount of Preferred Stock (Parenthetical) (Detail) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Equity [Abstract]
Preferred stock, par value	$ 1.00	$ 1.00

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Fair Values of Assets and Liabilities - Adjusted Carrying Values for Assets Measured at Fair Value on Nonrecurring Basis (Detail) (Fair Value, Measurements, Nonrecurring [Member], USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans	$ 142	$ 128
Other assets	84	150
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans
Other assets
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans
Other assets
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans	142	128
Other assets	$ 84	$ 150

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Investment Securities - Investment Securities Available for Sale (Parenthetical) (Detail)	Sep. 30, 2014 CreditScore
Investments, Debt and Equity Securities [Abstract]
Minimum weighted average credit score of prime securities	725
Maximum loan-to-value of prime securities	80.00%

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Earnings Per Share (Tables)

9 Months Ended

Sep. 30, 2014

Earnings Per Share [Abstract]

Components of Earnings Per Share

The components of earnings per share were:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars and Shares in Millions, Except Per Share Data)	2014			2013			2014			2013
Net income attributable to U.S. Bancorp	$	1,471		$	1,468		$	4,363		$	4,380
Preferred dividends		(60	)		(61	)		(181	)		(189	)
Impact of preferred stock redemption (a)		–			–			–			(8	)
Earnings allocated to participating stock awards		(6	)		(7	)		(19	)		(20	)
Net income applicable to U.S. Bancorp common shareholders	$	1,405		$	1,400		$	4,163		$	4,163
Average common shares outstanding		1,798			1,832			1,809			1,844
Net effect of the exercise and assumed purchase of stock awards		9			11			10			10
Average diluted common shares outstanding		1,807			1,843			1,819			1,854
Earnings per common share	$	.78		$	.76		$	2.30		$	2.26
Diluted earnings per common share	$	.78		$	.76		$	2.29		$	2.25

(a) Represents stock issuance costs originally recorded in capital surplus upon the issuance of the Company’s Series D Non-Cumulative Perpetual Preferred Stock that were reclassified to retained earnings on the redemption date.

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Accumulated Other Comprehensive Income (Loss) - Reconciliation of Transactions Affecting Accumulated Other Comprehensive Income (Loss) Included in Shareholders' Equity (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	$ (682)	$ (1,288)	$ (1,071)	$ (923)
Changes in unrealized gains and losses	(21)	(237)	486	(1,032)
Changes in unrealized gains and losses, Unrealized Gains (Losses) on Derivative Hedges	16	(17)	(19)	33
Changes in unrealized gains and losses, Unrealized Gains (Losses) on Retirement Plans		38		37
Changes in unrealized gains and losses	(5)	(216)	467	(962)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1	1	8
Foreign currency translation adjustment	4	13	18	(20)
Reclassification to earnings of realized gains and losses	76	99	221	270
Applicable income taxes	(29)	40	(272)	276
Balance at end of period	(636)	(1,351)	(636)	(1,351)
Foreign Currency Translation [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	(51)	(60)	(60)	(40)
Changes in unrealized gains and losses
Other-than-temporary impairment not recognized in earnings on securities available-for-sale
Foreign currency translation adjustment	4	13	18	(20)
Reclassification to earnings of realized gains and losses
Applicable income taxes	(2)	(5)	(7)	8
Balance at end of period	(49)	(52)	(49)	(52)
Unrealized Gains (Losses) on Retirement Plans [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	(699)	(1,184)	(743)	(1,265)
Changes in unrealized gains and losses, Unrealized Gains (Losses) on Retirement Plans		38		37
Other-than-temporary impairment not recognized in earnings on securities available-for-sale
Foreign currency translation adjustment
Reclassification to earnings of realized gains and losses	35	62	107	186
Applicable income taxes	(14)	(38)	(42)	(80)
Balance at end of period	(678)	(1,122)	(678)	(1,122)
Unrealized Gains (Losses) on Derivative Hedges [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	(225)	(313)	(261)	(404)
Changes in unrealized gains and losses, Unrealized Gains (Losses) on Derivative Hedges	16	(17)	(19)	33
Other-than-temporary impairment not recognized in earnings on securities available-for-sale
Foreign currency translation adjustment
Reclassification to earnings of realized gains and losses	45	47	139	142
Applicable income taxes	(23)	(11)	(46)	(65)
Balance at end of period	(187)	(294)	(187)	(294)
Unrealized Gains (Losses) on Securities Transferred From Available For Sale to Held To Maturity [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	60	84	70	107
Changes in unrealized gains and losses
Other-than-temporary impairment not recognized in earnings on securities available-for-sale
Foreign currency translation adjustment
Reclassification to earnings of realized gains and losses	(7)	(13)	(23)	(50)
Applicable income taxes	3	5	9	19
Balance at end of period	56	76	56	76
Unrealized Gains (Losses) on Securities Available-For-Sale [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	233	185	(77)	679
Changes in unrealized gains and losses	(21)	(237)	486	(1,032)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1	1	8
Foreign currency translation adjustment
Reclassification to earnings of realized gains and losses	3	3	(2)	(8)
Applicable income taxes	7	89	(186)	394
Balance at end of period	$ 222	$ 41	$ 222	$ 41

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Mortgage Servicing Rights - Changes in Fair Value of Capitalized MSRs (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Transfers and Servicing of Financial Assets [Abstract]
Balance at beginning of period	$ 2,412	$ 2,377	$ 2,680	$ 1,700
Rights purchased	1	2	3	7
Rights capitalized	109	187	264	674
Rights sold			(141)
Changes in fair value of MSRs
Due to fluctuations in market interest rates	29	71	(129)	503
Due to revised assumptions or models	15	42	71	33
Other changes in fair value	(105)	(102)	(287)	(340)
Balance at end of period	$ 2,461	$ 2,577	$ 2,461	$ 2,577

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Derivative Instruments - Asset and Liability Management Derivative Positions of Company (Parenthetical) (Detail) (Asset and Liability Management Positions [Member], USD $) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Derivative [Line Items]
Derivative liability swap agreement notional value	$ 17,816	$ 14,730
Derivative liability swap agreement fair value	480	580
Derivative asset swap agreement notional value	26,822	28,119
Derivative liability swap agreement maturity
Underwriting Purchase And Sale Commitments [Member]
Derivative [Line Items]
Derivative liability swap agreement notional value	722
Derivative asset swap agreement notional value	722
Swap [Member] | Visa Class B [Member]
Derivative [Line Items]
Derivative liability swap agreement notional value	295
Derivative liability swap agreement fair value	$ 42
Derivative liability swap agreement maturity	4 years 4 days

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Loans and Allowance for Credit Losses - Changes in Accretable Balance for Purchased Impaired Loans (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Deteriorated Loans Transferred in [Abstract]
Balance at beginning of period	$ 1,487	$ 1,802	$ 1,655	$ 1,709
Accretion	(105)	(119)	(336)	(380)
Disposals	(34)	(51)	(103)	(120)
Reclassifications from nonaccretable difference	38	119	172	177
Other			(2)	365
Balance at end of period	$ 1,386	$ 1,751	$ 1,386	$ 1,751

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Guarantees and Contingent Liabilities - Summary of Other Guarantees and Contingent Liabilities (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014
Standby letters of credit [Member]
Guarantor Obligations [Line Items]
Collateral Held
Carrying Amount	63
Maximum Potential Future Payments	15,201
Third-party borrowing arrangements [Member]
Guarantor Obligations [Line Items]
Collateral Held
Carrying Amount
Maximum Potential Future Payments	16
Securities lending indemnifications [Member]
Guarantor Obligations [Line Items]
Collateral Held	5,166
Carrying Amount
Maximum Potential Future Payments	5,002
Asset sales [Member]
Guarantor Obligations [Line Items]
Collateral Held
Carrying Amount	160
Maximum Potential Future Payments	4,040
Merchant processing [Member]
Guarantor Obligations [Line Items]
Collateral Held	780
Carrying Amount	66
Maximum Potential Future Payments	92,835
Contingent consideration arrangements [Member]
Guarantor Obligations [Line Items]
Collateral Held
Carrying Amount	2
Maximum Potential Future Payments	2
Tender option bond program guarantee [Member]
Guarantor Obligations [Line Items]
Collateral Held	4,079
Carrying Amount
Maximum Potential Future Payments	3,915
Minimum revenue guarantees [Member]
Guarantor Obligations [Line Items]
Collateral Held
Carrying Amount	7
Maximum Potential Future Payments	7
Other [Member]
Guarantor Obligations [Line Items]
Collateral Held
Carrying Amount
Maximum Potential Future Payments	$ 525

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Preferred Stock - Additional Information (Detail) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Class of Stock Disclosures [Abstract]
Number of preferred stock, shares authorized	50	50

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Income Taxes - Reconciliation of Expected Income Tax Expense at Federal Statutory Rate of 35 Percent to Company's Applicable Income Tax Expense (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Effective Income Tax Rate Reconciliation, Amount [Abstract]
Tax at statutory rate	$ 704	$ 690	$ 2,091	$ 2,061
State income tax, at statutory rates, net of federal tax benefit	62	62	163	102
Tax credits and benefits, net of related expenses	(186)	(176)	(535)	(394)
Tax-exempt income	(51)	(52)	(154)	(159)
Noncontrolling interests	(5)	13	(15)	42
Other items	(1)	5	16	(23)
Applicable income taxes	$ 523	$ 542	$ 1,566	$ 1,629

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Earnings Per Share - Components of Earnings Per Share (Detail) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Earnings Per Share [Abstract]
Net income attributable to U.S. Bancorp	$ 1,471	$ 1,468	$ 4,363	$ 4,380
Preferred dividends	(60)	(61)	(181)	(189)
Impact of preferred stock redemption				(8)
Earnings allocated to participating stock awards	(6)	(7)	(19)	(20)
Net income applicable to U.S. Bancorp common shareholders	$ 1,405	$ 1,400	$ 4,163	$ 4,163
Average common shares outstanding	1,798	1,832	1,809	1,844
Net effect of the exercise and assumed purchase of stock awards	9	11	10	10
Average diluted common shares outstanding	1,807	1,843	1,819	1,854
Earnings per common share	$ 0.78	$ 0.76	$ 2.30	$ 2.26
Diluted earnings per common share	$ 0.78	$ 0.76	$ 2.29	$ 2.25

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Derivative Instruments - Additional Information (Detail) (USD $)			3 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013	Dec. 31, 2014 Scenario, Forecast [Member]	Sep. 30, 2015 Scenario, Forecast [Member]
Derivative [Line Items]
Realized and unrealized losses on derivatives classified as cash flow hedges recorded in other comprehensive income (loss)	$ 187,000,000	$ 261,000,000
Estimated loss to be reclassified from other comprehensive income (loss) into earnings			31,000,000	121,000,000
Forward commitments to sell mortgage loans	6,600,000,000
Hedged mortgage loans held for sale	3,100,000,000
Unfunded mortgage loan commitments	4,400,000,000
Fair value of derivatives under collateral agreements in a net liability position	868,000,000
Collateral posted by company netted against net liability position	$ 697,000,000

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Preferred Stock - Number of Shares Issued and Outstanding and Carrying Amount of Preferred Stock (Detail) (USD $) In Millions, except Share data, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Class of Stock [Line Items]
Shares Issued and Outstanding	159,910	159,910
Liquidation Preference	$ 4,936	$ 4,936
Discount	180	180
Carrying Amount	4,756	4,756
Series A [Member]
Class of Stock [Line Items]
Shares Issued and Outstanding	12,510	12,510
Liquidation Preference	1,251	1,251
Discount	145	145
Carrying Amount	1,106	1,106
Series B [Member]
Class of Stock [Line Items]
Shares Issued and Outstanding	40,000	40,000
Liquidation Preference	1,000	1,000
Discount
Carrying Amount	1,000	1,000
Series F [Member]
Class of Stock [Line Items]
Shares Issued and Outstanding	44,000	44,000
Liquidation Preference	1,100	1,100
Discount	12	12
Carrying Amount	1,088	1,088
Series G [Member]
Class of Stock [Line Items]
Shares Issued and Outstanding	43,400	43,400
Liquidation Preference	1,085	1,085
Discount	10	10
Carrying Amount	1,075	1,075
Series H [Member]
Class of Stock [Line Items]
Shares Issued and Outstanding	20,000	20,000
Liquidation Preference	500	500
Discount	13	13
Carrying Amount	$ 487	$ 487

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Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities - Summary of Investments in Community Development and Tax-advantaged VIEs (Detail) (Community Development and Tax Advantaged Investments [Member], USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Community Development and Tax Advantaged Investments [Member]
Variable Interest Entity [Line Items]
Investment carrying amount	$ 4,385	$ 4,178
Unfunded capital and other commitments	1,850	1,661
Maximum exposure to loss	$ 8,038	$ 7,390

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Basis of Presentation (Policies)

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all information and notes necessary for a complete presentation of financial position, results of operations and cash flow activity required in accordance with accounting principles generally accepted in the United States. In the opinion of management of U.S. Bancorp (the “Company”), all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of results for the interim periods have been made. These financial statements and notes should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. Certain amounts in prior periods have been reclassified to conform to the current presentation.

Accounting policies for the lines of business are generally the same as those used in preparation of the consolidated financial statements with respect to activities specifically attributable to each business line. However, the preparation of business line results requires management to establish methodologies to allocate funding costs, expenses and other financial elements to each line of business. Table 10 “Line of Business Financial Performance” included in Management’s Discussion and Analysis provides details of segment results. This information is incorporated by reference into these Notes to Consolidated Financial Statements.

Revenue Recognition

Revenue Recognition In May 2014, the Financial Accounting Standards Board issued accounting guidance, effective for the Company on January 1, 2017, related to revenue recognition from contracts with customers, which amends certain currently existing revenue recognition accounting guidance. The guidance allows for either retrospective application to all periods presented or a modified retrospective approach where the guidance would only be applied to existing contracts in effect at the adoption date and new contracts going forward. The Company is currently evaluating the impact of this guidance under the modified retrospective approach and expects the adoption will not be material to its financial statements.

Loans and Allowance for Credit Losses

Allowance for Credit Losses The allowance for credit losses reserves for probable and estimable losses incurred in the Company’s loan and lease portfolio, including unfunded credit commitments, and includes certain amounts that do not represent loss exposure to the Company because those losses are recoverable under loss sharing agreements with the Federal Deposit Insurance Corporation (“FDIC”). The allowance for credit losses is increased through provisions charged to operating earnings and reduced by net charge-offs. Management evaluates the allowance each quarter to ensure it appropriately reserves for incurred losses.

The allowance recorded for loans in the commercial lending segment is based on reviews of individual credit relationships and considers the migration analysis of commercial lending segment loans and actual loss experience. In the migration analysis applied to risk rated loan portfolios, the Company currently examines up to a 13-year period of loss experience. For each loan type, this historical loss experience is adjusted as necessary to consider any relevant changes in portfolio composition, lending policies, underwriting standards, risk management practices or economic conditions. The results of the analysis are evaluated quarterly to confirm an appropriate historical time frame is selected for each commercial loan type. The allowance recorded for impaired loans greater than $5 million in the commercial lending segment is based on an individual loan analysis utilizing expected cash flows discounted using the original effective interest rate, the observable market price of the loan, or the fair value of the collateral for collateral-dependent loans, rather than the migration analysis. The allowance recorded for all other commercial lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, portfolio growth and historical losses, adjusted for current trends. The Company also considers the impacts of any loan modifications made to commercial lending segment loans and any subsequent payment defaults to its expectations of cash flows, principal balance, and current expectations about the borrower’s ability to pay in determining the allowance for credit losses.

The allowance recorded for Troubled Debt Restructuring (“TDR”) loans and purchased impaired loans in the consumer lending segment is determined on a homogenous pool basis utilizing expected cash flows discounted using the original effective interest rate of the pool, or the prior quarter effective rate, respectively. The allowance for collateral-dependent loans in the consumer lending segment is determined based on the fair value of the collateral less costs to sell. The allowance recorded for all other consumer lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, delinquency status, refreshed loan-to-value ratios when possible, portfolio growth and historical losses, adjusted for current trends. The Company also considers any modifications made to consumer lending segment loans including the impacts of any subsequent payment defaults since modification in determining the allowance for credit losses, such as the borrower’s ability to pay under the restructured terms, and the timing and amount of payments.

The allowance for the covered loan segment is evaluated each quarter in a manner similar to that described for non-covered loans and reflects decreases in expected cash flows of those loans after the acquisition date. The provision for credit losses for covered loans considers the indemnification provided by the FDIC.

In addition, subsequent payment defaults on loan modifications considered TDRs are considered in the underlying factors used in the determination of the appropriateness of the allowance for credit losses. For each loan segment, the Company estimates future loan charge-offs through a variety of analysis, trends and underlying assumptions. With respect to the commercial lending segment, TDRs may be collectively evaluated for impairment where observed performance history, including defaults, is a primary driver of the loss allocation. For commercial TDRs individually evaluated for impairment, attributes of the borrower are the primary factors in determining the allowance for credit losses. However, historical loss experience is also incorporated into the allowance methodology applied to this category of loans. With respect to the consumer lending segment, performance of the portfolio, including defaults on TDRs, is considered when estimating future cash flows.

The Company’s methodology for determining the appropriate allowance for credit losses for all the loan segments also considers the imprecision inherent in the methodologies used. As a result, in addition to the amounts determined under the methodologies described above, management also considers the potential impact of other qualitative factors which include, but are not limited to, economic factors; geographic and other concentration risks; delinquency and nonaccrual trends; current business conditions; changes in lending policy, underwriting standards, internal review and other relevant business practices; and the regulatory environment. The consideration of these items results in adjustments to allowance amounts included in the Company’s allowance for credit losses for each of the above loan segments.

The Company also assesses the credit risk associated with off-balance sheet loan commitments, letters of credit, and derivatives. Credit risk associated with derivatives is reflected in the fair values recorded for those positions. The liability for off-balance sheet credit exposure related to loan commitments and other credit guarantees is included in other liabilities. Because business processes and credit risks associated with unfunded credit commitments are essentially the same as for loans, the Company utilizes similar processes to estimate its liability for unfunded credit commitments.

Credit Quality The quality of the Company’s loan portfolios is assessed as a function of net credit losses, levels of nonperforming assets and delinquencies, and credit quality ratings as defined by the Company.

For all loan classes, loans are considered past due based on the number of days delinquent except for monthly amortizing loans which are classified delinquent based upon the number of contractually required payments not made (for example, two missed payments is considered 30 days delinquent). When a loan is placed on nonaccrual status, unpaid accrued interest is reversed.

Commercial lending segment loans are generally placed on nonaccrual status when the collection of principal and interest has become 90 days past due or is otherwise considered doubtful. Commercial lending segment loans are generally fully or partially charged down to the fair value of the collateral securing the loan, less costs to sell, when the loan is considered uncollectible.

Consumer lending segment loans are generally charged-off at a specific number of days or payments past due. Residential mortgages and other retail loans secured by 1-4 family properties are generally charged down to the fair value of the collateral securing the loan, less costs to sell, at 180 days past due, and placed on nonaccrual status in instances where a partial charge-off occurs unless the loan is well secured and in the process of collection. Loans and lines in a junior lien position secured by 1-4 family properties are placed on nonaccrual status at 120 days past due or when behind a first lien that has become 180 days or greater past due or placed on nonaccrual status. Any secured consumer lending segment loan whose borrower has had debt discharged through bankruptcy, for which the loan amount exceeds the fair value of the collateral, is charged down to the fair value of the related collateral and the remaining balance is placed on nonaccrual status. Credit card loans continue to accrue interest until the account is charged off. Credit cards are charged off at 180 days past due. Other retail loans not secured by 1-4 family properties are charged-off at 120 days past due; and revolving consumer lines are charged off at 180 days past due. Similar to credit cards, other retail loans are generally not placed on nonaccrual status because of the relative short period of time to charge-off. Certain retail customers having financial difficulties may have the terms of their credit card and other loan agreements modified to require only principal payments and, as such, are reported as nonaccrual.

For all loan classes, interest payments received on nonaccrual loans are generally recorded as a reduction to the loan carrying amount. Interest payments are generally recorded as reductions to a loan’s carrying amount while a loan is on nonaccrual and are recognized as interest income upon payoff of the loan. Interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible. In certain circumstances, loans in any class may be restored to accrual status, such as when a loan has demonstrated sustained repayment performance or no amounts are past due and prospects for future payment are no longer in doubt, or when the loan becomes well secured and is in the process of collection. Loans where there has been a partial charge-off may be returned to accrual status if all principal and interest (including amounts previously charged-off) is expected to be collected and the loan is current.

Covered loans not considered to be purchased impaired are evaluated for delinquency, nonaccrual status and charge-off consistent with the class of loan they would be included in had the loss share coverage not been in place. Generally, purchased impaired loans are considered accruing loans. However, the timing and amount of future cash flows for some loans is not reasonably estimable. Those loans are classified as nonaccrual loans and interest income is not recognized until the timing and amount of the future cash flows can be reasonably estimated.

The Company classifies its loan portfolios using internal credit quality ratings on a quarterly basis. These ratings include: pass, special mention and classified, and are an important part of the Company’s overall credit risk management process and evaluation of the allowance for credit losses. Loans with a pass rating represent those not classified on the Company’s rating scale for problem credits, as minimal credit risk has been identified. Special mention loans are those that have a potential weakness deserving management’s close attention. Classified loans are those where a well-defined weakness has been identified that may put full collection of contractual cash flows at risk. It is possible that others, given the same information, may reach different reasonable conclusions regarding the credit quality rating classification of specific loans.

For all loan classes, a loan is considered to be impaired when, based on current events or information, it is probable the Company will be unable to collect all amounts due per the contractual terms of the loan agreement. Impaired loans include all nonaccrual and TDR loans. For all loan classes, interest income on TDR loans is recognized under the modified terms and conditions if the borrower has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. Interest income is generally not recognized on other impaired loans until the loan is paid off. However, interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible.

Factors used by the Company in determining whether all principal and interest payments due on commercial and commercial real estate loans will be collected and therefore whether those loans are impaired include, but are not limited to, the financial condition of the borrower, collateral and/or guarantees on the loan, and the borrower’s estimated future ability to pay based on industry, geographic location and certain financial ratios. The evaluation of impairment on residential mortgages, credit card loans and other retail loans is primarily driven by delinquency status of individual loans or whether a loan has been modified, and considers any government guarantee where applicable. Individual covered loans, whose future losses are covered by loss sharing agreements with the FDIC that substantially reduce the risk of credit losses to the Company, are evaluated for impairment and accounted for in a manner consistent with the class of loan they would have been included in had the loss sharing coverage not been in place.

Troubled Debt Restructurings In certain circumstances, the Company may modify the terms of a loan to maximize the collection of amounts due when a borrower is experiencing financial difficulties or is expected to experience difficulties in the near-term. Concessionary modifications are classified as TDRs unless the modification results in only an insignificant delay in payments to be received. The Company recognizes interest on TDRs if the borrower complies with the revised terms and conditions as agreed upon with the Company and has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. To the extent a previous restructuring was insignificant, the Company considers the cumulative effect of past restructurings related to the receivable when determining whether a current restructuring is a TDR. Loans classified as TDRs are considered impaired loans for reporting and measurement purposes.

The Company has implemented certain restructuring programs that may result in TDRs. However, many of the Company’s TDRs are also determined on a case-by-case basis in connection with ongoing loan collection processes.

For the commercial lending segment, modifications generally result in the Company working with borrowers on a case-by-case basis. Commercial and commercial real estate modifications generally include extensions of the maturity date and may be accompanied by an increase or decrease to the interest rate, which may not be deemed a market rate of interest. In addition, the Company may work with the borrower in identifying other changes that mitigate loss to the Company, which may include additional collateral or guarantees to support the loan. To a lesser extent, the Company may waive contractual principal. The Company classifies these concessions as TDRs to the extent the Company determines that the borrower is experiencing financial difficulty.

Modifications for the consumer lending segment are generally part of programs the Company has initiated. The Company participates in the U.S. Department of Treasury Home Affordable Modification Program (“HAMP”). HAMP gives qualifying homeowners an opportunity to permanently modify residential mortgage loans and achieve more affordable monthly payments, with the U.S. Department of Treasury compensating the Company for a portion of the reduction in monthly amounts due from borrowers participating in this program. The Company also modifies residential mortgage loans under Federal Housing Administration, Department of Veterans Affairs, or its own internal programs. Under these programs, the Company provides concessions to qualifying borrowers experiencing financial difficulties. The concessions may include adjustments to interest rates, conversion of adjustable rates to fixed rates, extension of maturity dates or deferrals of payments, capitalization of accrued interest and/or outstanding advances, or in limited situations, partial forgiveness of loan principal. In most instances, participation in residential mortgage loan restructuring programs requires the customer to complete a short-term trial period. A permanent loan modification is contingent on the customer successfully completing the trial period arrangement and the loan documents are not modified until that time. The Company reports loans in a trial period arrangement as TDRs.

Credit card and other retail loan modifications are generally part of distinct restructuring programs providing customers experiencing financial difficulty with modifications whereby balances may be amortized up to 60 months, and generally include waiver of fees and reduced interest rates.

In addition, the Company considers secured loans to consumer borrowers that have debt discharged through bankruptcy where the borrower has not reaffirmed the debt to be TDRs.

Modifications to loans in the covered segment are similar in nature to that described above for non-covered loans, and the evaluation and determination of TDR status is similar, except that acquired loans restructured after acquisition are not considered TDRs for accounting and disclosure purposes if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools. Losses associated with the modification on covered loans, including the economic impact of interest rate reductions, are generally eligible for reimbursement under loss sharing agreements with the FDIC.

Accounting for Transfers and Servicing of Financial Assets

In accordance with the accounting guidance for asset transfers, the Company considers any ongoing involvement with transferred assets in determining whether the assets can be derecognized from the balance sheet.

For loans sold under participation agreements, the Company also considers whether the terms of the loan participation agreement meet the accounting definition of a participating interest. With the exception of servicing and certain performance-based guarantees, the Company’s continuing involvement with financial assets sold is minimal and generally limited to market customary representation and warranty clauses. Any gain or loss on sale depends on the previous carrying amount of the transferred financial assets, the consideration received, and any liabilities incurred in exchange for the transferred assets. Upon transfer, any servicing assets and other interests that continue to be held by the Company are initially recognized at fair value. For further information on mortgage servicing rights (“MSRs”), refer to Note 7. On a limited basis, the Company may acquire and package high-grade corporate bonds for select corporate customers, in which the Company generally has no continuing involvement with these transactions. Additionally, the Company is an authorized GNMA issuer and issues GNMA securities on a regular basis. The Company has no other asset securitizations or similar asset-backed financing arrangements that are off-balance sheet.

Variable Interest Entities

In January 2014, the Financial Accounting Standards Board issued accounting guidance for qualified affordable housing projects. This new guidance permits the Company to present the expense on certain qualified affordable housing investments in tax expense rather than noninterest expense. The Company adopted this guidance January 1, 2014, on a prospective basis, because the impact on prior financial statements was not material.

The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not have both the power to direct the entities’ most significant activities and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIEs. The Company’s investments in these unconsolidated VIEs, including funded and unfunded capital commitments, are carried in other assets on the Consolidated Balance Sheet. The Company’s unfunded capital and other commitments related to these unconsolidated VIEs are generally carried in other liabilities on the Consolidated Balance Sheet. The Company’s maximum exposure to loss from these unconsolidated VIEs include the investment recorded on the Company’s Consolidated Balance Sheet, net of unfunded capital commitments, and previously recorded tax credits which remain subject to recapture by taxing authorities based on compliance features required to be met at the project level. While the Company believes potential losses from these investments are remote, the maximum exposure was determined by assuming a scenario where the community-based business and housing projects completely fail and do not meet certain government compliance requirements resulting in recapture of the related tax credits.

In addition, the Company sponsors entities to which it transfers tax-advantaged investments to third parties.

The majority of the assets of these consolidated VIEs are reported in other assets, and the liabilities are reported in long-term debt and other liabilities. The assets of a particular VIE are the primary source of funds to settle its obligations. The creditors of the VIEs do not have recourse to the general credit of the Company. The Company’s exposure to the consolidated VIEs is generally limited to the carrying value of its variable interests plus any related tax credits previously recognized or transferred to others with a guarantee.

Netting Arrangements for Certain Financial Instruments

Irrespective of how derivatives are traded, the Company’s derivative contracts include offsetting rights (referred to as netting arrangements), and depending on expected volume, credit risk, and counterparty preference, collateral maintenance may be required. For all derivatives under collateral support agreements, fair value is determined daily and, depending on the collateral maintenance requirements, the Company and a counterparty may receive or deliver collateral, based upon the net fair value of all derivative positions between the Company and the counterparty. Collateral is typically cash, but securities may be allowed under collateral arrangements with certain counterparties. Receivables and payables related to cash collateral are included in other assets and other liabilities on the Consolidated Balance Sheet, along with the related derivative asset and liability fair values. Any securities pledged to counterparties as collateral remain on the Consolidated Balance Sheet. Securities received from counterparties as collateral are not recognized on the Consolidated Balance Sheet, unless the counterparty defaults. In general, securities used as collateral can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party.

As part of the Company’s treasury and broker-dealer operations, the Company executes transactions that are treated as securities sold under agreements to repurchase or securities purchased under agreements to resell, both of which are accounted for as collateralized financings. Securities sold under agreements to repurchase include repurchase agreements and securities loaned transactions. Securities purchased under agreements to resell include reverse repurchase agreements and securities borrowed transactions. For securities sold under agreements to repurchase, the Company records a liability for the cash received, which is included in short-term borrowings on the Consolidated Balance Sheet. For securities purchased under agreements to resell, the Company records a receivable for the cash paid, which is included in other assets on the Consolidated Balance Sheet.

Securities transferred to counterparties under repurchase agreements and securities loaned transactions continue to be recognized on the Consolidated Balance Sheet, are measured at fair value, and are included in investment securities or other assets. Securities received from counterparties under reverse repurchase agreements and securities borrowed transactions are not recognized on the Consolidated Balance Sheet unless the counterparty defaults. In connection with all of these transactions, the fair values of the securities are determined daily, and additional cash is obtained or refunded to counterparties where appropriate. The securities transferred under repurchase and reverse repurchase transactions typically are U.S. Treasury securities or agency mortgage-backed securities. The securities loaned or borrowed typically are high-grade corporate bonds traded by the Company’s broker-dealer. In general, the securities transferred can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party.

The Company executes its derivative, repurchase/reverse repurchase and securities loaned/borrowed transactions under the respective industry standard agreements. These agreements include master netting arrangements that allow for multiple contracts executed with the same counterparty to be viewed as a single arrangement. This allows for net settlement of a single amount on a daily basis. In the event of default, the master netting arrangement provides for close-out netting, which allows all of these positions with the defaulting counterparty to be terminated and net settled with a single payment amount.

The Company has elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of the majority of its derivative counterparties, excluding centrally cleared derivative contracts due to current uncertainty about the legal enforceability of netting arrangements with the clearinghouses. The netting occurs at the counterparty level, and includes all assets and liabilities related to the derivative contracts, including those associated with cash collateral received or delivered. The Company has not elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of repurchase/reverse repurchase and securities loaned/borrowed transactions.

Fair Values of Assets and Liabilities

The Company uses fair value measurements for the initial recording of certain assets and liabilities, periodic remeasurement of certain assets and liabilities, and disclosures. Derivatives, trading and available-for-sale investment securities, MSRs and substantially all MLHFS are recorded at fair value on a recurring basis. Additionally, from time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as loans held for sale, loans held for investment and certain other assets. These nonrecurring fair value adjustments typically involve application of lower-of-cost-or-fair value accounting or impairment write-downs of individual assets.

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value measurement reflects all of the assumptions that market participants would use in pricing the asset or liability, including assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset and the risk of nonperformance.

The Company groups its assets and liabilities measured at fair value into a three-level hierarchy for valuation techniques used to measure financial assets and financial liabilities at fair value. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

• Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 1 includes U.S. Treasury and exchange-traded instruments.

• Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 includes debt securities that are traded less frequently than exchange-traded instruments and which are typically valued using third party pricing services; derivative contracts and other assets and liabilities, including securities, whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data; and MLHFS whose values are determined using quoted prices for similar assets or pricing models with inputs that are observable in the market or can be corroborated by observable market data.

• Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category includes MSRs, certain debt securities and certain derivative contracts.

When the Company changes its valuation inputs for measuring financial assets and financial liabilities at fair value, either due to changes in current market conditions or other factors, it may need to transfer those assets or liabilities to another level in the hierarchy based on the new inputs used. The Company recognizes these transfers at the end of the reporting period in which the transfers occur. During the nine months ended September 30, 2014 and 2013, there were no transfers of financial assets or financial liabilities between the hierarchy levels.

The Company has processes and controls in place to increase the reliability of estimates it makes in determining fair value measurements. Items quoted on an exchange are verified to the quoted price. Items provided by a third party pricing service are subject to price verification procedures as described in more detail in the specific valuation discussions below. For fair value measurements modeled internally, the Company’s valuation models are subject to the Company’s Model Risk Governance Policy and Program, as maintained by the Company’s risk management department. The purpose of model validation is to assess the accuracy of the models’ input, processing, and reporting components. All models are required to be independently reviewed and approved prior to being placed in use, and are subject to formal change control procedures. Under the Company’s Model Risk Governance Policy, models are required to be reviewed at least annually to ensure they are operating as intended. Inputs into the models are market observable inputs whenever available. When market observable inputs are not available, the inputs are developed based upon analysis of historical experience and evaluation of other relevant market data. Significant unobservable model inputs are subject to review by senior management in corporate functions, who are independent from the modeling. Significant unobservable model inputs are also compared to actual results, typically on a quarterly basis. Significant Level 3 fair value measurements are also subject to corporate-level review and are benchmarked to market transactions or other market data, when available.

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Investment Securities - Summary of Other-than-Temporary Impairment by Investment Category (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]
Other Gains (Losses)		$ 1	$ 1	$ 8
Available-for-Sale Securities [Member]
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]
Losses Recorded in Earnings	(3)	(3)	(6)	(13)
Other Gains (Losses)		1	1	8
Total Available for sale other-than-temporary impairment	(3)	(2)	(5)	(5)
Available-for-Sale Securities [Member] | Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]
Losses Recorded in Earnings		(1)	(1)	(5)
Other Gains (Losses)			1	2
Total Available for sale other-than-temporary impairment		(1)		(3)
Available-for-Sale Securities [Member] | Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]
Losses Recorded in Earnings		(2)	(2)	(8)
Other Gains (Losses)		1		6
Total Available for sale other-than-temporary impairment		(1)	(2)	(2)
Available-for-Sale Securities [Member] | Perpetual preferred securities [Member]
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]
Losses Recorded in Earnings	(3)		(3)
Other Gains (Losses)
Total Available for sale other-than-temporary impairment	$ (3)		$ (3)

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Basis of Presentation - Line of Business Financial Performance (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$ 2,748	$ 2,714	$ 8,198	$ 8,095
Net interest income (taxable-equivalent basis), Percent change	1.30%		1.30%
Noninterest income	2,245	2,180	6,792	6,610
Noninterest income, Percent change	3.00%		2.80%
Securities gains (losses), net	(3)	(3)	2	8
Securities gains (losses), net, Percent change			(75.00%)
Total net revenue	4,990	4,891	14,992	14,713
Total net revenue, Percent change	2.00%		1.90%
Noninterest expense, Percent change	2.10%		4.60%
Other intangibles, Percent change	(7.30%)		(11.40%)
Total noninterest expense, Percent change	1.90%		4.20%
Income before provision and income taxes, Percent change	2.10%		(0.60%)
Provision for credit losses, Percent change	4.40%		(11.50%)
Income before income taxes, Percent change	1.80%		1.40%
Income taxes and taxable-equivalent adjustment, Percent change	(3.20%)		(3.60%)
Net income, Percent change	3.90%		3.40%
Net (income) loss attributable to noncontrolling interests, Percent change
Net income attributable to U.S. Bancorp, Percent change	0.20%		(0.40%)
Noninterest expense	2,563	2,510	7,763	7,425
Other intangibles	51	55	148	167
Total noninterest expense	2,614	2,565	7,911	7,592
Income before provision and income taxes	2,376	2,326	7,081	7,121
Provision for credit losses	311	298	941	1,063
Income before income taxes	2,065	2,028	6,140	6,058
Income taxes and taxable-equivalent adjustment	579	598	1,733	1,797
Net income	1,486	1,430	4,407	4,261
Net (income) loss attributable to noncontrolling interests	(15)	38	(44)	119
Net income attributable to U.S. Bancorp	1,471	1,468	4,363	4,380
Average Balance Sheet
Commercial	77,345	68,064	74,424	66,719
Commercial, Percent change	13.60%		11.50%
Commercial real estate	40,839	38,501	40,465	37,872
Commercial real estate, Percent change	6.10%		6.80%
Residential mortgages	51,994	49,139	51,799	47,055
Residential mortgages, Percent change	5.80%		10.10%
Credit card	17,753	16,931	17,516	16,627
Credit card, Percent change	4.90%		5.30%
Other retail	48,698	46,994	48,098	47,034
Other retail, Percent change	3.60%		2.30%
Total loans, excluding covered loans	236,629	219,629	232,302	215,307
Total loans, excluding covered loans, Percent change	7.70%		7.90%
Covered loans	7,238	9,733	7,796	10,375
Covered loans, Percent change	(25.60%)		(24.90%)
Total loans	243,867	229,362	240,098	225,682
Total loans, Percent change	6.30%		6.40%
Goodwill, Percent change	2.80%		1.40%
Other intangible assets, Percent change	(2.20%)		9.60%
Assets, Percent change	9.60%		6.80%
Noninterest-bearing deposits, Percent change	8.60%		7.60%
Interest checking, Percent change	12.90%		9.50%
Savings products, Percent change	14.50%		11.10%
Time deposits, Percent change	(13.10%)		(8.50%)
Total deposits, Percent change	7.40%		6.20%
Total U.S. Bancorp shareholders' equity, Percent change	8.00%		7.10%
Goodwill	9,417	9,161	9,284	9,157
Other intangible assets	3,323	3,399	3,376	3,079
Assets	385,823	352,161	375,047	351,048
Noninterest-bearing deposits	74,126	68,264	72,274	67,183
Interest checking	54,454	48,235	52,928	48,347
Savings products	100,865	88,065	96,254	86,635
Time deposits	41,563	47,804	42,206	46,119
Total deposits	271,008	252,368	263,662	248,284
Total U.S. Bancorp shareholders' equity	43,132	39,936	42,498	39,675
Wholesale Banking and Commercial Real Estate [Member]
Condensed Income Statement
Net interest income (taxable-equivalent basis)	518	506	1,521	1,501
Net interest income (taxable-equivalent basis), Percent change	2.40%		1.30%
Noninterest income	236	266	738	819
Noninterest income, Percent change	(11.30%)		(9.90%)
Securities gains (losses), net
Securities gains (losses), net, Percent change
Total net revenue	754	772	2,259	2,320
Total net revenue, Percent change	(2.30%)		(2.60%)
Noninterest expense, Percent change	0.70%		1.10%
Other intangibles, Percent change	(50.00%)		(50.00%)
Total noninterest expense, Percent change	0.30%		0.80%
Income before provision and income taxes, Percent change	(4.10%)		(4.90%)
Income before income taxes, Percent change	(17.50%)		(13.80%)
Income taxes and taxable-equivalent adjustment, Percent change	(17.30%)		(13.80%)
Net income, Percent change	(17.60%)		(13.80%)
Net (income) loss attributable to noncontrolling interests, Percent change
Net income attributable to U.S. Bancorp, Percent change	(17.60%)		(13.80%)
Noninterest expense	304	302	930	920
Other intangibles	1	2	3	6
Total noninterest expense	305	304	933	926
Income before provision and income taxes	449	468	1,326	1,394
Provision for credit losses	29	(41)	26	(114)
Income before income taxes	420	509	1,300	1,508
Income taxes and taxable-equivalent adjustment	153	185	473	549
Net income	267	324	827	959
Net (income) loss attributable to noncontrolling interests
Net income attributable to U.S. Bancorp	267	324	827	959
Average Balance Sheet
Commercial	59,048	51,302	57,029	50,232
Commercial, Percent change	15.10%		13.50%
Commercial real estate	21,160	19,683	20,879	19,375
Commercial real estate, Percent change	7.50%		7.80%
Residential mortgages	19	24	20	27
Residential mortgages, Percent change	(20.80%)		(25.90%)
Credit card
Credit card, Percent change
Other retail	4	6	4	7
Other retail, Percent change	(33.30%)		(42.90%)
Total loans, excluding covered loans	80,231	71,015	77,932	69,641
Total loans, excluding covered loans, Percent change	13.00%		11.90%
Covered loans	174	340	205	394
Covered loans, Percent change	(48.80%)		(48.00%)
Total loans	80,405	71,355	78,137	70,035
Total loans, Percent change	12.70%		11.60%
Goodwill, Percent change	2.70%		1.10%
Other intangible assets, Percent change	(12.50%)		(19.20%)
Assets, Percent change	12.50%		11.40%
Noninterest-bearing deposits, Percent change	6.10%		5.70%
Interest checking, Percent change	12.40%		6.40%
Savings products, Percent change	26.60%		34.60%
Time deposits, Percent change	(19.70%)		(1.30%)
Total deposits, Percent change	3.50%		9.30%
Total U.S. Bancorp shareholders' equity, Percent change	5.40%		5.30%
Goodwill	1,648	1,604	1,621	1,604
Other intangible assets	21	24	21	26
Assets	87,449	77,708	85,198	76,455
Noninterest-bearing deposits	32,684	30,812	32,029	30,299
Interest checking	11,270	10,031	11,042	10,378
Savings products	19,082	15,067	17,929	13,320
Time deposits	17,961	22,362	18,217	18,450
Total deposits	80,997	78,272	79,217	72,447
Total U.S. Bancorp shareholders' equity	7,764	7,366	7,653	7,269
Consumer and Small Business Banking [Member]
Condensed Income Statement
Net interest income (taxable-equivalent basis)	1,074	1,153	3,241	3,459
Net interest income (taxable-equivalent basis), Percent change	(6.90%)		(6.30%)
Noninterest income	669	717	1,967	2,268
Noninterest income, Percent change	(6.70%)		(13.30%)
Securities gains (losses), net
Securities gains (losses), net, Percent change
Total net revenue	1,743	1,870	5,208	5,727
Total net revenue, Percent change	(6.80%)		(9.10%)
Noninterest expense, Percent change	5.30%		1.30%
Other intangibles, Percent change	20.00%		(6.50%)
Total noninterest expense, Percent change	5.40%		1.20%
Income before provision and income taxes, Percent change	(25.10%)		(24.20%)
Provision for credit losses, Percent change	(51.50%)		(42.10%)
Income before income taxes, Percent change	(17.70%)		(18.30%)
Income taxes and taxable-equivalent adjustment, Percent change	(17.80%)		(18.40%)
Net income, Percent change	(17.70%)		(18.30%)
Net (income) loss attributable to noncontrolling interests, Percent change
Net income attributable to U.S. Bancorp, Percent change	(17.70%)		(18.30%)
Noninterest expense	1,169	1,110	3,421	3,377
Other intangibles	12	10	29	31
Total noninterest expense	1,181	1,120	3,450	3,408
Income before provision and income taxes	562	750	1,758	2,319
Provision for credit losses	79	163	332	573
Income before income taxes	483	587	1,426	1,746
Income taxes and taxable-equivalent adjustment	176	214	519	636
Net income	307	373	907	1,110
Net (income) loss attributable to noncontrolling interests
Net income attributable to U.S. Bancorp	307	373	907	1,110
Average Balance Sheet
Commercial	9,439	8,584	8,903	8,567
Commercial, Percent change	10.00%		3.90%
Commercial real estate	18,899	18,069	18,771	17,741
Commercial real estate, Percent change	4.60%		5.80%
Residential mortgages	50,544	48,130	50,443	46,251
Residential mortgages, Percent change	5.00%		9.10%
Credit card
Credit card, Percent change
Other retail	46,594	44,727	45,964	44,739
Other retail, Percent change	4.20%		2.70%
Total loans, excluding covered loans	125,476	119,510	124,081	117,298
Total loans, excluding covered loans, Percent change	5.00%		5.80%
Covered loans	5,688	6,434	5,871	6,690
Covered loans, Percent change	(11.60%)		(12.20%)
Total loans	131,164	125,944	129,952	123,988
Total loans, Percent change	4.10%		4.80%
Goodwill, Percent change	4.70%		1.70%
Other intangible assets, Percent change	0.50%		17.70%
Assets, Percent change	3.50%		2.30%
Noninterest-bearing deposits, Percent change	9.30%		5.70%
Interest checking, Percent change	11.70%		9.10%
Savings products, Percent change	10.10%		7.40%
Time deposits, Percent change	(14.00%)		(16.30%)
Total deposits, Percent change	6.30%		3.40%
Total U.S. Bancorp shareholders' equity, Percent change	(5.90%)		(5.30%)
Goodwill	3,680	3,515	3,577	3,516
Other intangible assets	2,664	2,650	2,698	2,293
Assets	145,604	140,621	143,337	140,056
Noninterest-bearing deposits	24,696	22,585	23,218	21,976
Interest checking	36,881	33,007	35,832	32,841
Savings products	51,229	46,532	49,496	46,106
Time deposits	17,816	20,718	18,080	21,591
Total deposits	130,622	122,842	126,626	122,514
Total U.S. Bancorp shareholders' equity	11,504	12,222	11,480	12,125
Wealth Management and Securities Services [Member]
Condensed Income Statement
Net interest income (taxable-equivalent basis)	96	82	270	257
Net interest income (taxable-equivalent basis), Percent change	17.10%		5.10%
Noninterest income	352	314	1,038	935
Noninterest income, Percent change	12.10%		11.00%
Securities gains (losses), net
Securities gains (losses), net, Percent change
Total net revenue	448	396	1,308	1,192
Total net revenue, Percent change	13.10%		9.70%
Noninterest expense, Percent change	3.40%		3.50%
Other intangibles, Percent change	(11.10%)		(7.40%)
Total noninterest expense, Percent change	3.00%		3.20%
Income before provision and income taxes, Percent change	66.70%		42.60%
Provision for credit losses, Percent change			14.30%
Income before income taxes, Percent change	73.70%		43.70%
Income taxes and taxable-equivalent adjustment, Percent change	71.40%		44.90%
Net income, Percent change	75.00%		43.00%
Net (income) loss attributable to noncontrolling interests, Percent change
Net income attributable to U.S. Bancorp, Percent change	75.00%		43.00%
Noninterest expense	335	324	1,002	968
Other intangibles	8	9	25	27
Total noninterest expense	343	333	1,027	995
Income before provision and income taxes	105	63	281	197
Provision for credit losses	6	6	8	7
Income before income taxes	99	57	273	190
Income taxes and taxable-equivalent adjustment	36	21	100	69
Net income	63	36	173	121
Net (income) loss attributable to noncontrolling interests
Net income attributable to U.S. Bancorp	63	36	173	121
Average Balance Sheet
Commercial	1,968	1,772	1,910	1,686
Commercial, Percent change	11.10%		13.30%
Commercial real estate	601	655	608	656
Commercial real estate, Percent change	(8.20%)		(7.30%)
Residential mortgages	1,430	984	1,335	776
Residential mortgages, Percent change	45.30%		72.00%
Credit card
Credit card, Percent change
Other retail	1,436	1,532	1,450	1,544
Other retail, Percent change	(6.30%)		(6.10%)
Total loans, excluding covered loans	5,435	4,943	5,303	4,662
Total loans, excluding covered loans, Percent change	10.00%		13.70%
Covered loans	3	17	5	14
Covered loans, Percent change	(82.40%)		(64.30%)
Total loans	5,438	4,960	5,308	4,676
Total loans, Percent change	9.60%		13.50%
Goodwill, Percent change	2.50%		2.60%
Other intangible assets, Percent change	(6.60%)		(6.30%)
Assets, Percent change	12.00%		11.90%
Noninterest-bearing deposits, Percent change	10.40%		9.50%
Interest checking, Percent change	20.80%		17.30%
Savings products, Percent change	15.40%		5.80%
Time deposits, Percent change	(5.80%)		(21.50%)
Total deposits, Percent change	12.70%		5.10%
Total U.S. Bancorp shareholders' equity, Percent change	(5.50%)		(3.90%)
Goodwill	1,572	1,533	1,568	1,529
Other intangible assets	155	166	163	174
Assets	8,679	7,751	8,409	7,514
Noninterest-bearing deposits	14,900	13,500	15,095	13,786
Interest checking	5,729	4,741	5,494	4,683
Savings products	30,373	26,326	28,650	27,070
Time deposits	3,939	4,182	4,111	5,237
Total deposits	54,941	48,749	53,350	50,776
Total U.S. Bancorp shareholders' equity	2,267	2,398	2,283	2,375
Payment Services [Member]
Condensed Income Statement
Net interest income (taxable-equivalent basis)	442	393	1,271	1,168
Net interest income (taxable-equivalent basis), Percent change	12.50%		8.80%
Noninterest income	842	822	2,449	2,397
Noninterest income, Percent change	2.40%		2.20%
Securities gains (losses), net
Securities gains (losses), net, Percent change
Total net revenue	1,284	1,215	3,720	3,565
Total net revenue, Percent change	5.70%		4.30%
Noninterest expense, Percent change	1.20%		2.80%
Other intangibles, Percent change	(11.80%)		(11.70%)
Total noninterest expense, Percent change	0.50%		1.90%
Income before provision and income taxes, Percent change	10.90%		6.80%
Provision for credit losses, Percent change	10.50%		3.60%
Income before income taxes, Percent change	11.10%		8.20%
Income taxes and taxable-equivalent adjustment, Percent change	10.80%		8.10%
Net income, Percent change	11.20%		8.30%
Net (income) loss attributable to noncontrolling interests, Percent change	10.00%		6.90%
Net income attributable to U.S. Bancorp, Percent change	12.00%		8.90%
Noninterest expense	582	575	1,742	1,695
Other intangibles	30	34	91	103
Total noninterest expense	612	609	1,833	1,798
Income before provision and income taxes	672	606	1,887	1,767
Provision for credit losses	190	172	573	553
Income before income taxes	482	434	1,314	1,214
Income taxes and taxable-equivalent adjustment	175	158	478	442
Net income	307	276	836	772
Net (income) loss attributable to noncontrolling interests	(9)	(10)	(27)	(29)
Net income attributable to U.S. Bancorp	298	266	809	743
Average Balance Sheet
Commercial	6,681	6,191	6,402	6,030
Commercial, Percent change	7.90%		6.20%
Commercial real estate
Commercial real estate, Percent change
Residential mortgages
Residential mortgages, Percent change
Credit card	17,753	16,931	17,516	16,627
Credit card, Percent change	4.90%		5.30%
Other retail	664	729	680	744
Other retail, Percent change	(8.90%)		(8.60%)
Total loans, excluding covered loans	25,098	23,851	24,598	23,401
Total loans, excluding covered loans, Percent change	5.20%		5.10%
Covered loans	5	5	5	5
Covered loans, Percent change
Total loans	25,103	23,856	24,603	23,406
Total loans, Percent change	5.20%		5.10%
Goodwill, Percent change	0.30%		0.40%
Other intangible assets, Percent change	(13.30%)		(15.40%)
Assets, Percent change	4.30%		4.20%
Noninterest-bearing deposits, Percent change	(1.70%)		1.40%
Interest checking, Percent change	25.90%		25.90%
Savings products, Percent change	35.00%		40.70%
Time deposits, Percent change
Total deposits, Percent change	10.30%		12.30%
Total U.S. Bancorp shareholders' equity, Percent change	(6.80%)		(5.90%)
Goodwill	2,517	2,509	2,518	2,508
Other intangible assets	483	557	494	584
Assets	31,407	30,123	30,901	29,659
Noninterest-bearing deposits	702	714	704	694
Interest checking	573	455	559	444
Savings products	81	60	76	54
Time deposits
Total deposits	1,356	1,229	1,339	1,192
Total U.S. Bancorp shareholders' equity	5,690	6,102	5,675	6,033
Treasury and Corporate Support [Member]
Condensed Income Statement
Net interest income (taxable-equivalent basis)	618	580	1,895	1,710
Net interest income (taxable-equivalent basis), Percent change	6.60%		10.80%
Noninterest income	146	61	600	191
Securities gains (losses), net	(3)	(3)	2	8
Securities gains (losses), net, Percent change			(75.00%)
Total net revenue	761	638	2,497	1,909
Total net revenue, Percent change	19.30%		30.80%
Noninterest expense, Percent change	(13.10%)		43.70%
Other intangibles, Percent change
Total noninterest expense, Percent change	(13.10%)		43.70%
Income before provision and income taxes, Percent change	33.90%		26.70%
Provision for credit losses, Percent change			(95.50%)
Income before income taxes, Percent change	31.70%		30.50%
Income taxes and taxable-equivalent adjustment, Percent change	95.00%		61.40%
Net income, Percent change	28.70%		28.10%
Net (income) loss attributable to noncontrolling interests, Percent change
Net income attributable to U.S. Bancorp, Percent change	14.30%		13.80%
Noninterest expense	173	199	668	465
Other intangibles
Total noninterest expense	173	199	668	465
Income before provision and income taxes	588	439	1,829	1,444
Provision for credit losses	7	(2)	2	44
Income before income taxes	581	441	1,827	1,400
Income taxes and taxable-equivalent adjustment	39	20	163	101
Net income	542	421	1,664	1,299
Net (income) loss attributable to noncontrolling interests	(6)	48	(17)	148
Net income attributable to U.S. Bancorp	536	469	1,647	1,447
Average Balance Sheet
Commercial	209	215	180	204
Commercial, Percent change	(2.80%)		(11.80%)
Commercial real estate	179	94	207	100
Commercial real estate, Percent change	90.40%
Residential mortgages	1	1	1	1
Residential mortgages, Percent change
Credit card
Credit card, Percent change
Other retail
Other retail, Percent change
Total loans, excluding covered loans	389	310	388	305
Total loans, excluding covered loans, Percent change	25.50%		27.20%
Covered loans	1,368	2,937	1,710	3,272
Covered loans, Percent change	(53.40%)		(47.70%)
Total loans	1,757	3,247	2,098	3,577
Total loans, Percent change	(45.90%)		(41.30%)
Goodwill, Percent change
Assets, Percent change	17.40%		10.10%
Noninterest-bearing deposits, Percent change	75.20%
Interest checking, Percent change
Savings products, Percent change	25.00%		21.20%
Total U.S. Bancorp shareholders' equity, Percent change	34.30%		29.80%
Goodwill
Other intangible assets		2		2
Assets	112,684	95,958	107,202	97,364
Noninterest-bearing deposits	1,144	653	1,228	428
Interest checking	1	1	1	1
Savings products	100	80	103	85
Time deposits	1,847	542	1,798	841
Total deposits	3,092	1,276	3,130	1,355
Total U.S. Bancorp shareholders' equity	$ 15,907	$ 11,848	$ 15,407	$ 11,873

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Mortgage Servicing Rights - MSRs and Related Characteristics by Portfolio (Detail) (USD $) In Millions, unless otherwise specified							9 Months Ended	12 Months Ended	9 Months Ended	12 Months Ended	9 Months Ended	12 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Jun. 30, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Dec. 31, 2012	Sep. 30, 2014 Mortgage Servicing Rights [Member] BasisPoint Multiple	Dec. 31, 2013 Mortgage Servicing Rights [Member] Multiple BasisPoint	Sep. 30, 2014 MRBP [Member] Mortgage Servicing Rights [Member] Multiple BasisPoint	Dec. 31, 2013 MRBP [Member] Mortgage Servicing Rights [Member] Multiple BasisPoint	Sep. 30, 2014 Government [Member] Mortgage Servicing Rights [Member] BasisPoint Multiple	Dec. 31, 2013 Government [Member] Mortgage Servicing Rights [Member] Multiple BasisPoint	Sep. 30, 2014 Conventional [Member] Mortgage Servicing Rights [Member] BasisPoint Multiple	Dec. 31, 2013 Conventional [Member] Mortgage Servicing Rights [Member] Multiple BasisPoint
Servicing Assets at Fair Value [Line Items]
Servicing portfolio							$ 222,409	$ 226,842	$ 18,052	$ 15,896	$ 40,600	$ 41,659	$ 163,757	$ 169,287
Fair value	$ 2,461	$ 2,412	$ 2,680	$ 2,577	$ 2,377	$ 1,700	$ 2,461	$ 2,680	$ 199	$ 180	$ 469	$ 500	$ 1,793	$ 2,000
Value (bps)							111	118	110	113	116	120	109	118
Weighted-average servicing fees (bps)							29	30	37	39	33	32	27	29
Multiple (value/servicing fees)							3.83	3.93	2.97	2.90	3.52	3.75	4.04	4.07
Weighted-average note rate							4.20%	4.22%	4.62%	4.70%	4.20%	4.24%	4.15%	4.17%
Weighted-average age (in years)							3 years 1 month 6 days	2 years 7 months 6 days	3 years 8 months 12 days	3 years 9 months 18 days	3 years 1 month 6 days	2 years 7 months 6 days	3 years	2 years 6 months
Weighted-average expected prepayment (constant prepayment rate)							11.10%	11.20%	12.90%	13.50%	12.40%	11.50%	10.60%	10.90%
Weighted-average expected life (in years)							6 years 9 months 18 days	7 years 1 month 6 days	6 years 2 months 12 days	6 years 2 months 12 days	6 years 4 months 24 days	6 years 10 months 24 days	7 years	7 years 2 months 12 days
Weighted-average discount rate							10.10%	10.20%	11.90%	11.90%	11.20%	11.20%	9.60%	9.80%

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Fair Values of Assets and Liabilities - Additional Information (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended						9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014 Standby Letters of Credit and Unfunded Commitments [Member]	Dec. 31, 2013 Standby Letters of Credit and Unfunded Commitments [Member]	Sep. 30, 2014 Other Guarantees [Member]	Dec. 31, 2013 Other Guarantees [Member]	Sep. 30, 2014 Minimum [Member]	Sep. 30, 2014 Maximum [Member]	Sep. 30, 2014 Average [Member]
Fair Value Disclosures [Abstract]
Fair value measurement transfers from one level to another			$ 0	$ 0
Mortgage loans held for sale measured at fair value gain (loss)	4	(5)	102	(326)
Assumed credit valuation adjustment as percentage of underlying fair value of underlying derivative contracts									0.00%	93.00%	7.00%
Carrying value of guarantee obligations					$ 433	$ 382	$ 235	$ 278

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Netting Arrangements for Certain Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2014

Text Block [Abstract]

Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet But Available for Offset in Event of Default

The following tables provide information on the Company’s netting adjustments, and items not offset on the Consolidated Balance Sheet but available for offset in the event of default:

	Gross Recognized Assets		Gross Amounts Offset on the Consolidated Balance Sheet (a)			Net Amounts Presented on the Consolidated Balance Sheet		Gross Amounts Not Offset on the Consolidated Balance Sheet
(Dollars in Millions)								Financial Instruments (b)			Collateral Received (c)			Net Amount
September 30, 2014
Derivative assets (d)	$	1,363	$	(670	)	$	693	$	(36	)	$	–		$	657
Reverse repurchase agreements		107		–			107		(56	)		(51	)		–
Securities borrowed		583		–			583		(14	)		(551	)		18
Total	$	2,053	$	(670	)	$	1,383	$	(106	)	$	(602	)	$	675
December 31, 2013
Derivative assets (d)	$	1,349	$	(599	)	$	750	$	(21	)	$	–		$	729
Reverse repurchase agreements		87		–			87		(59	)		(28	)		–
Securities borrowed		723		–			723		–			(698	)		25
Total	$	2,159	$	(599	)	$	1,560	$	(80	)	$	(726	)	$	754

(a) Includes $156 million and $124 million of cash collateral related payables that were netted against derivative assets at September 30, 2014 and December 31, 2013, respectively.

(b) For derivative assets this includes any derivative liability fair values that could be offset in the event of counterparty default; for reverse repurchase agreements this includes any repurchase agreement payables that could be offset in the event of counterparty default; for securities borrowed this includes any securities loaned payables that could be offset in the event of counterparty default.

(c) Includes the fair value of securities received by the Company from the counterparty. These securities are not included on the Consolidated Balance Sheet unless the counterparty defaults.

(d) Excludes $131 million and $55 million of derivative assets centrally cleared or otherwise not subject to netting arrangements at September 30, 2014 and December 31, 2013, respectively.

	Gross Recognized Liabilities		Gross Amounts Offset on the Consolidated Balance Sheet (a)			Net Amounts Presented on the Consolidated Balance Sheet		Gross Amounts Not Offset on the Consolidated Balance Sheet
(Dollars in Millions)								Financial Instruments (b)			Collateral Pledged (c)			Net Amount
September 30, 2014
Derivative liabilities (d)	$	1,569	$	(1,127	)	$	442	$	(36	)	$	–		$	406
Repurchase agreements		686		–			686		(56	)		(630	)		–
Securities loaned		87		–			87		(14	)		(72	)		1
Total	$	2,342	$	(1,127	)	$	1.215	$	(106	)	$	(702	)	$	407
December 31, 2013
Derivative liabilities (d)	$	1,598	$	(1,192	)	$	406	$	(21	)	$	–		$	385
Repurchase agreements		2,059		–			2,059		(59	)		(2,000	)		–
Securities loaned		–		–			–		–			–			–
Total	$	3,657	$	(1,192	)	$	2,465	$	(80	)	$	(2,000	)	$	385

(a) Includes $613 million and $717 million of cash collateral related receivables that were netted against derivative liabilities at September 30, 2014 and December 31, 2013, respectively.

(b) For derivative liabilities this includes any derivative asset fair values that could be offset in the event of counterparty default; for repurchase agreements this includes any reverse repurchase agreement receivables that could be offset in the event of counterparty default; for securities loaned this includes any securities borrowed receivables that could be offset in the event of counterparty default.

(c) Includes the fair value of securities pledged by the Company to the counterparty. These securities are included on the Consolidated Balance Sheet unless the Company defaults.

(d) Excludes $203 million and $119 million of derivative liabilities centrally cleared or otherwise not subject to netting arrangements at September 30, 2014 and December 31, 2013, respectively.

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Investment Securities - Changes in Credit Losses on Debt Securities Excluding Perpetual Preferred Securities (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Credit Losses on Debt Securities [RollForward]
Balance at beginning of period	$ 111	$ 124	$ 116	$ 134
Decreases in expected cash flows on securities for which other-than-temporary impairment was previously recognized		3	3	13
Total other-than-temporary impairment on debt securities		3	3	13
Increases in expected cash flows	(2)	(1)	(4)	(2)
Realized losses	(4)	(4)	(10)	(18)
Credit losses on security sales and securities expected to be sold				(5)
Balance at end of period	$ 105	$ 122	$ 105	$ 122

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Loans and Allowance for Credit Losses - Summary of Loans Modified as TDRs in the Past Twelve Months that have Subsequently Defaulted (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014 SecurityLoan	Sep. 30, 2013 SecurityLoan	Sep. 30, 2014 SecurityLoan	Sep. 30, 2013 SecurityLoan
Financing Receivable, Modifications [Line Items]
Number of Loans	2,493	2,755	6,527	12,345
Amount Defaulted	$ 112	$ 208	$ 221	$ 966
Commercial [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	161	143	456	483
Amount Defaulted	34	37	42	42
Commercial Real Estate [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	4	30	16	72
Amount Defaulted		18	10	90
Residential Mortgages [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	147	303	424	673
Amount Defaulted	22	41	61	100
Credit Card [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	1,665	1,485	4,586	5,109
Amount Defaulted	9	8	25	29
Other Retail [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	146	278	489	1,164
Amount Defaulted	5	10	15	53
Total Loans, Excluding GNMA and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	2,123	2,239	5,971	7,501
Amount Defaulted	70	114	153	314
Loans Purchased from GNMA Mortgage Pools [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	366	492	542	4,795
Amount Defaulted	41	69	63	615
Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	4	24	14	49
Amount Defaulted	$ 1	$ 25	$ 5	$ 37

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Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Type and Delinquency Status of those that Continue to Accrue Interest and are Nonperforming (Parenthetical) (Detail) (Government National Mortgage Association [Member], USD $)	Sep. 30, 2014	Dec. 31, 2013
Government National Mortgage Association [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Loans 30-89 days past due purchased from Government National Mortgage Association mortgage pools whose payments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified as current	$ 422,000,000	$ 440,000,000
Loans 90 days or more past due purchased from Government National Mortgage Association mortgage pools whose payments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified as current	$ 3,100,000,000	$ 3,700,000,000

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Investment Securities - Additional Information (Detail) (USD $)	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Investments, Debt and Equity Securities [Abstract]
Weighted-average maturity of available-for-sale investment securities	4 years 10 months 24 days	6 years
Weighted-average yields of available-for-sale investment securities	2.35%	2.64%
Weighted average maturity of held-to-maturity investment securities	4 years 4 months 24 days	4 years 6 months
Weighted-average yields of held-to-maturity investment securities	1.93%	2.00%
Fair value of securities pledged	$ 12,900,000,000	$ 17,300,000,000
Fair value of securities pledged as collateral where counterparty has right to repledge or resell	$ 640,000,000	$ 2,100,000,000

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Accounting Changes

9 Months Ended

Sep. 30, 2014

Accounting Changes [Abstract]

Accounting Changes

 Note 2  Accounting Changes

Revenue Recognition In May 2014, the Financial Accounting Standards Board issued accounting guidance, effective for the Company on January 1, 2017, related to revenue recognition from contracts with customers, which amends certain currently existing revenue recognition accounting guidance. The guidance allows for either retrospective application to all periods presented or a modified retrospective approach where the guidance would only be applied to existing contracts in effect at the adoption date and new contracts going forward. The Company is currently evaluating the impact of this guidance under the modified retrospective approach and expects the adoption will not be material to its financial statements.

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Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Type and Company's Internal Credit Quality Rating (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	$ 238,537	$ 226,773
Total loans	245,591	235,235
Total outstanding commitments	501,206	477,797
Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	240,139	229,546
Total outstanding commitments	494,015	470,046
Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	1,899	1,679
Total outstanding commitments	2,990	2,939
Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	3,553	4,010
Total outstanding commitments	4,201	4,812
Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	5,452	5,689
Total outstanding commitments	7,191	7,751
Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	78,878	70,033
Commercial [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	76,688	68,075
Commercial [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	1,396	1,013
Commercial [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	794	945
Commercial [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	2,190	1,958
Commercial Real Estate [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	40,909	39,885
Commercial Real Estate [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	39,591	38,113
Commercial Real Estate [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	474	616
Commercial Real Estate [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	844	1,156
Commercial Real Estate [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	1,318	1,772
Residential Mortgages [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	51,957	51,156
Residential Mortgages [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	50,817	50,152
Residential Mortgages [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	8	5
Residential Mortgages [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	1,132	999
Residential Mortgages [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	1,140	1,004
Credit Card [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	17,858	18,021
Credit Card [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	17,622	17,733
Credit Card [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans
Credit Card [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	236	288
Credit Card [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	236	288
Other Retail [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	48,935	47,678
Other Retail [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	48,569	47,313
Other Retail [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	18	27
Other Retail [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	348	338
Other Retail [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	366	365
Total Loans, Excluding Covered Loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	238,537	226,773
Total Loans, Excluding Covered Loans [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	233,287	221,386
Total Loans, Excluding Covered Loans [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	1,896	1,661
Total Loans, Excluding Covered Loans [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	3,354	3,726
Total Loans, Excluding Covered Loans [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans, excluding covered loans	5,250	5,387
Covered Loans [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	7,054	8,462
Covered Loans [Member] | Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	6,852	8,160
Covered Loans [Member] | Special Mention Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	3	18
Covered Loans [Member] | Classified Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	199	284
Covered Loans [Member] | Total Criticized [Member]
Financing Receivable, Recorded Investment [Line Items]
Total loans	$ 202	$ 302

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Business Combinations - Additional Information (Detail) (USD $)	Jun. 30, 2014
Business Combinations [Abstract]
Loans acquired in the Charter One acquisition	$ 969,000,000
Deposits acquired in the Charter One acquisition	$ 4,800,000,000

XML

Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities (Tables)

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Summary of Investments in Community Development and Tax-advantaged VIEs

The following table provides a summary of investments in community development and tax-advantaged VIEs that the Company has not consolidated:

(Dollars in Millions)	September 30, 2014		December 31, 2013
Investment carrying amount	$	4,385	$	4,178
Unfunded capital and other commitments		1,850		1,661
Maximum exposure to loss		8,038		7,390

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Loans and Allowance for Credit Losses (Tables)

9 Months Ended

Sep. 30, 2014

Receivables [Abstract]

Composition of Loan Portfolio

The composition of the loan portfolio, disaggregated by class and underlying specific portfolio type, was as follows:

	September 30, 2014					December 31, 2013
(Dollars in Millions)	Amount		Percent of Total			Amount		Percent of Total
Commercial
Commercial	$	73,600		30.0	%	$	64,762		27.5	%
Lease financing		5,278		2.1			5,271		2.3
Total commercial		78,878		32.1			70,033		29.8
Commercial Real Estate
Commercial mortgages		31,802		13.0			32,183		13.7
Construction and development		9,107		3.7			7,702		3.3
Total commercial real estate		40,909		16.7			39,885		17.0
Residential Mortgages
Residential mortgages		38,858		15.8			37,545		15.9
Home equity loans, first liens		13,099		5.3			13,611		5.8
Total residential mortgages		51,957		21.1			51,156		21.7
Credit Card		17,858		7.3			18,021		7.7
Other Retail
Retail leasing		5,999		2.5			5,929		2.5
Home equity and second mortgages		15,769		6.4			15,442		6.6
Revolving credit		3,242		1.3			3,276		1.4
Installment		6,173		2.5			5,709		2.4
Automobile		14,517		5.9			13,743		5.8
Student		3,235		1.3			3,579		1.5
Total other retail		48,935		19.9			47,678		20.2
Total loans, excluding covered loans		238,537		97.1			226,773		96.4
Covered Loans		7,054		2.9			8,462		3.6
Total loans	$	245,591		100.0	%	$	235,235		100.0	%

Changes in Accretable Balance for Purchased Impaired Loans

Changes in the accretable balance for purchased impaired loans were as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	1,487		$	1,802		$	1,655		$	1,709
Accretion		(105	)		(119	)		(336	)		(380	)
Disposals		(34	)		(51	)		(103	)		(120	)
Reclassifications from nonaccretable difference (a)		38			119			172			177
Other (b)		–			–			(2	)		365
Balance at end of period	$	1,386		$	1,751		$	1,386		$	1,751

(a) Primarily relates to changes in expected credit performance.

(b) The amount for the nine months ended September 30, 2013, primarily represents the reclassification of unamortized decreases in the FDIC asset (which are presented as a separate component within the covered assets table on page 56 beginning in 2013), partially offset by the impact of changes in expectations about retaining covered single-family loans beyond the term of the indemnification agreements.

Activity in Allowance for Credit Losses by Portfolio Type

Activity in the allowance for credit losses by portfolio class was as follows:

Three Months Ended September 30 (Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
2014
Balance at beginning of period	$	1,111		$	725		$	848		$	874		$	779		$	4,337		$	112		$	4,449
Add
Provision for credit losses		83			(6	)		(13	)		162			84			310			1			311
Deduct
Loans charged off		80			10			48			174			96			408			2			410
Less recoveries of loans charged off		(22	)		(6	)		(6	)		(16	)		(23	)		(73	)		(1	)		(74	)
Net loans charged off		58			4			42			158			73			335			1			336
Other changes (a)		–			–			–			–			–			–			(10	)		(10	)
Balance at end of period	$	1,136		$	715		$	793		$	878		$	790		$	4,312		$	102		$	4,414
2013
Balance at beginning of period	$	1,023		$	777		$	921		$	874		$	838		$	4,433		$	179		$	4,612
Add
Provision for credit losses		19			(22	)		70			151			84			302			(4	)		298
Deduct
Loans charged off		65			17			62			175			122			441			9			450
Less recoveries of loans charged off		(54	)		(23	)		(5	)		(15	)		(24	)		(121	)		(1	)		(122	)
Net loans charged off		11			(6	)		57			160			98			320			8			328
Other changes (a)		–			–			–			–			–			–			(4	)		(4	)
Balance at end of period	$	1,031		$	761		$	934		$	865		$	824		$	4,415		$	163		$	4,578

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

Nine Months Ended September 30 (Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
2014
Balance at beginnng of period	$	1,075		$	776		$	875		$	884		$	781		$	4,391		$	146		$	4,537
Add
Provision for credit losses		210			(64	)		74			495			227			942			(1	)		941
Deduct
Loans charged off		219			27			171			546			291			1,254			10			1,264
Less recoveries of loans charged off		(70	)		(30	)		(15	)		(48	)		(73	)		(236	)		(2	)		(238	)
Net loans charged off		149			(3	)		156			498			218			1,018			8			1,026
Other changes (a)		–			–			–			(3	)		–			(3	)		(35	)		(38	)
Balance at end of period	$	1,136		$	715		$	793		$	878		$	790		$	4,312		$	102		$	4,414
2013
Balance at beginnng of period	$	1,051		$	857		$	935		$	863		$	848		$	4,554		$	179		$	4,733
Add
Provision for credit losses		64			(100	)		222			495			305			986			77			1,063
Deduct
Loans charged off		184			76			243			559			412			1,474			31			1,505
Less recoveries of loans charged off		(100	)		(80	)		(20	)		(66	)		(83	)		(349	)		(3	)		(352	)
Net loans charged off		84			(4	)		223			493			329			1,125			28			1,153
Other changes (a)		–			–			–			–			–			–			(65	)		(65	)
Balance at end of period	$	1,031		$	761		$	934		$	865		$	824		$	4,415		$	163		$	4,578

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

Additional Detail of Allowance for Credit Losses and Related Loan Balances by Portfolio Type

Additional detail of the allowance for credit losses by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans		Total Loans
Allowance Balance at September 30, 2014 Related to
Loans individually evaluated for impairment (a)	$	10	$	6	$	–	$	–	$	–	$	16	$	–	$	16
TDRs collectively evaluated for impairment		13		15		308		64		44		444		3		447
Other loans collectively evaluated for impairment		1,113		662		485		814		746		3,820		2		3,822
Loans acquired with deteriorated credit quality		–		32		–		–		–		32		97		129
Total allowance for credit losses	$	1,136	$	715	$	793	$	878	$	790	$	4,312	$	102	$	4,414
Allowance Balance at December 31, 2013 Related to
Loans individually evaluated for impairment (a)	$	15	$	17	$	–	$	–	$	–	$	32	$	–	$	32
TDRs collectively evaluated for impairment		19		26		329		87		55		516		4		520
Other loans collectively evaluated for impairment		1,041		700		546		797		726		3,810		5		3,815
Loans acquired with deteriorated credit quality		–		33		–		–		–		33		137		170
Total allowance for credit losses	$	1,075	$	776	$	875	$	884	$	781	$	4,391	$	146	$	4,537

(a) Represents the allowance for credit losses related to loans greater than $5 million classified as nonperforming or TDRs.

Additional detail of loan balances by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans (b)		Total Loans
September 30, 2014
Loans individually evaluated for impairment (a)	$	237	$	158	$	–	$	–	$	–	$	395	$	52	$	447
TDRs collectively evaluated for impairment		129		273		4,916		256		248		5,822		74		5,896
Other loans collectively evaluated for impairment		78,511		40,368		47,041		17,602		48,687		232,209		3,615		235,824
Loans acquired with deteriorated credit quality		1		110		–		–		–		111		3,313		3,424
Total loans	$	78,878	$	40,909	$	51,957	$	17,858	$	48,935	$	238,537	$	7,054	$	245,591
December 31, 2013
Loans individually evaluated for impairment (a)	$	197	$	237	$	–	$	–	$	–	$	434	$	62	$	496
TDRs collectively evaluated for impairment		155		358		5,064		310		269		6,156		87		6,243
Other loans collectively evaluated for impairment		69,680		39,129		46,090		17,711		47,409		220,019		4,538		224,557
Loans acquired with deteriorated credit quality		1		161		2		–		–		164		3,775		3,939
Total loans	$	70,033	$	39,885	$	51,156	$	18,021	$	47,678	$	226,773	$	8,462	$	235,235

(a) Represents loans greater than $5 million classified as nonperforming or TDRs.

(b) Includes expected reimbursements from the FDIC under loss sharing agreements.

Summary of Loans by Portfolio Type, Including Delinquency Status of those that Continue to Accrue Interest and are Nonperforming

The following table provides a summary of loans by portfolio class, including the delinquency status of those that continue to accrue interest, and those that are nonperforming:

	Accruing
(Dollars in Millions)	Current		30-89 Days Past Due		90 Days or More Past Due		Nonperforming		Total
September 30, 2014
Commercial	$	78,453	$	215	$	37	$	173	$	78,878
Commercial real estate		40,606		50		12		241		40,909
Residential mortgages (a)		50,662		243		211		841		51,957
Credit card		17,403		219		196		40		17,858
Other retail		48,453		222		76		184		48,935
Total loans, excluding covered loans		235,577		949		532		1,479		238,537
Covered loans		6,434		102		430		88		7,054
Total loans	$	242,011	$	1,051	$	962	$	1,567	$	245,591
December 31, 2013
Commercial	$	69,587	$	257	$	55	$	134	$	70,033
Commercial real estate		39,459		94		29		303		39,885
Residential mortgages (a)		49,695		358		333		770		51,156
Credit card		17,507		226		210		78		18,021
Other retail		47,156		245		86		191		47,678
Total loans, excluding covered loans		223,404		1,180		713		1,476		226,773
Covered loans		7,693		166		476		127		8,462
Total loans	$	231,097	$	1,346	$	1,189	$	1,603	$	235,235

(a) At September 30, 2014, $422 million of loans 30–89 days past due and $3.1 billion of loans 90 days or more past due purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified as current, compared with $440 million and $3.7 billion at December 31, 2013, respectively.

Summary of Loans by Portfolio Type and Company's Internal Credit Quality Rating

The following table provides a summary of loans by portfolio class and the Company’s internal credit quality rating:

			Criticized
(Dollars in Millions)	Pass		Special Mention		Classified (a)		Total Criticized		Total
September 30, 2014
Commercial	$	76,688	$	1,396	$	794	$	2,190	$	78,878
Commercial real estate		39,591		474		844		1,318		40,909
Residential mortgages (b)		50,817		8		1,132		1,140		51,957
Credit card		17,622		–		236		236		17,858
Other retail		48,569		18		348		366		48,935
Total loans, excluding covered loans		233,287		1,896		3,354		5,250		238,537
Covered loans		6,852		3		199		202		7,054
Total loans	$	240,139	$	1,899	$	3,553	$	5,452	$	245,591
Total outstanding commitments	$	494,015	$	2,990	$	4,201	$	7,191	$	501,206
December 31, 2013
Commercial	$	68,075	$	1,013	$	945	$	1,958	$	70,033
Commercial real estate		38,113		616		1,156		1,772		39,885
Residential mortgages (b)		50,152		5		999		1,004		51,156
Credit card		17,733		–		288		288		18,021
Other retail		47,313		27		338		365		47,678
Total loans, excluding covered loans		221,386		1,661		3,726		5,387		226,773
Covered loans		8,160		18		284		302		8,462
Total loans	$	229,546	$	1,679	$	4,010	$	5,689	$	235,235
Total outstanding commitments	$	470,046	$	2,939	$	4,812	$	7,751	$	477,797

(a) Classified rating on consumer loans primarily based on delinquency status.

(b) At September 30, 2014, $3.1 billion of GNMA loans 90 days or more past due and $2.5 billion of restructured GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs were classified with a pass rating, compared with $3.7 billion and $2.6 billion at December 31, 2013, respectively.

Summary of Impaired Loans by Portfolio Class

A summary of impaired loans by portfolio class was as follows:

(Dollars in Millions)	Period-end Recorded Investment (a)		Unpaid Principal Balance		Valuation Allowance		Commitments to Lend Additional Funds
September 30, 2014
Commercial	$	408	$	848	$	27	$	135
Commercial real estate		525		1,037		30		14
Residential mortgages		2,740		3,678		261		–
Credit card		256		256		64		–
Other retail		368		413		47		4
Total impaired loans, excluding GNMA and covered loans		4,297		6,232		429		153
Loans purchased from GNMA mortgage pools		2,478		2,478		51		–
Covered loans		295		607		20		1
Total	$	7,070	$	9,317	$	500	$	154
December 31, 2013
Commercial	$	382	$	804	$	36	$	54
Commercial real estate		693		1,322		51		40
Residential mortgages		2,767		3,492		308		–
Credit card		310		310		87		–
Other retail		391		593		59		14
Total impaired loans, excluding GNMA and covered loans		4,543		6,521		541		108
Loans purchased from GNMA mortgage pools		2,607		2,607		28		–
Covered loans		452		1,008		30		4
Total	$	7,602	$	10,136	$	599	$	112

(a) Substantially all loans classified as impaired at September 30, 2014 and December 31, 2013, had an associated allowance for credit losses.

Impaired Loans Average Recorded Investment and Interest Income

Additional information on impaired loans follows:

	2014				2013
(Dollars in Millions)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Three Months Ended September 30
Commercial	$	425	$	4	$	380	$	5
Commercial real estate		541		4		819		6
Residential mortgages		2,740		33		2,765		32
Credit card		264		1		347		3
Other retail		373		5		417		7
Total impaired loans, excluding GNMA and covered loans		4,343		47		4,728		53
Loans purchased from GNMA mortgage pools		2,647		29		1,883		22
Covered loans		335		5		519		6
Total	$	7,325	$	81	$	7,130	$	81
Nine Months Ended September 30
Commercial	$	430	$	8	$	384	$	24
Commercial real estate		598		17		950		27
Residential mortgages		2,744		105		2,744		99
Credit card		281		7		380		12
Other retail		381		13		431		19
Total impaired loans, excluding GNMA and covered loans		4,434		150		4,889		181
Loans purchased from GNMA mortgage pools		2,691		95		1,869		68
Covered loans		389		15		588		21
Total	$	7,514	$	260	$	7,346	$	270

Summary of Loans Modified as TDRs

The following table provides a summary of loans modified as TDRs during the periods presented by portfolio class:

	2014						2013
(Dollars in Millions)	Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance		Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance
Three Months Ended September 30
Commercial		448	$	28	$	26		551	$	62	$	60
Commercial real estate		27		14		13		48		76		73
Residential mortgages		525		71		70		338		42		42
Credit card		6,708		35		36		6,447		39		38
Other retail		810		18		18		847		21		21
Total loans, excluding GNMA and covered loans		8,518		166		163		8,231		240		234
Loans purchased from GNMA mortgage pools		2,273		278		278		2,315		300		284
Covered loans		18		3		3		38		19		11
Total loans		10,809	$	447	$	444		10,584	$	559	$	529
Nine Months Ended September 30
Commercial		1,633	$	181	$	169		1,962	$	150	$	140
Commercial real estate		54		33		28		147		193		186
Residential mortgages		1,732		232		231		1,575		214		210
Credit card		20,040		111		112		20,147		122		122
Other retail		2,246		52		52		3,519		86		85
Total loans, excluding GNMA and covered loans		25,705		609		592		27,350		765		743
Loans purchased from GNMA mortgage pools		7,198		816		803		6,450		822		782
Covered loans		38		14		13		109		85		64
Total loans		32,941	$	1,439	$	1,408		33,909	$	1,672	$	1,589

Summary of Loans Modified as TDRs in the Past Twelve Months that have Subsequently Defaulted

The following table provides a summary of TDR loans that defaulted (fully or partially charged-off or became 90 days or more past due) during the periods presented that were modified as TDRs within 12 months previous to default:

	2014				2013
(Dollars in Millions)	Number of Loans		Amount Defaulted		Number of Loans		Amount Defaulted
Three Months Ended September 30
Commercial		161	$	34		143	$	37
Commercial real estate		4		–		30		18
Residential mortgages		147		22		303		41
Credit card		1,665		9		1,485		8
Other retail		146		5		278		10
Total loans, excluding GNMA and covered loans		2,123		70		2,239		114
Loans purchased from GNMA mortgage pools		366		41		492		69
Covered loans		4		1		24		25
Total loans		2,493	$	112		2,755	$	208
Nine Months Ended September 30
Commercial		456	$	42		483	$	42
Commercial real estate		16		10		72		90
Residential mortgages		424		61		673		100
Credit card		4,586		25		5,109		29
Other retail		489		15		1,164		53
Total loans, excluding GNMA and covered loans		5,971		153		7,501		314
Loans purchased from GNMA mortgage pools		542		63		4,795		615
Covered loans		14		5		49		37
Total loans		6,527	$	221		12,345	$	966

Carrying Amount of Covered Assets

The carrying amount of the covered assets consisted of purchased impaired loans, purchased nonimpaired loans and other assets as shown in the following table:

	September 30, 2014								December 31, 2013
(Dollars in Millions)	Purchased Impaired Loans		Purchased Nonimpaired Loans		Other Assets		Total		Purchased Impaired Loans		Purchased Nonimpaired Loans		Other Assets		Total
Commercial loans	$	–	$	21	$	–	$	21	$	–	$	32	$	–	$	32
Commercial real estate loans		464		1,093		–		1,557		738		1,494		–		2,232
Residential mortgage loans		2,849		774		–		3,623		3,037		890		–		3,927
Credit card loans		–		4		–		4		–		5		–		5
Other retail loans		–		605		–		605		–		666		–		666
Losses reimbursable by the FDIC (a)		–		–		737		737		–		–		798		798
Unamortized changes in FDIC asset (b)		–		–		507		507		–		–		802		802
Covered loans		3,313		2,497		1,244		7,054		3,775		3,087		1,600		8,462
Foreclosed real estate		–		–		72		72		–		–		97		97
Total covered assets	$	3,313	$	2,497	$	1,316	$	7,126	$	3,775	$	3,087	$	1,697	$	8,559

(a) Relates to loss sharing agreements with remaining terms up to five years.

(b) Represents decreases in expected reimbursements by the FDIC as a result of decreases in expected losses on the covered loans. These amounts are amortized as a reduction in interest income on covered loans over the shorter of the expected life of the respective covered loans or the remaining contractual term of the indemnification agreements.

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Fair Values of Assets and Liabilities - Valuation Assumption Ranges for Derivative Commitments (Detail) (Derivative Mortgage Loans Commitments [Member])	Sep. 30, 2014
Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected loan close rate	42.00%
Inherent MSR value (basis points per loan)	0.48%
Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected loan close rate	100.00%
Inherent MSR value (basis points per loan)	2.14%
Average [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected loan close rate	76.00%
Inherent MSR value (basis points per loan)	1.29%

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Loans and Allowance for Credit Losses - Additional Information (Detail) (USD $)	3 Months Ended	9 Months Ended
	Sep. 30, 2014 MortgageLoan	Sep. 30, 2014 MortgageLoan	Jun. 30, 2014	Dec. 31, 2013
Loans and Allowance for Credit Losses [Line Items]
Loans pledged at the Federal Home Loan Bank ("FHLB")	$ 79,400,000,000	$ 79,400,000,000		$ 77,200,000,000
Loans pledged at the Federal Reserve Bank	61,800,000,000	61,800,000,000		53,000,000,000
Unearned interest and deferred fees and costs on loans	575,000,000	575,000,000		556,000,000
Contractually required payments receivable for all purchased nonimpaired loans acquired in the Charter One acquisition			1,500,000,000
Contractual cash flows not expected to be collected in the Charter One acquisition			247,000,000
Fair value of loans acquired in the Charter One acquisition			969,000,000
Purchased impaired loans acquired in the Charter One acquisition			0
Minimum period for non collection of principal and interest placed on nonaccrual status for commercial lending segment loans		90 days
Minimum period beyond which revolving consumer lines and credit cards are charged off		180 days
Minimum period beyond which residential mortgages and other retail loans secured by 1-4 family properties are charged down to fair value of the collateral securing the loan less costs to sell		180 days
Minimum period beyond which other retail loans not secured by 1-4 family properties are charged off		120 days
Foreclosed residential real estate property included in other real estate owned	273,000,000	273,000,000
Foreclosed residential real estate property included in other real estate owned excluding covered assets	236,000,000	236,000,000
Foreclosed residential real estate related to mortgage loans whose payments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs	623,000,000	623,000,000
Residential mortgage loans secured by residential real estate in process of foreclosure	3,000,000,000	3,000,000,000
Maximum restructuring period under credit card and other retail loan financial difficulty modifications		60 months
Number of residential mortgage loans, home equity and second mortgage loans, and GNMA loans where trial period arrangement was unsuccessful and no longer eligible for a permanent modification	435	1,313
Outstanding balance of residential mortgage loans, home equity and second mortgage loans, and GNMA loans where trial period was unsuccessful and no longer eligible for a permanent modification	57,000,000	159,000,000
Remaining term for single family residential mortgages covered under loss sharing agreements		5 years
Purchased impaired loans included in covered loans classified as nonperforming assets	5,000,000	5,000,000		5,000,000
Commercial Lending Segment [Member] | Maximum [Member]
Loans and Allowance for Credit Losses [Line Items]
Period of loss experience		13 years
Commercial Lending Segment [Member] | Minimum [Member]
Loans and Allowance for Credit Losses [Line Items]
Impairment loan threshold for allowance in which loans are individually analyzed	5,000,000	5,000,000
Junior Lien [Member]
Loans and Allowance for Credit Losses [Line Items]
Loans and lines in a junior lien position secured by 1-4 family properties placed on nonaccrual status		120 days
First Lien [Member]
Loans and Allowance for Credit Losses [Line Items]
Loans and lines in a junior lien position placed on nonaccrual status when behind a first lien past due		180 days
Government National Mortgage Association [Member]
Loans and Allowance for Credit Losses [Line Items]
Residential mortgage loans secured by residential real estate in process of foreclosure purchased from Government National Mortgage Association mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs	2,100,000,000	2,100,000,000
Residential Mortgages [Member]
Loans and Allowance for Credit Losses [Line Items]
Number of loans in trial period	310	310
Outstanding balance of loans in trial period	40,000,000	40,000,000
Estimated post-modification balance of loans in trial period	41,000,000	41,000,000
Home equity and second mortgage loans [Member]
Loans and Allowance for Credit Losses [Line Items]
Number of loans in trial period	49	49
Outstanding balance of loans in trial period	3,000,000	3,000,000
Estimated post-modification balance of loans in trial period	3,000,000	3,000,000
Loans Purchased from GNMA Mortgage Pools [Member]
Loans and Allowance for Credit Losses [Line Items]
Number of loans in trial period	1,764	1,764
Outstanding balance of loans in trial period	231,000,000	231,000,000
Estimated post-modification balance of loans in trial period	$ 232,000,000	$ 232,000,000

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Investment Securities - Investment Securities Held to Maturity (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014		Dec. 31, 2013
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	$ 44,231	[1]	$ 38,920	[1]
Held-to-maturity securities, Unrealized Gains	264		205
Held-to-maturity securities, Unrealized Losses Other-than-Temporary	(1)		(1)
Held-to-maturity securities, Unrealized Losses Other	(400)		(756)
Held-to-maturity securities, fair value	44,094		38,368
U.S. Treasury and agencies [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	2,679		3,114
Held-to-maturity securities, Unrealized Gains	8		5
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other	(40)		(79)
Held-to-maturity securities, fair value	2,647		3,040
Mortgage-backed securities Residential [Member] | Agency [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	41,419		35,671
Held-to-maturity securities, Unrealized Gains	244		187
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other	(358)		(665)
Held-to-maturity securities, fair value	41,305		35,193
Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	1		1
Held-to-maturity securities, Unrealized Gains
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other
Held-to-maturity securities, fair value	1		1
Asset-Backed Securities [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	14
Held-to-maturity securities, fair value	25
Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost
Held-to-maturity securities, Unrealized Gains	8		9
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other
Held-to-maturity securities, fair value	8		9
Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	14		16
Held-to-maturity securities, Unrealized Gains	4		4
Held-to-maturity securities, Unrealized Losses Other-than-Temporary	(1)		(1)
Held-to-maturity securities, Unrealized Losses Other			(1)
Held-to-maturity securities, fair value	17		18
Obligations of state and political subdivisions [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	10		12
Held-to-maturity securities, Unrealized Gains
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other
Held-to-maturity securities, fair value	10		12
Obligations of foreign governments [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	9		7
Held-to-maturity securities, Unrealized Gains
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other
Held-to-maturity securities, fair value	9		7
Other debt securities [Member]
Schedule of Held-to-maturity Securities [Line Items]
Held-to-maturity securities, Amortized Cost	99		99
Held-to-maturity securities, Unrealized Gains
Held-to-maturity securities, Unrealized Losses Other-than-Temporary
Held-to-maturity securities, Unrealized Losses Other	(2)		(11)
Held-to-maturity securities, fair value	$ 97		$ 88

[1] Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.

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Mortgage Servicing Rights (Tables)

9 Months Ended

Sep. 30, 2014

Text Block [Abstract]

Changes in Fair Value of Capitalized MSRs

Changes in fair value of capitalized MSRs are summarized as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	2,412		$	2,377		$	2,680		$	1,700
Rights purchased		1			2			3			7
Rights capitalized		109			187			264			674
Rights sold		–			–			(141	)		–
Changes in fair value of MSRs
Due to fluctuations in market interest rates (a)		29			71			(129	)		503
Due to revised assumptions or models (b)		15			42			71			33
Other changes in fair value (c)		(105	)		(102	)		(287	)		(340	)
Balance at end of period	$	2,461		$	2,577		$	2,461		$	2,577

(a) Includes changes in MSR value associated with changes in market interest rates, including estimated prepayment rates and anticipated earnings on escrow deposits.

(b) Includes changes in MSR value not caused by changes in market interest rates, such as changes in cost to service, ancillary income, and discount rate, as well as the impact of any model changes.

(c) Primarily represents changes due to realization of expected cash flows over time (decay).

Sensitivity to Changes in Interest Rates to Fair Value of MSRs Portfolio and Related Derivative Instruments

The estimated sensitivity to changes in interest rates of the fair value of the MSRs portfolio and the related derivative instruments was as follows:

	September 30, 2014																		December 31, 2013
		Down			Down			Down			Up			Up			Up			Down			Down			Down			Up			Up			Up
(Dollars in Millions)	100 bps			50 bps			25 bps			25 bps			50 bps			100 bps			100 bps			50 bps			25 bps			25 bps			50 bps			100 bps
MSR portfolio	$	(490	)	$	(212	)	$	(99	)	$	84		$	157		$	297		$	(435	)	$	(199	)	$	(93	)	$	82		$	154		$	287
Derivative instrument hedges		391			196			94			(87	)		(167	)		(319	)		399			194			91			(82	)		(157	)		(301	)
Net sensitivity	$	(99	)	$	(16	)	$	(5	)	$	(3	)	$	(10	)	$	(22	)	$	(36	)	$	(5	)	$	(2	)	$	–		$	(3	)	$	(14	)

MSRs and Related Characteristics by Portfolio

A summary of the Company’s MSRs and related characteristics by portfolio was as follows:

	September 30, 2014												December 31, 2013
(Dollars in Millions)	MRBP			Government			Conventional (b)			Total			MRBP			Government			Conventional (b)			Total
Servicing portfolio	$	18,052		$	40,600		$	163,757		$	222,409		$	15,896		$	41,659		$	169,287		$	226,842
Fair value	$	199		$	469		$	1,793		$	2,461		$	180		$	500		$	2,000		$	2,680
Value (bps) (a)		110			116			109			111			113			120			118			118
Weighted-average servicing fees (bps)		37			33			27			29			39			32			29			30
Multiple (value/servicing fees)		2.97			3.52			4.04			3.83			2.90			3.75			4.07			3.93
Weighted-average note rate		4.62	%		4.20	%		4.15	%		4.20	%		4.70	%		4.24	%		4.17	%		4.22	%
Weighted-average age (in years)		3.7			3.1			3.0			3.1			3.8			2.6			2.5			2.6
Weighted-average expected prepayment (constant prepayment rate)		12.9	%		12.4	%		10.6	%		11.1	%		13.5	%		11.5	%		10.9	%		11.2	%
Weighted-average expected life (in years)		6.2			6.4			7.0			6.8			6.2			6.9			7.2			7.1
Weighted-average discount rate		11.9	%		11.2	%		9.6	%		10.1	%		11.9	%		11.2	%		9.8	%		10.2	%

(a) Value is calculated as fair value divided by the servicing portfolio.

(b) Represents loans sold primarily to GSEs.

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Preferred Stock (Tables)

9 Months Ended

Sep. 30, 2014

Equity [Abstract]

Number of Shares Issued and Outstanding and Carrying Amount of Preferred Stock

The number of shares issued and outstanding and the carrying amount of each outstanding series of the Company’s preferred stock were as follows:

	September 30, 2014								December 31, 2013
		Shares								Shares
		Issued and		Liquidation				Carrying		Issued and		Liquidation				Carrying
(Dollars in Millions)	Outstanding		Preference		Discount		Amount		Outstanding		Preference		Discount		Amount
Series A		12,510	$	1,251	$	145	$	1,106		12,510	$	1,251	$	145	$	1,106
Series B		40,000		1,000		–		1,000		40,000		1,000		–		1,000
Series F		44,000		1,100		12		1,088		44,000		1,100		12		1,088
Series G		43,400		1,085		10		1,075		43,400		1,085		10		1,075
Series H		20,000		500		13		487		20,000		500		13		487
Total preferred stock (a)		159,910	$	4,936	$	180	$	4,756		159,910	$	4,936	$	180	$	4,756

(a) The par value of all shares issued and outstanding at September 30, 2014 and December 31, 2013, was $1.00 per share.

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Basis of Presentation

9 Months Ended

Sep. 30, 2014

Basis of Presentation [Abstract]

Basis of Presentation

 Note 1  Basis of Presentation

The accompanying consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all information and notes necessary for a complete presentation of financial position, results of operations and cash flow activity required in accordance with accounting principles generally accepted in the United States. In the opinion of management of U.S. Bancorp (the “Company”), all adjustments (consisting only of normal recurring adjustments) necessary for a fair statement of results for the interim periods have been made. These financial statements and notes should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. Certain amounts in prior periods have been reclassified to conform to the current presentation.

Accounting policies for the lines of business are generally the same as those used in preparation of the consolidated financial statements with respect to activities specifically attributable to each business line. However, the preparation of business line results requires management to establish methodologies to allocate funding costs, expenses and other financial elements to each line of business. Table 10 “Line of Business Financial Performance” included in Management’s Discussion and Analysis provides details of segment results. This information is incorporated by reference into these Notes to Consolidated Financial Statements.

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Accumulated Other Comprehensive Income (Loss) (Tables)

9 Months Ended

Sep. 30, 2014

Equity [Abstract]

Reconciliation of Transactions Affecting Accumulated Other Comprehensive Income (Loss) Included in Shareholders' Equity

The reconciliation of the transactions affecting accumulated other comprehensive income (loss) included in shareholders’ equity is as follows:

Three Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For- Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For-Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	233		$	60		$	(225	)	$	(699	)	$	(51	)	$	(682	)
Changes in unrealized gains and losses		(21	)		–			16			–			–			(5	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		–			–			–			–			–			–
Foreign currency translation adjustment		–			–			–			–			4			4
Reclassification to earnings of realized gains and losses		3			(7	)		45			35			–			76
Applicable income taxes		7			3			(23	)		(14	)		(2	)		(29	)
Balance at end of period	$	222		$	56		$	(187	)	$	(678	)	$	(49	)	$	(636	)
2013
Balance at beginning of period	$	185		$	84		$	(313	)	$	(1,184	)	$	(60	)	$	(1,288	)
Changes in unrealized gains and losses		(237	)		–			(17	)	$	38			–			(216	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1			–			–			–			–			1
Foreign currency translation adjustment		–			–			–			–			13			13
Reclassification to earnings of realized gains and losses		3			(13	)		47			62			–			99
Applicable income taxes		89			5			(11	)		(38	)		(5	)		40
Balance at end of period	$	41		$	76		$	(294	)	$	(1,122	)	$	(52	)	$	(1,351	)

Nine Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For- Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For-Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	(77	)	$	70		$	(261	)	$	(743	)	$	(60	)	$	(1,071	)
Changes in unrealized gains and losses		486			–			(19	)		–			–			467
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1			–			–			–			–			1
Foreign currency translation adjustment		–			–			–			–			18			18
Reclassification to earnings of realized gains and losses		(2	)		(23	)		139			107			–			221
Applicable income taxes		(186	)		9			(46	)		(42	)		(7	)		(272	)
Balance at end of period	$	222		$	56		$	(187	)	$	(678	)	$	(49	)	$	(636	)
2013
Balance at beginning of period	$	679		$	107		$	(404	)	$	(1,265	)	$	(40	)	$	(923	)
Changes in unrealized gains and losses		(1,032	)		–			33			37			–			(962	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		8			–			–			–			–			8
Foreign currency translation adjustment		–			–			–			–			(20	)		(20	)
Reclassification to earnings of realized gains and losses		(8	)		(50	)		142			186			–			270
Applicable income taxes		394			19			(65	)		(80	)		8			276
Balance at end of period	$	41		$	76		$	(294	)	$	(1,122	)	$	(52	)	$	(1,351	)

Impact to Net Income for Items Reclassified out of Accumulated Other Comprehensive Income and into Earnings

Additional detail about the impact to net income for items reclassified out of accumulated other comprehensive income (loss) and into earnings, is as follows:

	Impact to Net Income
	Three Months Ended September 30,						Nine Months Ended September 30,						Affected Line Item in the Consolidated Statement of Income
(Dollars in Millions)	2014			2013			2014			2013
Unrealized gains (losses) on securities available-for-sale
Realized gains (losses) on sale of securities	$	–		$	–		$	8		$	21		Total securities gains (losses), net
Other-than-temporary impairment recognized in earnings		(3	)		(3	)		(6	)		(13	)
		(3	)		(3	)		2			8		Total before tax
		1			1			(1	)		(3	)	Applicable income taxes
		(2	)		(2	)		1			5		Net-of-tax
Unrealized gains (losses) on securities transferred from available-for-sale to held-to-maturity
Amortization of unrealized gains		7			13			23			50		Interest income
		(3	)		(5	)		(9	)		(19	)	Applicable income taxes
		4			8			14			31		Net-of-tax
Unrealized gains (losses) on derivative hedges
Realized gains (losses) on derivative hedges		(45	)		(47	)		(139	)		(142	)	Net interest income
		17			18			53			55		Applicable income taxes
		(28	)		(29	)		(86	)		(87	)	Net-of-tax
Unrealized gains (losses) on retirement plans
Actuarial gains (losses), prior service cost (credit) and transition obligation (asset) amortization		(35	)		(62	)		(107	)		(186	)	Employee benefits expense
		14			24			42			72		Applicable income taxes
		(21	)		(38	)		(65	)		(114	)	Net-of-tax
Total impact to net income	$	(47	)	$	(61	)	$	(136	)	$	(165	)

XML

Employee Benefits - Components of Net Periodic Benefit Cost (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Pension Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 38	$ 42	$ 114	$ 126
Interest cost	50	43	148	128
Expected return on plan assets	(51)	(44)	(155)	(132)
Prior service cost (credit) and transition obligation (asset) amortization	(2)	(1)	(4)	(4)
Actuarial loss (gain) amortization	39	66	118	198
Net periodic benefit cost	74	106	221	316
Postretirement Welfare Plan [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost		1		3
Interest cost	1	1	3	3
Expected return on plan assets	(1)		(1)	(1)
Prior service cost (credit) and transition obligation (asset) amortization	(1)		(3)
Actuarial loss (gain) amortization	(1)	(3)	(4)	(8)
Net periodic benefit cost	$ (2)	$ (1)	$ (5)	$ (3)

XML

Investment Securities - Investment Securities (Detail) (USD $) In Millions, unless otherwise specified	9 Months Ended		12 Months Ended
	Sep. 30, 2014		Dec. 31, 2013
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, total, amortized cost	$ 52,314		$ 41,059
Available-for-sale securities, total, fair value	52,674	[1]	40,935	[1]
Available-for-sale securities, total, weighted average maturity in years	4 years 10 months 24 days		6 years
Available-for-sale securities, total, weighted average yield	2.35%		2.64%
Held-to-maturity securities, total, amortized cost	44,231	[1]	38,920	[1]
Held-to-maturity securities, total, fair value	44,094		38,368
Held-to-maturity securities, total, weighted average maturity in years	4 years 4 months 24 days		4 years 6 months
Held-to-maturity securities, total, weighted average yield	1.93%		2.00%
Amortized Cost of Investment Securities	96,545		79,979
Amortized Cost of Investment Securities, Percentage	100.00%		100.00%
U.S. Treasury and agencies [Member]
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, maturing in one year or less, amortized cost	27
Available-for-sale securities, maturing after one year through five years, amortized cost	1,385
Available-for-sale securities, maturing after five years through ten years, amortized cost	1,179
Available-for-sale securities, maturing after ten years, amortized cost	101
Available-for-sale securities, total, amortized cost	2,692		1,108
Available-for-sale securities, maturing in one year or less, fair value	27
Available-for-sale securities, maturing after one year through five years, fair value	1,387
Available-for-sale securities, maturing after five years through ten years, fair value	1,163
Available-for-sale securities, maturing after ten years, fair value	101
Available-for-sale securities, total, fair value	2,678		1,045
Available-for-sale securities, maturing in one year or less, weighted average maturity in years	3 months 18 days
Available-for-sale securities, maturing after one year through five years, weighted average maturity in years	3 years 8 months 12 days
Available-for-sale securities, maturing after five years through ten years, weighted average maturity in years	8 years 1 month 6 days
Available-for-sale securities, maturing after ten years, weighted average maturity in years	18 years 6 months
Available-for-sale securities, total, weighted average maturity in years	6 years 1 month 6 days
Available-for-sale securities, maturing in one year or less, weighted average yield	4.17%
Available for sale securities, maturing after one year through five years, weighted average yield	1.39%
Available-for-sale securities, maturing after five years through ten years, weighted average yield	2.83%
Available-for-sale securities, maturing after ten years, weighted average yield	1.38%
Available-for-sale securities, total, weighted average yield	2.05%
Held-to-maturity securities, maturing in one year or less, amortized cost	80
Held-to-maturity securities, maturing after one year through five years, amortized cost	1,096
Held-to-maturity securities, maturing after five years through ten years, amortized cost	1,445
Held-to-maturity securities, maturing after ten years, amortized cost	58
Held-to-maturity securities, total, amortized cost	2,679		3,114
Held-to-maturity securities, maturing in one year or less, fair value	81
Held to maturity securities, maturing after one year through five years, fair value	1,096
Held-to-maturity securities, maturing after five years through ten years, fair value	1,412
Held-to-maturity securities, maturing after ten years, fair value	58
Held-to-maturity securities, total, fair value	2,647		3,040
Held-to-maturity securities, maturing in one year or less, weighted average maturity in years	8 months 12 days
Held-to-maturity securities, maturing after one year through five years, weighted average maturity in years	3 years 10 months 24 days
Held-to-maturity securities, maturing after five years through ten years, weighted average maturity in years	7 years 9 months 18 days
Held-to-maturity securities, maturing after ten years, weighted average maturity in years	10 years 9 months 18 days
Held-to-maturity securities, total, weighted average maturity in years	6 years 1 month 6 days
Held-to-maturity securities, maturing in one year or less, weighted average yield	1.36%
Held-to-maturity securities, maturing after one year through five years, weighted average yield	1.42%
Held-to-maturity securities, maturing after five years through ten years, weighted average yield	2.20%
Held-to-maturity securities, maturing after ten years, weighted average yield	1.73%
Held-to-maturity securities, total, weighted average yield	1.85%
Amortized Cost of Investment Securities	5,371		4,222
Amortized Cost of Investment Securities, Percentage	5.50%		5.30%
Mortgage-Backed Securities [Member]
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, maturing in one year or less, amortized cost	565
Available-for-sale securities, maturing after one year through five years, amortized cost	24,490
Available-for-sale securities, maturing after five years through ten years, amortized cost	16,133
Available-for-sale securities, maturing after ten years, amortized cost	1,355
Available-for-sale securities, total, amortized cost	42,543
Available-for-sale securities, maturing in one year or less, fair value	573
Available-for-sale securities, maturing after one year through five years, fair value	24,625
Available-for-sale securities, maturing after five years through ten years, fair value	16,121
Available-for-sale securities, maturing after ten years, fair value	1,350
Available-for-sale securities, total, fair value	42,669
Available-for-sale securities, maturing in one year or less, weighted average maturity in years	8 months 12 days
Available-for-sale securities, maturing after one year through five years, weighted average maturity in years	3 years 9 months 18 days
Available-for-sale securities, maturing after five years through ten years, weighted average maturity in years	5 years 8 months 12 days
Available-for-sale securities, maturing after ten years, weighted average maturity in years	12 years 6 months
Available-for-sale securities, total, weighted average maturity in years	4 years 9 months 18 days
Available-for-sale securities, maturing in one year or less, weighted average yield	1.81%
Available for sale securities, maturing after one year through five years, weighted average yield	2.02%
Available-for-sale securities, maturing after five years through ten years, weighted average yield	1.62%
Available-for-sale securities, maturing after ten years, weighted average yield	1.21%
Available-for-sale securities, total, weighted average yield	1.84%
Held-to-maturity securities, maturing in one year or less, amortized cost	120
Held-to-maturity securities, maturing after one year through five years, amortized cost	28,283
Held-to-maturity securities, maturing after five years through ten years, amortized cost	12,674
Held-to-maturity securities, maturing after ten years, amortized cost	343
Held-to-maturity securities, total, amortized cost	41,420
Held-to-maturity securities, maturing in one year or less, fair value	120
Held to maturity securities, maturing after one year through five years, fair value	28,200
Held-to-maturity securities, maturing after five years through ten years, fair value	12,640
Held-to-maturity securities, maturing after ten years, fair value	346
Held-to-maturity securities, total, fair value	41,306
Held-to-maturity securities, maturing in one year or less, weighted average maturity in years	9 months 18 days
Held-to-maturity securities, maturing after one year through five years, weighted average maturity in years	3 years 7 months 6 days
Held-to-maturity securities, maturing after five years through ten years, weighted average maturity in years	5 years 7 months 6 days
Held-to-maturity securities, maturing after ten years, weighted average maturity in years	12 years 8 months 12 days
Held-to-maturity securities, total, weighted average maturity in years	4 years 3 months 18 days
Held-to-maturity securities, maturing in one year or less, weighted average yield	1.16%
Held-to-maturity securities, maturing after one year through five years, weighted average yield	2.12%
Held-to-maturity securities, maturing after five years through ten years, weighted average yield	1.55%
Held-to-maturity securities, maturing after ten years, weighted average yield	1.17%
Held-to-maturity securities, total, weighted average yield	1.94%
Amortized Cost of Investment Securities	83,963		68,236
Amortized Cost of Investment Securities, Percentage	87.00%		85.30%
Asset-Backed Securities [Member]
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, maturing in one year or less, amortized cost
Available-for-sale securities, maturing after one year through five years, amortized cost	271
Available-for-sale securities, maturing after five years through ten years, amortized cost	357
Available-for-sale securities, maturing after ten years, amortized cost
Available-for-sale securities, total, amortized cost	628
Available-for-sale securities, maturing in one year or less, fair value
Available-for-sale securities, maturing after one year through five years, fair value	281
Available-for-sale securities, maturing after five years through ten years, fair value	364
Available-for-sale securities, maturing after ten years, fair value
Available-for-sale securities, total, fair value	645
Available-for-sale securities, maturing in one year or less, weighted average maturity in years
Available-for-sale securities, maturing after one year through five years, weighted average maturity in years	3 years 6 months
Available-for-sale securities, maturing after five years through ten years, weighted average maturity in years	7 years
Available-for-sale securities, maturing after ten years, weighted average maturity in years
Available-for-sale securities, total, weighted average maturity in years	5 years 6 months
Available-for-sale securities, maturing in one year or less, weighted average yield
Available for sale securities, maturing after one year through five years, weighted average yield	2.32%
Available-for-sale securities, maturing after five years through ten years, weighted average yield	2.15%
Available-for-sale securities, maturing after ten years, weighted average yield
Available-for-sale securities, total, weighted average yield	2.23%
Held-to-maturity securities, maturing in one year or less, amortized cost	1
Held-to-maturity securities, maturing after one year through five years, amortized cost	6
Held-to-maturity securities, maturing after five years through ten years, amortized cost	7
Held-to-maturity securities, maturing after ten years, amortized cost
Held-to-maturity securities, total, amortized cost	14
Held-to-maturity securities, maturing in one year or less, fair value	1
Held to maturity securities, maturing after one year through five years, fair value	9
Held-to-maturity securities, maturing after five years through ten years, fair value	8
Held-to-maturity securities, maturing after ten years, fair value	7
Held-to-maturity securities, total, fair value	25
Held-to-maturity securities, maturing in one year or less, weighted average maturity in years	8 months 12 days
Held-to-maturity securities, maturing after one year through five years, weighted average maturity in years	2 years 10 months 24 days
Held-to-maturity securities, maturing after five years through ten years, weighted average maturity in years	6 years 3 months 18 days
Held-to-maturity securities, maturing after ten years, weighted average maturity in years	15 years 6 months
Held-to-maturity securities, total, weighted average maturity in years	4 years 9 months 18 days
Held-to-maturity securities, maturing in one year or less, weighted average yield	0.78%
Held-to-maturity securities, maturing after one year through five years, weighted average yield	0.89%
Held-to-maturity securities, maturing after five years through ten years, weighted average yield	0.81%
Held-to-maturity securities, maturing after ten years, weighted average yield	0.88%
Held-to-maturity securities, total, weighted average yield	0.84%
Amortized Cost of Investment Securities	642		652
Amortized Cost of Investment Securities, Percentage	0.70%		0.80%
Obligations of state and political subdivisions [Member]
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, maturing in one year or less, amortized cost	724
Available-for-sale securities, maturing after one year through five years, amortized cost	4,121
Available-for-sale securities, maturing after five years through ten years, amortized cost	448
Available-for-sale securities, maturing after ten years, amortized cost	34
Available-for-sale securities, total, amortized cost	5,327		5,673
Available-for-sale securities, maturing in one year or less, fair value	742
Available-for-sale securities, maturing after one year through five years, fair value	4,334
Available-for-sale securities, maturing after five years through ten years, fair value	453
Available-for-sale securities, maturing after ten years, fair value	34
Available-for-sale securities, total, fair value	5,563		5,738
Available-for-sale securities, maturing in one year or less, weighted average maturity in years	7 months 6 days
Available-for-sale securities, maturing after one year through five years, weighted average maturity in years	2 years 3 months 18 days
Available-for-sale securities, maturing after five years through ten years, weighted average maturity in years	6 years 10 months 24 days
Available-for-sale securities, maturing after ten years, weighted average maturity in years	18 years
Available-for-sale securities, total, weighted average maturity in years	2 years 6 months
Available-for-sale securities, maturing in one year or less, weighted average yield	6.66%
Available for sale securities, maturing after one year through five years, weighted average yield	6.79%
Available-for-sale securities, maturing after five years through ten years, weighted average yield	4.76%
Available-for-sale securities, maturing after ten years, weighted average yield	5.06%
Available-for-sale securities, total, weighted average yield	6.59%
Held-to-maturity securities, maturing in one year or less, amortized cost
Held-to-maturity securities, maturing after one year through five years, amortized cost	2
Held-to-maturity securities, maturing after five years through ten years, amortized cost	1
Held-to-maturity securities, maturing after ten years, amortized cost	7
Held-to-maturity securities, total, amortized cost	10		12
Held-to-maturity securities, maturing in one year or less, fair value
Held to maturity securities, maturing after one year through five years, fair value	2
Held-to-maturity securities, maturing after five years through ten years, fair value	1
Held-to-maturity securities, maturing after ten years, fair value	7
Held-to-maturity securities, total, fair value	10		12
Held-to-maturity securities, maturing in one year or less, weighted average maturity in years	4 months 24 days
Held-to-maturity securities, maturing after one year through five years, weighted average maturity in years	2 years 2 months 12 days
Held-to-maturity securities, maturing after five years through ten years, weighted average maturity in years	7 years 4 months 24 days
Held-to-maturity securities, maturing after ten years, weighted average maturity in years	11 years 4 months 24 days
Held-to-maturity securities, total, weighted average maturity in years	9 years
Held-to-maturity securities, maturing in one year or less, weighted average yield	11.64%
Held-to-maturity securities, maturing after one year through five years, weighted average yield	8.31%
Held-to-maturity securities, maturing after five years through ten years, weighted average yield	8.14%
Held-to-maturity securities, maturing after ten years, weighted average yield	2.51%
Held-to-maturity securities, total, weighted average yield	4.54%
Amortized Cost of Investment Securities	5,337		5,685
Amortized Cost of Investment Securities, Percentage	5.50%		7.10%
Other Debt Securities and Obligations of Foreign Governments [Member]
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, maturing in one year or less, amortized cost	6
Available-for-sale securities, maturing after one year through five years, amortized cost
Available-for-sale securities, maturing after five years through ten years, amortized cost
Available-for-sale securities, maturing after ten years, amortized cost	690
Available-for-sale securities, total, amortized cost	696
Available-for-sale securities, maturing in one year or less, fair value	6
Available-for-sale securities, maturing after one year through five years, fair value
Available-for-sale securities, maturing after five years through ten years, fair value
Available-for-sale securities, maturing after ten years, fair value	639
Available-for-sale securities, total, fair value	645
Available-for-sale securities, maturing in one year or less, weighted average maturity in years	4 months 24 days
Available-for-sale securities, maturing after one year through five years, weighted average maturity in years
Available-for-sale securities, maturing after five years through ten years, weighted average maturity in years
Available-for-sale securities, maturing after ten years, weighted average maturity in years	18 years 8 months 12 days
Available-for-sale securities, total, weighted average maturity in years	18 years 7 months 6 days
Available-for-sale securities, maturing in one year or less, weighted average yield	1.01%
Available for sale securities, maturing after one year through five years, weighted average yield
Available-for-sale securities, maturing after five years through ten years, weighted average yield
Available-for-sale securities, maturing after ten years, weighted average yield	2.47%
Available-for-sale securities, total, weighted average yield	2.45%
Held-to-maturity securities, maturing in one year or less, amortized cost	2
Held-to-maturity securities, maturing after one year through five years, amortized cost	82
Held-to-maturity securities, maturing after five years through ten years, amortized cost	24
Held-to-maturity securities, maturing after ten years, amortized cost
Held-to-maturity securities, total, amortized cost	108
Held-to-maturity securities, maturing in one year or less, fair value	2
Held to maturity securities, maturing after one year through five years, fair value	82
Held-to-maturity securities, maturing after five years through ten years, fair value	22
Held-to-maturity securities, maturing after ten years, fair value
Held-to-maturity securities, total, fair value	106
Held-to-maturity securities, maturing in one year or less, weighted average maturity in years
Held-to-maturity securities, maturing after one year through five years, weighted average maturity in years	1 year 2 months 12 days
Held-to-maturity securities, maturing after five years through ten years, weighted average maturity in years	6 years 1 month 6 days
Held-to-maturity securities, maturing after ten years, weighted average maturity in years
Held-to-maturity securities, total, weighted average maturity in years	2 years 2 months 12 days
Held-to-maturity securities, maturing in one year or less, weighted average yield	1.78%
Held-to-maturity securities, maturing after one year through five years, weighted average yield	1.13%
Held-to-maturity securities, maturing after five years through ten years, weighted average yield	0.97%
Held-to-maturity securities, maturing after ten years, weighted average yield
Held-to-maturity securities, total, weighted average yield	1.11%
Amortized Cost of Investment Securities	1,232		1,184
Amortized Cost of Investment Securities, Percentage	1.30%		1.50%
Other Investments Including Perpetual Preferred Securities [Member]
Contractual Maturities of Investment Securities [Line Items]
Available-for-sale securities, total, amortized cost	428
Available-for-sale securities, total, fair value	474
Available-for-sale securities, total, weighted average maturity in years	14 years 4 months 24 days
Available-for-sale securities, total, weighted average yield	2.30%
Held-to-maturity securities, total, amortized cost
Held-to-maturity securities, total, fair value
Held-to-maturity securities, total, weighted average maturity in years
Held-to-maturity securities, total, weighted average yield

[1] Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.

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Investment Securities - Gross Unrealized Losses and Fair Value of Company's Investment Securities (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	$ 12,046
Unrealized Losses Less Than 12 Months	(78)
Fair Value 12 Months or Greater	10,603
Unrealized Losses 12 Months or Greater	(323)
Fair Value Total	22,649
Unrealized Losses Total	(401)
Fair Value Less Than 12 Months	10,812
Unrealized Losses Less Than 12 Months	(93)
Fair Value 12 Months or Greater	10,048
Unrealized Losses 12 Months or Greater	(420)
Fair Value Total	20,860
Unrealized Losses Total	(513)
U.S. Treasury and agencies [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	577
Unrealized Losses Less Than 12 Months	(2)
Fair Value 12 Months or Greater	968
Unrealized Losses 12 Months or Greater	(38)
Fair Value Total	1,545
Unrealized Losses Total	(40)
Fair Value Less Than 12 Months	1,173
Unrealized Losses Less Than 12 Months	(1)
Fair Value 12 Months or Greater	825
Unrealized Losses 12 Months or Greater	(20)
Fair Value Total	1,998
Unrealized Losses Total	(21)
Mortgage-backed securities Residential [Member] | Agency [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	11,469
Unrealized Losses Less Than 12 Months	(76)
Fair Value 12 Months or Greater	9,607
Unrealized Losses 12 Months or Greater	(282)
Fair Value Total	21,076
Unrealized Losses Total	(358)
Fair Value Less Than 12 Months	9,519
Unrealized Losses Less Than 12 Months	(91)
Fair Value 12 Months or Greater	8,317
Unrealized Losses 12 Months or Greater	(330)
Fair Value Total	17,836
Unrealized Losses Total	(421)
Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	40
Unrealized Losses Less Than 12 Months	(1)
Fair Value 12 Months or Greater	114
Unrealized Losses 12 Months or Greater	(4)
Fair Value Total	154
Unrealized Losses Total	(5)
Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	12
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	22
Unrealized Losses 12 Months or Greater	(1)
Fair Value Total	34
Unrealized Losses Total	(1)
Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	6
Unrealized Losses 12 Months or Greater	(1)
Fair Value Total	6
Unrealized Losses Total	(1)
Fair Value Less Than 12 Months	2
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	24
Unrealized Losses 12 Months or Greater
Fair Value Total	26
Unrealized Losses Total
Other debt securities [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	22
Unrealized Losses 12 Months or Greater	(2)
Fair Value Total	22
Unrealized Losses Total	(2)
Obligations of state and political subdivisions [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	15
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	217
Unrealized Losses 12 Months or Greater	(3)
Fair Value Total	232
Unrealized Losses Total	(3)
Obligations of foreign governments [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	6
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater
Unrealized Losses 12 Months or Greater
Fair Value Total	6
Unrealized Losses Total
Corporate debt securities [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	453
Unrealized Losses 12 Months or Greater	(54)
Fair Value Total	453
Unrealized Losses Total	(54)
Perpetual preferred securities [Member]
Continuous Gross Unrealized Losses And Fair Value [Abstract]
Fair Value Less Than 12 Months	45
Unrealized Losses Less Than 12 Months
Fair Value 12 Months or Greater	76
Unrealized Losses 12 Months or Greater	(8)
Fair Value Total	121
Unrealized Losses Total	$ (8)

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Mortgage Servicing Rights - Additional Information (Detail) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Transfers and Servicing of Financial Assets [Abstract]
Residential mortgage loans serviced for others including subserviced mortgages with no corresponding MSRs asset	$ 224,600,000,000		$ 224,600,000,000		$ 226,800,000,000
Gain/Loss on fair value changes of MSRs due to changes in valuation assumptions and derivatives used to economically hedge MSRs	49,000,000	108,000,000	200,000,000	163,000,000
Loan servicing fees	178,000,000	192,000,000	551,000,000	566,000,000
Gain related to excess servicing rights sold	$ 44,000,000

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Consolidated Balance Sheet (Unaudited) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014		Dec. 31, 2013
Assets
Cash and due from banks	$ 6,183		$ 8,477
Investment securities
Held-to-maturity (fair value $44,094 and $38,368, respectively; including $366 and $994 at fair value pledged as collateral, respectively)	44,231	[1]	38,920	[1]
Available-for-sale ($274 and $1,106 pledged as collateral, respectively)	52,674	[1]	40,935	[1]
Loans held for sale (including $3,918 and $3,263 of mortgage loans carried at fair value, respectively)	3,939		3,268
Loans
Commercial	78,878		70,033
Commercial real estate	40,909		39,885
Residential mortgages	51,957		51,156
Credit card	17,858		18,021
Other retail	48,935		47,678
Total loans, excluding covered loans	238,537		226,773
Covered loans	7,054		8,462
Total loans	245,591		235,235
Less allowance for loan losses	(4,065)		(4,250)
Net loans	241,526		230,985
Premises and equipment	2,608		2,606
Goodwill	9,401		9,205
Other intangible assets	3,338		3,529
Other assets (including $142 and $111 of trading securities at fair value pledged as collateral, respectively)	27,384	[1]	26,096	[1]
Total assets	391,284		364,021
Deposits
Noninterest-bearing	78,641		76,941
Interest-bearing	165,070		156,165
Time deposits greater than $100,000	29,386		29,017
Total deposits	273,097		262,123
Short-term borrowings	30,045		27,608
Long-term debt	30,768		20,049
Other liabilities	13,545		12,434
Total liabilities	347,455		322,214
Shareholders' equity
Preferred stock	4,756		4,756
Common stock, par value $0.01 a share - authorized: 4,000,000,000 shares; issued: 9/30/14 and 12/31/13 - 2,125,725,742 shares	21		21
Capital surplus	8,293		8,216
Retained earnings	41,543		38,667
Less cost of common stock in treasury: 9/30/14 - 330,882,734 shares; 12/31/13 - 300,977,274 shares	(10,836)		(9,476)
Accumulated other comprehensive income (loss)	(636)		(1,071)
Total U.S. Bancorp shareholders' equity	43,141		41,113
Noncontrolling interests	688		694
Total equity	43,829		41,807
Total liabilities and equity	$ 391,284		$ 364,021

[1] Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.

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Investment Securities - Investment Securities Available for Sale (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014		Dec. 31, 2013
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	$ 52,314		$ 41,059
Available-for-sale securities, Unrealized Gains	873		651
Available-for-sale securities, Unrealized Losses Other-than-Temporary	(5)		(13)
Available-for-sale securities, Unrealized Losses Other	(508)		(762)
Available-for-sale securities, Fair Value	52,674	[1]	40,935	[1]
U.S. Treasury and agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	2,692		1,108
Available-for-sale securities, Unrealized Gains	7		4
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other	(21)		(67)
Available-for-sale securities, Fair Value	2,678		1,045
Mortgage-backed securities Residential [Member] | Agency [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	41,734		31,633
Available-for-sale securities, Unrealized Gains	524		449
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other	(421)		(529)
Available-for-sale securities, Fair Value	41,837		31,553
Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	420		486
Available-for-sale securities, Unrealized Gains	11		4
Available-for-sale securities, Unrealized Losses Other-than-Temporary	(4)		(8)
Available-for-sale securities, Unrealized Losses Other	(1)		(4)
Available-for-sale securities, Fair Value	426		478
Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	270		297
Available-for-sale securities, Unrealized Gains	15		5
Available-for-sale securities, Unrealized Losses Other-than-Temporary	(1)		(5)
Available-for-sale securities, Unrealized Losses Other
Available-for-sale securities, Fair Value	284		297
Commercial [Member] | Agency [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	119		148
Available-for-sale securities, Unrealized Gains	3		4
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other
Available-for-sale securities, Fair Value	122		152
Asset-Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	628
Available-for-sale securities, Fair Value	645
Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	19		20
Available-for-sale securities, Unrealized Gains	4		4
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other
Available-for-sale securities, Fair Value	23		24
Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	609		616
Available-for-sale securities, Unrealized Gains	13		13
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other
Available-for-sale securities, Fair Value	622		629
Obligations of state and political subdivisions [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	5,327		5,673
Available-for-sale securities, Unrealized Gains	239		116
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other	(3)		(51)
Available-for-sale securities, Fair Value	5,563		5,738
Obligations of foreign governments [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	6		6
Available-for-sale securities, Unrealized Gains
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other
Available-for-sale securities, Fair Value	6		6
Corporate debt securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	690		734
Available-for-sale securities, Unrealized Gains	3
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other	(54)		(94)
Available-for-sale securities, Fair Value	639		640
Perpetual preferred securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	201		205
Available-for-sale securities, Unrealized Gains	27		24
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other	(8)		(17)
Available-for-sale securities, Fair Value	220		212
Other Investment [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale securities, Amortized Cost	227		133
Available-for-sale securities, Unrealized Gains	27		28
Available-for-sale securities, Unrealized Losses Other-than-Temporary
Available-for-sale securities, Unrealized Losses Other
Available-for-sale securities, Fair Value	$ 254		$ 161

[1] Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.

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Netting Arrangements for Certain Financial Instruments - Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet But Available for Offset in Event of Default (Parenthetical) (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Offsetting [Abstract]
Cash collateral netted against derivative assets	$ 156	$ 124
Derivative assets not subject to netting arrangements	131	55
Cash collateral netted against derivative liabilities	613	717
Derivative liabilities not subject to netting arrangements	$ 203	$ 119

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Consolidated Statement of Shareholders' Equity (Unaudited) (USD $) In Millions	Total	Common Stock [Member]	Preferred Stock [Member]	Capital Surplus [Member]	Retained Earnings [Member]	Treasury Stock [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Total U.S. Bancorp Shareholders' Equity [Member]	Noncontrolling Interests [Member]
Beginning Balance at Dec. 31, 2012	$ 40,267	$ 21	$ 4,769	$ 8,201	$ 34,720	$ (7,790)	$ (923)	$ 38,998	$ 1,269
Shares, Beginning Balance at Dec. 31, 2012		1,869
Net income (loss)	4,261
Net (income) loss attributable to noncontrolling interests	(119)								(119)
Net income attributable to U.S. Bancorp	4,380				4,380			4,380
Other comprehensive income (loss)	(428)						(428)	(428)
Redemption of preferred stock	(500)		(500)	8	(8)			(500)
Preferred stock dividends	(189)				(189)			(189)
Common stock dividends	(1,211)				(1,211)			(1,211)
Issuance of preferred stock	487		487					487
Issuance of common and treasury stock	345			(114)		459		345
Issuance of common and treasury stock, shares		15
Purchase of treasury stock	(1,843)					(1,843)		(1,843)
Purchase of treasury stock, shares		(52)
Distributions to noncontrolling interests	(45)								(45)
Net other changes in noncontrolling interests	315								315
Stock option and restricted stock grants	93			93				93
Ending Balance at Sep. 30, 2013	41,552	21	4,756	8,188	37,692	(9,174)	(1,351)	40,132	1,420
Shares, Ending Balance at Sep. 30, 2013		1,832
Beginning Balance at Dec. 31, 2013	41,807	21	4,756	8,216	38,667	(9,476)	(1,071)	41,113	694
Shares, Beginning Balance at Dec. 31, 2013		1,825
Net income (loss)	4,407
Net (income) loss attributable to noncontrolling interests	44								44
Net income attributable to U.S. Bancorp	4,363				4,363			4,363
Other comprehensive income (loss)	435						435	435
Preferred stock dividends	(181)				(181)			(181)
Common stock dividends	(1,306)				(1,306)			(1,306)
Issuance of common and treasury stock	397			(10)		407		397
Issuance of common and treasury stock, shares		13
Purchase of treasury stock	(1,767)					(1,767)		(1,767)
Purchase of treasury stock, shares		(43)
Distributions to noncontrolling interests	(44)								(44)
Net other changes in noncontrolling interests	(6)								(6)
Stock option and restricted stock grants	87			87				87
Ending Balance at Sep. 30, 2014	$ 43,829	$ 21	$ 4,756	$ 8,293	$ 41,543	$ (10,836)	$ (636)	$ 43,141	$ 688
Shares, Ending Balance at Sep. 30, 2014		1,795

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Netting Arrangements for Certain Financial Instruments - Additional Information (Detail) (USD $) In Billions, unless otherwise specified	Sep. 30, 2014
Derivative [Line Items]
Notional amount of derivative	$ 132.0
Exchange Cleared [Member]
Derivative [Line Items]
Notional amount of derivative	27.6
Exchange Traded [Member]
Derivative [Line Items]
Notional amount of derivative	$ 3.3

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Loans and Allowance for Credit Losses - Additional Detail of Allowance for Credit Losses and Related Loan Balances by Portfolio Type (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Jun. 30, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Dec. 31, 2012
Allowance Balance at End of Period
Loans individually evaluated for impairment	$ 16		$ 32
TDRs collectively evaluated for impairment	447		520
Other loans collectively evaluated for impairment	3,822		3,815
Loans acquired with deteriorated credit quality	129		170
Total allowance for credit losses	4,414	4,449	4,537	4,578	4,612	4,733
Loan balance at end of period
Loans individually evaluated for impairment	447		496
TDRs collectively evaluated for impairment	5,896		6,243
Other loans collectively evaluated for impairment	235,824		224,557
Loans acquired with deteriorated credit quality	3,424		3,939
Total loans	238,537		226,773
Total loans	245,591		235,235
Commercial [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment	10		15
TDRs collectively evaluated for impairment	13		19
Other loans collectively evaluated for impairment	1,113		1,041
Loans acquired with deteriorated credit quality
Total allowance for credit losses	1,136	1,111	1,075	1,031	1,023	1,051
Loan balance at end of period
Loans individually evaluated for impairment	237		197
TDRs collectively evaluated for impairment	129		155
Other loans collectively evaluated for impairment	78,511		69,680
Loans acquired with deteriorated credit quality	1		1
Total loans	78,878		70,033
Commercial Real Estate [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment	6		17
TDRs collectively evaluated for impairment	15		26
Other loans collectively evaluated for impairment	662		700
Loans acquired with deteriorated credit quality	32		33
Total allowance for credit losses	715	725	776	761	777	857
Loan balance at end of period
Loans individually evaluated for impairment	158		237
TDRs collectively evaluated for impairment	273		358
Other loans collectively evaluated for impairment	40,368		39,129
Loans acquired with deteriorated credit quality	110		161
Total loans	40,909		39,885
Residential Mortgages [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	308		329
Other loans collectively evaluated for impairment	485		546
Loans acquired with deteriorated credit quality
Total allowance for credit losses	793	848	875	934	921	935
Loan balance at end of period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	4,916		5,064
Other loans collectively evaluated for impairment	47,041		46,090
Loans acquired with deteriorated credit quality			2
Total loans	51,957		51,156
Credit Card [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	64		87
Other loans collectively evaluated for impairment	814		797
Loans acquired with deteriorated credit quality
Total allowance for credit losses	878	874	884	865	874	863
Loan balance at end of period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	256		310
Other loans collectively evaluated for impairment	17,602		17,711
Loans acquired with deteriorated credit quality
Total loans	17,858		18,021
Other Retail [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	44		55
Other loans collectively evaluated for impairment	746		726
Loans acquired with deteriorated credit quality
Total allowance for credit losses	790	779	781	824	838	848
Loan balance at end of period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	248		269
Other loans collectively evaluated for impairment	48,687		47,409
Loans acquired with deteriorated credit quality
Total loans	48,935		47,678
Total Loans, Excluding Covered Loans [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment	16		32
TDRs collectively evaluated for impairment	444		516
Other loans collectively evaluated for impairment	3,820		3,810
Loans acquired with deteriorated credit quality	32		33
Total allowance for credit losses	4,312	4,337	4,391	4,415	4,433	4,554
Loan balance at end of period
Loans individually evaluated for impairment	395		434
TDRs collectively evaluated for impairment	5,822		6,156
Other loans collectively evaluated for impairment	232,209		220,019
Loans acquired with deteriorated credit quality	111		164
Total loans	238,537		226,773
Covered Loans [Member]
Allowance Balance at End of Period
Loans individually evaluated for impairment
TDRs collectively evaluated for impairment	3		4
Other loans collectively evaluated for impairment	2		5
Loans acquired with deteriorated credit quality	97		137
Total allowance for credit losses	102	112	146	163	179	179
Loan balance at end of period
Loans individually evaluated for impairment	52		62
TDRs collectively evaluated for impairment	74		87
Other loans collectively evaluated for impairment	3,615		4,538
Loans acquired with deteriorated credit quality	3,313		3,775
Total loans	$ 7,054		$ 8,462

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Fair Values of Assets and Liabilities - Valuation Assumption Ranges for MSRs (Detail) (Mortgage Servicing Rights [Member])	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected prepayment	11.10%	11.20%
Discount rate	10.10%	10.20%
Minimum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected prepayment	10.00%
Discount rate	9.00%
Maximum [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected prepayment	20.00%
Discount rate	13.00%
Average [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Expected prepayment	11.00%
Discount rate	10.00%

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Income Taxes (Tables)

9 Months Ended

Sep. 30, 2014

Income Tax Disclosure [Abstract]

Components of Income Tax Expense

The components of income tax expense were:

	Three Months Ended					Nine Months Ended
	September 30,					September 30,
(Dollars in Millions)	2014			2013		2014			2013
Federal
Current	$	423		$	390	$	1,334		$	1,506
Deferred		10			57		(19	)		(35	)
Federal income tax		433			447		1,315			1,471
State
Current		101			84		268			161
Deferred		(11	)		11		(17	)		(3	)
State income tax		90			95		251			158
Total income tax provision	$	523		$	542	$	1,566		$	1,629

Reconciliation of Expected Income Tax Expense at Federal Statutory Rate of 35 Percent to Company's Applicable Income Tax Expense

A reconciliation of expected income tax expense at the federal statutory rate of 35 percent to the Company’s applicable income tax expense follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in Millions)	2014			2013			2014			2013
Tax at statutory rate	$	704		$	690		$	2,091		$	2,061
State income tax, at statutory rates, net of federal tax benefit		62			62			163			102
Tax effect of
Tax credits and benefits, net of related expenses		(186	)		(176	)		(535	)		(394	)
Tax-exempt income		(51	)		(52	)		(154	)		(159	)
Noncontrolling interests		(5	)		13			(15	)		42
Other items		(1	)		5			16			(23	)
Applicable income taxes	$	523		$	542		$	1,566		$	1,629

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Loans and Allowance for Credit Losses - Impaired Loans Average Recorded Investment and Interest Income (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	$ 7,325	$ 7,130	$ 7,514	$ 7,346
Interest Income Recognized	81	81	260	270
Commercial [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	425	380	430	384
Interest Income Recognized	4	5	8	24
Commercial Real Estate [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	541	819	598	950
Interest Income Recognized	4	6	17	27
Residential Mortgages [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	2,740	2,765	2,744	2,744
Interest Income Recognized	33	32	105	99
Credit Card [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	264	347	281	380
Interest Income Recognized	1	3	7	12
Other Retail [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	373	417	381	431
Interest Income Recognized	5	7	13	19
Total Impaired Loans, Excluding GNMA and Covered Loans [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	4,343	4,728	4,434	4,889
Interest Income Recognized	47	53	150	181
Loans Purchased from GNMA Mortgage Pools [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	2,647	1,883	2,691	1,869
Interest Income Recognized	29	22	95	68
Covered Loans [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	335	519	389	588
Interest Income Recognized	$ 5	$ 6	$ 15	$ 21

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Fair Values of Assets and Liabilities

9 Months Ended

Sep. 30, 2014

Fair Value Disclosures [Abstract]

Fair Values of Assets and Liabilities

 Note 15  Fair Values of Assets and Liabilities

The Company uses fair value measurements for the initial recording of certain assets and liabilities, periodic remeasurement of certain assets and liabilities, and disclosures. Derivatives, trading and available-for-sale investment securities, MSRs and substantially all MLHFS are recorded at fair value on a recurring basis. Additionally, from time to time, the Company may be required to record at fair value other assets on a nonrecurring basis, such as loans held for sale, loans held for investment and certain other assets. These nonrecurring fair value adjustments typically involve application of lower-of-cost-or-fair value accounting or impairment write-downs of individual assets.

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value measurement reflects all of the assumptions that market participants would use in pricing the asset or liability, including assumptions about the risk inherent in a particular valuation technique, the effect of a restriction on the sale or use of an asset and the risk of nonperformance.

The Company groups its assets and liabilities measured at fair value into a three-level hierarchy for valuation techniques used to measure financial assets and financial liabilities at fair value. This hierarchy is based on whether the valuation inputs are observable or unobservable. These levels are:

• Level 1 — Quoted prices in active markets for identical assets or liabilities. Level 1 includes U.S. Treasury and exchange-traded instruments.

• Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 includes debt securities that are traded less frequently than exchange-traded instruments and which are typically valued using third party pricing services; derivative contracts and other assets and liabilities, including securities, whose value is determined using a pricing model with inputs that are observable in the market or can be derived principally from or corroborated by observable market data; and MLHFS whose values are determined using quoted prices for similar assets or pricing models with inputs that are observable in the market or can be corroborated by observable market data.

• Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose values are determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category includes MSRs, certain debt securities and certain derivative contracts.

When the Company changes its valuation inputs for measuring financial assets and financial liabilities at fair value, either due to changes in current market conditions or other factors, it may need to transfer those assets or liabilities to another level in the hierarchy based on the new inputs used. The Company recognizes these transfers at the end of the reporting period in which the transfers occur. During the nine months ended September 30, 2014 and 2013, there were no transfers of financial assets or financial liabilities between the hierarchy levels.

The Company has processes and controls in place to increase the reliability of estimates it makes in determining fair value measurements. Items quoted on an exchange are verified to the quoted price. Items provided by a third party pricing service are subject to price verification procedures as described in more detail in the specific valuation discussions below. For fair value measurements modeled internally, the Company’s valuation models are subject to the Company’s Model Risk Governance Policy and Program, as maintained by the Company’s risk management department. The purpose of model validation is to assess the accuracy of the models’ input, processing, and reporting components. All models are required to be independently reviewed and approved prior to being placed in use, and are subject to formal change control procedures. Under the Company’s Model Risk Governance Policy, models are required to be reviewed at least annually to ensure they are operating as intended. Inputs into the models are market observable inputs whenever available. When market observable inputs are not available, the inputs are developed based upon analysis of historical experience and evaluation of other relevant market data. Significant unobservable model inputs are subject to review by senior management in corporate functions, who are independent from the modeling. Significant unobservable model inputs are also compared to actual results, typically on a quarterly basis. Significant Level 3 fair value measurements are also subject to corporate-level review and are benchmarked to market transactions or other market data, when available. Additional discussion of processes and controls are provided in the valuation methodologies section that follows.

The following section describes the valuation methodologies used by the Company to measure financial assets and liabilities at fair value and for estimating fair value for financial instruments not recorded at fair value as required under disclosure guidance related to the fair value of financial instruments. In addition, the following section includes an indication of the level of the fair value hierarchy in which the assets or liabilities are classified. Where appropriate, the description includes information about the valuation models and key inputs to those models. During the nine months ended September 30, 2014 and 2013, there were no significant changes to the valuation techniques used by the Company to measure fair value.

Cash and Due From Banks The carrying value of cash and due from banks approximate fair value and are classified within Level 1. Fair value is provided for disclosure purposes only.

Federal Funds Sold and Securities Purchased Under Resale Agreements The carrying value of federal funds sold and securities purchased under resale agreements approximate fair value because of the relatively short time between the origination of the instrument and its expected realization and are classified within Level 2. Fair value is provided for disclosure purposes only.

Investment Securities When quoted market prices for identical securities are available in an active market, these prices are used to determine fair value and these securities are classified within Level 1 of the fair value hierarchy. Level 1 investment securities are predominantly U.S. Treasury securities.

For other securities, quoted market prices may not be readily available for the specific securities. When possible, the Company determines fair value based on market observable information, including quoted market prices for similar securities, inactive transaction prices, and broker quotes. These securities are classified within Level 2 of the fair value hierarchy. Level 2 valuations are generally provided by a third party pricing service. The Company reviews the valuation methodologies utilized by the pricing service and, on a quarterly basis, reviews the security level prices provided by the pricing service against management’s expectation of fair value, based on changes in various benchmarks and market knowledge from recent trading activity. Additionally, each quarter, the Company validates the fair value provided by the pricing services by comparing them to recent observable market trades (where available), broker provided quotes, or other independent secondary pricing sources. Prices obtained from the pricing service are adjusted if they are found to be inconsistent with observable market data. Level 2 investment securities are predominantly agency mortgage-backed securities, certain other asset-backed securities, municipal securities, corporate debt securities, agency debt securities and perpetual preferred securities.

The fair value of securities for which there are no market trades, or where trading is inactive as compared to normal market activity, are classified within Level 3 of the fair value hierarchy. The Company determines the fair value of these securities by using a discounted cash flow methodology and incorporating observable market information, where available. These valuations are modeled by a unit within the Company’s treasury department. The valuations use assumptions regarding housing prices, interest rates and borrower performance. Inputs are refined and updated at least quarterly to reflect market developments and actual performance. The primary valuation drivers of these securities are the prepayment rates, default rates and default severities associated with the underlying collateral, as well as the discount rate used to calculate the present value of the projected cash flows. Level 3 fair values, including the assumptions used, are subject to review by senior management in corporate functions, who are independent from the modeling. The fair value measurements are also compared to fair values provided by third party pricing services, where available. Securities classified within Level 3 include non-agency mortgage-backed securities, non-agency commercial mortgage-backed securities, certain asset-backed securities, certain collateralized debt obligations and collateralized loan obligations and certain corporate debt securities.

Mortgage Loans Held For Sale MLHFS measured at fair value, for which an active secondary market and readily available market prices exist, are initially valued at the transaction price and are subsequently valued by comparison to instruments with similar collateral and risk profiles. MLHFS are classified within Level 2. Included in mortgage banking revenue was a $4 million net gain and a $5 million net loss for the three months ended September 30, 2014 and 2013, respectively, and a $102 million net gain and a $326 million net loss for the nine months ended September 30, 2014 and 2013, respectively, from the changes to fair value of these MLHFS under fair value option accounting guidance. Changes in fair value due to instrument specific credit risk were immaterial. Interest income for MLHFS is measured based on contractual interest rates and reported as interest income on the Consolidated Statement of Income. Electing to measure MLHFS at fair value reduces certain timing differences and better matches changes in fair value of these assets with changes in the value of the derivative instruments used to economically hedge them without the burden of complying with the requirements for hedge accounting.

Loans The loan portfolio includes adjustable and fixed-rate loans, the fair value of which is estimated using discounted cash flow analyses and other valuation techniques. The expected cash flows of loans consider historical prepayment experiences and estimated credit losses and are discounted using current rates offered to borrowers with similar credit characteristics. Generally, loan fair values reflect Level 3 information. Fair value is provided for disclosure purposes only, with the exception of impaired collateral-based loans that are measured at fair value on a non-recurring basis utilizing the underlying collateral fair value.

Mortgage Servicing Rights MSRs are valued using a discounted cash flow methodology. Accordingly, MSRs are classified within Level 3. The Company determines fair value by estimating the present value of the asset’s future cash flows using prepayment rates, discount rates, and other assumptions. The MSR valuations, as well as the assumptions used, are developed by the mortgage banking division and are subject to review by senior management in corporate functions, who are independent from the modeling. The MSR valuations and assumptions are validated through comparison to trade information, publicly available data and industry surveys when available, and are also compared to independent third party valuations each quarter. Risks inherent in MSR valuation include higher than expected prepayment rates and/or delayed receipt of cash flows. There is minimal observable market activity for MSRs on comparable portfolios, and, therefore the determination of fair value requires significant management judgment. Refer to Note 7 for further information on MSR valuation assumptions.

Derivatives The majority of derivatives held by the Company are executed over-the-counter and are valued using standard cash flow, Black-Derman-Toy and Monte Carlo valuation techniques. The models incorporate inputs, depending on the type of derivative, including interest rate curves, foreign exchange rates and volatility. In addition, all derivative values incorporate an assessment of the risk of counterparty nonperformance, measured based on the Company’s evaluation of credit risk as well as external assessments of credit risk, where available. The Company monitors and manages its nonperformance risk by considering its ability to net derivative positions under master netting arrangements, as well as collateral received or provided under collateral arrangements. Accordingly, the Company has elected to measure the fair value of derivatives, at a counterparty level, on a net basis. The majority of the derivatives are classified within Level 2 of the fair value hierarchy, as the significant inputs to the models, including nonperformance risk, are observable. However, certain derivative transactions are with counterparties where risk of nonperformance cannot be observed in the market, and therefore the credit valuation adjustments result in these derivatives being classified within Level 3 of the fair value hierarchy. The credit valuation adjustments for nonperformance risk are determined by the Company’s treasury department using credit assumptions provided by the risk management department. The credit assumptions are compared to actual results quarterly and are recalibrated as appropriate.

The Company also has other derivative contracts that are created through its operations, including commitments to purchase and originate mortgage loans and swap agreements executed in conjunction with the sale of a portion of its Class B common shares of Visa Inc. (“the Visa swaps”). Refer to Note 16 for further information on the Visa restructuring and related card association litigation. The mortgage loan commitments are valued by pricing models that include market observable and unobservable inputs, which result in the commitments being classified within Level 3 of the fair value hierarchy. The unobservable inputs include assumptions about the percentage of commitments that actually become a closed loan and the MSR value that is inherent in the underlying loan value, both of which are developed by the Company’s mortgage banking division. The closed loan percentages for the mortgage loan commitments are monitored on an on-going basis, as these percentages are also used for the Company’s economic hedging activities. The inherent MSR value for the commitments are generated by the same models used for the Company’s MSRs and thus are subject to the same processes and controls as described for the MSRs above. The Visa swaps require payments by either the Company or the purchaser of the Visa Inc. Class B common shares when there are changes in the conversion rate of the Visa Inc. Class B common shares to Visa Inc. Class A common shares, as well as quarterly payments to the purchaser based on specified terms of the agreements. The fair value of the Visa swaps are calculated using a discounted cash flow methodology which includes unobservable inputs about the timing and settlement amounts related to the resolution of certain Visa related litigation, as the expected litigation resolution impacts the Visa Inc. Class B common share to Visa Inc. Class A common share conversion rate, as well as the ultimate termination date for the Visa swaps. Accordingly, the Visa swaps are classified within Level 3. The Company’s corporate development department determines the valuation for the Visa swaps. Management reviews and updates the Visa swaps fair value in conjunction with its review of Visa related litigation contingencies, and the associated escrow funding.

Other Financial Instruments Other financial instruments include cost method equity investments and certain community development and tax-advantaged related assets and liabilities. The majority of the Company’s cost method equity investments are in Federal Home Loan Bank and Federal Reserve Bank stock, for which the carrying amounts approximate fair value and are classified within Level 2. Investments in private equity and other limited partnership funds are estimated using fund provided net asset values. These equity investments are classified within Level 3. The community development and tax-advantaged related asset balances primarily represent the underlying assets of consolidated community development and tax-advantaged entities. The community development and tax-advantaged related liabilities represent the underlying liabilities of the consolidated entities (included in long-term debt) and liabilities related to other third party interests (included in other liabilities). The carrying value of the community development and tax-advantaged related asset and other liability balances are a reasonable estimate of fair value and are classified within Level 3. Refer to Note 6 for further information on community development and tax-advantaged related assets and liabilities. Fair value is provided for disclosure purposes only.

Deposit Liabilities The fair value of demand deposits, savings accounts and certain money market deposits is equal to the amount payable on demand. The fair value of fixed-rate certificates of deposit was estimated by discounting the contractual cash flow using current market rates. Deposit liabilities are classified within Level 2. Fair value is provided for disclosure purposes only.

Short-term Borrowings Federal funds purchased, securities sold under agreements to repurchase, commercial paper and other short-term funds borrowed have floating rates or short-term maturities. The fair value of short-term borrowings was determined by discounting contractual cash flows using current market rates. Short-term borrowings are classified within Level 2. Included in short-term borrowings is the Company’s obligation on securities sold short, which is required to be accounted for at fair value per applicable accounting guidance. Fair value for other short-term borrowings is provided for disclosure purposes only.

Long-term Debt The fair value for most long-term debt was determined by discounting contractual cash flows using current market rates. Junior subordinated debt instruments were valued using market quotes. Long-term debt is classified within Level 2. Fair value is provided for disclosure purposes only.

Loan Commitments, Letters of Credit and Guarantees The fair value of commitments, letters of credit and guarantees represents the estimated costs to terminate or otherwise settle the obligations with a third party. Other loan commitments, letters of credit and guarantees are not actively traded, and the Company estimates their fair value based on the related amount of unamortized deferred commitment fees adjusted for the probable losses for these arrangements. These arrangements are classified within Level 3. Fair value is provided for disclosure purposes only.

Significant Unobservable Inputs of Level 3 Assets and Liabilities

The following section provides information on the significant inputs used by the Company to determine the fair value measurements of Level 3 assets and liabilities recorded at fair value on the Consolidated Balance Sheet. In addition, the following section includes a discussion of the sensitivity of the fair value measurements to changes in the significant inputs and a description of any interrelationships between these inputs for Level 3 assets and liabilities recorded at fair value on a recurring basis. The discussion below excludes nonrecurring fair value measurements of collateral value used for impairment measures for loans and other real estate owned. These valuations utilize third party appraisal or broker price opinions, and are classified as Level 3 due to the significant judgment involved.

Available-For-Sale Investment Securities The significant unobservable inputs used in the fair value measurement of the Company’s modeled Level 3 available-for-sale investment securities are prepayment rates, probability of default and loss severities associated with the underlying collateral, as well as the discount margin used to calculate the present value of the projected cash flows. Increases in prepayment rates for Level 3 securities will typically result in higher fair values, as increased prepayment rates accelerate the receipt of expected cash flows and reduce exposure to credit losses. Increases in the probability of default and loss severities will result in lower fair values, as these increases reduce expected cash flows. Discount margin is the Company’s estimate of the current market spread above the respective benchmark rate. Higher discount margin will result in lower fair values, as it reduces the present value of the expected cash flows.

Prepayment rates generally move in the opposite direction of market interest rates. In the current environment, an increase in the probability of default will generally be accompanied with an increase in loss severity, as both are impacted by underlying collateral values. Discount margins are influenced by market expectations about the security’s collateral performance, and therefore may directionally move with probability and severity of default; however, discount margins are also impacted by broader market forces, such as competing investment yields, sector liquidity, economic news, and other macroeconomic factors.

The following table shows the significant valuation assumption ranges for Level 3 available-for-sale investment securities at September 30, 2014:

	Minimum			Maximum			Average
Residential Prime Non-Agency Mortgage-Backed Securities (a)
Estimated lifetime prepayment rates		6	%		20	%		14	%
Lifetime probability of default rates		–			8			4
Lifetime loss severity rates		15			75			36
Discount margin		2			4			3
Residential Non-Prime Non-Agency Mortgage-Backed Securities (b)
Estimated lifetime prepayment rates		3	%		10	%		6	%
Lifetime probability of default rates		4			14			8
Lifetime loss severity rates		20			70			53
Discount margin		1			5			2
Other Asset-Backed Securities
Estimated lifetime prepayment rates		6	%		6	%		6	%
Lifetime probability of default rates		5			5			5
Lifetime loss severity rates		40			40			40
Discount margin		6			6			6

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

Mortgage Servicing Rights The significant unobservable inputs used in the fair value measurement of the Company’s MSRs are expected prepayments and the discount rate used to calculate the present value of the projected cash flows. Significant increases in either of these inputs in isolation would result in a significantly lower fair value measurement. Significant decreases in either of these inputs in isolation would result in a significantly higher fair value measurement. There is no direct interrelationship between prepayments and discount rate. Prepayment rates generally move in the opposite direction of market interest rates. Discount rates are generally impacted by changes in market return requirements.

The following table shows the significant valuation assumption ranges for MSRs at September 30, 2014:

	Minimum			Maximum			Average
Expected prepayment		10	%		20	%		11	%
Discount rate		9			13			10

Derivatives The Company has two distinct Level 3 derivative portfolios: (i) the Company’s commitments to purchase and originate mortgage loans that meet the requirements of a derivative and (ii) the Company’s asset/liability and customer-related derivatives that are Level 3 due to unobservable inputs related to measurement of risk of nonperformance by the counterparty. In addition, the Company’s Visa swaps are classified within Level 3.

The significant unobservable inputs used in the fair value measurement of the Company’s derivative commitments to purchase and originate mortgage loans are the percentage of commitments that actually become a closed loan and the MSR value that is inherent in the underlying loan value. A significant increase in the rate of loans that close would result in a larger derivative asset or liability. A significant increase in the inherent MSR value would result in an increase in the derivative asset or a reduction in the derivative liability. Expected loan close rates and the inherent MSR values are directly impacted by changes in market rates and will generally move in the same direction as interest rates.

The following table shows the significant valuation assumption ranges for the Company’s derivative commitments to purchase and originate mortgage loans at September 30, 2014:

	Minimum			Maximum			Average
Expected loan close rate		42	%		100	%		76	%
Inherent MSR value (basis points per loan)		48			214			129

The significant unobservable input used in the fair value measurement of certain of the Company’s asset/liability and customer-related derivatives is the credit valuation adjustment related to the risk of counterparty nonperformance. A significant increase in the credit valuation adjustment would result in a lower fair value measurement. A significant decrease in the credit valuation adjustment would result in a higher fair value measurement. The credit valuation adjustment is impacted by changes in the Company’s assessment of the counterparty’s credit position. At September 30, 2014, the minimum, maximum and average credit valuation adjustment as a percentage of the derivative contract fair value prior to adjustment was 0 percent, 93 percent and 7 percent, respectively.

The significant unobservable inputs used in the fair value measurement of the Visa swaps are management’s estimate of the probability of certain litigation scenarios, and the timing of the resolution of the related litigation loss estimates in excess, or shortfall, of the Company’s proportional share of escrow funds. An increase in the loss estimate or a delay in the resolution of the related litigation would result in an increase in the derivative liability. A decrease in the loss estimate or an acceleration of the resolution of the related litigation would result in a decrease in the derivative liability.

The following table summarizes the balances of assets and liabilities measured at fair value on a recurring basis:

(Dollars in Millions)	Level 1		Level 2		Level 3		Netting			Total
September 30, 2014
Available-for-sale securities
U.S. Treasury and agencies	$	1,345	$	1,333	$	–	$	–		$	2,678
Mortgage-backed securities
Residential
Agency		–		41,837		–		–			41,837
Non-agency
Prime (a)		–		–		426		–			426
Non-prime (b)		–		–		284		–			284
Commercial
Agency		–		122		–		–			122
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		23		–		–			23
Other		–		558		64		–			622
Obligations of state and political subdivisions		–		5,563		–		–			5,563
Obligations of foreign governments		–		6		–		–			6
Corporate debt securities		–		630		9		–			639
Perpetual preferred securities		–		220		–		–			220
Other investments		235		19		–		–			254
Total available-for-sale		1,580		50,311		783		–			52,674
Mortgage loans held for sale		–		3,918		–		–			3,918
Mortgage servicing rights		–		–		2,461		–			2,461
Derivative assets		–		937		557		(670	)		824
Other assets		157		1,026		–		–			1,183
Total	$	1,737	$	56,192	$	3,801	$	(670	)	$	61,060
Derivative liabilities	$	–	$	1,680	$	92	$	(1,127	)	$	645
Short-term borrowings (c)		160		608		–		–			768
Total	$	160	$	2,288	$	92	$	(1,127	)	$	1,413
December 31, 2013
Available-for-sale securities
U.S. Treasury and agencies	$	7	$	1,038	$	–	$	–		$	1,045
Mortgage-backed securities
Residential
Agency		–		31,553		–		–			31,553
Non-agency
Prime (a)		–		–		478		–			478
Non-prime (b)		–		–		297		–			297
Commercial
Agency		–		152		–		–			152
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		24		–		–			24
Other		–		566		63		–			629
Obligations of state and political subdivisions		–		5,738		–		–			5,738
Obligations of foreign governments		–		6		–		–			6
Corporate debt securities		–		631		9		–			640
Perpetual preferred securities		–		212		–		–			212
Other investments		141		20		–		–			161
Total available-for-sale		148		39,940		847		–			40,935
Mortgage loans held for sale		–		3,263		–		–			3,263
Mortgage servicing rights		–		–		2,680		–			2,680
Derivative assets		–		889		515		(599	)		805
Other assets		143		588		–		–			731
Total	$	291	$	44,680	$	4,042	$	(599	)	$	48,414
Derivative liabilities	$	–	$	1,647	$	70	$	(1,192	)	$	525
Short-term borrowings (c)		112		551		–		–			663
Total	$	112	$	2,198	$	70	$	(1,192	)	$	1,188

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Represents the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.

The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended September 30:

(Dollars in Millions)	Beginning of Period Balance		Net Gains (Losses) Included in Net Income			Net Gains (Losses) Included in Other Comprehensive Income (Loss)			Purchases		Sales			Principal Payments			Issuances			Settlements			End of Period Balance		Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
2014
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	447	$	–		$	2		$	–	$	–		$	(23	)	$	–		$	–		$	426	$	2
Non-prime (b)		286		–			6			–		–			(8	)		–			–			284		6
Asset-backed securities
Other		66		–			–			–		–			(2	)		–			–			64		–
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		808		–			8	(e)		–		–			(33	)		–			–			783		8
Mortgage servicing rights		2,412		(61	) (c)		–			1		–			–			109	(f)		–			2,461		(61	) (c)
Net derivative assets and liabilities		558		95	(d)		–			–		(1	)		–			–			(187	)		465		(15	) (g)
2013
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	547	$	(2	)	$	(4	)	$	–	$	–		$	(41	)	$	–		$	–		$	500	$	(4	)
Non-prime (b)		319		(3	)		(4	)		–		–			(9	)		–			–			303		(4	)
Asset-backed securities
Other		40		1			(2	)		3		–			(2	)		–			–			40		(2	)
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		915		(4	) (h)		(10	) (e)		3		–			(52	)		–			–			852		(10	)
Mortgage servicing rights		2,377		11	(c)		–			2		–			–			187	(f)		–			2,577		11	(c)
Net derivative assets and liabilities		423		182	(i)		–			–		(2	)		–			–			14			617		55	(j)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Included in mortgage banking revenue.

(d) Approximately $7 million included in other noninterest income and $88 million included in mortgage banking revenue.

(e) Included in changes in unrealized gains and losses on securities available-for-sale.

(f) Represents MSRs capitalized during the period.

(g) Approximately $(65) million included in other noninterest income and $50 million included in mortgage banking revenue.

(h) Approximately $(3) million included in securities gains (losses) and $(1) million included in interest income.

(i) Approximately $89 million included in other noninterest income and $93 million included in mortgage banking revenue.

(j) Approximately $(28) million included in other noninterest income and $83 million included in mortgage banking revenue.

The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the nine months ended September 30:

(Dollars in Millions)	Beginning of Period Balance		Net Gains (Losses) Included in Net Income			Net Gains (Losses) Included in Other Comprehensive Income (Loss)			Purchases		Sales			Principal Payments			Issuances			Settlements			End of Period Balance		Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
2014
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	478	$	–		$	14		$	–	$	–		$	(66	)	$	–		$	–		$	426	$	14
Non-prime (b)		297		(4	)		14			–		–			(23	)		–			–			284		14
Asset-backed securities
Other		63		2			1			4		–			(6	)		–			–			64		1
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		847		(2	) (c)		29	(f)		4		–			(95	)		–			–			783		29
Mortgage servicing rights		2,680		(345	) (d)		–			3		(141	)		–			264	(g)		–			2,461		(345	) (d)
Net derivative assets and liabilities		445		568	(e)		–			1		(1	)		–			–			(548	)		465		80	(h)
2013
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	624	$	(6	)	$	4		$	–	$	–		$	(122	)	$	–		$	–		$	500	$	4
Non-prime (b)		355		(11	)		13			–		(20	)		(34	)		–			–			303		14
Asset-backed securities
Other		15		2			(1	)		28		–			(4	)		–			–			40		(1	)
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		1,003		(15	) (i)		16	(f)		28		(20	)		(160	)		–			–			852		17
Mortgage servicing rights		1,700		196	(d)		–			7		–			–			674	(g)		–			2,577		196	(d)
Net derivative assets and liabilities		1,179		(34	) (j)		–			1		(4	)		–			–			(525	)		617		(218	) (k)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Included in securities gains (losses).

(d) Included in mortgage banking revenue.

(e) Approximately $215 million included in other noninterest income and $353 million included in mortgage banking revenue.

(f) Included in changes in unrealized gains and losses on securities available-for-sale.

(g) Represents MSRs capitalized during the period.

(h) Approximately $30 million included in other noninterest income and $50 million included in mortgage banking revenue.

(i) Approximately $(13) million included in securities gains (losses) and $(2) million included in interest income.

(j) Approximately $(122) million included in other noninterest income and $88 million included in mortgage banking revenue.

(k) Approximately $(301) million included in other noninterest income and $83 million included in mortgage banking revenue.

The Company is also required periodically to measure certain other financial assets at fair value on a nonrecurring basis. These measurements of fair value usually result from the application of lower-of-cost-or-fair value accounting or write-downs of individual assets.

The following table summarizes the balances of assets measured at fair value on a nonrecurring basis:

	September 30, 2014								December 31, 2013
(Dollars in Millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Loans (a)	$	–	$	–	$	142	$	142	$	–	$	–	$	128	$	128
Other assets (b)		–		–		84		84		–		–		150		150

(a) Represents the carrying value of loans for which adjustments were based on the fair value of the collateral, excluding loans fully charged-off.

(b) Primarily represents the fair value of foreclosed properties that were measured at fair value based on an appraisal or broker price opinion of the collateral subsequent to their initial acquisition.

The following table summarizes losses recognized related to nonrecurring fair value measurements of individual assets or portfolios:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Loans (a)	$	21	$	22	$	68	$	55
Other assets (b)		17		14		51		73

(a) Represents write-downs of loans which were based on the fair value of the collateral, excluding loans fully charged-off.

(b) Primarily represents related losses of foreclosed properties that were measured at fair value subsequent to their initial acquisition.

Fair Value Option

The following table summarizes the differences between the aggregate fair value carrying amount of MLHFS for which the fair value option has been elected and the aggregate unpaid principal amount that the Company is contractually obligated to receive at maturity:

	September 30, 2014							December 31, 2013
(Dollars in Millions)	Fair Value Carrying Amount		Aggregate Unpaid Principal		Carrying Amount Over (Under) Unpaid Principal			Fair Value Carrying Amount		Aggregate Unpaid Principal		Carrying Amount Over (Under) Unpaid Principal
Total loans	$	3,918	$	3,784	$	134		$	3,263	$	3,195	$	68
Nonaccrual loans		8		12		(4	)		9		14		(5	)
Loans 90 days or more past due		2		2		–			–		–		–

Disclosures about Fair Value of Financial Instruments

The following table summarizes the estimated fair value for financial instruments as of September 30, 2014 and December 31, 2013, and includes financial instruments that are not accounted for at fair value. In accordance with disclosure guidance related to fair values of financial instruments, the Company did not include assets and liabilities that are not financial instruments, such as the value of goodwill, long-term relationships with deposit, credit card, merchant processing and trust customers, other purchased intangibles, premises and equipment, deferred taxes and other liabilities. Additionally, in accordance with the disclosure guidance, insurance contracts and investments accounted for under the equity method are excluded.

The estimated fair values of the Company’s financial instruments are shown in the table below:

	September 30, 2014										December 31, 2013
	Carrying Amount		Fair Value								Carrying Amount		Fair Value
(Dollars in Millions)			Level 1		Level 2		Level 3		Total				Level 1		Level 2		Level 3		Total
Financial Assets
Cash and due from banks	$	6,183	$	6,183	$	–	$	–	$	6,183	$	8,477	$	8,477	$	–	$	–	$	8,477
Federal funds sold and securities purchased under resale agreements		168		–		168		–		168		163		–		163		–		163
Investment securities held-to-maturity		44,231		1,905		42,093		96		44,094		38,920		2,589		35,678		101		38,368
Loans held for sale (a)		21		–		–		21		21		5		–		–		5		5
Loans (b)		241,384		–		–		243,700		243,700		230,857		–		–		231,480		231,480
Other financial instruments		2,227		–		944		1,289		2,233		2,443		–		1,080		1,383		2,463
Financial Liabilities
Deposits		273,097		–		273,147		–		273,147		262,123		–		262,200		–		262,200
Short-term borrowings (c)		29,277		–		29,134		–		29,134		26,945		–		26,863		–		26,863
Long-term debt		30,768		–		31,220		–		31,220		20,049		–		20,391		–		20,391
Other liabilities		1,307		–		–		1,307		1,307		1,263		–		–		1,263		1,263

(a) Excludes mortgages held for sale for which the fair value option under applicable accounting guidance was elected.

(b) Excludes loans measured at fair value on a nonrecurring basis.

(c) Excludes the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.

The fair value of unfunded commitments, standby letters of credit and other guarantees is approximately equal to their carrying value. The carrying value of unfunded commitments and standby letters of credit was $433 million and $382 million at September 30, 2014 and December 31, 2013, respectively. The carrying value of other guarantees was $235 million and $278 million at September 30, 2014 and December 31, 2013, respectively.

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Derivative Instruments (Tables)

9 Months Ended

Sep. 30, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Asset and Liability Management Derivative Positions of Company

The following table summarizes the asset and liability management derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
September 30, 2014
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	1,750	$	21		3.65	$	1,000	$	4		9.96
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		1,972		15		3.73		4,084		351		1.81
Receive fixed/pay floating swaps		5,500		6		.15		–		–		–
Net investment hedges
Foreign exchange forward contracts		1,043		29		.05		–		–		–
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		2,981		20		.09		1,422		4		.05
Sell		2,691		10		.10		4,077		22		.11
Options
Purchased		2,100		–		.07		–		–		–
Written		2,349		32		.08		8		1		.08
Receive fixed/pay floating swaps		3,375		6		10.22		232		3		10.22
Pay fixed/receive floating swaps		–		–		–		55		–		10.22
Foreign exchange forward contracts		1,049		11		.02		3,576		38		.01
Equity contracts		27		–		1.13		57		1		.72
Credit contracts		1,263		3		3.40		2,288		5		3.04
Other (a)		722		15		.01		1,017		51		1.17
Total	$	26,822	$	168			$	17,816	$	480
December 31, 2013
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	500	$	22		2.09	$	–	$	–		–
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		772		26		6.25		4,288		498		2.46
Receive fixed/pay floating swaps		7,000		26		.84		–		–		–
Net investment hedges
Foreign exchange forward contracts		–		–		–		1,056		4		.04
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		2,310		9		.07		1,025		7		.06
Sell		5,234		58		.08		346		4		.17
Options
Purchased		2,300		–		.07		–		–		–
Written		1,902		17		.07		2		–		.08
Receive fixed/pay floating swaps		–		–		–		3,540		56		10.22
Foreign exchange forward contracts		6,813		24		.02		2,121		4		.02
Equity contracts		79		3		1.62		–		–		–
Credit contracts		1,209		4		4.04		2,352		7		3.08
Total	$	28,119	$	189			$	14,730	$	580

(a) Includes short-term underwriting purchase and sale commitments with total asset and liability notional values of $722 million at September 30, 2014, and derivative liability swap agreements related to the sale of a portion of the Company’s Class B common shares of Visa Inc. These swap agreements had a total notional value, fair value and weighted average remaining maturity of $295 million, $42 million and 4.01 years at September 30, 2014, respectively.

Customer-Related Derivative Positions of Company

The following table summarizes the customer-related derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
September 30, 2014
Interest rate contracts
Receive fixed/pay floating swaps	$	16,055	$	645		5.94	$	8,509	$	47		4.33
Pay fixed/receive floating swaps		7,215		54		3.98		16,384		638		5.86
Options
Purchased		4,110		10		3.84		24		–		2.67
Written		24		–		2.67		4,096		10		3.85
Futures
Buy		2,439		–		.25		–		–		–
Sell		334		–		1.28		131		–		.96
Foreign exchange rate contracts
Forwards, spots and swaps		13,349		595		.55		13,212		575		.55
Options
Purchased		751		22		.57		–		–		–
Written		–		–		–		751		22		.57
Total	$	44,277	$	1,326			$	43,107	$	1,292
December 31, 2013
Interest rate contracts
Receive fixed/pay floating swaps	$	11,717	$	600		5.11	$	7,291	$	106		5.57
Pay fixed/receive floating swaps		6,746		114		6.03		12,361		560		4.90
Options
Purchased		3,489		33		4.53		–		–		–
Written		–		–		–		3,489		33		4.53
Foreign exchange rate contracts
Forwards, spots and swaps		10,970		457		.59		9,975		427		.62
Options
Purchased		364		11		.53		–		–		–
Written		–		–		–		364		11		.53
Total	$	33,286	$	1,215			$	33,480	$	1,137

Summary of Effective Portion of Gains (Losses) Recognized in Other Comprehensive Income (Loss) and Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings

The table below shows the effective portion of the gains (losses) recognized in other comprehensive income (loss) and the gains (losses) reclassified from other comprehensive income (loss) into earnings (net-of-tax):

	Three Months Ended September 30,											Nine Months Ended September 30,
	Gains (Losses) Recognized in Other Comprehensive Income (Loss)					Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings						Gains (Losses) Recognized in Other Comprehensive Income (Loss)						Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings
(Dollars in Millions)	2014		2013			2014			2013			2014			2013			2014			2013
Asset and Liability Management Positions
Cash flow hedges
Interest rate contracts (a)	$	10	$	(11	)	$	(28	)	$	(30	)	$	(12	)	$	22		$	(86	)	$	(88	)
Net investment hedges
Foreign exchange forward contracts	$	84		(29	)		–			–		$	93			(23	)		–			–

Note: Ineffectiveness on cash flow and net investment hedges was not material for the three and nine months ended September 30, 2014 and 2013.

(a) Gains (Losses) reclassified from other comprehensive income (loss) into interest income on loans and interest expense on long-term debt.

Summary of Gains (Losses) Recognized in Earnings for Fair Value Hedges, Other Economic Hedges and Customer-Related Positions

The table below shows the gains (losses) recognized in earnings for fair value hedges, other economic hedges and the customer-related positions:

	Location of Gains (Losses)	Three Months						Nine Months
		Ended September 30,						Ended September 30,
(Dollars in Millions)	Recognized in Earnings	2014			2013			2014			2013
Asset and Liability Management Positions
Fair value hedges (a)
Interest rate contracts	Other noninterest income	$	(19	)	$	–		$	(13	)	$	(7	)
Other economic hedges
Interest rate contracts
Futures and forwards	Mortgage banking revenue		6			33			(69	)		569
Purchased and written options	Mortgage banking revenue		64			54			210			200
Receive fixed/pay floating swaps	Mortgage banking revenue		17			(5	)		238			(264	)
Foreign exchange forward contracts	Commercial products revenue		(24	)		(16	)		(41	)		18
Equity contracts	Compensation expense		–			–			1			1
Credit contracts	Other noninterest income/expense		–			2			–			1
Other	Other noninterest income/expense		1			–			(42	)		–
Customer-Related Positions
Interest rate contracts
Receive fixed/pay floating swaps	Other noninterest income		(20	)		13			329			(288	)
Pay fixed/receive floating swaps	Other noninterest income		28			(10	)		(307	)		298
Foreign exchange rate contracts
Forwards, spots and swaps	Commercial products revenue		13			15			45			36

(a) Gains (Losses) on items hedged by interest rate contracts included in noninterest income (expense), were $19 million and zero million for the three months ended September 30, 2014 and 2013, respectively, and $13 million and $7 million for the nine months ended September 30, 2014 and 2013, respectively. The ineffective portion was immaterial for the three and nine months ended September 30, 2014 and 2013.

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Fair Values of Assets and Liabilities - Valuation Assumption Ranges for Level 3 Available -for-Sale Investment Securities (Detail) (Level 3 [Member])	9 Months Ended
	Sep. 30, 2014
Minimum [Member] | Non-agency Prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	6.00%
Lifetime probability of default rates
Lifetime loss severity rates	15.00%
Discount margin	2.00%
Minimum [Member] | Non-agency Non-prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	3.00%
Lifetime probability of default rates	4.00%
Lifetime loss severity rates	20.00%
Discount margin	1.00%
Minimum [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	6.00%
Lifetime probability of default rates	5.00%
Lifetime loss severity rates	40.00%
Discount margin	6.00%
Maximum [Member] | Non-agency Prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	20.00%
Lifetime probability of default rates	8.00%
Lifetime loss severity rates	75.00%
Discount margin	4.00%
Maximum [Member] | Non-agency Non-prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	10.00%
Lifetime probability of default rates	14.00%
Lifetime loss severity rates	70.00%
Discount margin	5.00%
Maximum [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	6.00%
Lifetime probability of default rates	5.00%
Lifetime loss severity rates	40.00%
Discount margin	6.00%
Average [Member] | Non-agency Prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	14.00%
Lifetime probability of default rates	4.00%
Lifetime loss severity rates	36.00%
Discount margin	3.00%
Average [Member] | Non-agency Non-prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	6.00%
Lifetime probability of default rates	8.00%
Lifetime loss severity rates	53.00%
Discount margin	2.00%
Average [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Estimated lifetime prepayment rates	6.00%
Lifetime probability of default rates	5.00%
Lifetime loss severity rates	40.00%
Discount margin	6.00%

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Subsequent Events

9 Months Ended

Sep. 30, 2014

Subsequent Events [Abstract]

Subsequent Events

Note 17  Subsequent Events

The Company has evaluated the impact of events that have occurred subsequent to September 30, 2014 through the date the consolidated financial statements were filed with the United States Securities and Exchange Commission. Based on this evaluation, the Company has determined none of these events were required to be recognized or disclosed in the consolidated financial statements and related notes.

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Loans and Allowance for Credit Losses - Carrying Amount of Covered Assets (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Covered Assets [Line Items]
Purchased Impaired Loans	$ 3,313	$ 3,775
Purchased Nonimpaired Loans	2,497	3,087
Other Assets	1,316	1,697
Covered loans	7,054	8,462
Total covered assets	7,126	8,559
Commercial [Member]
Covered Assets [Line Items]
Purchased Impaired Loans
Purchased Nonimpaired Loans	21	32
Other Assets
Covered loans	21	32
Commercial Real Estate [Member]
Covered Assets [Line Items]
Purchased Impaired Loans	464	738
Purchased Nonimpaired Loans	1,093	1,494
Other Assets
Covered loans	1,557	2,232
Residential Mortgages [Member]
Covered Assets [Line Items]
Purchased Impaired Loans	2,849	3,037
Purchased Nonimpaired Loans	774	890
Other Assets
Covered loans	3,623	3,927
Credit Card [Member]
Covered Assets [Line Items]
Purchased Impaired Loans
Purchased Nonimpaired Loans	4	5
Other Assets
Covered loans	4	5
Other Retail [Member]
Covered Assets [Line Items]
Purchased Impaired Loans
Purchased Nonimpaired Loans	605	666
Other Assets
Covered loans	605	666
Losses Reimbursable by FDIC [Member]
Covered Assets [Line Items]
Purchased Impaired Loans
Purchased Nonimpaired Loans
Other Assets	737	798
Covered loans	737	798
Unamortized Changes in FDIC asset [Member]
Covered Assets [Line Items]
Purchased Impaired Loans
Purchased Nonimpaired Loans
Other Assets	507	802
Covered loans	507	802
Covered Loans [Member]
Covered Assets [Line Items]
Purchased Impaired Loans	3,313	3,775
Purchased Nonimpaired Loans	2,497	3,087
Other Assets	1,244	1,600
Covered loans	7,054	8,462
Foreclosed Real Estate [Member]
Covered Assets [Line Items]
Purchased Impaired Loans
Purchased Nonimpaired Loans
Other Assets	72	97
Total covered assets	$ 72	$ 97

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Guarantees and Contingent Liabilities - Additional Information (Detail) (USD $) Share data in Millions, unless otherwise specified										3 Months Ended
	Sep. 30, 2014	Jun. 30, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Dec. 31, 2012	Sep. 30, 2014 Merchant processing [Member]	Sep. 30, 2014 Asset sales [Member]	Dec. 31, 2013 Asset sales [Member]	Sep. 30, 2014 Visa Class B [Member]	Jun. 30, 2014 Visa Class B [Member]
Guarantees And Contingent Liabilities (Textual) [Abstract]
Liability related to remaining Visa Litigation, carrying amount	$ 19,000,000
Number of shares sold										0.4	3.0
Remaining shares held by the Company										9.2
Value of airline tickets purchased to deliver at future date							6,800,000,000
Company held collateral in escrow deposits, letters of credit and indemnities from financial institutions and liens on various assets							648,000,000
Representation and warranty reserve	62,000,000	69,000,000	83,000,000	176,000,000	190,000,000	240,000,000		62,000,000	83,000,000
Unresolved representation and warranty claims								$ 29,000,000	$ 89,000,000

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Consolidated Statement of Cash Flows (Unaudited) (USD $) In Millions, unless otherwise specified	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Operating Activities
Net income attributable to U.S. Bancorp	$ 4,363	$ 4,380
Adjustments to reconcile net income to net cash provided by operating activities
Provision for credit losses	941	1,063
Depreciation and amortization of premises and equipment	225	222
Amortization of intangibles	148	167
Provision for deferred income taxes	(36)	(38)
(Gain) loss on sale of loans held for sale	(565)	(864)
(Gain) loss on sale of securities and other assets	(383)	(42)
Loans originated for sale in the secondary market, net of repayments	(21,374)	(49,411)
Proceeds from sales of loans held for sale	21,160	53,845
Other, net	(13)	(665)
Net cash provided by operating activities	4,466	8,657
Investing Activities
Proceeds from sales of available-for-sale investment securities	401	766
Proceeds from maturities of held-to-maturity investment securities	7,215	6,854
Proceeds from maturities of available-for-sale investment securities	4,944	8,395
Purchases of held-to-maturity investment securities	(12,571)	(9,439)
Purchases of available-for-sale investment securities	(16,627)	(9,381)
Net increase in loans outstanding	(10,043)	(8,495)
Proceeds from sales of loans	1,165	620
Purchases of loans	(1,703)	(1,883)
Acquisitions, net of cash acquired	3,436
Other, net	411	(100)
Net cash used in investing activities	(23,372)	(12,663)
Financing Activities
Net increase in deposits	6,186	12,533
Net increase (decrease) in short-term borrowings	2,437	(174)
Proceeds from issuance of long-term debt	12,978	198
Principal payments or redemption of long-term debt	(2,196)	(2,380)
Proceeds from issuance of preferred stock		487
Proceeds from issuance of common stock	377	331
Redemption of preferred stock		(500)
Repurchase of common stock	(1,704)	(1,779)
Cash dividends paid on preferred stock	(181)	(193)
Cash dividends paid on common stock	(1,285)	(1,154)
Net cash provided by financing activities	16,612	7,369
Change in cash and due from banks	(2,294)	3,363
Cash and due from banks at beginning of period	8,477	8,252
Cash and due from banks at end of period	$ 6,183	$ 11,615

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Consolidated Balance Sheet (Unaudited) (Parenthetical) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Held-to-maturity securities, fair value	$ 44,094,000,000	$ 38,368,000,000
Securities, pledged as collateral	640,000,000	2,100,000,000
Mortgage loans, carried at fair value	3,918,000,000	3,263,000,000
Time deposits	100,000	100,000
Common stock, par value	$ 0.01	$ 0.01
Common stock, share - authorized (actual number of shares)	4,000,000,000	4,000,000,000
Common stock, shares issued (actual number of shares)	2,125,725,742	2,125,725,742
Treasury stock, shares (actual number of shares)	330,882,734	300,977,274
Held-to-maturity Securities [Member]
Securities, pledged as collateral	366,000,000	994,000,000
Available-for-Sale Securities [Member]
Securities, pledged as collateral	274,000,000	1,106,000,000
Trading Securities [Member]
Securities, pledged as collateral	$ 142,000,000	$ 111,000,000

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Earnings Per Share

9 Months Ended

Sep. 30, 2014

Earnings Per Share [Abstract]

Earnings Per Share

 Note 10  Earnings Per Share

The components of earnings per share were:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars and Shares in Millions, Except Per Share Data)	2014			2013			2014			2013
Net income attributable to U.S. Bancorp	$	1,471		$	1,468		$	4,363		$	4,380
Preferred dividends		(60	)		(61	)		(181	)		(189	)
Impact of preferred stock redemption (a)		–			–			–			(8	)
Earnings allocated to participating stock awards		(6	)		(7	)		(19	)		(20	)
Net income applicable to U.S. Bancorp common shareholders	$	1,405		$	1,400		$	4,163		$	4,163
Average common shares outstanding		1,798			1,832			1,809			1,844
Net effect of the exercise and assumed purchase of stock awards		9			11			10			10
Average diluted common shares outstanding		1,807			1,843			1,819			1,854
Earnings per common share	$	.78		$	.76		$	2.30		$	2.26
Diluted earnings per common share	$	.78		$	.76		$	2.29		$	2.25

(a) Represents stock issuance costs originally recorded in capital surplus upon the issuance of the Company’s Series D Non-Cumulative Perpetual Preferred Stock that were reclassified to retained earnings on the redemption date.

Options outstanding at September 30, 2013, to purchase 9 million common shares were not included in the computation of diluted earnings per share for the nine months ended September 30, 2013, because they were antidilutive.

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Fair Values of Assets and Liabilities - Changes in Fair Value for All Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Parenthetical) (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Other noninterest income [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Net gains and losses on net derivative assets and liabilities included in net income	$ 7	$ 89	$ 215	$ (122)
Net Change in net derivative asset and liability unrealized gains (losses) relating to assets still held at end of period	(65)	(28)	30	(301)
Mortgage banking revenue [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Net gains and losses on net derivative assets and liabilities included in net income	88	93	353	88
Net Change in net derivative asset and liability unrealized gains (losses) relating to assets still held at end of period	50	83	50	83
Securities Gains Losses [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Net gains and losses on available for sale securities included in net income		(3)		(13)
Interest Income [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Net gains and losses on available for sale securities included in net income		$ (1)		$ (2)

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Derivative Instruments - Summary of Gains (Losses) Recognized in Earnings for Fair Value Hedges, Other Economic Hedges and Customer-Related Positions (Parenthetical) (Detail) (Asset and Liability Management Positions [Member], Interest Rate Contracts [Member], Fair Value Hedges [Member], USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Asset and Liability Management Positions [Member] | Interest Rate Contracts [Member] | Fair Value Hedges [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gain losses on items hedged by fair value hedges	$ 19	$ 0	$ 13	$ 7

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Derivative Instruments - Summary of Effective Portion of Gains (Losses) Recognized in Other Comprehensive Income (Loss) and Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings (Detail) (Asset and Liability Management Positions [Member], USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Cash Flow Hedges [Member] | Interest Rate Contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Losses) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net	$ 10	$ (11)	$ (12)	$ 22
Derivative Instruments, Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings	(28)	(30)	(86)	(88)
Net Investment Hedges [Member] | Foreign Exchange Forward Contracts [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Losses) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net	84	(29)	93	(23)
Derivative Instruments, Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings

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Document and Entity Information	9 Months Ended
	Sep. 30, 2014	Oct. 31, 2014
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2014
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q3
Trading Symbol	USB
Entity Registrant Name	US BANCORP \DE\
Entity Central Index Key	0000036104
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		1,789,386,385

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Employee Benefits

9 Months Ended

Sep. 30, 2014

Compensation and Retirement Disclosure [Abstract]

Employee Benefits

 Note 11  Employee Benefits

The components of net periodic benefit cost for the Company’s retirement plans were:

	Three Months Ended September 30,												Nine Months Ended September 30,
							Postretirement												Postretirement
	Pension Plans						Welfare Plan						Pension Plans						Welfare Plan
(Dollars in Millions)	2014			2013			2014			2013			2014			2013			2014			2013
Service cost	$	38		$	42		$	–		$	1		$	114		$	126		$	–		$	3
Interest cost		50			43			1			1			148			128			3			3
Expected return on plan assets		(51	)		(44	)		(1	)		–			(155	)		(132	)		(1	)		(1	)
Prior service cost (credit) and transition obligation (asset) amortization		(2	)		(1	)		(1	)		–			(4	)		(4	)		(3	)		–
Actuarial loss (gain) amortization		39			66			(1	)		(3	)		118			198			(4	)		(8	)
Net periodic benefit cost	$	74		$	106		$	(2	)	$	(1	)	$	221		$	316		$	(5	)	$	(3	)

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Accumulated Other Comprehensive Income (Loss) - Impact to Net Income for Items Reclassified out of Accumulated Other Comprehensive Income and into Earnings (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Realized gains (losses) on sale of securities			$ 8	$ 21
Amortization of unrealized gains on securities transferred from available-for-sale to held-to-maturity, Interest income	3,057	3,068	9,126	9,217
Gains (Losses) on derivative hedges	2,692	2,658	8,031	7,927
Actuarial gains (losses), prior service cost (credit) and transition obligation (asset) amortization	(250)	(278)	(796)	(865)
Total securities gains (losses), net	(3)	(3)	2	8
Applicable income taxes	(523)	(542)	(1,566)	(1,629)
Net income	1,486	1,430	4,407	4,261
Reclassification out of Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Net income	(47)	(61)	(136)	(165)
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Securities Available-For-Sale [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Realized gains (losses) on sale of securities			8	21
Other-than-temporary impairment recognized in earnings	(3)	(3)	(6)	(13)
Total securities gains (losses), net	(3)	(3)	2	8
Applicable income taxes	1	1	(1)	(3)
Net income	(2)	(2)	1	5
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Securities Transferred From Available For Sale to Held To Maturity [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amortization of unrealized gains on securities transferred from available-for-sale to held-to-maturity, Interest income	7	13	23	50
Applicable income taxes	(3)	(5)	(9)	(19)
Net income	4	8	14	31
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Derivative Hedges [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Gains (Losses) on derivative hedges	(45)	(47)	(139)	(142)
Applicable income taxes	17	18	53	55
Net income	(28)	(29)	(86)	(87)
Reclassification out of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Retirement Plans [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Actuarial gains (losses), prior service cost (credit) and transition obligation (asset) amortization	(35)	(62)	(107)	(186)
Applicable income taxes	14	24	42	72
Net income	$ (21)	$ (38)	$ (65)	$ (114)

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Derivative Instruments - Customer-Related Derivative Positions of Company (Detail) (Customer-Related Positions [Member], USD $) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Derivative [Line Items]
Notional Value, Assets	$ 44,277	$ 33,286
Fair Value, Assets	1,326	1,215
Notional Value, Liabilities	43,107	33,480
Fair Value, Liabilities	1,292	1,137
Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	16,055	11,717
Fair Value, Assets	645	600
Derivative Asset Average Remaining Maturity Period	5 years 11 months 9 days	5 years 1 month 10 days
Notional Value, Liabilities	8,509	7,291
Fair Value, Liabilities	47	106
Derivative Liability Average Remaining Maturity Period	4 years 3 months 29 days	5 years 6 months 26 days
Interest Rate Contracts [Member] | Pay Fixed/Receive Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	7,215	6,746
Fair Value, Assets	54	114
Derivative Asset Average Remaining Maturity Period	3 years 11 months 23 days	6 years 11 days
Notional Value, Liabilities	16,384	12,361
Fair Value, Liabilities	638	560
Derivative Liability Average Remaining Maturity Period	5 years 10 months 10 days	4 years 10 months 24 days
Interest Rate Contracts [Member] | Options [Member] | Purchased [Member]
Derivative [Line Items]
Notional Value, Assets	4,110	3,489
Fair Value, Assets	10	33
Derivative Asset Average Remaining Maturity Period	3 years 10 months 2 days	4 years 6 months 11 days
Notional Value, Liabilities	24
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period	2 years 8 months 1 day
Interest Rate Contracts [Member] | Options [Member] | Written [Member]
Derivative [Line Items]
Notional Value, Assets	24
Fair Value, Assets
Derivative Asset Average Remaining Maturity Period	2 years 8 months 1 day
Notional Value, Liabilities	4,096	3,489
Fair Value, Liabilities	10	33
Derivative Liability Average Remaining Maturity Period	3 years 10 months 6 days	4 years 6 months 11 days
Interest Rate Contracts [Member] | Futures [Member] | Purchased [Member]
Derivative [Line Items]
Notional Value, Assets	2,439
Fair Value, Assets
Derivative Asset Average Remaining Maturity Period	3 months
Notional Value, Liabilities
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period
Interest Rate Contracts [Member] | Futures [Member] | Written [Member]
Derivative [Line Items]
Notional Value, Assets	334
Fair Value, Assets
Derivative Asset Average Remaining Maturity Period	1 year 3 months 11 days
Notional Value, Liabilities	131
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period	11 months 16 days
Foreign Exchange Rate Contracts [Member] | Forwards, Spots and Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	13,349	10,970
Fair Value, Assets	595	457
Derivative Asset Average Remaining Maturity Period	6 months 18 days	7 months 2 days
Notional Value, Liabilities	13,212	9,975
Fair Value, Liabilities	575	427
Derivative Liability Average Remaining Maturity Period	6 months 18 days	7 months 13 days
Foreign Exchange Option [Member] | Purchased [Member]
Derivative [Line Items]
Notional Value, Assets	751	364
Fair Value, Assets	22	11
Derivative Asset Average Remaining Maturity Period	6 months 26 days	6 months 11 days
Notional Value, Liabilities
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period
Foreign Exchange Option [Member] | Written [Member]
Derivative [Line Items]
Notional Value, Assets
Fair Value, Assets
Derivative Asset Average Remaining Maturity Period	0 years
Notional Value, Liabilities	751	364
Fair Value, Liabilities	$ 22	$ 11
Derivative Liability Average Remaining Maturity Period	6 months 26 days	6 months 11 days

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Consolidated Statement of Income (Unaudited) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Interest Income
Loans	$ 2,518	$ 2,568	$ 7,572	$ 7,682
Loans held for sale	36	46	87	172
Investment securities	476	420	1,378	1,222
Other interest income	27	34	89	141
Total interest income	3,057	3,068	9,126	9,217
Interest Expense
Deposits	115	134	348	433
Short-term borrowings	72	98	204	270
Long-term debt	178	178	543	587
Total interest expense	365	410	1,095	1,290
Net interest income	2,692	2,658	8,031	7,927
Provision for credit losses	311	298	941	1,063
Net interest income after provision for credit losses	2,381	2,360	7,090	6,864
Noninterest Income
Credit and debit card revenue	251	244	749	702
Corporate payment products revenue	195	192	550	540
Merchant processing services	387	371	1,127	1,091
ATM processing services	81	83	241	248
Trust and investment management fees	315	280	930	842
Deposit service charges	185	180	513	493
Treasury management fees	136	134	409	408
Commercial products revenue	209	207	635	616
Mortgage banking revenue	260	328	774	1,125
Investment products fees	49	46	142	133
Securities gains (losses), net
Realized gains (losses), net			8	21
Total other-than-temporary impairment	(3)	(2)	(5)	(5)
Portion of other-than-temporary impairment recognized in other comprehensive income		(1)	(1)	(8)
Total securities gains (losses), net	(3)	(3)	2	8
Other	177	115	722	412
Total noninterest income	2,242	2,177	6,794	6,618
Noninterest Expense
Compensation	1,132	1,088	3,372	3,268
Employee benefits	250	278	796	865
Net occupancy and equipment	249	240	739	709
Professional services	102	94	282	263
Marketing and business development	78	85	253	254
Technology and communications	219	214	644	639
Postage, printing and supplies	81	76	242	230
Other intangibles	51	55	148	167
Other	452	435	1,435	1,197
Total noninterest expense	2,614	2,565	7,911	7,592
Income before income taxes	2,009	1,972	5,973	5,890
Applicable income taxes	523	542	1,566	1,629
Net income	1,486	1,430	4,407	4,261
Net (income) loss attributable to noncontrolling interests	(15)	38	(44)	119
Net income attributable to U.S. Bancorp	1,471	1,468	4,363	4,380
Net income applicable to U.S. Bancorp common shareholders	$ 1,405	$ 1,400	$ 4,163	$ 4,163
Earnings per common share	$ 0.78	$ 0.76	$ 2.30	$ 2.26
Diluted earnings per common share	$ 0.78	$ 0.76	$ 2.29	$ 2.25
Dividends declared per common share	$ 0.245	$ 0.230	$ 0.720	$ 0.655
Average common shares outstanding	1,798	1,832	1,809	1,844
Average diluted common shares outstanding	1,807	1,843	1,819	1,854

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Loans and Allowance for Credit Losses

9 Months Ended

Sep. 30, 2014

Receivables [Abstract]

Loans and Allowance for Credit Losses

 Note 5  Loans and Allowance for Credit Losses

The composition of the loan portfolio, disaggregated by class and underlying specific portfolio type, was as follows:

	September 30, 2014					December 31, 2013
(Dollars in Millions)	Amount		Percent of Total			Amount		Percent of Total
Commercial
Commercial	$	73,600		30.0	%	$	64,762		27.5	%
Lease financing		5,278		2.1			5,271		2.3
Total commercial		78,878		32.1			70,033		29.8
Commercial Real Estate
Commercial mortgages		31,802		13.0			32,183		13.7
Construction and development		9,107		3.7			7,702		3.3
Total commercial real estate		40,909		16.7			39,885		17.0
Residential Mortgages
Residential mortgages		38,858		15.8			37,545		15.9
Home equity loans, first liens		13,099		5.3			13,611		5.8
Total residential mortgages		51,957		21.1			51,156		21.7
Credit Card		17,858		7.3			18,021		7.7
Other Retail
Retail leasing		5,999		2.5			5,929		2.5
Home equity and second mortgages		15,769		6.4			15,442		6.6
Revolving credit		3,242		1.3			3,276		1.4
Installment		6,173		2.5			5,709		2.4
Automobile		14,517		5.9			13,743		5.8
Student		3,235		1.3			3,579		1.5
Total other retail		48,935		19.9			47,678		20.2
Total loans, excluding covered loans		238,537		97.1			226,773		96.4
Covered Loans		7,054		2.9			8,462		3.6
Total loans	$	245,591		100.0	%	$	235,235		100.0	%

The Company had loans of $79.4 billion at September 30, 2014, and $77.2 billion at December 31, 2013, pledged at the Federal Home Loan Bank (“FHLB”), and loans of $61.8 billion at September 30, 2014, and $53.0 billion at December 31, 2013, pledged at the Federal Reserve Bank.

Originated loans are reported at the principal amount outstanding, net of unearned interest and deferred fees and costs. Net unearned interest and deferred fees and costs amounted to $575 million at September 30, 2014, and $556 million at December 31, 2013. All purchased loans and related indemnification assets are recorded at fair value at the date of purchase. The Company evaluates purchased loans for impairment at the date of purchase in accordance with applicable authoritative accounting guidance. Purchased loans with evidence of credit deterioration since origination for which it is probable that all contractually required payments will not be collected are considered “purchased impaired loans.” All other purchased loans are considered “purchased nonimpaired loans.”

On the acquisition date, the estimate of the contractually required payments receivable for all purchased nonimpaired loans acquired in the second quarter 2014 acquisition of Charter One were $1.5 billion. The contractual cash flows not expected to be collected on these loans of $247 million and the estimated fair value of the loans of $969 million were determined based upon the estimated remaining life of the underlying loans, which includes the effects of estimated prepayments. The contractual cash flows not expected to be collected primarily reflect a reduction in contractual interest payments resulting from these estimated prepayments. There were no purchased impaired loans acquired in the Charter One acquisition.

Changes in the accretable balance for purchased impaired loans were as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	1,487		$	1,802		$	1,655		$	1,709
Accretion		(105	)		(119	)		(336	)		(380	)
Disposals		(34	)		(51	)		(103	)		(120	)
Reclassifications from nonaccretable difference (a)		38			119			172			177
Other (b)		–			–			(2	)		365
Balance at end of period	$	1,386		$	1,751		$	1,386		$	1,751

(a) Primarily relates to changes in expected credit performance.

(b) The amount for the nine months ended September 30, 2013, primarily represents the reclassification of unamortized decreases in the FDIC asset (which are presented as a separate component within the covered assets table on page 56 beginning in 2013), partially offset by the impact of changes in expectations about retaining covered single-family loans beyond the term of the indemnification agreements.

Allowance for Credit Losses The allowance for credit losses reserves for probable and estimable losses incurred in the Company’s loan and lease portfolio, including unfunded credit commitments, and includes certain amounts that do not represent loss exposure to the Company because those losses are recoverable under loss sharing agreements with the Federal Deposit Insurance Corporation (“FDIC”). The allowance for credit losses is increased through provisions charged to operating earnings and reduced by net charge-offs. Management evaluates the allowance each quarter to ensure it appropriately reserves for incurred losses.

The allowance recorded for loans in the commercial lending segment is based on reviews of individual credit relationships and considers the migration analysis of commercial lending segment loans and actual loss experience. In the migration analysis applied to risk rated loan portfolios, the Company currently examines up to a 13-year period of loss experience. For each loan type, this historical loss experience is adjusted as necessary to consider any relevant changes in portfolio composition, lending policies, underwriting standards, risk management practices or economic conditions. The results of the analysis are evaluated quarterly to confirm an appropriate historical time frame is selected for each commercial loan type. The allowance recorded for impaired loans greater than $5 million in the commercial lending segment is based on an individual loan analysis utilizing expected cash flows discounted using the original effective interest rate, the observable market price of the loan, or the fair value of the collateral for collateral-dependent loans, rather than the migration analysis. The allowance recorded for all other commercial lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, portfolio growth and historical losses, adjusted for current trends. The Company also considers the impacts of any loan modifications made to commercial lending segment loans and any subsequent payment defaults to its expectations of cash flows, principal balance, and current expectations about the borrower’s ability to pay in determining the allowance for credit losses.

The allowance recorded for Troubled Debt Restructuring (“TDR”) loans and purchased impaired loans in the consumer lending segment is determined on a homogenous pool basis utilizing expected cash flows discounted using the original effective interest rate of the pool, or the prior quarter effective rate, respectively. The allowance for collateral-dependent loans in the consumer lending segment is determined based on the fair value of the collateral less costs to sell. The allowance recorded for all other consumer lending segment loans is determined on a homogenous pool basis and includes consideration of product mix, risk characteristics of the portfolio, bankruptcy experience, delinquency status, refreshed loan-to-value ratios when possible, portfolio growth and historical losses, adjusted for current trends. The Company also considers any modifications made to consumer lending segment loans including the impacts of any subsequent payment defaults since modification in determining the allowance for credit losses, such as the borrower’s ability to pay under the restructured terms, and the timing and amount of payments.

The allowance for the covered loan segment is evaluated each quarter in a manner similar to that described for non-covered loans and reflects decreases in expected cash flows of those loans after the acquisition date. The provision for credit losses for covered loans considers the indemnification provided by the FDIC.

In addition, subsequent payment defaults on loan modifications considered TDRs are considered in the underlying factors used in the determination of the appropriateness of the allowance for credit losses. For each loan segment, the Company estimates future loan charge-offs through a variety of analysis, trends and underlying assumptions. With respect to the commercial lending segment, TDRs may be collectively evaluated for impairment where observed performance history, including defaults, is a primary driver of the loss allocation. For commercial TDRs individually evaluated for impairment, attributes of the borrower are the primary factors in determining the allowance for credit losses. However, historical loss experience is also incorporated into the allowance methodology applied to this category of loans. With respect to the consumer lending segment, performance of the portfolio, including defaults on TDRs, is considered when estimating future cash flows.

The Company’s methodology for determining the appropriate allowance for credit losses for all the loan segments also considers the imprecision inherent in the methodologies used. As a result, in addition to the amounts determined under the methodologies described above, management also considers the potential impact of other qualitative factors which include, but are not limited to, economic factors; geographic and other concentration risks; delinquency and nonaccrual trends; current business conditions; changes in lending policy, underwriting standards, internal review and other relevant business practices; and the regulatory environment. The consideration of these items results in adjustments to allowance amounts included in the Company’s allowance for credit losses for each of the above loan segments.

The Company also assesses the credit risk associated with off-balance sheet loan commitments, letters of credit, and derivatives. Credit risk associated with derivatives is reflected in the fair values recorded for those positions. The liability for off-balance sheet credit exposure related to loan commitments and other credit guarantees is included in other liabilities. Because business processes and credit risks associated with unfunded credit commitments are essentially the same as for loans, the Company utilizes similar processes to estimate its liability for unfunded credit commitments.

Activity in the allowance for credit losses by portfolio class was as follows:

Three Months Ended September 30 (Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
2014
Balance at beginning of period	$	1,111		$	725		$	848		$	874		$	779		$	4,337		$	112		$	4,449
Add
Provision for credit losses		83			(6	)		(13	)		162			84			310			1			311
Deduct
Loans charged off		80			10			48			174			96			408			2			410
Less recoveries of loans charged off		(22	)		(6	)		(6	)		(16	)		(23	)		(73	)		(1	)		(74	)
Net loans charged off		58			4			42			158			73			335			1			336
Other changes (a)		–			–			–			–			–			–			(10	)		(10	)
Balance at end of period	$	1,136		$	715		$	793		$	878		$	790		$	4,312		$	102		$	4,414
2013
Balance at beginning of period	$	1,023		$	777		$	921		$	874		$	838		$	4,433		$	179		$	4,612
Add
Provision for credit losses		19			(22	)		70			151			84			302			(4	)		298
Deduct
Loans charged off		65			17			62			175			122			441			9			450
Less recoveries of loans charged off		(54	)		(23	)		(5	)		(15	)		(24	)		(121	)		(1	)		(122	)
Net loans charged off		11			(6	)		57			160			98			320			8			328
Other changes (a)		–			–			–			–			–			–			(4	)		(4	)
Balance at end of period	$	1,031		$	761		$	934		$	865		$	824		$	4,415		$	163		$	4,578

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

Nine Months Ended September 30 (Dollars in Millions)	Commercial			Commercial Real Estate			Residential Mortgages			Credit Card			Other Retail			Total Loans, Excluding Covered Loans			Covered Loans			Total Loans
2014
Balance at beginnng of period	$	1,075		$	776		$	875		$	884		$	781		$	4,391		$	146		$	4,537
Add
Provision for credit losses		210			(64	)		74			495			227			942			(1	)		941
Deduct
Loans charged off		219			27			171			546			291			1,254			10			1,264
Less recoveries of loans charged off		(70	)		(30	)		(15	)		(48	)		(73	)		(236	)		(2	)		(238	)
Net loans charged off		149			(3	)		156			498			218			1,018			8			1,026
Other changes (a)		–			–			–			(3	)		–			(3	)		(35	)		(38	)
Balance at end of period	$	1,136		$	715		$	793		$	878		$	790		$	4,312		$	102		$	4,414
2013
Balance at beginnng of period	$	1,051		$	857		$	935		$	863		$	848		$	4,554		$	179		$	4,733
Add
Provision for credit losses		64			(100	)		222			495			305			986			77			1,063
Deduct
Loans charged off		184			76			243			559			412			1,474			31			1,505
Less recoveries of loans charged off		(100	)		(80	)		(20	)		(66	)		(83	)		(349	)		(3	)		(352	)
Net loans charged off		84			(4	)		223			493			329			1,125			28			1,153
Other changes (a)		–			–			–			–			–			–			(65	)		(65	)
Balance at end of period	$	1,031		$	761		$	934		$	865		$	824		$	4,415		$	163		$	4,578

(a) Includes net changes in credit losses to be reimbursed by the FDIC and reductions in the allowance for covered loans where the reversal of a previously recorded allowance was offset by an associated decrease in the indemnification asset, and the impact of any loan sales.

Additional detail of the allowance for credit losses by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans		Total Loans
Allowance Balance at September 30, 2014 Related to
Loans individually evaluated for impairment (a)	$	10	$	6	$	–	$	–	$	–	$	16	$	–	$	16
TDRs collectively evaluated for impairment		13		15		308		64		44		444		3		447
Other loans collectively evaluated for impairment		1,113		662		485		814		746		3,820		2		3,822
Loans acquired with deteriorated credit quality		–		32		–		–		–		32		97		129
Total allowance for credit losses	$	1,136	$	715	$	793	$	878	$	790	$	4,312	$	102	$	4,414
Allowance Balance at December 31, 2013 Related to
Loans individually evaluated for impairment (a)	$	15	$	17	$	–	$	–	$	–	$	32	$	–	$	32
TDRs collectively evaluated for impairment		19		26		329		87		55		516		4		520
Other loans collectively evaluated for impairment		1,041		700		546		797		726		3,810		5		3,815
Loans acquired with deteriorated credit quality		–		33		–		–		–		33		137		170
Total allowance for credit losses	$	1,075	$	776	$	875	$	884	$	781	$	4,391	$	146	$	4,537

(a) Represents the allowance for credit losses related to loans greater than $5 million classified as nonperforming or TDRs.

Additional detail of loan balances by portfolio class was as follows:

(Dollars in Millions)	Commercial		Commercial Real Estate		Residential Mortgages		Credit Card		Other Retail		Total Loans, Excluding Covered Loans		Covered Loans (b)		Total Loans
September 30, 2014
Loans individually evaluated for impairment (a)	$	237	$	158	$	–	$	–	$	–	$	395	$	52	$	447
TDRs collectively evaluated for impairment		129		273		4,916		256		248		5,822		74		5,896
Other loans collectively evaluated for impairment		78,511		40,368		47,041		17,602		48,687		232,209		3,615		235,824
Loans acquired with deteriorated credit quality		1		110		–		–		–		111		3,313		3,424
Total loans	$	78,878	$	40,909	$	51,957	$	17,858	$	48,935	$	238,537	$	7,054	$	245,591
December 31, 2013
Loans individually evaluated for impairment (a)	$	197	$	237	$	–	$	–	$	–	$	434	$	62	$	496
TDRs collectively evaluated for impairment		155		358		5,064		310		269		6,156		87		6,243
Other loans collectively evaluated for impairment		69,680		39,129		46,090		17,711		47,409		220,019		4,538		224,557
Loans acquired with deteriorated credit quality		1		161		2		–		–		164		3,775		3,939
Total loans	$	70,033	$	39,885	$	51,156	$	18,021	$	47,678	$	226,773	$	8,462	$	235,235

(a) Represents loans greater than $5 million classified as nonperforming or TDRs.

(b) Includes expected reimbursements from the FDIC under loss sharing agreements.

Credit Quality The quality of the Company’s loan portfolios is assessed as a function of net credit losses, levels of nonperforming assets and delinquencies, and credit quality ratings as defined by the Company.

For all loan classes, loans are considered past due based on the number of days delinquent except for monthly amortizing loans which are classified delinquent based upon the number of contractually required payments not made (for example, two missed payments is considered 30 days delinquent). When a loan is placed on nonaccrual status, unpaid accrued interest is reversed.

Commercial lending segment loans are generally placed on nonaccrual status when the collection of principal and interest has become 90 days past due or is otherwise considered doubtful. Commercial lending segment loans are generally fully or partially charged down to the fair value of the collateral securing the loan, less costs to sell, when the loan is considered uncollectible.

Consumer lending segment loans are generally charged-off at a specific number of days or payments past due. Residential mortgages and other retail loans secured by 1-4 family properties are generally charged down to the fair value of the collateral securing the loan, less costs to sell, at 180 days past due, and placed on nonaccrual status in instances where a partial charge-off occurs unless the loan is well secured and in the process of collection. Loans and lines in a junior lien position secured by 1-4 family properties are placed on nonaccrual status at 120 days past due or when behind a first lien that has become 180 days or greater past due or placed on nonaccrual status. Any secured consumer lending segment loan whose borrower has had debt discharged through bankruptcy, for which the loan amount exceeds the fair value of the collateral, is charged down to the fair value of the related collateral and the remaining balance is placed on nonaccrual status. Credit card loans continue to accrue interest until the account is charged off. Credit cards are charged off at 180 days past due. Other retail loans not secured by 1-4 family properties are charged-off at 120 days past due; and revolving consumer lines are charged off at 180 days past due. Similar to credit cards, other retail loans are generally not placed on nonaccrual status because of the relative short period of time to charge-off. Certain retail customers having financial difficulties may have the terms of their credit card and other loan agreements modified to require only principal payments and, as such, are reported as nonaccrual.

For all loan classes, interest payments received on nonaccrual loans are generally recorded as a reduction to the loan carrying amount. Interest payments are generally recorded as reductions to a loan’s carrying amount while a loan is on nonaccrual and are recognized as interest income upon payoff of the loan. Interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible. In certain circumstances, loans in any class may be restored to accrual status, such as when a loan has demonstrated sustained repayment performance or no amounts are past due and prospects for future payment are no longer in doubt, or when the loan becomes well secured and is in the process of collection. Loans where there has been a partial charge-off may be returned to accrual status if all principal and interest (including amounts previously charged-off) is expected to be collected and the loan is current.

Covered loans not considered to be purchased impaired are evaluated for delinquency, nonaccrual status and charge-off consistent with the class of loan they would be included in had the loss share coverage not been in place. Generally, purchased impaired loans are considered accruing loans. However, the timing and amount of future cash flows for some loans is not reasonably estimable. Those loans are classified as nonaccrual loans and interest income is not recognized until the timing and amount of the future cash flows can be reasonably estimated.

The following table provides a summary of loans by portfolio class, including the delinquency status of those that continue to accrue interest, and those that are nonperforming:

	Accruing
(Dollars in Millions)	Current		30-89 Days Past Due		90 Days or More Past Due		Nonperforming		Total
September 30, 2014
Commercial	$	78,453	$	215	$	37	$	173	$	78,878
Commercial real estate		40,606		50		12		241		40,909
Residential mortgages (a)		50,662		243		211		841		51,957
Credit card		17,403		219		196		40		17,858
Other retail		48,453		222		76		184		48,935
Total loans, excluding covered loans		235,577		949		532		1,479		238,537
Covered loans		6,434		102		430		88		7,054
Total loans	$	242,011	$	1,051	$	962	$	1,567	$	245,591
December 31, 2013
Commercial	$	69,587	$	257	$	55	$	134	$	70,033
Commercial real estate		39,459		94		29		303		39,885
Residential mortgages (a)		49,695		358		333		770		51,156
Credit card		17,507		226		210		78		18,021
Other retail		47,156		245		86		191		47,678
Total loans, excluding covered loans		223,404		1,180		713		1,476		226,773
Covered loans		7,693		166		476		127		8,462
Total loans	$	231,097	$	1,346	$	1,189	$	1,603	$	235,235

(a) At September 30, 2014, $422 million of loans 30–89 days past due and $3.1 billion of loans 90 days or more past due purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified as current, compared with $440 million and $3.7 billion at December 31, 2013, respectively.

At September 30, 2014, the amount of foreclosed residential real estate held by the Company, and included in other real estate owned, was $273 million ($236 million excluding covered assets). This excludes $623 million of foreclosed residential real estate related to mortgage loans whose payments are primarily insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs. In addition, the amount of residential mortgage loans secured by residential real estate in the process of foreclosure at September 30, 2014, was $3.0 billion, of which $2.1 billion related to loans purchased from Government National Mortgage Association (“GNMA”) mortgage pools whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs.

The Company classifies its loan portfolios using internal credit quality ratings on a quarterly basis. These ratings include: pass, special mention and classified, and are an important part of the Company’s overall credit risk management process and evaluation of the allowance for credit losses. Loans with a pass rating represent those not classified on the Company’s rating scale for problem credits, as minimal credit risk has been identified. Special mention loans are those that have a potential weakness deserving management’s close attention. Classified loans are those where a well-defined weakness has been identified that may put full collection of contractual cash flows at risk. It is possible that others, given the same information, may reach different reasonable conclusions regarding the credit quality rating classification of specific loans.

The following table provides a summary of loans by portfolio class and the Company’s internal credit quality rating:

			Criticized
(Dollars in Millions)	Pass		Special Mention		Classified (a)		Total Criticized		Total
September 30, 2014
Commercial	$	76,688	$	1,396	$	794	$	2,190	$	78,878
Commercial real estate		39,591		474		844		1,318		40,909
Residential mortgages (b)		50,817		8		1,132		1,140		51,957
Credit card		17,622		–		236		236		17,858
Other retail		48,569		18		348		366		48,935
Total loans, excluding covered loans		233,287		1,896		3,354		5,250		238,537
Covered loans		6,852		3		199		202		7,054
Total loans	$	240,139	$	1,899	$	3,553	$	5,452	$	245,591
Total outstanding commitments	$	494,015	$	2,990	$	4,201	$	7,191	$	501,206
December 31, 2013
Commercial	$	68,075	$	1,013	$	945	$	1,958	$	70,033
Commercial real estate		38,113		616		1,156		1,772		39,885
Residential mortgages (b)		50,152		5		999		1,004		51,156
Credit card		17,733		–		288		288		18,021
Other retail		47,313		27		338		365		47,678
Total loans, excluding covered loans		221,386		1,661		3,726		5,387		226,773
Covered loans		8,160		18		284		302		8,462
Total loans	$	229,546	$	1,679	$	4,010	$	5,689	$	235,235
Total outstanding commitments	$	470,046	$	2,939	$	4,812	$	7,751	$	477,797

(a) Classified rating on consumer loans primarily based on delinquency status.

(b) At September 30, 2014, $3.1 billion of GNMA loans 90 days or more past due and $2.5 billion of restructured GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs were classified with a pass rating, compared with $3.7 billion and $2.6 billion at December 31, 2013, respectively.

For all loan classes, a loan is considered to be impaired when, based on current events or information, it is probable the Company will be unable to collect all amounts due per the contractual terms of the loan agreement. Impaired loans include all nonaccrual and TDR loans. For all loan classes, interest income on TDR loans is recognized under the modified terms and conditions if the borrower has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. Interest income is generally not recognized on other impaired loans until the loan is paid off. However, interest income may be recognized for interest payments if the remaining carrying amount of the loan is believed to be collectible.

Factors used by the Company in determining whether all principal and interest payments due on commercial and commercial real estate loans will be collected and therefore whether those loans are impaired include, but are not limited to, the financial condition of the borrower, collateral and/or guarantees on the loan, and the borrower’s estimated future ability to pay based on industry, geographic location and certain financial ratios. The evaluation of impairment on residential mortgages, credit card loans and other retail loans is primarily driven by delinquency status of individual loans or whether a loan has been modified, and considers any government guarantee where applicable. Individual covered loans, whose future losses are covered by loss sharing agreements with the FDIC that substantially reduce the risk of credit losses to the Company, are evaluated for impairment and accounted for in a manner consistent with the class of loan they would have been included in had the loss sharing coverage not been in place.

A summary of impaired loans by portfolio class was as follows:

(Dollars in Millions)	Period-end Recorded Investment (a)		Unpaid Principal Balance		Valuation Allowance		Commitments to Lend Additional Funds
September 30, 2014
Commercial	$	408	$	848	$	27	$	135
Commercial real estate		525		1,037		30		14
Residential mortgages		2,740		3,678		261		–
Credit card		256		256		64		–
Other retail		368		413		47		4
Total impaired loans, excluding GNMA and covered loans		4,297		6,232		429		153
Loans purchased from GNMA mortgage pools		2,478		2,478		51		–
Covered loans		295		607		20		1
Total	$	7,070	$	9,317	$	500	$	154
December 31, 2013
Commercial	$	382	$	804	$	36	$	54
Commercial real estate		693		1,322		51		40
Residential mortgages		2,767		3,492		308		–
Credit card		310		310		87		–
Other retail		391		593		59		14
Total impaired loans, excluding GNMA and covered loans		4,543		6,521		541		108
Loans purchased from GNMA mortgage pools		2,607		2,607		28		–
Covered loans		452		1,008		30		4
Total	$	7,602	$	10,136	$	599	$	112

(a) Substantially all loans classified as impaired at September 30, 2014 and December 31, 2013, had an associated allowance for credit losses.

Additional information on impaired loans follows:

	2014				2013
(Dollars in Millions)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Three Months Ended September 30
Commercial	$	425	$	4	$	380	$	5
Commercial real estate		541		4		819		6
Residential mortgages		2,740		33		2,765		32
Credit card		264		1		347		3
Other retail		373		5		417		7
Total impaired loans, excluding GNMA and covered loans		4,343		47		4,728		53
Loans purchased from GNMA mortgage pools		2,647		29		1,883		22
Covered loans		335		5		519		6
Total	$	7,325	$	81	$	7,130	$	81
Nine Months Ended September 30
Commercial	$	430	$	8	$	384	$	24
Commercial real estate		598		17		950		27
Residential mortgages		2,744		105		2,744		99
Credit card		281		7		380		12
Other retail		381		13		431		19
Total impaired loans, excluding GNMA and covered loans		4,434		150		4,889		181
Loans purchased from GNMA mortgage pools		2,691		95		1,869		68
Covered loans		389		15		588		21
Total	$	7,514	$	260	$	7,346	$	270

Troubled Debt Restructurings In certain circumstances, the Company may modify the terms of a loan to maximize the collection of amounts due when a borrower is experiencing financial difficulties or is expected to experience difficulties in the near-term. Concessionary modifications are classified as TDRs unless the modification results in only an insignificant delay in payments to be received. The Company recognizes interest on TDRs if the borrower complies with the revised terms and conditions as agreed upon with the Company and has demonstrated repayment performance at a level commensurate with the modified terms over several payment cycles. To the extent a previous restructuring was insignificant, the Company considers the cumulative effect of past restructurings related to the receivable when determining whether a current restructuring is a TDR. Loans classified as TDRs are considered impaired loans for reporting and measurement purposes.

The following table provides a summary of loans modified as TDRs during the periods presented by portfolio class:

	2014						2013
(Dollars in Millions)	Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance		Number of Loans		Pre-Modification Outstanding Loan Balance		Post-Modification Outstanding Loan Balance
Three Months Ended September 30
Commercial		448	$	28	$	26		551	$	62	$	60
Commercial real estate		27		14		13		48		76		73
Residential mortgages		525		71		70		338		42		42
Credit card		6,708		35		36		6,447		39		38
Other retail		810		18		18		847		21		21
Total loans, excluding GNMA and covered loans		8,518		166		163		8,231		240		234
Loans purchased from GNMA mortgage pools		2,273		278		278		2,315		300		284
Covered loans		18		3		3		38		19		11
Total loans		10,809	$	447	$	444		10,584	$	559	$	529
Nine Months Ended September 30
Commercial		1,633	$	181	$	169		1,962	$	150	$	140
Commercial real estate		54		33		28		147		193		186
Residential mortgages		1,732		232		231		1,575		214		210
Credit card		20,040		111		112		20,147		122		122
Other retail		2,246		52		52		3,519		86		85
Total loans, excluding GNMA and covered loans		25,705		609		592		27,350		765		743
Loans purchased from GNMA mortgage pools		7,198		816		803		6,450		822		782
Covered loans		38		14		13		109		85		64
Total loans		32,941	$	1,439	$	1,408		33,909	$	1,672	$	1,589

Residential mortgages, home equity and second mortgages, and loans purchased from GNMA mortgage pools in the table above include trial period arrangements offered to customers during the periods presented. The post-modification balances for these loans reflect the current outstanding balance until a permanent modification is made. In addition, the post-modification balances typically include capitalization of unpaid accrued interest and/or fees under the various modification programs. For those loans modified as TDRs during the third quarter of 2014, at September 30, 2014, 310 residential mortgages, 49 home equity and second mortgage loans and 1,764 loans purchased from GNMA mortgage pools with outstanding balances of $40 million, $3 million and $231million, respectively, were in a trial period and have estimated post-modification balances of $41 million, $3 million and $232 million, respectively, assuming permanent modification occurs at the end of the trial period.

The Company has implemented certain restructuring programs that may result in TDRs. However, many of the Company’s TDRs are also determined on a case-by-case basis in connection with ongoing loan collection processes.

For the commercial lending segment, modifications generally result in the Company working with borrowers on a case-by-case basis. Commercial and commercial real estate modifications generally include extensions of the maturity date and may be accompanied by an increase or decrease to the interest rate, which may not be deemed a market rate of interest. In addition, the Company may work with the borrower in identifying other changes that mitigate loss to the Company, which may include additional collateral or guarantees to support the loan. To a lesser extent, the Company may waive contractual principal. The Company classifies these concessions as TDRs to the extent the Company determines that the borrower is experiencing financial difficulty.

Modifications for the consumer lending segment are generally part of programs the Company has initiated. The Company participates in the U.S. Department of Treasury Home Affordable Modification Program (“HAMP”). HAMP gives qualifying homeowners an opportunity to permanently modify residential mortgage loans and achieve more affordable monthly payments, with the U.S. Department of Treasury compensating the Company for a portion of the reduction in monthly amounts due from borrowers participating in this program. The Company also modifies residential mortgage loans under Federal Housing Administration, Department of Veterans Affairs, or its own internal programs. Under these programs, the Company provides concessions to qualifying borrowers experiencing financial difficulties. The concessions may include adjustments to interest rates, conversion of adjustable rates to fixed rates, extension of maturity dates or deferrals of payments, capitalization of accrued interest and/or outstanding advances, or in limited situations, partial forgiveness of loan principal. In most instances, participation in residential mortgage loan restructuring programs requires the customer to complete a short-term trial period. A permanent loan modification is contingent on the customer successfully completing the trial period arrangement and the loan documents are not modified until that time. The Company reports loans in a trial period arrangement as TDRs.

Credit card and other retail loan modifications are generally part of distinct restructuring programs providing customers experiencing financial difficulty with modifications whereby balances may be amortized up to 60 months, and generally include waiver of fees and reduced interest rates.

In addition, the Company considers secured loans to consumer borrowers that have debt discharged through bankruptcy where the borrower has not reaffirmed the debt to be TDRs.

Modifications to loans in the covered segment are similar in nature to that described above for non-covered loans, and the evaluation and determination of TDR status is similar, except that acquired loans restructured after acquisition are not considered TDRs for accounting and disclosure purposes if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools. Losses associated with the modification on covered loans, including the economic impact of interest rate reductions, are generally eligible for reimbursement under loss sharing agreements with the FDIC.

The following table provides a summary of TDR loans that defaulted (fully or partially charged-off or became 90 days or more past due) during the periods presented that were modified as TDRs within 12 months previous to default:

	2014				2013
(Dollars in Millions)	Number of Loans		Amount Defaulted		Number of Loans		Amount Defaulted
Three Months Ended September 30
Commercial		161	$	34		143	$	37
Commercial real estate		4		–		30		18
Residential mortgages		147		22		303		41
Credit card		1,665		9		1,485		8
Other retail		146		5		278		10
Total loans, excluding GNMA and covered loans		2,123		70		2,239		114
Loans purchased from GNMA mortgage pools		366		41		492		69
Covered loans		4		1		24		25
Total loans		2,493	$	112		2,755	$	208
Nine Months Ended September 30
Commercial		456	$	42		483	$	42
Commercial real estate		16		10		72		90
Residential mortgages		424		61		673		100
Credit card		4,586		25		5,109		29
Other retail		489		15		1,164		53
Total loans, excluding GNMA and covered loans		5,971		153		7,501		314
Loans purchased from GNMA mortgage pools		542		63		4,795		615
Covered loans		14		5		49		37
Total loans		6,527	$	221		12,345	$	966

In addition to the defaults in the table above, for the three and nine months ended September 30, 2014, the Company had a total of 435 and 1,313 residential mortgage loans, home equity and second mortgage loans and loans purchased from GNMA mortgage pools with aggregate outstanding balances of $57 million and $159 million, respectively, where borrowers did not successfully complete the trial period arrangement and therefore are no longer eligible for a permanent modification under the applicable modification program.

Covered Assets Covered assets represent loans and other assets acquired from the FDIC, subject to loss sharing agreements, and include expected reimbursements from the FDIC. Effective December 31, 2014, the loss sharing coverage provided by the FDIC expires on all covered assets, except for single family residential mortgages that remain covered under loss sharing agreements with remaining terms up to five years. The carrying amount of the covered assets consisted of purchased impaired loans, purchased nonimpaired loans and other assets as shown in the following table:

	September 30, 2014								December 31, 2013
(Dollars in Millions)	Purchased Impaired Loans		Purchased Nonimpaired Loans		Other Assets		Total		Purchased Impaired Loans		Purchased Nonimpaired Loans		Other Assets		Total
Commercial loans	$	–	$	21	$	–	$	21	$	–	$	32	$	–	$	32
Commercial real estate loans		464		1,093		–		1,557		738		1,494		–		2,232
Residential mortgage loans		2,849		774		–		3,623		3,037		890		–		3,927
Credit card loans		–		4		–		4		–		5		–		5
Other retail loans		–		605		–		605		–		666		–		666
Losses reimbursable by the FDIC (a)		–		–		737		737		–		–		798		798
Unamortized changes in FDIC asset (b)		–		–		507		507		–		–		802		802
Covered loans		3,313		2,497		1,244		7,054		3,775		3,087		1,600		8,462
Foreclosed real estate		–		–		72		72		–		–		97		97
Total covered assets	$	3,313	$	2,497	$	1,316	$	7,126	$	3,775	$	3,087	$	1,697	$	8,559

(a) Relates to loss sharing agreements with remaining terms up to five years.

(b) Represents decreases in expected reimbursements by the FDIC as a result of decreases in expected losses on the covered loans. These amounts are amortized as a reduction in interest income on covered loans over the shorter of the expected life of the respective covered loans or the remaining contractual term of the indemnification agreements.

At September 30, 2014 and December 31, 2013, $5 million of the purchased impaired loans included in covered loans were classified as nonperforming assets, because the expected cash flows are primarily based on the liquidation of underlying collateral and the timing and amount of the cash flows could not be reasonably estimated. Interest income is recognized on other purchased impaired loans through accretion of the difference between the carrying amount of those loans and their expected cash flows. The initial determination of the fair value of the purchased loans includes the impact of expected credit losses and, therefore, no allowance for credit losses is recorded at the purchase date. To the extent credit deterioration occurs after the date of acquisition, the Company records an allowance for credit losses.

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Investment Securities

9 Months Ended

Sep. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Investment Securities

 Note 4  Investment Securities

The amortized cost, other-than-temporary impairment recorded in other comprehensive income (loss), gross unrealized holding gains and losses, and fair value of held-to-maturity and available-for-sale investment securities were as follows:

	September 30, 2014												December 31, 2013
					Unrealized Losses												Unrealized Losses
(Dollars in Millions)	Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value		Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value
Held-to-maturity (a)
U.S. Treasury and agencies	$	2,679	$	8	$	–		$	(40	)	$	2,647	$	3,114	$	5	$	–		$	(79	)	$	3,040
Mortgage-backed securities
Residential
Agency		41,419		244		–			(358	)		41,305		35,671		187		–			(665	)		35,193
Non-agency non-prime (d)		1		–		–			–			1		1		–		–			–			1
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		8		–			–			8		–		9		–			–			9
Other		14		4		(1	)		–			17		16		4		(1	)		(1	)		18
Obligations of state and political subdivisions		10		–		–			–			10		12		–		–			–			12
Obligations of foreign governments		9		–		–			–			9		7		–		–			–			7
Other debt securities		99		–		–			(2	)		97		99		–		–			(11	)		88
Total held-to-maturity	$	44,231	$	264	$	(1	)	$	(400	)	$	44,094	$	38,920	$	205	$	(1	)	$	(756	)	$	38,368
Available-for-sale (b)
U.S. Treasury and agencies	$	2,692	$	7	$	–		$	(21	)	$	2,678	$	1,108	$	4	$	–		$	(67	)	$	1,045
Mortgage-backed securities
Residential
Agency		41,734		524		–			(421	)		41,837		31,633		449		–			(529	)		31,553
Non-agency
Prime (c)		420		11		(4	)		(1	)		426		486		4		(8	)		(4	)		478
Non-prime (d)		270		15		(1	)		–			284		297		5		(5	)		–			297
Commercial agency		119		3		–			–			122		148		4		–			–			152
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		19		4		–			–			23		20		4		–			–			24
Other		609		13		–			–			622		616		13		–			–			629
Obligations of state and political subdivisions		5,327		239		–			(3	)		5,563		5,673		116		–			(51	)		5,738
Obligations of foreign governments		6		–		–			–			6		6		–		–			–			6
Corporate debt securities		690		3		–			(54	)		639		734		–		–			(94	)		640
Perpetual preferred securities		201		27		–			(8	)		220		205		24		–			(17	)		212
Other investments		227		27		–			–			254		133		28		–			–			161
Total available-for-sale	$	52,314	$	873	$	(5	)	$	(508	)	$	52,674	$	41,059	$	651	$	(13	)	$	(762	)	$	40,935

(a) Held-to-maturity investment securities are carried at historical cost or at fair value at the time of transfer from the available-for-sale to held-to-maturity category, adjusted for amortization of premiums and accretion of discounts and credit-related other-than-temporary impairment.

(b) Available-for-sale investment securities are carried at fair value with unrealized net gains or losses reported within accumulated other comprehensive income (loss) in shareholders’ equity.

(c) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads). When the Company determines the designation, prime securities typically have a weighted average credit score of 725 or higher and a loan-to-value of 80 percent or lower; however, other pool characteristics may result in designations that deviate from these credit score and loan-to-value thresholds.

(d) Includes all securities not meeting the conditions to be designated as prime.

(e) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.

(f) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.

The weighted-average maturity of the available-for-sale investment securities was 4.9 years at September 30, 2014, compared with 6.0 years at December 31, 2013. The corresponding weighted-average yields were 2.35 percent and 2.64 percent, respectively. The weighted-average maturity of the held-to-maturity investment securities was 4.4 years at September 30, 2014, compared with 4.5 years at December 31, 2013. The corresponding weighted-average yields were 1.93 percent and 2.00 percent, respectively.

For amortized cost, fair value and yield by maturity date of held-to-maturity and available-for-sale investment securities outstanding at September 30, 2014, refer to Table 4 included in Management’s Discussion and Analysis which is incorporated by reference into these Notes to Consolidated Financial Statements.

Investment securities with a fair value of $12.9 billion at September 30, 2014, and $17.3 billion at December 31, 2013, were pledged to secure public, private and trust deposits, repurchase agreements and for other purposes required by contractual obligation or law. Included in these amounts were securities where the Company and certain counterparties have agreements granting the counterparties the right to sell or pledge the securities. Investment securities delivered under these types of arrangements had a fair value of $640 million at September 30, 2014, and $2.1 billion at December 31, 2013.

The following table provides information about the amount of interest income from taxable and non-taxable investment securities:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Taxable	$	419	$	357	$	1,203	$	1,029
Non-taxable		57		63		175		193
Total interest income from investment securities	$	476	$	420	$	1,378	$	1,222

The following table provides information about the amount of gross gains and losses realized through the sales of available-for-sale investment securities:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Realized gains	$	–	$	–	$	8	$	21
Realized losses		–		–		–		–
Net realized gains (losses)	$	–	$	–	$	8	$	21
Income tax (benefit) on net realized gains (losses)	$	–	$	–	$	3	$	8

The Company conducts a regular assessment of its investment securities with unrealized losses to determine whether investment securities are other-than-temporarily impaired considering, among other factors, the nature of the investment securities, credit ratings or financial condition of the issuer, the extent and duration of the unrealized loss, expected cash flows of underlying collateral, the existence of any government or agency guarantees, market conditions and whether the Company intends to sell or it is more likely than not the Company will be required to sell the investment securities.

The following tables summarize other-than-temporary impairment by investment category:

	2014								2013
Three Months Ended September 30 (Dollars in Millions)	Losses Recorded in Earnings			Other Gains (Losses) (c)		Total			Losses Recorded in Earnings			Other Gains (Losses) (c)		Total
Available-for-sale
Mortgage-backed securities
Non-agency residential
Prime (a)	$	–		$	–	$	–		$	(1	)	$	–	$	(1	)
Non-prime (b)		–			–		–			(2	)		1		(1	)
Perpetual preferred securities		(3	)		–		(3	)		–			–		–
Total available-for-sale	$	(3	)	$	–	$	(3	)	$	(3	)	$	1	$	(2	)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Losses represent the non-credit portion of other-than-temporary impairment recorded in other comprehensive income (loss) for investment securities determined to be other-than-temporarily impaired during the period. Gains represent recoveries in the fair value of securities that had non-credit other-than-temporary impairment during the period.

	2014								2013
Nine Months Ended September 30 (Dollars in Millions)	Losses Recorded in Earnings			Other Gains (Losses) (c)		Total			Losses Recorded in Earnings			Other Gains (Losses) (c)		Total
Available-for-sale
Mortgage-backed securities
Prime (a)	$	(1	)	$	1	$	–		$	(5	)	$	2	$	(3	)
Non-prime (b)		(2	)		–		(2	)		(8	)		6		(2	)
Perpetual preferred securities		(3	)		–		(3	)		–			–		–
Total available-for-sale	$	(6	)	$	1	$	(5	)	$	(13	)	$	8	$	(5	)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Losses represent the non-credit portion of other-than-temporary impairment recorded in other comprehensive income (loss) for investment securities determined to be other-than-temporarily impaired during the period. Gains represent recoveries in the fair value of securities that had non-credit other-than-temporary impairment during the period.

The Company determined the other-than-temporary impairment recorded in earnings for debt securities not intended to be sold by estimating the future cash flows of each individual investment security, using market information where available, and discounting the cash flows at the original effective rate of the investment security. Other-than-temporary impairment recorded in other comprehensive income (loss) was measured as the difference between that discounted amount and the fair value of each investment security. For perpetual preferred securities determined to be other-than-temporarily impaired, the Company recorded a loss in earnings for the entire difference between the securities’ fair value and their amortized cost.

The following table includes the ranges for significant assumptions used for those available-for-sale non-agency mortgage-backed securities determined to be other-than-temporarily impaired during the three months ended September 30, 2014:

	Non-Prime (a)
	Minimum			Maximum			Average
Estimated lifetime prepayment rates		8	%		10	%		8	%
Lifetime probability of default rates		6			8			8
Lifetime loss severity rates		40			55			42

(a) Includes all securities not meeting the conditions to be designated as prime.

Changes in the credit losses on debt securities (excluding perpetual preferred securities) are summarized as follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	111		$	124		$	116		$	134
Additions to Credit Losses Due to Other-than-temporary Impairments
Decreases in expected cash flows on securities for which other-than-temporary impairment was previously recognized		–			3			3			13
Total other-than-temporary impairment on debt securities		–			3			3			13
Other Changes in Credit Losses
Increases in expected cash flows		(2	)		(1	)		(4	)		(2	)
Realized losses (a)		(4	)		(4	)		(10	)		(18	)
Credit losses on security sales and securities expected to be sold		–			–			–			(5	)
Balance at end of period	$	105		$	122		$	105		$	122

(a) Primarily represents principal losses allocated to mortgage and asset-backed securities in the Company’s portfolio under the terms of the securitization transaction documents.

At September 30, 2014, certain investment securities had a fair value below amortized cost. The following table shows the gross unrealized losses and fair value of the Company’s investment securities with unrealized losses, aggregated by investment category and length of time the individual investment securities have been in continuous unrealized loss positions, at September 30, 2014:

	Less Than 12 Months					12 Months or Greater					Total
(Dollars in Millions)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Held-to-maturity
U.S. Treasury and agencies	$	577	$	(2	)	$	968	$	(38	)	$	1,545	$	(40	)
Residential agency mortgage-backed securities		11,469		(76	)		9,607		(282	)		21,076		(358	)
Other asset-backed securities		–		–			6		(1	)		6		(1	)
Other debt securities		–		–			22		(2	)		22		(2	)
Total held-to-maturity	$	12,046	$	(78	)	$	10,603	$	(323	)	$	22,649	$	(401	)
Available-for-sale
U.S. Treasury and agencies	$	1,173	$	(1	)	$	825	$	(20	)	$	1,998	$	(21	)
Mortgage-backed securities
Residential
Agency		9,519		(91	)		8,317		(330	)		17,836		(421	)
Non-agency (a)
Prime (b)		40		(1	)		114		(4	)		154		(5	)
Non-prime (c)		12		–			22		(1	)		34		(1	)
Other asset-backed securities		2		–			24		–			26		–
Obligations of state and political subdivisions		15		–			217		(3	)		232		(3	)
Obligations of foreign governments		6		–			–		–			6		–
Corporate debt securities		–		–			453		(54	)		453		(54	)
Perpetual preferred securities		45		–			76		(8	)		121		(8	)
Total available-for-sale	$	10,812	$	(93	)	$	10,048	$	(420	)	$	20,860	$	(513	)

(a) The Company has $6 million of unrealized losses on residential non-agency mortgage-backed securities. Credit-related other-than-temporary impairment on these securities may occur if there is further deterioration in the underlying collateral pool performance. Borrower defaults may increase if economic conditions worsen. Additionally, deterioration in home prices may increase the severity of projected losses.

(b) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(c) Includes all securities not meeting the conditions to be designated as prime.

The Company does not consider these unrealized losses to be credit-related. These unrealized losses primarily relate to changes in interest rates and market spreads subsequent to purchase. A substantial portion of investment securities that have unrealized losses are either corporate debt issued with high investment grade credit ratings or agency mortgage-backed securities. In general, the issuers of the investment securities are contractually prohibited from prepayment at less than par, and the Company did not pay significant purchase premiums for these investment securities. At September 30, 2014, the Company had no plans to sell investment securities with unrealized losses, and believes it is more likely than not it would not be required to sell such investment securities before recovery of their amortized cost.

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Guarantees and Contingent Liabilities

9 Months Ended

Sep. 30, 2014

Commitments and Contingencies Disclosure [Abstract]

Guarantees and Contingent Liabilities

 Note 16  Guarantees and Contingent Liabilities

Visa Restructuring and Card Association Litigation The Company’s payment services business issues and acquires credit and debit card transactions through the Visa U.S.A. Inc. card association or its affiliates (collectively “Visa”). In 2007, Visa completed a restructuring and issued shares of Visa Inc. common stock to its financial institution members in contemplation of its initial public offering (“IPO”) completed in the first quarter of 2008 (the “Visa Reorganization”). As a part of the Visa Reorganization, the Company received its proportionate number of shares of Visa Inc. common stock, which were subsequently converted to Class B shares of Visa Inc. (“Class B shares”). Visa U.S.A. Inc. (“Visa U.S.A.”) and MasterCard International (collectively, the “Card Associations”) are defendants in antitrust lawsuits challenging the practices of the Card Associations (the “Visa Litigation”). Visa U.S.A. member banks have a contingent obligation to indemnify Visa Inc. under the Visa U.S.A. bylaws (which were modified at the time of the restructuring in October 2007) for potential losses arising from the Visa Litigation. The indemnification by the Visa U.S.A. member banks has no specific maximum amount.

Using proceeds from its IPO and through reductions to the conversion ratio applicable to the Class B shares held by Visa U.S.A. member banks, Visa Inc. has funded an escrow account for the benefit of member financial institutions to fund their indemnification obligations associated with the Visa Litigation. The receivable related to the escrow account is classified in other liabilities as a direct offset to the related Visa Litigation contingent liability. On October 19, 2012, Visa signed a settlement agreement to resolve class action claims associated with the multi-district interchange litigation, the largest of the remaining Visa Litigation matters. The settlement has been approved by the court, but has been challenged by some class members and is being appealed. In addition, a number of class members opted out of the settlement and have filed actions against the Card Associations. At September 30, 2014, the carrying amount of the Company’s liability related to the Visa Litigation matters, net of its share of the escrow fundings, was $19 million. The Company sold 3.0 million and .4 million of its Class B shares during the second and third quarters of 2014, respectively. These sales do not impact the Company’s liability for the Visa Litigation matters or the receivable related to the escrow account. The remaining 9.2 million Class B shares held by the Company will be eligible for conversion to Class A shares of Visa Inc., and thereby become marketable, upon final settlement of the Visa Litigation. These shares are excluded from the Company’s financial instruments disclosures included in Note 15.

Other Guarantees and Contingent Liabilities

The following table is a summary of other guarantees and contingent liabilities of the Company at September 30, 2014:

(Dollars in Millions)	Collateral Held		Carrying Amount		Maximum Potential Future Payments
Standby letters of credit	$	–	$	63	$	15,201
Third-party borrowing arrangements		–		–		16
Securities lending indemnifications		5,166		–		5,002
Asset sales		–		160		4,040	(a)
Merchant processing		780		66		92,835
Contingent consideration arrangements		–		2		2
Tender option bond program guarantee		4,079		–		3,915
Minimum revenue guarantees		–		7		7
Other		–		–		525

(a) The maximum potential future payments do not include loan sales where the Company provides standard representation and warranties to the buyer against losses related to loan underwriting documentation defects that may have existed at the time of sale that generally are identified after the occurrence of a triggering event such as delinquency. For these types of loan sales, the maximum potential future payments is generally the unpaid principal balance of loans sold measured at the end of the current reporting period. Actual losses will be significantly less than the maximum exposure, as only a fraction of loans sold will have a representation and warranty breach, and any losses on repurchase would generally be mitigated by any collateral held against the loans.

Merchant Processing The Company, through its subsidiaries, provides merchant processing services. Under the rules of credit card associations, a merchant processor retains a contingent liability for credit card transactions processed. This contingent liability arises in the event of a billing dispute between the merchant and a cardholder that is ultimately resolved in the cardholder’s favor. In this situation, the transaction is “charged-back” to the merchant and the disputed amount is credited or otherwise refunded to the cardholder. If the Company is unable to collect this amount from the merchant, it bears the loss for the amount of the refund paid to the cardholder.

The Company currently processes card transactions in the United States, Canada, Europe, Mexico and Brazil through wholly-owned subsidiaries and joint ventures with other financial institutions. In the event a merchant was unable to fulfill product or services subject to delayed delivery, such as airline tickets, the Company could become financially liable for refunding tickets purchased through the credit card associations under the charge-back provisions. Charge-back risk related to these merchants is evaluated in a manner similar to credit risk assessments and, as such, merchant processing contracts contain various provisions to protect the Company in the event of default. At September 30, 2014, the value of airline tickets purchased to be delivered at a future date was $6.8 billion. The Company held collateral of $648 million in escrow deposits, letters of credit and indemnities from financial institutions, and liens on various assets.

Asset Sales The Company regularly sells loans to GSEs as part of its mortgage banking activities. The Company provides customary representation and warranties to the GSEs in conjunction with these sales. These representations and warranties generally require the Company to repurchase assets if it is subsequently determined that a loan did not meet specified criteria, such as a documentation deficiency or rescission of mortgage insurance. If the Company is unable to cure or refute a repurchase request, the Company is generally obligated to repurchase the loan or otherwise reimburse the counterparty for losses. At September 30, 2014, the Company had reserved $62 million for potential losses from representation and warranty obligations, compared with $83 million at December 31, 2013. The Company’s reserve reflects management’s best estimate of losses for representation and warranty obligations. The Company’s repurchase reserve is modeled at the loan level, taking into consideration the individual credit quality and borrower activity that has transpired since origination. The model applies credit quality and economic risk factors to derive a probability of default and potential repurchase that are based on the Company’s historical loss experience, and estimates loss severity based on expected collateral value. The Company also considers qualitative factors that may result in anticipated losses differing from historical loss trends.

The following table is a rollforward of the Company’s representation and warranty reserve:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	69		$	190		$	83		$	240
Net realized losses		(1	)		(13	)		(13	)		(52	)
Change in reserve		(6	)		(1	)		(8	)		(12	)
Balance at end of period	$	62		$	176		$	62		$	176

As of September 30, 2014 and December 31, 2013, the Company had $29 million and $89 million, respectively, of unresolved representation and warranty claims from the GSEs. The Company does not have a significant amount of unresolved claims from investors other than the GSEs.

Litigation and Regulatory Matters The Company is subject to various litigation and regulatory matters that arise in the ordinary course of its business. The Company establishes reserves for such matters when potential losses become probable and can be reasonably estimated. The Company believes the ultimate resolution of existing legal and regulatory matters will not have a material adverse effect on the financial condition, results of operations or cash flows of the Company. However, changes in circumstances or additional information could result in additional accruals or resolution in excess of established accruals, which could adversely affect the Company’s results from operations, potentially materially.

The Company is currently subject to investigations and examinations by government agencies and bank regulators concerning mortgage-related practices, including those related to compliance with selling guidelines relating to residential home loans sold to GSEs, foreclosure-related expenses submitted to the Federal Housing Administration or GSEs for reimbursement, and various practices related to lender-placed insurance. The Company is also regularly subject to examinations and inquiries in areas of increasing regulatory scrutiny, such as compliance, risk management, third party management, consumer protection, anti-money laundering and Office of Foreign Assets Control requirements. The Company is cooperating fully with these examinations, inquiries and investigations, any of which could lead to administrative or legal proceedings or settlements. Remedies in these proceedings or settlements may include fines, penalties, restitution or alterations in the Company’s business practices (which may increase the Company’s operating expenses).

Certain federal and state governmental authorities reached settlement agreements in 2012 and 2013 with other major financial institutions regarding their mortgage origination, servicing, and foreclosure activities. Those governmental authorities have had settlement discussions with other financial institutions, including the Company. The Company has not agreed to any settlement; however, if a settlement were reached it would likely include an agreement to comply with specified servicing standards, and settlement payments to governmental authorities as well as a monetary commitment that could be satisfied under various loan modification programs (in addition to the programs the Company already has in place).

Due to their complex nature, it can be years before litigation and regulatory matters are resolved. For those litigation and regulatory matters where the Company has information to develop an estimate or range of loss, the Company believes the upper end of reasonably possible losses in aggregate, in excess of any reserves established for matters where a loss is considered probable, will not be material to its financial statements. The Company’s estimates are subject to significant judgment and uncertainties, and the matters underlying the estimates will change from time to time. Actual results may vary significantly from the current estimates.

For additional information on the nature of the Company’s guarantees and contingent liabilities, refer to Note 22 in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.

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Income Taxes

9 Months Ended

Sep. 30, 2014

Income Tax Disclosure [Abstract]

Income Taxes

 Note 12  Income Taxes

The components of income tax expense were:

	Three Months Ended					Nine Months Ended
	September 30,					September 30,
(Dollars in Millions)	2014			2013		2014			2013
Federal
Current	$	423		$	390	$	1,334		$	1,506
Deferred		10			57		(19	)		(35	)
Federal income tax		433			447		1,315			1,471
State
Current		101			84		268			161
Deferred		(11	)		11		(17	)		(3	)
State income tax		90			95		251			158
Total income tax provision	$	523		$	542	$	1,566		$	1,629

A reconciliation of expected income tax expense at the federal statutory rate of 35 percent to the Company’s applicable income tax expense follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in Millions)	2014			2013			2014			2013
Tax at statutory rate	$	704		$	690		$	2,091		$	2,061
State income tax, at statutory rates, net of federal tax benefit		62			62			163			102
Tax effect of
Tax credits and benefits, net of related expenses		(186	)		(176	)		(535	)		(394	)
Tax-exempt income		(51	)		(52	)		(154	)		(159	)
Noncontrolling interests		(5	)		13			(15	)		42
Other items		(1	)		5			16			(23	)
Applicable income taxes	$	523		$	542		$	1,566		$	1,629

The Company’s income tax returns are subject to review and examination by federal, state, local and foreign government authorities. On an ongoing basis, numerous federal, state, local and foreign examinations are in progress and cover multiple tax years. As of September 30, 2014, the federal taxing authority has completed its examination of the Company through the fiscal year ended December 31, 2010. The years open to examination by foreign, state and local government authorities vary by jurisdiction.

The Company’s net deferred tax liability was $1.8 billion at September 30, 2014, and $1.3 billion at December 31, 2013.

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Income Taxes - Components of Income Tax Expense (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Federal
Current	$ 423	$ 390	$ 1,334	$ 1,506
Deferred	10	57	(19)	(35)
Federal income tax	433	447	1,315	1,471
State
Current	101	84	268	161
Deferred	(11)	11	(17)	(3)
State income tax	90	95	251	158
Applicable income taxes	$ 523	$ 542	$ 1,566	$ 1,629

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Preferred Stock

9 Months Ended

Sep. 30, 2014

Equity [Abstract]

Preferred Stock

 Note 8  Preferred Stock

At September 30, 2014 and December 31, 2013, the Company had authority to issue 50 million shares of preferred stock. The number of shares issued and outstanding and the carrying amount of each outstanding series of the Company’s preferred stock were as follows:

	September 30, 2014								December 31, 2013
		Shares								Shares
		Issued and		Liquidation				Carrying		Issued and		Liquidation				Carrying
(Dollars in Millions)	Outstanding		Preference		Discount		Amount		Outstanding		Preference		Discount		Amount
Series A		12,510	$	1,251	$	145	$	1,106		12,510	$	1,251	$	145	$	1,106
Series B		40,000		1,000		–		1,000		40,000		1,000		–		1,000
Series F		44,000		1,100		12		1,088		44,000		1,100		12		1,088
Series G		43,400		1,085		10		1,075		43,400		1,085		10		1,075
Series H		20,000		500		13		487		20,000		500		13		487
Total preferred stock (a)		159,910	$	4,936	$	180	$	4,756		159,910	$	4,936	$	180	$	4,756

(a) The par value of all shares issued and outstanding at September 30, 2014 and December 31, 2013, was $1.00 per share.

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Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Type and Delinquency Status of those that Continue to Accrue Interest and are Nonperforming (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	$ 242,011	$ 231,097
Accruing 30-89 Days Past Due	1,051	1,346
Accruing 90 Days or More Past Due	962	1,189
Nonperforming	1,567	1,603
Total loans, excluding covered loans	238,537	226,773
Total loans	245,591	235,235
Commercial [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	78,453	69,587
Accruing 30-89 Days Past Due	215	257
Accruing 90 Days or More Past Due	37	55
Nonperforming	173	134
Total loans, excluding covered loans	78,878	70,033
Commercial Real Estate [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	40,606	39,459
Accruing 30-89 Days Past Due	50	94
Accruing 90 Days or More Past Due	12	29
Nonperforming	241	303
Total loans, excluding covered loans	40,909	39,885
Residential Mortgages [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	50,662	49,695
Accruing 30-89 Days Past Due	243	358
Accruing 90 Days or More Past Due	211	333
Nonperforming	841	770
Total loans, excluding covered loans	51,957	51,156
Credit Card [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	17,403	17,507
Accruing 30-89 Days Past Due	219	226
Accruing 90 Days or More Past Due	196	210
Nonperforming	40	78
Total loans, excluding covered loans	17,858	18,021
Other Retail [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	48,453	47,156
Accruing 30-89 Days Past Due	222	245
Accruing 90 Days or More Past Due	76	86
Nonperforming	184	191
Total loans, excluding covered loans	48,935	47,678
Total Loans, Excluding Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	235,577	223,404
Accruing 30-89 Days Past Due	949	1,180
Accruing 90 Days or More Past Due	532	713
Nonperforming	1,479	1,476
Total loans, excluding covered loans	238,537	226,773
Covered Loans [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Current	6,434	7,693
Accruing 30-89 Days Past Due	102	166
Accruing 90 Days or More Past Due	430	476
Nonperforming	88	127
Total loans	$ 7,054	$ 8,462

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Guarantees and Contingent Liabilities - Representation and Warranty Reserve Rollforward (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Valuation and Qualifying Accounts [Abstract]
Representation and Warranty Reserve, Beginning Balance	$ 69	$ 190	$ 83	$ 240
Net realized losses	(1)	(13)	(13)	(52)
Change in reserve	(6)	(1)	(8)	(12)
Representation and Warranty Reserve, Ending Balance	$ 62	$ 176	$ 62	$ 176

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Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities

9 Months Ended

Sep. 30, 2014

Accounting Policies [Abstract]

Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities

Note 6 Accounting for Transfers and Servicing of Financial Assets and Variable Interest Entities

The Company transfers financial assets in the normal course of business. The majority of the Company’s financial asset transfers are residential mortgage loan sales primarily to government-sponsored enterprises (“GSEs”), transfers of tax-advantaged investments, commercial loan sales through participation agreements, and other individual or portfolio loan and securities sales. In accordance with the accounting guidance for asset transfers, the Company considers any ongoing involvement with transferred assets in determining whether the assets can be derecognized from the balance sheet. Guarantees provided to certain third-parties in connection with the transfer of assets are further discussed in Note 16.

For loans sold under participation agreements, the Company also considers whether the terms of the loan participation agreement meet the accounting definition of a participating interest. With the exception of servicing and certain performance-based guarantees, the Company’s continuing involvement with financial assets sold is minimal and generally limited to market customary representation and warranty clauses. Any gain or loss on sale depends on the previous carrying amount of the transferred financial assets, the consideration received, and any liabilities incurred in exchange for the transferred assets. Upon transfer, any servicing assets and other interests that continue to be held by the Company are initially recognized at fair value. For further information on mortgage servicing rights (“MSRs”), refer to Note 7. On a limited basis, the Company may acquire and package high-grade corporate bonds for select corporate customers, in which the Company generally has no continuing involvement with these transactions. Additionally, the Company is an authorized GNMA issuer and issues GNMA securities on a regular basis. The Company has no other asset securitizations or similar asset-backed financing arrangements that are off-balance sheet.

The Company is involved in various entities that are considered to be variable interest entities (“VIEs”). The Company’s investments in VIEs are primarily related to investments promoting affordable housing, community development and renewable energy sources. Some of these tax-advantaged investments support the Company’s regulatory compliance with the Community Reinvestment Act. The Company’s investments in these entities generate a return primarily through the realization of federal and state income tax credits, and other tax benefits, such as tax deductions from operating losses of the investments, over specified time periods. These tax credits are recognized as a reduction of tax expense or, for investments qualifying as investment tax credits, as a reduction to the related investment asset. In January 2014, the Financial Accounting Standards Board issued accounting guidance for qualified affordable housing projects. This new guidance permits the Company to present the expense on certain qualified affordable housing investments in tax expense rather than noninterest expense. The Company adopted this guidance January 1, 2014, on a prospective basis, because the impact on prior financial statements was not material. The Company recognized federal and state income tax credits related to its affordable housing and other tax-advantaged investments in tax expense of $189 million and $187 million for the three months ended September 30, 2014 and 2013, respectively, and $546 million and $527 million for the nine months ended September 30, 2014 and 2013, respectively. The Company also recognized $262 million and $254 million of investment tax credits for the three months ended September 30, 2014 and 2013, respectively, and $582 million and $454 million for the nine months ended September 30, 2014 and 2013, respectively. The Company recognized $187 million and $247 million of expenses related to all of these investments for the three months ended September 30, 2014 and 2013, respectively, of which $60 million and $87 million, respectively, was included in tax expense and the remainder was included in noninterest expense. The Company recognized $517 million and $686 million of expenses related to all of these investments for the nine months ended September 30, 2014 and 2013, respectively, of which $190 million and $267 million, respectively, was included in tax expense and the remainder was included in noninterest expense.

The Company is not required to consolidate VIEs in which it has concluded it does not have a controlling financial interest, and thus is not the primary beneficiary. In such cases, the Company does not have both the power to direct the entities’ most significant activities and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIEs. The Company’s investments in these unconsolidated VIEs, including funded and unfunded capital commitments, are carried in other assets on the Consolidated Balance Sheet. The Company’s unfunded capital and other commitments related to these unconsolidated VIEs are generally carried in other liabilities on the Consolidated Balance Sheet. The Company’s maximum exposure to loss from these unconsolidated VIEs include the investment recorded on the Company’s Consolidated Balance Sheet, net of unfunded capital commitments, and previously recorded tax credits which remain subject to recapture by taxing authorities based on compliance features required to be met at the project level. While the Company believes potential losses from these investments are remote, the maximum exposure was determined by assuming a scenario where the community-based business and housing projects completely fail and do not meet certain government compliance requirements resulting in recapture of the related tax credits.

The following table provides a summary of investments in community development and tax-advantaged VIEs that the Company has not consolidated:

(Dollars in Millions)	September 30, 2014		December 31, 2013
Investment carrying amount	$	4,385	$	4,178
Unfunded capital and other commitments		1,850		1,661
Maximum exposure to loss		8,038		7,390

The Company’s individual net investments in these unconsolidated VIEs, which exclude any unfunded capital commitments, ranged from less than $1 million to $54 million at September 30, 2014, compared with less than $1 million to $37 million at December 31, 2013.

In addition, the Company sponsors entities to which it transfers tax-advantaged investments to third parties. At September 30, 2014, approximately $2.6 billion of the Company’s assets and $2.0 billion of its liabilities included on the Consolidated Balance Sheet were related to community development and tax-advantaged investment VIEs which the Company has consolidated, primarily related to these transfers. These amounts compared to $2.5 billion and $1.8 billion, respectively, at December 31, 2013. The majority of the assets of these consolidated VIEs are reported in other assets, and the liabilities are reported in long-term debt and other liabilities. The assets of a particular VIE are the primary source of funds to settle its obligations. The creditors of the VIEs do not have recourse to the general credit of the Company. The Company’s exposure to the consolidated VIEs is generally limited to the carrying value of its variable interests plus any related tax credits previously recognized or transferred to others with a guarantee.

The Company also sponsors a conduit to which it previously transferred high-grade investment securities. The Company consolidates the conduit because of its ability to manage the activities of the conduit. At September 30, 2014, $114 million of the held-to-maturity investment securities on the Company’s Consolidated Balance Sheet were related to the conduit, compared with $116 million at December 31, 2013.

In addition, the Company sponsors a municipal bond securities tender option bond program. The Company controls the activities of the program’s entities, is entitled to the residual returns and provides credit, liquidity and remarketing arrangements to the program. As a result, the Company has consolidated the program’s entities. At September 30, 2014, $4.1 billion of available-for-sale securities and $3.9 billion of short-term borrowings on the Consolidated Balance Sheet were related to the tender option bond program, compared with $4.6 billion of available-for-sale securities and $4.6 billion of short-term borrowings at December 31, 2013.

The Company also has noncontrolling financial investments in private investment funds and partnerships considered VIEs, which are not consolidated. The Company’s recorded investment in these entities, carried in other assets on the Consolidated Balance Sheet, was approximately $97 million at September 30, 2014, compared with $98 million at December 31, 2013. The maximum exposure to loss related to these VIEs was $106 million at September 30, 2014 and $107 million at December 31, 2013, representing the Company’s investment balance and its unfunded commitments to invest additional amounts.

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Mortgage Servicing Rights

9 Months Ended

Sep. 30, 2014

Text Block [Abstract]

Mortgage Servicing Rights

 Note 7  Mortgage Servicing Rights

The Company serviced $224.6 billion of residential mortgage loans for others at September 30, 2014, and $226.8 billion at December 31, 2013, which include subserviced mortgages with no corresponding MSRs asset. The net impact included in mortgage banking revenue of fair value changes of MSRs due to changes in valuation assumptions and derivatives used to economically hedge MSRs were net gains of $49 million and $108 million for the three months ended September 30, 2014 and 2013, respectively, and net gains of $200 million (of which $44 million related to excess servicing rights sold during the second quarter of 2014) and $163 million for the nine months ended September 30, 2014 and 2013, respectively. Loan servicing fees, not including valuation changes, included in mortgage banking revenue, were $178 million and $192 million for the three months ended September 30, 2014 and 2013, respectively, and $551 million and $566 million for the nine months ended September 30, 2014 and 2013, respectively.

Changes in fair value of capitalized MSRs are summarized as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	2,412		$	2,377		$	2,680		$	1,700
Rights purchased		1			2			3			7
Rights capitalized		109			187			264			674
Rights sold		–			–			(141	)		–
Changes in fair value of MSRs
Due to fluctuations in market interest rates (a)		29			71			(129	)		503
Due to revised assumptions or models (b)		15			42			71			33
Other changes in fair value (c)		(105	)		(102	)		(287	)		(340	)
Balance at end of period	$	2,461		$	2,577		$	2,461		$	2,577

(a) Includes changes in MSR value associated with changes in market interest rates, including estimated prepayment rates and anticipated earnings on escrow deposits.

(b) Includes changes in MSR value not caused by changes in market interest rates, such as changes in cost to service, ancillary income, and discount rate, as well as the impact of any model changes.

(c) Primarily represents changes due to realization of expected cash flows over time (decay).

The estimated sensitivity to changes in interest rates of the fair value of the MSRs portfolio and the related derivative instruments was as follows:

	September 30, 2014																		December 31, 2013
		Down			Down			Down			Up			Up			Up			Down			Down			Down			Up			Up			Up
(Dollars in Millions)	100 bps			50 bps			25 bps			25 bps			50 bps			100 bps			100 bps			50 bps			25 bps			25 bps			50 bps			100 bps
MSR portfolio	$	(490	)	$	(212	)	$	(99	)	$	84		$	157		$	297		$	(435	)	$	(199	)	$	(93	)	$	82		$	154		$	287
Derivative instrument hedges		391			196			94			(87	)		(167	)		(319	)		399			194			91			(82	)		(157	)		(301	)
Net sensitivity	$	(99	)	$	(16	)	$	(5	)	$	(3	)	$	(10	)	$	(22	)	$	(36	)	$	(5	)	$	(2	)	$	–		$	(3	)	$	(14	)

The fair value of MSRs and their sensitivity to changes in interest rates is influenced by the mix of the servicing portfolio and characteristics of each segment of the portfolio. The Company’s servicing portfolio consists of the distinct portfolios of government-insured mortgages, conventional mortgages and Mortgage Revenue Bond Programs (“MRBP”). The servicing portfolios are predominantly comprised of fixed-rate agency loans with limited adjustable-rate or jumbo mortgage loans. The MRBP division specializes in servicing loans made under state and local housing authority programs. These programs provide mortgages to low-income and moderate-income borrowers and are generally government-insured programs with a favorable rate subsidy, down payment and/or closing cost assistance.

A summary of the Company’s MSRs and related characteristics by portfolio was as follows:

	September 30, 2014												December 31, 2013
(Dollars in Millions)	MRBP			Government			Conventional (b)			Total			MRBP			Government			Conventional (b)			Total
Servicing portfolio	$	18,052		$	40,600		$	163,757		$	222,409		$	15,896		$	41,659		$	169,287		$	226,842
Fair value	$	199		$	469		$	1,793		$	2,461		$	180		$	500		$	2,000		$	2,680
Value (bps) (a)		110			116			109			111			113			120			118			118
Weighted-average servicing fees (bps)		37			33			27			29			39			32			29			30
Multiple (value/servicing fees)		2.97			3.52			4.04			3.83			2.90			3.75			4.07			3.93
Weighted-average note rate		4.62	%		4.20	%		4.15	%		4.20	%		4.70	%		4.24	%		4.17	%		4.22	%
Weighted-average age (in years)		3.7			3.1			3.0			3.1			3.8			2.6			2.5			2.6
Weighted-average expected prepayment (constant prepayment rate)		12.9	%		12.4	%		10.6	%		11.1	%		13.5	%		11.5	%		10.9	%		11.2	%
Weighted-average expected life (in years)		6.2			6.4			7.0			6.8			6.2			6.9			7.2			7.1
Weighted-average discount rate		11.9	%		11.2	%		9.6	%		10.1	%		11.9	%		11.2	%		9.8	%		10.2	%

(a) Value is calculated as fair value divided by the servicing portfolio.

(b) Represents loans sold primarily to GSEs.

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Accumulated Other Comprehensive Income (Loss)

9 Months Ended

Sep. 30, 2014

Equity [Abstract]

Accumulated Other Comprehensive Income (Loss)

 Note 9  Accumulated Other Comprehensive Income (Loss)

Shareholders’ equity is affected by transactions and valuations of asset and liability positions that require adjustments to accumulated other comprehensive income (loss). The reconciliation of the transactions affecting accumulated other comprehensive income (loss) included in shareholders’ equity is as follows:

Three Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For- Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For-Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	233		$	60		$	(225	)	$	(699	)	$	(51	)	$	(682	)
Changes in unrealized gains and losses		(21	)		–			16			–			–			(5	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		–			–			–			–			–			–
Foreign currency translation adjustment		–			–			–			–			4			4
Reclassification to earnings of realized gains and losses		3			(7	)		45			35			–			76
Applicable income taxes		7			3			(23	)		(14	)		(2	)		(29	)
Balance at end of period	$	222		$	56		$	(187	)	$	(678	)	$	(49	)	$	(636	)
2013
Balance at beginning of period	$	185		$	84		$	(313	)	$	(1,184	)	$	(60	)	$	(1,288	)
Changes in unrealized gains and losses		(237	)		–			(17	)	$	38			–			(216	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1			–			–			–			–			1
Foreign currency translation adjustment		–			–			–			–			13			13
Reclassification to earnings of realized gains and losses		3			(13	)		47			62			–			99
Applicable income taxes		89			5			(11	)		(38	)		(5	)		40
Balance at end of period	$	41		$	76		$	(294	)	$	(1,122	)	$	(52	)	$	(1,351	)

Nine Months Ended September 30 (Dollars in Millions)	Unrealized Gains (Losses) on Securities Available-For- Sale			Unrealized Gains (Losses) on Securities Transferred From Available-For-Sale to Held-To- Maturity			Unrealized Gains (Losses) on Derivative Hedges			Unrealized Gains (Losses) on Retirement Plans			Foreign Currency Translation			Total
2014
Balance at beginning of period	$	(77	)	$	70		$	(261	)	$	(743	)	$	(60	)	$	(1,071	)
Changes in unrealized gains and losses		486			–			(19	)		–			–			467
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1			–			–			–			–			1
Foreign currency translation adjustment		–			–			–			–			18			18
Reclassification to earnings of realized gains and losses		(2	)		(23	)		139			107			–			221
Applicable income taxes		(186	)		9			(46	)		(42	)		(7	)		(272	)
Balance at end of period	$	222		$	56		$	(187	)	$	(678	)	$	(49	)	$	(636	)
2013
Balance at beginning of period	$	679		$	107		$	(404	)	$	(1,265	)	$	(40	)	$	(923	)
Changes in unrealized gains and losses		(1,032	)		–			33			37			–			(962	)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		8			–			–			–			–			8
Foreign currency translation adjustment		–			–			–			–			(20	)		(20	)
Reclassification to earnings of realized gains and losses		(8	)		(50	)		142			186			–			270
Applicable income taxes		394			19			(65	)		(80	)		8			276
Balance at end of period	$	41		$	76		$	(294	)	$	(1,122	)	$	(52	)	$	(1,351	)

Additional detail about the impact to net income for items reclassified out of accumulated other comprehensive income (loss) and into earnings, is as follows:

	Impact to Net Income
	Three Months Ended September 30,						Nine Months Ended September 30,						Affected Line Item in the Consolidated Statement of Income
(Dollars in Millions)	2014			2013			2014			2013
Unrealized gains (losses) on securities available-for-sale
Realized gains (losses) on sale of securities	$	–		$	–		$	8		$	21		Total securities gains (losses), net
Other-than-temporary impairment recognized in earnings		(3	)		(3	)		(6	)		(13	)
		(3	)		(3	)		2			8		Total before tax
		1			1			(1	)		(3	)	Applicable income taxes
		(2	)		(2	)		1			5		Net-of-tax
Unrealized gains (losses) on securities transferred from available-for-sale to held-to-maturity
Amortization of unrealized gains		7			13			23			50		Interest income
		(3	)		(5	)		(9	)		(19	)	Applicable income taxes
		4			8			14			31		Net-of-tax
Unrealized gains (losses) on derivative hedges
Realized gains (losses) on derivative hedges		(45	)		(47	)		(139	)		(142	)	Net interest income
		17			18			53			55		Applicable income taxes
		(28	)		(29	)		(86	)		(87	)	Net-of-tax
Unrealized gains (losses) on retirement plans
Actuarial gains (losses), prior service cost (credit) and transition obligation (asset) amortization		(35	)		(62	)		(107	)		(186	)	Employee benefits expense
		14			24			42			72		Applicable income taxes
		(21	)		(38	)		(65	)		(114	)	Net-of-tax
Total impact to net income	$	(47	)	$	(61	)	$	(136	)	$	(165	)

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Loans and Allowance for Credit Losses - Summary of Impaired Loans by Portfolio Class (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	$ 7,070	$ 7,602
Unpaid Principal Balance	9,317	10,136
Valuation Allowance	500	599
Commitments to Lend Additional Funds	154	112
Commercial [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	408	382
Unpaid Principal Balance	848	804
Valuation Allowance	27	36
Commitments to Lend Additional Funds	135	54
Commercial Real Estate [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	525	693
Unpaid Principal Balance	1,037	1,322
Valuation Allowance	30	51
Commitments to Lend Additional Funds	14	40
Residential Mortgages [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	2,740	2,767
Unpaid Principal Balance	3,678	3,492
Valuation Allowance	261	308
Commitments to Lend Additional Funds
Credit Card [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	256	310
Unpaid Principal Balance	256	310
Valuation Allowance	64	87
Commitments to Lend Additional Funds
Other Retail [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	368	391
Unpaid Principal Balance	413	593
Valuation Allowance	47	59
Commitments to Lend Additional Funds	4	14
Total Impaired Loans, Excluding GNMA and Covered Loans [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	4,297	4,543
Unpaid Principal Balance	6,232	6,521
Valuation Allowance	429	541
Commitments to Lend Additional Funds	153	108
Loans Purchased from GNMA Mortgage Pools [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	2,478	2,607
Unpaid Principal Balance	2,478	2,607
Valuation Allowance	51	28
Commitments to Lend Additional Funds
Covered Loans [Member]
Financing Receivable, Impaired [Line Items]
Period-end Recorded Investment	295	452
Unpaid Principal Balance	607	1,008
Valuation Allowance	20	30
Commitments to Lend Additional Funds	$ 1	$ 4

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Income Taxes - Additional Information (Detail) (USD $) In Billions, unless otherwise specified	9 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Income Taxes Additional Information [Abstract]
Federal statutory rate	35.00%
Net deferred tax liability	$ 1.8	$ 1.3

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Loans and Allowance for Credit Losses - Summary of Loans Modified as TDRs (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014 SecurityLoan	Sep. 30, 2013 SecurityLoan	Sep. 30, 2014 SecurityLoan	Sep. 30, 2013 SecurityLoan
Financing Receivable, Modifications [Line Items]
Number of Loans	10,809	10,584	32,941	33,909
Pre-Modification Outstanding Loan Balance	$ 447	$ 559	$ 1,439	$ 1,672
Post-Modification Outstanding Loan Balance	444	529	1,408	1,589
Commercial [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	448	551	1,633	1,962
Pre-Modification Outstanding Loan Balance	28	62	181	150
Post-Modification Outstanding Loan Balance	26	60	169	140
Commercial Real Estate [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	27	48	54	147
Pre-Modification Outstanding Loan Balance	14	76	33	193
Post-Modification Outstanding Loan Balance	13	73	28	186
Residential Mortgages [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	525	338	1,732	1,575
Pre-Modification Outstanding Loan Balance	71	42	232	214
Post-Modification Outstanding Loan Balance	70	42	231	210
Credit Card [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	6,708	6,447	20,040	20,147
Pre-Modification Outstanding Loan Balance	35	39	111	122
Post-Modification Outstanding Loan Balance	36	38	112	122
Other Retail [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	810	847	2,246	3,519
Pre-Modification Outstanding Loan Balance	18	21	52	86
Post-Modification Outstanding Loan Balance	18	21	52	85
Total Loans, Excluding GNMA and Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	8,518	8,231	25,705	27,350
Pre-Modification Outstanding Loan Balance	166	240	609	765
Post-Modification Outstanding Loan Balance	163	234	592	743
Loans Purchased from GNMA Mortgage Pools [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	2,273	2,315	7,198	6,450
Pre-Modification Outstanding Loan Balance	278	300	816	822
Post-Modification Outstanding Loan Balance	278	284	803	782
Covered Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans	18	38	38	109
Pre-Modification Outstanding Loan Balance	3	19	14	85
Post-Modification Outstanding Loan Balance	$ 3	$ 11	$ 13	$ 64

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Fair Values of Assets and Liabilities - Changes in Fair Value for All Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Non-agency Prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	$ 447	$ 547	$ 478	$ 624
Net Gains (Losses) Included in Net Income		(2)		(6)
Net Gains (Losses) Included in Other Comprehensive Income (Loss)	2	(4)	14	4
Purchases
Sales
Principal Payments	(23)	(41)	(66)	(122)
Issuances
Settlements
End of Period Balance	426	500	426	500
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period	2	(4)	14	4
Non-agency Non-prime [Member] | Mortgage-backed securities Residential [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	286	319	297	355
Net Gains (Losses) Included in Net Income		(3)	(4)	(11)
Net Gains (Losses) Included in Other Comprehensive Income (Loss)	6	(4)	14	13
Purchases
Sales				(20)
Principal Payments	(8)	(9)	(23)	(34)
Issuances
Settlements
End of Period Balance	284	303	284	303
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period	6	(4)	14	14
Asset-backed securities Other [Member] | Asset-Backed Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	66	40	63	15
Net Gains (Losses) Included in Net Income		1	2	2
Net Gains (Losses) Included in Other Comprehensive Income (Loss)		(2)	1	(1)
Purchases		3	4	28
Sales
Principal Payments	(2)	(2)	(6)	(4)
Issuances
Settlements
End of Period Balance	64	40	64	40
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period		(2)	1	(1)
Corporate debt securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	9	9	9	9
Net Gains (Losses) Included in Net Income
Net Gains (Losses) Included in Other Comprehensive Income (Loss)
Purchases
Sales
Principal Payments
Issuances
Settlements
End of Period Balance	9	9	9	9
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
Mortgage Servicing Rights [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	2,412	2,377	2,680	1,700
Net Gains (Losses) Included in Net Income	(61)	11	(345)	196
Net Gains (Losses) Included in Other Comprehensive Income (Loss)
Purchases	1	2	3	7
Sales			(141)
Principal Payments
Issuances	109	187	264	674
Settlements
End of Period Balance	2,461	2,577	2,461	2,577
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period	(61)	11	(345)	196
Derivative [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	558	423	445	1,179
Net Gains (Losses) Included in Net Income	95	182	568	(34)
Net Gains (Losses) Included in Other Comprehensive Income (Loss)
Purchases			1	1
Sales	(1)	(2)	(1)	(4)
Principal Payments
Issuances
Settlements	(187)	14	(548)	(525)
End of Period Balance	465	617	465	617
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period	(15)	55	80	(218)
Available-for-Sale Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning of Period Balance	808	915	847	1,003
Net Gains (Losses) Included in Net Income		(4)	(2)	(15)
Net Gains (Losses) Included in Other Comprehensive Income (Loss)	8	(10)	29	16
Purchases		3	4	28
Sales				(20)
Principal Payments	(33)	(52)	(95)	(160)
Issuances
Settlements
End of Period Balance	783	852	783	852
Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period	$ 8	$ (10)	$ 29	$ 17

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Loans and Allowance for Credit Losses - Summary of Loans by Portfolio Type and Company's Internal Credit Quality Rating (Parenthetical) (Detail) (Trouble Debt Restructure [Member], Government National Mortgage Association [Member], USD $) In Billions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Trouble Debt Restructure [Member] | Government National Mortgage Association [Member]
Financing Receivable, Recorded Investment [Line Items]
Restructured GNMA loans whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified with a pass rating	$ 2.5	$ 2.6
GNMA loans 90 days or more past due whose repayments are insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, were classified with a pass rating	$ 3.1	$ 3.7

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Derivative Instruments - Summary of Gains (Losses) Recognized in Earnings for Fair Value Hedges, Other Economic Hedges and Customer-Related Positions (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Asset and Liability Management Positions [Member] | Other noninterest income [Member] | Other Derivatives [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	$ 1		$ (42)
Asset and Liability Management Positions [Member] | Interest Rate Contracts [Member] | Other noninterest income [Member] | Fair Value Hedges [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	(19)		(13)	(7)
Asset and Liability Management Positions [Member] | Interest Rate Contracts [Member] | Mortgage banking revenue [Member] | Other Economic Hedges [Member] | Futures and Forwards [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	6	33	(69)	569
Asset and Liability Management Positions [Member] | Interest Rate Contracts [Member] | Mortgage banking revenue [Member] | Other Economic Hedges [Member] | Options [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	64	54	210	200
Asset and Liability Management Positions [Member] | Interest Rate Contracts [Member] | Mortgage banking revenue [Member] | Other Economic Hedges [Member] | Receive Fixed/Pay Floating Swaps [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	17	(5)	238	(264)
Asset and Liability Management Positions [Member] | Foreign Exchange Forward Contracts [Member] | Commercial products revenue [Member] | Other Economic Hedges [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	(24)	(16)	(41)	18
Asset and Liability Management Positions [Member] | Equity Contracts [Member] | Compensation expense [Member] | Other Economic Hedges [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings			1	1
Asset and Liability Management Positions [Member] | Credit Contracts [Member] | Other noninterest income/expense [Member] | Other Economic Hedges [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings		2		1
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Other noninterest income [Member] | Receive Fixed/Pay Floating Swaps [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	(20)	13	329	(288)
Customer-Related Positions [Member] | Interest Rate Contracts [Member] | Other noninterest income [Member] | Pay Fixed/Receive Floating Swaps [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	28	(10)	(307)	298
Customer-Related Positions [Member] | Foreign Exchange Rate Contracts [Member] | Commercial products revenue [Member] | Forwards, Spots and Swaps [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Gains (losses) recognized in earnings	$ 13	$ 15	$ 45	$ 36

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Employee Benefits (Tables)

9 Months Ended

Sep. 30, 2014

Compensation and Retirement Disclosure [Abstract]

Components of Net Periodic Benefit Cost

The components of net periodic benefit cost for the Company’s retirement plans were:

	Three Months Ended September 30,												Nine Months Ended September 30,
							Postretirement												Postretirement
	Pension Plans						Welfare Plan						Pension Plans						Welfare Plan
(Dollars in Millions)	2014			2013			2014			2013			2014			2013			2014			2013
Service cost	$	38		$	42		$	–		$	1		$	114		$	126		$	–		$	3
Interest cost		50			43			1			1			148			128			3			3
Expected return on plan assets		(51	)		(44	)		(1	)		–			(155	)		(132	)		(1	)		(1	)
Prior service cost (credit) and transition obligation (asset) amortization		(2	)		(1	)		(1	)		–			(4	)		(4	)		(3	)		–
Actuarial loss (gain) amortization		39			66			(1	)		(3	)		118			198			(4	)		(8	)
Net periodic benefit cost	$	74		$	106		$	(2	)	$	(1	)	$	221		$	316		$	(5	)	$	(3	)

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Investment Securities - Significant Assumption Ranges for Available-for-Sale Non-Agency Mortgage-Backed Securities Determined to be Other-Than-Temporarily Impaired (Detail) (Available-for-Sale Securities [Member], Mortgage-backed securities Residential [Member], Non-agency Non-prime [Member])	3 Months Ended
	Sep. 30, 2014
Minimum [Member]
Assumption Ranges for Available-for-Sale Non-Agency Mortgage-Backed Securities Other-Than- Temporarily Impaired [Line Items]
Estimated lifetime prepayment rates	8.00%
Lifetime probability of default rates	6.00%
Lifetime loss severity rates	40.00%
Maximum [Member]
Assumption Ranges for Available-for-Sale Non-Agency Mortgage-Backed Securities Other-Than- Temporarily Impaired [Line Items]
Estimated lifetime prepayment rates	10.00%
Lifetime probability of default rates	8.00%
Lifetime loss severity rates	55.00%
Average [Member]
Assumption Ranges for Available-for-Sale Non-Agency Mortgage-Backed Securities Other-Than- Temporarily Impaired [Line Items]
Estimated lifetime prepayment rates	8.00%
Lifetime probability of default rates	8.00%
Lifetime loss severity rates	42.00%

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Netting Arrangements for Certain Financial Instruments

9 Months Ended

Sep. 30, 2014

Text Block [Abstract]

Netting Arrangements for Certain Financial Instruments

 Note 14  Netting Arrangements for Certain Financial Instruments

The majority of the Company’s derivative portfolio consists of bilateral over-the-counter trades. However, per current regulations, certain interest rate swaps and forwards and credit contracts need to be centrally cleared through clearinghouses. In addition, a portion of the Company’s derivative positions are exchange-traded. These are predominately U.S. Treasury futures or options on U.S. Treasury futures. Of the Company’s $132.0 billion total notional amount of derivative positions at September 30, 2014, $27.6 billion related to those centrally cleared through clearinghouses and $3.3 billion related to those that were exchange-traded. Irrespective of how derivatives are traded, the Company’s derivative contracts include offsetting rights (referred to as netting arrangements), and depending on expected volume, credit risk, and counterparty preference, collateral maintenance may be required. For all derivatives under collateral support agreements, fair value is determined daily and, depending on the collateral maintenance requirements, the Company and a counterparty may receive or deliver collateral, based upon the net fair value of all derivative positions between the Company and the counterparty. Collateral is typically cash, but securities may be allowed under collateral arrangements with certain counterparties. Receivables and payables related to cash collateral are included in other assets and other liabilities on the Consolidated Balance Sheet, along with the related derivative asset and liability fair values. Any securities pledged to counterparties as collateral remain on the Consolidated Balance Sheet. Securities received from counterparties as collateral are not recognized on the Consolidated Balance Sheet, unless the counterparty defaults. In general, securities used as collateral can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party. Refer to Note 13 for further discussion of the Company’s derivatives, including collateral arrangements.

As part of the Company’s treasury and broker-dealer operations, the Company executes transactions that are treated as securities sold under agreements to repurchase or securities purchased under agreements to resell, both of which are accounted for as collateralized financings. Securities sold under agreements to repurchase include repurchase agreements and securities loaned transactions. Securities purchased under agreements to resell include reverse repurchase agreements and securities borrowed transactions. For securities sold under agreements to repurchase, the Company records a liability for the cash received, which is included in short-term borrowings on the Consolidated Balance Sheet. For securities purchased under agreements to resell, the Company records a receivable for the cash paid, which is included in other assets on the Consolidated Balance Sheet.

Securities transferred to counterparties under repurchase agreements and securities loaned transactions continue to be recognized on the Consolidated Balance Sheet, are measured at fair value, and are included in investment securities or other assets. Securities received from counterparties under reverse repurchase agreements and securities borrowed transactions are not recognized on the Consolidated Balance Sheet unless the counterparty defaults. In connection with all of these transactions, the fair values of the securities are determined daily, and additional cash is obtained or refunded to counterparties where appropriate. The securities transferred under repurchase and reverse repurchase transactions typically are U.S. Treasury securities or agency mortgage-backed securities. The securities loaned or borrowed typically are high-grade corporate bonds traded by the Company’s broker-dealer. In general, the securities transferred can be sold, repledged or otherwise used by the party in possession. No restrictions exist on the use of cash collateral by either party.

The Company executes its derivative, repurchase/reverse repurchase and securities loaned/borrowed transactions under the respective industry standard agreements. These agreements include master netting arrangements that allow for multiple contracts executed with the same counterparty to be viewed as a single arrangement. This allows for net settlement of a single amount on a daily basis. In the event of default, the master netting arrangement provides for close-out netting, which allows all of these positions with the defaulting counterparty to be terminated and net settled with a single payment amount.

The Company has elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of the majority of its derivative counterparties, excluding centrally cleared derivative contracts due to current uncertainty about the legal enforceability of netting arrangements with the clearinghouses. The netting occurs at the counterparty level, and includes all assets and liabilities related to the derivative contracts, including those associated with cash collateral received or delivered. The Company has not elected to offset the assets and liabilities under netting arrangements for the balance sheet presentation of repurchase/reverse repurchase and securities loaned/borrowed transactions.

The following tables provide information on the Company’s netting adjustments, and items not offset on the Consolidated Balance Sheet but available for offset in the event of default:

	Gross Recognized Assets		Gross Amounts Offset on the Consolidated Balance Sheet (a)			Net Amounts Presented on the Consolidated Balance Sheet		Gross Amounts Not Offset on the Consolidated Balance Sheet
(Dollars in Millions)								Financial Instruments (b)			Collateral Received (c)			Net Amount
September 30, 2014
Derivative assets (d)	$	1,363	$	(670	)	$	693	$	(36	)	$	–		$	657
Reverse repurchase agreements		107		–			107		(56	)		(51	)		–
Securities borrowed		583		–			583		(14	)		(551	)		18
Total	$	2,053	$	(670	)	$	1,383	$	(106	)	$	(602	)	$	675
December 31, 2013
Derivative assets (d)	$	1,349	$	(599	)	$	750	$	(21	)	$	–		$	729
Reverse repurchase agreements		87		–			87		(59	)		(28	)		–
Securities borrowed		723		–			723		–			(698	)		25
Total	$	2,159	$	(599	)	$	1,560	$	(80	)	$	(726	)	$	754

(a) Includes $156 million and $124 million of cash collateral related payables that were netted against derivative assets at September 30, 2014 and December 31, 2013, respectively.

(b) For derivative assets this includes any derivative liability fair values that could be offset in the event of counterparty default; for reverse repurchase agreements this includes any repurchase agreement payables that could be offset in the event of counterparty default; for securities borrowed this includes any securities loaned payables that could be offset in the event of counterparty default.

(c) Includes the fair value of securities received by the Company from the counterparty. These securities are not included on the Consolidated Balance Sheet unless the counterparty defaults.

(d) Excludes $131 million and $55 million of derivative assets centrally cleared or otherwise not subject to netting arrangements at September 30, 2014 and December 31, 2013, respectively.

	Gross Recognized Liabilities		Gross Amounts Offset on the Consolidated Balance Sheet (a)			Net Amounts Presented on the Consolidated Balance Sheet		Gross Amounts Not Offset on the Consolidated Balance Sheet
(Dollars in Millions)								Financial Instruments (b)			Collateral Pledged (c)			Net Amount
September 30, 2014
Derivative liabilities (d)	$	1,569	$	(1,127	)	$	442	$	(36	)	$	–		$	406
Repurchase agreements		686		–			686		(56	)		(630	)		–
Securities loaned		87		–			87		(14	)		(72	)		1
Total	$	2,342	$	(1,127	)	$	1.215	$	(106	)	$	(702	)	$	407
December 31, 2013
Derivative liabilities (d)	$	1,598	$	(1,192	)	$	406	$	(21	)	$	–		$	385
Repurchase agreements		2,059		–			2,059		(59	)		(2,000	)		–
Securities loaned		–		–			–		–			–			–
Total	$	3,657	$	(1,192	)	$	2,465	$	(80	)	$	(2,000	)	$	385

(a) Includes $613 million and $717 million of cash collateral related receivables that were netted against derivative liabilities at September 30, 2014 and December 31, 2013, respectively.

(b) For derivative liabilities this includes any derivative asset fair values that could be offset in the event of counterparty default; for repurchase agreements this includes any reverse repurchase agreement receivables that could be offset in the event of counterparty default; for securities loaned this includes any securities borrowed receivables that could be offset in the event of counterparty default.

(c) Includes the fair value of securities pledged by the Company to the counterparty. These securities are included on the Consolidated Balance Sheet unless the Company defaults.

(d) Excludes $203 million and $119 million of derivative liabilities centrally cleared or otherwise not subject to netting arrangements at September 30, 2014 and December 31, 2013, respectively.

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Basis of Presentation (Tables)

9 Months Ended

Sep. 30, 2014

Segment Reporting [Abstract]

Line of Business Financial Performance

Table 10  Line of Business Financial Performance

	Wholesale Banking and Commercial Real Estate								Consumer and Small Business Banking
Three Months Ended September 30 (Dollars in Millions)	2014		2013			Percent Change			2014		2013		Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$	518	$	506			2.4	%	$	1,074	$	1,153		(6.9	)%
Noninterest income		236		266			(11.3	)		669		717		(6.7	)
Securities gains (losses), net		–		–			–			–		–		–
Total net revenue		754		772			(2.3	)		1,743		1,870		(6.8	)
Noninterest expense		304		302			.7			1,169		1,110		5.3
Other intangibles		1		2			(50.0	)		12		10		20.0
Total noninterest expense		305		304			.3			1,181		1,120		5.4
Income before provision and income taxes		449		468			(4.1	)		562		750		(25.1	)
Provision for credit losses		29		(41	)		*			79		163		(51.5	)
Income before income taxes		420		509			(17.5	)		483		587		(17.7	)
Income taxes and taxable-equivalent adjustment		153		185			(17.3	)		176		214		(17.8	)
Net income		267		324			(17.6	)		307		373		(17.7	)
Net (income) loss attributable to noncontrolling interests		–		–			–			–		–		–
Net income attributable to U.S. Bancorp	$	267	$	324			(17.6	)	$	307	$	373		(17.7	)
Average Balance Sheet
Commercial	$	59,048	$	51,302			15.1	%	$	9,439	$	8,584		10.0	%
Commercial real estate		21,160		19,683			7.5			18,899		18,069		4.6
Residential mortgages		19		24			(20.8	)		50,544		48,130		5.0
Credit card		–		–			–			–		–		–
Other retail		4		6			(33.3	)		46,594		44,727		4.2
Total loans, excluding covered loans		80,231		71,015			13.0			125,476		119,510		5.0
Covered loans		174		340			(48.8	)		5,688		6,434		(11.6	)
Total loans		80,405		71,355			12.7			131,164		125,944		4.1
Goodwill		1,648		1,604			2.7			3,680		3,515		4.7
Other intangible assets		21		24			(12.5	)		2,664		2,650		.5
Assets		87,449		77,708			12.5			145,604		140,621		3.5
Noninterest-bearing deposits		32,684		30,812			6.1			24,696		22,585		9.3
Interest checking		11,270		10,031			12.4			36,881		33,007		11.7
Savings products		19,082		15,067			26.6			51,229		46,532		10.1
Time deposits		17,961		22,362			(19.7	)		17,816		20,718		(14.0	)
Total deposits		80,997		78,272			3.5			130,622		122,842		6.3
Total U.S. Bancorp shareholders’ equity		7,764		7,366			5.4			11,504		12,222		(5.9	)

	Wholesale Banking and Commercial Real Estate								Consumer and Small Business Banking
Nine Months Ended September 30 (Dollars in Millions)	2014		2013			Percent Change			2014		2013		Percent Change
Condensed Income Statement
Net interest income (taxable-equivalent basis)	$	1,521	$	1,501			1.3	%	$	3,241	$	3,459		(6.3	)%
Noninterest income		738		819			(9.9	)		1,967		2,268		(13.3	)
Securities gains (losses), net		–		–			–			–		–		–
Total net revenue		2,259		2,320			(2.6	)		5,208		5,727		(9.1	)
Noninterest expense		930		920			1.1			3,421		3,377		1.3
Other intangibles		3		6			(50.0	)		29		31		(6.5	)
Total noninterest expense		933		926			.8			3,450		3,408		1.2
Income before provision and income taxes		1,326		1,394			(4.9	)		1,758		2,319		(24.2	)
Provision for credit losses		26		(114	)		*			332		573		(42.1	)
Income before income taxes		1,300		1,508			(13.8	)		1,426		1,746		(18.3	)
Income taxes and taxable-equivalent adjustment		473		549			(13.8	)		519		636		(18.4	)
Net income		827		959			(13.8	)		907		1,110		(18.3	)
Net (income) loss attributable to noncontrolling interests		–		–			–			–		–		–
Net income attributable to U.S. Bancorp	$	827	$	959			(13.8	)	$	907	$	1,110		(18.3	)
Average Balance Sheet
Commercial	$	57,029	$	50,232			13.5	%	$	8,903	$	8,567		3.9	%
Commercial real estate		20,879		19,375			7.8			18,771		17,741		5.8
Residential mortgages		20		27			(25.9	)		50,443		46,251		9.1
Credit card		–		–			–			–		–		–
Other retail		4		7			(42.9	)		45,964		44,739		2.7
Total loans, excluding covered loans		77,932		69,641			11.9			124,081		117,298		5.8
Covered loans		205		394			(48.0	)		5,871		6,690		(12.2	)
Total loans		78,137		70,035			11.6			129,952		123,988		4.8
Goodwill		1,621		1,604			1.1			3,577		3,516		1.7
Other intangible assets		21		26			(19.2	)		2,698		2,293		17.7
Assets		85,198		76,455			11.4			143,337		140,056		2.3
Noninterest-bearing deposits		32,029		30,299			5.7			23,218		21,976		5.7
Interest checking		11,042		10,378			6.4			35,832		32,841		9.1
Savings products		17,929		13,320			34.6			49,496		46,106		7.4
Time deposits		18,217		18,450			(1.3	)		18,080		21,591		(16.3	)
Total deposits		79,217		72,447			9.3			126,626		122,514		3.4
Total U.S. Bancorp shareholders’ equity		7,653		7,269			5.3			11,480		12,125		(5.3	)

* Not meaningful

Wealth Management and Securities Services							Payment Services									Treasury and Corporate Support									Consolidated Company
2014		2013		Percent Change			2014			2013			Percent Change			2014			2013			Percent Change			2014			2013			Percent Change
$	96	$	82		17.1	%	$	442		$	393			12.5	%	$	618		$	580			6.6	%	$	2,748		$	2,714			1.3	%
	352		314		12.1			842			822			2.4			146			61			*			2,245			2,180			3.0
	–		–		–			–			–			–			(3	)		(3	)		–			(3	)		(3	)		–
	448		396		13.1			1,284			1,215			5.7			761			638			19.3			4,990			4,891			2.0
	335		324		3.4			582			575			1.2			173			199			(13.1	)		2,563			2,510			2.1
	8		9		(11.1	)		30			34			(11.8	)		–			–			–			51			55			(7.3	)
	343		333		3.0			612			609			.5			173			199			(13.1	)		2,614			2,565			1.9
	105		63		66.7			672			606			10.9			588			439			33.9			2,376			2,326			2.1
	6		6		–			190			172			10.5			7			(2	)		*			311			298			4.4
	99		57		73.7			482			434			11.1			581			441			31.7			2,065			2,028			1.8
	36		21		71.4			175			158			10.8			39			20			95.0			579			598			(3.2	)
	63		36		75.0			307			276			11.2			542			421			28.7			1,486			1,430			3.9
	–		–		–			(9	)		(10	)		10.0			(6	)		48			*			(15	)		38			*
$	63	$	36		75.0		$	298		$	266			12.0		$	536		$	469			14.3		$	1,471		$	1,468			.2
$	1,968	$	1,772		11.1	%	$	6,681		$	6,191			7.9	%	$	209		$	215			(2.8	)%	$	77,345		$	68,064			13.6	%
	601		655		(8.2	)		–			–			–			179			94			90.4			40,839			38,501			6.1
	1,430		984		45.3			–			–			–			1			1			–			51,994			49,139			5.8
	–		–		–			17,753			16,931			4.9			–			–			–			17,753			16,931			4.9
	1,436		1,532		(6.3	)		664			729			(8.9	)		–			–			–			48,698			46,994			3.6
	5,435		4,943		10.0			25,098			23,851			5.2			389			310			25.5			236,629			219,629			7.7
	3		17		(82.4	)		5			5			–			1,368			2,937			(53.4	)		7,238			9,733			(25.6	)
	5,438		4,960		9.6			25,103			23,856			5.2			1,757			3,247			(45.9	)		243,867			229,362			6.3
	1,572		1,533		2.5			2,517			2,509			.3			–			–			–			9,417			9,161			2.8
	155		166		(6.6	)		483			557			(13.3	)		–			2			*			3,323			3,399			(2.2	)
	8,679		7,751		12.0			31,407			30,123			4.3			112,684			95,958			17.4			385,823			352,161			9.6
	14,900		13,500		10.4			702			714			(1.7	)		1,144			653			75.2			74,126			68,264			8.6
	5,729		4,741		20.8			573			455			25.9			1			1			–			54,454			48,235			12.9
	30,373		26,326		15.4			81			60			35.0			100			80			25.0			100,865			88,065			14.5
	3,939		4,182		(5.8	)		–			–			–			1,847			542			*			41,563			47,804			(13.1	)
	54,941		48,749		12.7			1,356			1,229			10.3			3,092			1,276			*			271,008			252,368			7.4
	2,267		2,398		(5.5	)		5,690			6,102			(6.8	)		15,907			11,848			34.3			43,132			39,936			8.0

Wealth Management and Securities Services							Payment Services									Treasury and Corporate Support								Consolidated Company
2014		2013		Percent Change			2014			2013			Percent Change			2014			2013		Percent Change			2014			2013		Percent Change
$	270	$	257		5.1	%	$	1,271		$	1,168			8.8	%	$	1,895		$	1,710		10.8	%	$	8,198		$	8,095		1.3	%
	1,038		935		11.0			2,449			2,397			2.2			600			191		*			6,792			6,610		2.8
	–		–		–			–			–			–			2			8		(75.0	)		2			8		(75.0	)
	1,308		1,192		9.7			3,720			3,565			4.3			2,497			1,909		30.8			14,992			14,713		1.9
	1,002		968		3.5			1,742			1,695			2.8			668			465		43.7			7,763			7,425		4.6
	25		27		(7.4	)		91			103			(11.7	)		–			–		–			148			167		(11.4	)
	1,027		995		3.2			1,833			1,798			1.9			668			465		43.7			7,911			7,592		4.2
	281		197		42.6			1,887			1,767			6.8			1,829			1,444		26.7			7,081			7,121		(.6	)
	8		7		14.3			573			553			3.6			2			44		(95.5	)		941			1,063		(11.5	)
	273		190		43.7			1,314			1,214			8.2			1,827			1,400		30.5			6,140			6,058		1.4
	100		69		44.9			478			442			8.1			163			101		61.4			1,733			1,797		(3.6	)
	173		121		43.0			836			772			8.3			1,664			1,299		28.1			4,407			4,261		3.4
	–		–		–			(27	)		(29	)		6.9			(17	)		148		*			(44	)		119		*
$	173	$	121		43.0		$	809		$	743			8.9		$	1,647		$	1,447		13.8		$	4,363		$	4,380		(.4	)
$	1,910	$	1,686		13.3	%	$	6,402		$	6,030			6.2	%	$	180		$	204		(11.8	)%	$	74,424		$	66,719		11.5	%
	608		656		(7.3	)		–			–			–			207			100		*			40,465			37,872		6.8
	1,335		776		72.0			–			–			–			1			1		–			51,799			47,055		10.1
	–		–		–			17,516			16,627			5.3			–			–		–			17,516			16,627		5.3
	1,450		1,544		(6.1	)		680			744			(8.6	)		–			–		–			48,098			47,034		2.3
	5,303		4,662		13.7			24,598			23,401			5.1			388			305		27.2			232,302			215,307		7.9
	5		14		(64.3	)		5			5			–			1,710			3,272		(47.7	)		7,796			10,375		(24.9	)
	5,308		4,676		13.5			24,603			23,406			5.1			2,098			3,577		(41.3	)		240,098			225,682		6.4
	1,568		1,529		2.6			2,518			2,508			.4			–			–		–			9,284			9,157		1.4
	163		174		(6.3	)		494			584			(15.4	)		–			2		*			3,376			3,079		9.6
	8,409		7,514		11.9			30,901			29,659			4.2			107,202			97,364		10.1			375,047			351,048		6.8
	15,095		13,786		9.5			704			694			1.4			1,228			428		*			72,274			67,183		7.6
	5,494		4,683		17.3			559			444			25.9			1			1		–			52,928			48,347		9.5
	28,650		27,070		5.8			76			54			40.7			103			85		21.2			96,254			86,635		11.1
	4,111		5,237		(21.5	)		–			–			–			1,798			841		*			42,206			46,119		(8.5	)
	53,350		50,776		5.1			1,339			1,192			12.3			3,130			1,355		*			263,662			248,284		6.2
	2,283		2,375		(3.9	)		5,675			6,033			(5.9	)		15,407			11,873		29.8			42,498			39,675		7.1

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Netting Arrangements for Certain Financial Instruments - Information on Company's Accounting Netting Adjustments and Items Not Offset in Consolidated Balance Sheet But Available for Offset in Event of Default (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Offsetting [Abstract]
Derivative assets Gross Recognized Assets	$ 1,363	$ 1,349
Reverse repurchase agreements Gross Recognized Assets	107	87
Securities borrowed Gross Recognized Assets	583	723
Total Gross Recognized Assets	2,053	2,159
Derivative assets Gross amounts assets offset in consolidated balance sheet	(670)	(599)
Total Gross amounts assets offset in consolidated balance sheet	(670)	(599)
Derivative assets Net Amounts Presented in the Consolidated Balance Sheet	693	750
Reverse repurchase agreements Net Amounts Presented in the Consolidated Balance Sheet	107	87
Securities borrowed Net Amounts Presented in the Consolidated Balance Sheet	583	723
Total Net Amounts Presented in the Consolidated Balance Sheet	1,383	1,560
Derivative assets Gross Amounts Not Offset Consolidated Balance Financial Instruments	(36)	(21)
Reverse repurchase agreements Gross financial instrument asset amounts not offset in consolidated balance sheet	(56)	(59)
Securities borrowed Gross financial instrument asset amounts not offset in consolidated balance sheet	(14)
Total Gross financial instrument asset amounts not offset in consolidated balance sheet	(106)	(80)
Reverse repurchase agreements Gross collateral received amounts not offset in consolidated balance sheet	(51)	(28)
Securities borrowed Gross collateral received amounts not offset in consolidated balance sheet	(551)	(698)
Total Gross collateral received amounts not offset in consolidated balance sheet	(602)	(726)
Derivative assets Net Amount	657	729
Reverse repurchase agreements Net Amount
Securities borrowed Net Amount	18	25
Total Net Amount Assets	675	754
Derivative liabilities Gross recognized liabilities	1,569	1,598
Repurchase agreements Gross recognized liabilities	686	2,059
Securities loaned Gross recognized liabilities	87
Total Gross recognized liabilities	2,342	3,657
Derivative liabilities Gross amounts liabilities offset in consolidated balance sheet	(1,127)	(1,192)
Total Gross amounts liabilities offset in consolidated balance sheet	(1,127)	(1,192)
Derivative liabilities Net amounts liabilities presented in consolidated balance sheet	442	406
Repurchase agreements Net amounts liabilities presented in consolidated balance sheet	686	2,059
Securities loaned Net amounts liabilities presented in consolidated balance sheet	87
Total Net amounts liabilities presented in consolidated balance sheet	1,215	2,465
Derivative liabilities Gross financial instrument liability amounts not offset in consolidated balance sheet	(36)	(21)
Repurchase agreements Gross financial instrument liability amounts not offset in consolidated balance sheet	(56)	(59)
Securities loaned Gross financial instruments not offset in consolidated balance sheet	(14)
Total Gross financial instrument liability amounts not offset in consolidated balance sheet	(106)	(80)
Repurchase agreements Gross collateral pledged amounts not offset in consolidated balance sheet	(630)	(2,000)
Securities loaned Gross collateral pledged amounts not offset in consolidated balance sheet	(72)
Total Gross collateral pledged amounts not offset in consolidated balance sheet	(702)	(2,000)
Derivative liabilities Net Amount	406	385
Repurchase agreements Net Amount
Securities loaned net amount	1
Total Net Amount Liabilities	$ 407	$ 385

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Investment Securities - Amount of Gross Gains and Losses Realized through Sales of Available-for-sale Investment Securities (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Available-for-sale Securities, Gross Realized Gain (Loss), Excluding Other than Temporary Impairments [Abstract]
Realized gains			$ 8	$ 21
Realized losses	0
Net realized gains (losses)			8	21
Income tax (benefit) on net realized gains (losses)			$ 3	$ 8

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Fair Values of Assets and Liabilities - Losses Recognized Related to Nonrecurring Fair Value Measurements of Individual Assets or Portfolios (Detail) (Fair Value, Measurements, Nonrecurring [Member], USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Loans Receivable [Member]
Fair Value Assets Measured On Nonrecurring Basis Losses Recognized [Line Items]
Asset impairment charges	$ 21	$ 22	$ 68	$ 55
Other Assets [Member]
Fair Value Assets Measured On Nonrecurring Basis Losses Recognized [Line Items]
Asset impairment charges	$ 17	$ 14	$ 51	$ 73

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Investment Securities - Investment Securities (Parenthetical) (Detail)	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Contractual Maturities of Investment Securities [Abstract]
Federal statutory rate	35.00%
Weighted-average maturity of available-for-sale investment securities	4 years 10 months 24 days	6 years
Weighted-average yield of available-for-sale investment securities	2.35%	2.64%
Weighted average maturity of held-to-maturity investment securities	4 years 4 months 24 days	4 years 6 months
Weighted-average yield of held-to-maturity investment securities	1.93%	2.00%

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Fair Values of Assets and Liabilities - Estimated Fair Values of Financial Instruments (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014		Dec. 31, 2013		Sep. 30, 2013	Dec. 31, 2012
Financial Assets
Cash and due from banks	$ 6,183		$ 8,477		$ 11,615	$ 8,252
Investment securities held-to-maturity	44,231	[1]	38,920	[1]
Financial Liabilities
Deposits	273,097		262,123
Long-term debt	30,768		20,049
Carrying Amount [Member]
Financial Assets
Cash and due from banks	6,183		8,477
Federal funds sold and securities purchased under resale agreements	168		163
Investment securities held-to-maturity	44,231		38,920
Loans held for sale	21		5
Loans	241,384		230,857
Other financial instruments	2,227		2,443
Financial Liabilities
Deposits	273,097		262,123
Short-term borrowings	29,277		26,945
Long-term debt	30,768		20,049
Other Liabilities	1,307		1,263
Fair Value [Member]
Financial Assets
Cash and due from banks	6,183		8,477
Federal funds sold and securities purchased under resale agreements	168		163
Investment securities held-to-maturity	44,094		38,368
Loans held for sale	21		5
Loans	243,700		231,480
Other financial instruments	2,233		2,463
Financial Liabilities
Deposits	273,147		262,200
Short-term borrowings	29,134		26,863
Long-term debt	31,220		20,391
Other Liabilities	1,307		1,263
Fair Value [Member] | Level 1 [Member]
Financial Assets
Cash and due from banks	6,183		8,477
Federal funds sold and securities purchased under resale agreements
Investment securities held-to-maturity	1,905		2,589
Loans held for sale
Loans
Other financial instruments
Financial Liabilities
Deposits
Short-term borrowings
Long-term debt
Other Liabilities
Fair Value [Member] | Level 2 [Member]
Financial Assets
Cash and due from banks
Federal funds sold and securities purchased under resale agreements	168		163
Investment securities held-to-maturity	42,093		35,678
Loans held for sale
Loans
Other financial instruments	944		1,080
Financial Liabilities
Deposits	273,147		262,200
Short-term borrowings	29,134		26,863
Long-term debt	31,220		20,391
Other Liabilities
Fair Value [Member] | Level 3 [Member]
Financial Assets
Cash and due from banks
Federal funds sold and securities purchased under resale agreements
Investment securities held-to-maturity	96		101
Loans held for sale	21		5
Loans	243,700		231,480
Other financial instruments	1,289		1,383
Financial Liabilities
Deposits
Short-term borrowings
Long-term debt
Other Liabilities	$ 1,307		$ 1,263

[1] Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.

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Consolidated Statement of Comprehensive Income (Unaudited) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Statement of Comprehensive Income [Abstract]
Net income	$ 1,486	$ 1,430	$ 4,407	$ 4,261
Other Comprehensive Income (Loss)
Changes in unrealized gains and losses on securities available-for-sale	(21)	(237)	486	(1,032)
Other-than-temporary impairment not recognized in earnings on securities available-for-sale		1	1	8
Changes in unrealized gains and losses on derivative hedges	16	(17)	(19)	33
Foreign currency translation	4	13	18	(20)
Changes in unrealized gains and losses on retirement plans		38		37
Reclassification to earnings of realized gains and losses	76	99	221	270
Income taxes related to other comprehensive income	(29)	40	(272)	276
Total other comprehensive income (loss)	46	(63)	435	(428)
Comprehensive income	1,532	1,367	4,842	3,833
Comprehensive (income) loss attributable to noncontrolling interests	(15)	38	(44)	119
Comprehensive income attributable to U.S. Bancorp	$ 1,517	$ 1,405	$ 4,798	$ 3,952

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Derivative Instruments - Asset and Liability Management Derivative Positions of Company (Detail) (Asset and Liability Management Positions [Member], USD $) In Millions, unless otherwise specified	9 Months Ended	12 Months Ended
	Sep. 30, 2014	Dec. 31, 2013
Derivative [Line Items]
Notional Value, Assets	$ 26,822	$ 28,119
Fair Value, Assets	168	189
Derivative Asset Average Remaining Maturity Period
Notional Value, Liabilities	17,816	14,730
Fair Value, Liabilities	480	580
Derivative Liability Average Remaining Maturity Period
Fair Value Hedges [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	1,750	500
Fair Value, Assets	21	22
Derivative Asset Average Remaining Maturity Period	3 years 7 months 24 days	2 years 1 month 2 days
Notional Value, Liabilities	1,000
Fair Value, Liabilities	4
Derivative Liability Average Remaining Maturity Period	9 years 11 months 16 days
Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	5,500	7,000
Fair Value, Assets	6	26
Derivative Asset Average Remaining Maturity Period	1 month 24 days	10 months 2 days
Notional Value, Liabilities
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period
Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | Pay Fixed/Receive Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	1,972	772
Fair Value, Assets	15	26
Derivative Asset Average Remaining Maturity Period	3 years 8 months 23 days	6 years 3 months
Notional Value, Liabilities	4,084	4,288
Fair Value, Liabilities	351	498
Derivative Liability Average Remaining Maturity Period	1 year 9 months 22 days	2 years 5 months 16 days
Net Investment Hedges [Member] | Foreign Exchange Forward Contracts [Member]
Derivative [Line Items]
Notional Value, Assets	1,043
Fair Value, Assets	29
Derivative Asset Average Remaining Maturity Period	18 days
Notional Value, Liabilities		1,056
Fair Value, Liabilities		4
Derivative Liability Average Remaining Maturity Period		15 days
Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Receive Fixed/Pay Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets	3,375
Fair Value, Assets	6
Derivative Asset Average Remaining Maturity Period	10 years 2 months 19 days
Notional Value, Liabilities	232	3,540
Fair Value, Liabilities	3	56
Derivative Liability Average Remaining Maturity Period	10 years 2 months 19 days	10 years 2 months 19 days
Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Pay Fixed/Receive Floating Swaps [Member]
Derivative [Line Items]
Notional Value, Assets
Fair Value, Assets
Derivative Asset Average Remaining Maturity Period
Notional Value, Liabilities	55
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period	10 years 2 months 19 days
Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Futures and Forwards [Member] | Purchased [Member]
Derivative [Line Items]
Notional Value, Assets	2,981	2,310
Fair Value, Assets	20	9
Derivative Asset Average Remaining Maturity Period	1 month 2 days	26 days
Notional Value, Liabilities	1,422	1,025
Fair Value, Liabilities	4	7
Derivative Liability Average Remaining Maturity Period	18 days	22 days
Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Futures and Forwards [Member] | Written [Member]
Derivative [Line Items]
Notional Value, Assets	2,691	5,234
Fair Value, Assets	10	58
Derivative Asset Average Remaining Maturity Period	1 month 6 days	29 days
Notional Value, Liabilities	4,077	346
Fair Value, Liabilities	22	4
Derivative Liability Average Remaining Maturity Period	1 month 10 days	2 months 1 day
Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Options [Member] | Purchased [Member]
Derivative [Line Items]
Notional Value, Assets	2,100	2,300
Fair Value, Assets
Derivative Asset Average Remaining Maturity Period	26 days	26 days
Notional Value, Liabilities
Fair Value, Liabilities
Derivative Liability Average Remaining Maturity Period
Other Economic Hedges [Member] | Interest Rate Contracts [Member] | Options [Member] | Written [Member]
Derivative [Line Items]
Notional Value, Assets	2,349	1,902
Fair Value, Assets	32	17
Derivative Asset Average Remaining Maturity Period	29 days	26 days
Notional Value, Liabilities	8	2
Fair Value, Liabilities	1
Derivative Liability Average Remaining Maturity Period	29 days	29 days
Other Economic Hedges [Member] | Foreign Exchange Forward Contracts [Member]
Derivative [Line Items]
Notional Value, Assets	1,049	6,813
Fair Value, Assets	11	24
Derivative Asset Average Remaining Maturity Period	7 days	7 days
Notional Value, Liabilities	3,576	2,121
Fair Value, Liabilities	38	4
Derivative Liability Average Remaining Maturity Period	4 days	7 days
Other Economic Hedges [Member] | Equity Contracts [Member]
Derivative [Line Items]
Notional Value, Assets	27	79
Fair Value, Assets		3
Derivative Asset Average Remaining Maturity Period	1 year 1 month 17 days	1 year 7 months 13 days
Notional Value, Liabilities	57
Fair Value, Liabilities	1
Derivative Liability Average Remaining Maturity Period	8 months 19 days
Other Economic Hedges [Member] | Credit Contracts [Member]
Derivative [Line Items]
Notional Value, Assets	1,263	1,209
Fair Value, Assets	3	4
Derivative Asset Average Remaining Maturity Period	3 years 4 months 24 days	4 years 15 days
Notional Value, Liabilities	2,288	2,352
Fair Value, Liabilities	5	7
Derivative Liability Average Remaining Maturity Period	3 years 15 days	3 years 29 days
Other Derivatives [Member]
Derivative [Line Items]
Notional Value, Assets	722
Fair Value, Assets	15
Derivative Asset Average Remaining Maturity Period	4 days
Notional Value, Liabilities	1,017
Fair Value, Liabilities	$ 51
Derivative Liability Average Remaining Maturity Period	1 year 2 months 1 day

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Business Combinations

9 Months Ended

Sep. 30, 2014

Business Combinations [Abstract]

Business Combinations

 Note 3  Business Combinations

In June 2014, the Company acquired the Chicago-area branch banking operations of the Charter One Bank franchise (“Charter One”) owned by RBS Citizens Financial Group. The acquisition included Charter One’s retail branch network, small business operations and select middle market relationships. The Company acquired approximately $969 million of loans and $4.8 billion of deposits with this transaction.

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Loans and Allowance for Credit Losses - Activity in Allowance for Credit Losses by Portfolio Type (Detail) (USD $) In Millions, unless otherwise specified	3 Months Ended		9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	$ 4,449	$ 4,612	$ 4,537	$ 4,733
Provision for credit losses	311	298	941	1,063
Loans charged off	410	450	1,264	1,505
Less recoveries of loans charged off	(74)	(122)	(238)	(352)
Net loans charged off	336	328	1,026	1,153
Other changes	(10)	(4)	(38)	(65)
Balance at end of period	4,414	4,578	4,414	4,578
Commercial [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	1,111	1,023	1,075	1,051
Provision for credit losses	83	19	210	64
Loans charged off	80	65	219	184
Less recoveries of loans charged off	(22)	(54)	(70)	(100)
Net loans charged off	58	11	149	84
Other changes
Balance at end of period	1,136	1,031	1,136	1,031
Commercial Real Estate [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	725	777	776	857
Provision for credit losses	(6)	(22)	(64)	(100)
Loans charged off	10	17	27	76
Less recoveries of loans charged off	(6)	(23)	(30)	(80)
Net loans charged off	4	(6)	(3)	(4)
Other changes
Balance at end of period	715	761	715	761
Residential Mortgages [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	848	921	875	935
Provision for credit losses	(13)	70	74	222
Loans charged off	48	62	171	243
Less recoveries of loans charged off	(6)	(5)	(15)	(20)
Net loans charged off	42	57	156	223
Other changes
Balance at end of period	793	934	793	934
Credit Card [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	874	874	884	863
Provision for credit losses	162	151	495	495
Loans charged off	174	175	546	559
Less recoveries of loans charged off	(16)	(15)	(48)	(66)
Net loans charged off	158	160	498	493
Other changes			(3)
Balance at end of period	878	865	878	865
Other Retail [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	779	838	781	848
Provision for credit losses	84	84	227	305
Loans charged off	96	122	291	412
Less recoveries of loans charged off	(23)	(24)	(73)	(83)
Net loans charged off	73	98	218	329
Other changes
Balance at end of period	790	824	790	824
Total Loans, Excluding Covered Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	4,337	4,433	4,391	4,554
Provision for credit losses	310	302	942	986
Loans charged off	408	441	1,254	1,474
Less recoveries of loans charged off	(73)	(121)	(236)	(349)
Net loans charged off	335	320	1,018	1,125
Other changes			(3)
Balance at end of period	4,312	4,415	4,312	4,415
Covered Loans [Member]
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	112	179	146	179
Provision for credit losses	1	(4)	(1)	77
Loans charged off	2	9	10	31
Less recoveries of loans charged off	(1)	(1)	(2)	(3)
Net loans charged off	1	8	8	28
Other changes	(10)	(4)	(35)	(65)
Balance at end of period	$ 102	$ 163	$ 102	$ 163

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Earnings Per Share - Additional Information (Detail) (Stock Option [Member]) In Millions, unless otherwise specified	9 Months Ended
	Sep. 30, 2013
Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Options outstanding of common shares	9

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Fair Values of Assets and Liabilities - Differences Between Aggregate Fair Value, Carrying Amount of MLHFS and Aggregate Unpaid Principal Amount (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Fair Value Disclosures [Abstract]
Fair value carrying amount, total loans	$ 3,918	$ 3,263
Fair value carrying amount, nonaccrual loans	8	9
Fair value carrying amount, loans 90 days or more past due	2
Aggregate unpaid principal, total loans	3,784	3,195
Aggregate unpaid principal, nonaccrual loans	12	14
Aggregate unpaid principal, loans 90 days or more past due	2
Carrying amount over (under) unpaid principal, total loans	134	68
Carrying amount over (under) unpaid principal, nonaccrual loans	(4)	(5)
Carrying amount over (under) unpaid principal, loans 90 days or more past due

XML

Loans and Allowance for Credit Losses - Carrying Amount of Covered Assets (Parenthetical) (Detail)	9 Months Ended
	Sep. 30, 2014
Receivables [Abstract]
Loss sharing agreement remaining term	5 years

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Investment Securities (Tables)

9 Months Ended

Sep. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Investment Securities

Table 4  Investment Securities

	Available-for-Sale									Held-to-Maturity
At September 30, 2014 (Dollars in Millions)	Amortized Cost		Fair Value		Weighted- Average Maturity in Years		Weighted- Average Yield (e)			Amortized Cost		Fair Value		Weighted- Average Maturity in Years		Weighted- Average Yield (e)
U.S. Treasury and Agencies
Maturing in one year or less	$	27	$	27		.3		4.17	%	$	80	$	81		.7		1.36	%
Maturing after one year through five years		1,385		1,387		3.7		1.39			1,096		1,096		3.9		1.42
Maturing after five years through ten years		1,179		1,163		8.1		2.83			1,445		1,412		7.8		2.20
Maturing after ten years		101		101		18.5		1.38			58		58		10.8		1.73
Total	$	2,692	$	2,678		6.1		2.05	%	$	2,679	$	2,647		6.1		1.85	%
Mortgage-Backed Securities(a)
Maturing in one year or less	$	565	$	573		.7		1.81	%	$	120	$	120		.8		1.16	%
Maturing after one year through five years		24,490		24,625		3.8		2.02			28,283		28,200		3.6		2.12
Maturing after five years through ten years		16,133		16,121		5.7		1.62			12,674		12,640		5.6		1.55
Maturing after ten years		1,355		1,350		12.5		1.21			343		346		12.7		1.17
Total	$	42,543	$	42,669		4.8		1.84	%	$	41,420	$	41,306		4.3		1.94	%
Asset-Backed Securities(a)
Maturing in one year or less	$	–	$	–		–		–	%	$	1	$	1		.7		.78	%
Maturing after one year through five years		271		281		3.5		2.32			6		9		2.9		.89
Maturing after five years through ten years		357		364		7.0		2.15			7		8		6.3		.81
Maturing after ten years		–		–		–		–			–		7		15.5		.88
Total	$	628	$	645		5.5		2.23	%	$	14	$	25		4.8		.84	%
Obligations of State and Political Subdivisions(b)(c)
Maturing in one year or less	$	724	$	742		.6		6.66	%	$	–	$	–		.4		11.64	%
Maturing after one year through five years		4,121		4,334		2.3		6.79			2		2		2.2		8.31
Maturing after five years through ten years		448		453		6.9		4.76			1		1		7.4		8.14
Maturing after ten years		34		34		18.0		5.06			7		7		11.4		2.51
Total	$	5,327	$	5,563		2.5		6.59	%	$	10	$	10		9.0		4.54	%
Other Debt Securities
Maturing in one year or less	$	6	$	6		.4		1.01	%	$	2	$	2		–		1.78	%
Maturing after one year through five years		–		–		–		–			82		82		1.2		1.13
Maturing after five years through ten years		–		–		–		–			24		22		6.1		.97
Maturing after ten years		690		639		18.7		2.47			–		–		–		–
Total	$	696	$	645		18.6		2.45	%	$	108	$	106		2.2		1.11	%
Other Investments	$	428	$	474		14.4		2.30	%	$	–	$	–		–		–	%
Total investment securities (d)	$	52,314	$	52,674		4.9		2.35	%	$	44,231	$	44,094		4.4		1.93	%

(a) Information related to asset and mortgage-backed securities included above is presented based upon weighted-average maturities anticipating future prepayments.

(b) Information related to obligations of state and political subdivisions is presented based upon yield to first optional call date if the security is purchased at a premium, yield to maturity if purchased at par or a discount.

(c) Maturity calculations for obligations of state and political subdivisions are based on the first optional call date for securities with a fair value above par and contractual maturity for securities with a fair value equal to or below par.

(d) The weighted-average maturity of the available-for-sale investment securities was 6.0 years at December 31, 2013, with a corresponding weighted-average yield of 2.64 percent. The weighted-average maturity of the held-to-maturity investment securities was 4.5 years at December 31, 2013, with a corresponding weighted-average yield of 2.00 percent.

(e) Average yields are presented on a fully-taxable equivalent basis under a tax rate of 35 percent. Yields on available-for-sale and held-to-maturity investment securities are computed based on amortized cost balances, excluding any premiums or discounts recorded related to the transfer of investment securities at fair value from available-for-sale to held-to-maturity. Average yield and maturity calculations exclude equity securities that have no stated yield or maturity.

	September 30, 2014					December 31, 2013
(Dollars in Millions)	Amortized Cost		Percent of Total			Amortized Cost		Percent of Total
U.S. Treasury and agencies	$	5,371		5.5	%	$	4,222		5.3	%
Mortgage-backed securities		83,963		87.0			68,236		85.3
Asset-backed securities		642		.7			652		.8
Obligations of state and political subdivisions		5,337		5.5			5,685		7.1
Other debt securities and investments		1,232		1.3			1,184		1.5
Total investment securities	$	96,545		100.0	%	$	79,979		100.0	%

Investment Securities Held to Maturity

The amortized cost, other-than-temporary impairment recorded in other comprehensive income (loss), gross unrealized holding gains and losses, and fair value of held-to-maturity securities were as follows:

	September 30, 2014												December 31, 2013
					Unrealized Losses												Unrealized Losses
(Dollars in Millions)	Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value		Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value
Held-to-maturity (a)
U.S. Treasury and agencies	$	2,679	$	8	$	–		$	(40	)	$	2,647	$	3,114	$	5	$	–		$	(79	)	$	3,040
Mortgage-backed securities
Residential
Agency		41,419		244		–			(358	)		41,305		35,671		187		–			(665	)		35,193
Non-agency non-prime (d)		1		–		–			–			1		1		–		–			–			1
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		8		–			–			8		–		9		–			–			9
Other		14		4		(1	)		–			17		16		4		(1	)		(1	)		18
Obligations of state and political subdivisions		10		–		–			–			10		12		–		–			–			12
Obligations of foreign governments		9		–		–			–			9		7		–		–			–			7
Other debt securities		99		–		–			(2	)		97		99		–		–			(11	)		88
Total held-to-maturity	$	44,231	$	264	$	(1	)	$	(400	)	$	44,094	$	38,920	$	205	$	(1	)	$	(756	)	$	38,368

a) Held-to-maturity investment securities are carried at historical cost or at fair value at the time of transfer from the available-for-sale to held-to-maturity category, adjusted for amortization of premiums and accretion of discounts and credit-related other-than-temporary impairment.

(b) Available-for-sale investment securities are carried at fair value with unrealized net gains or losses reported within accumulated other comprehensive income (loss) in shareholders’ equity.

(c) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads). When the Company determines the designation, prime securities typically have a weighted average credit score of 725 or higher and a loan-to-value of 80 percent or lower; however, other pool characteristics may result in designations that deviate from these credit score and loan-to-value thresholds.

(d) Includes all securities not meeting the conditions to be designated as prime.

(e) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.

(f) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.

Investment Securities Available for Sale

The amortized cost, other-than-temporary impairment recorded in other comprehensive income (loss), gross unrealized holding gains and losses, and fair value of available-for-sale investment securities were as follows:

	September 30, 2014												December 31, 2013
					Unrealized Losses												Unrealized Losses
(Dollars in Millions)	Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value		Amortized Cost		Unrealized Gains		Other-than- Temporary (e)			Other (f)			Fair Value
Available-for-sale (b)
U.S. Treasury and agencies	$	2,692	$	7	$	–		$	(21	)	$	2,678	$	1,108	$	4	$	–		$	(67	)	$	1,045
Mortgage-backed securities
Residential
Agency		41,734		524		–			(421	)		41,837		31,633		449		–			(529	)		31,553
Non-agency
Prime (c)		420		11		(4	)		(1	)		426		486		4		(8	)		(4	)		478
Non-prime (d)		270		15		(1	)		–			284		297		5		(5	)		–			297
Commercial agency		119		3		–			–			122		148		4		–			–			152
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		19		4		–			–			23		20		4		–			–			24
Other		609		13		–			–			622		616		13		–			–			629
Obligations of state and political subdivisions		5,327		239		–			(3	)		5,563		5,673		116		–			(51	)		5,738
Obligations of foreign governments		6		–		–			–			6		6		–		–			–			6
Corporate debt securities		690		3		–			(54	)		639		734		–		–			(94	)		640
Perpetual preferred securities		201		27		–			(8	)		220		205		24		–			(17	)		212
Other investments		227		27		–			–			254		133		28		–			–			161
Total available-for-sale	$	52,314	$	873	$	(5	)	$	(508	)	$	52,674	$	41,059	$	651	$	(13	)	$	(762	)	$	40,935

(a) Held-to-maturity investment securities are carried at historical cost or at fair value at the time of transfer from the available-for-sale to held-to-maturity category, adjusted for amortization of premiums and accretion of discounts and credit-related other-than-temporary impairment.

(b) Available-for-sale investment securities are carried at fair value with unrealized net gains or losses reported within accumulated other comprehensive income (loss) in shareholders’ equity.

(c) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads). When the Company determines the designation, prime securities typically have a weighted average credit score of 725 or higher and a loan-to-value of 80 percent or lower; however, other pool characteristics may result in designations that deviate from these credit score and loan-to-value thresholds.

(d) Includes all securities not meeting the conditions to be designated as prime.

(e) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired.

(f) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired.

Amount of Interest Income from Taxable and Non-Taxable Investment Securities

The following table provides information about the amount of interest income from taxable and non-taxable investment securities:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Taxable	$	419	$	357	$	1,203	$	1,029
Non-taxable		57		63		175		193
Total interest income from investment securities	$	476	$	420	$	1,378	$	1,222

Amount of Gross Gains and Losses Realized through Sales of Available-for-sale Investment Securities

The following table provides information about the amount of gross gains and losses realized through the sales of available-for-sale investment securities:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Realized gains	$	–	$	–	$	8	$	21
Realized losses		–		–		–		–
Net realized gains (losses)	$	–	$	–	$	8	$	21
Income tax (benefit) on net realized gains (losses)	$	–	$	–	$	3	$	8

Summary of Other-than-Temporary Impairment by Investment Category

The following tables summarize other-than-temporary impairment by investment category:

	2014								2013
Three Months Ended September 30 (Dollars in Millions)	Losses Recorded in Earnings			Other Gains (Losses) (c)		Total			Losses Recorded in Earnings			Other Gains (Losses) (c)		Total
Available-for-sale
Mortgage-backed securities
Non-agency residential
Prime (a)	$	–		$	–	$	–		$	(1	)	$	–	$	(1	)
Non-prime (b)		–			–		–			(2	)		1		(1	)
Perpetual preferred securities		(3	)		–		(3	)		–			–		–
Total available-for-sale	$	(3	)	$	–	$	(3	)	$	(3	)	$	1	$	(2	)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Losses represent the non-credit portion of other-than-temporary impairment recorded in other comprehensive income (loss) for investment securities determined to be other-than-temporarily impaired during the period. Gains represent recoveries in the fair value of securities that had non-credit other-than-temporary impairment during the period.

	2014								2013
Nine Months Ended September 30 (Dollars in Millions)	Losses Recorded in Earnings			Other Gains (Losses) (c)		Total			Losses Recorded in Earnings			Other Gains (Losses) (c)		Total
Available-for-sale
Mortgage-backed securities
Prime (a)	$	(1	)	$	1	$	–		$	(5	)	$	2	$	(3	)
Non-prime (b)		(2	)		–		(2	)		(8	)		6		(2	)
Perpetual preferred securities		(3	)		–		(3	)		–			–		–
Total available-for-sale	$	(6	)	$	1	$	(5	)	$	(13	)	$	8	$	(5	)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Losses represent the non-credit portion of other-than-temporary impairment recorded in other comprehensive income (loss) for investment securities determined to be other-than-temporarily impaired during the period. Gains represent recoveries in the fair value of securities that had non-credit other-than-temporary impairment during the period.

Significant Assumption Ranges for Available-for-Sale Non-Agency Mortgage-Backed Securities Determined to be Other-Than-Temporarily Impaired

The following table includes the ranges for significant assumptions used for those available-for-sale non-agency mortgage-backed securities determined to be other-than-temporarily impaired during the three months ended September 30, 2014:

	Non-Prime (a)
	Minimum			Maximum			Average
Estimated lifetime prepayment rates		8	%		10	%		8	%
Lifetime probability of default rates		6			8			8
Lifetime loss severity rates		40			55			42

(a) Includes all securities not meeting the conditions to be designated as prime.

Changes in Credit Losses on Debt Securities Excluding Perpetual Preferred Securities

Changes in the credit losses on debt securities (excluding perpetual preferred securities) are summarized as follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in Millions)	2014			2013			2014			2013
Balance at beginning of period	$	111		$	124		$	116		$	134
Additions to Credit Losses Due to Other-than-temporary Impairments
Decreases in expected cash flows on securities for which other-than-temporary impairment was previously recognized		–			3			3			13
Total other-than-temporary impairment on debt securities		–			3			3			13
Other Changes in Credit Losses
Increases in expected cash flows		(2	)		(1	)		(4	)		(2	)
Realized losses (a)		(4	)		(4	)		(10	)		(18	)
Credit losses on security sales and securities expected to be sold		–			–			–			(5	)
Balance at end of period	$	105		$	122		$	105		$	122

(a) Primarily represents principal losses allocated to mortgage and asset-backed securities in the Company’s portfolio under the terms of the securitization transaction documents.

Gross Unrealized Losses and Fair Value of Company's Investment Securities

At September 30, 2014, certain investment securities had a fair value below amortized cost. The following table shows the gross unrealized losses and fair value of the Company’s investment securities with unrealized losses, aggregated by investment category and length of time the individual investment securities have been in continuous unrealized loss positions, at September 30, 2014:

	Less Than 12 Months					12 Months or Greater					Total
(Dollars in Millions)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Held-to-maturity
U.S. Treasury and agencies	$	577	$	(2	)	$	968	$	(38	)	$	1,545	$	(40	)
Residential agency mortgage-backed securities		11,469		(76	)		9,607		(282	)		21,076		(358	)
Other asset-backed securities		–		–			6		(1	)		6		(1	)
Other debt securities		–		–			22		(2	)		22		(2	)
Total held-to-maturity	$	12,046	$	(78	)	$	10,603	$	(323	)	$	22,649	$	(401	)
Available-for-sale
U.S. Treasury and agencies	$	1,173	$	(1	)	$	825	$	(20	)	$	1,998	$	(21	)
Mortgage-backed securities
Residential
Agency		9,519		(91	)		8,317		(330	)		17,836		(421	)
Non-agency (a)
Prime (b)		40		(1	)		114		(4	)		154		(5	)
Non-prime (c)		12		–			22		(1	)		34		(1	)
Other asset-backed securities		2		–			24		–			26		–
Obligations of state and political subdivisions		15		–			217		(3	)		232		(3	)
Obligations of foreign governments		6		–			–		–			6		–
Corporate debt securities		–		–			453		(54	)		453		(54	)
Perpetual preferred securities		45		–			76		(8	)		121		(8	)
Total available-for-sale	$	10,812	$	(93	)	$	10,048	$	(420	)	$	20,860	$	(513	)

(a) The Company has $6 million of unrealized losses on residential non-agency mortgage-backed securities. Credit-related other-than-temporary impairment on these securities may occur if there is further deterioration in the underlying collateral pool performance. Borrower defaults may increase if economic conditions worsen. Additionally, deterioration in home prices may increase the severity of projected losses.

(b) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(c) Includes all securities not meeting the conditions to be designated as prime.

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Mortgage Servicing Rights - Sensitivity to Changes in Interest Rates to Fair Value of MSRs Portfolio and Related Derivative Instruments (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Down Scenario [Member] | Mortgage Servicing Rights [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Net fair value 100 basis points	$ (490)	$ (435)
Net fair value 50 basis points	(212)	(199)
Net fair value 25 basis points	(99)	(93)
Down Scenario [Member] | Derivative [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Net fair value 100 basis points	391	399
Net fair value 50 basis points	196	194
Net fair value 25 basis points	94	91
Down Scenario [Member] | Net sensitivity [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Net fair value 100 basis points	(99)	(36)
Net fair value 50 basis points	(16)	(5)
Net fair value 25 basis points	(5)	(2)
Up Scenario [Member] | Mortgage Servicing Rights [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Net fair value 100 basis points	297	287
Net fair value 50 basis points	157	154
Net fair value 25 basis points	84	82
Up Scenario [Member] | Derivative [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Net fair value 100 basis points	(319)	(301)
Net fair value 50 basis points	(167)	(157)
Net fair value 25 basis points	(87)	(82)
Up Scenario [Member] | Net sensitivity [Member]
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Net fair value 100 basis points	(22)	(14)
Net fair value 50 basis points	(10)	(3)
Net fair value 25 basis points	$ (3)

XML

Fair Values of Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2014

Fair Value Disclosures [Abstract]

Valuation Assumption Ranges for Level 3 Available-for-Sale Investment Securities

The following table shows the significant valuation assumption ranges for Level 3 available-for-sale investment securities at September 30, 2014:

	Minimum			Maximum			Average
Residential Prime Non-Agency Mortgage-Backed Securities (a)
Estimated lifetime prepayment rates		6	%		20	%		14	%
Lifetime probability of default rates		–			8			4
Lifetime loss severity rates		15			75			36
Discount margin		2			4			3
Residential Non-Prime Non-Agency Mortgage-Backed Securities (b)
Estimated lifetime prepayment rates		3	%		10	%		6	%
Lifetime probability of default rates		4			14			8
Lifetime loss severity rates		20			70			53
Discount margin		1			5			2
Other Asset-Backed Securities
Estimated lifetime prepayment rates		6	%		6	%		6	%
Lifetime probability of default rates		5			5			5
Lifetime loss severity rates		40			40			40
Discount margin		6			6			6

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

Valuation Assumption Ranges for MSRs

The following table shows the significant valuation assumption ranges for MSRs at September 30, 2014:

	Minimum			Maximum			Average
Expected prepayment		10	%		20	%		11	%
Discount rate		9			13			10

Valuation Assumption Ranges for Derivative Commitments

The following table shows the significant valuation assumption ranges for the Company’s derivative commitments to purchase and originate mortgage loans at September 30, 2014:

	Minimum			Maximum			Average
Expected loan close rate		42	%		100	%		76	%
Inherent MSR value (basis points per loan)		48			214			129

Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table summarizes the balances of assets and liabilities measured at fair value on a recurring basis:

(Dollars in Millions)	Level 1		Level 2		Level 3		Netting			Total
September 30, 2014
Available-for-sale securities
U.S. Treasury and agencies	$	1,345	$	1,333	$	–	$	–		$	2,678
Mortgage-backed securities
Residential
Agency		–		41,837		–		–			41,837
Non-agency
Prime (a)		–		–		426		–			426
Non-prime (b)		–		–		284		–			284
Commercial
Agency		–		122		–		–			122
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		23		–		–			23
Other		–		558		64		–			622
Obligations of state and political subdivisions		–		5,563		–		–			5,563
Obligations of foreign governments		–		6		–		–			6
Corporate debt securities		–		630		9		–			639
Perpetual preferred securities		–		220		–		–			220
Other investments		235		19		–		–			254
Total available-for-sale		1,580		50,311		783		–			52,674
Mortgage loans held for sale		–		3,918		–		–			3,918
Mortgage servicing rights		–		–		2,461		–			2,461
Derivative assets		–		937		557		(670	)		824
Other assets		157		1,026		–		–			1,183
Total	$	1,737	$	56,192	$	3,801	$	(670	)	$	61,060
Derivative liabilities	$	–	$	1,680	$	92	$	(1,127	)	$	645
Short-term borrowings (c)		160		608		–		–			768
Total	$	160	$	2,288	$	92	$	(1,127	)	$	1,413
December 31, 2013
Available-for-sale securities
U.S. Treasury and agencies	$	7	$	1,038	$	–	$	–		$	1,045
Mortgage-backed securities
Residential
Agency		–		31,553		–		–			31,553
Non-agency
Prime (a)		–		–		478		–			478
Non-prime (b)		–		–		297		–			297
Commercial
Agency		–		152		–		–			152
Asset-backed securities
Collateralized debt obligations/Collateralized loan obligations		–		24		–		–			24
Other		–		566		63		–			629
Obligations of state and political subdivisions		–		5,738		–		–			5,738
Obligations of foreign governments		–		6		–		–			6
Corporate debt securities		–		631		9		–			640
Perpetual preferred securities		–		212		–		–			212
Other investments		141		20		–		–			161
Total available-for-sale		148		39,940		847		–			40,935
Mortgage loans held for sale		–		3,263		–		–			3,263
Mortgage servicing rights		–		–		2,680		–			2,680
Derivative assets		–		889		515		(599	)		805
Other assets		143		588		–		–			731
Total	$	291	$	44,680	$	4,042	$	(599	)	$	48,414
Derivative liabilities	$	–	$	1,647	$	70	$	(1,192	)	$	525
Short-term borrowings (c)		112		551		–		–			663
Total	$	112	$	2,198	$	70	$	(1,192	)	$	1,188

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Represents the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.

Changes in Fair Value for All Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3)

The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended September 30:

(Dollars in Millions)	Beginning of Period Balance		Net Gains (Losses) Included in Net Income			Net Gains (Losses) Included in Other Comprehensive Income (Loss)			Purchases		Sales			Principal Payments			Issuances			Settlements			End of Period Balance		Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
2014
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	447	$	–		$	2		$	–	$	–		$	(23	)	$	–		$	–		$	426	$	2
Non-prime (b)		286		–			6			–		–			(8	)		–			–			284		6
Asset-backed securities
Other		66		–			–			–		–			(2	)		–			–			64		–
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		808		–			8	(e)		–		–			(33	)		–			–			783		8
Mortgage servicing rights		2,412		(61	) (c)		–			1		–			–			109	(f)		–			2,461		(61	) (c)
Net derivative assets and liabilities		558		95	(d)		–			–		(1	)		–			–			(187	)		465		(15	) (g)
2013
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	547	$	(2	)	$	(4	)	$	–	$	–		$	(41	)	$	–		$	–		$	500	$	(4	)
Non-prime (b)		319		(3	)		(4	)		–		–			(9	)		–			–			303		(4	)
Asset-backed securities
Other		40		1			(2	)		3		–			(2	)		–			–			40		(2	)
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		915		(4	) (h)		(10	) (e)		3		–			(52	)		–			–			852		(10	)
Mortgage servicing rights		2,377		11	(c)		–			2		–			–			187	(f)		–			2,577		11	(c)
Net derivative assets and liabilities		423		182	(i)		–			–		(2	)		–			–			14			617		55	(j)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Included in mortgage banking revenue.

(d) Approximately $7 million included in other noninterest income and $88 million included in mortgage banking revenue.

(e) Included in changes in unrealized gains and losses on securities available-for-sale.

(f) Represents MSRs capitalized during the period.

(g) Approximately $(65) million included in other noninterest income and $50 million included in mortgage banking revenue.

(h) Approximately $(3) million included in securities gains (losses) and $(1) million included in interest income.

(i) Approximately $89 million included in other noninterest income and $93 million included in mortgage banking revenue.

(j) Approximately $(28) million included in other noninterest income and $83 million included in mortgage banking revenue.

The following table presents the changes in fair value for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the nine months ended September 30:

(Dollars in Millions)	Beginning of Period Balance		Net Gains (Losses) Included in Net Income			Net Gains (Losses) Included in Other Comprehensive Income (Loss)			Purchases		Sales			Principal Payments			Issuances			Settlements			End of Period Balance		Net Change in Unrealized Gains (Losses) Relating to Assets and Liabilities Still Held at End of Period
2014
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	478	$	–		$	14		$	–	$	–		$	(66	)	$	–		$	–		$	426	$	14
Non-prime (b)		297		(4	)		14			–		–			(23	)		–			–			284		14
Asset-backed securities
Other		63		2			1			4		–			(6	)		–			–			64		1
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		847		(2	) (c)		29	(f)		4		–			(95	)		–			–			783		29
Mortgage servicing rights		2,680		(345	) (d)		–			3		(141	)		–			264	(g)		–			2,461		(345	) (d)
Net derivative assets and liabilities		445		568	(e)		–			1		(1	)		–			–			(548	)		465		80	(h)
2013
Available-for-sale securities
Mortgage-backed securities
Residential non-agency
Prime (a)	$	624	$	(6	)	$	4		$	–	$	–		$	(122	)	$	–		$	–		$	500	$	4
Non-prime (b)		355		(11	)		13			–		(20	)		(34	)		–			–			303		14
Asset-backed securities
Other		15		2			(1	)		28		–			(4	)		–			–			40		(1	)
Corporate debt securities		9		–			–			–		–			–			–			–			9		–
Total available-for-sale		1,003		(15	) (i)		16	(f)		28		(20	)		(160	)		–			–			852		17
Mortgage servicing rights		1,700		196	(d)		–			7		–			–			674	(g)		–			2,577		196	(d)
Net derivative assets and liabilities		1,179		(34	) (j)		–			1		(4	)		–			–			(525	)		617		(218	) (k)

(a) Prime securities are those designated as such by the issuer at origination. When an issuer designation is unavailable, the Company determines at acquisition date the categorization based on asset pool characteristics (such as weighted-average credit score, loan-to-value, loan type, prevalence of low documentation loans) and deal performance (such as pool delinquencies and security market spreads).

(b) Includes all securities not meeting the conditions to be designated as prime.

(c) Included in securities gains (losses).

(d) Included in mortgage banking revenue.

(e) Approximately $215 million included in other noninterest income and $353 million included in mortgage banking revenue.

(f) Included in changes in unrealized gains and losses on securities available-for-sale.

(g) Represents MSRs capitalized during the period.

(h) Approximately $30 million included in other noninterest income and $50 million included in mortgage banking revenue.

(i) Approximately $(13) million included in securities gains (losses) and $(2) million included in interest income.

(j) Approximately $(122) million included in other noninterest income and $88 million included in mortgage banking revenue.

(k) Approximately $(301)million included in other noninterest income and $83 million included in mortgage banking revenue.

Adjusted Carrying Values for Assets Measured at Fair Value on Nonrecurring Basis

The following table summarizes the balances of assets measured at fair value on a nonrecurring basis:

	September 30, 2014								December 31, 2013
(Dollars in Millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Loans (a)	$	–	$	–	$	142	$	142	$	–	$	–	$	128	$	128
Other assets (b)		–		–		84		84		–		–		150		150

(a) Represents the carrying value of loans for which adjustments were based on the fair value of the collateral, excluding loans fully charged-off.

(b) Primarily represents the fair value of foreclosed properties that were measured at fair value based on an appraisal or broker price opinion of the collateral subsequent to their initial acquisition.

Losses Recognized Related to Nonrecurring Fair Value Measurements of Individual Assets or Portfolios

The following table summarizes losses recognized related to nonrecurring fair value measurements of individual assets or portfolios:

	Three Months Ended September 30,				Nine Months Ended September 30,
(Dollars in Millions)	2014		2013		2014		2013
Loans (a)	$	21	$	22	$	68	$	55
Other assets (b)		17		14		51		73

(a) Represents write-downs of loans which were based on the fair value of the collateral, excluding loans fully charged-off.

(b) Primarily represents related losses of foreclosed properties that were measured at fair value subsequent to their initial acquisition.

Differences Between Aggregate Fair Value, Carrying Amount of MLHFS and Aggregate Unpaid Principal Amount

The following table summarizes the differences between the aggregate fair value carrying amount of MLHFS for which the fair value option has been elected and the aggregate unpaid principal amount that the Company is contractually obligated to receive at maturity:

	September 30, 2014							December 31, 2013
(Dollars in Millions)	Fair Value Carrying Amount		Aggregate Unpaid Principal		Carrying Amount Over (Under) Unpaid Principal			Fair Value Carrying Amount		Aggregate Unpaid Principal		Carrying Amount Over (Under) Unpaid Principal
Total loans	$	3,918	$	3,784	$	134		$	3,263	$	3,195	$	68
Nonaccrual loans		8		12		(4	)		9		14		(5	)
Loans 90 days or more past due		2		2		–			–		–		–

Estimated Fair Values of Financial Instruments

The estimated fair values of the Company’s financial instruments are shown in the table below:

	September 30, 2014										December 31, 2013
	Carrying Amount		Fair Value								Carrying Amount		Fair Value
(Dollars in Millions)			Level 1		Level 2		Level 3		Total				Level 1		Level 2		Level 3		Total
Financial Assets
Cash and due from banks	$	6,183	$	6,183	$	–	$	–	$	6,183	$	8,477	$	8,477	$	–	$	–	$	8,477
Federal funds sold and securities purchased under resale agreements		168		–		168		–		168		163		–		163		–		163
Investment securities held-to-maturity		44,231		1,905		42,093		96		44,094		38,920		2,589		35,678		101		38,368
Loans held for sale (a)		21		–		–		21		21		5		–		–		5		5
Loans (b)		241,384		–		–		243,700		243,700		230,857		–		–		231,480		231,480
Other financial instruments		2,227		–		944		1,289		2,233		2,443		–		1,080		1,383		2,463
Financial Liabilities
Deposits		273,097		–		273,147		–		273,147		262,123		–		262,200		–		262,200
Short-term borrowings (c)		29,277		–		29,134		–		29,134		26,945		–		26,863		–		26,863
Long-term debt		30,768		–		31,220		–		31,220		20,049		–		20,391		–		20,391
Other liabilities		1,307		–		–		1,307		1,307		1,263		–		–		1,263		1,263

(a) Excludes mortgages held for sale for which the fair value option under applicable accounting guidance was elected.

(b) Excludes loans measured at fair value on a nonrecurring basis.

(c) Excludes the Company’s obligation on securities sold short required to be accounted for at fair value per applicable accounting guidance.

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Derivative Instruments

9 Months Ended

Sep. 30, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments

 Note 13  Derivative Instruments

In the ordinary course of business, the Company enters into derivative transactions to manage various risks and to accommodate the business requirements of its customers. The Company recognizes all derivatives on the Consolidated Balance Sheet at fair value in other assets or in other liabilities. On the date the Company enters into a derivative contract, the derivative is designated as either a hedge of the fair value of a recognized asset or liability (“fair value hedge”); a hedge of a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”); a hedge of the volatility of an investment in foreign operations driven by changes in foreign currency exchange rates (“net investment hedge”); or a designation is not made as it is a customer-related transaction, an economic hedge for asset/liability risk management purposes or another stand-alone derivative created through the Company’s operations (“free-standing derivative”). When a derivative is designated as a fair value, cash flow or net investment hedge, the Company performs an assessment, at inception and, at a minimum, quarterly thereafter, to determine the effectiveness of the derivative in offsetting changes in the value or cash flows of the hedged item(s).

Fair Value Hedges These derivatives are interest rate swaps the Company uses to hedge the change in fair value related to interest rate changes of its underlying fixed-rate debt. Changes in the fair value of derivatives designated as fair value hedges, and changes in the fair value of the hedged items, are recorded in earnings. All fair value hedges were highly effective for the nine months ended September 30, 2014, and the change in fair value attributed to hedge ineffectiveness was not material.

Cash Flow Hedges These derivatives are interest rate swaps the Company uses to hedge the forecasted cash flows from its underlying variable-rate loans and debt. Changes in the fair value of derivatives designated as cash flow hedges are recorded in other comprehensive income (loss) until the cash flows of the hedged items are realized. If a derivative designated as a cash flow hedge is terminated or ceases to be highly effective, the gain or loss in other comprehensive income (loss) is amortized to earnings over the period the forecasted hedged transactions impact earnings. If a hedged forecasted transaction is no longer probable, hedge accounting is ceased and any gain or loss included in other comprehensive income (loss) is reported in earnings immediately, unless the forecasted transaction is at least reasonably possible of occurring, whereby the amounts remain within other comprehensive income (loss). At September 30, 2014, the Company had $187 million (net-of-tax) of realized and unrealized losses on derivatives classified as cash flow hedges recorded in other comprehensive income (loss), compared with $261 million (net-of-tax) at December 31, 2013. The estimated amount to be reclassified from other comprehensive income (loss) into earnings during the remainder of 2014 and the next 12 months are losses of $31 million (net-of-tax) and $121 million (net-of-tax), respectively. These amounts include gains and losses related to hedges that were terminated early for which the forecasted transactions are still probable. All cash flow hedges were highly effective for the nine months ended September 30, 2014, and the change in fair value attributed to hedge ineffectiveness was not material.

Net Investment Hedges The Company uses forward commitments to sell specified amounts of certain foreign currencies, and occasionally non-derivative debt instruments, to hedge the volatility of its investment in foreign operations driven by fluctuations in foreign currency exchange rates. The ineffectiveness on all net investment hedges was not material for the nine months ended September 30, 2014. There were no non-derivative debt instruments designated as net investment hedges at September 30, 2014 or December 31, 2013.

Other Derivative Positions The Company enters into free-standing derivatives to mitigate interest rate risk and for other risk management purposes. These derivatives include forward commitments to sell to-be-announced securities (“TBAs”) and other commitments to sell residential mortgage loans, which are used to economically hedge the interest rate risk related to residential mortgage loans held for sale (“MLHFS”) and unfunded mortgage loan commitments. The Company also enters into interest rate swaps, forward commitments to buy TBAs, U.S. Treasury futures and options on U.S. Treasury futures to economically hedge the change in the fair value of the Company’s MSRs. The Company also enters into foreign currency forwards to economically hedge remeasurement gains and losses the Company recognizes on foreign currency denominated assets and liabilities. In addition, the Company acts as a seller and buyer of interest rate derivatives and foreign exchange contracts for its customers. To mitigate the market and liquidity risk associated with these customer derivatives, the Company historically has entered into similar offsetting positions with broker-dealers. In 2014, the Company began to actively manage the risks from its exposure to customer-related interest rate positions on a portfolio basis by entering into other derivative or non-derivative financial instruments that partially or fully offset the exposure from these customer-related positions. The Company’s customer derivatives and related hedges are monitored and reviewed by the Company’s Market Risk Committee, which establishes policies for market risk management, including exposure limits for each portfolio. The Company also has derivative contracts that are created through its operations, including commitments to originate MLHFS and swap agreements related to the sale of a portion of its Class B common shares of Visa Inc. Refer to Note 16 for further information on the Visa restructuring and related card association litigation.

For additional information on the Company’s purpose for entering into derivative transactions and its overall risk management strategies, refer to “Management Discussion and Analysis — Use of Derivatives to Manage Interest Rate and Other Risks” which is incorporated by reference into these Notes to Consolidated Financial Statements.

The following table summarizes the asset and liability management derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
September 30, 2014
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	1,750	$	21		3.65	$	1,000	$	4		9.96
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		1,972		15		3.73		4,084		351		1.81
Receive fixed/pay floating swaps		5,500		6		.15		–		–		–
Net investment hedges
Foreign exchange forward contracts		1,043		29		.05		–		–		–
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		2,981		20		.09		1,422		4		.05
Sell		2,691		10		.10		4,077		22		.11
Options
Purchased		2,100		–		.07		–		–		–
Written		2,349		32		.08		8		1		.08
Receive fixed/pay floating swaps		3,375		6		10.22		232		3		10.22
Pay fixed/receive floating swaps		–		–		–		55		–		10.22
Foreign exchange forward contracts		1,049		11		.02		3,576		38		.01
Equity contracts		27		–		1.13		57		1		.72
Credit contracts		1,263		3		3.40		2,288		5		3.04
Other (a)		722		15		.01		1,017		51		1.17
Total	$	26,822	$	168			$	17,816	$	480
December 31, 2013
Fair value hedges
Interest rate contracts
Receive fixed/pay floating swaps	$	500	$	22		2.09	$	–	$	–		–
Cash flow hedges
Interest rate contracts
Pay fixed/receive floating swaps		772		26		6.25		4,288		498		2.46
Receive fixed/pay floating swaps		7,000		26		.84		–		–		–
Net investment hedges
Foreign exchange forward contracts		–		–		–		1,056		4		.04
Other economic hedges
Interest rate contracts
Futures and forwards
Buy		2,310		9		.07		1,025		7		.06
Sell		5,234		58		.08		346		4		.17
Options
Purchased		2,300		–		.07		–		–		–
Written		1,902		17		.07		2		–		.08
Receive fixed/pay floating swaps		–		–		–		3,540		56		10.22
Foreign exchange forward contracts		6,813		24		.02		2,121		4		.02
Equity contracts		79		3		1.62		–		–		–
Credit contracts		1,209		4		4.04		2,352		7		3.08
Total	$	28,119	$	189			$	14,730	$	580

(a) Includes short-term underwriting purchase and sale commitments with total asset and liability notional values of $722 million at September 30, 2014, and derivative liability swap agreements related to the sale of a portion of the Company’s Class B common shares of Visa Inc. These swap agreements had a total notional value, fair value and weighted average remaining maturity of $295 million, $42 million and 4.01 years at September 30, 2014, respectively.

The following table summarizes the customer-related derivative positions of the Company:

	Asset Derivatives						Liability Derivatives
(Dollars in Millions)	Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years		Notional Value		Fair Value		Weighted- Average Remaining Maturity In Years
September 30, 2014
Interest rate contracts
Receive fixed/pay floating swaps	$	16,055	$	645		5.94	$	8,509	$	47		4.33
Pay fixed/receive floating swaps		7,215		54		3.98		16,384		638		5.86
Options
Purchased		4,110		10		3.84		24		–		2.67
Written		24		–		2.67		4,096		10		3.85
Futures
Buy		2,439		–		.25		–		–		–
Sell		334		–		1.28		131		–		.96
Foreign exchange rate contracts
Forwards, spots and swaps		13,349		595		.55		13,212		575		.55
Options
Purchased		751		22		.57		–		–		–
Written		–		–		–		751		22		.57
Total	$	44,277	$	1,326			$	43,107	$	1,292
December 31, 2013
Interest rate contracts
Receive fixed/pay floating swaps	$	11,717	$	600		5.11	$	7,291	$	106		5.57
Pay fixed/receive floating swaps		6,746		114		6.03		12,361		560		4.90
Options
Purchased		3,489		33		4.53		–		–		–
Written		–		–		–		3,489		33		4.53
Foreign exchange rate contracts
Forwards, spots and swaps		10,970		457		.59		9,975		427		.62
Options
Purchased		364		11		.53		–		–		–
Written		–		–		–		364		11		.53
Total	$	33,286	$	1,215			$	33,480	$	1,137

The table below shows the effective portion of the gains (losses) recognized in other comprehensive income (loss) and the gains (losses) reclassified from other comprehensive income (loss) into earnings (net-of-tax):

	Three Months Ended September 30,											Nine Months Ended September 30,
	Gains (Losses) Recognized in Other Comprehensive Income (Loss)					Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings						Gains (Losses) Recognized in Other Comprehensive Income (Loss)						Gains (Losses) Reclassified from Other Comprehensive Income (Loss) into Earnings
(Dollars in Millions)	2014		2013			2014			2013			2014			2013			2014			2013
Asset and Liability Management Positions
Cash flow hedges
Interest rate contracts (a)	$	10	$	(11	)	$	(28	)	$	(30	)	$	(12	)	$	22		$	(86	)	$	(88	)
Net investment hedges
Foreign exchange forward contracts	$	84		(29	)		–			–		$	93			(23	)		–			–

Note: Ineffectiveness on cash flow and net investment hedges was not material for the three and nine months ended September 30, 2014 and 2013.

(a) Gains (Losses) reclassified from other comprehensive income (loss) into interest income on loans and interest expense on long-term debt.

The table below shows the gains (losses) recognized in earnings for fair value hedges, other economic hedges and the customer-related positions:

	Location of Gains (Losses)	Three Months						Nine Months
		Ended September 30,						Ended September 30,
(Dollars in Millions)	Recognized in Earnings	2014			2013			2014			2013
Asset and Liability Management Positions
Fair value hedges (a)
Interest rate contracts	Other noninterest income	$	(19	)	$	–		$	(13	)	$	(7	)
Other economic hedges
Interest rate contracts
Futures and forwards	Mortgage banking revenue		6			33			(69	)		569
Purchased and written options	Mortgage banking revenue		64			54			210			200
Receive fixed/pay floating swaps	Mortgage banking revenue		17			(5	)		238			(264	)
Foreign exchange forward contracts	Commercial products revenue		(24	)		(16	)		(41	)		18
Equity contracts	Compensation expense		–			–			1			1
Credit contracts	Other noninterest income/expense		–			2			–			1
Other	Other noninterest income/expense		1			–			(42	)		–
Customer-Related Positions
Interest rate contracts
Receive fixed/pay floating swaps	Other noninterest income		(20	)		13			329			(288	)
Pay fixed/receive floating swaps	Other noninterest income		28			(10	)		(307	)		298
Foreign exchange rate contracts
Forwards, spots and swaps	Commercial products revenue		13			15			45			36

(a) Gains (Losses) on items hedged by interest rate contracts included in noninterest income (expense), were $19 million and zero million for the three months ended September 30, 2014 and 2013, respectively, and $13 million and $7 million for the nine months ended September 30, 2014 and 2013, respectively. The ineffective portion was immaterial for the three and nine months ended September 30, 2014 and 2013.

Derivatives are subject to credit risk associated with counterparties to the derivative contracts. The Company measures that credit risk using a credit valuation adjustment and includes it within the fair value of the derivative. The Company manages counterparty credit risk through diversification of its derivative positions among various counterparties, by entering into master netting arrangements and, where possible, by requiring collateral arrangements. A master netting arrangement allows two counterparties, who have multiple derivative contracts with each other, the ability to net settle amounts under all contracts, including any related collateral, through a single payment and in a single currency. Collateral arrangements require the counterparty to deliver collateral (typically cash or U.S. Treasury and agency securities) equal to the Company’s net derivative receivable, subject to minimum transfer and credit rating requirements.

The Company’s collateral arrangements are predominately bilateral and, therefore, contain provisions that require collateralization of the Company’s net liability derivative positions. Required collateral coverage is based on certain net liability thresholds and contingent upon the Company’s credit rating from two of the nationally recognized statistical rating organizations. If the Company’s credit rating were to fall below credit ratings thresholds established in the collateral arrangements, the counterparties to the derivatives could request immediate additional collateral coverage up to and including full collateral coverage for derivatives in a net liability position. The aggregate fair value of all derivatives under collateral arrangements that were in a net liability position at September 30, 2014, was $868 million. At September 30, 2014, the Company had $697 million of cash posted as collateral against this net liability position.

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Fair Values of Assets and Liabilities - Balances of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) In Millions, unless otherwise specified	Sep. 30, 2014		Jun. 30, 2014	Dec. 31, 2013		Sep. 30, 2013	Jun. 30, 2013	Dec. 31, 2012
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities netting	$ (1,127)			$ (1,192)
Derivative liabilities total	442			406
Derivative assets netting	(670)			(599)
Derivative assets total	693			750
Available-for-sale securities	52,674	[1]		40,935	[1]
Mortgage loans held for sale	3,918			3,263
Mortgage servicing rights	2,461		2,412	2,680		2,577	2,377	1,700
Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities total	645			525
Derivative assets total	824			805
Available-for-sale securities	52,674			40,935
Mortgage loans held for sale	3,918			3,263
Mortgage servicing rights	2,461			2,680
Other assets	1,183			731
Total	61,060			48,414
Short-term borrowings	768			663
Total	1,413			1,188
Fair Value, Measurements, Recurring [Member] | U.S. Treasury and agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	2,678			1,045
Fair Value, Measurements, Recurring [Member] | Obligations of state and political subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	5,563			5,738
Fair Value, Measurements, Recurring [Member] | Obligations of foreign governments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	6			6
Fair Value, Measurements, Recurring [Member] | Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	639			640
Fair Value, Measurements, Recurring [Member] | Perpetual preferred securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	220			212
Fair Value, Measurements, Recurring [Member] | Other Investment [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	254			161
Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	426			478
Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	284			297
Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	41,837			31,553
Fair Value, Measurements, Recurring [Member] | Commercial [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	122			152
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	622			629
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	23			24
Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities before netting
Derivative assets before netting
Available-for-sale securities	1,580			148
Mortgage loans held for sale
Mortgage servicing rights
Other assets	157			143
Total	1,737			291
Short-term borrowings	160			112
Total	160			112
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	1,345			7
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of state and political subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of foreign governments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Perpetual preferred securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Other Investment [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	235			141
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities before netting	1,680			1,647
Derivative assets before netting	937			889
Available-for-sale securities	50,311			39,940
Mortgage loans held for sale	3,918			3,263
Mortgage servicing rights
Other assets	1,026			588
Total	56,192			44,680
Short-term borrowings	608			551
Total	2,288			2,198
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	1,333			1,038
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of state and political subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	5,563			5,738
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of foreign governments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	6			6
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	630			631
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Perpetual preferred securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	220			212
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Other Investment [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	19			20
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	41,837			31,553
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	122			152
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	558			566
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	23			24
Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities before netting	92			70
Derivative assets before netting	557			515
Available-for-sale securities	783			847
Mortgage loans held for sale
Mortgage servicing rights	2,461			2,680
Other assets
Total	3,801			4,042
Short-term borrowings
Total	92			70
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of state and political subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of foreign governments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	9			9
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Perpetual preferred securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Other Investment [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	426			478
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	284			297
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Commercial [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities	64			63
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities netting	(1,127)			(1,192)
Derivative assets netting	(670)			(599)
Available-for-sale securities
Mortgage loans held for sale
Mortgage servicing rights
Other assets
Total	(670)			(599)
Short-term borrowings
Total	(1,127)			(1,192)
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury and agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of state and political subdivisions [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Obligations of foreign governments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Perpetual preferred securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Other Investment [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Non-agency Non-prime [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities Residential [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Commercial [Member] | Agency [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Asset-backed securities Other [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities
Netting And Collateral One [Member] | Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Collateralized Loan Obligations [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities

[1] Includes only collateral pledged by the Company where counterparties have the right to sell or pledge the collateral.