Short-Term Borrowings

12 Months Ended

Dec. 31, 2020

Debt Disclosure [Abstract]

Short-Term Borrowings

SHORT-TERM BORROWINGS

Following is a summary of short-term borrowings:

TABLE 13.1

December 31	2020		2019
(in millions)
Securities sold under repurchase agreements	$	403	$	278
Federal Home Loan Bank advances	1,280		2,255
Federal funds purchased	—		575
Subordinated notes	121		108
Total short-term borrowings	$	1,804	$	3,216

Borrowings with original maturities of one year or less are classified as short-term. Securities sold under repurchase agreements are comprised of customer repurchase agreements, which are sweep accounts with next-day maturities utilized by larger commercial customers to earn interest on their funds. Securities are pledged to these customers in an amount at least equal to the outstanding balance. We did not have any short-term FHLB advances with overnight maturities as of December 31,

2020 or December 31, 2019. At December 31, 2020, $1.3 billion, or 100.0%, of the short-term FHLB advances were swapped to a fixed rate with maturities in 2021. This compares to $1.5 billion, or 64.5%, as of December 31, 2019.

During the second half of 2020, we terminated hedges related to $225.0 million of higher-rate short-term FHLB borrowings, which resulted in hedge termination costs of $8.9 million reported in other non-interest income on the Consolidated Statements of Income.

The following represents weighted average interest rates on short-term borrowings:

TABLE 13.2

December 31	2020		2019		2018
Year-to-date average	1.53	%	2.24	%	1.89	%
Period-end	1.57		1.76		2.49