Fair Value of Financial Instruments

3 Months Ended

Mar. 31, 2022

The following disclosures include financial instruments that are not carried at fair value or only a portion of the ending balance is carried at fair value on the Consolidated Balance Sheet. Certain loans, deposits, long-term debt, unfunded lending commitments and other financial instruments are accounted for under the fair value option. For more information, see Note 21 – Fair Value Option to the Consolidated Financial Statements of the Corporation’s 2021 Annual Report on Form 10-K.

Fair Value of Financial Instruments

The carrying values and fair values by fair value hierarchy of certain financial instruments where only a portion of the ending balance was carried at fair value at March 31, 2022 and December 31, 2021 are presented in the following table.



Fair Value of Financial Instruments

			Fair Value
	Carrying Value		Level 2		Level 3		Total
(Dollars in millions)	March 31, 2022
Financial assets
Loans	$	961,364	$	52,598	$	920,592	$	973,190
Loans held-for-sale	10,270		7,569		2,903		10,472
Financial liabilities
Deposits (1)	2,072,409		2,072,308		—		2,072,308
Long-term debt	278,710		280,628		1,102		281,730
Commercial unfunded lending commitments (2)	1,516		85		6,785		6,870

	December 31, 2021
Financial assets
Loans	$	946,142	$	53,544	$	919,980	$	973,524
Loans held-for-sale	15,635		15,016		627		15,643
Financial liabilities
Deposits (1)	2,064,446		2,064,438		—		2,064,438
Long-term debt	280,117		286,802		1,288		288,090
Commercial unfunded lending commitments (2)	1,554		97		6,384		6,481

(1) Includes demand deposits of $1.0 trillion with no stated maturities at both March 31, 2022 and December 31, 2021.

(2) The carrying value of commercial unfunded lending commitments is included in accrued expenses and other liabilities on the Consolidated Balance Sheet. The Corporation does not estimate the fair value of consumer unfunded lending commitments because, in many instances, the Corporation can reduce or cancel these commitments by providing notice to the borrower. For more information on commitments, see Note 10 – Commitments and Contingencies.