Derivative Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Positions

	March 31, 2015
	Asset Derivatives						Liability Derivatives
(Dollars in millions)		Notional Amounts		Fair Value			Notional Amounts		Fair Value
Derivative instruments designated in cash flow hedging relationships 1
Interest rate contracts hedging floating rate loans			$16,800		$173			$—		$—
Derivative instruments designated in fair value hedging relationships 2
Interest rate contracts hedging fixed rate debt		4,700		48			600		—
Interest rate contracts hedging brokered CDs		30		—			—		—
Total		4,730		48			600		—
Derivative instruments not designated as hedging instruments 3
Interest rate contracts hedging:
MSRs		7,379		280			11,891		86
LHFS, IRLCs 4		2,435		9			4,528		24
Trading activity 5		62,171		2,554			62,002		2,371
Foreign exchange rate contracts hedging trading activity		2,838		174			2,899		168
Credit contracts hedging:
Loans		—		—			310		4
Trading activity 6		2,564		23			2,771		24
Equity contracts hedging trading activity 5		21,462		2,671			27,822		2,953
Other contracts:
IRLCs and other 7		3,436		45			122		8
Commodities		443		90			438		90
Total		102,728		5,846			112,783		5,728
Total derivative instruments			$124,258		$6,067			$113,383		$5,728
Total gross derivative instruments, before netting					$6,067					$5,728
Less: Legally enforceable master netting agreements				(4,062		)			(4,062		)
Less: Cash collateral received/paid				(530		)			(1,114		)
Total derivative instruments, after netting					$1,475					$552

¹ See “Cash Flow Hedges” in this Note for further discussion.

² See “Fair Value Hedges” in this Note for further discussion.

³ See “Economic Hedging and Trading Activities” in this Note for further discussion.

⁴ Amount includes $576 million of notional amounts related to interest rate futures. These futures contracts settle in cash daily, one day in arrears. The derivative asset or liability associated with the one day lag is included in the fair value column of this table.

⁵ Amounts include $10.4 billion and $554 million of notional amounts related to interest rate futures and equity futures, respectively. These futures contracts settle in cash daily, one day in arrears. The derivative asset or liability associated with the one day lag are included in the fair value column of this table. Amounts also include notional amounts related to interest rate swaps hedging fixed rate debt.

⁶ Asset and liability amounts each include $7 million and $4 million of notional amounts from purchased and written credit risk participation agreements, respectively, whose notional is calculated as the notional of the derivative participated adjusted by the relevant RWA conversion factor.

⁷ Includes $49 million notional amount that is based on the number of VisaClass B shares, 3.2 million, the conversion ratio from Class B shares to Class A shares, and the Class A share price at the derivative inception date of May 28, 2009. This derivative was established upon the sale of Class B shares in the second quarter of 2009. See Note 12, “Guarantees” for additional information.

	December 31, 2014
	Asset Derivatives						Liability Derivatives
(Dollars in millions)		Notional Amounts		Fair Value			Notional Amounts		Fair Value
Derivative instruments designated in cash flow hedging relationships 1
Interest rate contracts hedging floating rate loans			$18,150		$208			$2,850		$8
Derivative instruments designated in fair value hedging relationships 2
Interest rate contracts hedging fixed rate debt		2,700		30			2,600		1
Interest rate contracts hedging brokered CDs		30		—			—		—
Total		2,730		30			2,600		1
Derivative instruments not designated as hedging instruments 3
Interest rate contracts hedging:
MSRs		5,172		163			8,807		30
LHFS, IRLCs 4		1,840		4			4,923		23
Trading activity 5		61,049		2,405			61,065		2,225
Foreign exchange rate contracts hedging trading activity		2,429		104			2,414		100
Credit contracts hedging:
Loans		—		—			392		5
Trading activity 6		2,282		20			2,452		20
Equity contracts hedging trading activity 5		21,875		2,809			28,128		3,090
Other contracts:
IRLCs and other 7		2,231		25			139		5
Commodities		381		71			374		70
Total		97,259		5,601			108,694		5,568
Total derivative instruments			$118,139		$5,839			$114,144		$5,577
Total gross derivative instruments, before netting					$5,839					$5,577
Less: Legally enforceable master netting agreements				(4,083		)			(4,083		)
Less: Cash collateral received/paid				(449		)			(1,032		)
Total derivative instruments, after netting					$1,307					$462

¹ See “Cash Flow Hedges” in this Note for further discussion.

² See “Fair Value Hedges” in this Note for further discussion.

³ See “Economic Hedging and Trading Activities” in this Note for further discussion.

⁴ Amount includes $791 million of notional amounts related to interest rate futures. These futures contracts settle in cash daily, one day in arrears. The derivative asset or liability associated with the one day lag is included in the fair value column of this table.

⁵ Amounts include $10.3 billion and $563 million of notional amounts related to interest rate futures and equity futures, respectively. These futures contracts settle in cash daily, one day in arrears. The derivative asset or liability associated with the one day lag is included in the fair value column of this table. Amounts also include notional amounts related to interest rate swaps hedging fixed rate debt.

⁶ Asset and liability amounts both include $4 million of notional amounts from purchased and written interest rate swap risk participation agreements, respectively, whose notional is calculated as the notional of the interest rate swap participated adjusted by the relevant RWA conversion factor.

⁷ Includes $49 million notional amount that is based on the number of VisaClass B shares, 3.2 million, the conversion ratio from Class B shares to Class A shares, and the Class A share price at the derivative inception date of May 28, 2009. This derivative was established upon the sale of Class B shares in the second quarter of 2009. See Note 12, “Guarantees” for additional information.

^[1]

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block]

	Three Months Ended March 31, 2015
(Dollars in millions)	Amount of  pre-tax gain recognized in OCI on Derivatives (Effective Portion)		Classification of gain reclassified  from AOCI into Income (Effective Portion)	Amount of pre-tax gain reclassified from AOCI into Income (Effective Portion)
Derivative instruments in cash flow hedging relationships:
Interest rate contracts hedging floating rate loans 1		$125	Interest and fees on loans		$35

¹ During the three months endedMarch 31, 2015, the Company also reclassified $19 million of pre-tax gains from AOCI into net interest income. These gains related to hedging relationships that have been previously terminated or de-designated and are reclassified into earnings consistent with the pattern of net cash flows expected to be recognized.

	Three Months Ended March 31, 2015
(Dollars in millions)	Amount of gain on Derivatives recognized in Income		Amount of loss on related Hedged Items recognized in Income			Amount of gain/(loss) recognized in Income on Hedges (Ineffective Portion)
Derivative instruments in fair value hedging relationships:
Interest rate contracts hedging fixed rate debt 1		$14		($14	)		$—
Interest rate contracts hedging brokered CDs 1	—		—			—
Total		$14		($14	)		$—

¹ Amounts are recognized in trading income in the Consolidated Statements of Income.

(Dollars in millions)	Classification of (loss)/gain recognized in Income on Derivatives	Amount of (loss)/gain recognized in Income on Derivatives during the Three Months Ended March 31, 2015
Derivative instruments not designated as hedging instruments:
Interest rate contracts hedging:
MSRs	Mortgage servicing related income		$88
LHFS, IRLCs	Mortgage production related income	(43		)
Trading activity	Trading income	15
Foreign exchange rate contracts hedging trading activity	Trading income	56
Credit contracts hedging trading activity	Trading income	6
Equity contracts hedging trading activity	Trading income	3
Other contracts - IRLCs	Mortgage production related income	81
Total			$206

	Three Months Ended March 31, 2014
(Dollars in millions)	Amount of  pre-tax gain recognized in OCI on Derivatives (Effective Portion)		Classification of gain reclassified  from AOCI into Income (Effective Portion)	Amount of  pre-tax gain reclassified from AOCI into Income (Effective Portion)
Derivative instruments in cash flow hedging relationships:
Interest rate contracts hedging floating rate loans 1		$23	Interest and fees on loans		$76

¹ During the three months endedMarch 31, 2014, the Company also reclassified $26 million pre-tax gains from AOCI into net interest income. These gains related to hedging relationships that have been previously terminated or de-designated and are reclassified into earnings consistent with the pattern of net cash flows expected to be recognized.

	Three Months Ended March 31, 2014
(Dollars in millions)	Amount of gain on Derivatives recognized in Income		Amount of loss on related Hedged Items recognized in Income			Amount of gain/(loss )recognized in Income on Hedges (Ineffective Portion)
Derivative instruments in fair value hedging relationships:
Interest rate contracts hedging fixed rate debt 1		$9		($9	)		$—

¹ Amounts are recognized in trading income in the Consolidated Statements of Income.

(Dollars in millions)	Classification of gain/(loss) recognized in Income on Derivatives	Amount of gain/(loss) recognized in Income on Derivatives during the Three Months Ended March 31, 2014
Derivative instruments not designated as hedging instruments:
Interest rate contracts hedging:
MSRs	Mortgage servicing related income		$55
LHFS, IRLCs	Mortgage production related income	(34		)
Trading activity	Trading income	14
Foreign exchange rate contracts hedging trading activity	Trading income	5
Credit contracts hedging trading activity	Trading income	4
Equity contracts hedging trading activity	Trading income	1
Other contracts - IRLCs	Mortgage production related income	60
Total			$105

^[2]

Netting of financial instruments - derivatives [Table Text Block]

(Dollars in millions)	Gross Amount		Amount Offset		Net Amount Presented in Consolidated Balance Sheets			Held/Pledged Financial Instruments		Net Amount
March 31, 2015
Derivative instrument assets:
Derivatives subject to master netting arrangement or similar arrangement		$5,408		$4,172		$1,236			$72		$1,164
Derivatives not subject to master netting arrangement or similar arrangement	45		—		45			—		45
Exchange traded derivatives	614		420		194			—		194
Total derivative instrument assets		$6,067		$4,592		$1,475	1		$72		$1,403
Derivative instrument liabilities:
Derivatives subject to master netting arrangement or similar arrangement		$5,185		$4,756		$429			$27		$402
Derivatives not subject to master netting arrangement or similar arrangement	119		—		119			—		119
Exchange traded derivatives	424		420		4			—		4
Total derivative instrument liabilities		$5,728		$5,176		$552	2		$27		$525
December 31, 2014
Derivative instruments assets:
Derivatives subject to master netting arrangement or similar arrangement		$5,127		$4,095		$1,032			$63		$969
Derivatives not subject to master netting arrangement or similar arrangement	25		—		25			—		25
Exchange traded derivatives	687		437		250			—		250
Total derivative instrument assets		$5,839		$4,532		$1,307	1		$63		$1,244
Derivative instrument liabilities:
Derivatives subject to master netting arrangement or similar arrangement		$5,001		$4,678		$323			$12		$311
Derivatives not subject to master netting arrangement or similar arrangement	133		—		133			—		133
Exchange traded derivatives	443		437		6			—		6
Total derivative instrument liabilities		$5,577		$5,115		$462	2		$12		$450

¹ At March 31, 2015, $1.5 billion, net of $530 million offsetting cash collateral, is recognized in trading assets and derivative instruments within the Company's Consolidated Balance Sheets.

At December 31, 2014, $1.3 billion, net of $449 million offsetting cash collateral, is recognized in trading assets and derivative instruments within the Company's Consolidated Balance Sheets.

² At March 31, 2015, $552 million, net of $1.1 billion offsetting cash collateral, is recognized in trading liabilities and derivative instruments within the Company's Consolidated Balance Sheets. At December 31, 2014, $462 million, net of $1.0 billion offsetting cash collateral, is recognized in trading liabilities and derivative instruments within the Company's Consolidated Balance Sheets.

[1] Amounts are recognized in trading income in the Consolidated Statements of Income.

[2] During the three months ended March 31, 2014, the Company also reclassified $26 million pre-tax gains from AOCI into net interest income. These gains related to hedging relationships that have been previously terminated or de-designated and are reclassified into earnings consistent with the pattern of net cash flows expected to be recognized.