Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Positions

	June 30, 2016
	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		$17,950		$477			$—		$—
Derivative instruments designated in fair value hedging relationships 2
Interest rate contracts hedging fixed rate debt	2,475		44			1,600		1
Interest rate contracts hedging brokered CDs	60		1			30		—
Total	2,535		45			1,630		1
Derivative instruments not designated as hedging instruments 3
Interest rate contracts hedging:
MSRs 4	13,701		858			24,700		534
LHFS, IRLCs 5	3,118		22			7,519		70
LHFI	5		1			40		4
Trading activity 6	67,397		2,968			67,767		2,742
Foreign exchange rate contracts hedging trading activity	4,030		143			3,604		129
Credit contracts hedging:
Loans	—		—			505		5
Trading activity 7	2,181		19			2,369		17
Equity contracts hedging trading activity 6	20,368		1,919			28,827		2,305
Other contracts:
IRLCs and other 8	4,287		73			111		13
Commodities	594		73			592		71
Total	115,681		6,076			136,034		5,890
Total derivative instruments		$136,166		$6,598			$137,664		$5,891
Total gross derivative instruments, before netting				$6,598					$5,891
Less: Legally enforceable master netting agreements			(4,143		)			(4,143		)
Less: Cash collateral received/paid			(786		)			(1,290		)
Total derivative instruments, after netting				$1,669					$458

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 $16.5 billion 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 Amount includes $540 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.

⁶ Amounts include $12.0 billion of notional amounts related to interest rate futures and $846 million of notional amounts related to equity 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. Amounts also include notional amounts related to interest rate swaps hedging fixed rate debt.

⁷ Asset and liability amounts include $6 million and $8 million, respectively, of notional amounts from purchased and written credit risk participation agreements, whose notional is calculated as the notional of the derivative participated adjusted by the relevant RWA conversion factor.

⁸ 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, 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		$14,500		$130			$2,900		$11
Derivative instruments designated in fair value hedging relationships 2
Interest rate contracts hedging fixed rate debt	1,700		14			600		—
Interest rate contracts hedging brokered CDs	60		—			30		—
Total	1,760		14			630		—
Derivative instruments not designated as hedging instruments 3
Interest rate contracts hedging:
MSRs 4	7,782		198			16,882		98
LHFS, IRLCs 5	4,309		10			2,520		5
LHFI	15		—			40		1
Trading activity 6	67,164		1,983			66,854		1,796
Foreign exchange rate contracts hedging trading activity	3,648		127			3,227		122
Credit contracts hedging:
Loans	—		—			175		2
Trading activity 7	2,232		57			2,385		54
Equity contracts hedging trading activity 6	19,138		1,812			27,154		2,222
Other contracts:
IRLCs and other 8	2,024		21			299		6
Commodities	453		113			448		111
Total	106,765		4,321			119,984		4,417
Total derivative instruments		$123,025		$4,465			$123,514		$4,428
Total gross derivative instruments, before netting				$4,465					$4,428
Less: Legally enforceable master netting agreements			(2,916		)			(2,916		)
Less: Cash collateral received/paid			(397		)			(1,048		)
Total derivative instruments, after netting				$1,152					$464

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 $9.1 billion 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 Amount includes $518 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.

⁶ Amounts include $12.6 billion of notional amounts related to interest rate futures and $329 million of notional amounts related to equity 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. Amounts also include notional amounts related to interest rate swaps hedging fixed rate debt.

⁷ Asset and liability amounts include $6 million and $9 million, respectively, of notional amounts from purchased and written credit risk participation agreements, whose notional is calculated as the notional of the derivative participated adjusted by the relevant RWA conversion factor.

⁸ 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 June 30, 2016				Six Months Ended June 30, 2016
(Dollars in millions)	Amount of  Pre-tax Gain Recognized in OCI on Derivatives (Effective Portion)		Amount of Pre-tax Gain Reclassified from AOCI into Income (Effective Portion)		Amount of  Pre-tax Gain Recognized in OCI on Derivatives (Effective Portion)		Amount of Pre-tax Gain Reclassified from AOCI into Income (Effective Portion)		Classification 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		$180		$38		$487		$77	Interest and fees on loans

¹ During the three and six months endedJune 30, 2016, the Company also reclassified $26 million and $54 million of pre-tax gains from AOCI into net interest income. These gains related to hedging relationships that have been terminated or de-designated and are reclassified into earnings consistent with the pattern of net cash flows expected to be recognized.

	Three Months Ended June 30, 2016								Six Months Ended June 30, 2016
(Dollars in millions)	Amount of Gain on Derivatives Recognized in Income		Amount of Loss on Related Hedged Items Recognized in Income			Amount of Loss Recognized in Income on Hedges (Ineffective Portion)			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		$32		($33	)		($1	)		$31		($31	)		$—
Interest rate contracts hedging brokered CDs 1	—		—			—			—		—			—
Total		$32		($33	)		($1	)		$31		($31	)		$—

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 June 30, 2016			Amount of Gain/(Loss) Recognized in Income on Derivatives During the Six Months Ended June 30, 2016
Derivative instruments not designated as hedging instruments:
Interest rate contracts hedging:
MSRs	Mortgage servicing related income		$122			$292
LHFS, IRLCs	Mortgage production related income	(65		)	(127		)
LHFI	Other noninterest income	(1		)	(3		)
Trading activity	Trading income	(3		)	13
Foreign exchange rate contracts hedging trading activity	Trading income	34			16
Credit contracts hedging:
Loans	Other noninterest income	(1		)	(2		)
Trading activity	Trading income	5			10
Equity contracts hedging trading activity	Trading income	1			3
Other contracts:
IRLCs	Mortgage production related income	124			168
Commodities	Trading income	1			1
Total			$217			$371

	Three Months Ended June 30, 2015				Six Months Ended June 30, 2015
(Dollars in millions)	Amount of  Pre-tax Gain Recognized in OCI on Derivatives (Effective Portion)		Amount of Pre-tax Gain Reclassified from AOCI into Income (Effective Portion)		Amount of  Pre-tax Gain Recognized in OCI on Derivatives (Effective Portion)		Amount of Pre-tax Gain Reclassified from AOCI into Income (Effective Portion)		Classification 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		$9		$44		$134		$79	Interest and fees on loans

¹ During the three and six months endedJune 30, 2015, the Company also reclassified $19 million and $38 million, respectively, of pre-tax gains from AOCI into net interest income. These gains related to hedging relationships that have been terminated or de-designated and are reclassified into earnings consistent with the pattern of net cash flows expected to be recognized.

	Three Months Ended June 30, 2015								Six Months Ended June 30, 2015
(Dollars in millions)	Amount of Loss on Derivatives Recognized in Income			Amount of Gain on Related Hedged Items Recognized in Income		Amount of Loss Recognized in Income on Hedges (Ineffective Portion)			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		($8	)		$7		($1	)		$7		($7	)		$—
Interest rate contracts hedging brokered CDs 1	—			—		—			—		—			—
Total		($8	)		$7		($1	)		$7		($7	)		$—

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 June 30, 2015			Amount of (Loss)/Gain Recognized in Income on Derivatives During the Six Months Ended June 30, 2015
Derivative instruments not designated as hedging instruments:
Interest rate contracts hedging:
MSRs	Mortgage servicing related income		($163	)		($74	)
LHFS, IRLCs	Mortgage production related income	52			9
Trading activity	Trading income	25			40
Foreign exchange rate contracts hedging trading activity	Trading income	(20		)	36
Credit contracts hedging:
Loans	Other noninterest income	—			(1		)
Trading activity	Trading income	7			13
Equity contracts hedging trading activity	Trading income	—			3
Other contracts hedging:
IRLCs	Mortgage production related income	12			93
Commodities	Trading income	1			1
Total			($86	)		$120

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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
June 30, 2016
Derivative instrument assets:
Derivatives subject to master netting arrangement or similar arrangement		$6,202		$4,766		$1,436			$130		$1,306
Derivatives not subject to master netting arrangement or similar arrangement	73		—		73			—		73
Exchange traded derivatives	323		163		160			—		160
Total derivative instrument assets		$6,598		$4,929		$1,669	1		$130		$1,539
Derivative instrument liabilities:
Derivatives subject to master netting arrangement or similar arrangement		$5,627		$5,270		$357			$29		$328
Derivatives not subject to master netting arrangement or similar arrangement	101		—		101			—		101
Exchange traded derivatives	163		163		—			—		—
Total derivative instrument liabilities		$5,891		$5,433		$458	2		$29		$429
December 31, 2015
Derivative instrument assets:
Derivatives subject to master netting arrangement or similar arrangement		$4,184		$3,156		$1,028			$66		$962
Derivatives not subject to master netting arrangement or similar arrangement	21		—		21			—		21
Exchange traded derivatives	260		157		103			—		103
Total derivative instrument assets		$4,465		$3,313		$1,152	1		$66		$1,086
Derivative instrument liabilities:
Derivatives subject to master netting arrangement or similar arrangement		$4,162		$3,807		$355			$19		$336
Derivatives not subject to master netting arrangement or similar arrangement	105		—		105			—		105
Exchange traded derivatives	161		157		4			—		4
Total derivative instrument liabilities		$4,428		$3,964		$464	2		$19		$445

¹ At June 30, 2016, $1.7 billion, net of $786 million offsetting cash collateral, is recognized in trading assets and derivative instruments within the Company's Consolidated Balance Sheets. At December 31, 2015, $1.2 billion, net of $397 million offsetting cash collateral, is recognized in trading assets and derivative instruments within the Company's Consolidated Balance Sheets.

² At June 30, 2016, $458 million, net of $1.3 billion offsetting cash collateral, is recognized in trading liabilities and derivative instruments within the Company's Consolidated Balance Sheets. At December 31, 2015, $464 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 and six months ended June 30, 2015, the Company also reclassified $19 million and $38 million, respectively, of pre-tax gains from AOCI into net interest income. These gains related to hedging relationships that have been terminated or de-designated and are reclassified into earnings consistent with the pattern of net cash flows expected to be recognized.