Loans (Tables)

3 Months Ended

Mar. 31, 2017

Accounts, Notes, Loans and Financing Receivable [Line Items]



(Dollars in millions)	March 31, 2017		December 31, 2016
Commercial loans:
C&I		$68,971		$69,213
CRE	5,067		4,996
Commercial construction	4,215		4,015
Total commercial loans	78,253		78,224
Residential loans:
Residential mortgages - guaranteed	549		537
Residential mortgages - nonguaranteed ¹	26,110		26,137
Residential home equity products	11,511		11,912
Residential construction	380		404
Total residential loans	38,550		38,990
Consumer loans:
Guaranteed student	6,396		6,167
Other direct	7,904		7,771
Indirect	11,067		10,736
Credit cards	1,359		1,410
Total consumer loans	26,726		26,084
LHFI		$143,529		$143,298
LHFS ²		$2,109		$4,169

¹Includes $221 million and $222 million of LHFI measured at fair value at March 31, 2017 and December 31, 2016, respectively.

²Includes $1.8 billion and $3.5 billion of LHFS measured at fair value at March 31, 2017 and December 31, 2016, respectively.

LHFI by Credit Quality Indicator

LHFI by credit quality indicator are presented in the following tables:



	Commercial Loans
	C&I				CRE				Commercial Construction
(Dollars in millions)	March 31, 2017		December 31, 2016		March 31, 2017		December 31, 2016		March 31, 2017		December 31, 2016
Risk rating:
Pass		$66,776		$66,920		$4,738		$4,574		$4,070		$3,914
Criticized accruing	1,867		1,903		323		415		127		84
Criticized nonaccruing	328		390		6		7		18		17
Total		$68,971		$69,213		$5,067		$4,996		$4,215		$4,015



	Residential Loans ¹
	Residential Mortgages - Nonguaranteed				Residential Home Equity Products				Residential Construction
(Dollars in millions)	March 31, 2017		December 31, 2016		March 31, 2017		December 31, 2016		March 31, 2017		December 31, 2016
Current FICO score range:
700 and above		$22,137		$22,194		$9,506		$9,826		$322		$292
620 - 699	3,037		3,042		1,468		1,540		47		96
Below 620 ²	936		901		537		546		11		16
Total		$26,110		$26,137		$11,511		$11,912		$380		$404



	Consumer Loans ³
	Other Direct				Indirect				Credit Cards
(Dollars in millions)	March 31, 2017		December 31, 2016		March 31, 2017		December 31, 2016		March 31, 2017		December 31, 2016
Current FICO score range:
700 and above		$7,119		$7,008		$7,945		$7,642		$927		$974
620 - 699	736		703		2,368		2,381		347		351
Below 620 ²	49		60		754		713		85		85
Total		$7,904		$7,771		$11,067		$10,736		$1,359		$1,410

¹Excludes $549 million and $537 million of guaranteed residential loans at March 31, 2017 and December 31, 2016, respectively.

²For substantially all loans with refreshed FICO scores below 620, the borrower’s FICO score at the time of origination exceeded 620 but has since deteriorated as the loan has seasoned.

³Excludes $6.4 billion and $6.2 billion of guaranteed student loans at March 31, 2017 and December 31, 2016, respectively.

Payment Status for the LHFI Portfolio

The payment status for the LHFI portfolio is presented in the following tables:



	March 31, 2017
(Dollars in millions)	Accruing Current		Accruing 30-89 Days Past Due		Accruing 90+ Days Past Due		Nonaccruing ²		Total
Commercial loans:
C&I		$68,601		$31		$11		$328		$68,971
CRE	5,057		2		2		6		5,067
Commercial construction	4,197		—		—		18		4,215
Total commercial loans	77,855		33		13		352		78,253
Residential loans:
Residential mortgages - guaranteed	171		55		323		—		549
Residential mortgages - nonguaranteed ¹	25,854		67		10		179		26,110
Residential home equity products	11,201		73		—		237		11,511
Residential construction	367		1		—		12		380
Total residential loans	37,593		196		333		428		38,550
Consumer loans:
Guaranteed student	4,862		667		867		—		6,396
Other direct	7,865		31		3		5		7,904
Indirect	10,972		91		—		4		11,067
Credit cards	1,338		10		11		—		1,359
Total consumer loans	25,037		799		881		9		26,726
Total LHFI		$140,485		$1,028		$1,227		$789		$143,529

¹Includes $221 million of loans measured at fair value, the majority of which were accruing current.

²Nonaccruing loans past due 90 days or more totaled $348 million. Nonaccruing loans past due fewer than 90 days include modified nonaccrual loans reported as TDRs, performing second lien loans where the first lien loan is nonperforming, and certain energy-related commercial loans.



	December 31, 2016
(Dollars in millions)	Accruing Current		Accruing 30-89 Days Past Due		Accruing 90+ Days Past Due		Nonaccruing ²		Total
Commercial loans:
C&I		$68,776		$35		$12		$390		$69,213
CRE	4,988		1		—		7		4,996
Commercial construction	3,998		—		—		17		4,015
Total commercial loans	77,762		36		12		414		78,224
Residential loans:
Residential mortgages - guaranteed	155		55		327		—		537
Residential mortgages - nonguaranteed ¹	25,869		84		7		177		26,137
Residential home equity products	11,596		81		—		235		11,912
Residential construction	389		3		—		12		404
Total residential loans	38,009		223		334		424		38,990
Consumer loans:
Guaranteed student	4,637		603		927		—		6,167
Other direct	7,726		35		4		6		7,771
Indirect	10,608		126		1		1		10,736
Credit cards	1,388		12		10		—		1,410
Total consumer loans	24,359		776		942		7		26,084
Total LHFI		$140,130		$1,035		$1,288		$845		$143,298

¹Includes $222 million of loans measured at fair value, the majority of which were accruing current.

²Nonaccruing loans past due 90 days or more totaled $360 million. Nonaccruing loans past due fewer than 90 days include modified nonaccrual loans reported as TDRs and performing second lien loans where the first lien loan is nonperforming, and certain energy-related commercial loans.

LHFI Considered Impaired



	March 31, 2017						December 31, 2016
(Dollars in millions)	Unpaid Principal Balance		Amortized Cost ¹		Related Allowance		Unpaid Principal Balance			Amortized Cost ¹			Related Allowance
Impaired loans with no related allowance recorded:
Commercial loans:
C&I		$255		$187		$—		$266			$214			$—
Total commercial loans	255		187		—		266			214			—
Residential loans:
Residential mortgages - nonguaranteed	468		362		—		466			360			—
Residential construction	16		8		—		16			8			—
Total residential loans	484		370		—		482			368			—

Impaired loans with an allowance recorded:
Commercial loans:
C&I	203		148		25		225			151			31
CRE	26		17		5		26			17			2
Total commercial loans	229		165		30		251			168			33
Residential loans:
Residential mortgages - nonguaranteed	1,239		1,211		141		1,277			1,248			150
Residential home equity products	894		829		57		863			795			54
Residential construction	105		105		10		109			107			11
Total residential loans	2,238		2,145		208		2,249			2,150			215
Consumer loans:
Other direct	59		59		1		59		²	59		²	1
Indirect	106		105		6		103			103			5
Credit cards	24		6		1		24			6			1
Total consumer loans	189		170		8		186			168			7
Total impaired loans		$3,395		$3,037		$246		$3,434			$3,068			$255

¹Amortized cost reflects charge-offs that have been recognized plus other amounts that have been applied to adjust the net book balance.

²Includes $41 million of TDRs that were modified prior to 2016 and reclassified as TDRs in the fourth quarter of 2016.

Included in the impaired loan balances above at both March 31, 2017 and December 31, 2016 were $2.5 billion of accruing TDRs at amortized cost, of which 98% and 97% were current, respectively. See Note 1, “Significant Accounting Policies,” to the Company's 2016 Annual Report on Form 10-K for further information regarding the Company’s loan impairment policy.



	Three Months Ended March 31
	2017				2016
(Dollars in millions)	Average Amortized Cost		Interest Income Recognized¹		Average Amortized Cost		Interest Income Recognized¹
Impaired loans with no related allowance recorded:
Commercial loans:
C&I		$240		$1		$364		$2
CRE	—		—		3		—
Total commercial loans	240		1		367		2
Residential loans:
Residential mortgages - nonguaranteed	360		4		387		4
Residential construction	8		—		8		—
Total residential loans	368		4		395		4

Impaired loans with an allowance recorded:
Commercial loans:
C&I	165		1		161		—
CRE	17		—		—		—
Total commercial loans	182		1		161		—
Residential loans:
Residential mortgages - nonguaranteed	1,216		15		1,339		16
Residential home equity products	833		8		705		7
Residential construction	105		1		120		2
Total residential loans	2,154		24		2,164		25
Consumer loans:
Other direct	58		1		12		—
Indirect	108		1		115		1
Credit cards	6		—		6		—
Total consumer loans	172		2		133		1
Total impaired loans		$3,116		$32		$3,220		$32

¹Of the interest income recognized during the three months ended March 31, 2017 and 2016, cash basis interest income was less than $1 million and $2 million, respectively.

Nonperforming Assets

NPAs are presented in the following table:



(Dollars in millions)	March 31, 2017		December 31, 2016
Nonaccrual/NPLs:
Commercial loans:
C&I		$328		$390
CRE	6		7
Commercial construction	18		17
Residential loans:
Residential mortgages - nonguaranteed	179		177
Residential home equity products	237		235
Residential construction	12		12
Consumer loans:
Other direct	5		6
Indirect	4		1
Total nonaccrual/NPLs ¹	789		845
OREO ²	62		60
Other repossessed assets	7		14
Total NPAs		$858		$919

¹ Nonaccruing restructured loans are included in total nonaccrual/NPLs.

² Does not include foreclosed real estate related to loans insured by the FHA or guaranteed by the VA. Proceeds due from the FHA and the VA are recorded as a receivable in other assets in the Consolidated Balance Sheets until the property is conveyed and the funds are received. The receivable related to proceeds due from the FHA or the VA totaled $50 million at both March 31, 2017 and December 31, 2016.

TDR Modifications



	Three Months Ended March 31, 2017 ¹
(Dollars in millions)	Number of Loans Modified	Principal Forgiveness ²		Rate Modification		Term Extension and/or Other Concessions		Total
Commercial loans:
C&I	24		$—		$—		$41		$41
Residential loans:
Residential mortgages - nonguaranteed	34	1		4		1		6
Residential home equity products	695	—		—		67		67
Consumer loans:
Other direct	110	—		—		1		1
Indirect	581	—		—		14		14
Credit cards	189	—		1		—		1
Total TDRs	1,633		$1		$5		$124		$130

¹Includes loans modified under the terms of a TDR that were charged-off during the period.

² Restructured loans which had forgiveness of amounts contractually due under the terms of the loan may have had other concessions including rate modifications and/or term extensions. The total amount of charge-offs associated with principal forgiveness during the three months ended March 31, 2017 was immaterial.



	Three Months Ended March 31, 2016 ¹
(Dollars in millions)	Number of Loans Modified	Rate Modification		Term Extension and/or Other Concessions		Total
Commercial loans:
C&I	12		$—		$2		$2
Commercial construction	1	—		—		—
Residential loans:
Residential mortgages - nonguaranteed	120	31		3		34
Residential home equity products	732	7		52		59
Consumer loans:
Other direct	23	—		1		1
Indirect	486	—		11		11
Credit cards	169	1		—		1
Total TDRs	1,543		$39		$69		$108

¹Includes loans modified under the terms of a TDR that were charged-off during the period