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Securities Available for Sale (Tables)
 9 Months Ended
Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]  
Securities Portfolio Composition
Investment Securities Portfolio Composition
 
September 30, 2019
(Dollars in millions)
Amortized
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Fair
Value
Securities AFS:
 
 
 
 
 
 
 
U.S. Treasury securities

$3,915

 

$103

 

$—

 

$4,018

Federal agency securities
123

 
1

 
—

 
124

U.S. states and political subdivisions
564

 
9

 
1

 
572

MBS - agency residential
22,069

 
520

 
4

 
22,585

MBS - agency commercial
2,881

 
103

 
1

 
2,983

MBS - non-agency commercial
1,008

 
56

 
—

 
1,064

Corporate and other debt securities
12

 
—

 
—

 
12

Total securities AFS

$30,572

 

$792

 

$6

 

$31,358

 
 
 
 
 
 
 
 
 
 December 31, 2018 
(Dollars in millions)
Amortized
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Fair
Value
Securities AFS:
 
 
 
 
 
 
 
U.S. Treasury securities

$4,277

 

$—

 

$66

 

$4,211

Federal agency securities
221

 
2

 
2

 
221

U.S. states and political subdivisions
606

 
4

 
21

 
589

MBS - agency residential
23,161

 
128

 
425

 
22,864

MBS - agency commercial
2,688

 
8

 
69

 
2,627

MBS - non-agency commercial
943

 
—

 
27

 
916

Corporate and other debt securities
14

 
—

 
—

 
14

Total securities AFS

$31,910

 

$142

 

$610

 

$31,442
Investment Income [Table Text Block]
The following table presents interest on securities AFS:
 
Three Months Ended September 30
 
Nine Months Ended September 30
(Dollars in millions)
2019
 
2018
 
2019
 
2018
Taxable interest

$211

 

$207

 

$646

 

$614

Tax-exempt interest
4

 
5

 
13

 
14

Total interest on securities AFS

$215

 

$212

 

$659

 

$628
Amortized Cost and Fair Value of Investments in Debt Securities by Estimated Average Life
The following table presents the amortized cost, fair value, and weighted average yield of the Company's investment securities at September 30, 2019, by remaining contractual maturity, with the exception of MBS, which are based on estimated average life. Receipt of cash flows may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without penalties.
 
Distribution of Remaining Maturities
(Dollars in millions)
Due in 1 Year or Less
 
Due After 1 Year through 5 Years
 
Due After 5 Years through 10 Years
 
Due After 10 Years
 
Total
Amortized Cost:
 
 
 
 
 
 
 
 
 
Securities AFS:
 
 
 
 
 
 
 
 
 
U.S. Treasury securities

$632

 

$2,331

 

$952

 

$—

 

$3,915

Federal agency securities
50

 
10

 
6

 
57

 
123

U.S. states and political subdivisions
—

 
90

 
317

 
157

 
564

MBS - agency residential
1,435

 
9,389

 
10,890

 
355

 
22,069

MBS - agency commercial
—

 
835

 
1,683

 
363

 
2,881

MBS - non-agency commercial
—

 
12

 
996

 
—

 
1,008

Corporate and other debt securities
—

 
12

 
—

 
—

 
12

Total securities AFS

$2,117

 

$12,679

 

$14,844

 

$932

 

$30,572

Fair Value:
 
 
 
 
 
 
 
 
 
Securities AFS:
 
 
 
 
 
 
 
 
 
U.S. Treasury securities

$634

 

$2,389

 

$995

 

$—

 

$4,018

Federal agency securities
50

 
10

 
6

 
58

 
124

U.S. states and political subdivisions
—

 
95

 
320

 
157

 
572

MBS - agency residential
1,485

 
9,630

 
11,108

 
362

 
22,585

MBS - agency commercial
—

 
851

 
1,752

 
380

 
2,983

MBS - non-agency commercial
—

 
12

 
1,052

 
—

 
1,064

Corporate and other debt securities
—

 
12

 
—

 
—

 
12

Total securities AFS

$2,169

 

$12,999

 

$15,233

 

$957

 

$31,358

 Weighted average yield 1
3.09
%
 
2.81
%
 
2.93
%
 
3.02
%
 
2.89
%
1 Weighted average yields are based on amortized cost and presented on an FTE basis.
Securities in a Continuous Unrealized Loss Position

Investment securities in an unrealized loss position at period end are presented in the following tables:
 
September 30, 2019
 
Less than twelve months
 
Twelve months or longer
 
Total
(Dollars in millions)
Fair
Value
 
 Unrealized 1
Losses
 
Fair
Value
 
 Unrealized 1
Losses
 
Fair
Value
 
 Unrealized 1
Losses
Temporarily impaired securities AFS:
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury securities

$50

 

$—

 

$—

 

$—

 

$50

 

$—

Federal agency securities
20

 
—

 
—

 
—

 
20

 
—

U.S. states and political subdivisions
119

 
1

 
—

 
—

 
119

 
1

MBS - agency residential
1,089

 
4

 
—

 
—

 
1,089

 
4

MBS - agency commercial
207

 
1

 
—

 
—

 
207

 
1

Corporate and other debt securities
—

 
—

 
6

 
—

 
6

 
—

Total temporarily impaired securities AFS
1,485

 
6


6


—


1,491


6

OTTI securities AFS 2:
 
 
 
 
 
 
 
 
 
 
 
Total OTTI securities AFS
—

 
—

 
—

 
—

 
—

 
—

Total impaired securities AFS

$1,485

 

$6

 

$6

 

$—

 

$1,491

 

$6

1 Unrealized losses less than $0.5 million are presented as zero within the table.
2 OTTI securities AFS are impaired securities for which OTTI credit losses have been previously recognized in earnings.

 
December 31, 2018
 
Less than twelve months
 
Twelve months or longer
 
Total
(Dollars in millions)
Fair
Value
 
 Unrealized 1
Losses
 
Fair
Value
 
 Unrealized 1
Losses
 
Fair
Value
 
 Unrealized 1
Losses
Temporarily impaired securities AFS:
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury securities

$—

 

$—

 

$4,177

 

$66

 

$4,177

 

$66

Federal agency securities
—

 
—

 
63

 
2

 
63

 
2

U.S. states and political subdivisions
49

 
1

 
430

 
20

 
479

 
21

MBS - agency residential
1,229

 
5

 
15,384

 
420

 
16,613

 
425

MBS - agency commercial
68

 
—

 
1,986

 
69

 
2,054

 
69

MBS - non-agency commercial
106

 
1

 
773

 
26

 
879

 
27

Corporate and other debt securities
—

 
—

 
9

 
—

 
9

 
—

Total temporarily impaired securities AFS
1,452

 
7

 
22,822

 
603

 
24,274

 
610

OTTI securities AFS 2:
 
 
 
 
 
 
 
 
 
 
 
Total OTTI securities AFS
—

 
—

 
—

 
—

 
—

 
—

Total impaired securities AFS

$1,452

 

$7

 

$22,822

 

$603

 

$24,274

 

$610

1 Unrealized losses less than $0.5 million are presented as zero within the table.
2 OTTI securities AFS are impaired securities for which OTTI credit losses have been previously recognized in earnings.
Realized Gain (Loss) on Investments [Table Text Block]
Net securities gains or losses are comprised of gross realized gains, gross realized losses, and OTTI credit losses recognized in earnings. During the nine months ended September 30, 2019, the Company recognized $38 million in net securities losses, driven by the Company's second quarter of 2019 repositioning of a portion of the securities AFS portfolio, which resulted in $42 million of gross realized losses. This repositioning in the second quarter of 2019 was not due to any requirement to sell the securities before their anticipated recovery or maturity.
 
Three Months Ended September 30
 
Nine Months Ended September 30
(Dollars in millions)
2019
 
2018
 
2019
 
2018
Gross realized gains

$4

 

$—

 

$4

 

$7

Gross realized losses
—

 
—

 
(42
)
 
(6
)
OTTI credit losses recognized in earnings
—

 
—

 
—

 
—

Net securities gains/(losses)

$4

 

$—

 

($38
)
 

$1