XML 32 R23.htm IDEA: XBRL DOCUMENT v3.22.2

Servicing of Financial Assets (Tables)

6 Months Ended

Jun. 30, 2022

Transfers and Servicing of Financial Assets [Abstract]

Schedule of Residential Mortgage Servicing Rights Under The Fair Value Measurement Method

The table below presents an analysis of residential MSRs under the fair value measurement method:

			Three Months Ended June 30												Six Months Ended June 30
			2022						2021						2022						2021
			(In millions)
Carrying value, beginning of period			$	542					$	401					$	418					$	296
Additions			10						19						29						40
Purchases(1)			181						26						256						37
Increase (decrease) in fair value:
Due to change in valuation inputs or assumptions			52						(38)						99						52
Economic amortization associated with borrower repayments(2)			(15)						(16)						(32)						(33)
Carrying value, end of period			$	770					$	392					$	770					$	392

________

(1)Purchases of residential MSRs can be structured with cash hold back provisions, therefore the timing of payment may be made in future periods.

(2)Includes both total loan payoffs as well as partial paydowns. Regions' MSR decay methodology is a discounted net cash flow approach.

Data And Assumptions Used In The Fair Value Calculation As Well As The Valuation's Sensitivity To Rate Fluctuations Related To Residential Mortgage Servicing Rights

Data and assumptions used in the fair value calculation, as well as the valuation’s sensitivity to rate fluctuations, related to residential MSRs (excluding related derivative instruments) are as follows:

			June 30
			2022						2021
			(Dollars in millions)
Unpaid principal balance			$	52,965					$	35,519
Weighted-average CPR (%)			7.9		%				10.5		%
Estimated impact on fair value of a 10% increase			$	(66)					$	(27)
Estimated impact on fair value of a 20% increase			$	(107)					$	(49)
Option-adjusted spread (basis points)			480						571
Estimated impact on fair value of a 10% increase			$	(17)					$	(9)
Estimated impact on fair value of a 20% increase			$	(34)					$	(19)
Weighted-average coupon interest rate			3.4		%				3.7		%
Weighted-average remaining maturity (months)			309						292
Weighted-average servicing fee (basis points)			27.1						27.3

Servicing Asset at Amortized Cost

The table below presents an analysis of commercial MSRs under the amortization measurement method:

			Three Months Ended June 30												Six Months Ended June 30
			2022						2021						2022						2021
			(In millions)												(In millions)
Carrying value, beginning of period			$	82					$	82					$	86					$	74
Additions			5						8						5						19
Economic amortization associated with borrower repayments(1)			(5)						(4)						(9)						(7)
Carrying value, end of period			$	82					$	86					$	82					$	86

________

(1)Includes both total loan payoffs as well as partial paydowns.

X

- Definition

Tabular disclosure of all information related to the key inputs and assumptions (including, at a minimum, but not limited to, and if applicable, quantitative information about discount rates, expected prepayments including the expected weighted-average life of prepayable financial assets, and anticipated credit losses) used in measuring the fair value of assets or liabilities that relate to the transferor's continuing involvement with transferred financial assets, as of the balance sheet date.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 860
-SubTopic 20
-Section 50
-Paragraph 4
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121570589&loc=d3e107314-111719

+ Details

Name:	us-gaap_ScheduleOfAssumptionsForFairValueAsOfBalanceSheetDateOfInterestsContinuedToBeHeldByTransferorServicingAssetsOrServicingLiabilitiesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of activity in the balance of servicing assets subsequently measured at amortized cost. Includes, but is not limited to, beginning and ending balances, additions, disposals, and amortization.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 860
-SubTopic 50
-Section 50
-Paragraph 4
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=128311188&loc=d3e122739-111746

+ Details

Name:	us-gaap_ScheduleOfServicingAssetsAtAmortizedValueTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the activity in the balance of servicing assets (including a description of where changes in fair value are reported in the statement of income for each period for which results of operations are presented), including but not limited to, the following: beginning and ending balances, additions (for instance, through purchases of servicing assets), disposals, changes in fair value during the period resulting from changes in inputs or assumptions used in the valuation model, other changes in fair value along with a description of those changes, and other changes that affect the balance along with a description of those changes.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 860
-SubTopic 50
-Section 50
-Paragraph 3
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=128311188&loc=d3e122625-111746

+ Details

Name:	us-gaap_ScheduleOfServicingAssetsAtFairValueTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_TransfersAndServicingOfFinancialAssetsAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration