Debt Securities (Tables)

9 Months Ended

Sep. 30, 2024

Investments, Debt and Equity Securities [Abstract]

Schedule Of Amortized Cost, Gross Unrealized Gains And Losses, And Estimated Fair Value Of Securities Available For Sale And Securities Held To Maturity

NOTE 3. DEBT SECURITIES

The amortized cost, gross unrealized gains and losses, and estimated fair value of debt securities held to maturity and debt securities available for sale are as follows:


	September 30, 2024
			Recognized in OCI (1)						Not recognized in OCI
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Value		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(In millions)
Debt securities held to maturity:


Mortgage-backed securities:
Residential agency	$	2,718	$	—	$	(442)	$	2,276	$	—	$	(16)	$	2,260
Commercial agency	512		—		(1)		511		—		(12)		499
	$	3,230	$	—	$	(443)	$	2,787	$	—	$	(28)	$	2,759

Debt securities available for sale:
U.S. Treasury securities	$	2,102	$	13	$	(69)	$	2,046					$	2,046
Federal agency securities	461		6		(10)		457						457
Obligations of states and political subdivisions	2		—		—		2						2
Mortgage-backed securities:
Residential agency	21,564		199		(1,304)		20,459						20,459

Commercial agency	5,135		10		(223)		4,922						4,922
Commercial non-agency	92		—		(7)		85						85
Corporate and other debt securities	734		6		(13)		727						727
	$	30,090	$	234	$	(1,626)	$	28,698					$	28,698


	December 31, 2023
			Recognized in OCI (1)						Not recognized in OCI
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Value		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
	(In millions)
Debt securities held to maturity:


Mortgage-backed securities:
Residential agency	$	247	$	—	$	(8)	$	239	$	—	$	(16)	$	223
Commercial agency	516		—		(1)		515		—		(22)		493
	$	763	$	—	$	(9)	$	754	$	—	$	(38)	$	716

Debt securities available for sale:
U.S. Treasury securities	$	1,322	$	—	$	(99)	$	1,223					$	1,223
Federal agency securities	1,085		4		(46)		1,043						1,043
Obligations of states and political subdivisions	2		—		—		2						2
Mortgage-backed securities:
Residential agency	19,450		52		(2,130)		17,372						17,372

Commercial agency	7,807		2		(502)		7,307						7,307
Commercial non-agency	93		—		(10)		83						83
Corporate and other debt securities	1,105		4		(35)		1,074						1,074
	$	30,864	$	62	$	(2,822)	$	28,104					$	28,104

_________

(1)Securities held to maturity gross unrealized losses recognized in OCI resulted from transfers of securities available for sale to held to maturity.

Schedule Of Cost And Estimated Fair Value Of Securities Available For Sale And Securities Held To Maturity By Contractual Maturity

The amortized cost and estimated fair value of debt securities held to maturity and debt securities available for sale at September 30, 2024, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.


	Amortized Cost		Estimated Fair Value
	(In millions)
Debt securities held to maturity:
Mortgage-backed securities:
Residential agency	$	2,718	$	2,260
Commercial agency	512		499
	$	3,230	$	2,759
Debt securities available for sale:
Due in one year or less	$	411	$	405
Due after one year through five years	2,023		1,967
Due after five years through ten years	726		731
Due after ten years	139		129
Mortgage-backed securities:
Residential agency	21,564		20,459

Commercial agency	5,135		4,922
Commercial non-agency	92		85
	$	30,090	$	28,698

Schedule Of Gross Unrealized Losses And Estimated Fair Value Of Securities Available For Sale and Held To Maturity

The following tables present gross unrealized losses and the related estimated fair value of debt securities held to maturity and debt securities available for sale at September 30, 2024 and December 31, 2023. For debt securities transferred to held to maturity from available for sale, the analysis in the tables below compares the securities' original amortized cost to its current estimated fair value. All securities in an unrealized position are segregated between investments that have been in a continuous unrealized loss position for less than twelve months and for twelve months or more.


	September 30, 2024
	Less Than Twelve Months				Twelve Months or More				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(In millions)
Debt securities held to maturity:

Mortgage-backed securities:
Residential agency	$	—	$	—	$	2,260	$	(458)	$	2,260	$	(458)
Commercial agency	—		—		499		(13)		499		(13)
	$	—	$	—	$	2,759	$	(471)	$	2,759	$	(471)

Debt securities available for sale:
U.S Treasury securities	$	92	$	—	$	1,122	$	(69)	$	1,214	$	(69)
Federal agency securities	—		—		200		(10)		200		(10)
Mortgage-backed securities:
Residential agency	1,216		(6)		12,079		(1,298)		13,295		(1,304)

Commercial agency	383		(3)		3,709		(220)		4,092		(223)
Commercial non-agency	—		—		84		(7)		84		(7)
Corporate and other debt securities	18		—		444		(13)		462		(13)
	$	1,709	$	(9)	$	17,638	$	(1,617)	$	19,347	$	(1,626)


	December 31, 2023
	Less Than Twelve Months				Twelve Months or More				Total
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(In millions)
Debt securities held to maturity:


Mortgage-backed securities:
Residential agency	$	—	$	—	$	223	$	(23)	$	223	$	(23)
Commercial agency	—		—		493		(23)		493		(23)
	$	—	$	—	$	716	$	(46)	$	716	$	(46)

Debt securities available for sale:
U.S. Treasury securities	$	6	$	—	$	1,201	$	(99)	$	1,207	$	(99)
Federal agency securities	237		(5)		666		(41)		903		(46)
Mortgage-backed securities:
Residential agency	241		(3)		15,144		(2,127)		15,385		(2,130)

Commercial agency	612		(7)		6,583		(495)		7,195		(502)

Commercial non-agency	—		—		82		(10)		82		(10)
Corporate and other debt securities	23		—		879		(35)		902		(35)
	$	1,119	$	(15)	$	24,555	$	(2,807)	$	25,674	$	(2,822)