Quarterly report pursuant to Section 13 or 15(d)

Mortgage Servicing Rights (Tables)

v3.5.0.2
Mortgage Servicing Rights (Tables)
 9 Months Ended
Sep. 30, 2016
Transfers and Servicing [Abstract]  
Activity for Residential First Mortgage MSRs
The table below presents activity for residential mortgage and home equity MSRs for the three and nine months ended September 30, 2016 and 2015.

Rollforward of Mortgage Servicing Rights
 
 
 
 
 
 
 
 
Three Months Ended
September 30
 
Nine Months Ended
September 30
(Dollars in millions)
2016
 
2015
 
2016
 
2015
Balance, beginning of period
$
2,269

 
$
3,521

 
$
3,087

 
$
3,530

Additions
101

 
185

 
307

 
568

Sales
—

 
(87
)
 
—

 
(399
)
Amortization of expected cash flows (1)
(206
)
 
(213
)
 
(622
)
 
(666
)
Changes in fair value due to changes in inputs and assumptions (2)
313

 
(363
)
 
(295
)
 
10

Balance, September 30 (3)
$
2,477

 
$
3,043

 
$
2,477

 
$
3,043

Mortgage loans serviced for investors (in billions)
$
355

 
$
408

 
$
355

 
$
408


(1) 
Represents the net change in fair value of the MSR asset due to the recognition of modeled cash flows and the passage of time.
(2) 
These amounts reflect the changes in modeled MSR fair value due to observed changes in interest rates, volatility, spreads, and the shape of the forward swap curve; periodic adjustments to valuation based on third-party price discovery; and periodic adjustments to the valuation model and other cash flow assumptions.
(3) 
At September 30, 2016, includes the $1.8 billion core MSR portfolio held in Consumer Banking, the $226 million non-core MSR portfolio held in All Other and the $466 million non-U.S. MSR portfolio held in Global Markets compared to $2.3 billion, $418 million and $344 million at September 30, 2015, respectively.