Bank of America Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Outstanding Loans and Leases (Tables)

Outstanding Loans and Leases (Tables)

12 Months Ended

Dec. 31, 2012

Loans and Leases Receivable, Net of Deferred Income [Abstract]

Loans And Leases Outstanding [Table Text Block]

The following tables present total outstanding loans and leases and an aging analysis for the Corporation’s Home Loans, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2012 and 2011.




	December 31, 2012
(Dollars in millions)	30-59 Days Past Due ⁽¹⁾			60-89 Days Past Due ⁽¹⁾			90 Days or More Past Due ⁽²⁾			Total Past Due 30 Days or More			Total Current or Less Than 30 Days Past Due ⁽³⁾			Purchased Credit-impaired ⁽⁴⁾			Loans Accounted for Under the Fair Value Option			Total Outstandings
Home loans
Core portfolio
Residential mortgage ⁽⁵⁾	$	2,274		$	806		$	6,227		$	9,307		$	160,809								$	170,116
Home equity	273			146			591			1,010			59,841									60,851
Legacy Assets & Servicing portfolio
Residential mortgage	2,891			1,696			26,494			31,081			33,247			$	8,737					73,065
Home equity	607			356			1,444			2,407			36,191			8,547						47,145
Discontinued real estate ⁽⁶⁾	48			19			234			301			757			8,834						9,892
Credit card and other consumer
U.S. credit card	729			582			1,437			2,748			92,087									94,835
Non-U.S. credit card	106			85			212			403			11,294									11,697
Direct/Indirect consumer ⁽⁷⁾	569			239			573			1,381			81,824									83,205
Other consumer ⁽⁸⁾	48			19			4			71			1,557									1,628
Total consumer loans	7,545			3,948			37,216			48,709			477,607			26,118						552,434
Consumer loans accounted for under the fair value option ⁽⁹⁾																			$	1,005		1,005
Total consumer	7,545			3,948			37,216			48,709			477,607			26,118			1,005			553,439
Commercial
U.S. commercial	323			133			639			1,095			196,031									197,126
Commercial real estate ⁽¹⁰⁾	79			144			983			1,206			37,431									38,637
Commercial lease financing	84			79			30			193			23,650									23,843
Non-U.S. commercial	2			—			—			2			74,182									74,184
U.S. small business commercial	101			75			168			344			12,249									12,593
Total commercial loans	589			431			1,820			2,840			343,543									346,383
Commercial loans accounted for under the fair value option ⁽⁹⁾																			7,997			7,997
Total commercial	589			431			1,820			2,840			343,543						7,997			354,380
Total loans and leases	$	8,134		$	4,379		$	39,036		$	51,549		$	821,150		$	26,118		$	9,002		$	907,819
Percentage of outstandings	0.90		%	0.48		%	4.30		%	5.68		%	90.45		%	2.88		%	0.99		%


⁽¹⁾	Home loans 30-59 days past due includes $2.3 billion of fully-insured loans and $702 million of nonperforming loans. Home loans 60-89 days past due includes $1.3 billion of fully-insured loans and $558 million of nonperforming loans.


⁽²⁾	Home loans includes $22.2 billion of fully-insured loans.


⁽³⁾	Home loans includes $5.5 billion and direct/indirect consumer includes $63 million of nonperforming loans.


⁽⁴⁾	PCI loan amounts are shown gross of the valuation allowance.


⁽⁵⁾	Total outstandings includes non-U.S. residential mortgage loans of $93 million.


⁽⁶⁾	Total outstandings includes $8.8 billion of pay option loans and $1.1 billion of subprime loans. The Corporation no longer originates these products.


⁽⁷⁾	Total outstandings includes dealer financial services loans of $35.9 billion, consumer lending loans of $4.7 billion, U.S. securities-based lending margin loans of $28.3 billion, student loans of $4.8 billion, non-U.S. consumer loans of $8.3 billion and other consumer loans of $1.2 billion.


⁽⁸⁾	Total outstandings includes consumer finance loans of $1.4 billion, other non-U.S. consumer loans of $5 million and consumer overdrafts of $177 million.

⁽⁹⁾

Consumer loans accounted for under the fair value option were residential mortgage loans of $147 million and discontinued real estate loans of $858 million. Commercial loans accounted for under the fair value option were U.S. commercial loans of $2.3 billion and non-U.S. commercial loans of $5.7 billion. For additional information, see Note 21 – Fair Value Measurements and Note 22 – Fair Value Option.


⁽¹⁰⁾	Total outstandings includes U.S. commercial real estate loans of $37.2 billion and non-U.S. commercial real estate loans of $1.5 billion.




	December 31, 2011
(Dollars in millions)	30-59 Days Past Due ⁽¹⁾			60-89 Days Past Due ⁽¹⁾			90 Days or More Past Due ⁽²⁾			Total Past Due 30 Days or More			Total Current or Less Than 30 Days Past Due ⁽³⁾			Purchased Credit-impaired ⁽⁴⁾			Loans Accounted for Under the Fair Value Option			Total Outstandings
Home loans
Core portfolio
Residential mortgage ⁽⁵⁾	$	2,151		$	751		$	3,017		$	5,919		$	172,418								$	178,337
Home equity	260			155			429			844			66,211									67,055
Legacy Assets & Servicing portfolio
Residential mortgage	3,195			2,174			32,167			37,536			36,451			$	9,966					83,953
Home equity	845			508			1,735			3,088			42,578			11,978						57,644
Discontinued real estate ⁽⁶⁾	65			24			351			440			798			9,857						11,095
Credit card and other consumer
U.S. credit card	981			772			2,070			3,823			98,468									102,291
Non-U.S. credit card	148			120			342			610			13,808									14,418
Direct/Indirect consumer ⁽⁷⁾	805			338			779			1,922			87,791									89,713
Other consumer ⁽⁸⁾	55			21			17			93			2,595									2,688
Total consumer loans	8,505			4,863			40,907			54,275			521,118			31,801						607,194
Consumer loans accounted for under the fair value option ⁽⁹⁾																			$	2,190		2,190
Total consumer	8,505			4,863			40,907			54,275			521,118			31,801			2,190			609,384
Commercial
U.S. commercial	352			166			866			1,384			178,564									179,948
Commercial real estate ⁽¹⁰⁾	288			118			1,860			2,266			37,330									39,596
Commercial lease financing	78			15			22			115			21,874									21,989
Non-U.S. commercial	24			—			—			24			55,394									55,418
U.S. small business commercial	150			106			272			528			12,723									13,251
Total commercial loans	892			405			3,020			4,317			305,885									310,202
Commercial loans accounted for under the fair value option ⁽⁹⁾																			6,614			6,614
Total commercial	892			405			3,020			4,317			305,885						6,614			316,816
Total loans and leases	$	9,397		$	5,268		$	43,927		$	58,592		$	827,003		$	31,801		$	8,804		$	926,200
Percentage of outstandings	1.02		%	0.57		%	4.74		%	6.33		%	89.29		%	3.43		%	0.95		%


⁽¹⁾	Home loans 30-59 days past due includes $2.2 billion of fully-insured loans and $372 million of nonperforming loans. Home loans 60-89 days past due includes $1.4 billion of fully-insured loans and $398 million of nonperforming loans.


⁽²⁾	Home loans includes $21.2 billion of fully-insured loans.


⁽³⁾	Home loans includes $1.8 billion and direct/indirect consumer includes $7 million of nonperforming loans.


⁽⁴⁾	PCI loan amounts are shown gross of the valuation allowance.


⁽⁵⁾	Total outstandings includes non-U.S. residential mortgage loans of $85 million.


⁽⁶⁾	Total outstandings includes $9.9 billion of pay option loans and $1.2 billion of subprime loans. The Corporation no longer originates these products.


⁽⁷⁾	Total outstandings includes dealer financial services loans of $43.0 billion, consumer lending loans of $8.0 billion, U.S. securities-based lending margin loans of $23.6 billion, student loans of $6.0 billion, non-U.S. consumer loans of $7.6 billion and other consumer loans of $1.5 billion.


⁽⁸⁾	Total outstandings includes consumer finance loans of $1.7 billion, other non-U.S. consumer loans of $929 million and consumer overdrafts of $103 million.

⁽⁹⁾

Consumer loans accounted for under the fair value option were residential mortgage loans of $906 million and discontinued real estate loans of $1.3 billion. Commercial loans accounted for under the fair value option were U.S. commercial loans of $2.2 billion and non-U.S. commercial loans of $4.4 billion. For additional information, see Note 21 – Fair Value Measurements and Note 22 – Fair Value Option.


⁽¹⁰⁾	Total outstandings includes U.S. commercial real estate loans of $37.8 billion and non-U.S. commercial real estate loans of $1.8 billion.

Schedule of Financing Receivables, Non Accrual Status [Table Text Block]

The table below presents the Corporation’s nonperforming loans and leases including nonperforming TDRs and loans accruing past due 90 days or more at December 31, 2012 and 2011. Nonperforming LHFS are excluded from nonperforming loans and leases as they are recorded at either fair value or the lower of cost or fair value. See Note 1 – Summary of Significant Accounting Principles for further information on the criteria for classification as nonperforming.




Credit Quality

	December 31
	Nonperforming Loans and Leases ⁽¹⁾				Accruing Past Due 90 Days or More
(Dollars in millions)	2012		2011		2012		2011
Home loans
Core portfolio
Residential mortgage ⁽²⁾	$	3,190	$	2,414	$	3,984	$	883
Home equity	1,265		439		—		—
Legacy Assets & Servicing portfolio
Residential mortgage⁽²⁾	11,618		13,556		18,173		20,281
Home equity	3,016		2,014		—		—
Discontinued real estate	248		290		—		—
Credit card and other consumer
U.S. credit card	n/a		n/a		1,437		2,070
Non-U.S. credit card	n/a		n/a		212		342
Direct/Indirect consumer	92		40		545		746
Other consumer	2		15		2		2
Total consumer	19,431		18,768		24,353		24,324
Commercial
U.S. commercial	1,484		2,174		65		75
Commercial real estate	1,513		3,880		29		7
Commercial lease financing	44		26		15		14
Non-U.S. commercial	68		143		—		—
U.S. small business commercial	115		114		120		216
Total commercial	3,224		6,337		229		312
Total consumer and commercial	$	22,655	$	25,105	$	24,582	$	24,636


⁽¹⁾	Nonperforming loan balances do not include nonaccruing TDRs removed from the PCI portfolio prior to January 1, 2010 of $521 million and $477 million at December 31, 2012 and 2011.

⁽²⁾

Residential mortgage loans accruing past due 90 days or more are fully-insured loans. At December 31, 2012 and 2011, residential mortgage includes $17.8 billion and $17.0 billion of loans on which interest has been curtailed by the FHA, and therefore are no longer accruing interest, although principal is still insured, and $4.4 billion and $4.2 billion of loans on which interest is still accruing.

n/a = not applicable

Financing Receivable Credit Quality Indicators [Table Text Block]

The following tables present certain credit quality indicators for the Corporation’s Home Loans, Credit Card and Other Consumer, and Commercial portfolio segments, by class of financing receivables, at December 31, 2012 and 2011.




Home Loans – Credit Quality Indicators ⁽¹⁾

	December 31, 2012
(Dollars in millions)	Core Portfolio Residential Mortgage ⁽²⁾		Legacy Assets & Servicing Residential Mortgage ⁽²⁾		Countrywide Residential Mortgage PCI		Core Portfolio Home Equity ⁽²⁾		Legacy Assets & Servicing Home Equity ⁽²⁾		Countrywide Home Equity PCI		Legacy Assets & Servicing Discontinued Real Estate ⁽²⁾		Countrywide Discontinued Real Estate PCI
Refreshed LTV⁽³⁾
Less than 90 percent	$	80,585	$	19,904	$	3,516	$	44,971	$	15,907	$	2,050	$	719	$	5,093
Greater than 90 percent but less than 100 percent	8,891		5,000		1,312		5,825		4,507		788		102		1,067
Greater than 100 percent	12,984		16,226		3,909		10,055		18,184		5,709		237		2,674
Fully-insured loans ⁽⁴⁾	67,656		23,198		—		—		—		—		—		—
Total home loans	$	170,116	$	64,328	$	8,737	$	60,851	$	38,598	$	8,547	$	1,058	$	8,834
Refreshed FICO score
Less than 620	$	6,366	$	13,900	$	3,249	$	2,586	$	5,408	$	1,930	$	429	$	5,471
Greater than or equal to 620 and less than 680	8,561		6,006		1,381		4,500		5,885		1,500		160		1,359
Greater than or equal to 680 and less than 740	25,141		8,411		1,886		12,625		10,387		2,278		206		1,106
Greater than or equal to 740	62,392		12,813		2,221		41,140		16,918		2,839		263		898
Fully-insured loans ⁽⁴⁾	67,656		23,198		—		—		—		—		—		—
Total home loans	$	170,116	$	64,328	$	8,737	$	60,851	$	38,598	$	8,547	$	1,058	$	8,834


⁽¹⁾	Excludes $1.0 billion of loans accounted for under the fair value option.


⁽²⁾	Excludes Countrywide PCI loans.


⁽³⁾	Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance.


⁽⁴⁾	Credit quality indicators are not reported for fully-insured loans as principal repayment is insured.




Credit Card and Other Consumer – Credit Quality Indicators

	December 31, 2012
(Dollars in millions)	U.S. Credit Card		Non-U.S. Credit Card		Direct/Indirect Consumer		Other Consumer ⁽¹⁾
Refreshed FICO score
Less than 620	$	6,188	$	—	$	1,896	$	668
Greater than or equal to 620 and less than 680	13,947		—		3,367		301
Greater than or equal to 680 and less than 740	37,167		—		9,592		232
Greater than or equal to 740	37,533		—		25,164		212
Other internal credit metrics ^{(2, 3, 4)}	—		11,697		43,186		215
Total credit card and other consumer	$	94,835	$	11,697	$	83,205	$	1,628


⁽¹⁾	87 percent of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited.


⁽²⁾	Other internal credit metrics may include delinquency status, geography or other factors.


⁽³⁾	Direct/indirect consumer includes $36.5 billion of securities-based lending which is overcollateralized and therefore has minimal credit risk and $4.8 billion of loans the Corporation no longer originates.


⁽⁴⁾	Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At December 31, 2012, 97 percent of this portfolio was current or less than 30 days past due, one percent was 30-89 days past due and two percent was 90 days or more past due.




Commercial – Credit Quality Indicators ⁽¹⁾

	December 31, 2012
(Dollars in millions)	U.S. Commercial		Commercial Real Estate		Commercial Lease Financing		Non-U.S. Commercial		U.S. Small Business Commercial ⁽²⁾
Risk ratings
Pass rated	$	189,602	$	34,968	$	22,874	$	72,688	$	1,690
Reservable criticized	7,524		3,669		969		1,496		573
Refreshed FICO score ⁽³⁾
Less than 620									400
Greater than or equal to 620 and less than 680									580
Greater than or equal to 680 and less than 740									1,553
Greater than or equal to 740									2,496
Other internal credit metrics ^{(3, 4)}									5,301
Total commercial	$	197,126	$	38,637	$	23,843	$	74,184	$	12,593


⁽¹⁾	Excludes $8.0 billion of loans accounted for under the fair value option.


⁽²⁾	U.S. small business commercial includes $366 million of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At December 31, 2012, 98 percent of the balances where internal credit metrics are used were current or less than 30 days past due.


⁽³⁾	Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio.


⁽⁴⁾	Other internal credit metrics may include delinquency status, application scores, geography or other factors.




Home Loans – Credit Quality Indicators ⁽¹⁾

	December 31, 2011
(Dollars in millions)	Core Portfolio Residential Mortgage ⁽²⁾		Legacy Assets & Servicing Residential Mortgage ⁽²⁾		Countrywide Residential Mortgage PCI		Core Portfolio Home Equity ⁽²⁾		Legacy Assets & Servicing Home Equity ⁽²⁾		Countrywide Hone Equity PCI		Legacy Assets & Servicing Discontinued Real Estate ⁽²⁾		Countrywide Discontinued Real Estate PCI
Refreshed LTV ⁽³⁾
Less than 90 percent	$	80,032	$	20,450	$	3,821	$	46,646	$	17,354	$	2,253	$	895	$	5,953
Greater than 90 percent but less than 100 percent	11,838		5,847		1,468		6,988		4,995		1,077		122		1,191
Greater than 100 percent	17,673		22,630		4,677		13,421		23,317		8,648		221		2,713
Fully-insured loans ⁽⁴⁾	68,794		25,060		—		—		—		—		—		—
Total home loans	$	178,337	$	73,987	$	9,966	$	67,055	$	45,666	$	11,978	$	1,238	$	9,857
Refreshed FICO score ⁽⁵⁾
Less than 620	$	7,020	$	17,337	$	3,924	$	2,843	$	7,293	$	4,140	$	548	$	6,275
Greater than or equal to 620 and less than 680	9,331		6,537		1,381		4,704		6,866		1,969		175		1,279
Greater than or equal to 680 and less than 740	26,569		9,439		2,036		13,561		11,798		2,538		228		1,223
Greater than or equal to 740	66,623		15,614		2,625		45,947		19,709		3,331		287		1,080
Fully-insured loans ⁽⁴⁾	68,794		25,060		—		—		—		—		—		—
Total home loans	$	178,337	$	73,987	$	9,966	$	67,055	$	45,666	$	11,978	$	1,238	$	9,857


⁽¹⁾	Excludes $2.2 billion of loans accounted for under the fair value option.


⁽²⁾	Excludes Countrywide PCI loans.


⁽³⁾	Refreshed LTV percentages for PCI loans are calculated using the carrying value net of the related valuation allowance.


⁽⁴⁾	Credit quality indicators are not reported for fully-insured loans as principal repayment is insured.


⁽⁵⁾	During 2012, refreshed home equity FICO metrics reflected an updated scoring model that is more representative of the credit risk of the Corporation’s borrowers. Prior period amounts were adjusted to reflect these updates.




Credit Card and Other Consumer – Credit Quality Indicators

	December 31, 2011
(Dollars in millions)	U.S. Credit Card		Non-U.S. Credit Card		Direct/Indirect Consumer		Other Consumer ⁽¹⁾
Refreshed FICO score
Less than 620	$	8,172	$	—	$	3,325	$	802
Greater than or equal to 620 and less than 680	15,474		—		4,665		348
Greater than or equal to 680 and less than 740	39,525		—		12,351		262
Greater than or equal to 740	39,120		—		29,965		244
Other internal credit metrics ^{(2, 3, 4)}	—		14,418		39,407		1,032
Total credit card and other consumer	$	102,291	$	14,418	$	89,713	$	2,688


⁽¹⁾	96 percent of the other consumer portfolio is associated with portfolios from certain consumer finance businesses that the Corporation previously exited.


⁽²⁾	Other internal credit metrics may include delinquency status, geography or other factors.


⁽³⁾	Direct/indirect consumer includes $31.1 billion of securities-based lending which is overcollateralized and therefore has minimal credit risk and $6.0 billion of loans the Corporation no longer originates.


⁽⁴⁾	Non-U.S. credit card represents the U.K. credit card portfolio which is evaluated using internal credit metrics, including delinquency status. At December 31, 2011, 96 percent of this portfolio was current or less than 30 days past due, two percent was 30-89 days past due and two percent was 90 days or more past due.




Commercial – Credit Quality Indicators ⁽¹⁾

	December 31, 2011
(Dollars in millions)	U.S. Commercial		Commercial Real Estate		Commercial Lease Financing		Non-U.S. Commercial		U.S. Small Business Commercial ⁽²⁾
Risk ratings
Pass rated	$	169,599	$	28,602	$	20,850	$	53,945	$	2,392
Reservable criticized	10,349		10,994		1,139		1,473		836
Refreshed FICO score ⁽³⁾
Less than 620									562
Greater than or equal to 620 and less than 680									624
Greater than or equal to 680 and less than 740									1,612
Greater than or equal to 740									2,438
Other internal credit metrics ^{(3, 4)}									4,787
Total commercial	$	179,948	$	39,596	$	21,989	$	55,418	$	13,251


⁽¹⁾	Excludes $6.6 billion of loans accounted for under the fair value option.


⁽²⁾	U.S. small business commercial includes $491 million of criticized business card and small business loans which are evaluated using refreshed FICO scores or internal credit metrics, including delinquency status, rather than risk ratings. At December 31, 2011, 97 percent of the balances where internal credit metrics are used were current or less than 30 days past due.


⁽³⁾	Refreshed FICO score and other internal credit metrics are applicable only to the U.S. small business commercial portfolio.


⁽⁴⁾	Other internal credit metrics may include delinquency status, application scores, geography or other factors.

Impaired Financing Receivables [Table Text Block]

The table below presents impaired loans in the Corporation’s Home Loans portfolio segment at and for the years ended December 31, 2012 and 2011 and includes primarily loans managed by Legacy Assets & Servicing. Certain impaired home loans do not have a related allowance as the current valuation of these impaired loans exceeded the carrying value.




Impaired Loans – Home Loans

	December 31, 2012						2012
(Dollars in millions)	Unpaid Principal Balance		Carrying Value		Related Allowance		Average Carrying Value		Interest Income Recognized ⁽¹⁾
With no recorded allowance
Residential mortgage	$	19,758	$	14,707	n/a		$	10,697	$	358
Home equity	2,624		1,103		n/a		734		49
Discontinued real estate	468		260		n/a		240		8
With an allowance recorded
Residential mortgage	14,080		13,051		$	1,233	11,439		417
Home equity	1,256		1,022		448		1,145		44
Discontinued real estate	143		107		19		136		6
Total
Residential mortgage	$	33,838	$	27,758	$	1,233	$	22,136	$	775
Home equity	3,880		2,125		448		1,879		93
Discontinued real estate	611		367		19		376		14

	December 31, 2011						2011
With no recorded allowance
Residential mortgage	$	10,907	$	8,168	n/a		$	6,285	$	233
Home equity	1,747		479		n/a		442		23
Discontinued real estate	421		240		n/a		222		8
With an allowance recorded
Residential mortgage	12,296		11,119		$	1,295	9,379		319
Home equity	1,551		1,297		622		1,357		34
Discontinued real estate	213		159		29		173		6
Total
Residential mortgage	$	23,203	$	19,287	$	1,295	$	15,664	$	552
Home equity	3,298		1,776		622		1,799		57
Discontinued real estate	634		399		29		395		14


⁽¹⁾	Interest income recognized includes interest accrued and collected on the outstanding balances of accruing impaired loans as well as interest cash collections on nonaccruing impaired loans for which the principal is considered collectible.

n/a = not applicable

Accretable Yield Activity [Table Text Block]

The table below shows activity for the accretable yield on Countrywide consumer PCI loans. Reclassifications from nonaccretable difference primarily result when there is a change in expected cash flows due to various factors, including changes in interest rates on variable-rate loans and prepayment assumptions. Changes in the prepayment assumption affect the expected remaining life of the portfolio which results in a change to the amount of future interest cash flows.




Rollforward of Accretable Yield

(Dollars in millions)
Accretable yield, January 1, 2011	$	5,481
Accretion	(1,285		)
Disposals/transfers	(118		)
Reclassifications from nonaccretable difference	912
Accretable yield, December 31, 2011	4,990
Accretion	(1,034		)
Disposals/transfers	(109		)
Reclassifications from nonaccretable difference	797
Accretable yield, December 31, 2012	$	4,644

Residential Mortgage [Member]

Loans and Leases Receivable, Net of Deferred Income [Abstract]

Remaining Unpaid Principal Balance, Carrying Amount And Excluding Valuation Reserve [Table Text Block]

The table below presents the December 31, 2012 and 2011 unpaid principal balance, carrying value, and average pre- and post-modification interest rates of home loans that were modified in TDRs during 2012 and 2011, and net charge-offs that were recorded during the period in which the modification occurred. The following Home Loans portfolio segment tables include loans that were initially classified as TDRs during the period and also loans that had previously been classified as TDRs and were modified again during the period. These TDRs are managed by Legacy Assets & Servicing.




Home Loans – TDRs Entered into During 2012 and 2011 ⁽¹⁾

	December 31, 2012								2012
(Dollars in millions)	Unpaid Principal Balance		Carrying Value		Pre-modification Interest Rate		Post-modification Interest Rate		Net Charge-offs
Residential mortgage	$	14,929	$	12,143	5.52	%	4.70	%	$	507
Home equity	1,721		858		5.22		4.39		716
Discontinued real estate	159		85		5.21		4.35		16
Total	$	16,809	$	13,086	5.49		4.66		$	1,239

	December 31, 2011								2011
Residential mortgage	$	11,623	$	9,903	5.94	%	5.16	%	$	299
Home equity	1,112		556		6.58		5.25		239
Discontinued real estate	141		88		6.68		5.08		9
Total	$	12,876	$	10,547	6.01		5.17		$	547


⁽¹⁾	TDRs entered into during 2012 include principal forgiveness as follows: residential mortgage modifications of $755 million, home equity modifications of $9 million and discontinued real estate modifications of $23 million. Prior to 2012, the principal forgiveness amount was not significant.

Summary of Troubled Debt Restructuring Note, Debtor [Table Text Block]

The table below presents the December 31, 2012 and 2011 carrying value for home loans that were modified in TDRs during 2012 and 2011 by type of modification.




Home Loans – Modification Programs

	TDRs Entered into During 2012
(Dollars in millions)	Residential Mortgage		Home Equity		Discontinued Real Estate		Total Carrying Value
Modifications under government programs
Contractual interest rate reduction	$	638	$	78	$	4	$	720
Principal and/or interest forbearance	49		31		2		82
Other modifications ⁽¹⁾	37