Quarterly report pursuant to Section 13 or 15(d)

Representations and Warranties Obligations and Corporate Guarantees (Tables)

v3.5.0.2
Representations and Warranties Obligations and Corporate Guarantees (Tables)
 9 Months Ended
Sep. 30, 2016
Representations and Warranties Obligations and Corporate Guarantees [Abstract]  
Outstanding Claims By Category And Product
The table below presents unresolved repurchase claims at September 30, 2016 and December 31, 2015. The unresolved repurchase claims include only claims where the Corporation believes that the counterparty has the contractual right to submit claims. The unresolved repurchase claims predominantly relate to subprime and pay option first-lien loans, and home equity loans. For additional information, see Private-label Securitizations and Whole-loan Sales Experience in this Note and Note 12 – Commitments and Contingencies to the Consolidated Financial Statements of the Corporation's 2015 Annual Report on Form 10-K.

Unresolved Repurchase Claims by Counterparty, net of duplicate claims
 
 
 
(Dollars in millions)
September 30
2016
 
December 31
2015
By counterparty
 
 
 
Private-label securitization trustees, whole-loan investors, including third-party securitization sponsors and other (1)
$
16,713

 
$
16,748

Monolines
1,590

 
1,599

GSEs
9

 
17

Total unresolved repurchase claims by counterparty, net of duplicate claims
$
18,312

 
$
18,364


(1) 
Includes $11.9 billion of claims based on individual file reviews and $4.8 billion of claims submitted without individual file reviews at both September 30, 2016 and December 31, 2015.

Rollforward Of Liability For Representations And Warranties
The table below presents a rollforward of the liability for representations and warranties and corporate guarantees.

Representations and Warranties and Corporate Guarantees
 
 
 
 
 
 
 
 
Three Months Ended September 30
 
Nine Months Ended September 30
(Dollars in millions)
2016
 
2015
 
2016
 
2015
Liability for representations and warranties and corporate guarantees, beginning of period
$
2,723

 
$
11,556

 
$
11,326

 
$
12,081

Additions for new sales
1

 
2

 
3

 
5

Net reductions
(23
)
 
(174
)
 
(8,687
)
 
(581
)
Provision (benefit)
99

 
75

 
158

 
(46
)
Liability for representations and warranties and corporate guarantees, September 30 (1)
$
2,800

 
$
11,459

 
$
2,800

 
$
11,459


(1) In February 2016, the Corporation made an $8.5 billion cash payment as part of the settlement with BNY Mellon.