v3.26.1
Derivative and Hedging Activities
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative and Hedging Activities Derivative and Hedging Activities
The following tables set forth information regarding our derivative financial instruments:

June 30, 2026December 31, 2025
Fair ValueFair Value
Notional AmountOther AssetsOther LiabilitiesExpiration DatesNotional AmountOther AssetsOther LiabilitiesExpiration Dates
Derivatives designated as hedging instruments:
Interest rate swaps (fair value hedge)
$3,993 $— $— 2027-2029$3,993 $— $— 2027-2029
Derivatives not designated as hedging instruments:
Rate lock commitments(1)
$670 $2 $— 2026$241 $4 $1 2026
Mortgage-backed securities forwards(2)
205 — 1 2026203 — 1 2026
Interest rate swaps(2)
5,089 15 22 2026-20573,926 19 21 2025-2027
Interest rate caps(3)
2,000 2 — 20282,000 3 — 2028
Foreign currency forwards
35 — — 2026— — — 
(1)The amounts recorded in Net gain on loan sales and securitizations in the Condensed Consolidated Statements of Income (Loss) for the three months ended June 30, 2026 and 2025 were immaterial. The amounts recorded in Net gain on loan sales and securitizations in the Condensed Consolidated Statements of Income (Loss) for the six months ended June 30, 2026 and 2025 were immaterial and $(9) million, respectively.
(2)The amounts recorded in Fee income in the Condensed Consolidated Statements of Income (Loss) for the three and six months ended June 30, 2026 and 2025 were immaterial.
(3)The amounts recorded in Borrowed funds in the Condensed Consolidated Statements of Income (Loss) for the three and six months ended June 30, 2026 and 2025 were immaterial.

The following amounts were recorded in the Condensed Consolidated Statements of Condition related to items designated and qualifying as hedged items in a fair value hedging relationship:

June 30, 2026December 31, 2025
 Carrying Amount of Hedged Items  Cumulative Amount of Fair Value Hedging Adjustments Carrying Amount of Hedged Items Cumulative Amount of Fair Value Hedging Adjustments
U.S. treasury obligations
$1,000 $(2)$1,016 $14 
GSE CMOs1,868 (5)1,957 7 
GSE debentures
1,285 (7)1,297 10 
Debt securities available-for-sale(1)
$4,153 $(14)$4,270 $31 
Loans and leases held for investment(2)(3)
$1,705 $(9)$5,073 $(2)
(1)The amounts recorded in Interest income - Securities and money market investments in the Condensed Consolidated Statements of Income (Loss) for the three and six months ended June 30, 2026 and 2025 were immaterial.
(2)The amounts recorded in Interest income - Loans and leases in the Condensed Consolidated Statements of Income (Loss) for three and six months ended June 30, 2026 and 2025 were immaterial.
(3)December 31, 2025 primarily relates to hedges on multi-family loans that were discontinued in 2024 and expired in 2026.

The tables below present the gross derivative assets and liabilities, and the related cash pledged as collateral at June 30, 2026 and December 31, 2025. No amounts were netted in the Condensed Consolidated Statements of Condition.

June 30, 2026
Gross Amounts Not Offset in the Statements of Condition
Cash Collateral Pledged (Received)
Derivatives designated as hedging instruments:
Interest rate swaps
$— $65 
Derivatives not designated as hedging instruments:
Assets
Interest rate swaps
15 (10)
Total derivative assets$15 $(10)
Liabilities
Mortgage-backed securities forwards$— $1 
Interest rate swaps
22 27 
Total derivative liabilities$22 $28 

December 31, 2025
Gross Amounts Not Offset in the Statements of Condition
Cash Collateral Pledged (Received)
Derivatives designated as hedging instruments:
Interest rate swaps
$— $76 
Derivatives not designated as hedging instruments:
Assets
Interest rate swaps
$19 $— 
Total derivative assets$19 $— 
Liabilities
Mortgage-backed securities forwards$1 $1 
Interest rate swaps
21 34 
Total derivative liabilities$22 $35 

The following table provides a reconciliation of Cash and due from banks, Interest-earning deposits and other securities with financial institutions, and restricted cash within the Condensed Consolidated Statements of Condition that sum to the total of the same amounts shown in the Condensed Consolidated Statements of Cash Flows:

June 30, 2026
Cash and due from banks
$416 
Interest-earning deposits and other securities with financial institutions
4,692 
Restricted cash included in other assets
72 
Total
$5,180