v3.26.3
Fair Value Measurements
 9 Months Ended
Sep. 30, 2026
Fair Value Disclosures [Abstract]  
Fair Value Measurements FAIR VALUE MEASUREMENTS
For a description of how we estimate fair value, see Note 2. Basis of Presentation and Summary of Significant Accounting Policies in our 2025 annual consolidated financial statements within our 2025 Form 10-K.
The following tables present our assets measured at fair value on a recurring basis. Liabilities measured at fair value on a recurring basis were not material for the periods presented:
Recurring Fair Value Measurements
At September 30, 2026 ($ in millions)Level 1Level 2Level 3
Total(a)
Assets
Debt securities
U.S. government and federal agency $— $3,394 $— $3,394 
State and municipal— — 50 50 
Residential mortgage-backed— 309 — 309 
Asset-backed— 595 — 595 
Other— — 8 8 
Other(b)
12 — 4 16 
Total $12 $4,298 $62 $4,372 
At December 31, 2025 ($ in millions)Level 1Level 2Level 3Total
Assets
Debt securities
U.S. government and federal agency $— $1,492 $— $1,492 
State and municipal— — 35 35 
Residential mortgage-backed— 297 — 297 
Asset-backed— 515 — 515 
Other— — 9 9 
Other(b)
15 — 7 22 
Total $15 $2,304 $51 $2,370 
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(a)    For the nine months ended September 30, 2026 and 2025, there were no fair value measurements transferred between levels and changes in our Level 3 assets were not material.
(b)    Other is primarily comprised of equity investments measured at fair value, which are included in Other assets in our Condensed Consolidated Statements of Financial Position.
Level 3 Fair Value Measurements
Our Level 3 recurring fair value measurements primarily relate to state and municipal and corporate debt instruments, which are valued using non-binding broker quotes or other third-party sources. See Note 2. Basis of Presentation and Summary of Significant Accounting Policies in our 2025 annual consolidated financial statements within our 2025 Form 10-K for a description of our process to evaluate third-party pricing servicers. Our state and municipal debt securities are classified as available-for-sale with changes in fair value included in Accumulated other comprehensive income in our Condensed Consolidated Statements of Financial Position.
Financial Assets and Financial Liabilities Carried at Other Than Fair Value
CarryingCorresponding fair value amount
At September 30, 2026 ($ in millions)valueTotalLevel 1Level 2Level 3
Financial Assets
Financial assets for which carrying values equal or approximate fair value(a):
Cash and equivalents$15,901 $15,901 $15,901 $— $— 
Accrued interest receivable$49 $49 $49 $— $— 
Other assets(b)
$796 $796 $796 $— $— 
Financial assets carried at other than fair value:
Loan receivables, net(c)
$93,003 $105,648 $— $— $105,648 
Financial Liabilities
Financial liabilities for which carrying values equal or approximate fair value(a):
Accrued interest payable$227 $227 $227 $— $— 
Financial liabilities carried at other than fair value:
Deposits(d)
$82,951 $82,965 $— $82,965 $— 
Borrowings of consolidated securitization entities$8,915 $8,849 $— $5,931 $2,918 
Senior and subordinated unsecured notes$8,110 $7,888 $— $7,888 $— 
CarryingCorresponding fair value amount
At December 31, 2025 ($ in millions)valueTotalLevel 1Level 2Level 3
Financial Assets
Financial assets for which carrying values equal or approximate fair value(a):
Cash and equivalents$14,973 $14,973 $14,973 $— $— 
Accrued interest receivable$27 $27 $27 $— $— 
Other assets(b)
$44 $44 $44 $— $— 
Financial assets carried at other than fair value:
Loan receivables, net(c)
$93,364 $106,591 $— $— $106,591 
Financial Liabilities
Financial liabilities for which carrying values equal or approximate fair value(a):
Accrued interest payable$287 $287 $287 $— $— 
Financial liabilities carried at other than fair value:
Deposits(d)
$81,144 $81,374 $— $81,374 $— 
Borrowings of consolidated securitization entities$8,415 $8,477 $— $5,559 $2,918 
Senior and subordinated unsecured notes$6,767 $6,870 $— $6,870 $— 
    
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(a)    Carrying value approximates fair value as the financial assets and liabilities are liquid in nature or have a short-term maturity.
(b)    This balance relates to restricted cash and equivalents, which is included in Other assets in our Condensed Consolidated Statements of Financial Position.
(c)    Excludes financial assets for which we have elected the fair value option. Under certain retail partner program agreements, the expected sales proceeds in the event of a sale of their credit card portfolio may be limited to the amounts owed by our customers, which may be less than the fair value indicated above.
(d)Includes demand deposits with no defined maturity.
Equity Securities Without Readily Determinable Fair Values
Three months endedNine months ended
At or for the periods ended September 30
($ in millions)
2026202520262025
Carrying value(a)
$272 $268 $272 $268 
Upward adjustments(b)
$— $— $— $— 
Downward adjustments(b)
$(3)$(8)$(3)$(8)
_______________________
(a)    Carrying value reflects cumulative purchases and sales in addition to upward and downward carrying value changes, and at December 31, 2025 was $269 million.
(b)    Between January 1, 2018 and September 30, 2026, cumulative upward and downward carrying value adjustments for equity securities held at September 30, 2026 were $201 million and $(12) million, respectively.