v3.26.3
Goodwill and Mortgage Servicing Rights (Tables)
 9 Months Ended
Sep. 30, 2026
Intangible Asset, Goodwill and Other [Abstract]  
Goodwill attributed to the business segments and corporate
The following table presents goodwill attributed to the reportable business segments and Corporate.
(in millions)September 30,
2026		December 31,
2025
Consumer & Community Banking$32,116 $32,116 
Commercial & Investment Bank11,253 11,259 
Asset & Wealth Management8,635 8,634 
Corporate713 722 
Total goodwill$52,717 $52,731 
The following table presents changes in the carrying amount of goodwill.
Three months ended September 30,Nine months ended September 30,
(in millions)2026202520262025
Balance at beginning of period$52,711 $52,747 $52,731 $52,565 
Changes during the period from:
Other(a)
6 (30)(14)152 
Balance at September 30,$52,717 $52,717 $52,717 $52,717 
(a)Primarily foreign currency adjustments. During the three months ended September 30, 2025, included an immaterial amount of goodwill written off due to impairment.
Mortgage servicing rights activity
The following table summarizes MSR activity for the three and nine months ended September 30, 2026 and 2025.
As of or for the three months
ended September 30,		As of or for the nine months
ended September 30,
(in millions, except where otherwise noted)2026202520262025
Fair value at beginning of period$9,156 $8,996 $9,167 $9,121 
MSR activity:
Originations of MSRs210 102 556 297 
Purchase of MSRs(a)
12 246 41 526 
Disposition of MSRs3 1 7 8 
Net additions/(dispositions)225 349 604 831 
Changes due to collection/realization of expected cash flows
(260)(266)(794)(799)
Changes in valuation due to inputs and assumptions:
Changes due to market interest rates and other(b)
598 (3)736 (44)
Changes in valuation due to other inputs and assumptions:
Projected cash flows (e.g., cost to service)
54 (37)54 (36)
Discount rates
— — — (1)
Prepayment model changes and other(c)
2 71 8 38 
Total changes in valuation due to other inputs and assumptions56 34 62 1 
Total changes in valuation due to inputs and assumptions654 31 798 (43)
Fair value at September 30,$9,775 $9,110 $9,775 $9,110 
Changes in unrealized gains/(losses) included in income related to MSRs held at September 30,$654 $31 $798 $(43)
Contractual service fees, late fees and other ancillary fees included in income
409 404 1,223 1,218 
Third-party mortgage loans serviced at September 30, (in billions)661 669 661 669 
Servicer advances, net of an allowance for uncollectible amounts, at September 30(d)
395 415 395 415 
(a)Includes purchase price adjustments associated with purchased MSRs, primarily due to loans that prepaid within 90 days of settlement or did not meet certain criteria and were removed from the purchase prior to the transfer date, allowing the Firm to recover the purchase price.
(b)Represents both the impact of changes in estimated future prepayments due to changes in market interest rates, and the difference between actual and expected prepayments.
(c)Represents changes in prepayments other than those attributable to changes in market interest rates.
(d)Represents amounts the Firm pays as the servicer (e.g., scheduled principal and interest, taxes and insurance), which will generally be reimbursed within a short period of time after the advance from future cash flows from the trust or the underlying loans. The Firm’s credit risk associated with these servicer advances is minimal because reimbursement of the advances is typically senior to all cash payments to investors. In addition, the Firm maintains the right to stop payment to investors if the collateral is insufficient to cover the advance. However, certain of these servicer advances may not be recoverable if they were not made in accordance with applicable rules and agreements.
Mortgage fees and related income
The following table presents the components of mortgage fees and related income (including the impact of MSR risk management activities) for the three and nine months ended September 30, 2026 and 2025.
Three months ended September 30,Nine months ended September 30,
(in millions)2026202520262025
CCB mortgage fees and related income
Production revenue$46 $173 $371 $434 
Net mortgage servicing revenue:
Operating revenue:
Loan servicing revenue398 409 1,210 1,233 
Changes in MSR asset fair value due to collection/realization of expected cash flows(259)(265)(792)(796)
Total operating revenue139 144 418 437 
Risk management:
Changes in MSR asset fair value due to market interest rates and other(a)
598 (3)736 (44)
Other changes in MSR asset fair value due to other inputs and assumptions in model(b)
56 34 62 1 
Changes in derivative fair value and other(581)24 (701)154 
Total risk management73 55 97 111 
Total net mortgage servicing revenue212 199 515 548 
Total CCB mortgage fees and related income258 372 886 982 
All other16 11 33 42 
Mortgage fees and related income$274 $383 $919 $1,024 
(a)Represents both the impact of changes in estimated future prepayments due to changes in market interest rates, and the difference between actual and expected prepayments.
(b)Represents the aggregate impact of changes in model inputs and assumptions such as projected cash flows (e.g., cost to service), discount rates and changes in prepayments other than those attributable to changes in market interest rates (e.g., changes in prepayments due to changes in home prices).
Key economic assumptions used to determine FV of MSRs
The table below outlines the key economic assumptions used to determine the fair value of the Firm’s MSRs at September 30, 2026 and December 31, 2025, and outlines the sensitivities of those fair values to immediate adverse changes in those assumptions, as defined below.
(in millions, except rates)Sep 30,
2026		Dec 31,
2025
Weighted-average prepayment speed assumption (constant prepayment rate)
6.14 %6.77 %
Impact on fair value of 10% adverse change
$(160)$(181)
Impact on fair value of 20% adverse change
(314)(353)
Weighted-average option adjusted spread(a)
5.73 %6.14 %
Impact on fair value of a 100 basis point adverse change
$(410)$(394)
Impact on fair value of a 200 basis point adverse change
(788)(757)
(a)Includes the impact of operational risk and regulatory capital.