Unrealized loss from from transfers to held to maturity

  
THE CHARLES SCHWAB CORPORATIONNotes to Consolidated Financial Statements(Tabular Amounts in Millions, Except Per Share Data, Option Price Amounts, Ratios, or as Noted)  
In January 2022, the Company transferred $108.8 billion of U.S. agency mortgage-backed securities with a total net unrealized loss at the time of transfer of $2.4 billion from the AFS category to the HTM category.   
At December 31, 2021, our banking subsidiaries had pledged securities with a fair value of $49.6 billion as collateral to secure borrowing capacity on secured credit facilities with the FHLB (see Note 13). Our banking subsidiaries also pledge investment securities as collateral to secure borrowing capacity at the Federal Reserve discount window, and had pledged securities with a fair value of $12.0 billion as collateral for this facility at December 31, 2021. The Company also pledges securities issued by federal agencies to secure certain trust deposits. The fair value of these pledged securities was $1.3 billion at December 31, 2021.  
Securities with unrealized losses, aggregated by category and period of continuous unrealized loss, of AFS investment securities are as follows:

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| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
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|  | Less than12 months |  | 12 monthsor longer |  | Total |
| December 31, 2021 | FairValue |  | UnrealizedLosses |  | FairValue |  | UnrealizedLosses |  | FairValue |  | UnrealizedLosses |
| Available for sale securities |   |  |   |  |   |  |   |  |   |  |   |
| U.S. agency mortgage-backed securities | $ | 186,955  |  |  | $ | 3,216  |  |  | $ | 38,007  |  |  | $ | 1,373  |  |  | $ | 224,962  |  |  | $ | 4,589  |  |
| U.S. Treasury securities | 16,658  |  |  | 125  |  |  | 21  |  |  | —  |  |  | 16,679  |  |  | 125  |  |
| Asset-backed securities | 6,093  |  |  | 58  |  |  | 2,708  |  |  | 22  |  |  | 8,801  |  |  | 80  |  |
| Corporate debt securities | 4,713  |  |  | 99  |  |  | 197  |  |  | 10  |  |  | 4,910  |  |  | 109  |  |
| Certificates of deposit | 799  |  |  | 1  |  |  | —  |  |  | —  |  |  | 799  |  |  | 1  |  |
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| U.S. state and municipal securities | 191  |  |  | 4  |  |  | 5  |  |  | 1  |  |  | 196  |  |  | 5  |  |
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| Total | $ | 215,409  |  |  | $ | 3,503  |  |  | $ | 40,938  |  |  | $ | 1,406  |  |  | $ | 256,347  |  |  | $ | 4,909  |  |
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| December 31, 2020 |   |  |   |  |   |  |   |  |   |  |  |
| Available for sale securities |   |  |   |  |    |  |  |  |   |  |  |
| U.S. agency mortgage-backed securities | $ | 61,706  |  |  | $ | 551  |  |  | $ | 4,774  |  |  | $ | 12  |  |  | $ | 66,480  |  |  | $ | 563  |  |
| Asset-backed securities | 1,398  |  |  | 13  |  |  | 5,822  |  |  | 71  |  |  | 7,220  |  |  | 84  |  |
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| Total | $ | 63,104  |  |  | $ | 564  |  |  | $ | 10,596  |  |  | $ | 83  |  |  | $ | 73,700  |  |  | $ | 647  |  |
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At December 31, 2021, substantially all rated securities in the investment portfolios were investment grade. U.S. agency mortgage-backed securities do not have explicit credit ratings; however, management considers these to be of the highest credit quality and rating given the guarantee of principal and interest by the U.S. government or U.S. government-sponsored enterprises.  
For a description of management’s quarterly evaluation of AFS securities in unrealized loss positions see Note 2. No amounts were recognized as credit loss expense and no securities were written down to fair value through earnings for the years ended December 31, 2021 and 2020. None of the Company’s AFS securities held as of December 31, 2021 and 2020 had an allowance for credit losses. Prior to the Company’s adoption of ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (ASU 2016-13) on January 1, 2020, no amount was recognized as other-than-temporary impairment in earnings or other comprehensive income during the year ended December 31, 2019.   
The Company had $683 million and $634 million of accrued interest receivable as of December 31, 2021 and 2020, respectively, for AFS securities. These amounts are excluded from the amortized cost basis of AFS securities and included in other assets on the consolidated balance sheets. There were no write-offs of accrued interest receivable on AFS securities during the years ended December 31, 2021 and 2020.  
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