FAIR VALUES OF ASSETS AND LIABILITIES

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FAIR VALUES OF ASSETS AND LIABILITIES	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
FAIR VALUES OF ASSETS AND LIABILITIES	See Note 17 “Fair Value of Assets and Liabilities” to the consolidated financial statements of the Annual Report on Form 10-K for the year ended December 31, 2016 for a description of additional valuation methodologies for assets and liabilities measured at fair value on a recurring and non-recurring basis. Assets and liabilities measured at fair value rarely transfer between Level 1 and Level 2 measurements. There were no such transfers during the three-month periods ended March 31, 2017 and 2016. Assets and Liabilities measured at fair value on a recurring basis Assets and liabilities measured at fair value on a recurring basis at March 31, 2017 and December 31, 2016 are summarized below:   Fair Value Measurements at Reporting Date Using   Netting Adjustments (1)   March 31, 2017 (dollar amounts in thousands) Level 1   Level 2   Level 3     Assets                   Loans held for sale $ —   $ 423,324   $ —   $ —   $ 423,324 Loans held for investment —   54,123   44,219   —   98,342 Trading account securities:                   Municipal securities —   3,434   —   —   3,434 Other securities 94,201   150   —   —   94,351   94,201   3,584   —   —   97,785 Available-for-sale and other securities:                   U.S. Treasury securities 6,890   —   —   —   6,890 Federal agencies: Mortgage-backed —   11,221,867   —   —   11,221,867 Federal agencies: Other agencies —   89,843   —   —   89,843 Municipal securities —   449,502   2,867,652   —   3,317,154 Asset-backed securities —   707,445   59,492   —   766,937 Corporate debt —   198,681   —   —   198,681 Other securities 15,632   3,973   —   —   19,605   22,522   12,671,311   2,927,144   —   15,620,977 MSRs —   —   13,307   —   13,307 Derivative assets —   342,584   9,439   (173,603 )   178,420 Liabilities                   Derivative liabilities —   322,999   6,745   (246,192 )   83,552 Short-term borrowings 1,420   —   —   —   1,420   Fair Value Measurements at Reporting Date Using   Netting Adjustments (1)   December 31, 2016 (dollar amounts in thousands) Level 1   Level 2   Level 3     Assets                   Loans held for sale $ —   $ 438,224   $ —   $ —   $ 438,224 Loans held for investment —   34,439   47,880   —   82,319 Trading account securities:                   Municipal securities —   1,148   —   —   1,148 Other securities 132,147   —   —   —   132,147   132,147   1,148   —   —   133,295 Available-for-sale and other securities:                   U.S. Treasury securities 5,497   —   —   —   5,497 Federal agencies: Mortgage-backed —   10,673,342   —   —   10,673,342 Federal agencies: Other agencies —   73,542   —   —   73,542 Municipal securities —   452,013   2,798,044   —   3,250,057 Asset-backed securities —   717,478   76,003   —   793,481 Corporate debt —   198,683   —   —   198,683 Other securities 16,588   3,943   —   —   20,531   22,085   12,119,001   2,874,047   —   15,015,133 MSRs —   —   13,747   —   13,747 Derivative assets —   414,412   5,747   (181,940 )   238,219 Liabilities                   Derivative liabilities —   362,777   7,870   (272,361 )   98,286 Short-term borrowings 474   —   —   —   474 (1) Amounts represent the impact of legally enforceable master netting agreements that allow the Company to settle positive and negative positions and cash collateral held or placed with the same counterparties. The tables below present a rollforward of the balance sheet amounts for the three-month periods ended March 31, 2017 and 2016, for financial instruments measured on a recurring basis and classified as Level 3. The classification of an item as Level 3 is based on the significance of the unobservable inputs to the overall fair value measurement. However, Level 3 measurements may also include observable components of value that can be validated externally. Accordingly, the gains and losses in the table below include changes in fair value due in part to observable factors that are part of the valuation methodology.   Level 3 Fair Value Measurements Three months ended March 31, 2017           Available-for-sale securities       (dollar amounts in thousands) MSRs   Derivative instruments   Municipal securities   Asset- backed securities   Loans held for investment   Opening balance $ 13,747   $ (2,123 )   $ 2,798,044   $ 76,003   $ 47,880   Transfers into Level 3 —   —   —   —   —   Transfers out of Level 3 (1) —   (333 )   —   —   —   Total gains/losses for the period:                     Included in earnings (440 )   5,150   (1,386 )   28   (63 )   Included in OCI —   —   20,475   3,172   —   Purchases/originations —   —   132,666   —   —   Sales —   —   —   (19,133 )   —   Repayments —   —   —   —   (3,598 )   Issues —   —   —   —   —   Settlements —   —   (82,147 )   (578 )   —   Closing balance $ 13,307   $ 2,694   $ 2,867,652   $ 59,492   $ 44,219   Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (440 )   $ 5,150   $ 20,269   $ 1,212   $ —     Level 3 Fair Value Measurements Three months ended March 31, 2016           Available-for-sale securities     (dollar amounts in thousands) MSRs   Derivative instruments   Municipal securities   Asset- backed securities   Loans held for investment Opening balance $ 17,585   $ 6,056   $ 2,095,551   $ 100,337   $ 1,748 Transfers into Level 3 —   —   —   —   — Transfers out of Level 3 (1) —   (915 )   —   —   — Total gains/losses for the period:                   Included in earnings (2,766 )   5,206   —   —   — Included in OCI —   —   11,840   (5,168 )   — Purchases/originations —   —   237,450   —   — Sales —   —   —   —   — Repayments —   —   —   —   (532 ) Issues —   —   —   —   — Settlements —   —   (63,098 )   (840 )   — Closing balance $ 14,819   $ 10,347   $ 2,281,743   $ 94,329   $ 1,216 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (2,766 )   $ 5,306   $ —   $ —   $ — (1) Transfers out of Level 3 represent the settlement value of the derivative instruments (i.e. interest rate lock agreements) that were transferred to loans held for sale, which are classified as Level 2. The tables below summarize the classification of gains and losses due to changes in fair value, recorded in earnings for Level 3 assets and liabilities for the three-month periods ended March 31, 2017 and 2016:   Level 3 Fair Value Measurements Three months ended March 31, 2017           Available-for-sale securities     (dollar amounts in thousands) MSRs   Derivative instruments   Municipal securities   Asset- backed securities   Loans held for investment Classification of gains and losses in earnings:                   Mortgage banking income $ (440 )   $ 5,150   $ —   $ —   $ — Securities gains (losses) —   —   (1,386 )   28   — Interest and fee income —   —   —   —   — Noninterest income —   —   —   —   (63 ) Total $ (440 )   $ 5,150   $ (1,386 )   $ 28   $ (63 )   Level 3 Fair Value Measurements Three months ended March 31, 2016           Available-for-sale securities     (dollar amounts in thousands) MSRs   Derivative instruments   Municipal securities   Asset- backed securities   Loans held for investment Classification of gains and losses in earnings:                   Mortgage banking income $ (2,766 )   $ 5,206   $ —   $ —   $ — Securities gains (losses) —   —   —   —   — Interest and fee income —   —   —   —   — Noninterest income —   —   —   —   — Total $ (2,766 )   $ 5,206   $ —   $ —   $ — Assets and liabilities under the fair value option The following table presents the fair value and aggregate principal balance of certain assets and liabilities under the fair value option:   March 31, 2017   Total Loans   Loans that are 90 or more days past due (dollar amounts in thousands) Fair value carrying amount   Aggregate unpaid principal   Difference   Fair value carrying amount   Aggregate unpaid principal   Difference Assets                       Loans held for sale $ 423,324   $ 408,424   $ 14,900   $ —   $ —   $ — Loans held for investment 98,342   110,234   (11,892 )   8,572   11,507   (2,935 )   December 31, 2016   Total Loans   Loans that are 90 or more days past due (dollar amounts in thousands) Fair value carrying amount   Aggregate unpaid principal   Difference   Fair value carrying amount   Aggregate unpaid principal   Difference Assets                       Loans held for sale $ 438,224   $ 433,760   $ 4,464   $ —   $ —   $ — Loans held for investment 82,319   91,998   (9,679 )   8,408   11,082   (2,674 ) The following tables present the net gains (losses) from fair value changes, including net gains (losses) associated with instrument specific credit risk for the three-month periods ended March 31, 2017 and 2016:       Net gains (losses) from fair value changes       Three months ended March 31, (dollar amounts in thousands)     2017   2016 Assets           Loans held for sale     $ 9,076   $ 4,649 Loans held for investment     (63 )   —       Gains (losses) included in fair value changes associated with instrument specific credit risk       Three months ended March 31, (dollar amounts in thousands)     2017   2016 Assets           Loans held for investment     $ —   $ 90 Assets and Liabilities measured at fair value on a nonrecurring basis Certain assets and liabilities may be required to be measured at fair value on a nonrecurring basis in periods subsequent to their initial recognition. These assets and liabilities are not measured at fair value on an ongoing basis; however, they are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment. For the three months ended March 31, 2017, assets measured at fair value on a nonrecurring basis were as follows:       Fair Value Measurements Using     (dollar amounts in thousands) Fair Value   Quoted Prices In Active Markets for Identical Assets (Level 1)   Significant Other Observable Inputs (Level 2)   Significant Other Unobservable Inputs (Level 3)   Total Gains/(Losses) Three months ended March 31, 2017 MSRs $ 176,747   $ —   $ —   $ 176,747   $ 1,800 Impaired loans 52,367   —   —   52,367   5,267 Other real estate owned 49,887   —   —   49,887   2,363 MSRs accounted for under the amortization method are subject to nonrecurring fair value measurement when the fair value is lower than the carrying amount. Periodically, Huntington records nonrecurring adjustments of collateral-dependent loans measured for impairment when establishing the ACL. Such amounts are generally based on the fair value of the underlying collateral supporting the loan. Appraisals are generally obtained to support the fair value of the collateral and incorporate measures such as recent sales prices for comparable properties and cost of construction. In cases where the carrying value exceeds the fair value of the collateral less cost to sell, an impairment charge is recognized. Other real estate owned properties are included in accrued income and other assets and valued based on appraisals and third party price opinions, less estimated selling costs. Significant unobservable inputs for assets and liabilities measured at fair value on a recurring and nonrecurring basis The table below presents quantitative information about the significant unobservable inputs for assets and liabilities measured at fair value on a recurring and nonrecurring basis at March 31, 2017 and December 31, 2016:   Quantitative Information about Level 3 Fair Value Measurements at March 31, 2017 (dollar amounts in thousands) Fair Value   Valuation Technique   Significant Unobservable Input   Range (Weighted Average) Measured at fair value on a recurring basis: MSRs $ 13,307   Discounted cash flow   Constant prepayment rate   8.00% - 30.0% (12.0%)           Spread over forward interest rate swap rates   3.0% - 10.0% (8.4%) Derivative assets 9,439   Consensus Pricing   Net market price   -4.7% - 26.7% (2.0%) Derivative liabilities 6,745       Estimated Pull through %   9.0% - 99.0% (78.0%) Municipal securities 2,867,652   Discounted cash flow   Discount rate   0.0% - 10.3% (3.7%)           Cumulative default   0.0% - 38.4% (3.1%)           Loss given default   5.0% - 90.0% (24.0%) Asset-backed securities 59,492   Discounted cash flow   Discount rate   5.1% - 12.1% (6.4%)           Cumulative prepayment rate   0.0% - 73% (6.5%)           Cumulative default   0.9% - 100% (10.9%)           Loss given default   85% - 100% (96.1%)           Cure given deferral   0.0% - 75.0% (32.7%) Loans held for investment 44,219   Discounted cash flow   Discount rate   5.4% - 16.8% (5.6%) Measured at fair value on a nonrecurring basis: MSRs 176,747   Discounted cash flow   Constant prepayment rate   6.30% - 21.2% (8.1%)           Spread over forward interest rate swap rates   3.0% - 20.0% (10.6%) Impaired loans 52,367   Appraisal value   NA   NA Other real estate owned 49,887   Appraisal value   NA   NA   Quantitative Information about Level 3 Fair Value Measurements at December 31, 2016 (dollar amounts in thousands) Fair Value   Valuation Technique   Significant Unobservable Input   Range (Weighted Average) Measured at fair value on a recurring basis: MSRs $ 13,747   Discounted cash flow   Constant prepayment rate   5.63% - 34.4% (10.9%)           Spread over forward interest rate swap rates   3.0% - 9.2% (5.4%) Derivative assets 5,747   Consensus Pricing   Net market price   -7.1% - 25.4% (1.1%) Derivative liabilities 7,870       Estimated Pull through %   8.1% - 99.8% (76.9%) Municipal securities 2,798,044   Discounted cash flow   Discount rate   0.0% - 10.0% (3.6%)           Cumulative default   0.3% - 37.8% (4.0%)           Loss given default   5.0% - 80.0% (24.1%) Asset-backed securities 76,003   Discounted cash flow   Discount rate   5.0% - 12.0% (6.3%)           Cumulative prepayment rate   0.0% - 73% (6.5%)           Cumulative default   1.1% - 100% (11.2%)           Loss given default   85% - 100% (96.3%)           Cure given deferral   0.0% - 75.0% (36.2%) Loans held for investment 47,880   Discounted cash flow   Constant prepayment rate   5.4% - 16.2% (5.6%) Measured at fair value on a nonrecurring basis: MSRs 171,309   Discounted cash flow   Constant prepayment rate   5.57% - 30.4% (7.8%)           Spread over forward interest rate swap rates   4.2% - 20.0% (11.7%) Impaired loans 53,818   Appraisal value   NA   NA Other real estate owned 50,930   Appraisal value   NA   NA The following provides a general description of the impact of a change in an unobservable input on the fair value measurement and the interrelationship between unobservable inputs, where relevant/significant. Interrelationships may also exist between observable and unobservable inputs. Such relationships have not been included in the discussion below. A significant change in the unobservable inputs may result in a significant change in the ending fair value measurement of Level 3 instruments. In general, prepayment rates increase when market interest rates decline and decrease when market interest rates rise and higher prepayment rates generally result in lower fair values for MSR assets, Asset-backed securities, and Automobile loans. Credit loss estimates, such as probability of default, constant default, cumulative default, loss given default, cure given deferral, and loss severity, are driven by the ability of the borrowers to pay their loans and the value of the underlying collateral and are impacted by changes in macroeconomic conditions, typically increasing when economic conditions worsen and decreasing when conditions improve. An increase in the estimated prepayment rate typically results in a decrease in estimated credit losses and vice versa. Higher credit loss estimates generally result in lower fair values. Credit spreads generally increase when liquidity risks and market volatility increase and decrease when liquidity conditions and market volatility improve. Discount rates and spread over forward interest rate swap rates typically increase when market interest rates increase and/or credit and liquidity risks increase and decrease when market interest rates decline and/or credit and liquidity conditions improve. Higher discount rates and credit spreads generally result in lower fair market values. Net market price and pull through percentages generally increase when market interest rates increase and decline when market interest rates decline. Higher net market price and pull through percentages generally result in higher fair values. Fair values of financial instruments The following table provides the carrying amounts and estimated fair values of Huntington’s financial instruments that are carried either at fair value or cost at March 31, 2017 and December 31, 2016:   March 31, 2017   December 31, 2016 (dollar amounts in thousands) Carrying Amount   Fair Value   Carrying Amount   Fair Value Financial Assets               Cash and short-term assets $ 1,371,868   $ 1,371,868   $ 1,443,037   $ 1,443,037 Trading account securities 97,785   97,785   133,295   133,295 Loans held for sale 518,238   522,121   512,951   515,640 Available-for-sale and other securities 16,173,605   16,173,605   15,562,837   15,562,837 Held-to-maturity securities 7,533,517   7,502,102   7,806,939   7,787,268 Net loans and direct financing leases 66,425,689   66,275,735   66,323,583   66,294,639 Derivatives 178,420   178,420   238,219   238,219 Financial Liabilities               Deposits 77,422,510   78,238,093   75,607,717   76,161,091 Short-term borrowings 1,263,430   1,263,430   3,692,654   3,692,654 Long-term debt 9,279,140   9,419,853   8,309,159   8,387,444 Derivatives 83,552   83,552   98,286   98,286 The following table presents the level in the fair value hierarchy for the estimated fair values of only Huntington’s financial instruments that are not already on the Unaudited Condensed Consolidated Balance Sheets at fair value at March 31, 2017 and December 31, 2016:   Estimated Fair Value Measurements at Reporting Date Using   March 31, 2017 (dollar amounts in thousands) Level 1   Level 2   Level 3   Financial Assets               Held-to-maturity securities $ —   $ 7,502,102   $ —   $ 7,502,102 Net loans and direct financing leases —   —   66,275,735   66,275,735 Financial Liabilities               Deposits —   74,456,322   3,781,771   78,238,093 Short-term borrowings 1,420   —   1,262,010   1,263,430 Long-term debt —   9,013,768   406,085   9,419,853   Estimated Fair Value Measurements at Reporting Date Using   December 31, 2016 (dollar amounts in thousands) Level 1   Level 2   Level 3   Financial Assets               Held-to-maturity securities $ —   $ 7,787,268   $ —   $ 7,787,268 Net loans and direct financing leases —   —   66,294,639   66,294,639 Financial Liabilities         Deposits —   72,319,328   3,841,763   76,161,091 Short-term borrowings 474   —   3,692,180   3,692,654 Long-term debt —   7,980,176   407,268   8,387,444 The short-term nature of certain assets and liabilities result in their carrying value approximating fair value. These include trading account securities, customers’ acceptance liabilities, short-term borrowings, bank acceptances outstanding, FHLB advances, and cash and short-term assets, which include cash and due from banks, interest-bearing deposits in banks, and federal funds sold and securities purchased under resale agreements. Loan commitments and letters-of-credit generally have short-term, variable-rate features and contain clauses that limit Huntington’s exposure to changes in customer credit quality. Accordingly, their carrying values, which are immaterial at the respective balance sheet dates, are reasonable estimates of fair value. Certain assets, the most significant being operating lease assets, bank owned life insurance, and premises and equipment, do not meet the definition of a financial instrument and are excluded from this disclosure. Similarly, mortgage and nonmortgage servicing rights, deposit base, and other customer relationship intangibles are not considered financial instruments and are not included above. Accordingly, this fair value information is not intended to, and does not, represent Huntington’s underlying value. Many of the assets and liabilities subject to the disclosure requirements are not actively traded, requiring fair values to be estimated by Management. These estimations necessarily involve the use of judgment about a wide variety of factors, including but not limited to, relevancy of market prices of comparable instruments, expected future cash flows, and appropriate discount rates. The following methods and assumptions were used by Huntington to estimate the fair value of the remaining classes of financial instruments: Held-to-maturity securities Fair values are determined by using models that are based on security-specific details, as well as relevant industry and economic factors. The most significant of these inputs are quoted market prices, and interest rate spreads on relevant benchmark securities. Loans and Direct Financing Leases Variable-rate loans that reprice frequently are based on carrying amounts, as adjusted for estimated credit losses. The fair values for other loans and leases are estimated using discounted cash flow analyses and employ interest rates currently being offered for loans and leases with similar terms. The rates take into account the position of the yield curve, as well as an adjustment for prepayment risk, operating costs, and profit. This value is also reduced by an estimate of expected losses and the credit risk associated in the loan and lease portfolio. The valuation of the loan portfolio reflected discounts that Huntington believed are consistent with transactions occurring in the marketplace. Deposits Demand deposits, savings accounts, and money market deposits are, by definition, equal to the amount payable on demand. The fair values of fixed-rate time deposits are estimated by discounting cash flows using interest rates currently being offered on certificates with similar maturities. Debt Long-term debt is based upon quoted market prices, which are inclusive of Huntington’s credit risk. In the absence of quoted market prices, discounted cash flows using market rates for similar debt with the same maturities are used in the determination of fair value.