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Advances and Other Receivables | 6 Months Ended
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Jun. 30, 2022
Receivables [Abstract] |
Advances and Other Receivables | 4. Advances and Other Receivables Advances and other receivables, net, consists of the following:
Advances and Other Receivables, Net | June 30, 2022 |  | December 31, 2021
Servicing advances, net of $14 and $19 purchase discount, respectively | $ | 915 |  |  | $ | 1,263 |
Receivables from agencies, investors and prior servicers, net of $8 and $12 purchase discount, respectively | 127 |  |  | 132 |
Reserves | (150) |  |  | (167) |
Total advances and other receivables, net | $ | 892 |  |  | $ | 1,228 |
The following table sets forth the activities of the servicing reserves for advances and other receivables:
| Three Months Ended June 30, |  | Six Months Ended June 30,
Reserves for Advances and Other Receivables | 2022 |  | 2021 |  | 2022 |  | 2021
Balance - beginning of period | $ | 152 |  |  | $ | 206 |  |  | $ | 167 |  |  | $ | 208 |
Provision and other additions(1) | 18 |  |  | 26 |  |  | 34 |  |  | 41 |
Write-offs | (20) |  |  | (41) |  |  | (51) |  |  | (58) |
Balance - end of period | $ | 150 |  |  | $ | 191 |  |  | $ | 150 |  |  | $ | 191 |
(1)The Company recorded a provis ion of $6 and $8 through the MTM adjustments in revenues - service related, net, in the condensed consolidated statements of operations during the three months ended June 30, 2022 and 2021, respectively, and $12 and $20 during the six months ended June 30, 2022 and 2021, respectively, for inactive and liquidated l oans that are no longer part of the MSR portfolio. Other additions represent reclassifications of required reserves provisioned within other balance sheet accounts as associated serviced loans become inactive or liquidate. Purchase Discount for Advances and Other Receivables The following tables set forth the activities of the purchase discounts for advances and other receivables:
| Three Months Ended June 30,
| 2022 |  | 2021
Purchase Discount for Advances and Other Receivables | Servicing Advances |  | Receivables from Agencies, Investors and Prior Servicers |  | Servicing Advances |  | Receivables from Agencies, Investors and Prior Servicers
Balance - beginning of period | $ | 16 |  |  | $ | 8 |  |  | $ | 63 |  |  | $ | 20 |
Utilization of purchase discounts | (2) |  |  | — |  |  | (37) |  |  | — |
Balance - end of period | $ | 14 |  |  | $ | 8 |  |  | $ | 26 |  |  | $ | 20 |
| Six Months Ended June 30,
| 2022 |  | 2021
Purchase Discount for Advances and Other Receivables | Servicing Advances |  | Receivables from Agencies, Investors and Prior Servicers |  | Servicing Advances |  | Receivables from Agencies, Investors and Prior Servicers
Balance - beginning of period | $ | 19 |  |  | $ | 12 |  |  | $ | 72 |  |  | $ | 21 |
Utilization of purchase discounts | (5) |  |  | (4) |  |  | (46) |  |  | (1) |
Balance - end of period | $ | 14 |  |  | $ | 8 |  |  | $ | 26 |  |  | $ | 20 |
Credit Loss for Advances and Other Receivables During the three and six months ended June 30, 2022, the Company increased the current expected credit loss (“CECL”) reserve by $3 and $7, respectively. During the three and six months ended June 30, 2021, the Company increased the CECL reserve by $3 and $4, respectively. In addition, the Company had no write-offs during the three months ended June 30, 2022 and wrote off $5 of the CECL reserve during the six months ended June 30, 2022. As of June 30, 2022, the total CECL reserve was $33, of which $25 and $8 were recorded in reserves and purchase discount for advances and other receivables, respectively. As of June 30, 2021, the total CECL reserve was $42, of which $25 and $17 were recorded in reserves and purchase discount for advances and other receivables, respectively. The Company determined that the credit-related risk associated with applicable financial instruments typically increase with the passage of time. The CECL reserve methodology considers these financial instruments collectible to a point in time of 39 months. Any projected remaining balance at the end of the collection period is considered a loss and factors into the overall CECL loss rate required.

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- Definition The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -URI https://asc.fasb.org/subtopic&trid=2196772 + Details
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