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Advances and Other Receivables | 12 Months Ended
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Dec. 31, 2022
Receivables [Abstract] |
Advances and Other Receivables | 5. Advances and Other Receivables Advances and other receivables, net consists of the following:
Advances and Other Receivables, Net | December 31, 2022 |  | December 31, 2021
Servicing advances, net of $12 and $19 purchase discount, respectively | $ | 1,053 |  |  | $ | 1,263 |
Receivables from agencies, investors and prior servicers, net o f $7 and $12 purchase discount, respectively | 103 |  |  | 132 |
Reserves | (137) |  |  | (167) |
Total advances and other receivables, net | $ | 1,019 |  |  | $ | 1,228 |
The Company, as loan servicer, is contractually responsible to advance funds on behalf of the borrower and investor primarily for loan principal and interest, property taxes, hazard insurance, and foreclosure costs. Advances are primarily recovered through reimbursement from the investor, proceeds from sale of loan collateral, or mortgage insurance claims. Reserves for advances and other receivables on loans transferred out of the MSR portfolio are established within advances and other receivables. The following table sets forth the activities of the servicing reserves for advances and other receivables:
| Year Ended December 31,
Reserves for Advances and Other Receivables | 2022 |  | 2021
Balance - beginning of year | $ | 167 |  |  | $ | 208 |
Provision and other additions(1) | 66 |  |  | 75 |
Write-offs | (96) |  |  | (116) |
Balance - end of year | $ | 137 |  |  | $ | 167 |
(1)The Company recorded a provision of $30 and $35 through the MTM adjustments in “revenues - service related, net”, in the consolidated statements of operations during the years ended December 31, 2022 and 2021, respectively, for inactive and liquidated loans 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 table sets forth the activities of the purchase discount for advances and other receivables:
| Year Ended December 31, 2022 |  | Year Ended December 31, 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 year | $ | 19 |  |  | $ | 12 |  |  | $ | 72 |  |  | $ | 21 |
Utilization of purchase discounts | (7) |  |  | (5) |  |  | (53) |  |  | (9) |
Balance - end of year | $ | 12 |  |  | $ | 7 |  |  | $ | 19 |  |  | $ | 12 |
Credit Loss for Advances and Other Receivables During the years ended December 31, 2022 and 2021, the Company added $10 and $9 to the CECL reserve, respectively. In addition, the Company wrote-off $5 and $16 of the CECL reserve during the years ended December 31, 2022 and 2021, respectively. As of December 31, 2022, the total CECL reserve was $36, of which $29 and $7 were recorded in reserves and purchase discount for advances and other receivables, respectively. As of December 31, 2021, the total CECL reserve was $31, of which $21 and $10 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 o f 39 months. An y 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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- References No definition available. + Details
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