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LOANS ISSUED
 3 Months Ended
Jun. 30, 2022
Loans and Leases Receivable Disclosure [Abstract]  
Loans Issued LOANS ISSUED
Loans issued as of June 30, 2022, consisted of the following:
Amount OutstandingDue Dates
Average Interest Rate
Fair Value of CollateralLoan Currency
Mortgage loan$131,047 July 2022 - June 204710.45 %$131,403 KZT
Uncollateralized bank customer loans73,484 July 2022 - June 202614.00 %—KZT
Bank customer loans11,431 January 2022 - September 204516.09 %1,000RUB
Subordinated loan5,070 December 2022-April 20244.89 %— USD
Subordinated loan1,259 December 2022-April 202412.00 %— UAH
Car loans942 June 2024 - June 202926.38 %964KZT
Other159 May 2022 - May 20272.00 %—EUR
Loans issued to policyholders127 July 2022 - June 202313.98 %384KZT
Total loans issued$223,519 
Freedom Bank KZ provides mortgage loans to borrowers on behalf of the JSC Kazakhstan Sustainability Fund ("Program Operator") related to the state mortgage program "7-20-25" and transfers the rights of claim on the loans to the Program Operator. Under this program, borrowers can receive a mortgage at an interest rate of 7%, for 20 years. In accordance with the program and trust management agreement, Freedom Bank KZ carries out trust management of transferred mortgage loans, and transfers all repayments of principal amounts of mortgages plus 3% of the 7% interest to the Program Operator. The remaining 4% of the 7% interest is retained by Freedom Bank KZ as margin. Under the program and trust management agreement, Freedom Bank KZ is required to repurchase the rights of claims on transferred mortgage loans, when the loan principal amount and interest payments are overdue 90 days of more. The repurchase of delinquent loans is performed at the loan nominal value.

Freedom Bank KZ has determined that it neither transfers nor retains substantially all the risks and rewards of ownership of the financial asset transferred; however, Freedom Bank KZ has determined that it retains control over the assets transferred and continues recognizing the assets to the extent of its continuing involvement in the assets transferred. The extent of Freedom Bank KZ's continuing involvement is limited to the maximum amount of consideration received on the assets transferred that it is required to return to the Program Operator. As Freedom Bank KZ continues to recognize the asset to the extent of its continuing involvement in loans to customers, it also recognizes the associated liability from continuing involvement in the amount of $60,407, which is included within other liabilities on the Condensed Consolidated Balance Sheets.
As of June 30, 2022, mortgage loans include the state mortgage program "7-20-25" with a principal amount of $91,838.

Microfinance organization Freedom Finance Credit (“FFIN Credit”) is a start-up created by Mr.Turlov. It is a non-bank credit institution that issues loans in Kazakhstan under simplified lending procedures. FFIN Credit was created as a pilot project to test and improve the scoring models used for qualifying and issuing loans. The principal operation of FFIN Credit is to provide loans to customers online using biometric identification and its proprietary scoring process. After completion of the pilot launch, it is anticipated ownership of FFIN Credit will be transferred to the Company.
During the three months ended June 30, 2022, the Company entered into agreements with FFIN Credit to purchase uncollateralized consumer retail loans. The agreements provide the Company the ability to sell back to FFIN Credit up to $36,010 of the total loans purchased.

The Company has determined that it has assumed substantially all of the risks and rewards from the transferor of the loans, with the exception of the amount it has the right to sell back to the transferor, accordingly the Company has received control of the loans and has recognized the loans on its Condensed Consolidated Balance Sheets.

During the three months ended June 30, 2022, the Company purchased loans in the aggregate amount of $56,681 and sold back loans totaling $9,832 to the FFIN Credit.

As of June 30, 2022, the Company held outstanding loans purchased from the FFIN Credit totaling $70,992, net of an allowance of $3,051.
Loans issued as of March 31, 2022, consisted of the following:
Amount OutstandingDue Dates
Average Interest Rate
Fair Value of CollateralLoan Currency
Mortgage loans$51,923 April 2022 - March 204711.86 %52,134KZT
Uncollateralized bank customer loans34,067 April 2022 - March 204717.56 %—KZT
Subordinated loan5,033 December 2022-April 20244.89 %—USD
Bank customer loans2,395 January 2022 - September 204514.57 %1,000RUB
Subordinated loan1,256 December 2022-April 20247.00 %—UAH
Other123 February 2022-Febraury 20272.50 %—USD
Loans to policyholders43 July 2022 - March 202312.02 %284KZT
Total loans issued (recast)$94,840