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Finance Receivables (Tables)
 12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Schedule of Accounts Receivables
Accounts receivable consisted of the following:
December 31,
($ in millions)20232022
Contracts in transit$559.7 $432.5 
Trade receivables153.3 122.6 
Vehicle receivables191.4 105.4 
Manufacturer receivables216.5 151.9 
Other receivables, current9.3 3.8 
1,130.2 816.2 
Less: Allowance for doubtful accounts(7.1)(3.1)
Total accounts receivable, net$1,123.1 $813.1 
December 31,
($ in millions)20232022
Asset-backed term funding$2,146.5 $482.1 
Warehouse facilities749.3 1,383.9 
Other managed receivables452.9 390.9 
Total finance receivables3,348.7 2,256.9 
Less: Allowance for finance receivable losses(106.4)(69.3)
Finance receivables, net$3,242.3 $2,187.6 
Schedule of Financing Receivable Credit Quality Indicators
As of December 31, 2023
Year of Origination
($ in millions)2023202220212020Total
<5991
$62.2 $39.0 $17.6 $2.4 $121.2 
600-699586.6 463.6 152.7 16.1 1,219.0 
700-774568.1 422.5 63.9 5.9 1,060.4 
775+490.3 263.5 14.7 2.7 771.2 
Total auto loan receivables$1,707.2 $1,188.6 $248.9 $27.1 3,171.8 
Other finance receivables (1)
176.9 
Total finance receivables$3,348.7 
As of December 31, 2022
Year of Origination
($ in millions)202220212020Total
<5991
$63.0 $30.3 $4.8 $98.1 
600-699652.6 243.4 27.2 923.2 
700-774575.9 97.9 10.0 683.8 
775+369.5 21.5 4.5 395.5 
Total auto loan receivables$1,661.0 $393.1 $46.5 2,100.6 
Other finance receivables (1)
156.3 
Total finance receivables$2,256.9 
(1)Includes legacy portfolio, loans that are originated with no FICO score available, and lease receivables.

In accordance with Topic 326, the allowance for loan and lease losses is estimated based on our historical write-off experience, current conditions and forecasts, as well as the value of any underlying assets securing these loans. Consideration is given to recent delinquency trends and recovery rates. Account balances are charged against the allowance upon reaching 120 days past due status.

Rollforward of Allowance for Loan and Lease Losses
Our allowance for finance receivable losses represents the net credit losses expected over the remaining contractual life of our managed receivables. During 2023, provision expense and net charge-offs increased primarily due to the higher volume of originations and resulting growth in the finance receivables balance. Also a contributing factor is the 3-4 month lag between charge-off and recovery. Collectively these factors drove an overall increase in the allowance. The allowances for credit losses related to finance receivables consisted of the following changes during the period:

Year Ended December 31,
($ in millions)20232022
Allowance at beginning of period$69.3 $25.0 
Charge-offs(110.0)(62.0)
Recoveries47.6 19.1 
Initial allowance for purchased credit-deteriorated loans4.6 — 
Sold loans
(3.9)— 
Provision expense98.8 87.2 
Allowance at end of period$106.4 $69.3 

See Note 1 – Summary of Significant Accounting Policies for additional information on the allowance for credit losses related to finance receivables.

Charge-off Activity by Year of Origination
Year Ended December 31,
($ in millions)20232022
2023$14.2 $— 
202261.9 17.3 
202129.2 35.5 
20202.8 5.1 
Other finance receivables1.9 4.1 
Total charge-offs$110.0 $62.0 
Schedule of Purchased Financial Assets with Credit Deterioration The following is a reconciliation of the difference between the purchase price paid by us for the financial assets and the par value (outstanding principal balance) of the assets on the date we acquired the portfolio:
($ in millions)
Purchase price of PCD loans at acquisition$8.0 
Initial allowance for credit losses of PCD loans at acquisition4.6 
Noncredit premium of PCD loans at acquisition(3.4)
Par value of acquired PCD loans at acquisition$9.2