XML 253 R13.htm IDEA: XBRL DOCUMENT
v3.24.3

FINANCE RECEIVABLES | 9 Months Ended
--- | ---
Sep. 30, 2024
Receivables [Abstract] |
FINANCE RECEIVABLES | FINANCE RECEIVABLES Interest income on finance receivables is recognized based on the contractual terms of each receivable and is accrued until repayment, reaching non-accrual status, charge-off, or repossession. Direct costs associated with originations are capitalized and expensed as an offset to interest income when recognized on the receivables. The balances of finance receivables are made up of loans and finance leases secured by the related vehicles. More than 98% of the portfolio is aged less than 60 days past due with less than 2% on non-accrual status. Finance Receivables, net
(in millions) | September 30, 2024 |  | December 31, 2023
Asset-backed term funding | $ | 2,267.8 |  |  | $ | 2,146.5 |
Warehouse facilities | 1,332.5 |  |  | 749.3 |
Other managed receivables | 285.7 |  |  | 452.9 |
Total finance receivables | 3,886.0 |  |  | 3,348.7 |
Less: Allowance for finance receivable losses | (120.5) |  |  | (106.4) |
Finance receivables, net | $ | 3,765.5 |  |  | $ | 3,242.3 |
Finance Receivables by FICO Score
| As of September 30, 2024
| Year of Origination
($ in millions) | 2024 |  | 2023 |  | 2022 |  | 2021 |  | 2020 |  |  |  |  |  | Total
<599 | $ | 44.4 |  |  | $ | 45.3 |  |  | $ | 26.1 |  |  | $ | 11.9 |  |  | $ | 1.6 |  |  |  |  |  |  | $ | 129.3 |
600-699 | 428.7 |  |  | 452.6 |  |  | 338.2 |  |  | 103.9 |  |  | 10.0 |  |  |  |  |  |  | 1,333.4 |
700-774 | 434.4 |  |  | 444.4 |  |  | 317.9 |  |  | 44.8 |  |  | 3.8 |  |  |  |  |  |  | 1,245.3 |
775+ | 418.9 |  |  | 364.0 |  |  | 197.4 |  |  | 10.4 |  |  | 1.6 |  |  |  |  |  |  | 992.3 |
Total auto loan receivables | $ | 1,326.4 |  |  | $ | 1,306.3 |  |  | $ | 879.6 |  |  | $ | 171.0 |  |  | $ | 17.0 |  |  |  |  |  |  | 3,700.3 |
Other finance receivables 1 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 185.7 |
Total finance receivables |  |  |  |  |  |  |  |  |  |  |  |  |  |  | $ | 3,886.0 |
|  |  | As of December 31, 2023
|  |  | Year of Origination
($ in millions) | 2023 |  | 2022 |  | 2021 |  | 2020 |  |  |  |  |  |  |  | Total
<599 | $ | 62.2 |  |  | $ | 39.0 |  |  | $ | 17.6 |  |  | $ | 2.4 |  |  |  |  |  |  |  |  | $ | 121.2 |
600-699 | 586.6 |  |  | 463.6 |  |  | 152.7 |  |  | 16.1 |  |  |  |  |  |  |  |  | 1,219.0 |
700-774 | 568.1 |  |  | 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 |
1 Includes legacy portfolio, loans that are originated with no FICO score available, lease receivables, and deferred origination fees. In accordance with ASC Topic 326, the allowance for finance receivable 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 receivables. 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 Finance Receivable Losses Our allowance for finance receivable losses represents the net credit losses expected over the remaining contractual life of our managed receivables. The allowances for credit losses related to finance receivables consisted of the following changes during the period:
| Nine Months Ended September 30,
(in millions) | 2024 |  | 2023
Allowance at beginning of period | $ | 106.4 |  |  | $ | 69.3 |
Charge-offs | (106.8) |  |  | (79.1) |
Recoveries | 44.2 |  |  | 35.5 |
Sold loans | (0.3) |  |  | — |
Initial allowance for credit-deteriorated receivables | — |  |  | 2.3 |
Provision expense | 77.0 |  |  | 75.0 |
Allowance at end of period | $ | 120.5 |  |  | $ | 103.0 |
Charge-off Activity by Year of Origination
| Nine Months Ended September 30,
(in millions) | 2024 |  | 2023
2024 | $ | 5.3 |  |  | $ | — |
2023 | 45.4 |  |  | 5.0 |
2022 | 39.5 |  |  | 47.1 |
2021 | 13.6 |  |  | 23.0 |
2020 | 1.2 |  |  | 2.3 |
Other finance receivables 1 | 1.8 |  |  | 1.7 |
Total charge-offs | $ | 106.8 |  |  | $ | 79.1 |
1 Includes legacy portfolio, loans that are originated with no FICO score available, and finance lease receivables.

X
- Definition The entire disclosure for financing receivable. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 310 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 12A -Publisher FASB -URI https://asc.fasb.org/1943274/2147481933/310-10-55-12A Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 310 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Subparagraph (a)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147481962/310-10-50-42 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 310 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 44 -Subparagraph (a)(1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147481962/310-10-50-44 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 310 -SubTopic 10 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/310-10/tableOfContent Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 310 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/310-20/tableOfContent + Details
Name: | us-gaap_FinancingReceivablesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_ReceivablesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration