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Borrowings (Tables)

12 Months Ended

Dec. 31, 2020

Debt Disclosure [Abstract]

Secured borrowings

The following table summarizes our secured borrowings at December 31, 2020 and 2019.

						December 31, 2020																		December 31, 2019
						Short-Term						Long-Term						Total						Short-Term						Long-Term						Total
Unsecured borrowings:
Unsecured debt (fixed-rate)						$	—					$	692,879					$	692,879					$	—					$	198,159					$	198,159
Total unsecured borrowings						—						692,879						692,879						—						198,159						198,159
Secured borrowings:
Private Education Loan term securitizations:
Fixed-rate						—						3,261,233						3,261,233						—						2,629,902						2,629,902
Variable-rate						—						1,235,105						1,235,105						—						1,525,976						1,525,976
Total Private Education Loan term securitizations						—						4,496,338						4,496,338						—						4,155,878						4,155,878
Secured Borrowing Facility						—						—						—						289,230						—						289,230
Total secured borrowings						—						4,496,338						4,496,338						289,230						4,155,878						4,445,108
Total						$	—					$	5,189,217					$	5,189,217					$	289,230					$	4,354,037					$	4,643,267

Short-term borrowings

The following table summarizes the outstanding short-term borrowings, the weighted average interest rates at the end of the period and the related average balance and weighted average interest rates during the period. The Secured Borrowing Facility’s contractual maturity is two years from the date of inception or renewal (one-year revolving period plus a one-year amortization period); however, we classify advances under our Secured Borrowing Facility as short-term borrowings because it is our intention to repay those advances within one year.

						December 31, 2020												Year Ended December 31, 2020
						Ending Balance						Weighted Average Interest Rate						Average Balance						Weighted Average Interest Rate(1)
Short-term borrowings:
Secured Borrowing Facility						$	—					—		%				$	45,820					24.99		%
Maximum outstanding at any month end						$	289,230

						December 31, 2019												Year Ended December 31, 2019
						Ending Balance						Weighted Average Interest Rate						Average Balance						Weighted Average Interest Rate
Short-term borrowings:
Secured Borrowing Facility						$	289,230					1.74		%				$	102,639					4.91		%
Maximum outstanding at any month end						$	297,800

    ___________

(1)The interest for the non-use fees is calculated based on the Secured Borrowing Facility’s maximum borrowing limit, which increased to $2 billion in 2020.

Long-term borrowings

The following table summarizes the outstanding long-term borrowings, the weighted average interest rates at the end of the period and the related average balance during the period. Rates reflect stated interest of borrowings and related discounts and premiums. The long-term borrowings amortize over time and mature serially from 2025 to 2053.

						December 31, 2020												Year Ended December 31, 2020						December 31, 2019												Year Ended December 31, 2019
						Ending Balance						Weighted Average Interest Rate						Average Balance						Ending Balance						Weighted Average Interest Rate						Average Balance
Floating-rate borrowings						$	1,235,105					1.09		%				$	1,432,446					$	1,525,976					2.61		%				$	1,731,675
Fixed-rate borrowings						3,954,112						3.08						3,316,425						2,828,061						3.31						2,752,183
Total long-term borrowings						$	5,189,217					2.60		%				$	4,748,871					$	4,354,037					3.07		%				$	4,483,858

Schedule of Maturities of Long-term Debt

As of December 31, 2020, the stated maturity and maturity to call date of our brokered deposits and borrowings are summarized below.

			December 31, 2020
			Stated Maturity(1)																								Maturity to Call Date
			Brokered Deposits						Unsecured Debt						Secured Borrowings						Total						Brokered Deposits						Unsecured Debt						Secured Borrowings						Total
Year of Maturity
2021			$	3,691,601					$	—					$	612,195					$	4,303,796					$	3,691,601					$	—					$	612,195					$	4,303,796
2022			2,918,823						200,000						567,540						3,686,363						2,918,823						200,000						567,540						3,686,363
2023			1,536,077						—						605,658						2,141,735						1,536,077						—						605,658						2,141,735
2024			499,112						—						596,843						1,095,955						499,112						—						596,843						1,095,955
2025			270,274						500,000						587,801						1,358,075						270,274						500,000						587,801						1,358,075
2026 and after			47,401						—						1,705,576						1,752,977						47,401						—						1,705,576						1,752,977
			8,963,288						700,000						4,675,613						14,338,901						8,963,288						700,000						4,675,613						14,338,901
Hedge accounting adjustments			108,913						—						—						108,913						108,913						—						—						108,913
Total			$	9,072,201					$	700,000					$	4,675,613					$	14,447,814					$	9,072,201					$	700,000					$	4,675,613					$	14,447,814

____________

(1)We view our securitization trust debt as long-term based on the contractual maturity dates and projected principal paydowns based on our current estimates regarding loan prepayment speeds. The projected principal paydowns in year 2021 include $612 million related to the securitization trust debt.

Secured financing

Secured Financings

The following summarizes our secured financings issued in 2019 and 2020:

Issue						Date Issued						Total Issued						Weighted Average Cost of Funds(1)						Weighted Average Life (in years)
Private Education Loans:
2019-A						March 2019						$	453,000					1-month LIBOR plus 0.92%						4.26
2019-B						June 2019						657,000						1-month LIBOR plus 1.01%						4.41
Total notes issued in 2019												$	1,110,000
Total loan and accrued interest amount securitized at inception in 2019												$	1,208,963
2020-A						February 2020						$	636,000					1-month LIBOR plus 0.88%						4.18
2020-B						August 2020						707,000						1-month LIBOR plus 1.30%						4.14
Total notes issued in 2020												$	1,343,000
Total loan and accrued interest amount securitized at inception in 2020												$	1,463,230

____________

(1) Represents LIBOR equivalent cost of funds for floating and fixed-rate bonds, excluding issuance costs.

Schedule of variable interest entities

We consolidate our financing entities that are VIEs as a result of our being the entities’ primary beneficiary. As a result, these financing VIEs are accounted for as secured borrowings.

						December 31, 2020
						Debt Outstanding																		Carrying Amount of Assets Securing Debt Outstanding
						Short-Term						Long-Term						Total						Loans						Restricted Cash						Other Assets(1)						Total
Secured borrowings:
Private Education Loan term securitizations						$	—					$	4,496,338					$	4,496,338					$	5,661,123					$	154,417					$	356,967					$	6,172,507
Secured Borrowing Facility						—						—						—						—						—						436						436
Total						$	—					$	4,496,338					$	4,496,338					$	5,661,123					$	154,417					$	357,403					$	6,172,943

						December 31, 2019
						Debt Outstanding																		Carrying Amount of Assets Securing Debt Outstanding
						Short-Term						Long-Term						Total						Loans						Restricted Cash						Other Assets(1)						Total
Secured borrowings:
Private Education Loan term securitizations						$	—					$	4,155,878					$	4,155,878					$	5,246,986					$	145,760					$	333,173					$	5,725,919
Secured Borrowing Facility						289,230						—						289,230						339,666						8,803						23,832						372,301
Total						$	289,230					$	4,155,878					$	4,445,108					$	5,586,652					$	154,563					$	357,005					$	6,098,220

________

(1) Other assets primarily represent accrued interest receivable.

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