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Borrowings (Tables) | 12 Months Ended
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Dec. 31, 2022
Debt Disclosure [Abstract] |
Schedule of Secured Borrowings | The following table summarizes our secured borrowings at December 31, 2022 and 2021.
As of December 31, (dollars in thousands) |  | 2022 |  | 2021
| Short-Term |  | Long-Term |  | Total |  | Short-Term |  | Long-Term |  | Total
Unsecured borrowings: |  |  |  |  |  |  |  |  |  |  |  |
Unsecured debt (fixed-rate) |  | $ | — |  |  | $ | 988,986 |  |  | $ | 988,986 |  |  | $ | — |  |  | $ | 986,138 |  |  | $ | 986,138 |
Total unsecured borrowings |  | — |  |  | 988,986 |  |  | 988,986 |  |  | — |  |  | 986,138 |  |  | 986,138 |
Secured borrowings: |  |  |  |  |  |  |  |  |  |  |  |
Private Education Loan term securitizations: |  |  |  |  |  |  |  |  |  |  |  |
Fixed-rate |  | — |  |  | 3,462,363 |  |  | 3,462,363 |  |  | — |  |  | 3,897,996 |  |  | 3,897,996 |
Variable-rate |  | — |  |  | 783,765 |  |  | 783,765 |  |  | — |  |  | 1,046,856 |  |  | 1,046,856 |
Total Private Education Loan term securitizations |  | — |  |  | 4,246,128 |  |  | 4,246,128 |  |  | — |  |  | 4,944,852 |  |  | 4,944,852 |
Secured Borrowing Facility |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Total secured borrowings |  | — |  |  | 4,246,128 |  |  | 4,246,128 |  |  | — |  |  | 4,944,852 |  |  | 4,944,852 |
Total |  | $ | — |  |  | $ | 5,235,114 |  |  | $ | 5,235,114 |  |  | $ | — |  |  | $ | 5,930,990 |  |  | $ | 5,930,990 |
Schedule of 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, 2022 |  | Year Ended December 31, 2022
(Dollars in thousands) |  | Ending Balance |  | Weighted Average Interest Rate |  | Average Balance |  | Weighted Average Interest Rate
Short-term borrowings: |  |  |  |  |  |  |  |
Floating-rate borrowings |  | $ | — |  |  | — | % |  | $ | — |  |  | — | %
Fixed-rate borrowings(1) |  | — |  |  | — |  |  | — |  |  | — |
Total short-term borrowings |  | $ | — |  |  | — | % |  | $ | — |  |  | — | %
Maximum outstanding at any month end |  | $ | — |  |  |  |  |  |  |
|  | December 31, 2021 |  | Year Ended December 31, 2021
(Dollars in thousands) |  | Ending Balance |  | Weighted Average Interest Rate |  | Average Balance |  | Weighted Average Interest Rate(1)
Short-term borrowings: |  |  |  |  |  |  |  |
Floating-rate borrowings |  | $ | — |  |  | — | % |  | $ | — |  |  | — | %
Fixed-rate borrowings(1) |  | — |  |  | — |  |  | 122,396 |  |  | 5.78 |
Total short-term borrowings |  | $ | — |  |  | — | % |  | $ | 122,396 |  |  | 5.78 | %
Maximum outstanding at any month end |  | $ | 199,651 |  |  |  |  |  |  |
(1) Included in floating-rate borrowings is the Secured Borrowing Facility, which also incurs a non-use fee based upon the facility’s maximum borrowing limit of $2 billion, for both 2022 and 2021, which is applied to the unfunded balance. The facility non-use fee was 45 basis points and 46 basis points in 2022 and 2021, respectively.
Schedule of 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, 2022 |  | Year Ended December 31, 2022 |  | December 31, 2021 |  | Year Ended December 31, 2021
(Dollars in thousands) |  | Ending Balance |  | Weighted Average Interest Rate |  | Average Balance |  | Ending Balance |  | Weighted Average Interest Rate |  | Average Balance
Long-term borrowings: |  |  |  |  |  |  |  |  |  |  |  |
Floating-rate borrowings |  | $ | 783,765 |  |  | 5.26 | % |  | $ | 898,002 |  |  | $ | 1,046,857 |  |  | 1.05 | % |  | $ | 1,073,042 |
Fixed-rate borrowings |  | 4,451,349 |  |  | 2.93 |  |  | 4,571,690 |  |  | 4,884,133 |  |  | 2.65 |  |  | 4,094,640 |
Total long-term borrowings |  | $ | 5,235,114 |  |  | 3.28 | % |  | $ | 5,469,692 |  |  | $ | 5,930,990 |  |  | 2.37 | % |  | $ | 5,167,682 |
Schedule of Maturities of Long-term Debt | As of December 31, 2022, the maturities of our brokered deposits and borrowings are summarized below.
As of December 31, 2022 (dollars in thousands) | Brokered Deposits |  | Unsecured Debt |  | Secured Borrowings(1) |  | Total |  |  |  |  |  |  |  |
2023 | $ | 2,031,404 |  |  | $ | — |  |  | $ | 725,981 |  |  | $ | 2,757,385 |  |  |  |  |  |  |  |  |
2024 | 2,397,229 |  |  | — |  |  | 682,781 |  |  | 3,080,010 |  |  |  |  |  |  |  |  |
2025 | 1,681,406 |  |  | 496,240 |  |  | 678,633 |  |  | 2,856,279 |  |  |  |  |  |  |  |  |
2026 | 1,029,385 |  |  | 492,746 |  |  | 609,998 |  |  | 2,132,129 |  |  |  |  |  |  |  |  |
2027 | 152,227 |  |  | — |  |  | 530,521 |  |  | 682,748 |  |  |  |  |  |  |  |  |
2028 and after | 47,221 |  |  | — |  |  | 1,018,214 |  |  | 1,065,435 |  |  |  |  |  |  |  |  |
| 7,338,872 |  |  | 988,986 |  |  | 4,246,128 |  |  | 12,573,986 |  |  |  |  |  |  |  |  |
Hedge accounting adjustments | (5,599) |  |  | — |  |  | — |  |  | (5,599) |  |  |  |  |  |  |  |  |
Total | $ | 7,333,273 |  |  | $ | 988,986 |  |  | $ | 4,246,128 |  |  | $ | 12,568,387 |  |  |  |  |  |  |  |  |
(1)We view our secured borrowings as long-term based on the contractual maturity dates ranging from 2031 to 2053. However, the actual maturity of our secured borrowings depends on the prepayment speeds of the underlying collateralized loans. To disclose how we expect this debt to pay down over time, the maturities for our secured borrowings are based on the projected bond principal paydowns using the current estimated loan prepayment speeds.
Schedule of Securities Financing Transactions | Secured Financings The following summarizes our secured financings issued in 2021 and 2022:
Issue |  | Date Issued |  | Total Issued |  | Weighted Average Cost of Funds(1) |  | Weighted Average Life (in years)
(Dollars in thousands) |  |  |  |  |  |  |  |
2021-B |  | May 2021 |  | $ | 531,000 |  |  | 1-month LIBOR plus 0.77% |  | 4.26
2021-D |  | August 2021 |  | 527,000 |  |  | 1-month LIBOR plus 0.69% |  | 4.22
2021-E |  | November 2021 |  | 534,000 |  |  | 1-month LIBOR plus 0.69% |  | 4.15
Total notes issued in 2021 |  |  |  | $ | 1,592,000 |  |  |  |  |
Total loan and accrued interest amount securitized at inception in 2021(2) |  | $ | 1,656,263 |  |  |  |  |
2022-C |  | August 2022 |  | 575,000 |  |  | SOFR plus 1.76% |  | 4.69
Total notes issued in 2022 |  |  |  | $ | 575,000 |  |  |  |  |
Total loan and accrued interest amount securitized at inception in 2022(3) |  | $ | 674,387 |  |  |  |  |
(1) Represents LIBOR or SOFR equivalent cost of funds for floating and fixed-rate bonds, excluding issuance costs. (2) At December 31, 2022, $1.27 billion of our Private Education Loans, including $1.21 billion of principal and $66 million in capitalized interest, were encumbered related to the 2021 transactions. (3) At December 31, 2022, $635 million of our Private Education Loans, including $597 million of principal and $38 million in capitalized interest, were encumbered related to the 2022 transactions.
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.
As of December 31, 2022 (dollars in thousands) |  |
| 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 |  | $ | — |  |  | $ | 4,246,128 |  |  | $ | 4,246,128 |  |  | $ | 5,433,602 |  |  | $ | 156,719 |  |  | $ | 286,093 |  |  | $ | 5,876,414 |
Secured Borrowing Facility |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 1,066 |  |  | 1,066 |
Total |  | $ | — |  |  | $ | 4,246,128 |  |  | $ | 4,246,128 |  |  | $ | 5,433,602 |  |  | $ | 156,719 |  |  | $ | 287,159 |  |  | $ | 5,877,480 |
As of December 31, 2021 (dollars in thousands) |  |
| 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 |  | $ | — |  |  | $ | 4,994,852 |  |  | $ | 4,994,852 |  |  | $ | 6,029,034 |  |  | $ | 210,741 |  |  | $ | 357,982 |  |  | $ | 6,597,757 |
Secured Borrowing Facility |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 867 |  |  | 867 |
Total |  | $ | — |  |  | $ | 4,994,852 |  |  | $ | 4,994,852 |  |  | $ | 6,029,034 |  |  | $ | 210,741 |  |  | $ | 358,849 |  |  | $ | 6,598,624 |
(1) Other assets primarily represent accrued interest receivable. The table below provides a summary of our exposure related to our unconsolidated VIEs.
|  | 2022 |  | 2021
As of December 31, (dollars in thousands) |  | Debt Interests(1) |  | Equity Interests(2) |  | Total Exposure |  | Debt Interests(1) |  | Equity Interests(2) |  | Total Exposure
Private Education Loan term securitizations |  | $ | 329,188 |  |  | $ | 50,786 |  |  | $ | 379,974 |  |  | $ | 192,245 |  |  | $ | 37,465 |  |  | $ | 229,710 |
(1) Vertical risk retention interest classified as available-for-sale investment. (2) Vertical risk retention interest classified as trading investment.

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