Note 3. Finance Receivables, Allowance for Credit Losses, and Credit Quality Information

Finance receivables consisted of the following:


	September 30, 2015		December 31, 2014
Branch small loans	$	147,664	$	128,217
Convenience checks		180,543		191,316
Large loans		119,731		46,147
Automobile loans		128,131		154,382
Retail loans		25,539		26,130

Finance receivables	$	601,608	$	546,192

Changes in the allowance for credit losses for the periods indicated are as follows:


	Three Months Ended September 30,						Nine Months Ended September 30,
	2015			2014			2015			2014
Balance at beginning of period	$	36,171		$	34,584		$	40,511		$	30,089
Provision for credit losses		14,085			22,542			35,899			53,106
Charge-offs		(13,158	)		(12,090	)		(40,706	)		(38,976	)
Charge-offs (180+ policy change)		—			(2,106	)		—			(2,106	)
Recoveries		688			371			2,082			1,188

Balance at end of period	$	37,786		$	43,301		$	37,786		$	43,301

The following is a reconciliation of the allowance for credit losses by product for the periods indicated:


	Balance July 1, 2015		Provision		Charge-offs			Charge-offs (180+ Policy Change)			Recoveries		Balance September 30, 2015		Finance Receivables September 30, 2015		Allowance as Percentage of Finance Receivable September 30, 2015
Branch small loans	$	7,138	$	4,895	$	(3,620	)	$	—		$	156	$	8,569	$	147,664		5.8	%
Convenience checks		11,205		5,948		(5,559	)		—			246		11,840		180,543		6.6	%
Large loans		5,364		1,000		(715	)		—			84		5,733		119,731		4.8	%
Automobile loans		11,121		1,839		(2,845	)		—			178		10,293		128,131		8.0	%
Retail loans		1,343		403		(419	)		—			24		1,351		25,539		5.3	%

Total	$	36,171	$	14,085	$	(13,158	)	$	—		$	688	$	37,786	$	601,608		6.3	%


	Balance July 1, 2014		Provision		Charge-offs			Charge-offs (180+ Policy Change)			Recoveries		Balance September 30, 2014		Finance Receivables September 30, 2014		Allowance as Percentage of Finance Receivable September 30, 2014
Branch small loans	$	6,300	$	2,453	$	(2,782	)	$	(505	)	$	101	$	5,567	$	114,398		4.9	%
Convenience checks		13,004		15,374		(4,681	)		(627	)		138		23,208		196,026		11.8	%
Large loans		1,986		544		(649	)		(203	)		66		1,744		42,177		4.1	%
Automobile loans		11,555		3,999		(3,551	)		(688	)		47		11,362		163,825		6.9	%
Retail loans		1,739		172		(427	)		(83	)		19		1,420		26,927		5.3	%

Total	$	34,584	$	22,542	$	(12,090	)	$	(2,106	)	$	371	$	43,301	$	543,353		8.0	%


	Balance January 1, 2015		Provision		Charge-offs			Charge-offs (180+ Policy Change)			Recoveries		Balance September 30, 2015		Finance Receivables September 30, 2015		Allowance as Percentage of Finance Receivable September 30, 2015
Branch small loans	$	6,960	$	11,307	$	(10,182	)	$	—		$	484	$	8,569	$	147,664		5.8	%
Convenience checks		18,320		11,977		(19,219	)		—			762		11,840		180,543		6.6	%
Large loans		1,980		5,271		(1,719	)		—			201		5,733		119,731		4.8	%
Automobile loans		11,776		6,273		(8,303	)		—			547		10,293		128,131		8.0	%
Retail loans		1,475		1,071		(1,283	)		—			88		1,351		25,539		5.3	%

Total	$	40,511	$	35,899	$	(40,706	)	$	—		$	2,082	$	37,786	$	601,608		6.3	%


	Balance January 1, 2014		Provision		Charge-offs			Charge-offs (180+ Policy Change)			Recoveries		Balance September 30, 2014		Finance Receivables September 30, 2014		Allowance as Percentage of Finance Receivable September 30, 2014
Branch small loans	$	5,166	$	9,314	$	(8,722	)	$	(505	)	$	314	$	5,567	$	114,398		4.9	%
Convenience checks		10,204		30,789		(17,524	)		(627	)		366		23,208		196,026		11.8	%
Large loans		2,233		1,187		(1,715	)		(203	)		242		1,744		42,177		4.1	%
Automobile loans		10,827		10,261		(9,231	)		(688	)		193		11,362		163,825		6.9	%
Retail loans		1,659		1,555		(1,784	)		(83	)		73		1,420		26,927		5.3	%

Total	$	30,089	$	53,106	$	(38,976	)	$	(2,106	)	$	1,188	$	43,301	$	543,353		8.0	%

Finance receivables associated with customers in bankruptcy as a percentage of total finance receivables was 1.0% and 1.1% as of September 30, 2015 and December 31, 2014, respectively. The following is a summary of the finance receivables associated with customers in bankruptcy as of the periods indicated:


	September 30, 2015		December 31, 2014
Branch small loans	$	530	$	582
Convenience checks		492		544
Large loans		1,290		1,260
Automobile loans		3,548		3,698
Retail loans		130		119

Total	$	5,990	$	6,203

The contractual delinquency of the finance receivable portfolio by component for the periods indicated are as follows:


	September 30, 2015
	Branch Small					Convenience Check					Large					Automobile					Retail					Total
	$		%			$		%			$		%			$		%			$		%			$		%
Current	$	112,665		76.3	%	$	144,117		79.9	%	$	103,139		86.1	%	$	86,080		67.2	%	$	20,846		81.7	%	$	466,847		77.6	%
1 to 29 days past due		20,833		14.1	%		20,821		11.5	%		12,763		10.7	%		32,724		25.5	%		3,485		13.6	%		90,626		15.1	%

Delinquent accounts
30 to 59 days		5,174		3.5	%		4,962		2.7	%		1,643		1.4	%		4,850		3.8	%		465		1.8	%		17,094		2.8	%
60 to 89 days		3,298		2.2	%		3,440		1.9	%		886		0.7	%		2,100		1.6	%		228		0.9	%		9,952		1.7	%
90 to 119 days		2,233		1.5	%		2,711		1.5	%		562		0.5	%		1,181		0.9	%		187		0.7	%		6,874		1.1	%
120 to 149 days		1,900		1.3	%		2,481		1.4	%		474		0.4	%		732		0.6	%		179		0.7	%		5,766		1.0	%
150 to 179 days		1,561		1.1	%		2,011		1.1	%		264		0.2	%		464		0.4	%		149		0.6	%		4,449		0.7	%

Total delinquency	$	14,166		9.6	%	$	15,605		8.6	%	$	3,829		3.2	%	$	9,327		7.3	%	$	1,208		4.7	%	$	44,135		7.3	%

Total finance receivables	$	147,664		100.0	%	$	180,543		100.0	%	$	119,731		100.0	%	$	128,131		100.0	%	$	25,539		100.0	%	$	601,608		100.0	%

Finance receivables in nonaccrual status	$	5,694		3.9	%	$	7,203		4.0	%	$	1,300		1.1	%	$	2,377		1.9	%	$	515		2.0	%	$	17,089		2.8	%


	December 31, 2014
	Branch Small					Convenience Check					Large					Automobile					Retail					Total
	$		%			$		%			$		%			$		%			$		%			$		%
Current	$	104,003		81.1	%	$	154,833		80.9	%	$	36,658		79.4	%	$	105,424		68.3	%	$	21,424		82.0	%	$	422,342		77.4	%
1 to 29 days past due		13,967		10.9	%		19,318		10.1	%		7,383		16.0	%		38,656		25.0	%		3,390		13.0	%		82,714		15.1	%

Delinquent accounts
30 to 59 days		3,647		2.8	%		5,134		2.7	%		1,036		2.3	%		5,651		3.7	%		483		1.8	%		15,951		2.9	%
60 to 89 days		2,275		1.8	%		4,442		2.3	%		483		1.0	%		2,114		1.4	%		310		1.2	%		9,624		1.8	%
90 to 119 days		1,857		1.4	%		3,312		1.8	%		263		0.6	%		1,266		0.8	%		201		0.8	%		6,899		1.2	%
120 to 149 days		1,478		1.2	%		2,343		1.2	%		204		0.4	%		758		0.5	%		205		0.8	%		4,988		0.9	%
150 to 179 days		990		0.8	%		1,934		1.0	%		120		0.3	%		513		0.3	%		117		0.4	%		3,674		0.7	%

Total delinquency	$	10,247		8.0	%	$	17,165		9.0	%	$	2,106		4.6	%	$	10,302		6.7	%	$	1,316		5.0	%	$	41,136		7.5	%

Total finance receivables	$	128,217		100.0	%	$	191,316		100.0	%	$	46,147		100.0	%	$	154,382		100.0	%	$	26,130		100.0	%	$	546,192		100.0	%

Finance receivables in nonaccrual status	$	4,325		3.4	%	$	7,589		4.0	%	$	587		1.3	%	$	2,537		1.6	%	$	523		2.0	%	$	15,561		2.8	%

Following is a summary of finance receivables evaluated for impairment for the periods indicated:


	September 30, 2015
	Branch Small		Convenience Check		Large		Automobile		Retail		Total
Customers in bankruptcy specifically evaluated	$	530	$	492	$	1,290	$	3,548	$	130	$	5,990
Finance receivables evaluated collectively		147,134		180,051		118,441		124,583		25,409		595,618

Finance receivables outstanding	$	147,664	$	180,543	$	119,731	$	128,131	$	25,539	$	601,608

Accounts in bankruptcy in nonaccrual status	$	84	$	68	$	84	$	259	$	20	$	515

Amount of the specific reserve for impaired accounts	$	139	$	125	$	374	$	921	$	20	$	1,579

Amount of the general component of the allowance	$	8,430	$	11,715	$	5,359	$	9,372	$	1,331	$	36,207


	December 31, 2014
	Branch Small		Convenience Check		Large		Automobile		Retail		Total
Customers in bankruptcy specifically evaluated	$	582	$	544	$	1,260	$	3,698	$	119	$	6,203
Finance receivables evaluated collectively		127,635		190,772		44,887		150,684		26,011		539,989

Finance receivables outstanding	$	128,217	$	191,316	$	46,147	$	154,382	$	26,130	$	546,192

Accounts in bankruptcy in nonaccrual status	$	140	$	159	$	133	$	559	$	16	$	1,007

Amount of the specific reserve for impaired accounts	$	143	$	165	$	309	$	981	$	18	$	1,616

Amount of the general component of the allowance	$	6,817	$	18,155	$	1,671	$	10,795	$	1,457	$	38,895

Average recorded investment in impaired finance receivables for the periods indicated are as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Branch small	$	598	$	1,085	$	600	$	1,225
Convenience check		498		1,198		514		1,442
Large		1,340		1,539		1,291		1,711
Automobile		3,567		4,183		3,616		4,257
Retail		129		209		126		271

Total average recorded investment	$	6,132	$	8,214	$	6,147	$	8,906

Prior to September 2014, impaired finance receivables included receivables that were delinquent 180 days and over. It has been the Company’s practice since September 2014 to charge off finance receivables that reach 180 days delinquent.

It is not practical to compute the amount of interest earned on impaired loans.