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Interest Rate Swap Agreements
 3 Months Ended
Jun. 30, 2013
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Interest Rate Swap Agreements
6. Interest Rate Swap Agreements

The Company utilizes interest rate swap agreements to manage exposure to variability in expected cash flows attributable to interst rate risk. The interest rate swap agreements converted a portion of the floating rate debt to a fixed rate, more closely matching the interest rate characteristics of finance receivables. The following table summarizes the activity in the notional amounts of interest rate swap agreements:

 

     Three months ended June 30,  
     2013      2012  

Notional amounts at April 1

    $ 50,000,000       $ —     

New contracts

      —           25,000,000   

Matured contracts

      —           —     
  

 

 

     

 

 

  

Notional amounts at June 30

    $ 50,000,000       $ 25,000,000   
  

 

 

     

 

 

  

Interest rate swap agreements effective as of June 30, 2013 and during the three months ended June 30, 2013 and 2012 are detailed as follows:

 

Date Entered

    Effective Date    Notional Amount      Fixed Rate
Of Interest		     Maturity Date

June 1, 2012

    June 13, 2012    $ 25,000,000         1.00 %    June 13, 2017

July 30, 2012

    August 13, 2012    $ 25,000,000         0.87 %    August 14, 2017

The interest rate swap agreements are not designated as hedges. The changes in the fair value of interest of interest rate swaps (unrealized gains and losses) are recorded in earnings. The Company does not use interst rate swap agreements for speculative purposes. Such instruments continue to be intended for use as ecomonic hedges.

The locations and amounts of (gains) losses in income are as follows:

 

     Three months ended June 30,  
     2013     2012  

Periodic change in fair value of interest rate swap agreements

    $ (833,259 )    $ 209,101   

Periodic settlement differentials included in interest expense

      93,314        15,818   

Total

    $ (739,945 )    $ 224,919   

The Company recorded realized losses from the swap agreements in the interest expense line item of the consolidated statement of income. The following table summarizes the variable rate received and fixed rate paid under the swap agreements.

 

     Three months ended
June 30,		  
     2013     2012  

Variable rate received

      0.20 %      0.24 % 

Fixed rate paid

      0.94 %      1.00 %