Installment Receivables

12 Months Ended

Mar. 31, 2019

Installment Receivables [Abstract]

Installment Receivables

Installment Receivables

Certain subscribers have the option to pay for their devices in installments, generally up to a 24-month period. Short-term installment receivables are recorded in "Accounts and notes receivable, net" and long-term installment receivables are recorded in "Other assets" in the consolidated balance sheets.

The following table summarizes the installment receivables:

	March 31,
	2019			2018
	(in millions)
Installment receivables, gross	$	1,212		$	1,472
Deferred interest	(71		)	(106		)
Installment receivables, net of deferred interest	1,141			1,366
Allowance for credit losses	(215		)	(217		)
Installment receivables, net	$	926		$	1,149
Classified in the consolidated balance sheets as:
Accounts and notes receivable, net	$	679		$	995
Other assets	247			154
Installment receivables, net	$	926		$	1,149

The balance and aging of installment receivables on a gross basis by credit category were as follows:

	March 31, 2019						March 31, 2018
	Prime		Subprime		Total		Prime		Subprime		Total
	(in millions)						(in millions)
Unbilled	$	667	$	459	$	1,126	$	951	$	391	$	1,342
Billed - current	43		22		65		69		29		98
Billed - past due	10		11		21		17		15		32
Installment receivables, gross	$	720	$	492	$	1,212	$	1,037	$	435	$	1,472

Activity in the deferred interest and allowance for credit losses for the installment receivables was as follows:

	Year Ended March 31,
	2019			2018
	(in millions)
Deferred interest and allowance for credit losses, beginning of period	$	323		$	506
Adjustment to deferred interest on short- and long-term installment receivables due to Topic 606	(50		)	—
Bad debt expense	116			142
Write-offs, net of recoveries	(118		)	(224		)
Change in deferred interest on short- and long-term installment receivables	15			(101		)
Deferred interest and allowance for credit losses, end of period	$	286		$	323