Investment in Receivable Portfolios, Net (Tables)

3 Months Ended

Mar. 31, 2022

Schedule of Investment in Receivable Portfolios

The following table summarizes the changes in the balance of investment in receivable portfolios, net during the periods presented (in thousands):


	Three Months Ended March 31,
	2022		2021
Balance, beginning of period	$	3,065,553	$	3,291,918
Purchases of receivable portfolios (1)	169,505		170,178
Collections applied to investment in receivable portfolios, net (2)	(215,309)		(268,443)
Changes in recoveries (3)	167,223		44,537
Put-backs and Recalls	(3,207)		(3,153)

Disposals and transfers to assets held for sale	(1,976)		(1,665)
Foreign currency adjustments	(44,403)		(7,694)
Balance, end of period	$	3,137,386	$	3,225,678

_______________________

(1)The table below provides the detail on the establishment of negative allowance for expected recoveries of portfolios purchased during the periods presented:


	Three Months Ended March 31,
	2022		2021
Purchase price	$	169,505	$	170,178
Allowance for credit losses	350,186		374,575
Amortized cost	519,691		544,753
Noncredit discount	657,058		784,112
Face value	1,176,749		1,328,865
Write-off of amortized cost	(519,691)		(544,753)
Write-off of noncredit discount	(657,058)		(784,112)
Negative allowance	169,505		170,178
Negative allowance for expected recoveries - current period purchases	$	169,505	$	170,178

(2)Collections applied to investment in receivable portfolios, net, is calculated as follows during the periods presented:


	Three Months Ended March 31,
	2022		2021
Cash Collections	$	519,414	$	606,461
Less - amounts classified to revenue from receivable portfolios	(304,105)		(338,018)
Collections applied to investment in receivable portfolios, net	$	215,309	$	268,443

(3)Changes in recoveries is calculated as follows during the periods presented, where recoveries include cash collections, put-backs and recalls, and other cash-based adjustments:


	Three Months Ended March 31,
	2022		2021
Recoveries above forecast	$	46,352	$	91,401
Changes in expected future recoveries	120,871		(46,864)
Changes in recoveries	$	167,223	$	44,537