Fair Value |
Fair Value
The following tables present the Company’s financial assets and liabilities that are measured at fair value on a recurring basis. There were no transfers into or out of level 1, level 2, or level 3 for the six months ended June 30, 2016. | | | | | | | | | | | | | | | | | | | | | As of June 30, 2016 | | As of December 31, 2015 | | Level 1 | | Level 2 | | Total | | Level 1 | | Level 2 | | Total | Assets: | | | | | | | | | | | | Investments (available-for-sale and trading): | | | | |
|
| | | | | | | Student loan asset-backed securities | $ | — |
| | 133,592 |
| | 133,592 |
| | — |
| | 147,925 |
| | 147,925 |
| Equity securities | 7,766 |
| | — |
| | 7,766 |
| | 7,337 |
| | — |
| | 7,337 |
| Debt securities | 124 |
| | — |
| | 124 |
| | 130 |
| | — |
| | 130 |
| Total investments (available-for-sale and trading) | 7,890 |
| | 133,592 |
| | 141,482 |
| | 7,467 |
| | 147,925 |
| | 155,392 |
| Fair value of derivative instruments | — |
| | 3,408 |
| | 3,408 |
| | — |
| | 28,690 |
| | 28,690 |
| Total assets | $ | 7,890 |
| | 137,000 |
| | 144,890 |
| | 7,467 |
| | 176,615 |
| | 184,082 |
| Liabilities: | |
| | |
| | |
| | | | | | | Fair value of derivative instruments | $ | — |
| | 101,771 |
| | 101,771 |
| | — |
| | 74,881 |
| | 74,881 |
| Total liabilities | $ | — |
| | 101,771 |
| | 101,771 |
| | — |
| | 74,881 |
| | 74,881 |
|
The following table summarizes the fair values of all of the Company’s financial instruments on the consolidated balance sheets: | | | | | | | | | | | | | | | | | | As of June 30, 2016 | | Fair value | | Carrying value | | Level 1 | | Level 2 | | Level 3 | Financial assets: | | | | | | | | | | Student loans receivable | $ | 26,875,363 |
| | 26,539,604 |
| | — |
| | — |
| | 26,875,363 |
| Cash and cash equivalents | 59,253 |
| | 59,253 |
| | 59,253 |
| | — |
| | — |
| Investments (available-for-sale and trading) | 141,482 |
| | 141,482 |
| | 7,890 |
| | 133,592 |
| | — |
| Notes receivable | 17,206 |
| | 17,206 |
| | — |
| | 17,206 |
| | — |
| Restricted cash | 955,689 |
| | 955,689 |
| | 955,689 |
| | — |
| | — |
| Restricted cash – due to customers | 132,018 |
| | 132,018 |
| | 132,018 |
| | — |
| | — |
| Restricted investments | 9,110 |
| | 9,110 |
| | 9,110 |
| | — |
| | — |
| Accrued interest receivable | 380,140 |
| | 380,140 |
| | — |
| | 380,140 |
| | — |
| Derivative instruments | 3,408 |
| | 3,408 |
| | — |
| | 3,408 |
| | — |
| Financial liabilities: | |
| | |
| | | | | | | Bonds and notes payable | 25,510,394 |
| | 26,399,686 |
| | — |
| | 25,510,394 |
| | — |
| Accrued interest payable | 39,926 |
| | 39,926 |
| | — |
| | 39,926 |
| | — |
| Due to customers | 132,018 |
| | 132,018 |
| | 132,018 |
| | — |
| | — |
| Derivative instruments | 101,771 |
| | 101,771 |
| | — |
| | 101,771 |
| | — |
|
| | | | | | | | | | | | | | | | | | As of December 31, 2015 | | Fair value | | Carrying value | | Level 1 | | Level 2 | | Level 3 | Financial assets: | | | | | | | | | | Student loans receivable | $ | 28,611,350 |
| | 28,324,552 |
| | — |
| | — |
| | 28,611,350 |
| Cash and cash equivalents | 63,529 |
| | 63,529 |
| | 63,529 |
| | — |
| | — |
| Investments (available-for-sale and trading) | 155,392 |
| | 155,392 |
| | 7,467 |
| | 147,925 |
| | — |
| Notes receivable | 18,067 |
| | 18,473 |
| | — |
| | 18,067 |
| | — |
| Restricted cash | 823,450 |
| | 823,450 |
| | 823,450 |
| | — |
| | — |
| Restricted cash – due to customers | 144,771 |
| | 144,771 |
| | 144,771 |
| | — |
| | — |
| Restricted investments | 9,174 |
| | 9,174 |
| | 9,174 |
| | — |
| | — |
| Accrued interest receivable | 383,825 |
| | 383,825 |
| | — |
| | 383,825 |
| | — |
| Derivative instruments | 28,690 |
| | 28,690 |
| | — |
| | 28,690 |
| | — |
| Financial liabilities: | |
| | |
| | | | | | | Bonds and notes payable | 27,150,775 |
| | 28,105,921 |
| | — |
| | 27,150,775 |
| | — |
| Accrued interest payable | 31,507 |
| | 31,507 |
| | — |
| | 31,507 |
| | — |
| Due to customers | 144,771 |
| | 144,771 |
| | 144,771 |
| | — |
| | — |
| Derivative instruments | 74,881 |
| | 74,881 |
| | — |
| | 74,881 |
| | — |
|
The methodologies for estimating the fair value of financial assets and liabilities are described in note 20 of the notes to consolidated financial statements included in the 2015 Annual Report.
|