Loans at Fair Value and Notes and Certificates at Fair Value (Tables)

12 Months Ended

Dec. 31, 2013

Loans, Notes and Certificates Measured at Fair Value on Recurring Basis

At December 31, 2013 and December 31, 2012, Loans, Notes and Certificates measured at fair value on a recurring basis (in thousands) were:

	Loans at Fair Value						Notes and Certificates at Fair Value
	December 31, 2013			December 31, 2012			December 31, 2013			December 31, 2012
Aggregate principal balance outstanding	$	1,849,042		$	791,774		$	1,859,982		$	795,842
Fair valuation adjustments		(20,000	)		(10,559	)		(19,992	)		(10,526	)
Fair Value	$	1,829,042		$	781,215		$	1,839,990		$	785,316

Fair Values of Loans, Notes and Certificates

We determined the fair values of Loans, Notes and Certificates using inputs and methods that are categorized in the fair value hierarchy, as follows (in thousands):

	Level 1 Inputs		Level 2 Inputs		Level 3 Inputs		Fair Value
December 31, 2013
Assets
Loans at fair value	$	—	$	—	$	1,829,042	$	1,829,042
Liabilities
Notes and Certificates	$	—	$	—	$	1,839,990	$	1,839,990
December 31, 2012
Assets
Loans at fair value	$	—	$	—	$	781,215	$	781,215
Liabilities
Notes and Certificates	$	—	$	—	$	785,316	$	785,316

Additional Information about Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table presents additional information about Level 3 assets and liabilities measured at fair value on a recurring basis at December 31, 2013 and December 31, 2012 (in thousands):

	Loans			Notes and Certificates
Fair value at December 31, 2012	$	781,215		$	785,316
Purchases of Loans		2,064,628			—
Issuances of Notes and Certificates		—			1,618,269
Principal repayments		(511,232	)		(504,330	)
Whole Loan sales		(446,224	)		—
Recoveries from sale and collection of charged-off loans		(1,716	)		(1,669	)
Carrying value before fair value adjustments		1,886,671			1,897,586
Fair valuation adjustments, included in earnings		(57,629	)		(57,596	)
Fair value at December 31, 2013	$	1,829,042		$	1,839,990

Quantitative Information about Significant Unobservable Inputs Used for Fair Value Measurements

The following table presents quantitative information about the significant unobservable inputs used for certain of our Level 3 fair value measurements at December 31, 2013 (in thousands):

						Range of Inputs
	Fair Value		Valuation Techniques		Unobservable Input	Minimum			Maximum
Loans	$	1,829,042		Discounted cash flow	Discount rate		5.9	%		15.9	%
					Net cumulative expected loss		2.1	%		23.7	%
Notes & Certificates	$	1,839,990		Discounted cash flow	Discount rate		5.9	%		15.9	%
					Net cumulative expected loss		2.1	%		23.7	%