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Fair Value of Assets and Liabilities (Tables)
 9 Months Ended
Sep. 30, 2023
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Hierarchy of Assets and Liabilities Measured on a Recurring Basis
The following tables present the fair value hierarchy for assets and liabilities measured at fair value:
September 30, 2023Level 1 InputsLevel 2 InputsLevel 3 InputsBalance at
Fair Value
Assets:
Loans held for sale at fair value$— $— $362,789 $362,789 
Loans held for investment at fair value— — 326,299 326,299 
Retail and certificate loans held for investment at fair value— — 18,118 18,118 
Securities available for sale:
Senior asset-backed securities related to Structured Program transactions— — 412,397 412,397 
U.S. agency residential mortgage-backed securities— 211,237 — 211,237 
U.S. agency securities— 75,079 — 75,079 
Mortgage-backed securities— 36,149 — 36,149 
Other asset-backed securities related to Structured Program transactions— — 31,062 31,062 
Other asset-backed securities— 27,464 — 27,464 
Municipal securities— 2,281 — 2,281 
Total securities available for sale— 352,210 443,459 795,669 
Servicing assets— — 81,760 81,760 
Other assets— 8,965 — 8,965 
Total assets$— $361,175 $1,232,425 $1,593,600 
Liabilities:
Borrowings$— $— $3,329 $3,329 
Retail notes, certificates and secured borrowings— — 18,118 18,118 
Other liabilities— 5,482 4,614 10,096 
Total liabilities$— $5,482 $26,061 $31,543 
December 31, 2022
Level 1 InputsLevel 2 InputsLevel 3 InputsBalance at
Fair Value
Assets:
Loans held for sale at fair value$— $— $110,400 $110,400 
Loans held for investment at fair value— — 925,938 925,938 
Retail and certificate loans held for investment at fair value— — 55,425 55,425 
Securities available for sale:
U.S. agency residential mortgage-backed securities— 214,427 — 214,427 
U.S. agency securities— 74,394 — 74,394 
Mortgaged-backed securities— 22,518 — 22,518 
Other asset-backed securities— 14,203 — 14,203 
Asset-backed securities related to Structured Program transactions— 5,248 12,469 17,717 
Municipal securities— 2,443 — 2,443 
Total securities available for sale— 333,233 12,469 345,702 
Servicing assets— — 84,308 84,308 
Other assets— — 5,099 5,099 
Total assets$— $333,233 $1,193,639 $1,526,872 
Liabilities:
Borrowings$— $— $8,085 $8,085 
Retail notes, certificates and secured borrowings— — 55,425 55,425 
Other liabilities— — 8,583 8,583
Total liabilities$— $— $72,093 $72,093 
Schedule of Quantitative Information about Significant Unobservable Inputs Used for Fair Value Measurements
The following table presents quantitative information about the significant unobservable inputs used for the Company’s Level 3 loans HFS at fair value:
September 30, 2023
Minimum
Maximum
Weighted-
Average
Discount rates
8.8 %11.2 %9.6 %
Net cumulative expected loss rates (1)
3.5 %23.4 %10.9 %
Cumulative expected prepayment rates (1)
27.7 %37.3 %32.5 %
(1)    Expressed as a percentage of the acquired principal balance of the loan.
The following table presents quantitative information about the significant unobservable inputs used for the Company’s Level 3 loans HFI at fair value:
September 30, 2023
December 31, 2022
Minimum
Maximum
Weighted-
Average
Minimum
Maximum
Weighted-
Average
Discount rates
8.5 %16.5 %12.8 %8.8 %17.1 %12.7 %
Net cumulative expected loss rates (1)
2.5 %11.0 %7.1 %2.1 %9.8 %5.7 %
Cumulative expected prepayment rates (1)
20.6 %28.5 %25.2 %26.2 %35.3 %30.8 %
(1)    Expressed as a percentage of the acquired principal balance of the loan.
The following table presents quantitative information about the significant unobservable inputs used for the
Company’s Level 3 fair value measurements for other asset-backed securities related to Structured Program transactions:
September 30, 2023
MinimumMaximumWeighted-
Average
Discount rates8.8 %11.2 %9.5 %
Net cumulative expected loss rates (1)
3.6 %23.0 %9.3 %
Cumulative expected prepayment rates (1)
27.7 %37.3 %32.7 %
(1)    Expressed as a percentage of the outstanding collateral balance.
The following table presents quantitative information about the significant unobservable inputs used for the Company’s Level 3 fair value measurements for servicing assets relating to loans sold to investors:
September 30, 2023December 31, 2022
MinimumMaximumWeighted-
Average		MinimumMaximumWeighted-
Average
Discount rates8.7 %17.3 %11.6 %7.5 %16.4 %10.1 %
Net cumulative expected loss rates (1)
3.5 %37.7 %15.6 %2.1 %36.7 %15.6 %
Cumulative expected prepayment rates (1)
18.5 %44.6 %32.7 %15.8 %47.2 %35.9 %
Total market servicing rates (% per annum on outstanding principal balance) (2)
0.62 %0.62 %0.62 %0.62 %0.62 %0.62 %
(1)    Expressed as a percentage of the original principal balance of the loan.
(2)    Includes collection fees estimated to be paid to a hypothetical third-party servicer.
Schedule of Fair Value Sensitivity of Loans
The sensitivity of loans HFS at fair value to adverse changes in key assumptions are as follows:
September 30, 2023
Loans held for sale at fair value
$362,789 
Expected weighted-average life (in years)1.5
Discount rates:
100 basis point increase$(4,628)
200 basis point increase$(9,160)
Expected credit loss rates on underlying loans:
10% increase$(4,292)
20% increase$(8,530)
Expected prepayment rates:
10% increase$(660)
20% increase$(1,244)
The sensitivity of loans HFI at fair value to adverse changes in key assumptions are as follows:
September 30, 2023December 31, 2022
Loans held for investment at fair value$326,299 $925,938 
Expected weighted-average life (in years)0.90.9
Discount rates:
100 basis point increase$(2,633)$(7,471)
200 basis point increase$(5,226)$(14,830)
Expected credit loss rates on underlying loans:
10% increase$(2,028)$(5,574)
20% increase$(3,985)$(11,307)
Expected prepayment rates:
10% increase$(1,519)$(4,311)
20% increase$(2,636)$(7,480)
Schedule of Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
The following table presents additional information about Level 3 loans HFS on a recurring basis:
Three Months Ended
September 30,		Nine Months Ended
September 30,
20232023
Fair value at beginning of period$250,361 $110,400 
Originations and purchases1,107,771 3,584,918 
Sales(950,451)(3,435,949)
Principal payments(22,372)(33,972)
Transfers3,299 195,106 
Fair value adjustments recorded in earnings(25,819)(57,714)
Fair value at end of period$362,789 $362,789 
The following table presents additional information about Level 3 loans HFI at fair value on a recurring basis:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Fair value at beginning of period$404,119 $20,583 $925,938 $21,240 
Purchases112 136 4,149 150 
Principal payments(76,495)(5,913)(419,233)(17,660)
Transfers(3,472)— (195,106)11,966 
Interest income accretion and fair value adjustments recorded in earnings2,035 251 10,551 (639)
Fair value at end of period$326,299 $15,057 $326,299 $15,057 
The following table presents additional information about Level 3 senior asset-backed securities related to Structured Program transactions measured at fair value on a recurring basis:
Three Months Ended
September 30,		Nine Months Ended
September 30,
20232023
Fair value at beginning of period$142,785 $— 
Additions284,704 429,384 
Cash received(14,244)(15,534)
Change in unrealized loss(848)(1,453)
Fair value at end of period$412,397 $412,397 
The following table presents additional information about Level 3 other asset-backed securities related to Structured Program transactions measured at fair value on a recurring basis:
Three Months Ended September 30,Nine Months Ended September 30,
20232023
Fair value at beginning of period$16,980 $12,469 
Additions17,190 25,970 
Cash received(2,812)(7,081)
Change in unrealized loss
(296)(296)
Fair value at end of period$31,062 $31,062 
The following table presents additional information about Level 3 servicing assets measured at fair value on a recurring basis:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Fair value at beginning of period$85,387 $79,427 $84,308 $67,726 
Issuances (1)
11,568 22,319 39,269 73,774 
Change in fair value, included in Marketplace revenue(12,100)(14,689)(41,750)(52,702)
Other net changes(3,095)(539)(67)(2,280)
Fair value at end of period$81,760 $86,518 $81,760 $86,518 
(1)    Represents the gains or losses on sales of the related loans.
Schedule of Sensitivity Analysis of Debt Securities Available-for-Sale
The following table presents adverse changes to the fair value sensitivity of Level 3 other asset-backed securities related to Structured Program transactions to changes in key assumptions:
September 30, 2023
Fair value of interests held$31,062 
Expected weighted-average life (in years)1.5
Discount rates
100 basis point increase$(369)
200 basis point increase$(735)
Expected loss rates
10% increase$(523)
20% increase$(1,058)
Expected prepayment rates
10% increase$(190)
20% increase$(425)
Schedule of Fair Value Disclosure and Measurement The table below shows the impact on the estimated fair value of servicing assets, calculated using different market servicing rate assumptions:
September 30,
2023		December 31, 2022
Weighted-average market servicing rate assumptions
0.62 %0.62 %
Change in fair value from:
Servicing rate increase by 0.10%
$(8,759)$(10,505)
Servicing rate decrease by 0.10%
$8,759 $10,505 
Schedule of Fair Value Sensitivity of Servicing Assets
The following table presents the fair value sensitivity of servicing assets to adverse changes in key assumptions:
September 30,
2023		December 31, 2022
Fair value of servicing assets$81,760 $84,308 
Discount rates
100 basis point increase$(695)$(726)
200 basis point increase$(1,391)$(1,451)
Expected loss rates
10% increase$(1,026)$(1,037)
20% increase$(2,051)$(2,074)
Expected prepayment rates
10% increase$(1,720)$(1,994)
20% increase$(3,440)$(3,989)
Schedule of Fair Value, by Balance Sheet Grouping
The following tables present the fair value hierarchy for financial instruments, assets, and liabilities not recorded at fair value:
September 30, 2023Carrying AmountLevel 1 InputsLevel 2 InputsLevel 3 InputsBalance at
Fair Value
Assets:
Loans and leases held for investment, net$4,886,782 $— $— $5,060,962 $5,060,962 
Other assets39,727 — 38,885 1,118 40,003 
Total assets$4,926,509 $— $38,885 $5,062,080 $5,100,965 
Liabilities:
Deposits (1)
$1,169,593 $— $— $1,164,915 $1,164,915 
Borrowings7,388 — 27 7,361 7,388 
Other liabilities62,572 — 37,270 25,302 62,572 
Total liabilities$1,239,553 $— $37,297 $1,197,578 $1,234,875 
December 31, 2022Carrying AmountLevel 1 InputsLevel 2 InputsLevel 3 InputsBalance at
Fair Value
Assets:
Loans and leases held for investment, net$4,705,302 $— $— $4,941,825 $4,941,825 
Other assets36,646 — 35,300 1,397 36,697 
Total assets$4,741,948 $— $35,300 $4,943,222 $4,978,522 
Liabilities:
Deposits (1)
$860,808 $— $— $860,808 $860,808 
Borrowings66,773 — 2,619 64,154 66,773 
Other liabilities62,247 — 30,311 31,936 62,247 
Total liabilities$989,828 $— $32,930 $956,898 $989,828 
(1)    Excludes deposit liabilities with no defined or contractual maturities.