Marketplace Revenue

12 Months Ended

Dec. 31, 2023

Revenue from Contract with Customer [Abstract]

Marketplace Revenue

Marketplace Revenue

Marketplace revenue consists of (i) origination fees, (ii) servicing fees, (iii) gain on sales of loans and (iv) net fair value adjustments, as described below.

Origination Fees: The Company receives fees from borrowers for the origination of unsecured personal loans that are held for sale.

Servicing Fees: The Company receives servicing fees to compensate it for servicing loans on behalf of investors, including managing payments and collections from borrowers and payments to those investors. The amount of servicing fee revenue earned is predominantly affected by the servicing rates paid by investors and the outstanding principal balance of loans serviced for investors. Servicing fee revenue related to loans sold also includes the associated change in the fair value of servicing assets.

Gain on Sales of Loans: In connection with loan sales the Company recognizes a gain or loss on the sale of loans based on the level to which the contractual servicing fee is above or below an estimated market rate of servicing. Additionally, the Company recognizes transaction costs, if any, as a loss on sale of loans.

Net Fair Value Adjustments: The Company records fair value adjustments on loans that are recorded at fair value, including gains or losses from sale prices in excess of or less than the loan principal amount sold.

The following table presents components of marketplace revenue for the periods presented:

Year Ended December 31,	2023		2022		2021
Origination fees	$	279,146	$	499,179	$	416,839
Servicing fees	98,613		80,609		87,639
Gain on sales of loans	47,839		95,335		70,116
Net fair value adjustments	(134,114)		8,503		3,986
Total marketplace revenue	$	291,484	$	683,626	$	578,580