Borrowings

9 Months Ended

Sep. 30, 2020

Debt Disclosure [Abstract]

Debt Disclosure [Text Block]

8. Borrowings

The following table presents information regarding the Company's Secured Financing facility:

	September 30, 2020
Variable Interest Entity	Current Balance		Commitment Amount		Maturity Date	Interest Rate
(in thousands)
Oportun Funding V, LLC	$	191,180	$	400,000	October 1, 2021	LIBOR (minimum of 0.00%) + 2.45%

	December 31, 2019
Variable Interest Entity	Current Balance		Commitment Amount		Maturity Date	Interest Rate
(in thousands)
Oportun Funding V, LLC	$	60,910	$	400,000	October 1, 2021	LIBOR (minimum of 0.00%) + 2.45%

The Company elected the fair value option for all asset-backed notes issued on or after January 1, 2018. The following table presents information regarding asset-backed notes:

	September 30, 2020
Variable Interest Entity	Initial note amount issued (1)		Initial collateral balance (2)		Current balance (1)		Current collateral balance(2)		Weighted average interest rate(3)		Original revolving period
(in thousands)
Asset-backed notes recorded at fair value:
Oportun Funding XIII, LLC (Series 2019-A)	$	279,412	$	294,118	$	252,049	$	299,659	3.22	%	3 years
Oportun Funding XII, LLC (Series 2018-D)	175,002		184,213		177,768		187,641		4.50	%	3 years
Oportun Funding X, LLC (Series 2018-C)	275,000		289,474		278,618		294,913		4.39	%	3 years
Oportun Funding IX, LLC (Series 2018-B)	225,001		236,854		216,490		241,294		4.09	%	3 years
Oportun Funding VIII, LLC (Series 2018-A)	200,004		222,229		200,519		226,632		3.83	%	3 years
Total asset-backed notes recorded at fair value	$	1,154,419	$	1,226,888	$	1,125,444	$	1,250,139

	December 31, 2019
Variable Interest Entity	Initial note amount issued (1)		Initial collateral balance (2)		Current balance (1)		Current collateral balance(2)		Weighted average interest rate(3)		Original revolving period
(in thousands)
Asset-backed notes recorded at fair value:
Oportun Funding XIII, LLC (Series 2019-A)	$	279,412	$	294,118	$	251,090	$	299,813	3.22	%	3 years
Oportun Funding XII, LLC (Series 2018-D)	175,002		184,213		178,980		187,447		4.50	%	3 years
Oportun Funding X, LLC (Series 2018-C)	275,000		289,474		280,852		294,380		4.39	%	3 years
Oportun Funding IX, LLC (Series 2018-B)	225,001		236,854		216,306		241,000		4.09	%	3 years
Oportun Funding VIII, LLC (Series 2018-A)	200,004		222,229		201,974		225,945		3.83	%	3 years
Total asset-backed notes recorded at fair value	$	1,154,419	$	1,226,888	$	1,129,202	$	1,248,585
Asset-backed notes recorded at amortized cost:
Oportun Funding VII, LLC (Series 2017-B)	$	200,000	$	222,231	$	199,413	$	225,925	3.51	%	3 years
Oportun Funding VI, LLC (Series 2017-A)	160,001		188,241		159,698		191,223		3.36	%	3 years
Total asset-backed notes recorded at amortized cost	$	360,001	$	410,472	$	359,111	$	417,148

(1)Initial note amount issued includes notes retained by the Company as applicable. The current balances are measured at fair value for asset-backed notes recorded at fair value and measured at carrying amount for asset-back notes recorded at amortized cost.

(2)Includes the unpaid principal balance of loans receivable, cash, cash equivalents and restricted cash pledged by the Company.

(3)Weighted average interest rate excludes notes retained by the Company.

On July 8, 2020, the Company redeemed its 2017-B asset-backed notes. The redemption was funded by drawing upon the Company's Secured Financing facility for $149.0 million and using $51.0 million of unrestricted cash. On March 9, 2020, the Company redeemed its Series 2017-A asset-backed notes. Advances under the Company’s Secured Financing facility were the primary source of funds for the redemption. After the redemptions of our Series 2017-B and 2017-A asset-back notes, the Company did not have any asset-backed notes recorded at amortized cost as of September 30, 2020.

As of September 30, 2020, and December 31, 2019, the Company was in compliance with all covenants and requirements of the Secured Financing facility and asset-backed notes.

In October 2020, the Company raised $39.8 million, net of fees and expenses, by selling $41.3 million of retained bonds related to our 2019-A and 2018-B asset-backed notes.