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New Neighbor Guaranty Allowance for Credit Losses
12 Months Ended
Dec. 31, 2020
Receivables [Abstract]  
New Neighbor Guaranty Allowance for Credit Losses

 

Note 4. New Neighbor Guaranty Allowance for Credit Losses

 

Allowance for credit losses are recorded for losses that are considered “probable” and can be “reasonably estimated” in accordance with ASC 450-20.  Recoverability of the Company’s original product is generally assured because of the protection of the Super Lien amount under Florida statute and as such no allowance is recorded.    

Credit losses on the New Neighbor Guaranty product were estimated by the Company and had a remaining balance of approximately $6,500 and $20,000 as of December 31, 2020 and 2019, respectively.