Acquired Card Receivables (Tables)

9 Months Ended

Mar. 31, 2023

Acquired Card Receivables [Abstract]

Schedule of Acquired Card Receivables

Acquired card receivables consisted of the following as of the dates presented (in thousands):

	March 31, 2023		June 30, 2022
Gross amount of acquired card receivables	$	444,709	$	261,806
Less: allowance for credit losses	(13,595)		(5,414)
Total	$	431,114	$	256,392

Summary of Acquired Card Receivables by Class

Below is a summary of the acquired card receivables by class (i.e., past due status) as of the dates presented (in thousands):

	March 31, 2023		June 30, 2022
Current and less than 30 days past due	$	436,792	$	257,618
30 ~ 59 days past due	2,812		1,677
60 ~ 89 days past due	2,962		1,199
90 ~ 119 days past due	1,858		1,186
Over 119 days past due	285		126
Total	$	444,709	$	261,806

Summary of Modified Card Receivables

The following table provides additional information with respect to card receivables that were modified during the three and nine months ended March 31, 2023 (in thousands):

	Three Months Ended March 31, 2023		Nine Months Ended March 31, 2023
Principal subject to forgiveness(1)	$	—	$	81
Principal subject to late fee forgiveness(1)	—		696
Other-than-insignificant payment delay(2)	—		2,439
Payment term extension(3)	836		1,412
Total card receivables	$	836	$	4,628

(1) Forgiveness of principal and late fee payments waived were not material during three and nine months ended March 31, 2023.

(2) Other-than-insignificant payment delay represents accounts that are allowed to utilize available credit despite being delinquent outside of standard policy.

(3) Weighted-average payment term extensions were approximately 4 months during the three and nine months ended March 31, 2023.

Summary of Change in Allowance for Credit Losses

Below is a summary of the changes in allowance for credit losses presented (in thousands):

	Three Months Ended March 31,				Nine Months Ended March 31,
	2023		2022		2023		2022
Balance, beginning	$	11,948	$	4,607	$	5,414	$	1,740
Initial allowance for credit losses on purchased card receivables with credit deterioration	—		1		10		311
Provision for expected credit losses	8,425		6,085		23,529		15,310
Charge-off amounts	(7,155)		(5,774)		(16,568)		(13,070)
Recoveries collected	377		481		1,210		1,109
Balance, end of period	$	13,595	$	5,400	$	13,595	$	5,400

Summary of Fair Value of Consideration Received from Transfer of Card Receivables

Below is a summary of the fair value of consideration received from the transfer of card receivables accounted for as a sale during the periods presented (in thousands):

	Three Months Ended March 31,				Nine Months Ended March 31,
	2023 (1)		2022		2023 (1)		2022
Initial fair value of consideration received:
Cash	$	—	$	394,497	$	316,477	$	1,019,704
Beneficial interest derivative	—		1,100		1,682		3,387
Total	$	—	$	395,597	$	318,159	$	1,023,091

(1) Effective August 2022, the Company ceased selling acquired card receivables.