Cat Financial Financing Activities (Tables)

3 Months Ended

Mar. 31, 2016

Receivables [Abstract]

Allowance for credit losses

An analysis of the allowance for credit losses was as follows:

(Millions of dollars)	March 31, 2016
Allowance for Credit Losses:	Customer			Dealer			Total
Balance at beginning of year	$	327		$	9		$	336
Receivables written off	(38		)	—			(38		)
Recoveries on receivables previously written off	7			—			7
Provision for credit losses	29			(1		)	28
Other	5			—			5
Balance at end of period	$	330		$	8		$	338
Individually evaluated for impairment	$	58		$	—		$	58
Collectively evaluated for impairment	272			8			280
Ending Balance	$	330		$	8		$	338
Recorded Investment in Finance Receivables:
Individually evaluated for impairment	$	606		$	—		$	606
Collectively evaluated for impairment	18,955			3,592			22,547
Ending Balance	$	19,561		$	3,592		$	23,153

(Millions of dollars)	December 31, 2015
Allowance for Credit Losses:	Customer			Dealer			Total
Balance at beginning of year	$	388		$	10		$	398
Receivables written off	(196		)	—			(196		)
Recoveries on receivables previously written off	41			—			41
Provision for credit losses	119			(1		)	118
Other	(25		)	—			(25		)
Balance at end of year	$	327		$	9		$	336
Individually evaluated for impairment	$	65		$	—		$	65
Collectively evaluated for impairment	262			9			271
Ending Balance	$	327		$	9		$	336
Recorded Investment in Finance Receivables:
Individually evaluated for impairment	$	601		$	—		$	601
Collectively evaluated for impairment	18,788			3,570			22,358
Ending Balance	$	19,389		$	3,570		$	22,959

Aging related to finance receivables

The tables below summarize the recorded investment of finance receivables by aging category.

	March 31, 2016
(Millions of dollars)	31-60 Days Past Due		61-90 Days Past Due		91+ Days Past Due		Total Past Due		Current		Total Finance Receivables		91+ Still Accruing
Customer
North America	$	62	$	29	$	30	$	121	$	7,993	$	8,114	$	5
Europe	15		11		64		90		2,364		2,454		12
Asia Pacific	34		22		29		85		1,593		1,678		12
Mining	16		13		62		91		1,691		1,782		1
Latin America	54		114		243		411		1,916		2,327		1
Caterpillar Power Finance	5		14		28		47		3,159		3,206		—
Dealer
North America	—		—		—		—		2,226		2,226		—
Europe	—		—		—		—		145		145		—
Asia Pacific	—		—		—		—		604		604		—
Mining	—		—		—		—		4		4		—
Latin America	—		—		—		—		610		610		—
Caterpillar Power Finance	—		—		—		—		3		3		—
Total	$	186	$	203	$	456	$	845	$	22,308	$	23,153	$	31

	December 31, 2015
(Millions of dollars)	31-60 Days Past Due		61-90 Days Past Due		91+ Days Past Due		Total Past Due		Current		Total Finance Receivables		91+ Still Accruing
Customer
North America	$	45	$	12	$	30	$	87	$	7,850	$	7,937	$	4
Europe	18		7		44		69		2,358		2,427		9
Asia Pacific	21		12		21		54		1,647		1,701		6
Mining	6		1		68		75		1,793		1,868		1
Latin America	45		31		199		275		1,998		2,273		—
Caterpillar Power Finance	—		1		35		36		3,147		3,183		2
Dealer
North America	—		—		—		—		2,209		2,209		—
Europe	—		—		—		—		149		149		—
Asia Pacific	—		—		—		—		552		552		—
Mining	—		—		—		—		4		4		—
Latin America	—		—		—		—		653		653		—
Caterpillar Power Finance	—		—		—		—		3		3		—
Total	$	135	$	64	$	397	$	596	$	22,363	$	22,959	$	22

Impaired finance receivables

Cat Financial’s recorded investment in impaired finance receivables and the related unpaid principal balances and allowance for the Customer portfolio segment were as follows: 

	March 31, 2016						December 31, 2015
(Millions of dollars)	Recorded Investment		Unpaid Principal Balance		Related Allowance		Recorded Investment		Unpaid Principal Balance		Related Allowance
Impaired Finance Receivables With No Allowance Recorded
North America	$	20	$	20	$	—	$	12	$	12	$	—
Europe	39		39		—		41		41		—
Asia Pacific	4		4		—		1		1		—
Mining	79		79		—		84		84		—
Latin America	27		27		—		28		28		—
Caterpillar Power Finance	268		267		—		242		241		—
Total	$	437	$	436	$	—	$	408	$	407	$	—
Impaired Finance Receivables With An Allowance Recorded
North America	$	15	$	13	$	4	$	14	$	13	$	4
Europe	11		11		6		11		10		5
Asia Pacific	35		35		5		34		34		4
Mining	11		11		4		11		11		3
Latin America	53		53		22		53		53		21
Caterpillar Power Finance	44		44		17		70		70		28
Total	$	169	$	167	$	58	$	193	$	191	$	65
Total Impaired Finance Receivables
North America	$	35	$	33	$	4	$	26	$	25	$	4
Europe	50		50		6		52		51		5
Asia Pacific	39		39		5		35		35		4
Mining	90		90		4		95		95		3
Latin America	80		80		22		81		81		21
Caterpillar Power Finance	312		311		17		312		311		28
Total	$	606	$	603	$	58	$	601	$	598	$	65

	Three Months Ended March 31, 2016				Three Months Ended March 31, 2015
(Millions of dollars)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Impaired Finance Receivables With No Allowance Recorded
North America	$	14	$	—	$	14	$	—
Europe	40		—		44		—
Asia Pacific	2		—		3		—
Mining	81		1		102		2
Latin America	27		—		32		—
Caterpillar Power Finance	253		3		135		1
Total	$	417	$	4	$	330	$	3
Impaired Finance Receivables With An Allowance Recorded
North America	$	14	$	—	$	6	$	—
Europe	12		—		14		—
Asia Pacific	33		1		26		—
Mining	11		—		63		1
Latin America	51		1		46		1
Caterpillar Power Finance	59		—		128		—
Total	$	180	$	2	$	283	$	2
Total Impaired Finance Receivables
North America	$	28	$	—	$	20	$	—
Europe	52		—		58		—
Asia Pacific	35		1		29		—
Mining	92		1		165		3
Latin America	78		1		78		1
Caterpillar Power Finance	312		3		263		1
Total	$	597	$	6	$	613	$	5

Investment in finance receivables on non-accrual status

The investment in customer finance receivables on non-accrual status was as follows:

(Millions of dollars)	March 31, 2016		December 31, 2015
North America	$	40	$	31
Europe	56		39
Asia Pacific	18		15
Mining	135		106
Latin America	262		217
Caterpillar Power Finance	57		77
Total	$	568	$	485

Finance receivables modified as TDRs

Finance receivables in the Customer portfolio segment modified as TDRs during the three months ended March 31, 2016 and 2015, were as follows:

	Three Months Ended March 31, 2016					Three Months Ended March 31, 2015
(Millions of dollars)	Number of Contracts	Pre-TDR Recorded Investment		Post-TDR Recorded Investment		Number of Contracts	Pre-TDR Recorded Investment		Post-TDR Recorded Investment
North America	11	$	10	$	10	3	$	1	$	1
Asia Pacific	4	3		3		—	—		—
Latin America	2	—		—		—	—		—
Caterpillar Power Finance	4	39		27		2	83		80
Total 1	21	$	52	$	40	5	$	84	$	81

TDRs in the Customer portfolio segment with a payment default during the three months ended March 31, 2016 and 2015, which had been modified within twelve months prior to the default date, were as follows: 

	Three Months Ended March 31, 2016			Three Months Ended March 31, 2015
(Millions of dollars)	Number of Contracts	Post-TDR Recorded Investment		Number of Contracts	Post-TDR Recorded Investment
North America	4	$	—	4	$	1
Europe	13	1		—	—
Asia Pacific	3	—		—	—
Latin America	1	—		1	—
Total	21	$	1	5	$	1

TDRs with a payment default which had been modified within twelve months prior to the default date

Finance receivables in the Customer portfolio segment modified as TDRs during the three months ended March 31, 2016 and 2015, were as follows:

	Three Months Ended March 31, 2016					Three Months Ended March 31, 2015
(Millions of dollars)	Number of Contracts	Pre-TDR Recorded Investment		Post-TDR Recorded Investment		Number of Contracts	Pre-TDR Recorded Investment		Post-TDR Recorded Investment
North America	11	$	10	$	10	3	$	1	$	1
Asia Pacific	4	3		3		—	—		—
Latin America	2	—		—		—	—		—
Caterpillar Power Finance	4	39		27		2	83		80
Total 1	21	$	52	$	40	5	$	84	$	81

TDRs in the Customer portfolio segment with a payment default during the three months ended March 31, 2016 and 2015, which had been modified within twelve months prior to the default date, were as follows: 

	Three Months Ended March 31, 2016			Three Months Ended March 31, 2015
(Millions of dollars)	Number of Contracts	Post-TDR Recorded Investment		Number of Contracts	Post-TDR Recorded Investment
North America	4	$	—	4	$	1
Europe	13	1		—	—
Asia Pacific	3	—		—	—
Latin America	1	—		1	—
Total	21	$	1	5	$	1