Finance Receivables (Tables)

9 Months Ended

Sep. 30, 2020

Financing Receivables [Line Items]

Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]

Total finance receivables, net were as follows (in millions):

	December 31, 2019		September 30, 2020
Consumer
Retail installment contracts, gross	$	68,998	$	73,336
Finance leases, gross	8,566		8,244
Retail financing, gross	77,564		81,580
Unearned interest supplements from Ford and affiliated companies	(3,589)		(4,091)
Consumer finance receivables	73,975		77,489
Non-Consumer
Dealer financing	38,910		26,992
Other financing	1,945		1,697
Non-Consumer finance receivables	40,855		28,689
Total recorded investment	$	114,830	$	106,178
Recorded investment in finance receivables	$	114,830	$	106,178
Allowance for credit losses	(513)		(1,314)
Total finance receivables, net	$	114,317	$	104,864
Net finance receivables subject to fair value (a)	$	106,131	$	97,021
Fair value (b)	106,260		98,426

__________

(a)Net finance receivables subject to fair value exclude finance leases. 

(b)The fair value of finance receivables is categorized within Level 3 of the fair value hierarchy.

Schedule of Aging Analysis for Total Finance Receivables [Table Text Block]

The credit quality analysis of consumer receivables at December 31, 2019 was as follows (in millions):

Consumer
31-60 days past due	$	839
61-120 days past due	166
Greater than 120 days past due	35
Total past due	1,040
Current	72,935
Total	$	73,975

The credit quality analysis of consumer receivables at September 30, 2020 was as follows (in millions):

	Amortized Cost Basis by Origination Year
	Prior to 2016		2016		2017		2018		2019		2020		Total
Consumer
31-60 days past due	$	45	$	58	$	99	$	141	$	141	$	76	$	560
61-120 days past due	7		14		28		45		48		22		164
Greater than 120 days past due	13		7		7		8		7		1		43
Total past due	65		79		134		194		196		99		767
Current	1,141		3,292		8,011		15,466		22,526		26,286		76,722
Total	$	1,206	$	3,371	$	8,145	$	15,660	$	22,722	$	26,385	$	77,489

Financing Receivable, Allowance for Credit Loss

An analysis of the allowance for credit losses related to finance receivables for the periods ended September 30 was as follows (in millions):

	Third Quarter 2019 (a)						First Nine Months 2019 (a)
	Consumer		Non-Consumer		Total		Consumer		Non-Consumer		Total
Allowance for credit losses
Beginning balance	$	496	$	17	$	513	$	566	$	23	$	589
Charge-offs	(129)		(1)		(130)		(383)		(18)		(401)
Recoveries	41		—		41		129		8		137
Provision for credit losses	93		—		93		187		2		189
Other (b)	(3)		(1)		(4)		(1)		—		(1)
Ending balance	$	498	$	15	$	513	$	498	$	15	$	513

	Third Quarter 2020						First Nine Months 2020
	Consumer		Non-Consumer		Total		Consumer		Non-Consumer		Total
Allowance for credit losses
Beginning balance	$	1,211	$	74	$	1,285	$	496	$	17	$	513
Adoption of ASU 2016-13 (c)	—		—		—		247		5		252
Charge-offs	(104)		(5)		(109)		(329)		(6)		(335)
Recoveries	41		2		43		117		5		122
Provision for credit losses	95		(9)		86		723		42		765
Other (b)	8		1		9		(3)		—		(3)
Ending balance	$	1,251	$	63	$	1,314	$	1,251	$	63	$	1,314

__________

(a)The comparative information has not been restated and continues to be reported under the accounting standard in effect during 2019.

(b)Primarily represents amounts related to translation adjustments.

(c)Cumulative pre-tax adjustments recorded to retained earnings as of January 1, 2020. See Note 2 for additional information.

Non-Consumer Segment [Member]

Financing Receivables [Line Items]

Schedule of Financing Receivable Credit Quality Indicators [Table Text Block]

The credit quality analysis of dealer financing receivables at December 31, 2019 was as follows (in millions):

Dealer financing
Group I	$	31,206
Group II	5,407
Group III	2,108
Group IV	189
Total (a)	$	38,910

__________

(a)Total past due dealer financing receivables at December 31, 2019 were $62 million. 

The credit quality analysis of dealer financing receivables at September 30, 2020 was as follows (in millions):

	Amortized Cost Basis by Origination Year
	Dealer Loans
	Prior to 2016		2016		2017		2018		2019		2020		Total		Wholesale Loans		Total
Group I	$	528	$	130	$	142	$	132	$	72	$	301	$	1,305	$	19,394	$	20,699
Group II	46		21		15		35		4		89		210		4,520		4,730
Group III	9		—		3		17		3		41		73		1,356		1,429
Group IV	2		3		—		—		2		5		12		122		134
Total (a)	$	585	$	154	$	160	$	184	$	81	$	436	$	1,600	$	25,392	$	26,992

__________

(a)Total past due dealer financing receivables at September 30, 2020 were $126 million.