Finance Receivables (Tables)

6 Months Ended

Jun. 30, 2024

Receivables [Abstract]

Financing Receivable, Allowance for Credit Loss

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

	Second Quarter 2023						Second Quarter 2024
	Consumer		Non-Consumer		Total		Consumer		Non-Consumer		Total
Allowance for credit losses
Beginning balance	$	863	$	7	$	870	$	877	$	3	$	880
Charge-offs	(78)		—		(78)		(124)		(7)		(131)
Recoveries	38		—		38		42		—		42
Provision for credit losses	40		—		40		87		8		95
Other (a)	3		—		3		(6)		—		(6)
Ending balance	$	866	$	7	$	873	$	876	$	4	$	880
	First Half 2023						First Half 2024
	Consumer		Non-Consumer		Total		Consumer		Non-Consumer		Total
Allowance for credit losses
Beginning balance	$	838	$	7	$	845	$	879	$	3	$	882
Charge-offs	(174)		—		(174)		(253)		(7)		(260)
Recoveries	76		1		77		81		3		84
Provision for credit losses	118		(1)		117		178		5		183
Other (a)	8		—		8		(9)		—		(9)
Ending balance	$	866	$	7	$	873	$	876	$	4	$	880

__________

(a)Primarily represents amounts related to translation adjustments.

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

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

	December 31, 2023		June 30, 2024
Consumer
Retail installment contracts, gross	$	73,943	$	77,388
Finance leases, gross	7,793		8,138
Retail financing, gross	81,736		85,526
Unearned interest supplements from Ford and affiliated companies	(3,344)		(4,211)
Consumer finance receivables	78,392		81,315
Non-Consumer
Dealer financing	33,377		34,803
Other financing	1,936		2,108
Non-Consumer finance receivables	35,313		36,911
Total recorded investment	$	113,705	$	118,226
Recorded investment in finance receivables	$	113,705	$	118,226
Allowance for credit losses	(882)		(880)
Total finance receivables, net	$	112,823	$	117,346
Net finance receivables subject to fair value (a)	$	105,476	$	109,689
Fair value (b)	103,937		108,262

__________

(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.

Financing Receivable, Past Due [Table Text Block]

The credit quality analysis of consumer receivables at December 31, 2023 was as follows (in millions):

	Amortized Cost Basis by Origination Year
	Prior to 2019		2019		2020		2021		2022		2023		Total		Percent
Consumer
31-60 days past due	$	40	$	49	$	130	$	125	$	187	$	159	$	690	0.9	%
61-120 days past due	9		11		30		37		58		50		195		0.2
Greater than 120 days past due	7		4		7		10		10		5		43		0.1
Total past due	56		64		167		172		255		214		928		1.2
Current	891		2,360		7,395		11,325		20,281		35,212		77,464		98.8
Total	$	947	$	2,424	$	7,562	$	11,497	$	20,536	$	35,426	$	78,392	100.0	%
Gross charge-offs	$	47	$	40	$	75	$	85	$	117	$	37	$	401

The credit quality analysis of consumer receivables at June 30, 2024 was as follows (in millions):

	Amortized Cost Basis by Origination Year
	Prior to 2020		2020		2021		2022		2023		2024		Total		Percent
Consumer
31-60 days past due	$	58	$	100	$	112	$	178	$	205	$	55	$	708	0.9	%
61-120 days past due	11		20		27		44		60		16		178		0.2
Greater than 120 days past due	8		6		11		14		9		1		49		—
Total past due	77		126		150		236		274		72		935		1.1
Current	1,710		5,041		8,131		16,186		29,692		19,620		80,380		98.9
Total	$	1,787	$	5,167	$	8,281	$	16,422	$	29,966	$	19,692	$	81,315	100.0	%
Gross charge-offs	$	26	$	31	$	39	$	74	$	81	$	2	$	253

Financing Receivables Credit Quality Indicators [Table Text Block]

The credit quality analysis of dealer financing receivables at December 31, 2023 was as follows (in millions):

	Amortized Cost Basis by Origination Year
	Dealer Loans
	Prior to 2019		2019		2020		2021		2022		2023		Total		Wholesale Loans		Total		Percent
Group I	$	383	$	30	$	58	$	156	$	61	$	349	$	1,037	$	29,095	$	30,132	90.3	%
Group II	16		—		1		3		2		44		66		2,834		2,900		8.7
Group III	—		—		—		—		1		8		9		292		301		0.9
Group IV	—		1		—		—		—		2		3		41		44		0.1
Total (a)	$	399	$	31	$	59	$	159	$	64	$	403	$	1,115	$	32,262	$	33,377	100.0	%
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	1	$	1	$	3	$	4

__________

(a)Total past due dealer financing receivables at December 31, 2023 were $33 million. 

The credit quality analysis of dealer financing receivables at June 30, 2024 was as follows (in millions):

	Amortized Cost Basis by Origination Year
	Dealer Loans
	Prior to 2020		2020		2021		2022		2023		2024		Total		Wholesale Loans		Total		Percent
Group I	$	291	$	64	$	107	$	59	$	274	$	146	$	941	$	30,964	$	31,905	91.7	%
Group II	9		—		3		2		3		25		42		2,550		2,592		7.4
Group III	—		—		—		—		1		6		7		288		295		0.9
Group IV	—		—		—		—		—		—		—		11		11		—
Total (a)	$	300	$	64	$	110	$	61	$	278	$	177	$	990	$	33,813	$	34,803	100.0	%
Gross charge-offs	$	1	$	—	$	—	$	—	$	—	$	—	$	1	$	6	$	7

__________

(a)Total past due dealer financing receivables at June 30, 2024 were $4 million.