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LOANS (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Accounts, Notes, Loans and Financing Receivable

Reconciliation of Gross Loans Originated / Acquired to Loans Originated or Purchased in Consolidated Statements of Cash Flows (in millions):


	2023		2022		2021

Loans Originated/acquired per Business Section	$	1,228	$	1,158	$	1,152
Non-Cash Reconciling items:
Other Consumer (Live Check and Premier) Renewed Loans Payoff	319		314		332
Other non-cash activity: unearned finance charges, origination fees, discounts, premiums, and deferred fees	266		241		231
Loans originated or purchased per Consolidated Statements of Cash Flows	$	643	$	603	$	589

The Company’s principal balances on non-accrual loans by loan class at December 31, 2023 and 2022 are as follows (in thousands):


Loan Class	December 31, 2023		December 31, 2022

Direct Cash Loans: Live Check Consumer Loans	$	10,888	$	13,527
Direct Cash Loans: Premier Consumer Loans	2,526		4,738
Direct Cash Loans: Other Consumer Loans	33,194		41,240
Real Estate Loans	1,383		1,870
Sales Finance Contracts	6,655		5,656
Total	$	54,647	$	67,031

Schedule of Contractual Maturity of Loans

An estimate of contractual maturities stated as a percentage of the loan balances based upon an analysis of the Company's portfolio as of December 31, 2023 is as follows:


Due In Calendar Year	Direct Cash Loans		Real Estate Loans		Sales Finance Contracts
2024	63	%	14	%	29	%
2025	29		13		27
2026	6		12		22
2027	2		11		15
2028	—		10		6
2029 & beyond	—		40		1
	100	%	100	%	100	%

Financing Receivable, Past Due

An age analysis of principal balances past due, segregated by loan class, as of December 31, 2023 and 2022 is as follows (in thousands):


December 31, 2023	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Total Past Due Loans

Direct Cash Loans: Live Check Loans	$	4,555	$	4,228	$	6,548	$	15,331
Direct Cash Loans: Premier Loans	1,142		789		1,713		3,644
Direct Cash Loans: Other Consumer Loans	19,975		11,240		24,433		55,648
Real Estate Loans	776		334		1,403		2,513
Sales Finance Contracts	4,228		2,226		4,142		10,596
Total	$	30,676	$	18,817	$	38,239	$	87,732


December 31, 2022	30-59 Days Past Due		60-89 Days Past Due		90 Days or More Past Due		Total Past Due Loans

Direct Cash Loans: Live Check Loans	$	6,217	$	4,524	$	8,232	$	18,973
Direct Cash Loans: Premier Loans	2,164		1,302		2,416		5,882
Direct Cash Loans: Other Consumer Loans	24,681		14,373		26,818		65,872
Real Estate Loans	894		436		1,380		2,710
Sales Finance Contracts	4,257		2,066		3,315		9,639
Total	$	38,214	$	22,702	$	42,161	$	103,077

Financing Receivable Credit Quality Indicators

The following table presents the net balance (gross balance less unearned finance charges and unearned insurance in thousands) in each segment in the portfolio as of December 31, 2023 based on year of origination.


	Payment Performance – Principal Balance by Origination Year
	2023		2022		2021		2020		2019		Prior		Total Net Balance

Direct Cash Loans: Live Checks
Performing	$	127,733	$	14,842	$	2,455	$	344	$	36	$	17	$	145,427
Nonperforming	8,686		1,840		206		32		—		—		10,764
	$	136,419	$	16,682	$	2,661	$	376	$	36	$	17	$	156,191
Direct Cash Loans: Premier Loans
Performing	$	11,728	$	26,440	$	10,233	$	2,026	$	481	$	151	$	51,059
Nonperforming	162		1,521		645		134		24		19		2,505
	$	11,890	$	27,961	$	10,878	$	2,160	$	505	$	170	$	53,564
Direct Cash Loans: Other Consumer Loans
Performing	$	563,939	$	113,604	$	37,981	$	7,303	$	2,280	$	766	$	725,873
Nonperforming	18,550		9,673		3,450		741		256		88		32,758
	$	582,489	$	123,277	$	41,431	$	8,044	$	2,536	$	854	$	758,631
Real Estate Loans:
Performing	$	2,069	$	1,344	$	10,204	$	4,481	$	3,890	$	5,941	$	27,929
Nonperforming	6		21		673		168		228		279		1,375
	$	2,075	$	1,365	$	10,877	$	4,649	$	4,118	$	6,220	$	29,304
Sales Finance Contracts:
Performing	$	96,227	$	45,339	$	17,777	$	7,662	$	1,042	$	97	$	168,144
Nonperforming	2,157		2,513		1,158		617		100		15		6,560
	$	98,384	$	47,852	$	18,935	$	8,279	$	1,142	$	112	$	174,704

Financing Receivable, Allowance for Credit Loss

Segmentation of the portfolio began with the adoption of ASC 326 on January 1, 2020. The following table provides additional information on our allowance for credit losses based on a collective evaluation in thousands).


	2023
	Live Checks		Premier Loans		Other Consumer Loans		Real Estate Loans		Sales Finance Contracts		Total

Allowance for Credit Losses:
Balance at January 1, 2023	$	14,896	$	6,108	$	46,412	$	143	$	7,651	$	75,210
Provision for Credit Losses	20,807		2,592		51,726		2,360		9,903		87,388
Charge-offs	(31,397)		(7,685)		(68,011)		(22)		(10,354)		(117,469)
Recoveries	5,526		1,495		17,155		7		2,050		26,233
Ending Balance	$	9,832	$	2,510	$	47,282	$	2,488	$	9,250	$	71,362


	2022
	Live Checks		Premier Loans		Other Consumer Loans		Real Estate Loans		Sales Finance Contracts		Total

Allowance for Credit Losses:
Balance at January 1, 2022	$	10,649	$	6,216	$	44,646	$	265	$	5,535	$	67,311
Provision for Credit Losses	24,044		4,452		47,976		(102)		7,918		84,288
Charge-offs	(23,207)		(5,630)		(61,787)		(28)		(7,353)		(98,005)
Recoveries	3,410		1,070		15,577		8		1,551		21,616
Ending Balance	$	14,896	$	6,108	$	46,412	$	143	$	7,651	$	75,210

Financing Receivable, Troubled Debt Restructuring

The financial effects of the modifications made to borrowers experiencing financial difficulty in the year ended December 31, 2023 are as follows:


Loan Modification	Loan Class	Financial Effect
Interest Rate Reduction	Live Check Loans	Reduced the weighted-weighted average contractual interest rate from 27.0% to 16.5%
	Premier Loans	Reduced the weighted-weighted average contractual interest rate from 20.2% to 15.5%
	Other Consumer Loans	Reduced the weighted-weighted average contractual interest rate from 29.2% to 19.4%
	Real Estate Loans	Reduced the weighted-weighted average contractual interest rate from 18.3% to 6.6%
	Sales Finance Contracts	Reduced the weighted-weighted average contractual interest rate from 21.9% to 15.7%
Term Extension	Live Check Loans	Added a weighted average 13 months to the term
	Premier Loans	Added a weighted average 23 months to the term
	Other Consumer Loans	Added a weighted average 16 months to the term
	Real Estate Loans	Added a weighted average 28 months to the term
	Sales Finance Contracts	Added a weighted average 17 months to the term
Principal Forgiveness	Live Check Loans	Reduced the gross balance of the loans $2.6 million
	Premier Loans	Reduced the gross balance of the loans $0.7 million
	Other Consumer Loans	Reduced the gross balance of the loans $10.0 million
	Real Estate Loans	No Financial Effect
	Sales Finance Contracts	Reduced the gross balance of the loans $1.9 million

The aging for loans that were modified to borrowers experiencing financial difficulty in the past 12 months (in thousands):


	December 31, 2023

Loan Class	Current		30 - 89 Past Due		90+ Past Due		Total

Direct Cash Loans: Live Check Loans	$	4,023	$	1,096	$	1,629	$	6,747
Direct Cash Loans: Premier Loans	3,212		597		686		4,495
Direct Cash Loans: Other Consumer Loans	46,154		7,640		8,900		62,694
Real Estate Loans	183				198		380
Sales Finance Contracts	6,361		1,202		1,107		8,670
Total	$	59,933	$	10,534	$	12,519	$	82,986

Financing Receivable, Modified, Subsequent Default

The information relating to modifications made to borrowers experiencing financial difficulty (in thousands, except for %) for the period indicated are as follows:


	Year ended December 31, 2023

Loan Class	Interest Rate Reduction				Term Extension				Principal Forgiveness				Combination - Term Extension and Principal Forgiveness				Combination - Term Extension and Interest Rate Reduction
Direct Cash Loans: Live Check Loans	$	5,244	36.9	%	$	2,350	16.5	%	$	2,557	18.0	%	$	2,784	19.6	%	$	1,277	9.0	%
Direct Cash Loans: Premier Loans	1,218		18.0	%	1,735		25.6	%	748		11.0	%	1,784		26.3	%	1,289		19.0	%
Direct Cash Loans: Other Consumer Loans	15,617		17.1	%	16,482		18.1	%	10,009		11.0	%	30,706		33.6	%	18,453		20.2	%
Real Estate Loans	281		75.6	%	48		12.9	%	25		6.8	%	—		—	%	17		4.7	%
Sales Finance Contracts	696		6.2	%	977		8.7	%	1,865		16.7	%	7,008		62.6	%	643		5.8	%
Total	$	23,056	18.6	%	$	21,591	17.4	%	$	15,206	12.3	%	$	42,282	34.1	%	$	21,679	17.5	%

Loans modified for borrowers experiencing financial difficulty during the prior 12 months that subsequently charged off during the year ended December 31, 2023 (in thousands):




Loan Class	Interest Rate Reduction		Term Extension		Principal Forgiveness		Combination- Term Extension and Principal Forgiveness		Combination - Term Extension and Interest Rate Reduction

Direct Cash Loans: Live Check Loans	$	2,679	$	272	$	1,206	$	258	$	286
Direct Cash Loans: Premier Loans	458		139		359		181		221
Direct Cash Loans: Other Consumer Loans	4,880		1,004		3,207		2,264		1,994
Real Estate Loans	—		—		5		—		—
Sales Finance Contracts	222		66		420		398		82
Total	$	8,239	$	1,481	$	5,197	$	3,101	$	2,583

The following table presents a summary of loans that were restructured during the year ended December 31, 2022 in (in thousands, except number of loans):


Loan Class	Number of Loans	Pre-Modification Recorded Investment		Post-Modification Recorded Investment

Direct Cash Loans: Live Check Consumer Loans	6,238	$	11,026	$	10,869
Direct Cash Loans: Premier Consumer Loans	999	6,521		6,367
Direct Cash Loans: Other Consumer Loans	21,599	85,663		83,162
Real Estate Loans	26	238		236
Sales Finance Contracts	1,165	8,922		8,664
Total	30,027	$	112,370	$	109,298

TDRs that subsequently defaulted during the year ended December 31, 2022 are listed below (in thousands, except number of loans):


Loan Class	Number of Loans	Pre-Modification Recorded Investment

Direct Cash Loans: Live Check Consumer Loans	2,252	$	3,883
Direct Cash Loans: Premier Consumer Loans	182	1,066
Direct Cash Loans: Other Consumer Loans	5,196	13,212
Real Estate Loans	2	5
Sales Finance Contracts	183	1,061
Total	7,815	$	19,227

The following table presents a summary of loans that were restructured during the year ended December 31, 2021 (in thousands, except number of loans):


Loan Class	Number of Loans	Pre-Modification Recorded Investment		Post-Modification Recorded Investment

Direct Cash Loans: Live Check Consumer Loans	2,303	$	4,357	$	4,266
Direct Cash Loans: Premier Consumer Loans	476	2,951		2,850
Direct Cash Loans: Other Consumer Loans	12,752	46,993		45,056
Real Estate Loans	28	347		347
Sales Finance Contracts	745	4,800		4,633
Total	16,304	$	59,449	$	57,152

TDRs that subsequently defaulted during the year ended December 31, 2021 are listed below (in thousands, except number of loans):


Loan Class	Number of Loans	Pre-Modification Recorded Investment

Direct Cash Loans: Live Check Consumer Loans	844	$	1,568
Direct Cash Loans: Premier Consumer Loans	99	517
Direct Cash Loans: Other Consumer Loans	3,094	7,082
Real Estate Loans	0	—
Sales Finance Contracts	142	613
Total	4,179	$	9,781