Guarantees (Tables)

3 Months Ended

Mar. 31, 2020

Guarantee on loans sold or serviced with credit recourse

Guarantor Obligations

Credit recourse agreements reserve

The following table shows the changes in the Corporation’s liability of estimated losses related to loans serviced with credit recourse provisions during the quarters ended March 31, 2020 and 2019.

		Quarters ended March 31,
(In thousands)		2020		2019
Balance as of beginning of period	$	34,862	$	56,230
Impact of adopting CECL		(3,831)		-
Provision (reversal) for recourse liability		4,364		(311)
Net charge-offs		(3,676)		(3,908)
Balance as of end of period	$	31,719	$	52,011

Banco Popular de Puerto Rico | Guarantee on loans sold or serviced with representation and warranties

Guarantor Obligations

Estimated losses associated with indemnifications and representations and warranties related to loans sold

The following table presents the changes in the Corporation’s liability for estimated losses associated with indemnifications and representations and warranties related to loans sold by BPPR for the quarters ended March 31, 2020 and 2019.

		Quarters ended March 31,
(In thousands)		2020		2019
Balance as of beginning of period	$	3,212	$	10,837
Provision (reversal) for representation and warranties		(69)		104
Net charge-offs		-		(75)
Balance as of end of period	$	3,143	$	10,866