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Finance Receivables (Tables)
 6 Months Ended
Jun. 30, 2017
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Finance Receivables, Net
 
June 30, 2017
 
December 31, 2016

Retail finance receivables
 
 
 
Retail finance receivables, collectively evaluated for impairment, net of fees
$
29,088

 
$
24,480

Retail finance receivables, individually evaluated for impairment, net of fees
2,012

 
1,920

Total retail finance receivables, net of fees(a)
31,100

 
26,400

Less: allowance for loan losses - collective
(538
)
 
(489
)
Less: allowance for loan losses - specific
(306
)
 
(276
)
Total retail finance receivables, net
30,256

 
25,635

Commercial finance receivables
 
 
 
Commercial finance receivables, collectively evaluated for impairment, net of fees
9,640

 
7,853

Commercial finance receivables, individually evaluated for impairment, net of fees
35

 
27

Total commercial finance receivables, net of fees
9,675

 
7,880

Less: allowance for loan losses - collective
(45
)
 
(36
)
Less: allowance for loan losses - specific
(4
)
 
(4
)
Total commercial finance receivables, net
9,626

 
7,840

Total finance receivables, net
$
39,882

 
$
33,475

Fair value of finance receivables
$
39,926

 
$
33,528

________________
(a) Net of unearned income, unamortized premiums and discounts, and deferred fees and costs of $259 million and $178 million at June 30, 2017 and December 31, 2016.
Allowance for Credit Losses on Financing Receivables
Retail Finance Receivables
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2017
 
2016
 
2017
 
2016
Allowance for retail loan losses beginning balance
$
823

 
$
772

 
$
765

 
$
713

Provision for loan losses
152

 
142

 
359

 
333

Charge-offs
(272
)
 
(258
)
 
(570
)
 
(542
)
Recoveries
142

 
130

 
285

 
275

Foreign currency translation
(1
)
 
4

 
5

 
11

Allowance for retail loan losses ending balance
$
844

 
$
790

 
$
844

 
$
790
Financing Receivable Credit Quality Indicators
A summary of the credit risk profile by FICO score band or equivalent scores, determined at origination, of the retail finance receivables in North America is as follows:
 
June 30, 2017
 
December 31, 2016
 
Amount
 
Percent
 
Amount
 
Percent
Prime - FICO Score 680 and greater
$
11,497

 
44.2
%
 
$
7,923

 
36.4
%
Near-prime - FICO Score 620 to 679
3,973

 
15.2

 
3,468

 
15.9

Sub-prime - FICO Score less than 620
10,560

 
40.6

 
10,395

 
47.7

Balance at end of period
$
26,030

 
100.0
%
 
$
21,786

 
100.0
%
Past Due Financing Receivables
The following is a consolidated summary of the contractual amounts of delinquent retail finance receivables, which is not significantly different than the recorded investment for such receivables.
 
June 30, 2017
 
June 30, 2016
 
Amount
 
Percent of Contractual Amount Due
 
Amount
 
Percent of Contractual Amount Due
31 - 60 days
$
1,076

 
3.4
%
 
$
1,055

 
4.3
%
Greater than 60 days
464

 
1.5

 
454

 
1.9

Total finance receivables more than 30 days delinquent
1,540

 
4.9

 
1,509

 
6.2

In repossession
43

 
0.2

 
47

 
0.2

Total finance receivables more than 30 days delinquent or in repossession
$
1,583

 
5.1
%
 
$
1,556

 
6.4
%
Troubled Debt Restructurings on Financing Receivables
The outstanding recorded investment for retail finance receivables that are considered to be TDRs and the related allowance is presented below:
 
June 30, 2017
 
December 31, 2016
Outstanding recorded investment
$
2,012

 
$
1,920

Less: allowance for loan losses
(306
)
 
(276
)
Outstanding recorded investment, net of allowance
$
1,706

 
$
1,644

Unpaid principal balance
$
2,053

 
$
1,967

Additional information about loans classified as TDRs is presented below:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2017
 
2016
 
2017
 
2016
Average outstanding recorded investment
$
1,985

 
$
1,696

 
$
1,966

 
$
1,673

Finance charge income recognized
$
57

 
$
50

 
$
117

 
$
101

Number of loans classified as TDRs during the period
17,364

 
16,133

 
33,838

 
30,779

Recorded investment of loans classified as TDRs during the period
$
302

 
$
277

 
$
590

 
$
531
Financing Receivable Credit Quality Indicators for Commercial Lending
The following table summarizes the credit risk profile by dealer risk rating of commercial finance receivables: 
 
 
 
June 30, 2017
 
December 31, 2016
 
 
 
Amount
 
Percent
 
Amount
 
Percent
Group I
-
Dealers with superior financial metrics
$
1,610

 
16.6
%
 
$
1,389

 
17.6
%
Group II
-
Dealers with strong financial metrics
3,344

 
34.6

 
2,661

 
33.8

Group III
-
Dealers with fair financial metrics
3,398

 
35.1

 
2,775

 
35.2

Group IV
-
Dealers with weak financial metrics
885

 
9.2

 
631

 
8.0

Group V
-
Dealers warranting special mention due to elevated risks
328

 
3.4

 
334

 
4.2

Group VI
-
Dealers with loans classified as substandard, doubtful or impaired
110

 
1.1

 
90

 
1.2

Balance at end of period
$
9,675

 
100.0
%
 
$
7,880

 
100.0
%