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Finance Receivables (Tables)
 3 Months Ended
Mar. 31, 2020
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]  
Finance Receivables, Net
 
March 31, 2020
 
December 31, 2019

Retail finance receivables
 
 
 
Retail finance receivables, net of fees(a)
$
42,504

 
$
42,268

Less: allowance for loan losses
(1,879
)
 
(866
)
Total retail finance receivables, net
40,625

 
41,402

Commercial finance receivables
 
 
 
Commercial finance receivables, net of fees(b)
12,282

 
12,149

Less: allowance for loan losses
(87
)
 
(78
)
Total commercial finance receivables, net
12,195

 
12,071

Total finance receivables, net
$
52,820

 
$
53,473

Fair value utilizing Level 2 inputs
$
12,195

 
$
12,071

Fair value utilizing Level 3 inputs
$
41,963

 
$
42,012

________________
(a) Net of unearned income, unamortized premiums and discounts, and deferred fees and costs of $125 million and $83 million at March 31, 2020 and December 31, 2019.
(b) Net of dealer cash management balances of $1.2 billion at both March 31, 2020 and December 31, 2019.
Allowance for Credit Losses on Financing Receivables
A summary of the activity in the allowance for retail loan losses is as follows:
 
Three Months Ended March 31,
 
2020
 
2019
Allowance for retail loan losses beginning balance
$
866

 
$
844

Impact of adopting ASU 2016-13 (Note 1)
801

 
—

Provision for loan losses
456

 
178

Charge-offs
(340
)
 
(307
)
Recoveries
156

 
145

Foreign currency translation
(60
)
 
2

Allowance for retail loan losses ending balance
$
1,879

 
$
862
Financing Receivable Credit Quality Indicators
A summary of the amortized cost of the retail finance receivables by FICO score or its equivalent, determined at origination, for each vintage of the retail finance receivables portfolio at March 31, 2020 is as follows:
 
Year of Origination
 
 
 
2020
 
2019
 
2018
 
2017
 
2016
 
2015
 
Prior
 
Total
 
Percent
Prime - FICO Score 680 and greater
$
4,027

 
$
9,990

 
$
6,821

 
$
3,200

 
$
1,143

 
$
343

 
$
15

 
$
25,539

 
60.1
%
Near-prime - FICO Score 620 to 679
902

 
2,746

 
1,744

 
942

 
402

 
178

 
38

 
6,952

 
16.3

Sub-prime - FICO Score less than 620
1,169

 
3,402

 
2,165

 
1,605

 
957

 
486

 
229

 
10,013

 
23.6

Retail finance receivables, net of fees
$
6,098

 
$
16,138

 
$
10,730

 
$
5,747

 
$
2,502

 
$
1,007

 
$
282

 
$
42,504

 
100.0
%
Effective January 1, 2020, we updated our commercial risk model and our risk rating categories as follows:
Dealer Risk Rating
 
Description
I
 
Performing accounts with strong to acceptable financial metrics with at least satisfactory capacity to meet financial commitments.
II
 
Performing accounts experiencing potential weakness in financial metrics and repayment prospects resulting in increased monitoring.
III
 
Non-Performing accounts with inadequate paying capacity for current obligations and that have the distinct possibility of creating a loss if deficiencies are not corrected.
IV
 
Non-Performing accounts with inadequate paying capacity for current obligations and inherent weaknesses that make collection or liquidation in full highly questionable or improbable.
The following table summarizes the credit risk profile by dealer risk rating of commercial finance receivables at March 31, 2020.
 
 
Year of Origination(a)
 
 
Dealer Risk Rating
 
Revolving
 
2020
 
2019
 
2018
 
2017
 
2016
 
2015
 
Prior
 
Total
 
Percent
I
 
$
10,351

 
$
101

 
$
253

 
$
124

 
$
128

 
$
118

 
$
77

 
$
9

 
$
11,161

 
90.9
%
II
 
632

 
—

 
9

 
12

 
33

 
23

 
13

 
23

 
745

 
6.1

III
 
325

 
—

 
8

 
10

 
14

 
—

 
1

 
—

 
358

 
2.9

IV
 
14

 
—

 
—

 
—

 
—

 
—

 
4

 
—

 
18

 
0.1

Balance at end of period
 
$
11,322

 
$
101

 
$
270

 
$
146

 
$
175

 
$
141

 
$
95

 
$
32

 
$
12,282

 
100.0
%

________________
(a) Floorplan advances comprise 98% of the total revolving balance. Dealer term loans are presented by year of origination.
Past Due Financing Receivables
The following table is a consolidated summary of the delinquency status of the outstanding amortized cost of retail finance receivables for each vintage of the portfolio at March 31, 2020:
 
Year of Origination
 
 
 
2020
 
2019
 
2018
 
2017
 
2016
 
2015
 
Prior
 
Total
 
Percent
Current
$
6,078

 
$
15,716

 
$
10,312

 
$
5,412

 
$
2,277

 
$
877

 
$
214

 
$
40,886

 
96.2
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 - 60 days
19

 
302

 
294

 
241

 
161

 
93

 
47

 
1,157

 
2.7

Greater than 60 days
1

 
113

 
118

 
90

 
62

 
36

 
21

 
441

 
1.1

Finance receivables more than 30 days delinquent
20

 
415

 
412

 
331

 
223

 
129

 
68

 
1,598

 
3.8

In repossession
—

 
7

 
6

 
4

 
2

 
1

 
—

 
20

 
—

Finance receivables more than 30 days delinquent or in repossession
20

 
422

 
418

 
335

 
225

 
130

 
68

 
1,618

 
3.8

Retail finance receivables, net of fees
$
6,098

 
$
16,138

 
$
10,730

 
$
5,747

 
$
2,502

 
$
1,007

 
$
282

 
$
42,504

 
100.0
%
Troubled Debt Restructurings on Financing Receivables
Additional TDR activity is presented below:
 
Three Months Ended March 31,
 
2020
 
2019
 
2018
Number of loans classified as TDRs during the period
15,268

 
16,532

 
13,336

Outstanding amortized cost of loans classified as TDRs during the period
$
287

 
$
308

 
$
251