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Financing Receivables
 9 Months Ended
Sep. 30, 2019
Receivables [Abstract]  
Financing Receivables Financing Receivables

Laureate’s financing receivables consist primarily of trade receivables related to student tuition financing programs with an initial term in excess of one year. We have offered long-term financing through the execution of note receivable agreements with students at some of our institutions. Our disclosures include financing receivables that are classified in our Consolidated Balance Sheets as both current and long-term, reported in accordance with ASC 310, “Receivables.”

Laureate’s financing receivables balances were as follows:
 
September 30, 2019
 
December 31, 2018
Financing receivables
$
33,126

 
$
16,531

Allowance for doubtful accounts
(6,064
)
 
(6,395
)
Financing receivables, net of allowances
$
27,062

 
$
10,136



We do not purchase financing receivables in the ordinary course of our business. We may sell certain receivables that are significantly past due. No material amounts of financing receivables were sold during the periods reported herein.

Delinquency is the primary indicator of credit quality for our financing receivables. Receivable balances are considered delinquent when contractual payments on the loan become past due. Delinquent financing receivables are placed on non-accrual status for interest income. The accrual of interest is resumed when the financing receivable becomes contractually current and when collection of all remaining amounts due is reasonably assured. We record an Allowance for doubtful accounts to reduce our financing receivables to their net realizable value. The Allowance for doubtful accounts is based on the age of the receivables, the status of past-due amounts, historical collection trends, current economic conditions, and student enrollment status. Each of our institutions evaluates its balances for potential impairment. We consider impaired loans to be those that are past due one year or greater, and those that are modified as a troubled debt restructuring (TDR). The aging of financing receivables grouped by country portfolio was as follows:
 
Chile
 
Other
 
Total
As of September 30, 2019
 
 
 
 
 
Amounts past due less than one year
$
9,798

 
$
509

 
$
10,307

Amounts past due one year or greater
3,038

 
140

 
3,178

Total past due (on non-accrual status)
12,836

 
649

 
13,485

Not past due
17,895

 
1,746

 
19,641

Total financing receivables
$
30,731

 
$
2,395

 
$
33,126

 
 
 
 
 
 
As of December 31, 2018
 
 
 
 
 
Amounts past due less than one year
$
7,618

 
$
644

 
$
8,262

Amounts past due one year or greater
2,879

 
192

 
3,071

Total past due (on non-accrual status)
10,497

 
836

 
11,333

Not past due
4,980

 
218

 
5,198

Total financing receivables
$
15,477

 
$
1,054

 
$
16,531



The following is a rollforward of the Allowance for doubtful accounts related to financing receivables for the nine months ended September 30, 2019 and 2018, grouped by country portfolio:
 
Chile
 
Other
 
Total
Balance at December 31, 2018
$
(6,108
)
 
$
(287
)
 
$
(6,395
)
Charge-offs
1,438

 
501

 
1,939

Recoveries
—

 
—

 
—

Reclassifications
—

 
—

 
—

Provision
(1,245
)
 
(646
)
 
(1,891
)
Currency adjustments
280

 
3

 
283

Balance at September 30, 2019
$
(5,635
)
 
$
(429
)
 
$
(6,064
)
 
 
 
 
 
 
Balance at December 31, 2017
$
(6,107
)
 
$
(365
)
 
$
(6,472
)
Charge-offs
1,338

 
37

 
1,375

Recoveries
—

 
—

 
—

Reclassifications
—

 
—

 
—

Provision
(1,233
)
 
18

 
(1,215
)
Currency adjustments
434

 
2

 
436

Balance at September 30, 2018
$
(5,568
)
 
$
(308
)
 
$
(5,876
)


Restructured Receivables

A TDR is a financing receivable in which the borrower is experiencing financial difficulty and Laureate has granted an economic concession to the student debtor that we would not otherwise consider. When we modify financing receivables in a TDR, Laureate typically offers the student debtor an extension of the loan maturity and/or a reduction in the accrued interest balance. In certain situations, we may offer to restructure a financing receivable in a manner that ultimately results in the forgiveness of contractually specified principal balances. Our only TDRs are in Chile.

The number of financing receivable accounts and the pre- and post-modification account balances modified under the terms of a TDR during the nine months ended September 30, 2019 and 2018 were as follows:
 
Number of Financing Receivable Accounts
 
Pre-Modification Balance Outstanding
 
Post-Modification Balance Outstanding
2019
358

 
$
1,153

 
$
1,020

2018
435

 
$
1,345

 
$
1,262


The preceding table represents accounts modified under the terms of a TDR during the nine months ended September 30, 2019, whereas the following table represents accounts modified as a TDR between January 1, 2018 and September 30, 2019 that subsequently defaulted during the nine months ended September 30, 2019:
 
Number of Financing Receivable Accounts
 
Balance at Default
Total
183

 
$
415


The following table represents accounts modified as a TDR between January 1, 2017 and September 30, 2018 that subsequently defaulted during the nine months ended September 30, 2018:
 
Number of Financing Receivable Accounts
 
Balance at Default
Total
128

 
$
455