The Company uses a hierarchical framework that prioritizes and ranks the market observability of inputs used in its fair value measurements. Market price observability is affected by a number of factors, including the type of asset or liability and the characteristics specific to the asset or liability being measured. Assets and liabilities with readily available, active, quoted market prices or for which fair value can be measured from actively quoted prices generally are deemed to have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. The Company classifies the inputs used to measure fair value into one of three levels as follows:

Level 2: Inputs other than Level 1, quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, and model-derived prices whose inputs are observable or whose significant value drivers are observable.

Observable inputs are based on market data obtained from independent sources, while unobservable inputs are based on the Company’s market assumptions. Unobservable inputs require significant management judgment or estimation. In some cases, the inputs used to measure an asset or liability may fall into different levels of the fair value hierarchy. In those cases, the fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level of input that is significant to the entire measurement. Such determination requires significant management judgment.

During the three and six months ended June 30, 2025 and 2024, there were no transfers of assets or liabilities in or out of Level 3 fair value measurements. It is the Company’s policy to value any transfers between levels of the fair value hierarchy based on end of period fair values.

The Company’s financial assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2025 and 2024 and December 31, 2024 are as follows (dollars in thousands):


	June 30,		Fair Value Measurements Using
	2025		Level 1		Level 2		Level 3
Financial assets:
Consumer loans and finance receivables(1)	$	1,668,336	$	—	$	—	$	1,668,336
Small business loans and finance receivables(1)		3,104,979		—		—		3,104,979
Non-qualified savings plan assets(2)		13,146		13,146		—		—
Investment in trading security(3)		8,560		8,560		—		—
Total	$	4,795,021	$	21,706	$	—	$	4,773,315

	June 30,		Fair Value Measurements Using
	2024		Level 1		Level 2		Level 3
Financial assets:
Consumer loans and finance receivables(1)	$	1,421,814	$	—	$	—	$	1,421,814
Small business loans and finance receivables(1)		2,517,345		—		—		2,517,345
Non-qualified savings plan assets(2)		11,601		11,601		—		—
Investment in trading security(3)		8,635		8,635		—		—
Total	$	3,959,395	$	20,236	$	—	$	3,939,159

	December 31,		Fair Value Measurements Using
	2024		Level 1		Level 2		Level 3
Financial assets:
Consumer loans and finance receivables(1)	$	1,639,307	$	—	$	—	$	1,639,307
Small business loans and finance receivables(1)		2,747,137		—		—		2,747,137
Non-qualified savings plan assets(2)		10,712		10,712		—		—
Investment in trading security(3)		3,636		3,636		—		—
Total	$	4,400,792	$	14,348	$	—	$	4,386,444

(1) Consumer and small business loans and finance receivables are included in “Loans and finance receivables at fair value” in the consolidated balance sheets.

(2) The non-qualified savings plan assets are included in “Other receivables and prepaid expenses” in the Company’s consolidated balance sheets and have an offsetting liability, which is included in “Accounts payable and accrued expenses” in the Company’s consolidated balance sheets.

(3) Investment in trading security is included in “Other assets” in the Company’s consolidated balance sheets.

The Company primarily estimates the fair value of its loan and finance receivables portfolio using discounted cash flow models that have been internally developed. The models use inputs, such as estimated losses, prepayments, utilization rates, servicing costs and discount rates, that are unobservable but reflect the Company’s best estimates of the assumptions a market participant would use to calculate fair value. Certain unobservable inputs may, in isolation, have either a directionally consistent or opposite impact on the fair value of the financial instrument for a given change in that input. An increase to the net loss rate, prepayment rate, servicing cost, or discount rate would decrease the fair value of the Company’s loans and finance receivables. When multiple inputs are used within the valuation techniques for loans, a change in one input in a certain direction may be offset by an opposite change from another input.

The fair value of the nonqualified savings plan assets was deemed Level 1 as they are publicly traded equity securities for which market prices of identical assets are readily observable.

The fair value of the investment in trading security was deemed Level 1 as it is a publicly traded fund with active market pricing that is readily available.

The Company had no liabilities measured at fair value on a recurring basis as of June 30, 2025 and 2024 and December 31, 2024.

The Company measures non-financial assets and liabilities such as property and equipment and intangible assets at fair value on a non-recurring basis or when events or circumstances indicate that the carrying amount of the assets may be impaired. At June 30, 2025 and 2024 and December 31, 2024, there were no assets or liabilities recorded at fair value on a non-recurring basis.

The Company’s financial assets and liabilities as of June 30, 2025 and 2024 and December 31, 2024 that are not measured at fair value in the consolidated balance sheets are as follows (dollars in thousands):


	Balance at
	June 30,		Fair Value Measurements Using
	2025		Level 1		Level 2		Level 3
Financial assets:
Cash and cash equivalents	$	55,560	$	55,560	$	—	$	—
Restricted cash		323,883		323,883		—		—
Investment in unconsolidated investee (1)		6,918		—		—		6,918
Total	$	386,361	$	379,443	$	—	$	6,918
Financial liabilities:
Revolving line of credit	$	481,000	$	—	$	—	$	481,000
Securitization notes		2,611,408		—		2,619,854		—
11.25% senior notes due 2028		397,408		—		429,956		—
9.125% senior notes due 2029		500,000		—		526,765		—
Total	$	3,989,816	$	—	$	3,576,575	$	481,000


	Balance at
	June 30,		Fair Value Measurements Using
	2024		Level 1		Level 2		Level 3
Financial assets:
Cash and cash equivalents	$	60,138	$	60,138	$	—	$	—
Restricted cash		211,167		211,167		—		—
Investment in unconsolidated investee (1)		6,918		—		—		6,918
Total	$	278,223	$	271,305	$	—	$	6,918
Financial liabilities:
Revolving line of credit	$	419,000	$	—	$	—	$	419,000
Securitization notes		2,024,482		—		2,029,972		—
8.50% senior notes due 2025		375,000		—		375,660		—
11.25% senior notes due 2028		396,659		—		427,652		—
Total	$	3,215,141	$	—	$	2,833,284	$	419,000


	Balance at
	December 31,		Fair Value Measurements Using
	2024		Level 1		Level 2		Level 3
Financial assets:
Cash and cash equivalents	$	73,910	$	73,910	$	—	$	—
Restricted cash		248,758		248,758		—		—
Investment in unconsolidated investee (1)		6,918		—		—		6,918
Total	$	329,586	$	322,668	$	—	$	6,918
Financial liabilities:
Revolving line of credit	$	453,000	$	—	$	—	$	453,000
Securitization notes		2,238,279		—		2,246,406		—
11.25% senior notes due 2028		397,033		—		433,112		—
9.125% senior notes due 2029		500,000		—		519,360		—
Total	$	3,588,312	$	—	$	3,198,878	$	453,000

(1) Investment in unconsolidated investee is included in “Other assets” in the consolidated balance sheets.

Cash and cash equivalents and restricted cash bear interest at market rates and have maturities of less than 90 days. The carrying amount of restricted cash and cash equivalents approximates fair value.

The Company measures the fair value of its investment in unconsolidated investee using Level 3 inputs. Because the unconsolidated investee is a private company and financial information is limited, the Company estimates the fair value based on the best available information at the measurement date.

The Company measures the fair value of its revolving line of credit using Level 3 inputs. The Company considered the fair value of its other long-term debt and the timing of expected payment(s).

The fair values of the Company’s Securitization Notes and senior notes are estimated based on quoted prices in markets that are not active, which are deemed Level 2 inputs.