v3.25.2
Derivative Financial Instruments (Tables)
6 Months Ended
Jun. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Notional Amounts on Outstanding Derivatives
The following table summarizes the Company’s outstanding basis swaps as of June 30, 2025 and December 31, 2024 used to hedge its basis risk and repricing risk on a portion of its FFELP student loan assets. For these derivative instruments, the Company receives payments indexed to three-month SOFR and makes payments based on the one-month SOFR index (plus or minus a spread) as defined in the agreements (the "Basis Swaps").
MaturityNotional amount
2026$1,150,000 
2027250,000 
$1,400,000 
The following table summarizes the outstanding derivative instruments used by the Company as of June 30, 2025 and December 31, 2024 to economically hedge loans earning fixed rate floor income. For these derivative instruments, the Company receives payments based on SOFR, the majority of which reset quarterly.
MaturityNotional amountWeighted average fixed rate paid by the Company
2026$200,000 3.92 %
202850,000 3.56 
2029 (a)50,000 3.17 
2030 (b)100,000 3.63 
 $400,000 3.71 %
(a)    This $50 million notional amount derivative has a forward effective start date in January 2026.
(b)    A $50 million notional amount derivative maturing in 2030 has a forward effective start date in November 2025.
The following table summarizes the outstanding derivative instruments used by Nelnet Bank to hedge intercompany deposits. For these derivative instruments, the Company receives monthly or quarterly payments based on SOFR that reset daily.
As of June 30, 2025As of December 31, 2024
MaturityNotional amountWeighted average fixed rate paid by the CompanyNotional amountWeighted average fixed rate paid by the Company
2028$40,000 3.33 %$40,000 3.33 %
202925,000 3.37 25,000 3.37 
2030 (a)50,000 3.06 50,000 3.06 
2032 (b)25,000 4.03 25,000 4.03 
2033 (c)25,000 3.90 25,000 3.90 
2035 (d)30,000 3.79 — — 
 $195,000 3.50 %$165,000 3.44 %
(a)    These $25 million notional amount derivatives have forward effective start dates in April 2026 and May 2026, respectively.
(b)    This $25 million notional amount derivative has a forward effective start date in February 2027.
(c)    This $25 million notional amount derivative has a forward effective start date in November 2025.
(d)    This $30 million notional amount derivative has a forward effective start date in May 2028.
The following table summarizes the outstanding derivative instruments used by Nelnet Bank to hedge third-party deposits. For these derivative instruments, the Company receives monthly payments based on SOFR that reset monthly.
As of June 30, 2025
MaturityNotional amountWeighted average fixed rate paid by the Company
2030$25,000 3.57 %
203525,000 3.87 
 $50,000 3.72 %
Schedule of Fair Value of Asset Derivatives The following table summarizes the fair value of the Company's Nelnet Bank derivatives as reflected in the consolidated balance sheets:
Fair value of asset derivativesFair value of liability derivatives
As of June 30, 2025As of December 31, 2024As of June 30, 2025As of December 31, 2024
Interest rate swaps - intercompany deposits$402 3,232 1,452 53 
Interest rate swaps - third-party deposits (cash flow hedges)— — 625 — 
$402 3,232 2,077 53 
Schedule of Fair Value of Liabilities Derivatives The following table summarizes the fair value of the Company's Nelnet Bank derivatives as reflected in the consolidated balance sheets:
Fair value of asset derivativesFair value of liability derivatives
As of June 30, 2025As of December 31, 2024As of June 30, 2025As of December 31, 2024
Interest rate swaps - intercompany deposits$402 3,232 1,452 53 
Interest rate swaps - third-party deposits (cash flow hedges)— — 625 — 
$402 3,232 2,077 53 
Schedule of Derivative Impact on Statement of Income
The following table summarizes the components of "derivative market value adjustments and derivative settlements, net" included in the consolidated statements of income related to derivative instruments that do not qualify for hedge accounting:
Three months ended June 30,Six months ended June 30,
 2025202420252024
Settlements:  
Basis swaps$154 249 307 614 
Interest rate swaps - floor income hedges427 1,193 855 2,383 
Interest rate swaps - intercompany deposits163 207 327 409 
Total settlements - income744 1,649 1,489 3,406 
Change in fair value:  
Basis swaps(143)(232)(281)(586)
Interest rate swaps - floor income hedges(2,022)1,168 (5,680)7,228 
Interest rate swaps - intercompany deposits(1,701)597 (4,229)2,855 
Total change in fair value - (expense) income(3,866)1,533 (10,190)9,497 
Derivative market value adjustments and derivative settlements, net - (expense) income$(3,122)3,182 (8,701)12,903