v3.26.1
Loans Held for Investment, Net
 6 Months Ended
Jun. 30, 2026
Receivables [Abstract]  
Loans Held for Investment, Net Loans Held for Investment, Net
The amortized cost basis of the Company's loans held for investment by delinquency status as of June 30, 2026:
Past Due
Current30-59 days60-89 days> 90 daysTotal
Loans held for investment$9,670,717 $64,148 $37,241 $23,844 $9,795,950 
Allowance for credit losses(1,148,392)
Loans held for investment, net$8,647,558 
The amortized cost basis of the Company's loans held for investment by delinquency status as of December 31, 2025:
Past Due
Current30-59 days60-89 days> 90 daysTotal
Loans held for investment$8,173,364 $56,831 $24,233 $12,882 $8,267,310 
Allowance for credit losses(929,406)
Loans held for investment, net$7,337,904 
These loans have a variety of lending terms and have original maturities ranging from six weeks to 60 months. Because the Company’s loan portfolio focuses on unsecured installment loans, the Company evaluates the portfolio as a single homogeneous loan portfolio and performs further analysis by product type as needed.
The Company closely monitors credit quality for its loans held for investment to manage and evaluate exposure to credit risk. Credit risk management begins with initial underwriting, where a consumer is assessed based on the Company’s underwriting and credit policy. This includes Know Your Customer identification, traditional credit scoring models, and various Fair Credit Reporting Act permissible consumer credit and risk data. Credit quality is monitored subsequent to underwriting based on performance metrics that include, but are not limited to, delinquency and default metrics.
The Company uses proprietary forecasting combining Austrian Business Cycle Theory with real-time data to help detect economic inflection points earlier than using past behavior alone. This forecasting approach helps mitigate issues commonly attributed to behavior-driven credit scores. The Company's forecasting directly shapes underwriting, lending and risk strategies, delivering resilient, future-ready financial tools to merchants and their customers.
The Company evaluates the credit risk of its portfolio by grouping it into four buckets that range from A to D, with receivables having an “A” rating representing the highest credit quality and lowest likelihood of loss. As part of the Company’s credit risk management activities, on an ongoing basis, the Company assesses overall credit quality by reviewing information related to the performance of a customer’s account with the Company, including delinquency information.
The following tables present an analysis of the credit quality of the amortized cost basis excluding accrued interest receivable, by calendar year of origination on loans held for investment as of June 30, 2026 and December 31, 2025:
June 30, 2026
Amortized Cost Basis by Calendar Year of Origination
20262025PriorTotal
A$3,265,305 $779,302 $43,038 $4,087,645 
B2,901,070 499,220 33,583 3,433,873 
C1,222,914 498,125 66,000 1,787,039 
D350,001 130,898 6,494 487,393 
Total amortized cost basis$7,739,290 $1,907,545 $149,115 $9,795,950 
December 31, 2025
Amortized Cost Basis by Calendar Year of Origination
20252024PriorTotal
A$3,366,828 $104,402 $506 $3,471,736 
B2,639,049 118,046 7,976 2,765,071 
C1,384,930 153,755 34,452 1,573,137 
D445,093 5,102 7,171 457,366 
Total amortized cost basis$7,835,900 $381,305 $50,105 $8,267,310 
The following tables summarize the balances of and changes in allowance for credit losses on loans held for investment as of June 30, 2026 and December 31, 2025:
Balance at January 1, 2026$929,406 
Charge-offs(419,464)
Provision for credit losses638,450 
Balance at June 30, 2026$1,148,392 
Balance at January 1, 2025$816,045 
Charge-offs(901,450)
Provision for credit losses1,014,811 
Balance at December 31, 2025$929,406