v3.26.1
Bonds and Notes Payable
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Bonds and Notes Payable Bonds and Notes Payable
The following tables summarize the Company’s outstanding debt obligations by type of instrument:
As of June 30, 2026
Carrying
amount
Interest rate
range
Final maturity
Variable-rate bonds and notes issued in FFELP loan asset-backed securitizations:
Bonds and notes based on indices$5,520,346 
3.99% - 5.76%
10/25/33 - 11/27/90
Bonds and notes based on auction10,915 
4.74%
8/25/37
Total FFELP variable-rate bonds and notes5,531,261 
Fixed-rate bonds and notes issued in FFELP loan asset-backed securitizations277,696 
1.42% - 3.45%
10/25/67 - 8/27/68
FFELP loan warehouse facility469,041 
4.72% / 4.73%
7/30/27
Consumer loan warehouse and other facilities752,435 
4.92% - 5.42%
11/13/27 - 2/29/28
Variable-rate bonds and notes issued in private education loan asset-backed securitizations27,414 
5.15% / 5.88%
6/25/49 / 11/25/53
Fixed-rate bonds and notes issued in private education loan asset-backed securitization20,534 
7.15%
11/25/53
Unsecured line of credit— —3/31/31
Participation agreements796 
4.37% - 5.82%
5/4/27 / 7/28/32
7,079,177 
Discount on bonds and notes payable and debt issuance costs(36,021)
Total$7,043,156 
As of December 31, 2025
Carrying
amount
Interest rate
range
Final maturity
Variable-rate bonds and notes issued in FFELP loan asset-backed securitizations:
Bonds and notes based on indices$6,448,212 
4.35% - 5.85%
3/22/32 - 11/27/90
Bonds and notes based on auction24,150 
0.01% - 5.10%
3/22/32 - 8/25/37
Total FFELP variable-rate bonds and notes6,472,362 
Fixed-rate bonds and notes issued in FFELP loan asset-backed securitizations302,791 
1.42% - 3.45%
10/25/67 - 8/27/68
FFELP loan warehouse facility213,982 
4.83% / 4.84%
1/29/27
Consumer loan warehouse and other facilities767,951 
5.01% - 5.67%
11/13/27 - 2/29/28
Variable-rate bonds and notes issued in private education loan asset-backed securitizations35,770 
5.15% / 6.12%
6/25/49 / 11/25/53
Fixed-rate bonds and notes issued in private education loan asset-backed securitization27,391 
7.15%
11/25/53
Unsecured line of credit— —9/22/26
Participation agreements1,322 
4.53% - 5.82%
5/4/26 / 7/28/32
7,821,569 
Discount on bonds and notes payable and debt issuance costs(40,642)
Total$7,780,927 
Warehouse and Other Facilities
The Company funds a portion of its loan acquisitions through the use of warehouse and other secured facilities. Loan warehousing allows the Company to buy and manage loans prior to transferring them into more permanent financing arrangements. The following table summarizes the Company's warehouse and other facilities as of June 30, 2026:
Type of loansMaximum financing amountAmount outstandingAmount availableExpiration of liquidity provisionsFinal maturity dateAdvance rateAdvanced as equity support
FFELP (a)$500,000 469,041 30,959 7/31/20267/30/2027note (b)$30,143 
Consumer loans and other financing receivables$925,000 752,435 172,565 
11/13/2026 - 7/31/2027
11/13/2027 - 2/29/2028
50% - 90%
$107,953 
(a)    On January 30, 2026, the Company extended the liquidity provisions and final maturity date on this facility to July 31, 2026 and July 30, 2027, respectively. On May 5, 2026, the Company decreased the maximum financing amount from $800 million to $500 million. On July 31, 2026, the Company extended the liquidity provisions and final maturity date to September 30, 2026 and September 30, 2027, respectively.
(b)    This facility has a static advance rate until the expiration date of the liquidity provisions. The maximum advance rates for this facility are 90% to 96%, and the minimum advance rates are 84% to 90%. In the event the liquidity provisions are not extended, the valuation agent has the right to perform a one-time mark to market on the underlying loans funded in this facility, subject to a floor. The loans would then be funded at this new advance rate until the final maturity date of the facility.
Unsecured Line of Credit
On March 31, 2026, the Company entered into a new $435.0 million unsecured line of credit. In conjunction with entering into the new line of credit, the Company terminated its $495.0 million line of credit which had a scheduled maturity date of September 22, 2026. There was no outstanding balance on the $495.0 million line of credit on the date of termination.
Borrowings by the Company under the new line of credit will bear interest at rates that will vary based on market conditions, the Company's credit rating, interest elections by the Company under the agreement, and other factors at the time of the borrowings. The maturity date of the new line of credit is March 31, 2031.
The new line of credit contains affirmative and negative covenants, including, but not limited to, certain financial covenants related to maintenance of a minimum consolidated net worth, a limitation on recourse indebtedness to adjusted EBITDA, a limitation on permitted investments, and an asset quality test related to non-FFELP loans held by the Company and its consolidated subsidiaries. Any violation of these covenants could lead to an event of default under the agreement. The Company's obligations under the agreement are guaranteed by certain subsidiaries of the Company.
As of June 30, 2026, no amount was outstanding on the new line of credit and $435.0 million was available for future use.
Debt Repurchases
The Company has repurchased certain of its own asset-backed securities (bonds and notes payable) in the secondary market or retained such instruments upon initial issuance. For accounting purposes, these notes are eliminated in consolidation and are not included in the Company's consolidated financial statements. However, these securities remain legally outstanding at the trust level and the Company could sell these notes to third parties, redeem the notes at par as cash is generated by the trust estate, or pledge the securities as collateral on repurchase agreements. Upon a sale of these notes to third parties, the Company would obtain cash proceeds equal to the market value of the notes on the date of such sale. As of June 30, 2026, the Company holds $111.5 million (par value) of its own FFELP asset-backed securities. Upon sale, these notes would be shown as "bonds and notes payable" in the Company's consolidated balance sheet.