Allowance for Credit Losses and Unfunded Loan Commitments (Tables)

3 Months Ended

Mar. 31, 2025

Receivables [Abstract]

Schedule of Allowance for Credit Losses and Recorded Investments in Loans

The following table summarizes our Private Education Loan sales to unaffiliated third parties for the periods presented.

Three Months Ended March 31, (dollars in millions)	2025		2024
Loan principal	$	1,840	$	1,952
Capitalized interest	163		151
Total Private Education Loans sold	$	2,003	$	2,103
Gain on sale of loans, net	$	188	$	143

Allowance for Credit Losses Metrics

The following tables provide a summary of the activity in the allowance for loan losses and the allowance for unfunded loan commitments during the three months ended March 31, 2025 and 2024.

Three Months Ended March 31, 2025 (dollars in thousands)	Private Education Loans
Allowance for loan losses, beginning balance	$	1,435,920
Transfer from allowance for unfunded loan commitments	105,134
Provisions:
Provision for current period	95,289
Loan sale reduction to provision	(116,459)
Total provisions(1)	(21,170)
Net charge-offs:
Charge-offs	(86,903)
Recoveries	10,734
Net charge-offs	(76,169)
Allowance for loan losses, ending balance	$	1,443,715
Allowance for unfunded loan commitments, beginning balance(2)	84,568
Provision(1)(3)	44,456
Transfer to allowance for loan losses	(105,134)
Allowance for unfunded loan commitments, ending balance(2)	23,890
Total allowance for credit losses, ending balance	$	1,467,605
Net charge-offs as a percentage of average loans in repayment (annualized)(4)	1.88		%
Allowance for loan losses coverage of net charge-offs (annualized)	4.74
Total Allowance Percentage of Private Education Loan Exposure(5)	5.97		%
Ending total loans, gross	$	22,432,125
Average loans in repayment(4)	$	16,240,511
Ending loans in repayment(4)	$	15,903,797
Unfunded loan commitments	$	584,140
Total accrued interest receivable	$	1,558,465

(1) See “—Provisions for Credit Losses” below in this Note 4 for a reconciliation of the provisions for credit losses reported in the consolidated statements of income.

(2) When a new loan commitment is made, we record an allowance to cover lifetime expected credit losses on the unfunded commitments, which is recorded in “Other Liabilities” on the consolidated balance sheet. See “—Unfunded Loan Commitments” in this Note 4 for further discussion.

(3 ) Includes incremental provision for new commitments and changes to provision for existing commitments.

(4) Loans in repayment include loans on which borrowers are making interest only or fixed payments, as well as loans that have entered full principal and interest repayment status after any applicable grace period (but, for purposes of the table, do not include loans in the “loans in forbearance” metric).

(5) The Total Allowance Percentage of Private Education Loan Exposure is the total allowance for credit losses as a percentage of ending total loans plus unfunded loan commitments and total accrued interest receivable on Private Education Loans.

Three Months Ended March 31, 2024 (dollars in thousands)	FFELP  Loans			Private  Education Loans			Total
Allowance for loan losses, beginning balance	$	4,667		$	1,335,105		$	1,339,772
Transfer from allowance for unfunded loan commitments	—			131,614			131,614
Provisions:
Provision for current period	83			94,476			94,559
Loan sale reduction to provision	—			(133,204)			(133,204)
Total provisions(1)	83			(38,728)			(38,645)
Net charge-offs:
Charge-offs	(123)			(93,874)			(93,997)
Recoveries	—			11,314			11,314
Net charge-offs	(123)			(82,560)			(82,683)
Allowance for loan losses, ending balance	$	4,627		$	1,345,431		$	1,350,058
Allowance for unfunded loan commitments, beginning balance(2)	—			112,962			112,962
Provision(1)(3)	—			50,686			50,686
Transfer to allowance for loan losses	—			(131,614)			(131,614)
Allowance for unfunded loan commitments, ending balance(2)	—			32,034			32,034
Total allowance for credit losses, ending balance	$	4,627		$	1,377,465		$	1,382,092
Net charge-offs as a percentage of average loans in repayment (annualized)(4)	0.12		%	2.14		%
Allowance for loan losses coverage of net charge-offs (annualized)	9.40			4.07
Total Allowance Percentage of Private Education Loan Exposure(5)	0.90		%	5.99		%
Ending total loans, gross	$	516,363		$	20,952,346
Average loans in repayment(4)	$	399,680		$	15,407,495
Ending loans in repayment(4)	$	393,820		$	14,961,692
Unfunded loan commitments	$	—		$	673,492
Total accrued interest receivable	$	—		$	1,357,987

(1) See “—Provisions for Credit Losses” below in this Note 4 for a reconciliation of the provisions for credit losses reported in the consolidated statements of income.

(2) When a new loan commitment is made, we record an allowance to cover lifetime expected credit losses on the unfunded commitments, which is recorded in “Other Liabilities” on the consolidated balance sheet. See “—Unfunded Loan Commitments” in this Note 4 for further discussion.

(3) Includes incremental provision for new commitments and changes to provision for existing commitments.

(4) Loans in repayment include loans on which borrowers are making interest only or fixed payments, as well as loans that have entered full principal and interest repayment status after any applicable grace period (but, for purposes of the table, do not include loans in the “loans in forbearance” metric).

(5) The Total Allowance Percentage of Private Education Loan Exposure is the total allowance for credit losses as a percentage of ending total loans plus unfunded loan commitments and total accrued interest receivable on Private Education Loans.

l

Provisions for Credit Losses

Below is a reconciliation of the provisions for credit losses reported in the consolidated statements of income.

Consolidated Statements of Income Provisions for Credit Losses Reconciliation
Three Months Ended March 31,
(dollars in thousands)	2025		2024
Private Education Loan provisions for credit losses:
Provisions for loan losses	$	(21,170)	$	(38,728)
Provisions for unfunded loan commitments	44,456		50,686
Total Private Education Loan provisions for credit losses	23,286		11,958
Total FFELP Loans provisions for credit losses	—		83
Provisions for credit losses reported in consolidated statements of income	$	23,286	$	12,041

The table below summarizes the activity in the allowance recorded to cover lifetime expected credit losses on the unfunded commitments, which is recorded in “Other Liabilities” on the consolidated balance sheets, as well as the activity in the unfunded commitments balance.

	2025				2024
Three Months Ended March 31, (dollars in thousands)	Allowance		Unfunded Commitments		Allowance		Unfunded Commitments
Beginning Balance	$	84,568	$	2,311,660	$	112,962	$	2,221,077
Provision/New commitments - net(1)	44,456		1,043,958		50,686		1,034,458
Transfer - funded loans(2)	(105,134)		(2,771,478)		(131,614)		(2,582,043)
Ending Balance	$	23,890	$	584,140	$	32,034	$	673,492

(1)     Net of expirations of commitments unused. Also includes incremental provision for new commitments and changes to provision for existing commitments.

(2)     When a loan commitment is funded, its related liability for credit losses (which originally was recorded as a provision for unfunded commitments) is transferred to the allowance for credit losses.

Schedule of Amortized Cost Basis of Financing Receivables

The following tables show the amortized cost basis at the end of the respective reporting periods of the loans to borrowers experiencing financial difficulty that were modified during the period, disaggregated by class of financing receivable and type of modification. When we approve a Private Education Loan at the beginning of an academic year, we do not always disburse the full amount of the loan at the time of approval, but instead have a commitment to fund a portion of the loan at a later date (usually at the start of the second semester or subsequent trimesters). We consider borrowers to be in financial difficulty after they have exited school and have difficulty making their scheduled principal and interest payments.

	Loan Modifications Made to Borrowers Experiencing Financial Difficulty
Three Months Ended March 31, 2025 (dollars in thousands)	Interest Rate Reduction				Combination - Interest Rate Reduction and Term Extension
Loan Type:	Amortized Cost Basis		% of Total Class of Financing Receivable		Amortized Cost Basis		% of Total Class of Financing Receivable
Private Education Loans	$	6,768	0.03	%	$	138,507	0.57	%
Total	$	6,768	0.03	%	$	138,507	0.57	%

	Loan Modifications Made to Borrowers Experiencing Financial Difficulty
Three Months Ended March 31, 2024 (dollars in thousands)	Interest Rate Reduction				Combination - Interest Rate Reduction and Term Extension
Loan Type:	Amortized Cost Basis		% of Total Class of Financing Receivable		Amortized Cost Basis		% of Total Class of Financing Receivable
Private Education Loans	$	4,991	0.02	%	$	252,761	1.13	%
Total	$	4,991	0.02	%	$	252,761	1.13	%

The following tables summarize the financial effect of the modifications made to loans whose borrowers are experiencing financial difficulty:

Three Months Ended March 31,
2025		2024
Interest Rate Reduction	Combination - Interest Rate Reduction and Term Extension	Interest Rate Reduction	Combination - Interest Rate Reduction and Term Extension
Financial Effect:	Financial Effect:	Financial Effect:	Financial Effect:
Reduced average contractual rate from 13.11% to 4.36%	Added a weighted average 9.35 years to the life of loans Reduced average contractual rate from 12.10% to 4.01%	Reduced average contractual rate from 13.15% to 3.94%	Added a weighted average 8.59 years to the life of loans Reduced average contractual rate from 12.57% to 3.71%

Financing Receivable, Modified, Subsequent Default

The following table does not include loans that received a permanent term extension with no interest rate reduction during the fourth quarter of 2023, which are described earlier in this Note 4.

	Three Months Ended March 31,
	2025				2024
(Dollars in thousands)	Defaulted Amount		Period-end Amortized Cost Basis		Defaulted Amount		Period-end Amortized Cost Basis
Loan Type:
Private Education Loans
Interest Rate Reduction	$	1,922	$	1,803	$	1,005	$	1,018
Combination - Interest Rate Reduction and Term Extension	39,064		37,091		13,491		13,765
Total	$	40,986	$	38,894	$	14,496	$	14,783

Age Analysis of Past Due Loans Delinquencies

The following table depicts the performance of loans that have been modified within the three months prior to March 31, 2025, the 12 months prior to March 31, 2025, and the 12 months prior to December 31, 2024, respectively. Loans that received a permanent term extension with no interest rate reduction during the fourth quarter of 2023 are not included in the below table, but are discussed above.

	Three Months Ended March 31, 2025				Twelve Months Ended March 31, 2025				Twelve Months Ended December 31, 2024
(Dollars in thousands)	Balance		%		Balance		%		Balance		%
Payment Status (Amortized Cost Basis)(1):
Loan modifications in deferment(2)	$	1,612			$	33,618			$	33,645
Loan modifications in repayment:
Loans current(3)(4)	48,710		34	%	692,649		79	%	826,007		83	%
Loans delinquent 30-59 days(3)(4)	43,323		30	%	76,207		9	%	77,446		8	%
Loans delinquent 60-89 days(3)(4)	26,691		19	%	48,976		6	%	43,484		4	%
Loans 90 days or greater past due(3)(4)	24,939		17	%	49,463		6	%	54,473		5	%
Total loan modifications in repayment	143,663		100	%	867,295		100	%	1,001,410		100	%
Total Private Education Loan modifications	$	145,275			$	900,913			$	1,035,055

(1) Loans that were modified during the twelve months ended March 31, 2025 and subsequently charged-off during the three months ended March 31, 2025 are excluded from the table and had an amortized cost basis of $18.5 million. Loans that were both modified and subsequently charged-off during the twelve months ended March 31, 2025 are excluded from the table and had an amortized cost basis of $50.0 million. Loans that were both modified and subsequently charged-off during the twelve months ended December 31, 2024 are excluded from the table and had an amortized cost basis of $40.4 million. Additionally, loans that received a permanent term extension with no interest rate reduction during the fourth quarter of 2023 are excluded from the table.

(2) Deferment includes customers who have returned to school or are engaged in other permitted educational activities and are not yet required to make full principal and interest payments on the loans (e.g., residency periods for medical students or a grace period for bar exam preparation). Deferment also includes loans that have entered a forbearance after the loan modification was granted.

(3) Represents loans in repayment, which include loans that have entered full principal and interest repayment status after any applicable grace period (but, for purposes of the table, do not include loans in the “loans in forbearance” metric).

(4) The period of delinquency is based on the number of days scheduled payments are contractually past due.

The following tables provide information regarding the loan status of our Private Education Loans held for investment, by year of origination approval/first disbursement. Loans in repayment include loans on which borrowers are making interest only or fixed payments, as well as loans that have entered full principal and interest repayment status after any applicable grace period (but, for purposes of the following tables, do not include loans in the “loans in forbearance” metric).

	Private Education Loans Held for Investment - Delinquencies by Origination Approval Vintage
As of March 31, 2025 (dollars in thousands)	2025			2024			2023			2022			2021			2020 and Prior			Total
Loans in-school/grace/deferment(1)	$	436,059		$	2,726,541		$	1,341,863		$	635,952		$	320,015		$	603,297		$	6,063,727
Loans in forbearance(2)	1,040			37,981			139,850			96,559			62,922			126,249			464,601
Loans in repayment:
Loans current	504,171			3,673,471			2,578,666			1,965,257			1,439,732			5,172,375			15,333,672
Loans delinquent 30-59 days(3)	1,108			13,654			35,819			39,736			31,663			154,299			276,279
Loans delinquent 60-89 days(3)	—			5,932			23,863			24,895			19,818			78,104			152,612
Loans 90 days or greater past due(3)	—			3,787			21,089			22,246			16,608			77,504			141,234
Total Private Education Loans in repayment	505,279			3,696,844			2,659,437			2,052,134			1,507,821			5,482,282			15,903,797
Total Private Education Loans, gross	942,378			6,461,366			4,141,150			2,784,645			1,890,758			6,211,828			22,432,125
Private Education Loans deferred origination costs and unamortized premium/(discount)	13,142			42,843			20,119			9,329			5,521			11,840			102,794
Total Private Education Loans	955,520			6,504,209			4,161,269			2,793,974			1,896,279			6,223,668			22,534,919
Private Education Loans allowance for losses	(36,944)			(332,859)			(283,874)			(217,640)			(141,990)			(430,408)			(1,443,715)
Private Education Loans, net	$	918,576		$	6,171,350		$	3,877,395		$	2,576,334		$	1,754,289		$	5,793,260		$	21,091,204
Percentage of Private Education Loans in repayment	53.6		%	57.2		%	64.2		%	73.7		%	79.7		%	88.3		%	70.9		%
Delinquent Private Education Loans in repayment as a percentage of Private Education Loans in repayment	0.2		%	0.6		%	3.0		%	4.2		%	4.5		%	5.7		%	3.6		%
Loans in forbearance as a percentage of loans in repayment and forbearance	0.2		%	1.0		%	5.0		%	4.5		%	4.0		%	2.3		%	2.8		%

(1)Deferment includes customers who have returned to school or are engaged in other permitted educational activities and are not yet required to make payments on the loans (e.g., residency periods for medical students or a grace period for bar exam preparation).

(2)Loans for customers who have requested extension of grace period generally during employment transition or who have temporarily ceased making full payments due to hardship or other factors (other than delinquent loans in disaster forbearance), consistent with established loan program servicing policies and procedures.

(3)The period of delinquency is based on the number of days scheduled payments are contractually past due.

	Private Education Loans Held for Investment - Delinquencies by Origination Vintage
As of December 31, 2024 (dollars in thousands)	2024			2023			2022			2021			2020			2019 and Prior			Total
Loans in-school/grace/deferment(1)	$	2,164,479		$	1,817,705		$	748,782		$	355,248		$	184,377		$	452,236		$	5,722,827
Loans in forbearance(2)	19,984			124,728			87,961			52,686			31,575			88,496			405,430
Loans in repayment:
Loans current	2,820,940			3,312,916			2,259,455			1,590,812			1,107,189			4,422,021			15,513,333
Loans delinquent 30-59 days(3)	13,533			36,441			45,543			35,245			27,302			152,684			310,748
Loans delinquent 60-89 days(3)	3,973			15,239			23,359			18,365			10,921			68,878			140,735
Loans 90 days or greater past due(3)	1,683			14,481			20,147			17,080			12,632			75,912			141,935
Total Private Education Loans in repayment	2,840,129			3,379,077			2,348,504			1,661,502			1,158,044			4,719,495			16,106,751
Total Private Education Loans, gross	5,024,592			5,321,510			3,185,247			2,069,436			1,373,996			5,260,227			22,235,008
Private Education Loans deferred origination costs and unamortized premium/(discount)	47,659			25,599			10,788			6,142			4,057			8,825			103,070
Total Private Education Loans	5,072,251			5,347,109			3,196,035			2,075,578			1,378,053			5,269,052			22,338,078
Private Education Loans allowance for losses	(258,235)			(326,207)			(234,532)			(150,324)			(90,600)			(376,022)			(1,435,920)
Private Education Loans, net	$	4,814,016		$	5,020,902		$	2,961,503		$	1,925,254		$	1,287,453		$	4,893,030		$	20,902,158
Percentage of Private Education Loans in repayment	56.5		%	63.5		%	73.7		%	80.3		%	84.3		%	89.7		%	72.4		%
Delinquent Private Education Loans in repayment as a percentage of Private Education Loans in repayment	0.7		%	2.0		%	3.8		%	4.3		%	4.4		%	6.3		%	3.7		%
Loans in forbearance as a percentage of loans in repayment and forbearance	0.7		%	3.6		%	3.6		%	3.1		%	2.7		%	1.8		%	2.5		%

(1)Deferment includes customers who have returned to school or are engaged in other permitted educational activities and are not yet required to make payments on the loans (e.g., residency periods for medical students or a grace period for bar exam preparation).

(2)Loans for customers who have requested extension of grace period generally during employment transition or who have temporarily ceased making full payments due to hardship or other factors (other than delinquent loans in disaster forbearance), consistent with established loan program servicing policies and procedures.

(3)The period of delinquency is based on the number of days scheduled payments are contractually past due.

Schedule of Private Education Loan Portfolio Stratified by Key Credit Quality Indicators

The following tables highlight the gross principal balance of our Private Education Loan portfolio (held for investment), by year of origination approval/first disbursement, stratified by key credit quality indicators.

As of March 31, 2025 (dollars in thousands)	Private Education Loans Held for Investment - Credit Quality Indicators
Year of Origination Approval	2025(1)		2024(1)		2023(1)		2022(1)		2021(1)		2020 and Prior(1)		Total(1)		% of Balance
Cosigners:
With cosigner	$	859,190	$	5,895,269	$	3,629,844	$	2,386,878	$	1,604,095	$	5,421,272	$	19,796,548	88	%
Without cosigner	83,188		566,097		511,306		397,767		286,663		790,556		2,635,577		12
Total	$	942,378	$	6,461,366	$	4,141,150	$	2,784,645	$	1,890,758	$	6,211,828	$	22,432,125	100	%
FICO at Origination Approval(2):
Less than 670	$	51,495	$	379,320	$	310,698	$	231,818	$	144,364	$	537,354	$	1,655,049	7	%
670-699	124,044		783,165		590,368		394,851		260,696		1,029,177		3,182,301		14
700-749	294,174		1,955,019		1,278,201		872,195		603,290		2,093,039		7,095,918		32
Greater than or equal to 750	472,665		3,343,862		1,961,883		1,285,781		882,408		2,552,258		10,498,857		47
Total	$	942,378	$	6,461,366	$	4,141,150	$	2,784,645	$	1,890,758	$	6,211,828	$	22,432,125	100	%
FICO Refreshed(2)(3):
Less than 670	$	78,272	$	616,695	$	578,313	$	449,560	$	302,294	$	1,037,950	$	3,063,084	14	%
670-699	126,040		800,321		530,393		344,692		222,205		664,969		2,688,620		12
700-749	286,159		1,863,056		1,148,737		742,163		494,666		1,590,227		6,125,008		27
Greater than or equal to 750	451,907		3,181,294		1,883,707		1,248,230		871,593		2,918,682		10,555,413		47
Total	$	942,378	$	6,461,366	$	4,141,150	$	2,784,645	$	1,890,758	$	6,211,828	$	22,432,125	100	%
Seasoning(4):
1-12 payments	$	506,319	$	3,438,840	$	544,214	$	398,355	$	227,135	$	389,019	$	5,503,882	25	%
13-24 payments	—		295,985		2,093,179		263,144		169,556		406,222		3,228,086		14
25-36 payments	—		—		161,894		1,384,100		172,968		483,553		2,202,515		10
37-48 payments	—		—		—		103,094		947,463		547,483		1,598,040		7
More than 48 payments	—		—		—		—		53,621		3,782,254		3,835,875		17
Not yet in repayment	436,059		2,726,541		1,341,863		635,952		320,015		603,297		6,063,727		27
Total	$	942,378	$	6,461,366	$	4,141,150	$	2,784,645	$	1,890,758	$	6,211,828	$	22,432,125	100	%
2025 Current period(5) gross charge-offs	$	(30)	$	(2,204)	$	(11,879)	$	(14,517)	$	(11,192)	$	(47,081)	$	(86,903)
2025 Current period(5) recoveries	—		167		1,045		1,515		1,135		6,872		10,734
2025 Current period(5) net charge-offs	$	(30)	$	(2,037)	$	(10,834)	$	(13,002)	$	(10,057)	$	(40,209)	$	(76,169)
Total accrued interest by origination approval vintage	$	14,681	$	304,006	$	427,589	$	300,194	$	186,056	$	325,939	$	1,558,465
(1)Balance represents gross Private Education Loans held for investment. (2)Represents the higher credit score of the cosigner or the borrower. (3)Represents the FICO score updated as of the first-quarter 2025. (4)Number of months in active repayment (whether interest only payment, fixed payment, or full principal and interest payment status) for which a scheduled payment was due. (5)Current period refers to period from January 1, 2025 through March 31, 2025.

As of December 31, 2024 (dollars in thousands)	Private Education Loans Held for Investment - Credit Quality Indicators
Year of Origination Approval	2024(1)		2023(1)		2022(1)		2021(1)		2020(1)		2019 and Prior(1)		Total(1)		% of Balance
Cosigners:
With cosigner	$	4,519,952	$	4,707,685	$	2,741,871	$	1,759,261	$	1,151,751	$	4,642,019	$	19,522,539	88	%
Without cosigner	504,640		613,825		443,376		310,175		222,245		618,208		2,712,469		12
Total	$	5,024,592	$	5,321,510	$	3,185,247	$	2,069,436	$	1,373,996	$	5,260,227	$	22,235,008	100	%
FICO at Origination Approval(2):
Less than 670	$	293,025	$	394,962	$	261,589	$	155,661	$	94,355	$	475,186	$	1,674,778	8	%
670-699	615,617		753,548		449,214		285,181		197,205		898,535		3,199,300		14
700-749	1,525,547		1,641,641		998,834		660,373		451,695		1,782,121		7,060,211		32
Greater than or equal to 750	2,590,403		2,531,359		1,475,610		968,221		630,741		2,104,385		10,300,719		46
Total	$	5,024,592	$	5,321,510	$	3,185,247	$	2,069,436	$	1,373,996	$	5,260,227	$	22,235,008	100	%
FICO Refreshed(2)(3):
Less than 670	$	453,705	$	666,049	$	467,562	$	301,367	$	194,124	$	831,053	$	2,913,860	13	%
670-699	633,749		710,546		409,808		248,325		138,730		578,639		2,719,797		12
700-749	1,485,771		1,512,643		879,450		563,941		362,715		1,398,737		6,203,257		28
Greater than or equal to 750	2,451,367		2,432,272		1,428,427		955,803		678,427		2,451,798		10,398,094		47
Total	$	5,024,592	$	5,321,510	$	3,185,247	$	2,069,436	$	1,373,996	$	5,260,227	$	22,235,008	100	%
Seasoning(4):
1-12 payments	$	2,860,113	$	774,471	$	499,812	$	280,154	$	159,762	$	324,506	$	4,898,818	22	%
13-24 payments	—		2,729,334		372,496		191,989		122,938		340,556		3,757,313		17
25-36 payments	—		—		1,564,157		254,068		110,952		429,127		2,358,304		11
37-48 payments	—		—		—		987,977		170,051		451,494		1,609,522		7
More than 48 payments	—		—		—		—		625,916		3,262,308		3,888,224		17
Not yet in repayment	2,164,479		1,817,705		748,782		355,248		184,377		452,236		5,722,827		26
Total	$	5,024,592	$	5,321,510	$	3,185,247	$	2,069,436	$	1,373,996	$	5,260,227	$	22,235,008	100	%
2024 Current period(5) gross charge-offs	$	(1,826)	$	(29,094)	$	(68,454)	$	(53,697)	$	(37,318)	$	(186,451)	$	(376,840)
2024 Current period(5) recoveries	117		2,191		6,487		5,771		3,840		26,350		44,756
2024 Current period(5) net charge-offs	$	(1,709)	$	(26,903)	$	(61,967)	$	(47,926)	$	(33,478)	$	(160,101)	$	(332,084)
Total accrued interest by origination approval vintage	$	195,291	$	484,531	$	325,962	$	197,504	$	106,565	$	239,562	$	1,549,415

(1)Balance represents gross Private Education Loans held for investment.

(2)Represents the higher credit score of the cosigner or the borrower.

(3)Represents the FICO score updated as of the fourth-quarter 2024.

(4)Number of months in active repayment (whether interest only payment, fixed payment, or full principal and interest payment status) for which a scheduled payment was due.

(5)Current period refers to January 1, 2024 through December 31, 2024.

Schedule of Accrued Interest Receivable

The following table provides information regarding accrued interest receivable on our Private Education Loans. The table also discloses the amount of accrued interest on loans 90 days or greater past due as compared to our allowance for uncollectible interest. The majority of the total accrued interest receivable represents accrued interest on deferred loans where no payments are due while the borrower is in school and fixed-pay loans where the borrower makes a $25 monthly payment that is smaller than the interest accruing on the loan in that month. The accrued interest on these loans will be capitalized to the balance of the loans when the borrower exits the grace period after separation from school. The allowance for credit losses considers the collectibility of both principal and accrued interest. The allowance for uncollectible interest estimates the additional uncollectible interest that is not captured in the allowance for credit losses.

	Private Education Loans
	Accrued Interest Receivable
(Dollars in thousands)	Total Interest Receivable		90 Days or Greater Past Due		Allowance for Uncollectible Interest(1)
March 31, 2025	$	1,558,465	$	6,539	$	14,192
December 31, 2024	$	1,549,415	$	6,420	$	12,366

(1)At March 31, 2025 and December 31, 2024, $156 million and $164 million, respectively, of accrued interest receivable was not expected to be capitalized and $1.4 billion and $1.4 billion of accrued interest receivable was expected to be capitalized.