Other income and operating expenses (Tables)

6 Months Ended

Jun. 30, 2020

Other income and operating expenses

Schedule of the balance sheet impact as a result of Paycheck Protection Program (PPP) activities

(In Thousands)	June 30, 2020
Assets
Cash and cash equivalents	$	63,553
Restricted cash		23,513
PPP loans, at fair value		105,248
Other assets
Prepaid expenses		826
PPP fee receivable		260
Accrued interest receivable		88
Total PPP related assets	$	193,488
Liabilities
Secured borrowings	$	100,012
Interest payable		926
Deferred LSP revenue		14,493
Accrued PPP related costs		5,077
Payable to third parties		40,554
Repair and denial reserve		2,319
Total PPP related liabilities	$	163,381

Schedule of the income and expenses related to the Paycheck Protection Program (PPP) activities.

(In Thousands)	Three months ended June 30, 2020		Financial statement account
Income
LSP origination fees	$	26,116	Other income - origination fees
PPP processing fees		5,155	Other income - origination fees
LSP fee income		853	Servicing income
Interest income		194	Interest income
Total PPP related income	$	32,318
Expense
Direct operating expenses	$	5,525	Other operating expenses - origination costs
R&D reserve		2,319	Other income - change in repair and denial reserve
Interest expense		1,402	Interest expense
Total PPP related expenses (direct)	$	9,246
Net PPP related income	$	23,072

Schedule of other income and operating expenses

	Three Months Ended June 30,				Six Months Ended June 30,
(In Thousands)	2020		2019		2020		2019
Other income
Origination income	$	33,617		1,709	$	36,112		2,517
Change in repair and denial reserve		(2,651)		(76)		(2,515)		(165)
Other		628		1,159		2,070		1,340
Total other income	$	31,594	$	2,792	$	35,667	$	3,692
Other operating expenses
Origination costs		9,430		2,734		12,455		3,923
Technology expense		1,742		1,057		3,322		2,158
Impairment on real estate		106		375		3,075		680
Rent and property tax expense		1,200		1,103		2,384		1,794
Recruiting, training and travel expense		235		592		859		1,179
Marketing expense		385		582		931		1,127
Loan acquisition costs		356		(5)		453		105
Financing costs on purchased future receivables		789		—		1,413		—
Other		3,502		1,647		6,595		3,981
Total other operating expenses	$	17,745	$	8,085	$	31,487	$	14,947