ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITES

12 Months Ended

Dec. 31, 2025

ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITES

NOTE 12—ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITES:

The following table details the components of accounts payable, accrued expenses and other liabilities at December 31, 2025 and December 31, 2024:


	December 31, 2025		December 31, 2024
Loan related remittances due to SBA and participants	$	3,764	$	2,203
Accrued payroll and related payables	295		332
Accrued interest	7,086		6,035
Funds in process to PMT's payroll customers	9,453		5,700
Loan processing, servicing and other loan related payables	2,329		3,185
SBA repair & denial reserve1	3,736		3,573
Good faith deposits	895		1,499
Other	15,404		18,279
Total accounts payable, accrued expenses and other liabilities	$	42,962	40,806

1 The Company may be exposed to repair and denial liability to the SBA for SBA 7(a) loans in its portfolio. The Company established a loss contingency reserve in accordance with ASC 450-20. To determine the reserve the Company utilizes probability of default and loss given default rates, which are consistent with the assumptions used in its cash flow projections when estimating the fair value of loans. These factors are applied to the outstanding balances of guaranteed SBA 7(a) loans as well as a rate of repurchase based on historical experience.