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Fair Value Measurement (Tables)
 6 Months Ended
Jun. 30, 2022
Fair Value Disclosures [Abstract]  
Assets and liabilities measured at fair value The following table presents assets and liabilities measured at fair value and categorized as Level 3 in the fair value hierarchy:
December 31,June 30,
20212022
Assets
Loans$252,477 $623,763 
Notes receivable and residual certificates8,288 4,698 
Loan servicing assets18,388 35,171 
Total assets$279,153 $663,632 
Liabilities
Loan servicing liabilities$8,780 $6,366 
Trailing fee liabilities4,315 5,446 
Total liabilities$13,095 $11,812 
Significant unobservable inputs The following table presents quantitative information about the significant unobservable inputs used for the Company’s Level 3 fair value measurements for loans held-for-investment and held-for-sale:
December 31, 2021June 30, 2022
MinimumMaximum
Weighted-Average (2)
MinimumMaximum
Weighted-Average (2)
Discount rate3.42 %16.49 %7.29 %5.92 %18.94 %9.63 %
Credit risk rate (1)
0.08 %55.79 %17.98 %0.01 %79.09 %17.50 %
Prepayment rate (1)
8.70 %88.12 %40.35 %1.55 %90.30 %40.78 %
(1)Expressed as a percentage of the original principal balance of the loans
(2)Unobservable inputs were weighted by relative fair value
The following table presents quantitative information about the significant unobservable inputs used for the Company’s Level 3 fair value measurements of assets related to securitization transactions:
December 31, 2021June 30, 2022
MinimumMaximum
Weighted-Average (2)
MinimumMaximum
Weighted-Average (2)
Notes receivable and residual certificates
Discount rate4.96 %15.72 %6.78 %5.82 %18.14 %9.61 %
Credit risk rate (1)
0.04 %50.69 %18.47 %0.76 %50.69 %18.63 %
Prepayment rate (1)
15.60 %36.08 %27.82 %15.60 %35.03 %27.90 %
_________
(1)Expressed as a percentage of the original principal balance of the loans underlying the financial instruments
(2)Unobservable inputs were weighted by relative fair value
Sensitivity analysis of fair value
The below table presents the sensitivity of the loans held-for-sale and held-for-investment to adverse changes in key assumptions used in the valuation model as of December 31, 2021 and June 30, 2022, respectively.

December 31,June 30,
20212022
Fair value of loans$252,477 $623,763 
Discount rates
100 basis point increase(3,392)(7,525)
200 basis point increase(6,709)(14,901)
Expected credit loss rates on underlying loans
10% adverse change(3,959)(8,626)
20% adverse change(7,927)(17,269)
Expected prepayment rates
10% adverse change(239)(2,395)
20% adverse change(512)(4,739)
Rollforward of level 3 assets
The following tables include a rollforward of the loans classified within Level 3 of the fair value hierarchy:

Loans Held-for-
Sale		Loans Held-for-InvestmentTotal
Fair value at March 31, 2021$28,794 $28,395 $57,189 
Purchases of loans20,071 29,601 49,672 
Sale of loans(20,432)— (20,432)
Purchase of loans for immediate resale2,119,597 — 2,119,597 
Immediate resale(2,119,597)— (2,119,597)
Repayments received(1,726)(3,800)(5,526)
Changes in fair value recorded in earnings(5)1,174 1,169 
Other changes39 200 239 
Fair value at June 30, 2021$26,741 $55,570 $82,311 

Loans Held-for-
Sale		Loans Held-for-InvestmentTotal
Fair value at December 31, 2020$60,232 $18,228 $78,460 
Reclassification of loans(26)26 — 
Purchases of loans38,311 42,548 80,859 
Sale of loans(66,901)— (66,901)
Purchase of loans for immediate resale3,414,231 — 3,414,231 
Immediate resale(3,414,231)— (3,414,231)
Repayments received(5,036)(6,129)(11,165)
Changes in fair value recorded in earnings352 616 968 
Other changes(191)281 90 
Fair value at June 30, 2021$26,741 $55,570 $82,311 
Loans Held-for-
Sale		Loans Held-for-InvestmentTotal
Fair value at March 31, 2022$597,981 $— $597,981 
Reclassification of loans(6,113)6,113 — 
Purchases of loans682,575 13,876 696,451 
Sale of loans(583,918)— (583,918)
Purchase of loans for immediate resale1,782,442 — 1,782,442 
Immediate resale(1,782,442)— (1,782,442)
Repayments received(54,549)(1,038)(55,587)
Changes in fair value recorded in earnings(32,319)(487)(32,806)
Other changes1,662 (20)1,642 
Fair value at June 30, 2022$605,319 $18,444 $623,763 
Loans Held-for-
Sale		Loans Held-for-InvestmentTotal
Fair value at December 31, 2021$142,685 $109,792 $252,477 
Reclassification of loans, net103,679 (103,679)— 
Purchases of loans1,125,765 13,876 1,139,641 
Sale of loans(634,682)— (634,682)
Purchase of loans for immediate resale4,797,036 — 4,797,036 
Immediate resale(4,797,036)— (4,797,036)
Repayments received(84,275)(1,038)(85,313)
Changes in fair value recorded in earnings(51,830)(487)(52,317)
Other changes3,977 (20)3,957 
Fair value at June 30, 2022$605,319 $18,444 $623,763 
The following tables include a rollforward of the notes receivable and residual certificates related to securitization transactions classified by the Company within Level 3 of the fair value hierarchy:

Notes Receivable and Residual Certificates
Fair value at March 31, 2021$16,033 
Repayments and settlements(3,230)
Changes in fair value recorded in earnings192 
Fair value at June 30, 2021$12,995 

Notes Receivable and Residual Certificates
Fair value at December 31, 2020$19,074 
Repayments and settlements(6,349)
Changes in fair value recorded in earnings270 
Fair value at June 30, 2021$12,995 
Notes Receivable and Residual Certificates
Fair value at March 31, 2022$6,384 
Repayments and settlements(1,845)
Changes in fair value recorded in earnings159 
Fair value at June 30, 2022$4,698 
Notes Receivable and Residual Certificates
Fair value at December 31, 2021$8,288 
Repayments and settlements(3,912)
Changes in fair value recorded in earnings322 
Fair value at June 30, 2022$4,698 
Aggregate fair value and principal outstanding of all loans and loans 90 days or more past due
The following table presents the aggregate fair value and aggregate principal outstanding of all loans and loans that were 90 days or more past due included in the condensed consolidated balance sheets:
LoansLoans > 90 Days Past Due
December 31,June 30,December 31,June 30,
2021202220212022
Outstanding principal balance$277,228 $689,424 $1,979 $4,134 
Net fair value and accrued interest adjustments(24,751)(65,661)(1,692)(3,414)
Fair value(1)
$252,477 $623,763 $287 $720 
_________
(1)     Includes $50.1 million and $382.5 million of auto loans as of December 31, 2021 and June 30, 2022, respectively, of which an immaterial amount is 90 days or more past due for each period presented.
Level 3 fair value assumptions for loan servicing assets and liabilities
The following table presents quantitative information about the significant unobservable inputs used for the Company’s Level 3 fair value measurements for loan servicing assets and liabilities:
December 31, 2021June 30, 2022
MinimumMaximum
Weighted-Average (2)
MinimumMaximum
Weighted-Average (2)
Discount rate13.00 %20.00 %17.69 %13.00 %20.00 %17.42 %
Credit risk rate (1)
0.03 %52.78 %18.36 %0.03 %64.90 %17.19 %
Market-servicing rate (3)(4)(5)
0.62 %3.73 %0.62 %0.62 %3.73 %0.62 %
Prepayment rate (1)
5.99 %91.43 %36.39 %5.99 %91.99 %40.01 %
_________
(1)Expressed as a percentage of the original principal balance of the loans underlying the servicing arrangement
(2)Unobservable inputs were weighted by relative fair value
(3)Excludes ancillary fees that would be passed on to a third-party servicer
(4)Expressed as a percentage of the outstanding principal balance of the loan
(5)Includes personal loans and auto loans
Fair value sensitivity of loan servicing assets and liabilities to adverse changes in key assumptions The table below presents the fair value sensitivity of loan servicing assets and liabilities to adverse changes in key assumptions. The fair value of loan servicing assets and liabilities is not sensitive to adverse changes in discount rates and prepayment rates as such changes would not result in a significant impact on the fair value as of December 31, 2021 and June 30, 2022, respectively.
December 31,June 30,
20212022
Fair value of loan servicing assets$18,388 $35,171 
Expected market-servicing rates
10% market-servicing rates increase(5,539)(10,156)
20% market-servicing rates increase(11,002)(20,262)
December 31,June 30,
20212022
Fair value of loan servicing liabilities$8,780 $6,366 
Expected market-servicing rates
10% market-servicing rates increase5,357 3,730 
20% market-servicing rates increase10,788 7,509 
Servicing liabilities at fair value rollforward
The following tables present a rollforward of the loan servicing assets and liabilities classified by the Company within Level 3 of the fair value hierarchy:
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at March 31, 2021$8,734 $10,853 
Sale of loans6,477 4,308 
Changes in fair value recorded in earnings239 (3,278)
Fair value at June 30, 2021$15,450 $11,883 
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at December 31, 2020$6,831 $8,254 
Sale of loans9,929 7,827 
Changes in fair value recorded in earnings(1,310)(4,198)
Fair value at June 30, 2021$15,450 $11,883 
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at March 31, 2022$27,960 $8,290 
Sale of loans9,408 382 
Changes in fair value recorded in earnings(2,197)(2,306)
Fair value at June 30, 2022$35,171 $6,366 
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at December 31, 2021$18,388 $8,780 
Sale of loans20,018 2,286 
Changes in fair value recorded in earnings(3,235)(4,700)
Fair value at June 30, 2022$35,171 $6,366 
Servicing assets at fair value rollforward
The following tables present a rollforward of the loan servicing assets and liabilities classified by the Company within Level 3 of the fair value hierarchy:
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at March 31, 2021$8,734 $10,853 
Sale of loans6,477 4,308 
Changes in fair value recorded in earnings239 (3,278)
Fair value at June 30, 2021$15,450 $11,883 
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at December 31, 2020$6,831 $8,254 
Sale of loans9,929 7,827 
Changes in fair value recorded in earnings(1,310)(4,198)
Fair value at June 30, 2021$15,450 $11,883 
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at March 31, 2022$27,960 $8,290 
Sale of loans9,408 382 
Changes in fair value recorded in earnings(2,197)(2,306)
Fair value at June 30, 2022$35,171 $6,366 
Loan Servicing AssetsLoan Servicing Liabilities
Fair value at December 31, 2021$18,388 $8,780 
Sale of loans20,018 2,286 
Changes in fair value recorded in earnings(3,235)(4,700)
Fair value at June 30, 2022$35,171 $6,366 
Rollforward of level 3 liabilities
The following tables include a rollforward of trailing fee liabilities classified by the Company within Level 3 of the fair value hierarchy:

Trailing Fee Liabilities
Fair value at March 31, 2021$1,775 
Issuances936 
Repayments and settlements(246)
Changes in fair value recorded in earnings48 
Fair value at June 30, 2021$2,513 
Trailing Fee Liabilities
Fair value at December 31, 2020$1,276 
Issuances1,605 
Repayments and settlements(416)
Changes in fair value recorded in earnings48 
Fair value at June 30, 2021$2,513 
Trailing Fee Liabilities
Fair value at March 31, 2022$5,241 
Issuances1,119 
Repayments and settlements(766)
Changes in fair value recorded in earnings(148)
Fair value at June 30, 2022$5,446 
Trailing Fee Liabilities
Fair value at December 31, 2021$4,315 
Issuances2,786 
Repayments and settlements(1,395)
Changes in fair value recorded in earnings(260)
Fair value at June 30, 2022$5,446