Loans Held For Investment

12 Months Ended

Jun. 30, 2024

LOANS HELD FOR INVESTMENT

Loans held for investment are included in prepaid expenses and other current assets in the accompanying consolidated balance sheets and consisted of the following as of the dates presented (in thousands):


	June 30,
	2024		2023
Unpaid principal balance	$	44,491	$	1,579

Less: Discount at loan purchase, net of amortization	(1,120)		(47)
Less: Allowance for expected credit losses	(4,700)		—
Loans held for investment, net	$	38,671	$	1,532

Credit Quality Information

The Company conducts an eligibility assessment prior to loan origination by the Originating Bank Partner. This process is performed at the invoice level and involves evaluating the invoice repayment likelihood by the respective network members associated with each invoice. Subsequently, the credit quality of these loans is monitored based on the delinquency trends or past due status of the loans held for investment, which are considered the credit quality indicators. Loans held for investment are considered past due if payment is not received within the terms set by the loan or line of credit agreement. The outstanding balance of loans held for investment considered past due was not material as of each of June 30, 2024 and 2023.

All of the outstanding balance of loans held for investment as of June 30, 2024 was originated during the year ended June 30, 2024.