Allowance for Credit Losses

3 Months Ended

Mar. 31, 2022

8. Allowance for credit losses

The Company has exposure to credit losses for financial assets including customer accounts and other restricted cash, settlement receivables, accounts receivable, and financial guarantee contracts to the extent that a chargeback claim is made against the Company directly or to the Company’s merchants on card purchases.

The following table summarizes the expected credit allowance activity for customer accounts and other restricted cash; settlement receivables, net; accounts receivable, net; and financial guarantee contracts and other, for the three months ended March 31, 2022:


	Customer accounts and other restricted cash			Accounts receivable, net			Settlement receivables, net			Financial guarantee contracts and other			Total allowance for current expected credit losses
Balance at December 31, 2021		673			8,642			4,049			6,927			20,291
Credit loss expense		-			5,236			514			138			5,888
Write-Offs		-			(4,560	)		(785	)		(96	)		(5,441	)
Other (1)		(9	)		(30	)		(110	)		10			(139	)
Balance at March 31, 2022		664			9,288			3,668			6,979			20,599

(1)

Other mainly relates to the impact of foreign exchange.

Credit loss expense for the three months ended March 31, 2022 and 2021 was $5,888 and $5,985, respectively. Credit loss expense and write offs in the current period are comparable to the prior period.