Finance receivables are comprised of sales-type lease receivables, secured loans and unsecured loans. Sales-type leases and secured loans are financing options for the purchase or lease of Pitney Bowes equipment or other manufacturers' equipment and are generally due in installments over periods ranging from three to five years. Unsecured loans are revolving credit lines offered to our clients for postage, supplies and working capital purposes. Unsecured loans are generally due monthly; however, clients may rollover outstanding balances. Interest is recognized on finance receivables using the effective interest method. Annual fees are recognized ratably over the period covered and client acquisition costs are expensed as incurred. All finance receivables are in our SendTech Solutions segment and we segregate finance receivables into a North America portfolio and an International portfolio.


	June 30, 2024						December 31, 2023
	North America		International		Total		North America		International		Total
Sales-type lease receivables
Gross finance receivables	$	975,820	$	124,799	$	1,100,619	$	987,743	$	143,466	$	1,131,209
Unguaranteed residual values	37,395		6,566		43,961		38,059		7,211		45,270
Unearned income	(258,941)		(38,599)		(297,540)		(253,711)		(42,847)		(296,558)
Allowance for credit losses	(13,096)		(2,285)		(15,381)		(13,942)		(2,786)		(16,728)
Net investment in sales-type lease receivables	741,178		90,481		831,659		758,149		105,044		863,193
Loan receivables
Loan receivables	324,939		18,471		343,410		342,062		17,865		359,927
Allowance for credit losses	(7,221)		(157)		(7,378)		(6,346)		(153)		(6,499)
Net investment in loan receivables	317,718		18,314		336,032		335,716		17,712		353,428
Net investment in finance receivables	$	1,058,896	$	108,795	$	1,167,691	$	1,093,865	$	122,756	$	1,216,621


	Sales-type Lease Receivables						Loan Receivables
	North America		International		Total		North America		International		Total
Remainder 2024	$	188,619	$	41,375	$	229,994	$	202,892	$	18,471	$	221,363
2025	317,823		39,138		356,961		44,977		—		44,977
2026	238,192		24,029		262,221		30,891		—		30,891
2027	149,506		13,319		162,825		24,404		—		24,404
2028	69,320		5,532		74,852		15,975		—		15,975
Thereafter	12,360		1,406		13,766		5,800		—		5,800
Total	$	975,820	$	124,799	$	1,100,619	$	324,939	$	18,471	$	343,410


	June 30, 2024
	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Past due amounts 0 - 90 days	$	966,927	$	123,377	$	323,006	$	18,360	$	1,431,670
Past due amounts > 90 days	8,893		1,422		1,933		111		12,359
Total	$	975,820	$	124,799	$	324,939	$	18,471	$	1,444,029


	December 31, 2023
	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Past due amounts 0 - 90 days	$	977,744	$	140,857	$	339,789	$	17,664	$	1,476,054
Past due amounts > 90 days	9,999		2,609		2,273		201		15,082
Total	$	987,743	$	143,466	$	342,062	$	17,865	$	1,491,136

We provide an allowance for credit losses based on historical loss experience, the nature of our portfolios, adverse situations that may affect a client's ability to pay and current economic conditions and outlook based on reasonable and supportable forecasts. We continually evaluate the adequacy of the allowance for credit losses and adjust as necessary. The assumptions used in determining an estimate of credit losses are inherently subjective and actual results may differ significantly from estimated reserves.

We establish credit approval limits based on the client's credit quality and the type of equipment financed. We cease financing revenue recognition for lease receivables and unsecured loan receivables that are more than 90 days past due. Revenue recognition is resumed when the client's payments reduce the account aging to less than 60 days past due. Finance receivables are written off against the allowance after all collection efforts have been exhausted and management deems the account to be uncollectible. We believe that our credit risk is low because of the geographic and industry diversification of our clients and small account balances for most of our clients.


	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Balance at January 1, 2024	$	13,942	$	2,786	$	6,346	$	153	$	23,227

Amounts charged to expense	422		(81)		2,839		275		3,455
Write-offs	(2,134)		(402)		(2,836)		(268)		(5,640)
Recoveries	886		130		873		—		1,889
Other	(20)		(148)		(1)		(3)		(172)
Balance at June 30, 2024	$	13,096	$	2,285	$	7,221	$	157	$	22,759

	Sales-type Lease Receivables				Loan Receivables
	North America		International		North America		International		Total
Balance at January 1, 2023	$	14,131	$	2,893	$	4,787	$	139	$	21,950

Amounts charged to expense	1,035		250		2,067		160		3,512
Write-offs	(2,374)		(779)		(2,668)		(145)		(5,966)
Recoveries	1,460		134		1,061		—		2,655
Other	3		(64)		17		10		(34)
Balance at June 30, 2023	$	14,255	$	2,434	$	5,264	$	164	$	22,117

The extension and management of credit lines to new and existing clients uses a combination of a client's credit score, where available, a detailed manual review of their financial condition and payment history, or an automated process. Once credit is granted, the payment performance of the client is managed through automated collections processes and is supplemented with direct follow up should an account become delinquent. We have robust automated collections and extensive portfolio management processes to ensure that our global strategy is executed, collection resources are allocated and enhanced tools and processes are implemented as needed.

Over 85% of our finance receivables are within the North American portfolio. We use a third-party to score the majority of this portfolio on a quarterly basis using a proprietary commercial credit score. The relative scores are determined based on a number of factors, including financial information, payment history, company type and ownership structure. We stratify the credit scores of our clients into low, medium and high-risk accounts. Due to timing and other issues, our entire portfolio may not be scored at period end. We report these amounts as "Not Scored"; however, absence of a score is not indicative of the credit quality of the account. The credit score is used to predict the payment behaviors of our clients and the probability that an account will become greater than 90 days past due during the subsequent 12-month period.

We do not use a third-party to score our International portfolio because the cost to do so is prohibitive as there is no single credit score model that covers all countries. Accordingly, the entire International portfolio is reported in the Not Scored category. Most of the International credit applications are small dollar applications (i.e. below $50 thousand) and are subjected to an automated review process. Larger credit applications are manually reviewed, which includes obtaining client financial information, credit reports and other available financial information.


	June 30, 2024
	Sales Type Lease Receivables												Loan Receivables		Total
	2024		2023		2022		2021		2020		Prior
Low	$	104,885	$	237,572	$	196,386	$	126,665	$	78,574	$	58,928	$	252,945	$	1,055,955
Medium	17,798		37,847		30,010		22,380		14,097		14,132		47,644		183,908
High	1,967		4,628		3,750		3,177		2,086		1,165		12,637		29,410
Not Scored	37,484		45,477		30,921		19,722		7,868		3,100		30,184		174,756
Total	$	162,134	$	325,524	$	261,067	$	171,944	$	102,625	$	77,325	$	343,410	$	1,444,029

	December 31, 2023
	Sales Type Lease Receivables												Loan Receivables		Total
	2023		2022		2021		2020		2019		Prior
Low	$	261,583	$	222,947	$	155,193	$	96,986	$	46,635	$	27,164	$	264,232	$	1,074,740
Medium	46,208		35,891		24,483		16,027		10,503		8,041		62,910		204,063
High	4,455		4,217		2,554		1,853		740		862		7,487		22,168
Not Scored	59,335		49,839		33,494		15,944		5,089		1,166		25,298		190,165
Total	$	371,581	$	312,894	$	215,724	$	130,810	$	62,967	$	37,233	$	359,927	$	1,491,136


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Profit recognized at commencement	$	27,245	$	30,839	$	54,206	$	62,661
Interest income	38,045		39,181		76,012		78,112
Total lease income from sales-type leases	$	65,290	$	70,020	$	130,218	$	140,773