Finance Receivables Finance Receivables (Tables)

9 Months Ended

Sep. 30, 2013

Financing Receivable, Recorded Investment [Line Items]

Allowance for Loan Losses - Commercial Loans [Table Text Block]

A summary of the activity in the allowance for commercial loan losses is as follows (in millions):

	Three Months Ended September 30, 2013
	North America		International		Total
Balance at beginning of period	$	12	$	12	$	24
Provision for loan losses	1				1
Recoveries			4		4
Balance at end of period	$	13	$	16	$	29

	Nine Months Ended September 30, 2013
	North America		International		Total
Balance at beginning of period	$	6	$		$	6
Provision for loan losses	7		11		18
Recoveries			5		5
Balance at end of period	$	13	$	16	$	29

Financing Receivable Credit Quality Indicators for Commercial Lending [Table Text Block]

A summary of the credit risk profile by dealer grouping of the commercial finance receivables is as follows (in millions):

		September 30, 2013		December 31, 2012
Group I -	Dealers with strong to superior financial metrics	$	442	$	99
Group II -	Dealers with fair to favorable financial metrics	1,243		278
Group III -	Dealers with marginal to weak financial metrics	1,701		171
Group IV -	Dealers with poor financial metrics	1,210		12
Group V -	Dealers warranting special mention due to potential weaknesses	458
Group VI -	Dealers with loans classified as substandard, doubtful or impaired	192
Balance at end of period		$	5,246	$	560

Credit Impaired Finance Receivables [Table Text Block]

The following table provides information related to the credit-impaired consumer finance receivables acquired with the international operations on the applicable acquisition dates (in millions):

Contractually required payments receivable (a)	$	799
Cash flows expected to be collected (a)	$	728
Fair value (a)	$	601

Finance Receivables Summary - Post Acquisition Receivables [Table Text Block]

Following is a summary of activity in our post-acquisition consumer finance receivables portfolio (in millions):

	Nine Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Post-acquisition consumer finance receivables, net of fees - beginning of period	$	8,831		$			$	8,831		$	5,314
International operations acquisition				6,378			6,378
Loans purchased	3,980			2,350			6,330			4,363
Charge-offs	(401		)	(18		)	(419		)	(186		)
Principal collections and other	(2,097		)	(1,579		)	(3,676		)	(1,236		)
Foreign currency translation				221			221
Balance at end of period	$	10,313		$	7,352		$	17,665		$	8,255

Finance Receivables Summary - Post-acquisition - Commercial [Table Text Block]

Following is a summary of activity in our commercial finance receivables portfolio (in millions):

	Nine Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Commercial finance receivables, net of fees - beginning of period	$	560		$			$	560		$
International operations acquisition				3,990			3,990
Loans funded	3,919			12,280			16,199			584
Principal collections and other	(3,122		)	(12,509		)	(15,631		)	(300		)
Foreign currency translation				128			128
Balance at end of period	$	1,357		$	3,889		$	5,246		$	284

Finance receivables, net [Table Text Block]

inance receivables portfolio consists of the following (in millions):

	September 30, 2013									December 31, 2012
	North America			International			Total			North America
Consumer
Pre-acquisition consumer finance receivables - outstanding balance	$	1,154		$	445		$	1,599		$	2,162
Pre-acquisition consumer finance receivables - carrying value	$	1,028		$	424		$	1,452		$	1,958
Post-acquisition consumer finance receivables, net of fees	10,313			7,352			17,665			8,831
	11,341			7,776			19,117			10,789
Less: allowance for loan losses	(453		)	(14		)	(467		)	(345		)
Total consumer finance receivables, net	10,888			7,762			18,650			10,444
Commercial
Commercial finance receivables, collectively evaluated for impairment, net of fees	1,355			3,812			5,167			560
Commercial finance receivables, individually evaluated for impairment, net of fees	2			77			79
Less: allowance for loan losses - collective	(12		)	(13		)	(25		)	(6		)
Less: allowance for loan losses - specific	(1		)	(3		)	(4		)
Total commercial finance receivables, net	1,344			3,873			5,217			554
Total finance receivables, net	$	12,232		$	11,635		$	23,867		$	10,998

Finance Receivables Summary [Table Text Block]

Following is a summary of activity in our pre-acquisition consumer finance receivables portfolio (in millions):

	Nine Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Pre-acquisition consumer finance receivables - outstanding balance, beginning of period	$	2,162		$			$	2,162		$	4,366
Pre-acquisition consumer finance receivables - carrying value, beginning of period	$	1,958		$			$	1,958		$	4,027
International operations acquisition				601			601
Principal collections and other	(885		)	(192		)	(1,077		)	(1,532		)
Change in carrying value adjustment	(45		)	8			(37		)	(145		)
Foreign currency translation				7			7
Balance at end of period	$	1,028		$	424		$	1,452		$	2,350

Accretable Yield [Table Text Block]

A summary of the activity in the accretable yield on the pre-acquisition consumer finance receivables portfolios is as follows (in millions):

	Three Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Balance at beginning of period	$	298		$	96		$	394		$	628
Accretion of accretable yield	(65		)	(20		)	(85		)	(123		)
Transfer from non-accretable difference				19			19
Foreign currency translation				1			1
Balance at end of period	$	233		$	96		$	329		$	505

	Nine Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Balance at beginning of period	$	404		$			$	404		$	737
International operations acquisition				127			127
Accretion of accretable yield	(225		)	(44		)	(269		)	(402		)
Transfer from non-accretable difference	54			19			73			170
Foreign currency translation				(6		)	(6		)
Balance at end of period	$	233		$	96		$	329		$	505

Allowance for Credit Losses on Financing Receivables [Table Text Block]

A summary of the activity in the allowance for consumer loan losses is as follows (in millions):

	Three Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Balance at beginning of period	$	415		$	8		$	423		$	249
Provision for loan losses	107			9			116			78
Charge-offs	(153		)	(18		)	(171		)	(82		)
Recoveries	84			15			99			46
Balance at end of period	$	453		$	14		$	467		$	291

	Nine Months Ended September 30,
	2013									2012
	North America			International			Total			North America
Balance at beginning of period	$	345		$			$	345		$	179
Provision for loan losses	276			17			293			188
Charge-offs	(401		)	(18		)	(419		)	(186		)
Recoveries	233			15			248			110
Balance at end of period	$	453		$	14		$	467		$	291

Financing Receivable Credit Quality Indicators [Table Text Block]

A summary of the credit risk profile by FICO score band, determined at origination, of the consumer finance receivables in the North America Segment is as follows (dollars in millions):

	September 30, 2013		Percent		December 31, 2012		Percent
FICO Score less than 540	$	3,444	30.0	%	$	3,011	27.4	%
FICO Score 540 to 599	5,389		47.0		5,014		45.6
FICO Score 600 to 659	2,333		20.4		2,513		22.9
FICO Score 660 and greater	301		2.6		455		4.1
Balance at end of period(a)	$	11,467	100.0	%	$	10,993	100.0	%

_________________ 

(a) Balance at the end of the period is the sum of pre-acquisition consumer finance receivables-outstanding balance and post-acquisition consumer finance receivables, net of fees for North America Segment.

Past Due Financing Receivables [Table Text Block]

A consumer account is considered delinquent if a substantial portion of a scheduled payment has not been received by the date such payment was contractually due. Consumer finance receivables are collateralized by vehicle titles and we have the right to repossess the vehicle in the event the consumer defaults on the payment terms of the contract. The following is a summary of the contractual amounts of consumer finance receivables, which is not materially different than recorded investment, that are (i) more than 30 days delinquent, not yet in repossession, and (ii) in repossession, but not yet charged off (dollars in millions):

	September 30,
	2013								2012
	North America		International		Total		Percent of Contractual Amount Due		North America		Percent of Contractual Amount Due
31 - 60 days	$	690	$	49	$	739	3.8	%	$	561	5.2	%
Greater - than 60 days	247		44		291		1.5		204		1.9
	937		93		1,030		5.3		765		7.1
In repossession	41		4		45		0.3		38		0.3
	$	978	$	97	$	1,075	5.6	%	$	803	7.4	%