Company: CPSS
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001683168-25-001548
Chunk: 1486

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 9
Chunk 1486
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 sheet, which reflects our estimates of probable
credit losses that can be reasonably estimated. The Company recorded a reduction to provision for credit losses on finance receivables
in the amount of $5.3 million, $22.3 million, and $28.1 million for the years ended December 31, 2024, 2023, and 2022, respectively. The
reserve decrease was primarily due to a decrease in lifetime expected credit losses resulting from better than expected credit performance
for these receivables.

     F-18 

CONSUMER PORTFOLIO SERVICES, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The following table presents
a summary of the activity for the allowance for finance credit losses, for the years ended December 31, 2024, 2023 and 2022:

    Schedule of allowance for finance credit losses 

    December 31, 

    2024  
    2023  
    2022 

    (In thousands) 
  
    Balance at beginning of period 
    $2,869  
    $21,753  
    $56,206 
  
    Provision for credit losses on finance receivables 
     (5,307) 
     (22,300) 
     (28,100)
  
    Charge-offs 
     (1,846) 
     (8,064) 
     (18,319)
  
    Recoveries 
     4,717  
     11,480  
     11,966 
  
    Balance at end of period 
    $433  
    $2,869  
    $21,753 

The following table presents
the gross charge-offs by year of origination of our finance receivables for the year ended December 31, 2024, 2023, and 2022:

    Schedule of charge-offs for financed receivables 

    December 31, 

    2024  
    2023  
    2022 
  
    Annual Vintage Pool 
    (In thousands) 
  
    2014 and prior 
    $353 
    $325  
    $963 
  
    2015 
     285  
     1,031  
     3,047 
  
    2016 
     703