v3.22.2.2
Timeshare Financing Receivables (Tables)
 9 Months Ended
Sep. 30, 2022
Receivables [Abstract]  
Schedule of Financing Receivable The following table presents the components of each portfolio segment by class of timeshare financing receivables:
 
Originated(2)
Acquired(2)
($ in millions)September 30,
2022		December 31,
2021		September 30,
2022		December 31,
2021
Securitized$856 $587 $363 $523 
Unsecuritized(1)
799 810 440 515 
Timeshare financing receivables, gross$1,655 $1,397 $803 $1,038 
Unamortized non-credit acquisition premium(3)
— — 47 74 
Less: allowance for financing receivables losses(374)(280)(388)(482)
Timeshare financing receivables, net$1,281 $1,117 $462 $630 
(1)Includes amounts used as collateral to secure a non-recourse revolving timeshare receivable credit facility (“Timeshare Facility”) as well as amounts held as future collateral for securitization activities.
(2)Acquired timeshare financing receivables include all timeshare financing receivables of Legacy-Diamond as of the Acquisition Date. Originated timeshare financing receivables include all Legacy-HGV timeshare financing receivables and Legacy-Diamond timeshare financing receivables originated after the Acquisition Date.
(3)Non-credit premium of $97 million was recognized at the Acquisition Date, of which $47 million remains unamortized as of September 30, 2022.
Schedule of Future Payments Due from Financing Receivables
Our acquired timeshare financing receivables as of September 30, 2022 mature as follows:
Acquired Timeshare Financing Receivables
($ in millions)SecuritizedUnsecuritizedTotal
Year
2022 (remaining)$10 $8 $18 
202341 34 75 
202445 38 83 
202548 42 90 
202651 47 98 
Thereafter168 271 439 
$363 $440 $803 
Our originated timeshare financing receivables as of September 30, 2022 mature as follows:
Originated Timeshare Financing Receivables
($ in millions)SecuritizedUnsecuritizedTotal
Year
2022 (remaining)$24 $19 $43 
2023100 52 152 
2024104 59 163 
2025105 66 171 
2026105 73 178 
Thereafter418 530 948 
$856 $799 $1,655 
Schedule of Change in Allowance for Financing Receivables Losses
The changes in our allowance for financing receivables losses were as follows:
($ in millions)Originated Acquired
Balance as of December 31, 2021$280 $482 
Provision for financing receivables losses(1)
101 — 
Write-offs(52)(63)
Upgrades(2)
45 (31)
Balance at September 30, 2022$374 $388 
($ in millions)
Originated
Acquired
Balance as of December 31, 2020$211 $— 
Provision for financing receivables losses(1)
77 — 
Initial allowance for PCD financing receivables acquired during the period— 469 
Write-offs(50)(7)
Balance at September 30, 2021$238 $462 
(1)Includes incremental provision for financing receivables losses, net of activity related to the repurchase of defaulted and upgraded securitized timeshare financing receivables.
(2)Represents the initial change in allowance resulting from upgrades of Acquired loans. Upgraded Acquired loans and their related allowance are included in the Originated portfolio segment.
Schedule of Financing Receivables by Average FICO Score
Our gross balances by average FICO score of our Legacy-HGV timeshare financing receivables were as follows:
 Legacy-HGV Timeshare Financing Receivables
($ in millions)September 30,
2022		December 31,
2021
FICO score
700+$734 $703 
600-699264 248 
<60036 35 
No score(1)
167 166 
$1,201 $1,152 
(1)Timeshare financing receivables without a FICO score are primarily related to foreign borrowers.
Our gross balances by average FICO score of our Legacy-Diamond acquired and originated timeshare financing receivables were as follows:
Legacy-Diamond
Acquired Timeshare Financing Receivables
($ in millions)September 30, 2022December 31, 2021
FICO score
700+$423 $601 
600-699300 356 
<60063 70 
No score(1)
17 11 
$803 $1,038 
(1)Timeshare financing receivables without a FICO score are primarily related to foreign borrowers.
Legacy-Diamond
Originated Timeshare Financing Receivables
($ in millions)September 30, 2022December 31, 2021
FICO score
700+$282 $172 
600-699144 60 
<60024 11 
No score(1)
4 2 
$454 $245 
(1)Timeshare financing receivables without a FICO score are primarily related to foreign borrowers.
Details of Financing Receivables by Origination Year and Average FICO Score
The following table details our Legacy-HGV timeshare financing receivables by the origination year and average FICO score as of September 30, 2022:
($ in millions)20222021202020192018PriorTotal
FICO score
700+$258 $157 $55 $98 $68 $98 $734 
600-69987 58 20 35 25 39 264 
<60011 8 3 5 3 6 36 
No score(1)
41 30 19 29 19 29 167 
$397 $253 $97 $167 $115 $172 $1,201 
(1)Timeshare financing receivables without a FICO score are primarily related to foreign borrowers.
The following tables detail our Legacy-Diamond acquired and originated timeshare financing receivables by the origination year and average FICO score as of September 30, 2022:
Legacy-Diamond Acquired Timeshare Financing Receivables
($ in millions)20222021202020192018PriorTotal
FICO score
700+$— $75 $91 $109 $71 $77 $423 
600-699— 50 55 78 46 71 300 
<600— 12 15 13 6 17 63 
No score(1)
— 1 5 2 1 8 17 
$— $138 $166 $202 $124 $173 $803 
(1)Timeshare financing receivables without a FICO score are primarily related to foreign borrowers.
Legacy-Diamond Originated Timeshare Financing Receivables
($ in millions)20222021202020192018PriorTotal
FICO score
700+$200 $82 $— $— $— $— $282 
600-69998 46 — — — — 144 
<60014 10 — — — — 24 
No score(1)
3 1 — — — — 4 
$315 $139 $— $— $— $— $454 
(1)Timeshare financing receivables without a FICO score are primarily related to foreign borrowers.
Schedule of Past Due Financing Receivables
As of September 30, 2022 and December 31, 2021, we had ceased accruing interest on timeshare financing receivables with an aggregate principal balance of $71 million and $83 million, respectively. The following tables detail an aged analysis of our gross timeshare receivables balance:
Legacy-HGV Timeshare Financing Receivables
September 30, 2022
($ in millions)SecuritizedUnsecuritizedTotal
Current$687 $427 $1,114 
31 - 90 days past due8 8 16 
91 - 120 days past due2 3 5 
121 days and greater past due1 65 66 
$698 $503 $1,201 
Legacy-HGV Timeshare Financing Receivables
December 31, 2021
($ in millions)SecuritizedUnsecuritizedTotal
Current$569 $488 $1,057 
31 - 90 days past due6 6 12 
91 - 120 days past due2 2 4 
121 days and greater past due2 77 79 
$579 $573 $1,152 
The following tables detail an aged analysis of our gross timeshare receivables balance:
Legacy-Diamond Timeshare Financing Receivables
September 30, 2022
($ in millions)SecuritizedUnsecuritizedTotal
Current$483 $341 $824 
31 - 90 days past due17 16 33 
91 - 120 days past due5 5 10 
121 days and greater past due16 374 390 
$521 $736 $1,257 
Legacy-Diamond Timeshare Financing Receivables
December 31, 2021
($ in millions)SecuritizedUnsecuritizedTotal
Current$496 $385 $881 
31 - 90 days past due15 18 33 
91 - 120 days past due6 5 11 
121 days and greater past due14 344 358 
$531 $752 $1,283