Document And Entity Information
Document And Entity Information Document - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 31, 2017 | Jun. 30, 2016 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | GREEN DOT CORP | ||
Trading Symbol | GDOT | ||
Entity Central Index Key | 1,386,278 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 971.6 | ||
Entity Common Stock, Shares Outstanding | 50,650,424 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Unrestricted cash and cash equivalents | $ 732,676 | $ 772,128 |
Federal funds sold | 0 | 1 |
Restricted cash | 12,085 | 5,793 |
Investment securities available-for-sale, at fair value | 46,686 | 49,106 |
Settlement assets | 137,083 | 69,165 |
Accounts receivable, net | 40,150 | 42,153 |
Prepaid expenses and other assets | 32,186 | 30,511 |
Income tax receivable | 12,570 | 6,434 |
Total current assets | 1,013,436 | 975,291 |
Investment securities available-for-sale, at fair value | 161,740 | 132,433 |
Loans to bank customers, net of allowance for loan losses of $277 and $426 as of December 31, 2016 and 2015, respectively | 6,059 | 6,279 |
Prepaid expenses and other assets | 4,142 | 6,416 |
Property and equipment, net | 82,621 | 78,877 |
Deferred expenses | 16,647 | 14,509 |
Net deferred tax assets | 4,648 | 3,864 |
Goodwill and intangible assets | 451,051 | 473,779 |
Total assets | 1,740,344 | 1,691,448 |
Current liabilities: | ||
Accounts payable | 22,856 | 37,186 |
Deposits | 737,414 | 652,145 |
Obligations to customers | 46,043 | 61,300 |
Settlement obligations | 4,877 | 5,074 |
Amounts due to card issuing banks for overdrawn accounts | 1,211 | 1,067 |
Other accrued liabilities | 102,426 | 87,635 |
Deferred revenue | 25,005 | 22,901 |
Note payable | 20,966 | 20,966 |
Total current liabilities | 960,798 | 888,274 |
Other accrued liabilities | 12,330 | 37,894 |
Note payable | 79,720 | 100,686 |
Net deferred tax liabilities | 3,763 | 1,272 |
Total liabilities | 1,056,611 | 1,028,126 |
Stockholders equity: | ||
Additional paid-in capital | 358,155 | 379,376 |
Retained earnings | 325,708 | 284,108 |
Accumulated other comprehensive loss | (181) | (215) |
Total stockholders’ equity | 683,733 | 663,322 |
Total liabilities and stockholders’ equity | 1,740,344 | 1,691,448 |
Convertible Series A preferred stock [Member] | ||
Stockholders equity: | ||
Convertible Series A preferred stock, $0.001 par value: 10 shares authorized as of December 31, 2016 and 2015; 0 and 2 shares issued and outstanding as of December 31, 2016 and 2015, respectively | 0 | 2 |
Common Class A [Member] | ||
Stockholders equity: | ||
Class A common stock, $0.001 par value; 100,000 shares authorized as of December 31, 2016 and 2015; 50,513 and 50,502 shares issued and outstanding as of December 31, 2016 and 2015, respectively | $ 51 | $ 51 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Allowance for loan losses | $ 277 | $ 426 |
Convertible Series A preferred stock [Member] | ||
Convertible Series A Preferred Stock, par value (in USD per share) | $ 0.001 | $ 0.001 |
Convertible Series A Preferred Stock, shares authorized | 10,000 | 10,000 |
Convertible Series A Preferred Stock, shares issued | 0 | 2,000 |
Convertible Series A Preferred Stock, shares outstanding | 0 | 2,000 |
Common Class A [Member] | ||
Common stock, par value (in USD per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares, issued | 50,513,000 | 50,502,000 |
Common stock, shares outstanding | 50,513,000 | 50,502,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating revenues | |||
Card revenues and other fees | $ 337,821 | $ 318,083 | $ 253,155 |
Processing and settlement service revenues | 184,342 | 182,614 | 179,289 |
Interchange revenues | 196,611 | 196,523 | 178,040 |
Stock-based retailer incentive compensation | 0 | (2,520) | (8,932) |
Total operating revenues | 718,774 | 694,700 | 601,552 |
Operating expenses | |||
Sales and marketing expenses | 249,096 | 230,441 | 235,227 |
Compensation and benefits expenses | 159,456 | 168,226 | 123,083 |
Processing expenses | 107,556 | 102,144 | 79,053 |
Other general and administrative expenses | 139,350 | 134,560 | 105,200 |
Total operating expenses | 655,458 | 635,371 | 542,563 |
Operating income | 63,316 | 59,329 | 58,989 |
Interest income | 7,367 | 4,737 | 4,064 |
Interest expense | (9,122) | (5,944) | (1,276) |
Other income | 0 | 0 | 7,129 |
Income before income taxes | 61,561 | 58,122 | 68,906 |
Income tax expense | 19,961 | 19,707 | 26,213 |
Net income | 41,600 | 38,415 | 42,693 |
Income attributable to preferred stock | (802) | (1,102) | (4,842) |
Net income available to common stockholders | $ 40,798 | $ 37,313 | $ 37,851 |
Earnings per common share | |||
Basic earnings per common share (in USD per share) | $ 0.82 | $ 0.73 | $ 0.92 |
Diluted earnings per common share (in USD per share) | $ 0.80 | $ 0.72 | $ 0.90 |
Weighted-average common shares issued and outstanding | |||
Basic (in shares) | 49,535 | 51,332 | 40,907 |
Diluted (in shares) | 50,797 | 51,875 | 41,770 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 41,600 | $ 38,415 | $ 42,693 |
Other comprehensive income (loss) | |||
Unrealized holding gains (losses), net of tax | 34 | (163) | (5) |
Comprehensive income | $ 41,634 | $ 38,252 | $ 42,688 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Preferred Stock [Member]Convertible Preferred Stock [Member] | Common Stock [Member] | Common Stock [Member]Common Class A [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Balance at the beginning of the period, shares at Dec. 31, 2013 | 7 | 37,729 | |||||
Balance at the beginning of the period at Dec. 31, 2013 | $ 402,249 | $ 7 | $ 38 | $ 199,251 | $ 203,000 | $ (47) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common stock issued under stock plans, net of withholdings and related tax effects (in shares) | 1,487 | ||||||
Common stock issued under stock plans, net of withholdings and related tax effects | 10,681 | $ 1 | 10,680 | ||||
Stock-based compensation | 20,329 | 20,329 | |||||
Stock-based retailer incentive compensation | 8,932 | 8,932 | |||||
Conversion of stock (in shares) | 5 | 5,345 | |||||
Conversion of stock | $ (5) | $ 5 | |||||
Issuance of shares related to acquisitions (in shares) | 6,585 | ||||||
Issuance of shares related to acquisitions | 144,111 | $ 7 | 144,104 | ||||
Net income | 42,693 | 42,693 | |||||
Other comprehensive income (loss) (Accumulated Other Comprehensive Income) | (5) | (5) | |||||
Other comprehensive income (loss) | (5) | ||||||
Balance at the end of the period, shares at Dec. 31, 2014 | 2 | 51,146 | |||||
Balance at the end of the period at Dec. 31, 2014 | 628,990 | $ 2 | $ 51 | 383,296 | 245,693 | (52) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common stock issued under stock plans, net of withholdings and related tax effects (in shares) | 798 | ||||||
Common stock issued under stock plans, net of withholdings and related tax effects | (2,058) | $ 1 | (2,059) | ||||
Stock-based compensation | 27,011 | 27,011 | |||||
Stock-based retailer incentive compensation | 2,520 | 2,520 | |||||
Issuance of shares related to acquisitions (in shares) | 514 | ||||||
Issuance of shares related to acquisitions | 10,259 | $ 1 | 10,258 | ||||
Treasury stock acquired (in shares) | (1,956) | ||||||
Repurchases of Class A common stock | (41,652) | $ (2) | (41,650) | ||||
Net income | 38,415 | 38,415 | |||||
Other comprehensive income (loss) (Accumulated Other Comprehensive Income) | (163) | (163) | |||||
Other comprehensive income (loss) | (163) | ||||||
Balance at the end of the period, shares at Dec. 31, 2015 | 2 | 50,502 | |||||
Balance at the end of the period at Dec. 31, 2015 | $ 663,322 | $ 2 | $ 51 | 379,376 | 284,108 | (215) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common stock issued under stock plans, net of withholdings and related tax effects (in shares) | 822 | 1,716 | |||||
Common stock issued under stock plans, net of withholdings and related tax effects | $ 8,804 | $ 1 | 8,803 | ||||
Stock-based compensation | 28,321 | 28,321 | |||||
Conversion of stock (in shares) | 2 | 1,519 | |||||
Conversion of stock | $ (2) | $ 2 | |||||
Treasury stock acquired (in shares) | (3,224) | ||||||
Repurchases of Class A common stock | (58,348) | $ (3) | (58,345) | ||||
Net income | 41,600 | 41,600 | |||||
Other comprehensive income (loss) (Accumulated Other Comprehensive Income) | 34 | 34 | |||||
Other comprehensive income (loss) | 34 | ||||||
Balance at the end of the period, shares at Dec. 31, 2016 | 0 | 50,513 | |||||
Balance at the end of the period at Dec. 31, 2016 | $ 683,733 | $ 0 | $ 51 | $ 358,155 | $ 325,708 | $ (181) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating activities [Abstract] | |||
Net income | $ 41,600 | $ 38,415 | $ 42,693 |
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | |||
Depreciation and amortization of property and equipment | 39,460 | 38,509 | 32,454 |
Amortization of intangible assets | 23,021 | 23,205 | 4,530 |
Employee stock-based compensation | 28,321 | 27,011 | 20,329 |
Stock-based retailer incentive compensation | 0 | 2,520 | 8,932 |
Amortization of premium on available-for-sale investment securities | 1,357 | 1,167 | 1,105 |
Change in fair value of contingent consideration | (2,500) | (8,200) | (698) |
Amortization of deferred financing costs | 1,534 | 1,535 | 289 |
Impairment of capitalized software | 142 | 5,881 | 0 |
Deferred income tax expense (benefit) | 1,270 | (406) | 463 |
Changes in operating assets and liabilities: | |||
Accounts receivable | (74,851) | (54,450) | (30,479) |
Prepaid expenses and other assets | 1,131 | (5,766) | 1,086 |
Deferred expenses | (2,138) | 2,817 | (1,887) |
Accounts payable and other accrued liabilities | (19,156) | 13,179 | 1,167 |
Amounts due to card issuing banks for overdrawn accounts | 144 | (157) | (48,706) |
Deferred revenue | 2,004 | (1,617) | (319) |
Income tax receivable | (6,657) | 9,995 | 29 |
Other, net | 477 | (212) | (44) |
Net cash provided by operating activities | 111,520 | 156,720 | 69,217 |
Investing activities [Abstract] | |||
Purchases of available-for-sale investment securities | (135,920) | (195,132) | (212,446) |
Proceeds from maturities of available-for-sale securities | 105,544 | 84,435 | 153,265 |
Proceeds from sales of available-for-sale securities | 1,430 | 47,953 | 136,425 |
(Increase) decrease in restricted cash | (6,292) | (199) | 1,360 |
Payments for acquisition of property and equipment | (43,273) | (47,837) | (39,338) |
Net principal collections on loans | 220 | 271 | 352 |
Acquisitions, net of cash acquired | 0 | (65,209) | (226,964) |
Net cash used in investing activities | (78,291) | (175,718) | (187,346) |
Financing activities [Abstract] | |||
Borrowings from note payable | 0 | 0 | 150,000 |
Repayments of borrowings from note payable | (22,500) | (22,500) | 0 |
Borrowings on revolving line of credit | 145,000 | 30,001 | 0 |
Repayments on revolving line of credit | (145,000) | (30,001) | 0 |
Proceeds from exercise of options | 14,917 | 3,832 | 9,960 |
Excess tax benefits from stock compensation | 2,995 | 222 | 3,945 |
Taxes paid related to net share settlement of equity awards | (8,223) | (5,124) | (3,224) |
Net increase in deposits | 85,269 | 86,744 | 345,821 |
Net (decrease) increase in obligations to customers | (83,372) | 45,372 | (79,442) |
Contingent consideration payments | (2,755) | (1,071) | (242) |
Repurchase of Class A common stock | (59,013) | (40,986) | 0 |
Deferred financing costs | 0 | 0 | (7,672) |
Net cash (used in) provided by financing activities | (72,682) | 66,489 | 419,146 |
Net (decrease) increase in unrestricted cash, cash equivalents, and federal funds sold | (39,453) | 47,491 | 301,017 |
Unrestricted cash, cash equivalents, and federal funds sold, beginning of year | 772,129 | 724,638 | 423,621 |
Unrestricted cash, cash equivalents, and federal funds sold, end of year | 732,676 | 772,129 | 724,638 |
Cash paid for interest | 7,586 | 4,410 | 1,276 |
Cash paid for income taxes | 22,316 | 9,892 | 21,602 |
Overdrawn Account Balances due from Cardholders [Member] | |||
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | |||
Provision for uncollectibles | 74,841 | 63,294 | 38,273 |
Trade receivables [Member] | |||
Adjustments to reconcile net income to net cash provided by operating activities [Abstract] | |||
Provision for uncollectibles | $ 1,520 | $ 0 | $ 0 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization Green Dot Corporation (“we,” “us” and “our” refer to Green Dot Corporation and its wholly-owned subsidiaries) is a pro-consumer technology innovator with a mission to reinvent personal banking for the masses. Our products and services include: Green Dot MasterCard and Visa-branded prepaid debit cards and several co-branded reloadable prepaid card programs, collectively referred to as our GPR cards; Visa-branded gift cards; Visa-branded secured credit cards; checking account products, such as GoBank, an innovative checking account developed for use via mobile phones that is available at Walmart and online; our proprietary swipe reload and MoneyPak products referred to as our cash transfer products, which enable cash loading and transfer services through our Green Dot Network; money processing services under 1099 programs; and tax refund processing services designed to facilitate the secure receipt of a customer's income tax refund. Our products and services are available to consumers through a large-scale "branchless bank" distribution network of approximately 100,000 U.S. locations, including retailers, neighborhood financial service center locations and tax preparation offices, as well as online, in the leading app stores and through leading online tax preparation providers. The Green Dot Network enables consumers to use cash to reload our prepaid debit cards or to transfer cash to any of our Green Dot Network acceptance members, including competing prepaid card programs and other online accounts. We are also the tax refund processing service provider for several leading consumer tax preparation companies. We market our products and services to consumers in the United States. Our products are issued by our wholly-owned subsidiary, Green Dot Bank and third-party issuing banks including The Bancorp Bank, MetaBank and Sunrise Banks, N.A. We also have multi-year distribution arrangements with many large and medium-sized retailers, including Walmart, Walgreens, CVS, Rite Aid, 7-Eleven, Kroger, Kmart, and Dollar Tree, and with various industry resellers, including Blackhawk Network and InComm. We refer to participating retailers collectively as our “retail distributors.” Our tax refund processing services are integrated into the offerings of partnering tax software companies, which enables us to serve approximately 27,000 independent online and in-person tax preparers and accountants nationwide. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation and Basis of Presentation Our consolidated financial statements include the results of Green Dot Corporation and our wholly-owned subsidiaries. We prepared the accompanying consolidated financial statements in accordance with generally accepted accounting principles in the United States of America, or GAAP. We eliminate all significant intercompany balances and transactions in consolidation. We include the results of operations of acquired companies from the date of acquisition. Use of Estimates and Assumptions The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements, including the accompanying notes. We base our estimates and assumptions on historical factors, current circumstances, and the experience and judgment of management. We evaluate our estimates and assumptions on an ongoing basis. Actual results could differ from those estimates. Unrestricted Cash and Cash Equivalents and Federal Funds Sold We consider all unrestricted highly liquid investments with an original maturity of three months or less to be unrestricted cash and cash equivalents. Federal funds sold consist of unsecured overnight advances of excess balances in our bank reserve account and are included in unrestricted cash and cash equivalents on our consolidated statements of cash flows. Investment Securities Our investment portfolio is primarily comprised of fixed income securities. We classify these securities as available-for-sale and report them at fair value with the related unrealized gains and losses, net of tax, included in accumulated other comprehensive income, a component of stockholders’ equity. We classify investment securities with maturities less than or equal to 365 days as current assets. We regularly evaluate each fixed income security where the value has declined below amortized cost to assess whether the decline in fair value is other-than-temporary. In determining whether an impairment is other-than-temporary, we consider the severity and duration of the decline in fair value, the length of time expected for recovery, the financial condition of the issuer, and other qualitative factors, as well as whether we either plan to sell the security or it is more- Note 2—Summary of Significant Accounting Policies (continued) likely-than-not that we will be required to sell the security before recovery of its amortized cost. If the impairment of the investment security is credit-related, an other-than-temporary impairment is recorded in earnings. We recognize non-credit-related impairment in accumulated other comprehensive income. If we intend to sell an investment security or believe we will more-likely-than-not be required to sell a security, we record the full amount of the impairment as an other-than-temporary impairment. Interest on fixed income securities, including amortization of premiums and accretion of discounts, is included in interest income. Obligations to Customers and Settlement Assets and Obligations At the point of sale, our retail distributors collect customer funds for purchases of new cards and balance reloads and then remit these funds directly to the banks that issue our cards. Our retail distributors’ remittance of these funds takes an average of two business days. Settlement assets represent the amounts due from our retail distributors for customer funds collected at the point of sale that have not yet been received by our subsidiary bank. Obligations to customers represent customer funds collected from (or to be remitted by) our retail distributors for which the underlying products have not been activated. Once the underlying products have been activated, the customer funds are reclassified as deposits in a bank account established for the benefit of the customer. Settlement obligations represent the customer funds received by our subsidiary bank that are due to third-party card issuing banks upon activation. Accounts Receivable, net Accounts receivable is comprised principally of receivables due from card issuing banks, overdrawn account balances due from cardholders, trade accounts receivable, fee advances and other receivables. We record accounts receivable net of reserves for estimated uncollectible accounts. Receivables due from card issuing banks primarily represent revenue-related funds held at the third-party card issuing banks related to our gift card program that have yet to be remitted to us. These receivables are generally collected within a short period of time based on the remittance terms in our agreements with the third-party card issuing banks. Fee advances represent short-term advances to in-person tax return preparation companies made prior to and during tax season. These advances are collateralized by their clients' tax preparation fees and are generally collected within a short period of time as the in-person tax preparation companies begin preparing and processing their clients' tax refunds. Overdrawn Account Balances Due from Cardholders and Reserve for Uncollectible Overdrawn Accounts Our cardholder accounts may become overdrawn as a result of maintenance fee assessments or from purchase transactions that we honor, in excess of the funds in a cardholder’s account. We are exposed to losses from any unrecovered overdrawn account balances. We establish a reserve for uncollectible overdrawn accounts. We classify overdrawn accounts into age groups based on the number of days that have elapsed since an account last had activity, such as a purchase, ATM transaction or maintenance fee assessment. We calculate a reserve factor for each age group based on the average recovery rate for the most recent six months . These factors are applied to these age groups to estimate our overall reserve. When more than 90 days have passed without activity in an account, we write off the full amount of the overdrawn account balance. We include our provision for uncollectible overdrawn accounts related to maintenance fees and purchase transactions as an offset to card revenues and other fees and in other general and administrative expenses, respectively, in the accompanying consolidated statements of operations. Restricted Cash At December 31, 2016 and 2015 , restricted cash amounted to $12.1 million and $5.8 million , respectively. Restricted cash as of December 31, 2016 , primarily consists of funds required to collateralize a pre-funding obligation with a counter-party. Balances at December 31, 2015 consists primarily of funds held in an escrow account under the terms of a purchase agreement related to one of our business acquisitions, as well as funds required to collateralize outstanding letters of credit related to our corporate facility lease. Loans to Bank Customers We report loans measured at historical cost at their outstanding principal balances, net of any charge-offs, and for purchased loans, net of any unaccreted discounts. We recognize interest income as it is earned. Note 2—Summary of Significant Accounting Policies (continued) Nonperforming Loans Nonperforming loans generally include loans that have been placed on nonaccrual status. We generally place loans on nonaccrual status when they are past due 90 days or more. We reverse the related accrued interest receivable and apply interest collections on nonaccrual loans as principal reductions; otherwise, we credit such collections to interest income when received. These loans may be restored to accrual status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected. We consider a loan to be impaired when it is probable that we will be unable to collect all amounts due according to the contractual terms of the loan agreement. Once we determine a loan to be impaired, we measure the impairment based on the present value of the expected future cash flows discounted at the loan's effective interest rate. We may also measure impairment based on observable market prices, or for loans that are solely dependent on the collateral for repayment, the estimated fair value of the collateral less estimated costs to sell. If the recorded investment in impaired loans exceeds this amount, we establish a specific allowance as a component of the allowance for loan losses or by adjusting an existing valuation allowance for the impaired loan. Allowance for Loan Losses We establish an allowance for loan losses to account for estimated credit losses inherent in our loan portfolio. For the portfolio of loans, our estimate of inherent losses is separately calculated on an aggregate basis for groups of loans that are considered to have similar credit characteristics and risk of loss. We analyze historical loss rates for these groups and then adjust the rates for qualitative factors which in our judgment affect the expected inherent losses. Qualitative considerations include, but are not limited to, prevailing economic or market conditions, changes in the loan grading and underwriting process, changes in the estimated value of the underlying collateral for collateral dependent loans, delinquency and nonaccrual status, problem loan trends, and geographic concentrations. We separately establish specific allowances for impaired loans based on the present value of changes in cash flows expected to be collected, or for impaired loans that are considered collateral dependent, the estimated fair value of the collateral. Property and Equipment We carry our property and equipment at cost less accumulated depreciation and amortization. We generally compute depreciation on property and equipment using the straight-line method over the estimated useful lives of the assets, except for land, which is not depreciated. We generally compute amortization on tenant improvements using the straight-line method over the shorter of the related lease term or estimated useful lives of the improvements. We expense expenditures for maintenance and repairs as incurred. We capitalize certain internal and external costs incurred to develop internal-use software during the application development stage. We also capitalize the cost of specified upgrades and enhancements to internal-use software that result in additional functionality. Once a development project is substantially complete and the software is ready for its intended use, we begin depreciating these costs on a straight-line basis over the internal-use software’s estimated useful life. The estimated useful lives of the respective classes of assets are as follows: Land N/A Building 30 years Computer equipment, furniture and office equipment 3-10 years Computer software purchased 3 years Capitalized internal-use software 2-7 years Tenant improvements Shorter of the useful life or the lease term Impairment of Long Lived Assets We evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the sum of expected undiscounted future cash flows from an asset is less than the carrying amount of the asset, we estimate the fair value of the assets. We measure the loss as the amount by which the carrying amount exceeds its fair value calculated using the present value of estimated net future cash flows. We recorded impairment charges of $0.1 million and $5.9 million for the years ended December 31, 2016 and 2015 , respectively, associated with capitalized internal-use software we determined to no longer be utilized Note 2—Summary of Significant Accounting Policies (continued) and any remaining carrying value was written off. These impairment charges are included in other general and administrative expenses in our consolidated statements of operations. There were no such impairment charges for the year ended December 31, 2014. Business Acquisitions We allocate the purchase price of business acquisitions to the assets acquired and liabilities assumed based on their estimated fair value. The excess of the purchase price over estimated fair value of the net identifiable assets is allocated to goodwill. Determining the fair value of assets and liabilities requires various assumptions and estimates. These estimates and assumptions are refined with adjustments recorded to goodwill as information is gathered and final valuations are completed over a one -year measurement period. The changes in these estimates or different assumptions used in determining these estimates could impact the amount of assets, including goodwill, and liabilities recorded on our consolidated balance sheet and could impact our operating results subsequent to such acquisition. Goodwill and Intangible Assets Goodwill is the purchase premium after adjusting for the fair value of net assets acquired. Goodwill is not amortized but is reviewed for potential impairment on an annual basis, or when events or circumstances indicate a potential impairment, at the reporting unit level. A reporting unit, as defined under applicable accounting guidance, is an operating segment or one level below an operating segment, referred to as a component. We may in any given period bypass the qualitative assessment and proceed directly to a two-step method to assess and measure impairment of the reporting unit's goodwill. We first assess qualitative factors to determine whether it is more likely-than-not (i.e., a likelihood of more than 50 percent) that the fair value of a reporting unit is less than its carrying value. This step serves as the basis for determining whether it is necessary to perform the two-step quantitative impairment test. The first step of the quantitative impairment test involves a comparison of the estimated fair value of each reporting unit to its carrying amount, including goodwill. If the estimated fair value of the reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired; however, if the carrying amount of the reporting unit exceeds its estimated fair value, then the second step of the quantitative impairment test must be performed. The second step compares the implied fair value of the reporting unit’s goodwill with its carrying amount to measure the amount of impairment loss, if any. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. If the carrying amount of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. For intangible assets subject to amortization, we recognize an impairment loss if the carrying amount of the intangible asset is not recoverable and exceeds its estimated fair value. The carrying amount of the intangible asset is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use of the asset. No impairment charges were recognized related to goodwill or intangible assets for the years ended December 31, 2016 , 2015 and 2014 . Intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives, which is our best estimate of the pattern of economic benefit, based on legal, contractual, and other provisions. The estimated useful lives of the intangible assets, which consist primarily of customer relationships and trade names, range from 5 - 15 years . Amounts Due to Card Issuing Banks for Overdrawn Accounts Third-party card issuing banks fund overdrawn cardholder account balances on our behalf. Amounts funded are due from us to the card issuing banks based on terms specified in the agreements with the card issuing banks. Generally, we expect to settle these obligations within two months. In February 2014, we completed the transition of all outstanding customer deposits associated with our GPR card program with GE Capital Retail Bank to Green Dot Bank. In conjunction with this transition, we paid approximately $50 million to GE Capital Retail Bank to settle all of our previously accrued liabilities outstanding at the time of transition associated with overdrawn cardholder account balances. Note 2—Summary of Significant Accounting Policies (continued) Fair Value Under applicable accounting guidance, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability. As such, fair value reflects an exit price in an orderly transaction between market participants on the measurement date. We determine the fair values of our financial instruments based on the fair value hierarchy established under applicable accounting guidance, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The following describes the three-level hierarchy: Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include debt and equity securities and derivative contracts that are traded in an active exchange market, as well as certain U.S. Treasury securities that are highly liquid and are actively traded in over-the-counter markets. Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include fixed income securities with quoted prices that are traded less frequently than exchange-traded instruments. This category generally includes U.S. government and agency mortgage-backed fixed income securities and corporate fixed income securities. Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the overall fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments for which the determination of fair value requires significant management judgment or estimation. The fair value for such assets and liabilities is generally determined using pricing models, market comparables, discounted cash flow methodologies or similar techniques that incorporate the assumptions a market participant would use in pricing the asset or liability. This category generally includes certain private equity investments and certain asset-backed securities. Revenue Recognition Our operating revenues consist of card revenues and other fees, processing and settlement service revenues and interchange revenues. We recognize revenue when the price is fixed or determinable, persuasive evidence of an arrangement exists, the product is sold or the service is performed, and collectability of the resulting receivable is reasonably assured. Card revenues and other fees consist of monthly maintenance fees, ATM fees, new card fees and other revenues. We charge maintenance fees on a monthly basis pursuant to the terms and conditions in the applicable cardholder agreements. We recognize monthly maintenance fees ratably over the month for which they are assessed. We charge ATM fees to cardholders when they withdraw money at certain ATMs in accordance with the terms and conditions in our cardholder agreements. We recognize ATM fees when the withdrawal is made by the cardholder, which is the same time our service is completed and the fees are assessed. We charge new card fees when a consumer purchases a new card in a retail store. We defer and recognize new card fee revenues on a straight-line basis over our average card lifetime, which is currently five months for our GPR cards and six months our gift cards. We determine the average card lifetime based on our recent historical data for comparable products. We measure card lifetime for our GPR cards as the period of time, inclusive of reload activity, between sale (or activation) of the card and the date of the last positive balance. We measure the card lifetime for our gift cards as the redemption period during which cardholders initiate the substantial majority of their transactions. We reassess average card lifetime quarterly. We report the unearned portion of new card fees as a component of deferred revenue in our consolidated balance sheets. Other revenues consist primarily of revenue associated with our gift card program, transaction-based fees and fees associated with optional products or services, which we offer to cardholders from time-to-time. We generally recognize these revenues as purchase transactions occur or when the underlying services are completed. Our processing and settlement services consist of cash transfer revenues, tax refund processing service revenues and 1099 program disbursement revenues. We generate cash transfer revenues when consumers purchase our cash transfer products (reload services) in a retail store. We recognize these revenues when the cash transfer transactions are completed, generally within two business days from the time of sale of these products. We earn tax refund processing service revenues when a customer of a third party tax preparation company chooses to pay their tax preparation fee through the use of our tax refund processing services. We recognize tax refund processing service revenues as we remit tax return proceeds to the taxpayer. We earn 1099 disbursement fees from our business partners as payment disbursements are made. Note 2—Summary of Significant Accounting Policies (continued) We earn interchange revenues from fees remitted by the merchant’s bank, which are based on rates established by the payment networks, such as Visa and MasterCard, when cardholders make purchase transactions using our cards. We recognize interchange revenues as these transactions occur. We report our different types of revenues on a gross or net basis based on our assessment of whether we act as a principal or an agent in the transaction. To the extent we act as a principal in the transaction, we report revenues on a gross basis. In concluding whether or not we act as a principal or an agent, we evaluate whether we have the substantial risks and rewards under the terms of the revenue-generating arrangements, whether we are the party responsible for fulfillment of the services purchased by the cardholders, among other factors. For all of our significant revenue-generating arrangements, including GPR and gift cards, we record revenues on a gross basis with the exception of our tax refund processing service revenues which are recorded on a net basis. Generally, customers have limited rights to a refund of a new card fee or a cash transfer fee. We have elected to recognize revenues prior to the expiration of the refund period, but reduce revenues by the amount of expected refunds, which we estimate based on actual historical refunds. On occasion, we enter into incentive agreements with our retail distributors and offer incentives to customers designed to increase product acceptance and sales volume. We record incentive payments, including the issuance of equity instruments, as a reduction of revenues and recognize them over the period the related revenues are recognized or as services are rendered, as applicable. Sales and Marketing Expenses Sales and marketing expenses primarily consist of sales commissions, advertising and marketing expenses, and the costs of manufacturing and distributing card packages, placards, promotional materials to our retail distributors’ locations and personalized GPR cards to consumers who have activated their cards. We pay our retail distributors and brokers commissions based on sales of our prepaid debit cards and cash transfer products in their stores. We defer and expense commissions related to new cards sales ratably over the average card lifetime, which is currently five months for our GPR cards and six months for our gift cards. Absent a new card fee, we expense the related commissions immediately. We expense commissions related to cash transfer products when the cash transfer transactions are completed. We expense costs for the production of advertising as incurred. The cost of media advertising is expensed when the advertising first takes place. We record the costs associated with card packages and placards as prepaid expenses, and we record the costs associated with personalized GPR cards as deferred expenses. We recognize the prepaid cost of card packages and placards over the related sales period, and we amortize the deferred cost of personalized GPR cards, when activated, over the average card lifetime. Included in sales and marketing expenses are advertising and marketing expenses of $11.9 million , $10.1 million and $6.8 million and shipping and handling costs of $3.7 million , $2.8 million and $3.1 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Also included in sales and marketing expenses were liabilities that we incurred for use tax to various states related to purchases of materials since we do not charge sales tax to customers when new cards or cash transfer transactions are purchased. Employee Stock-Based Compensation We record employee stock-based compensation expense based on the grant-date fair value. For stock options and stock purchases under our employee stock purchase plan, or ESPP, we base compensation expense on fair values estimated at the grant date using the Black-Scholes option-pricing model. For stock awards, including restricted stock units, we base compensation expense on the fair value of our common stock at the grant date. We recognize compensation expense for awards with only service conditions that have graded vesting schedules on a straight-line basis over the vesting period of the award. Vesting is based upon continued service to our company. At times, we have issued performance based and market based restricted stock units to our executive officers. For performance based awards, we recognize compensation cost for the restricted stock units if and when we conclude it is probable that the performance will be satisfied, over the requisite service period based on the grant-date fair value of the stock. We reassess the probability of vesting at each reporting period and adjust compensation expense based on the probability assessment. For market based restricted stock units, we base compensation expense on the fair value estimated at the date of grant using a Monte Carlo simulation or similar lattice model. We recognize compensation expense over the requisite service period regardless of the market condition being satisfied, provided that the requisite Note 2—Summary of Significant Accounting Policies (continued) service has been provided, since the estimated grant date fair value already incorporates the probability of outcomes that the market condition will be achieved. Income Taxes Our income tax expense is comprised of current and deferred income tax expense. Current income tax expense approximates taxes to be paid or refunded for the current period. Deferred income tax expense results from the changes in deferred tax assets and liabilities during the periods. These gross deferred tax assets and liabilities represent decreases or increases in taxes expected to be paid in the future because of future reversals of temporary differences between the basis of assets and liabilities as measured by tax laws and their basis as reported in our consolidated financial statements. We also recognize deferred tax assets for tax attributes such as net operating loss carryforwards and tax credit carryforwards. We record valuation allowances to reduce deferred tax assets to the amounts we conclude are more likely-than-not to be realized in the foreseeable future. We recognize and measure income tax benefits based upon a two-step model: 1) a tax position must be more likely-than-not to be sustained based solely on its technical merits in order to be recognized, and 2) the benefit is measured as the largest dollar amount of that position that is more likely-than-not to be sustained upon settlement. The difference between the benefit recognized for a position and the tax benefit claimed on a tax return is referred to as an unrecognized tax benefit. We accrue income tax related interest and penalties, if applicable, within income tax expense. Earnings Per Common Share We apply the two-class method in calculating earnings per common share, or EPS, because our preferred stockholders are entitled to participate with our common stockholders in the distributions of earnings through dividends. The two-class method requires net income, after deduction of any preferred stock dividends, deemed dividends on preferred stock redemptions, and accretions in the carrying value on preferred stock, to be allocated between each class or series of common and preferred stockholders based on their respective rights to receive dividends, whether or not declared. Basic EPS is then calculated by dividing net income allocated to each class of common stockholders by the respective weighted-average common shares issued and outstanding. We divide adjusted net income for each class of common stock by the respective weighted-average number of the common shares issued and outstanding for each period plus amounts representing the dilutive effect of outstanding stock options, restricted stock units, shares to be purchased under our employee stock purchase plan and the dilution resulting from the conversion of convertible securities, if applicable. We exclude the effects of convertible securities, restricted stock units and stock options from the computation of diluted EPS in periods in which the effect would be anti-dilutive. We calculate dilutive potential common shares using the treasury stock method, if-converted method and the two-class method, as applicable. Regulatory Matters and Capital Adequacy As a bank holding company, we are subject to comprehensive supervision and examination by the Federal Reserve Board and must comply with applicable regulations, including minimum capital and leverage requirements. If we fail to comply with any of these requirements, we may become subject to formal or informal enforcement actions, proceedings, or investigations, which could result in regulatory orders, restrictions on our business operations or requirements to take corrective actions, which may, individually or in the aggregate, affect our results of operations and restrict our ability to grow. If we fail to comply with the applicable capital and leverage requirements, or if our subsidiary bank fails to comply with its applicable capital and leverage requirements, the Federal Reserve Board may limit our or Green Dot Bank's ability to pay dividends. In addition, as a bank holding company and a financial holding company, we are generally prohibited from engaging, directly or indirectly, in any activities other than those permissible for bank holding companies and financial holding companies. This restriction might limit our ability to pursue future business opportunities which we might otherwise consider but which might fall outside the scope of permissible activities. We may also be required to serve as a “source of strength” to Green Dot Bank if it becomes less than adequately capitalized. Note 2—Summary of Significant Accounting Policies (continued) Recent Accounting Pronouncements In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash ("ASU 2016-18"), to require that restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total cash amounts shown on the statement of cash flows. Consequently, transfers between cash and restricted cash will not be presented as a separate line item in the operating, investing or financing sections of the cash flow statement. The amendments are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The amendments should be applied retrospectively to each period presented. Early adoption is permitted, including adoption in an interim period. We are currently evaluating the impact of ASU 2016-18 on our consolidated financial statements, however, we do not anticipate material impact upon adoption of the ASU. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13") that requires financial assets measured at amortized c |
Business Acquisitions
Business Acquisitions | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Business Acquisitions | Business Acquisitions AccountNow, Inc. In January 2015, we completed the acquisition of AccountNow, Inc. ("AccountNow"). We issued approximately 514,000 shares of our Class A common stock on the date of close and the remainder of the consideration in cash for a total purchase price of approximately $78.7 million . AccountNow's results of operations are included in our consolidated statements of operations following the acquisition date. The assets and liabilities acquired consisted of $3.3 million in cash and cash equivalents, $4.1 million in accounts and other receivables, $4.9 million in prepaid and other assets and $12.8 million in accrued liabilities. Additionally, we recorded goodwill and intangible assets for $63.0 million and $16.1 million , respectively. Transaction costs associated with this acquisition were not material. Note 3—Business Acquisitions (continued) SBBT Holdings, LLC On October 23, 2014 , we completed our acquisition of SBBT Holdings, LLC ("TPG"), a provider of integrated tax refund processing services. In connection with the acquisition, total consideration amounted to approximately $358.5 million , which included cash, stock and contingent consideration. We financed the transaction with $204.5 million in cash, of which $150.0 million was raised from our Term Facility, as discussed in Note 10 — Note Payable, and 6.1 million shares of our Class A common stock at a closing price of $21.86 (of which 1.1 million shares were initially deposited in an escrow fund to serve as a source of payment of any indemnification obligations). Additionally, the transaction terms included a potential $80.0 million cash earn-out payable to the former owners of TPG based on TPG meeting certain pre-determined performance targets. The earn-out period spans from July to June each fiscal year from 2015 to 2017. Certain performance targets must be achieved each fiscal year in order to earn a corresponding portion of the cash earn-out. For fiscal years 2015 and 2016, these performance targets were not met, and therefore no cash earn-out payments were made. The operating results for the period from October 24, 2014 to December 31, 2014 of TPG are included in our consolidated statements of operations for the year ended December 31, 2014. Revenues and net losses for this period were $0.4 million and $7.6 million , respectively. TPG did not contribute a material amount of revenue during this period because TPG earns substantially all of its revenues and income during the tax season (January through April). We incurred transaction costs of approximately $6.2 million in connection with the acquisition, which are included in other general and administrative expenses on our consolidated statement of operations for the year ended December 31, 2014. |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2016 | |
Investment Securities [Abstract] | |
Investment Securities | Investment Securities Our available-for-sale investment securities were as follows: Amortized cost Gross unrealized gains Gross unrealized losses Fair value (In thousands) December 31, 2016 Corporate bonds $ 21,533 $ 9 $ (7 ) $ 21,535 Commercial paper 12,427 4 (1 ) 12,430 U.S. Treasury notes 21,603 1 (41 ) 21,563 Agency securities 4,002 — (1 ) 4,001 Mortgage-backed securities 117,990 242 (741 ) 117,491 Municipal bonds 1,460 1 (31 ) 1,430 Asset-backed securities 30,131 1 (156 ) 29,976 Total investment securities $ 209,146 $ 258 $ (978 ) $ 208,426 December 31, 2015 Corporate bonds $ 33,201 $ — $ (47 ) $ 33,154 Commercial paper 6,504 3 (2 ) 6,505 U.S. Treasury notes 17,541 — (16 ) 17,525 Agency securities 4,034 — (19 ) 4,015 Mortgage-backed securities 100,131 195 (554 ) 99,772 Municipal bonds 1,954 11 (65 ) 1,900 Asset-backed securities 18,725 — (57 ) 18,668 Total investment securities $ 182,090 $ 209 $ (760 ) $ 181,539 Note 4—Investment Securities (continued) As of December 31, 2016 and 2015 , the gross unrealized losses and fair values of available-for-sale investment securities that were in unrealized loss positions were as follows: Less than 12 months 12 months or more Total fair value Total unrealized loss Fair value Unrealized loss Fair value Unrealized loss (In thousands) December 31, 2016 Corporate bonds $ 8,739 $ (7 ) $ 1,999 $ — $ 10,738 $ (7 ) Commercial paper 2,672 (1 ) — — 2,672 (1 ) U.S. Treasury notes 16,211 (41 ) — — 16,211 (41 ) Agency securities 4,002 (1 ) — — 4,002 (1 ) Mortgage-backed securities 23,300 (236 ) 61,383 (505 ) 84,683 (741 ) Municipal bonds — — 937 (31 ) 937 (31 ) Asset-backed securities 25,501 (156 ) — — 25,501 (156 ) Total investment securities $ 80,425 $ (442 ) $ 64,319 $ (536 ) $ 144,744 $ (978 ) December 31, 2015 Corporate bonds $ 20,416 $ (22 ) $ 10,679 $ (25 ) $ 31,095 $ (47 ) Commercial paper 4,322 (2 ) — — 4,322 (2 ) U.S. Treasury notes 17,525 (16 ) — — 17,525 (16 ) Agency securities 4,015 (19 ) — — 4,015 (19 ) Mortgage-backed securities 53,634 (410 ) 21,518 (144 ) 75,152 (554 ) Municipal bonds — — 1,035 (65 ) 1,035 (65 ) Asset-backed securities 18,668 (57 ) — — 18,668 (57 ) Total investment securities $ 118,580 $ (526 ) $ 33,232 $ (234 ) $ 151,812 $ (760 ) We did not record any other-than-temporary impairment losses during the year s ended December 31, 2016 and 2015 on our available-for-sale investment securities. We do not intend to sell these investments and we have determined that it is more likely than not that we will not be required to sell these investments before recovery of their amortized cost bases, which may be at maturity. As of December 31, 2016 , the contractual maturities of our available-for-sale investment securities were as follows: Amortized cost Fair value (In thousands) Due in one year or less $ 46,694 $ 46,686 Due after one year through five years 13,610 13,582 Due after five years through ten years 58 57 Due after ten years 910 881 Mortgage and asset-backed securities 147,874 147,220 Total investment securities $ 209,146 $ 208,426 The expected payments on mortgage-backed and asset-backed securities may not coincide with their contractual maturities because the issuers have the right to call or prepay certain obligations. |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Accounts Receivable | Accounts Receivable Accounts receivable, net consisted of the following: December 31, 2016 December 31, 2015 (In thousands) Overdrawn account balances due from cardholders $ 14,773 $ 10,198 Reserve for uncollectible overdrawn accounts (11,932 ) (7,999 ) Net overdrawn account balances due from cardholders 2,841 2,199 Trade receivables 1,941 10,644 Reserve for uncollectible trade receivables (372 ) (58 ) Net trade receivables 1,569 10,586 Receivables due from card issuing banks 8,497 8,852 Fee advances 16,708 11,621 Other receivables 10,535 8,895 Accounts receivable, net $ 40,150 $ 42,153 Activity in the reserve for uncollectible overdrawn accounts consisted of the following: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 7,999 $ 11,196 $ 10,363 Provision for uncollectible overdrawn accounts: Fees 67,798 55,595 34,057 Purchase transactions 7,043 7,699 4,216 Charge-offs (70,908 ) (66,491 ) (37,440 ) Balance, end of period $ 11,932 $ 7,999 $ 11,196 |
Loans to Bank Customers
Loans to Bank Customers | 12 Months Ended |
Dec. 31, 2016 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Loans to Bank Customers | Loans to Bank Customers The following table presents total outstanding loans, gross of the related allowance for loan losses, and a summary of the related payment status: 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Total Current or Less Than 30 Days Past Due Total Outstanding (In thousands) December 31, 2016 Residential $ — $ 6 $ — $ 6 $ 3,718 $ 3,724 Commercial — — — — 366 366 Installment — — 2 2 1,742 1,744 Other — — — — 502 502 Total loans $ — $ 6 $ 2 $ 8 $ 6,328 $ 6,336 Percentage of outstanding — % 0.1 % — % 0.1 % 99.9 % 100.0 % December 31, 2015 Residential $ — $ — $ — $ — $ 3,863 $ 3,863 Commercial — — 19 19 294 313 Installment 2 — — 2 2,527 2,529 Total loans $ 2 $ — $ 19 $ 21 $ 6,684 $ 6,705 Percentage of outstanding — % — % 0.3 % 0.3 % 99.7 % 100.0 % Note 6—Loans to Bank Customers (continued) Nonperforming Loans The following table presents the carrying value, gross of the related allowance for loan losses, of our nonperforming loans. See Note 2 — Summary of Significant Accounting Policies for further information on the criteria for classification as nonperforming. December 31, 2016 December 31, 2015 (In thousands) Residential $ 368 $ 341 Commercial — 19 Installment — 5 Total loans $ 368 $ 365 Credit Quality Indicators We closely monitor and assess the credit quality and credit risk of our loan portfolio on an ongoing basis. We continuously review and update loan risk classifications. We evaluate our loans using non-classified or classified as the primary credit quality indicator. Classified loans are those loans that have demonstrated credit weakness where we believe there is a heightened risk of principal loss, including all impaired loans. Classified loans are generally internally categorized as substandard, doubtful, or loss, consistent with regulatory guidelines. The table below presents the carrying value, gross of the related allowance for loan losses, of our loans within the primary credit quality indicators related to our loan portfolio: December 31, 2016 December 31, 2015 Non-Classified Classified Non-Classified Classified (In thousands) Residential $ 3,036 $ 688 $ 3,404 $ 459 Commercial 366 — 294 19 Installment 1,432 312 2,173 356 Other 502 — — — Total loans $ 5,336 $ 1,000 $ 5,871 $ 834 Impaired Loans and Troubled Debt Restructurings When, for economic or legal reasons related to a borrower’s financial difficulties, we grant a concession for other than an insignificant period of time to a borrower that we would not otherwise consider, the related loan is classified as a Troubled Debt Restructuring, or TDR. Our TDR modifications related to extensions of the maturity dates at a stated interest rate lower than the current market rate for new debt with similar risk. The following table presents our impaired loans and loans that we modified as TDRs as of December 31, 2016 and 2015 : December 31, 2016 December 31, 2015 Unpaid Principal Balance Carrying Value Unpaid Principal Balance Carrying Value (In thousands) Residential $ 388 $ 316 $ 365 $ 298 Commercial — — 257 19 Installment 220 98 284 140 Note 6—Loans to Bank Customers (continued) Allowance for Loan Losses Activity in the allowance for loan losses consisted of the following: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 426 $ 444 $ 464 Provision (benefit) for loans (151 ) (38 ) 20 Loans charged off (25 ) (44 ) (66 ) Recoveries of loans previously charged off 27 64 26 Balance, end of period $ 277 $ 426 $ 444 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment consisted of the following: December 31, 2016 2015 (In thousands) Land $ 205 $ 205 Building 1,105 605 Computer equipment, furniture, and office equipment 44,789 45,508 Computer software purchased 19,370 16,900 Capitalized internal-use software 139,730 113,721 Tenant improvements 10,101 9,914 215,300 186,853 Less accumulated depreciation and amortization (132,679 ) (107,976 ) Property and equipment, net $ 82,621 $ 78,877 Depreciation and amortization expense was $39.5 million , $38.5 million and $32.5 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Included in those amounts are depreciation expense related to internal-use software of $25.6 million , $23.0 million and $18.4 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. We recorded impairment charges of $0.1 million and $5.9 million for the years ended December 31, 2016 and 2015 , respectively, associated with capitalized internal-use software we determined to no longer be utilized and any remaining carrying value was written off. There were no such impairment charges for the year ended December 31, 2014. The net carrying value of capitalized internal-use software was $58.1 million and $47.6 million at December 31, 2016 and 2015 , respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill and intangible assets on our consolidated balance sheets consisted of the following: December 31, 2016 2015 (In thousands) Goodwill $ 208,355 $ 208,079 Intangible assets, net 242,696 265,700 Goodwill and intangible assets $ 451,051 $ 473,779 Goodwill Changes in the carrying amount of goodwill were as follows: December 31, 2016 2015 (In thousands) Balance, beginning of period $ 208,079 $ 144,662 Acquisitions — 64,713 Adjustments related to final purchase accounting 276 (1,296 ) Balance, end of period $ 208,355 $ 208,079 During the three months ended December 31, 2016 , we completed our annual goodwill impairment test as of September 30, 2016 . Based on the results of step one of the annual goodwill impairment test, we determined that step two was not required for each of our reporting units as their fair values exceeded their carrying values indicating there was no impairment. Intangible Assets The gross carrying amounts and accumulated amortization related to intangibles assets were as follows: December 31, 2016 December 31, 2015 Gross Carrying Value Accumulated Amortization Net Book Value Gross Carrying Value Accumulated Amortization Net Book Value Weighted Average Useful Lives (In thousands) (In thousands) (Years) Customer relationships $ 251,273 $ (43,707 ) $ 207,566 $ 251,273 $ (23,862 ) $ 227,411 13.9 Trade names 38,586 (6,192 ) 32,394 38,586 (3,353 ) 35,233 14.5 Patents 3,000 (545 ) 2,455 3,000 (273 ) 2,727 11.0 Other 964 (683 ) 281 964 (635 ) 329 9.3 Total intangible assets $ 293,823 $ (51,127 ) $ 242,696 $ 293,823 $ (28,123 ) $ 265,700 Amortization expense on finite-lived intangibles, a component of other general and administrative expenses, was $23.0 million , $23.2 million , and $4.5 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. None of our intangible assets were considered impaired as of December 31, 2016 or 2015 . The following table shows our estimated amortization expense for intangible assets for each of the next five succeeding years and thereafter : December 31, (In thousands) 2017 $ 23,029 2018 23,028 2019 22,910 2020 18,853 2021 18,838 Thereafter 136,038 Total $ 242,696 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2016 | |
Deposits [Abstract] | |
Deposits | Deposits Deposits are categorized as non-interest or interest-bearing deposits as follows: December 31, 2016 2015 Non-interest bearing deposit accounts (In thousands) GPR deposits $ 617,220 $ 610,652 Other demand deposits 100,405 23,644 Total non-interest bearing deposit accounts 717,625 634,296 Interest-bearing deposit accounts Negotiable order of withdrawal (NOW) 1,209 851 Savings 11,950 8,848 Time deposits, denominations greater than or equal to $100 5,132 6,268 Time deposits, denominations less than $100 1,498 1,882 Total interest-bearing deposit accounts 19,789 17,849 Total deposits $ 737,414 $ 652,145 The scheduled contractual maturities for total time deposits are presented in the table below: December 31, (In thousands) Due in 2017 $ 3,876 Due in 2018 694 Due in 2019 403 Due in 2020 812 Due in 2021 845 Total time deposits $ 6,630 As of December 31, 2016 , we had aggregate time deposits of $2.5 million in denominations that met or exceeded the Federal Deposit Insurance Corporation (FDIC) insurance limit. |
Note Payable
Note Payable | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Note Payable | Note Payable In October 2014, we entered into a $225.0 million credit agreement with Bank of America, N.A., as an administrative agent, Wells Fargo Bank, National Association, and the other lenders party thereto. The credit agreement provides for 1) a $75.0 million five -year revolving facility (the "Revolving Facility") and 2) a five -year $150.0 million term loan facility ("Term Facility" and, together with the Revolving Facility, the "Senior Credit Facility"). The credit agreement also includes an accordion feature that, subject to securing additional commitments from existing lenders or new lending institutions, will allow us to increase the aggregate amount of these facilities by up to an additional $50.0 million . We drew the entire Term Facility on October 23, 2014, and used the proceeds to finance our acquisition of SBBT Holdings, LLC, as discussed in Note 3 — Business Acquisitions . We use the proceeds of any borrowings under the Revolving Facility for working capital and other general corporate purposes, subject to the terms and conditions set forth in the credit agreement. As of December 31, 2016 and 2015 , our outstanding debt consisted of the following, net of deferred financing costs of $4.3 million and $5.8 million , respectively: December 31, 2016 December 31, 2015 (In thousands) Term facility $ 100,686 $ 121,652 Revolving facility — — Total notes payable $ 100,686 $ 121,652 Note 10—Note Payable (continued) Interest and other fees At our election, loans made under the credit agreement bear interest at 1) a LIBOR rate (the “LIBOR Rate") or 2) a base rate determined by reference to the highest of (a) the Bank of America prime rate, (b) the United States federal funds rate plus 0.50% and (c) a daily rate equal to one-month LIBOR rate plus 1.0% (the “Base Rate"), plus in either case an applicable margin. The applicable margin for borrowings depends on our total leverage ratio and varies from 2.50% to 3.00% for LIBOR Rate loans and 1.50% to 2.00% for Base Rate loans. The effective interest rate on borrowings outstanding as of December 31, 2016 was 3.52% . Interest expense related to our Senior Credit Facility was $4.0 million , $4.3 million , and $0.9 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. We also pay a commitment fee, which varies from 0.30% to 0.40% per annum on the actual daily unused portions of the Revolving Facility. Letter of credit fees are payable in respect of outstanding letters of credit at a rate per annum equal to the applicable margin for LIBOR Rate loans. Maturity and payments The Revolving Facility matures, the commitments thereunder terminate, and all amounts then outstanding thereunder are payable on October 23, 2019. Quarterly principal payments of $5.6 million are payable on the loans under the Term Facility. The loans made under the Term Facility mature and all amounts then outstanding thereunder are payable on October 23, 2019. The following table sets forth future annual contractual principal payment commitments as of December 31, 2016 : December 31, (In thousands) 2017 $ 22,500 2018 22,500 2019 60,000 Total $ 105,000 We have the option to prepay the borrowings under the Senior Credit Facility without premium or penalty (other than customary breakage costs). The credit agreement requires us to repay certain amounts outstanding thereunder with (1) net cash proceeds of certain asset sales or other dispositions that exceed certain thresholds, to the extent such proceeds are not reinvested or committed to be reinvested in the business in accordance with customary reinvestment provisions and (2) net cash proceeds of the incurrence of certain indebtedness. Borrowings under the Senior Credit Facility are guaranteed by each of our domestic subsidiaries (the "Guarantor"), other than certain excluded subsidiaries (including bank subsidiaries) and subject to certain other exceptions set forth in the credit agreement. Obligations under the Senior Credit Facility are secured by first priority liens on, and security interests in, substantially all of our assets and each Guarantor, subject to certain customary exceptions. Covenants and restrictions The Senior Credit Facility contains customary representations and warranties relating to us and our subsidiaries. The Senior Credit Facility also contains certain affirmative and negative covenants including negative covenants that limit or restrict, among other things, liens, indebtedness, investments and acquisitions, mergers and fundamental changes, asset sales, restricted payments, changes in the nature of the business, transactions with affiliates and other matters customarily restricted in such agreements. We must maintain a minimum fixed charge coverage ratio and a maximum consolidated leverage ratio at the end of each fiscal quarter, as set forth in the credit agreement. At December 31, 2016 , we were in compliance with all such covenants. If an event of default shall occur and be continuing under the Senior Credit Facility, the commitments may be terminated and the principal amounts outstanding under the Senior Credit Facility, together with all accrued unpaid interest and other amounts owing in respect thereof, may be declared immediately due and payable. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Convertible Preferred Stock In December 2011, we filed a restated Certificate of Incorporation that authorized 10,085 shares of Series A Convertible Junior Participating Non-Cumulative Perpetual Preferred Stock, or Series A Preferred Stock. We then entered into and completed a share exchange with a significant shareholder, whereby 6,859,000 shares of our Class B common stock were exchanged for 6,859 shares of our newly created series of preferred stock. During the year ended December 31, 2014, 5,345 shares of our Series A Preferred Stock converted into 5,345,000 shares of Class A Common Stock. As of December 31, 2015 , 1,515 shares of our Series A Preferred Stock were outstanding. All remaining Series A Preferred shares outstanding converted into equivalent shares of Class A Common Stock during the year ended December 31, 2016 . Common Stock Our Certificate of Incorporation specifies the following rights, preferences, and privileges for our common stockholders. Voting Holders of our Class A common stock are entitled to one vote per share. We have not provided for cumulative voting for the election of directors in our restated Certificate of Incorporation. In addition, our Certificate of Incorporation provides that a holder, or group of affiliated holders, of more than 24.9% of our common stock may not vote shares representing more than 14.9% of the voting power represented by the outstanding shares of our Class A common stock. Dividends Subject to preferences that may apply to any shares of preferred stock outstanding at the time, the holders of outstanding shares of our Class A common stock are entitled to receive dividends out of funds legally available at the times and in the amounts that our board of directors may determine. In the event a dividend is paid in the form of shares of common stock or rights to acquire shares of common stock, the holders of Class A common stock will receive Class A common stock, or rights to acquire Class A common stock, as the case may be. Liquidation Upon our liquidation, dissolution or winding-up, the assets legally available for distribution to our stockholders would be distributable ratably among the holders of our Class A common stock and any participating preferred stock outstanding at that time after payment of liquidation preferences, if any, on any outstanding shares of our preferred stock and payment of other claims of creditors. Preemptive or Similar Rights Our Class A common stock is not entitled to preemptive rights or subject to redemption. Non-Employee Stock-Based Payments Shares Subject to Repurchase In May 2010, we amended our commercial agreement with Walmart, our largest retail distributor, and GE Money Bank. The agreement commenced on May 1, 2010 with a five -year term. As an incentive to amend our prepaid card program agreement, we issued Walmart 2,208,552 shares of our Class A common stock. These shares were subject to our right to repurchase them at $ 0.01 per share upon termination of our agreement with Walmart other than a termination arising out of our knowing, intentional and material breach of the agreement. Our right to repurchase the shares lapsed with respect to 36,810 shares per month over the five-year term of the agreement. Our right to repurchase shares lapsed completely during the year ended December 31, 2015, and therefore, there were no shares subject to our repurchase right as of December 31, 2016 and 2015 . Note 11—Stockholders’ Equity (continued) Registration Rights Agreements Registration Rights Agreement dated as of May 27, 2010 as amended We are a party to a Ninth Amended and Restated Registration Rights Agreement, dated as of May 27, 2010, as amended (the "Registration Rights Agreement") with certain of our investors, pursuant to which we have granted those persons or entities the right to register shares of common stock held by them under the Securities Act of 1933, as amended, or the Securities Act. Holders of these rights are entitled to demand that we register their shares of common stock under the Securities Act so long as certain conditions are satisfied and require us to include their shares of common stock in future registration statements that may be filed, either for our own account or for the account of other security holders exercising registration rights. In addition, after an initial public offering, these holders have the right to request that their shares of common stock be registered on a Form S-3 registration statement so long as certain conditions are satisfied and the anticipated aggregate sales price of the registered shares as of the date of filing of the Form S-3 registration statement is at least $ 1.0 million . The foregoing registration rights are subject to various conditions and limitations, including the right of underwriters of an offering to limit the number of registrable securities that may be included in an offering. The registration rights terminate as to any particular shares on the date on which the holder sells such shares to the public in a registered offering or pursuant to Rule 144 under the Securities Act. We are generally required to bear all of the expenses of these registrations, except underwriting commissions, selling discounts and transfer taxes. We are not obligated under the Registration Rights Agreement to transfer consideration, whether in cash, equity instruments, or adjustments to the terms of the financial instruments that are subject to the registration payment arrangement, to the investors, if the registration statement is not declared effective within the specified time or if effectiveness of the registration statement is not maintained. The Registration Rights Agreement expired pursuant to its terms in July 2015. Registration Rights Agreement dated as of October 23, 2014 We are party to a Registration Rights Agreement, dated as of October 23, 2014, with certain persons listed on Exhibit A thereto (the “New Registration Rights Agreement”), which we entered into in connection with our acquisition of TPG. The terms of the New Registration Rights Agreement grant the selling stockholders (and their successors and permitted assigns who hold shares of our Class A common stock in accordance with the New Registration Rights Agreement) certain rights with respect to the registration of their shares under the Securities Act. We were required to file a Form S-3 shelf registration statement to register the shares of Class A common stock issued in the acquisition of TPG as soon as reasonably practicable after the closing of the acquisition and to cause the registration statement to be declared effective within 75 days of the closing of the merger. We filed the Form S-3 registration statement with the SEC on December 12, 2014. Subject to certain exceptions, we must keep the Form S-3 registration statement continuously effective until the earlier of (x) the date following the second anniversary of the closing of the acquisition on which there remain fewer than 1,840,001 registrable securities (i.e., approximately 30% of the aggregate shares of our common stock issued in the acquisition) and (y) the 30 month anniversary of the acquisition closing. The New Registration Rights Agreement grants holders holding at least $30 million of registrable securities the right to cause us to effect up to two underwritten offerings under the Form S-3 registration statement of, in each case, registrable securities having an aggregate offering price of at least $30 million . The foregoing registration rights are subject to various conditions and limitations, including the right of underwriters of an offering to limit the number of registrable securities that may be included in an offering. The registration rights under the New Registration Rights Agreement will terminate as to any particular shares on the date on which the holder sells such shares to the public in a registered offering or pursuant to Rule 144 under the Securities Act. We will generally pay all expenses, other than underwriting discounts and commissions, transfer taxes and the fees and disbursements of more than one counsel for the selling stockholders, incurred in connection with the registration described above. Refer to Note 3 — Business Acquisitions for additional information regarding our acquisition of TPG. Comprehensive Income The tax impact on unrealized losses on investment securities available-for-sale for the years ended December 31, 2016 , 2015 and 2014 was approximately $0.2 million , $0.3 million and $0.0 million , respectively. Note 11—Stockholders’ Equity (continued) Stock Repurchase Program In June 2015, our Board of Directors authorized a repurchase of shares of our Class A Common Stock in an amount up to $150 million under a stock repurchase program ("Repurchase Program") with no expiration date. The Repurchase Program may be carried out at the direction of management, subject to the limitations set forth in Rule 10b-18 of the Securities Exchange Act of 1934 ("Exchange Act") and other legal requirements, and any further limitations that may be established by the Board of Directors. Repurchases may be made through open market purchases, block trades, and in negotiated private transactions. The stock may be repurchased on an ongoing basis and will be subject to the availability of stock, general market conditions, the trading price of the stock, alternative uses for capital and our financial performance. As of December 31, 2016 we have repurchased $100 million of Class A Common Stock under the Repurchase Program. Accelerated Share Repurchases We have entered into accelerated share repurchase arrangements (“ASRs”) with a financial institution. In exchange for an up-front payment, the financial institution delivers shares of our Class A Common Stock during the purchase periods of each ASR. Upon settlement, we will either receive additional shares from the financial institution or we may be required to deliver additional shares or cash to the financial institution, at our election. The final number of shares received upon settlement for the ASR is determined based on the volume-weighted average price of our common stock over the term of the agreement less an agreed upon discount and subject to adjustments pursuant to the terms and conditions of the ASR. The up-front payments are accounted for as a reduction to shareholders’ equity on our consolidated balance sheets in the periods the payments are made. The ASRs are accounted for in two separate transactions: 1) a treasury stock repurchase for the initial shares received and 2) a forward stock purchase contract indexed to our own stock for the unsettled portion of the ASR. The par value of the shares received are recorded as a reduction to common stock with the remainder recorded as a reduction to additional paid-in capital and retained earnings. The ASRs meet all of the applicable criteria for equity classification, and therefore are not accounted for as derivative instruments. The initial repurchase of shares resulted in an immediate reduction of the outstanding shares used to calculate the weighted-average common shares outstanding for basic and diluted earnings per share. The shares are retired upon repurchase, but remain authorized for registration and issuance in the future. The following table summarizes our ASR activity since inception of the stock repurchase program: Purchase Period End Date Number of Shares (In thousands) Average repurchase price per share ASR Amount (In thousands) April 2016 ASR October 2016 2,219 $ 22.54 $ 50,000 September 2015 ASR January 2016 2,342 $ 17.08 $ 40,000 Other In connection with the Repurchase Program, we entered into a repurchase plan in December 2015 under Rule 10b5-1 of the Exchange Act for $10 million . The timing, nature and amount of purchases depend on a variety of factors, including market conditions and the volume limit defined by Rule 10b-18. We completed all repurchases under this plan during the first quarter of 2016 and total repurchases amounted to approximately 0.6 million shares at an average price of $16.15 . |
Employee Stock-Based Compensati
Employee Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Employee Stock-Based Compensation | Employee Stock-Based Compensation Employee Stock-Based Compensation In June 2010, our board of directors adopted, and in July 2010 our stockholders approved, the 2010 Equity Incentive Plan, which replaced our 2001 Stock Plan, and the 2010 Employee Stock Purchase Plan. The 2010 Equity Incentive Plan authorizes the award of stock options, restricted stock awards, stock appreciation rights, restricted stock units, performance shares and stock bonuses. Options granted under the 2010 Equity Incentive Plan generally vest over four years and expire five years or ten years from the date of grant. The 2010 Employee Stock Purchase Plan enables eligible employees to purchase shares of our Class A common stock periodically at a discount. Our 2010 Employee Stock Purchase Plan is intended to qualify as an employee stock purchase plan under Section 423 of the Internal Revenue Code. Upon adoption, we reserved 2,000,000 shares and 200,000 shares of our Class A common stock for issuance under our 2010 Equity Incentive Plan and 2010 Employee Stock Purchase Plan, respectively. The number of shares reserved for issuance under our 2010 Equity Incentive Plan and our 2010 Employee Stock Purchase Plan automatically increases on the first day of January of each of 2011 through 2014 and 2011 through 2018, respectively, by up to a number of shares equal to 3% of the total outstanding shares our Class A common stock as of the immediately preceding December 31st. Our board of directors or its compensation committee may reduce the amount of the annual increase under the 2010 Equity Incentive Plan or 2010 Employee Stock Purchase Plan in any particular year. At our 2014 Annual Meeting of Stockholders, our stockholders approved amendments to our 2010 Equity Incentive Plan to increase the number of shares reserved for issuance by 3,400,000 shares. Approximately 1.3 million shares are available for grant under the 2010 Equity Incentive Plan as of December 31, 2016 . Stock-based compensation for the years ended December 31, 2016 , 2015 , and 2014 includes expense related to awards of stock options and restricted stock units and purchases under the 2010 Employee Stock Purchase Plan. Total stock-based compensation expense and the related income tax benefit were as follows: Year Ended December 31, 2016 2015 2014 (In thousands) Total stock-based compensation expense $ 28,321 $ 27,011 $ 20,329 Related income tax benefit 9,167 8,602 6,949 The following table summarizes stock options and restricted stock units granted (no stock options granted for the years ended December 31, 2016 or 2015 ): Year Ended December 31, 2016 2015 2014 (In thousands, except per share data) Stock options granted — — 106 Weighted-average exercise price $ — $ — $ 20.92 Weighted-average grant-date fair value $ — $ — $ 10.75 Restricted stock units granted 1,703 1,980 2,035 Weighted-average grant-date fair value $ 22.65 $ 16.34 $ 19.49 We estimated the fair value of each stock option grant on the date of grant using the following weighted-average assumptions: Year Ended December 31, 2016 2015 2014 Risk-free interest rate — % — % 1.8 % Expected term (life) of options (in years) — — 5.79 Expected dividends — — — Expected volatility — % — % 54.0 % Note 12—Employee Stock-Based Compensation (continued) Determining the fair value of stock-based awards at their respective grant dates requires considerable judgment, including estimating expected volatility and expected term (life). We based our expected volatility on the historical volatility of comparable public companies over the option’s expected term. We calculated our expected term based on the simplified method, which is the mid-point between the weighted-average graded-vesting term and the contractual term. The simplified method was chosen as a means to determine expected term as we have limited historical option exercise experience as a public company. We derived the risk-free rate from the average yield for the five-and seven-year zero-coupon U.S. Treasury Strips. We estimate forfeitures at the grant date based on our historical forfeiture rate and revise the estimate, if necessary, in subsequent periods if actual forfeitures differ from those estimates. Stock option activity for the year ended December 31, 2016 was as follows: Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value (In thousands, except per share data and years) Outstanding at December 31, 2015 3,348 $ 18.97 Options granted — — Options exercised (822 ) 14.04 Options canceled (379 ) 23.58 Outstanding at December 31, 2016 2,147 $ 20.03 4.10 $ 11,246 Vested or expected to vest at December 31, 2016 2,145 20.03 4.09 $ 11,242 Exercisable at December 31, 2016 2,030 19.97 3.97 $ 10,854 The total intrinsic value of options exercised was $6.4 million , $0.5 million and $14.0 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. Restricted stock unit activity for the year ended December 31, 2016 was as follows: Shares Weighted-Average Grant-Date Fair Value (In thousands) Outstanding at December 31, 2015 3,446 $ 17.99 Restricted stock units granted 1,703 $ 23.04 Restricted stock units canceled (549 ) $ 18.38 Restricted stock units vested (1,057 ) $ 18.42 Outstanding at December 31, 2016 3,543 $ 20.24 The total fair value of shares vested for the years ended December 31, 2016 , 2015 and 2014 was $23.2 million , $14.0 million and $8.2 million , respectively, based on the price of our Class A common stock on the vesting date. As of December 31, 2016 , there was $1.0 million and $50.9 million of aggregate unrecognized compensation cost related to unvested stock options and restricted stock units, respectively, expected to be recognized in compensation expense in future periods, with a weighted-average period of 0.63 years and 2.54 years, respectively. Stock-Based Retailer Incentive Compensation As discussed in Note 11 — Stockholders’ Equity , we issued Walmart 2,208,552 shares of our Class A common stock in May 2010. We recognized the fair value of 36,810 shares each month over the five-year term of the commercial agreement. We recorded the fair value recognized as stock-based retailer incentive compensation, a contra-revenue component of our total operating revenues. We recognized monthly the fair value of the shares for which our right to repurchase has lapsed using the then-current fair market value of our Class A common stock. We recognized $2.5 million and $8.9 million of stock-based retailer incentive compensation for the years ended December 31, 2015 and 2014 , respectively. Our repurchase right lapsed completely in April 2015, and we no longer recorded stock-based compensation beginning in May 2015. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of income tax expense included in our consolidated statements of operations were as follows: Year Ended December 31, 2016 2015 2014 (In thousands) Current: Federal $ 16,540 $ 18,988 $ 24,382 State 1,934 1,104 1,368 Foreign 217 21 — Current income tax expense 18,691 20,113 25,750 Deferred: Federal 2,362 (138 ) 760 State (1,142 ) (287 ) (224 ) Foreign 50 19 (73 ) Deferred income tax expense (benefit) 1,270 (406 ) 463 Income tax expense $ 19,961 $ 19,707 $ 26,213 Income tax expense differs from the amount computed by applying the statutory federal income tax rate to income before income taxes. The sources and tax effects of the differences are as follows: Year Ended December 31, 2016 2015 2014 U.S. federal statutory tax rate 35.0 % 35.0 % 35.0 % State income taxes, net of federal benefit 0.4 0.4 1.1 General business credits (3.4 ) (0.9 ) (1.3 ) Employee stock-based compensation 0.3 0.8 0.7 Transaction costs — (2.1 ) 1.8 Other 0.1 0.7 0.7 Effective tax rate 32.4 % 33.9 % 38.0 % The decrease in the effective tax rate for the year ended December 31, 2016 as compared to the year ended December 31, 2015 is primarily due to the reversal of previously accrued tax provisions on uncertain tax positions that were no longer necessary due to the expiration of statue of limitations and settlement of certain taxing jurisdictions, included in general business credits. Note 13—Income Taxes (continued) The tax effects of temporary difference that give rise to significant portions of our deferred tax assets and liabilities were as follows: December 31, 2016 2015 (In thousands) Deferred tax assets: Net operating loss carryforwards $ 12,619 $ 14,726 Stock-based compensation 13,221 12,535 Reserve for overdrawn accounts 4,684 3,162 Accrued liabilities 6,910 6,206 Tax credit carryforwards 3,590 2,592 Other 2,293 2,531 Total deferred tax assets $ 43,317 $ 41,752 Deferred tax liabilities: Internal-use software costs $ 20,415 $ 17,955 Property and equipment, net 692 1,669 Deferred expenses 5,881 4,730 Intangible assets 11,208 10,623 Gift card revenue 4,236 4,183 Total deferred tax liabilities 42,432 39,160 Net deferred tax assets $ 885 $ 2,592 We establish a valuation allowance when we consider it more-likely-than-not that some portion or all of the deferred tax assets will not be realized. As of December 31, 2016 , we do not have a valuation allowance on any of our deferred tax assets as we believe it is more-likely-than-not that we will realize the benefits of our deferred tax assets. We are subject to examination by the Internal Revenue Service, or IRS, and various state tax authorities. We remain subject to examination of our federal income tax returns for the five-months ended December 31, 2009 and the years ended December 31, 2010, through 2015 . We generally remain subject to examination of our various state income tax returns for a period of four to five years from the respective dates the returns were filed. As of December 31, 2016 , we have net operating loss carryforwards of approximately $41.2 million and $32.3 million for federal and state tax purposes, respectively, which will be available to offset future income. If not used, these carryforwards will expire between 2017 and 2035. In addition, we have state business tax credits of approximately $7.7 million that can be carried forward indefinitely and other state business tax credits of approximately $1.1 million that will expire 2026. As of December 31, 2016 and 2015 , we had a liability of $7.3 million and $7.4 million , respectively, for unrecognized tax benefits related to various federal and state income tax matters excluding interest, penalties and related tax benefits. The reconciliation of the beginning unrecognized tax benefits balance to the ending balance is as follows: Note 13—Income Taxes (continued) Year Ended December 31, 2016 2015 2014 (In thousands) Beginning balance $ 7,371 $ 6,189 $ 3,724 Increases related to positions taken during prior years 134 759 856 Increases related to positions taken during the current year 1,023 423 1,609 Decreases related to positions settled with tax authorities (1,105 ) — — Decreases due to a lapse of applicable statute of limitations (109 ) — — Ending balance $ 7,314 $ 7,371 $ 6,189 The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate $ 7,314 $ 7,371 $ 6,189 We recognized accrued interest and penalties related to unrecognized tax benefits for the years ended December 31, 2016 , 2015 and 2014 , of approximately $0.6 million , $0.2 million and $0.4 million , respectively. |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Earnings per Common Share The calculation of basic and diluted EPS was as follows: Year Ended December 31, 2016 2015 2014 (In thousands, except per share data) Basic earnings per Class A common share Net income $ 41,600 $ 38,415 $ 42,693 Income attributable to preferred stock (802 ) (1,102 ) (4,842 ) Income attributable to other classes of common stock — (21 ) (349 ) Net income allocated to Class A common stockholders $ 40,798 $ 37,292 $ 37,502 Weighted-average Class A shares issued and outstanding 49,535 51,332 40,907 Basic earnings per Class A common share $ 0.82 $ 0.73 $ 0.92 Diluted earnings per Class A common share Net income allocated to Class A common stockholders $ 40,798 $ 37,292 $ 37,502 Re-allocated earnings 20 11 94 Diluted net income allocated to Class A common stockholders $ 40,818 $ 37,303 $ 37,596 Weighted-average Class A shares issued and outstanding 49,535 51,332 40,907 Dilutive potential common shares: Stock options 507 293 640 Restricted stock units 753 243 220 Employee stock purchase plan 2 7 3 Diluted weighted-average Class A shares issued and outstanding 50,797 51,875 41,770 Diluted earnings per Class A common share $ 0.80 $ 0.72 $ 0.90 Note 14—Earnings per Common Share (continued) For the periods presented, we excluded all shares of convertible preferred stock and certain stock options and restricted stock units outstanding, which could potentially dilute basic EPS in the future, from the computation of diluted EPS as their effect was anti-dilutive. The following table shows the weighted-average number of anti-dilutive shares excluded from the diluted EPS calculation: Year Ended December 31, 2016 2015 2014 (In thousands) Class A common stock Options to purchase Class A common stock 124 650 598 Restricted stock units 2 31 15 Conversion of convertible preferred stock 974 1,518 5,282 Total options, restricted stock units and convertible preferred stock 1,100 2,199 5,895 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements We determine the fair values of our financial instruments based on the fair value hierarchy established under applicable accounting guidance which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs used to measure fair value. For more information regarding the fair value hierarchy and how we measure fair value, see Note 2 — Summary of Significant Accounting Policies . As of December 31, 2016 and 2015 , our assets and liabilities carried at fair value on a recurring basis were as follows: Level 1 Level 2 Level 3 Total Fair Value December 31, 2016 (In thousands) Assets Corporate bonds $ — $ 21,535 $ — $ 21,535 Commercial paper — 12,430 — 12,430 U.S. Treasury notes — 21,563 — 21,563 Agency securities — 4,001 — 4,001 Mortgage-backed securities — 117,491 — 117,491 Municipal bonds — 1,430 — 1,430 Asset-backed securities — 29,976 — 29,976 Total assets $ — $ 208,426 $ — $ 208,426 Liabilities Contingent consideration $ — $ — $ 8,634 $ 8,634 December 31, 2015 Assets Corporate bonds $ — $ 33,154 $ — $ 33,154 Commercial paper — 6,505 — 6,505 U.S. Treasury notes — 17,525 — 17,525 Agency securities — 4,015 — 4,015 Mortgage-backed securities — 99,772 — 99,772 Municipal bonds — 1,900 — 1,900 Asset-backed securities — 18,668 — 18,668 Total assets $ — $ 181,539 $ — $ 181,539 Liabilities Contingent consideration $ — $ — $ 13,889 $ 13,889 Note 15—Fair Value Measurements (continued) We based the fair value of our fixed income securities held as of December 31, 2016 and 2015 on quoted prices in active markets for similar assets. We had no transfers between Level 1, Level 2 or Level 3 assets or liabilities during the year s ended December 31, 2016 and 2015 . The following table presents changes in our contingent consideration payable for the year s ended December 31, 2016 , 2015 and 2014 , which is categorized in Level 3 of the fair value hierarchy: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 13,889 $ 23,160 $ — Issuance — — 24,500 Payments of contingent consideration (2,755 ) (1,071 ) (242 ) Purchase accounting adjustment — — (400 ) Change in fair value of contingent consideration (2,500 ) (8,200 ) (698 ) Balance, end of period $ 8,634 $ 13,889 $ 23,160 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The following describes the valuation technique for determining the fair value of financial instruments, whether or not such instruments are carried at fair value on our consolidated balance sheets. Short-term Financial Instruments Our short-term financial instruments consist principally of unrestricted and restricted cash and cash equivalents, federal funds sold, settlement assets and obligations, and obligations to customers . These financial instruments are short-term in nature, and, accordingly, we believe their carrying amounts approximate their fair values. Under the fair value hierarchy, these instruments are classified as Level 1. Investment Securities The fair values of investment securities have been derived using methodologies referenced in Note 2 — Summary of Significant Accounting Policies. Under the fair value hierarchy, our investment securities are classified as Level 2. Loans We determined the fair values of loans by discounting both principal and interest cash flows expected to be collected using a discount rate commensurate with the risk that we believe a market participant would consider in determining fair value. Under the fair value hierarchy, our loans are classified as Level 3. Deposits The fair value of demand and interest checking deposits and savings deposits is the amount payable on demand at the reporting date. We determined the fair value of time deposits by discounting expected future cash flows using market-derived rates based on our market yields on certificates of deposit, by maturity, at the measurement date. Under the fair value hierarchy, our deposits are classified as Level 2. Contingent Consideration The fair value of contingent consideration obligations are estimated through valuation models designed to estimate the probability of such contingent payments based on various assumptions. Estimated payments are discounted using present value techniques to arrive at an estimated fair value. Our contingent consideration payable is classified as Level 3 because we use unobservable inputs to estimate fair value, including the probability of achieving certain earnings thresholds and appropriate discount rates. Changes in fair value of contingent consideration are recorded through operating expenses. Note Payable The fair value of our note payable is based on borrowing rates currently required of loans with similar terms, maturity and credit risk. The carrying amount of our note payable approximates fair value because the base interest rate charged varies with market conditions and the credit spread is commensurate with current market spreads for issuers of similar risk. The fair value of the note payable is classified as a Level 2 liability in the fair value hierarchy. Note 16—Fair Value of Financial Instruments (continued) Fair Value of Financial Instruments The carrying values and fair values of certain financial instruments that were not carried at fair value, excluding short-term financial instruments for which the carrying value approximates fair value, at December 31, 2016 and 2015 are presented in the table below. December 31, 2016 December 31, 2015 Carrying Value Fair Value Carrying Value Fair Value (In thousands) Financial Assets Loans to bank customers, net of allowance $ 6,059 $ 5,421 $ 6,279 $ 5,847 Financial Liabilities Deposits $ 737,414 $ 737,356 $ 652,145 $ 652,060 Note payable $ 100,686 $ 100,686 $ 121,652 $ 121,652 |
Concentrations of Credit Risk
Concentrations of Credit Risk | 12 Months Ended |
Dec. 31, 2016 | |
Concentrations of Credit Risk [Abstract] | |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that subject us to concentration of credit risk consist primarily of unrestricted cash and cash equivalents, restricted cash, investment securities, accounts receivable, loans and settlement assets. We deposit our unrestricted cash and cash equivalents and our restricted cash with regional and national banking institutions that we periodically monitor and evaluate for creditworthiness. Credit risk for our investment securities is mitigated by the types of investment securities in our portfolio, which must comply with strict investment guidelines that we believe appropriately ensures the preservation of invested capital. Credit risk for our accounts receivable is concentrated with card issuing banks and our customers, and this risk is mitigated by the relatively short collection period and our large customer base. We do not require or maintain collateral for accounts receivable. We maintain reserves for uncollectible overdrawn accounts and uncollectible trade receivables. With respect to our loan portfolio, approximately 93.3% of our borrowers reside in the state of Utah and approximately 42.0% in the city of Provo. Consequently, this loan portfolio is susceptible to any adverse market or environmental conditions that may impact this specific geographic region. Credit risk for our settlement assets is concentrated with our retail distributors, which we periodically monitor. |
Defined Contribution Plan
Defined Contribution Plan | 12 Months Ended |
Dec. 31, 2016 | |
Defined Contribution Plan [Abstract] | |
Defined Contribution Plan | Defined Contribution Plan On January 1, 2004, we established a defined contribution savings plan under Section 401(k) of the Internal Revenue Code. Employees who have attained at least 21 years of age are generally eligible to participate in the plan on the first day of the calendar month following the month in which they commence service with us. Participants may make pre-tax contributions to the plan from their eligible earnings up to the statutorily prescribed annual limit on pre-tax contributions under the code. We may contribute to the plan at the discretion of our board of directors. Currently, employer contributions amount to 25% of the first 5% of a participant's eligible compensation. Our contributions are allocated in the same manner as that of the participant’s elective contributions. We made contributions to the plan of $0.8 million , $0.9 million , and $0.5 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies In December 2011, we entered into a ten -year office lease for 140,000 square feet of office space in Pasadena, California. This facility serves as our corporate headquarters. The initial term of the lease is ten years and is scheduled to expire on October 31, 2022. Through our wholly owned subsidiaries, we also lease various office facilities and maintain smaller administrative or project offices. Our total rental expense for these and former leases amounted to $8.0 million , $8.8 million and $5.4 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. Note 19—Commitments and Contingencies (continued) At December 31, 2016 , the future minimum aggregate rental commitment under all operating leases and minimum annual payments through various agreements with vendors and retail distributors was as follows: Operating Leases Vendor/Retail Distributor Commitments Year ending December 31, (In thousands) 2017 $ 7,236 $ 22,859 2018 5,885 5,601 2019 5,694 190 2020 5,821 — 2021 6,002 — Thereafter 5,064 — Total of future commitments $ 35,702 $ 28,650 In the event we terminate our processing services agreement for convenience, we are required to pay a single lump sum equal to any minimum payments remaining on the date of termination. These future minimum obligations are included in our vendor and retail distributor commitments. As of December 31, 2016 and 2015 , we had $0.5 million and $1.5 million outstanding in standby letters of credit related to our corporate facility lease, respectively. Litigation and Claims In the ordinary course of business, we are a party to various legal proceedings, including, from time to time, actions which are asserted to be maintainable as class action suits. We review these actions on an ongoing basis to determine whether it is probable and estimable that a loss has occurred and use that information when making accrual and disclosure decisions. We have provided reserves where necessary for all claims and, based on current knowledge and in part upon the advice of legal counsel, all matters are believed to be adequately covered by insurance, or, if not covered, we do not expect the outcome in any legal proceedings, individually or collectively, to have a material adverse impact on our financial condition or results of operations. During the three months ended June 30, 2016, we continued our planned conversion of customer files from our legacy third-party card processor to our new third-party card processor. As part of the conversion process, a small percentage of our active cardholders experienced limited disruptions in service that resulted in losses to us including, but not limited to, approximately $4.1 million in specific credits we paid to our customers and specific cardholder transaction losses incurred by us as a result of the service disruption. These specific losses have been fully reimbursed by our new third-party processor, while other expenses we incurred as a result of the disruption in service were not reimbursed to us. As a result of this limited disruption in service, two putative class action complaints were filed during the second quarter of 2016. Any settlement amount paid to resolve the consolidated class actions will be borne equally between us and our new third-party card processor. We recorded an estimated accrual of approximately $2.8 million , which represents our portion of the estimated total settlement amount inclusive of legal fees, of which our insurance carrier has agreed to reimburse us for up to approximately $2.3 million . These amounts are recorded in other accrued liabilities and account receivable, respectively, on our consolidated balance sheet as of December 31, 2016 . During the year ended December 31, 2014 , we received net cash proceeds of $6.4 million in connection with the settlement of a lawsuit. We recorded this settlement, net of legal costs incurred in connection with the litigation, as other income on our consolidated statements of operations. Other Matters We monitor the laws of all 50 states to identify state laws or regulations that apply (or may apply) to our products and services. We have obtained money transmitter licenses (or similar such licenses) where applicable, based on advice of counsel or when we have been requested to do so. If we were found to be in violation of any laws and regulations governing banking, money transmitters, electronic fund transfers, or money laundering in the United States or abroad, we could be subject to penalties or could be forced to change our business practices. Note 19—Commitments and Contingencies (continued) From time to time we enter into contracts containing provisions that contingently require us to indemnify various parties against claims from third parties. These contracts primarily relate to: (i) contracts with our card issuing banks, under which we are responsible to them for any unrecovered overdrafts on cardholders’ accounts; (ii) certain real estate leases, under which we may be required to indemnify property owners for environmental and other liabilities, and other claims arising from our use of the premises; (iii) certain agreements with our officers, directors, and employees, under which we may be required to indemnify these persons for liabilities arising out of their relationship with us; and (iv) contracts under which we may be required to indemnify our retail distributors, suppliers, vendors and other parties with whom we have contracts against claims arising from certain of our actions, omissions, violations of law and/or infringement of patents, trademarks, copyrights and/or other intellectual property rights. Generally, a maximum obligation under these contracts is not explicitly stated. Because the obligated amounts associated with these types of agreements are not explicitly stated, the overall maximum amount of the obligation cannot be reasonably estimated. With the exception of overdrafts on cardholders’ accounts, historically, we have not been required to make payments under these and similar contingent obligations, and no liabilities have been recorded for these obligations in our consolidated balance sheets. For additional information regarding overdrafts on cardholders’ accounts, refer to Note 5 — Accounts Receivable . |
Significant Customer Concentrat
Significant Customer Concentrations | 12 Months Ended |
Dec. 31, 2016 | |
Significant Customer Concentrations [Abstract] | |
Significant Customer Concentrations | Significant Customer Concentration A credit concentration may exist if customers are involved in similar industries, economic sectors, and geographic regions. Our retail distributors operate in similar economic sectors but diverse domestic geographic regions. The loss of a significant retail distributor could have a material adverse effect upon our card sales, profitability, and revenue growth. Revenue Concentrations Revenues derived from our products sold at retail distributors constituting greater than 10% of our total operating revenues were as follows: Year Ended December 31, 2016 2015 2014 Walmart 45% 46% 54% Excluding stock-based retailer incentive compensation of $0 million , $2.5 million and $8.9 million for the year s ended December 31, 2016 , 2015 and 2014 , respectively, revenues derived from our products sold at retail distributors constituting greater than 10% of our total operating revenues were as follows (stock-based retailer incentive compensation no longer incurred beginning May 2015): Year Ended December 31, 2016 2015 2014 Walmart 45% 46% 55% No other retail distributor made up greater than 10% of our total operating revenues for the years ended December 31, 2016 , 2015 , and 2014 . Settlement Asset Concentrations Settlement assets derived from our products sold at at retail distributors constituting greater than 10% of the settlement assets outstanding on our consolidated balance sheets were as follows: December 31, 2016 December 31, 2015 Walmart 42% 62% |
Regulatory Requirements
Regulatory Requirements | 12 Months Ended |
Dec. 31, 2016 | |
Regulatory Requirements [Abstract] | |
Regulatory Requirements | Regulatory Requirements Our subsidiary bank, Green Dot Bank, is a member bank of the Federal Reserve System and our primary regulator is the Federal Reserve Board. We are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory actions by regulators that, if undertaken, could have a direct material effect on our financial statements. Under capital adequacy guidelines, we must meet specific capital guidelines that involve quantitative measures of the assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. As of December 31, 2016 and 2015 , we were categorized as "well capitalized" under the regulatory framework. There were no conditions or events since December 31, 2016 which management believes would have changed our category as "well capitalized." Our capital ratios and related regulatory requirements were as follows: December 31, 2016 Amount Ratio Regulatory Minimum (1) "Well-capitalized" Minimum (1) (In thousands, except ratios) Green Dot Corporation: Tier 1 leverage 332,101 24.3 % 4.0 % n/a Common equity Tier 1 capital 332,101 61.0 % 4.5 % n/a Tier 1 capital 332,101 61.0 % 6.0 % 6.0 % Total risk-based capital 333,288 61.2 % 8.0 % 10.0 % Green Dot Bank: Tier 1 leverage 139,491 17.0 % 4.0 % 5.0 % Common equity Tier 1 capital 139,491 54.8 % 4.5 % 6.5 % Tier 1 capital 139,491 54.8 % 6.0 % 8.0 % Total risk-based capital 139,768 54.9 % 8.0 % 10.0 % December 31, 2015 Amount Ratio Regulatory Minimum (1) "Well-capitalized" Minimum (1) (In thousands, except ratios) Green Dot Corporation: Tier 1 leverage 347,801 25.9 % 4.0 % n/a Common equity Tier 1 capital 347,801 70.7 % 4.5 % n/a Tier 1 capital 347,801 70.7 % 6.0 % 6.0 % Total risk-based capital 349,396 71.1 % 8.0 % 10.0 % Green Dot Bank: Tier 1 leverage 152,737 20.4 % 15.0 % 15.0 % Common equity Tier 1 capital 152,737 132.2 % 4.5 % 6.5 % Tier 1 capital 152,737 132.2 % 6.0 % 8.0 % Total risk-based capital 153,164 132.5 % 8.0 % 10.0 % (1) The tier 1 leverage regulatory minimum and well-capitalized minimum ratios for banks is 4% and 5%, respectively. As of December 31, 2015 our subsidiary bank was subject to separate tier 1 leverage requirements that we had committed to with the Federal Reserve Board and Utah Department of Financial Institutions. Our commitments with the Federal Reserve Board and Utah Department of Financial Institutions lapsed in November 2016. |
Selected Quarterly Financial In
Selected Quarterly Financial Information | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Unaudited Quarterly Financial Information | Selected Unaudited Quarterly Financial Information The following tables set forth a summary of our quarterly financial information for each of the four quarters in 2016 and 2015 : 2016 Q4 Q3 Q2 Q1 (In thousands, except per share data) Total operating revenues $ 162,768 $ 154,494 $ 173,488 $ 228,024 Total operating expenses 166,290 155,011 160,619 173,538 Operating (loss) income (3,522 ) (517 ) 12,869 54,486 Interest expense, net 393 207 125 (2,480 ) (Loss) income before income taxes (3,129 ) (310 ) 12,994 52,006 Income tax (benefit) expense (1,784 ) (2,347 ) 4,968 19,124 Net (loss) income $ (1,345 ) $ 2,037 $ 8,026 $ 32,882 (Loss) earnings per common share Basic Class A common stock $ (0.03 ) $ 0.04 $ 0.16 $ 0.64 Diluted Class A common stock $ (0.03 ) $ 0.04 $ 0.16 $ 0.63 2015 Q4 Q3 Q2 Q1 (In thousands, except per share data) Total operating revenues $ 150,928 $ 146,360 $ 170,247 $ 227,165 Total operating expenses 162,707 148,066 163,329 161,269 Operating (loss) income (11,779 ) (1,706 ) 6,918 65,896 Interest expense, net (321 ) (337 ) (431 ) (118 ) (Loss) income before income taxes (12,100 ) (2,043 ) 6,487 65,778 Income tax (benefit) expense (6,027 ) (2,222 ) 2,991 24,965 Net (loss) income $ (6,073 ) $ 179 $ 3,496 $ 40,813 (Loss) earnings per common share Basic Class A common stock $ (0.12 ) $ — $ 0.07 $ 0.77 Diluted Class A common stock $ (0.12 ) $ — $ 0.06 $ 0.76 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information As of December 31, 2014 and prior, our operations were within one reportable segment. As a result of acquisitions occurring in the fourth quarter of 2014 and first quarter of 2015, we realigned our operations into two reportable segments during 2015: 1) Account Services and 2) Processing and Settlement Services. We identified our reportable segments based on factors such as how we manage our operations and how our chief operating decision maker views results. Our chief operating decision maker organizes and manages our business primarily on the basis of product and service offerings and uses operating income to assess profitability. The Account Services segment consists of revenues and expenses derived from our branded and private label deposit account programs. These programs include our Green Dot-branded and affinity-branded GPR card accounts, private label GPR card accounts, checking accounts, open-loop gift cards and secured credit cards. The Processing and Settlement Services segment consists of revenues and expenses derived from reload services through the Green Dot Network, 1099 disbursement programs and our tax refund processing services. The Corporate and Other segment primarily consists of unallocated corporate expenses, depreciation and amortization, intercompany eliminations and other costs that are not considered when management evaluates segment performance. We do not evaluate performance or allocate resources based on segment asset data, and therefore such information is not presented. Note 23—Segment Information (continued) The following tables present certain financial information for each of our reportable segments for the years ended December 31, 2016 and 2015 . We have determined that it is impracticable to restate segment information for the year ended December 31, 2014, as well as to provide disclosures under both the old basis and new basis of reporting for certain items. Therefore, no such disclosures are presented. Year Ended December 31, 2016 Account Services Processing and Settlement Services Corporate and Other Total (In thousands) Operating revenues $ 544,271 $ 203,569 $ (29,066 ) $ 718,774 Operating expenses 454,187 137,296 63,975 655,458 Operating income $ 90,084 $ 66,273 $ (93,041 ) $ 63,316 Year Ended December 31, 2015 Account Services Processing and Settlement Services Corporate and Other Total (In thousands) Operating revenues $ 531,410 $ 195,000 $ (31,710 ) $ 694,700 Operating expenses 440,669 133,539 61,163 635,371 Operating income $ 90,741 $ 61,461 $ (92,873 ) $ 59,329 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On January 25, 2017, we entered into an Equity Purchase Agreement (the “Purchase Agreement”) with Empowerment Ventures, LLC ("Empowerment Ventures"), and UniRush, LLC, a wholly-owned subsidiary of Empowerment Ventures (“UniRush”). The Purchase Agreement provides for, among other things, the purchase of all of UniRush’s limited liability company interests. At closing, we expect to pay consideration of $147 million in cash, subject to customary net working capital adjustments and reductions for certain of UniRush’s liabilities and its debt and transaction expenses, as defined in the Purchase Agreement. In addition, we agreed to pay Empowerment Ventures an earn-out equal to the greater of (i) a specified percentage of the revenue generated by the RushCard portion of UniRush's business during the five -year period following the closing or (ii) $20 million , payable quarterly over the five years. Completion of the purchase is subject to certain customary conditions, which has not been completed as of the date of this report. |
Summary of Significant Accoun32
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation and Basis of Presentation | Principles of Consolidation and Basis of Presentation Our consolidated financial statements include the results of Green Dot Corporation and our wholly-owned subsidiaries. We prepared the accompanying consolidated financial statements in accordance with generally accepted accounting principles in the United States of America, or GAAP. We eliminate all significant intercompany balances and transactions in consolidation. We include the results of operations of acquired companies from the date of acquisition. |
Use of Estimates and Assumptions | Use of Estimates and Assumptions The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the amounts reported in the consolidated financial statements, including the accompanying notes. We base our estimates and assumptions on historical factors, current circumstances, and the experience and judgment of management. We evaluate our estimates and assumptions on an ongoing basis. Actual results could differ from those estimates. |
Unrestricted Cash and Cash Equivalents and Federal Funds Sold | Unrestricted Cash and Cash Equivalents and Federal Funds Sold We consider all unrestricted highly liquid investments with an original maturity of three months or less to be unrestricted cash and cash equivalents. Federal funds sold consist of unsecured overnight advances of excess balances in our bank reserve account and are included in unrestricted cash and cash equivalents on our consolidated statements of cash flows. |
Investment Securities | Investment Securities Our investment portfolio is primarily comprised of fixed income securities. We classify these securities as available-for-sale and report them at fair value with the related unrealized gains and losses, net of tax, included in accumulated other comprehensive income, a component of stockholders’ equity. We classify investment securities with maturities less than or equal to 365 days as current assets. We regularly evaluate each fixed income security where the value has declined below amortized cost to assess whether the decline in fair value is other-than-temporary. In determining whether an impairment is other-than-temporary, we consider the severity and duration of the decline in fair value, the length of time expected for recovery, the financial condition of the issuer, and other qualitative factors, as well as whether we either plan to sell the security or it is more- Note 2—Summary of Significant Accounting Policies (continued) likely-than-not that we will be required to sell the security before recovery of its amortized cost. If the impairment of the investment security is credit-related, an other-than-temporary impairment is recorded in earnings. We recognize non-credit-related impairment in accumulated other comprehensive income. If we intend to sell an investment security or believe we will more-likely-than-not be required to sell a security, we record the full amount of the impairment as an other-than-temporary impairment. Interest on fixed income securities, including amortization of premiums and accretion of discounts, is included in interest income. |
Obligations to Customers and Settlement Assets and Obligations | Obligations to Customers and Settlement Assets and Obligations At the point of sale, our retail distributors collect customer funds for purchases of new cards and balance reloads and then remit these funds directly to the banks that issue our cards. Our retail distributors’ remittance of these funds takes an average of two business days. Settlement assets represent the amounts due from our retail distributors for customer funds collected at the point of sale that have not yet been received by our subsidiary bank. Obligations to customers represent customer funds collected from (or to be remitted by) our retail distributors for which the underlying products have not been activated. Once the underlying products have been activated, the customer funds are reclassified as deposits in a bank account established for the benefit of the customer. Settlement obligations represent the customer funds received by our subsidiary bank that are due to third-party card issuing banks upon activation. |
Accounts Receivable, net | Accounts Receivable, net Accounts receivable is comprised principally of receivables due from card issuing banks, overdrawn account balances due from cardholders, trade accounts receivable, fee advances and other receivables. We record accounts receivable net of reserves for estimated uncollectible accounts. Receivables due from card issuing banks primarily represent revenue-related funds held at the third-party card issuing banks related to our gift card program that have yet to be remitted to us. These receivables are generally collected within a short period of time based on the remittance terms in our agreements with the third-party card issuing banks. Fee advances represent short-term advances to in-person tax return preparation companies made prior to and during tax season. These advances are collateralized by their clients' tax preparation fees and are generally collected within a short period of time as the in-person tax preparation companies begin preparing and processing their clients' tax refunds. Overdrawn Account Balances Due from Cardholders and Reserve for Uncollectible Overdrawn Accounts Our cardholder accounts may become overdrawn as a result of maintenance fee assessments or from purchase transactions that we honor, in excess of the funds in a cardholder’s account. We are exposed to losses from any unrecovered overdrawn account balances. We establish a reserve for uncollectible overdrawn accounts. We classify overdrawn accounts into age groups based on the number of days that have elapsed since an account last had activity, such as a purchase, ATM transaction or maintenance fee assessment. We calculate a reserve factor for each age group based on the average recovery rate for the most recent six months . These factors are applied to these age groups to estimate our overall reserve. When more than 90 days have passed without activity in an account, we write off the full amount of the overdrawn account balance. We include our provision for uncollectible overdrawn accounts related to maintenance fees and purchase transactions as an offset to card revenues and other fees and in other general and administrative expenses, respectively, in the accompanying consolidated statements of operations. |
Restricted Cash | Restricted Cash At December 31, 2016 and 2015 , restricted cash amounted to $12.1 million and $5.8 million , respectively. Restricted cash as of December 31, 2016 , primarily consists of funds required to collateralize a pre-funding obligation with a counter-party. Balances at December 31, 2015 consists primarily of funds held in an escrow account under the terms of a purchase agreement related to one of our business acquisitions, as well as funds required to collateralize outstanding letters of credit related to our corporate facility lease. |
Loans to Bank Customers | Loans to Bank Customers We report loans measured at historical cost at their outstanding principal balances, net of any charge-offs, and for purchased loans, net of any unaccreted discounts. We recognize interest income as it is earned. Note 2—Summary of Significant Accounting Policies (continued) Nonperforming Loans Nonperforming loans generally include loans that have been placed on nonaccrual status. We generally place loans on nonaccrual status when they are past due 90 days or more. We reverse the related accrued interest receivable and apply interest collections on nonaccrual loans as principal reductions; otherwise, we credit such collections to interest income when received. These loans may be restored to accrual status when all principal and interest is current and full repayment of the remaining contractual principal and interest is expected. We consider a loan to be impaired when it is probable that we will be unable to collect all amounts due according to the contractual terms of the loan agreement. Once we determine a loan to be impaired, we measure the impairment based on the present value of the expected future cash flows discounted at the loan's effective interest rate. We may also measure impairment based on observable market prices, or for loans that are solely dependent on the collateral for repayment, the estimated fair value of the collateral less estimated costs to sell. If the recorded investment in impaired loans exceeds this amount, we establish a specific allowance as a component of the allowance for loan losses or by adjusting an existing valuation allowance for the impaired loan. Allowance for Loan Losses We establish an allowance for loan losses to account for estimated credit losses inherent in our loan portfolio. For the portfolio of loans, our estimate of inherent losses is separately calculated on an aggregate basis for groups of loans that are considered to have similar credit characteristics and risk of loss. We analyze historical loss rates for these groups and then adjust the rates for qualitative factors which in our judgment affect the expected inherent losses. Qualitative considerations include, but are not limited to, prevailing economic or market conditions, changes in the loan grading and underwriting process, changes in the estimated value of the underlying collateral for collateral dependent loans, delinquency and nonaccrual status, problem loan trends, and geographic concentrations. We separately establish specific allowances for impaired loans based on the present value of changes in cash flows expected to be collected, or for impaired loans that are considered collateral dependent, the estimated fair value of the collateral. |
Property and Equipment | Property and Equipment We carry our property and equipment at cost less accumulated depreciation and amortization. We generally compute depreciation on property and equipment using the straight-line method over the estimated useful lives of the assets, except for land, which is not depreciated. We generally compute amortization on tenant improvements using the straight-line method over the shorter of the related lease term or estimated useful lives of the improvements. We expense expenditures for maintenance and repairs as incurred. We capitalize certain internal and external costs incurred to develop internal-use software during the application development stage. We also capitalize the cost of specified upgrades and enhancements to internal-use software that result in additional functionality. Once a development project is substantially complete and the software is ready for its intended use, we begin depreciating these costs on a straight-line basis over the internal-use software’s estimated useful life. |
Impairment of Long-Lived Assets | Impairment of Long Lived Assets We evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the sum of expected undiscounted future cash flows from an asset is less than the carrying amount of the asset, we estimate the fair value of the assets. We measure the loss as the amount by which the carrying amount exceeds its fair value calculated using the present value of estimated net future cash flows. |
Business Acquisitions | Business Acquisitions We allocate the purchase price of business acquisitions to the assets acquired and liabilities assumed based on their estimated fair value. The excess of the purchase price over estimated fair value of the net identifiable assets is allocated to goodwill. Determining the fair value of assets and liabilities requires various assumptions and estimates. These estimates and assumptions are refined with adjustments recorded to goodwill as information is gathered and final valuations are completed over a one -year measurement period. The changes in these estimates or different assumptions used in determining these estimates could impact the amount of assets, including goodwill, and liabilities recorded on our consolidated balance sheet and could impact our operating results subsequent to such acquisition. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill is the purchase premium after adjusting for the fair value of net assets acquired. Goodwill is not amortized but is reviewed for potential impairment on an annual basis, or when events or circumstances indicate a potential impairment, at the reporting unit level. A reporting unit, as defined under applicable accounting guidance, is an operating segment or one level below an operating segment, referred to as a component. We may in any given period bypass the qualitative assessment and proceed directly to a two-step method to assess and measure impairment of the reporting unit's goodwill. We first assess qualitative factors to determine whether it is more likely-than-not (i.e., a likelihood of more than 50 percent) that the fair value of a reporting unit is less than its carrying value. This step serves as the basis for determining whether it is necessary to perform the two-step quantitative impairment test. The first step of the quantitative impairment test involves a comparison of the estimated fair value of each reporting unit to its carrying amount, including goodwill. If the estimated fair value of the reporting unit exceeds its carrying amount, goodwill of the reporting unit is not impaired; however, if the carrying amount of the reporting unit exceeds its estimated fair value, then the second step of the quantitative impairment test must be performed. The second step compares the implied fair value of the reporting unit’s goodwill with its carrying amount to measure the amount of impairment loss, if any. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. If the carrying amount of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. For intangible assets subject to amortization, we recognize an impairment loss if the carrying amount of the intangible asset is not recoverable and exceeds its estimated fair value. The carrying amount of the intangible asset is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use of the asset. No impairment charges were recognized related to goodwill or intangible assets for the years ended December 31, 2016 , 2015 and 2014 . Intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives, which is our best estimate of the pattern of economic benefit, based on legal, contractual, and other provisions. The estimated useful lives of the intangible assets, which consist primarily of customer relationships and trade names, range from 5 - 15 years . |
Amounts Due to Card Issuing Banks for Overdrawn Accounts | Amounts Due to Card Issuing Banks for Overdrawn Accounts Third-party card issuing banks fund overdrawn cardholder account balances on our behalf. Amounts funded are due from us to the card issuing banks based on terms specified in the agreements with the card issuing banks. Generally, we expect to settle these obligations within two months. |
Fair Value | Fair Value Under applicable accounting guidance, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability. As such, fair value reflects an exit price in an orderly transaction between market participants on the measurement date. We determine the fair values of our financial instruments based on the fair value hierarchy established under applicable accounting guidance, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The following describes the three-level hierarchy: Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities include debt and equity securities and derivative contracts that are traded in an active exchange market, as well as certain U.S. Treasury securities that are highly liquid and are actively traded in over-the-counter markets. Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 2 assets and liabilities include fixed income securities with quoted prices that are traded less frequently than exchange-traded instruments. This category generally includes U.S. government and agency mortgage-backed fixed income securities and corporate fixed income securities. Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the overall fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments for which the determination of fair value requires significant management judgment or estimation. The fair value for such assets and liabilities is generally determined using pricing models, market comparables, discounted cash flow methodologies or similar techniques that incorporate the assumptions a market participant would use in pricing the asset or liability. This category generally includes certain private equity investments and certain asset-backed securities. |
Revenue Recognition | Revenue Recognition Our operating revenues consist of card revenues and other fees, processing and settlement service revenues and interchange revenues. We recognize revenue when the price is fixed or determinable, persuasive evidence of an arrangement exists, the product is sold or the service is performed, and collectability of the resulting receivable is reasonably assured. Card revenues and other fees consist of monthly maintenance fees, ATM fees, new card fees and other revenues. We charge maintenance fees on a monthly basis pursuant to the terms and conditions in the applicable cardholder agreements. We recognize monthly maintenance fees ratably over the month for which they are assessed. We charge ATM fees to cardholders when they withdraw money at certain ATMs in accordance with the terms and conditions in our cardholder agreements. We recognize ATM fees when the withdrawal is made by the cardholder, which is the same time our service is completed and the fees are assessed. We charge new card fees when a consumer purchases a new card in a retail store. We defer and recognize new card fee revenues on a straight-line basis over our average card lifetime, which is currently five months for our GPR cards and six months our gift cards. We determine the average card lifetime based on our recent historical data for comparable products. We measure card lifetime for our GPR cards as the period of time, inclusive of reload activity, between sale (or activation) of the card and the date of the last positive balance. We measure the card lifetime for our gift cards as the redemption period during which cardholders initiate the substantial majority of their transactions. We reassess average card lifetime quarterly. We report the unearned portion of new card fees as a component of deferred revenue in our consolidated balance sheets. Other revenues consist primarily of revenue associated with our gift card program, transaction-based fees and fees associated with optional products or services, which we offer to cardholders from time-to-time. We generally recognize these revenues as purchase transactions occur or when the underlying services are completed. Our processing and settlement services consist of cash transfer revenues, tax refund processing service revenues and 1099 program disbursement revenues. We generate cash transfer revenues when consumers purchase our cash transfer products (reload services) in a retail store. We recognize these revenues when the cash transfer transactions are completed, generally within two business days from the time of sale of these products. We earn tax refund processing service revenues when a customer of a third party tax preparation company chooses to pay their tax preparation fee through the use of our tax refund processing services. We recognize tax refund processing service revenues as we remit tax return proceeds to the taxpayer. We earn 1099 disbursement fees from our business partners as payment disbursements are made. Note 2—Summary of Significant Accounting Policies (continued) We earn interchange revenues from fees remitted by the merchant’s bank, which are based on rates established by the payment networks, such as Visa and MasterCard, when cardholders make purchase transactions using our cards. We recognize interchange revenues as these transactions occur. We report our different types of revenues on a gross or net basis based on our assessment of whether we act as a principal or an agent in the transaction. To the extent we act as a principal in the transaction, we report revenues on a gross basis. In concluding whether or not we act as a principal or an agent, we evaluate whether we have the substantial risks and rewards under the terms of the revenue-generating arrangements, whether we are the party responsible for fulfillment of the services purchased by the cardholders, among other factors. For all of our significant revenue-generating arrangements, including GPR and gift cards, we record revenues on a gross basis with the exception of our tax refund processing service revenues which are recorded on a net basis. Generally, customers have limited rights to a refund of a new card fee or a cash transfer fee. We have elected to recognize revenues prior to the expiration of the refund period, but reduce revenues by the amount of expected refunds, which we estimate based on actual historical refunds. On occasion, we enter into incentive agreements with our retail distributors and offer incentives to customers designed to increase product acceptance and sales volume. We record incentive payments, including the issuance of equity instruments, as a reduction of revenues and recognize them over the period the related revenues are recognized or as services are rendered, as applicable. |
Sales and Marketing Expenses | Sales and Marketing Expenses Sales and marketing expenses primarily consist of sales commissions, advertising and marketing expenses, and the costs of manufacturing and distributing card packages, placards, promotional materials to our retail distributors’ locations and personalized GPR cards to consumers who have activated their cards. We pay our retail distributors and brokers commissions based on sales of our prepaid debit cards and cash transfer products in their stores. We defer and expense commissions related to new cards sales ratably over the average card lifetime, which is currently five months for our GPR cards and six months for our gift cards. Absent a new card fee, we expense the related commissions immediately. We expense commissions related to cash transfer products when the cash transfer transactions are completed. We expense costs for the production of advertising as incurred. The cost of media advertising is expensed when the advertising first takes place. We record the costs associated with card packages and placards as prepaid expenses, and we record the costs associated with personalized GPR cards as deferred expenses. We recognize the prepaid cost of card packages and placards over the related sales period, and we amortize the deferred cost of personalized GPR cards, when activated, over the average card lifetime. |
Employee Stock-Based Compensation | Employee Stock-Based Compensation We record employee stock-based compensation expense based on the grant-date fair value. For stock options and stock purchases under our employee stock purchase plan, or ESPP, we base compensation expense on fair values estimated at the grant date using the Black-Scholes option-pricing model. For stock awards, including restricted stock units, we base compensation expense on the fair value of our common stock at the grant date. We recognize compensation expense for awards with only service conditions that have graded vesting schedules on a straight-line basis over the vesting period of the award. Vesting is based upon continued service to our company. At times, we have issued performance based and market based restricted stock units to our executive officers. For performance based awards, we recognize compensation cost for the restricted stock units if and when we conclude it is probable that the performance will be satisfied, over the requisite service period based on the grant-date fair value of the stock. We reassess the probability of vesting at each reporting period and adjust compensation expense based on the probability assessment. For market based restricted stock units, we base compensation expense on the fair value estimated at the date of grant using a Monte Carlo simulation or similar lattice model. We recognize compensation expense over the requisite service period regardless of the market condition being satisfied, provided that the requisite Note 2—Summary of Significant Accounting Policies (continued) service has been provided, since the estimated grant date fair value already incorporates the probability of outcomes that the market condition will be achieved. |
Income Taxes | Income Taxes Our income tax expense is comprised of current and deferred income tax expense. Current income tax expense approximates taxes to be paid or refunded for the current period. Deferred income tax expense results from the changes in deferred tax assets and liabilities during the periods. These gross deferred tax assets and liabilities represent decreases or increases in taxes expected to be paid in the future because of future reversals of temporary differences between the basis of assets and liabilities as measured by tax laws and their basis as reported in our consolidated financial statements. We also recognize deferred tax assets for tax attributes such as net operating loss carryforwards and tax credit carryforwards. We record valuation allowances to reduce deferred tax assets to the amounts we conclude are more likely-than-not to be realized in the foreseeable future. We recognize and measure income tax benefits based upon a two-step model: 1) a tax position must be more likely-than-not to be sustained based solely on its technical merits in order to be recognized, and 2) the benefit is measured as the largest dollar amount of that position that is more likely-than-not to be sustained upon settlement. The difference between the benefit recognized for a position and the tax benefit claimed on a tax return is referred to as an unrecognized tax benefit. We accrue income tax related interest and penalties, if applicable, within income tax expense. |
Earnings Per Common Share | Earnings Per Common Share We apply the two-class method in calculating earnings per common share, or EPS, because our preferred stockholders are entitled to participate with our common stockholders in the distributions of earnings through dividends. The two-class method requires net income, after deduction of any preferred stock dividends, deemed dividends on preferred stock redemptions, and accretions in the carrying value on preferred stock, to be allocated between each class or series of common and preferred stockholders based on their respective rights to receive dividends, whether or not declared. Basic EPS is then calculated by dividing net income allocated to each class of common stockholders by the respective weighted-average common shares issued and outstanding. We divide adjusted net income for each class of common stock by the respective weighted-average number of the common shares issued and outstanding for each period plus amounts representing the dilutive effect of outstanding stock options, restricted stock units, shares to be purchased under our employee stock purchase plan and the dilution resulting from the conversion of convertible securities, if applicable. We exclude the effects of convertible securities, restricted stock units and stock options from the computation of diluted EPS in periods in which the effect would be anti-dilutive. We calculate dilutive potential common shares using the treasury stock method, if-converted method and the two-class method, as applicable. |
Regulatory Matters and Capital Adequacy | Regulatory Matters and Capital Adequacy As a bank holding company, we are subject to comprehensive supervision and examination by the Federal Reserve Board and must comply with applicable regulations, including minimum capital and leverage requirements. If we fail to comply with any of these requirements, we may become subject to formal or informal enforcement actions, proceedings, or investigations, which could result in regulatory orders, restrictions on our business operations or requirements to take corrective actions, which may, individually or in the aggregate, affect our results of operations and restrict our ability to grow. If we fail to comply with the applicable capital and leverage requirements, or if our subsidiary bank fails to comply with its applicable capital and leverage requirements, the Federal Reserve Board may limit our or Green Dot Bank's ability to pay dividends. In addition, as a bank holding company and a financial holding company, we are generally prohibited from engaging, directly or indirectly, in any activities other than those permissible for bank holding companies and financial holding companies. This restriction might limit our ability to pursue future business opportunities which we might otherwise consider but which might fall outside the scope of permissible activities. We may also be required to serve as a “source of strength” to Green Dot Bank if it becomes less than adequately capitalized. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash ("ASU 2016-18"), to require that restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total cash amounts shown on the statement of cash flows. Consequently, transfers between cash and restricted cash will not be presented as a separate line item in the operating, investing or financing sections of the cash flow statement. The amendments are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The amendments should be applied retrospectively to each period presented. Early adoption is permitted, including adoption in an interim period. We are currently evaluating the impact of ASU 2016-18 on our consolidated financial statements, however, we do not anticipate material impact upon adoption of the ASU. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13") that requires financial assets measured at amortized cost be presented at the net amount expected to be collected. Credit losses on available-for-sale debt securities should be recorded through an allowance for credit losses limited by the amount that the fair value is less than amortized cost. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact of ASU 2016-13 on our consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting ("ASU 2016-09") that will simplify how companies account for certain aspects of share-based payments to employees, including the accounting for income taxes upon vesting or exercise of share-based payments, classification of awards as either equity or liabilities with respect to statutory tax withholding thresholds, accounting for forfeitures, as well as certain classifications on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 15, 2016 and interim periods within those annual periods. We will adopt the provisions of ASU 2016-09 effective January 1, 2017. Under ASU 2016-09, all excess tax benefits and tax deficiencies related to stock compensation will be recognized as income tax expense or benefit in the income statement instead of additional paid-in capital on the consolidated balance sheets. The impact of adopting this standard on our consolidated financial statements is dependent upon the intrinsic value of share-based compensation awards at the time of exercise, vesting or expiration and may result in more variability in our effective tax rate and net profit or loss, as well as impact our share dilution. Since we do not have any previously unrecognized excess tax benefits, no cumulative-effect adjustment to retained earnings will be required upon adoption. Excess tax benefits will also be classified as operating activities in the consolidated statements of cash flows instead of in financing activities. Additionally, upon adoption of ASU 2016-09, we will elect to account for forfeitures on stock-based compensation as they occur, rather than estimate future expected forfeitures. We do not expect the change in our accounting policy for forfeitures to have a material impact on our financial results and, except as described above with respect to excess tax benefits, do not expect any of the other provisions of ASU 2016-09 to have a material impact to our consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) ("ASU 2016-02") in order to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet for those leases classified as operating leases under previous GAAP. ASU 2016-02 requires that a lessee should recognize a liability to make lease payments and a right-of-use asset representing its right to use the underlying asset for leases with a term greater than 12 months. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018 (including interim periods within those periods) using a modified retrospective approach and early adoption is permitted. We are currently in the process of evaluating the impact of adoption of ASU 2016-02 on our consolidated financial statements. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 revises the classification and measurement of investments in certain equity investments and the presentation of certain fair value changes for certain financial liabilities measured at fair value. ASU 2016-01 requires the change in fair value of many equity investments to be recognized in net income. The standard is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. The adoption of ASU 2016-01 may result in a cumulative adjustment to retained earnings as of the beginning of the year of adoption. We are currently evaluating the impact of Note 2—Summary of Significant Accounting Policies (continued) the provisions of ASU 2016-01, however, we do not expect the adoption of it to have a material impact on our consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) ("ASU 2014-09"), which supersedes nearly all existing revenue recognition guidance under GAAP. The core principle of ASU 2014-09 is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration to which an entity expects to be entitled for those goods or services. ASU 2014-09 defines a five step process to achieve this core principle and, in doing so, more judgment and estimates may be required within the revenue recognition process than are required under existing GAAP. ASU 2014-09, as amended by ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, is effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods, with early adoption permitted for annual reporting periods beginning after December 15, 2016. The FASB has also issued a number of additional technical corrections since the initial ASU, all of which follow the effective dates of the new revenue recognition guidance under Topic 606. The amendment allows companies to use either a full retrospective or a modified retrospective approach to adopt this ASU. We have formed a project team and are currently assessing the impact of the adoption of this principle on our consolidated financial statements. We anticipate adopting this ASU on January 1, 2018 using the modified retrospective approach, however, may opt for the full retrospective method depending on the final outcome of our evaluation. In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) (“ASU 2016-08"). ASU 2016-08 clarifies the implementation guidance on principal versus agent considerations. The guidance includes indicators to assist an entity in determining whether it controls a specified good or service before it is transferred to the customers. The effective date and transition requirements for the ASU is the same as the effective date and transition requirements of ASU 2014-09. We are currently in the process of evaluating the impact of adoption of ASU 2016-08 on our consolidated financial statements in conjunction with ASU 2014-09, as discussed above. In March 2016, the FASB issued ASU No. 2016-04, Liabilities – Extinguishment of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Products ("ASU 2016-04") . ASU 2016-04 aligns recognition of the financial liabilities related to prepaid stored-value products (for example, gift cards) with Topic 606, Revenues from Contracts with Customers , for non-financial liabilities. In general, these liabilities may be extinguished proportionately in earnings as redemptions occur, or when redemption is remote if issuers are not entitled to the unredeemed stored value. ASU 2016-04 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. Based on our current accounting policy, we do not expect the adoption of ASU 2016-04 to have a material impact on our consolidated financial statements. |
Summary of Significant Accoun33
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Property and equipment | The estimated useful lives of the respective classes of assets are as follows: Land N/A Building 30 years Computer equipment, furniture and office equipment 3-10 years Computer software purchased 3 years Capitalized internal-use software 2-7 years Tenant improvements Shorter of the useful life or the lease term Property and equipment consisted of the following: December 31, 2016 2015 (In thousands) Land $ 205 $ 205 Building 1,105 605 Computer equipment, furniture, and office equipment 44,789 45,508 Computer software purchased 19,370 16,900 Capitalized internal-use software 139,730 113,721 Tenant improvements 10,101 9,914 215,300 186,853 Less accumulated depreciation and amortization (132,679 ) (107,976 ) Property and equipment, net $ 82,621 $ 78,877 |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Investment Securities [Abstract] | |
Investment securities, available-for-sale | Our available-for-sale investment securities were as follows: Amortized cost Gross unrealized gains Gross unrealized losses Fair value (In thousands) December 31, 2016 Corporate bonds $ 21,533 $ 9 $ (7 ) $ 21,535 Commercial paper 12,427 4 (1 ) 12,430 U.S. Treasury notes 21,603 1 (41 ) 21,563 Agency securities 4,002 — (1 ) 4,001 Mortgage-backed securities 117,990 242 (741 ) 117,491 Municipal bonds 1,460 1 (31 ) 1,430 Asset-backed securities 30,131 1 (156 ) 29,976 Total investment securities $ 209,146 $ 258 $ (978 ) $ 208,426 December 31, 2015 Corporate bonds $ 33,201 $ — $ (47 ) $ 33,154 Commercial paper 6,504 3 (2 ) 6,505 U.S. Treasury notes 17,541 — (16 ) 17,525 Agency securities 4,034 — (19 ) 4,015 Mortgage-backed securities 100,131 195 (554 ) 99,772 Municipal bonds 1,954 11 (65 ) 1,900 Asset-backed securities 18,725 — (57 ) 18,668 Total investment securities $ 182,090 $ 209 $ (760 ) $ 181,539 As of December 31, 2016 and 2015 , the gross unrealized losses and fair values of available-for-sale investment securities that were in unrealized loss positions were as follows: Less than 12 months 12 months or more Total fair value Total unrealized loss Fair value Unrealized loss Fair value Unrealized loss (In thousands) December 31, 2016 Corporate bonds $ 8,739 $ (7 ) $ 1,999 $ — $ 10,738 $ (7 ) Commercial paper 2,672 (1 ) — — 2,672 (1 ) U.S. Treasury notes 16,211 (41 ) — — 16,211 (41 ) Agency securities 4,002 (1 ) — — 4,002 (1 ) Mortgage-backed securities 23,300 (236 ) 61,383 (505 ) 84,683 (741 ) Municipal bonds — — 937 (31 ) 937 (31 ) Asset-backed securities 25,501 (156 ) — — 25,501 (156 ) Total investment securities $ 80,425 $ (442 ) $ 64,319 $ (536 ) $ 144,744 $ (978 ) December 31, 2015 Corporate bonds $ 20,416 $ (22 ) $ 10,679 $ (25 ) $ 31,095 $ (47 ) Commercial paper 4,322 (2 ) — — 4,322 (2 ) U.S. Treasury notes 17,525 (16 ) — — 17,525 (16 ) Agency securities 4,015 (19 ) — — 4,015 (19 ) Mortgage-backed securities 53,634 (410 ) 21,518 (144 ) 75,152 (554 ) Municipal bonds — — 1,035 (65 ) 1,035 (65 ) Asset-backed securities 18,668 (57 ) — — 18,668 (57 ) Total investment securities $ 118,580 $ (526 ) $ 33,232 $ (234 ) $ 151,812 $ (760 ) |
Investments classified by contractual maturity date | As of December 31, 2016 , the contractual maturities of our available-for-sale investment securities were as follows: Amortized cost Fair value (In thousands) Due in one year or less $ 46,694 $ 46,686 Due after one year through five years 13,610 13,582 Due after five years through ten years 58 57 Due after ten years 910 881 Mortgage and asset-backed securities 147,874 147,220 Total investment securities $ 209,146 $ 208,426 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Accounts Receivable | Accounts receivable, net consisted of the following: December 31, 2016 December 31, 2015 (In thousands) Overdrawn account balances due from cardholders $ 14,773 $ 10,198 Reserve for uncollectible overdrawn accounts (11,932 ) (7,999 ) Net overdrawn account balances due from cardholders 2,841 2,199 Trade receivables 1,941 10,644 Reserve for uncollectible trade receivables (372 ) (58 ) Net trade receivables 1,569 10,586 Receivables due from card issuing banks 8,497 8,852 Fee advances 16,708 11,621 Other receivables 10,535 8,895 Accounts receivable, net $ 40,150 $ 42,153 |
Allowance for Loan Losses | Activity in the reserve for uncollectible overdrawn accounts consisted of the following: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 7,999 $ 11,196 $ 10,363 Provision for uncollectible overdrawn accounts: Fees 67,798 55,595 34,057 Purchase transactions 7,043 7,699 4,216 Charge-offs (70,908 ) (66,491 ) (37,440 ) Balance, end of period $ 11,932 $ 7,999 $ 11,196 Activity in the allowance for loan losses consisted of the following: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 426 $ 444 $ 464 Provision (benefit) for loans (151 ) (38 ) 20 Loans charged off (25 ) (44 ) (66 ) Recoveries of loans previously charged off 27 64 26 Balance, end of period $ 277 $ 426 $ 444 |
Loans to Bank Customers (Tables
Loans to Bank Customers (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Past Due Financing Receivables | The following table presents total outstanding loans, gross of the related allowance for loan losses, and a summary of the related payment status: 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Total Current or Less Than 30 Days Past Due Total Outstanding (In thousands) December 31, 2016 Residential $ — $ 6 $ — $ 6 $ 3,718 $ 3,724 Commercial — — — — 366 366 Installment — — 2 2 1,742 1,744 Other — — — — 502 502 Total loans $ — $ 6 $ 2 $ 8 $ 6,328 $ 6,336 Percentage of outstanding — % 0.1 % — % 0.1 % 99.9 % 100.0 % December 31, 2015 Residential $ — $ — $ — $ — $ 3,863 $ 3,863 Commercial — — 19 19 294 313 Installment 2 — — 2 2,527 2,529 Total loans $ 2 $ — $ 19 $ 21 $ 6,684 $ 6,705 Percentage of outstanding — % — % 0.3 % 0.3 % 99.7 % 100.0 % |
Nonperforming Loans | The following table presents the carrying value, gross of the related allowance for loan losses, of our nonperforming loans. See Note 2 — Summary of Significant Accounting Policies for further information on the criteria for classification as nonperforming. December 31, 2016 December 31, 2015 (In thousands) Residential $ 368 $ 341 Commercial — 19 Installment — 5 Total loans $ 368 $ 365 |
Financing Receivable Credit Quality Indicators | The table below presents the carrying value, gross of the related allowance for loan losses, of our loans within the primary credit quality indicators related to our loan portfolio: December 31, 2016 December 31, 2015 Non-Classified Classified Non-Classified Classified (In thousands) Residential $ 3,036 $ 688 $ 3,404 $ 459 Commercial 366 — 294 19 Installment 1,432 312 2,173 356 Other 502 — — — Total loans $ 5,336 $ 1,000 $ 5,871 $ 834 |
Troubled Debt Restructurings | The following table presents our impaired loans and loans that we modified as TDRs as of December 31, 2016 and 2015 : December 31, 2016 December 31, 2015 Unpaid Principal Balance Carrying Value Unpaid Principal Balance Carrying Value (In thousands) Residential $ 388 $ 316 $ 365 $ 298 Commercial — — 257 19 Installment 220 98 284 140 |
Allowance for Loan Losses | Activity in the reserve for uncollectible overdrawn accounts consisted of the following: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 7,999 $ 11,196 $ 10,363 Provision for uncollectible overdrawn accounts: Fees 67,798 55,595 34,057 Purchase transactions 7,043 7,699 4,216 Charge-offs (70,908 ) (66,491 ) (37,440 ) Balance, end of period $ 11,932 $ 7,999 $ 11,196 Activity in the allowance for loan losses consisted of the following: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 426 $ 444 $ 464 Provision (benefit) for loans (151 ) (38 ) 20 Loans charged off (25 ) (44 ) (66 ) Recoveries of loans previously charged off 27 64 26 Balance, end of period $ 277 $ 426 $ 444 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property and Equipment [Abstract] | |
Property and equipment | The estimated useful lives of the respective classes of assets are as follows: Land N/A Building 30 years Computer equipment, furniture and office equipment 3-10 years Computer software purchased 3 years Capitalized internal-use software 2-7 years Tenant improvements Shorter of the useful life or the lease term Property and equipment consisted of the following: December 31, 2016 2015 (In thousands) Land $ 205 $ 205 Building 1,105 605 Computer equipment, furniture, and office equipment 44,789 45,508 Computer software purchased 19,370 16,900 Capitalized internal-use software 139,730 113,721 Tenant improvements 10,101 9,914 215,300 186,853 Less accumulated depreciation and amortization (132,679 ) (107,976 ) Property and equipment, net $ 82,621 $ 78,877 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill and Intangible Assets | Goodwill and intangible assets on our consolidated balance sheets consisted of the following: December 31, 2016 2015 (In thousands) Goodwill $ 208,355 $ 208,079 Intangible assets, net 242,696 265,700 Goodwill and intangible assets $ 451,051 $ 473,779 |
Schedule of Goodwill | Changes in the carrying amount of goodwill were as follows: December 31, 2016 2015 (In thousands) Balance, beginning of period $ 208,079 $ 144,662 Acquisitions — 64,713 Adjustments related to final purchase accounting 276 (1,296 ) Balance, end of period $ 208,355 $ 208,079 |
Schedule of Intangible Assets | The gross carrying amounts and accumulated amortization related to intangibles assets were as follows: December 31, 2016 December 31, 2015 Gross Carrying Value Accumulated Amortization Net Book Value Gross Carrying Value Accumulated Amortization Net Book Value Weighted Average Useful Lives (In thousands) (In thousands) (Years) Customer relationships $ 251,273 $ (43,707 ) $ 207,566 $ 251,273 $ (23,862 ) $ 227,411 13.9 Trade names 38,586 (6,192 ) 32,394 38,586 (3,353 ) 35,233 14.5 Patents 3,000 (545 ) 2,455 3,000 (273 ) 2,727 11.0 Other 964 (683 ) 281 964 (635 ) 329 9.3 Total intangible assets $ 293,823 $ (51,127 ) $ 242,696 $ 293,823 $ (28,123 ) $ 265,700 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The following table shows our estimated amortization expense for intangible assets for each of the next five succeeding years and thereafter : December 31, (In thousands) 2017 $ 23,029 2018 23,028 2019 22,910 2020 18,853 2021 18,838 Thereafter 136,038 Total $ 242,696 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Deposits [Abstract] | |
Summary of Deposits | Deposits are categorized as non-interest or interest-bearing deposits as follows: December 31, 2016 2015 Non-interest bearing deposit accounts (In thousands) GPR deposits $ 617,220 $ 610,652 Other demand deposits 100,405 23,644 Total non-interest bearing deposit accounts 717,625 634,296 Interest-bearing deposit accounts Negotiable order of withdrawal (NOW) 1,209 851 Savings 11,950 8,848 Time deposits, denominations greater than or equal to $100 5,132 6,268 Time deposits, denominations less than $100 1,498 1,882 Total interest-bearing deposit accounts 19,789 17,849 Total deposits $ 737,414 $ 652,145 |
Contractual Maturities For Total Time Deposits | The scheduled contractual maturities for total time deposits are presented in the table below: December 31, (In thousands) Due in 2017 $ 3,876 Due in 2018 694 Due in 2019 403 Due in 2020 812 Due in 2021 845 Total time deposits $ 6,630 |
Note Payable (Tables)
Note Payable (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Outstanding Notes Payable | As of December 31, 2016 and 2015 , our outstanding debt consisted of the following, net of deferred financing costs of $4.3 million and $5.8 million , respectively: December 31, 2016 December 31, 2015 (In thousands) Term facility $ 100,686 $ 121,652 Revolving facility — — Total notes payable $ 100,686 $ 121,652 |
Schedule of Future Contractual Principal Payments | The following table sets forth future annual contractual principal payment commitments as of December 31, 2016 : December 31, (In thousands) 2017 $ 22,500 2018 22,500 2019 60,000 Total $ 105,000 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Class of Treasury Stock | The following table summarizes our ASR activity since inception of the stock repurchase program: Purchase Period End Date Number of Shares (In thousands) Average repurchase price per share ASR Amount (In thousands) April 2016 ASR October 2016 2,219 $ 22.54 $ 50,000 September 2015 ASR January 2016 2,342 $ 17.08 $ 40,000 |
Employee Stock-Based Compensa42
Employee Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-based Compensation Expense | Stock-based compensation for the years ended December 31, 2016 , 2015 , and 2014 includes expense related to awards of stock options and restricted stock units and purchases under the 2010 Employee Stock Purchase Plan. Total stock-based compensation expense and the related income tax benefit were as follows: Year Ended December 31, 2016 2015 2014 (In thousands) Total stock-based compensation expense $ 28,321 $ 27,011 $ 20,329 Related income tax benefit 9,167 8,602 6,949 |
Summary of Stock Options and Restricted Stock Units Granted | The following table summarizes stock options and restricted stock units granted (no stock options granted for the years ended December 31, 2016 or 2015 ): Year Ended December 31, 2016 2015 2014 (In thousands, except per share data) Stock options granted — — 106 Weighted-average exercise price $ — $ — $ 20.92 Weighted-average grant-date fair value $ — $ — $ 10.75 Restricted stock units granted 1,703 1,980 2,035 Weighted-average grant-date fair value $ 22.65 $ 16.34 $ 19.49 |
Schedule of Stock Options Valuation Assumptions | We estimated the fair value of each stock option grant on the date of grant using the following weighted-average assumptions: Year Ended December 31, 2016 2015 2014 Risk-free interest rate — % — % 1.8 % Expected term (life) of options (in years) — — 5.79 Expected dividends — — — Expected volatility — % — % 54.0 % |
Schedule of Stock Option Activity | Stock option activity for the year ended December 31, 2016 was as follows: Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value (In thousands, except per share data and years) Outstanding at December 31, 2015 3,348 $ 18.97 Options granted — — Options exercised (822 ) 14.04 Options canceled (379 ) 23.58 Outstanding at December 31, 2016 2,147 $ 20.03 4.10 $ 11,246 Vested or expected to vest at December 31, 2016 2,145 20.03 4.09 $ 11,242 Exercisable at December 31, 2016 2,030 19.97 3.97 $ 10,854 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | Restricted stock unit activity for the year ended December 31, 2016 was as follows: Shares Weighted-Average Grant-Date Fair Value (In thousands) Outstanding at December 31, 2015 3,446 $ 17.99 Restricted stock units granted 1,703 $ 23.04 Restricted stock units canceled (549 ) $ 18.38 Restricted stock units vested (1,057 ) $ 18.42 Outstanding at December 31, 2016 3,543 $ 20.24 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Components of Income Tax Expense | The components of income tax expense included in our consolidated statements of operations were as follows: Year Ended December 31, 2016 2015 2014 (In thousands) Current: Federal $ 16,540 $ 18,988 $ 24,382 State 1,934 1,104 1,368 Foreign 217 21 — Current income tax expense 18,691 20,113 25,750 Deferred: Federal 2,362 (138 ) 760 State (1,142 ) (287 ) (224 ) Foreign 50 19 (73 ) Deferred income tax expense (benefit) 1,270 (406 ) 463 Income tax expense $ 19,961 $ 19,707 $ 26,213 |
Recon of fed tax rate and actual income tax expense | Income tax expense differs from the amount computed by applying the statutory federal income tax rate to income before income taxes. The sources and tax effects of the differences are as follows: Year Ended December 31, 2016 2015 2014 U.S. federal statutory tax rate 35.0 % 35.0 % 35.0 % State income taxes, net of federal benefit 0.4 0.4 1.1 General business credits (3.4 ) (0.9 ) (1.3 ) Employee stock-based compensation 0.3 0.8 0.7 Transaction costs — (2.1 ) 1.8 Other 0.1 0.7 0.7 Effective tax rate 32.4 % 33.9 % 38.0 % |
Deferred Tax Assets and Liabilities | Note 13—Income Taxes (continued) The tax effects of temporary difference that give rise to significant portions of our deferred tax assets and liabilities were as follows: December 31, 2016 2015 (In thousands) Deferred tax assets: Net operating loss carryforwards $ 12,619 $ 14,726 Stock-based compensation 13,221 12,535 Reserve for overdrawn accounts 4,684 3,162 Accrued liabilities 6,910 6,206 Tax credit carryforwards 3,590 2,592 Other 2,293 2,531 Total deferred tax assets $ 43,317 $ 41,752 Deferred tax liabilities: Internal-use software costs $ 20,415 $ 17,955 Property and equipment, net 692 1,669 Deferred expenses 5,881 4,730 Intangible assets 11,208 10,623 Gift card revenue 4,236 4,183 Total deferred tax liabilities 42,432 39,160 Net deferred tax assets $ 885 $ 2,592 |
Summary of Income Tax Contingencies | The reconciliation of the beginning unrecognized tax benefits balance to the ending balance is as follows: Note 13—Income Taxes (continued) Year Ended December 31, 2016 2015 2014 (In thousands) Beginning balance $ 7,371 $ 6,189 $ 3,724 Increases related to positions taken during prior years 134 759 856 Increases related to positions taken during the current year 1,023 423 1,609 Decreases related to positions settled with tax authorities (1,105 ) — — Decreases due to a lapse of applicable statute of limitations (109 ) — — Ending balance $ 7,314 $ 7,371 $ 6,189 The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate $ 7,314 $ 7,371 $ 6,189 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | The calculation of basic and diluted EPS was as follows: Year Ended December 31, 2016 2015 2014 (In thousands, except per share data) Basic earnings per Class A common share Net income $ 41,600 $ 38,415 $ 42,693 Income attributable to preferred stock (802 ) (1,102 ) (4,842 ) Income attributable to other classes of common stock — (21 ) (349 ) Net income allocated to Class A common stockholders $ 40,798 $ 37,292 $ 37,502 Weighted-average Class A shares issued and outstanding 49,535 51,332 40,907 Basic earnings per Class A common share $ 0.82 $ 0.73 $ 0.92 Diluted earnings per Class A common share Net income allocated to Class A common stockholders $ 40,798 $ 37,292 $ 37,502 Re-allocated earnings 20 11 94 Diluted net income allocated to Class A common stockholders $ 40,818 $ 37,303 $ 37,596 Weighted-average Class A shares issued and outstanding 49,535 51,332 40,907 Dilutive potential common shares: Stock options 507 293 640 Restricted stock units 753 243 220 Employee stock purchase plan 2 7 3 Diluted weighted-average Class A shares issued and outstanding 50,797 51,875 41,770 Diluted earnings per Class A common share $ 0.80 $ 0.72 $ 0.90 |
Antidilutive Shares | The following table shows the weighted-average number of anti-dilutive shares excluded from the diluted EPS calculation: Year Ended December 31, 2016 2015 2014 (In thousands) Class A common stock Options to purchase Class A common stock 124 650 598 Restricted stock units 2 31 15 Conversion of convertible preferred stock 974 1,518 5,282 Total options, restricted stock units and convertible preferred stock 1,100 2,199 5,895 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Assets Carried at Fair Value on a Recurring Basis | As of December 31, 2016 and 2015 , our assets and liabilities carried at fair value on a recurring basis were as follows: Level 1 Level 2 Level 3 Total Fair Value December 31, 2016 (In thousands) Assets Corporate bonds $ — $ 21,535 $ — $ 21,535 Commercial paper — 12,430 — 12,430 U.S. Treasury notes — 21,563 — 21,563 Agency securities — 4,001 — 4,001 Mortgage-backed securities — 117,491 — 117,491 Municipal bonds — 1,430 — 1,430 Asset-backed securities — 29,976 — 29,976 Total assets $ — $ 208,426 $ — $ 208,426 Liabilities Contingent consideration $ — $ — $ 8,634 $ 8,634 December 31, 2015 Assets Corporate bonds $ — $ 33,154 $ — $ 33,154 Commercial paper — 6,505 — 6,505 U.S. Treasury notes — 17,525 — 17,525 Agency securities — 4,015 — 4,015 Mortgage-backed securities — 99,772 — 99,772 Municipal bonds — 1,900 — 1,900 Asset-backed securities — 18,668 — 18,668 Total assets $ — $ 181,539 $ — $ 181,539 Liabilities Contingent consideration $ — $ — $ 13,889 $ 13,889 |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | The following table presents changes in our contingent consideration payable for the year s ended December 31, 2016 , 2015 and 2014 , which is categorized in Level 3 of the fair value hierarchy: Year Ended December 31, 2016 2015 2014 (In thousands) Balance, beginning of period $ 13,889 $ 23,160 $ — Issuance — — 24,500 Payments of contingent consideration (2,755 ) (1,071 ) (242 ) Purchase accounting adjustment — — (400 ) Change in fair value of contingent consideration (2,500 ) (8,200 ) (698 ) Balance, end of period $ 8,634 $ 13,889 $ 23,160 |
Fair Value of Financial Instr46
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets Not Carried at Fair Value | The carrying values and fair values of certain financial instruments that were not carried at fair value, excluding short-term financial instruments for which the carrying value approximates fair value, at December 31, 2016 and 2015 are presented in the table below. December 31, 2016 December 31, 2015 Carrying Value Fair Value Carrying Value Fair Value (In thousands) Financial Assets Loans to bank customers, net of allowance $ 6,059 $ 5,421 $ 6,279 $ 5,847 Financial Liabilities Deposits $ 737,414 $ 737,356 $ 652,145 $ 652,060 Note payable $ 100,686 $ 100,686 $ 121,652 $ 121,652 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | At December 31, 2016 , the future minimum aggregate rental commitment under all operating leases and minimum annual payments through various agreements with vendors and retail distributors was as follows: Operating Leases Vendor/Retail Distributor Commitments Year ending December 31, (In thousands) 2017 $ 7,236 $ 22,859 2018 5,885 5,601 2019 5,694 190 2020 5,821 — 2021 6,002 — Thereafter 5,064 — Total of future commitments $ 35,702 $ 28,650 |
Significant Customer Concentr48
Significant Customer Concentrations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Significant Customer Concentrations [Abstract] | |
Customer Concentrations | Revenues derived from our products sold at retail distributors constituting greater than 10% of our total operating revenues were as follows: Year Ended December 31, 2016 2015 2014 Walmart 45% 46% 54% Excluding stock-based retailer incentive compensation of $0 million , $2.5 million and $8.9 million for the year s ended December 31, 2016 , 2015 and 2014 , respectively, revenues derived from our products sold at retail distributors constituting greater than 10% of our total operating revenues were as follows (stock-based retailer incentive compensation no longer incurred beginning May 2015): Year Ended December 31, 2016 2015 2014 Walmart 45% 46% 55% No other retail distributor made up greater than 10% of our total operating revenues for the years ended December 31, 2016 , 2015 , and 2014 . Settlement Asset Concentrations Settlement assets derived from our products sold at at retail distributors constituting greater than 10% of the settlement assets outstanding on our consolidated balance sheets were as follows: December 31, 2016 December 31, 2015 Walmart 42% 62% |
Regulatory Requirements (Tables
Regulatory Requirements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Regulatory Requirements [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements | Our capital ratios and related regulatory requirements were as follows: December 31, 2016 Amount Ratio Regulatory Minimum (1) "Well-capitalized" Minimum (1) (In thousands, except ratios) Green Dot Corporation: Tier 1 leverage 332,101 24.3 % 4.0 % n/a Common equity Tier 1 capital 332,101 61.0 % 4.5 % n/a Tier 1 capital 332,101 61.0 % 6.0 % 6.0 % Total risk-based capital 333,288 61.2 % 8.0 % 10.0 % Green Dot Bank: Tier 1 leverage 139,491 17.0 % 4.0 % 5.0 % Common equity Tier 1 capital 139,491 54.8 % 4.5 % 6.5 % Tier 1 capital 139,491 54.8 % 6.0 % 8.0 % Total risk-based capital 139,768 54.9 % 8.0 % 10.0 % December 31, 2015 Amount Ratio Regulatory Minimum (1) "Well-capitalized" Minimum (1) (In thousands, except ratios) Green Dot Corporation: Tier 1 leverage 347,801 25.9 % 4.0 % n/a Common equity Tier 1 capital 347,801 70.7 % 4.5 % n/a Tier 1 capital 347,801 70.7 % 6.0 % 6.0 % Total risk-based capital 349,396 71.1 % 8.0 % 10.0 % Green Dot Bank: Tier 1 leverage 152,737 20.4 % 15.0 % 15.0 % Common equity Tier 1 capital 152,737 132.2 % 4.5 % 6.5 % Tier 1 capital 152,737 132.2 % 6.0 % 8.0 % Total risk-based capital 153,164 132.5 % 8.0 % 10.0 % (1) The tier 1 leverage regulatory minimum and well-capitalized minimum ratios for banks is 4% and 5%, respectively. As of December 31, 2015 our subsidiary bank was subject to separate tier 1 leverage requirements that we had committed to with the Federal Reserve Board and Utah Department of Financial Institutions. Our commitments with the Federal Reserve Board and Utah Department of Financial Institutions lapsed in November 2016. |
Selected Quarterly Financial 50
Selected Quarterly Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | The following tables set forth a summary of our quarterly financial information for each of the four quarters in 2016 and 2015 : 2016 Q4 Q3 Q2 Q1 (In thousands, except per share data) Total operating revenues $ 162,768 $ 154,494 $ 173,488 $ 228,024 Total operating expenses 166,290 155,011 160,619 173,538 Operating (loss) income (3,522 ) (517 ) 12,869 54,486 Interest expense, net 393 207 125 (2,480 ) (Loss) income before income taxes (3,129 ) (310 ) 12,994 52,006 Income tax (benefit) expense (1,784 ) (2,347 ) 4,968 19,124 Net (loss) income $ (1,345 ) $ 2,037 $ 8,026 $ 32,882 (Loss) earnings per common share Basic Class A common stock $ (0.03 ) $ 0.04 $ 0.16 $ 0.64 Diluted Class A common stock $ (0.03 ) $ 0.04 $ 0.16 $ 0.63 2015 Q4 Q3 Q2 Q1 (In thousands, except per share data) Total operating revenues $ 150,928 $ 146,360 $ 170,247 $ 227,165 Total operating expenses 162,707 148,066 163,329 161,269 Operating (loss) income (11,779 ) (1,706 ) 6,918 65,896 Interest expense, net (321 ) (337 ) (431 ) (118 ) (Loss) income before income taxes (12,100 ) (2,043 ) 6,487 65,778 Income tax (benefit) expense (6,027 ) (2,222 ) 2,991 24,965 Net (loss) income $ (6,073 ) $ 179 $ 3,496 $ 40,813 (Loss) earnings per common share Basic Class A common stock $ (0.12 ) $ — $ 0.07 $ 0.77 Diluted Class A common stock $ (0.12 ) $ — $ 0.06 $ 0.76 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation | The following tables present certain financial information for each of our reportable segments for the years ended December 31, 2016 and 2015 . We have determined that it is impracticable to restate segment information for the year ended December 31, 2014, as well as to provide disclosures under both the old basis and new basis of reporting for certain items. Therefore, no such disclosures are presented. Year Ended December 31, 2016 Account Services Processing and Settlement Services Corporate and Other Total (In thousands) Operating revenues $ 544,271 $ 203,569 $ (29,066 ) $ 718,774 Operating expenses 454,187 137,296 63,975 655,458 Operating income $ 90,084 $ 66,273 $ (93,041 ) $ 63,316 Year Ended December 31, 2015 Account Services Processing and Settlement Services Corporate and Other Total (In thousands) Operating revenues $ 531,410 $ 195,000 $ (31,710 ) $ 694,700 Operating expenses 440,669 133,539 61,163 635,371 Operating income $ 90,741 $ 61,461 $ (92,873 ) $ 59,329 |
Organization (Details)
Organization (Details) customer in Thousands | 12 Months Ended |
Dec. 31, 2016customerstore | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of retail stores - more than | store | 100,000 |
Number of independent online and in-person tax return preparers and accountants served | customer | 27 |
Summary of Significant Accoun53
Summary of Significant Accounting Policies - Narrative (Details) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Feb. 28, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($)d | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Accounting Policies [Abstract] | |||||
Allowance for doubtful accounts receivable, write-offs, average recovery period | 6 months | ||||
Allowance for doubtful accounts receivable, write-offs activity period | 90 days | ||||
Restricted cash | $ 12,085,000 | $ 12,085,000 | $ 5,793,000 | ||
Nonaccrual status threshold | d | 90 | ||||
Impairment of intangible assets | $ 0 | 0 | $ 0 | ||
Purchase price allocation measurement period | 1 year | ||||
Impairment of goodwill | $ 0 | $ 0 | 0 | 0 | |
Property, Plant and Equipment [Line Items] | |||||
Asset impairment charges | 100,000 | 5,900,000 | 0 | ||
Impairment of capitalized software | $ 142,000 | 5,881,000 | 0 | ||
Months to settle overdrawn accounts | 2 months | ||||
Payments for overdrawn accounts | $ 50,000,000 | ||||
Days to recognize cash transfer transactions | 2 days | ||||
Advertising and marketing expenses | $ 11,900,000 | 10,100,000 | 6,800,000 | ||
Shipping, handling costs | $ 3,700,000 | $ 2,800,000 | $ 3,100,000 | ||
Customer Relationships and Trade Names [Member] | Minimum [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Intangible assets estimated useful life | 5 years | ||||
Customer Relationships and Trade Names [Member] | Maximum [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Intangible assets estimated useful life | 15 years |
Summary of Significant Accoun54
Summary of Significant Accounting Policies - Estimated Useful Lives (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |
GPR, average useful life | 5 months |
Gift card, average useful life | 6 months |
Building [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 30 years |
Computer equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 3 years |
Computer equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 10 years |
Software and software development costs [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 3 years |
Capitalized internal-use software [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 2 years |
Capitalized internal-use software [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | 7 years |
Business Acquisitions - Narrati
Business Acquisitions - Narrative (Details) - USD ($) | Oct. 23, 2014 | Jan. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Business Acquisition [Line Items] | ||||||
Acquisitions | $ 0 | $ 64,713,000 | ||||
Borrowings from note payable | $ 145,000,000 | $ 30,001,000 | $ 0 | |||
AccountNow, Inc. [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total consideration | $ 78,700,000 | |||||
Cash acquired | 3,300,000 | |||||
Current assets, receivables assumed | 4,100,000 | |||||
Current assets, prepaid and other assets assumed | 4,900,000 | |||||
Labilities assumed | 12,800,000 | |||||
Acquisitions | 63,000,000 | |||||
Finite-lived intangible assets acquired | $ 16,100,000 | |||||
AccountNow, Inc. [Member] | Common Class A [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Equity consideration - number of shares | 514,000 | |||||
TPG [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total consideration | $ 358,500,000 | |||||
Cash paid for acquisitions | 204,500,000 | |||||
Operating results of TPG included in our consolidated financial statements - revenues | $ 400,000 | |||||
Operating results of TPG included in our consolidated financial statements - net losses | $ (7,600,000) | |||||
TPG [Member] | Senior Credit Facility [Member] | Term Loan [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Borrowings from note payable | 150,000,000 | |||||
TPG [Member] | Earn Out Payable [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Potential cash earn-out payable | $ 80,000,000 | |||||
TPG [Member] | Common Class A [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Equity consideration - number of shares | 6,100,000 | |||||
Closing share price (in usd per share) | $ 21.86 | |||||
Number of shares deposited in an escrow fund | 1,100,000 | |||||
Other General And Administrative Expense [Member] | TPG [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Transaction costs incurred | $ 6,200,000 |
Investment Securities - Gross G
Investment Securities - Gross Gains and Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | $ 209,146 | $ 182,090 |
Gross Unrealized gains | 258 | 209 |
Gross unrealized losses | (978) | (760) |
Fair Value | 208,426 | 181,539 |
Corporate bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 21,533 | 33,201 |
Gross Unrealized gains | 9 | 0 |
Gross unrealized losses | (7) | (47) |
Fair Value | 21,535 | 33,154 |
Commercial paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 12,427 | 6,504 |
Gross Unrealized gains | 4 | 3 |
Gross unrealized losses | (1) | (2) |
Fair Value | 12,430 | 6,505 |
US treasury notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 21,603 | 17,541 |
Gross Unrealized gains | 1 | 0 |
Gross unrealized losses | (41) | (16) |
Fair Value | 21,563 | 17,525 |
Agency securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 4,002 | 4,034 |
Gross Unrealized gains | 0 | 0 |
Gross unrealized losses | (1) | (19) |
Fair Value | 4,001 | 4,015 |
Mortgage-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 117,990 | 100,131 |
Gross Unrealized gains | 242 | 195 |
Gross unrealized losses | (741) | (554) |
Fair Value | 117,491 | 99,772 |
Municipal bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 1,460 | 1,954 |
Gross Unrealized gains | 1 | 11 |
Gross unrealized losses | (31) | (65) |
Fair Value | 1,430 | 1,900 |
Asset-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost basis | 30,131 | 18,725 |
Gross Unrealized gains | 1 | 0 |
Gross unrealized losses | (156) | (57) |
Fair Value | $ 29,976 | $ 18,668 |
Investment Securities - Continu
Investment Securities - Continuous Unrealized Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | $ 80,425 | $ 118,580 |
Unrealized losses, less than 12 months | (442) | (526) |
Fair value, 12 months or more | 64,319 | 33,232 |
Unrealized losses, 12 months or more | (536) | (234) |
Total fair value | 144,744 | 151,812 |
Total unrealized losses | (978) | (760) |
Other than temporary impairment losses, investments | 0 | 0 |
Corporate bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 8,739 | 20,416 |
Unrealized losses, less than 12 months | (7) | (22) |
Fair value, 12 months or more | 1,999 | 10,679 |
Unrealized losses, 12 months or more | 0 | (25) |
Total fair value | 10,738 | 31,095 |
Total unrealized losses | (7) | (47) |
Commercial paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 2,672 | 4,322 |
Unrealized losses, less than 12 months | (1) | (2) |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 2,672 | 4,322 |
Total unrealized losses | (1) | (2) |
US treasury notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 16,211 | 17,525 |
Unrealized losses, less than 12 months | (41) | (16) |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 16,211 | 17,525 |
Total unrealized losses | (41) | (16) |
Agency securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 4,002 | 4,015 |
Unrealized losses, less than 12 months | (1) | (19) |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 4,002 | 4,015 |
Total unrealized losses | (1) | (19) |
Mortgage-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 23,300 | 53,634 |
Unrealized losses, less than 12 months | (236) | (410) |
Fair value, 12 months or more | 61,383 | 21,518 |
Unrealized losses, 12 months or more | (505) | (144) |
Total fair value | 84,683 | 75,152 |
Total unrealized losses | (741) | (554) |
Municipal bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 0 | 0 |
Unrealized losses, less than 12 months | 0 | 0 |
Fair value, 12 months or more | 937 | 1,035 |
Unrealized losses, 12 months or more | (31) | (65) |
Total fair value | 937 | 1,035 |
Total unrealized losses | (31) | (65) |
Asset-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value, less than 12 months | 25,501 | 18,668 |
Unrealized losses, less than 12 months | (156) | (57) |
Fair value, 12 months or more | 0 | 0 |
Unrealized losses, 12 months or more | 0 | 0 |
Total fair value | 25,501 | 18,668 |
Total unrealized losses | $ (156) | $ (57) |
Investment Securities - Maturit
Investment Securities - Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract] | ||
Due in one year or less, amortized cost basis | $ 46,694 | |
Due after one year through five, amortized cost basis | 13,610 | |
Due after five years through ten years, amortized cost basis | 58 | |
Due after ten years, amortized cost basis | 910 | |
Asset-backed securities, amortized cost basis | 147,874 | |
Total fixed income secutities, amortized cost basis | 209,146 | |
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract] | ||
Due in one year or less, fair value | 46,686 | |
Due after one year through five, fair value | 13,582 | |
Due after one year through five, fair value | 57 | |
Due after ten years, fair value | 881 | |
Mortgage and asset-backed securities | 147,220 | |
Total investment securities | $ 208,426 | $ 181,539 |
Accounts Receivable - Accounts
Accounts Receivable - Accounts receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, Net | $ 40,150 | $ 42,153 | ||
Overdrawn Account Balances due from Cardholders [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, Gross | 14,773 | 10,198 | ||
Allowance for Doubtful Accounts Receivable | (11,932) | (7,999) | $ (11,196) | $ (10,363) |
Accounts Receivable, Net | 2,841 | 2,199 | ||
Trade receivables [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, Gross | 1,941 | 10,644 | ||
Allowance for Doubtful Accounts Receivable | (372) | (58) | ||
Accounts Receivable, Net | 1,569 | 10,586 | ||
Fee advances [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, Gross | 16,708 | 11,621 | ||
Other receivables [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, Gross | 10,535 | 8,895 | ||
Receivables due from card issuing banks [Member] | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Accounts Receivable, Gross | $ 8,497 | $ 8,852 |
Accounts Receivable - Reserve f
Accounts Receivable - Reserve for uncollectible overdrawn accounts activity (Details) - Reserve for uncollectible overdrawn accounts [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Uncollectible Overdrawn Accounts [Roll Forward] | |||
Balance, beginning of period | $ 7,999 | $ 11,196 | $ 10,363 |
Fees | 67,798 | 55,595 | 34,057 |
Purchase transactions | 7,043 | 7,699 | 4,216 |
Charge-offs | (70,908) | (66,491) | (37,440) |
Balance, end of period | $ 11,932 | $ 7,999 | $ 11,196 |
Loans to Bank Customers Loan Su
Loans to Bank Customers Loan Summary (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | $ 8 | $ 21 |
Loans and Leases Receivable, Gross | $ 6,336 | $ 6,705 |
Financing Receivable, Percent Past Due | 100.00% | 100.00% |
Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | $ 0 | $ 2 |
Financing Receivable, Percent Past Due | 0.00% | 0.00% |
Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | $ 6 | $ 0 |
Financing Receivable, Percent Past Due | 0.10% | 0.00% |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | $ 2 | $ 19 |
Financing Receivable, Percent Past Due | 0.00% | 0.30% |
Financing Receivables, Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable, Percent Past Due | 0.10% | 0.30% |
Financing Receivables, 1 to 29 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable, Recorded Investment, Current | $ 6,328 | $ 6,684 |
Financing Receivable, Percent Past Due | 99.90% | 99.70% |
Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | $ 6 | $ 0 |
Loans and Leases Receivable, Gross | 3,724 | 3,863 |
Residential Portfolio Segment [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 0 |
Residential Portfolio Segment [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 6 | 0 |
Residential Portfolio Segment [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 0 |
Residential Portfolio Segment [Member] | Financing Receivables, 1 to 29 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 3,718 | 3,863 |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 19 |
Loans and Leases Receivable, Gross | 366 | 313 |
Commercial Portfolio Segment [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 0 |
Commercial Portfolio Segment [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 0 |
Commercial Portfolio Segment [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 19 |
Commercial Portfolio Segment [Member] | Financing Receivables, 1 to 29 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 366 | 294 |
Consumer Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 2 | 2 |
Loans and Leases Receivable, Gross | 1,744 | 2,529 |
Consumer Portfolio Segment [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 2 |
Consumer Portfolio Segment [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | 0 |
Consumer Portfolio Segment [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 2 | 0 |
Consumer Portfolio Segment [Member] | Financing Receivables, 1 to 29 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable, Recorded Investment, Current | 1,742 | $ 2,527 |
Unallocated Financing Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | |
Loans and Leases Receivable, Gross | 502 | |
Unallocated Financing Receivables [Member] | Financing Receivables, 30 to 59 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | |
Unallocated Financing Receivables [Member] | Financing Receivables, 60 to 89 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | |
Unallocated Financing Receivables [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Past due 30 days or more | 0 | |
Unallocated Financing Receivables [Member] | Financing Receivables, 1 to 29 Days Past Due [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable, Recorded Investment, Current | $ 502 |
Loans to Bank Customers Nonperf
Loans to Bank Customers Nonperforming Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Residential Loans [Member] | ||
Nonperforming Loans [Line Items] | ||
Nonperforming loans | $ 368 | $ 341 |
Commercial Loans [Member] | ||
Nonperforming Loans [Line Items] | ||
Nonperforming loans | 0 | 19 |
Installment Loans [Member] | ||
Nonperforming Loans [Line Items] | ||
Nonperforming loans | 0 | 5 |
Nonperforming Financing Receivable | ||
Nonperforming Loans [Line Items] | ||
Nonperforming loans | $ 368 | $ 365 |
Loans to Bank Customers - Credi
Loans to Bank Customers - Credit Quality Indicators (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | $ 6,059 | $ 6,279 |
Non-Classified | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 5,336 | 5,871 |
Nonperforming Financing Receivable | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 1,000 | 834 |
Residential Portfolio Segment [Member] | Non-Classified | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 3,036 | 3,404 |
Residential Portfolio Segment [Member] | Nonperforming Financing Receivable | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 688 | 459 |
Commercial Portfolio Segment [Member] | Non-Classified | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 366 | 294 |
Commercial Portfolio Segment [Member] | Nonperforming Financing Receivable | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 0 | 19 |
Consumer Portfolio Segment [Member] | Non-Classified | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 1,432 | 2,173 |
Consumer Portfolio Segment [Member] | Nonperforming Financing Receivable | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 312 | 356 |
Unallocated Financing Receivables [Member] | Non-Classified | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | 502 | 0 |
Unallocated Financing Receivables [Member] | Nonperforming Financing Receivable | ||
Outstanding Loans [Line Items] | ||
Loans to Bank Customers, Carrying Amount | $ 0 | $ 0 |
Loans to Bank Customers - Troub
Loans to Bank Customers - Troubled Debt Restructurings (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Residential Portfolio Segment [Member] | ||
Loan Modifications [Line Items] | ||
Unpaid principal balance | $ 388 | $ 365 |
Carrying value | 316 | 298 |
Commercial Portfolio Segment [Member] | ||
Loan Modifications [Line Items] | ||
Unpaid principal balance | 0 | 257 |
Carrying value | 0 | 19 |
Consumer Portfolio Segment [Member] | ||
Loan Modifications [Line Items] | ||
Unpaid principal balance | 220 | 284 |
Carrying value | $ 98 | $ 140 |
Loans to Bank Customers - Allow
Loans to Bank Customers - Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance for Loan Losses [Roll Forward] | |||
Allowance for loan losses, beginning of period | $ 426 | $ 444 | $ 464 |
Provision for loans | (151) | (38) | 20 |
Loans charged off | (25) | (44) | (66) |
Recoveries of loans previously charged off | 27 | 64 | 26 |
Allowance for loan losses, end of period | $ 277 | $ 426 | $ 444 |
- Property and Equipment (Detai
- Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 215,300 | $ 186,853 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (132,679) | (107,976) |
Property, Plant and Equipment, Net | 82,621 | 78,877 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 205 | 205 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 1,105 | 605 |
Computer equipment, furniture, and office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 44,789 | 45,508 |
Computer software purchased | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 19,370 | 16,900 |
Capitalized internal-use software | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 139,730 | 113,721 |
Tenant improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 10,101 | $ 9,914 |
Property and Equipment -Narrati
Property and Equipment -Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization expense | $ 39,500,000 | $ 38,500,000 | $ 32,500,000 |
Depreciation and amortization expense | 39,460,000 | 38,509,000 | 32,454,000 |
Asset impairment charges | 100,000 | 5,900,000 | 0 |
Capitalized computer software, net | 58,100,000 | 47,600,000 | |
Capitalized internal-use software | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization expense | $ 25,600,000 | $ 23,000,000 | $ 18,400,000 |
Goodwill and Intangible Asset68
Goodwill and Intangible Assets - Goodwill and Intangible Assets Summary (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Goodwill | $ 208,355 | $ 208,079 | $ 144,662 |
Intangible assets, net | 242,696 | 265,700 | |
Goodwill and intangible assets | $ 451,051 | $ 473,779 |
Goodwill and Intangible Asset69
Goodwill and Intangible Assets - Goodwill Rollforward (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Impairment of goodwill | $ 0 | $ 0 | $ 0 | $ 0 |
Goodwill [Roll Forward] | ||||
Balance, beginning of period | 208,079,000 | 144,662,000 | ||
Acquisitions | 0 | 64,713,000 | ||
Adjustments related to final purchase accounting | 276,000 | (1,296,000) | ||
Balance, end of period | $ 208,355,000 | $ 208,355,000 | $ 208,079,000 | $ 144,662,000 |
Goodwill and Intangible Asset70
Goodwill and Intangible Assets - Intangible Assets Summary (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |||
Impairment of Intangible Assets, Finite-lived | $ 0 | $ 0 | |
Gross Carrying Value | 293,823,000 | 293,823,000 | |
Accumulated Amortization | (51,127,000) | (28,123,000) | |
Net Book Value | 242,696,000 | 265,700,000 | |
Amortization of intangible assets | 23,021,000 | 23,205,000 | $ 4,530,000 |
Customer Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Value | 251,273,000 | 251,273,000 | |
Accumulated Amortization | (43,707,000) | (23,862,000) | |
Net Book Value | $ 207,566,000 | 227,411,000 | |
Weighted Average Useful Lives | 13 years 324 days | ||
Trade Names [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Value | $ 38,586,000 | 38,586,000 | |
Accumulated Amortization | (6,192,000) | (3,353,000) | |
Net Book Value | $ 32,394,000 | 35,233,000 | |
Weighted Average Useful Lives | 14 years 182 days | ||
Patents [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Value | $ 3,000,000 | 3,000,000 | |
Accumulated Amortization | (545,000) | (273,000) | |
Net Book Value | $ 2,455,000 | 2,727,000 | |
Weighted Average Useful Lives | 11 years | ||
Other [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Value | $ 964,000 | 964,000 | |
Accumulated Amortization | (683,000) | (635,000) | |
Net Book Value | $ 281,000 | $ 329,000 | |
Weighted Average Useful Lives | 9 years 110 days |
Goodwill and Intangible Asset71
Goodwill and Intangible Assets - Intangible Assets Future Amortization Expense (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Estimated Amortization Expense, Next Five Years [Abstract] | ||
2,017 | $ 23,029 | |
2,018 | 23,028 | |
2,019 | 22,910 | |
2,020 | 18,853 | |
2,021 | 18,838 | |
Thereafter | 136,038 | |
Net Book Value | $ 242,696 | $ 265,700 |
Deposits - Summary of Deposits
Deposits - Summary of Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Non-interest bearing deposit accounts | ||
GPR deposits | $ 617,220 | $ 610,652 |
Other demand deposits | 100,405 | 23,644 |
Total non-interest bearing deposit accounts | 717,625 | 634,296 |
Interest-bearing deposit accounts | ||
Negotiable order of withdrawal (NOW) | 1,209 | 851 |
Savings | 11,950 | 8,848 |
Time deposits, denominations greater than or equal to $100 | 5,132 | 6,268 |
Time deposits, denominations less than $100 | 1,498 | 1,882 |
Total interest-bearing deposit accounts | 19,789 | 17,849 |
Total deposits | $ 737,414 | $ 652,145 |
Deposits - Contractual Maturiti
Deposits - Contractual Maturities (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Deposits [Abstract] | |
Due in 2017 | $ 3,876 |
Due in 2018 | 694 |
Due in 2019 | 403 |
Due in 2020 | 812 |
Due in 2021 | 845 |
Total time deposits | 6,630 |
Time deposits, at or above FDIC insurance limit | $ 2,500 |
Note Payable - Outstanding (Det
Note Payable - Outstanding (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Line of Credit Facility [Line Items] | ||
Deferred finance costs, net | $ 4,300 | $ 5,800 |
Total notes payable | 100,686 | 121,652 |
Senior Credit Facility [Member] | Bank of America, Wells Fargo Bank, and Other Lenders [Member] | ||
Line of Credit Facility [Line Items] | ||
Total notes payable | 100,686 | 121,652 |
Senior Credit Facility [Member] | Bank of America, Wells Fargo Bank, and Other Lenders [Member] | Term Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Total notes payable | 100,686 | 121,652 |
Senior Credit Facility [Member] | Bank of America, Wells Fargo Bank, and Other Lenders [Member] | Revolving Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Total notes payable | $ 0 | $ 0 |
Note Payable - Narrative (Detai
Note Payable - Narrative (Details) - Senior Credit Facility [Member] - Bank of America, Wells Fargo Bank, and Other Lenders [Member] - USD ($) | 1 Months Ended | 12 Months Ended | ||
Oct. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 225,000,000 | $ 105,000,000 | ||
Accordion feature - potential increase in borrowing capacity | 50,000,000 | |||
Effective interest rate on outstanding borrowings | 3.52% | |||
Interest expense | $ 4,000,000 | $ 4,300,000 | $ 900,000 | |
Quarterly principal payments | $ 5,625,000 | |||
Minimum [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Commitment fee | 0.30% | |||
Maximum [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Commitment fee | 0.40% | |||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable base rate | 2.50% | |||
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable base rate | 3.00% | |||
Base Rate [Member] | Minimum [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable base rate | 1.50% | |||
Base Rate [Member] | Maximum [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable base rate | 2.00% | |||
Base Rate Condition (b) - US federal funds rate [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Margin included in variable base rate | 0.50% | |||
Base Rate Condition (c) - LIBOR rate [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Margin included in variable base rate | 1.00% | |||
Revolving Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 75,000,000 | |||
Facility term | 5 years | |||
Term Facility [Member] | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 150,000,000 | |||
Facility term | 5 years |
Note Payable - Repayments of Pr
Note Payable - Repayments of Principal (Details) - Senior Credit Facility [Member] - Bank of America, Wells Fargo Bank, and Other Lenders [Member] - USD ($) | Dec. 31, 2016 | Oct. 31, 2014 |
Line of Credit Facility [Line Items] | ||
2,017 | $ 22,500,000 | |
2,018 | 22,500,000 | |
2,019 | 60,000,000 | |
Total | $ 105,000,000 | $ 225,000,000 |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) | Dec. 12, 2014USD ($)offeringshares | Oct. 23, 2014 | May 02, 2010$ / sharesshares | Mar. 31, 2016USD ($)$ / shares | Dec. 31, 2016USD ($)Vote / sharesshares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | Jun. 30, 2015USD ($) | Dec. 31, 2011shares |
Convertible Series A Preferred Stock, shares authorized | 10,085 | ||||||||
Minimum anticipated sales price to request Form S-3 Registration | $ | $ 1,000,000 | ||||||||
Tax impact on unrealized losses and gains on investment securities available-for-sale | $ | (200,000) | $ (300,000) | $ 0 | ||||||
Payments for Repurchase of Common Stock | $ | $ 59,013,000 | $ 40,986,000 | $ 0 | ||||||
Common Class A [Member] | |||||||||
Votes per share | Vote / shares | 1 | ||||||||
Voting Threshold | 24.90% | ||||||||
Reduced Voting Power | 14.90% | ||||||||
Common stock, shares, issued | 50,513,000 | 50,502,000 | |||||||
Stock Repurchase Program, Authorized Amount | $ | $ 150,000,000 | ||||||||
Common Class B [Member] | |||||||||
Conversion of Stock, Shares Converted Class B to Series A Preferred | 6,859,000 | ||||||||
Nonredeemable Convertible Preferred Stock [Member] | |||||||||
Convertible Series A Preferred Stock, shares issued | 6,859 | ||||||||
Series A Convertible Junior Participating Non-Cumulative Perpetual Preferred Stock to Common Class A [Member] | |||||||||
Conversion of stock (in shares) | 5,345 | ||||||||
Convertible Series A Preferred Stock, shares outstanding | 1,515 | ||||||||
Walmart [Member] | Common Class A [Member] | |||||||||
Stock Repurchase Program, Period in Force | 5 years | ||||||||
Common stock, shares, issued | 2,208,552 | 2,208,552 | |||||||
Walmart Repurchase Price | $ / shares | $ 0.01 | ||||||||
Shares, Monthly Vesting, Amount | 36,810 | 36,810 | |||||||
TPG [Member] | Common Class A [Member] | |||||||||
Period to file registration statement | 75 days | ||||||||
Remaining registrable securities (in shares) | 1,840,001 | ||||||||
Aggregate number of shares issued in acquisition (percent) | 30.00% | ||||||||
Period after acquisition close | 30 months | ||||||||
Aggregate registered securities holdings | $ | $ 30,000,000 | ||||||||
Number of underwritten offerings | offering | 2 | ||||||||
Aggregate offering price | $ | $ 30,000,000 | ||||||||
December 2015 Repurchase Plan [Member] | |||||||||
Stock Repurchased During Period, Value | $ | $ 600,000 | ||||||||
Payments for Repurchase of Common Stock | $ | $ 10,000,000 | ||||||||
Stock Repurchased During Period, Average Cost per Share | $ / shares | $ 16.15 | ||||||||
Common Stock [Member] | Common Class A [Member] | |||||||||
Conversion of stock (in shares) | 1,519,000 | 5,345,000 | |||||||
Treasury stock acquired (in shares) | (3,224,000) | (1,956,000) |
Stockholders' Equity Treasury S
Stockholders' Equity Treasury Stock (Details) - Common Class A [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Equity, Class of Treasury Stock [Line Items] | |
Treasury Stock, Value | $ 100,000 |
April 2016 ASR [Member] | |
Equity, Class of Treasury Stock [Line Items] | |
Treasury stock acquired (in shares) | shares | 2,219 |
Treasury Stock Acquired, Average Cost Per Share | $ / shares | $ 22.54 |
Treasury Stock, Value | $ 50,000 |
September 2015 ASR [Member] | |
Equity, Class of Treasury Stock [Line Items] | |
Treasury stock acquired (in shares) | shares | 2,342 |
Treasury Stock Acquired, Average Cost Per Share | $ / shares | $ 17.08 |
Treasury Stock, Value | $ 40,000 |
Employee Stock-Based Compensa79
Employee Stock-Based Compensation (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Jun. 30, 2010 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | May 02, 2010 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | $ 6,400 | $ 500 | $ 14,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | 23,200 | 14,000 | 8,200 | ||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Stock Options | $ 1,000 | 50,900 | |||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 230 days | ||||
Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition, Restricted Stock | 2 years 197 days | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 1,300,000 | ||||
Stock-based retailer incentive compensation | $ 0 | $ 2,520 | $ 8,932 | ||
Common Class A [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock, shares, issued | 50,513,000 | 50,502,000 | |||
2010 Equity Incentive Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 2,000,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Evergreen Percentage | 3.00% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized | 3,400,000 | ||||
2010 Equity Incentive Plan [Member] | Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation, Award Expiration Period | 5 years | ||||
2010 Equity Incentive Plan [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation, Award Expiration Period | 10 years | ||||
2010 Employee Stock Purchase Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 200,000 | ||||
Walmart [Member] | Common Class A [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock, shares, issued | 2,208,552 | 2,208,552 | |||
Shares, Monthly Vesting, Amount | 36,810 | 36,810 |
Employee Stock-Based Compensa80
Employee Stock-Based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Employee stock-based compensation | $ 28,321 | $ 27,011 | $ 20,329 |
Allocated Share-based Compensation Expense | $ 9,167 | $ 8,602 | $ 6,949 |
Employee Stock-Based Compensa81
Employee Stock-Based Compensation - Share-based Compensation Equity Granted (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0 | ||
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 0 | 0 | 106 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0 | $ 0 | $ 20.92 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | 0 | 0 | 10.75 |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 22.65 | $ 16.34 | $ 19.49 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1,703 | 1,980 | 2,035 |
Employee Stock-Based Compensa82
Employee Stock-Based Compensation - Granted Equity Assumptions (Details) - 2010 Equity Incentive Plan [Member] | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 0.00% | 0.00% | 1.80% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 0 years | 0 years | 5 years 9 months 15 days |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | 0.00% | 0.00% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 0.00% | 0.00% | 54.00% |
Employee Stock-Based Compensa83
Employee Stock-Based Compensation - Stock-based Compensation Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | shares | 3,348 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | shares | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercised in Period | shares | (822) |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | shares | (379) |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | shares | 2,147 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | shares | 2,145 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number | shares | 2,030 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ / shares | $ 18.97 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ / shares | 0 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $ / shares | 14.04 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | $ / shares | 23.58 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ / shares | 20.03 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Exercise Price | $ / shares | 20.03 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Exercise Price | $ / shares | $ 19.97 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 4 years 36 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Remaining Contractual Term | 4 years 33 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 3 years 354 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ | $ 11,246 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Aggregate Intrinsic Value | $ | 11,242 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | $ | $ 10,854 |
Employee Stock-Based Compensa84
Employee Stock-Based Compensation - Restricted Stock Units Granted Roll (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 3,446 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted | 1,703 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Forfeitures and Expirations | (549) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Exercised | (1,057) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 3,543 | 3,446 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 17.99 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 23.04 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 18.38 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 18.42 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 20.24 | $ 17.99 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | $ 23.2 | $ 14 | $ 8.2 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | $ 1,100 | ||
Domestic Tax Authority [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | 41,200 | ||
The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate | 7,314 | $ 7,371 | $ 6,189 |
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | $ 32,300 | ||
Internal Revenue Service (IRS) [Member] | Minimum [Member] | State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Income tax examination, period | 4 years | ||
Internal Revenue Service (IRS) [Member] | Maximum [Member] | State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Income tax examination, period | 5 years | ||
Latest Tax Year [Member] | State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | $ 7,700 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current: | |||||||||||
Federal | $ 16,540 | $ 18,988 | $ 24,382 | ||||||||
State | 1,934 | 1,104 | 1,368 | ||||||||
Foreign | 217 | 21 | 0 | ||||||||
Current income tax expense | 18,691 | 20,113 | 25,750 | ||||||||
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||||||||||
Federal | 2,362 | (138) | 760 | ||||||||
State | (1,142) | (287) | (224) | ||||||||
Foreign | 50 | 19 | (73) | ||||||||
Deferred income tax expense (benefit) | 1,270 | (406) | 463 | ||||||||
Income tax expense | $ (1,784) | $ (2,347) | $ 4,968 | $ 19,124 | $ (6,027) | $ (2,222) | $ 2,991 | $ 24,965 | $ 19,961 | $ 19,707 | $ 26,213 |
Income Taxes - Effective Tax Ra
Income Taxes - Effective Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
U.S. federal statutory tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal benefit | 0.40% | 0.40% | 1.10% |
General business credits | (3.40%) | (0.90%) | (1.30%) |
Employee stock-based compensation | 0.30% | 0.80% | 0.70% |
Transaction costs | 0.00% | (2.10%) | 1.80% |
Other | 0.10% | 0.70% | 0.70% |
Effective tax rate | 32.40% | 33.90% | 38.00% |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 12,619 | $ 14,726 |
Stock-based compensation | 13,221 | 12,535 |
Reserve for overdrawn accounts | 4,684 | 3,162 |
Accrued liabilities | 6,910 | 6,206 |
Tax credit carryforwards | 3,590 | 2,592 |
Other | 2,293 | 2,531 |
Total deferred tax assets | 43,317 | 41,752 |
Deferred tax liabilities: | ||
Internal-use software costs | 20,415 | 17,955 |
Property and equipment, net | 692 | 1,669 |
Deferred expenses | 5,881 | 4,730 |
Intangible assets | 11,208 | 10,623 |
Gift card revenue | 4,236 | 4,183 |
Total deferred tax liabilities | 42,432 | 39,160 |
Net deferred tax assets | $ 885 | $ 2,592 |
Income Taxes - Rollforward of U
Income Taxes - Rollforward of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Contingency [Line Items] | |||
Income tax penalties and interest accrued | $ 600 | $ 200 | $ 400 |
Domestic Tax Authority [Member] | |||
Income Tax Contingency [Line Items] | |||
Beginning balance | 7,371 | 6,189 | 3,724 |
Increases related to positions taken during prior years | 134 | 759 | 856 |
Increases related to positions taken during the current year | 1,023 | 423 | 1,609 |
Decreases related to positions settled with tax authorities | (1,105) | 0 | 0 |
Decreases due to a lapse of applicable statute of limitations | (109) | 0 | 0 |
Ending balance | 7,314 | 7,371 | 6,189 |
The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate | $ 7,314 | $ 7,371 | $ 6,189 |
Earnings per Common Share - Bas
Earnings per Common Share - Basic Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Net income | $ (1,345) | $ 2,037 | $ 8,026 | $ 32,882 | $ (6,073) | $ 179 | $ 3,496 | $ 40,813 | $ 41,600 | $ 38,415 | $ 42,693 |
Income attributable to preferred stock | $ (802) | $ (1,102) | $ (4,842) | ||||||||
Weighted-average Class A shares issued and outstanding | 49,535 | 51,332 | 40,907 | ||||||||
Basic earnings per common share (in USD per share) | $ 0.82 | $ 0.73 | $ 0.92 | ||||||||
Common Class A [Member] | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Income attributable to preferred stock | $ (802) | $ (1,102) | $ (4,842) | ||||||||
Net income allocated to Class A common stockholders | $ 40,798 | $ 37,292 | $ 37,502 | ||||||||
Weighted-average Class A shares issued and outstanding | 49,535 | 51,332 | 40,907 | ||||||||
Basic earnings per common share (in USD per share) | $ (0.03) | $ 0.04 | $ 0.16 | $ 0.64 | $ (0.12) | $ 0 | $ 0.07 | $ 0.77 | $ 0.82 | $ 0.73 | $ 0.92 |
Common Class B [Member] | Common Class A [Member] | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Income attributable to other classes of common stock | $ 0 | $ (21) | $ (349) |
Earnings per Common Share - Dil
Earnings per Common Share - Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Weighted-average Class A shares issued and outstanding | 49,535 | 51,332 | 40,907 | ||||||||
Diluted weighted-average Class A shares issued and outstanding | 50,797 | 51,875 | 41,770 | ||||||||
Diluted earnings per common share (in USD per share) | $ 0.80 | $ 0.72 | $ 0.90 | ||||||||
Common Class A [Member] | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Net income allocated to Class A common stockholders | $ 40,798 | $ 37,292 | $ 37,502 | ||||||||
Re-allocated earnings | 20 | 11 | 94 | ||||||||
Diluted net income allocated to Class A common stockholders | $ 40,818 | $ 37,303 | $ 37,596 | ||||||||
Weighted-average Class A shares issued and outstanding | 49,535 | 51,332 | 40,907 | ||||||||
Diluted weighted-average Class A shares issued and outstanding | 50,797 | 51,875 | 41,770 | ||||||||
Diluted earnings per common share (in USD per share) | $ (0.03) | $ 0.04 | $ 0.16 | $ 0.63 | $ (0.12) | $ 0 | $ 0.06 | $ 0.76 | $ 0.80 | $ 0.72 | $ 0.90 |
Stock Options [Member] | Common Class A [Member] | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive potential common shares | 507 | 293 | 640 | ||||||||
Restricted Stock Units (RSUs) [Member] | Common Class A [Member] | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive potential common shares | 753 | 243 | 220 | ||||||||
Employee Stock [Member] | Common Class A [Member] | |||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Dilutive potential common shares | 2 | 7 | 3 |
Earnings per Common Share - Ant
Earnings per Common Share - Antidilutive Shares (Details) - Common Class A [Member] - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Antidilutive Shares [Line Items] | |||
Antidilutive shares | 1,100 | 2,199 | 5,895 |
Stock Options [Member] | |||
Antidilutive Shares [Line Items] | |||
Antidilutive shares | 124 | 650 | 598 |
Restricted Stock Units (RSUs) [Member] | |||
Antidilutive Shares [Line Items] | |||
Antidilutive shares | 2 | 31 | 15 |
Convertible Preferred Stock [Member] | |||
Antidilutive Shares [Line Items] | |||
Antidilutive shares | 974 | 1,518 | 5,282 |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Hierarchy (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | $ 208,426 | $ 181,539 |
Corporate bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 21,535 | 33,154 |
Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 12,430 | 6,505 |
US treasury notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 21,563 | 17,525 |
Agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 4,001 | 4,015 |
Municipal bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 1,430 | 1,900 |
Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 29,976 | 18,668 |
Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 208,426 | 181,539 |
Contingent consideration | 8,634 | 13,889 |
Recurring [Member] | Corporate bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 21,535 | 33,154 |
Recurring [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 12,430 | 6,505 |
Recurring [Member] | US treasury notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 21,563 | 17,525 |
Recurring [Member] | Agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 4,001 | 4,015 |
Recurring [Member] | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 117,491 | 99,772 |
Recurring [Member] | Municipal bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 1,430 | 1,900 |
Recurring [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 29,976 | 18,668 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Corporate bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | US treasury notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Municipal bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 208,426 | 181,539 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 21,535 | 33,154 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 12,430 | 6,505 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | US treasury notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 21,563 | 17,525 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 4,001 | 4,015 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 117,491 | 99,772 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Municipal bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 1,430 | 1,900 |
Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 29,976 | 18,668 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Contingent consideration | 8,634 | 13,889 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Corporate bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Commercial paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | US treasury notes [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Agency securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Municipal bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Asset-backed securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | $ 0 | $ 0 |
Fair Value Measurements Conting
Fair Value Measurements Contingent Consideration Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Payments of contingent consideration | $ (2,755) | $ (1,071) | $ (242) |
Change in fair value of contingent consideration | (2,500) | (8,200) | (698) |
Contingent Consideration [Member] | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Fair value measurement, beginning of period | 13,889 | 23,160 | 0 |
Issuance | 0 | 24,500 | |
Payments of contingent consideration | (2,755) | (1,071) | (242) |
Purchase accounting adjustment | 0 | (400) | |
Change in fair value of contingent consideration | (2,500) | (8,200) | (698) |
Fair value measurement, end of period | $ 8,634 | $ 13,889 | $ 23,160 |
Fair Value of Financial Instr95
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value Disclosures [Abstract] | ||
Loans to Bank Customers, Carrying Amount | $ 6,059 | $ 6,279 |
Loans to Bank Customers, Fair Value | 5,421 | 5,847 |
Deposits | 737,414 | 652,145 |
Deposits, Fair Value | 737,356 | 652,060 |
Note payable | 100,686 | 121,652 |
Note payable, Fair Value | $ 100,686 | $ 121,652 |
Concentrations of Credit Risk -
Concentrations of Credit Risk - Narrative (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Utah [Member] | |
Concentration Risk [Line Items] | |
Concentration Risk, Percentage | 93.30% |
Provo, Utah [Member] | |
Concentration Risk [Line Items] | |
Concentration Risk, Percentage | 42.00% |
Defined Contribution Plan (Deta
Defined Contribution Plan (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016USD ($)Age | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Defined Contribution Plan Disclosure [Line Items] | |||
Minimum Age | Age | 21 | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 25.00% | ||
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Percent | 5.00% | ||
Defined Contribution Plan, Cost Recognized | $ | $ 0.8 | $ 0.9 | $ 0.5 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) ft² in Thousands, $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2011ft² | Jun. 30, 2016USD ($)complaint | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Loss Contingencies [Line Items] | |||||
Lease term | 10 years | ||||
Area of office space leased (in square feet) | ft² | 140 | ||||
Rent expense, net | $ 8 | $ 8.8 | $ 5.4 | ||
Proceeds from legal settlements | $ 6.4 | ||||
Migration of Third-Party Card Processor [Member] | Pending Litigation [Member] | Limited Disruption in Service [Member] | |||||
Loss Contingencies [Line Items] | |||||
Customer Credits and Transaction Losses, Reimbursement Amount | $ 4.1 | ||||
Loss Contingency, New Claims Filed, Number | complaint | 2 | ||||
Other Liabilities [Member] | Migration of Third-Party Card Processor [Member] | Pending Litigation [Member] | Limited Disruption in Service [Member] | |||||
Loss Contingencies [Line Items] | |||||
Loss Contingency Accrual | 2.8 | ||||
Accounts Receivable [Member] | Migration of Third-Party Card Processor [Member] | Pending Litigation [Member] | Limited Disruption in Service [Member] | |||||
Loss Contingencies [Line Items] | |||||
Loss Contingency, Receivable | 2.3 | ||||
Senior Credit Facility [Member] | Standby Letters of Credit [Member] | |||||
Loss Contingencies [Line Items] | |||||
Letters of credit amount outstanding | $ 0.5 | $ 1.5 |
Commitments and Contingencies99
Commitments and Contingencies - Purchase Commitments (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Operating Leases, 2017 | $ 7,236 |
Operating Leases, 2018 | 5,885 |
Operating Leases, 2019 | 5,694 |
Operating Leases, 2020 | 5,821 |
Operating Leases, 2021 | 6,002 |
Operating Leases, Thereafter | 5,064 |
Operating Leases, Total of future commitments | 35,702 |
Vendor/Retail Distribution Commitments, 2017 | 22,859 |
Vendor/Retail Distribution Commitments, 2018 | 5,601 |
Vendor/Retail Distribution Commitments, 2019 | 190 |
Vendor/Retail Distribution Commitments, 2020 | 0 |
Vendor/Retail Distribution Commitments, 2021 | 0 |
Vendor/Retail Distribution Commitments, Thereafter | 0 |
Purchase Obligation | $ 28,650 |
Significant Customer Concent100
Significant Customer Concentrations (Details) - Customer Concentration Risk [Member] - Walmart [Member] | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Total Operating Revenues [Member] | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Percentage | 45.00% | 46.00% | 54.00% |
Total Operating Revenues, Excluding Stock-Based Retailer Incentive Compensation [Member] | |||
Concentration Risk [Line Items] | |||
Concentration Risk, Percentage | 45.00% | 46.00% | 55.00% |
Settlement Assets [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 42.00% | 62.00% |
Significant Customer Concent101
Significant Customer Concentrations - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Significant Customer Concentrations [Abstract] | |||
Stock-based retailer incentive compensation | $ 0 | $ 2,520 | $ 8,932 |
Regulatory Requirements (Detail
Regulatory Requirements (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Green Dot Corporation [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier One Leverage Capital | $ 332,101 | $ 347,801 |
Tier One Leverage Capital to Average Assets | 24.30% | 25.90% |
Tier One Leverage Capital Required to be Well Capitalized | 4.00% | 4.00% |
Tier One Common Equity | $ 332,101 | $ 347,801 |
Tier One Common Equity to Average Assets | 61.00% | 70.70% |
Tier One Common Equity Required For Capital Adequacy to Average Assets | 4.50% | 4.50% |
Tier One Risk Based Capital | $ 332,101 | $ 347,801 |
Tier One Risk Based Capital to Risk Weighted Assets | 61.00% | 70.70% |
Tier One Risk Based Capital Required to be Well Capitalized | 6.00% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 6.00% | 6.00% |
Capital | $ 333,288 | $ 349,396 |
Capital to Risk Weighted Assets | 61.20% | 71.10% |
Capital Required to be Well Capitalized | 8.00% | 8.00% |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Green Dot Bank [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier One Leverage Capital | $ 139,491 | $ 152,737 |
Tier One Leverage Capital to Average Assets | 17.00% | 20.40% |
Tier One Leverage Capital Required to be Well Capitalized | 4.00% | 15.00% |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 15.00% |
Tier One Common Equity | $ 139,491 | $ 152,737 |
Tier One Common Equity to Average Assets | 54.80% | 132.20% |
Tier One Common Equity Required For Capital Adequacy to Average Assets | 4.50% | 4.50% |
Tier One Common Equity Capital Required to be Well Capitalized to Average Assets | 6.50% | 6.50% |
Tier One Risk Based Capital | $ 139,491 | $ 152,737 |
Tier One Risk Based Capital to Risk Weighted Assets | 54.80% | 132.20% |
Tier One Risk Based Capital Required to be Well Capitalized | 6.00% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Capital | $ 139,768 | $ 153,164 |
Capital to Risk Weighted Assets | 54.90% | 132.50% |
Capital Required to be Well Capitalized | 8.00% | 8.00% |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Selected Quarterly Financial103
Selected Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Total operating revenues | $ 162,768 | $ 154,494 | $ 173,488 | $ 228,024 | $ 150,928 | $ 146,360 | $ 170,247 | $ 227,165 | |||
Total operating expenses | 166,290 | 155,011 | 160,619 | 173,538 | 162,707 | 148,066 | 163,329 | 161,269 | $ 655,458 | $ 635,371 | $ 542,563 |
Operating income | (3,522) | (517) | 12,869 | 54,486 | (11,779) | (1,706) | 6,918 | 65,896 | 63,316 | 59,329 | 58,989 |
Interest expense, net | 393 | 207 | 125 | (2,480) | (321) | (337) | (431) | (118) | |||
Income before income taxes | (3,129) | (310) | 12,994 | 52,006 | (12,100) | (2,043) | 6,487 | 65,778 | 61,561 | 58,122 | 68,906 |
Income tax expense | (1,784) | (2,347) | 4,968 | 19,124 | (6,027) | (2,222) | 2,991 | 24,965 | 19,961 | 19,707 | 26,213 |
Net income | $ (1,345) | $ 2,037 | $ 8,026 | $ 32,882 | $ (6,073) | $ 179 | $ 3,496 | $ 40,813 | $ 41,600 | $ 38,415 | $ 42,693 |
Basic earnings per common share (in USD per share) | $ 0.82 | $ 0.73 | $ 0.92 | ||||||||
Diluted earnings per common share (in USD per share) | 0.80 | 0.72 | 0.90 | ||||||||
Common Class A [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Basic earnings per common share (in USD per share) | $ (0.03) | $ 0.04 | $ 0.16 | $ 0.64 | $ (0.12) | $ 0 | $ 0.07 | $ 0.77 | 0.82 | 0.73 | 0.92 |
Diluted earnings per common share (in USD per share) | $ (0.03) | $ 0.04 | $ 0.16 | $ 0.63 | $ (0.12) | $ 0 | $ 0.06 | $ 0.76 | $ 0.80 | $ 0.72 | $ 0.90 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($)segment | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($)segment | |
Segment Reporting Information [Line Items] | |||||||||||
Number of reportable segments | segment | 2 | 1 | |||||||||
Revenues | $ 718,774 | $ 694,700 | $ 601,552 | ||||||||
Total operating expenses | $ 166,290 | $ 155,011 | $ 160,619 | $ 173,538 | $ 162,707 | $ 148,066 | $ 163,329 | $ 161,269 | 655,458 | 635,371 | 542,563 |
Operating Income (Loss) | $ (3,522) | $ (517) | $ 12,869 | $ 54,486 | $ (11,779) | $ (1,706) | $ 6,918 | $ 65,896 | 63,316 | 59,329 | $ 58,989 |
Account Services Segment [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 544,271 | 531,410 | |||||||||
Total operating expenses | 454,187 | 440,669 | |||||||||
Operating Income (Loss) | 90,084 | 90,741 | |||||||||
Processing and Settlement Services Segment [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 203,569 | 195,000 | |||||||||
Total operating expenses | 137,296 | 133,539 | |||||||||
Operating Income (Loss) | 66,273 | 61,461 | |||||||||
Corporate and Other [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | (29,066) | (31,710) | |||||||||
Total operating expenses | 63,975 | 61,163 | |||||||||
Operating Income (Loss) | $ (93,041) | $ (92,873) |
Subsequent Events (Details)
Subsequent Events (Details) - Empowerment Ventures, LLC. and UniRush, LLC. - Subsequent Event $ in Millions | Jan. 25, 2017USD ($) |
Subsequent Event [Line Items] | |
Total consideration | $ 147 |
Empowerment Ventures, LLC. | |
Subsequent Event [Line Items] | |
Contingent consideration, earn-out period (in years) | 5 years |
Contingent consideration, earn-out payable | $ 20 |