MEDALLION FINANCIAL CORP, 10-Q filed on 05 Nov 26
 | XBRL Documents
v3.26.3
Document and Entity Information - shares
 9 Months Ended
Sep. 30, 2026
Nov. 04, 2026
Cover [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Quarterly Report true  
Document Transition Report false  
Document Period End Date Sep. 30, 2026  
Document Fiscal Year Focus 2026  
Document Fiscal Period Focus Q3  
Entity Registrant Name MEDALLION FINANCIAL CORP  
Entity Central Index Key 0001000209  
Current Fiscal Year End Date --12-31  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Accelerated Filer  
Entity Common Stock, Shares Outstanding   22,431,169
Entity Emerging Growth Company false  
Entity Small Business true  
Entity Shell Company false  
Entity Incorporation, State or Country Code DE  
Entity File Number 001-37747  
Entity Tax Identification Number 04-3291176  
Entity Address, Address Line One 667 MADISON AVENUE, 22nd Floor  
Entity Address, City or Town NEW YORK  
Entity Address, State or Province NY  
Entity Address, Postal Zip Code 10065  
City Area Code 212  
Local Phone Number 328-2100  
Title of 12(b) Security Common Stock, par value $0.01 per share  
Trading Symbol MFIN  
Security Exchange Name NASDAQ  
v3.26.3
Consolidated Balance Sheets - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Assets    
Cash and cash equivalents $ 153,287 $ 136,266
Federal funds sold 89,769 65,298
Investment securities, at fair value 63,853 60,183
Equity investments 8,185 8,099
Loans held for sale, at lower of amortized cost or fair value 15,233 15,144
Loans 2,920,361 2,551,705
Allowance for credit losses (133,895) (114,789)
Net loans receivable 2,786,466 2,436,916
Goodwill 150,803 150,803
Intangible assets, net 16,617 17,701
Accrued interest receivable 21,967 19,401
Property, equipment, and right-of-use lease assets, net 17,184 11,861
Loan collateral in process of foreclosure 6,570 7,333
Income tax receivable 1,886 0
Other assets 28,824 26,459
Total assets 3,360,644 2,955,464
Liabilities    
Deposits [1] 2,386,276 2,084,265
Long-term debt [2] 287,837 215,987
Short-term debt 77,000 95,250
Deferred tax liabilities, net [3] 16,701 19,596
Operating lease liabilities 11,409 5,041
Accrued interest payable 6,967 6,319
Income tax payable 0 759
Accounts payable and accrued expenses [4] 23,354 20,201
Total liabilities 2,809,544 2,447,418
Commitments and contingencies
Stockholders’ equity    
Preferred stock (1,000,000 shares of $0.01 par value stock authorized-none outstanding) 0 0
Common stock (50,000,000 shares of $0.01 par value stock authorized - 30,095,273 shares at September 30, 2026 and 29,592,592 shares at December 31, 2025 issued) 301 296
Additional paid in capital 300,391 299,458
Treasury stock (7,544,579 shares at September 30, 2026 and 6,280,909 at December 31, 2025) (64,370) (51,130)
Accumulated other comprehensive loss (4,407) (2,381)
Retained earnings 167,843 162,374
Total stockholders’ equity 399,758 408,617
Non-controlling interest in consolidated subsidiaries 151,342 99,429
Total equity 551,100 508,046
Total liabilities and equity $ 3,360,644 $ 2,955,464
Number of shares outstanding 22,550,694 23,311,683
Book value per share $ 17.73 $ 17.53
[1] Includes $5.5 million and $5.2 million of deferred financing costs as of September 30, 2026 and December 31, 2025. Refer to Note 5 for more details.
[2] Includes $4.4 million and $3.3 million of deferred financing costs as of September 30, 2026 and December 31, 2025. Refer to Note 5 for more details.
[3] Includes $42.1 million and $42.4 million of deferred tax liabilities related to goodwill and intangible assets as of September 30, 2026 and December 31, 2025. Refer to Note 7 for more details.
[4] Includes the short-term portion of lease liabilities of $1.2 million and $2.2 million as of September 30, 2026 and December 31, 2025. Refer to Note 6 for more details.
v3.26.3
Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Preferred stock, shares authorized 1,000,000 1,000,000
Preferred stock, par value $ 0.01 $ 0.01
Preferred stock, shares outstanding 0 0
Common stock, shares authorized 50,000,000 50,000,000
Common stock, par value $ 0.01 $ 0.01
Common stock, shares issued 30,095,273 29,592,592
Treasury stock, shares 7,544,579 6,280,909
Deferred tax liabilities related to goodwill and intangible assets $ 42,136 $ 42,408
Short term lease liabilities 1,200 2,200
Deferred financing costs 9,900 8,400
Deposits [Member]    
Deferred financing costs 5,500 5,200
Long-Term Debt [Member]    
Deferred financing costs $ 4,400 $ 3,300
v3.26.3
Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Income Statement [Abstract]        
Interest and fees on loans $ 86,300 $ 78,934 $ 245,921 $ 228,198
Non-loan interest and dividend income 2,590 1,837 6,414 5,439
Total interest income 88,890 80,771 252,335 233,637
Interest on deposits 24,998 20,502 67,856 59,725
Interest on long-term debt 5,484 3,870 14,265 11,294
Interest on short-term borrowings 29 713 529 2,151
Total interest expense 30,511 25,085 82,650 73,170
Net interest income 58,379 55,686 169,685 160,467
Provision for credit losses 30,769 18,556 75,518 62,132
Net interest income after provision for credit losses 27,610 37,130 94,167 98,335
Other income        
Gain on taxi medallion assets, net 1,090 1,767 3,506 3,359
Strategic partnership fees 762 990 2,722 2,461
Gain on sale of recreation and home improvement loans 1,682 0 2,963 1,304
Gain (loss) on equity investments, net (217) 257 329 15,783
Other income 107 34 788 951
Total other income, net 3,424 3,048 10,308 23,858
Other expenses        
Salaries and employee benefits 10,799 10,145 33,046 30,286
Loan servicing fees 3,989 2,852 11,892 8,568
Collection costs 1,871 1,970 5,739 5,742
Professional fee costs, net 1,592 1,073 4,932 4,010
Regulatory fees 1,120 680 3,101 2,610
Rent expense 710 680 2,105 2,036
Depreciation 661 625 1,949 1,871
Director compensation 467 445 1,340 1,281
Amortization of intangible assets 361 361 1,084 1,084
Other expenses 2,396 1,871 6,105 5,518
Total other expenses 23,966 20,702 71,293 63,006
Net income (loss) before taxes 7,068 19,476 33,182 59,187
Income tax provision 2,336 5,862 11,381 18,380
Net income (loss) 4,732 13,614 21,801 40,807
Less: income attributable to the non-controlling interest 2,335 2,336 7,006 6,446
Less: redemption of non-controlling interest 0 3,515 0 3,515
Net income attributable to Medallion Financial Corp. $ 2,397 $ 7,763 $ 14,795 $ 30,846
Basic earnings per share $ 0.11 $ 0.34 $ 0.64 $ 1.36
Diluted earnings per share $ 0.1 $ 0.32 $ 0.61 $ 1.28
Weighted average common shares outstanding        
Basic 22,686,300 22,854,836 23,010,224 22,737,572
Diluted 23,647,271 24,437,133 24,067,423 24,131,840
v3.26.3
Consolidated Statements of Other Comprehensive Income (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Statement of Comprehensive Income [Abstract]        
Net income $ 4,732 $ 13,614 $ 21,801 $ 40,807
Unrealized holding (losses) gains on investment securities arising during the period (2,149) 947 (2,809) 1,710
Tax effect on unrealized (losses) gains on investments 601 (265) 783 (479)
Total comprehensive income 3,184 14,296 19,775 42,038
Less: income attributable to the non-controlling interest 2,335 2,336 7,006 6,446
Less: redemption of non-controlling interest 0 3,515 0 3,515
Total comprehensive income attributable to Medallion Financial Corp. $ 849 $ 8,445 $ 12,769 $ 32,077
v3.26.3
Consolidated Statement of Changes in Stockholders' Equity (Unaudited) - USD ($)
$ in Thousands
Total
Common Stock [Member]
Additional Paid In Capital [Member]
Treasury Stock [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Parent [Member]
Noncontrolling Interest [Member]
Balance at Dec. 31, 2024 $ 438,958 $ 293 $ 293,412 $ (50,144) $ 130,256 $ (3,647) $ 370,170 $ 68,788
Balance, shares at Dec. 31, 2024   29,308,182            
Balance, shares at Dec. 31, 2024       (6,172,558)        
Net income 13,526              
Net income         12,014   12,014 1,512
Distributions to non-controlling interest (1,512)             (1,512)
Stock-based compensation expense 1,688 $ 2 1,686       1,688  
Exercise of stock options, value 1   1       1  
Exercise of stock options, shares   265            
Issuance of restricted stock, net, shares   307,059            
Withheld restricted stock for employees' tax obligations, shares   (144,360)            
Withheld restricted stock for employees' tax obligations, value (1,202)   (1,202)       (1,202)  
Forfeiture of restricted stock, net, shares   (3,373)            
Purchase of common stock (in Shares)       (60,185)        
Purchase of common stock (531)     $ (531)     (531)  
Dividends paid on common stock (2,554)       (2,554)   (2,554)  
Other comprehensive income (loss), net of tax 638         638 638  
Ending balance at Mar. 31, 2025 449,012 $ 295 293,897 $ (50,675) 139,716 (3,009) 380,224 68,788
Ending balance, shares at Mar. 31, 2025   29,467,773            
Ending balance, shares at Mar. 31, 2025       (6,232,743)        
Balance at Dec. 31, 2024 438,958 $ 293 293,412 $ (50,144) 130,256 (3,647) 370,170 68,788
Balance, shares at Dec. 31, 2024   29,308,182            
Balance, shares at Dec. 31, 2024       (6,172,558)        
Net income 40,807              
Net income 30,846              
Non-controlling interest redemption at Medallion Bank (46,000)              
Ending balance at Sep. 30, 2025 496,877 $ 296 297,730 $ (51,130) 152,968 (2,416) 397,448 99,429
Ending balance, shares at Sep. 30, 2025   29,560,344            
Ending balance, shares at Sep. 30, 2025       (6,280,909)        
Balance at Dec. 31, 2024 $ 438,958 $ 293 293,412 $ (50,144) 130,256 (3,647) 370,170 68,788
Balance, shares at Dec. 31, 2024   29,308,182            
Balance, shares at Dec. 31, 2024       (6,172,558)        
Exercise of stock options, shares 82,081              
Ending balance at Dec. 31, 2025 $ 508,046 $ 296 299,458 $ (51,130) 162,374 (2,381) 408,617 99,429
Ending balance, shares at Dec. 31, 2025 23,311,683 29,592,592            
Ending balance, shares at Dec. 31, 2025 6,280,909     (6,280,909)        
Balance at Mar. 31, 2025 $ 449,012 $ 295 293,897 $ (50,675) 139,716 (3,009) 380,224 68,788
Balance, shares at Mar. 31, 2025   29,467,773            
Balance, shares at Mar. 31, 2025       (6,232,743)        
Net income 13,667              
Net income         11,069   11,069 2,598
Distributions to non-controlling interest (1,843)             (1,843)
Non-controlling interest equity raised by Medallion Bank 73,126             73,126
Stock-based compensation expense 1,681   1,681       1,681  
Exercise of stock options, value 256   256       256  
Exercise of stock options, shares   41,061            
Forfeiture of restricted stock, net, shares   (476)            
Issuance in connection with vesting of restricted stock units   19,144            
Purchase of common stock (in Shares)       (48,166)        
Purchase of common stock (455)     $ (455)     (455)  
Dividends paid on common stock (2,790)       (2,790)   (2,790)  
Other comprehensive income (loss), net of tax (89)         (89) (89)  
Ending balance at Jun. 30, 2025 532,565 $ 295 295,834 $ (51,130) 147,995 (3,098) 389,896 142,669
Ending balance, shares at Jun. 30, 2025   29,527,502            
Ending balance, shares at Jun. 30, 2025       (6,280,909)        
Net income 13,614              
Net income 7,763       11,278   11,278 2,336
Distributions to non-controlling interest (3,091)             (3,091)
Non-controlling interest redemption at Medallion Bank (46,000)       (3,515)   (3,515) (42,485)
Stock-based compensation expense 1,687   1,687       1,687  
Exercise of stock options, value 210 $ 1 209       210  
Exercise of stock options, shares   32,842            
Dividends paid on common stock (2,790)       (2,790)   (2,790)  
Other comprehensive income (loss), net of tax 682         682 682  
Ending balance at Sep. 30, 2025 496,877 $ 296 297,730 $ (51,130) 152,968 (2,416) 397,448 99,429
Ending balance, shares at Sep. 30, 2025   29,560,344            
Ending balance, shares at Sep. 30, 2025       (6,280,909)        
Balance at Dec. 31, 2025 $ 508,046 $ 296 299,458 $ (51,130) 162,374 (2,381) 408,617 99,429
Balance, shares at Dec. 31, 2025 23,311,683 29,592,592            
Balance, shares at Dec. 31, 2025 6,280,909     (6,280,909)        
Net income $ 7,289              
Net income         4,953   4,953 2,336
Distributions to non-controlling interest (2,336)             (2,336)
Stock-based compensation expense 2,075 $ 9 2,066       2,075  
Exercise of stock options, value $ 13   13       13  
Exercise of stock options, shares 2,224 [1] 2,224            
Issuance of restricted stock, net, shares   344,206            
Withheld restricted stock for employees' tax obligations, shares   (444,683)            
Withheld restricted stock for employees' tax obligations, value $ (4,327) $ (4) (4,323)       (4,327)  
Forfeiture of restricted stock, net, shares   (1,569)            
Issuance in connection with vesting of restricted stock units   652,577            
Dividends paid on common stock (2,862)       (2,862)   (2,862)  
Other comprehensive income (loss), net of tax (385)         (385) (385)  
Ending balance at Mar. 31, 2026 507,513 $ 301 297,214 $ (51,130) 164,465 (2,766) 408,084 99,429
Ending balance, shares at Mar. 31, 2026   30,145,347            
Ending balance, shares at Mar. 31, 2026       (6,280,909)        
Balance at Dec. 31, 2025 $ 508,046 $ 296 299,458 $ (51,130) 162,374 (2,381) 408,617 99,429
Balance, shares at Dec. 31, 2025 23,311,683 29,592,592            
Balance, shares at Dec. 31, 2025 6,280,909     (6,280,909)        
Net income $ 21,801              
Net income 14,795              
Non-controlling interest redemption at Medallion Bank 0              
Ending balance at Sep. 30, 2026 $ 551,100 $ 301 300,391 $ (64,370) 167,843 (4,407) 399,758 151,342
Ending balance, shares at Sep. 30, 2026 22,550,694 30,095,273            
Ending balance, shares at Sep. 30, 2026 7,544,579     (7,544,579)        
Balance at Mar. 31, 2026 $ 507,513 $ 301 297,214 $ (51,130) 164,465 (2,766) 408,084 99,429
Balance, shares at Mar. 31, 2026   30,145,347            
Balance, shares at Mar. 31, 2026       (6,280,909)        
Net income 9,780              
Net income         7,445   7,445 2,335
Distributions to non-controlling interest (2,335)             (2,335)
Stock-based compensation expense 1,903   1,903       1,903  
Exercise of stock options, value $ 88   88       88  
Exercise of stock options, shares 13,154 [1] 13,154            
Withheld restricted stock for employees' tax obligations, shares   (40,770)            
Withheld restricted stock for employees' tax obligations, value $ (406)   (406)       (406)  
Forfeiture of restricted stock, net, shares   (33,140)            
Issuance in connection with vesting of restricted stock units   17,762            
Purchase of common stock (in Shares)       (779,799)        
Purchase of common stock (7,684)     $ (7,684)     (7,684)  
Dividends paid on common stock (3,319)       (3,319)   (3,319)  
Other comprehensive income (loss), net of tax (93)         (93) (93)  
Ending balance at Jun. 30, 2026 505,447 $ 301 298,799 $ (58,814) 168,591 (2,859) 406,018 99,429
Ending balance, shares at Jun. 30, 2026   30,102,353            
Ending balance, shares at Jun. 30, 2026       (7,060,708)        
Net income 4,732              
Net income 2,397       2,397   2,397 2,335
Distributions to non-controlling interest (2,335)             (2,335)
Non-controlling interest equity raised by Medallion Bank 51,913             51,913
Stock-based compensation expense 1,539   1,539       1,539  
Exercise of stock options, value $ 53   53       53  
Exercise of stock options, shares 9,678 [1] 9,678            
Forfeiture of restricted stock, net, shares   (16,758)            
Purchase of common stock (in Shares)       (483,871)        
Purchase of common stock $ (5,556)     $ (5,556)     (5,556)  
Dividends paid on common stock (3,145)       (3,145)   (3,145)  
Other comprehensive income (loss), net of tax (1,548)         (1,548) (1,548)  
Ending balance at Sep. 30, 2026 $ 551,100 $ 301 $ 300,391 $ (64,370) $ 167,843 $ (4,407) $ 399,758 $ 151,342
Ending balance, shares at Sep. 30, 2026 22,550,694 30,095,273            
Ending balance, shares at Sep. 30, 2026 7,544,579     (7,544,579)        
[1] The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was less than $0.1 million and $0.1 million for the three and nine months ended September 30, 2026 and was $0.3 million for the year ended December 31, 2025.
v3.26.3
Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES    
Net income resulting from operations $ 21,801 $ 40,807
Adjustments to reconcile net income resulting from operations to net cash provided by operating activities:    
Provision for credit losses 75,518 62,132
Proceeds from sales of strategic partnership loans held for sale 676,407 505,338
Gain on sale of recreation and home improvement loans (2,963) (1,304)
Origination of loans held for sale (676,496) (513,229)
Paid-in-kind interest income (844) (802)
Depreciation and amortization 6,617 6,265
Amortization of loan origination costs and fees, net 10,348 7,640
(Decrease) increase in deferred and other tax liabilities, net (5,540) 3,030
Net gains on equity investments (329) (15,783)
Stock-based compensation expense 5,517 5,056
Increase in accrued interest receivable (2,566) (1,659)
(Increase) decrease in other assets (14,367) 1,146
Increase (decrease) in accounts payable and accrued expenses 9,646 (4,485)
Increase (decrease) in accrued interest payable 648 (2,941)
Net cash provided by operating activities 103,397 91,211
CASH FLOWS FROM INVESTING ACTIVITIES    
Loans originated (939,978) (583,301)
Proceeds from principal receipts, sales, and maturities of loans 499,274 460,798
Purchases of investments (13,432) (14,758)
Proceeds from principal receipts, sales, and maturities of investments 7,615 25,363
Proceeds from the sale and principal payments on loan collateral in process of foreclosure 9,857 10,051
Net cash used in investing activities (436,664) (101,847)
CASH FLOWS FROM FINANCING ACTIVITIES    
Proceeds from time deposits and funds borrowed 1,198,276 1,368,824
Repayments of time deposits and funds borrowed (841,154) (1,387,476)
Non-controlling interest equity raised by Medallion Bank 51,913 73,126
Non-controlling interest redemption at Medallion Bank 0 (46,000)
Cash dividends paid on common stock (9,451) (8,265)
Distributions to non-controlling interests (7,006) (6,446)
Payment of withholding taxes on net settlement of vested stock (4,733) (1,202)
Treasury stock repurchased (13,240) (986)
Proceeds from the exercise of stock options 154 467
Net cash provided by (used in) financing activities 374,759 (7,958)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 41,492 (18,594)
Cash and cash equivalents, beginning of period [1] 201,564 169,572
Cash and cash equivalents, end of period (1) [1] 243,056 150,978
SUPPLEMENTAL INFORMATION    
Cash paid during the period for interest 78,449 72,826
Cash paid during the period for income taxes 16,048 15,616
NON-CASH INVESTING    
Loans transferred to loan collateral in process of foreclosure, net $ 9,095 $ 8,353
[1] Includes federal funds sold.
v3.26.3
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Pay vs Performance Disclosure        
Net Income (Loss) $ 2,397 $ 7,763 $ 14,795 $ 30,846
v3.26.3
Insider Trading Arrangements
 3 Months Ended
Sep. 30, 2026
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Non Rule 10b5-1 Arrangement Modified false
Rule 10b5-1 Arrangement Modified false
v3.26.3
Organization of Medallion Financial Corp. and its Subsidiaries
 9 Months Ended
Sep. 30, 2026
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization of Medallion Financial Corp. and its Subsidiaries

(1) ORGANIZATION OF MEDALLION FINANCIAL CORP. AND ITS SUBSIDIARIES

Medallion Financial Corp., or the Company, is a specialty finance company organized as a Delaware corporation that reports as a bank holding company but is not a bank holding company for regulatory purposes. The Company conducts its business through various wholly-owned subsidiaries including its primary operating company, Medallion Bank, or the Bank, a Federal Deposit Insurance Corporation, or FDIC, insured industrial bank that originates consumer loans, raises deposits, and conducts other banking activities. The Bank is subject to competition from other financial institutions and to the regulations of certain federal and state agencies and undergoes examinations by those agencies. The Bank was formed in May 2002 for the purpose of obtaining an industrial bank charter pursuant to the laws of the State of Utah. The Bank originates consumer loans on a national basis for the purchase of recreational vehicles, or RVs, boats, collector cars, and other consumer recreational equipment and to finance home improvements such as swimming pools, roofs, and windows. The loans are financed primarily with time certificates of deposit which are originated nationally through a variety of brokered deposit relationships.

The Company also conducts business through its subsidiaries Medallion Capital, Inc., or Medallion Capital, a Small Business Investment Company, or SBIC, which conducts a mezzanine financing business; and Freshstart Venture Capital Corp., or Freshstart, which historically originated and serviced taxi medallion and commercial loans. Medallion Capital, an SBIC, is regulated by the Small Business Administration, or SBA. Medallion Capital is financed in part by the SBA.

The Company established a wholly-owned subsidiary, Medallion Financing Trust I, or Fin Trust, for the purpose of issuing unsecured trust preferred securities to investors. Fin Trust is a separate legal and corporate entity with its own creditors who, in any liquidation of Fin Trust, will be entitled to be satisfied out of Fin Trust’s assets prior to any value in Fin Trust becoming available to Fin Trust’s equity holders. The assets of Fin Trust, aggregating $34.9 million at September 30, 2026, are comprised solely of a subordinated note from the Company and are not available to pay obligations of its affiliates or any other party, and the assets of affiliates or any other party are not available to pay obligations of Fin Trust.
v3.26.3
Summary of Significant Accounting Policies
 9 Months Ended
Sep. 30, 2026
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies

(2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Use of Estimates

The preparation of the consolidated financial statements in conformity with generally accepted accounting principles in the U.S., or GAAP, requires management to make estimates that affect the amounts reported in the consolidated financial statements and the accompanying notes. Accounting estimates and assumptions are those that management considers to be the most critical to an understanding of the consolidated financial statements because they inherently involve significant judgments and uncertainties. All of these estimates reflect management’s best judgment about current economic and market conditions and their effects based on information available as of the date of these consolidated financial statements. If such conditions change, it is reasonably possible that the judgments and estimates could change, which may result in future impairments of goodwill and intangible assets, and allowance for credit losses, among other effects.

Basis of Presentation

The consolidated financial statements include the accounts of the Company and all of its wholly-owned and controlled subsidiaries. All significant intercompany transactions, balances, and profits (losses) have been eliminated in consolidation.

The consolidated financial statements have been prepared in accordance with GAAP. The Company consolidates all entities it controls through a majority voting interest, a controlling interest through other contractual rights, or as being identified as the primary beneficiary of variable interest entities, or VIEs. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance, and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding is recorded as non-controlling interest.

Cash, Cash Equivalents, and Restricted Cash

The Company considers all highly liquid instruments with an original purchased maturity of three months or less, federal funds sold, interest-bearing deposits in other banks, and money market mutual funds to be cash equivalents. A non-interest-bearing compensating balance of $0.9 million and $0.7 million as of September 30, 2026 and December 31, 2025 was maintained at a correspondent bank and considered to be cash equivalents. Cash balances are generally held in accounts at large national or regional banking organizations in amounts that exceed the federally insured limits. Cash also included $0.3 million and $0.8 million of interest-bearing funds deposited in other banks with original terms of 5 to 6 years that cannot be withdrawn but are salable on an active secondary market, without penalty, as of September 30, 2026 and December 31, 2025. As of September 30, 2026, the Company held $0.6 million in a money market account in connection with a letter of credit. Certain of the Company's borrowings require that the Company and its subsidiaries maintain cash at specific levels pursuant to covenants in applicable debt agreements. The Company was compliant with these covenants as of September 30, 2026.

Fair Value of Assets and Liabilities

The Company follows the Financial Accounting Standards Board, or FASB, FASB Accounting Standards Codification, or ASC, Topic 820, Fair Value Measurements and Disclosures, or FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. FASB ASC 820 defines fair value as an exit price (i.e., a price that would be received to sell, as opposed to acquire, an asset or transfer a liability), and emphasizes that fair value is a market-based measurement. It establishes a fair value hierarchy that distinguishes between assumptions developed based on market data obtained from independent external sources and the reporting entity’s own assumptions. Further, it specifies that fair value measurement should consider adjustment for risk, such as the risk inherent in the valuation technique or its inputs. See also Notes 12 and 13 to the consolidated financial statements.

Equity Investments

The Company follows FASB ASC Topic 321, Investments – Equity Securities, or ASC 321, which requires all applicable investments in equity securities with a readily determinable fair value to be valued as such, and those without a readily determinable fair value, are measured at cost, less any impairment plus or minus any observable price changes. Equity investments were $8.2 million and $8.1 million as of September 30, 2026 and December 31, 2025, which were comprised mainly of nonmarketable stock and stock warrants, are recorded at cost less any impairment plus or minus observable price changes. Substantially all of these equity investments are held by Medallion Capital, our SBIC subsidiary, in connection with its mezzanine lending business. As of September 30, 2026, cumulative impairment of $5.9 million had been recorded with respect to these investments. During the three months ended September 30, 2026, the Company recognized net losses of $0.2 million, inclusive of $0.4 million of realized net gains, and net gains of $0.3 million during the nine months ended September 30, 2026 on equity investments, inclusive of $0.5 million of net realized gains.

During 2021, the Company purchased $2.0 million of equity securities with a readily determinable fair value. As a result, all unrealized gains and losses are included in gain (loss) on equity investments. The fair value of these securities were $1.7 million and $1.8 million as of September 30, 2026 and December 31, 2025 and are included in other assets on the consolidated balance sheets. With respect to these equity securities, the Company recognized $0.1 million of losses for the three and nine months ended September 30, 2026 and less than $0.1 million of losses during the three months ended September 30, 2025 and less than $0.1 million of gains during the nine months ended September 30, 2025.

Investment Securities

The Company follows FASB ASC Topic 320, Investments – Debt Securities, or ASC 320, which requires that all applicable investments in debt securities be classified as trading securities, available-for-sale securities, or held-to-maturity securities. Investment securities are purchased from time-to-time in the open market at prices that are greater or lesser than the par value of the investment. The resulting premium or discount is deferred and recognized using the interest method. ASC 320 further requires that held-to-maturity securities be reported at amortized cost and available-for-sale securities be reported at fair value, with unrealized gains and losses excluded from earnings at the date of the consolidated financial statements, and reported in accumulated other comprehensive income (loss) as a separate component of stockholders’ equity, net of the effect of income taxes, until they are sold. At the time of sale, any gains or losses, calculated by the specific identification method, will be recognized as a component of operating results and any amounts previously included in stockholders’ equity, which were recorded net of the income tax effect, will be reversed. In accordance with ASC 326, the Company does not maintain an allowance for credit losses for accrued interest receivable.

For available-for-sale debt securities in an unrealized loss position, the Company first determines if it intends to sell the security, or if it is more likely than not that the Company will be required to sell it before recovering its amortized cost basis. If either condition is met, the security’s amortized cost basis is written down to its fair value through earnings. If neither condition is met, the Company assesses whether the decline in fair value is the result of credit losses or other factors. This assessment includes reviewing changes in the rating of the security by a rating agency, increases in defaults on the underlying collateral, and the extent to which the securities are issued by the federal government or its agencies, including the amount of the guarantee issued by those agencies, among other factors. If a credit loss exists, the Company compares the present value of expected cash flows from the security to its amortized cost basis. If the present value is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded through earnings, but limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment not recorded through an allowance for credit losses is recognized in other comprehensive income (loss), net of taxes.

Changes in the allowance for credit losses are recorded as a provision for, or reversal of, credit loss expense. Losses are charged against the allowance when management confirms the uncollectibility of an available-for-sale debt security or when either of the criteria regarding intent or requirement to sell is met. There were no investment securities allowance for credit losses as of September 30, 2026 and December 31, 2025.

Loans

The Company’s loans, classified as held for investment, are currently reported at amortized cost, which is the principal amount outstanding, inclusive of loan origination costs, which primarily includes deferred costs paid to loan originators, and which are amortized to interest income over the life of the loan.

Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment to the yield of the related loans. As of September 30, 2026 and December 31, 2025, net loan origination costs included in loans were $65.7 million and $52.0 million. Net amortization reducing interest income was $3.7 million and $10.3 million for the three and nine months ended September 30, 2026 and was $2.7 million and $7.6 million for the three and nine months ended September 30, 2025.

Interest income is recorded on the accrual basis. The consumer loan portfolio is typified by a large number of smaller dollar loans that have similar characteristics. When, based on current information and events, it is unlikely the Company will be able to collect all amounts due according to the contractual terms of the original loan agreement, a loan is considered nonperforming. Loans are considered past due when a borrower fails to make a full payment by the payment due date or maturity date. Consumer loans are placed on nonaccrual when they become 90 days past due, and are charged off in their entirety when deemed uncollectible, if they enter bankruptcy, or when they become 120 days past due, whichever occurs first. The Company takes appropriate recovery efforts against both the borrower and the underlying collateral are initiated for nonaccrual loans. For the recreation loan portfolio, the process to repossess the collateral is generally started at 60 days past due. If the collateral is not located and the account reaches 120 days delinquent, the account is charged off. If the collateral is repossessed, a loss is recorded by writing the collateral down to its fair value less selling costs, and the collateral is sent to auction. When the collateral is sold, the net auction proceeds are applied to the account, and any remaining balance is written off. Proceeds collected on charged-off accounts are recorded as recoveries. Commercial loans and taxi medallion loans are placed on nonaccrual status, and all uncollected accrued interest is reversed, when there is doubt as to the collectibility of interest or principal, or if loans are 90 days or more past due, unless management has determined that they are both well-secured and in the process of collection. Interest income on nonaccrual loans is generally recognized when cash is received, unless a determination has been made to apply all cash receipts to principal.

The Company may modify the contractual cash flow of loans in situations where borrowers are experiencing financial difficulties. The Company strives to identify borrowers in financial difficulty early and work with them to modify their loans to more affordable terms before they reach nonaccrual status. These modified terms may include interest rate reductions, principal forgiveness, term extensions, payment forbearance and other actions intended to minimize the economic loss to the Company and to avoid foreclosure or repossession of the collateral. For modifications where the Company forgives principal, the entire amount of such principal forgiveness is immediately charged off.

Loan collateral in process of foreclosure includes consumer repossessed collateral in the process of being sold in addition to taxi medallion loans that have reached 120 days past due and have been charged down to the net realizable value of the underlying collateral. For New York City taxi medallion loans in the process of foreclosure, the Company continued to utilize a maximum net value of $79,500 when assessing net realizable value for these taxi medallion loans, despite fluctuating current transfer prices which may exceed that level from time to time. The "loan collateral in the process of foreclosure" designation reflects that the collection activities on these loans have transitioned from working with the borrower to the liquidation of the collateral securing the loans.

Loans Held for Sale

Loans held for sale consist of consumer loans, including loans originated through strategic partnerships, that are intended to be sold. Loans held for sale are recorded at the lower of amortized cost or fair value. Changes in fair value are recognized in non-interest income. For loans transferred into the held for sale classification from the held for investment classification, any allowance for credit losses previously recorded is reversed at the transfer date, and the loans are transferred at their amortized cost basis (which is reduced by any previous charge-offs, but excludes any allowance for credit losses).

All recreation and home improvement loans are made with the intent to hold for investment. From time to time, the Company may consider selling a group of its recreation and home improvement loans. Recreation and home improvement loans are transferred to the held for sale portfolio when the Company has entered into a commitment to sell a specific portion of its held for investment portfolio or when the Bank has a formal marketing strategy to sell a group of loans. During the three and nine months ended September 30, 2026, the Company did not recognize any fair value adjustments related to loans held for sale.

Allowance for Credit Losses

The Company follows Accounting Standards Update, or ASU, 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", or ASC 326, which requires recognition of lifetime expected losses using "reasonable and supportable" expectations about the future, referred to as the current expected credit loss, or CECL, methodology. For consumer loans, the Company uses historical delinquent loan performance, qualitative adjustments, and actual loss rates modified by quantitative adjustments based on macroeconomic factors over a twelve-month reasonable and supportable forecast period followed by a six month reversion period. For commercial loans, the Company assesses the historical impact that macroeconomic indicators have had on the loan portfolio, to determine an approximate allowance for credit loss. Unlike consumer loans, where loans may have similar performing characteristics, each commercial loan is unique. The Company evaluates each commercial loan for specific impairment with additional allowance for credit losses recognized as necessary. For taxi medallion loans, the Company individually evaluates each loan and establishes a reserve based on fair value of collateral less cost to sell.

The allowance is evaluated on a quarterly basis by management based on the collectibility of the loans in light of historical experience, the nature and size of the loan portfolio, adverse situations that may affect the borrowers' ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. This evaluation is inherently subjective, as it requires estimates, including those based on changes in economic conditions, that are susceptible to significant revision as more information becomes available. Credit losses are deducted from the allowance, and subsequent recoveries are added back to the allowance. The Company has elected to exclude accrued interest from its measurement of the allowance for credit losses.

Goodwill and Intangible Assets

Goodwill assets arose as a result of the excess of fair value over book value for several of our previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company's requirement to consolidate these previously unconsolidated subsidiaries and was subject to a purchase price accounting allocation process conducted by an independent third-party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to quarterly review by management to determine whether additional impairment testing is needed, and such testing is performed at least on an annual basis.

Other intangible assets with finite useful lives are amortized either on an accelerated or straight-line basis over their estimated useful lives. Other intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

As of September 30, 2026 and December 31, 2025, the Company had goodwill of $150.8 million, all of which related to the recreation and home improvement lending segments. As of September 30, 2026 and December 31, 2025, the Company had intangible assets of $16.6 million and $17.7 million. The Company recognized $0.4 million and $1.1 million of amortization expense on the intangible assets for the three and nine months ended September 30, 2026 and 2025.

Management engaged an independent third-party expert to perform a quantitative assessment of goodwill for impairment at October 1, 2025. The third-party expert, as of the most recent goodwill impairment testing date, determined that a fair value premium existed in excess of the carrying value of the recreation and home improvement lending segments. During the three and nine months ended September 30, 2026, the Company did not identify any triggering events that would require re-evaluation of goodwill impairment in either segment.

The table below presents the intangible assets as of the dates presented:

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Brand-related intellectual property

 

$

12,650

 

 

$

13,475

 

Home improvement contractor relationships

 

 

3,967

 

 

 

4,226

 

Total intangible assets

 

$

16,617

 

 

$

17,701

 

 

Fixed Assets

Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $0.7 million and $1.9 million for the three and nine months ended September 30, 2026 and $0.6 million and $1.9 million for the three and nine months ended September 30, 2025.

Deferred Costs

Deferred financing costs represent costs associated with obtaining the Company’s borrowing facilities, and are amortized on a straight line basis over the lives of the related financing agreements and life of the respective pool. Amortization expense, included as interest expense in the Consolidated Statements of Operations, was $1.4 million and $3.6 million for the three and nine months ended September 30, 2026 and was $1.1 million and $3.3 million for the three and nine months ended September 30, 2025. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amount of deferred financing costs on the Company’s balance sheet related to deposits and borrowing facilities was $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025, and there were no capitalized transaction costs as of September 30, 2026 and December 31, 2025.

Income Taxes

Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes, or ASC 740. Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at the enacted tax rates expected to apply in the year when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining the Company’s valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense.

Earnings Per Share (EPS)

Basic earnings per share are computed by dividing net income resulting from operations available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after considering the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below presents the calculation of basic and diluted EPS.

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands, except share and per share data)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Net income attributable to Medallion Financial Corp.

 

$

2,397

 

 

$

7,763

 

 

$

14,795

 

 

$

30,846

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,686,300

 

 

 

22,854,836

 

 

 

23,010,224

 

 

 

22,737,572

 

Effect of performance stock unit grants

 

 

325,130

 

 

 

846,953

 

 

 

409,435

 

 

 

677,325

 

Effect of restricted stock grants

 

 

316,923

 

 

 

435,236

 

 

 

369,388

 

 

 

457,726

 

Effect of dilutive stock options

 

 

318,918

 

 

 

300,108

 

 

 

278,376

 

 

 

259,217

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

 

23,647,271

 

 

 

24,437,133

 

 

 

24,067,423

 

 

 

24,131,840

 

Basic earnings per share

 

$

0.11

 

 

$

0.34

 

 

$

0.64

 

 

$

1.36

 

Diluted earnings per share

 

 

0.10

 

 

 

0.32

 

 

 

0.61

 

 

 

1.28

 

Potentially dilutive common shares excluded from the above calculations were 0 shares as of September 30, 2026 and 2025.

Stock Compensation

The Company follows FASB ASC Topic 718, or ASC 718, Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options are reflected in net income resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock and performance stock units, or PSUs, are reflected in net income resulting from operations for any new grants using the grant date fair value of the shares and units granted, expensed over the vesting period of the underlying stock.

Regulatory Capital

The Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the bank regulators about components, risk weightings, and other factors.

FDIC-insured banks, including the Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, the Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions with, such as certain purchases of assets, the Company or its affiliates.

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (presented in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, a level which could affect the Bank's ability to pay dividends to the Company, and that an adequate allowance for credit losses be maintained. As of September 30, 2026 and December 31, 2025, the Bank’s Tier 1 leverage ratio was considered well-capitalized. The Bank had excess Tier 1 leverage capital of $69.6 million over the 15% minimum required, which was $438.5 million based on our total assets as of September 30, 2026. The Bank’s capital amounts and ratios and the regulatory minimum ratios are presented in the following table.

 

Regulatory

 

 

 

 

 

 

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-
Capitalized

 

 

September 30, 2026

 

 

December 31, 2025

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,787

 

 

$

356,038

 

Tier 1 capital

 

 

 

 

 

 

 

 

508,128

 

 

 

455,467

 

Total capital

 

 

 

 

 

 

 

 

544,737

 

 

 

487,292

 

Average assets

 

 

 

 

 

 

 

 

2,923,658

 

 

 

2,558,754

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,842,577

 

 

 

2,472,328

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.4

%

 

 

17.8

%

Common equity tier 1 capital ratio (2)

 

 

7.0

 

 

 

6.5

 

 

 

12.6

 

 

 

14.4

 

Tier 1 capital ratio (3)

 

 

8.5

 

 

 

8.0

 

 

 

17.9

 

 

 

18.4

 

Total capital ratio (3)

 

 

10.5

 

 

 

10.0

 

 

 

19.2

 

 

 

19.7

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.

In the above table, the minimum risk-based ratios as of September 30, 2026 and December 31, 2025 reflect the capital conservation buffer of 2.5%. The minimum regulatory requirements, inclusive of the capital conservation buffer, were the binding requirements for the risk-based requirements, and the “well-capitalized” requirements were the binding requirements for Tier 1 leverage capital as of both September 30, 2026 and December 31, 2025.

Recently Issued Accounting Standards

In November 2024, the FASB issued ASU 2024-03, Income Statement, Reporting Comprehensive Income - Expense Disaggregation of Income Statement Expenses. This update requires additional disaggregation of specific types of expenses within the notes to consolidated financial statements on an annual and interim basis. In January 2025, the FASB issued ASU 2025-01 to clarify that all public business entities are required to adopt ASU 2024-03 for annual periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company is assessing the impact of the update on the accompanying financial statements.

Reclassifications

Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations.
v3.26.3
Investment Securities
 9 Months Ended
Sep. 30, 2026
Schedule of Investments [Abstract]  
Investment Securities

(3) INVESTMENT SECURITIES

The following tables present details of fixed maturity securities available for sale as of September 30, 2026 and December 31, 2025.

September 30, 2026
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities, principally obligations of U.S. federal agencies

 

$

47,451

 

 

$

12

 

 

$

(5,130

)

 

$

42,333

 

State and municipalities

 

 

23,543

 

 

 

—

 

 

 

(2,143

)

 

 

21,400

 

Agency bonds

 

 

133

 

 

 

—

 

 

 

(13

)

 

 

120

 

Total

 

$

71,127

 

 

$

12

 

 

$

(7,286

)

 

$

63,853

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities, principally obligations of U.S. federal agencies

 

$

45,392

 

 

$

160

 

 

$

(3,381

)

 

$

42,171

 

State and municipalities

 

 

19,117

 

 

 

14

 

 

 

(1,251

)

 

 

17,880

 

Agency bonds

 

 

139

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

64,648

 

 

$

174

 

 

$

(4,639

)

 

$

60,183

 

The amortized cost and estimated fair market value of investment securities at September 30, 2026 by contractual maturity are presented below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage‑backed securities are included in the table based on their contractual maturities and are reflected in each category below.

September 30, 2026
(Dollars in thousands)

 

Amortized
Cost

 

 

Fair
Value

 

Due in one year or less

 

$

338

 

 

$

345

 

Due after one year through five years

 

 

10,423

 

 

 

9,658

 

Due after five years through ten years

 

 

9,189

 

 

 

8,604

 

Due after ten years

 

 

51,177

 

 

 

45,246

 

Total

 

$

71,127

 

 

$

63,853

 

The following tables present information pertaining to securities with gross unrealized losses as of September 30, 2026 and December 31, 2025, aggregated by investment category and length of time that individual securities have been in a continuous loss position.

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

September 30, 2026
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(839

)

 

$

16,226

 

 

$

(4,291

)

 

$

25,334

 

State and municipalities

 

 

(332

)

 

 

8,411

 

 

 

(1,811

)

 

 

12,989

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(13

)

 

 

120

 

Total

 

$

(1,171

)

 

$

24,637

 

 

$

(6,115

)

 

$

38,443

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2025
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(13

)

 

$

3,420

 

 

$

(3,368

)

 

$

26,541

 

State and municipalities

 

 

(3

)

 

 

22

 

 

 

(1,248

)

 

 

14,840

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

(16

)

 

$

3,442

 

 

$

(4,623

)

 

$

41,513

 

 

As of September 30, 2026 and December 31, 2025, the Company had 59 and 52 securities with unrealized losses that had not been recognized in income. The investments are mortgage-backed securities and similar instruments with conservative risk characteristics, all of which are directly or indirectly guaranteed by the U.S. Government. The municipal bond portfolio consists of bonds purchased from the Utah Housing Corporation, which primarily acquires FHA‑insured loans within the state of Utah. The Company regularly reviews investment securities for impairment resulting from credit loss using both qualitative and quantitative criteria, as necessary based on the composition of the portfolio at period end. Based on the Company's assessment, no material impairments for credit losses were recognized during the period. The Company does not intend to sell its investment securities that are in an unrealized loss position and believes that it is unlikely that it will be required to sell these securities before recovery of the amortized cost. As of September 30, 2026 and December 31, 2025, the Company did not hold investments in any single issuer with an aggregate book value that exceeded 10% of the Company's equity, other than U.S. Government agency residential mortgage-backed securities issued by the Federal National Mortgage Association.

v3.26.3
Loans and Allowance for Credit Losses
 9 Months Ended
Sep. 30, 2026
Text Block [Abstract]  
Loans and Allowance for Credit Losses

(4) LOANS AND ALLOWANCE FOR CREDIT LOSSES

The following table presents the major classification of loans, inclusive of capitalized loan origination costs, as of September 30, 2026 and December 31, 2025.

 

 

September 30, 2026

 

 

December 31, 2025

 

(Dollars in thousands)

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

$

1,852,958

 

 

 

63

%

 

$

1,617,221

 

 

 

63

%

Home improvement

 

 

947,503

 

 

 

32

 

 

 

810,237

 

 

 

32

 

Commercial

 

 

118,691

 

 

 

4

 

 

 

123,068

 

 

 

5

 

Taxi medallion

 

 

1,209

 

 

*

 

 

 

1,179

 

 

*

 

Total loans

 

 

2,920,361

 

 

 

99

 

 

 

2,551,705

 

 

 

99

 

Loans held for sale, at lower of amortized cost or fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Strategic partnership

 

 

15,233

 

 

*

 

 

 

15,144

 

 

*

 

Total loans held for sale, at lower of amortized cost or fair value

 

 

15,233

 

 

*

 

 

 

15,144

 

 

*

 

Total loans and loans held for sale

 

$

2,935,594

 

 

 

100

%

 

$

2,566,849

 

 

 

100

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.

The following tables present the activity of the gross loans and loans held for sale for the three and nine months ended September 30, 2026.

Three Months Ended September 30, 2026
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – June 30, 2026

 

$

1,760,297

 

 

$

885,599

 

 

$

126,177

 

 

$

1,293

 

 

$

21,376

 

 

$

2,794,742

 

Loan originations

 

 

198,204

 

 

 

146,269

 

 

 

—

 

 

 

—

 

 

 

259,414

 

 

 

603,887

 

Principal receipts, sales, and maturities

 

 

(85,162

)

 

 

(81,950

)

 

 

(7,754

)

 

 

(37

)

 

 

(265,557

)

 

 

(440,460

)

Charge-offs

 

 

(21,212

)

 

 

(4,581

)

 

 

—

 

 

 

(13

)

 

 

—

 

 

 

(25,806

)

Transfer to loan collateral in process of foreclosure, net

 

 

(3,025

)

 

 

—

 

 

 

—

 

 

 

(34

)

 

 

—

 

 

 

(3,059

)

Amortization of origination fees and costs, net

 

 

(4,126

)

 

 

428

 

 

 

14

 

 

 

—

 

 

 

—

 

 

 

(3,684

)

Origination fees and costs, net

 

 

7,982

 

 

 

1,738

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,720

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

254

 

 

 

—

 

 

 

—

 

 

 

254

 

Gross loans – September 30, 2026

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

 

Nine Months Ended September 30, 2026
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2025

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

Loan originations

 

 

569,221

 

 

 

339,311

 

 

 

7,134

 

 

 

266

 

 

 

676,496

 

 

 

1,592,428

 

Principal receipts, sales, and maturities

 

 

(271,356

)

 

 

(193,614

)

 

 

(12,172

)

 

 

(151

)

 

 

(676,407

)

 

 

(1,153,700

)

Charge-offs

 

 

(62,208

)

 

 

(13,097

)

 

 

(74

)

 

 

(51

)

 

 

—

 

 

 

(75,430

)

Transfer to loan collateral in process of foreclosure, net

 

 

(9,061

)

 

 

—

 

 

 

—

 

 

 

(34

)

 

 

—

 

 

 

(9,095

)

Amortization of origination fees and costs, net

 

 

(12,061

)

 

 

1,679

 

 

 

34

 

 

 

—

 

 

 

—

 

 

 

(10,348

)

Origination fees and costs, net

 

 

21,202

 

 

 

2,987

 

 

 

(143

)

 

 

—

 

 

 

—

 

 

 

24,046

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

844

 

 

 

—

 

 

 

—

 

 

 

844

 

Gross loans – September 30, 2026

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

 

The following tables present the activity of the gross loans and loans held for sale for the three and nine months ended September 30, 2025.

Three Months Ended September 30, 2025
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – June 30, 2025

 

$

1,546,252

 

 

$

803,535

 

 

$

121,415

 

 

$

1,564

 

 

$

12,285

 

 

$

2,485,051

 

Loan originations

 

 

141,667

 

 

 

59,711

 

 

 

17,500

 

 

 

125

 

 

 

208,352

 

 

 

427,355

 

Principal receipts, sales, and maturities

 

 

(68,918

)

 

 

(55,762

)

 

 

(3,009

)

 

 

(180

)

 

 

(205,360

)

 

 

(333,229

)

Charge-offs

 

 

(16,844

)

 

 

(3,840

)

 

 

(1,103

)

 

 

—

 

 

 

—

 

 

 

(21,787

)

Transfer to loan collateral in process of foreclosure, net

 

 

(2,508

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(2,508

)

Amortization of origination fees and costs, net

 

 

(3,768

)

 

 

1,040

 

 

 

3

 

 

 

—

 

 

 

—

 

 

 

(2,725

)

Origination fees and costs, net

 

 

7,288

 

 

 

(681

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,607

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

317

 

 

 

—

 

 

 

—

 

 

 

317

 

Gross loans – September 30, 2025

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 
(1)
Includes loans held for sale and loans held for investment.

Nine Months Ended September 30, 2025
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Loan originations

 

 

371,289

 

 

 

162,760

 

 

 

36,575

 

 

 

197

 

 

 

513,229

 

 

 

1,084,050

 

Principal receipts, sales, and maturities

 

 

(253,630

)

 

 

(173,753

)

 

 

(12,320

)

 

 

(582

)

 

 

(505,338

)

 

 

(945,623

)

Charge-offs

 

 

(53,391

)

 

 

(13,018

)

 

 

(1,233

)

 

 

(15

)

 

 

—

 

 

 

(67,657

)

Transfer to loan collateral in process of foreclosure, net

 

 

(8,353

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(8,353

)

Amortization of origination fees and costs, net

 

 

(10,995

)

 

 

3,329

 

 

 

26

 

 

 

—

 

 

 

—

 

 

 

(7,640

)

Origination fees and costs, net

 

 

15,006

 

 

 

(2,526

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12,480

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

802

 

 

 

—

 

 

 

—

 

 

 

802

 

Gross loans – September 30, 2025

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 
(1)
Includes loans held for sale and loans held for investment.

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30, 2026.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2025

 

$

85,956

 

 

$

19,563

 

 

$

9,052

 

 

$

218

 

 

$

114,789

 

Charge-offs

 

 

(22,491

)

 

 

(4,351

)

 

 

—

 

 

 

(38

)

 

 

(26,880

)

Recoveries

 

 

4,820

 

 

 

1,465

 

 

 

5

 

 

 

21

 

 

 

6,311

 

Provision (benefit) for credit losses

 

 

18,445

 

 

 

3,618

 

 

 

459

 

 

 

(46

)

 

 

22,476

 

Balance at March 31, 2026

 

 

86,730

 

 

 

20,295

 

 

 

9,516

 

 

 

155

 

 

 

116,696

 

Charge-offs

 

 

(18,505

)

 

 

(4,165

)

 

 

(74

)

 

 

—

 

 

 

(22,744

)

Recoveries

 

 

5,158

 

 

 

1,276

 

 

 

—

 

 

 

42

 

 

 

6,476

 

Provision (benefit) for credit losses

 

 

17,501

 

 

 

4,066

 

 

 

774

 

 

 

(68

)

 

 

22,273

 

Balance at June 30, 2026

 

 

90,884

 

 

 

21,472

 

 

 

10,216

 

 

 

129

 

 

 

122,701

 

Charge-offs

 

 

(21,212

)

 

 

(4,581

)

 

 

—

 

 

 

(13

)

 

 

(25,806

)

Recoveries

 

 

4,954

 

 

 

1,283

 

 

 

5

 

 

 

(11

)

 

 

6,231

 

Provision (benefit) for credit losses

 

 

23,515

 

 

 

6,320

 

 

 

972

 

 

 

(38

)

 

 

30,769

 

Balance at September 30, 2026

 

$

98,141

 

 

$

24,494

 

 

$

11,193

 

 

$

67

 

 

$

133,895

 
(1)
As of September 30, 2026, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $161.7 million, including $98.1 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30, 2025.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2024

 

$

71,102

 

 

$

20,536

 

 

$

5,190

 

 

$

540

 

 

$

97,368

 

Charge-offs

 

 

(20,274

)

 

 

(4,227

)

 

 

(130

)

 

 

(15

)

 

 

(24,646

)

Recoveries

 

 

3,860

 

 

 

1,095

 

 

 

—

 

 

 

675

 

 

 

5,630

 

Provision (benefit) for credit losses

 

 

16,870

 

 

 

2,845

 

 

 

3,114

 

 

 

(815

)

 

 

22,014

 

Balance at March 31, 2025

 

 

71,558

 

 

 

20,249

 

 

 

8,174

 

 

 

385

 

 

 

100,366

 

Charge-offs

 

 

(16,273

)

 

 

(4,951

)

 

 

—

 

 

 

—

 

 

 

(21,224

)

Recoveries

 

 

4,419

 

 

 

1,190

 

 

 

10

 

 

 

573

 

 

 

6,192

 

Provision (benefit) for credit losses

 

 

15,336

 

 

 

3,934

 

 

 

2,912

 

 

 

(620

)

 

 

21,562

 

Balance at June 30, 2025

 

 

75,040

 

 

 

20,422

 

 

 

11,096

 

 

 

338

 

 

 

106,896

 

Charge-offs

 

 

(16,844

)

 

 

(3,840

)

 

 

(1,103

)

 

 

—

 

 

 

(21,787

)

Recoveries

 

 

3,965

 

 

 

1,758

 

 

 

(10

)

 

 

1,675

 

 

 

7,388

 

Provision (benefit) for credit losses

 

 

16,708

 

 

 

2,125

 

 

 

1,414

 

 

 

(1,691

)

 

 

18,556

 

Balance at September 30, 2025

 

$

78,869

 

 

$

20,465

 

 

$

11,397

 

 

$

322

 

 

$

111,053

 
(1)
As of September 30, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $172.6 million, including $107.5 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.

The following tables present the gross charge-offs for the three and nine months ended September 30, 2026, by the year of origination.

Three Months Ended September 30, 2026
(Dollars in thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Total

 

Recreation

 

$

1,089

 

 

$

4,960

 

 

$

4,705

 

 

$

3,651

 

 

$

3,249

 

 

$

3,558

 

 

$

21,212

 

Home improvement

 

 

219

 

 

 

995

 

 

 

693

 

 

 

1,161

 

 

 

997

 

 

 

516

 

 

 

4,581

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

13

 

 

 

13

 

Total

 

$

1,308

 

 

$

5,955

 

 

$

5,398

 

 

$

4,812

 

 

$

4,246

 

 

$

4,087

 

 

$

25,806

 

 

Nine Months Ended September 30, 2026
(Dollars in thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Total

 

Recreation

 

$

1,201

 

 

$

12,215

 

 

$

14,194

 

 

$

11,803

 

 

$

10,408

 

 

$

12,387

 

 

$

62,208

 

Home improvement

 

 

316

 

 

 

1,794

 

 

 

2,417

 

 

 

3,754

 

 

 

2,788

 

 

 

2,028

 

 

 

13,097

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

74

 

 

 

74

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

51

 

 

 

51

 

Total

 

$

1,517

 

 

$

14,009

 

 

$

16,611

 

 

$

15,557

 

 

$

13,196

 

 

$

14,540

 

 

$

75,430

 

The following tables present the gross charge-offs for the three and nine months ended September 30, 2025, by the year of origination.

Three Months Ended September 30, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

774

 

 

$

3,803

 

 

$

4,041

 

 

$

4,136

 

 

$

1,975

 

 

$

2,115

 

 

$

16,844

 

Home improvement

 

 

26

 

 

 

957

 

 

 

929

 

 

 

1,109

 

 

 

358

 

 

 

461

 

 

 

3,840

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,103

 

 

 

1,103

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

800

 

 

$

4,760

 

 

$

4,970

 

 

$

5,245

 

 

$

2,333

 

 

$

3,679

 

 

$

21,787

 

 

Nine Months Ended September 30, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

785

 

 

$

10,343

 

 

$

11,665

 

 

$

13,081

 

 

$

6,014

 

 

$

11,503

 

 

$

53,391

 

Home improvement

 

 

26

 

 

 

2,905

 

 

 

4,135

 

 

 

3,303

 

 

 

1,429

 

 

 

1,220

 

 

 

13,018

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

130

 

 

 

—

 

 

 

1,103

 

 

 

1,233

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

15

 

Total

 

$

811

 

 

$

13,248

 

 

$

15,800

 

 

$

16,514

 

 

$

7,443

 

 

$

13,841

 

 

$

67,657

 

 

The following table presents the allowance for credit losses by type as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

98,141

 

 

 

73

%

 

 

5.30

%

Home improvement

 

 

24,494

 

 

 

18

 

 

 

2.59

 

Commercial

 

 

11,193

 

 

 

8

 

 

 

9.43

 

Taxi medallion

 

 

67

 

 

*

 

 

 

5.54

 

Total (1)

 

$

133,895

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of September 30, 2026, total allowance for credit losses as a percent of nonaccrual loans was 279%.

(*) Less than 0.1%.

The following table presents the allowance for credit losses by type as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

85,956

 

 

 

75

%

 

 

5.32

%

Home improvement

 

 

19,563

 

 

 

17

 

 

 

2.41

 

Commercial

 

 

9,052

 

 

 

8

 

 

 

7.36

 

Taxi medallion

 

 

218

 

 

*

 

 

 

18.49

 

Total (1)

 

$

114,789

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2025, total allowance for credit losses as a percent of nonaccrual loans was 281%.

(*) Less than 0.1%.

The following table presents the performance status of loans as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,839,945

 

 

$

13,013

 

 

$

1,852,958

 

 

 

0.70

%

Home improvement

 

 

945,761

 

 

 

1,742

 

 

 

947,503

 

 

 

0.18

 

Commercial

 

 

86,582

 

 

 

32,109

 

 

 

118,691

 

 

 

27.05

 

Taxi medallion

 

 

—

 

 

 

1,209

 

 

 

1,209

 

 

 

100.00

 

Strategic partnership

 

 

15,233

 

 

 

—

 

 

 

15,233

 

 

 

—

 

Total

 

$

2,887,521

 

 

$

48,073

 

 

$

2,935,594

 

 

 

1.64

%

The following table presents the performance status of loans as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,603,542

 

 

$

13,679

 

 

$

1,617,221

 

 

 

0.85

%

Home improvement

 

 

808,943

 

 

 

1,294

 

 

 

810,237

 

 

 

0.16

 

Commercial

 

 

98,380

 

 

 

24,688

 

 

 

123,068

 

 

 

20.06

 

Taxi medallion

 

 

—

 

 

 

1,179

 

 

 

1,179

 

 

 

100.00

 

Strategic partnership

 

 

15,144

 

 

 

—

 

 

 

15,144

 

 

 

—

 

Total

 

$

2,526,009

 

 

$

40,840

 

 

$

2,566,849

 

 

 

1.59

%

For those loans aged under 90 days past due, there is a possibility that their delinquency status will continue to deteriorate and they will subsequently be placed on nonaccrual status and be reserved for, and as a result, deemed nonperforming.

The following table presents the aging of loans as of September 30, 2026.

September 30, 2026

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

53,033

 

 

$

22,253

 

 

$

11,874

 

 

$

87,160

 

 

$

1,701,537

 

 

$

1,788,697

 

 

$

—

 

Home improvement

 

 

5,385

 

 

 

3,183

 

 

 

1,743

 

 

 

10,311

 

 

 

935,474

 

 

 

945,785

 

 

 

—

 

Commercial

 

 

5,811

 

 

 

—

 

 

 

15,897

 

 

 

21,708

 

 

 

97,239

 

 

 

118,947

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,209

 

 

 

1,209

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,233

 

 

 

15,233

 

 

 

—

 

Total

 

$

64,229

 

 

$

25,436

 

 

$

29,514

 

 

$

119,179

 

 

$

2,750,692

 

 

$

2,869,871

 

 

$

—

 
(1)
Excludes $65.7 million of capitalized loan origination costs and fees.

The following table presents the aging of loans as of December 31, 2025.

December 31, 2025

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

56,911

 

 

$

22,890

 

 

$

12,856

 

 

$

92,657

 

 

$

1,469,444

 

 

$

1,562,101

 

 

$

—

 

Home improvement

 

 

4,891

 

 

 

2,367

 

 

 

1,300

 

 

 

8,558

 

 

 

804,627

 

 

 

813,185

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

10,274

 

 

 

10,274

 

 

 

112,942

 

 

 

123,216

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

41

 

 

 

41

 

 

 

1,138

 

 

 

1,179

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,144

 

 

 

15,144

 

 

 

—

 

Total

 

$

61,802

 

 

$

25,257

 

 

$

24,471

 

 

$

111,530

 

 

$

2,403,295

 

 

$

2,514,825

 

 

$

—

 
(1)
Excludes $52.0 million of capitalized loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans as of September 30, 2026, by the year of origination:

(Dollars in thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

531,341

 

 

$

364,230

 

 

$

240,167

 

 

$

186,298

 

 

$

171,240

 

 

$

208,261

 

 

$

1,701,537

 

 30-59 Days

 

 

4,256

 

 

 

10,364

 

 

 

9,921

 

 

 

9,691

 

 

 

8,592

 

 

 

10,209

 

 

 

53,033

 

 60-89 Days

 

 

1,930

 

 

 

4,665

 

 

 

4,847

 

 

 

3,591

 

 

 

3,283

 

 

 

3,937

 

 

 

22,253

 

 90 + Days

 

 

956

 

 

 

2,561

 

 

 

2,322

 

 

 

2,014

 

 

 

1,962

 

 

 

2,059

 

 

 

11,874

 

 Total Recreation

 

$

538,483

 

 

$

381,820

 

 

$

257,257

 

 

$

201,594

 

 

$

185,077

 

 

$

224,466

 

 

$

1,788,697

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

316,172

 

 

$

145,586

 

 

$

131,006

 

 

$

106,805

 

 

$

126,836

 

 

$

109,069

 

 

$

935,474

 

 30-59 Days

 

 

677

 

 

 

651

 

 

 

751

 

 

 

1,387

 

 

 

1,208

 

 

 

711

 

 

 

5,385

 

 60-89 Days

 

 

433

 

 

 

532

 

 

 

630

 

 

 

594

 

 

 

640

 

 

 

354

 

 

 

3,183

 

 90 + Days

 

 

29

 

 

 

301

 

 

 

186

 

 

 

551

 

 

 

456

 

 

 

220

 

 

 

1,743

 

 Total Home improvement

 

$

317,311

 

 

$

147,070

 

 

$

132,573

 

 

$

109,337

 

 

$

129,140

 

 

$

110,354

 

 

$

945,785

 
(1)
Excludes $64.3 million and $1.7 million of capitalized net loan origination costs for recreation and home improvement loans.

The following table presents loan delinquency for recreation and home improvement loans as of December 31, 2025, by the year of origination:

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

423,427

 

 

$

335,079

 

 

$

237,917

 

 

$

209,204

 

 

$

132,704

 

 

$

131,113

 

 

$

1,469,444

 

 30-59 Days

 

 

8,210

 

 

 

12,763

 

 

 

11,042

 

 

 

10,623

 

 

 

6,061

 

 

 

8,212

 

 

 

56,911

 

 60-89 Days

 

 

2,374

 

 

 

5,414

 

 

 

4,918

 

 

 

4,872

 

 

 

2,581

 

 

 

2,731

 

 

 

22,890

 

 90 + Days

 

 

1,487

 

 

 

3,136

 

 

 

2,803

 

 

 

2,329

 

 

 

1,347

 

 

 

1,754

 

 

 

12,856

 

 Total Recreation

 

$

435,498

 

 

$

356,392

 

 

$

256,680

 

 

$

227,028

 

 

$

142,693

 

 

$

143,810

 

 

$

1,562,101

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

193,964

 

 

$

172,735

 

 

$

151,637

 

 

$

151,365

 

 

$

71,812

 

 

$

63,114

 

 

$

804,627

 

 30-59 Days

 

 

535

 

 

 

980

 

 

 

1,609

 

 

 

876

 

 

 

513

 

 

 

378

 

 

 

4,891

 

 60-89 Days

 

 

353

 

 

 

761

 

 

 

441

 

 

 

455

 

 

 

199

 

 

 

158

 

 

 

2,367

 

 90 + Days

 

 

—

 

 

 

410

 

 

 

417

 

 

 

331

 

 

 

42

 

 

 

100

 

 

 

1,300

 

 Total Home improvement

 

$

194,852

 

 

$

174,886

 

 

$

154,104

 

 

$

153,027

 

 

$

72,566

 

 

$

63,750

 

 

$

813,185

 
(1)
Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of net deferred home improvement loan origination fees.
v3.26.3
Funds Borrowed
 9 Months Ended
Sep. 30, 2026
Debt Disclosure [Abstract]  
Funds Borrowed

(5) FUNDS BORROWED

The following table presents outstanding balances of funds borrowed.

 

Payments Due for the Twelve Months Ending September 30,

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

2031

 

 

Thereafter

 

 

September 30, 2026 (1)

 

 

December 31, 2025 (1)

 

 

Interest
Rate (2)

 

Deposits (3)

 

$

928,317

 

 

$

566,803

 

 

$

421,940

 

 

$

258,312

 

 

$

209,291

 

 

$

—

 

 

$

2,384,663

 

 

$

2,083,335

 

 

 

3.98

%

Privately placed notes

 

 

—

 

 

 

92,750

 

 

 

—

 

 

 

—

 

 

 

75,000

 

 

 

22,500

 

 

 

190,250

 

 

 

146,500

 

 

 

8.31

 

SBA debentures and borrowings

 

 

2,000

 

 

 

1,250

 

 

 

1,250

 

 

 

3,000

 

 

 

8,500

 

 

 

55,000

 

 

 

71,000

 

 

 

85,000

 

 

 

4.15

 

Trust preferred securities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

33,000

 

 

 

33,000

 

 

 

33,000

 

 

 

6.23

 

Federal reserve and other borrowings

 

 

75,000

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

75,000

 

 

 

50,000

 

 

 

4.00

 

Strategic partner collateral deposits

 

 

7,125

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,125

 

 

 

6,081

 

 

 

3.64

 

Total

 

$

1,012,442

 

 

$

660,803

 

 

$

423,190

 

 

$

261,312

 

 

$

292,791

 

 

$

110,500

 

 

$

2,761,038

 

 

$

2,403,916

 

 

 

4.30

%
(1)
Excludes deferred financing costs of $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025.
(2)
Weighted average contractual rate as of September 30, 2026.
(3)
Balance includes $100.5 million and $3.7 million in retail savings deposit balances as of September 30, 2026 and December 31, 2025.

(A) DEPOSITS

Most deposits are raised through the use of investment brokerage firms that package time deposits in denominations of less than $250,000 qualifying for FDIC insurance into larger pools that are sold to the Bank. While brokered time deposits are sourced in amounts in excess of $250,000, all underlying deposits are in denominations of $250,000 or less. The rates paid on the deposits are highly competitive with market rates paid by other financial institutions. Additionally, a brokerage fee is paid, depending on the maturity of the deposits, the annual expense of which averages less than 0.15%. Interest on the deposits is accrued daily and paid monthly, quarterly, semiannually, or at maturity. Additionally, the Bank raises deposits through listing services and, as of September 30, 2026 and December 31, 2025, the Bank had $27.7 million and $17.2 million in listing service deposit balances from other financial institutions. As of September 30, 2026 and December 31, 2025, the Bank also had $100.5 million and $3.7 million in retail savings deposit balances. The following table presents the maturity of the deposit pools, which includes strategic partner reserve deposits, as of September 30, 2026.

(Dollars in thousands)

 

September 30, 2026

 

Three months or less

 

$

249,847

 

Over three months through six months

 

 

179,501

 

Over six months through one year

 

 

498,969

 

Over one year

 

 

1,456,346

 

Deposits

 

 

2,384,663

 

Strategic partner collateral deposits

 

 

7,125

 

Total deposits

 

$

2,391,788

 

(B) FEDERAL RESERVE DISCOUNT WINDOW AND OTHER BORROWINGS

As of September 30, 2026, the Bank had $2.6 billion of consumer loans pledged as collateral for a discount window line of credit established at the Federal Reserve. The current advance rate on the pledged loans is approximately 51% of book value, for a total of approximately $1.3 billion in secured borrowing capacity, of which $75.0 million was utilized as of September 30, 2026. The discount window facility is not committed, and any borrowings by the Bank from the discount window facility are at the discretion of the Federal Reserve. The weighted average interest rate on funds borrowed from the discount window was 4.00% as of September 30, 2026.

The Bank has borrowing arrangements with correspondent banks. These agreements are accommodations that can be terminated at any time, for any reason and allow the Bank to borrow up to $75 million. As of September 30, 2026, there was no outstanding amount with respect to these arrangements.

(C) PRIVATELY PLACED NOTES

The Company has entered into various private placements with certain institutional investors over time. The following table presents the private placement notes outstanding as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

September 30, 2026

 

 

December 31, 2025

 

December 2020

 

December 2027

 

 

7.500

%

 

Semi-annually

 

$

53,750

 

 

$

53,750

 

February 2021

 

February 2026

 

 

7.250

%

 

Semi-annually

 

 

—

 

 

 

31,250

 

September 2023

 

September 2028

 

 

9.250

%

 

Semi-annually

 

 

39,000

 

 

 

39,000

 

June 2024

 

June 2039

 

 

8.875

%

 

Semi-annually

 

 

17,500

 

 

 

17,500

 

August 2024

 

August 2039

 

 

8.625

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

April 2026

 

May 2031

 

 

8.250

%

 

Semi-annually

 

 

75,000

 

 

 

—

 

 

 

 

 

 

 

 

 

 

$

190,250

 

 

$

146,500

 

(D) SBA DEBENTURES AND BORROWINGS

Over the years, the SBA has approved commitments for Medallion Capital, typically for a four and a half year term and a 1% fee. On February 28, 2024, Medallion Capital accepted a commitment from the SBA for $18.5 million in debenture financing, all of which had been utilized during 2025. The Company does not currently have any commitments available from the SBA.

In 2025, the SBA informed Medallion Capital that it needs to have Medallion Capital’s management team reviewed through the SBA’s licensing division; until successful completion of that review, Medallion Capital was not deemed by the SBA to have a qualified management team. Medallion Capital submitted a management team for review through the SBA’s licensing division on March 31, 2026 and on the same day, the SBA notified Medallion Capital that it has declared an event of default with respect to outstanding debentures and directed Medallion Capital, within 120 days, to identify and submit at least one qualified candidate for consideration as a full-time principal and investment committee member of Medallion Capital. In April 2026, Medallion Capital submitted two candidates to the SBA for its consideration. On June 3, 2026, the SBA notified Medallion Capital that Medallion Capital’s submission of two candidates cures the previously disclosed event of default, subject to the satisfactory completion of the candidates’ background checks. On June 11, 2026, the SBA notified Medallion Capital that there was a satisfactory completion of such background checks, which cured the previously disclosed event of default with respect to its outstanding SBA debentures. The SBA’s notice and event of default did not trigger any cross-default clauses in any of the Company's debt arrangements. In subsequent discussions with the SBA, the SBA has indicated that Medallion Capital must supplement its submission for purposes of obtaining new and future commitments for debenture financing by identifying and submitting one additional qualified candidate for consideration. Medallion Capital is currently in the process of identifying such an additional qualified candidate for submission.

The following table presents the SBA debentures and borrowings as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

September 30, 2026

 

 

December 31, 2025

 

March 2016

 

March 2026

 

 

3.25

%

 

Semi-annually

 

$

—

 

 

$

1,500

 

March 2016

 

March 2026

 

 

3.18

%

 

Semi-annually

 

 

—

 

 

 

10,000

 

May 2016

 

September 2026

 

 

2.72

%

 

Semi-annually

 

 

—

 

 

 

2,500

 

March 2017

 

March 2027

 

 

3.52

%

 

Semi-annually

 

 

2,000

 

 

 

2,000

 

September 2018

 

September 2028

 

 

4.22

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

March 2019

 

March 2029

 

 

3.79

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

September 2020

 

September 2030

 

 

1.71

%

 

Semi-annually

 

 

3,000

 

 

 

3,000

 

June 2021

 

September 2031

 

 

1.58

%

 

Semi-annually

 

 

8,500

 

 

 

8,500

 

October 2021

 

March 2032

 

 

3.21

%

 

Semi-annually

 

 

7,000

 

 

 

7,000

 

October 2022

 

March 2033

 

 

5.44

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

April 2023

 

September 2033

 

 

5.96

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

September 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

November 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

March 2025

 

September 2035

 

 

4.58

%

 

Semi-annually

 

 

10,250

 

 

 

10,250

 

August 2025

 

September 2035

 

 

4.66

%

 

Semi-annually

 

 

18,500

 

 

 

18,500

 

 

 

 

 

 

 

 

 

 

$

71,000

 

 

$

85,000

 

(E) TRUST PREFERRED SECURITIES

In June 2007, the Company issued and sold $36.1 million aggregate principal amount of unsecured junior subordinated notes to Fin Trust which, in turn, sold $35.0 million of trust preferred securities to Merrill Lynch International and issued 1,083 shares of common stock to the Company. Interest is calculated using the Secured Overnight Financing Rate, or SOFR, adjusted by a relevant spread adjustment of approximately 26 basis points, plus 2.13%. The notes mature in September 2037 and are prepayable at par. Interest is payable quarterly in arrears. The terms of the trust preferred securities and the notes are substantially identical. In December 2007, $2.0 million of the trust preferred securities were repurchased from a third-party investor. As of September 30, 2026, $33.0 million was outstanding on the trust preferred securities. On October 21, 2026, the Company repurchased $15 million of the trust preferred securities for $11.2 million, inclusive of accrued distributions due as of that date.

(F) COVENANT COMPLIANCE

Certain of the Company's debt agreements contain financial covenants that require the Company to maintain certain financial ratios and minimum tangible net worth. As of September 30, 2026, the Company was in compliance with all such covenants.
v3.26.3
Leases
 9 Months Ended
Sep. 30, 2026
Leases [Abstract]  
Leases

(6) LEASES

The Company has leased premises that expire at various dates through June 30, 2037 subject to various operating leases.

The following table presents the operating lease costs and additional information for the three and nine months ended September 30, 2026 and 2025.

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Operating lease costs

 

$

804

 

 

$

588

 

 

$

1,196

 

 

$

1,764

 

Cash paid for amounts included in the measurement of lease liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Operating cash flows from operating leases

 

 

710

 

 

 

680

 

 

 

2,105

 

 

 

2,036

 

Right-of-use asset obtained in exchange for lease liability

 

 

318

 

 

 

(63

)

 

 

344

 

 

 

(189

)

The following table presents the breakout of the operating leases as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Operating lease right-of-use assets

 

$

12,757

 

 

$

6,896

 

Other current liabilities

 

 

1,159

 

 

 

2,205

 

Operating lease liabilities

 

 

11,409

 

 

 

5,041

 

Total operating lease liabilities

 

 

12,568

 

 

 

7,246

 

Weighted average remaining lease term

 

9.1 years

 

 

5.8 years

 

Weighted average discount rate

 

 

7.61

%

 

 

5.90

%

At September 30, 2026, maturities of the lease liabilities were as follows:

(Dollars in thousands)

 

 

 

Remainder of 2026

 

$

183

 

2027

 

 

1,350

 

2028

 

 

1,984

 

2029

 

 

2,005

 

2030

 

 

2,026

 

Thereafter

 

 

10,494

 

Total lease payments

 

 

18,042

 

Less imputed interest

 

 

5,474

 

Total operating lease liabilities

 

$

12,568

 
v3.26.3
Income Taxes
 9 Months Ended
Sep. 30, 2026
Income Tax Disclosure [Abstract]  
Income Taxes

(7) INCOME TAXES

The Company is subject to federal and applicable state corporate income taxes on its taxable ordinary income and capital gains. As a corporation taxed under Subchapter C of the Internal Revenue Code, the Company is able, and intends, to file a consolidated federal income tax return with corporate subsidiaries in which it holds 80% or more of the outstanding equity interest measured by both vote and fair value.

The following table presents the significant components of the Company's deferred tax assets and liabilities as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Deferred tax assets:

 

 

 

 

 

 

Provision for credit losses

 

$

19,809

 

 

$

17,700

 

Accrued expenses, compensation, and other assets

 

 

4,279

 

 

 

5,868

 

Net operating loss carryforwards (1)

 

 

2,648

 

 

 

2,648

 

Other investments and investment securities

 

 

3,485

 

 

 

2,553

 

Valuation allowance

 

 

(4,786

)

 

 

(5,957

)

Total deferred tax assets

 

 

25,435

 

 

 

22,812

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other intangibles

 

 

42,136

 

 

 

42,408

 

Total deferred tax liabilities

 

 

42,136

 

 

 

42,408

 

Deferred tax liability, net

 

$

16,701

 

 

$

19,596

 
(1)
As of September 30, 2026, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had a net carrying value of $0.1 million as of September 30, 2026.

The following table presents the components of the Company's tax provision for the three and nine months ended September 30, 2026 and 2025:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Current

 

 

 

 

 

 

 

 

 

 

 

 

Federal

 

$

3,700

 

 

$

4,467

 

 

$

9,836

 

 

$

14,885

 

State

 

 

1,419

 

 

 

1,646

 

 

 

3,818

 

 

 

5,737

 

Deferred

 

 

 

 

 

 

 

 

 

 

 

 

Federal

 

 

(2,000

)

 

 

(398

)

 

 

(1,630

)

 

 

(1,846

)

State

 

 

(783

)

 

 

147

 

 

 

(643

)

 

 

(396

)

Net provision for income taxes

 

$

2,336

 

 

$

5,862

 

 

$

11,381

 

 

$

18,380

 

The following table presents a reconciliation of statutory federal income tax provision to consolidated actual income tax provision reported for the three and nine months ended September 30, 2026 and 2025.

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

Statutory Federal income tax provision

 

$

1,484

 

 

 

21

%

 

$

4,090

 

 

 

21

%

 

$

6,968

 

 

 

21

%

 

$

12,429

 

 

 

21

%

State and local income taxes, net of federal income tax benefit

 

 

288

 

 

 

4

 

 

 

888

 

 

 

5

 

 

 

2,014

 

 

 

6

 

 

 

2,700

 

 

 

5

 

Non-deductible expenses

 

 

370

 

 

 

5

 

 

 

513

 

 

 

3

 

 

 

1,868

 

 

 

6

 

 

 

1,523

 

 

 

3

 

Valuation allowance against deferred tax assets

 

 

934

 

 

 

13

 

 

 

1,319

 

 

 

7

 

 

 

(1,171

)

 

 

(4

)

 

 

1,453

 

 

 

2

 

Stock-based compensation

 

 

(1,117

)

 

 

(16

)

 

 

(1,377

)

 

 

(7

)

 

 

1,224

 

 

 

4

 

 

 

(1,203

)

 

 

(2

)

Change in effective state income tax rates and accrual

 

 

—

 

 

 

—

 

 

 

170

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

866

 

 

 

1

 

Other

 

 

377

 

 

 

5

 

 

 

259

 

 

 

1

 

 

 

478

 

 

 

1

 

 

 

612

 

 

 

1

 

Total income tax provision

 

$

2,336

 

 

 

33

%

 

$

5,862

 

 

 

30

%

 

$

11,381

 

 

 

34

%

 

$

18,380

 

 

 

31

%
(1)
Percentage may not foot due to rounding.

In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible pursuant to ASC 740. The Company considers the reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. The Company’s evaluation of the realizability of deferred tax assets must consider both positive and negative evidence. The weight given to the potential effects of positive and negative evidence is based on the extent to which it can be objectively verified. The Company has determined that a valuation allowance is necessary for net operating losses which the Company does not believe will be utilized as well as for deferred compensation in excess of statutory limits. Based upon these considerations, the Company determined the necessary valuation allowance as of September 30, 2026.

The Company has filed tax returns in many states. Federal, Utah, California, New York, Florida, and Texas tax filings of the Company for the tax years 2023 through the present are the more significant filings that are open for examination. For the three months ended September 30, 2026, Utah, California, Florida, New York, and Texas made up approximately 34%, 7%, 6%, 5%, and 3% of the state and local income taxes, net of federal income tax benefit.
v3.26.3
Stock Options and Restricted Stock
 9 Months Ended
Sep. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Stock Options and Restricted Stock

(8) STOCK OPTIONS AND RESTRICTED STOCK

The Company’s Board of Directors approved the 2018 Equity Incentive Plan, or the 2018 Plan, which was approved by the Company’s stockholders on June 15, 2018. The terms of the 2018 Plan provide for grants of a variety of different type of stock awards to the Company’s employees and non-employee directors, including options, restricted stock, restricted stock units, or RSUs, PSUs, and stock appreciation rights, etc. On April 22, 2020, the Company’s Board of Directors approved an amendment to the 2018 Plan to increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 19, 2020. On April 26, 2022, the Company’s Board of Directors approved an additional amendment to the 2018 Plan to further increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 14, 2022. On April 25, 2025, the Company’s Board of Directors approved an additional amendment to the 2018 Plan to further increase the number of shares of the Company’s common stock authorized for issuance thereunder, which was approved by the Company’s stockholders on June 12, 2025. A total of 7,710,968 shares of the Company’s common stock are issuable under the 2018 Plan, and 1,547,370 shares remained issuable as of September 30, 2026. Awards under the 2018 Plan are subject to certain limitations as set forth in the 2018 Plan, which will terminate when all shares of common stock authorized for delivery have been delivered and the forfeiture restrictions on all awards have lapsed, or by action of the Board of Directors pursuant to the 2018 Plan, whichever occurs first.

The Company’s Board of Directors approved the 2015 Non-Employee Director Stock Option Plan, or the 2015 Director Plan, on March 12, 2015, which was approved by the Company’s shareholders on June 5, 2015, and on which exemptive relief to implement the 2015 Director Plan was received from the Securities and Exchange Commission, or SEC, on February 29, 2016. A total of 300,000 shares of the Company’s common stock were issuable under the 2015 Director Plan, and 258,334 remained issuable as of June 15, 2018. Effective June 15, 2018, the 2018 Plan was approved, and these remaining shares were rolled into the 2018 Plan. Under the 2015 Director Plan, unless otherwise determined by a committee of the Board of Directors comprised of directors who are not eligible for grants under the 2015 Director Plan, the Company granted options to purchase 12,000 shares of the Company’s common stock to a non-employee director upon election to the Board of Directors, with an adjustment for directors who were elected to serve less than a full term. The option price per share could not be less than the current market value of the Company’s common stock on the date the option was granted. Options granted under the 2015 Director Plan vested annually, as defined in the 2015 Director Plan. The term of the options could not exceed ten years.

Additional shares are only available for future issuance under the 2018 Plan. As of September 30, 2026, 769,334 options on the Company’s common stock were outstanding under the Company’s plans, all of which have previously vested and are exercisable. Additionally, as of September 30, 2026, there were 576,714 unvested shares of restricted stock, 676,562 unvested PSUs, 90,362 unvested RSUs, and 419,543 vested, unissued RSUs outstanding under the 2018 Plan. As of September 30, 2026, the total remaining unrecognized compensation cost related to unvested restricted stock, RSUs, and PSUs was $7.0 million, which is expected to be recognized over the next 10 quarters. Total stock-based compensation expense was $1.5 million and $5.5 million, or $0.07 and $0.23 per diluted common share, for the three and nine months ended September 30, 2026 and $1.7 million and $5.1 million, or $0.07 and $0.21 per diluted common share, for the three and nine months ended September 30, 2025.

The fair value of each restricted stock grant, each restricted stock unit, and each performance stock unit is determined on the date of grant by the closing market price of the Company’s common stock on the grant date. The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model. There were no options granted during the nine months ended September 30, 2026 and 2025.

The Company’s Compensation Committee of the Board of Directors grants PSUs, to certain officers and employees of the Company. Granted PSUs are subject to specified performance criteria for a particular performance period. The number of PSUs that vest can range from zero to 200% of the grant amount. In addition, dividends that accrue during the vesting period are reinvested in dividend equivalent PSUs. PSUs and the related dividend equivalent PSUs are converted into shares of common stock after vesting. Once the PSUs and dividend equivalent PSUs have vested, shares of common stock are delivered.

The PSUs have vesting conditions based upon certain levels of total pre-tax income as well as return on common equity attained over a three-year period. The PSUs cliff vest after three years based upon the performance of the Company. Dividend equivalent PSUs accumulate and convert to additional shares for the benefit of the grantee at the vesting date or are forfeited if the performance conditions are not met. The following table presents the PSU activity for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Shares

 

 

 

Grant Price
Per Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2024

 

 

512,131

 

 

$

6.08 - 8.97

 

 

$

7.30

 

Granted

 

 

311,723

 

 

 

 

8.47

 

 

 

8.47

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2025

 

 

823,854

 

 

 

6.08 - 8.97

 

 

 

7.74

 

Granted

 

 

216,940

 

 

 

 

10.34

 

 

 

10.34

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested (1)

 

 

(296,444

)

 

 

 

6.08

 

 

 

6.08

 

Outstanding at March 31, 2026

 

 

744,350

 

 

 

8.47 - 10.36

 

 

 

9.17

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(67,788

)

 

 

8.47 - 8.97

 

 

 

8.71

 

Vested (1)

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at June 30, 2026

 

 

676,562

 

 

 

8.47 - 10.36

 

 

 

9.21

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at September 30, 2026

 

 

676,562

 

 

$

8.47 - 10.36

 

 

$

9.21

 
(1)
During the three and nine months ended September 30, 2026, 0 and 652,577 shares were used in connection with the vesting and settlement of PSUs.

 

The following table presents restricted stock activity for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Shares

 

 

 

Grant Price
Per Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2024

 

 

909,028

 

 

$

4.89 - 10.32

 

 

$

8.30

 

Granted

 

 

332,918

 

 

 

8.47 - 10.57

 

 

 

8.63

 

Cancelled

 

 

(5,373

)

 

 

4.89 - 10.32

 

 

 

9.16

 

Vested (1)

 

 

(484,823

)

 

 

4.89 - 8.97

 

 

 

7.70

 

Outstanding at December 31, 2025

 

 

751,750

 

 

 

8.08 - 10.57

 

 

 

8.83

 

Granted

 

 

344,206

 

 

 

 

10.36

 

 

 

10.36

 

Cancelled

 

 

(1,569

)

 

 

9.37 - 10.32

 

 

 

9.82

 

Vested

 

 

(374,797

)

 

 

8.08 - 9.37

 

 

 

8.67

 

Outstanding at March 31, 2026

 

 

719,590

 

 

 

8.47 - 10.57

 

 

 

9.64

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,140

)

 

 

8.47 - 10.57

 

 

 

9.78

 

Vested (1)

 

 

(92,978

)

 

 

8.47 - 10.36

 

 

 

9.72

 

Outstanding at June 30, 2026 (2)

 

 

593,472

 

 

 

8.47 - 10.57

 

 

 

9.62

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(16,758

)

 

 

8.47 - 10.57

 

 

 

9.55

 

Vested (1)

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at September 30, 2026 (2)

 

 

576,714

 

 

$

8.47 - 10.57

 

 

$

9.62

 
(1)
The aggregate fair value of the restricted stock vested, on the date of vesting, was $4.7 million for the nine months ended September 30, 2026 and $4.2 million for the year ended December 31, 2025.
(2)
The aggregate fair value of the unvested restricted stock was $6.9 million as of September 30, 2026. The remaining vesting period was 2.4 years at September 30, 2026.

The following table presents stock option activity for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2024

 

 

913,909

 

 

$

2.14 - 9.38

 

 

$

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,770

)

 

 

4.89 - 9.38

 

 

 

7.37

 

Exercised

 

 

(82,081

)

 

 

4.89 - 7.25

 

 

 

6.29

 

Outstanding at December 31, 2025

 

 

798,058

 

 

 

2.14 - 9.38

 

 

 

6.50

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(607

)

 

 

 

—

 

 

 

5.98

 

Exercised (1)

 

 

(2,224

)

 

 

4.89 - 7.25

 

 

 

5.85

 

Outstanding at March 31, 2026

 

 

795,227

 

 

 

2.14 - 7.25

 

 

 

6.50

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(2,255

)

 

 

4.89 - 7.25

 

 

 

6.52

 

Exercised (1)

 

 

(13,154

)

 

 

4.89 - 7.25

 

 

 

6.68

 

Outstanding at June 30, 2026 (2)

 

 

779,818

 

 

 

2.14 - 7.25

 

 

 

6.50

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(806

)

 

 

6.55 – 7.25

 

 

 

6.95

 

Exercised (1)

 

 

(9,678

)

 

 

4.89 – 7.25

 

 

 

5.49

 

Outstanding at September 30, 2026 (2)

 

 

769,334

 

 

$

2.14 - 7.25

 

 

$

6.51

 

Options exercisable at:

 

 

 

 

 

 

 

 

 

 

December 31, 2025

 

 

798,058

 

 

$

2.14 - 9.38

 

 

$

6.50

 

September 30, 2026 (2)

 

 

769,334

 

 

$

2.14 - 7.25

 

 

$

6.51

 
(1)
The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was less than $0.1 million and $0.1 million for the three and nine months ended September 30, 2026 and was $0.3 million for the year ended December 31, 2025.
(2)
The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at September 30, 2026 and the related exercise price of the underlying options, was $4.1 million for outstanding options, all of which had previously vested. The remaining contractual life was 3.4 years for outstanding options at September 30, 2026.

The following table presents activity for the unvested options outstanding under the plans for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2024

 

 

84,623

 

 

$

4.89 - 6.79

 

 

$

6.37

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(119

)

 

 

 

4.89

 

 

 

4.89

 

Vested (1)

 

 

(84,504

)

 

 

4.89 - 6.79

 

 

 

6.37

 

Outstanding at December 31, 2025

 

 

—

 

 

 

 

—

 

 

 

—

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at March 31, 2026

 

 

—

 

 

 

 

—

 

 

 

—

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at June 30, 2026

 

 

—

 

 

 

 

—

 

 

 

—

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at September 30, 2026

 

 

—

 

 

$

 

—

 

 

$

—

 
(1)
The intrinsic value of the options vested was $0.1 million for the year ended December 31, 2025.

During the nine months ended September 30, 2026, the Company granted 89,310 RSUs with a vesting date of June 9, 2027 at a grant price of $9.63 and during the year ended December 31, 2025, the Company granted 86,410 RSUs which vested on June 12, 2026 at a grant price of $9.49. For the RSUs granted in 2026 and 2025, unitholders had the option of deferring settlement until a future date if the recipient makes a formal election under the guidelines of IRC Section 409A. As of September 30, 2026, there were 509,905 RSUs outstanding, including 419,543 which had previously vested.
v3.26.3
Segment Reporting
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

(9) SEGMENT REPORTING

The Company has five business segments, which include four lending segments and one non-operating segment, which are reflective of how Company management makes decisions about its business and operations.

The four lending segments reflect the main types of lending performed at the Company, which are recreation, home improvement, commercial, and taxi medallion lending. The recreation and home improvement lending segments are operated by the Bank and loans are made to borrowers residing nationwide. The recreation lending segment is a consumer finance business that works with third-party dealers and financial service providers to finance RVs, boats, collector cars, and other consumer recreational equipment, of which RVs, boats, and collector cars make up 53%, 22%, and 13% of the segment portfolio, with no other product lines at or above 10%, as of September 30, 2026. The highest concentration of recreation loans was in Texas at 17% of loans outstanding with no other states at or above 10%, as of September 30, 2026. The home improvement lending segment works with contractors and financial service providers to finance residential home improvement with the largest product lines being swimming pools, roofs, and windows at 46%, 23%, and 9% of total home improvement loans outstanding, and with no other product lines at or above 10% as of September 30, 2026. The highest concentrations of home improvement loans are in Florida and Texas at 15% and 15% of loans outstanding, with no other states at or above 10%, as of September 30, 2026. The commercial lending segment focuses on serving a wide variety of industries, with concentrations in manufacturing, wholesale trade, and construction making up 59%, 14%, and 10% of the loans outstanding, with no other product lines at or above 10% as of September 30, 2026. The commercial lending segment invests across the United States with concentrations in California, Wisconsin, and New York having 17%, 15%, and 12% of the segment portfolio, with no other states having a concentration at or above 10%, as of September 30, 2026. The taxi medallion lending segment arose in connection with the financing of taxi medallions, taxis, and related assets, primarily all of which are located in the New York City metropolitan area as of September 30, 2026.

The Company's corporate and other investments segment is a non-operating segment that includes items not allocated to the Company's operating segments such as investment securities, equity investments, intercompany eliminations, goodwill, and other corporate elements. The Company allocates portions of centrally incurred costs inclusive of overhead and interest expense formulaically based upon overall capital allocated to the lending segments.

As part of segment reporting, capital ratios for all operating segments have been normalized as a percentage of consolidated total equity divided by total assets, with the net adjustment applied to corporate and other investments. In addition, the commercial segment primarily represents the mezzanine lending business, with certain legacy commercial loans (immaterial to total) allocated to corporate and other investments.

The Company's chief operating decision maker, or CODM, is a group comprised of the Executive Chairman, Chief Executive Officer, and Chief Financial Officer, and other senior members of management. The CODM primarily uses segment information to identify areas to improve efficiency of resources allocation, determine where to reinvest profits, and minimize unnecessary expenses. The CODM assesses segment performance mainly through selected financial ratios such as returns on average assets and net interest margin, which identifies areas requiring action.

The following table presents segment data as of and for the three months ended September 30, 2026.

Three Months Ended September 30, 2026

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

60,977

 

 

$

21,403

 

 

$

3,169

 

 

$

55

 

 

$

3,286

 

 

$

88,890

 

Total interest expense

 

 

17,952

 

 

 

8,406

 

 

 

1,471

 

 

 

34

 

 

 

2,648

 

 

 

30,511

 

Net interest income

 

 

43,025

 

 

 

12,997

 

 

 

1,698

 

 

 

21

 

 

 

638

 

 

 

58,379

 

Provision (benefit) for credit losses

 

 

23,515

 

 

 

6,320

 

 

 

972

 

 

 

(38

)

 

 

—

 

 

 

30,769

 

Net interest income after credit loss provision

 

 

19,510

 

 

 

6,677

 

 

 

726

 

 

 

59

 

 

 

638

 

 

 

27,610

 

Other income (loss), net

 

 

350

 

 

 

1,461

 

 

 

(214

)

 

 

1,113

 

 

 

714

 

 

 

3,424

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

3,999

 

 

 

2,085

 

 

 

902

 

 

 

679

 

 

 

3,134

 

 

 

10,799

 

Loan servicing fees and collection costs

 

 

4,492

 

 

 

1,182

 

 

 

—

 

 

 

112

 

 

 

74

 

 

 

5,860

 

Other costs

 

 

3,245

 

 

 

1,789

 

 

 

502

 

 

 

192

 

 

 

1,579

 

 

 

7,307

 

Total other expenses

 

 

11,736

 

 

 

5,056

 

 

 

1,404

 

 

 

983

 

 

 

4,787

 

 

 

23,966

 

Net income (loss) before taxes

 

 

8,124

 

 

 

3,082

 

 

 

(892

)

 

 

189

 

 

 

(3,435

)

 

 

7,068

 

Income tax (provision) benefit

 

 

(2,708

)

 

 

(1,029

)

 

 

350

 

 

 

(60

)

 

 

1,111

 

 

 

(2,336

)

Net income (loss) after taxes

 

$

5,416

 

 

$

2,053

 

 

$

(542

)

 

$

129

 

 

$

(2,324

)

 

$

4,732

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,335

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

2,397

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross (1)

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

Total assets

 

 

1,779,045

 

 

 

929,740

 

 

 

109,039

 

 

 

4,801

 

 

 

538,019

 

 

 

3,360,644

 

Total funds borrowed (2)

 

 

1,461,628

 

 

 

763,856

 

 

 

89,584

 

 

 

3,944

 

 

 

442,026

 

 

 

2,761,038

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

1.24

%

 

 

0.90

%

 

 

(1.90

)%

 

NM

 

 

NM

 

 

 

0.57

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

2.36

 

Return on average equity

 

 

7.87

 

 

 

5.80

 

 

 

(11.35

)

 

NM

 

 

NM

 

 

 

3.64

 

Interest yield

 

 

13.32

 

 

 

9.17

 

 

 

10.37

 

 

NM

 

 

NM

 

 

 

11.18

 

Net interest margin

 

 

9.40

 

 

 

5.57

 

 

 

5.44

 

 

NM

 

 

NM

 

 

 

7.34

 

Reserve coverage (3)

 

 

5.30

 

 

 

2.59

 

 

 

9.43

 

 

NM

 

 

NM

 

 

 

4.58

 

Delinquency status (4)

 

 

0.66

 

 

 

0.18

 

 

 

13.36

 

 

NM

 

 

NM

 

 

 

1.03

 

Charge-off ratio (5)

 

 

3.55

 

 

 

1.42

 

 

 

(0.02

)

 

NM

 

 

NM

 

 

 

2.69

 

 

(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.9 million as of September 30, 2026.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of total loans.
(5)
Net charge-offs as a percent of average loans held for investment.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the nine months ended September 30, 2026.

Nine Months Ended September 30, 2026

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

172,112

 

 

$

61,708

 

 

$

10,123

 

 

$

281

 

 

$

8,111

 

 

$

252,335

 

Total interest expense

 

 

48,109

 

 

 

23,049

 

 

 

4,234

 

 

 

93

 

 

 

7,165

 

 

 

82,650

 

Net interest income

 

 

124,003

 

 

 

38,659

 

 

 

5,889

 

 

 

188

 

 

 

946

 

 

 

169,685

 

Provision (benefit) for credit losses

 

 

59,461

 

 

 

14,004

 

 

 

2,131

 

 

 

(152

)

 

 

74

 

 

 

75,518

 

Net interest income after credit loss provision

 

 

64,542

 

 

 

24,655

 

 

 

3,758

 

 

 

340

 

 

 

872

 

 

 

94,167

 

Other income, net

 

 

1,793

 

 

 

1,471

 

 

 

471

 

 

 

3,562

 

 

 

3,011

 

 

 

10,308

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

12,177

 

 

 

6,549

 

 

 

2,707

 

 

 

2,098

 

 

 

9,515

 

 

 

33,046

 

Loan servicing fees and collection costs

 

 

13,733

 

 

 

3,592

 

 

 

—

 

 

 

170

 

 

 

136

 

 

 

17,631

 

Other costs

 

 

9,192

 

 

 

4,765

 

 

 

1,793

 

 

 

351

 

 

 

4,515

 

 

 

20,616

 

Total other expenses

 

 

35,102

 

 

 

14,906

 

 

 

4,500

 

 

 

2,619

 

 

 

14,166

 

 

 

71,293

 

Net income (loss) before taxes

 

 

31,233

 

 

 

11,220

 

 

 

(271

)

 

 

1,283

 

 

 

(10,283

)

 

 

33,182

 

Income tax (provision) benefit

 

 

(10,712

)

 

 

(3,848

)

 

 

155

 

 

 

(440

)

 

 

3,464

 

 

 

(11,381

)

Net income (loss) after taxes

 

$

20,521

 

 

$

7,372

 

 

$

(116

)

 

$

843

 

 

$

(6,819

)

 

$

21,801

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7,006

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

14,795

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross (1)

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

Total assets

 

 

1,779,045

 

 

 

929,740

 

 

 

109,039

 

 

 

4,801

 

 

 

538,019

 

 

 

3,360,644

 

Total funds borrowed (2)

 

 

1,461,628

 

 

 

763,856

 

 

 

89,584

 

 

 

3,944

 

 

 

442,026

 

 

 

2,761,038

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

1.65

%

 

 

1.16

%

 

 

(0.22

)%

 

NM

 

 

NM

 

 

 

0.94

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

4.86

 

Return on average equity

 

 

10.08

 

 

 

7.10

 

 

 

(1.32

)

 

NM

 

 

NM

 

 

 

5.69

 

Interest yield

 

 

13.39

 

 

 

9.55

 

 

 

11.05

 

 

NM

 

 

NM

 

 

 

11.37

 

Net interest margin

 

 

9.65

 

 

 

5.98

 

 

 

6.43

 

 

NM

 

 

NM

 

 

 

7.65

 

Reserve coverage (3)

 

 

5.30

 

 

 

2.59

 

 

 

9.43

 

 

NM

 

 

NM

 

 

 

4.58

 

Delinquency status (4)

 

 

0.66

 

 

 

0.18

 

 

 

13.36

 

 

NM

 

 

NM

 

 

 

1.03

 

Charge-off ratio (5)

 

 

3.68

 

 

 

1.41

 

 

 

0.07

 

 

NM

 

 

NM

 

 

 

2.77

 
(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.9 million as of September 30, 2026.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of total loans.
(5)
Net charge-offs as a percent of average loans held for investment.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the three months ended September 30, 2025.

Three Months Ended September 30, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

53,565

 

 

$

20,453

 

 

$

4,227

 

 

$

91

 

 

$

2,435

 

 

$

80,771

 

Total interest expense

 

 

13,487

 

 

 

7,344

 

 

 

1,252

 

 

 

16

 

 

 

2,986

 

 

 

25,085

 

Net interest income (expense)

 

 

40,078

 

 

 

13,109

 

 

 

2,975

 

 

 

75

 

 

 

(551

)

 

 

55,686

 

Provision (benefit) for credit losses

 

 

16,708

 

 

 

2,125

 

 

 

1,414

 

 

 

(1,691

)

 

 

—

 

 

 

18,556

 

Net interest income (loss) after credit loss provision

 

 

23,370

 

 

 

10,984

 

 

 

1,561

 

 

 

1,766

 

 

 

(551

)

 

 

37,130

 

Other income, net

 

 

87

 

 

 

2

 

 

 

260

 

 

 

1,781

 

 

 

918

 

 

 

3,048

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

3,475

 

 

 

2,170

 

 

 

1,133

 

 

 

509

 

 

 

2,858

 

 

 

10,145

 

Loan servicing fees and collection costs

 

 

3,781

 

 

 

985

 

 

 

—

 

 

 

36

 

 

 

20

 

 

 

4,822

 

Other costs

 

 

2,838

 

 

 

1,436

 

 

 

357

 

 

 

275

 

 

 

829

 

 

 

5,735

 

Total other expenses

 

 

10,094

 

 

 

4,591

 

 

 

1,490

 

 

 

820

 

 

 

3,707

 

 

 

20,702

 

Net income (loss) before taxes

 

 

13,363

 

 

 

6,395

 

 

 

331

 

 

 

2,727

 

 

 

(3,340

)

 

 

19,476

 

Income tax (provision) benefit

 

 

(4,027

)

 

 

(1,943

)

 

 

(50

)

 

 

(838

)

 

 

996

 

 

 

(5,862

)

Net income (loss) after taxes

 

$

9,336

 

 

$

4,452

 

 

$

281

 

 

$

1,889

 

 

$

(2,344

)

 

$

13,614

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,336

 

Redemption of non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

7,763

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 

Total assets

 

 

1,546,505

 

 

 

788,764

 

 

 

125,349

 

 

 

5,204

 

 

 

434,565

 

 

 

2,900,387

 

Total funds borrowed (2)

 

 

1,258,773

 

 

 

642,012

 

 

 

102,027

 

 

 

4,236

 

 

 

353,713

 

 

 

2,360,761

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.44

%

 

 

2.24

%

 

 

0.89

%

 

NM

 

 

NM

 

 

 

1.88

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

7.85

 

Return on average equity

 

 

13.69

 

 

 

12.59

 

 

 

5.19

 

 

NM

 

 

NM

 

 

 

10.73

 

Interest yield

 

 

13.45

 

 

 

10.11

 

 

 

13.24

 

 

NM

 

 

NM

 

 

 

11.92

 

Net interest margin

 

 

10.06

 

 

 

6.48

 

 

 

9.05

 

 

NM

 

 

NM

 

 

 

8.21

 

Reserve coverage (3)

 

 

5.10

 

 

 

2.55

 

 

 

8.43

 

 

NM

 

 

NM

 

 

 

4.47

 

Delinquency status (4)

 

 

0.57

 

 

 

0.16

 

 

 

13.99

 

 

NM

 

 

NM

 

 

 

1.16

 

Charge-off ratio (5)

 

 

3.23

 

 

 

1.03

 

 

 

3.38

 

 

NM

 

 

NM

 

 

 

2.26

 
(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.0 million as of September 30, 2025.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of average loans held for investment.
(5)
Net charge-offs as a percent of average gross loans. Charge-off ratio in the recreation lending segment was 3.36% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

 

The following table presents segment data as of and for the nine months ended September 30, 2025.

Nine Months Ended September 30, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

155,132

 

 

$

60,357

 

 

$

11,325

 

 

$

243

 

 

$

6,580

 

 

$

233,637

 

Total interest expense

 

 

38,382

 

 

 

21,633

 

 

 

3,462

 

 

 

66

 

 

 

9,627

 

 

 

73,170

 

Net interest income (expense)

 

 

116,750

 

 

 

38,724

 

 

 

7,863

 

 

 

177

 

 

 

(3,047

)

 

 

160,467

 

Provision (benefit) for credit losses

 

 

48,914

 

 

 

8,904

 

 

 

7,440

 

 

 

(3,126

)

 

 

—

 

 

 

62,132

 

Net interest income (loss) after credit loss provision

 

 

67,836

 

 

 

29,820

 

 

 

423

 

 

 

3,303

 

 

 

(3,047

)

 

 

98,335

 

Other income, net

 

 

1,853

 

 

 

7

 

 

 

16,260

 

 

 

3,373

 

 

 

2,365

 

 

 

23,858

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

10,125

 

 

 

6,523

 

 

 

3,349

 

 

 

1,742

 

 

 

8,547

 

 

 

30,286

 

Loan servicing fees and collection costs

 

 

11,019

 

 

 

2,955

 

 

 

—

 

 

 

287

 

 

 

49

 

 

 

14,310

 

Other costs

 

 

8,950

 

 

 

4,807

 

 

 

1,023

 

 

 

614

 

 

 

3,016

 

 

 

18,410

 

Total other expenses

 

 

30,094

 

 

 

14,285

 

 

 

4,372

 

 

 

2,643

 

 

 

11,612

 

 

 

63,006

 

Net income (loss) before taxes

 

 

39,595

 

 

 

15,542

 

 

 

12,311

 

 

 

4,033

 

 

 

(12,294

)

 

 

59,187

 

Income tax (provision) benefit

 

 

(12,296

)

 

 

(4,827

)

 

 

(3,823

)

 

 

(1,253

)

 

 

3,819

 

 

 

(18,380

)

Net income (loss) after taxes

 

$

27,299

 

 

$

10,715

 

 

$

8,488

 

 

$

2,780

 

 

$

(8,475

)

 

$

40,807

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,446

 

Redemption of non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

30,846

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 

Total assets

 

 

1,546,505

 

 

 

788,764

 

 

 

125,349

 

 

 

5,204

 

 

 

434,565

 

 

 

2,900,387

 

Total funds borrowed (2)

 

 

1,258,773

 

 

 

642,012

 

 

 

102,027

 

 

 

4,236

 

 

 

353,713

 

 

 

2,360,761

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.42

%

 

 

1.80

%

 

 

9.73

%

 

NM

 

 

NM

 

 

 

1.91

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

10.71

 

Return on average equity

 

 

14.21

 

 

 

10.57

 

 

 

58.17

 

 

NM

 

 

NM

 

 

 

11.41

 

Interest yield

 

 

13.37

 

 

 

9.95

 

 

 

12.48

 

 

NM

 

 

NM

 

 

 

11.75

 

Net interest margin

 

 

10.06

 

 

 

6.38

 

 

 

8.69

 

 

NM

 

 

NM

 

 

 

8.07

 

Reserve coverage (3)

 

 

5.10

 

 

 

2.55

 

 

 

8.43

 

 

NM

 

 

NM

 

 

 

4.47

 

Delinquency status (4)

 

 

0.57

 

 

 

0.16

 

 

 

13.99

 

 

NM

 

 

NM

 

 

 

1.16

 

Charge-off ratio (5)

 

 

3.58

 

 

 

1.48

 

 

 

1.36

 

 

NM

 

 

NM

 

 

 

2.60

 
(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.0 million as of September 30, 2025.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of total loans.
(5)
Net charge-offs as a percent of average gross loans. Charge-off ratio in the recreation lending segment was 3.74% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.
v3.26.3
Commitments and Contingencies
 9 Months Ended
Sep. 30, 2026
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

(10) COMMITMENTS AND CONTINGENCIES

(A) EMPLOYMENT AGREEMENTS

The Company has employment agreements with certain key officers, including Mr. Alvin Murstein and Mr. Andrew Murstein, for either a one-, two-, or three-year term. Typically, the contracts will renew for new one-, two- or three- year terms unless prior to the term either the Company or the executive provides notice to the other party of its intention not to extend the employment period beyond the current one-, two- or three-year term (as applicable); however, there is currently one agreement with a three-year term that does not have a renewal period. In the event of a change in control, as defined, during the employment period, the agreements provide for severance compensation to the executive in an amount equal to the balance of the salary, bonus, and value of fringe benefits which the executive would be entitled to receive for the remainder of the employment period.

On October 24, 2025, Mr. Alvin Murstein, the Company's current Executive Chairman of the Board of Directors, or the Board, entered into an amendment to the First Amended and Restated Employment Agreement, dated May 29, 1998, as amended, between him and the Company. Pursuant to such amendment: (i) effective as of January 31, 2026 (the “Transition Date”), Mr. Murstein no longer served as the Chief Executive Officer and became the Executive Chairman of the Board to serve through May 29, 2027 (the “Term”); (ii) during the period between the date of such amendment and the Transition Date, Mr. Murstein, among other things, continued to serve as Chief Executive Officer of the Company; (iii) during the period from the Transition Date until the end of the Term (the “Retirement Date”), Mr. Murstein shall, among other things, continue to serve as Executive Chairman of the Board with the Company's expectation that Mr. Murstein will be nominated to serve a new three-year term as a Board member at the 2026 Annual Meeting of Shareholders of the Company and a failure by the Board to so nominate Mr. Murstein would constitute termination without cause under his employment agreement; (iv) Mr. Murstein remains an employee of the Company in his role as Executive Chairman of the Board; (v) Mr. Murstein's compensation shall be determined without regard to the transition to Executive Chairman, provided that, all incentive equity awards that are determined to be granted to Mr. Murstein in respect of calendar years 2025, 2026 and 2027 shall be granted solely in the form of restricted stock and options; and (vi) on the Retirement Date (or earlier if termination occurs by reason of death or disability), all outstanding unvested equity awards, other than performance awards, will immediately vest and, if applicable, become exercisable and all outstanding performance awards will remain outstanding until the end of the relevant performance periods and vest and be earned to the extent applicable objects have been met, on a prorated basis for the portion of the performance period that Mr. Murstein was employed.

In addition, on October 24, 2025, Mr. Andrew Murstein, the Company’s current President, Chief Executive Officer and Chief Operating Officer, entered into an amendment to the First Amended and Restated Employment Agreement, dated May 29, 1998, as amended, between him and the Company. Pursuant to such amendment, effective as of January 31, 2026, Mr. Andrew Murstein became the President, Chief Executive Officer and Chief Operating Officer of the Company and shall remain President, Chief Executive Officer and Chief Operating Officer through the remainder of the employment term.

On January 12, 2026, the Company, Medallion Bank, and Mr. Donald Poulton entered into an amendment to the Employment Agreement, dated June 27, 2016 among Mr. Poulton, the Company, and Medallion Bank. Pursuant to such amendment, effective January 12, 2026, Donald Poulton no longer served as President of Medallion Bank, but remained the Chief Executive Officer of Medallion Bank through the remainder of the employment term. All other terms of his existing employment agreement continued to be in full force and effect, in accordance with its terms, through Mr. Poulton's retirement effective June 30, 2026.

In addition, on January 12, 2026, the Company, Medallion Bank and Mr. D. Justin Haley entered into a Second Amended and Restated Employment Agreement. Pursuant to the agreement, effective January 12, 2026, Mr. Haley no longer served as Executive Vice President and Chief Financial Officer of Medallion Bank, but became the President of Medallion Bank. Effective June 30, 2026, Mr. Haley assumed the role of Chief Executive Officer. The employment agreement has a two-year term that automatically renews each year for an additional two-year term commencing on January 1, 2027 unless terminated by either party. Under the employment agreement, Mr. Haley is entitled to an annual base salary of $430,000 effective January 1, 2026, which shall be reviewed by the Board of Directors of the Company not less than once each fiscal year and may be increased but not decreased from the then existing base salary. The employment agreement provides for a severance payment if the employment agreement is terminated under certain conditions. The employment agreement contains a non-competition covenant from Mr. Haley in the Company’s and Medallion Bank’s favor.

As of September 30, 2026, employment agreements expire at various dates through 2029, with future minimum payments under these agreements of approximately $6.0 million.

(B) OTHER COMMITMENTS

As of September 30, 2026, the Company had no other commitments. Generally, any commitments would be on the same terms as loans to or investments in existing borrowers or investees, and generally have fixed expiration dates. Since some commitments would be expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements.

(C) OTHER LITIGATION AND REGULATORY MATTERS

The Company and its subsidiaries are subject to inquiries from certain regulators and are currently involved in various legal proceedings incident to the normal course of business, including collection matters with respect to certain loans. The Company intends to vigorously defend any outstanding claims and pursue its legal rights. In the opinion of management, based on the advice of legal counsel, there is no proceeding pending, or to the knowledge of management threatened, which in the event of an adverse decision could result in a material adverse impact on the financial condition or results of operations of the Company.
v3.26.3
Related Party Transactions
 9 Months Ended
Sep. 30, 2026
Related Party Transactions [Abstract]  
Related Party Transactions

(11) RELATED PARTY TRANSACTIONS

Certain directors, officers, and stockholders of the Company are also directors and officers of its main consolidated subsidiaries, MFC, Medallion Capital, Freshstart, and the Bank, as well as other subsidiaries. Officer salaries are set by the Board of Directors of the Company.

Jeffrey Rudnick, the son of one of the Company’s directors and brother-in-law of one of the Company’s officers and directors, previously served as the Company’s Senior Vice President and effective July 24, 2025, serves as the Company's Executive Vice President at a salary of $277,000 per year, an increase from $269,000 per year in 2025. Mr. Rudnick received an annual cash bonus of $101,000 and $75,000 as well as equity grants in the amount of $54,000 and $50,000 during the nine months ended September 30, 2026 and 2025.

Jameson Poulton, the son of one of Medallion Bank’s former officers and current Medallion Bank director, serves as Medallion Bank’s Manager of Data Analytics at a salary of $120,000 per year, an increase from $107,120 per year. Mr. Poulton received an annual cash bonus of $16,068 and $13,000 as well as equity grants in the amount of $0 and $2,601 during the nine months ended September 30, 2026 and 2025.
v3.26.3
Fair Value of Financial Instruments
 9 Months Ended
Sep. 30, 2026
Investments, All Other Investments [Abstract]  
Fair Value of Financial Instruments

(12) FAIR VALUE OF FINANCIAL INSTRUMENTS

FASB ASC Topic 825, “Financial Instruments,” requires disclosure of fair value information about certain financial instruments, whether assets, liabilities, or off-balance-sheet commitments, if practicable.

The following table presents the carrying amounts and fair values of the Company’s financial instruments as of September 30, 2026.

 

 

September 30, 2026

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

243,056

 

 

$

243,056

 

 

$

242,806

 

 

$

250

 

 

$

—

 

Investment securities

 

 

63,853

 

 

 

63,853

 

 

 

—

 

 

 

63,853

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,786,466

 

 

 

2,806,767

 

 

 

—

 

 

 

—

 

 

 

2,806,767

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,233

 

 

 

15,233

 

 

 

—

 

 

 

—

 

 

 

15,233

 

Accrued interest receivable

 

 

21,967

 

 

 

21,967

 

 

 

21,967

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,702

 

 

 

1,702

 

 

 

1,702

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,761,038

 

 

 

2,732,908

 

 

 

—

 

 

 

2,732,908

 

 

 

—

 

Accrued interest payable

 

 

6,967

 

 

 

6,967

 

 

 

6,967

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $9.9 million as of September 30, 2026.

The following table presents the carrying amounts and fair values of the Company’s financial instruments as of December 31, 2025.

 

December 31, 2025

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

201,564

 

 

$

201,564

 

 

$

200,814

 

 

$

750

 

 

$

—

 

Investment securities

 

 

60,183

 

 

 

60,183

 

 

 

—

 

 

 

60,183

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,436,916

 

 

 

2,421,988

 

 

 

—

 

 

 

—

 

 

 

2,421,988

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

15,144

 

 

 

—

 

 

 

—

 

 

 

15,144

 

Accrued interest receivable

 

 

19,401

 

 

 

19,401

 

 

 

19,401

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,787

 

 

 

1,787

 

 

 

1,787

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,410,016

 

 

 

2,431,011

 

 

 

—

 

 

 

2,431,011

 

 

 

—

 

Accrued interest payable

 

 

6,319

 

 

 

6,319

 

 

 

6,319

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.4 million as of December 31, 2025.
v3.26.3
Fair Value of Assets and Liabilities
 9 Months Ended
Sep. 30, 2026
Fair Value Disclosures [Abstract]  
Fair Value of Assets and Liabilities

(13) FAIR VALUE OF ASSETS AND LIABILITIES

The Company follows the provisions of FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value, and enhances disclosure requirements for fair value measurements.

In accordance with FASB ASC 820, the Company has categorized its assets and liabilities measured at fair value, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). The Company's assessment and classification of an investment within a level can change over time based upon maturity or liquidity of the investment and would be reflected at the beginning of the quarter in which the change occurred.

As required by FASB ASC 820, when the inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement in its entirety. For example, a level 3 fair value measurement may include inputs that are observable (levels 1 and 2) and unobservable (level 3). Therefore, gains and losses for such assets and liabilities categorized within the level 3 table below may include changes in fair value that are attributable to both observable inputs (levels 1 and 2) and unobservable inputs (level 3).

Assets and liabilities measured at fair value, recorded on the consolidated balance sheets, are categorized based on the inputs to the valuation techniques as follows:

Level 1. Assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that the Company has the ability to access (examples include active exchange-traded equity securities, exchange-traded derivatives, most U.S. Government and agency securities, and certain other sovereign government obligations).

Level 2. Assets and liabilities whose values are based on quoted prices in markets that are not active or model inputs that are observable either directly or indirectly for substantially the full term of the asset or liability. Level 2 inputs include the following:

a)
Quoted prices for similar assets or liabilities in active markets (for example, restricted stock);
b)
Quoted price for identical or similar assets or liabilities in non-active markets (for example, corporate and municipal bonds, which trade infrequently);
c)
Pricing models whose inputs are observable for substantially the full term of the asset or liability (examples include most over-the-counter derivatives, including interest rate and currency swaps); and
d)
Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability (examples include certain residential and commercial mortgage-related assets, including loans, securities, and derivatives).

The Company’s investment securities are recorded at the estimated fair value of such investments.

Level 3. Assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These inputs reflect management’s own assumptions about the assumptions a market participant would use in pricing the assets or liability (examples include certain private equity investments, and certain residential and commercial mortgage-related assets, including loans, securities, and derivatives).

A review of fair value hierarchy classification is conducted on a quarterly basis. Changes in the observability of valuation inputs may result in a reclassification for certain assets or liabilities. Reclassifications impacting level 3 of the fair value hierarchy are reported as transfers in/out of the level 3 category as of the beginning of the quarter in which the reclassifications occur.

Equity investments were recorded at cost less impairment plus or minus observable price changes. Commencing in 2020, the Company elected to measure equity investments at fair value on a non-recurring basis.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

63,853

 

 

$

—

 

 

$

63,853

 

Equity securities (2)

 

 

1,702

 

 

 

—

 

 

 

—

 

 

 

1,702

 

Total

 

$

1,702

 

 

$

63,853

 

 

$

—

 

 

$

65,555

 
(1)
Total unrealized loss of $1.5 million and $2.0 million net of tax, was included in other comprehensive income for the three and nine months ended September 30, 2026.
(2)
Included within other assets on the balance sheet.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

60,183

 

 

$

—

 

 

$

60,183

 

Equity securities (2)

 

 

1,787

 

 

 

—

 

 

 

—

 

 

 

1,787

 

Total

 

$

1,787

 

 

$

60,183

 

 

$

—

 

 

$

61,970

 
(1)
Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.
(2)
Included within other assets on the balance sheet.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

250

 

 

$

250

 

Total

 

$

—

 

 

$

—

 

 

$

250

 

 

$

250

 
(1)
For the three and nine months ended September 30, 2026, the Company had 2 and 3 equity investment, measured on a non-recurring basis.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Total

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 
(1)
For the year ended December 31, 2025, the Company had 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.

Significant Unobservable Inputs

ASC Topic 820 requires disclosure of quantitative information about the significant unobservable inputs used in the valuation of assets and liabilities classified as level 3 within the fair value hierarchy. The tables below are not intended to be all-inclusive, but rather to provide information on significant unobservable inputs and valuation techniques used by the Company.

The following table presents the Company’s valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of September 30, 2026.

(Dollars in thousands)

 

Fair Value
at September 30, 2026

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments (1)

 

$

250

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.

The following table presents the Company’s valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of December 31, 2025.

 

(Dollars in thousands)

 

Fair Value
at December 31, 2025

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments (1)

 

$

—

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
v3.26.3
Medallion Bank Preferred Stock (Non-controlling Interest)
 9 Months Ended
Sep. 30, 2026
Text Block [Abstract]  
Medallion Bank Preferred Stock (Non-controlling Interest)

(14) MEDALLION BANK PREFERRED STOCK (Non-controlling interest)

On July 21, 2011, the Bank issued, and the U.S. Treasury purchased, 26,303 shares of Senior Non-Cumulative Perpetual Preferred Stock, Series E for an aggregate purchase price of $26.3 million under the Small Business Lending Fund Program, or SBLF, with a liquidation amount of $1,000 per share. The SBLF is a voluntary program intended to encourage small business lending by providing capital to qualified smaller banks at favorable rates. The Bank pays a dividend rate of 9% on the Series E.

On December 17, 2019, the Bank closed an initial public offering of 1,840,000 shares of its Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series F, or Series F Preferred Stock, with a $46.0 million aggregate liquidation amount, or $25 per share, yielding net proceeds of $42.5 million. Dividends were payable quarterly from the date of issuance to, but excluding, April 1, 2025, at a rate of 8% per annum, and from and including April 1, 2025, at a floating rate equal to three-month Term 90-day Secured Overnight Financing Rate, or SOFR, plus a spread of 6.46% per annum.

On May 22, 2025, the Bank closed an initial public offering of 3,100,000 shares of its Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series G, or Series G Preferred Stock, with a $77.5 million aggregate liquidation amount, or $25 per share, yielding net proceeds of $73.1 million. Dividends are payable quarterly from the date of issuance to, but excluding July 1, 2030, at a fixed rate equal to 9.00% per annum, and from and including July 1, 2030, during each reset period at a rate equal to the five-year U.S. Treasury rate plus a spread of 4.94% per annum.

On July 1, 2025, the Bank redeemed its Series F Preferred Stock, in its entirety, at an aggregate redemption price of $46.0 million. Upon redemption, the Company incurred a charge of approximately $3.5 million in calculating earnings attributable to common stockholders representing the excess of the redemption price over the carrying amount of $42.5 million.

On September 30, 2026, the Bank closed a public offering of 2,200,000 additional shares of its Series G Preferred Stock, with an aggregate liquidation amount of $55,000,000 or $25 per share. The offering was a reopening of Medallion Bank's original issuance of its Series G Preferred Stock, which closed in May 2025.
v3.26.3
Subsequent Events
 9 Months Ended
Sep. 30, 2026
Subsequent Events [Abstract]  
Subsequent Events

(15) SUBSEQUENT EVENTS

On October 21, 2026, the Company repurchased $15 million of the trust preferred securities for $11.2 million, inclusive of accrued distributions due as of that date.

The Company has evaluated the effects of events that have occurred subsequent to September 30, 2026 through the date of financial statement issuance for potential recognition or disclosure. As of such date, there were no additional subsequent events that required recognition or disclosure.
v3.26.3
Summary of Significant Accounting Policies (Policies)
 9 Months Ended
Sep. 30, 2026
Accounting Policies [Abstract]  
Use of Estimates

Use of Estimates

The preparation of the consolidated financial statements in conformity with generally accepted accounting principles in the U.S., or GAAP, requires management to make estimates that affect the amounts reported in the consolidated financial statements and the accompanying notes. Accounting estimates and assumptions are those that management considers to be the most critical to an understanding of the consolidated financial statements because they inherently involve significant judgments and uncertainties. All of these estimates reflect management’s best judgment about current economic and market conditions and their effects based on information available as of the date of these consolidated financial statements. If such conditions change, it is reasonably possible that the judgments and estimates could change, which may result in future impairments of goodwill and intangible assets, and allowance for credit losses, among other effects.

Basis of Presentation

Basis of Presentation

The consolidated financial statements include the accounts of the Company and all of its wholly-owned and controlled subsidiaries. All significant intercompany transactions, balances, and profits (losses) have been eliminated in consolidation.

The consolidated financial statements have been prepared in accordance with GAAP. The Company consolidates all entities it controls through a majority voting interest, a controlling interest through other contractual rights, or as being identified as the primary beneficiary of variable interest entities, or VIEs. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance, and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding is recorded as non-controlling interest.

Cash, Cash Equivalents, and Restricted Cash

Cash, Cash Equivalents, and Restricted Cash

The Company considers all highly liquid instruments with an original purchased maturity of three months or less, federal funds sold, interest-bearing deposits in other banks, and money market mutual funds to be cash equivalents. A non-interest-bearing compensating balance of $0.9 million and $0.7 million as of September 30, 2026 and December 31, 2025 was maintained at a correspondent bank and considered to be cash equivalents. Cash balances are generally held in accounts at large national or regional banking organizations in amounts that exceed the federally insured limits. Cash also included $0.3 million and $0.8 million of interest-bearing funds deposited in other banks with original terms of 5 to 6 years that cannot be withdrawn but are salable on an active secondary market, without penalty, as of September 30, 2026 and December 31, 2025. As of September 30, 2026, the Company held $0.6 million in a money market account in connection with a letter of credit. Certain of the Company's borrowings require that the Company and its subsidiaries maintain cash at specific levels pursuant to covenants in applicable debt agreements. The Company was compliant with these covenants as of September 30, 2026.
Fair Value of Assets and Liabilities

Fair Value of Assets and Liabilities

The Company follows the Financial Accounting Standards Board, or FASB, FASB Accounting Standards Codification, or ASC, Topic 820, Fair Value Measurements and Disclosures, or FASB ASC 820, which defines fair value, establishes a framework for measuring fair value, and expands disclosures about fair value measurements. FASB ASC 820 defines fair value as an exit price (i.e., a price that would be received to sell, as opposed to acquire, an asset or transfer a liability), and emphasizes that fair value is a market-based measurement. It establishes a fair value hierarchy that distinguishes between assumptions developed based on market data obtained from independent external sources and the reporting entity’s own assumptions. Further, it specifies that fair value measurement should consider adjustment for risk, such as the risk inherent in the valuation technique or its inputs. See also Notes 12 and 13 to the consolidated financial statements.
Equity Investments

Equity Investments

The Company follows FASB ASC Topic 321, Investments – Equity Securities, or ASC 321, which requires all applicable investments in equity securities with a readily determinable fair value to be valued as such, and those without a readily determinable fair value, are measured at cost, less any impairment plus or minus any observable price changes. Equity investments were $8.2 million and $8.1 million as of September 30, 2026 and December 31, 2025, which were comprised mainly of nonmarketable stock and stock warrants, are recorded at cost less any impairment plus or minus observable price changes. Substantially all of these equity investments are held by Medallion Capital, our SBIC subsidiary, in connection with its mezzanine lending business. As of September 30, 2026, cumulative impairment of $5.9 million had been recorded with respect to these investments. During the three months ended September 30, 2026, the Company recognized net losses of $0.2 million, inclusive of $0.4 million of realized net gains, and net gains of $0.3 million during the nine months ended September 30, 2026 on equity investments, inclusive of $0.5 million of net realized gains.

During 2021, the Company purchased $2.0 million of equity securities with a readily determinable fair value. As a result, all unrealized gains and losses are included in gain (loss) on equity investments. The fair value of these securities were $1.7 million and $1.8 million as of September 30, 2026 and December 31, 2025 and are included in other assets on the consolidated balance sheets. With respect to these equity securities, the Company recognized $0.1 million of losses for the three and nine months ended September 30, 2026 and less than $0.1 million of losses during the three months ended September 30, 2025 and less than $0.1 million of gains during the nine months ended September 30, 2025.
Investment Securities

Investment Securities

The Company follows FASB ASC Topic 320, Investments – Debt Securities, or ASC 320, which requires that all applicable investments in debt securities be classified as trading securities, available-for-sale securities, or held-to-maturity securities. Investment securities are purchased from time-to-time in the open market at prices that are greater or lesser than the par value of the investment. The resulting premium or discount is deferred and recognized using the interest method. ASC 320 further requires that held-to-maturity securities be reported at amortized cost and available-for-sale securities be reported at fair value, with unrealized gains and losses excluded from earnings at the date of the consolidated financial statements, and reported in accumulated other comprehensive income (loss) as a separate component of stockholders’ equity, net of the effect of income taxes, until they are sold. At the time of sale, any gains or losses, calculated by the specific identification method, will be recognized as a component of operating results and any amounts previously included in stockholders’ equity, which were recorded net of the income tax effect, will be reversed. In accordance with ASC 326, the Company does not maintain an allowance for credit losses for accrued interest receivable.

For available-for-sale debt securities in an unrealized loss position, the Company first determines if it intends to sell the security, or if it is more likely than not that the Company will be required to sell it before recovering its amortized cost basis. If either condition is met, the security’s amortized cost basis is written down to its fair value through earnings. If neither condition is met, the Company assesses whether the decline in fair value is the result of credit losses or other factors. This assessment includes reviewing changes in the rating of the security by a rating agency, increases in defaults on the underlying collateral, and the extent to which the securities are issued by the federal government or its agencies, including the amount of the guarantee issued by those agencies, among other factors. If a credit loss exists, the Company compares the present value of expected cash flows from the security to its amortized cost basis. If the present value is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded through earnings, but limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment not recorded through an allowance for credit losses is recognized in other comprehensive income (loss), net of taxes.

Changes in the allowance for credit losses are recorded as a provision for, or reversal of, credit loss expense. Losses are charged against the allowance when management confirms the uncollectibility of an available-for-sale debt security or when either of the criteria regarding intent or requirement to sell is met. There were no investment securities allowance for credit losses as of September 30, 2026 and December 31, 2025.
Loans

Loans

The Company’s loans, classified as held for investment, are currently reported at amortized cost, which is the principal amount outstanding, inclusive of loan origination costs, which primarily includes deferred costs paid to loan originators, and which are amortized to interest income over the life of the loan.

Loan origination fees and certain direct origination costs are deferred and recognized as an adjustment to the yield of the related loans. As of September 30, 2026 and December 31, 2025, net loan origination costs included in loans were $65.7 million and $52.0 million. Net amortization reducing interest income was $3.7 million and $10.3 million for the three and nine months ended September 30, 2026 and was $2.7 million and $7.6 million for the three and nine months ended September 30, 2025.

Interest income is recorded on the accrual basis. The consumer loan portfolio is typified by a large number of smaller dollar loans that have similar characteristics. When, based on current information and events, it is unlikely the Company will be able to collect all amounts due according to the contractual terms of the original loan agreement, a loan is considered nonperforming. Loans are considered past due when a borrower fails to make a full payment by the payment due date or maturity date. Consumer loans are placed on nonaccrual when they become 90 days past due, and are charged off in their entirety when deemed uncollectible, if they enter bankruptcy, or when they become 120 days past due, whichever occurs first. The Company takes appropriate recovery efforts against both the borrower and the underlying collateral are initiated for nonaccrual loans. For the recreation loan portfolio, the process to repossess the collateral is generally started at 60 days past due. If the collateral is not located and the account reaches 120 days delinquent, the account is charged off. If the collateral is repossessed, a loss is recorded by writing the collateral down to its fair value less selling costs, and the collateral is sent to auction. When the collateral is sold, the net auction proceeds are applied to the account, and any remaining balance is written off. Proceeds collected on charged-off accounts are recorded as recoveries. Commercial loans and taxi medallion loans are placed on nonaccrual status, and all uncollected accrued interest is reversed, when there is doubt as to the collectibility of interest or principal, or if loans are 90 days or more past due, unless management has determined that they are both well-secured and in the process of collection. Interest income on nonaccrual loans is generally recognized when cash is received, unless a determination has been made to apply all cash receipts to principal.

The Company may modify the contractual cash flow of loans in situations where borrowers are experiencing financial difficulties. The Company strives to identify borrowers in financial difficulty early and work with them to modify their loans to more affordable terms before they reach nonaccrual status. These modified terms may include interest rate reductions, principal forgiveness, term extensions, payment forbearance and other actions intended to minimize the economic loss to the Company and to avoid foreclosure or repossession of the collateral. For modifications where the Company forgives principal, the entire amount of such principal forgiveness is immediately charged off.

Loan collateral in process of foreclosure includes consumer repossessed collateral in the process of being sold in addition to taxi medallion loans that have reached 120 days past due and have been charged down to the net realizable value of the underlying collateral. For New York City taxi medallion loans in the process of foreclosure, the Company continued to utilize a maximum net value of $79,500 when assessing net realizable value for these taxi medallion loans, despite fluctuating current transfer prices which may exceed that level from time to time. The "loan collateral in the process of foreclosure" designation reflects that the collection activities on these loans have transitioned from working with the borrower to the liquidation of the collateral securing the loans.
Loans Held For Sale

Loans Held for Sale

Loans held for sale consist of consumer loans, including loans originated through strategic partnerships, that are intended to be sold. Loans held for sale are recorded at the lower of amortized cost or fair value. Changes in fair value are recognized in non-interest income. For loans transferred into the held for sale classification from the held for investment classification, any allowance for credit losses previously recorded is reversed at the transfer date, and the loans are transferred at their amortized cost basis (which is reduced by any previous charge-offs, but excludes any allowance for credit losses).

All recreation and home improvement loans are made with the intent to hold for investment. From time to time, the Company may consider selling a group of its recreation and home improvement loans. Recreation and home improvement loans are transferred to the held for sale portfolio when the Company has entered into a commitment to sell a specific portion of its held for investment portfolio or when the Bank has a formal marketing strategy to sell a group of loans. During the three and nine months ended September 30, 2026, the Company did not recognize any fair value adjustments related to loans held for sale.
Allowance for Credit Losses

Allowance for Credit Losses

The Company follows Accounting Standards Update, or ASU, 2016-13, "Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments", or ASC 326, which requires recognition of lifetime expected losses using "reasonable and supportable" expectations about the future, referred to as the current expected credit loss, or CECL, methodology. For consumer loans, the Company uses historical delinquent loan performance, qualitative adjustments, and actual loss rates modified by quantitative adjustments based on macroeconomic factors over a twelve-month reasonable and supportable forecast period followed by a six month reversion period. For commercial loans, the Company assesses the historical impact that macroeconomic indicators have had on the loan portfolio, to determine an approximate allowance for credit loss. Unlike consumer loans, where loans may have similar performing characteristics, each commercial loan is unique. The Company evaluates each commercial loan for specific impairment with additional allowance for credit losses recognized as necessary. For taxi medallion loans, the Company individually evaluates each loan and establishes a reserve based on fair value of collateral less cost to sell.

The allowance is evaluated on a quarterly basis by management based on the collectibility of the loans in light of historical experience, the nature and size of the loan portfolio, adverse situations that may affect the borrowers' ability to repay, estimated value of any underlying collateral, prevailing economic conditions, and excess concentration risks. This evaluation is inherently subjective, as it requires estimates, including those based on changes in economic conditions, that are susceptible to significant revision as more information becomes available. Credit losses are deducted from the allowance, and subsequent recoveries are added back to the allowance. The Company has elected to exclude accrued interest from its measurement of the allowance for credit losses.
Goodwill and Intangible Assets

Goodwill and Intangible Assets

Goodwill assets arose as a result of the excess of fair value over book value for several of our previously unconsolidated portfolio investment companies as of April 2, 2018. This fair value was brought forward under the Company's requirement to consolidate these previously unconsolidated subsidiaries and was subject to a purchase price accounting allocation process conducted by an independent third-party expert to arrive at the current categories and amounts. Goodwill is not amortized, but is subject to quarterly review by management to determine whether additional impairment testing is needed, and such testing is performed at least on an annual basis.

Other intangible assets with finite useful lives are amortized either on an accelerated or straight-line basis over their estimated useful lives. Other intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

As of September 30, 2026 and December 31, 2025, the Company had goodwill of $150.8 million, all of which related to the recreation and home improvement lending segments. As of September 30, 2026 and December 31, 2025, the Company had intangible assets of $16.6 million and $17.7 million. The Company recognized $0.4 million and $1.1 million of amortization expense on the intangible assets for the three and nine months ended September 30, 2026 and 2025.

Management engaged an independent third-party expert to perform a quantitative assessment of goodwill for impairment at October 1, 2025. The third-party expert, as of the most recent goodwill impairment testing date, determined that a fair value premium existed in excess of the carrying value of the recreation and home improvement lending segments. During the three and nine months ended September 30, 2026, the Company did not identify any triggering events that would require re-evaluation of goodwill impairment in either segment.

The table below presents the intangible assets as of the dates presented:

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Brand-related intellectual property

 

$

12,650

 

 

$

13,475

 

Home improvement contractor relationships

 

 

3,967

 

 

 

4,226

 

Total intangible assets

 

$

16,617

 

 

$

17,701

 

 
Fixed Assets

Fixed Assets

Fixed assets are carried at cost less accumulated depreciation and amortization, and are depreciated on a straight-line basis over their estimated useful lives of 3 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated economic useful life of the improvement. Depreciation and amortization expense was $0.7 million and $1.9 million for the three and nine months ended September 30, 2026 and $0.6 million and $1.9 million for the three and nine months ended September 30, 2025.
Deferred Costs

Deferred Costs

Deferred financing costs represent costs associated with obtaining the Company’s borrowing facilities, and are amortized on a straight line basis over the lives of the related financing agreements and life of the respective pool. Amortization expense, included as interest expense in the Consolidated Statements of Operations, was $1.4 million and $3.6 million for the three and nine months ended September 30, 2026 and was $1.1 million and $3.3 million for the three and nine months ended September 30, 2025. In addition, the Company capitalizes certain costs for transactions in the process of completion (other than business combinations), including those for potential investments, and the sourcing of other financing alternatives. Upon completion or termination of the transaction, any accumulated amounts will be amortized against income over an appropriate period, or written off. The amount of deferred financing costs on the Company’s balance sheet related to deposits and borrowing facilities was $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025, and there were no capitalized transaction costs as of September 30, 2026 and December 31, 2025.
Income Taxes

Income Taxes

Income taxes are accounted for using the asset and liability approach in accordance with FASB ASC Topic 740, Income Taxes, or ASC 740. Deferred tax assets and liabilities reflect the impact of temporary differences between the carrying amount of assets and liabilities and their tax basis and are stated at the enacted tax rates expected to apply in the year when taxes are actually paid or recovered. Deferred tax assets are also recorded for net operating losses, capital losses and any tax credit carryforwards. A valuation allowance is provided against a deferred tax asset when it is more likely than not that some or all of the deferred tax assets will not be realized. All available evidence, both positive and negative, is considered to determine whether a valuation allowance for deferred tax assets is needed. Items considered in determining the Company’s valuation allowance include expectations of future earnings of the appropriate tax character, recent historical financial results, tax planning strategies, the length of statutory carryforward periods and the expected timing of the reversal of temporary differences. The Company recognizes tax benefits of uncertain tax positions only when the position is more likely than not to be sustained assuming examination by tax authorities. The Company records income tax related interest and penalties, if applicable, within current income tax expense.
Earnings Per Share (EPS)

Earnings Per Share (EPS)

Basic earnings per share are computed by dividing net income resulting from operations available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if option contracts to issue common stock were exercised, or if restricted stock vests, and has been computed after considering the weighted average dilutive effect of the Company’s stock options and restricted stock. The Company uses the treasury stock method to calculate diluted EPS, which is a method of recognizing the use of proceeds that could be obtained upon exercise of options and warrants, including unvested compensation expense related to the shares, in computing diluted EPS. It assumes that any proceeds would be used to purchase common stock at the average market price during the period. The table below presents the calculation of basic and diluted EPS.

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands, except share and per share data)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Net income attributable to Medallion Financial Corp.

 

$

2,397

 

 

$

7,763

 

 

$

14,795

 

 

$

30,846

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,686,300

 

 

 

22,854,836

 

 

 

23,010,224

 

 

 

22,737,572

 

Effect of performance stock unit grants

 

 

325,130

 

 

 

846,953

 

 

 

409,435

 

 

 

677,325

 

Effect of restricted stock grants

 

 

316,923

 

 

 

435,236

 

 

 

369,388

 

 

 

457,726

 

Effect of dilutive stock options

 

 

318,918

 

 

 

300,108

 

 

 

278,376

 

 

 

259,217

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

 

23,647,271

 

 

 

24,437,133

 

 

 

24,067,423

 

 

 

24,131,840

 

Basic earnings per share

 

$

0.11

 

 

$

0.34

 

 

$

0.64

 

 

$

1.36

 

Diluted earnings per share

 

 

0.10

 

 

 

0.32

 

 

 

0.61

 

 

 

1.28

 

Potentially dilutive common shares excluded from the above calculations were 0 shares as of September 30, 2026 and 2025.

Stock Compensation

Stock Compensation

The Company follows FASB ASC Topic 718, or ASC 718, Compensation – Stock Compensation, for its equity incentive, stock option, and restricted stock plans, and accordingly, the Company recognizes the expense of these grants as required. Stock-based employee compensation costs pertaining to stock options are reflected in net income resulting from operations for any new grants using the fair values established by usage of the Black-Scholes option pricing model, expensed over the vesting period of the underlying option. Stock-based employee compensation costs pertaining to restricted stock and performance stock units, or PSUs, are reflected in net income resulting from operations for any new grants using the grant date fair value of the shares and units granted, expensed over the vesting period of the underlying stock.
Regulatory Capital

Regulatory Capital

The Bank is subject to various regulatory capital requirements administered by the FDIC and the Utah Department of Financial Institutions. Failure to meet minimum capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classifications are also subject to qualitative judgments by the bank regulators about components, risk weightings, and other factors.

FDIC-insured banks, including the Bank, are subject to certain federal laws, which impose various legal limitations on the extent to which banks may finance or otherwise supply funds to certain of their affiliates. In particular, the Bank is subject to certain restrictions on any extensions of credit to, or other covered transactions with, such as certain purchases of assets, the Company or its affiliates.

Quantitative measures established by regulation to ensure capital adequacy require the Bank to maintain minimum amounts and ratios as defined in the regulations (presented in the table below). Additionally, as conditions of granting the Bank’s application for federal deposit insurance, the FDIC ordered that the Tier 1 leverage capital to total assets ratio, as defined, be not less than 15%, a level which could affect the Bank's ability to pay dividends to the Company, and that an adequate allowance for credit losses be maintained. As of September 30, 2026 and December 31, 2025, the Bank’s Tier 1 leverage ratio was considered well-capitalized. The Bank had excess Tier 1 leverage capital of $69.6 million over the 15% minimum required, which was $438.5 million based on our total assets as of September 30, 2026. The Bank’s capital amounts and ratios and the regulatory minimum ratios are presented in the following table.

 

Regulatory

 

 

 

 

 

 

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-
Capitalized

 

 

September 30, 2026

 

 

December 31, 2025

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,787

 

 

$

356,038

 

Tier 1 capital

 

 

 

 

 

 

 

 

508,128

 

 

 

455,467

 

Total capital

 

 

 

 

 

 

 

 

544,737

 

 

 

487,292

 

Average assets

 

 

 

 

 

 

 

 

2,923,658

 

 

 

2,558,754

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,842,577

 

 

 

2,472,328

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.4

%

 

 

17.8

%

Common equity tier 1 capital ratio (2)

 

 

7.0

 

 

 

6.5

 

 

 

12.6

 

 

 

14.4

 

Tier 1 capital ratio (3)

 

 

8.5

 

 

 

8.0

 

 

 

17.9

 

 

 

18.4

 

Total capital ratio (3)

 

 

10.5

 

 

 

10.0

 

 

 

19.2

 

 

 

19.7

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.

In the above table, the minimum risk-based ratios as of September 30, 2026 and December 31, 2025 reflect the capital conservation buffer of 2.5%. The minimum regulatory requirements, inclusive of the capital conservation buffer, were the binding requirements for the risk-based requirements, and the “well-capitalized” requirements were the binding requirements for Tier 1 leverage capital as of both September 30, 2026 and December 31, 2025.
Recently Adopted Accounting Standards And Recently Issued Accounting Standards

Recently Issued Accounting Standards

In November 2024, the FASB issued ASU 2024-03, Income Statement, Reporting Comprehensive Income - Expense Disaggregation of Income Statement Expenses. This update requires additional disaggregation of specific types of expenses within the notes to consolidated financial statements on an annual and interim basis. In January 2025, the FASB issued ASU 2025-01 to clarify that all public business entities are required to adopt ASU 2024-03 for annual periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company is assessing the impact of the update on the accompanying financial statements.
Reclassifications

Reclassifications

Certain reclassifications have been made to prior year balances to conform with the current year presentation. These reclassifications have no effect on the previously reported results of operations.
v3.26.3
Summary of Significant Accounting Policies (Tables)
 9 Months Ended
Sep. 30, 2026
Accounting Policies [Abstract]  
Schedule of Intangible Assets

The table below presents the intangible assets as of the dates presented:

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Brand-related intellectual property

 

$

12,650

 

 

$

13,475

 

Home improvement contractor relationships

 

 

3,967

 

 

 

4,226

 

Total intangible assets

 

$

16,617

 

 

$

17,701

 

 
Summary of the Calculation of Basic and Diluted EPS The table below presents the calculation of basic and diluted EPS.

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands, except share and per share data)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Net income attributable to Medallion Financial Corp.

 

$

2,397

 

 

$

7,763

 

 

$

14,795

 

 

$

30,846

 

Weighted average common shares outstanding applicable to basic EPS

 

 

22,686,300

 

 

 

22,854,836

 

 

 

23,010,224

 

 

 

22,737,572

 

Effect of performance stock unit grants

 

 

325,130

 

 

 

846,953

 

 

 

409,435

 

 

 

677,325

 

Effect of restricted stock grants

 

 

316,923

 

 

 

435,236

 

 

 

369,388

 

 

 

457,726

 

Effect of dilutive stock options

 

 

318,918

 

 

 

300,108

 

 

 

278,376

 

 

 

259,217

 

Adjusted weighted average common shares outstanding applicable to diluted EPS

 

 

23,647,271

 

 

 

24,437,133

 

 

 

24,067,423

 

 

 

24,131,840

 

Basic earnings per share

 

$

0.11

 

 

$

0.34

 

 

$

0.64

 

 

$

1.36

 

Diluted earnings per share

 

 

0.10

 

 

 

0.32

 

 

 

0.61

 

 

 

1.28

 
Summary of Bank's Actual Capital Amounts and Ratios, and the Regulatory Minimum Ratios The Bank’s capital amounts and ratios and the regulatory minimum ratios are presented in the following table.

 

Regulatory

 

 

 

 

 

 

 

(Dollars in thousands)

 

Adequately Capitalized

 

 

Well-
Capitalized

 

 

September 30, 2026

 

 

December 31, 2025

 

Common equity tier 1 capital

 

 

 

 

 

 

 

$

356,787

 

 

$

356,038

 

Tier 1 capital

 

 

 

 

 

 

 

 

508,128

 

 

 

455,467

 

Total capital

 

 

 

 

 

 

 

 

544,737

 

 

 

487,292

 

Average assets

 

 

 

 

 

 

 

 

2,923,658

 

 

 

2,558,754

 

Risk-weighted assets

 

 

 

 

 

 

 

 

2,842,577

 

 

 

2,472,328

 

Leverage ratio (1)

 

 

4.0

%

 

 

5.0

%

 

 

17.4

%

 

 

17.8

%

Common equity tier 1 capital ratio (2)

 

 

7.0

 

 

 

6.5

 

 

 

12.6

 

 

 

14.4

 

Tier 1 capital ratio (3)

 

 

8.5

 

 

 

8.0

 

 

 

17.9

 

 

 

18.4

 

Total capital ratio (3)

 

 

10.5

 

 

 

10.0

 

 

 

19.2

 

 

 

19.7

 
(1)
Calculated by dividing Tier 1 capital by average assets.
(2)
Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
(3)
Calculated by dividing Tier 1 or total capital by risk-weighted assets.
v3.26.3
Investment Securities (Tables)
 9 Months Ended
Sep. 30, 2026
Schedule of Investments [Abstract]  
Summary of Fixed Maturity Securities Available for Sale

The following tables present details of fixed maturity securities available for sale as of September 30, 2026 and December 31, 2025.

September 30, 2026
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities, principally obligations of U.S. federal agencies

 

$

47,451

 

 

$

12

 

 

$

(5,130

)

 

$

42,333

 

State and municipalities

 

 

23,543

 

 

 

—

 

 

 

(2,143

)

 

 

21,400

 

Agency bonds

 

 

133

 

 

 

—

 

 

 

(13

)

 

 

120

 

Total

 

$

71,127

 

 

$

12

 

 

$

(7,286

)

 

$

63,853

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2025
(Dollars in thousands)

 

Amortized
Cost

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities, principally obligations of U.S. federal agencies

 

$

45,392

 

 

$

160

 

 

$

(3,381

)

 

$

42,171

 

State and municipalities

 

 

19,117

 

 

 

14

 

 

 

(1,251

)

 

 

17,880

 

Agency bonds

 

 

139

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

64,648

 

 

$

174

 

 

$

(4,639

)

 

$

60,183

 
Summary of Amortized Cost and Estimated Market Value of Investment Securities by Contractual Maturity

The amortized cost and estimated fair market value of investment securities at September 30, 2026 by contractual maturity are presented below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Mortgage‑backed securities are included in the table based on their contractual maturities and are reflected in each category below.

September 30, 2026
(Dollars in thousands)

 

Amortized
Cost

 

 

Fair
Value

 

Due in one year or less

 

$

338

 

 

$

345

 

Due after one year through five years

 

 

10,423

 

 

 

9,658

 

Due after five years through ten years

 

 

9,189

 

 

 

8,604

 

Due after ten years

 

 

51,177

 

 

 

45,246

 

Total

 

$

71,127

 

 

$

63,853

 
Summary of Securities with Gross Unrealized Losses

The following tables present information pertaining to securities with gross unrealized losses as of September 30, 2026 and December 31, 2025, aggregated by investment category and length of time that individual securities have been in a continuous loss position.

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

September 30, 2026
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(839

)

 

$

16,226

 

 

$

(4,291

)

 

$

25,334

 

State and municipalities

 

 

(332

)

 

 

8,411

 

 

 

(1,811

)

 

 

12,989

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(13

)

 

 

120

 

Total

 

$

(1,171

)

 

$

24,637

 

 

$

(6,115

)

 

$

38,443

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less than Twelve Months

 

 

Twelve Months and Over

 

December 31, 2025
(Dollars in thousands)

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

 

Gross
Unrealized
Losses

 

 

Fair
Value

 

Mortgage-backed securities

 

$

(13

)

 

$

3,420

 

 

$

(3,368

)

 

$

26,541

 

State and municipalities

 

 

(3

)

 

 

22

 

 

 

(1,248

)

 

 

14,840

 

Agency bonds

 

 

—

 

 

 

—

 

 

 

(7

)

 

 

132

 

Total

 

$

(16

)

 

$

3,442

 

 

$

(4,623

)

 

$

41,513

 

 
v3.26.3
Loans and Allowance for Credit Losses (Tables)
 9 Months Ended
Sep. 30, 2026
Text Block [Abstract]  
Summary of Inclusive Capitalized Loans

The following table presents the major classification of loans, inclusive of capitalized loan origination costs, as of September 30, 2026 and December 31, 2025.

 

 

September 30, 2026

 

 

December 31, 2025

 

(Dollars in thousands)

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

 

Amount

 

 

As a
Percent of
Total Loans (1)

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

Recreation

 

$

1,852,958

 

 

 

63

%

 

$

1,617,221

 

 

 

63

%

Home improvement

 

 

947,503

 

 

 

32

 

 

 

810,237

 

 

 

32

 

Commercial

 

 

118,691

 

 

 

4

 

 

 

123,068

 

 

 

5

 

Taxi medallion

 

 

1,209

 

 

*

 

 

 

1,179

 

 

*

 

Total loans

 

 

2,920,361

 

 

 

99

 

 

 

2,551,705

 

 

 

99

 

Loans held for sale, at lower of amortized cost or fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Strategic partnership

 

 

15,233

 

 

*

 

 

 

15,144

 

 

*

 

Total loans held for sale, at lower of amortized cost or fair value

 

 

15,233

 

 

*

 

 

 

15,144

 

 

*

 

Total loans and loans held for sale

 

$

2,935,594

 

 

 

100

%

 

$

2,566,849

 

 

 

100

%

(1) Percentage may not foot due to rounding.

(*) Less than 1%.
Schedule of Activity of Gross Loans

The following tables present the activity of the gross loans and loans held for sale for the three and nine months ended September 30, 2026.

Three Months Ended September 30, 2026
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – June 30, 2026

 

$

1,760,297

 

 

$

885,599

 

 

$

126,177

 

 

$

1,293

 

 

$

21,376

 

 

$

2,794,742

 

Loan originations

 

 

198,204

 

 

 

146,269

 

 

 

—

 

 

 

—

 

 

 

259,414

 

 

 

603,887

 

Principal receipts, sales, and maturities

 

 

(85,162

)

 

 

(81,950

)

 

 

(7,754

)

 

 

(37

)

 

 

(265,557

)

 

 

(440,460

)

Charge-offs

 

 

(21,212

)

 

 

(4,581

)

 

 

—

 

 

 

(13

)

 

 

—

 

 

 

(25,806

)

Transfer to loan collateral in process of foreclosure, net

 

 

(3,025

)

 

 

—

 

 

 

—

 

 

 

(34

)

 

 

—

 

 

 

(3,059

)

Amortization of origination fees and costs, net

 

 

(4,126

)

 

 

428

 

 

 

14

 

 

 

—

 

 

 

—

 

 

 

(3,684

)

Origination fees and costs, net

 

 

7,982

 

 

 

1,738

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

9,720

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

254

 

 

 

—

 

 

 

—

 

 

 

254

 

Gross loans – September 30, 2026

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

 

Nine Months Ended September 30, 2026
(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2025

 

$

1,617,221

 

 

$

810,237

 

 

$

123,068

 

 

$

1,179

 

 

$

15,144

 

 

$

2,566,849

 

Loan originations

 

 

569,221

 

 

 

339,311

 

 

 

7,134

 

 

 

266

 

 

 

676,496

 

 

 

1,592,428

 

Principal receipts, sales, and maturities

 

 

(271,356

)

 

 

(193,614

)

 

 

(12,172

)

 

 

(151

)

 

 

(676,407

)

 

 

(1,153,700

)

Charge-offs

 

 

(62,208

)

 

 

(13,097

)

 

 

(74

)

 

 

(51

)

 

 

—

 

 

 

(75,430

)

Transfer to loan collateral in process of foreclosure, net

 

 

(9,061

)

 

 

—

 

 

 

—

 

 

 

(34

)

 

 

—

 

 

 

(9,095

)

Amortization of origination fees and costs, net

 

 

(12,061

)

 

 

1,679

 

 

 

34

 

 

 

—

 

 

 

—

 

 

 

(10,348

)

Origination fees and costs, net

 

 

21,202

 

 

 

2,987

 

 

 

(143

)

 

 

—

 

 

 

—

 

 

 

24,046

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

844

 

 

 

—

 

 

 

—

 

 

 

844

 

Gross loans – September 30, 2026

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

 

The following tables present the activity of the gross loans and loans held for sale for the three and nine months ended September 30, 2025.

Three Months Ended September 30, 2025
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – June 30, 2025

 

$

1,546,252

 

 

$

803,535

 

 

$

121,415

 

 

$

1,564

 

 

$

12,285

 

 

$

2,485,051

 

Loan originations

 

 

141,667

 

 

 

59,711

 

 

 

17,500

 

 

 

125

 

 

 

208,352

 

 

 

427,355

 

Principal receipts, sales, and maturities

 

 

(68,918

)

 

 

(55,762

)

 

 

(3,009

)

 

 

(180

)

 

 

(205,360

)

 

 

(333,229

)

Charge-offs

 

 

(16,844

)

 

 

(3,840

)

 

 

(1,103

)

 

 

—

 

 

 

—

 

 

 

(21,787

)

Transfer to loan collateral in process of foreclosure, net

 

 

(2,508

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(2,508

)

Amortization of origination fees and costs, net

 

 

(3,768

)

 

 

1,040

 

 

 

3

 

 

 

—

 

 

 

—

 

 

 

(2,725

)

Origination fees and costs, net

 

 

7,288

 

 

 

(681

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,607

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

317

 

 

 

—

 

 

 

—

 

 

 

317

 

Gross loans – September 30, 2025

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 
(1)
Includes loans held for sale and loans held for investment.

Nine Months Ended September 30, 2025
(Dollars in thousands)

 

Recreation (1)

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion

 

 

Strategic
Partnership

 

 

Total

 

Gross loans – December 31, 2024

 

$

1,543,243

 

 

$

827,211

 

 

$

111,273

 

 

$

1,909

 

 

$

7,386

 

 

$

2,491,022

 

Loan originations

 

 

371,289

 

 

 

162,760

 

 

 

36,575

 

 

 

197

 

 

 

513,229

 

 

 

1,084,050

 

Principal receipts, sales, and maturities

 

 

(253,630

)

 

 

(173,753

)

 

 

(12,320

)

 

 

(582

)

 

 

(505,338

)

 

 

(945,623

)

Charge-offs

 

 

(53,391

)

 

 

(13,018

)

 

 

(1,233

)

 

 

(15

)

 

 

—

 

 

 

(67,657

)

Transfer to loan collateral in process of foreclosure, net

 

 

(8,353

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(8,353

)

Amortization of origination fees and costs, net

 

 

(10,995

)

 

 

3,329

 

 

 

26

 

 

 

—

 

 

 

—

 

 

 

(7,640

)

Origination fees and costs, net

 

 

15,006

 

 

 

(2,526

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12,480

 

Paid-in-kind interest

 

 

—

 

 

 

—

 

 

 

802

 

 

 

—

 

 

 

—

 

 

 

802

 

Gross loans – September 30, 2025

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 
(1)
Includes loans held for sale and loans held for investment.
Summary of Activity in Allowance for Loan Losses

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30, 2026.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2025

 

$

85,956

 

 

$

19,563

 

 

$

9,052

 

 

$

218

 

 

$

114,789

 

Charge-offs

 

 

(22,491

)

 

 

(4,351

)

 

 

—

 

 

 

(38

)

 

 

(26,880

)

Recoveries

 

 

4,820

 

 

 

1,465

 

 

 

5

 

 

 

21

 

 

 

6,311

 

Provision (benefit) for credit losses

 

 

18,445

 

 

 

3,618

 

 

 

459

 

 

 

(46

)

 

 

22,476

 

Balance at March 31, 2026

 

 

86,730

 

 

 

20,295

 

 

 

9,516

 

 

 

155

 

 

 

116,696

 

Charge-offs

 

 

(18,505

)

 

 

(4,165

)

 

 

(74

)

 

 

—

 

 

 

(22,744

)

Recoveries

 

 

5,158

 

 

 

1,276

 

 

 

—

 

 

 

42

 

 

 

6,476

 

Provision (benefit) for credit losses

 

 

17,501

 

 

 

4,066

 

 

 

774

 

 

 

(68

)

 

 

22,273

 

Balance at June 30, 2026

 

 

90,884

 

 

 

21,472

 

 

 

10,216

 

 

 

129

 

 

 

122,701

 

Charge-offs

 

 

(21,212

)

 

 

(4,581

)

 

 

—

 

 

 

(13

)

 

 

(25,806

)

Recoveries

 

 

4,954

 

 

 

1,283

 

 

 

5

 

 

 

(11

)

 

 

6,231

 

Provision (benefit) for credit losses

 

 

23,515

 

 

 

6,320

 

 

 

972

 

 

 

(38

)

 

 

30,769

 

Balance at September 30, 2026

 

$

98,141

 

 

$

24,494

 

 

$

11,193

 

 

$

67

 

 

$

133,895

 
(1)
As of September 30, 2026, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $161.7 million, including $98.1 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.

The following table presents the activity in the allowance for credit losses for the three and nine months ended September 30, 2025.

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial

 

 

Taxi
Medallion (1)

 

 

Total

 

Balance at December 31, 2024

 

$

71,102

 

 

$

20,536

 

 

$

5,190

 

 

$

540

 

 

$

97,368

 

Charge-offs

 

 

(20,274

)

 

 

(4,227

)

 

 

(130

)

 

 

(15

)

 

 

(24,646

)

Recoveries

 

 

3,860

 

 

 

1,095

 

 

 

—

 

 

 

675

 

 

 

5,630

 

Provision (benefit) for credit losses

 

 

16,870

 

 

 

2,845

 

 

 

3,114

 

 

 

(815

)

 

 

22,014

 

Balance at March 31, 2025

 

 

71,558

 

 

 

20,249

 

 

 

8,174

 

 

 

385

 

 

 

100,366

 

Charge-offs

 

 

(16,273

)

 

 

(4,951

)

 

 

—

 

 

 

—

 

 

 

(21,224

)

Recoveries

 

 

4,419

 

 

 

1,190

 

 

 

10

 

 

 

573

 

 

 

6,192

 

Provision (benefit) for credit losses

 

 

15,336

 

 

 

3,934

 

 

 

2,912

 

 

 

(620

)

 

 

21,562

 

Balance at June 30, 2025

 

 

75,040

 

 

 

20,422

 

 

 

11,096

 

 

 

338

 

 

 

106,896

 

Charge-offs

 

 

(16,844

)

 

 

(3,840

)

 

 

(1,103

)

 

 

—

 

 

 

(21,787

)

Recoveries

 

 

3,965

 

 

 

1,758

 

 

 

(10

)

 

 

1,675

 

 

 

7,388

 

Provision (benefit) for credit losses

 

 

16,708

 

 

 

2,125

 

 

 

1,414

 

 

 

(1,691

)

 

 

18,556

 

Balance at September 30, 2025

 

$

78,869

 

 

$

20,465

 

 

$

11,397

 

 

$

322

 

 

$

111,053

 
(1)
As of September 30, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $172.6 million, including $107.5 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
Summary of Gross Charge Offs

The following tables present the gross charge-offs for the three and nine months ended September 30, 2026, by the year of origination.

Three Months Ended September 30, 2026
(Dollars in thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Total

 

Recreation

 

$

1,089

 

 

$

4,960

 

 

$

4,705

 

 

$

3,651

 

 

$

3,249

 

 

$

3,558

 

 

$

21,212

 

Home improvement

 

 

219

 

 

 

995

 

 

 

693

 

 

 

1,161

 

 

 

997

 

 

 

516

 

 

 

4,581

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

13

 

 

 

13

 

Total

 

$

1,308

 

 

$

5,955

 

 

$

5,398

 

 

$

4,812

 

 

$

4,246

 

 

$

4,087

 

 

$

25,806

 

 

Nine Months Ended September 30, 2026
(Dollars in thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Total

 

Recreation

 

$

1,201

 

 

$

12,215

 

 

$

14,194

 

 

$

11,803

 

 

$

10,408

 

 

$

12,387

 

 

$

62,208

 

Home improvement

 

 

316

 

 

 

1,794

 

 

 

2,417

 

 

 

3,754

 

 

 

2,788

 

 

 

2,028

 

 

 

13,097

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

74

 

 

 

74

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

51

 

 

 

51

 

Total

 

$

1,517

 

 

$

14,009

 

 

$

16,611

 

 

$

15,557

 

 

$

13,196

 

 

$

14,540

 

 

$

75,430

 

The following tables present the gross charge-offs for the three and nine months ended September 30, 2025, by the year of origination.

Three Months Ended September 30, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

774

 

 

$

3,803

 

 

$

4,041

 

 

$

4,136

 

 

$

1,975

 

 

$

2,115

 

 

$

16,844

 

Home improvement

 

 

26

 

 

 

957

 

 

 

929

 

 

 

1,109

 

 

 

358

 

 

 

461

 

 

 

3,840

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,103

 

 

 

1,103

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

800

 

 

$

4,760

 

 

$

4,970

 

 

$

5,245

 

 

$

2,333

 

 

$

3,679

 

 

$

21,787

 

 

Nine Months Ended September 30, 2025
(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total

 

Recreation

 

$

785

 

 

$

10,343

 

 

$

11,665

 

 

$

13,081

 

 

$

6,014

 

 

$

11,503

 

 

$

53,391

 

Home improvement

 

 

26

 

 

 

2,905

 

 

 

4,135

 

 

 

3,303

 

 

 

1,429

 

 

 

1,220

 

 

 

13,018

 

Commercial

 

 

—

 

 

 

—

 

 

 

—

 

 

 

130

 

 

 

—

 

 

 

1,103

 

 

 

1,233

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15

 

 

 

15

 

Total

 

$

811

 

 

$

13,248

 

 

$

15,800

 

 

$

16,514

 

 

$

7,443

 

 

$

13,841

 

 

$

67,657

 

 
Summary of Allowance for Loan Losses by Type

The following table presents the allowance for credit losses by type as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

98,141

 

 

 

73

%

 

 

5.30

%

Home improvement

 

 

24,494

 

 

 

18

 

 

 

2.59

 

Commercial

 

 

11,193

 

 

 

8

 

 

 

9.43

 

Taxi medallion

 

 

67

 

 

*

 

 

 

5.54

 

Total (1)

 

$

133,895

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of September 30, 2026, total allowance for credit losses as a percent of nonaccrual loans was 279%.

(*) Less than 0.1%.

The following table presents the allowance for credit losses by type as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Amount

 

 

Percentage
of Allowance

 

 

Allowance as
a Percent of
Loan Category (2)

 

Recreation

 

$

85,956

 

 

 

75

%

 

 

5.32

%

Home improvement

 

 

19,563

 

 

 

17

 

 

 

2.41

 

Commercial

 

 

9,052

 

 

 

8

 

 

 

7.36

 

Taxi medallion

 

 

218

 

 

*

 

 

 

18.49

 

Total (1)

 

$

114,789

 

 

 

100

%

 

 

 
(1)
Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
(2)
As of December 31, 2025, total allowance for credit losses as a percent of nonaccrual loans was 281%.

(*) Less than 0.1%.
Summary of Performance Status of Loan and Loans Held for Sale

The following table presents the performance status of loans as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,839,945

 

 

$

13,013

 

 

$

1,852,958

 

 

 

0.70

%

Home improvement

 

 

945,761

 

 

 

1,742

 

 

 

947,503

 

 

 

0.18

 

Commercial

 

 

86,582

 

 

 

32,109

 

 

 

118,691

 

 

 

27.05

 

Taxi medallion

 

 

—

 

 

 

1,209

 

 

 

1,209

 

 

 

100.00

 

Strategic partnership

 

 

15,233

 

 

 

—

 

 

 

15,233

 

 

 

—

 

Total

 

$

2,887,521

 

 

$

48,073

 

 

$

2,935,594

 

 

 

1.64

%

The following table presents the performance status of loans as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Performing

 

 

Nonperforming

 

 

Total

 

 

Percentage of
Nonperforming
to Total

 

Recreation

 

$

1,603,542

 

 

$

13,679

 

 

$

1,617,221

 

 

 

0.85

%

Home improvement

 

 

808,943

 

 

 

1,294

 

 

 

810,237

 

 

 

0.16

 

Commercial

 

 

98,380

 

 

 

24,688

 

 

 

123,068

 

 

 

20.06

 

Taxi medallion

 

 

—

 

 

 

1,179

 

 

 

1,179

 

 

 

100.00

 

Strategic partnership

 

 

15,144

 

 

 

—

 

 

 

15,144

 

 

 

—

 

Total

 

$

2,526,009

 

 

$

40,840

 

 

$

2,566,849

 

 

 

1.59

%
Summary of Aging of Loans and Loan Delinquency

The following table presents the aging of loans as of September 30, 2026.

September 30, 2026

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

53,033

 

 

$

22,253

 

 

$

11,874

 

 

$

87,160

 

 

$

1,701,537

 

 

$

1,788,697

 

 

$

—

 

Home improvement

 

 

5,385

 

 

 

3,183

 

 

 

1,743

 

 

 

10,311

 

 

 

935,474

 

 

 

945,785

 

 

 

—

 

Commercial

 

 

5,811

 

 

 

—

 

 

 

15,897

 

 

 

21,708

 

 

 

97,239

 

 

 

118,947

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,209

 

 

 

1,209

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,233

 

 

 

15,233

 

 

 

—

 

Total

 

$

64,229

 

 

$

25,436

 

 

$

29,514

 

 

$

119,179

 

 

$

2,750,692

 

 

$

2,869,871

 

 

$

—

 
(1)
Excludes $65.7 million of capitalized loan origination costs and fees.

The following table presents the aging of loans as of December 31, 2025.

December 31, 2025

 

Days Past Due

 

 

 

 

 

 

 

 

 

 

 

Recorded
Investment
90 Days and

 

(Dollars in thousands)

 

30-59

 

 

60-89

 

 

90 +

 

 

Total

 

 

Current

 

 

Total (1)

 

 

Accruing

 

Recreation

 

$

56,911

 

 

$

22,890

 

 

$

12,856

 

 

$

92,657

 

 

$

1,469,444

 

 

$

1,562,101

 

 

$

—

 

Home improvement

 

 

4,891

 

 

 

2,367

 

 

 

1,300

 

 

 

8,558

 

 

 

804,627

 

 

 

813,185

 

 

 

—

 

Commercial

 

 

—

 

 

 

—

 

 

 

10,274

 

 

 

10,274

 

 

 

112,942

 

 

 

123,216

 

 

 

—

 

Taxi medallion

 

 

—

 

 

 

—

 

 

 

41

 

 

 

41

 

 

 

1,138

 

 

 

1,179

 

 

 

—

 

Strategic partnership

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

15,144

 

 

 

15,144

 

 

 

—

 

Total

 

$

61,802

 

 

$

25,257

 

 

$

24,471

 

 

$

111,530

 

 

$

2,403,295

 

 

$

2,514,825

 

 

$

—

 
(1)
Excludes $52.0 million of capitalized loan origination costs.

The following table presents loan delinquency for recreation and home improvement loans as of September 30, 2026, by the year of origination:

(Dollars in thousands)

 

2026

 

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

531,341

 

 

$

364,230

 

 

$

240,167

 

 

$

186,298

 

 

$

171,240

 

 

$

208,261

 

 

$

1,701,537

 

 30-59 Days

 

 

4,256

 

 

 

10,364

 

 

 

9,921

 

 

 

9,691

 

 

 

8,592

 

 

 

10,209

 

 

 

53,033

 

 60-89 Days

 

 

1,930

 

 

 

4,665

 

 

 

4,847

 

 

 

3,591

 

 

 

3,283

 

 

 

3,937

 

 

 

22,253

 

 90 + Days

 

 

956

 

 

 

2,561

 

 

 

2,322

 

 

 

2,014

 

 

 

1,962

 

 

 

2,059

 

 

 

11,874

 

 Total Recreation

 

$

538,483

 

 

$

381,820

 

 

$

257,257

 

 

$

201,594

 

 

$

185,077

 

 

$

224,466

 

 

$

1,788,697

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

316,172

 

 

$

145,586

 

 

$

131,006

 

 

$

106,805

 

 

$

126,836

 

 

$

109,069

 

 

$

935,474

 

 30-59 Days

 

 

677

 

 

 

651

 

 

 

751

 

 

 

1,387

 

 

 

1,208

 

 

 

711

 

 

 

5,385

 

 60-89 Days

 

 

433

 

 

 

532

 

 

 

630

 

 

 

594

 

 

 

640

 

 

 

354

 

 

 

3,183

 

 90 + Days

 

 

29

 

 

 

301

 

 

 

186

 

 

 

551

 

 

 

456

 

 

 

220

 

 

 

1,743

 

 Total Home improvement

 

$

317,311

 

 

$

147,070

 

 

$

132,573

 

 

$

109,337

 

 

$

129,140

 

 

$

110,354

 

 

$

945,785

 
(1)
Excludes $64.3 million and $1.7 million of capitalized net loan origination costs for recreation and home improvement loans.

The following table presents loan delinquency for recreation and home improvement loans as of December 31, 2025, by the year of origination:

(Dollars in thousands)

 

2025

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

Prior

 

 

Total (1)

 

 Recreation

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

423,427

 

 

$

335,079

 

 

$

237,917

 

 

$

209,204

 

 

$

132,704

 

 

$

131,113

 

 

$

1,469,444

 

 30-59 Days

 

 

8,210

 

 

 

12,763

 

 

 

11,042

 

 

 

10,623

 

 

 

6,061

 

 

 

8,212

 

 

 

56,911

 

 60-89 Days

 

 

2,374

 

 

 

5,414

 

 

 

4,918

 

 

 

4,872

 

 

 

2,581

 

 

 

2,731

 

 

 

22,890

 

 90 + Days

 

 

1,487

 

 

 

3,136

 

 

 

2,803

 

 

 

2,329

 

 

 

1,347

 

 

 

1,754

 

 

 

12,856

 

 Total Recreation

 

$

435,498

 

 

$

356,392

 

 

$

256,680

 

 

$

227,028

 

 

$

142,693

 

 

$

143,810

 

 

$

1,562,101

 

 Home improvement

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Current

 

$

193,964

 

 

$

172,735

 

 

$

151,637

 

 

$

151,365

 

 

$

71,812

 

 

$

63,114

 

 

$

804,627

 

 30-59 Days

 

 

535

 

 

 

980

 

 

 

1,609

 

 

 

876

 

 

 

513

 

 

 

378

 

 

 

4,891

 

 60-89 Days

 

 

353

 

 

 

761

 

 

 

441

 

 

 

455

 

 

 

199

 

 

 

158

 

 

 

2,367

 

 90 + Days

 

 

—

 

 

 

410

 

 

 

417

 

 

 

331

 

 

 

42

 

 

 

100

 

 

 

1,300

 

 Total Home improvement

 

$

194,852

 

 

$

174,886

 

 

$

154,104

 

 

$

153,027

 

 

$

72,566

 

 

$

63,750

 

 

$

813,185

 
(1)
Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of net deferred home improvement loan origination fees.
v3.26.3
Funds Borrowed (Tables)
 9 Months Ended
Sep. 30, 2026
Debt Disclosure [Abstract]  
Schedule of Outstanding Balances of Funds Borrowed

The following table presents outstanding balances of funds borrowed.

 

Payments Due for the Twelve Months Ending September 30,

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

2031

 

 

Thereafter

 

 

September 30, 2026 (1)

 

 

December 31, 2025 (1)

 

 

Interest
Rate (2)

 

Deposits (3)

 

$

928,317

 

 

$

566,803

 

 

$

421,940

 

 

$

258,312

 

 

$

209,291

 

 

$

—

 

 

$

2,384,663

 

 

$

2,083,335

 

 

 

3.98

%

Privately placed notes

 

 

—

 

 

 

92,750

 

 

 

—

 

 

 

—

 

 

 

75,000

 

 

 

22,500

 

 

 

190,250

 

 

 

146,500

 

 

 

8.31

 

SBA debentures and borrowings

 

 

2,000

 

 

 

1,250

 

 

 

1,250

 

 

 

3,000

 

 

 

8,500

 

 

 

55,000

 

 

 

71,000

 

 

 

85,000

 

 

 

4.15

 

Trust preferred securities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

33,000

 

 

 

33,000

 

 

 

33,000

 

 

 

6.23

 

Federal reserve and other borrowings

 

 

75,000

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

75,000

 

 

 

50,000

 

 

 

4.00

 

Strategic partner collateral deposits

 

 

7,125

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,125

 

 

 

6,081

 

 

 

3.64

 

Total

 

$

1,012,442

 

 

$

660,803

 

 

$

423,190

 

 

$

261,312

 

 

$

292,791

 

 

$

110,500

 

 

$

2,761,038

 

 

$

2,403,916

 

 

 

4.30

%
(1)
Excludes deferred financing costs of $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025.
(2)
Weighted average contractual rate as of September 30, 2026.
(3)
Balance includes $100.5 million and $3.7 million in retail savings deposit balances as of September 30, 2026 and December 31, 2025.
Summary of Maturity of Deposit Pools and Savings Deposits, Including Strategic Partner Reserve Deposits The following table presents the maturity of the deposit pools, which includes strategic partner reserve deposits, as of September 30, 2026.

(Dollars in thousands)

 

September 30, 2026

 

Three months or less

 

$

249,847

 

Over three months through six months

 

 

179,501

 

Over six months through one year

 

 

498,969

 

Over one year

 

 

1,456,346

 

Deposits

 

 

2,384,663

 

Strategic partner collateral deposits

 

 

7,125

 

Total deposits

 

$

2,391,788

 
Schedule of Private Placement Notes The following table presents the private placement notes outstanding as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

September 30, 2026

 

 

December 31, 2025

 

December 2020

 

December 2027

 

 

7.500

%

 

Semi-annually

 

$

53,750

 

 

$

53,750

 

February 2021

 

February 2026

 

 

7.250

%

 

Semi-annually

 

 

—

 

 

 

31,250

 

September 2023

 

September 2028

 

 

9.250

%

 

Semi-annually

 

 

39,000

 

 

 

39,000

 

June 2024

 

June 2039

 

 

8.875

%

 

Semi-annually

 

 

17,500

 

 

 

17,500

 

August 2024

 

August 2039

 

 

8.625

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

April 2026

 

May 2031

 

 

8.250

%

 

Semi-annually

 

 

75,000

 

 

 

—

 

 

 

 

 

 

 

 

 

 

$

190,250

 

 

$

146,500

 
Schedule of SBA Debentures and Borrowings

The following table presents the SBA debentures and borrowings as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

Date of Notes

 

Maturity

 

Interest Rate

 

 

Interest Payable

 

September 30, 2026

 

 

December 31, 2025

 

March 2016

 

March 2026

 

 

3.25

%

 

Semi-annually

 

$

—

 

 

$

1,500

 

March 2016

 

March 2026

 

 

3.18

%

 

Semi-annually

 

 

—

 

 

 

10,000

 

May 2016

 

September 2026

 

 

2.72

%

 

Semi-annually

 

 

—

 

 

 

2,500

 

March 2017

 

March 2027

 

 

3.52

%

 

Semi-annually

 

 

2,000

 

 

 

2,000

 

September 2018

 

September 2028

 

 

4.22

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

March 2019

 

March 2029

 

 

3.79

%

 

Semi-annually

 

 

1,250

 

 

 

1,250

 

September 2020

 

September 2030

 

 

1.71

%

 

Semi-annually

 

 

3,000

 

 

 

3,000

 

June 2021

 

September 2031

 

 

1.58

%

 

Semi-annually

 

 

8,500

 

 

 

8,500

 

October 2021

 

March 2032

 

 

3.21

%

 

Semi-annually

 

 

7,000

 

 

 

7,000

 

October 2022

 

March 2033

 

 

5.44

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

April 2023

 

September 2033

 

 

5.96

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

September 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

4,750

 

 

 

4,750

 

November 2023

 

March 2034

 

 

5.08

%

 

Semi-annually

 

 

5,000

 

 

 

5,000

 

March 2025

 

September 2035

 

 

4.58

%

 

Semi-annually

 

 

10,250

 

 

 

10,250

 

August 2025

 

September 2035

 

 

4.66

%

 

Semi-annually

 

 

18,500

 

 

 

18,500

 

 

 

 

 

 

 

 

 

 

$

71,000

 

 

$

85,000

 
v3.26.3
Leases (Tables)
 9 Months Ended
Sep. 30, 2026
Leases [Abstract]  
Schedule of Operating Lease Costs and Additional Information

The following table presents the operating lease costs and additional information for the three and nine months ended September 30, 2026 and 2025.

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Operating lease costs

 

$

804

 

 

$

588

 

 

$

1,196

 

 

$

1,764

 

Cash paid for amounts included in the measurement of lease liabilities

 

 

 

 

 

 

 

 

 

 

 

 

Operating cash flows from operating leases

 

 

710

 

 

 

680

 

 

 

2,105

 

 

 

2,036

 

Right-of-use asset obtained in exchange for lease liability

 

 

318

 

 

 

(63

)

 

 

344

 

 

 

(189

)
Schedule of Breakout of Operating Leases

The following table presents the breakout of the operating leases as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Operating lease right-of-use assets

 

$

12,757

 

 

$

6,896

 

Other current liabilities

 

 

1,159

 

 

 

2,205

 

Operating lease liabilities

 

 

11,409

 

 

 

5,041

 

Total operating lease liabilities

 

 

12,568

 

 

 

7,246

 

Weighted average remaining lease term

 

9.1 years

 

 

5.8 years

 

Weighted average discount rate

 

 

7.61

%

 

 

5.90

%
Schedule of Maturities of the Lease Liabilities

At September 30, 2026, maturities of the lease liabilities were as follows:

(Dollars in thousands)

 

 

 

Remainder of 2026

 

$

183

 

2027

 

 

1,350

 

2028

 

 

1,984

 

2029

 

 

2,005

 

2030

 

 

2,026

 

Thereafter

 

 

10,494

 

Total lease payments

 

 

18,042

 

Less imputed interest

 

 

5,474

 

Total operating lease liabilities

 

$

12,568

 
v3.26.3
Income Taxes (Tables)
 9 Months Ended
Sep. 30, 2026
Income Tax Disclosure [Abstract]  
Summary of Components of Deferred Tax Assets and Liabilities

The following table presents the significant components of the Company's deferred tax assets and liabilities as of September 30, 2026 and December 31, 2025.

(Dollars in thousands)

 

September 30, 2026

 

 

December 31, 2025

 

Deferred tax assets:

 

 

 

 

 

 

Provision for credit losses

 

$

19,809

 

 

$

17,700

 

Accrued expenses, compensation, and other assets

 

 

4,279

 

 

 

5,868

 

Net operating loss carryforwards (1)

 

 

2,648

 

 

 

2,648

 

Other investments and investment securities

 

 

3,485

 

 

 

2,553

 

Valuation allowance

 

 

(4,786

)

 

 

(5,957

)

Total deferred tax assets

 

 

25,435

 

 

 

22,812

 

Deferred tax liabilities:

 

 

 

 

 

 

Goodwill and other intangibles

 

 

42,136

 

 

 

42,408

 

Total deferred tax liabilities

 

 

42,136

 

 

 

42,408

 

Deferred tax liability, net

 

$

16,701

 

 

$

19,596

 
(1)
As of September 30, 2026, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had a net carrying value of $0.1 million as of September 30, 2026.
Summary of Components of Tax Provision

The following table presents the components of the Company's tax provision for the three and nine months ended September 30, 2026 and 2025:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Current

 

 

 

 

 

 

 

 

 

 

 

 

Federal

 

$

3,700

 

 

$

4,467

 

 

$

9,836

 

 

$

14,885

 

State

 

 

1,419

 

 

 

1,646

 

 

 

3,818

 

 

 

5,737

 

Deferred

 

 

 

 

 

 

 

 

 

 

 

 

Federal

 

 

(2,000

)

 

 

(398

)

 

 

(1,630

)

 

 

(1,846

)

State

 

 

(783

)

 

 

147

 

 

 

(643

)

 

 

(396

)

Net provision for income taxes

 

$

2,336

 

 

$

5,862

 

 

$

11,381

 

 

$

18,380

 
Summary of Reconciliation of Statutory Federal Income Tax Provision to Consolidated Actual Income Tax Provision

The following table presents a reconciliation of statutory federal income tax provision to consolidated actual income tax provision reported for the three and nine months ended September 30, 2026 and 2025.

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

 

Amount

 

 

Percent (1)

 

Statutory Federal income tax provision

 

$

1,484

 

 

 

21

%

 

$

4,090

 

 

 

21

%

 

$

6,968

 

 

 

21

%

 

$

12,429

 

 

 

21

%

State and local income taxes, net of federal income tax benefit

 

 

288

 

 

 

4

 

 

 

888

 

 

 

5

 

 

 

2,014

 

 

 

6

 

 

 

2,700

 

 

 

5

 

Non-deductible expenses

 

 

370

 

 

 

5

 

 

 

513

 

 

 

3

 

 

 

1,868

 

 

 

6

 

 

 

1,523

 

 

 

3

 

Valuation allowance against deferred tax assets

 

 

934

 

 

 

13

 

 

 

1,319

 

 

 

7

 

 

 

(1,171

)

 

 

(4

)

 

 

1,453

 

 

 

2

 

Stock-based compensation

 

 

(1,117

)

 

 

(16

)

 

 

(1,377

)

 

 

(7

)

 

 

1,224

 

 

 

4

 

 

 

(1,203

)

 

 

(2

)

Change in effective state income tax rates and accrual

 

 

—

 

 

 

—

 

 

 

170

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

866

 

 

 

1

 

Other

 

 

377

 

 

 

5

 

 

 

259

 

 

 

1

 

 

 

478

 

 

 

1

 

 

 

612

 

 

 

1

 

Total income tax provision

 

$

2,336

 

 

 

33

%

 

$

5,862

 

 

 

30

%

 

$

11,381

 

 

 

34

%

 

$

18,380

 

 

 

31

%
(1)
Percentage may not foot due to rounding.
v3.26.3
Stock Options and Restricted Stock (Tables)
 9 Months Ended
Sep. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Summary of Activity for Performance Stock Units and Restricted Stock Programs The following table presents the PSU activity for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Shares

 

 

 

Grant Price
Per Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2024

 

 

512,131

 

 

$

6.08 - 8.97

 

 

$

7.30

 

Granted

 

 

311,723

 

 

 

 

8.47

 

 

 

8.47

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at December 31, 2025

 

 

823,854

 

 

 

6.08 - 8.97

 

 

 

7.74

 

Granted

 

 

216,940

 

 

 

 

10.34

 

 

 

10.34

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested (1)

 

 

(296,444

)

 

 

 

6.08

 

 

 

6.08

 

Outstanding at March 31, 2026

 

 

744,350

 

 

 

8.47 - 10.36

 

 

 

9.17

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(67,788

)

 

 

8.47 - 8.97

 

 

 

8.71

 

Vested (1)

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at June 30, 2026

 

 

676,562

 

 

 

8.47 - 10.36

 

 

 

9.21

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at September 30, 2026

 

 

676,562

 

 

$

8.47 - 10.36

 

 

$

9.21

 
(1)
During the three and nine months ended September 30, 2026, 0 and 652,577 shares were used in connection with the vesting and settlement of PSUs.

 

The following table presents restricted stock activity for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Shares

 

 

 

Grant Price
Per Share

 

 

Weighted
Average
Grant Price

 

Outstanding at December 31, 2024

 

 

909,028

 

 

$

4.89 - 10.32

 

 

$

8.30

 

Granted

 

 

332,918

 

 

 

8.47 - 10.57

 

 

 

8.63

 

Cancelled

 

 

(5,373

)

 

 

4.89 - 10.32

 

 

 

9.16

 

Vested (1)

 

 

(484,823

)

 

 

4.89 - 8.97

 

 

 

7.70

 

Outstanding at December 31, 2025

 

 

751,750

 

 

 

8.08 - 10.57

 

 

 

8.83

 

Granted

 

 

344,206

 

 

 

 

10.36

 

 

 

10.36

 

Cancelled

 

 

(1,569

)

 

 

9.37 - 10.32

 

 

 

9.82

 

Vested

 

 

(374,797

)

 

 

8.08 - 9.37

 

 

 

8.67

 

Outstanding at March 31, 2026

 

 

719,590

 

 

 

8.47 - 10.57

 

 

 

9.64

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,140

)

 

 

8.47 - 10.57

 

 

 

9.78

 

Vested (1)

 

 

(92,978

)

 

 

8.47 - 10.36

 

 

 

9.72

 

Outstanding at June 30, 2026 (2)

 

 

593,472

 

 

 

8.47 - 10.57

 

 

 

9.62

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(16,758

)

 

 

8.47 - 10.57

 

 

 

9.55

 

Vested (1)

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at September 30, 2026 (2)

 

 

576,714

 

 

$

8.47 - 10.57

 

 

$

9.62

 
(1)
The aggregate fair value of the restricted stock vested, on the date of vesting, was $4.7 million for the nine months ended September 30, 2026 and $4.2 million for the year ended December 31, 2025.
(2)
The aggregate fair value of the unvested restricted stock was $6.9 million as of September 30, 2026. The remaining vesting period was 2.4 years at September 30, 2026.
Summary of Activity for Stock Option Programs

The following table presents stock option activity for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2024

 

 

913,909

 

 

$

2.14 - 9.38

 

 

$

6.52

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(33,770

)

 

 

4.89 - 9.38

 

 

 

7.37

 

Exercised

 

 

(82,081

)

 

 

4.89 - 7.25

 

 

 

6.29

 

Outstanding at December 31, 2025

 

 

798,058

 

 

 

2.14 - 9.38

 

 

 

6.50

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(607

)

 

 

 

—

 

 

 

5.98

 

Exercised (1)

 

 

(2,224

)

 

 

4.89 - 7.25

 

 

 

5.85

 

Outstanding at March 31, 2026

 

 

795,227

 

 

 

2.14 - 7.25

 

 

 

6.50

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(2,255

)

 

 

4.89 - 7.25

 

 

 

6.52

 

Exercised (1)

 

 

(13,154

)

 

 

4.89 - 7.25

 

 

 

6.68

 

Outstanding at June 30, 2026 (2)

 

 

779,818

 

 

 

2.14 - 7.25

 

 

 

6.50

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(806

)

 

 

6.55 – 7.25

 

 

 

6.95

 

Exercised (1)

 

 

(9,678

)

 

 

4.89 – 7.25

 

 

 

5.49

 

Outstanding at September 30, 2026 (2)

 

 

769,334

 

 

$

2.14 - 7.25

 

 

$

6.51

 

Options exercisable at:

 

 

 

 

 

 

 

 

 

 

December 31, 2025

 

 

798,058

 

 

$

2.14 - 9.38

 

 

$

6.50

 

September 30, 2026 (2)

 

 

769,334

 

 

$

2.14 - 7.25

 

 

$

6.51

 
(1)
The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was less than $0.1 million and $0.1 million for the three and nine months ended September 30, 2026 and was $0.3 million for the year ended December 31, 2025.
(2)
The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at September 30, 2026 and the related exercise price of the underlying options, was $4.1 million for outstanding options, all of which had previously vested. The remaining contractual life was 3.4 years for outstanding options at September 30, 2026.
Summary of Activity for Unvested Options Outstanding

The following table presents activity for the unvested options outstanding under the plans for the nine months ended September 30, 2026 and the year ended December 31, 2025.

 

Number of
Options

 

 

 

Exercise Price
Per Share

 

 

Weighted
Average
Exercise Price

 

Outstanding at December 31, 2024

 

 

84,623

 

 

$

4.89 - 6.79

 

 

$

6.37

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

(119

)

 

 

 

4.89

 

 

 

4.89

 

Vested (1)

 

 

(84,504

)

 

 

4.89 - 6.79

 

 

 

6.37

 

Outstanding at December 31, 2025

 

 

—

 

 

 

 

—

 

 

 

—

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at March 31, 2026

 

 

—

 

 

 

 

—

 

 

 

—

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at June 30, 2026

 

 

—

 

 

 

 

—

 

 

 

—

 

Granted

 

 

—

 

 

 

 

—

 

 

 

—

 

Cancelled

 

 

—

 

 

 

 

—

 

 

 

—

 

Vested

 

 

—

 

 

 

 

—

 

 

 

—

 

Outstanding at September 30, 2026

 

 

—

 

 

$

 

—

 

 

$

—

 
(1)
The intrinsic value of the options vested was $0.1 million for the year ended December 31, 2025.
v3.26.3
Segment Reporting (Tables)
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Schedule of Segment Data

The following table presents segment data as of and for the three months ended September 30, 2026.

Three Months Ended September 30, 2026

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

60,977

 

 

$

21,403

 

 

$

3,169

 

 

$

55

 

 

$

3,286

 

 

$

88,890

 

Total interest expense

 

 

17,952

 

 

 

8,406

 

 

 

1,471

 

 

 

34

 

 

 

2,648

 

 

 

30,511

 

Net interest income

 

 

43,025

 

 

 

12,997

 

 

 

1,698

 

 

 

21

 

 

 

638

 

 

 

58,379

 

Provision (benefit) for credit losses

 

 

23,515

 

 

 

6,320

 

 

 

972

 

 

 

(38

)

 

 

—

 

 

 

30,769

 

Net interest income after credit loss provision

 

 

19,510

 

 

 

6,677

 

 

 

726

 

 

 

59

 

 

 

638

 

 

 

27,610

 

Other income (loss), net

 

 

350

 

 

 

1,461

 

 

 

(214

)

 

 

1,113

 

 

 

714

 

 

 

3,424

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

3,999

 

 

 

2,085

 

 

 

902

 

 

 

679

 

 

 

3,134

 

 

 

10,799

 

Loan servicing fees and collection costs

 

 

4,492

 

 

 

1,182

 

 

 

—

 

 

 

112

 

 

 

74

 

 

 

5,860

 

Other costs

 

 

3,245

 

 

 

1,789

 

 

 

502

 

 

 

192

 

 

 

1,579

 

 

 

7,307

 

Total other expenses

 

 

11,736

 

 

 

5,056

 

 

 

1,404

 

 

 

983

 

 

 

4,787

 

 

 

23,966

 

Net income (loss) before taxes

 

 

8,124

 

 

 

3,082

 

 

 

(892

)

 

 

189

 

 

 

(3,435

)

 

 

7,068

 

Income tax (provision) benefit

 

 

(2,708

)

 

 

(1,029

)

 

 

350

 

 

 

(60

)

 

 

1,111

 

 

 

(2,336

)

Net income (loss) after taxes

 

$

5,416

 

 

$

2,053

 

 

$

(542

)

 

$

129

 

 

$

(2,324

)

 

$

4,732

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,335

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

2,397

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross (1)

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

Total assets

 

 

1,779,045

 

 

 

929,740

 

 

 

109,039

 

 

 

4,801

 

 

 

538,019

 

 

 

3,360,644

 

Total funds borrowed (2)

 

 

1,461,628

 

 

 

763,856

 

 

 

89,584

 

 

 

3,944

 

 

 

442,026

 

 

 

2,761,038

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

1.24

%

 

 

0.90

%

 

 

(1.90

)%

 

NM

 

 

NM

 

 

 

0.57

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

2.36

 

Return on average equity

 

 

7.87

 

 

 

5.80

 

 

 

(11.35

)

 

NM

 

 

NM

 

 

 

3.64

 

Interest yield

 

 

13.32

 

 

 

9.17

 

 

 

10.37

 

 

NM

 

 

NM

 

 

 

11.18

 

Net interest margin

 

 

9.40

 

 

 

5.57

 

 

 

5.44

 

 

NM

 

 

NM

 

 

 

7.34

 

Reserve coverage (3)

 

 

5.30

 

 

 

2.59

 

 

 

9.43

 

 

NM

 

 

NM

 

 

 

4.58

 

Delinquency status (4)

 

 

0.66

 

 

 

0.18

 

 

 

13.36

 

 

NM

 

 

NM

 

 

 

1.03

 

Charge-off ratio (5)

 

 

3.55

 

 

 

1.42

 

 

 

(0.02

)

 

NM

 

 

NM

 

 

 

2.69

 

 

(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.9 million as of September 30, 2026.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of total loans.
(5)
Net charge-offs as a percent of average loans held for investment.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the nine months ended September 30, 2026.

Nine Months Ended September 30, 2026

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

172,112

 

 

$

61,708

 

 

$

10,123

 

 

$

281

 

 

$

8,111

 

 

$

252,335

 

Total interest expense

 

 

48,109

 

 

 

23,049

 

 

 

4,234

 

 

 

93

 

 

 

7,165

 

 

 

82,650

 

Net interest income

 

 

124,003

 

 

 

38,659

 

 

 

5,889

 

 

 

188

 

 

 

946

 

 

 

169,685

 

Provision (benefit) for credit losses

 

 

59,461

 

 

 

14,004

 

 

 

2,131

 

 

 

(152

)

 

 

74

 

 

 

75,518

 

Net interest income after credit loss provision

 

 

64,542

 

 

 

24,655

 

 

 

3,758

 

 

 

340

 

 

 

872

 

 

 

94,167

 

Other income, net

 

 

1,793

 

 

 

1,471

 

 

 

471

 

 

 

3,562

 

 

 

3,011

 

 

 

10,308

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

12,177

 

 

 

6,549

 

 

 

2,707

 

 

 

2,098

 

 

 

9,515

 

 

 

33,046

 

Loan servicing fees and collection costs

 

 

13,733

 

 

 

3,592

 

 

 

—

 

 

 

170

 

 

 

136

 

 

 

17,631

 

Other costs

 

 

9,192

 

 

 

4,765

 

 

 

1,793

 

 

 

351

 

 

 

4,515

 

 

 

20,616

 

Total other expenses

 

 

35,102

 

 

 

14,906

 

 

 

4,500

 

 

 

2,619

 

 

 

14,166

 

 

 

71,293

 

Net income (loss) before taxes

 

 

31,233

 

 

 

11,220

 

 

 

(271

)

 

 

1,283

 

 

 

(10,283

)

 

 

33,182

 

Income tax (provision) benefit

 

 

(10,712

)

 

 

(3,848

)

 

 

155

 

 

 

(440

)

 

 

3,464

 

 

 

(11,381

)

Net income (loss) after taxes

 

$

20,521

 

 

$

7,372

 

 

$

(116

)

 

$

843

 

 

$

(6,819

)

 

$

21,801

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7,006

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

14,795

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross (1)

 

$

1,852,958

 

 

$

947,503

 

 

$

118,691

 

 

$

1,209

 

 

$

15,233

 

 

$

2,935,594

 

Total assets

 

 

1,779,045

 

 

 

929,740

 

 

 

109,039

 

 

 

4,801

 

 

 

538,019

 

 

 

3,360,644

 

Total funds borrowed (2)

 

 

1,461,628

 

 

 

763,856

 

 

 

89,584

 

 

 

3,944

 

 

 

442,026

 

 

 

2,761,038

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

1.65

%

 

 

1.16

%

 

 

(0.22

)%

 

NM

 

 

NM

 

 

 

0.94

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

4.86

 

Return on average equity

 

 

10.08

 

 

 

7.10

 

 

 

(1.32

)

 

NM

 

 

NM

 

 

 

5.69

 

Interest yield

 

 

13.39

 

 

 

9.55

 

 

 

11.05

 

 

NM

 

 

NM

 

 

 

11.37

 

Net interest margin

 

 

9.65

 

 

 

5.98

 

 

 

6.43

 

 

NM

 

 

NM

 

 

 

7.65

 

Reserve coverage (3)

 

 

5.30

 

 

 

2.59

 

 

 

9.43

 

 

NM

 

 

NM

 

 

 

4.58

 

Delinquency status (4)

 

 

0.66

 

 

 

0.18

 

 

 

13.36

 

 

NM

 

 

NM

 

 

 

1.03

 

Charge-off ratio (5)

 

 

3.68

 

 

 

1.41

 

 

 

0.07

 

 

NM

 

 

NM

 

 

 

2.77

 
(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.9 million as of September 30, 2026.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of total loans.
(5)
Net charge-offs as a percent of average loans held for investment.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

The following table presents segment data as of and for the three months ended September 30, 2025.

Three Months Ended September 30, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

53,565

 

 

$

20,453

 

 

$

4,227

 

 

$

91

 

 

$

2,435

 

 

$

80,771

 

Total interest expense

 

 

13,487

 

 

 

7,344

 

 

 

1,252

 

 

 

16

 

 

 

2,986

 

 

 

25,085

 

Net interest income (expense)

 

 

40,078

 

 

 

13,109

 

 

 

2,975

 

 

 

75

 

 

 

(551

)

 

 

55,686

 

Provision (benefit) for credit losses

 

 

16,708

 

 

 

2,125

 

 

 

1,414

 

 

 

(1,691

)

 

 

—

 

 

 

18,556

 

Net interest income (loss) after credit loss provision

 

 

23,370

 

 

 

10,984

 

 

 

1,561

 

 

 

1,766

 

 

 

(551

)

 

 

37,130

 

Other income, net

 

 

87

 

 

 

2

 

 

 

260

 

 

 

1,781

 

 

 

918

 

 

 

3,048

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

3,475

 

 

 

2,170

 

 

 

1,133

 

 

 

509

 

 

 

2,858

 

 

 

10,145

 

Loan servicing fees and collection costs

 

 

3,781

 

 

 

985

 

 

 

—

 

 

 

36

 

 

 

20

 

 

 

4,822

 

Other costs

 

 

2,838

 

 

 

1,436

 

 

 

357

 

 

 

275

 

 

 

829

 

 

 

5,735

 

Total other expenses

 

 

10,094

 

 

 

4,591

 

 

 

1,490

 

 

 

820

 

 

 

3,707

 

 

 

20,702

 

Net income (loss) before taxes

 

 

13,363

 

 

 

6,395

 

 

 

331

 

 

 

2,727

 

 

 

(3,340

)

 

 

19,476

 

Income tax (provision) benefit

 

 

(4,027

)

 

 

(1,943

)

 

 

(50

)

 

 

(838

)

 

 

996

 

 

 

(5,862

)

Net income (loss) after taxes

 

$

9,336

 

 

$

4,452

 

 

$

281

 

 

$

1,889

 

 

$

(2,344

)

 

$

13,614

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2,336

 

Redemption of non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

7,763

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 

Total assets

 

 

1,546,505

 

 

 

788,764

 

 

 

125,349

 

 

 

5,204

 

 

 

434,565

 

 

 

2,900,387

 

Total funds borrowed (2)

 

 

1,258,773

 

 

 

642,012

 

 

 

102,027

 

 

 

4,236

 

 

 

353,713

 

 

 

2,360,761

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.44

%

 

 

2.24

%

 

 

0.89

%

 

NM

 

 

NM

 

 

 

1.88

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

7.85

 

Return on average equity

 

 

13.69

 

 

 

12.59

 

 

 

5.19

 

 

NM

 

 

NM

 

 

 

10.73

 

Interest yield

 

 

13.45

 

 

 

10.11

 

 

 

13.24

 

 

NM

 

 

NM

 

 

 

11.92

 

Net interest margin

 

 

10.06

 

 

 

6.48

 

 

 

9.05

 

 

NM

 

 

NM

 

 

 

8.21

 

Reserve coverage (3)

 

 

5.10

 

 

 

2.55

 

 

 

8.43

 

 

NM

 

 

NM

 

 

 

4.47

 

Delinquency status (4)

 

 

0.57

 

 

 

0.16

 

 

 

13.99

 

 

NM

 

 

NM

 

 

 

1.16

 

Charge-off ratio (5)

 

 

3.23

 

 

 

1.03

 

 

 

3.38

 

 

NM

 

 

NM

 

 

 

2.26

 
(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.0 million as of September 30, 2025.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of average loans held for investment.
(5)
Net charge-offs as a percent of average gross loans. Charge-off ratio in the recreation lending segment was 3.36% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.

 

The following table presents segment data as of and for the nine months ended September 30, 2025.

Nine Months Ended September 30, 2025

 

Consumer Lending

 

 

 

 

 

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Recreation

 

 

Home
Improvement

 

 

Commercial
Lending

 

 

Taxi Medallion
Lending

 

 

Corporate and
Other Investments

 

 

Consolidated

 

Total interest income

 

$

155,132

 

 

$

60,357

 

 

$

11,325

 

 

$

243

 

 

$

6,580

 

 

$

233,637

 

Total interest expense

 

 

38,382

 

 

 

21,633

 

 

 

3,462

 

 

 

66

 

 

 

9,627

 

 

 

73,170

 

Net interest income (expense)

 

 

116,750

 

 

 

38,724

 

 

 

7,863

 

 

 

177

 

 

 

(3,047

)

 

 

160,467

 

Provision (benefit) for credit losses

 

 

48,914

 

 

 

8,904

 

 

 

7,440

 

 

 

(3,126

)

 

 

—

 

 

 

62,132

 

Net interest income (loss) after credit loss provision

 

 

67,836

 

 

 

29,820

 

 

 

423

 

 

 

3,303

 

 

 

(3,047

)

 

 

98,335

 

Other income, net

 

 

1,853

 

 

 

7

 

 

 

16,260

 

 

 

3,373

 

 

 

2,365

 

 

 

23,858

 

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries

 

 

10,125

 

 

 

6,523

 

 

 

3,349

 

 

 

1,742

 

 

 

8,547

 

 

 

30,286

 

Loan servicing fees and collection costs

 

 

11,019

 

 

 

2,955

 

 

 

—

 

 

 

287

 

 

 

49

 

 

 

14,310

 

Other costs

 

 

8,950

 

 

 

4,807

 

 

 

1,023

 

 

 

614

 

 

 

3,016

 

 

 

18,410

 

Total other expenses

 

 

30,094

 

 

 

14,285

 

 

 

4,372

 

 

 

2,643

 

 

 

11,612

 

 

 

63,006

 

Net income (loss) before taxes

 

 

39,595

 

 

 

15,542

 

 

 

12,311

 

 

 

4,033

 

 

 

(12,294

)

 

 

59,187

 

Income tax (provision) benefit

 

 

(12,296

)

 

 

(4,827

)

 

 

(3,823

)

 

 

(1,253

)

 

 

3,819

 

 

 

(18,380

)

Net income (loss) after taxes

 

$

27,299

 

 

$

10,715

 

 

$

8,488

 

 

$

2,780

 

 

$

(8,475

)

 

$

40,807

 

Income attributable to the non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6,446

 

Redemption of non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,515

 

Total net income attributable to Medallion Financial Corp.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

30,846

 

Balance Sheet Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans, gross

 

$

1,603,169

 

 

$

804,003

 

 

$

135,123

 

 

$

1,509

 

 

$

15,277

 

 

$

2,559,081

 

Total assets

 

 

1,546,505

 

 

 

788,764

 

 

 

125,349

 

 

 

5,204

 

 

 

434,565

 

 

 

2,900,387

 

Total funds borrowed (2)

 

 

1,258,773

 

 

 

642,012

 

 

 

102,027

 

 

 

4,236

 

 

 

353,713

 

 

 

2,360,761

 

Selected Financial Ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets

 

 

2.42

%

 

 

1.80

%

 

 

9.73

%

 

NM

 

 

NM

 

 

 

1.91

%

Return on average stockholders' equity

 

*

 

 

*

 

 

*

 

 

*

 

 

*

 

 

 

10.71

 

Return on average equity

 

 

14.21

 

 

 

10.57

 

 

 

58.17

 

 

NM

 

 

NM

 

 

 

11.41

 

Interest yield

 

 

13.37

 

 

 

9.95

 

 

 

12.48

 

 

NM

 

 

NM

 

 

 

11.75

 

Net interest margin

 

 

10.06

 

 

 

6.38

 

 

 

8.69

 

 

NM

 

 

NM

 

 

 

8.07

 

Reserve coverage (3)

 

 

5.10

 

 

 

2.55

 

 

 

8.43

 

 

NM

 

 

NM

 

 

 

4.47

 

Delinquency status (4)

 

 

0.57

 

 

 

0.16

 

 

 

13.99

 

 

NM

 

 

NM

 

 

 

1.16

 

Charge-off ratio (5)

 

 

3.58

 

 

 

1.48

 

 

 

1.36

 

 

NM

 

 

NM

 

 

 

2.60

 
(1)
Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2)
Excludes deferred financing costs of $9.0 million as of September 30, 2025.
(3)
Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4)
Loans 90 days or more past due as a percent of total loans.
(5)
Net charge-offs as a percent of average gross loans. Charge-off ratio in the recreation lending segment was 3.74% when excluding loans held for sale.

(NM) Not meaningful.

(*) Line item is not applicable to segments.
v3.26.3
Fair Value of Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2026
Investments, All Other Investments [Abstract]  
Summary of Carrying Values and Fair Values of Financial Instruments

The following table presents the carrying amounts and fair values of the Company’s financial instruments as of September 30, 2026.

 

 

September 30, 2026

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

243,056

 

 

$

243,056

 

 

$

242,806

 

 

$

250

 

 

$

—

 

Investment securities

 

 

63,853

 

 

 

63,853

 

 

 

—

 

 

 

63,853

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,786,466

 

 

 

2,806,767

 

 

 

—

 

 

 

—

 

 

 

2,806,767

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,233

 

 

 

15,233

 

 

 

—

 

 

 

—

 

 

 

15,233

 

Accrued interest receivable

 

 

21,967

 

 

 

21,967

 

 

 

21,967

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,702

 

 

 

1,702

 

 

 

1,702

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,761,038

 

 

 

2,732,908

 

 

 

—

 

 

 

2,732,908

 

 

 

—

 

Accrued interest payable

 

 

6,967

 

 

 

6,967

 

 

 

6,967

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $9.9 million as of September 30, 2026.

The following table presents the carrying amounts and fair values of the Company’s financial instruments as of December 31, 2025.

 

December 31, 2025

 

(Dollars in thousands)

 

Carrying
Amount

 

 

Fair
Value

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

Financial assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash, cash equivalents, and federal funds sold (1)

 

$

201,564

 

 

$

201,564

 

 

$

200,814

 

 

$

750

 

 

$

—

 

Investment securities

 

 

60,183

 

 

 

60,183

 

 

 

—

 

 

 

60,183

 

 

 

—

 

Loans held for investment, net of allowance

 

 

2,436,916

 

 

 

2,421,988

 

 

 

—

 

 

 

—

 

 

 

2,421,988

 

Loans held for sale, at lower of amortized cost or fair value

 

 

15,144

 

 

 

15,144

 

 

 

—

 

 

 

—

 

 

 

15,144

 

Accrued interest receivable

 

 

19,401

 

 

 

19,401

 

 

 

19,401

 

 

 

—

 

 

 

—

 

Equity securities (2)

 

 

1,787

 

 

 

1,787

 

 

 

1,787

 

 

 

—

 

 

 

—

 

Financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds borrowed (3)

 

 

2,410,016

 

 

 

2,431,011

 

 

 

—

 

 

 

2,431,011

 

 

 

—

 

Accrued interest payable

 

 

6,319

 

 

 

6,319

 

 

 

6,319

 

 

 

—

 

 

 

—

 
(1)
Includes federal funds sold and interest bearing deposits in other banks.
(2)
Included within other assets on the balance sheet.
(3)
Excludes deferred financing costs of $8.4 million as of December 31, 2025.
v3.26.3
Fair Value of Assets and Liabilities (Tables)
 9 Months Ended
Sep. 30, 2026
Fair Value Disclosures [Abstract]  
Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

63,853

 

 

$

—

 

 

$

63,853

 

Equity securities (2)

 

 

1,702

 

 

 

—

 

 

 

—

 

 

 

1,702

 

Total

 

$

1,702

 

 

$

63,853

 

 

$

—

 

 

$

65,555

 
(1)
Total unrealized loss of $1.5 million and $2.0 million net of tax, was included in other comprehensive income for the three and nine months ended September 30, 2026.
(2)
Included within other assets on the balance sheet.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Investment securities (1)

 

$

—

 

 

$

60,183

 

 

$

—

 

 

$

60,183

 

Equity securities (2)

 

 

1,787

 

 

 

—

 

 

 

—

 

 

 

1,787

 

Total

 

$

1,787

 

 

$

60,183

 

 

$

—

 

 

$

61,970

 
(1)
Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.
(2)
Included within other assets on the balance sheet.
Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of September 30, 2026.

September 30, 2026
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

250

 

 

$

250

 

Total

 

$

—

 

 

$

—

 

 

$

250

 

 

$

250

 
(1)
For the three and nine months ended September 30, 2026, the Company had 2 and 3 equity investment, measured on a non-recurring basis.

The following table presents the Company’s fair value hierarchy for those assets and liabilities measured at fair value on a non-recurring basis as of December 31, 2025.

December 31, 2025
(Dollars in thousands)

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Equity investments (1)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Total

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 
(1)
For the year ended December 31, 2025, the Company had 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.
Summary of Valuation Techniques and Significant Unobservable Inputs Used in Non-Recurring Level 3 Fair Value Measurements of Assets and Liabilities

The following table presents the Company’s valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of September 30, 2026.

(Dollars in thousands)

 

Fair Value
at September 30, 2026

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments (1)

 

$

250

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.

The following table presents the Company’s valuation techniques and significant unobservable inputs used in non-recurring level 3 fair value measurements of assets and liabilities as of December 31, 2025.

 

(Dollars in thousands)

 

Fair Value
at December 31, 2025

 

 

Valuation Techniques

 

Unobservable Inputs

 

Range
(Weighted Average)

Equity investments (1)

 

$

—

 

 

Investee financial analysis

 

Financial condition and operating performance of the borrower

 

N/A
(1)
Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
v3.26.3
Organization of Medallion Financial Corp. and its Subsidiaries - Additional Information (Detail)
$ in Millions
Sep. 30, 2026
USD ($)
Medallion Financing Trust I [Member]  
Subsidiary or Equity Method Investee [Line Items]  
Aggregate assets of trust $ 34.9
v3.26.3
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($)
 3 Months Ended 9 Months Ended 12 Months Ended
Jul. 01, 2025
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Dec. 31, 2025
Dec. 31, 2021
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Interest-bearing funds deposited in other banks   $ 300,000   $ 300,000   $ 800,000  
Non-marketable securities   8,200,000   8,200,000   8,100,000  
Impact of equity investment   5,900,000   5,900,000      
Notes receivable net   2,869,871,000 [1]   2,869,871,000 [1]   2,514,825,000 [2]  
Equity securities, fair value   1,700,000   1,700,000   1,800,000  
Gains (loss) on equity securities   (200,000)          
Net gains on equity securities       300,000      
Debt Securities, Available-for-Sale, Allowance for Credit Loss, Excluding Accrued Interest   0   0   0  
Purchased of equity securities with readily determinable fair value             $ 2,000,000
Investment, Type [Extensible Enumeration]             Equity Securities [Member]
Net loan origination costs       65,700,000   52,000,000  
Net Amortization to interest income   3,700,000 $ 2,700,000 10,300,000 $ 7,600,000    
Fair value adjustments related to loans held for sale   0   0      
Goodwill   150,803,000   150,803,000   150,803,000  
Intangible assets, net   16,617,000   16,617,000   17,701,000  
Amortization of intangible assets   361,000 361,000 1,084,000 1,084,000    
Depreciation and amortization   700,000 600,000 1,900,000 1,900,000    
Amortization expense   1,400,000 1,100,000 3,600,000 $ 3,300,000    
Deferred costs   $ 9,900,000   $ 9,900,000   $ 8,400,000  
Potential dilutive common shares excluded from EPS computation       0 0    
Tier 1 leverage capital to total assets ratio   15.00%   15.00%      
Excess Tier 1 leverage capital   $ 69,600,000   $ 69,600,000      
Tier 1 leverage capital   438,500,000   $ 438,500,000      
Capital conversation buffer       2.50%   2.50%  
Series F Preferred Stock              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Redemption price of stock $ 46,000,000            
Non-Interest-Bearing Deposits [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Non-interest-bearing compensating balance   900,000   $ 900,000   $ 700,000  
Money Market Funds [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Letter of credit   600,000   600,000      
Disposition and Exit of Equity Investments [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Gains (loss) on equity securities   400,000   500,000      
Home Improvement [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Notes receivable net   945,785,000 [1]   945,785,000 [1]   813,185,000 [2]  
Recreation [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Notes receivable net   1,788,697,000 [1]   1,788,697,000 [1]   1,562,101,000 [2]  
Medallion Bank [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Amortization of intangible assets       0   $ 0  
New York Taxi Medallion [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Notes receivable net   $ 79,500   $ 79,500      
Minimum [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Interest bearing loan term       5 years      
Estimated useful life of fixed assets   3 years   3 years      
Maximum [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Interest bearing loan term       6 years      
Estimated useful life of fixed assets   10 years   10 years      
Maximum [Member] | Equity Securities [Member]              
New Accounting Pronouncements or Change in Accounting Principle [Line Items]              
Gains (loss) on equity securities   $ (100,000) $ (100,000) $ (100,000) $ 100,000    
[1] Excludes $65.7 million of capitalized loan origination costs and fees.
[2] Excludes $52.0 million of capitalized loan origination costs.
v3.26.3
Summary of Significant Accounting Policies - Schedule of Intangible Assets (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Investments In Loans [Line Items]    
Intangibles assets $ 16,617 $ 17,701
Intellectual Property [Member]    
Investments In Loans [Line Items]    
Intangibles assets 12,650 13,475
Contractor Relationships [Member]    
Investments In Loans [Line Items]    
Intangibles assets $ 3,967 $ 4,226
v3.26.3
Summary of Significant Accounting Policies - Summary of the Calculation of Basic and Diluted EPS (Detail) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Accounting Policies [Abstract]        
Net income attributable to Medallion Financial Corp. $ 2,397 $ 7,763 $ 14,795 $ 30,846
Weighted average common shares outstanding applicable to basic EPS 22,686,300 22,854,836 23,010,224 22,737,572
Effect of performance stock unit grants 325,130 846,953 409,435 677,325
Effect of restricted stock grants 316,923 435,236 369,388 457,726
Effect of dilutive stock options 318,918 300,108 278,376 259,217
Adjusted weighted average common shares outstanding applicable to diluted EPS 23,647,271 24,437,133 24,067,423 24,131,840
Basic earnings per share $ 0.11 $ 0.34 $ 0.64 $ 1.36
Diluted earnings per share $ 0.1 $ 0.32 $ 0.61 $ 1.28
v3.26.3
Summary of Significant Accounting Policies - Summary of Bank's Actual Capital Amounts and Ratios, and the Regulatory Minimum Ratios (Detail)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2026
USD ($)
Dec. 31, 2025
USD ($)
Accounting Policies [Abstract]    
Regulatory, Minimum, Leverage ratio [1] 0.04  
Regulatory, Minimum, Common equity tier 1 capital ratio [2] 7.00%  
Regulatory, Minimum, tier 1 Buffer capital ratio [3] 8.50%  
Regulatory, Minimum, Total capital ratio [3] 0.105  
Regulatory, Well-Capitalized, Leverage ratio [1] 0.05  
Regulatory, Well-Capitalized, Common equity tier 1 capital ratio [2] 6.50%  
Regulatory, Well-Capitalized, tier 1 capital ratio [3] 0.08  
Regulatory, Well-Capitalized, Total capital ratio [3] 0.10  
Common equity Tier 1 capital $ 356,787 $ 356,038
Tier 1 capital 508,128 455,467
Total capital 544,737 487,292
Average assets 2,923,658 2,558,754
Risk-weighted assets $ 2,842,577 $ 2,472,328
Leverage ratio [1] 0.174 0.178
Common equity tier 1 capital ratio [2] 0.126 0.144
Tier 1 capital ratio [3] 0.179 0.184
Total capital ratio [3] 0.192 0.197
[1] Calculated by dividing Tier 1 capital by average assets.
[2] Calculated by subtracting preferred stock or non-controlling interest from Tier 1 capital and dividing by risk-weighted assets.
[3] Calculated by dividing Tier 1 or total capital by risk-weighted assets.
v3.26.3
Investment Securities - Summary of Fixed Maturity Securities Available for Sale (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost $ 71,127 $ 64,648
Gross Unrealized Gains 12 174
Gross Unrealized Losses (7,286) (4,639)
Fair Value 63,853 60,183
Mortgage-backed Securities, Principally Obligations of US Federal Agencies [Member]    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 47,451 45,392
Gross Unrealized Gains 12 160
Gross Unrealized Losses (5,130) (3,381)
Fair Value 42,333 42,171
State and Municipalities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 23,543 19,117
Gross Unrealized Gains 0 14
Gross Unrealized Losses (2,143) (1,251)
Fair Value 21,400 17,880
Agency Bonds [Member]    
Debt Securities, Available-for-sale [Line Items]    
Amortized Cost 133 139
Gross Unrealized Gains 0 0
Gross Unrealized Losses (13) (7)
Fair Value $ 120 $ 132
v3.26.3
Investment Securities - Summary of Amortized Cost and Estimated Market Value of Investment Securities by Contractual Maturity (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Available-for-sale Securities, Debt Maturities [Abstract]    
Amortized Cost, due in one year or less $ 338  
Amortized Cost, due after one year through five years 10,423  
Amortized Cost, due after five years through ten years 9,189  
Amortized Cost, due after ten years 51,177  
Amortized Cost 71,127 $ 64,648
Fair Value, due in one year or less 345  
Fair Value, due after one year through five years 9,658  
Fair Value, due after five years through ten years 8,604  
Fair Value, due after ten years 45,246  
Fair Value $ 63,853 $ 60,183
v3.26.3
Investment Securities - Summary of Securities with Gross Unrealized Losses (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months $ (1,171) $ (16)
Fair Value, Less than Twelve Months 24,637 3,442
Gross Unrealized Losses, Twelve Months and Over (6,115) (4,623)
Fair Value, Twelve Months and Over 38,443 41,513
Collateralized Mortgage-Backed Securities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months (839) (13)
Fair Value, Less than Twelve Months 16,226 3,420
Gross Unrealized Losses, Twelve Months and Over (4,291) (3,368)
Fair Value, Twelve Months and Over 25,334 26,541
State and Municipalities [Member]    
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months (332) (3)
Fair Value, Less than Twelve Months 8,411 22
Gross Unrealized Losses, Twelve Months and Over (1,811) (1,248)
Fair Value, Twelve Months and Over 12,989 14,840
Agency Bonds [Member]    
Debt Securities, Available-for-sale [Line Items]    
Gross Unrealized Losses, Less than Twelve Months 0 0
Fair Value, Less than Twelve Months 0 0
Gross Unrealized Losses, Twelve Months and Over (13) (7)
Fair Value, Twelve Months and Over $ 120 $ 132
v3.26.3
Investment Securities - Additional Information (Detail) - Securities
Sep. 30, 2026
Dec. 31, 2025
Debt Securities, Available-for-Sale [Abstract]    
Number of Securities 59 52
Percentage by which aggregate book value exceeded company's equity 10.00% 10.00%
v3.26.3
Loans and Allowance for Credit Losses - Summary of Inclusive Capitalized Loans (Detail) - USD ($)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2026
Dec. 31, 2025
Student Loan Portfolio By Program [Line Items]    
Total loans $ 2,920,361 $ 2,551,705
Loans held for sale, at lower of amortized cost or fair value 15,233 15,144
Total loans and loans held for sale 2,869,871 [1] 2,514,825 [2]
Bank Holding Company Accounting [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans and loans held for sale $ 2,935,594 $ 2,566,849
Percentage of total gross loans [3] 100.00% 100.00%
Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans $ 2,920,361 $ 2,551,705
Percentage of total gross loans [3] 99.00% 99.00%
Bank Holding Company Accounting [Member] | Loans Held for Sale at Lower of Amortized Cost or Fair Value [Member]    
Student Loan Portfolio By Program [Line Items]    
Loans held for sale, at lower of amortized cost or fair value $ 15,233 $ 15,144
Recreation [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans and loans held for sale 1,788,697 [1] 1,562,101 [2]
Recreation [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans $ 1,852,958 $ 1,617,221
Percentage of total gross loans [3] 63.00% 63.00%
Home Improvement [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans and loans held for sale $ 945,785 [1] $ 813,185 [2]
Home Improvement [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans $ 947,503 $ 810,237
Percentage of total gross loans [3] 32.00% 32.00%
Commercial [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans $ 118,691 $ 123,068
Percentage of total gross loans [3] 4.00% 5.00%
Taxi Medallion [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans and loans held for sale $ 1,209 [1] $ 1,179 [2]
Taxi Medallion [Member] | Bank Holding Company Accounting [Member] | Loans Held for Investment [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans 1,209 1,179
Strategic Partnership [Member]    
Student Loan Portfolio By Program [Line Items]    
Total loans and loans held for sale 15,233 [1] 15,144 [2]
Strategic Partnership [Member] | Bank Holding Company Accounting [Member] | Loans Held for Sale at Lower of Amortized Cost or Fair Value [Member]    
Student Loan Portfolio By Program [Line Items]    
Loans held for sale, at lower of amortized cost or fair value $ 15,233 $ 15,144
[1] Excludes $65.7 million of capitalized loan origination costs and fees.
[2] Excludes $52.0 million of capitalized loan origination costs.
[3]

(1) Percentage may not foot due to rounding.
v3.26.3
Loans and Allowance for Credit Losses - Schedule of Activity of Gross Loans and Loans Held for Sale (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Sep. 30, 2026
Sep. 30, 2025
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance     $ 2,436,916       $ 2,436,916  
Charge-offs $ (25,806) $ (22,744) (26,880) $ (21,787) $ (21,224) $ (24,646)    
Amortization of origination fees and costs, net             (10,348) $ (7,640)
Paid-in-kind interest             844 802
Gross loans, ending balance 2,786,466           2,786,466  
Recreation [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance     1,617,221       1,617,221  
Charge-offs (21,212) (18,505) (22,491) (16,844) (16,273) (20,274)    
Gross loans, ending balance 1,852,958           1,852,958  
Home Improvement [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance     810,237       810,237  
Charge-offs (4,581) (4,165) (4,351) (3,840) (4,951) (4,227)    
Gross loans, ending balance 947,503           947,503  
Commercial [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance     123,068       123,068  
Charge-offs 0 (74) 0 (1,103) 0 (130)    
Gross loans, ending balance 118,691           118,691  
Taxi Medallion [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance     1,179       1,179  
Charge-offs (13) [1] 0 [1] (38) [1] 0 [2] 0 [2] (15) [2]    
Gross loans, ending balance 1,209           1,209  
Strategic Partnership [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance     15,144       15,144  
Gross loans, ending balance 15,233           15,233  
Bank Holding Company Accounting [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance 2,794,742   2,566,849 2,485,051   2,491,022 2,566,849 2,491,022
Loan originations 603,887     427,355     1,592,428 1,084,050
Principal receipts, sales, and maturities (440,460)     (333,229)     (1,153,700) (945,623)
Charge-offs (25,806)     (21,787)     (75,430) (67,657)
Transfer to loan collateral in process of foreclosure, net (3,059)     (2,508)     (9,095) (8,353)
Amortization of origination fees and costs, net (3,684)     (2,725)     (10,348) (7,640)
Origination fees and costs, net 9,720     6,607     24,046 12,480
Paid-in-kind interest 254     317     844 802
Gross loans, ending balance 2,935,594 2,794,742   2,559,081 2,485,051   2,935,594 2,559,081
Bank Holding Company Accounting [Member] | Recreation [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance 1,760,297   1,617,221 1,546,252 [3]   1,543,243 [4] 1,617,221 1,543,243 [4]
Loan originations 198,204     141,667 [3]     569,221 371,289 [4]
Principal receipts, sales, and maturities (85,162)     (68,918) [3]     (271,356) (253,630) [4]
Charge-offs (21,212)     (16,844) [3]     (62,208) (53,391) [4]
Transfer to loan collateral in process of foreclosure, net (3,025)     (2,508) [3]     (9,061) (8,353) [4]
Amortization of origination fees and costs, net (4,126)     (3,768) [3]     (12,061) (10,995) [4]
Origination fees and costs, net 7,982     7,288 [3]     21,202 15,006 [4]
Paid-in-kind interest 0     0 [3]     0 0 [4]
Gross loans, ending balance 1,852,958 1,760,297   1,603,169 [3] 1,546,252 [3]   1,852,958 1,603,169 [3]
Bank Holding Company Accounting [Member] | Home Improvement [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance 885,599   810,237 803,535   827,211 810,237 827,211
Loan originations 146,269     59,711     339,311 162,760
Principal receipts, sales, and maturities (81,950)     (55,762)     (193,614) (173,753)
Charge-offs (4,581)     (3,840)     (13,097) (13,018)
Transfer to loan collateral in process of foreclosure, net 0     0     0 0
Amortization of origination fees and costs, net 428     1,040     1,679 3,329
Origination fees and costs, net 1,738     (681)     2,987 (2,526)
Paid-in-kind interest 0     0     0 0
Gross loans, ending balance 947,503 885,599   804,003 803,535   947,503 804,003
Bank Holding Company Accounting [Member] | Commercial [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance 126,177   123,068 121,415   111,273 123,068 111,273
Loan originations 0     17,500     7,134 36,575
Principal receipts, sales, and maturities (7,754)     (3,009)     (12,172) (12,320)
Charge-offs 0     (1,103)     (74) (1,233)
Transfer to loan collateral in process of foreclosure, net 0     0     0 0
Amortization of origination fees and costs, net 14     3     34 26
Origination fees and costs, net 0     0     (143) 0
Paid-in-kind interest 254     317     844 802
Gross loans, ending balance 118,691 126,177   135,123 121,415   118,691 135,123
Bank Holding Company Accounting [Member] | Taxi Medallion [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance 1,293   1,179 1,564   1,909 1,179 1,909
Loan originations 0     125     266 197
Principal receipts, sales, and maturities (37)     (180)     (151) (582)
Charge-offs (13)     0     (51) (15)
Transfer to loan collateral in process of foreclosure, net (34)     0     (34) 0
Amortization of origination fees and costs, net 0     0     0 0
Origination fees and costs, net 0     0     0 0
Paid-in-kind interest 0     0     0 0
Gross loans, ending balance 1,209 1,293   1,509 1,564   1,209 1,509
Bank Holding Company Accounting [Member] | Strategic Partnership [Member]                
Schedule Of Gross Real Estate And Loan Activity [Line Items]                
Gross loans, beginning balance 21,376   $ 15,144 12,285   $ 7,386 15,144 7,386
Loan originations 259,414     208,352     676,496 513,229
Principal receipts, sales, and maturities (265,557)     (205,360)     (676,407) (505,338)
Charge-offs 0     0     0 0
Transfer to loan collateral in process of foreclosure, net 0     0     0 0
Amortization of origination fees and costs, net 0     0     0 0
Origination fees and costs, net 0     0     0 0
Paid-in-kind interest 0     0     0 0
Gross loans, ending balance $ 15,233 $ 21,376   $ 15,277 $ 12,285   $ 15,233 $ 15,277
[1] As of September 30, 2026, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $161.7 million, including $98.1 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
[2] As of September 30, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $172.6 million, including $107.5 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
[3] Includes loans held for sale and loans held for investment.
[4] Includes loans held for sale and loans held for investment.
v3.26.3
Loans and Allowance for Credit Losses - Summary of Activity in Allowance for Loan Losses (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Sep. 30, 2026
Sep. 30, 2025
Financing Receivable, Allowance for Credit Losses [Line Items]                
Allowance for credit losses - beginning balance $ 122,701 $ 116,696 $ 114,789 [1] $ 106,896 $ 100,366 $ 97,368 $ 114,789 [1] $ 97,368
Charge-offs (25,806) (22,744) (26,880) (21,787) (21,224) (24,646)    
Total recoveries 6,231 6,476 6,311 7,388 6,192 5,630    
Provision (benefit) for credit losses 30,769 22,273 22,476 18,556 21,562 22,014 75,518 62,132
Allowance for credit losses - ending balance 133,895 [2] 122,701 116,696 111,053 106,896 100,366 133,895 [2] 111,053
Recreation [Member]                
Financing Receivable, Allowance for Credit Losses [Line Items]                
Allowance for credit losses - beginning balance 90,884 86,730 85,956 75,040 71,558 71,102 85,956 71,102
Charge-offs (21,212) (18,505) (22,491) (16,844) (16,273) (20,274)    
Total recoveries 4,954 5,158 4,820 3,965 4,419 3,860    
Provision (benefit) for credit losses 23,515 17,501 18,445 16,708 15,336 16,870    
Allowance for credit losses - ending balance 98,141 90,884 86,730 78,869 75,040 71,558 98,141 78,869
Home Improvement [Member]                
Financing Receivable, Allowance for Credit Losses [Line Items]                
Allowance for credit losses - beginning balance 21,472 20,295 19,563 20,422 20,249 20,536 19,563 20,536
Charge-offs (4,581) (4,165) (4,351) (3,840) (4,951) (4,227)    
Total recoveries 1,283 1,276 1,465 1,758 1,190 1,095    
Provision (benefit) for credit losses 6,320 4,066 3,618 2,125 3,934 2,845    
Allowance for credit losses - ending balance 24,494 21,472 20,295 20,465 20,422 20,249 24,494 20,465
Commercial [Member]                
Financing Receivable, Allowance for Credit Losses [Line Items]                
Allowance for credit losses - beginning balance 10,216 9,516 9,052 11,096 8,174 5,190 9,052 5,190
Charge-offs 0 (74) 0 (1,103) 0 (130)    
Total recoveries 5 0 5 (10) 10 0    
Provision (benefit) for credit losses 972 774 459 1,414 2,912 3,114    
Allowance for credit losses - ending balance 11,193 10,216 9,516 11,397 11,096 8,174 11,193 11,397
Taxi Medallion [Member]                
Financing Receivable, Allowance for Credit Losses [Line Items]                
Allowance for credit losses - beginning balance 129 [3] 155 [3] 218 [3] 338 [4] 385 [4] 540 [4] 218 [3] 540 [4]
Charge-offs (13) [3] 0 [3] (38) [3] 0 [4] 0 [4] (15) [4]    
Total recoveries (11) [3] 42 [3] 21 [3] 1,675 [4] 573 [4] 675 [4]    
Provision (benefit) for credit losses (38) [3] (68) [3] (46) [3] (1,691) [4] (620) [4] (815) [4]    
Allowance for credit losses - ending balance $ 67 [3] $ 129 [3] $ 155 [3] $ 322 [4] $ 338 [4] $ 385 [4] $ 67 [3] $ 322 [4]
[1] Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
[2] Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
[3] As of September 30, 2026, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $161.7 million, including $98.1 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
[4] As of September 30, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $172.6 million, including $107.5 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
v3.26.3
Loans and Allowance for Credit Losses - Summary of Activity in Allowance for Loan Losses (Parenthetical) (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Sep. 30, 2025
Financing Receivable, Allowance for Credit Losses [Line Items]      
Cumulative charges of loans and loan collateral process of foreclosure $ 6,570 $ 7,333  
Taxi Medallion [Member]      
Financing Receivable, Allowance for Credit Losses [Line Items]      
Cumulative charges of loans and loan collateral process of foreclosure 161,700   $ 172,600
New York Taxi Medallion [Member]      
Financing Receivable, Allowance for Credit Losses [Line Items]      
Cumulative charges of loans and loan collateral process of foreclosure $ 98,100   $ 107,500
v3.26.3
Loans and Allowance for Credit Losses - Summary of Gross Charge Offs (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Financing Receivable, Past Due [Line Items]        
2026 $ 1,308 $ 800 $ 1,517 $ 811
2025 5,955 4,760 14,009 13,248
2024 5,398 4,970 16,611 15,800
2023 4,812 5,245 15,557 16,514
2022 4,246 2,333 13,196 7,443
Prior 4,087 3,679 14,540 13,841
Total 25,806 21,787 75,430 67,657
Recreation [Member]        
Financing Receivable, Past Due [Line Items]        
2026 1,089 774 1,201 785
2025 4,960 3,803 12,215 10,343
2024 4,705 4,041 14,194 11,665
2023 3,651 4,136 11,803 13,081
2022 3,249 1,975 10,408 6,014
Prior 3,558 2,115 12,387 11,503
Total 21,212 16,844 62,208 53,391
Home Improvement [Member]        
Financing Receivable, Past Due [Line Items]        
2026 219 26 316 26
2025 995 957 1,794 2,905
2024 693 929 2,417 4,135
2023 1,161 1,109 3,754 3,303
2022 997 358 2,788 1,429
Prior 516 461 2,028 1,220
Total 4,581 3,840 13,097 13,018
Commercial Loan [Member]        
Financing Receivable, Past Due [Line Items]        
2026 0 0 0 0
2025 0 0 0 0
2024 0 0 0 0
2023 0 0 0 130
2022 0 0 0 0
Prior 0 1,103 74 1,103
Total 0 1,103 74 1,233
Taxi Medallion [Member]        
Financing Receivable, Past Due [Line Items]        
2026 0 0 0 0
2025 0 0 0 0
2024 0 0 0 0
2023 0 0 0 0
2022 0 0 0 0
Prior 13 0 51 15
Total $ 13 $ 0 $ 51 $ 15
v3.26.3
Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses by Type (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Dec. 31, 2025
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Dec. 31, 2024
Financing Receivable Recorded Investment Past Due [Line Items]                
Amount $ 133,895 [1] $ 122,701 $ 116,696 $ 114,789 [2] $ 111,053 $ 106,896 $ 100,366 $ 97,368
Percentage of Allowance 100.00% [1]     100.00% [2]        
Recreation [Member]                
Financing Receivable Recorded Investment Past Due [Line Items]                
Amount $ 98,141 90,884 86,730 $ 85,956 78,869 75,040 71,558 71,102
Percentage of Allowance 73.00%     75.00%        
Allowance as a Percent of Loan Category 5.30% [3]     5.32% [4]        
Home Improvement [Member]                
Financing Receivable Recorded Investment Past Due [Line Items]                
Amount $ 24,494 21,472 20,295 $ 19,563 20,465 20,422 20,249 20,536
Percentage of Allowance 18.00%     17.00%        
Allowance as a Percent of Loan Category 2.59% [3]     2.41% [4]        
Commercial [Member]                
Financing Receivable Recorded Investment Past Due [Line Items]                
Amount $ 11,193 10,216 9,516 $ 9,052 11,397 11,096 8,174 5,190
Percentage of Allowance 8.00%     8.00%        
Allowance as a Percent of Loan Category 9.43% [3]     7.36% [4]        
Taxi Medallion [Member]                
Financing Receivable Recorded Investment Past Due [Line Items]                
Amount $ 67 [5] $ 129 [5] $ 155 [5] $ 218 [5] $ 322 [6] $ 338 [6] $ 385 [6] $ 540 [6]
Allowance as a Percent of Loan Category 5.54% [3]     18.49% [4]        
[1] Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
[2] Does not include loans held for sale which are carried at the lower of amortized cost or fair value for which an allowance for credit loss is not established.
[3] As of September 30, 2026, total allowance for credit losses as a percent of nonaccrual loans was 279%.
[4] As of December 31, 2025, total allowance for credit losses as a percent of nonaccrual loans was 281%.
[5] As of September 30, 2026, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $161.7 million, including $98.1 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
[6] As of September 30, 2025, cumulative net charge-offs of loans and loan collateral in process of foreclosure in the taxi medallion loan portfolio were $172.6 million, including $107.5 million related to loans secured by New York taxi medallions, some of which may represent recovery opportunities for the Company.
v3.26.3
Loans and Allowance for Credit Losses - Summary of Allowance for Credit Losses by Type (Parenthetical) (Detail)
Sep. 30, 2026
Dec. 31, 2025
Receivables [Abstract]    
Allowance as a Percent of Nonaccrual 279.00% 281.00%
v3.26.3
Loans and Allowance for Credit Losses - Summary of Performance Status of Loans and Loans Held for Sale (Detail) - USD ($)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2026
Dec. 31, 2025
Sep. 30, 2025
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 2,786,466 $ 2,436,916  
Net loans $ 2,935,594 [1] $ 2,566,849 $ 2,559,081
Percentage of Nonperforming to Total 1.64% 1.59%  
Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Net loans $ 2,887,521 $ 2,526,009  
Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Net loans 48,073 40,840  
Recreation [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 1,852,958 $ 1,617,221  
Percentage of Nonperforming to Total 0.70% 0.85%  
Recreation [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 1,839,945 $ 1,603,542  
Recreation [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 13,013 13,679  
Home Improvement [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 947,503 $ 810,237  
Percentage of Nonperforming to Total 0.18% 0.16%  
Home Improvement [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 945,761 $ 808,943  
Home Improvement [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 1,742 1,294  
Commercial [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 118,691 $ 123,068  
Percentage of Nonperforming to Total 27.05% 20.06%  
Commercial [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 86,582 $ 98,380  
Commercial [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 32,109 24,688  
Taxi Medallion [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 1,209 $ 1,179  
Percentage of Nonperforming to Total 100.00% 100.00%  
Taxi Medallion [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 0 $ 0  
Taxi Medallion [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans 1,209 1,179  
Strategic Partnership [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 15,233 $ 15,144  
Percentage of Nonperforming to Total 0.00% 0.00%  
Strategic Partnership [Member] | Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 15,233 $ 15,144  
Strategic Partnership [Member] | Non - Performing [Member]      
Financing Receivable, Recorded Investment [Line Items]      
Status of loans $ 0 $ 0  
[1] Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
v3.26.3
Loans and Allowance for Credit Losses - Summary of Aging of Loans and Loans Held for Sale (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due $ 119,179 $ 111,530
Total 2,869,871 [1] 2,514,825 [2]
Accruing 0 0
Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 2,750,692 2,403,295
30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 64,229 61,802
60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 25,436 25,257
90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 29,514 24,471
Recreation [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 87,160 92,657
Total 1,788,697 [1] 1,562,101 [2]
Accruing 0 0
Recreation [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 1,701,537 1,469,444
Recreation [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 53,033 56,911
Recreation [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 22,253 22,890
Recreation [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 11,874 12,856
Home Improvement [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 10,311 8,558
Total 945,785 [1] 813,185 [2]
Accruing 0 0
Home Improvement [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 935,474 804,627
Home Improvement [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 5,385 4,891
Home Improvement [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 3,183 2,367
Home Improvement [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 1,743 1,300
Commercial Loans [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 21,708 10,274
Total 118,947 [1] 123,216 [2]
Accruing 0 0
Commercial Loans [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 97,239 112,942
Commercial Loans [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 5,811 0
Commercial Loans [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Commercial Loans [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 15,897 10,274
Taxi Medallion [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 41
Total 1,209 [1] 1,179 [2]
Accruing 0 0
Taxi Medallion [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 1,209 1,138
Taxi Medallion [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Taxi Medallion [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Taxi Medallion [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 41
Strategic Partnership [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Total 15,233 [1] 15,144 [2]
Accruing 0 0
Strategic Partnership [Member] | Financial Asset, Not Past Due [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 15,233 15,144
Strategic Partnership [Member] | 30-59 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Strategic Partnership [Member] | 60-89 [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due 0 0
Strategic Partnership [Member] | 90+ [Member]    
Financing Receivable Recorded Investment Past Due [Line Items]    
Past Due $ 0 $ 0
[1] Excludes $65.7 million of capitalized loan origination costs and fees.
[2] Excludes $52.0 million of capitalized loan origination costs.
v3.26.3
Loans and Allowance for Credit Losses - Summary of Aging of Loans and Loans Held for Sale (Parenthetical) (Detail) - USD ($)
$ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2026
Dec. 31, 2025
Receivables [Abstract]    
Capitalized loan origination costs and fees $ 65.7 $ 52.0
v3.26.3
Loans and Allowance for Credit Losses - Schedule of Loan Delinquency for Recreation and Home Improvement Loans (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Recreation [Member]    
Financing Receivable, Past Due [Line Items]    
2026 $ 538,483  
2025 381,820 $ 435,498
2024 257,257 356,392
2023 201,594 256,680
2022 185,077 227,028
2021   142,693
Prior 224,466 143,810
Total 1,788,697 [1] 1,562,101 [2]
Recreation [Member] | Current    
Financing Receivable, Past Due [Line Items]    
2026 531,341  
2025 364,230 423,427
2024 240,167 335,079
2023 186,298 237,917
2022 171,240 209,204
2021   132,704
Prior 208,261 131,113
Total 1,701,537 [1] 1,469,444 [2]
Recreation [Member] | 30-59 [Member]    
Financing Receivable, Past Due [Line Items]    
2026 956  
2025 2,561 8,210
2024 2,322 12,763
2023 2,014 11,042
2022 1,962 10,623
2021   6,061
Prior 2,059 8,212
Total 11,874 [1] 56,911 [2]
Recreation [Member] | 60-89 [Member]    
Financing Receivable, Past Due [Line Items]    
2026 4,256  
2025 10,364 2,374
2024 9,921 5,414
2023 9,691 4,918
2022 8,592 4,872
2021   2,581
Prior 10,209 2,731
Total 53,033 [1] 22,890 [2]
Recreation [Member] | 90+ [Member]    
Financing Receivable, Past Due [Line Items]    
2026 1,930  
2025 4,665 1,487
2024 4,847 3,136
2023 3,591 2,803
2022 3,283 2,329
2021   1,347
Prior 3,937 1,754
Total 22,253 [1] 12,856 [2]
Home Improvement [Member]    
Financing Receivable, Past Due [Line Items]    
2026 317,311  
2025 147,070 194,852
2024 132,573 174,886
2023 109,337 154,104
2022 129,140 153,027
2021   72,566
Prior 110,354 63,750
Total 945,785 [1] 813,185 [2]
Home Improvement [Member] | Current    
Financing Receivable, Past Due [Line Items]    
2026 316,172  
2025 145,586 193,964
2024 131,006 172,735
2023 106,805 151,637
2022 126,836 151,365
2021   71,812
Prior 109,069 63,114
Total 935,474 [1] 804,627 [2]
Home Improvement [Member] | 30-59 [Member]    
Financing Receivable, Past Due [Line Items]    
2026 677  
2025 651 535
2024 751 980
2023 1,387 1,609
2022 1,208 876
2021   513
Prior 711 378
Total 5,385 [1] 4,891 [2]
Home Improvement [Member] | 60-89 [Member]    
Financing Receivable, Past Due [Line Items]    
2026 433  
2025 532 353
2024 630 761
2023 594 441
2022 640 455
2021   199
Prior 354 158
Total 3,183 [1] 2,367 [2]
Home Improvement [Member] | 90+ [Member]    
Financing Receivable, Past Due [Line Items]    
2026 29  
2025 301 0
2024 186 410
2023 551 417
2022 456 331
2021   42
Prior 220 100
Total $ 1,743 [1] $ 1,300 [2]
[1] Excludes $64.3 million and $1.7 million of capitalized net loan origination costs for recreation and home improvement loans.
[2] Excludes $55.1 million of capitalized recreation loan origination costs and $2.9 million of net deferred home improvement loan origination fees.
v3.26.3
Loans and Allowance for Credit Losses - Schedule of Loan Delinquency for Recreation and Home Improvement Loans (Parenthetical) (Details) - USD ($)
$ in Millions
 9 Months Ended 12 Months Ended
Sep. 30, 2026
Dec. 31, 2025
Receivables [Abstract]    
Capitalized recreation loan origination costs $ 64.3 $ 55.1
Capitalized home improvement loan origination costs $ 1.7 $ 2.9
v3.26.3
Funds Borrowed - Schedule of Outstanding Balances of Funds Borrowed (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
2027 $ 1,012,442  
2028 660,803  
2029 423,190  
2030 261,312  
2031 292,791  
Thereafter 110,500  
Long term debt [1] $ 2,761,038 $ 2,403,916
Interest Rate [2] 4.30%  
Deposits [Member]    
Debt Instrument [Line Items]    
2027 [3] $ 928,317  
2028 [3] 566,803  
2029 [1] 421,940  
2030 [3] 258,312  
2031 [3] 209,291  
Thereafter [3] 0  
Long term debt [1],[3] $ 2,384,663 2,083,335
Interest Rate [2],[3] 3.98%  
Strategic Partner Collateral Deposits [Member]    
Debt Instrument [Line Items]    
2027 $ 7,125  
2028 0  
2029 0  
2030 0  
2031 0  
Thereafter 0  
Long term debt [1] $ 7,125 6,081
Interest Rate [2] 3.64%  
Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
2027 $ 0  
2028 92,750  
2029 0  
2030 0  
2031 75,000  
Thereafter 22,500  
Long term debt [1] $ 190,250 146,500
Interest Rate [2] 8.31%  
SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
2027 $ 2,000  
2028 1,250  
2029 1,250  
2030 3,000  
2031 8,500  
Thereafter 55,000  
Long term debt [1] $ 71,000 85,000
Interest Rate [2] 4.15%  
Trust Preferred Securities [Member]    
Debt Instrument [Line Items]    
2027 $ 0  
2028 0  
2029 0  
2030 0  
2031 0  
Thereafter 33,000  
Long term debt [1] $ 33,000 33,000
Interest Rate [2] 6.23%  
Federal Reserve and Other Borrowings [Member]    
Debt Instrument [Line Items]    
2027 $ 75,000  
2028 0  
2029 0  
2030 0  
2031 0  
Thereafter 0  
Long term debt [1] $ 75,000 $ 50,000
Interest Rate [2] 4.00%  
[1] Excludes deferred financing costs of $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025.
[2] Weighted average contractual rate as of September 30, 2026.
[3] Balance includes $100.5 million and $3.7 million in retail savings deposit balances as of September 30, 2026 and December 31, 2025.
v3.26.3
Funds Borrowed - Schedule of Outstanding Balances of Funds Borrowed (Parenthetical) (Detail) - USD ($)
$ in Millions
Sep. 30, 2026
Dec. 31, 2025
Debt Disclosure [Abstract]    
Deferred costs $ 9.9 $ 8.4
Retail savings deposit balance $ 100.5 $ 3.7
v3.26.3
Funds Borrowed - Additional Information (Detail) - USD ($)
$ in Thousands
 9 Months Ended
Oct. 21, 2026
Dec. 31, 2007
Jun. 30, 2007
Sep. 30, 2026
Dec. 31, 2025
Feb. 28, 2024
Dec. 31, 2021
Debt Instrument [Line Items]              
Time deposits       $ 2,391,788      
Listing services deposits from other financial institutions.       27,700 $ 17,200    
Retail savings deposit balance       $ 100,500 $ 3,700    
Interest Rate [1]       4.30%      
Investment, Type [Extensible Enumeration]             Equity Securities [Member]
Issue of common stock       30,095,273 29,592,592    
Preferred securities repurchased from a third party investor   $ 2,000          
Subsequent Event              
Debt Instrument [Line Items]              
Sale of preferred securities $ 15,000            
Preferred securities repurchased from a third party investor 11,200            
Medallion Capital, Inc. [Member]              
Debt Instrument [Line Items]              
Debt instrument face amount           $ 18,500  
Trust Preferred Securities [Member]              
Debt Instrument [Line Items]              
Maturity date       Sep. 30, 2037      
Aggregate principal amount of unsecured junior subordinated notes     $ 36,100        
Investment, Type [Extensible Enumeration]     Unsecured Debt [Member]        
Sale of preferred securities     $ 35,000        
Issue of common stock     1,083        
Basis spread on variable rate       2.13%      
Description of variable rate basis       26 basis points      
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]       Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]      
Preferred securities outstanding       $ 33,000      
Trust Preferred Securities [Member] | Subsequent Event              
Debt Instrument [Line Items]              
Preferred securities outstanding 15,000            
Trust preferred securities outstanding inclusive of accrued distributions $ 11,200            
Small Business Administration Debentures and Borrowings [Member]              
Debt Instrument [Line Items]              
Interest Rate [1]       4.15%      
Loan commitment term       4 years 6 months      
Commitment fee percentage       1.00%      
Federal reserve discount window and other borrowings [Member]              
Debt Instrument [Line Items]              
Home improvement loans pledged       $ 2,600,000      
Pledged Securities Advance Rate of Book Value       51.00%      
Line of credit facility maximum borrowing capacity       $ 1,300,000      
Long-term Line of Credit       $ 75,000      
Interest Rate       4.00%      
Commercial Banks [Member]              
Debt Instrument [Line Items]              
Line of credit facility maximum borrowing capacity       $ 75,000      
Line of credit outstanding       0      
Maximum [Member]              
Debt Instrument [Line Items]              
Time deposits       250,000      
Minimum [Member]              
Debt Instrument [Line Items]              
Time deposits       250,000      
Minimum [Member] | Bank Time Deposits [Member]              
Debt Instrument [Line Items]              
Brokered time deposits       $ 250,000      
Brokerage [Member] | Maximum [Member]              
Debt Instrument [Line Items]              
Average brokerage fee percentage in relation to the maturity of deposits       0.15%      
[1] Weighted average contractual rate as of September 30, 2026.
v3.26.3
Funds Borrowed - Summary of Maturity of Deposit Pools and Savings Deposits, Including Strategic Partner Reserve Deposits (Detail)
$ in Thousands
Sep. 30, 2026
USD ($)
Debt Disclosure [Abstract]  
Three months or less $ 249,847
Over three months through six months 179,501
Over six months through one year 498,969
Over one year 1,456,346
Deposits 2,384,663
Strategic partner collateral deposits 7,125
Total deposits $ 2,391,788
v3.26.3
Funds Borrowed - Schedule of Private Placement Notes Outstanding (Details) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 2,761,038 $ 2,403,916
Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 190,250 146,500
December 2020 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Dec. 31, 2027  
Interest Rate 7.50%  
Interest Payable Semi-annually  
Aggregate principal amount $ 53,750 53,750
February 2021 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Feb. 28, 2026  
Interest Rate 7.25%  
Interest Payable Semi-annually  
Aggregate principal amount $ 0 31,250
September 2023 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2028  
Interest Rate 9.25%  
Interest Payable Semi-annually  
Aggregate principal amount $ 39,000 39,000
June 2024 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Jun. 30, 2039  
Interest Rate 8.875%  
Interest Payable Semi-annually  
Aggregate principal amount $ 17,500 17,500
August 2024 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date Aug. 31, 2039  
Interest Rate 8.625%  
Interest Payable Semi-annually  
Aggregate principal amount $ 5,000 5,000
April 2026 [Member] | Privately Placed Notes [Member]    
Debt Instrument [Line Items]    
Maturity date May 31, 2031  
Interest Rate 8.25%  
Interest Payable Semi-annually  
Aggregate principal amount $ 75,000 $ 0
[1] Excludes deferred financing costs of $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025.
v3.26.3
Funds Borrowed - Schedule of SBA Debentures and Borrowings (Details) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2026
Dec. 31, 2025
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 2,761,038 $ 2,403,916
SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Aggregate principal amount [1] $ 71,000 85,000
March 2016 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2026  
Interest Rate 3.25%  
Interest Payable Semi-annually  
Aggregate principal amount $ 0 1,500
March 2016 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2026  
Interest Rate 3.18%  
Interest Payable Semi-annually  
Aggregate principal amount $ 0 10,000
May 2016 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2026  
Interest Rate 2.72%  
Interest Payable Semi-annually  
Aggregate principal amount $ 0 2,500
March 2017 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2027  
Interest Rate 3.52%  
Interest Payable Semi-annually  
Aggregate principal amount $ 2,000 2,000
September 2018 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2028  
Interest Rate 4.22%  
Interest Payable Semi-annually  
Aggregate principal amount $ 1,250 1,250
March 2019 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2029  
Interest Rate 3.79%  
Interest Payable Semi-annually  
Aggregate principal amount $ 1,250 1,250
September 2020 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2030  
Interest Rate 1.71%  
Interest Payable Semi-annually  
Aggregate principal amount $ 3,000 3,000
June 2021 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2031  
Interest Rate 1.58%  
Interest Payable Semi-annually  
Aggregate principal amount $ 8,500 8,500
October 2021 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2032  
Interest Rate 3.21%  
Interest Payable Semi-annually  
Aggregate principal amount $ 7,000 7,000
October 2022 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2033  
Interest Rate 5.44%  
Interest Payable Semi-annually  
Aggregate principal amount $ 4,750 4,750
April 2023 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2033  
Interest Rate 5.96%  
Interest Payable Semi-annually  
Aggregate principal amount $ 4,750 4,750
September 2023 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2034  
Interest Rate 5.08%  
Interest Payable Semi-annually  
Aggregate principal amount $ 4,750 4,750
November 2023 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Mar. 31, 2034  
Interest Rate 5.08%  
Interest Payable Semi-annually  
Aggregate principal amount $ 5,000 5,000
March 2025 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2035  
Interest Rate 4.58%  
Interest Payable Semi-annually  
Aggregate principal amount $ 10,250 10,250
August 2025 [Member] | SBA Debentures and Borrowings [Member]    
Debt Instrument [Line Items]    
Maturity date Sep. 30, 2035  
Interest Rate 4.66%  
Interest Payable Semi-annually  
Aggregate principal amount $ 18,500 $ 18,500
[1] Excludes deferred financing costs of $9.9 million and $8.4 million as of September 30, 2026 and December 31, 2025.
v3.26.3
Leases - Schedule of Operating Lease Costs and Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Leases [Abstract]        
Operating lease costs $ 804 $ 588 $ 1,196 $ 1,764
Operating cash flows from operating leases 710 680 2,105 2,036
Right-of-use asset obtained in exchange for lease liability $ 318 $ (63) $ 344 $ (189)
v3.26.3
Leases - Schedule of Breakout of Operating Leases (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Leases [Abstract]    
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Property Equipment And Right Of Use Asset Net Property Equipment And Right Of Use Asset Net
Operating lease right-of-use assets $ 12,757 $ 6,896
Other current liabilities $ 1,159 $ 2,205
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Operating lease liabilities Operating lease liabilities
Operating lease liabilities $ 11,409 $ 5,041
Total operating lease liabilities $ 12,568 $ 7,246
Weighted average remaining lease term 9 years 1 month 6 days 5 years 9 months 18 days
Weighted average discount rate 7.61% 5.90%
v3.26.3
Leases - Schedule of Maturities of the Lease Liabilities (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Leases [Abstract]    
Remainder of 2026 $ 183  
2027 1,350  
2028 1,984  
2029 2,005  
2030 2,026  
Thereafter 10,494  
Total lease payments 18,042  
Less imputed interest 5,474  
Total operating lease liabilities $ 12,568 $ 7,246
v3.26.3
Income Taxes - Summary of Components of Deferred Tax Assets and Liabilities (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Income Tax Disclosure [Abstract]    
Provision for credit losses $ 19,809 $ 17,700
Accrued expenses, compensation, and other assets 4,279 5,868
Net operating loss carryforwards [1] 2,648 2,648
Other investments and investment securities 3,485 2,553
Valuation allowance (4,786) (5,957)
Total deferred tax assets 25,435 22,812
Goodwill and other intangibles 42,136 42,408
Total deferred tax liabilities 42,136 42,408
Deferred tax liability, net $ 16,701 $ 19,596
[1] As of September 30, 2026, the Company had an estimated $11.1 million of net operating loss carryforwards, $1.7 million of which expires at various dates between December 31, 2026 and December 31, 2035, which had a net carrying value of $0.1 million as of September 30, 2026.
v3.26.3
Income Taxes - Summary of Components of Deferred Tax Assets and Liabilities (Parenthetical) (Detail) - Medallion Chicago [Member]
$ in Millions
 9 Months Ended
Sep. 30, 2026
USD ($)
Income Tax Rate Reconciliation [Line Items]  
Net operating loss carryforwards $ 11.1
Net operating loss carryforwards expiration period which expires at various dates between December 31, 2026 and December 31, 2035
Net operating loss carryforwards assets $ 0.1
December 31, 2026 To December 31, 2035 [Member]  
Income Tax Rate Reconciliation [Line Items]  
Net operating loss carryforwards $ 1.7
v3.26.3
Income Taxes - Summary of Components of Tax Provision (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Current        
Federal $ 3,700 $ 4,467 $ 9,836 $ 14,885
State 1,419 1,646 3,818 5,737
Deferred        
Federal (2,000) (398) (1,630) (1,846)
State (783) 147 (643) (396)
Total income tax provision $ 2,336 $ 5,862 $ 11,381 $ 18,380
v3.26.3
Income Taxes - Summary of Reconciliation of Statutory Federal Income Tax Provision to Consolidated Actual Income Tax Provision (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Income Tax Expense (Benefit), Effective Income Tax Rate Reconciliation, Amount [Abstract]        
Statutory Federal income tax provision $ 1,484 $ 4,090 $ 6,968 $ 12,429
State and local income taxes, net of federal income tax benefit 288 888 2,014 2,700
Non-deductible expenses 370 513 1,868 1,523
Valuation allowance against deferred tax assets 934 1,319 (1,171) 1,453
Stock-based compensation (1,117) (1,377) 1,224 (1,203)
Change in effective state income tax rates and accrual 0 170 0 866
Other 377 259 478 612
Total income tax provision $ 2,336 $ 5,862 $ 11,381 $ 18,380
Effective Income Tax Rate Reconciliation, Percent [Abstract]        
Statutory Federal income tax provision percentage [1] 21.00% 21.00% 21.00% 21.00%
State and local income taxes, net of federal income tax benefit [1] 4.00% 5.00% 6.00% 5.00%
Non-deductible expenses [1] 5.00% 3.00% 6.00% 3.00%
Valuation allowance against deferred tax assets [1] 13.00% 7.00% (4.00%) 2.00%
Stock-based compensation [1] (16.00%) (7.00%) 4.00% (2.00%)
Change in effective state income tax rates and accrual [1] 0.00% 1.00% 0.00% 1.00%
Other [1] 5.00% 1.00% 1.00% 1.00%
Total income tax provision [1] 33.00% 30.00% 34.00% 31.00%
[1] Percentage may not foot due to rounding.
v3.26.3
Income Taxes - Summary of Reconciliation of Statutory Federal Income Tax Provision to Consolidated Actual Income Tax Provision (Parenthetical) (Detail)
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Income Tax Rate Reconciliation [Line Items]        
Tax Jurisdiction of Domicile [Extensible Enumeration] us-gaap:DomesticCountryMember us-gaap:DomesticCountryMember us-gaap:DomesticCountryMember us-gaap:DomesticCountryMember
v3.26.3
Income Taxes - Additional Information (Detail)
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Income Tax Examination [Line Items]        
Open tax year     2023  
State and local income taxes, net of federal income tax benefit [1] 4.00% 5.00% 6.00% 5.00%
Utah [Member]        
Income Tax Examination [Line Items]        
State and local income taxes, net of federal income tax benefit 34.00%      
California [Member]        
Income Tax Examination [Line Items]        
State and local income taxes, net of federal income tax benefit 7.00%      
Florida [Member]        
Income Tax Examination [Line Items]        
State and local income taxes, net of federal income tax benefit 6.00%      
New York [Member]        
Income Tax Examination [Line Items]        
State and local income taxes, net of federal income tax benefit 5.00%      
Texas [Member]        
Income Tax Examination [Line Items]        
State and local income taxes, net of federal income tax benefit 3.00%      
[1] Percentage may not foot due to rounding.
v3.26.3
Stock Options and Restricted Stock - Additional Information (Detail) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Jun. 15, 2018
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Dec. 31, 2025
Dec. 31, 2023
Dec. 31, 2024
Feb. 29, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Stock option outstanding   769,334 [1] 779,818 [1] 795,227   769,334 [1]   798,058   913,909  
Unvested shares of common stock outstanding   0 0 0   0   0   84,623  
Number of shares vested and settled           419,543          
Unrecognized compensation cost related to unvested stock options, restricted stock, restricted stock units, and performance stock units   $ 7.0       $ 7.0          
Unrecognized compensation cost related to unvested stock options and restricted stock, recognition period           10 years          
Total stock based compensation expense   $ 1.5     $ 1.7 $ 5.5 $ 5.1        
Stock based compensation award per diluted common share   $ 0.07     $ 0.07 $ 0.23 $ 0.21        
Weighted average fair value of options granted   $ 0 $ 0         $ 0      
Restricted Stock Units [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares outstanding   509,905       509,905          
Number of shares outstanding, vested restricted stock units   419,543       419,543          
Restricted Stock Units [Member] | Vest on June 9, 2027 [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Weighted average grant price, granted           $ 9.63          
Restricted Stock Units [Member] | Vest on June 12, 2026 [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares, granted           89,310   86,410      
Weighted average grant price, granted               $ 9.49      
Restricted Shares [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares outstanding   576,714 [2] 593,472 [2] 719,590 [2]   576,714 [2]   751,750   909,028  
Number of shares vested and settled [3]   0 92,978 374,797       484,823      
Weighted average fair value of options granted           $ 0 $ 0        
Number of shares, granted   0 0 344,206       332,918      
Weighted average grant price, granted   $ 0 $ 0 $ 10.36       $ 8.63      
PSU [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares outstanding   676,562 676,562 744,350   676,562   823,854   512,131  
Number of shares vested and settled   0 0 [4] 296,444 [4]       0      
Number of shares, granted   0 0 216,940       311,723      
Weighted average grant price, granted   $ 0 $ 0 $ 10.34       $ 8.47      
Unvested Performance Shares [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares outstanding, performance stock units   676,562       676,562          
Maximum [Member] | PSU [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Award vesting rights, percentage                 200.00%    
Minimum [Member] | PSU [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Award vesting rights, percentage                 0.00%    
2018 Equity Incentive Plan [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares available for grant   7,710,968       7,710,968          
Shares were rolled into the 2018 Plan   1,547,370       1,547,370          
2018 Equity Incentive Plan [Member] | Restricted Stock Units [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares outstanding   90,362       90,362          
2018 Restricted Stock Plan [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Unvested shares of common stock outstanding   576,714       576,714          
2015 Director Plan [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares available for grant 258,334                   300,000
2015 Director Plan [Member] | Non Employee Director One [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Number of shares available for grant 12,000                    
2015 Director Plan [Member] | Maximum [Member]                      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]                      
Vesting period 10 years                    
[1] The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at September 30, 2026 and the related exercise price of the underlying options, was $4.1 million for outstanding options, all of which had previously vested. The remaining contractual life was 3.4 years for outstanding options at September 30, 2026
[2] The aggregate fair value of the unvested restricted stock was $6.9 million as of September 30, 2026. The remaining vesting period was 2.4 years at September 30, 2026.
[3] The aggregate fair value of the restricted stock vested, on the date of vesting, was $4.7 million for the nine months ended September 30, 2026 and $4.2 million for the year ended December 31, 2025
[4] During the three and nine months ended September 30, 2026, 0 and 652,577 shares were used in connection with the vesting and settlement of PSUs.
v3.26.3
Stock Options and Restricted Stock - Summary of Activity for Performance Stock Units and Restricted Stock Programs (Detail) - $ / shares
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2026
Dec. 31, 2025
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares, vested       (419,543)  
Grant price per share, cancelled, lower limit [1]         $ 4.89
Grant price per share, cancelled, upper limit $ 0 $ 0 $ 0   $ 6.79 [1]
PSU [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares, beginning balance 676,562 744,350 823,854 823,854 512,131
Number of shares, granted 0 0 216,940   311,723
Number of shares, cancelled 0 (67,788) 0   0
Number of shares, vested 0 0 [2] (296,444) [2]   0
Number of shares, ending balance 676,562 676,562 744,350 676,562 823,854
Grant price per share, lower range limit beginning balance $ 8.47 $ 8.47 $ 6.08 $ 6.08 $ 6.08
Grant price per share, upper range limit beginning balance 10.36 10.36 8.97 8.97 8.97
Grant price per share, granted, upper limit 0 0 10.34   8.47
Grant price per share, cancelled, lower limit   8.47      
Grant price per share, cancelled, upper limit 0 8.97 0   0
Grant price per share, vested, upper limit 0 0 [2] 6.08 [2]   0
Grant price per share, lower range limit ending balance 8.47 8.47 8.47 8.47 6.08
Grant price per share, upper range limit ending balance 10.36 10.36 10.36 10.36 8.97
Weighted average grant price beginning balance 9.21 9.17 7.74 7.74 7.3
Weighted average grant price, granted 0 0 10.34   8.47
Weighted average grant price, cancelled 0 8.71 0   0
Weighted average grant price, vested 0 0 [2] 6.08 [2]   0
Weighted average grant price, ending balance $ 9.21 $ 9.21 $ 9.17 $ 9.21 $ 7.74
Restricted Shares [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares, beginning balance 593,472 [3] 719,590 [3] 751,750 751,750 909,028
Number of shares, granted 0 0 344,206   332,918
Number of shares, cancelled (16,758) (33,140) (1,569)   (5,373)
Number of shares, vested [4] 0 (92,978) (374,797)   (484,823)
Number of shares, ending balance 576,714 [3] 593,472 [3] 719,590 [3] 576,714 [3] 751,750
Grant price per share, lower range limit beginning balance $ 8.47 [3] $ 8.47 $ 8.08 $ 8.08 $ 4.89
Grant price per share, upper range limit beginning balance 10.57 [3] 10.57 10.57 10.57 10.32
Grant price per share, granted, lower limit         8.47
Grant price per share, granted, upper limit 0 0 10.36   10.57
Grant price per share, cancelled, lower limit 8.47 8.47 9.37   4.89
Grant price per share, cancelled, upper limit 10.57 10.57 10.32   10.32
Grant price per share, vested, lower limit [4]   8.47 8.08   4.89
Grant price per share, vested, upper limit [4] 0 10.36 9.37   8.97
Grant price per share, lower range limit ending balance 8.47 [3] 8.47 [3] 8.47 8.47 [3] 8.08
Grant price per share, upper range limit ending balance 10.57 [3] 10.57 [3] 10.57 10.57 [3] 10.57
Weighted average grant price beginning balance 9.62 [3] 9.64 [3] 8.83 8.83 8.3
Weighted average grant price, granted 0 0 10.36   8.63
Weighted average grant price, cancelled 9.55 9.78 9.82   9.16
Weighted average grant price, vested [4] 0 9.72 8.67   7.7
Weighted average grant price, ending balance $ 9.62 [3] $ 9.62 [3] $ 9.64 [3] $ 9.62 [3] $ 8.83
[1] The intrinsic value of the options vested was $0.1 million for the year ended December 31, 2025.
[2] During the three and nine months ended September 30, 2026, 0 and 652,577 shares were used in connection with the vesting and settlement of PSUs.
[3] The aggregate fair value of the unvested restricted stock was $6.9 million as of September 30, 2026. The remaining vesting period was 2.4 years at September 30, 2026.
[4] The aggregate fair value of the restricted stock vested, on the date of vesting, was $4.7 million for the nine months ended September 30, 2026 and $4.2 million for the year ended December 31, 2025
v3.26.3
Stock Options and Restricted Stock - Summary of Activity for Performance Stock Units and Restricted Stock Programs (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2026
Dec. 31, 2025
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares vesting 0 0 0   84,504 [1]
Restricted Shares [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Aggregate fair value of restricted stock vested       $ 4.7 $ 4.2
Aggregate fair value of unvested restricted stock outstanding $ 6.9     $ 6.9  
Remaining vesting period of restricted stock       2 years 4 months 24 days  
PSU [Member]          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Number of shares vesting 0     652,577  
[1] The intrinsic value of the options vested was $0.1 million for the year ended December 31, 2025.
v3.26.3
Stock Options and Restricted Stock - Summary of Activity for Stock Option Programs (Detail) - $ / shares
 3 Months Ended 12 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Dec. 31, 2025
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of options beginning balance 779,818 [1] 795,227 798,058 913,909
Granted 0 0 0 0
Cancelled (806) (2,255) (607) (33,770)
Exercised (9,678) [2] (13,154) [2] (2,224) [2] (82,081)
Number of options ending balance 769,334 [1] 779,818 [1] 795,227 798,058
Options exercisable 769,334 [1]     798,058
Exercise price per share, lower range limit beginning balance $ 2.14 [1] $ 2.14 $ 2.14 $ 2.14
Exercise price per share, upper range limit beginning balance 7.25 [1] 7.25 9.38 9.38
Exercise price per share, granted 0 0 0 0
Exercise price per share, cancelled     0  
Exercise price per share, lower range limit ending balance 2.14 [1] 2.14 [1] 2.14 2.14
Exercise price per share, upper range limit ending balance 7.25 [1] 7.25 [1] 7.25 9.38
Exercise price per share, option exercisable lower range limit 2.14 [1]     2.14
Exercise price per share, option exercisable upper range limit 7.25 [1]     9.38
Weighted average exercise price, beginning balance 6.5 [1] 6.5 6.5 6.52
Weighted average exercise price, granted 0 0 0 0
Weighted average exercise price, cancelled 6.95 6.52 5.98 7.37
Weighted average exercise price, exercised 5.49 [2] 6.68 [2] 5.85 [2] 6.29
Weighted average exercise price, ending balance 6.51 [1] 6.5 [1] 6.5 6.5
Weighted average exercise price, options exercisable 6.51 [1]     6.5
Minimum [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Exercise price per share, cancelled 6.55 4.89   4.89
Exercise price per share, exercised 4.89 [2] 4.89 [2] 4.89 [2] 4.89
Maximum [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Exercise price per share, cancelled 7.25 7.25   9.38
Exercise price per share, exercised $ 7.25 [2] $ 7.25 [2] $ 7.25 [2] $ 7.25
[1] The aggregate intrinsic value of outstanding options, which represents the difference between the price of the Company’s common stock at September 30, 2026 and the related exercise price of the underlying options, was $4.1 million for outstanding options, all of which had previously vested. The remaining contractual life was 3.4 years for outstanding options at September 30, 2026
[2] The aggregate intrinsic value, which represents the difference between the price of the Company’s common stock at the exercise date and the related exercise price of the underlying options, was less than $0.1 million and $0.1 million for the three and nine months ended September 30, 2026 and was $0.3 million for the year ended December 31, 2025.
v3.26.3
Stock Options and Restricted Stock - Summary of Activity for Stock Option Programs (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2026
Sep. 30, 2026
Dec. 31, 2025
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Outstanding [Roll Forward]      
Aggregate intrinsic value for option exercised $ 0.1 $ 0.1 $ 0.3
Aggregate intrinsic value of option outstanding $ 4.1 $ 4.1  
Remaining contractual life of option outstanding   3 years 4 months 24 days  
v3.26.3
Stock Options and Restricted Stock - Summary of Activity for Unvested Options Outstanding (Detail) - $ / shares
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2026
Dec. 31, 2025
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]          
Number of options beginning balance 0 0 0 0 84,623
Number of options, granted 0 0 0   0
Number of options, cancelled 0 0 0   (119)
Number of options, vested 0 0 0   (84,504) [1]
Number of options ending balance 0 0 0 0 0
Exercise price per share beginning balance, Lower limit         $ 4.89
Exercise price per share beginning balance, Upper limit $ 0 $ 0 $ 0 $ 0 6.79
Exercise price per share, Granted 0 0 0   0
Exercise price per share, Cancelled, Upper limit 0 0 0   4.89
Exercise price per share, Vested, Lower limit [1]         4.89
Exercise price per share, Vested, Upper limit 0 0 0   6.79 [1]
Exercise price per share ending balance, Upper limit 0 0 0 0 0
Weighted average exercise price 0 0 0 0 6.37
Weighted average exercise price, granted 0 0     0
Weighted average exercise price, cancelled 0 0 0   4.89
Weighted average exercise price, vested 0 0 0   6.37 [1]
Weighted average exercise price $ 0 $ 0 $ 0 $ 0 $ 0
[1] The intrinsic value of the options vested was $0.1 million for the year ended December 31, 2025.
v3.26.3
Stock Options and Restricted Stock - Summary of Activity for Unvested Options Outstanding (Parenthetical) (Detail)
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]  
Intrinsic value of options vested $ 0.1
v3.26.3
Segment Reporting - Additional Information (Detail)
 9 Months Ended
Sep. 30, 2026
Segment
Segment Reporting Disclosure [Line Items]  
Number of business segments 5
Number of operating segments 4
Number of non-operating segments 1
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] srt:ChiefExecutiveOfficerMember, srt:ChiefFinancialOfficerMember
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The CODM primarily uses segment information to identify areas to improve efficiency of resources allocation, determine where to reinvest profits, and minimize unnecessary expenses. The CODM assesses segment performance mainly through selected financial ratios such as returns on average assets and net interest margin, which identifies areas requiring action.
Swimming Pools [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 46.00%
Roofs [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 23.00%
Windows [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 9.00%
Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Texas [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 17.00%
Texas [Member] | Home Improvement [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 15.00%
Florida [Member] | Home Improvement [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 15.00%
Other States [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Other States [Member] | Home Improvement [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Geographic Concentration Risk [Member] | Sales Revenue Net [Member] | Recreational Vehicles [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 53.00%
Geographic Concentration Risk [Member] | Sales Revenue Net [Member] | Boats [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 22.00%
Geographic Concentration Risk [Member] | Sales Revenue Net [Member] | Cars [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 13.00%
Geographic Concentration Risk [Member] | Sales Revenue Net [Member] | Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 10.00%
Commercial Lending Segment [Member] | Manufacturing [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 59.00%
Commercial Lending Segment [Member] | Wholesale Trade [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 14.00%
Commercial Lending Segment [Member] | Construction [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Commercial Lending Segment [Member] | Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 10.00%
Commercial Lending Segment [Member] | California [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 17.00%
Commercial Lending Segment [Member] | Wisconsin [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 15.00%
Commercial Lending Segment [Member] | New York [Member]  
Segment Reporting Disclosure [Line Items]  
Loan outstanding percent 12.00%
Commercial Lending Segment [Member] | Geographic Concentration Risk [Member] | Sales Revenue Net [Member] | Other Product Lines [Member]  
Segment Reporting Disclosure [Line Items]  
Aggregate percentage of loans lending 10.00%
v3.26.3
Segment Reporting - Schedule of Segment Data (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Jun. 30, 2026
Mar. 31, 2026
Sep. 30, 2025
Jun. 30, 2025
Mar. 31, 2025
Sep. 30, 2026
Sep. 30, 2025
Dec. 31, 2025
Segment Reporting Disclosure [Line Items]                  
Total interest income $ 88,890     $ 80,771     $ 252,335 $ 233,637  
Total interest expense 30,511     25,085     82,650 73,170  
Net interest income 58,379     55,686     169,685 160,467  
Provision (benefit) for credit losses 30,769 $ 22,273 $ 22,476 18,556 $ 21,562 $ 22,014 75,518 62,132  
Net interest income after provision for credit losses 27,610     37,130     94,167 98,335  
Other income (loss), net 3,424     3,048     10,308 23,858  
Other expenses                  
Salaries 10,799     10,145     33,046 30,286  
Loan servicing fees and collection costs 5,860     4,822     17,631 14,310  
Other costs 7,307     5,735     20,616 18,410  
Total other expenses 23,966     20,702     71,293 63,006  
Net income (loss) before taxes 7,068     19,476     33,182 59,187  
Income tax (provision) benefit (2,336)     (5,862)     (11,381) (18,380)  
Net income (loss) 4,732 $ 9,780 $ 7,289 13,614 $ 13,667 $ 13,526 21,801 40,807  
Income attributable to the non-controlling interest 2,335     2,336     7,006 6,446  
Redemption of non-controlling interest 0     3,515     0 3,515  
Net income attributable to Medallion Financial Corp. 2,397     7,763     14,795 30,846  
Balance Sheet Data                  
Total loans, gross 2,920,361           2,920,361   $ 2,551,705
Loans 2,935,594 [1]     2,559,081     2,935,594 [1] 2,559,081 2,566,849
Total assets 3,360,644     2,900,387     3,360,644 2,900,387 $ 2,955,464
Total funds borrowed $ 2,761,038 [2]     $ 2,360,761 [3]     $ 2,761,038 [2] $ 2,360,761 [3]  
Selected Financial Ratios                  
Return on average assets 0.57%     1.88%     0.94% 1.91%  
Return on average stockholders' equity 2.36%     7.85%     4.86% 10.71%  
Return on average equity 3.64%     10.73%     5.69% 11.41%  
Interest yield 11.18%     11.92%     11.37% 11.75%  
Net interest margin 7.34%     8.21%     7.65% 8.07%  
Reserve coverage 4.58% [4]     4.47% [5]     4.58% [6] 4.47% [7]  
Delinquency status 1.03% [8]     1.16% [9]     1.03% [10] 1.16% [11]  
Charge-off ratio 2.69% [12]     2.26% [13]     2.77% [14] 2.60% [15]  
Recreation [Member]                  
Selected Financial Ratios                  
Charge-off ratio       3.36%       3.74%  
Operating Segments [Member] | Consumer Lending [Member] | Recreation [Member]                  
Segment Reporting Disclosure [Line Items]                  
Total interest income $ 60,977     $ 53,565     $ 172,112 $ 155,132  
Total interest expense 17,952     13,487     48,109 38,382  
Net interest income 43,025     40,078     124,003 116,750  
Provision (benefit) for credit losses 23,515     16,708     59,461 48,914  
Net interest income after provision for credit losses 19,510     23,370     64,542 67,836  
Other income (loss), net 350     87     1,793 1,853  
Other expenses                  
Salaries 3,999     3,475     12,177 10,125  
Loan servicing fees and collection costs 4,492     3,781     13,733 11,019  
Other costs 3,245     2,838     9,192 8,950  
Total other expenses 11,736     10,094     35,102 30,094  
Net income (loss) before taxes 8,124     13,363     31,233 39,595  
Income tax (provision) benefit (2,708)     (4,027)     (10,712) (12,296)  
Net income (loss) 5,416     9,336     20,521 27,299  
Balance Sheet Data                  
Total loans, gross 1,852,958 [1]     1,603,169     1,852,958 [1] 1,603,169  
Total assets 1,779,045     1,546,505     1,779,045 1,546,505  
Total funds borrowed $ 1,461,628 [2]     $ 1,258,773 [3]     $ 1,461,628 [2] $ 1,258,773 [3]  
Selected Financial Ratios                  
Return on average assets 1.24%     2.44%     1.65% 2.42%  
Return on average equity 7.87%     13.69%     10.08% 14.21%  
Interest yield 13.32%     13.45%     13.39% 13.37%  
Net interest margin 9.40%     10.06%     9.65% 10.06%  
Reserve coverage 5.30% [4]     5.10% [5]     5.30% [6] 5.10% [7]  
Delinquency status 0.66% [8]     0.57% [9]     0.66% [10] 0.57% [11]  
Charge-off ratio 3.55% [12]     3.23% [13]     3.68% [14] 3.58% [15]  
Operating Segments [Member] | Consumer Lending [Member] | Home Improvement [Member]                  
Segment Reporting Disclosure [Line Items]                  
Total interest income $ 21,403     $ 20,453     $ 61,708 $ 60,357  
Total interest expense 8,406     7,344     23,049 21,633  
Net interest income 12,997     13,109     38,659 38,724  
Provision (benefit) for credit losses 6,320     2,125     14,004 8,904  
Net interest income after provision for credit losses 6,677     10,984     24,655 29,820  
Other income (loss), net 1,461     2     1,471 7  
Other expenses                  
Salaries 2,085     2,170     6,549 6,523  
Loan servicing fees and collection costs 1,182     985     3,592 2,955  
Other costs 1,789     1,436     4,765 4,807  
Total other expenses 5,056     4,591     14,906 14,285  
Net income (loss) before taxes 3,082     6,395     11,220 15,542  
Income tax (provision) benefit (1,029)     (1,943)     (3,848) (4,827)  
Net income (loss) 2,053     4,452     7,372 10,715  
Balance Sheet Data                  
Total loans, gross 947,503 [1]     804,003     947,503 [1] 804,003  
Total assets 929,740     788,764     929,740 788,764  
Total funds borrowed $ 763,856 [2]     $ 642,012 [3]     $ 763,856 [2] $ 642,012 [3]  
Selected Financial Ratios                  
Return on average assets 0.90%     2.24%     1.16% 1.80%  
Return on average equity 5.80%     12.59%     7.10% 10.57%  
Interest yield 9.17%     10.11%     9.55% 9.95%  
Net interest margin 5.57%     6.48%     5.98% 6.38%  
Reserve coverage 2.59% [4]     2.55% [5]     2.59% [6] 2.55% [7]  
Delinquency status 0.18% [8]     0.16% [9]     0.18% [10] 0.16% [11]  
Charge-off ratio 1.42% [12]     1.03% [13]     1.41% [14] 1.48% [15]  
Operating Segments [Member] | Commercial Lending [Member]                  
Segment Reporting Disclosure [Line Items]                  
Total interest income $ 3,169     $ 4,227     $ 10,123 $ 11,325  
Total interest expense 1,471     1,252     4,234 3,462  
Net interest income 1,698     2,975     5,889 7,863  
Provision (benefit) for credit losses 972     1,414     2,131 7,440  
Net interest income after provision for credit losses 726     1,561     3,758 423  
Other income (loss), net (214)     260     471 16,260  
Other expenses                  
Salaries 902     1,133     2,707 3,349  
Loan servicing fees and collection costs 0     0     0 0  
Other costs 502     357     1,793 1,023  
Total other expenses 1,404     1,490     4,500 4,372  
Net income (loss) before taxes (892)     331     (271) 12,311  
Income tax (provision) benefit 350     (50)     155 (3,823)  
Net income (loss) (542)     281     (116) 8,488  
Balance Sheet Data                  
Total loans, gross 118,691 [1]     135,123     118,691 [1] 135,123  
Total assets 109,039     125,349     109,039 125,349  
Total funds borrowed $ 89,584 [2]     $ 102,027 [3]     $ 89,584 [2] $ 102,027 [3]  
Selected Financial Ratios                  
Return on average assets (1.90%)     0.89%     (0.22%) 9.73%  
Return on average equity (11.35%)     5.19%     (1.32%) 58.17%  
Interest yield 10.37%     13.24%     11.05% 12.48%  
Net interest margin 5.44%     9.05%     6.43% 8.69%  
Reserve coverage 9.43% [4]     8.43% [5]     9.43% [6] 8.43% [7]  
Delinquency status 13.36% [8]     13.99% [9]     13.36% [10] 13.99% [11]  
Charge-off ratio (0.02%) [12]     3.38% [13]     0.07% [14] 1.36% [15]  
Operating Segments [Member] | Taxi Medallion Lending [Member]                  
Segment Reporting Disclosure [Line Items]                  
Total interest income $ 55     $ 91     $ 281 $ 243  
Total interest expense 34     16     93 66  
Net interest income 21     75     188 177  
Provision (benefit) for credit losses (38)     (1,691)     (152) (3,126)  
Net interest income after provision for credit losses 59     1,766     340 3,303  
Other income (loss), net 1,113     1,781     3,562 3,373  
Other expenses                  
Salaries 679     509     2,098 1,742  
Loan servicing fees and collection costs 112     36     170 287  
Other costs 192     275     351 614  
Total other expenses 983     820     2,619 2,643  
Net income (loss) before taxes 189     2,727     1,283 4,033  
Income tax (provision) benefit (60)     (838)     (440) (1,253)  
Net income (loss) 129     1,889     843 2,780  
Balance Sheet Data                  
Total loans, gross 1,209 [1]     1,509     1,209 [1] 1,509  
Total assets 4,801     5,204     4,801 5,204  
Total funds borrowed 3,944 [2]     4,236 [3]     3,944 [2] 4,236 [3]  
Intersegment Eliminations [Member]                  
Segment Reporting Disclosure [Line Items]                  
Total interest income 3,286     2,435     8,111 6,580  
Total interest expense 2,648     2,986     7,165 9,627  
Net interest income 638     (551)     946 (3,047)  
Provision (benefit) for credit losses 0     0     74 0  
Net interest income after provision for credit losses 638     (551)     872 (3,047)  
Other income (loss), net 714     918     3,011 2,365  
Other expenses                  
Salaries 3,134     2,858     9,515 8,547  
Loan servicing fees and collection costs 74     20     136 49  
Other costs 1,579     829     4,515 3,016  
Total other expenses 4,787     3,707     14,166 11,612  
Net income (loss) before taxes (3,435)     (3,340)     (10,283) (12,294)  
Income tax (provision) benefit 1,111     996     3,464 3,819  
Net income (loss) (2,324)     (2,344)     (6,819) (8,475)  
Balance Sheet Data                  
Total loans, gross 15,233 [1]     15,277     15,233 [1] 15,277  
Total assets 538,019     434,565     538,019 434,565  
Total funds borrowed $ 442,026 [2]     $ 353,713 [3]     $ 442,026 [2] $ 353,713 [3]  
[1] Inclusive of strategic partnership loans held for sale, at lower of amortized cost or fair value.
[2] Excludes deferred financing costs of $9.9 million as of September 30, 2026.
[3] Excludes deferred financing costs of $9.0 million as of September 30, 2025.
[4] Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
[5] Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
[6] Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
[7] Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
[8] Loans 90 days or more past due as a percent of total loans.
[9] Loans 90 days or more past due as a percent of average loans held for investment.
[10] Loans 90 days or more past due as a percent of total loans.
[11] Loans 90 days or more past due as a percent of total loans.
[12] Net charge-offs as a percent of average loans held for investment.
[13] Net charge-offs as a percent of average gross loans. Charge-off ratio in the recreation lending segment was 3.36% when excluding loans held for sale.
[14] Net charge-offs as a percent of average loans held for investment.
[15] 3.74% when excluding loans held for sale.
v3.26.3
Segment Reporting - Schedule of Segment Data (Parenthetical) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Sep. 30, 2026
Sep. 30, 2025
Dec. 31, 2025
Segment Reporting Disclosure [Line Items]          
Deferred financing costs $ 9.9 $ 9.0 $ 9.9 $ 9.0 $ 8.4
Charge-off (recovery) ratio 2.69% [1] 2.26% [2] 2.77% [3] 2.60% [4]  
Recreation [Member]          
Segment Reporting Disclosure [Line Items]          
Charge-off (recovery) ratio   3.36%   3.74%  
[1] Net charge-offs as a percent of average loans held for investment.
[2] Net charge-offs as a percent of average gross loans. Charge-off ratio in the recreation lending segment was 3.36% when excluding loans held for sale.
[3] Net charge-offs as a percent of average loans held for investment.
[4] 3.74% when excluding loans held for sale.
v3.26.3
Commitments and Contingencies - Additional Information (Detail) - USD ($)
 9 Months Ended
Jan. 12, 2026
Sep. 30, 2026
Commitments And Contingencies [Abstract]    
Annual base salary $ 430,000,000  
Employment agreements expiration description   employment agreements expire at various dates through 2029
Employment Agreements Future Minimum Payments Due   $ 6,000,000
Future minimum payments   6,000,000
Other commitment   $ 0
v3.26.3
Related Party Transactions - Additional Information (Detail) - USD ($)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2026
Sep. 30, 2025
Dec. 31, 2025
Executive Vice President [Member]      
Related Party Transaction [Line Items]      
Salary from related party $ 277,000   $ 269,000
Annual cash bonus 101,000 $ 75,000  
Equity grants 54,000 50,000  
Manager [Member]      
Related Party Transaction [Line Items]      
Salary from related party 120,000   $ 107,120
Annual cash bonus 16,068 13,000  
Equity grants $ 0 $ 2,601  
v3.26.3
Fair Value of Financial Instruments - Summary of Carrying Values and Fair Values of Financial Instruments (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Financial assets    
Loans held for sale, at lower of amortized cost or fair value $ 15,233 $ 15,144
Equity securities, fair value 1,700 1,800
Level 1 [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 242,806 [1] 200,814 [2]
Investment securities 0 0
Loans held for investment, net of allowance 0 0
Loans held for sale, at lower of amortized cost or fair value 0 0
Accrued interest receivable 21,967 19,401
Equity securities, fair value 1,702 [3] 1,787 [4]
Financial liabilities    
Funds borrowed 0 [5] 0 [6]
Accrued interest payable 6,967 6,319
Level 2 [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 250 [1] 750 [2]
Investment securities 63,853 60,183
Loans held for investment, net of allowance 0 0
Loans held for sale, at lower of amortized cost or fair value 0 0
Accrued interest receivable 0 0
Equity securities, fair value 0 [3] 0 [4]
Financial liabilities    
Funds borrowed 2,732,908 [5] 2,431,011 [6]
Accrued interest payable 0 0
Level 3 [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 0 [1] 0 [2]
Investment securities 0 0
Loans held for investment, net of allowance 2,806,767 2,421,988
Loans held for sale, at lower of amortized cost or fair value 15,233 15,144
Accrued interest receivable 0 0
Equity securities, fair value 0 [3] 0 [4]
Financial liabilities    
Funds borrowed 0 [5] 0 [6]
Accrued interest payable 0 0
Carrying Amount [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 243,056 [1] 201,564 [2]
Investment securities 63,853 60,183
Loans held for investment, net of allowance 2,786,466 2,436,916
Loans held for sale, at lower of amortized cost or fair value 15,233 15,144
Accrued interest receivable 21,967 19,401
Equity securities, fair value 1,702 [3] 1,787 [4]
Financial liabilities    
Funds borrowed 2,761,038 [5] 2,410,016 [6]
Accrued interest payable 6,967 6,319
Fair Value Recurring [Member]    
Financial assets    
Cash, cash equivalents, and federal funds sold 243,056 [1] 201,564 [2]
Investment securities 63,853 60,183
Loans held for investment, net of allowance 2,806,767 2,421,988
Loans held for sale, at lower of amortized cost or fair value 15,233 15,144
Accrued interest receivable 21,967 19,401
Equity securities, fair value 1,702 [3] 1,787 [4]
Financial liabilities    
Funds borrowed 2,732,908 [5] 2,431,011 [6]
Accrued interest payable 6,967 6,319
Fair Value Recurring [Member] | Level 1 [Member]    
Financial assets    
Equity securities, fair value $ 1,702 [7] $ 1,787 [8]
[1] Includes federal funds sold and interest bearing deposits in other banks.
[2] Includes federal funds sold and interest bearing deposits in other banks.
[3] Included within other assets on the balance sheet.
[4] Included within other assets on the balance sheet.
[5] Excludes deferred financing costs of $9.9 million as of September 30, 2026.
[6] Excludes deferred financing costs of $8.4 million as of December 31, 2025.
[7] Included within other assets on the balance sheet.
[8] Included within other assets on the balance sheet.
v3.26.3
Fair Value of Financial Instruments - Summary of Carrying Values and Fair Values of Financial Instruments (Parenthetical) (Detail) - USD ($)
$ in Millions
Sep. 30, 2026
Dec. 31, 2025
Sep. 30, 2025
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]      
Deferred financing costs $ 9.9 $ 8.4 $ 9.0
v3.26.3
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Assets    
Investment securities $ 63,853 $ 60,183
Equity securities, fair value 1,700 1,800
Level 1 [Member]    
Assets    
Equity securities, fair value 1,702 [1] 1,787 [2]
Level 2 [Member]    
Assets    
Equity securities, fair value 0 [1] 0 [2]
Fair Value Recurring [Member]    
Assets    
Investment securities 63,853 [3] 60,183 [4]
Equity securities, fair value 1,702 [1] 1,787 [2]
Total 65,555 61,970
Fair Value Recurring [Member] | Level 1 [Member]    
Assets    
Equity securities, fair value 1,702 [5] 1,787 [6]
Total 1,702 1,787
Fair Value Recurring [Member] | Level 2 [Member]    
Assets    
Investment securities 63,853 [3] 60,183 [4]
Total $ 63,853 $ 60,183
[1] Included within other assets on the balance sheet.
[2] Included within other assets on the balance sheet.
[3] Total unrealized loss of $1.5 million and $2.0 million net of tax, was included in other comprehensive income for the three and nine months ended September 30, 2026.
[4] Total unrealized gains of $1.8 million, net of tax, was included in other comprehensive income for the year ended December 31, 2025.
[5] Included within other assets on the balance sheet.
[6] Included within other assets on the balance sheet.
v3.26.3
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2026
Sep. 30, 2026
Dec. 31, 2025
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Net change in unrealized gains (losses) on investments, net of tax $ 1.5 $ 2.0 $ 1.8
v3.26.3
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Assets    
Equity investments $ 1,700 $ 1,800
Level 3 [Member]    
Assets    
Equity investments 0 [1] 0 [2]
Fair Value, Nonrecurring    
Assets    
Equity investments 250 [3] 0 [4]
Total 250 0
Fair Value, Nonrecurring | Level 3 [Member]    
Assets    
Equity investments 250 [3] 0 [4]
Total $ 250 $ 0
[1] Included within other assets on the balance sheet.
[2] Included within other assets on the balance sheet.
[3] For the three and nine months ended September 30, 2026, the Company had 2 and 3 equity investment, measured on a non-recurring basis.
[4] For the year ended December 31, 2025, the Company had 8 equity investments, measured on a non-recurring basis, that had a fair value of $0.
v3.26.3
Fair Value of Assets and Liabilities - Summary of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis (Parenthetical) (Detail)
$ in Thousands
Dec. 31, 2025
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Abstract]  
Equity investments measured on a non-recurring basis $ 0
v3.26.3
Fair Value of Assets and Liabilities - Summary of Valuation Techniques and Significant Unobservable Inputs Used in Non-Recurring Level 3 Fair Value Measurements of Assets and Liabilities (Detail) - USD ($)
$ in Thousands
Sep. 30, 2026
Dec. 31, 2025
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Equity investments $ 1,700 $ 1,800
Level 3 [Member]    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Equity investments 0 [1] 0 [2]
Level 3 [Member] | Equity Investments [Member] | Investee Financial Analysis [Member] | Measurement Input Financial Condition and Operational Performance [Member]    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Equity investments $ 250 [3] $ 0 [4]
[1] Included within other assets on the balance sheet.
[2] Included within other assets on the balance sheet.
[3] Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
[4] Includes projections based on revenue, EBITDA, leverage and liquidation amounts. These assumptions are based on a variety of factors, including economic conditions, industry and market developments, market valuations of comparable companies, and company-specific developments, including exit strategies and realization opportunities.
v3.26.3
Medallion Bank Preferred Stock (Non-controlling Interest) - Additional Information (Detail) - USD ($)
 9 Months Ended
Jul. 01, 2025
May 22, 2025
Dec. 17, 2019
Jul. 21, 2011
Sep. 30, 2026
Dec. 31, 2025
Dec. 31, 2021
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Carrying amount         $ 0 $ 0  
Investment, Type [Extensible Enumeration]             Equity Securities [Member]
Capital Purchase Program [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Preferred stock, aggregate liquidation amount         $ 1,000    
US Treasury shares purchased       26,303      
Investment, Type [Extensible Enumeration]       us-gaap:USTreasurySecuritiesMember      
Series F Fixed-to-Floating Rate Non-cumulative Perpetual Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Initial public offering shares     1,840,000        
Preferred stock, aggregate liquidation amount     $ 46        
Preferred stock, net of liquidation amount     $ 42,500,000        
Percentage of dividend payment rate     8.00%        
Percentage of liquidation rate basis     6.46%        
Redemption charges $ 3,500,000            
Carrying amount 42,500,000            
Dividend description of variable rate basis     three-month Term 90-day Secured Overnight Financing Rate, or SOFR        
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]     us-gaap:SecuredOvernightFinancingRateSofrMember        
Preferred stock, liquidation preference per share     $ 25        
Series G Fixed To Floating Rate Noncumulative Perpetual Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Initial public offering shares   3,100,000          
Preferred stock, aggregate liquidation amount   $ 77,500,000          
Preferred stock, net of liquidation amount   $ 73,100,000          
Percentage of dividend payment rate   9.00%          
Percentage of liquidation rate basis   4.94%          
Dividend description of variable rate basis   five-year U.S. Treasury rate plus a spread          
Investment, Variable Interest Rate, Type [Extensible Enumeration]   us-gaap:SecuredOvernightFinancingRateSofrMember          
Preferred stock, liquidation preference per share   $ 25          
Series E Senior Non-Cumulative Perpetual Preferred Stock [Member] | Capital Purchase Program [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Percentage of dividend payment rate         9.00%    
Aggregate purchase price       $ 26,300,000      
Series F Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Redemption price of stock $ 46,000,000            
Series G Preferred Stock [Member]              
Changes In Equity And Comprehensive Income Line Items [Line Items]              
Initial public offering shares         2,200,000    
Preferred stock, aggregate liquidation amount         $ 55,000,000    
Preferred stock, liquidation preference per share         $ 25    
v3.26.3
Subsequent Events - Additional Information (Detail) - USD ($)
$ in Millions
Oct. 21, 2026
Dec. 31, 2007
Subsequent Event [Line Items]    
Payments for repurchase of trust preferred securities   $ 2.0
Subsequent Event [Member]    
Subsequent Event [Line Items]    
Issuance of trust preferred securities $ 15.0  
Payments for repurchase of trust preferred securities $ 11.2