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Oportun was founded in 2005. It makes small-balance, fixed-rate, fully amortizing installment loans to consumers with limited or no credit history, many of whom have no FICO score. The company says it has helped 1.3 million people without a FICO score start a credit history and had 2.8 million members at year-end 2025. Credit provided since inception reached $22.7bn by 8 Sep 2026. Unsecured personal loans dominate. Secured personal loans, backed by an automobile title, were $245M at 30 Jun 2026, or 9% of owned principal, and are offered in 8 states. The company caps APRs on new loans at 36%; the weighted average APR on the unsecured book was 35% at 30 Sep 2025, and the average new unsecured loan in 3Q25 was $3,058.
Most loans are now originated by Pathward, N.A., a national bank, under a program agreement that runs through 2029; Pathward originated about 98% of 2025 personal loan originations. Oportun buys the receivables and funds them in bankruptcy-remote vehicles: five warehouse facilities (Oportun PLW Trust to PLW V) and a series of term securitizations. Oportun Issuance Trust 2026-A, its 28th term securitization, priced in February 2026. Oportun keeps the residual interest (the certificates) in each trust and services the loans through a subsidiary, PF Servicing, for a 5.00% annual fee. The loans are carried at fair value.
The corporate lender's collateral is therefore not the loans themselves. It is the equity of the subsidiaries that own the trust certificates, the servicing platform, unrestricted cash and intangible assets. At 30 Jun 2026 owned principal was $2,613.4M and unrestricted cash was $139.6M.
Management changed in 2026. The chief executive left in April; Doug Bland was appointed chief executive after an interim Office of the CEO. A new chief risk officer, Sean Rowles, joined in June and a new chief financial officer, Bill Franklin (previously at Discover), started on 8 Sep 2026. On 22 Jun 2026 the company settled with an activist shareholder, Radoff, and a new director, Scheirman, was appointed on 11 Aug 2026. On 30 Jun 2026 Oportun entered into a second bank program, with Column N.A., for a four-year term.
Oportun competes with consumer finance companies, fintech lenders, banks and, at the margin, payday, pawn and auto-title lenders. Its peers in the non-prime installment market include OneMain and Enova, both of which fund partly with unsecured bonds (Exhibit 7). Oportun relies on secured funding: trust notes and warehouses.
The market is growing but credit is mixed. TransUnion reports US unsecured personal loan balances of $281.0bn in Q2 2026, up 9.6% year over year. Originations grew 19.5%, with subprime originations up 29%. Borrower-level 60+ days past due (DPD) delinquency rose to 3.81% from 3.37% a year earlier, while the balance-weighted rate was 1.95% (TransUnion Q2 2026 Credit Industry Insights Report). Funding costs matter as much as losses. The Federal Reserve raised its target range by 25bp to 3.75%–4.00% on 16 Sep 2026, and SOFR was 3.87% on 8 Oct 2026 (New York Fed). Oportun's own 36% APR cap and state rate limits set the ceiling on pricing, so higher funding costs and losses cannot be passed through quickly.
| FY2023A | FY2024A | FY2025A | 6M Jun-25A | 6M Jun-26A | LTM Jun-26 | |
|---|---|---|---|---|---|---|
| Total revenue | 1,056.9 | 1,001.8 | 956.7 | 470.2 | 462.0 | 948.4 |
| Interest expense | 179.4 | 238.2 | 231.5 | 116.9 | 89.9 | 204.5 |
| Net decrease in fair value of loans | (596.8) | (468.4) | (319.3) | (142.9) | (171.6) | (348.0) |
| Net revenue | 280.7 | 295.2 | 405.8 | 210.4 | 200.5 | 396.0 |
| Total operating expenses | 534.3 | 410.4 | 361.8 | 187.1 | 181.3 | 356.0 |
| Net income (loss) | (180.0) | (78.7) | 25.2 | 16.6 | 10.9 | 19.5 |
| Adjusted EBITDA (company definition) | 18.6 | 104.5 | 148.4 | 64.7 | 77.9 | 161.6 |
| Aggregate originations | 1,813.1 | 1,775.3 | 1,956.8 | 950.2 | 904.7 | 1,911.3 |
| Net charge-offs | 363.8 | 331.4 | 325.5 | 160.3 | 163.9 | 329.2 |
| Owned principal balance, end of period | 2,904.7 | 2,678.2 | 2,739.0 | 2,636.4 | 2,613.4 | n/a |
| Annualized net charge-off rate (%) | 12.2% | 12.0% | 12.0% | 12.0% | 12.3% | n/a |
| 30+ day delinquency rate, end of period (%) | 5.9% | 4.8% | 4.9% | 4.4% | 4.0% | n/a |
| Portfolio yield (%) | 32.2% | 33.5% | 33.1% | 32.9% | 32.7% | n/a |
| Cost of debt (%) | 6.0% | 8.4% | 8.2% | 8.4% | 6.7% | n/a |
Your call (approve, approve with conditions, or decline), the size and type of loan, and the two or three reasons that decide it.
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