RELATED PARTY TRANSACTIONS (Tables)

9 Months Ended

Jun. 30, 2019

The following table represents the related party transactions associated with MCB under the Old LSMS Agreement, which was in effect through November 30, 2018, and other related party transactions for the periods presented.



	Three Months Ended June 30,					Nine Months Ended June 30,
	2019		2018			2019		2018
	(dollars in thousands)

Loan purchases:
Loans purchased from affiliates	$	—	$	35,037		$	22,143	$	86,931

Management and record keeping services:
Servicing fee paid to MCB ⁽¹⁾	$	—	$	4,864		$	3,384	$	15,059
Special services fee paid to MCB ⁽²⁾	—		1,240			821		2,926
Base fee paid to MCB ⁽³⁾	—		125			83		375
Indirect cost allocation fees paid to MCFC	56		44			201		159
Total management and record keeping services	$	56	$	6,273		$	4,489	$	18,519

Other transactions:
Fees paid to MCB in connection with loans purchased ⁽⁴⁾	$	—	$	384		$	245	$	1,000
Tax payments to (refunds from) MCFC	49		(712		)	383		1,457
Dividends paid to MCFC	—		—			1,375		205
Cash capital contribution from MCFC	6,100		—			6,100		—
Non-cash capital contribution from parent (See Note 8)	—		—			11,200		—
Direct cost allocations paid to MCFC	335		303			1,116		906
Borrowings on line of credit with MCFC	25,000		—			50,000		—
Repayment of borrowings on line of credit from MCFC	25,000					25,000
Interest expense paid to MCFC	43		—			656		—


⁽¹⁾	The servicing fee paid to MCB under the Old LSMS Agreement was 0.604% per month of the outstanding loan principal and the monthly collections fee was 46% of amounts collected on charged-off accounts through November 30, 2018.


⁽²⁾	The fees for special services under the Old LSMS Agreement were at a rate of 125% of the cost of such services incurred by MCB through November 30, 2018.


⁽³⁾	The annual base fee under the Old LSMS Agreement was $500,000 and payable monthly to MCB through November 30, 2018.


⁽⁴⁾	Under the Old LSMS Agreement we paid a $27.00 fee for each loan purchased from MCB through November 30, 2018.

PIONEER FINANCIAL SERVICES INC 10-Q