PATHWARD FINANCIAL, INC., 10-Q filed on 5/9/2023
Quarterly Report
v3.23.1
Cover Page - shares
 6 Months Ended
Mar. 31, 2023
May 03, 2023
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2023  
Document Transition Report false  
Entity File Number 0-22140  
Entity Registrant Name PATHWARD FINANCIAL, INC.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 42-1406262  
Entity Address, Address Line One 5501 South Broadband Lane  
Entity Address, City or Town Sioux Falls  
Entity Address, State or Province SD  
Entity Address, Postal Zip Code 57108  
City Area Code 877  
Local Phone Number 497-7497  
Title of 12(b) Security Common Stock, $.01 par value  
Trading Symbol CASH  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding (in shares)   26,912,856
Entity Central Index Key 0000907471  
Current Fiscal Year End Date --09-30  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus Q2  
Amendment Flag false  
v3.23.1
Condensed Consolidated Statements of Financial Condition - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
ASSETS    
Cash and cash equivalents $ 432,598 $ 388,038
Securities available for sale, at fair value 1,825,563 1,882,869
Securities held to maturity, at amortized cost (fair value $35,028 and $38,171, respectively) 38,713 41,682
Federal Reserve Bank and Federal Home Loan Bank Stock, at cost 29,387 28,812
Loans held for sale 24,780 21,071
Loans and leases 3,725,616 3,536,305
Allowance for credit losses (84,304) (45,947)
Accrued interest receivable 22,434 17,979
Premises, furniture, and equipment, net 39,735 41,710
Rental equipment, net 210,844 204,371
Goodwill and intangible assets 332,503 335,196
Other assets 270,387 295,324
Total assets 6,868,256 6,747,410
LIABILITIES    
Deposits 5,902,696 5,866,037
Short-term borrowings 43,000 0
Long-term borrowings 34,543 36,028
Accrued expenses and other liabilities 214,773 200,205
Total liabilities 6,195,012 6,102,270
STOCKHOLDERS’ EQUITY    
Preferred stock, 3,000,000 shares authorized, no shares issued, none outstanding at March 31, 2023 and September 30, 2022, respectively 0 0
Additional paid-in capital 623,250 617,403
Retained earnings 245,046 245,394
Accumulated other comprehensive loss (187,829) (213,080)
Treasury stock, at cost, 149,679 and 90,053 common shares at March 31, 2023 and September 30, 2022, respectively (6,943) (4,835)
Total equity attributable to parent 673,795 645,170
Noncontrolling interest (551) (30)
Total stockholders’ equity 673,244 645,140
Total liabilities and stockholders’ equity 6,868,256 6,747,410
Common stock, $0.01 par value; 90,000,000 shares authorized, 27,205,406 and 28,878,177 shares issued, 27,055,727 and 28,788,124 shares outstanding at March 31, 2023 and September 30, 2022, respectively    
STOCKHOLDERS’ EQUITY    
Common stock 271 288
Common stock, Nonvoting, $0.01 par value; 3,000,000 shares authorized, no shares issued, none outstanding at March 31, 2023 and September 30, 2022, respectively    
STOCKHOLDERS’ EQUITY    
Common stock $ 0 $ 0
v3.23.1
Condensed Consolidated Statements of Financial Condition (Parenthetical) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
STOCKHOLDERS’ EQUITY    
Investment securities held to maturity, fair value $ 35,028 $ 38,171
Preferred stock, shares authorized (in shares) 3,000,000 3,000,000
Preferred stock, shares issued (in shares) 0 0
Preferred stock, shares outstanding (in shares) 0 0
Treasury stock (in shares) 149,679 90,053
Common Stock    
STOCKHOLDERS’ EQUITY    
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 90,000,000 90,000,000
Common stock, shares issued (in shares) 27,205,406 28,878,177
Common stock, shares outstanding (in shares) 27,055,727 28,788,124
Common Stock, Nonvoting    
STOCKHOLDERS’ EQUITY    
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 3,000,000 3,000,000
Common stock, shares issued (in shares) 0 0
Common stock, shares outstanding (in shares) 0 0
v3.23.1
Condensed Consolidated Statements of Operations - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Interest and dividend income:        
Loans and leases, including fees $ 83,879 $ 75,540 $ 152,275 $ 140,575
Mortgage-backed securities 10,326 5,446 20,738 9,310
Other investments 10,482 4,191 16,734 8,183
Total interest and dividend income 104,687 85,177 189,747 158,068
Interest expense:        
Deposits 2,096 165 2,238 306
FHLB advances and other borrowings 1,186 1,212 2,047 2,349
Total interest expense 3,282 1,377 4,285 2,655
Net interest income 101,405 83,800 185,462 155,413
Provision for credit losses 36,763 32,302 46,539 32,488
Net interest income after provision for credit losses 64,642 51,498 138,923 122,925
Noninterest income:        
Gain (loss) on sale of securities 82 260 82 397
Gain on sale of trademarks 0 0 10,000 50,000
Gain (loss) on sale of other (748) 626 (246) (2,839)
Other income 4,477 3,881 8,032 5,542
Total noninterest income 127,038 109,766 192,815 196,357
Noninterest expense:        
Compensation and benefits 47,547 45,047 90,564 83,272
Refund transfer product expense 7,863 6,260 7,968 6,398
Refund advance expense 1,603 2,002 1,630 2,185
Card processing 26,924 7,457 49,607 14,629
Occupancy and equipment expense 8,510 8,500 16,822 16,849
Operating lease equipment depreciation 14,719 8,737 24,347 17,185
Legal and consulting 4,921 9,347 14,380 15,555
Intangible amortization 1,435 2,169 2,693 3,657
Impairment expense 500 0 524 0
Other expense 13,114 13,641 23,660 25,866
Total noninterest expense 127,136 103,160 232,195 185,596
Income before income tax expense 64,544 58,104 99,543 133,686
Income tax expense 9,176 8,002 15,753 22,278
Net income before noncontrolling interest 55,368 50,102 83,790 111,408
Net income (loss) attributable to noncontrolling interest 597 851 1,177 833
Net income attributable to parent $ 54,771 $ 49,251 $ 82,613 $ 110,575
Earnings per common share:        
Basic (in dollars per share) $ 1.99 $ 1.66 $ 2.95 $ 3.66
Diluted (in dollars per share) $ 1.99 $ 1.66 $ 2.95 $ 3.66
Refund transfer product fees        
Noninterest income:        
Noninterest income $ 30,205 $ 27,805 $ 30,882 $ 28,384
Refund advance fee income        
Noninterest income:        
Noninterest income 37,995 39,299 38,612 40,532
Card and deposit fees        
Noninterest income:        
Noninterest income 42,087 26,520 79,805 51,889
Rental income        
Noninterest income:        
Noninterest income $ 12,940 $ 11,375 $ 25,648 $ 22,452
v3.23.1
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Statement of Comprehensive Income [Abstract]        
Net income before noncontrolling interest $ 55,368 $ 50,102 $ 83,790 $ 111,408
Other comprehensive income (loss):        
Change in net unrealized gain (loss) on debt securities 18,530 (93,632) 33,238 (102,774)
Net loss (gain) realized on investment securities (82) (260) (82) (397)
Total 18,448 (93,892) 33,156 (103,171)
Unrealized gain (loss) on currency translation 60 143 447 209
Deferred income tax effect 4,647 (23,651) 8,352 (25,989)
Total other comprehensive income (loss) 13,861 (70,098) 25,251 (76,973)
Total comprehensive income (loss) 69,229 (19,996) 109,041 34,435
Total comprehensive income attributable to noncontrolling interest 597 851 1,177 833
Comprehensive income (loss) attributable to parent $ 68,632 $ (20,847) $ 107,864 $ 33,602
v3.23.1
Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($)
$ in Thousands
Total
Total Pathward Financial Stockholders’ Equity
Common Stock
Additional Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Treasury Stock
Noncontrolling interest
Beginning Balance at Sep. 30, 2021 $ 871,884 $ 870,729 $ 317 $ 604,484 $ 259,189 $ 7,599 $ (860) $ 1,155
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Cash dividends declared on common stock (3,004) (3,004)     (3,004)      
Issuance of common stock due to ESOP 2,886 2,886 1 2,885        
Repurchases of common stock (146,653) (146,653) (24) 24 (143,000)   (3,653)  
Stock compensation 5,524 5,524   5,524        
Total other comprehensive income (loss) (76,973) (76,973)       (76,973)    
Net income 111,408 110,575     110,575     833
Net investment by (distribution to) noncontrolling interests (1,666)             (1,666)
Ending Balance at Mar. 31, 2022 763,406 763,084 294 612,917 223,760 (69,374) (4,513) 322
Beginning Balance at Dec. 31, 2021 826,156 825,514 301 610,816 217,991 724 (4,318) 642
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Cash dividends declared on common stock (1,482) (1,482)     (1,482)      
Repurchases of common stock (42,195) (42,195) (7) 7 (42,000)   (195)  
Stock compensation 2,094 2,094   2,094        
Total other comprehensive income (loss) (70,098) (70,098)       (70,098)    
Net income 50,102 49,251     49,251     851
Net investment by (distribution to) noncontrolling interests (1,171)             (1,171)
Ending Balance at Mar. 31, 2022 763,406 763,084 294 612,917 223,760 (69,374) (4,513) 322
Beginning Balance at Sep. 30, 2022 645,140 645,170 288 617,403 245,394 (213,080) (4,835) (30)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Cash dividends declared on common stock (2,788) (2,788)     (2,788)      
Issuance of common stock due to restricted stock 1 1 1          
Repurchases of common stock (82,281) (82,281) (18) 18 (80,173)   (2,108)  
Stock compensation 5,829 5,829   5,829        
Total other comprehensive income (loss) 25,251 25,251       25,251    
Net income 83,790 82,613     82,613     1,177
Net investment by (distribution to) noncontrolling interests (1,698)             (1,698)
Ending Balance at Mar. 31, 2023 673,244 673,795 271 623,250 245,046 (187,829) (6,943) (551)
Beginning Balance at Dec. 31, 2022 659,133 659,340 282 620,681 246,891 (201,690) (6,824) (207)
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Cash dividends declared on common stock (1,386) (1,386)     (1,386)      
Repurchases of common stock (55,349) (55,349) (11) 11 (55,230)   (119)  
Stock compensation 2,558 2,558   2,558        
Total other comprehensive income (loss) 13,861 13,861       13,861    
Net income 55,368 54,771     54,771     597
Net investment by (distribution to) noncontrolling interests (941)             (941)
Ending Balance at Mar. 31, 2023 $ 673,244 $ 673,795 $ 271 $ 623,250 $ 245,046 $ (187,829) $ (6,943) $ (551)
v3.23.1
Condensed Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Statement of Stockholders' Equity [Abstract]        
Cash dividends declared on common stock (in dollars per share) $ 0.05 $ 0.05 $ 0.10 $ 0.10
v3.23.1
Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Cash flows from operating activities:    
Net income before noncontrolling interest $ 83,790 $ 111,408
Adjustments to reconcile net income to net cash provided by (used in) operating activities:    
Depreciation, amortization and accretion, net 34,390 30,753
Provision for credit losses 46,539 32,488
Provision for deferred taxes 2,545 14,091
Originations of loans held for sale (608,628) (555,397)
Proceeds from sales of loans held for sale 604,363 723,942
Net change in loans held for sale 652 8,834
Net realized (gain) loss on loans held for sale (110) 4,065
Net realized loss on premise, furniture, and equipment 0 43
Net realized (gain) on lease receivables and equipment 354 (1,063)
Net realized (gain) on trademarks (10,000) (50,000)
Net realized (gain) loss on other assets (82) (397)
Impairment on rental equipment 24 0
Net change in accrued interest receivable (4,455) (2,862)
Net change in other assets 14,050 (21,680)
Net change in accrued expenses and other liabilities 14,568 (8,400)
Stock compensation 5,829 5,524
Net cash provided by operating activities 183,829 291,349
Cash flows from investing activities:    
Purchases of securities available for sale 0 (470,067)
Proceeds from maturities of and principal collected on securities available for sale 89,162 184,107
Proceeds from maturities of and principal collected on securities held to maturity 2,822 8,937
Purchases of Federal Reserve Bank and Federal Home Loan Bank stock (120,160) (103,573)
Redemption of Federal Reserve Bank and Federal Home Loan Bank stock 119,586 103,160
Purchases of loans and leases (187,834) (88,913)
Proceeds from sales of loans and leases 0 45,784
Net change in loans and leases 191,195 (69,966)
Purchases of premises, furniture, and equipment (3,428) (3,718)
Proceeds from sales of premises, furniture, and equipment 0 35
Purchases of rental equipment (238,999) (196,043)
Proceeds from sales of rental equipment 6,736 6,811
Net change in rental equipment (153) (1,567)
Proceeds from sales of foreclosed real estate and repossessed assets 1 1,715
Proceeds from sale of trademarks 10,000 50,000
Proceeds from sale of other assets 0 460
Net cash provided by (used in) investing activities (131,072) (532,838)
Cash flows from financing activities:    
Net change in deposits 36,659 314,915
Net change in short-term borrowings 43,000 0
Principal payments on capital lease obligations 0 (74)
Principal payments on other liabilities 0 (1,463)
Proceeds from other liabilities (1,026) 0
Payment of debt issuance costs (511) 0
Dividends paid on common stock (2,788) (3,004)
Issuance of common stock due to restricted stock 1 0
Issuance of common stock due to ESOP 0 2,886
Repurchases of common stock (82,281) (146,653)
Distributions to noncontrolling interest (1,698) (1,666)
Net cash provided by (used in) financing activities (8,644) 164,941
Effect of exchange rate changes on cash 447 209
Net change in cash and cash equivalents 44,560 (76,339)
Cash and cash equivalents at beginning of fiscal year 388,038 314,019
Cash and cash equivalents at end of fiscal period 432,598 237,680
Supplemental disclosure of cash flow information:    
Interest 4,273 2,663
Income taxes 7,842 9,381
Franchise taxes 100 100
Other taxes 372 432
Supplemental schedule of non-cash investing activities:    
Held for sale to loans and leases 0 14,731
Loans and leases to held for sale 0 169,045
Loans and leases to rental equipment 1,449 2,634
Rental equipment to loan and leases $ 202,330 $ 177,193
v3.23.1
BASIS OF PRESENTATION
 6 Months Ended
Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
BASIS OF PRESENTATION BASIS OF PRESENTATION
The interim unaudited Condensed Consolidated Financial Statements contained herein should be read in conjunction with the audited consolidated financial statements and accompanying notes to the consolidated financial statements for the fiscal year ended September 30, 2022 included in Pathward Financial, Inc.’s (“Pathward” or the “Company”) Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on November 22, 2022. Accordingly, footnote disclosures which would substantially duplicate the disclosures contained in the audited consolidated financial statements have been omitted.

The financial information of the Company included herein has been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial reporting and has been prepared pursuant to the rules and regulations for reporting on Form 10-Q and Rule 10-01 of Regulation S-X. Such information reflects all adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary for a fair presentation of the financial position and results of operations for the periods presented. The results of the three and six months ended March 31, 2023 are not necessarily indicative of the results expected for the fiscal year ending September 30, 2023.
Certain prior fiscal year amounts have been reclassified to conform to the current year financial statement presentation. These changes and reclassifications did not impact previously reported net income or comprehensive income.
v3.23.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ADOPTED ACCOUNTING STANDARDS UPDATES ("ASU")
 6 Months Ended
Mar. 31, 2023
Accounting Policies [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ADOPTED ACCOUNTING STANDARDS UPDATES (ASU) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ADOPTED ACCOUNTING STANDARDS UPDATES ("ASU")
Significant accounting policies in effect and disclosed within the Company’s most recent audited consolidated financial statements as of September 30, 2022 remain substantially unchanged. The following ASU became effective for the Company on October 1, 2022, and did not have a material impact on the Company’s significant accounting policies or Condensed Consolidated Financial Statements:

–ASU 2021-05, Leases (Topic 842): Lessors - Certain Leases with Variable Lease Payments.
v3.23.1
SIGNIFICANT EVENTS
 6 Months Ended
Mar. 31, 2023
Unusual or Infrequent Items, or Both [Abstract]  
SIGNIFICANT EVENTS SIGNIFICANT EVENTS
Rebranding

On December 7, 2021, the Company executed a Purchase Agreement (the “Agreement”) with Beige Key, LLC (the “Assignee”) for the sale of all of the Company’s worldwide right, title and interest in and to company names and tradenames including Meta and other "Meta" formative names including MetaBank and Meta Financial Group, and the domain names, social media accounts and goodwill associated with the foregoing (collectively, the “Meta” tradenames) in exchange for $60.0 million in cash. Subject to the terms and conditions set forth in the Agreement, the Company had one year from the Agreement execution date to phase out and cease all use of the Meta tradenames. The Company received $50.0 million upon execution and delivery of the Agreement and was reflected in noninterest income for the fiscal year ended September 30, 2022. The remaining $10.0 million was received by the Company upon completion of phase out activities during the quarter ended December 31, 2022. There have been no additional rebrand activities since completion of these activities.
v3.23.1
SECURITIES
 6 Months Ended
Mar. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
SECURITIES SECURITIES
The amortized cost, gross unrealized gains and losses and estimated fair values of available for sale ("AFS") and held to maturity ("HTM") debt securities are presented below.
(Dollars in thousands)Amortized CostGross Unrealized GainsGross Unrealized (Losses)Fair
Value
Debt Securities AFS
At March 31, 2023
Corporate securities$25,000 $— $(6,250)$18,750 
SBA securities99,670 — (5,422)94,248 
Obligations of states and political subdivisions2,436 — (79)2,357 
Non-bank qualified obligations of states and political subdivisions277,767 37 (28,311)249,493 
Asset-backed securities136,028 — (9,324)126,704 
Mortgage-backed securities1,534,356 — (200,345)1,334,011 
Total debt securities AFS$2,075,257 $37 $(249,731)$1,825,563 
At September 30, 2022
Corporate securities$25,000 $— $(2,813)$22,187 
SBA securities105,238 — (7,470)97,768 
Obligations of states and political subdivisions2,469 — (125)2,344 
Non-bank qualified obligations of states and political subdivisions290,754 — (26,971)263,783 
Asset-backed securities160,806 — (13,016)147,790 
Mortgage-backed securities1,581,452 — (232,455)1,348,997 
Total debt securities AFS$2,165,719 $— $(282,850)$1,882,869 
Debt Securities HTM
At March 31, 2023
Non-bank qualified obligations of states and political subdivisions$36,407 $— $(3,474)$32,933 
Mortgage-backed securities2,306 — (211)2,095 
Total debt securities HTM$38,713 $— $(3,685)$35,028 
At September 30, 2022
Non-bank qualified obligations of states and political subdivisions$39,093 $— $(3,190)$35,903 
Mortgage-backed securities2,589 — (321)2,268 
Total debt securities HTM$41,682 $— $(3,511)$38,171 
Gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous loss position, were as follows:
LESS THAN 12 MONTHSOVER 12 MONTHSTOTAL
(Dollars in thousands)Fair
Value		Gross Unrealized (Losses)Fair
Value		Gross Unrealized (Losses)Fair
Value		Gross Unrealized (Losses)
Debt Securities AFS
At March 31, 2023
Corporate securities$— $— $18,750 $(6,250)$18,750 $(6,250)
SBA securities41,231 (1,166)53,016 (4,256)94,247 (5,422)
Obligations of state and political subdivisions— — 2,357 (79)2,357 (79)
Non-bank qualified obligations of states and political subdivisions65,300 (4,118)183,201 (24,193)248,501 (28,311)
Asset-backed securities— — 126,704 (9,324)126,704 (9,324)
Mortgage-backed securities296,523 (14,199)1,037,488 (186,146)1,334,011 (200,345)
Total debt securities AFS$403,054 $(19,483)$1,421,516 $(230,248)$1,824,570 $(249,731)
At September 30, 2022
Corporate securities$— $— $22,187 $(2,813)$22,187 $(2,813)
SBA securities97,767 (7,470)— — 97,767 (7,470)
Obligations of state and political subdivisions2,345 (125)— — 2,345 (125)
Non-bank qualified obligations of states and political subdivisions195,816 (19,743)67,967 (7,228)263,783 (26,971)
Asset-backed securities64,886 (1,838)82,904 (11,178)147,790 (13,016)
Mortgage-backed securities816,657 (106,583)532,340 (125,872)1,348,997 (232,455)
Total debt securities AFS$1,177,471 $(135,759)$705,398 $(147,091)$1,882,869 $(282,850)
Debt Securities HTM
At March 31, 2023
Non-bank qualified obligations of states and political subdivisions$— $— $32,934 $(3,474)$32,934 $(3,474)
Mortgage-backed securities— — 2,096 (211)2,096 (211)
Total debt securities HTM$— $— $35,030 $(3,685)$35,030 $(3,685)
At September 30, 2022
Non-bank qualified obligations of states and political subdivisions$3,984 $(300)$31,919 $(2,890)$35,903 $(3,190)
Mortgage-backed securities2,268 (321)— — 2,268 (321)
Total debt securities HTM$6,252 $(621)$31,919 $(2890)$38,171 $(3,511)

At March 31, 2023, there were 192 securities AFS in an unrealized loss position. All of the mortgage-backed securities ("MBS") in an unrealized loss position at March 31, 2023 were government guaranteed. Management assessed each investment security with unrealized losses for credit loss and determined substantially all unrealized losses on these securities were due to credit spreads and interest rates versus credit loss. As part of that assessment, management evaluated and concluded that it is more-likely-than-not that the Company will not be required and does not intend to sell any of the securities prior to recovery of the amortized cost. At March 31, 2023, there was no allowance for credit losses ("ACL") for debt securities AFS.
The amortized cost and fair value of debt securities by contractual maturity are shown below. Certain securities have call features that allow the issuer to call the security prior to maturity. Expected maturities may differ from contractual maturities in MBS because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Therefore, MBS are not included in the maturity categories in the following maturity summary. The expected maturities of certain Small Business Administration ("SBA") securities may differ from contractual maturities because the borrowers may have the right to prepay the obligation. However, certain prepayment penalties may apply.
(Dollars in thousands)At March 31, 2023At September 30, 2022
Securities AFS at Fair ValueAmortized CostFair
Value		Amortized CostFair
Value
Due in one year or less$3,785 $3,728 $718 $715 
Due after one year through five years5,830 5,468 9,921 9,395 
Due after five years through ten years86,540 76,745 89,921 81,819 
Due after ten years444,746 405,611 483,707 441,943 
540,901 491,552 584,267 533,872 
Mortgage-backed securities1,534,356 1,334,011 1,581,452 1,348,997 
Total securities AFS, at fair value$2,075,257 $1,825,563 $2,165,719 $1,882,869 
Securities HTM at Fair Value
Due after ten years$36,407 $32,933 $39,093 $35,903 
36,407 32,933 39,093 35,903 
Mortgage-backed securities2,306 2,095 2,589 2,268 
Total securities HTM, at cost$38,713 $35,028 $41,682 $38,171 

Equity Securities
The Company held $3.5 million at March 31, 2023 and $2.9 million at September 30, 2022 in marketable equity securities. The Company recognized none and $3.8 million in unrealized losses on marketable equity securities during the six months ended March 31, 2023 and 2022, respectively, which is attributable to an investee becoming publicly traded during fiscal year 2021. All other marketable equity securities and related activity were insignificant for the six months ended March 31, 2023 and 2022. No such securities were sold during the six months ended March 31, 2023.

Non-marketable equity securities with a readily determinable fair value totaled $7.7 million at March 31, 2023 and $7.2 million at September 30, 2022. The Company recognized $0.1 million in unrealized losses and $0.3 million in unrealized gains during the six months ended March 31, 2023 and 2022, respectively. No such securities were sold during the six months ended March 31, 2023.

Non-marketable equity securities without readily determinable fair value totaled $17.7 million at March 31, 2023 and $18.2 million at September 30, 2022. No such securities were sold during the six months ended March 31, 2023.

Federal Reserve Bank ("FRB") Stock
The Bank is required by federal law to subscribe to capital stock (divided into shares of $100 each) as a member of the FRB of Minneapolis with an amount equal to six per centum of the paid-up capital stock and surplus. One-half of the subscription is paid at time of application, and one-half is subject to call of the Board of Governors of the Federal Reserve System. FRB of Minneapolis stock held by the Bank totaled $19.7 million at March 31, 2023 and September 30, 2022. These equity securities are 'restricted' in that they can only be owned by member banks.
Federal Home Loan Bank ("FHLB") Stock
The Company's borrowings from the FHLB are secured by specific investment securities. Such advances can be made pursuant to several different credit programs, each of which has its own interest rate and range of maturities.

The investments in the FHLB stock are required investments related to the Company's membership in and current borrowings from the FHLB of Des Moines. The investments in the FHLB of Des Moines could be adversely impacted by the financial operations of the FHLB and actions of their regulator, the Federal Housing Finance Agency.

The FHLB stock is carried at cost since it is generally redeemable at par value. The carrying value of the stock held at the FHLB was $9.7 million and $9.1 million at March 31, 2023 and at September 30, 2022, respectively.

These equity securities are ‘restricted’ in that they can only be sold back to the respective institution from which they were acquired or another member institution at par. Therefore, FRB and FHLB stocks are less liquid than other marketable equity securities, and the fair value approximates cost.

Equity Security Impairment
The Company evaluates impairment for investments held at cost on at least an annual basis based on the ultimate recoverability of the par value. All other equity investments, including those under the equity method, are reviewed for other-than-temporary impairment on at least a quarterly basis. The Company recognized $0.5 million and no impairment for such investments for the six months ended March 31, 2023 and 2022, respectively.
v3.23.1
LOANS AND LEASES, NET
 6 Months Ended
Mar. 31, 2023
Loans and Leases Receivable Disclosure [Abstract]  
LOANS AND LEASES, NET LOANS AND LEASES, NET
Loans and leases consist of the following:
(Dollars in thousands)March 31, 2023September 30, 2022
Term lending$1,235,453 $1,090,289 
Asset based lending377,965 351,696 
Factoring338,884 372,595 
Lease financing170,645 210,692 
Insurance premium finance437,700 479,754 
SBA/USDA405,612 359,238 
Other commercial finance166,402 159,409 
Commercial finance3,132,661 3,023,673 
Consumer credit products120,739 144,353 
Other consumer finance27,909 25,306 
Consumer finance148,648 169,659 
Tax services61,553 9,098 
Warehouse finance377,036 326,850 
Total loans and leases3,719,898 3,529,280 
Net deferred loan origination costs5,718 7,025 
Total gross loans and leases3,725,616 3,536,305 
Allowance for credit losses(84,304)(45,947)
Total loans and leases, net$3,641,312 $3,490,358 

During the six months ended March 31, 2023 and 2022, the Company originated $608.6 million and $555.4 million of consumer finance and SBA/USDA as held for sale, respectively.

The Company sold held for sale loans resulting in proceeds of $604.4 million and gain on sale of $0.1 million during the six months ended March 31, 2023. The Company sold held for sale loans resulting in proceeds of $723.9 million and loss on sale of $4.1 million during the six months ended March 31, 2022.
Loans purchased and sold by portfolio segment, including participation interests, were as follows:
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands)2023202220232022
Loans Purchased
Loans held for investment:
Commercial finance$— $1,378 $— $3,098 
Warehouse finance120,185 29,822 187,834 85,815 
Total purchases$120,185 $31,200 $187,834 $88,913 
Loans Sold
Loans held for sale:
Commercial finance$294 $14,090 $1,149 $47,113 
Consumer finance201,199 147,163 603,214 523,607 
Community banking— — — 153,222 
Loans held for investment:
Commercial finance— 15,549 — 15,549 
Community banking— — — 30,235 
Total sales$201,493 $176,802 $604,363 $769,726 

Leasing Portfolio. The net investment in direct financing and sales-type leases was comprised of the following:
(Dollars in thousands)March 31, 2023September 30, 2022
Carrying amount$173,621 $216,880 
Unguaranteed residual assets11,849 13,037 
Unamortized initial direct costs202 295 
Unearned income(14,825)(19,225)
Total net investment in direct financing and sales-type leases$170,847 $210,987 

Undiscounted future minimum lease payments receivable for direct financing and sales-type leases, and a reconciliation to the carrying amount recorded at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$43,358 
202467,521 
202537,603 
202615,265 
20277,418 
Thereafter2,456 
Total undiscounted future minimum lease payments receivable for direct financing and sales-type leases173,621 
Third-party residual value guarantees— 
Total carrying amount of direct financing and sales-type leases$173,621 

The Company did not record any contingent rental income from direct financing and sales-type leases in the six months ended March 31, 2023.
The COVID-19 pandemic began impacting the U.S. and global economies in the first calendar quarter of 2020, with significant deterioration of macroeconomic conditions and markets into 2021. Although macroeconomic conditions and markets have improved since the beginning of 2021, other factors have been affecting the economic environment in 2022 and 2023 including geopolitical conflict, supply chain disruptions, inflation, rising interest rates, and recent bank failures brought on by, among other things, rising interest rates, deposit outflows and liquidity crises. While the ultimate impact of the pandemic and these other factors on the Company's loan and lease portfolio remains difficult to predict, management continues to evaluate the loan and lease portfolio in order to assess the impact on repayment sources and underlying collateral that could result in additional losses and the impact to our customers and businesses as a result of COVID-19 and other factors impacting the economy and will refine its estimate as developments occur and more information becomes available.
Activity in the allowance for credit losses and balances of loans and leases by portfolio segment was as follows:
Three Months Ended March 31, 2023
(Dollars in thousands)Beginning BalanceProvision (Reversal)Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$26,752 $3,974 $(2,705)$394 $28,415 
Asset based lending3,903 51 (2,873)— 1,081 
Factoring5,674 (40)(62)16 5,588 
Lease financing5,238 (183)(607)101 4,549 
Insurance premium finance1,261 155 (224)71 1,263 
SBA/USDA2,632 2 — 6 2,640 
Other commercial finance3,356 976 — — 4,332 
Commercial finance48,816 4,935 (6,471)588 47,868 
Consumer credit products1,263 (44)— — 1,219 
Other consumer finance1,624 276 (154)— 1,746 
Consumer finance2,887 232 (154)— 2,965 
Tax services609 31,422 — 1,063 33,094 
Warehouse finance280 97 — — 377 
Total loans and leases52,592 36,686 (6,625)1,651 84,304 
Unfunded commitments(1)
279 77 — — 356 
Total $52,871 $36,763 $(6,625)$1,651 $84,660 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
Three Months Ended March 31, 2022
(Dollars in thousands)Beginning Balance
Provision (Reversal)(2)
Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$26,722 $1,954 $(1,822)$714 $27,568 
Asset based lending2,758 (175)— — 2,583 
Factoring15,242 823 (9,590)51 6,526 
Lease financing6,857 (395)(95)104 6,471 
Insurance premium finance1,044 59 (106)60 1,057 
SBA/USDA2,996 (53)— — 2,943 
Other commercial finance1,349 (152)— — 1,197 
Commercial finance56,968 2,061 (11,613)929 48,345 
Consumer credit products1,627 (6)— — 1,621 
Other consumer finance6,960 1,157 (802)73 7,388 
Consumer finance8,587 1,151 (802)73 9,009 
Tax services1,601 28,972 — 184 30,757 
Warehouse finance467 (26)— — 441 
Community banking— (2)— 2 — 
Total loans and leases67,623 32,156 (12,415)1,188 88,552 
Unfunded commitments(1)
405 146 — — 551 
Total $68,028 $32,302 $(12,415)$1,188 $89,103 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
(2) As a result of the adoption of CECL, effective October 1, 2020, the provision for credit losses includes the provision for unfunded commitments that was previously included within other noninterest expense.
Six Months Ended March 31, 2023
(Dollars in thousands)Beginning BalanceProvision (Reversal)Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$24,621 $7,645 $(4,522)$671 $28,415 
Asset based lending1,050 2,904 (2,873)— 1,081 
Factoring6,556 (804)(183)19 5,588 
Lease financing5,902 (621)(1,013)281 4,549 
Insurance premium finance1,450 108 (409)114 1,263 
SBA/USDA3,263 (649)— 26 2,640 
Other commercial finance1,310 3,022 — — 4,332 
Commercial finance44,152 11,605 (9,000)1,111 47,868 
Consumer credit products1,400 (181)— — 1,219 
Other consumer finance63 2,016 (333)— 1,746 
Consumer finance1,463 1,835 (333)— 2,965 
Tax services5 33,059 (1,731)1,761 33,094 
Warehouse finance327 50 — — 377 
Total loans and leases45,947 46,549 (11,064)2,872 84,304 
Unfunded commitments(1)
366 (10)— — 356 
Total $46,313 $46,539 $(11,064)$2,872 $84,660 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
Six Months Ended March 31, 2022
(Dollars in thousands)Beginning BalanceProvision (Reversal)Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$29,351 $1,095 $(3,906)$1,028 $27,568 
Asset based lending1,726 736 (16)137 2,583 
Factoring3,997 13,324 (10,864)69 6,526 
Lease financing7,629 (1,217)(112)171 6,471 
Insurance premium finance1,394 (211)(283)157 1,057 
SBA/USDA2,978 180 (217)2 2,943 
Other commercial finance1,168 29 — — 1,197 
Commercial finance48,243 13,936 (15,398)1,564 48,345 
Consumer credit products1,242 379 — — 1,621 
Other consumer finance6,112 2,718 (1,622)180 7,388 
Consumer finance7,354 3,097 (1,622)180 9,009 
Tax services2 28,259 (254)2,750 30,757 
Warehouse finance420 21 — — 441 
Community banking12,262 (12,686)— 424 — 
Total loans and leases68,281 32,627 (17,274)4,918 88,552 
Unfunded commitments(1)
690 (139)— — 551 
Total $68,971 $32,488 $(17,274)$4,918 $89,103 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
Information on loans and leases that are deemed to be collateral dependent and are evaluated individually for the ACL was as follows:
(Dollars in thousands)At March 31, 2023At September 30, 2022
Term lending$2,809 $2,885 
Factoring— 550 
Lease financing2,284 2,787 
SBA/USDA1,113 1,199 
Commercial finance(1)
6,206 7,421 
Total$6,206 $7,421 
(1) For Commercial Finance, collateral dependent financial assets have collateral in the form of cash, equipment, or other business assets.

Management has identified certain structured finance credits for alternative energy projects in which a substantial cash collateral account has been established to mitigate credit risk. Due to the nature of the transactions and significant cash collateral positions, these credits are evaluated individually. The balance of these pass rated cash collateral loans totaled $70.8 million and $120.7 million at March 31, 2023 and at September 30, 2022, respectively.

Federal regulations provide for the classification of loans and other assets such as debt and equity securities considered by the Bank's primary regulator, the Office of the Comptroller of the Currency (the “OCC”), to be of lesser quality as “substandard,” “doubtful” or “loss.” The loan classification and risk rating definitions are as follows:

Pass - A pass asset is of sufficient quality in terms of repayment, collateral and management to preclude a special mention or an adverse rating.
 
Watch - A watch asset is generally a credit performing well under current terms and conditions but with identifiable weakness meriting additional scrutiny and corrective measures. Watch is not a regulatory classification but can be used to designate assets that are exhibiting one or more weaknesses that deserve management’s attention. These assets are of better quality than special mention assets.

Special Mention - A special mention asset is a credit with potential weaknesses deserving management’s close attention and, if left uncorrected, may result in deterioration of the repayment prospects for the asset. Special mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. Special mention is a temporary status with aggressive credit management required to garner adequate progress and move to watch or higher.
 
The adverse classifications are as follows:
 
Substandard - A substandard asset is inadequately protected by the net worth and/or repayment ability or by a weak collateral position. Assets so classified will have well-defined weaknesses creating a distinct possibility the Bank will sustain some loss if the weaknesses are not corrected. Loss potential does not have to exist for an asset to be classified as substandard.

Doubtful - A doubtful asset has weaknesses similar to those classified substandard, with the degree of weakness causing the likely loss of some principal in any reasonable collection effort. Due to pending factors, the asset’s classification as loss is not yet appropriate.

Loss - A loss asset is considered uncollectible and of such little value that the asset’s continuance on the Bank’s balance sheet is no longer warranted. This classification does not necessarily mean an asset has no recovery or salvage value leaving room for future collection efforts.
Loans and leases, or portions thereof, are generally charged off when collection of principal becomes doubtful. Typically, this is associated with a delay or shortfall in payments of 210 days or more for commercial insurance premium finance, 120 days or more for consumer credit products and leases, and 90 days or more for commercial finance loans. Action is taken to charge off electronic return originator ("ERO") loans if such loans have not been collected by the end of June and refund advance loans if such loans have not been collected by the end of the calendar year. Nonaccrual loans and troubled debt restructurings are generally individually evaluated for expected credit losses.

The Company recognizes that concentrations of credit may naturally occur and may take the form of a large volume of related loans and leases to an individual, a specific industry, or a geographic location. Credit concentration is a direct, indirect, or contingent obligation that has a common bond where the aggregate exposure equals or exceeds a certain percentage of the Company’s Tier 1 Capital plus the allowable Allowance for Credit Losses.

The Company has various portfolios of consumer finance and tax services loans that present unique risks that are statistically managed. Due to the unique risks associated with these portfolios, the Company monitors other credit quality indicators in their evaluation of the appropriateness of the allowance for credit losses on these portfolios, and as such, these loans are not included in the asset classification table below. The outstanding balances of consumer finance loans and tax services loans were $148.6 million and $61.6 million at March 31, 2023, respectively, and $169.7 million and $9.1 million at September 30, 2022, respectively. The amortized cost basis of loans and leases by asset classification and year of origination was as follows:
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At March 31, 202320232022202120202019Prior
Term lending
Pass$327,992 $255,383 $139,016 $94,309 $23,151 $104,467 $— $944,318 
Watch32,477 45,370 53,429 13,430 7,324 9,780 — 161,810 
Special mention1,226 6,498 20,181 212 1,263 1,120 — 30,500 
Substandard5,986 31,094 21,996 25,660 5,632 4,576 — 94,944 
Doubtful— 1,553 1,130 804 307 87 — 3,881 
Total367,681 339,898 235,752 134,415 37,677 120,030 — 1,235,453 
Asset based lending
Pass— — — — — — 178,436 178,436 
Watch— — — — — — 153,311 153,311 
Special mention— — — — — — 20,731 20,731 
Substandard— — — — — — 24,828 24,828 
Doubtful— — — — — — 659 659 
Total— — — — — — 377,965 377,965 
Factoring
Pass— — — — — — 246,196 246,196 
Watch— — — — — — 66,221 66,221 
Special mention— — — — — — 10,973 10,973 
Substandard— — — — — — 15,494 15,494 
Total— — — — — — 338,884 338,884 
Lease financing
Pass6,352 21,369 23,704 38,157 2,776 4,761 — 97,119 
Watch2,625 11,398 8,506 5,906 5,425 5,509 — 39,369 
Special mention— — 805 556 366 53 — 1,780 
Substandard— 8,142 5,122 4,400 4,875 8,932 — 31,471 
Doubtful— — 521 206 43 136 — 906 
Total8,977 40,909 38,658 49,225 13,485 19,391 — 170,645 
Insurance premium finance
Pass363,501 72,407 79 6 — — — 435,993 
Watch221 578 — — — — — 799 
Special mention13 353 — — — — — 366 
Substandard83 213 — — — — — 296 
Doubtful— 246 — — — — — 246 
Total363,818 73,797 79 6 — — — 437,700 
SBA/USDA
Pass70,249 199,198 31,679 45,386 9,041 17,908 — 373,461 
Watch— — — 55 400 2,843 — 3,298 
Special mention— — — — 210 — — 210 
Substandard252 1,540 78 7,037 8,489 11,247 — 28,643 
Total70,501 200,738 31,757 52,478 18,140 31,998 — 405,612 
Other commercial finance
Pass— 18,900 30,637 1,003 10,176 69,598 — 130,314 
Watch1,735 — — — — — — 1,735 
Substandard5,214 478 28,400 — — 261 — 34,353 
Total6,949 19,378 59,037 1,003 10,176 69,859 — 166,402 
Warehouse finance
Pass— — — — — — 377,036 377,036 
Total— — — — — — 377,036 377,036 
Total loans and leases
Pass768,094 567,257 225,115 178,861 45,144 196,734 801,668 2,782,873 
Watch37,058 57,346 61,935 19,391 13,149 18,132 219,532 426,543 
Special mention1,239 6,851 20,986 768 1,839 1,173 31,704 64,560 
Substandard11,535 41,467 55,596 37,097 18,996 25,016 40,322 230,029 
Doubtful— 1,799 1,651 1,010 350 223 659 5,692 
Total$817,926 $674,720 $365,283 $237,127 $79,478 $241,278 $1,093,885 $3,509,697 
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At September 30, 202220222021202020192018Prior
Term lending
Pass$246,627 $240,018 $105,170 $60,417 $89,072 $61,229 $— $802,533 
Watch45,539 24,318 45,052 11,698 21,077 9,799 — 157,483 
Special mention9,500 24,885 14,300 2,861 619 242 — 52,407 
Substandard10,627 16,694 12,248 23,266 10,457 2,255 — 75,547 
Doubtful175 407 469 872 204 192 — 2,319 
Total312,468 306,322 177,239 99,114 121,429 73,717 — 1,090,289 
Asset based lending
Pass— — — — — — 154,494 154,494 
Watch— — — — — — 162,990 162,990 
Special mention— — — — — — 13,770 13,770 
Substandard— — — — — — 20,442 20,442 
Total— — — — — — 351,696 351,696 
Factoring
Pass— — — — — — 254,883 254,883 
Watch— — — — — — 86,219 86,219 
Special mention— — — — — — 9,174 9,174 
Substandard— — — — — — 22,319 22,319 
Total— — — — — — 372,595 372,595 
Lease financing
Pass7,407 38,818 31,408 26,552 12,361 823 — 117,369 
Watch8,799 17,098 10,284 6,655 2,899 151 — 45,886 
Special mention151 6,151 2,644 481 2,876 2,811 — 15,114 
Substandard825 9,486 11,819 7,273 1,245 — — 30,648 
Doubtful144 163 1,280 88 — — — 1,675 
Total17,326 71,716 57,435 41,049 19,381 3,785 — 210,692 
Insurance premium finance
Pass478,504 307 8 — — — — 478,819 
Watch539 7 — — — — — 546 
Special mention169 40 — — — — — 209 
Substandard106 46 — — — — — 152 
Doubtful14 14 — — — — — 28 
Total479,332 414 8 — — — — 479,754 
SBA/USDA
Pass54,512 111,907 40,474 56,538 28,874 24,305 — 316,610 
Watch— 13,836 1,266 702 — 710 — 16,514 
Special mention— 211 — 869 — — — 1,080 
Substandard4,149 10,968 4,278 — 1,094 4,545 — 25,034 
Total58,661 136,922 46,018 58,109 29,968 29,560 — 359,238 
Other commercial finance
Pass5,886 13,607 26,040 20,458 23,098 40,782 — 129,871 
Substandard— 9,538 — — — 20,000 — 29,538 
Total5,886 23,145 26,040 20,458 23,098 60,782 — 159,409 
Warehouse finance
Pass— — — — — — 294,350 294,350 
Special mention— — — — — — 32,500 32,500 
Total— — — — — — 326,850 326,850 
Total loans and leases
Pass792,936 404,657 203,100 163,965 153,405 127,139 703,727 2,548,929 
Watch54,877 55,259 56,602 19,055 23,976 10,660 249,209 469,638 
Special mention9,820 31,287 16,944 4,211 3,495 3,053 55,444 124,254 
Substandard15,707 46,732 28,345 30,539 12,796 26,800 42,761 203,680 
Doubtful333 584 1,749 960 204 192 — 4,022 
Total$873,673 $538,519 $306,740 $218,730 $193,876 $167,844 $1,051,141 $3,350,523 

Past due loans and leases were as follows:
(Dollars in thousands)Accruing and Nonaccruing Loans and LeasesNonperforming Loans and Leases
At March 31, 202330-59 Days Past Due60-89 Days Past Due> 89 Days Past DueTotal Past DueCurrentTotal Loans and Leases Receivable> 89 Days Past Due and AccruingNonaccrual BalanceTotal
Loans held for sale$— $— $— $— $24,780 $24,780 $— $— $— 
Term lending26,127 1,170 6,530 33,827 1,201,626 1,235,453 1,952 10,891 12,843 
Asset based lending— — — — 377,965 377,965 — 3,493 3,493 
Factoring— — — — 338,884 338,884 — 512 512 
Lease financing3,154 — 2,378 5,532 165,113 170,645 1,807 3,323 5,130 
Insurance premium finance2,741 698 1,871 5,310 432,390 437,700 1,871 — 1,871 
SBA/USDA2,043 2,291 252 4,586 401,026 405,612 — 1,366 1,366 
Other commercial finance— — 94 94 166,308 166,402 94 — 94 
Commercial finance34,065 4,159 11,125 49,349 3,083,312 3,132,661 5,724 19,585 25,309 
Consumer credit products2,653 2,248 2,140 7,041 113,698 120,739 2,140 — 2,140 
Other consumer finance608 1,609 1,077 3,294 24,615 27,909 1,077 — 1,077 
Consumer finance3,261 3,857 3,217 10,335 138,313 148,648 3,217 — 3,217 
Tax services639 — — 639 60,914 61,553 — — — 
Warehouse finance— — — — 377,036 377,036 — — — 
Total loans and leases held for investment37,965 8,016 14,342 60,323 3,659,575 3,719,898 8,941 19,585 28,526 
Total loans and leases$37,965 $8,016 $14,342 $60,323 $3,684,355 $3,744,678 $8,941 $19,585 $28,526 
(Dollars in thousands)Accruing and Nonaccruing Loans and LeasesNonperforming Loans and Leases
At September 30, 202230-59 Days Past Due60-89 Days Past Due> 89 Days Past DueTotal Past DueCurrentTotal Loans and Leases Receivable> 89 Days Past Due and AccruingNonaccrual BalanceTotal
Loans held for sale$— $— $— $— $21,071 $21,071 $— $— $— 
Term lending14,066 2,576 4,458 21,100 1,069,189 1,090,289 2,035 7,576 9,611 
Asset based lending— — 68 68 351,628 351,696 39 29 68 
Factoring— — — — 372,595 372,595 — 569 569 
Lease financing8,265 2,253 1,714 12,232 198,460 210,692 440 3,750 4,190 
Insurance premium finance2,550 1,379 1,628 5,557 474,197 479,754 1,628 — 1,628 
SBA/USDA— — — — 359,238 359,238 — 1,451 1,451 
Other commercial finance— — — — 159,409 159,409 — — — 
Commercial finance24,881 6,208 7,868 38,957 2,984,716 3,023,673 4,142 13,375 17,517 
Consumer credit products3,209 2,558 2,669 8,436 135,917 144,353 2,669 — 2,669 
Other consumer finance113 51 124 288 25,018 25,306 124 — 124 
Consumer finance3,322 2,609 2,793 8,724 160,935 169,659 2,793 — 2,793 
Tax services— — 8,873 8,873 225 9,098 8,873 — 8,873 
Warehouse finance— — — — 326,850 326,850 — — — 
Total loans and leases held for investment28,203 8,817 19,534 56,554 3,472,726 3,529,280 15,808 13,375 29,183 
Total loans and leases$28,203 $8,817 $19,534 $56,554 $3,493,797 $3,550,351 $15,808 $13,375 $29,183 

Nonaccrual loans and leases by year of origination were as follows:
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotalNonaccrual with No ACL
At March 31, 202320232022202120202019Prior
Term lending$103 $5,123 $2,507 $2,351 $739 $68 $— $10,891 $2,370 
Asset based lending— — — — — — 3,493 3,493 — 
Factoring— — — — — — 512 512 — 
Lease financing— — 609 891 1,681 142 — 3,323 645 
SBA/USDA— 1,114 — — — 252 — 1,366 1,114 
Commercial finance103 6,237 3,116 3,242 2,420 462 4,005 19,585 4,129 
Total nonaccrual loans and leases$103 $6,237 $3,116 $3,242 $2,420 $462 $4,005 $19,585 $4,129 
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotalNonaccrual with No ACL
At September 30, 202220222021202020192018Prior
Term lending$251 $1,110 $1,964 $989 $3,096 $166 $— $7,576 $2,885 
Asset based lending— — — — — — 29 29 — 
Factoring— — — — — — 569 569 550 
Lease financing977 310 2,442 13 8 — — 3,750 — 
SBA/USDA— — 1,199 — — 252 — 1,451 1,199 
Commercial finance1,228 1,420 5,605 1,002 3,104 418 598 13,375 4,634 
Total nonaccrual loans and leases$1,228 $1,420 $5,605 $1,002 $3,104 $418 $598 $13,375 $4,634 
Loans and leases that are 90 days or more delinquent and accruing by year of origination were as follows:
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At March 31, 202320232022202120202019Prior
Term lending$1,346 $35 $132 $211 $40 $188 $— $1,952 
Lease financing90 468 953 198 30 68 — 1,807 
Insurance premium finance— 1,849 10 8 4 — — 1,871 
Other commercial finance— — — — — 94 — 94 
Commercial finance1,436 2,352 1,095 417 74 350 — 5,724 
Consumer credit products174 1,437 404 92 30 3 — 2,140 
Other consumer finance1,032 — — — — — 45 1,077 
Consumer finance1,206 1,437 404 92 30 3 45 3,217 
Total 90 days or more delinquent and accruing$2,642 $3,789 $1,499 $509 $104 $353 $45 $8,941 
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At September 30, 202220222021202020192018Prior
Term lending$207 $720 $716 $130 $70 $192 $— $2,035 
Asset based lending— — — — — — 39 39 
Lease financing8 158 98 131 45 — — 440 
Insurance premium finance1,513 110 5 — — — — 1,628 
Commercial finance1,728 988 819 261 115 192 39 4,142 
Consumer credit products2,123 481 42 23 — — — 2,669 
Other consumer finance— 124 — — — — — 124 
Consumer finance2,123 605 42 23 — — — 2,793 
Tax services8,873 — — — — — — 8,873 
Total 90 days or more delinquent and accruing$12,724 $1,593 $861 $284 $115 $192 $39 $15,808 

Certain loans and leases 90 days or more past due as to interest or principal continue to accrue because they are (1) well-secured and in the process of collection or (2) consumer loans exempt under regulatory rules from being classified as nonaccrual until later delinquency, usually 120 days past due.

The following table provides the average recorded investment in nonaccrual loans and leases:
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands)2023202220222021
Term lending$9,758 $10,688 $9,277 $12,305 
Asset based lending5,292 5,993 4,782 5,002 
Factoring523 9,791 615 11,019 
Lease financing3,627 3,020 3,625 3,027 
SBA/USDA1,379 1,464 1,400 840 
Commercial finance20,579 30,956 19,699 32,193 
Total loans and leases$20,579 $30,956 $19,699 $32,193 

The recognized interest income on the Company's nonaccrual loans and leases for the three and six months ended March 31, 2023 and 2022 was not significant.
The Company’s troubled debt restructurings ("TDRs") typically involve forgiving a portion of interest or principal on existing loans, making loans at a rate materially less than current market rates, or extending the term of the loan. No loans were modified in a TDR during the three months ended March 31, 2023. There were $0.2 million of commercial finance loans and $0.2 million of consumer finance loans that were modified in a TDR during the three months ended March 31, 2022, all of which were modified to extend the term of the loan.

During the six months ended March 31, 2023, there were no loans that were modified in a TDR. There were $10.3 million of commercial finance loans and $0.2 million of consumer finance loans that were modified in a TDR during the six months ended March 31, 2022, all of which were modified to extend the term of the loan.

During the three months ended March 31, 2023, there was an immaterial amount of commercial finance loans that were modified in a TDR within the previous 12 months and for which there was a payment default. During the three months ended March 31, 2022, the Company had $0.3 million of commercial finance loans and $0.3 million of consumer finance loans that were modified in a TDR with the previous 12 months and for which there was a payment default.

During the six months ended March 31, 2023, the Company had $0.1 million of commercial finance loans that were modified in a TDR within the previous 12 months and for which there was a payment default. During the six months ended March 31, 2022, the Company had $2.6 million of commercial finance loans and $0.8 million of consumer finance loans that were modified in a TDR within the previous 12 months and for which there was a payment default. TDR net charge-offs and the impact of TDRs on the Company's allowance for credit losses were insignificant during the six months ended March 31, 2023 and March 31, 2022.
v3.23.1
EARNINGS PER COMMON SHARE ("EPS")
 6 Months Ended
Mar. 31, 2023
Earnings Per Share [Abstract]  
EARNINGS PER COMMON SHARE ("EPS") EARNINGS PER COMMON SHARE ("EPS")The Company has granted restricted share awards with dividend rights that are considered to be participating securities. Accordingly, a portion of the Company’s earnings is allocated to those participating securities in the earnings per share calculation under the two-class method. Basic EPS is computed using the two-class method by dividing income available to common stockholders after the allocation of dividends and undistributed earnings to the participating securities by the weighted average number of common shares outstanding for the period. Diluted EPS is calculated using the more dilutive of the treasury stock method or the two-class method. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised, and is computed after giving consideration to the weighted average dilutive effect of the Company’s stock options, performance share units, and nonvested restricted stock, where applicable. Diluted EPS under the two-class method also considers the allocation of earnings to the participating securities. Antidilutive securities are disregarded in earnings per share calculations. Diluted EPS shown below reflects the two-class method, as diluted EPS under the two-class method was more dilutive than under the treasury stock method.
A reconciliation of net income and common stock share amounts used in the computation of basic and diluted earnings per share is presented below.
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands, except per share data)2023202220232022
Basic income per common share:
Net income attributable to Pathward Financial, Inc.$54,771 $49,251 $82,613 $110,575 
Dividends and undistributed earnings allocated to participating securities(841)(815)(1,231)(1,773)
Basic net earnings available to common stockholders53,930 48,436 81,382 108,802 
Undistributed earnings allocated to nonvested restricted stockholders820 791 1,190 1,724 
Reallocation of undistributed earnings to nonvested restricted stockholders(818)(791)(1,187)(1,723)
Diluted net earnings available to common stockholders$53,932 $48,436 $81,385 $108,803 
Total weighted-average basic common shares outstanding27,078,048 29,212,301 27,555,197 29,731,797 
Effect of dilutive securities(1)
Performance share units91,521 12,061 77,540 17,035 
Total effect of dilutive securities91,521 12,061 77,540 17,035 
Total weighted-average diluted common shares outstanding27,169,569 29,224,362 27,632,737 29,748,832 
Net earnings per common share:
Basic earnings per common share$1.99 $1.66 $2.95 $3.66 
Diluted earnings per common share(2)
$1.99 $1.66 $2.95 $3.66 
(1) Represents the effect of the assumed exercise of stock options and vesting of performance share units and restricted stock, as applicable, utilizing the treasury stock method.
(2) Excluded from the computation of diluted earnings per share for the three months ended March 31, 2023 and 2022, respectively, were 422,461 and 491,621 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive. Excluded from the computation of diluted earnings per share for the six months ended March 31, 2023 and 2022, respectively, were 417,012 and 484,457 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive.
v3.23.1
RENTAL EQUIPMENT, NET
 6 Months Ended
Mar. 31, 2023
Property, Plant and Equipment [Abstract]  
RENTAL EQUIPMENT, NET RENTAL EQUIPMENT, NET
Rental equipment consists of the following:
(Dollars in thousands)March 31, 2023September 30, 2022
Computers and IT networking equipment$20,589 $21,669 
Motor vehicles and other121,014 107,648 
Other furniture and equipment35,604 34,254 
Solar panels and equipment137,548 133,765 
Total314,755 297,336 
Accumulated depreciation(105,073)(94,355)
Unamortized initial direct costs1,162 1,390 
Net book value$210,844 $204,371 

During the quarter, certain solar panels and equipment assets had a change in depreciable life that resulted in additional depreciation expense of $4.8 million occurring during the three-month period ended March 31, 2023. The assets impacted are now carried at their residual value and will not be subject to depreciation going forward.
Future minimum lease payments expected to be received for operating leases at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$20,951 
202435,326 
202527,772 
202619,091 
202712,569 
Thereafter12,758 
Total $128,467 
v3.23.1
GOODWILL AND INTANGIBLE ASSETS
 6 Months Ended
Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND INTANGIBLE ASSETS GOODWILL AND INTANGIBLE ASSETS
The Company held a total of $309.5 million of goodwill at March 31, 2023. The recorded goodwill is a result of multiple business combinations that occurred from 2015 to 2018. There have been no changes to the carrying amount of goodwill during the six months ended March 31, 2023.
The changes in the carrying amount of the Company’s intangible assets were as follows:
(Dollars in thousands)
Trademark(1)
Non-Compete
Customer Relationships(2)
All Others(3)
Total
Intangible Assets
At September 30, 2022$8,605 $— $12,395 $4,691 $25,691 
Amortization during the period(609)— (1,819)(265)(2,693)
At March 31, 2023$7,996 $— $10,576 $4,426 $22,998 
Gross carrying amount$14,624 $2,481 $82,088 $9,940 $109,133 
Accumulated amortization(6,628)(2,481)(60,594)(5,296)(74,999)
Accumulated impairment— (10,918)(218)(11,136)
At March 31, 2023$7,996 $— $10,576 $4,426 $22,998 
At September 30, 2021$9,823 $40 $17,868 $5,417 $33,148 
Acquisitions during the period— — — 1 1 
Amortization during the period(526)(40)(2,829)(262)(3,657)
Write-offs during the period— — — (202)(202)
At March 31, 2022$9,297 $— $15,039 $4,954 $29,290 
Gross carrying amount$14,624 $2,481 $82,088 $9,940 $109,133 
Accumulated amortization(5,327)(2,481)(56,801)(4,768)(69,377)
Accumulated impairment— — (10,248)(218)(10,466)
At March 31, 2022$9,297 $— $15,039 $4,954 $29,290 
(1) Book amortization period of 5-15 years. Amortized using the straight line and accelerated methods.
(2) Book amortization period of 10-30 years. Amortized using the accelerated method.
(3) Book amortization period of 3-20 years. Amortized using the straight line method.
The estimated amortization expense of intangible assets assumes no activities, such as acquisitions, which would result in additional amortizable intangible assets. Estimated amortization expense of intangible assets in the remaining six months of fiscal 2023 and subsequent fiscal years at March 31, 2023 was as follows:
(Dollars in thousands)
Remaining in 2023$2,250 
20244,128 
20253,566 
20263,220 
20272,574 
Thereafter7,260 
Total anticipated intangible amortization$22,998 

There were no impairments to intangible assets during the six months ended March 31, 2023 and 2022. Intangible impairment expense is recorded within the impairment expense line of the Condensed Consolidated Statements of Operations.
v3.23.1
OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES
 6 Months Ended
Mar. 31, 2023
Leases [Abstract]  
OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES
Operating lease ROU assets, included in other assets, were $28.5 million and $31.8 million at March 31, 2023 and 2022, respectively.

Operating lease liabilities, included in accrued expenses and other liabilities, were $30.4 million and $33.6 million at March 31, 2023 and 2022, respectively.

Undiscounted future minimum operating lease payments and a reconciliation to the amount recorded as operating lease liabilities at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$2,045 
20243,913 
20253,718 
20263,195 
20273,092 
Thereafter18,639 
Total undiscounted future minimum lease payments 34,602 
Discount(4,169)
Total operating lease liabilities$30,433 

The weighted-average discount rate and remaining lease term for operating leases at March 31, 2023 were as follows:
Weighted-average discount rate2.36 %
Weighted-average remaining lease term (years)9.98

The components of total lease costs for operating leases were as follows:
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands)2023202220232022
Lease expense$982 $1,119 $1,996 $2,256 
Short-term and variable lease cost42 40 84 75 
Sublease income(339)(355)(672)(531)
Total lease cost for operating leases$685 $804 $1,408 $1,800 
v3.23.1
STOCKHOLDERS' EQUITY
 6 Months Ended
Mar. 31, 2023
Equity [Abstract]  
STOCKHOLDERS' EQUITY STOCKHOLDERS' EQUITY
Repurchase of Common Stock
The Company's Board of Directors authorized the September 3, 2021 share repurchase program to repurchase up to 6,000,000 shares of the Company's outstanding common stock. This authorization is effective from September 3, 2021 through September 30, 2024. During the six months ended March 31, 2023, and 2022, the Company repurchased 1,826,694 and 2,447,699 shares, respectively, as part of the share repurchase programs.
Under the repurchase programs, repurchased shares were retired and designated as authorized but unissued shares. The Company accounts for repurchased shares using the par value method under which the repurchase price is charged to paid-in capital up to the amount of the original proceeds of those shares. When the repurchase price is greater than the original issue proceeds, the excess is charged to retained earnings. As of March 31, 2023, 2,468,283 shares of common stock remained available for repurchase.
For the six months ended March 31, 2023, and 2022, the Company also repurchased 59,626 and 64,536 shares, or $2.1 million and $3.7 million of common stock, respectively, in settlement of employee tax withholding obligations due upon the vesting of restricted stock.

Retirement of Treasury Stock
The Company accounts for the retirement of repurchased shares, including treasury stock, using the par value method under which the repurchase price is charged to paid-in capital up to the amount of the original proceeds of those shares. When the repurchase price is greater than the original issue proceeds, the excess is charged to retained earnings. The Company retired zero shares of common stock held in treasury during the six months ended March 31, 2023 and 2022, respectively.
v3.23.1
STOCK COMPENSATION
 6 Months Ended
Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]  
STOCK COMPENSATION STOCK COMPENSATION
The Company maintains the Pathward Financial, Inc. 2002 Omnibus Incentive Plan, as amended and restated (the "2002 Omnibus Incentive Plan"), which, among other things, provides for the awarding of stock options, nonvested (restricted) shares, and performance share units ("PSUs") to certain officers and directors of the Company. Awards are granted by the Compensation Committee of the Board of Directors based on the performance of the award recipients or other relevant factors.

Compensation expense for share-based awards is recorded over the vesting period at the fair value of the award at the time of the grant. The exercise price of options or fair value of nonvested (restricted) shares and performance share units granted under the Company’s 2002 Omnibus Incentive Plan is equal to the fair market value of the underlying stock at the grant date, adjusted for dividends where applicable. The Company has elected, with the adoption of ASU 2016-09, to record forfeitures as they occur.

The following tables show the activity of nonvested (restricted) shares and PSUs granted, vested, or forfeited under the 2002 Omnibus Incentive Plan for the six months ended March 31, 2023. There were no options granted, exercised, or forfeited under this plan during the six months ended March 31, 2023.
(Dollars in thousands, except per share data)Number of SharesWeighted Average Fair Value at Grant
Nonvested shares outstanding, September 30, 2022
474,348 $36.52 
Granted160,881 38.95 
Vested(209,440)36.59 
Forfeited or expired(6,958)42.55 
Nonvested shares outstanding, March 31, 2023
418,831 $37.31 
Performance share units outstanding, September 30, 2022
96,689 $42.59 
Granted(1)
59,115 38.94 
Vested— — 
Forfeited or expired— — 
Performance share units outstanding, March 31, 2023
155,804 $41.20 
(1) The number of PSUs granted reflects the target number of PSUs able to be earned under a given award.

At March 31, 2023, stock-based compensation expense not yet recognized in income totaled $10.2 million, which is expected to be recognized over a weighted average remaining period of 1.53 years.
v3.23.1
INCOME TAXES
 6 Months Ended
Mar. 31, 2023
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
The Company recorded an income tax expense of $15.8 million for the six months ended March 31, 2023, resulting in an effective tax rate of 15.83%, compared to an income tax expense of $22.3 million, or an effective tax rate of 16.66%, for the six months ended March 31, 2022. The Company’s effective tax rate was lower than the U.S. statutory rate of 21% primarily because of the anticipated effect of investment tax credits during fiscal year 2023. The Company's effective tax rate in the future will depend in part on actual investment tax credits generated from qualified renewable energy property.

The table below compares the income tax expense components for the periods presented.
Six Months Ended March 31,
(Dollars in thousands)20232022
Provision at statutory rate$20,657 $27,899 
Tax-exempt income(398)(362)
State income taxes4,285 5,543 
Interim period effective rate adjustment(483)(3,870)
Tax credit investments, net - federal(7,916)(5,978)
Research tax credit(805)(355)
IRC 162(m) nondeductible compensation576 505 
Other, net(163)(1,104)
Income tax expense$15,753 $22,278 
Effective tax rate15.83 %16.66 %
v3.23.1
REVENUE FROM CONTRACTS WITH CUSTOMERS
 6 Months Ended
Mar. 31, 2023
Revenue from Contract with Customer [Abstract]  
REVENUE FROM CONTRACTS WITH CUSTOMERS REVENUE FROM CONTRACTS WITH CUSTOMERS
Topic 606 applies to all contracts with customers unless such revenue is specifically addressed under existing guidance. The table below presents the Company’s revenue by operating segment. For additional descriptions of the Company’s operating segments, including additional financial information and the underlying management accounting process, see Note 14. Segment Reporting to the Condensed Consolidated Financial Statements.
(Dollars in thousands)ConsumerCommercialCorporate Services/OtherConsolidated Company
Three Months Ended March 31,20232022202320222023202220232022
Net interest income(1)
$41,418 $30,156 $46,758 $44,879 $13,229 $8,765 $101,405 $83,800 
Noninterest income:
Refund transfer product fees30,205 27,805 — — — — 30,205 27,805 
Refund advance fee income(1)
37,995 39,299 — — — — 37,995 39,299 
Card and deposit fees41,828 26,270 252 244 7 6 42,087 26,520 
Rental income(1)
— — 12,737 11,225 203 150 12,940 11,375 
Gain (loss) on sale of securities(1)
— — — — 82 260 82 260 
Gain (loss) on sale of other(1)
— — (748)1,229 — (603)(748)626 
Other income(1)
1,748 1,387 1,935 2,839 794 (345)4,477 3,881 
Total noninterest income111,776 94,761 14,176 15,537 1,086 (532)127,038 109,766 
Revenue$153,194 $124,917 $60,934 $60,416 $14,315 $8,233 $228,443 $193,566 
Six Months Ended March 31,
Net interest income(1)
$75,690 $56,427 $89,082 $89,805 $20,690 $9,181 $185,462 $155,413 
Noninterest income:
Refund transfer product fees30,882 28,384 — — — — 30,882 28,384 
Refund advance fee income(1)
38,612 40,532 — — — — 38,612 40,532 
Card and deposit fees79,280 51,402 513 475 12 12 79,805 51,889 
Rental income(1)
— — 25,252 22,302 396 150 25,648 22,452 
Gain (loss) on sale of securities(1)
— — — — 82 397 82 397 
Gain on sale of trademarks— — — — 10,000 50,000 10,000 50,000 
Gain (loss) on sale of other(1)
— — (246)6,093 — (8,932)(246)(2,839)
Other income(1)
2,541 2,152 3,019 5,624 2,472 (2,234)8,032 5,542 
Total noninterest income151,315 122,470 28,538 34,494 12,962 39,393 192,815 196,357 
Revenue$227,005 $178,897 $117,620 $124,299 $33,652 $48,574 $378,277 $351,770 
(1) These revenues are not within the scope of Topic 606. Additional details are included in other footnotes to the accompanying financial statements. The scope of Topic 606 explicitly excludes net interest income as well as many other revenues for financial assets and liabilities, including loans, leases, and securities.

Following is a discussion of key revenues within the scope of Topic 606. The Company provides services to customers that have related performance obligations that must be completed to recognize revenue. Revenues are generally recognized immediately upon the completion of the service or over time as services are performed. Any services performed over time generally require that the Company renders services each period; therefore, the Company measures progress in completing these services based upon the passage of time. Revenue from contracts with customers did not generate significant contract assets and liabilities.
Refund Transfer Product Fees. Refund transfer fees are specific to the Banking as a Service ("BaaS") business line and reflect product fees offered by the Company through third-party tax preparers and tax preparation software providers where the Company acts as the partnering financial institution. A refund transfer allows a taxpayer to pay tax preparation and filing fees directly from their federal or state government tax refund, with the remainder of the refund being disbursed in accordance with the terms and conditions of the taxpayer agreement, which may include satisfaction of other disbursement obligations before going directly to the taxpayer via check, direct deposit, or prepaid card. Refund transfer fees are recognized by the Company immediately after the taxpayer's refund has been disbursed in accordance with the contract and is based on standalone pricing included within the terms and conditions. Certain expenses to tax preparation software providers are netted with refund transfer fee income as the Company is considered the agent in these contractual relationships. All refund transfer fees are recorded within the Consumer reporting segment.

Card and Deposit Fees. Card fees relate to the BaaS business line and consists of income from prepaid cards and merchant services, including interchange fees from prepaid cards processed through card association networks, merchant services and other card related services. Interchange rates are generally set by card association networks based on transaction volume and other factors. Since interchange fees are generated by cardholder activity, the Company recognizes the income as transactions occur. Fee income for merchant services and other card related services reflect account management and transaction fees charged to merchants for processing card association network transactions. The associated income is recognized as transactions occur or as services are performed. For the Company's internally managed prepaid card programs, fees are based on standalone pricing within the terms and conditions of the cardholder agreement. The Company is considered the principal of these relationships resulting in all fee income being presented on a gross basis within the Condensed Consolidated Statement of Operations. For the Company's sponsorship prepaid card programs where a third-party is considered the Program Manager, the fees are based on standalone pricing within the terms and conditions of the Program Agreement. For these relationships, the Company is considered the agent and certain expenses with the Program Manager, networks and associations are netted with card fee revenue. All card fee income is included in the Consumer reporting segment.

Deposit fees relate to the BaaS and Commercial Finance business lines and consist of income from banking and deposit-related services, including account services, overdraft protection, and wire transfers. Fee income for account services is recognized over the course of the month as the performance obligation is satisfied. Fee income for overdraft protection and wire transfers is recognized point in time when such event occurs. For BaaS, the fees for account services and overdraft protection are based on standalone pricing within the terms and conditions of the Program Agreement with the sponsorship partner. For these relationships, the Company is considered the agent and certain expenses with the partner are netted with deposit fee revenue. For Commercial Finance, fees for wire transfers are based on standalone pricing within the terms and conditions of the customer deposit agreement. Bank and deposit fees for the BaaS and Commercial Finance business lines are included in the Consumer and Commercial reporting segments, respectively. Also included within Card and Deposit Fees for the Consumer reporting segment are servicing fees the Company recognizes for custodial off-balance sheet deposits. This fee income is for services the Bank performs to maintain records of cardholder funds placed at one or more third-party banks insured by the FDIC. The servicing fee is typically reflective of the effective federal funds rate ("EFFR").
v3.23.1
SEGMENT REPORTING
 6 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
An operating segment is generally defined as a component of a business for which discrete financial information is available and whose results are reviewed by the chief operating decision-maker. Operating segments are aggregated into reportable segments if certain criteria are met.

The Company reports its results of operations through the following three business segments: Consumer, Commercial, and Corporate Services/Other. The BaaS business line is reported in the Consumer segment. The Commercial Finance business line is reported in the Commercial segment. The Corporate Services/Other segment includes certain shared services as well as treasury related functions such as the investment portfolio, warehouse finance, wholesale deposits and borrowings.
The following tables present segment data for the Company:
(Dollars in thousands)ConsumerCommercialCorporate Services/OtherTotal
Three Months Ended March 31,20232022202320222023202220232022
Net interest income$41,418 $30,156 $46,758 $44,879 $13,229 $8,765 $101,405 $83,800 
Provision for credit losses31,654 29,685 5,012 2,205 97 412 36,763 32,302 
Noninterest income (loss)111,776 94,761 14,176 15,537 1,086 (532)127,038 109,766 
Noninterest expense49,910 29,892 38,846 31,457 38,380 41,811 127,136 103,160 
Income (loss) before income tax expense71,630 65,340 17,076 26,754 (24,162)(33,990)64,544 58,104 
Total assets361,528 456,335 3,581,677 3,355,196 2,925,051 3,075,708 6,868,256 6,887,239 
Total goodwill87,145 87,145 222,360 222,360 — — 309,505 309,505 
Total deposits5,744,278 5,693,063 9,313 6,882 149,105 129,941 5,902,696 5,829,886 
Six Months Ended March 31,
Net interest income$75,690 $56,427 $89,082 $89,805 $20,690 $9,181 $185,462 $155,413 
Provision (reversal of) for credit losses34,894 30,946 11,595 13,797 50 (12,255)46,539 32,488 
Noninterest income151,315 122,470 28,538 34,494 12,962 39,393 192,815 196,357 
Noninterest expense84,404 49,553 71,595 64,504 76,196 71,539 232,195 185,596 
Income (loss) before income tax expense107,707 98,398 34,430 45,998 (42,594)(10,710)99,543 133,686 
Total assets361,528 456,335 3,581,677 3,355,196 2,925,051 3,075,708 6,868,256 6,887,239 
Total goodwill87,145 87,145 222,360 222,360 — — 309,505 309,505 
Total deposits5,744,278 5,693,063 9,313 6,882 149,105 129,941 5,902,696 5,829,886 
v3.23.1
FAIR VALUE OF FINANCIAL INSTRUMENTS
 6 Months Ended
Mar. 31, 2023
Fair Value Disclosures [Abstract]  
FAIR VALUE OF FINANCIAL INSTRUMENTS FAIR VALUES OF FINANCIAL INSTRUMENTS
ASC 820, Fair Value Measurements defines fair value, establishes a framework for measuring the fair value of assets and liabilities using a hierarchy system and requires disclosures about fair value measurement. It clarifies that fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the market in which the reporting entity transacts.

The fair value hierarchy is as follows:

Level 1 Inputs - Valuation is based upon quoted prices for identical instruments traded in active markets that the Company has the ability to access at measurement date.

Level 2 Inputs - Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which significant assumptions are observable in the market.

Level 3 Inputs - Valuation is generated from model-based techniques that use significant assumptions not observable in the market and are used only to the extent that observable inputs are not available. These unobservable assumptions reflect the Company’s own estimates of assumptions that market participants would use in pricing the asset or liability.

Debt Securities Available for Sale and Held to Maturity. Debt securities available for sale are recorded at fair value on a recurring basis and debt securities held to maturity are carried at amortized cost.
The fair value of debt securities available for sale, categorized primarily as Level 2, is recorded using prices obtained from independent asset pricing services that are based on observable transactions, but not quoted markets. Management reviews the prices obtained from independent asset pricing services for unusual fluctuations and compares to current market trading activity.

Equity Securities. Marketable equity securities and certain non-marketable equity securities are recorded at fair value on a recurring basis. The fair values of marketable equity securities are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs).

The following tables summarize the fair values of debt securities available for sale and equity securities as they are measured at fair value on a recurring basis.
 At March 31, 2023
(Dollars in thousands)TotalLevel 1Level 2Level 3
Debt securities AFS    
Corporate securities$18,750 $— $18,750 $— 
SBA securities94,248 — 94,248 — 
Obligations of states and political subdivisions2,357 — 2,357 — 
Non-bank qualified obligations of states and political subdivisions249,493 — 249,493 — 
Asset-backed securities126,704 — 126,704 — 
Mortgage-backed securities1,334,011 — 1,334,011 — 
Total debt securities AFS$1,825,563 $— $1,825,563 $— 
Common equities and mutual funds(1)
$3,545 $3,545 $— $— 
Non-marketable equity securities(2)
$7,749 $— $— $— 
(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2023.
(2) Consists of certain non-marketable equity securities that are measured at fair value using net asset value ("NAV") per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
 At September 30, 2022
(Dollars in thousands)TotalLevel 1Level 2Level 3
Debt securities AFS    
Corporate securities$22,187 $— $22,187 $— 
SBA securities97,768 — 97,768 — 
Obligations of states and political subdivisions2,344 — 2,344 — 
Non-bank qualified obligations of states and political subdivisions263,783 — 263,783 — 
Asset-backed securities147,790 — 147,790 — 
Mortgage-backed securities1,348,997 — 1,348,997 — 
Total debt securities AFS$1,882,869 $— $1,882,869 $— 
Common equities and mutual funds(1)
$2,874 $2,874 $— $— 
Non-marketable equity securities(2)
$7,212 $— $— $— 
(1) Equity securities at fair value are included within other assets on the Consolidated Statements of Financial Condition at September 30, 2022.
(2) Consists of certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.

Loans and Leases. The Company does not record loans and leases at fair value on a recurring basis. However, if a loan or lease is individually evaluated for risk of credit loss and repayment is expected to be solely provided by the values of the underlying collateral, the Company measures fair value on a nonrecurring basis. Fair value is determined by the fair value of the underlying collateral less estimated costs to sell. The fair value of the collateral is determined based on the internal estimates and/or assessment provided by third-party appraisers and the valuation relies on discount rates ranging from 4%% to 62%.
The following table summarizes the assets of the Company that are measured at fair value in the Condensed Consolidated Statements of Financial Condition on a non-recurring basis:
 At March 31, 2023
(Dollars in thousands)TotalLevel 1Level 2Level 3
Loans and leases, net individually evaluated for credit loss    
Commercial finance$625 $— $— $625 
    Total loans and leases, net individually evaluated for credit loss625 — — 625 
Total$625 $— $— $625 
 At September 30, 2022
(Dollars in thousands)TotalLevel 1Level 2Level 3
Loans and leases, net individually evaluated for credit loss    
Commercial finance$1,575 $— $— $1,575 
    Total loans and leases, net individually evaluated for credit loss1,575 — — 1,575 
Foreclosed assets, net1 — — 1 
Total$1,576 $— $— $1,576 
 Quantitative Information About Level 3 Fair Value Measurements
(Dollars in thousands)
Fair Value at
March 31, 2023
Fair Value at
September 30, 2022
Valuation
Technique		Unobservable InputRange of Inputs
Loans and leases, net individually evaluated for credit loss$625 $1,575 Market approach
Appraised values(1)
4% - 62%
(1) The Company generally relies on external appraisers to develop this information. Management reduced the appraised value by estimating selling costs and other inputs in a range of 4% to 62%.

Management discloses the estimated fair value of financial instruments, including assets and liabilities on and off the Condensed Consolidated Statements of Financial Condition, for which it is practicable to estimate fair value. These fair value estimates were made at March 31, 2023 and September 30, 2022 based on relevant market information and information about financial instruments. Fair value estimates are intended to represent the price at which an asset could be sold or a liability could be settled. However, since there is no active market for certain financial instruments of the Company, the estimates of fair value are subjective in nature, involve uncertainties, and include matters of significant judgment. Changes in assumptions as well as tax considerations could significantly affect the estimated values. Accordingly, the aggregate fair value estimates are not intended to represent the underlying value of the Company, on either a going concern or a liquidation basis.
The following tables present the carrying amount and estimated fair value of the financial instruments held by the Company:
 At March 31, 2023
(Dollars in thousands)Carrying
Amount		Estimated
Fair Value		Level 1Level 2Level 3
Financial assets
Cash and cash equivalents$432,598 $432,598 $432,598 $— $— 
Debt securities available for sale1,825,563 1,825,563 — 1,825,563 — 
Debt securities held to maturity38,713 35,028 — 35,028 — 
Common equities and mutual funds(1)
3,545 3,545 3,545 — — 
Non-marketable equity securities(1)(2)
22,563 22,563 — 14,814 — 
Loans held for sale24,780 24,780 — 24,780 — 
Loans and leases3,719,898 3,710,718 — — 3,710,718 
Federal Reserve Bank and Federal Home Loan Bank stocks29,387 29,387 — 29,387 — 
Accrued interest receivable22,434 22,434 22,434 — — 
Financial liabilities
Deposits5,902,696 5,902,526 5,896,367 6,159 — 
Overnight federal funds purchased43,000 43,000 43,000 — — 
Other short- and long-term borrowings34,543 32,961 — 32,961 — 
Accrued interest payable204 204 204 — — 
(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2023.
(2) Includes certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
 At September 30, 2022
(Dollars in thousands)Carrying
Amount		Estimated
Fair Value		Level 1Level 2Level 3
Financial assets
Cash and cash equivalents$388,038 $388,038 $388,038 $— $— 
Debt securities available for sale1,882,869 1,882,869 — 1,882,869 — 
Debt securities held to maturity41,682 38,171 — 38,171 — 
Common equities and mutual funds(1)
2,874 2,874 2,874 — — 
Non-marketable equity securities(1)(2)
22,526 22,526 — 15,314 — 
Loans held for sale21,071 21,071 — 21,071 — 
Loans and leases3,529,280 3,525,803 — — 3,525,803 
Federal Reserve Bank and Federal Home Loan Bank stocks28,812 28,812 — 28,812 — 
Accrued interest receivable17,979 17,979 17,979 — — 
Financial liabilities
Deposits5,866,037 5,865,854 5,858,283 7,571 — 
Other short- and long-term borrowings36,028 35,986 — 35,986 — 
Accrued interest payable192 192 192 — — 
(1) Equity securities at fair value are included within other assets on the Consolidated Statements of Financial Condition at September 30, 2022.
(2) Includes certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
v3.23.1
SUBSEQUENT EVENTS
 6 Months Ended
Mar. 31, 2023
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS SUBSEQUENT EVENTSManagement has evaluated subsequent events that occurred after March 31, 2023. During this period, up to the filing date of this Quarterly Report on Form 10-Q, management did not identify any material subsequent events that would require recognition or disclosure in our Condensed Consolidated Financial Statements as of or for the quarter ended March 31, 2023.
v3.23.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND RECENTLY ADOPTED ACCOUNTING STANDARDS UPDATES ("ASU") (Policies)
 6 Months Ended
Mar. 31, 2023
Accounting Policies [Abstract]  
Adopted ASUs
Significant accounting policies in effect and disclosed within the Company’s most recent audited consolidated financial statements as of September 30, 2022 remain substantially unchanged. The following ASU became effective for the Company on October 1, 2022, and did not have a material impact on the Company’s significant accounting policies or Condensed Consolidated Financial Statements:

–ASU 2021-05, Leases (Topic 842): Lessors - Certain Leases with Variable Lease Payments.
v3.23.1
SECURITIES (Tables)
 6 Months Ended
Mar. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Securities Available for Sale
The amortized cost, gross unrealized gains and losses and estimated fair values of available for sale ("AFS") and held to maturity ("HTM") debt securities are presented below.
(Dollars in thousands)Amortized CostGross Unrealized GainsGross Unrealized (Losses)Fair
Value
Debt Securities AFS
At March 31, 2023
Corporate securities$25,000 $— $(6,250)$18,750 
SBA securities99,670 — (5,422)94,248 
Obligations of states and political subdivisions2,436 — (79)2,357 
Non-bank qualified obligations of states and political subdivisions277,767 37 (28,311)249,493 
Asset-backed securities136,028 — (9,324)126,704 
Mortgage-backed securities1,534,356 — (200,345)1,334,011 
Total debt securities AFS$2,075,257 $37 $(249,731)$1,825,563 
At September 30, 2022
Corporate securities$25,000 $— $(2,813)$22,187 
SBA securities105,238 — (7,470)97,768 
Obligations of states and political subdivisions2,469 — (125)2,344 
Non-bank qualified obligations of states and political subdivisions290,754 — (26,971)263,783 
Asset-backed securities160,806 — (13,016)147,790 
Mortgage-backed securities1,581,452 — (232,455)1,348,997 
Total debt securities AFS$2,165,719 $— $(282,850)$1,882,869 
Debt Securities HTM
At March 31, 2023
Non-bank qualified obligations of states and political subdivisions$36,407 $— $(3,474)$32,933 
Mortgage-backed securities2,306 — (211)2,095 
Total debt securities HTM$38,713 $— $(3,685)$35,028 
At September 30, 2022
Non-bank qualified obligations of states and political subdivisions$39,093 $— $(3,190)$35,903 
Mortgage-backed securities2,589 — (321)2,268 
Total debt securities HTM$41,682 $— $(3,511)$38,171 
Securities Held to Maturity
Schedule of Unrealized Loss on Investments, AFS
Gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous loss position, were as follows:
LESS THAN 12 MONTHSOVER 12 MONTHSTOTAL
(Dollars in thousands)Fair
Value		Gross Unrealized (Losses)Fair
Value		Gross Unrealized (Losses)Fair
Value		Gross Unrealized (Losses)
Debt Securities AFS
At March 31, 2023
Corporate securities$— $— $18,750 $(6,250)$18,750 $(6,250)
SBA securities41,231 (1,166)53,016 (4,256)94,247 (5,422)
Obligations of state and political subdivisions— — 2,357 (79)2,357 (79)
Non-bank qualified obligations of states and political subdivisions65,300 (4,118)183,201 (24,193)248,501 (28,311)
Asset-backed securities— — 126,704 (9,324)126,704 (9,324)
Mortgage-backed securities296,523 (14,199)1,037,488 (186,146)1,334,011 (200,345)
Total debt securities AFS$403,054 $(19,483)$1,421,516 $(230,248)$1,824,570 $(249,731)
At September 30, 2022
Corporate securities$— $— $22,187 $(2,813)$22,187 $(2,813)
SBA securities97,767 (7,470)— — 97,767 (7,470)
Obligations of state and political subdivisions2,345 (125)— — 2,345 (125)
Non-bank qualified obligations of states and political subdivisions195,816 (19,743)67,967 (7,228)263,783 (26,971)
Asset-backed securities64,886 (1,838)82,904 (11,178)147,790 (13,016)
Mortgage-backed securities816,657 (106,583)532,340 (125,872)1,348,997 (232,455)
Total debt securities AFS$1,177,471 $(135,759)$705,398 $(147,091)$1,882,869 $(282,850)
Debt Securities HTM
At March 31, 2023
Non-bank qualified obligations of states and political subdivisions$— $— $32,934 $(3,474)$32,934 $(3,474)
Mortgage-backed securities— — 2,096 (211)2,096 (211)
Total debt securities HTM$— $— $35,030 $(3,685)$35,030 $(3,685)
At September 30, 2022
Non-bank qualified obligations of states and political subdivisions$3,984 $(300)$31,919 $(2,890)$35,903 $(3,190)
Mortgage-backed securities2,268 (321)— — 2,268 (321)
Total debt securities HTM$6,252 $(621)$31,919 $(2890)$38,171 $(3,511)
Amortized Cost and Fair Value of Debt Securities by Contractual Maturity
The amortized cost and fair value of debt securities by contractual maturity are shown below. Certain securities have call features that allow the issuer to call the security prior to maturity. Expected maturities may differ from contractual maturities in MBS because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Therefore, MBS are not included in the maturity categories in the following maturity summary. The expected maturities of certain Small Business Administration ("SBA") securities may differ from contractual maturities because the borrowers may have the right to prepay the obligation. However, certain prepayment penalties may apply.
(Dollars in thousands)At March 31, 2023At September 30, 2022
Securities AFS at Fair ValueAmortized CostFair
Value		Amortized CostFair
Value
Due in one year or less$3,785 $3,728 $718 $715 
Due after one year through five years5,830 5,468 9,921 9,395 
Due after five years through ten years86,540 76,745 89,921 81,819 
Due after ten years444,746 405,611 483,707 441,943 
540,901 491,552 584,267 533,872 
Mortgage-backed securities1,534,356 1,334,011 1,581,452 1,348,997 
Total securities AFS, at fair value$2,075,257 $1,825,563 $2,165,719 $1,882,869 
Securities HTM at Fair Value
Due after ten years$36,407 $32,933 $39,093 $35,903 
36,407 32,933 39,093 35,903 
Mortgage-backed securities2,306 2,095 2,589 2,268 
Total securities HTM, at cost$38,713 $35,028 $41,682 $38,171 
v3.23.1
LOANS AND LEASES, NET (Tables)
 6 Months Ended
Mar. 31, 2023
Loans and Leases Receivable Disclosure [Abstract]  
Schedule of Loans Receivable
Loans and leases consist of the following:
(Dollars in thousands)March 31, 2023September 30, 2022
Term lending$1,235,453 $1,090,289 
Asset based lending377,965 351,696 
Factoring338,884 372,595 
Lease financing170,645 210,692 
Insurance premium finance437,700 479,754 
SBA/USDA405,612 359,238 
Other commercial finance166,402 159,409 
Commercial finance3,132,661 3,023,673 
Consumer credit products120,739 144,353 
Other consumer finance27,909 25,306 
Consumer finance148,648 169,659 
Tax services61,553 9,098 
Warehouse finance377,036 326,850 
Total loans and leases3,719,898 3,529,280 
Net deferred loan origination costs5,718 7,025 
Total gross loans and leases3,725,616 3,536,305 
Allowance for credit losses(84,304)(45,947)
Total loans and leases, net$3,641,312 $3,490,358 
Schedule of Loans Purchased and Sold by Portfolio Segment
Loans purchased and sold by portfolio segment, including participation interests, were as follows:
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands)2023202220232022
Loans Purchased
Loans held for investment:
Commercial finance$— $1,378 $— $3,098 
Warehouse finance120,185 29,822 187,834 85,815 
Total purchases$120,185 $31,200 $187,834 $88,913 
Loans Sold
Loans held for sale:
Commercial finance$294 $14,090 $1,149 $47,113 
Consumer finance201,199 147,163 603,214 523,607 
Community banking— — — 153,222 
Loans held for investment:
Commercial finance— 15,549 — 15,549 
Community banking— — — 30,235 
Total sales$201,493 $176,802 $604,363 $769,726 
Sales-type Lease, Lease Income The net investment in direct financing and sales-type leases was comprised of the following:
(Dollars in thousands)March 31, 2023September 30, 2022
Carrying amount$173,621 $216,880 
Unguaranteed residual assets11,849 13,037 
Unamortized initial direct costs202 295 
Unearned income(14,825)(19,225)
Total net investment in direct financing and sales-type leases$170,847 $210,987 
Sales-type and Direct Financing Leases, Lease Receivable, Maturity
Undiscounted future minimum lease payments receivable for direct financing and sales-type leases, and a reconciliation to the carrying amount recorded at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$43,358 
202467,521 
202537,603 
202615,265 
20277,418 
Thereafter2,456 
Total undiscounted future minimum lease payments receivable for direct financing and sales-type leases173,621 
Third-party residual value guarantees— 
Total carrying amount of direct financing and sales-type leases$173,621 
Annual Activity in Allowance for Loan Losses, Allowance for Loan Losses and Recorded Investment in Loans
Activity in the allowance for credit losses and balances of loans and leases by portfolio segment was as follows:
Three Months Ended March 31, 2023
(Dollars in thousands)Beginning BalanceProvision (Reversal)Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$26,752 $3,974 $(2,705)$394 $28,415 
Asset based lending3,903 51 (2,873)— 1,081 
Factoring5,674 (40)(62)16 5,588 
Lease financing5,238 (183)(607)101 4,549 
Insurance premium finance1,261 155 (224)71 1,263 
SBA/USDA2,632 2 — 6 2,640 
Other commercial finance3,356 976 — — 4,332 
Commercial finance48,816 4,935 (6,471)588 47,868 
Consumer credit products1,263 (44)— — 1,219 
Other consumer finance1,624 276 (154)— 1,746 
Consumer finance2,887 232 (154)— 2,965 
Tax services609 31,422 — 1,063 33,094 
Warehouse finance280 97 — — 377 
Total loans and leases52,592 36,686 (6,625)1,651 84,304 
Unfunded commitments(1)
279 77 — — 356 
Total $52,871 $36,763 $(6,625)$1,651 $84,660 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
Three Months Ended March 31, 2022
(Dollars in thousands)Beginning Balance
Provision (Reversal)(2)
Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$26,722 $1,954 $(1,822)$714 $27,568 
Asset based lending2,758 (175)— — 2,583 
Factoring15,242 823 (9,590)51 6,526 
Lease financing6,857 (395)(95)104 6,471 
Insurance premium finance1,044 59 (106)60 1,057 
SBA/USDA2,996 (53)— — 2,943 
Other commercial finance1,349 (152)— — 1,197 
Commercial finance56,968 2,061 (11,613)929 48,345 
Consumer credit products1,627 (6)— — 1,621 
Other consumer finance6,960 1,157 (802)73 7,388 
Consumer finance8,587 1,151 (802)73 9,009 
Tax services1,601 28,972 — 184 30,757 
Warehouse finance467 (26)— — 441 
Community banking— (2)— 2 — 
Total loans and leases67,623 32,156 (12,415)1,188 88,552 
Unfunded commitments(1)
405 146 — — 551 
Total $68,028 $32,302 $(12,415)$1,188 $89,103 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
(2) As a result of the adoption of CECL, effective October 1, 2020, the provision for credit losses includes the provision for unfunded commitments that was previously included within other noninterest expense.
Six Months Ended March 31, 2023
(Dollars in thousands)Beginning BalanceProvision (Reversal)Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$24,621 $7,645 $(4,522)$671 $28,415 
Asset based lending1,050 2,904 (2,873)— 1,081 
Factoring6,556 (804)(183)19 5,588 
Lease financing5,902 (621)(1,013)281 4,549 
Insurance premium finance1,450 108 (409)114 1,263 
SBA/USDA3,263 (649)— 26 2,640 
Other commercial finance1,310 3,022 — — 4,332 
Commercial finance44,152 11,605 (9,000)1,111 47,868 
Consumer credit products1,400 (181)— — 1,219 
Other consumer finance63 2,016 (333)— 1,746 
Consumer finance1,463 1,835 (333)— 2,965 
Tax services5 33,059 (1,731)1,761 33,094 
Warehouse finance327 50 — — 377 
Total loans and leases45,947 46,549 (11,064)2,872 84,304 
Unfunded commitments(1)
366 (10)— — 356 
Total $46,313 $46,539 $(11,064)$2,872 $84,660 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
Six Months Ended March 31, 2022
(Dollars in thousands)Beginning BalanceProvision (Reversal)Charge-offsRecoveriesEnding Balance
Allowance for credit losses:
Term lending$29,351 $1,095 $(3,906)$1,028 $27,568 
Asset based lending1,726 736 (16)137 2,583 
Factoring3,997 13,324 (10,864)69 6,526 
Lease financing7,629 (1,217)(112)171 6,471 
Insurance premium finance1,394 (211)(283)157 1,057 
SBA/USDA2,978 180 (217)2 2,943 
Other commercial finance1,168 29 — — 1,197 
Commercial finance48,243 13,936 (15,398)1,564 48,345 
Consumer credit products1,242 379 — — 1,621 
Other consumer finance6,112 2,718 (1,622)180 7,388 
Consumer finance7,354 3,097 (1,622)180 9,009 
Tax services2 28,259 (254)2,750 30,757 
Warehouse finance420 21 — — 441 
Community banking12,262 (12,686)— 424 — 
Total loans and leases68,281 32,627 (17,274)4,918 88,552 
Unfunded commitments(1)
690 (139)— — 551 
Total $68,971 $32,488 $(17,274)$4,918 $89,103 
(1) Reserve for unfunded commitments is recognized within other liabilities on the Condensed Consolidated Statements of Financial Condition.
Impaired Loans and Leases
Information on loans and leases that are deemed to be collateral dependent and are evaluated individually for the ACL was as follows:
(Dollars in thousands)At March 31, 2023At September 30, 2022
Term lending$2,809 $2,885 
Factoring— 550 
Lease financing2,284 2,787 
SBA/USDA1,113 1,199 
Commercial finance(1)
6,206 7,421 
Total$6,206 $7,421 
(1) For Commercial Finance, collateral dependent financial assets have collateral in the form of cash, equipment, or other business assets.
The following table provides the average recorded investment in nonaccrual loans and leases:
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands)2023202220222021
Term lending$9,758 $10,688 $9,277 $12,305 
Asset based lending5,292 5,993 4,782 5,002 
Factoring523 9,791 615 11,019 
Lease financing3,627 3,020 3,625 3,027 
SBA/USDA1,379 1,464 1,400 840 
Commercial finance20,579 30,956 19,699 32,193 
Total loans and leases$20,579 $30,956 $19,699 $32,193 
Asset Classification by Credit Quality Indicators of Loans and Leases The amortized cost basis of loans and leases by asset classification and year of origination was as follows:
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At March 31, 202320232022202120202019Prior
Term lending
Pass$327,992 $255,383 $139,016 $94,309 $23,151 $104,467 $— $944,318 
Watch32,477 45,370 53,429 13,430 7,324 9,780 — 161,810 
Special mention1,226 6,498 20,181 212 1,263 1,120 — 30,500 
Substandard5,986 31,094 21,996 25,660 5,632 4,576 — 94,944 
Doubtful— 1,553 1,130 804 307 87 — 3,881 
Total367,681 339,898 235,752 134,415 37,677 120,030 — 1,235,453 
Asset based lending
Pass— — — — — — 178,436 178,436 
Watch— — — — — — 153,311 153,311 
Special mention— — — — — — 20,731 20,731 
Substandard— — — — — — 24,828 24,828 
Doubtful— — — — — — 659 659 
Total— — — — — — 377,965 377,965 
Factoring
Pass— — — — — — 246,196 246,196 
Watch— — — — — — 66,221 66,221 
Special mention— — — — — — 10,973 10,973 
Substandard— — — — — — 15,494 15,494 
Total— — — — — — 338,884 338,884 
Lease financing
Pass6,352 21,369 23,704 38,157 2,776 4,761 — 97,119 
Watch2,625 11,398 8,506 5,906 5,425 5,509 — 39,369 
Special mention— — 805 556 366 53 — 1,780 
Substandard— 8,142 5,122 4,400 4,875 8,932 — 31,471 
Doubtful— — 521 206 43 136 — 906 
Total8,977 40,909 38,658 49,225 13,485 19,391 — 170,645 
Insurance premium finance
Pass363,501 72,407 79 6 — — — 435,993 
Watch221 578 — — — — — 799 
Special mention13 353 — — — — — 366 
Substandard83 213 — — — — — 296 
Doubtful— 246 — — — — — 246 
Total363,818 73,797 79 6 — — — 437,700 
SBA/USDA
Pass70,249 199,198 31,679 45,386 9,041 17,908 — 373,461 
Watch— — — 55 400 2,843 — 3,298 
Special mention— — — — 210 — — 210 
Substandard252 1,540 78 7,037 8,489 11,247 — 28,643 
Total70,501 200,738 31,757 52,478 18,140 31,998 — 405,612 
Other commercial finance
Pass— 18,900 30,637 1,003 10,176 69,598 — 130,314 
Watch1,735 — — — — — — 1,735 
Substandard5,214 478 28,400 — — 261 — 34,353 
Total6,949 19,378 59,037 1,003 10,176 69,859 — 166,402 
Warehouse finance
Pass— — — — — — 377,036 377,036 
Total— — — — — — 377,036 377,036 
Total loans and leases
Pass768,094 567,257 225,115 178,861 45,144 196,734 801,668 2,782,873 
Watch37,058 57,346 61,935 19,391 13,149 18,132 219,532 426,543 
Special mention1,239 6,851 20,986 768 1,839 1,173 31,704 64,560 
Substandard11,535 41,467 55,596 37,097 18,996 25,016 40,322 230,029 
Doubtful— 1,799 1,651 1,010 350 223 659 5,692 
Total$817,926 $674,720 $365,283 $237,127 $79,478 $241,278 $1,093,885 $3,509,697 
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At September 30, 202220222021202020192018Prior
Term lending
Pass$246,627 $240,018 $105,170 $60,417 $89,072 $61,229 $— $802,533 
Watch45,539 24,318 45,052 11,698 21,077 9,799 — 157,483 
Special mention9,500 24,885 14,300 2,861 619 242 — 52,407 
Substandard10,627 16,694 12,248 23,266 10,457 2,255 — 75,547 
Doubtful175 407 469 872 204 192 — 2,319 
Total312,468 306,322 177,239 99,114 121,429 73,717 — 1,090,289 
Asset based lending
Pass— — — — — — 154,494 154,494 
Watch— — — — — — 162,990 162,990 
Special mention— — — — — — 13,770 13,770 
Substandard— — — — — — 20,442 20,442 
Total— — — — — — 351,696 351,696 
Factoring
Pass— — — — — — 254,883 254,883 
Watch— — — — — — 86,219 86,219 
Special mention— — — — — — 9,174 9,174 
Substandard— — — — — — 22,319 22,319 
Total— — — — — — 372,595 372,595 
Lease financing
Pass7,407 38,818 31,408 26,552 12,361 823 — 117,369 
Watch8,799 17,098 10,284 6,655 2,899 151 — 45,886 
Special mention151 6,151 2,644 481 2,876 2,811 — 15,114 
Substandard825 9,486 11,819 7,273 1,245 — — 30,648 
Doubtful144 163 1,280 88 — — — 1,675 
Total17,326 71,716 57,435 41,049 19,381 3,785 — 210,692 
Insurance premium finance
Pass478,504 307 8 — — — — 478,819 
Watch539 7 — — — — — 546 
Special mention169 40 — — — — — 209 
Substandard106 46 — — — — — 152 
Doubtful14 14 — — — — — 28 
Total479,332 414 8 — — — — 479,754 
SBA/USDA
Pass54,512 111,907 40,474 56,538 28,874 24,305 — 316,610 
Watch— 13,836 1,266 702 — 710 — 16,514 
Special mention— 211 — 869 — — — 1,080 
Substandard4,149 10,968 4,278 — 1,094 4,545 — 25,034 
Total58,661 136,922 46,018 58,109 29,968 29,560 — 359,238 
Other commercial finance
Pass5,886 13,607 26,040 20,458 23,098 40,782 — 129,871 
Substandard— 9,538 — — — 20,000 — 29,538 
Total5,886 23,145 26,040 20,458 23,098 60,782 — 159,409 
Warehouse finance
Pass— — — — — — 294,350 294,350 
Special mention— — — — — — 32,500 32,500 
Total— — — — — — 326,850 326,850 
Total loans and leases
Pass792,936 404,657 203,100 163,965 153,405 127,139 703,727 2,548,929 
Watch54,877 55,259 56,602 19,055 23,976 10,660 249,209 469,638 
Special mention9,820 31,287 16,944 4,211 3,495 3,053 55,444 124,254 
Substandard15,707 46,732 28,345 30,539 12,796 26,800 42,761 203,680 
Doubtful333 584 1,749 960 204 192 — 4,022 
Total$873,673 $538,519 $306,740 $218,730 $193,876 $167,844 $1,051,141 $3,350,523 
Past Due Loans and Leases
Past due loans and leases were as follows:
(Dollars in thousands)Accruing and Nonaccruing Loans and LeasesNonperforming Loans and Leases
At March 31, 202330-59 Days Past Due60-89 Days Past Due> 89 Days Past DueTotal Past DueCurrentTotal Loans and Leases Receivable> 89 Days Past Due and AccruingNonaccrual BalanceTotal
Loans held for sale$— $— $— $— $24,780 $24,780 $— $— $— 
Term lending26,127 1,170 6,530 33,827 1,201,626 1,235,453 1,952 10,891 12,843 
Asset based lending— — — — 377,965 377,965 — 3,493 3,493 
Factoring— — — — 338,884 338,884 — 512 512 
Lease financing3,154 — 2,378 5,532 165,113 170,645 1,807 3,323 5,130 
Insurance premium finance2,741 698 1,871 5,310 432,390 437,700 1,871 — 1,871 
SBA/USDA2,043 2,291 252 4,586 401,026 405,612 — 1,366 1,366 
Other commercial finance— — 94 94 166,308 166,402 94 — 94 
Commercial finance34,065 4,159 11,125 49,349 3,083,312 3,132,661 5,724 19,585 25,309 
Consumer credit products2,653 2,248 2,140 7,041 113,698 120,739 2,140 — 2,140 
Other consumer finance608 1,609 1,077 3,294 24,615 27,909 1,077 — 1,077 
Consumer finance3,261 3,857 3,217 10,335 138,313 148,648 3,217 — 3,217 
Tax services639 — — 639 60,914 61,553 — — — 
Warehouse finance— — — — 377,036 377,036 — — — 
Total loans and leases held for investment37,965 8,016 14,342 60,323 3,659,575 3,719,898 8,941 19,585 28,526 
Total loans and leases$37,965 $8,016 $14,342 $60,323 $3,684,355 $3,744,678 $8,941 $19,585 $28,526 
(Dollars in thousands)Accruing and Nonaccruing Loans and LeasesNonperforming Loans and Leases
At September 30, 202230-59 Days Past Due60-89 Days Past Due> 89 Days Past DueTotal Past DueCurrentTotal Loans and Leases Receivable> 89 Days Past Due and AccruingNonaccrual BalanceTotal
Loans held for sale$— $— $— $— $21,071 $21,071 $— $— $— 
Term lending14,066 2,576 4,458 21,100 1,069,189 1,090,289 2,035 7,576 9,611 
Asset based lending— — 68 68 351,628 351,696 39 29 68 
Factoring— — — — 372,595 372,595 — 569 569 
Lease financing8,265 2,253 1,714 12,232 198,460 210,692 440 3,750 4,190 
Insurance premium finance2,550 1,379 1,628 5,557 474,197 479,754 1,628 — 1,628 
SBA/USDA— — — — 359,238 359,238 — 1,451 1,451 
Other commercial finance— — — — 159,409 159,409 — — — 
Commercial finance24,881 6,208 7,868 38,957 2,984,716 3,023,673 4,142 13,375 17,517 
Consumer credit products3,209 2,558 2,669 8,436 135,917 144,353 2,669 — 2,669 
Other consumer finance113 51 124 288 25,018 25,306 124 — 124 
Consumer finance3,322 2,609 2,793 8,724 160,935 169,659 2,793 — 2,793 
Tax services— — 8,873 8,873 225 9,098 8,873 — 8,873 
Warehouse finance— — — — 326,850 326,850 — — — 
Total loans and leases held for investment28,203 8,817 19,534 56,554 3,472,726 3,529,280 15,808 13,375 29,183 
Total loans and leases$28,203 $8,817 $19,534 $56,554 $3,493,797 $3,550,351 $15,808 $13,375 $29,183 
Financing Receivable, Nonaccrual
Nonaccrual loans and leases by year of origination were as follows:
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotalNonaccrual with No ACL
At March 31, 202320232022202120202019Prior
Term lending$103 $5,123 $2,507 $2,351 $739 $68 $— $10,891 $2,370 
Asset based lending— — — — — — 3,493 3,493 — 
Factoring— — — — — — 512 512 — 
Lease financing— — 609 891 1,681 142 — 3,323 645 
SBA/USDA— 1,114 — — — 252 — 1,366 1,114 
Commercial finance103 6,237 3,116 3,242 2,420 462 4,005 19,585 4,129 
Total nonaccrual loans and leases$103 $6,237 $3,116 $3,242 $2,420 $462 $4,005 $19,585 $4,129 
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotalNonaccrual with No ACL
At September 30, 202220222021202020192018Prior
Term lending$251 $1,110 $1,964 $989 $3,096 $166 $— $7,576 $2,885 
Asset based lending— — — — — — 29 29 — 
Factoring— — — — — — 569 569 550 
Lease financing977 310 2,442 13 8 — — 3,750 — 
SBA/USDA— — 1,199 — — 252 — 1,451 1,199 
Commercial finance1,228 1,420 5,605 1,002 3,104 418 598 13,375 4,634 
Total nonaccrual loans and leases$1,228 $1,420 $5,605 $1,002 $3,104 $418 $598 $13,375 $4,634 
Loans and leases that are 90 days or more delinquent and accruing by year of origination were as follows:
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At March 31, 202320232022202120202019Prior
Term lending$1,346 $35 $132 $211 $40 $188 $— $1,952 
Lease financing90 468 953 198 30 68 — 1,807 
Insurance premium finance— 1,849 10 8 4 — — 1,871 
Other commercial finance— — — — — 94 — 94 
Commercial finance1,436 2,352 1,095 417 74 350 — 5,724 
Consumer credit products174 1,437 404 92 30 3 — 2,140 
Other consumer finance1,032 — — — — — 45 1,077 
Consumer finance1,206 1,437 404 92 30 3 45 3,217 
Total 90 days or more delinquent and accruing$2,642 $3,789 $1,499 $509 $104 $353 $45 $8,941 
Amortized Cost Basis
(Dollars in thousands)Term Loans and Leases by Origination YearRevolving Loans and LeasesTotal
At September 30, 202220222021202020192018Prior
Term lending$207 $720 $716 $130 $70 $192 $— $2,035 
Asset based lending— — — — — — 39 39 
Lease financing8 158 98 131 45 — — 440 
Insurance premium finance1,513 110 5 — — — — 1,628 
Commercial finance1,728 988 819 261 115 192 39 4,142 
Consumer credit products2,123 481 42 23 — — — 2,669 
Other consumer finance— 124 — — — — — 124 
Consumer finance2,123 605 42 23 — — — 2,793 
Tax services8,873 — — — — — — 8,873 
Total 90 days or more delinquent and accruing$12,724 $1,593 $861 $284 $115 $192 $39 $15,808 
v3.23.1
EARNINGS PER COMMON SHARE ("EPS") (Tables)
 6 Months Ended
Mar. 31, 2023
Earnings Per Share [Abstract]  
Reconciliation of Net Income and Common Stock Share Amounts Used in Computation of Basic and Diluted EPS
A reconciliation of net income and common stock share amounts used in the computation of basic and diluted earnings per share is presented below.
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands, except per share data)2023202220232022
Basic income per common share:
Net income attributable to Pathward Financial, Inc.$54,771 $49,251 $82,613 $110,575 
Dividends and undistributed earnings allocated to participating securities(841)(815)(1,231)(1,773)
Basic net earnings available to common stockholders53,930 48,436 81,382 108,802 
Undistributed earnings allocated to nonvested restricted stockholders820 791 1,190 1,724 
Reallocation of undistributed earnings to nonvested restricted stockholders(818)(791)(1,187)(1,723)
Diluted net earnings available to common stockholders$53,932 $48,436 $81,385 $108,803 
Total weighted-average basic common shares outstanding27,078,048 29,212,301 27,555,197 29,731,797 
Effect of dilutive securities(1)
Performance share units91,521 12,061 77,540 17,035 
Total effect of dilutive securities91,521 12,061 77,540 17,035 
Total weighted-average diluted common shares outstanding27,169,569 29,224,362 27,632,737 29,748,832 
Net earnings per common share:
Basic earnings per common share$1.99 $1.66 $2.95 $3.66 
Diluted earnings per common share(2)
$1.99 $1.66 $2.95 $3.66 
(1) Represents the effect of the assumed exercise of stock options and vesting of performance share units and restricted stock, as applicable, utilizing the treasury stock method.
(2) Excluded from the computation of diluted earnings per share for the three months ended March 31, 2023 and 2022, respectively, were 422,461 and 491,621 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive. Excluded from the computation of diluted earnings per share for the six months ended March 31, 2023 and 2022, respectively, were 417,012 and 484,457 weighted average shares of nonvested restricted stock because their inclusion would be anti-dilutive.
v3.23.1
RENTAL EQUIPMENT, NET (Tables)
 6 Months Ended
Mar. 31, 2023
Property, Plant and Equipment [Abstract]  
Rental Equipment
Rental equipment consists of the following:
(Dollars in thousands)March 31, 2023September 30, 2022
Computers and IT networking equipment$20,589 $21,669 
Motor vehicles and other121,014 107,648 
Other furniture and equipment35,604 34,254 
Solar panels and equipment137,548 133,765 
Total314,755 297,336 
Accumulated depreciation(105,073)(94,355)
Unamortized initial direct costs1,162 1,390 
Net book value$210,844 $204,371 
Schedule of Future Minimum Rental Payments for Operating Leases
Future minimum lease payments expected to be received for operating leases at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$20,951 
202435,326 
202527,772 
202619,091 
202712,569 
Thereafter12,758 
Total $128,467 
Undiscounted future minimum operating lease payments and a reconciliation to the amount recorded as operating lease liabilities at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$2,045 
20243,913 
20253,718 
20263,195 
20273,092 
Thereafter18,639 
Total undiscounted future minimum lease payments 34,602 
Discount(4,169)
Total operating lease liabilities$30,433 
v3.23.1
GOODWILL AND INTANGIBLE ASSETS (Tables)
 6 Months Ended
Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Finite-Lived Intangible Assets
The changes in the carrying amount of the Company’s intangible assets were as follows:
(Dollars in thousands)
Trademark(1)
Non-Compete
Customer Relationships(2)
All Others(3)
Total
Intangible Assets
At September 30, 2022$8,605 $— $12,395 $4,691 $25,691 
Amortization during the period(609)— (1,819)(265)(2,693)
At March 31, 2023$7,996 $— $10,576 $4,426 $22,998 
Gross carrying amount$14,624 $2,481 $82,088 $9,940 $109,133 
Accumulated amortization(6,628)(2,481)(60,594)(5,296)(74,999)
Accumulated impairment— (10,918)(218)(11,136)
At March 31, 2023$7,996 $— $10,576 $4,426 $22,998 
At September 30, 2021$9,823 $40 $17,868 $5,417 $33,148 
Acquisitions during the period— — — 1 1 
Amortization during the period(526)(40)(2,829)(262)(3,657)
Write-offs during the period— — — (202)(202)
At March 31, 2022$9,297 $— $15,039 $4,954 $29,290 
Gross carrying amount$14,624 $2,481 $82,088 $9,940 $109,133 
Accumulated amortization(5,327)(2,481)(56,801)(4,768)(69,377)
Accumulated impairment— — (10,248)(218)(10,466)
At March 31, 2022$9,297 $— $15,039 $4,954 $29,290 
(1) Book amortization period of 5-15 years. Amortized using the straight line and accelerated methods.
(2) Book amortization period of 10-30 years. Amortized using the accelerated method.
(3) Book amortization period of 3-20 years. Amortized using the straight line method.
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense Estimated amortization expense of intangible assets in the remaining six months of fiscal 2023 and subsequent fiscal years at March 31, 2023 was as follows:
(Dollars in thousands)
Remaining in 2023$2,250 
20244,128 
20253,566 
20263,220 
20272,574 
Thereafter7,260 
Total anticipated intangible amortization$22,998 
v3.23.1
OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES (Tables)
 6 Months Ended
Mar. 31, 2023
Leases [Abstract]  
Schedule of Future Minimum Rental Payments for Operating Leases
Future minimum lease payments expected to be received for operating leases at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$20,951 
202435,326 
202527,772 
202619,091 
202712,569 
Thereafter12,758 
Total $128,467 
Undiscounted future minimum operating lease payments and a reconciliation to the amount recorded as operating lease liabilities at March 31, 2023 were as follows:
(Dollars in thousands)
Remaining in 2023$2,045 
20243,913 
20253,718 
20263,195 
20273,092 
Thereafter18,639 
Total undiscounted future minimum lease payments 34,602 
Discount(4,169)
Total operating lease liabilities$30,433 
Weighted-Average Discount Rate and Remaining Lease Term for Operating Leases
The weighted-average discount rate and remaining lease term for operating leases at March 31, 2023 were as follows:
Weighted-average discount rate2.36 %
Weighted-average remaining lease term (years)9.98

The components of total lease costs for operating leases were as follows:
Three Months Ended March 31,Six Months Ended March 31,
(Dollars in thousands)2023202220232022
Lease expense$982 $1,119 $1,996 $2,256 
Short-term and variable lease cost42 40 84 75 
Sublease income(339)(355)(672)(531)
Total lease cost for operating leases$685 $804 $1,408 $1,800 
v3.23.1
STOCK COMPENSATION (Tables)
 6 Months Ended
Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Schedule of Nonvested Share Activity The following tables show the activity of nonvested (restricted) shares and PSUs granted, vested, or forfeited under the 2002 Omnibus Incentive Plan for the six months ended March 31, 2023. There were no options granted, exercised, or forfeited under this plan during the six months ended March 31, 2023.
(Dollars in thousands, except per share data)Number of SharesWeighted Average Fair Value at Grant
Nonvested shares outstanding, September 30, 2022
474,348 $36.52 
Granted160,881 38.95 
Vested(209,440)36.59 
Forfeited or expired(6,958)42.55 
Nonvested shares outstanding, March 31, 2023
418,831 $37.31 
Performance share units outstanding, September 30, 2022
96,689 $42.59 
Granted(1)
59,115 38.94 
Vested— — 
Forfeited or expired— — 
Performance share units outstanding, March 31, 2023
155,804 $41.20 
(1) The number of PSUs granted reflects the target number of PSUs able to be earned under a given award.
v3.23.1
INCOME TAXES (Tables)
 6 Months Ended
Mar. 31, 2023
Income Tax Disclosure [Abstract]  
Schedule of Effective Income Tax Rate Reconciliation
The table below compares the income tax expense components for the periods presented.
Six Months Ended March 31,
(Dollars in thousands)20232022
Provision at statutory rate$20,657 $27,899 
Tax-exempt income(398)(362)
State income taxes4,285 5,543 
Interim period effective rate adjustment(483)(3,870)
Tax credit investments, net - federal(7,916)(5,978)
Research tax credit(805)(355)
IRC 162(m) nondeductible compensation576 505 
Other, net(163)(1,104)
Income tax expense$15,753 $22,278 
Effective tax rate15.83 %16.66 %
v3.23.1
REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables)
 6 Months Ended
Mar. 31, 2023
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue by Major Customers by Reporting Segments The table below presents the Company’s revenue by operating segment. For additional descriptions of the Company’s operating segments, including additional financial information and the underlying management accounting process, see Note 14. Segment Reporting to the Condensed Consolidated Financial Statements.
(Dollars in thousands)ConsumerCommercialCorporate Services/OtherConsolidated Company
Three Months Ended March 31,20232022202320222023202220232022
Net interest income(1)
$41,418 $30,156 $46,758 $44,879 $13,229 $8,765 $101,405 $83,800 
Noninterest income:
Refund transfer product fees30,205 27,805 — — — — 30,205 27,805 
Refund advance fee income(1)
37,995 39,299 — — — — 37,995 39,299 
Card and deposit fees41,828 26,270 252 244 7 6 42,087 26,520 
Rental income(1)
— — 12,737 11,225 203 150 12,940 11,375 
Gain (loss) on sale of securities(1)
— — — — 82 260 82 260 
Gain (loss) on sale of other(1)
— — (748)1,229 — (603)(748)626 
Other income(1)
1,748 1,387 1,935 2,839 794 (345)4,477 3,881 
Total noninterest income111,776 94,761 14,176 15,537 1,086 (532)127,038 109,766 
Revenue$153,194 $124,917 $60,934 $60,416 $14,315 $8,233 $228,443 $193,566 
Six Months Ended March 31,
Net interest income(1)
$75,690 $56,427 $89,082 $89,805 $20,690 $9,181 $185,462 $155,413 
Noninterest income:
Refund transfer product fees30,882 28,384 — — — — 30,882 28,384 
Refund advance fee income(1)
38,612 40,532 — — — — 38,612 40,532 
Card and deposit fees79,280 51,402 513 475 12 12 79,805 51,889 
Rental income(1)
— — 25,252 22,302 396 150 25,648 22,452 
Gain (loss) on sale of securities(1)
— — — — 82 397 82 397 
Gain on sale of trademarks— — — — 10,000 50,000 10,000 50,000 
Gain (loss) on sale of other(1)
— — (246)6,093 — (8,932)(246)(2,839)
Other income(1)
2,541 2,152 3,019 5,624 2,472 (2,234)8,032 5,542 
Total noninterest income151,315 122,470 28,538 34,494 12,962 39,393 192,815 196,357 
Revenue$227,005 $178,897 $117,620 $124,299 $33,652 $48,574 $378,277 $351,770 
(1) These revenues are not within the scope of Topic 606. Additional details are included in other footnotes to the accompanying financial statements. The scope of Topic 606 explicitly excludes net interest income as well as many other revenues for financial assets and liabilities, including loans, leases, and securities.
v3.23.1
SEGMENT REPORTING (Tables)
 6 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Segment Information of Entity
The following tables present segment data for the Company:
(Dollars in thousands)ConsumerCommercialCorporate Services/OtherTotal
Three Months Ended March 31,20232022202320222023202220232022
Net interest income$41,418 $30,156 $46,758 $44,879 $13,229 $8,765 $101,405 $83,800 
Provision for credit losses31,654 29,685 5,012 2,205 97 412 36,763 32,302 
Noninterest income (loss)111,776 94,761 14,176 15,537 1,086 (532)127,038 109,766 
Noninterest expense49,910 29,892 38,846 31,457 38,380 41,811 127,136 103,160 
Income (loss) before income tax expense71,630 65,340 17,076 26,754 (24,162)(33,990)64,544 58,104 
Total assets361,528 456,335 3,581,677 3,355,196 2,925,051 3,075,708 6,868,256 6,887,239 
Total goodwill87,145 87,145 222,360 222,360 — — 309,505 309,505 
Total deposits5,744,278 5,693,063 9,313 6,882 149,105 129,941 5,902,696 5,829,886 
Six Months Ended March 31,
Net interest income$75,690 $56,427 $89,082 $89,805 $20,690 $9,181 $185,462 $155,413 
Provision (reversal of) for credit losses34,894 30,946 11,595 13,797 50 (12,255)46,539 32,488 
Noninterest income151,315 122,470 28,538 34,494 12,962 39,393 192,815 196,357 
Noninterest expense84,404 49,553 71,595 64,504 76,196 71,539 232,195 185,596 
Income (loss) before income tax expense107,707 98,398 34,430 45,998 (42,594)(10,710)99,543 133,686 
Total assets361,528 456,335 3,581,677 3,355,196 2,925,051 3,075,708 6,868,256 6,887,239 
Total goodwill87,145 87,145 222,360 222,360 — — 309,505 309,505 
Total deposits5,744,278 5,693,063 9,313 6,882 149,105 129,941 5,902,696 5,829,886 
v3.23.1
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Mar. 31, 2023
Fair Value Disclosures [Abstract]  
Summary of Fair Values of Securities Available for Sale and Held to Maturity
The following tables summarize the fair values of debt securities available for sale and equity securities as they are measured at fair value on a recurring basis.
 At March 31, 2023
(Dollars in thousands)TotalLevel 1Level 2Level 3
Debt securities AFS    
Corporate securities$18,750 $— $18,750 $— 
SBA securities94,248 — 94,248 — 
Obligations of states and political subdivisions2,357 — 2,357 — 
Non-bank qualified obligations of states and political subdivisions249,493 — 249,493 — 
Asset-backed securities126,704 — 126,704 — 
Mortgage-backed securities1,334,011 — 1,334,011 — 
Total debt securities AFS$1,825,563 $— $1,825,563 $— 
Common equities and mutual funds(1)
$3,545 $3,545 $— $— 
Non-marketable equity securities(2)
$7,749 $— $— $— 
(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2023.
(2) Consists of certain non-marketable equity securities that are measured at fair value using net asset value ("NAV") per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
 At September 30, 2022
(Dollars in thousands)TotalLevel 1Level 2Level 3
Debt securities AFS    
Corporate securities$22,187 $— $22,187 $— 
SBA securities97,768 — 97,768 — 
Obligations of states and political subdivisions2,344 — 2,344 — 
Non-bank qualified obligations of states and political subdivisions263,783 — 263,783 — 
Asset-backed securities147,790 — 147,790 — 
Mortgage-backed securities1,348,997 — 1,348,997 — 
Total debt securities AFS$1,882,869 $— $1,882,869 $— 
Common equities and mutual funds(1)
$2,874 $2,874 $— $— 
Non-marketable equity securities(2)
$7,212 $— $— $— 
(1) Equity securities at fair value are included within other assets on the Consolidated Statements of Financial Condition at September 30, 2022.
(2) Consists of certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
Assets Measured at Fair Value on Nonrecurring Basis
The following table summarizes the assets of the Company that are measured at fair value in the Condensed Consolidated Statements of Financial Condition on a non-recurring basis:
 At March 31, 2023
(Dollars in thousands)TotalLevel 1Level 2Level 3
Loans and leases, net individually evaluated for credit loss    
Commercial finance$625 $— $— $625 
    Total loans and leases, net individually evaluated for credit loss625 — — 625 
Total$625 $— $— $625 
 At September 30, 2022
(Dollars in thousands)TotalLevel 1Level 2Level 3
Loans and leases, net individually evaluated for credit loss    
Commercial finance$1,575 $— $— $1,575 
    Total loans and leases, net individually evaluated for credit loss1,575 — — 1,575 
Foreclosed assets, net1 — — 1 
Total$1,576 $— $— $1,576 
Quantitative Information about Level 3 Fair Value Measurements
 Quantitative Information About Level 3 Fair Value Measurements
(Dollars in thousands)
Fair Value at
March 31, 2023
Fair Value at
September 30, 2022
Valuation
Technique		Unobservable InputRange of Inputs
Loans and leases, net individually evaluated for credit loss$625 $1,575 Market approach
Appraised values(1)
4% - 62%
(1) The Company generally relies on external appraisers to develop this information. Management reduced the appraised value by estimating selling costs and other inputs in a range of 4% to 62%.
Carrying Amount and Estimated Fair Value of Financial Instruments
The following tables present the carrying amount and estimated fair value of the financial instruments held by the Company:
 At March 31, 2023
(Dollars in thousands)Carrying
Amount		Estimated
Fair Value		Level 1Level 2Level 3
Financial assets
Cash and cash equivalents$432,598 $432,598 $432,598 $— $— 
Debt securities available for sale1,825,563 1,825,563 — 1,825,563 — 
Debt securities held to maturity38,713 35,028 — 35,028 — 
Common equities and mutual funds(1)
3,545 3,545 3,545 — — 
Non-marketable equity securities(1)(2)
22,563 22,563 — 14,814 — 
Loans held for sale24,780 24,780 — 24,780 — 
Loans and leases3,719,898 3,710,718 — — 3,710,718 
Federal Reserve Bank and Federal Home Loan Bank stocks29,387 29,387 — 29,387 — 
Accrued interest receivable22,434 22,434 22,434 — — 
Financial liabilities
Deposits5,902,696 5,902,526 5,896,367 6,159 — 
Overnight federal funds purchased43,000 43,000 43,000 — — 
Other short- and long-term borrowings34,543 32,961 — 32,961 — 
Accrued interest payable204 204 204 — — 
(1) Equity securities at fair value are included within other assets on the Condensed Consolidated Statements of Financial Condition at March 31, 2023.
(2) Includes certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
 At September 30, 2022
(Dollars in thousands)Carrying
Amount		Estimated
Fair Value		Level 1Level 2Level 3
Financial assets
Cash and cash equivalents$388,038 $388,038 $388,038 $— $— 
Debt securities available for sale1,882,869 1,882,869 — 1,882,869 — 
Debt securities held to maturity41,682 38,171 — 38,171 — 
Common equities and mutual funds(1)
2,874 2,874 2,874 — — 
Non-marketable equity securities(1)(2)
22,526 22,526 — 15,314 — 
Loans held for sale21,071 21,071 — 21,071 — 
Loans and leases3,529,280 3,525,803 — — 3,525,803 
Federal Reserve Bank and Federal Home Loan Bank stocks28,812 28,812 — 28,812 — 
Accrued interest receivable17,979 17,979 17,979 — — 
Financial liabilities
Deposits5,866,037 5,865,854 5,858,283 7,571 — 
Other short- and long-term borrowings36,028 35,986 — 35,986 — 
Accrued interest payable192 192 192 — — 
(1) Equity securities at fair value are included within other assets on the Consolidated Statements of Financial Condition at September 30, 2022.
(2) Includes certain non-marketable equity securities that are measured at fair value using NAV per share (or its equivalent) as a practical expedient and are excluded from the fair value hierarchy.
v3.23.1
SIGNIFICANT EVENTS (Details) - USD ($)
$ in Thousands
 6 Months Ended
Dec. 07, 2021
Mar. 31, 2023
Mar. 31, 2022
Unusual or Infrequent Item, or Both [Line Items]      
Proceeds from sale of trademarks   $ 10,000 $ 50,000
Rebranding      
Unusual or Infrequent Item, or Both [Line Items]      
Cash received in purchase agreement $ 60,000    
Proceeds from sale of trademarks 50,000    
Remaining consideration to be paid $ 10,000    
v3.23.1
SECURITIES - Available for Sale (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Available-for-sale debt securities [Abstract]    
Amortized Cost $ 2,075,257 $ 2,165,719
Fair Value 1,825,563 1,882,869
Amortized Cost    
Due in one year or less 3,785 718
Due after one year through five years 5,830 9,921
Due after five years through ten years 86,540 89,921
Due after ten years 444,746 483,707
Total 540,901 584,267
Mortgage-backed securities 1,534,356 1,581,452
Fair Value    
Due in one year or less 3,728 715
Due after one year through five years 5,468 9,395
Due after five years through ten years 76,745 81,819
Due after ten years 405,611 441,943
Total 491,552 533,872
Mortgage-backed securities 1,334,011 1,348,997
Corporate securities    
Available-for-sale debt securities [Abstract]    
Amortized Cost 25,000 25,000
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (6,250) (2,813)
Fair Value 18,750 22,187
LESS THAN 12 MONTHS, Fair Value 0 0
LESS THAN 12 MONTHS, Gross Unrealized (Losses) 0 0
OVER 12 MONTHS, Fair Value 18,750 22,187
OVER 12 MONTHS, Gross Unrealized (Losses) (6,250) (2,813)
TOTAL, Fair Value 18,750 22,187
TOTAL, Gross Unrealized (Losses) (6,250) (2,813)
SBA securities    
Available-for-sale debt securities [Abstract]    
Amortized Cost 99,670 105,238
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (5,422) (7,470)
Fair Value 94,248 97,768
LESS THAN 12 MONTHS, Fair Value 41,231 97,767
LESS THAN 12 MONTHS, Gross Unrealized (Losses) (1,166) (7,470)
OVER 12 MONTHS, Fair Value 53,016 0
OVER 12 MONTHS, Gross Unrealized (Losses) (4,256) 0
TOTAL, Fair Value 94,247 97,767
TOTAL, Gross Unrealized (Losses) (5,422) (7,470)
Obligations of states and political subdivisions    
Available-for-sale debt securities [Abstract]    
Amortized Cost 2,436 2,469
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (79) (125)
Fair Value 2,357 2,344
LESS THAN 12 MONTHS, Fair Value 0 2,345
LESS THAN 12 MONTHS, Gross Unrealized (Losses) 0 (125)
OVER 12 MONTHS, Fair Value 2,357 0
OVER 12 MONTHS, Gross Unrealized (Losses) (79) 0
TOTAL, Fair Value 2,357 2,345
TOTAL, Gross Unrealized (Losses) (79) (125)
Non-bank qualified obligations of states and political subdivisions    
Available-for-sale debt securities [Abstract]    
Amortized Cost 277,767 290,754
Gross Unrealized Gains 37 0
Gross Unrealized (Losses) (28,311) (26,971)
Fair Value 249,493 263,783
LESS THAN 12 MONTHS, Fair Value 65,300 195,816
LESS THAN 12 MONTHS, Gross Unrealized (Losses) (4,118) (19,743)
OVER 12 MONTHS, Fair Value 183,201 67,967
OVER 12 MONTHS, Gross Unrealized (Losses) (24,193) (7,228)
TOTAL, Fair Value 248,501 263,783
TOTAL, Gross Unrealized (Losses) (28,311) (26,971)
Asset-backed securities    
Available-for-sale debt securities [Abstract]    
Amortized Cost 136,028 160,806
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (9,324) (13,016)
Fair Value 126,704 147,790
LESS THAN 12 MONTHS, Fair Value 0 64,886
LESS THAN 12 MONTHS, Gross Unrealized (Losses) 0 (1,838)
OVER 12 MONTHS, Fair Value 126,704 82,904
OVER 12 MONTHS, Gross Unrealized (Losses) (9,324) (11,178)
TOTAL, Fair Value 126,704 147,790
TOTAL, Gross Unrealized (Losses) (9,324) (13,016)
Mortgage-backed securities    
Available-for-sale debt securities [Abstract]    
Amortized Cost 1,534,356 1,581,452
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (200,345) (232,455)
Fair Value 1,334,011 1,348,997
LESS THAN 12 MONTHS, Fair Value 296,523 816,657
LESS THAN 12 MONTHS, Gross Unrealized (Losses) (14,199) (106,583)
OVER 12 MONTHS, Fair Value 1,037,488 532,340
OVER 12 MONTHS, Gross Unrealized (Losses) (186,146) (125,872)
TOTAL, Fair Value 1,334,011 1,348,997
TOTAL, Gross Unrealized (Losses) (200,345) (232,455)
Total debt securities AFS    
Available-for-sale debt securities [Abstract]    
Amortized Cost 2,075,257 2,165,719
Gross Unrealized Gains 37 0
Gross Unrealized (Losses) (249,731) (282,850)
Fair Value 1,825,563 1,882,869
LESS THAN 12 MONTHS, Fair Value 403,054 1,177,471
LESS THAN 12 MONTHS, Gross Unrealized (Losses) (19,483) (135,759)
OVER 12 MONTHS, Fair Value 1,421,516 705,398
OVER 12 MONTHS, Gross Unrealized (Losses) (230,248) (147,091)
TOTAL, Fair Value 1,824,570 1,882,869
TOTAL, Gross Unrealized (Losses) $ (249,731) $ (282,850)
v3.23.1
SECURITIES - Held to Maturity (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract]    
Amortized Cost $ 38,713 $ 41,682
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (3,685) (3,511)
Fair Value 35,028 38,171
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 0 6,252
LESS THAN 12 MONTHS, Gross Unrealized (Losses) 0 (621)
OVER 12 MONTHS, Fair Value 35,030 31,919
OVER 12 MONTHS, Gross Unrealized (Losses) (3,685) (2,890)
TOTAL, Fair Value 35,030 38,171
TOTAL, Gross Unrealized (Losses) (3,685) (3,511)
Amortized Cost    
Due after ten years 36,407 39,093
Total 36,407 39,093
Mortgage-backed securities 2,306 2,589
Fair Value    
Due after ten years 32,933 35,903
Total 32,933 35,903
Mortgage-backed securities 2,095 2,268
Non-bank qualified obligations of states and political subdivisions    
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract]    
Amortized Cost 36,407 39,093
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (3,474) (3,190)
Fair Value 32,933 35,903
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 0 3,984
LESS THAN 12 MONTHS, Gross Unrealized (Losses) 0 (300)
OVER 12 MONTHS, Fair Value 32,934 31,919
OVER 12 MONTHS, Gross Unrealized (Losses) (3,474) (2,890)
TOTAL, Fair Value 32,934 35,903
TOTAL, Gross Unrealized (Losses) (3,474) (3,190)
Mortgage-backed securities    
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract]    
Amortized Cost 2,306 2,589
Gross Unrealized Gains 0 0
Gross Unrealized (Losses) (211) (321)
Fair Value 2,095 2,268
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract]    
LESS THAN 12 MONTHS, Fair Value 0 2,268
LESS THAN 12 MONTHS, Gross Unrealized (Losses) 0 (321)
OVER 12 MONTHS, Fair Value 2,096 0
OVER 12 MONTHS, Gross Unrealized (Losses) (211) 0
TOTAL, Fair Value 2,096 2,268
TOTAL, Gross Unrealized (Losses) $ (211) $ (321)
v3.23.1
SECURITIES - Narrative (Details)
 6 Months Ended
Mar. 31, 2023
USD ($)
security
Mar. 31, 2022
USD ($)
Sep. 30, 2022
USD ($)
Debt Securities, Available-for-sale [Line Items]      
AFS number of securities in an unrealized loss position (in securities) | security 192    
Federal reserve bank stock $ 19,700,000   $ 19,700,000
Federal home loan bank stock 9,700,000   9,100,000
Impairment recognized 500,000 $ 0  
Marketable      
Debt Securities, Available-for-sale [Line Items]      
Equity securities 3,500,000   2,900,000
Unrealized losses on equity securities 0 3,800,000  
Non-marketable      
Debt Securities, Available-for-sale [Line Items]      
Equity securities 7,700,000   7,200,000
Unrealized losses on equity securities 100,000    
Unrealized gains on equity securities   $ 300,000  
Equity securities without readily determinable fair value, amount $ 17,700,000   $ 18,200,000
v3.23.1
LOANS AND LEASES, NET - Summary of Loans (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Dec. 31, 2022
Sep. 30, 2022
Mar. 31, 2022
Dec. 31, 2021
Sep. 30, 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases $ 3,719,898   $ 3,529,280      
Net deferred loan origination costs 5,718   7,025      
Total gross loans and leases 3,725,616   3,536,305      
Allowance for credit losses (84,304)   (45,947)      
Total loans and leases, net 3,641,312   3,490,358      
National Lending | Term lending            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 1,235,453   1,090,289      
Allowance for credit losses (28,415) $ (26,752) (24,621) $ (27,568) $ (26,722) $ (29,351)
National Lending | Asset based lending            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 377,965   351,696      
Allowance for credit losses (1,081) (3,903) (1,050) (2,583) (2,758) (1,726)
National Lending | Factoring            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 338,884   372,595      
Allowance for credit losses (5,588) (5,674) (6,556) (6,526) (15,242) (3,997)
National Lending | Lease financing            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 170,645   210,692      
Allowance for credit losses (4,549) (5,238) (5,902) (6,471) (6,857) (7,629)
National Lending | Insurance premium finance            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 437,700   479,754      
Allowance for credit losses (1,263) (1,261) (1,450) (1,057) (1,044) (1,394)
National Lending | SBA/USDA            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 405,612   359,238      
Allowance for credit losses (2,640) (2,632) (3,263) (2,943) (2,996) (2,978)
National Lending | Other commercial finance            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 166,402   159,409      
Allowance for credit losses (4,332) (3,356) (1,310) (1,197) (1,349) (1,168)
National Lending | Commercial finance            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 3,132,661   3,023,673      
Allowance for credit losses (47,868) (48,816) (44,152) (48,345) (56,968) (48,243)
National Lending | Consumer credit products            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 120,739   144,353      
Allowance for credit losses (1,219) (1,263) (1,400) (1,621) (1,627) (1,242)
National Lending | Other consumer finance            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 27,909   25,306      
Allowance for credit losses (1,746) (1,624) (63) (7,388) (6,960) (6,112)
National Lending | Consumer finance            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 148,648   169,659      
Allowance for credit losses (2,965) (2,887) (1,463) (9,009) (8,587) (7,354)
National Lending | Tax services            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 61,553   9,098      
Allowance for credit losses (33,094) (609) (5) (30,757) (1,601) (2)
National Lending | Warehouse finance            
Accounts, Notes, Loans and Financing Receivable [Line Items]            
Total loans and leases 377,036   326,850      
Allowance for credit losses $ (377) $ (280) $ (327) $ (441) $ (467) $ (420)
v3.23.1
LOANS AND LEASES, NET - Additional Information (Details) - USD ($)
$ in Thousands
 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Sep. 30, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Originated loans held for sale $ 608,628 $ 555,397  
Proceeds from sale of loans held-for-sale 604,400 723,900  
Gain (loss) on sale of loans and leases 100 (4,100)  
Loans and leases 3,725,616   $ 3,536,305
Pass      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 2,782,873   2,548,929
Pass | Asset Pledged as Collateral      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 70,800   120,700
Consumer finance portfolio segment      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 148,600   169,700
Tax services loans      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 61,600   9,100
National Lending | Consumer Finance and SBA/USDA Loans      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Originated loans held for sale 608,600 $ 555,400  
National Lending | Term lending | Pass      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 944,318   802,533
National Lending | Asset based lending | Pass      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 178,436   154,494
National Lending | Insurance premium finance | Pass      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases 435,993   478,819
National Lending | SBA/USDA | Pass      
Accounts, Notes, Loans and Financing Receivable [Line Items]      
Loans and leases $ 373,461   $ 316,610
v3.23.1
LOANS AND LEASES, NET - Schedule of Loans Purchased and Sold, by Portfolio Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Loans Purchased, Loans held for investment $ 120,185 $ 31,200 $ 187,834 $ 88,913
Loans Sold, Loans held for sale     604,363 723,942
Loans Sold, Total sales 201,493 176,802 604,363 769,726
National Lending | Commercial finance        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Loans Purchased, Loans held for investment 0 1,378 0 3,098
Loans Sold, Loans held for sale 294 14,090 1,149 47,113
Loans Sold, Loans held for investment 0 15,549 0 15,549
National Lending | Warehouse finance        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Loans Purchased, Loans held for investment 120,185 29,822 187,834 85,815
National Lending | Consumer finance        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Loans Sold, Loans held for sale 201,199 147,163 603,214 523,607
Community Banking        
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Loans Sold, Loans held for sale 0 0 0 153,222
Loans Sold, Loans held for investment $ 0 $ 0 $ 0 $ 30,235
v3.23.1
LOANS AND LEASES, NET - Direct Financing and Sales-type Leases, and Lease Receivable Maturity (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Net Investment in Lease [Abstract]    
Carrying amount $ 173,621 $ 216,880
Unguaranteed residual assets 11,849 13,037
Unamortized initial direct costs 202 295
Unearned income (14,825) (19,225)
Total net investment in direct financing and sales-type leases 170,847 $ 210,987
Sales-type and Direct Financing Leases, Lease Receivable, Fiscal Year Maturity [Abstract]    
Remaining in 2023 43,358  
2024 67,521  
2025 37,603  
2026 15,265  
2027 7,418  
Thereafter 2,456  
Total undiscounted future minimum lease payments receivable for direct financing and sales-type leases 173,621  
Third-party residual value guarantees 0  
Total carrying amount of direct financing and sales-type leases $ 173,621  
v3.23.1
LOANS AND LEASES, NET - Allowance for Loan Losses and Recorded Investment in Loans (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Allowance for Credit Losses [Roll Forward]        
Beginning Balance     $ 45,947  
Provision (Reversal) $ 36,763 $ 32,302 46,539 $ 32,488
Ending Balance 84,304   84,304  
Total Committed Loans        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 52,592 67,623 45,947 68,281
Provision (Reversal) 36,686 32,156 46,549 32,627
Charge-offs (6,625) (12,415) (11,064) (17,274)
Recoveries 1,651 1,188 2,872 4,918
Ending Balance 84,304 88,552 84,304 88,552
Unfunded commitments        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 279 405 366 690
Provision (Reversal) 77 146 (10) (139)
Charge-offs 0 0 0 0
Recoveries 0 0 0 0
Ending Balance 356 551 356 551
Total Loans        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 52,871 68,028 46,313 68,971
Provision (Reversal) 36,763 32,302 46,539 32,488
Charge-offs (6,625) (12,415) (11,064) (17,274)
Recoveries 1,651 1,188 2,872 4,918
Ending Balance 84,660 89,103 84,660 89,103
National Lending | Term lending        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 26,752 26,722 24,621 29,351
Provision (Reversal) 3,974 1,954 7,645 1,095
Charge-offs (2,705) (1,822) (4,522) (3,906)
Recoveries 394 714 671 1,028
Ending Balance 28,415 27,568 28,415 27,568
National Lending | Asset based lending        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 3,903 2,758 1,050 1,726
Provision (Reversal) 51 (175) 2,904 736
Charge-offs (2,873) 0 (2,873) (16)
Recoveries 0 0 0 137
Ending Balance 1,081 2,583 1,081 2,583
National Lending | Factoring        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 5,674 15,242 6,556 3,997
Provision (Reversal) (40) 823 (804) 13,324
Charge-offs (62) (9,590) (183) (10,864)
Recoveries 16 51 19 69
Ending Balance 5,588 6,526 5,588 6,526
National Lending | Lease financing        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 5,238 6,857 5,902 7,629
Provision (Reversal) (183) (395) (621) (1,217)
Charge-offs (607) (95) (1,013) (112)
Recoveries 101 104 281 171
Ending Balance 4,549 6,471 4,549 6,471
National Lending | Insurance premium finance        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 1,261 1,044 1,450 1,394
Provision (Reversal) 155 59 108 (211)
Charge-offs (224) (106) (409) (283)
Recoveries 71 60 114 157
Ending Balance 1,263 1,057 1,263 1,057
National Lending | SBA/USDA        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 2,632 2,996 3,263 2,978
Provision (Reversal) 2 (53) (649) 180
Charge-offs 0 0 0 (217)
Recoveries 6 0 26 2
Ending Balance 2,640 2,943 2,640 2,943
National Lending | Other commercial finance        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 3,356 1,349 1,310 1,168
Provision (Reversal) 976 (152) 3,022 29
Charge-offs 0 0 0 0
Recoveries 0 0 0 0
Ending Balance 4,332 1,197 4,332 1,197
National Lending | Commercial finance        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 48,816 56,968 44,152 48,243
Provision (Reversal) 4,935 2,061 11,605 13,936
Charge-offs (6,471) (11,613) (9,000) (15,398)
Recoveries 588 929 1,111 1,564
Ending Balance 47,868 48,345 47,868 48,345
National Lending | Consumer credit products        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 1,263 1,627 1,400 1,242
Provision (Reversal) (44) (6) (181) 379
Charge-offs 0 0 0 0
Recoveries 0 0 0 0
Ending Balance 1,219 1,621 1,219 1,621
National Lending | Other consumer finance        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 1,624 6,960 63 6,112
Provision (Reversal) 276 1,157 2,016 2,718
Charge-offs (154) (802) (333) (1,622)
Recoveries 0 73 0 180
Ending Balance 1,746 7,388 1,746 7,388
National Lending | Consumer finance        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 2,887 8,587 1,463 7,354
Provision (Reversal) 232 1,151 1,835 3,097
Charge-offs (154) (802) (333) (1,622)
Recoveries 0 73 0 180
Ending Balance 2,965 9,009 2,965 9,009
National Lending | Tax services        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 609 1,601 5 2
Provision (Reversal) 31,422 28,972 33,059 28,259
Charge-offs 0 0 (1,731) (254)
Recoveries 1,063 184 1,761 2,750
Ending Balance 33,094 30,757 33,094 30,757
National Lending | Warehouse finance        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance 280 467 327 420
Provision (Reversal) 97 (26) 50 21
Charge-offs 0 0 0 0
Recoveries 0 0 0 0
Ending Balance $ 377 441 $ 377 441
Community Banking        
Allowance for Credit Losses [Roll Forward]        
Beginning Balance   0   12,262
Provision (Reversal)   (2)   (12,686)
Charge-offs   0   0
Recoveries   2   424
Ending Balance   $ 0   $ 0
v3.23.1
LOANS AND LEASES, NET - Impaired Loans (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Sep. 30, 2021
Financing Receivable, Impaired [Line Items]          
Impaired loans, unpaid balance $ 6,206   $ 6,206   $ 7,421
Average recorded investment 20,579 $ 30,956 19,699 $ 32,193  
National Lending | Term lending          
Financing Receivable, Impaired [Line Items]          
Impaired loans, unpaid balance 2,809   2,809   2,885
Average recorded investment 9,758 10,688 9,277 12,305  
National Lending | Asset based lending          
Financing Receivable, Impaired [Line Items]          
Average recorded investment 5,292 5,993 4,782 5,002  
National Lending | Factoring          
Financing Receivable, Impaired [Line Items]          
Impaired loans, unpaid balance 0   0   550
Average recorded investment 523 9,791 615 11,019  
National Lending | Lease financing          
Financing Receivable, Impaired [Line Items]          
Impaired loans, unpaid balance 2,284   2,284   2,787
Average recorded investment 3,627 3,020 3,625 3,027  
National Lending | SBA/USDA          
Financing Receivable, Impaired [Line Items]          
Impaired loans, unpaid balance 1,113   1,113   1,199
Average recorded investment 1,379 1,464 1,400 840  
National Lending | Commercial finance          
Financing Receivable, Impaired [Line Items]          
Impaired loans, unpaid balance 6,206   6,206   $ 7,421
Average recorded investment $ 20,579 $ 30,956 $ 19,699 $ 32,193  
v3.23.1
LOANS AND LEASES, NET - Credit Quality Indicator (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Financing Receivable, Credit Quality Indicator [Line Items]    
Total gross loans and leases $ 3,725,616 $ 3,536,305
Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 768,094 792,936
2022 567,257 404,657
2021 225,115 203,100
2020 178,861 163,965
2019 45,144 153,405
Prior 196,734 127,139
Revolving Loans and Leases 801,668 703,727
Total gross loans and leases 2,782,873 2,548,929
Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 37,058 54,877
2022 57,346 55,259
2021 61,935 56,602
2020 19,391 19,055
2019 13,149 23,976
Prior 18,132 10,660
Revolving Loans and Leases 219,532 249,209
Total gross loans and leases 426,543 469,638
Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 1,239 9,820
2022 6,851 31,287
2021 20,986 16,944
2020 768 4,211
2019 1,839 3,495
Prior 1,173 3,053
Revolving Loans and Leases 31,704 55,444
Total gross loans and leases 64,560 124,254
Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 11,535 15,707
2022 41,467 46,732
2021 55,596 28,345
2020 37,097 30,539
2019 18,996 12,796
Prior 25,016 26,800
Revolving Loans and Leases 40,322 42,761
Total gross loans and leases 230,029 203,680
Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 333
2022 1,799 584
2021 1,651 1,749
2020 1,010 960
2019 350 204
Prior 223 192
Revolving Loans and Leases 659 0
Total gross loans and leases 5,692 4,022
Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 817,926 873,673
2022 674,720 538,519
2021 365,283 306,740
2020 237,127 218,730
2019 79,478 193,876
Prior 241,278 167,844
Revolving Loans and Leases 1,093,885 1,051,141
Total gross loans and leases 3,509,697 3,350,523
National Lending | Term lending | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 327,992 246,627
2022 255,383 240,018
2021 139,016 105,170
2020 94,309 60,417
2019 23,151 89,072
Prior 104,467 61,229
Revolving Loans and Leases 0 0
Total gross loans and leases 944,318 802,533
National Lending | Term lending | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 32,477 45,539
2022 45,370 24,318
2021 53,429 45,052
2020 13,430 11,698
2019 7,324 21,077
Prior 9,780 9,799
Revolving Loans and Leases 0 0
Total gross loans and leases 161,810 157,483
National Lending | Term lending | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 1,226 9,500
2022 6,498 24,885
2021 20,181 14,300
2020 212 2,861
2019 1,263 619
Prior 1,120 242
Revolving Loans and Leases 0 0
Total gross loans and leases 30,500 52,407
National Lending | Term lending | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 5,986 10,627
2022 31,094 16,694
2021 21,996 12,248
2020 25,660 23,266
2019 5,632 10,457
Prior 4,576 2,255
Revolving Loans and Leases 0 0
Total gross loans and leases 94,944 75,547
National Lending | Term lending | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 175
2022 1,553 407
2021 1,130 469
2020 804 872
2019 307 204
Prior 87 192
Revolving Loans and Leases 0 0
Total gross loans and leases 3,881 2,319
National Lending | Term lending | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 367,681 312,468
2022 339,898 306,322
2021 235,752 177,239
2020 134,415 99,114
2019 37,677 121,429
Prior 120,030 73,717
Revolving Loans and Leases 0 0
Total gross loans and leases 1,235,453 1,090,289
National Lending | Asset based lending | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 178,436 154,494
Total gross loans and leases 178,436 154,494
National Lending | Asset based lending | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 153,311 162,990
Total gross loans and leases 153,311 162,990
National Lending | Asset based lending | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 20,731 13,770
Total gross loans and leases 20,731 13,770
National Lending | Asset based lending | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 24,828 20,442
Total gross loans and leases 24,828 20,442
National Lending | Asset based lending | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0  
2022 0  
2021 0  
2020 0  
2019 0  
Prior 0  
Revolving Loans and Leases 659  
Total gross loans and leases 659  
National Lending | Asset based lending | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 377,965 351,696
Total gross loans and leases 377,965 351,696
National Lending | Factoring | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 246,196 254,883
Total gross loans and leases 246,196 254,883
National Lending | Factoring | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 66,221 86,219
Total gross loans and leases 66,221 86,219
National Lending | Factoring | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 10,973 9,174
Total gross loans and leases 10,973 9,174
National Lending | Factoring | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 15,494 22,319
Total gross loans and leases 15,494 22,319
National Lending | Factoring | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 338,884 372,595
Total gross loans and leases 338,884 372,595
National Lending | Lease financing | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 6,352 7,407
2022 21,369 38,818
2021 23,704 31,408
2020 38,157 26,552
2019 2,776 12,361
Prior 4,761 823
Revolving Loans and Leases 0 0
Total gross loans and leases 97,119 117,369
National Lending | Lease financing | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 2,625 8,799
2022 11,398 17,098
2021 8,506 10,284
2020 5,906 6,655
2019 5,425 2,899
Prior 5,509 151
Revolving Loans and Leases 0 0
Total gross loans and leases 39,369 45,886
National Lending | Lease financing | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 151
2022 0 6,151
2021 805 2,644
2020 556 481
2019 366 2,876
Prior 53 2,811
Revolving Loans and Leases 0 0
Total gross loans and leases 1,780 15,114
National Lending | Lease financing | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 825
2022 8,142 9,486
2021 5,122 11,819
2020 4,400 7,273
2019 4,875 1,245
Prior 8,932 0
Revolving Loans and Leases 0 0
Total gross loans and leases 31,471 30,648
National Lending | Lease financing | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 144
2022 0 163
2021 521 1,280
2020 206 88
2019 43 0
Prior 136 0
Revolving Loans and Leases 0 0
Total gross loans and leases 906 1,675
National Lending | Lease financing | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 8,977 17,326
2022 40,909 71,716
2021 38,658 57,435
2020 49,225 41,049
2019 13,485 19,381
Prior 19,391 3,785
Revolving Loans and Leases 0 0
Total gross loans and leases 170,645 210,692
National Lending | Insurance premium finance | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 363,501 478,504
2022 72,407 307
2021 79 8
2020 6 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 435,993 478,819
National Lending | Insurance premium finance | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 221 539
2022 578 7
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 799 546
National Lending | Insurance premium finance | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 13 169
2022 353 40
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 366 209
National Lending | Insurance premium finance | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 83 106
2022 213 46
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 296 152
National Lending | Insurance premium finance | Doubtful    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 14
2022 246 14
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 246 28
National Lending | Insurance premium finance | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 363,818 479,332
2022 73,797 414
2021 79 8
2020 6 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 437,700 479,754
National Lending | SBA/USDA | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 70,249 54,512
2022 199,198 111,907
2021 31,679 40,474
2020 45,386 56,538
2019 9,041 28,874
Prior 17,908 24,305
Revolving Loans and Leases 0 0
Total gross loans and leases 373,461 316,610
National Lending | SBA/USDA | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 13,836
2021 0 1,266
2020 55 702
2019 400 0
Prior 2,843 710
Revolving Loans and Leases 0 0
Total gross loans and leases 3,298 16,514
National Lending | SBA/USDA | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 211
2021 0 0
2020 0 869
2019 210 0
Prior 0 0
Revolving Loans and Leases 0 0
Total gross loans and leases 210 1,080
National Lending | SBA/USDA | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 252 4,149
2022 1,540 10,968
2021 78 4,278
2020 7,037 0
2019 8,489 1,094
Prior 11,247 4,545
Revolving Loans and Leases 0 0
Total gross loans and leases 28,643 25,034
National Lending | SBA/USDA | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 70,501 58,661
2022 200,738 136,922
2021 31,757 46,018
2020 52,478 58,109
2019 18,140 29,968
Prior 31,998 29,560
Revolving Loans and Leases 0 0
Total gross loans and leases 405,612 359,238
National Lending | Other commercial finance | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 5,886
2022 18,900 13,607
2021 30,637 26,040
2020 1,003 20,458
2019 10,176 23,098
Prior 69,598 40,782
Revolving Loans and Leases 0 0
Total gross loans and leases 130,314 129,871
National Lending | Other commercial finance | Watch    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 1,735  
2022 0  
2021 0  
2020 0  
2019 0  
Prior 0  
Revolving Loans and Leases 0  
Total gross loans and leases 1,735  
National Lending | Other commercial finance | Substandard    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 5,214 0
2022 478 9,538
2021 28,400 0
2020 0 0
2019 0 0
Prior 261 20,000
Revolving Loans and Leases 0 0
Total gross loans and leases 34,353 29,538
National Lending | Other commercial finance | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 6,949 5,886
2022 19,378 23,145
2021 59,037 26,040
2020 1,003 20,458
2019 10,176 23,098
Prior 69,859 60,782
Revolving Loans and Leases 0 0
Total gross loans and leases 166,402 159,409
National Lending | Warehouse finance | Pass    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 377,036 294,350
Total gross loans and leases 377,036 294,350
National Lending | Warehouse finance | Special mention    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023   0
2022   0
2021   0
2020   0
2019   0
Prior   0
Revolving Loans and Leases   32,500
Total gross loans and leases   32,500
National Lending | Warehouse finance | Total    
Financing Receivable, Credit Quality Indicator [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 377,036 326,850
Total gross loans and leases $ 377,036 $ 326,850
v3.23.1
LOANS AND LEASES, NET - Past Due Loans (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Financing Receivable, Past Due [Line Items]    
Loans and leases $ 3,725,616 $ 3,536,305
Accruing and Nonaccruing Loans and Leases    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,744,678 3,550,351
Accruing and Nonaccruing Loans and Leases | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,719,898 3,529,280
Accruing and Nonaccruing Loans and Leases | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 24,780 21,071
Accruing and Nonaccruing Loans and Leases | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,235,453 1,090,289
Accruing and Nonaccruing Loans and Leases | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 377,965 351,696
Accruing and Nonaccruing Loans and Leases | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 338,884 372,595
Accruing and Nonaccruing Loans and Leases | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 170,645 210,692
Accruing and Nonaccruing Loans and Leases | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 437,700 479,754
Accruing and Nonaccruing Loans and Leases | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 405,612 359,238
Accruing and Nonaccruing Loans and Leases | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 166,402 159,409
Accruing and Nonaccruing Loans and Leases | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,132,661 3,023,673
Accruing and Nonaccruing Loans and Leases | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 120,739 144,353
Accruing and Nonaccruing Loans and Leases | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 27,909 25,306
Accruing and Nonaccruing Loans and Leases | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 148,648 169,659
Accruing and Nonaccruing Loans and Leases | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 61,553 9,098
Accruing and Nonaccruing Loans and Leases | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 377,036 326,850
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Loans and leases 37,965 28,203
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 37,965 28,203
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 26,127 14,066
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,154 8,265
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,741 2,550
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,043 0
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 34,065 24,881
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,653 3,209
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 608 113
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,261 3,322
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 639 0
Accruing and Nonaccruing Loans and Leases | 30-59 Days Past Due | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Loans and leases 8,016 8,817
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 8,016 8,817
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,170 2,576
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 2,253
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 698 1,379
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,291 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 4,159 6,208
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,248 2,558
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,609 51
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,857 2,609
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | 60-89 Days Past Due | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Loans and leases 14,342 19,534
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 14,342 19,534
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 6,530 4,458
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 68
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,378 1,714
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,871 1,628
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 252 0
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 94 0
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 11,125 7,868
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,140 2,669
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,077 124
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,217 2,793
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 8,873
Accruing and Nonaccruing Loans and Leases | > 89 Days Past Due | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | Total Past Due    
Financing Receivable, Past Due [Line Items]    
Loans and leases 60,323 56,554
Accruing and Nonaccruing Loans and Leases | Total Past Due | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 60,323 56,554
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 33,827 21,100
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 68
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 5,532 12,232
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 5,310 5,557
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 4,586 0
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 94 0
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 49,349 38,957
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 7,041 8,436
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,294 288
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 10,335 8,724
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 639 8,873
Accruing and Nonaccruing Loans and Leases | Total Past Due | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Accruing and Nonaccruing Loans and Leases | Current    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,684,355 3,493,797
Accruing and Nonaccruing Loans and Leases | Current | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,659,575 3,472,726
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 24,780 21,071
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,201,626 1,069,189
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 377,965 351,628
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 338,884 372,595
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 165,113 198,460
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 432,390 474,197
Accruing and Nonaccruing Loans and Leases | Current | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 401,026 359,238
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 166,308 159,409
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,083,312 2,984,716
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 113,698 135,917
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 24,615 25,018
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 138,313 160,935
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 60,914 225
Accruing and Nonaccruing Loans and Leases | Current | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 377,036 326,850
Nonperforming Loans and Leases    
Financing Receivable, Past Due [Line Items]    
Loans and leases 28,526 29,183
Nonaccrual Balance 19,585 13,375
Nonperforming Loans and Leases | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 28,526 29,183
Nonaccrual Balance 19,585 13,375
Nonperforming Loans and Leases | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 12,843 9,611
Nonaccrual Balance 10,891 7,576
Nonperforming Loans and Leases | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,493 68
Nonaccrual Balance 3,493 29
Nonperforming Loans and Leases | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 512 569
Nonaccrual Balance 512 569
Nonperforming Loans and Leases | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 5,130 4,190
Nonaccrual Balance 3,323 3,750
Nonperforming Loans and Leases | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,871 1,628
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,366 1,451
Nonaccrual Balance 1,366 1,451
Nonperforming Loans and Leases | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 94 0
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 25,309 17,517
Nonaccrual Balance 19,585 13,375
Nonperforming Loans and Leases | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,140 2,669
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,077 124
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,217 2,793
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 8,873
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Nonaccrual Balance 0 0
Nonperforming Loans and Leases | > 89 Days Past Due    
Financing Receivable, Past Due [Line Items]    
Loans and leases 8,941 15,808
Nonperforming Loans and Leases | > 89 Days Past Due | Total loans and leases held for investment    
Financing Receivable, Past Due [Line Items]    
Loans and leases 8,941 15,808
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Loans held for sale    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Term lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,952 2,035
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Asset based lending    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 39
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Factoring    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Lease financing    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,807 440
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Insurance premium finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,871 1,628
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | SBA/USDA    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 0
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Other commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 94 0
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Commercial finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 5,724 4,142
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Consumer credit products    
Financing Receivable, Past Due [Line Items]    
Loans and leases 2,140 2,669
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Other consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 1,077 124
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Consumer finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases 3,217 2,793
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Tax services    
Financing Receivable, Past Due [Line Items]    
Loans and leases 0 8,873
Nonperforming Loans and Leases | > 89 Days Past Due | National Lending | Warehouse finance    
Financing Receivable, Past Due [Line Items]    
Loans and leases $ 0 $ 0
v3.23.1
LOANS AND LEASES, NET - Nonaccrual (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Financing Receivable, Nonaccrual [Line Items]    
Loans and leases $ 3,725,616 $ 3,536,305
Nonaccrual Loans    
Financing Receivable, Nonaccrual [Line Items]    
2023 103 1,228
2022 6,237 1,420
2021 3,116 5,605
2020 3,242 1,002
2019 2,420 3,104
Prior 462 418
Revolving Loans and Leases 4,005 598
Loans and leases 19,585 13,375
Nonaccrual with No ACL 4,129 4,634
Nonaccrual Loans | National Lending | Term lending    
Financing Receivable, Nonaccrual [Line Items]    
2023 103 251
2022 5,123 1,110
2021 2,507 1,964
2020 2,351 989
2019 739 3,096
Prior 68 166
Revolving Loans and Leases 0 0
Loans and leases 10,891 7,576
Nonaccrual with No ACL 2,370 2,885
Nonaccrual Loans | National Lending | Asset based lending    
Financing Receivable, Nonaccrual [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 3,493 29
Loans and leases 3,493 29
Nonaccrual with No ACL 0 0
Nonaccrual Loans | National Lending | Factoring    
Financing Receivable, Nonaccrual [Line Items]    
2023 0 0
2022 0 0
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 512 569
Loans and leases 512 569
Nonaccrual with No ACL 0 550
Nonaccrual Loans | National Lending | Lease financing    
Financing Receivable, Nonaccrual [Line Items]    
2023 0 977
2022 0 310
2021 609 2,442
2020 891 13
2019 1,681 8
Prior 142 0
Revolving Loans and Leases 0 0
Loans and leases 3,323 3,750
Nonaccrual with No ACL 645 0
Nonaccrual Loans | National Lending | SBA/USDA    
Financing Receivable, Nonaccrual [Line Items]    
2023 0 0
2022 1,114 0
2021 0 1,199
2020 0 0
2019 0 0
Prior 252 252
Revolving Loans and Leases 0 0
Loans and leases 1,366 1,451
Nonaccrual with No ACL 1,114 1,199
Nonaccrual Loans | National Lending | Commercial finance    
Financing Receivable, Nonaccrual [Line Items]    
2023 103 1,228
2022 6,237 1,420
2021 3,116 5,605
2020 3,242 1,002
2019 2,420 3,104
Prior 462 418
Revolving Loans and Leases 4,005 598
Loans and leases 19,585 13,375
Nonaccrual with No ACL 4,129 4,634
90 or More Days Delinquent and Accruing    
Financing Receivable, Nonaccrual [Line Items]    
2023 2,642 12,724
2022 3,789 1,593
2021 1,499 861
2020 509 284
2019 104 115
Prior 353 192
Revolving Loans and Leases 45 39
Loans and leases 8,941 15,808
90 or More Days Delinquent and Accruing | National Lending | Term lending    
Financing Receivable, Nonaccrual [Line Items]    
2023 1,346 207
2022 35 720
2021 132 716
2020 211 130
2019 40 70
Prior 188 192
Revolving Loans and Leases 0 0
Loans and leases 1,952 2,035
90 or More Days Delinquent and Accruing | National Lending | Asset based lending    
Financing Receivable, Nonaccrual [Line Items]    
2023   0
2022   0
2021   0
2020   0
2019   0
Prior   0
Revolving Loans and Leases   39
Loans and leases   39
90 or More Days Delinquent and Accruing | National Lending | Lease financing    
Financing Receivable, Nonaccrual [Line Items]    
2023 90 8
2022 468 158
2021 953 98
2020 198 131
2019 30 45
Prior 68 0
Revolving Loans and Leases 0 0
Loans and leases 1,807 440
90 or More Days Delinquent and Accruing | National Lending | Insurance premium finance    
Financing Receivable, Nonaccrual [Line Items]    
2023 0 1,513
2022 1,849 110
2021 10 5
2020 8 0
2019 4 0
Prior 0 0
Revolving Loans and Leases 0 0
Loans and leases 1,871 1,628
90 or More Days Delinquent and Accruing | National Lending | Other commercial finance    
Financing Receivable, Nonaccrual [Line Items]    
2023 0  
2022 0  
2021 0  
2020 0  
2019 0  
Prior 94  
Revolving Loans and Leases 0  
Loans and leases 94  
90 or More Days Delinquent and Accruing | National Lending | Commercial finance    
Financing Receivable, Nonaccrual [Line Items]    
2023 1,436 1,728
2022 2,352 988
2021 1,095 819
2020 417 261
2019 74 115
Prior 350 192
Revolving Loans and Leases 0 39
Loans and leases 5,724 4,142
90 or More Days Delinquent and Accruing | National Lending | Consumer credit products    
Financing Receivable, Nonaccrual [Line Items]    
2023 174 2,123
2022 1,437 481
2021 404 42
2020 92 23
2019 30 0
Prior 3 0
Revolving Loans and Leases 0 0
Loans and leases 2,140 2,669
90 or More Days Delinquent and Accruing | National Lending | Other consumer finance    
Financing Receivable, Nonaccrual [Line Items]    
2023 1,032 0
2022 0 124
2021 0 0
2020 0 0
2019 0 0
Prior 0 0
Revolving Loans and Leases 45 0
Loans and leases 1,077 124
90 or More Days Delinquent and Accruing | National Lending | Consumer finance    
Financing Receivable, Nonaccrual [Line Items]    
2023 1,206 2,123
2022 1,437 605
2021 404 42
2020 92 23
2019 30 0
Prior 3 0
Revolving Loans and Leases 45 0
Loans and leases $ 3,217 2,793
90 or More Days Delinquent and Accruing | National Lending | Tax services    
Financing Receivable, Nonaccrual [Line Items]    
2023   8,873
2022   0
2021   0
2020   0
2019   0
Prior   0
Revolving Loans and Leases   0
Loans and leases   $ 8,873
v3.23.1
LOANS AND LEASES, NET - Troubled Debt Restructured Loans (Details) - National Lending - USD ($)
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Commercial finance        
Financing Receivable, Troubled Debt Restructuring [Line Items]        
TDRs recorded investment $ 0 $ 200,000 $ 0 $ 10,300,000
TDRs subsequent default, recorded investment   300,000 $ 100,000 2,600,000
Consumer finance        
Financing Receivable, Troubled Debt Restructuring [Line Items]        
TDRs recorded investment $ 0 200,000   200,000
TDRs subsequent default, recorded investment   $ 300,000   $ 800,000
v3.23.1
EARNINGS PER COMMON SHARE ("EPS") (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Basic income per common share:        
Net income attributable to Pathward Financial, Inc. $ 54,771 $ 49,251 $ 82,613 $ 110,575
Dividends and undistributed earnings allocated to participating securities (841) (815) (1,231) (1,773)
Basic net earnings available to common stockholders 53,930 48,436 81,382 108,802
Undistributed earnings allocated to nonvested restricted stockholders 820 791 1,190 1,724
Reallocation of undistributed earnings to nonvested restricted stockholders (818) (791) (1,187) (1,723)
Diluted net earnings available to common stockholders $ 53,932 $ 48,436 $ 81,385 $ 108,803
Total weighted average common shares outstanding (in shares) 27,078,048 29,212,301 27,555,197 29,731,797
Effect of dilutive securities        
Total effect of dilutive securities (in shares) 91,521 12,061 77,540 17,035
Weighted average dilutive common shares outstanding (in shares) 27,169,569 29,224,362 27,632,737 29,748,832
Net earnings per common share:        
Basic income per common share (in dollars per share) $ 1.99 $ 1.66 $ 2.95 $ 3.66
Diluted income per common share (in dollars per share) $ 1.99 $ 1.66 $ 2.95 $ 3.66
Weighted average shares of nonvested restricted stock, antidilutive (in shares) 422,461 491,621 417,012 484,457
Performance share units        
Effect of dilutive securities        
Outstanding options - based upon the two-class method (in shares) 91,521 12,061 77,540 17,035
v3.23.1
RENTAL EQUIPMENT, NET - Schedule of Rental Equipment (Details) - USD ($)
$ in Thousands
 3 Months Ended
Mar. 31, 2023
Sep. 30, 2022
Property, Plant and Equipment [Line Items]    
Total $ 314,755 $ 297,336
Accumulated depreciation (105,073) (94,355)
Unamortized initial direct costs 1,162 1,390
Net book value 210,844 204,371
Computers and IT networking equipment    
Property, Plant and Equipment [Line Items]    
Total 20,589 21,669
Motor vehicles and other    
Property, Plant and Equipment [Line Items]    
Total 121,014 107,648
Other furniture and equipment    
Property, Plant and Equipment [Line Items]    
Total 35,604 34,254
Solar panels and equipment    
Property, Plant and Equipment [Line Items]    
Total 137,548 $ 133,765
Depreciation expense $ 4,800  
v3.23.1
RENTAL EQUIPMENT, NET - Schedule of Operating Leases, Future Minimum Payments (Details)
$ in Thousands
Mar. 31, 2023
USD ($)
Property, Plant and Equipment [Abstract]  
Remaining in 2023 $ 20,951
2024 35,326
2025 27,772
2026 19,091
2027 12,569
Thereafter 12,758
Total $ 128,467
v3.23.1
GOODWILL AND INTANGIBLE ASSETS - Narrative (Details) - USD ($)
 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]    
Total goodwill $ 309,505,000 $ 309,505,000
Goodwill, accumulated impairment 0  
Asset impairment charges $ 0 $ 0
v3.23.1
GOODWILL AND INTANGIBLE ASSETS - Schedule of Intangible Asses (Details) - USD ($)
$ in Thousands
 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Finite-lived Intangible Assets [Roll Forward]    
Beginning Balance $ 25,691 $ 33,148
Acquisitions during the period   1
Amortization during the period (2,693) (3,657)
Write-offs during the period   (202)
Ending Balance 22,998 29,290
Gross carrying amount 109,133 109,133
Accumulated amortization (74,999) (69,377)
Accumulated impairment (11,136) (10,466)
Total anticipated intangible amortization 22,998 29,290
Trademarks    
Finite-lived Intangible Assets [Roll Forward]    
Beginning Balance 8,605 9,823
Acquisitions during the period   0
Amortization during the period (609) (526)
Write-offs during the period   0
Ending Balance 7,996 9,297
Gross carrying amount 14,624 14,624
Accumulated amortization (6,628) (5,327)
Accumulated impairment 0
Total anticipated intangible amortization $ 7,996 9,297
Trademarks | Minimum    
Finite-lived Intangible Assets [Roll Forward]    
Useful life 5 years  
Trademarks | Maximum    
Finite-lived Intangible Assets [Roll Forward]    
Useful life 15 years  
Noncompete    
Finite-lived Intangible Assets [Roll Forward]    
Beginning Balance $ 0 40
Acquisitions during the period   0
Amortization during the period 0 (40)
Write-offs during the period   0
Ending Balance 0 0
Gross carrying amount 2,481 2,481
Accumulated amortization (2,481) (2,481)
Accumulated impairment 0 0
Total anticipated intangible amortization 0 0
Customer Relationships    
Finite-lived Intangible Assets [Roll Forward]    
Beginning Balance 12,395 17,868
Acquisitions during the period   0
Amortization during the period (1,819) (2,829)
Write-offs during the period   0
Ending Balance 10,576 15,039
Gross carrying amount 82,088 82,088
Accumulated amortization (60,594) (56,801)
Accumulated impairment (10,918) (10,248)
Total anticipated intangible amortization $ 10,576 15,039
Customer Relationships | Minimum    
Finite-lived Intangible Assets [Roll Forward]    
Useful life 10 years  
Customer Relationships | Maximum    
Finite-lived Intangible Assets [Roll Forward]    
Useful life 30 years  
Other Intangible Assets    
Finite-lived Intangible Assets [Roll Forward]    
Beginning Balance $ 4,691 5,417
Acquisitions during the period   1
Amortization during the period (265) (262)
Write-offs during the period   (202)
Ending Balance 4,426 4,954
Gross carrying amount 9,940 9,940
Accumulated amortization (5,296) (4,768)
Accumulated impairment (218) (218)
Total anticipated intangible amortization $ 4,426 $ 4,954
Other Intangible Assets | Minimum    
Finite-lived Intangible Assets [Roll Forward]    
Useful life 3 years  
Other Intangible Assets | Maximum    
Finite-lived Intangible Assets [Roll Forward]    
Useful life 20 years  
v3.23.1
GOODWILL AND INTANGIBLE ASSETS - Schedule of Future Amortization (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Mar. 31, 2022
Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]        
Remaining in 2023 $ 2,250      
2024 4,128      
2025 3,566      
2026 3,220      
2027 2,574      
Thereafter 7,260      
Total anticipated intangible amortization $ 22,998 $ 25,691 $ 29,290 $ 33,148
v3.23.1
OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES - Narrative (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Mar. 31, 2022
Leases [Abstract]    
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Other assets Other assets
Operating lease, right-of-use asset $ 28,500 $ 31,800
Operating Lease, Liability, Statement of Financial Position [Extensible Enumeration] Accrued expenses and other liabilities Accrued expenses and other liabilities
Operating lease, liability $ 30,433 $ 33,600
v3.23.1
OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES - Lease Maturity (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Mar. 31, 2022
Leases [Abstract]    
Remaining in 2023 $ 2,045  
2024 3,913  
2025 3,718  
2026 3,195  
2027 3,092  
Thereafter 18,639  
Total undiscounted future minimum lease payments 34,602  
Discount (4,169)  
Total operating lease liabilities $ 30,433 $ 33,600
v3.23.1
OPERATING LEASE RIGHT-OF-USE ASSETS AND LIABILITIES - Lease Cost (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Leases [Abstract]        
Weighted-average discount rate 2.36%   2.36%  
Weighted-average remaining lease term (years) 9 years 11 months 23 days   9 years 11 months 23 days  
Lease expense $ 982 $ 1,119 $ 1,996 $ 2,256
Short-term and variable lease cost 42 40 84 75
Sublease income (339) (355) (672) (531)
Total lease cost for operating leases $ 685 $ 804 $ 1,408 $ 1,800
v3.23.1
STOCKHOLDERS' EQUITY (Details) - USD ($)
$ in Millions
 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Sep. 03, 2021
Equity, Class of Treasury Stock [Line Items]      
Stock repurchased during the period (in shares) 59,626 64,536  
Stock repurchased during the period, value $ 2.1 $ 3.7  
Retired common stock held in treasury (in shares) 0 0  
Common Stock      
Equity, Class of Treasury Stock [Line Items]      
Shares authorized to be repurchased (in shares)     6,000,000
Stock repurchased under repurchase program (in shares) 1,826,694 2,447,699  
Remaining number of shares authorized to be repurchased (in shares) 2,468,283    
v3.23.1
STOCK COMPENSATION (Details)
$ / shares in Units, $ in Millions
 6 Months Ended
Mar. 31, 2023
USD ($)
$ / shares
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Options exercisable (in shares) 0
Weighted Average Fair Value at Grant  
Stock based compensation expense not yet recognized in income | $ $ 10.2
Weighted average remaining period for unrecognized stock based compensation (in years) 1 year 6 months 10 days
Restricted Shares  
Number of Shares  
Nonvested shares outstanding, beginning of period (in shares) 474,348
Granted (in shares) 160,881
Vested (in shares) (209,440)
Forfeited or expired (in shares) (6,958)
Nonvested shares outstanding, end of period (in shares) 418,831
Weighted Average Fair Value at Grant  
Nonvested shares outstanding, beginning of period (in dollars per share) | $ / shares $ 36.52
Granted (in dollars per share) | $ / shares 38.95
Vested (in dollars per share) | $ / shares 36.59
Forfeited or expired (in dollars per share) | $ / shares 42.55
Nonvested shares outstanding, end of period (in dollars per share) | $ / shares $ 37.31
Performance share units  
Number of Shares  
Nonvested shares outstanding, beginning of period (in shares) 96,689
Granted (in shares) 59,115
Vested (in shares) 0
Forfeited or expired (in shares) 0
Nonvested shares outstanding, end of period (in shares) 155,804
Weighted Average Fair Value at Grant  
Nonvested shares outstanding, beginning of period (in dollars per share) | $ / shares $ 42.59
Granted (in dollars per share) | $ / shares 38.94
Vested (in dollars per share) | $ / shares 0
Forfeited or expired (in dollars per share) | $ / shares 0
Nonvested shares outstanding, end of period (in dollars per share) | $ / shares $ 41.20
v3.23.1
INCOME TAXES - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Income Tax Disclosure [Abstract]        
Income tax expense $ 9,176 $ 8,002 $ 15,753 $ 22,278
Effective tax rate     15.83% 16.66%
v3.23.1
INCOME TAXES - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Income Tax Disclosure [Abstract]        
Provision at statutory rate     $ 20,657 $ 27,899
Tax-exempt income     (398) (362)
State income taxes     4,285 5,543
Interim period effective rate adjustment     (483) (3,870)
Tax credit investments, net - federal     (7,916) (5,978)
Research tax credit     (805) (355)
IRC 162(m) nondeductible compensation     576 505
Other, net     (163) (1,104)
Income tax expense $ 9,176 $ 8,002 $ 15,753 $ 22,278
Effective tax rate     15.83% 16.66%
v3.23.1
REVENUE FROM CONTRACTS WITH CUSTOMERS - Schedule of Revenue by Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2023
Mar. 31, 2022
Disaggregation of Revenue [Line Items]        
Net interest income $ 101,405 $ 83,800 $ 185,462 $ 155,413
Net realized (gain) on securities available for sale, net 82 260 82 397
Gain on sale of trademarks 0 0 10,000 50,000
Gain (loss) on sale of other (748) 626 (246) (2,839)
Other income 4,477 3,881 8,032 5,542
Noninterest income (loss) 127,038 109,766 192,815 196,357
Revenue 228,443 193,566 378,277 351,770
Refund transfer product fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 30,205 27,805 30,882 28,384
Refund advance fee income        
Disaggregation of Revenue [Line Items]        
Noninterest income 37,995 39,299 38,612 40,532
Card and deposit fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 42,087 26,520 79,805 51,889
Rental income        
Disaggregation of Revenue [Line Items]        
Noninterest income 12,940 11,375 25,648 22,452
Consumer        
Disaggregation of Revenue [Line Items]        
Net interest income 41,418 30,156 75,690 56,427
Net realized (gain) on securities available for sale, net 0 0 0 0
Gain on sale of trademarks     0 0
Gain (loss) on sale of other 0 0 0 0
Other income 1,748 1,387 2,541 2,152
Noninterest income (loss) 111,776 94,761 151,315 122,470
Revenue 153,194 124,917 227,005 178,897
Consumer | Refund transfer product fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 30,205 27,805 30,882 28,384
Consumer | Refund advance fee income        
Disaggregation of Revenue [Line Items]        
Noninterest income 37,995 39,299 38,612 40,532
Consumer | Card and deposit fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 41,828 26,270 79,280 51,402
Consumer | Rental income        
Disaggregation of Revenue [Line Items]        
Noninterest income 0 0 0 0
Commercial        
Disaggregation of Revenue [Line Items]        
Net interest income 46,758 44,879 89,082 89,805
Net realized (gain) on securities available for sale, net 0 0 0 0
Gain on sale of trademarks     0 0
Gain (loss) on sale of other (748) 1,229 (246) 6,093
Other income 1,935 2,839 3,019 5,624
Noninterest income (loss) 14,176 15,537 28,538 34,494
Revenue 60,934 60,416 117,620 124,299
Commercial | Refund transfer product fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 0 0 0 0
Commercial | Refund advance fee income        
Disaggregation of Revenue [Line Items]        
Noninterest income 0 0 0 0
Commercial | Card and deposit fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 252 244 513 475
Commercial | Rental income        
Disaggregation of Revenue [Line Items]        
Noninterest income 12,737 11,225 25,252 22,302
Corporate Services/Other        
Disaggregation of Revenue [Line Items]        
Net interest income 13,229 8,765 20,690 9,181
Net realized (gain) on securities available for sale, net 82 260 82 397
Gain on sale of trademarks     10,000 50,000
Gain (loss) on sale of other 0 (603) 0 (8,932)
Other income 794 (345) 2,472 (2,234)
Noninterest income (loss) 1,086 (532) 12,962 39,393
Revenue 14,315 8,233 33,652 48,574
Corporate Services/Other | Refund transfer product fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 0 0 0 0
Corporate Services/Other | Refund advance fee income        
Disaggregation of Revenue [Line Items]        
Noninterest income 0 0 0 0
Corporate Services/Other | Card and deposit fees        
Disaggregation of Revenue [Line Items]        
Noninterest income 7 6 12 12
Corporate Services/Other | Rental income        
Disaggregation of Revenue [Line Items]        
Noninterest income $ 203 $ 150 $ 396 $ 150
v3.23.1
SEGMENT REPORTING (Details)
$ in Thousands
 3 Months Ended 6 Months Ended
Mar. 31, 2023
USD ($)
Mar. 31, 2022
USD ($)
Mar. 31, 2023
USD ($)
segment
Mar. 31, 2022
USD ($)
Sep. 30, 2022
USD ($)
Segment Reporting Information [Line Items]          
Number of reportable segments | segment     3    
Segment data [Abstract]          
Net interest income $ 101,405 $ 83,800 $ 185,462 $ 155,413  
Provision (reversal of) for credit losses 36,763 32,302 46,539 32,488  
Noninterest income (loss) 127,038 109,766 192,815 196,357  
Noninterest expense 127,136 103,160 232,195 185,596  
Income before income tax expense 64,544 58,104 99,543 133,686  
Total assets 6,868,256 6,887,239 6,868,256 6,887,239 $ 6,747,410
Total goodwill 309,505 309,505 309,505 309,505  
Total deposits 5,902,696 5,829,886 5,902,696 5,829,886  
Consumer          
Segment data [Abstract]          
Net interest income 41,418 30,156 75,690 56,427  
Provision (reversal of) for credit losses 31,654 29,685 34,894 30,946  
Noninterest income (loss) 111,776 94,761 151,315 122,470  
Noninterest expense 49,910 29,892 84,404 49,553  
Income before income tax expense 71,630 65,340 107,707 98,398  
Total assets 361,528 456,335 361,528 456,335  
Total goodwill 87,145 87,145 87,145 87,145  
Total deposits 5,744,278 5,693,063 5,744,278 5,693,063  
Commercial          
Segment data [Abstract]          
Net interest income 46,758 44,879 89,082 89,805  
Provision (reversal of) for credit losses 5,012 2,205 11,595 13,797  
Noninterest income (loss) 14,176 15,537 28,538 34,494  
Noninterest expense 38,846 31,457 71,595 64,504  
Income before income tax expense 17,076 26,754 34,430 45,998  
Total assets 3,581,677 3,355,196 3,581,677 3,355,196  
Total goodwill 222,360 222,360 222,360 222,360  
Total deposits 9,313 6,882 9,313 6,882  
Corporate Services/Other          
Segment data [Abstract]          
Net interest income 13,229 8,765 20,690 9,181  
Provision (reversal of) for credit losses 97 412 50 (12,255)  
Noninterest income (loss) 1,086 (532) 12,962 39,393  
Noninterest expense 38,380 41,811 76,196 71,539  
Income before income tax expense (24,162) (33,990) (42,594) (10,710)  
Total assets 2,925,051 3,075,708 2,925,051 3,075,708  
Total goodwill 0 0 0 0  
Total deposits $ 149,105 $ 129,941 $ 149,105 $ 129,941  
v3.23.1
FAIR VALUE OF FINANCIAL INSTRUMENTS - Assets Measured at Fair Value on Recurring and Non-recurring Basis (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Level 1    
Available-for-sale debt securities [Abstract]    
Total debt securities AFS $ 0 $ 0
Common equities and mutual funds 3,545 2,874
Level 2    
Available-for-sale debt securities [Abstract]    
Total debt securities AFS 1,825,563 1,882,869
Common equities and mutual funds 0 0
Level 3    
Available-for-sale debt securities [Abstract]    
Total debt securities AFS 0 0
Common equities and mutual funds 0 0
Recurring    
Available-for-sale debt securities [Abstract]    
Corporate securities 18,750 22,187
SBA securities 94,248 97,768
Obligations of states and political subdivisions 2,357 2,344
Non-bank qualified obligations of states and political subdivisions 249,493 263,783
Asset-backed securities 126,704 147,790
Mortgage-backed securities 1,334,011 1,348,997
Total debt securities AFS 1,825,563 1,882,869
Common equities and mutual funds 3,545 2,874
Non-marketable equity securities 7,749 7,212
Recurring | Level 1    
Available-for-sale debt securities [Abstract]    
Corporate securities 0 0
SBA securities 0 0
Obligations of states and political subdivisions 0 0
Non-bank qualified obligations of states and political subdivisions 0 0
Asset-backed securities 0 0
Mortgage-backed securities 0 0
Total debt securities AFS 0 0
Common equities and mutual funds 3,545 2,874
Non-marketable equity securities 0 0
Recurring | Level 2    
Available-for-sale debt securities [Abstract]    
Corporate securities 18,750 22,187
SBA securities 94,248 97,768
Obligations of states and political subdivisions 2,357 2,344
Non-bank qualified obligations of states and political subdivisions 249,493 263,783
Asset-backed securities 126,704 147,790
Mortgage-backed securities 1,334,011 1,348,997
Total debt securities AFS 1,825,563 1,882,869
Common equities and mutual funds 0 0
Non-marketable equity securities 0 0
Recurring | Level 3    
Available-for-sale debt securities [Abstract]    
Corporate securities 0 0
SBA securities 0 0
Obligations of states and political subdivisions 0 0
Non-bank qualified obligations of states and political subdivisions 0 0
Asset-backed securities 0 0
Mortgage-backed securities 0 0
Total debt securities AFS 0 0
Common equities and mutual funds 0 0
Non-marketable equity securities $ 0 $ 0
v3.23.1
FAIR VALUE OF FINANCIAL INSTRUMENTS - Quantitative Information (Details) - USD ($)
$ in Thousands
 6 Months Ended
Mar. 31, 2023
Sep. 30, 2022
Minimum    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Range of estimated selling cost (percentage) 4.00%  
Maximum    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Range of estimated selling cost (percentage) 62.00%  
Level 1    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value $ 0 $ 0
Level 2    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Level 3    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 3,710,718 3,525,803
Total loans and leases, net individually evaluated for credit loss | Level 3 | Valuation, Market Approach    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value $ 625 1,575
Total loans and leases, net individually evaluated for credit loss | Level 3 | Valuation, Market Approach | Minimum    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Range of estimated selling cost (percentage) 4.00%  
Total loans and leases, net individually evaluated for credit loss | Level 3 | Valuation, Market Approach | Maximum    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Range of estimated selling cost (percentage) 62.00%  
Nonrecurring    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value $ 625 1,576
Nonrecurring | Level 1    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring | Level 2    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring | Level 3    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 625 1,576
Nonrecurring | Commercial finance    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 625 1,575
Nonrecurring | Commercial finance | Level 1    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring | Commercial finance | Level 2    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring | Commercial finance | Level 3    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 625 1,575
Nonrecurring | Total loans and leases, net individually evaluated for credit loss    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 625 1,575
Nonrecurring | Total loans and leases, net individually evaluated for credit loss | Level 1    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring | Total loans and leases, net individually evaluated for credit loss | Level 2    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value 0 0
Nonrecurring | Total loans and leases, net individually evaluated for credit loss | Level 3    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Fair value $ 625 1,575
Nonrecurring | Foreclosed assets, net    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed assets, net   1
Nonrecurring | Foreclosed assets, net | Level 1    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed assets, net   0
Nonrecurring | Foreclosed assets, net | Level 2    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed assets, net   0
Nonrecurring | Foreclosed assets, net | Level 3    
Fair Value Inputs, Assets, Quantitative Information [Line Items]    
Foreclosed assets, net   $ 1
v3.23.1
FAIR VALUE OF FINANCIAL INSTRUMENTS - Balance Sheet Grouping (Details) - USD ($)
$ in Thousands
Mar. 31, 2023
Sep. 30, 2022
Financial assets    
Debt securities held to maturity $ 35,028 $ 38,171
Level 1    
Financial assets    
Cash and cash equivalents 432,598 388,038
Debt securities available for sale 0 0
Debt securities held to maturity 0 0
Common equities and mutual funds 3,545 2,874
Non-marketable equity securities 0 0
Loans held for sale 0 0
Loans and leases 0 0
Federal Reserve Bank and Federal Home Loan Bank stocks 0 0
Accrued interest receivable 22,434 17,979
Financial liabilities    
Deposits 5,896,367 5,858,283
Overnight federal funds purchased 43,000  
Other short- and long-term borrowings 0 0
Accrued interest payable 204 192
Level 2    
Financial assets    
Cash and cash equivalents 0 0
Debt securities available for sale 1,825,563 1,882,869
Debt securities held to maturity 35,028 38,171
Common equities and mutual funds 0 0
Non-marketable equity securities 14,814 15,314
Loans held for sale 24,780 21,071
Loans and leases 0 0
Federal Reserve Bank and Federal Home Loan Bank stocks 29,387 28,812
Accrued interest receivable 0 0
Financial liabilities    
Deposits 6,159 7,571
Overnight federal funds purchased 0  
Other short- and long-term borrowings 32,961 35,986
Accrued interest payable 0 0
Level 3    
Financial assets    
Cash and cash equivalents 0 0
Debt securities available for sale 0 0
Debt securities held to maturity 0 0
Common equities and mutual funds 0 0
Non-marketable equity securities 0 0
Loans held for sale 0 0
Loans and leases 3,710,718 3,525,803
Federal Reserve Bank and Federal Home Loan Bank stocks 0 0
Accrued interest receivable 0 0
Financial liabilities    
Deposits 0 0
Overnight federal funds purchased 0  
Other short- and long-term borrowings 0 0
Accrued interest payable 0 0
Carrying Amount    
Financial assets    
Cash and cash equivalents 432,598 388,038
Debt securities available for sale 1,825,563 1,882,869
Debt securities held to maturity 38,713 41,682
Common equities and mutual funds 3,545 2,874
Non-marketable equity securities 22,563 22,526
Loans held for sale 24,780 21,071
Loans and leases 3,719,898 3,529,280
Federal Reserve Bank and Federal Home Loan Bank stocks 29,387 28,812
Accrued interest receivable 22,434 17,979
Financial liabilities    
Deposits 5,902,696 5,866,037
Overnight federal funds purchased 43,000  
Other short- and long-term borrowings 34,543 36,028
Accrued interest payable 204 192
Estimated Fair Value    
Financial assets    
Cash and cash equivalents 432,598 388,038
Debt securities available for sale 1,825,563 1,882,869
Debt securities held to maturity 35,028 38,171
Common equities and mutual funds 3,545 2,874
Non-marketable equity securities 22,563 22,526
Loans held for sale 24,780 21,071
Loans and leases 3,710,718 3,525,803
Federal Reserve Bank and Federal Home Loan Bank stocks 29,387 28,812
Accrued interest receivable 22,434 17,979
Financial liabilities    
Deposits 5,902,526 5,865,854
Overnight federal funds purchased 43,000  
Other short- and long-term borrowings 32,961 35,986
Accrued interest payable $ 204 $ 192