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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
__________________________________________________
FORM 10-Q
 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2024
OR
 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from            to
Commission file number 001-34819
GreenDot_CorporateLogo v4.jpg
(Exact name of Registrant as specified in its charter)

Delaware95-4766827
(State or other jurisdiction of incorporation or organization)(IRS Employer Identification No.)

114 W 7th Street, Suite 240
Austin,Texas78701(626)765-2000
(Address of principal executive offices, including zip code)(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each class:Trading Symbol(s):Name of each exchange on which registered:
Class A Common Stock, $0.001 par valueGDOTNew York Stock Exchange
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No o
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes þ No o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filerAccelerated filer
Non-accelerated filerSmaller reporting company
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No þ
There were 53,210,033 shares of Class A common stock outstanding, par value $0.001 per share as of April 30, 2024.



GREEN DOT CORPORATION
TABLE OF CONTENTS
 Page
Item 1.
Item 2.
Item 3.
Item 4.
Item 1.
Item 1A.
Item 2.
Item 5.
Item 6.



PART I
ITEM 1. Financial Statements
GREEN DOT CORPORATION
CONSOLIDATED BALANCE SHEETS
March 31, 2024December 31, 2023
(unaudited)
Assets(In thousands, except par value)
Current assets:  
Unrestricted cash and cash equivalents$1,118,804 $682,263 
Restricted cash226 4,239 
Investment securities available-for-sale, at fair value60,117 33,859 
Settlement assets876,101 737,989 
Accounts receivable, net89,325 110,141 
Prepaid expenses and other assets79,853 69,419 
Total current assets2,224,426 1,637,910 
Investment securities available-for-sale, at fair value2,118,855 2,203,142 
Loans to bank customers, net of allowance for credit losses of $10,376 and $11,383 as of March 31, 2024 and December 31, 2023, respectively
39,629 30,534 
Prepaid expenses and other assets213,590 221,656 
Property, equipment, and internal-use software, net175,125 179,376 
Operating lease right-of-use assets4,614 5,342 
Deferred expenses1,404 1,546 
Net deferred tax assets129,314 117,139 
Goodwill and intangible assets414,067 420,477 
Total assets$5,321,024 $4,817,122 
Liabilities and Stockholders’ Equity  
Current liabilities:  
Accounts payable$107,826 $119,870 
Deposits3,743,301 3,293,603 
Obligations to customers356,529 314,278 
Settlement obligations66,178 57,001 
Amounts due to card issuing banks for overdrawn accounts111 225 
Other accrued liabilities110,405 91,239 
Operating lease liabilities3,388 3,369 
Deferred revenue5,628 6,343 
Line of credit45,000 61,000 
Income tax payable8,509 6,262 
Total current liabilities4,446,875 3,953,190 
Other accrued liabilities1,682 1,895 
Operating lease liabilities1,821 2,687 
Total liabilities4,450,378 3,957,772 
Commitments and contingencies (Note 17)
Stockholders’ equity:  
Class A common stock, $0.001 par value; 100,000 shares authorized as of March 31, 2024 and December 31, 2023; 53,158 and 52,816 shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively
53 53 
Additional paid-in capital383,205 375,980 
Retained earnings775,054 770,304 
Accumulated other comprehensive loss(287,666)(286,987)
Total stockholders’ equity870,646 859,350 
Total liabilities and stockholders’ equity$5,321,024 $4,817,122 
See notes to unaudited consolidated financial statements
1

GREEN DOT CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Ended March 31,
 20242023
 (In thousands, except per share data)
Operating revenues:
Card revenues and other fees$281,503 $239,866 
Cash processing revenues106,806 101,823 
Interchange revenues50,968 64,015 
Interest income, net12,711 10,676 
Total operating revenues451,988 416,380 
Operating expenses:
Sales and marketing expenses62,375 75,212 
Compensation and benefits expenses66,824 68,781 
Processing expenses195,666 145,054 
Other general and administrative expenses116,569 76,338 
Total operating expenses441,434 365,385 
Operating income10,554 50,995 
Interest expense, net1,457 1,644 
Other expense, net(1,810)(3,024)
Income before income taxes7,287 46,327 
Income tax expense2,537 10,315 
Net income$4,750 $36,012 
Basic earnings per common share:$0.09 $0.70 
Diluted earnings per common share$0.09 $0.69 
Basic weighted-average common shares issued and outstanding:52,942 51,813 
Diluted weighted-average common shares issued and outstanding:53,270 52,021 
See notes to unaudited consolidated financial statements
2

GREEN DOT CORPORATION
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(UNAUDITED)
Three Months Ended March 31,
20242023
(In thousands)
Net income$4,750 $36,012 
Other comprehensive income and loss
Unrealized holding (loss) income, net of tax(679)36,297 
Comprehensive income$4,071 $72,309 
See notes to unaudited consolidated financial statements
3

GREEN DOT CORPORATION
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
(UNAUDITED)
Three Months Ended March 31, 2024
Class A Common StockAdditional Paid-in CapitalRetained EarningsAccumulated Other Comprehensive LossTotal Stockholders' Equity
SharesAmount
(In thousands)
Balance at December 31, 202352,816 $53 $375,980 $770,304 $(286,987)$859,350 
Common stock issued under stock plans, net of withholdings and related tax effects342  (1,400)  (1,400)
Stock-based compensation  8,625   8,625 
Net income   4,750  4,750 
Other comprehensive loss    (679)(679)
Balance at March 31, 202453,158 $53 $383,205 $775,054 $(287,666)$870,646 

Three Months Ended March 31, 2023
Class A Common StockAdditional Paid-in CapitalRetained EarningsAccumulated Other Comprehensive LossTotal Stockholders' Equity
SharesAmount
(In thousands)
Balance at December 31, 202251,674 $52 $340,575 $763,582 $(322,728)$781,481 
Common stock issued under stock plans, net of withholdings and related tax effects320 — (2,372)— — (2,372)
Stock-based compensation— — 9,182 — — 9,182 
Net income— — — 36,012 — 36,012 
Other comprehensive income— — — — 36,297 36,297 
Balance at March 31, 202351,994 $52 $347,385 $799,594 $(286,431)$860,600 
See notes to unaudited consolidated financial statements
4

GREEN DOT CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
 Three Months Ended March 31,
 20242023
 (In thousands)
Operating activities  
Net income$4,750 $36,012 
Adjustments to reconcile net income to net cash provided by operating activities:  
Depreciation and amortization of property, equipment and internal-use software16,432 13,701 
Amortization of intangible assets5,664 5,664 
Provision for uncollectible overdrawn accounts from purchase transactions7,623 1,188 
Provision for loan losses4,788 10,252 
Stock-based compensation8,625 9,182 
Losses in equity method investments2,656 4,068 
Amortization of discount on available-for-sale investment securities(563)(556)
Impairment of long-lived assets2,821  
Other(808)(1,008)
Changes in operating assets and liabilities:
Accounts receivable, net13,193 16,015 
Prepaid expenses and other assets17,033 9,392 
Deferred expenses142 7,208 
Accounts payable and other accrued liabilities5,786 (10,415)
Deferred revenue(928)(9,945)
Income tax receivable/payable2,198 9,880 
Other, net(235)(106)
Net cash provided by operating activities89,177 100,532 
Investing activities  
Proceeds from maturities of available-for-sale securities45,776 37,070 
Proceeds from sales and calls of available-for-sale securities95 55 
Payments for property, equipment and internal-use software(14,495)(19,533)
Net changes in loans and advances(39,939)(15,069)
Investment in TailFin Labs, LLC(35,000)(35,000)
Proceeds from other investments39,118  
Other investing activities(81)(243)
Net cash used in investing activities(4,526)(32,720)
Financing activities
Borrowings on revolving line of credit64,000 83,000 
Repayments on revolving line of credit(80,000)(118,000)
Proceeds from exercise of options and ESPP purchases 144 
Taxes paid related to net share settlement of equity awards(1,400)(2,516)
Net changes in deposits451,961 (104,412)
Net changes in settlement assets and obligations to customers(86,684)(19,864)
Net cash provided by (used in) financing activities347,877 (161,648)
Net increase (decrease) in unrestricted cash, cash equivalents and restricted cash432,528 (93,836)
Unrestricted cash, cash equivalents and restricted cash, beginning of period686,502 819,845 
Unrestricted cash, cash equivalents and restricted cash, end of period$1,119,030 $726,009 
Cash paid for interest$3,320 $2,016 
Cash paid for income taxes$202 $509 
Reconciliation of unrestricted cash, cash equivalents and restricted cash at end of period:
Unrestricted cash and cash equivalents$1,118,804 $722,003 
Restricted cash226 4,006 
Total unrestricted cash, cash equivalents and restricted cash, end of period$1,119,030 $726,009 
See notes to unaudited consolidated financial statements
5

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
Note 1—Organization
Green Dot Corporation (“we,” “our,” or “us” refer to Green Dot Corporation and its consolidated subsidiaries) is a financial technology and registered bank holding company committed to giving all people the power to bank seamlessly, affordably, and with confidence. Our technology platform enables us to build products and features that address the most pressing financial challenges of consumers and businesses, transforming the way they manage and move money, and making financial empowerment more accessible for all. We offer a broad set of financial services to consumers and businesses including debit, checking, credit, prepaid, and payroll cards, as well as robust money processing services, such as tax refunds, cash deposits and disbursements.
We were incorporated in Delaware in 1999 and became a bank holding company under the Bank Holding Company Act and a member bank of the Federal Reserve System in December 2011.
Note 2—Summary of Significant Accounting Policies
Basis of Presentation
The accompanying unaudited consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States of America, or GAAP. We consolidated our wholly-owned subsidiaries and eliminated all significant intercompany balances and transactions.
We have also prepared the accompanying unaudited consolidated financial statements in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X and, consequently, they do not include all of the annual disclosures required by GAAP. Reference is made to our Annual Report on Form 10-K for the year ended December 31, 2023 for additional disclosures, including a summary of our significant accounting policies. There have been no material changes to our significant accounting policies during the three months ended March 31, 2024. In our opinion, the accompanying unaudited consolidated financial statements contain all adjustments, consisting of normal and recurring items, necessary for the fair presentation of our financial position, results of operations and cash flows for the interim periods presented.
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Future events and their effects cannot be predicted with certainty; accordingly, accounting estimates require the exercise of judgment. These financial statements were prepared using information reasonably available as of March 31, 2024 and through the date of this report. The accounting estimates used in the preparation of our consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained, and as our operating environment changes. Actual results may differ from these estimates due to a variety of factors, including those identified under Part II, Item 1A. "Risk Factors" in this report.
Recent Accounting Pronouncements
In November 2023, the Financial Standards Accounting Board ("FASB") issued Accounting Standards Update ("ASU") 2023-07 "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" which expands annual and interim disclosure requirements for reportable segments, primarily through enhanced disclosures about significant segment expenses. ASU 2023-07 is effective for our annual periods beginning January 1, 2024, and for interim periods beginning January 1, 2025, with early adoption permitted. We are currently evaluating the potential effect that the updated standard will have on our financial statement disclosures.
In December 2023, the FASB issued ASU 2023-09 "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" to expand the disclosure requirements for income taxes, specifically related to the rate reconciliation and income taxes paid. ASU 2023-09 is effective for our annual periods beginning January 1, 2025, with early adoption permitted. We are currently evaluating the potential effect that the updated standard will have on our financial statement disclosures.
6

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 3—Revenues
As discussed in Note 19 — Segment Information, we determine our operating segments based on how our chief operating decision maker manages our operations, makes operating decisions and evaluates operating performance. Within our segments, we believe that the nature, amount, timing and uncertainty of our revenue and cash flows and how they are affected by economic factors can be further illustrated based on the timing in which revenue for each of our products and services is recognized. Our products and services are offered to customers within the United States and certain U.S. territories.
The following tables disaggregate our revenues earned from external customers by each of our reportable segments:
Three Months Ended March 31, 2024
Consumer ServicesB2B ServicesMoney Movement ServicesTotal
Timing of recognition(In thousands)
Transferred point in time$70,864 $33,800 $106,043 $210,707 
Transferred over time27,143 200,641 786 228,570 
Operating revenues (1)
$98,007 $234,441 $106,829 $439,277 
Three Months Ended March 31, 2023
Consumer ServicesB2B ServicesMoney Movement ServicesTotal
Timing of recognition(In thousands)
Transferred point in time$90,807 $34,288 $97,523 $222,618 
Transferred over time45,820 136,548 718 183,086 
Operating revenues (1)
$136,627 $170,836 $98,241 $405,704 
(1)
Excludes net interest income, a component of total operating revenues, as it is outside the scope of ASC 606, Revenues. Also excludes the effects of inter-segment revenues.
Revenues recognized at a point in time are comprised of interchange fees, ATM fees, overdraft protection fees, other similar accountholder transaction-based fees, and substantially all of our cash processing revenues. Revenues recognized over time consists of new card fees, monthly maintenance fees, revenue earned from gift cards and substantially all BaaS (as defined herein) partner program management service fees.
As presented on our consolidated balance sheets, we record deferred revenue for any upfront payments received in advance of our performance obligations being satisfied. These contract liabilities consist principally of unearned new card fees and monthly maintenance fees. We recognized approximately $2.9 million and $14.4 million in revenue for the three months ended March 31, 2024 and 2023, respectively, that were included in deferred revenue at the beginning of the periods and did not recognize any revenue during these periods from performance obligations satisfied in previous periods. Substantially all of the deferred revenue balances at the beginning of the respective periods are recognized in the first half of each year. Changes in the deferred revenue balance are driven primarily by the amount of new card fees recognized during the period, and the degree to which these reductions to the deferred revenue balance are offset by the deferral of new card fees associated with cards sold during the period.
7

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 4—Investment Securities
Our available-for-sale investment securities were as follows:
Amortized costGross unrealized gainsGross unrealized lossesFair value
(In thousands)
March 31, 2024
Corporate bonds$10,000 $ $(333)$9,667 
Agency bond securities240,492  (41,965)198,527 
Agency mortgage-backed securities2,292,157  (344,683)1,947,474 
Municipal bonds29,309  (6,005)23,304 
Total investment securities$2,571,958 $ $(392,986)$2,178,972 
December 31, 2023
Corporate bonds$10,000 $ $(374)$9,626 
Agency bond securities240,447  (40,217)200,230 
Agency mortgage-backed securities2,337,411  (333,901)2,003,510 
Municipal bonds29,408  (5,773)23,635 
Total investment securities$2,617,266 $ $(380,265)$2,237,001 
As of March 31, 2024 and December 31, 2023, the gross unrealized losses and fair values of available-for-sale investment securities that were in unrealized loss positions were as follows:
Less than 12 months12 months or moreTotal fair valueTotal unrealized loss
Fair valueUnrealized lossFair valueUnrealized loss
(In thousands)
March 31, 2024
Corporate bonds$ $ $9,667 $(333)$9,667 $(333)
Agency bond securities  198,527 (41,965)198,527 (41,965)
Agency mortgage-backed securities2,219 (1)1,945,250 (344,682)1,947,469 (344,683)
Municipal bonds  23,304 (6,005)23,304 (6,005)
Total investment securities$2,219 $(1)$2,176,748 $(392,985)$2,178,967 $(392,986)
December 31, 2023
Corporate bonds$ $ $9,626 $(374)$9,626 $(374)
Agency bond securities  200,230 (40,217)200,230 (40,217)
Agency mortgage-backed securities  2,001,270 (333,901)2,001,270 (333,901)
Municipal bonds  23,636 (5,773)23,636 (5,773)
Total investment securities$ $ $2,234,762 $(380,265)$2,234,762 $(380,265)
Our investments generally consist of highly rated securities, substantially all of which are directly or indirectly backed by the U.S. federal government, as our investment policy restricts our investments to highly liquid, low credit risk assets. As such, we have not recorded any credit-related impairment losses during the three months ended March 31, 2024 or 2023 on our available-for-sale investment securities. Unrealized losses as of March 31, 2024 and December 31, 2023 are the result of increases in interest rates as our investment portfolio is comprised predominantly of fixed rate securities. All of the underlying securities within our investment portfolio were in an unrealized loss position as of March 31, 2024 and December 31, 2023 due to the timing of our investment purchases, as a significant portion of our investments were purchased prior to increases in interest rates by the Federal Reserve, and general volatility in market conditions.
We do not currently intend to sell our investments, and we have determined that it is more likely than not that we will not be required to sell our investments before recovery of their amortized cost bases, which may be at maturity.

8

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 4—Investment Securities (continued)
As of March 31, 2024, the contractual maturities of our available-for-sale investment securities were as follows:
Amortized costFair value
(In thousands)
Due in one year or less$60,691 $60,117 
Due after one year through five years81,268 72,799 
Due after five years through ten years144,224 117,497 
Due after ten years54,309 41,202 
Mortgage and asset-backed securities2,231,466 1,887,357 
Total investment securities$2,571,958 $2,178,972 
The expected payments on mortgage-backed and asset-backed securities may not coincide with their contractual maturities because the issuers have the right to call or prepay certain obligations.
Note 5—Accounts Receivable
Accounts receivable, net consisted of the following:
March 31, 2024December 31, 2023
 (In thousands)
Trade receivables$36,211 $29,786 
Reserve for uncollectible trade receivables(79)(109)
Net trade receivables36,132 29,677 
Overdrawn accountholder balances from purchase transactions
7,670 9,565 
Reserve for uncollectible overdrawn accounts from purchase transactions(4,143)(5,281)
Net overdrawn accountholder balances from purchase transactions
3,527 4,284 
Accountholder fees
2,236 2,564 
Receivables due from card issuing banks1,885 1,768 
Fee advances, net3,169 41,974 
Other receivables42,376 29,874 
Accounts receivable, net$89,325 $110,141 
Activity in the reserve for uncollectible overdrawn accounts from purchase transactions consisted of the following:
 Three Months Ended March 31,
 20242023
 (In thousands)
Balance, beginning of period$5,281 $2,230 
Provision for uncollectible overdrawn accounts from purchase transactions7,623 1,188 
Charge-offs(8,761)(1,126)
Balance, end of period$4,143 $2,292 
9

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 6—Loans to Bank Customers
The following table presents total outstanding loans, gross of the related allowance for credit losses, and a summary of the related payment status:
30-59 Days Past Due60-89 Days Past Due90 Days or More Past DueTotal Past DueTotal Current or Less Than 30 Days Past DueTotal Outstanding
(In thousands)
March 31, 2024
Residential$ $ $ $ $5,763 $5,763 
Commercial    12,811 12,811 
Installment    4,270 4,270 
Consumer1,543   1,543 16,252 17,795 
Secured credit card731 712 2,448 3,891 5,475 9,366 
Total loans$2,274 $712 $2,448 $5,434 $44,571 $50,005 
Percentage of outstanding4.6 %1.4 %4.9 %10.9 %89.1 %100.0 %
December 31, 2023
Residential$ $ $ $ $5,095 $5,095 
Commercial    2,716 2,716 
Installment    4,357 4,357 
Consumer2,066   2,066 17,953 20,019 
Secured credit card796 774 2,575 4,145 5,585 9,730 
Total loans$2,862 $774 $2,575 $6,211 $35,706 $41,917 
Percentage of outstanding6.8 %1.9 %6.1 %14.8 %85.2 %100.0 %
We offer an optional overdraft protection program service on certain demand deposit account programs that allows customers who opt-in and meet certain criteria to spend up to a pre-authorized amount in excess of their available card balance. When overdrawn, the purchase related balances due on these deposit accounts are reclassified as consumer loans. Fees due from our accountholders for our overdraft service are included as a component of accounts receivable. Overdrawn balances are unsecured and considered immediately due from the customer.
A portion of our secured credit card portfolio is classified as loans held for sale. These loans are included in the long-term portion of prepaid and other assets on our consolidated balance sheets. Changes in valuation allowances are recorded as a component of other income and expenses on our consolidated statement of operations. As of March 31, 2024 and December 31, 2023, the fair value of the loans held for sale amounted to approximately $4.4 million and $4.7 million, respectively.
Nonperforming Loans
The following table presents the carrying value, gross of the related allowance for credit losses, of our nonperforming loans. See Note 2 — Summary of Significant Accounting Policies to the Consolidated Financial Statements of our Annual Report on Form 10-K for the year ended December 31, 2023 for further information on the criteria for classification as nonperforming.
March 31, 2024December 31, 2023
(In thousands)
Residential$46 $49 
Installment76 79 
Secured credit card2,448 2,575 
Total loans$2,570 $2,703 
10

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 6—Loans to Bank Customers (continued)
Credit Quality Indicators
We closely monitor and assess the credit quality and credit risk of our loan portfolio on an ongoing basis. We continuously review and update loan risk classifications. We evaluate our loans using non-classified or classified as the primary credit quality indicator. Classified loans include those designated as substandard, doubtful, or loss, consistent with regulatory guidelines. Secured credit card loans are considered classified if they are greater than 90 days past due. However, our secured credit card portfolio is collateralized by cash deposits made by each accountholder in an amount equal to the user's available credit limit, which mitigates the risk of any significant credit losses we expect to incur.
The table below presents the carrying value, gross of the related allowance for credit losses, of our loans within the primary credit quality indicators related to our loan portfolio:
March 31, 2024December 31, 2023
Non-ClassifiedClassifiedNon-ClassifiedClassified
(In thousands)
Residential$5,717 $46 $5,046 $49 
Commercial12,811  2,716  
Installment4,194 76 4,278 79 
Consumer17,795  20,019  
Secured credit card6,918 2,448 7,155 2,575 
Total loans$47,435 $2,570 $39,214 $2,703 
Allowance for Credit Losses
Activity in the allowance for credit losses on our loan portfolio consisted of the following:
Three Months Ended March 31,
20242023
(In thousands)
Balance, beginning of period$11,383 $9,078 
Provision for loans4,788 10,252 
Loans charged off(5,859)(6,101)
Recoveries of loans previously charged off64 25 
Balance, end of period$10,376 $13,254 
Note 7—Equity Method Investments
On January 2, 2020, we effectuated our agreement with Walmart to jointly establish a new fintech accelerator under the name TailFin Labs, LLC (“TailFin Labs”), with a mission to develop innovative products, services and technologies that sit at the intersection of retail shopping and consumer financial services. The entity is majority-owned by Walmart and focuses on developing tech-enabled solutions to integrate omni-channel retail shopping and financial services. We hold a 20% ownership interest in the entity, in exchange for annual capital contributions of $35.0 million per year from January 2020 through January 2024. Our final payment under this commitment was made in January 2024.
We account for our investment in TailFin Labs under the equity method of accounting in accordance with ASC 323, Investments – Equity Method and Joint Ventures. Under the equity method of accounting, the initial investment is recorded at cost and the investment is subsequently adjusted for, among other things, its proportionate share of earnings or losses. However, given the capital structure of the TailFin Labs arrangement, we apply the Hypothetical Liquidation Book Value ("HLBV") method to determine the allocation of profits and losses since our liquidation rights and priorities, as defined by the agreement, differ from our underlying ownership interest. The HLBV method calculates the proceeds that would be attributable to each partner in an investment based on the liquidation provisions of the agreement if the partnership was to be liquidated at book value as of the balance sheet date. Each partner’s allocation of income or loss in the period is equal to the change in the amount of net equity they are legally able to claim based on a hypothetical liquidation of the entity at the end of a reporting period compared to the beginning of that period, adjusted for any capital transactions.
11

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 7—Equity Method Investments (continued)
Any future economic benefits derived from products or services developed by TailFin Labs will be negotiated on a case-by-case basis between the parties.
As of March 31, 2024 and December 31, 2023, our net investment in TailFin Labs amounted to approximately $141.3 million and $109.5 million, respectively, and is included in the long-term portion of prepaid expenses and other assets on our consolidated balance sheets. We recorded equity in losses from TailFin Labs of $3.1 million and $4.1 million for the three months ended March 31, 2024 and 2023, respectively. These amounts are recorded as a component of other income and expense on our consolidated statements of operations.
Our equity method investments also include an investment held by our bank, which amounted to $3.3 million and $3.5 million at March 31, 2024 and December 31, 2023, respectively. Equity in earnings from this investment for the three months ended March 31, 2024 and 2023 were not significant.
Note 8—Deposits
Deposits are categorized as non-interest bearing or interest-bearing deposit accounts as follows:
March 31, 2024December 31, 2023
(In thousands)
Non-interest bearing deposit accounts$3,641,850 $3,214,881 
Interest-bearing deposit accounts
Checking accounts84,356 61,679 
Savings6,713 6,077 
Secured card deposits4,411 4,967 
Time deposits, denominations greater than or equal to $2502,017 1,998 
Time deposits, denominations less than $2503,954 4,001 
Total interest-bearing deposit accounts101,451 78,722 
Total deposits$3,743,301 $3,293,603 
The scheduled contractual maturities for total time deposits are presented in the table below:
March 31, 2024
(In thousands)
Due in 2024$2,179 
Due in 20251,002 
Due in 2026791 
Due in 20271,033 
Due in 2028919 
Thereafter47 
Total time deposits$5,971 
12

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 9—Debt
In October 2019, we entered into a secured credit agreement with Wells Fargo Bank, National Association, and other lenders party thereto. The credit agreement provides for a $100.0 million five-year revolving line of credit (the "2019 Revolving Facility"), maturing in October 2024. We use the proceeds of any borrowings under the 2019 Revolving Facility for working capital and other general corporate purposes, subject to the terms and conditions set forth in the credit agreement. We classify amounts outstanding on our consolidated balance sheets based on the remaining duration of the credit facility, however, we may make voluntary repayments at any time prior to maturity. As of March 31, 2024, the outstanding balance on the 2019 Revolving Facility was $45 million, with $55 million available for use.
In March 2023, we amended the terms of our agreement to replace LIBOR with the Secured Overnight Financing Rate ("SOFR"). At our election, loans made under the credit agreement bear interest at 1) an adjusted SOFR rate (the “SOFR Rate") or 2) a base rate determined by reference to the highest of (a) the United States federal funds rate plus 0.50%, (b) the Wells Fargo prime rate, and (c) an adjusted SOFR rate plus 1.0% (the “Base Rate"), plus in either case, an applicable margin. The applicable margin for borrowings depends on our total leverage ratio and varies from 1.25% to 2.00% for SOFR Rate loans and 0.25% to 1.00% for Base Rate loans. The interest rate on our outstanding balance as of March 31, 2024 was approximately 6.93%. We also pay a commitment fee, which varies from 0.20% to 0.35% per annum on the actual daily unused portions of the 2019 Revolving Facility. Letter of credit fees are payable in respect of outstanding letters of credit at a rate per annum equal to the applicable margin for SOFR Rate loans.
The 2019 Revolving Facility contains certain affirmative and negative covenants including negative covenants that limit or restrict, among other things, liens, indebtedness, investments and acquisitions, mergers and fundamental changes, asset sales, restricted payments, changes in the nature of the business, transactions with affiliates and other matters customarily restricted in such agreements. We must also maintain a minimum fixed charge coverage ratio and a maximum consolidated leverage ratio at the end of each fiscal quarter, as set forth in the credit agreement. At March 31, 2024, we were in compliance with all such covenants.
If an event of default shall occur and be continuing under the facility, the commitments may be terminated and the principal amounts outstanding under the 2019 Revolving Facility, together with all accrued unpaid interest and other amounts owing in respect thereof, may be declared immediately due and payable.
We incurred total cash interest expense during the three months ended March 31, 2024 and 2023 of approximately $1.4 million and $1.6 million, respectively.
Note 10—Income Taxes
Income tax expense for the three months ended March 31, 2024 and 2023 differs from the amount computed by applying the statutory federal income tax rate to income before income taxes. The sources and tax effects of the differences are as follows:
 Three Months Ended March 31,
 20242023
U.S. federal statutory tax rate21.0 %21.0 %
State income taxes, net of federal tax benefit(1.4)0.8 
Foreign tax rate differential(1.5)(0.5)
General business credits(11.5)(3.4)
IRC 162(m) limitation(3.6)1.6 
Stock-based compensation22.7 3.7 
Bank owned life insurance income(2.9)(1.6)
Bank owned life insurance surrender9.3  
Nondeductible expenses2.6 0.8 
Other0.1 (0.1)
Effective tax rate34.8 %22.3 %
13

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 10—Income Taxes (continued)
The effective tax rate for the three months ended March 31, 2024 and 2023 differs from the statutory federal income tax rate of 21%, primarily due to state income taxes, net of federal tax benefits, general business credits, stock-based compensation, cash surrender value growth in bank owned life insurance policies, and the Internal Revenue Code (the "IRC") 162(m) limitation on the deductibility of executive compensation. The net increase in the effective tax rate for the three months ended March 31, 2024 as compared to the three months ended March 31, 2023 is primarily due to the impact of a $0.2 million increase in tax expense associated with shortfalls from stock-based compensation and the initiated surrender of a portion of our existing bank owned life insurance policies which resulted in a tax charge of $0.5 million and a surrender penalty of $0.2 million. We recognized a discrete tax expense related to tax shortfalls from stock-based compensation of $1.5 million for the three months ended March 31, 2024, compared to a $1.3 million discrete tax expense for the prior year comparable period. These increases were partially offset by a decrease of $1.0 million in the amount of compensation expense that was subject to the IRC 162(m) limitation on the deductibility of certain executive compensation, a decrease of $0.5 million in state income taxes, net of federal benefits, and the impact of general business credits.
We have made a policy election to account for Global Intangible Low-Taxed Income ("GILTI") in the year the GILTI tax is incurred. For the three months ended March 31, 2024 and 2023, the provision for GILTI tax expense was not material to our financial statements.
We establish a valuation allowance when we consider it more-likely-than-not that some portion or all of the deferred tax assets will not be realized. As of March 31, 2024 and 2023, we did not have a valuation allowance on any of our deferred tax assets as we believe it is more-likely-than-not that we will realize the benefits of our deferred tax assets.
We are subject to examination by the Internal Revenue Service, or IRS, and various state tax authorities. We remain subject to examination of our federal income tax returns for the years ended December 31, 2017 through 2023. We generally remain subject to examination of our various state income tax returns for a period of four to five years from the respective dates that the returns were filed. The IRS initiated an examination of our 2017 U.S. federal tax return during the second quarter ended June 30, 2020, and the examination remains ongoing as of March 31, 2024. We do not expect that this examination will have a material impact on our consolidated financial statements.
As of March 31, 2024, we had federal net operating loss carryforwards of approximately $13.1 million and state net operating loss carryforwards of approximately $108.1 million, which will be available to offset future income. If not used, the federal net operating losses will expire between 2029 and 2035. Of our total state net operating loss carryforwards, approximately $59.0 million will expire between 2026 and 2042, while the remaining balance of approximately $49.1 million does not expire and carries forward indefinitely. The net operating losses are subject to an annual IRC Section 382 limitation, which restricts their utilization against taxable income in future periods. In addition, we have state business tax credits of approximately $21.2 million that can be carried forward indefinitely and other state business tax credits of approximately $0.6 million that will start to expire on December 31, 2024 and continue to expire through December 31, 2027.
As of March 31, 2024 and December 31, 2023, we had a liability of $13.5 million and $12.1 million, respectively, for unrecognized tax benefits related to various federal and state income tax matters excluding interest, penalties and related tax benefits. The reconciliation of the beginning unrecognized tax benefits balance to the ending balance is as follows:
Three Months Ended March 31,
20242023
(In thousands)
Beginning balance$12,109 $11,178 
Increases related to positions taken during prior years1,380 1,260 
Decreases related to positions settled with tax authorities (90)
Ending balance$13,489 $12,348 
The total amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate $12,980 $11,917 
As of March 31, 2024 and 2023, we recognized accrued interest and penalties related to unrecognized tax benefits of approximately $1.4 million and $1.0 million, respectively.
14

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 11—Stockholders' Equity
Stock Repurchase Program
In February 2022, our Board of Directors authorized a $100 million increase to our stock repurchase program. As of March 31, 2024, we had an authorized $4.5 million remaining under our stock repurchase program for additional repurchases. There were no repurchases during the three months ended March 31, 2024.
Note 12—Stock-Based Compensation
We currently grant restricted stock unit awards to employees, directors and non-employee consultants under our 2010 Equity Incentive Plan and from time to time may also grant stock option awards. Through our 2010 Employee Stock Purchase Plan, employees are also able to purchase shares of our Class A common stock at a discount through payroll deductions. We have reserved shares of our Class A common stock for issuance under these plans. The total stock-based compensation expense recognized was $8.6 million and $9.2 million for the three months ended March 31, 2024 and 2023, respectively.
Restricted Stock Units
Restricted stock unit activity for awards subject to only service conditions was as follows for the three months ended March 31, 2024:
 SharesWeighted-Average Grant-Date Fair Value
(In thousands, except per share data)
Outstanding at December 31, 2023
2,049 $21.66 
Restricted stock units granted1,931 8.97 
Restricted stock units vested(504)23.71 
Restricted stock units canceled(97)25.93 
Outstanding at March 31, 2024
3,379 $13.98 
Performance-Based Restricted Stock Units
Performance-based restricted stock unit activity for the three months ended March 31, 2024 was as follows:
 SharesWeighted-Average Grant-Date Fair Value
(In thousands, except per share data)
Outstanding at December 31, 2023
988 $22.88 
Performance restricted stock units granted981 8.98 
Performance restricted stock units canceled(62)28.52 
Outstanding at March 31, 2024
1,907 $15.55 
We grant performance-based restricted stock units to certain employees that are subject to the attainment of pre-established internal performance conditions, market conditions, or a combination thereof (collectively referred to herein as "performance-based restricted stock units"). The actual number of shares subject to the award is determined at the end of the performance period and may range from 0% to 200% of the target shares granted depending upon the terms of the award. Compensation expense related to these awards is recognized using the accelerated attribution method over the vesting period based on the grant date fair value of the award.
Stock Options
Total stock option activity for the three months ended March 31, 2024 was as follows:
 OptionsWeighted-Average Exercise Price
(In thousands, except per share data)
Outstanding at December 31, 2023
1,010 $23.78 
Options canceled(1)24.25 
Outstanding at March 31, 2024
1,009 $23.78 
Exercisable at March 31, 2024
1,009 $23.78 
15

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 13—Earnings per Common Share
The calculation of basic and diluted earnings per share ("EPS") was as follows:
 Three Months Ended March 31,
 20242023
(In thousands, except per share data)
Basic earnings per Class A common share
Numerator:
Net income
$4,750 $36,012 
Denominator:
Weighted-average Class A shares issued and outstanding52,942 51,813 
Basic earnings per Class A common share$0.09 $0.70 
Diluted earnings per Class A common share
Numerator:
Net income allocated to Class A common stockholders$4,750 $36,012 
Denominator:
Weighted-average Class A shares issued and outstanding52,942 51,813 
Dilutive potential common shares:
Service-based restricted stock units259 109 
Performance-based restricted stock units4 68 
Employee stock purchase plan65 31 
Diluted weighted-average Class A shares issued and outstanding53,270 52,021 
Diluted earnings per Class A common share$0.09 $0.69 
For the periods presented, we excluded certain restricted stock units and stock options outstanding, which could potentially dilute basic EPS in the future, from the computation of diluted EPS as their effect was anti-dilutive. Additionally, we have excluded any performance-based restricted stock units where the performance contingency has not been met as of the end of the period, or whereby the result of including such awards was anti-dilutive.
The following table shows the weighted-average number of anti-dilutive shares excluded from the diluted EPS calculation:
 Three Months Ended March 31,
 20242023
(In thousands)
Class A common stock
Options to purchase Class A common stock1,009 1,163 
Service-based restricted stock units1,278 1,248 
Performance-based restricted stock units141 359 
Total 2,428 2,770 
16

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 14—Fair Value Measurements
Under applicable accounting guidance, fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.
We determine the fair values of our financial instruments based on the fair value hierarchy established under applicable accounting guidance, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. There are three levels of inputs used to measure fair value.
For more information regarding the fair value hierarchy and how we measure fair value, see Note 2–Summary of Significant Accounting Policies to the Consolidated Financial Statements of our Annual Report on Form 10-K for the year ended December 31, 2023.
As of March 31, 2024 and December 31, 2023, our assets carried at fair value on a recurring basis were as follows:
Level 1Level 2Level 3Total Fair Value
March 31, 2024(In thousands)
Assets
Investment securities:
Corporate bonds$ $9,667 $ $9,667 
Agency bond securities 198,527  198,527 
Agency mortgage-backed securities 1,947,474  1,947,474 
Municipal bonds 23,304  23,304 
Loans held for sale  4,404 4,404 
Total assets$ $2,178,972 $4,404 $2,183,376 
December 31, 2023
Assets
Investment securities:
Corporate bonds$ $9,626 $ $9,626 
Agency bond securities 200,230  200,230 
Agency mortgage-backed securities 2,003,510  2,003,510 
Municipal bonds 23,635  23,635 
Loans held for sale  4,735 4,735 
Total assets$ $2,237,001 $4,735 $2,241,736 
We based the fair value of our fixed income securities held as of March 31, 2024 and December 31, 2023 on quoted prices in active markets for similar assets. We had no transfers between Level 1, Level 2 or Level 3 assets or liabilities during the three months ended March 31, 2024 or 2023.
A reconciliation of changes in fair value for Level 3 assets or liabilities are not considered material to these consolidated financial statements and therefore are not presented for any of the periods presented.
17

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 15—Fair Value of Financial Instruments
The following describes the valuation technique for determining the fair value of financial instruments, whether or not such instruments are carried at fair value on our consolidated balance sheets.
Short-term Financial Instruments
Our short-term financial instruments consist principally of unrestricted and restricted cash and cash equivalents, settlement assets and obligations, and obligations to customers. These financial instruments are short-term in nature, and, accordingly, we believe their carrying amounts approximate their fair values. Under the fair value hierarchy, these instruments are classified as Level 1.
Investment Securities
The fair values of investment securities have been derived using methodologies referenced in Note 2–Summary of Significant Accounting Policies to the Consolidated Financial Statements of our Annual Report on Form 10-K for the year ended December 31, 2023. Under the fair value hierarchy, our investment securities are classified as Level 2.
Loans
We determined the fair values of loans by discounting both principal and interest cash flows expected to be collected using a discount rate commensurate with the risk that we believe a market participant would consider in determining fair value. Under the fair value hierarchy, our loans are classified as Level 3.
Deposits
The fair value of demand and interest checking deposits and savings deposits is the amount payable on demand at the reporting date. We determined the fair value of time deposits by discounting expected future cash flows using market-derived rates based on our market yields on certificates of deposit, by maturity, at the measurement date. Under the fair value hierarchy, our deposits are classified as Level 2.
Debt
The fair value of our revolving line of credit is based on borrowing rates currently available to a market participant for loans with similar terms or maturity. The carrying amount of our outstanding revolving line of credit approximates fair value because the base interest rate charged varies with market conditions and the credit spread is commensurate with current market spreads for issuers of similar risk. The fair value of the revolving line of credit is classified as a Level 2 liability in the fair value hierarchy.
Fair Value of Financial Instruments
The carrying values and fair values of certain financial instruments that were not carried at fair value, excluding short-term financial instruments for which the carrying value approximates fair value, at March 31, 2024 and December 31, 2023 are presented in the table below.
March 31, 2024December 31, 2023
Carrying ValueFair ValueCarrying ValueFair Value
(In thousands)
Financial Assets
Loans to bank customers, net of allowance$39,629 $39,428 $30,534 $30,307 
Financial Liabilities
Deposits$3,743,301 $3,743,233 $3,293,603 $3,293,526 
18

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 16—Leases
Our leases consist of operating lease agreements principally related to our corporate and subsidiary office locations. Currently, we do not enter into any financing lease agreements. Our leases have remaining lease terms of less than 1 year to approximately 9 years, most of which generally include renewal options of varying terms.
Our total lease expense amounted to approximately $0.9 million and $1.0 million for the three months ended March 31, 2024 and 2023, respectively. Our lease expense is generally based on fixed payments stated within the agreements. Any variable payments for non-lease components and other short term lease expenses are not considered material.
Additional Information
Additional information related to our right of use assets and related lease liabilities is as follows:
 March 31, 2024
Cash paid for operating lease liabilities (in thousands)$917 
Weighted average remaining lease term (years)3.95
Weighted average discount rate5.1 %
Maturities of our operating lease liabilities as of March 31, 2024 are as follows:
Operating Leases
(In thousands)
Remainder of 2024$2,708 
20251,201 
2026280 
2027248 
2028255 
Thereafter1,131 
Total5,823 
Less: imputed interest(614)
Total lease liabilities$5,209 
Note 17—Commitments and Contingencies
In the ordinary course of business, we are a party to various legal proceedings, including, from time to time, regulatory, supervisory, and governmental matters as well as actions which are asserted to be maintainable as class action suits, employment claims, and or enforcement actions. We review these actions on an ongoing basis to determine whether it is probable and estimable that a loss has occurred and use that information when making accrual and disclosure decisions. We have provided reserves where necessary for all claims and, based on current knowledge and in part upon the advice of legal counsel, all matters are believed to be adequately covered by insurance, or, if not covered, would not be likely to have a material adverse impact on our financial condition or results of operations. Nonetheless, given the inherent unpredictability of these matters, an adverse outcome could, from time to time, have a material adverse impact on our financial condition or results of operations.
We and our subsidiary bank received a proposed consent order from the Federal Reserve Board relating principally to various aspects of compliance risk management, including consumer compliance and compliance with anti-money laundering regulations. Included in the proposed consent order are proposals for civil money penalties related to these issues. While we are still in discussions with the Federal Reserve Board regarding these proposals, we accrued an estimated liability of $20 million related to the proposed consent order during the three months ended December 31, 2023.
19

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 17—Commitments and Contingencies (continued)
There may be an exposure to loss in excess of the amount accrued. We believe the estimate of the aggregate range of reasonably possible losses (meaning the likelihood of losses is more than remote but less than likely), is up to $50 million as of March 31, 2024. This estimated range of reasonably possible losses is based on currently available information for those proceedings in which we are involved and considers our best estimate of such losses for those matters for which an estimate can be made. However, there can be no assurance that our accrual is sufficient or that losses from the proposed consent order will not exceed the estimated range.
Other Litigation and Claims
On October 27, 2023, a putative class action, Hester v. Green Dot Corporation, was filed in District Court for Travis County, Texas, alleging plaintiff was unable to access funds in his account for an extended period, and that other customers were similarly blocked access. The complaint purported to assert three causes of action (for breach of contract, breach of fiduciary duty, and a statutory claim for deceptive trade practices). The proposed class comprised all Texas residents and GO2bank customers or accountholders who “had their accounts or funds blocked, closed, or otherwise restricted” for more than 72 hours at any time during the four years (or the length of the longest applicable statute of limitations for any asserted claim) immediately preceding the filing of this action continuing through the date of judgment. On November 21, 2023, we filed a motion to compel arbitration and stay all proceedings based on the express language of the deposit agreement. On March 29, 2024, the court granted the motion, thereby directing the matter into arbitration, and likewise concluded that the “the contract’s prohibition on class and other non-individual claims is valid and enforceable."
On December 18, 2019, an alleged class action entitled Koffsmon v. Green Dot Corp., et al., No. 19-cv-10701-DDP-E, was filed in the United States District Court for the Central District of California, against us and two of our former officers. The suit asserts purported claims under Sections 10(b) and 20(a) of the Exchange Act for allegedly misleading statements regarding our business strategy. Plaintiff alleges that defendants made statements that were misleading because they allegedly failed to disclose details regarding our customer acquisition strategy and its impact on our financial performance. The suit is purportedly brought on behalf of purchasers of our securities between May 9, 2018 and November 7, 2019, and seeks compensatory damages, fees and costs.
On October 6, 2021, the Court appointed the New York Hotel Trades Council & Hotel Association of New York City, Inc. Pension Fund as lead plaintiff, and on April 1, 2022, plaintiff filed its First Amended Complaint. Defendants filed a motion to dismiss the First Amended Complaint on May 31, 2022, and the motion was denied on March 29, 2024. On February 18, 2020, a putative shareholder derivative action entitled Hellman v. Streit, et al., No. 20-cv-01572-SVW-PVC was filed, purportedly on behalf of the company, in United States District Court for the Central District of California, against certain of our current and former officers and directors. The suit asserts claims for breach of fiduciary duty and unjust enrichment, as well as claims under Sections 10(b), 14(a) and 20(a) of the Exchange Act, based largely on the allegations made in the Koffsmon action. The Hellman action seeks to recover, among other things, unspecified compensatory damages on behalf of the company. Pursuant to a stipulated agreement, the parties to the Hellman action have requested that the court enter an order staying the action through the close of discovery in the Koffsmon action.
Due to the inherent uncertainties of litigation, we cannot accurately predict the ultimate outcome of these matters. Given the uncertainty of litigation and the preliminary stage of these claims, we are currently unable to estimate the probability of the outcome of these actions or the range of reasonably possible losses, if any, or the impact on our results of operations, financial condition or cash flows, except as disclosed.
Other Legal Matters
We monitor the laws of all 50 states to identify state laws or regulations that apply (or may apply) to our products and services. We have obtained money transmitter licenses (or similar such licenses) where applicable, based on advice of counsel or when we have been requested to do so. If we were found to be in violation of any laws and regulations governing banking, money transmitters, electronic fund transfers, or money laundering in the United States or abroad, we could be subject to penalties or could be forced to change our business practices.
20

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 17—Commitments and Contingencies (continued)
From time to time, we enter into contracts containing provisions that contingently require us to indemnify various parties against claims from third parties. These contracts primarily relate to: (i) contracts with our card issuing banks, under which we are responsible to them for any unrecovered overdrafts on accountholders’ balances; (ii) certain real estate leases, under which we may be required to indemnify property owners for environmental and other liabilities, and other claims arising from our use of the premises; (iii) certain agreements with our officers, directors, and employees, under which we may be required to indemnify these persons for liabilities arising out of their relationship with us; and (iv) contracts under which we may be required to indemnify our retail distributors, suppliers, vendors and other parties with whom we have contracts against claims arising from certain of our actions, omissions, violations of law and/or infringement of patents, trademarks, copyrights and/or other intellectual property rights.
Generally, a maximum obligation under these contracts is not explicitly stated. Because the obligated amounts associated with these types of agreements are not explicitly stated, the overall maximum amount of the obligation cannot be reasonably estimated. With the exception of overdrafts on accountholders’ balances, historically, we have not been required to make payments under these and similar contingent obligations, and no liabilities have been recorded for these obligations in our consolidated balance sheets. For additional information regarding overdrafts on accountholders’ balances, refer to Note 5 — Accounts Receivable.
Note 18—Significant Retailer and Partner Concentration
A credit concentration may exist if customers are involved in similar industries, economic sectors, and geographic regions. Our retail distributors operate in similar economic sectors, but diverse domestic geographic regions. The loss of a significant retail distributor could have a material adverse effect upon our card sales, profitability, and revenue growth.
Revenues derived from our products sold at retail distributors constituting greater than 10% of our total operating revenues were as follows:
 Three Months Ended March 31,
 20242023
Walmart10%17%
In addition, approximately 46% and 32% of our total operating revenues for the three months ended March 31, 2024 and 2023, respectively, were generated from a single BaaS partner, but without a corresponding concentration to our gross profit for the respective periods.
Note 19—Segment Information
Our Chief Operating Decision Maker (our "CODM" who is our Chief Executive Officer) organizes and manages our businesses primarily on the basis of the channels in which our product and services are offered and uses net revenue and segment profit to assess profitability. Segment profit reflects each segment's net revenue less direct costs, such as sales and marketing expenses, processing expenses, third-party call center support and transaction losses. Our operations are aggregated amongst three reportable segments: 1) Consumer Services, 2) Business to Business ("B2B") Services, and 3) Money Movement Services.
Our Consumer Services segment consists of revenues and expenses derived from deposit account programs, such as consumer checking accounts, prepaid cards, secured credit cards, and gift cards that we offer to consumers (i) through distribution arrangements with more than 90,000 retail locations and thousands of neighborhood Financial Service Center locations (the "Retail channel"), and (ii) directly through various marketing channels, such as online search engine optimization, online displays, direct mail campaigns, mobile advertising, and affiliate referral programs (the "Direct channel").
21

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 19—Segment Information (continued)
Our B2B Services segment consists of revenues and expenses derived from (i) our partnerships with some of the United States' most prominent consumer and technology companies that make our banking products and services available to their consumers, partners and workforce through integration with our banking platform (the "Banking-as-a-Service", or "BaaS channel"), and (ii) a comprehensive payroll platform that we offer to corporate enterprises (the "Employer channel") to facilitate payments for today’s workforce. Our products and services in this segment include deposit account programs, such as consumer and small business checking accounts and prepaid cards, as well as our Simply Paid Disbursements services utilized by our partners.
Our Money Movement Services segment consists of revenues and expenses generated on a per transaction basis from our services that specialize in facilitating the movement of cash on behalf of consumers and businesses, such as money processing services and tax refund processing services. Our money processing services, such as cash deposit and disbursements, are marketed to third-party banks, program managers, and other companies seeking cash deposit and disbursement capabilities for their customers. Those customers, including our own accountholders, can access our cash deposit and disbursement services at any of the locations within our network of retail distributors and neighborhood Financial Service Centers. We market our tax-related financial services through a network of tax preparation franchises, independent tax professionals and online tax preparation providers.
Our Corporate and Other segment primarily consists of net interest income, certain other investment income earned by our bank, interest profit sharing arrangements with certain BaaS partners (a reduction of revenue), eliminations of inter-segment revenues and expenses, and unallocated corporate expenses, which include our fixed expenses such as salaries, wages and related benefits for our employees, professional services fees, software licenses, telephone and communication costs, rent, utilities, and insurance. These costs are not considered when our CODM evaluates the performance of our three reportable segments since they are not directly attributable to any reporting segment. Non-cash expenses such as stock-based compensation, depreciation and amortization of long-lived assets, impairment charges, and other non-recurring expenses that are not considered by our CODM when evaluating our overall consolidated financial results are excluded from our unallocated corporate expenses above. We do not evaluate performance or allocate resources based on segment asset data, and therefore such information is not presented.
The following tables present financial information for each of our reportable segments for the periods then ended:
Three Months Ended March 31,
20242023
Segment Revenue(In thousands)
Consumer Services$100,612 $139,833 
B2B Services241,200 171,292 
Money Movement Services103,150 98,241 
Corporate and Other2,461 2,997 
Total segment revenues447,423 412,363 
BaaS commissions and processing expenses5,100 4,760 
Other income(535)(743)
Total operating revenues$451,988 $416,380 
Segment revenue adjustments represent commissions and certain processing-related costs associated with our BaaS products and services, which are netted against our B2B Services revenues when evaluating segment performance, as well as certain other investment income earned by our bank, which is included in Corporate and Other.
22

GREEN DOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (CONTINUED)
Note 19—Segment Information (continued)
Three Months Ended March 31,
20242023
Segment Profit