OneMain Holdings at Barclays Conference: Strategic Growth and Stability

On Tuesday, 09 September 2025, OneMain Holdings (NYSE:OMF) presented at the Barclays 23rd Annual Global Financial Services Conference. CEO Doug Shulman discussed the company’s strategic initiatives, emphasizing the stability of the non-prime consumer market and OneMain’s credit performance. While optimistic about future growth, Shulman highlighted both opportunities and challenges, including the ongoing ILC charter application and potential impacts on strategic goals.

Key Takeaways

• OneMain Holdings is optimistic about the non-prime consumer market, with wages keeping pace with inflation.
• The company revised its net charge-off guidance to the lower half of its initial range, signaling strong credit performance.
• Strategic initiatives include an ILC charter application and enhanced debt consolidation products.
• OneMain is focused on growth in card and auto lending, leveraging its expertise in non-prime lending.
• Capital allocation prioritizes reinvestment, maintaining dividends, and opportunistic buybacks.

Economic Environment and Consumer Health

CEO Doug Shulman expressed confidence in the stability of the non-prime consumer, noting that wages have generally kept up with inflation. The average OneMain customer earns approximately $70,000 annually, with employment rates remaining strong. Despite the resumption of federal student loan collections, no significant impact on borrower behavior has been observed, as OneMain’s underwriting had already accounted for potential payments.

Credit Performance

OneMain has lowered its net charge-off guidance, reflecting positive credit metrics. Year-over-year, the company has seen a 29 basis point decline in 30-plus day delinquencies and an 88 basis point reduction in overall losses. Recent loan bookings are expected to perform within a 6% to 7% underwriting loss range, supported by tightened underwriting standards and a 30% stress buffer.

Strategic Initiatives

OneMain’s strategic focus includes applying for an ILC charter, which could offer benefits such as a nationwide rate structure and diversified funding through deposits. The company is also enhancing its debt consolidation products and implementing automation to improve customer experience. Additionally, OneMain is expanding its card and auto lending segments, with card usage primarily for gas, groceries, and retail, and auto lending including both direct and indirect channels.

Future Outlook

Shulman emphasized that growth is an outcome of the company’s credit box, customer experience, and required returns, rather than a target. OneMain aims to generate $1,250 per share of capital, with credit performance improvements and potential interest rate stabilization serving as tailwinds. The company is committed to reinvesting in the business, maintaining a healthy dividend, and using excess capital for buybacks.

Readers are encouraged to refer to the full transcript for a detailed understanding of OneMain Holdings’ strategic insights and future plans.

Full transcript - Barclays 23rd Annual Global Financial Services Conference:

Terry Mauck, Consumer Finance Analyst, Barclays: All right. Good morning. Thank you for joining, everyone. My name is Terry Mauck, I’m a consumer finance analyst at Barclays. I’m very pleased to have on stage Doug Shulman, CEO of OneMain Holdings Inc. Welcome, Doug.

Doug Shulman, CEO, OneMain Holdings Inc.: Thanks. Thanks for having me here.

Terry Mauck, Consumer Finance Analyst, Barclays: Yeah. We’ll jump right into it. I wanted to start with the economic environment and the health of the consumer, specifically OneMain’s focus on non-prime consumer. How would you characterize the healthier borrower base?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, let me give my standard caveat, which is that we lend to individuals, right? Not to the broad consumer. We’re seeing plenty of individuals who can pay their loan back with us. We look at income, we look at expenses, we look by geography, we look by employment type. We have over a thousand variables we look at. I’ll give you a sense of my view of the consumer. The consumers we’re booking today are in good shape. I think the consumer in general is fine, meaning the non-prime consumer. Our average customer makes about $70,000 a year. If you look at people who make, call it $40,000 to $150,000, employment is good. Even though you see everyone gets excited when they see an employment number tick up, 4.2% is very good employment. Most people who want to get jobs can get jobs.

Wages continue to move up at least as much as inflation. If you look at the cumulative effect of the big inflation in 2021 and 2022, it took a while for wages to catch up, but they’re now caught up. Inflation seems under...

Unidentified speaker: If you’re looking at the cost, the cost of the town should be notified. I’ve been touched with it, and I’m a veteran here. I’m looking at the cost, and the cost of the town should be notified.

Terry Mauck, Consumer Finance Analyst, Barclays: That’s what I was saying. You either should stay or go. I’ll keep going. Tell me if we need to leave. I think, so inflation, you know, wages are keeping up with inflation. Obviously, everyone has an eye on that. Our internal data, we do a regular branch survey of our 1,400 branches. It’s qualitative, but our branch managers and branch team members, their report back in the conversations with customers is steady for the last 18 months. The customers are feeling actually a little bit better for the last nine months. We also offer unemployment insurance, and we have not seen claims tick up. There’s clearly still some uncertainty, mostly tariff-based uncertainty in the economy. We’re not seeing it show up in our books, and we like our credit results.

I think all in all, I’d say the non-prime consumer is fine, not struggling, but it’s not like they’re doing way better than they were 18 months ago. I think it’s been steady. Okay.

Unidentified speaker: Got it. That’s helpful color. Is there any additional color you can give on kind of what you’re seeing in borrowers with student loans since the Fed collection started in May? How are you kind of managing that risk?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, we’ve been super focused on this. October 2023 is when the federal government ended deferments broadly, and then there were a bunch of exceptions. We’ve been super focused on this and just watching our book. We’ve seen no significant difference throughout the course of our underwriting since we’ve been focused. We didn’t see it then. We haven’t seen it since May. Keep in mind, even when student loans got deferred at the beginning of the pandemic, we assumed people had to pay. The way we underwrite is you make a certain amount of money, you look at everybody’s debt, you look at their income, and what’s left over, the net disposable income, that’s what we loan against. Can you afford to pay back this loan?

Even when people didn’t need to pay the student loan, say it was $200 a month, we assume they had to pay it to get to net disposable income. The other thing is we have the credit bureau data of our customers, and a lot of them, even through deferments, have been paying. Even though they didn’t have to pay, they had been paying. We’re seeing no significant impact at this point.

Unidentified speaker: Great. Maybe we’ll turn to credit. We’re halfway through the year, at least on a reported basis. You’ve revised your net charge-off guidance to the lower half of the initial guide. Credit metrics continue to trend in the right direction. Now 90% of your portfolio was originated post-August 2022 tightening. What can you tell us about the trajectory of credit going forward?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, we’re really pleased with the trajectory of our credit. As you mentioned, we lowered our loss guidance to the lower half of the original range that we put out in February of this year. I’ll finish in a sec.

Unidentified speaker: Thanks for the calls.

Doug Shulman, CEO, OneMain Holdings Inc.: I’m sure your conference planners are thrilled with these announcements during the presentations.

Terry Mauck, Consumer Finance Analyst, Barclays: That’s great. Broken water pipe triggering fire alarms.

Doug Shulman, CEO, OneMain Holdings Inc.: There we are. Do you have a question about the pipe?

Terry Mauck, Consumer Finance Analyst, Barclays: No, I don’t.

Doug Shulman, CEO, OneMain Holdings Inc.: Okay. It’s so look, we like the trajectory of our credit. We updated our guidance, which, you know, and have narrowed it to the lower half of the range. All of the metrics for us with credit are moving in the right direction. 30-plus delinquency, which is, you know, the early delinquency, is down 29 basis points year on year. Our overall losses are down 88 basis points year over year. Our consumer loan losses, which is, you know, the biggest part of our portfolio, is down. The losses, you know, last quarter were down 110 basis points year over year. Early-stage delinquencies, later-stage roll rates, recoveries, all those metrics have been moving down nicely. You know, A, we’re confident in our full-year guidance.

Assuming that the macro is stable, it doesn’t have to get a lot better as long as it doesn’t have a big deterioration, you know, our losses should continue to move down.

Terry Mauck, Consumer Finance Analyst, Barclays: Oh, that’s great. Sounds very encouraging. If we think about the target underwriting loss range of 6% to 7%, how much confidence do you have in kind of migrating back there over time?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, we’re quite confident. I will say, though, we underwrite to risk-adjusted returns. Losses are only one metric. They’re obviously an important metric, and you know, they’re a big piece of our P&L. Given the stress in the non-prime consumer in 2021 and 2022, we understand the focus. We will book loans that have a 20% ROE. If we can take price that has higher loss, you know, we’ll book those loans. You know, with that said, the focus is on our consumer loan portfolio getting to 6% to 7%. That’s what we’ve talked about as a, you know, medium to long-range target. The loans that we’ve been booking recently in the front book are going to run at those numbers, and so they’re there.

You mentioned only 10% of our book now is loans we booked before the middle of 2022, but they still account for 24% of our delinquencies. As we move through and that disappears for consumer loan, you know, we’re moving and we’re confident we’ll be in that range.

Terry Mauck, Consumer Finance Analyst, Barclays: Got it. Maybe we’ll just touch on underwriting. Over 60% of your originations are in the top two risk grades. Yeah. Any color on how those two risk grades have been performing? What do you need to see more broadly to maybe unwind some of those credit actions?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah. We know how to construct the book that creates really good capital generation and therefore really good returns to shareholders. What we’ve been doing since 2022, since the non-prime consumer and credit had gotten a little worse, is booking better customers that have lower losses. We’ve been able to take price, and we’ve had a nice upward trajectory in our earnings. Really, this year it’s been moving in the right direction. That better credit is performing in line with our expectations. As I mentioned just a minute ago, those are going to be in the 6% to 7% loss range. I think more broadly, what would it take for us to relax our underwriting standards a little bit? Since 2022, we’ve put a 30% stress buffer on our underwriting. The way to think about that is we underwrite our loan to 20% return on equity.

The way we get to that is what’s the price, what’s the size of the loan, what’s our loss expectation, what’s the cost of debt that we have to put against that, and what’s our operating expense? We put about 15% equity into every loan we make, and that’s how we’re underwriting. We’re not underwriting necessarily to losses, but in order to have some cushion, because there’s been some uncertainty in the environment, we said our models will say, let’s say this certain loan is going to have a 6% loss. We’ll assume 30% more than that in our models, and we still have to hit our 20% return threshold. We just left that on, given that there’s been a lot of, just between inflation and Fed actions, tariffs, the last several years have had a lot of noise.

For us to relax that 30%, the main thing we’d need to see is significant improvement of the customers that are on our books. They’re performing in line with expectations. Our models are working very well, but it hasn’t been wildly better than that. We also run what we call weather vane testing. We’re always running a thin sliver of loans below the 20% ROE. When those all start, or for a segment start ticking over, and those have been running 15% to 20%. When they start running 20% to 25% on a consistent basis, we’ll say, okay, we can relax that threshold maybe to 20% stress or to 10% stress. What’s really important, though, is we don’t run, I mean, we manage a nationwide portfolio of risk, but we don’t run one credit box.

We see secured loans in a certain number of states with a certain risk grade customer. That weather vane is running 25%, and we’ll make an adjustment there. You should expect when we tighten, we tighten in a very granular way, with thousands of variables, and we do it by deciles across a whole number of metrics. When we loosen, we’ll do it the same way.

Terry Mauck, Consumer Finance Analyst, Barclays: Got it. That’s helpful. Maybe we’ll switch gears. Your branch network doesn’t get a lot of attention. You have the seventh largest branch network in the nation. I don’t think many people know that. Can you maybe just talk about how that fits with OneMain’s strategy and how much of a competitive advantage that is?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, we think it’s a super important competitive advantage. It’s our history as branch-based lending. The last several years, we’ve added really good digital capabilities to that. We’ve added some new products that rely less on the branch, like auto loans and credit cards. You know, the vast majority of our business that drives the vast majority of our profits is the branch network. As you mentioned, if we were a bank, we’d have the seventh largest branch network in the U.S. We have just under 1,400 branches. The way to think about our branch is an entrepreneurial cell and a group of people that runs as a small business and also is in the community and knows people in the community. Our average branch manager has a 14-year tenure with the company. They’ve been there. They’ve seen cycles.

If you walk into one of our branches, they talk about their team and training their team and lifting up their team. The branches are incentivized not just on loan production, but they’re incentivized on both loan production and their credit performance. They’re incented to get people in a loan they can afford and the right loan. If you walk into one of our branches, someone says their hot water heater broke and they need $8,000. We’ll say, okay, we can give you an unsecured loan for $8,000. By the way, all the underwriting, that branch does not have discretion around. The credit box says, can you loan to this customer or can’t you loan to this customer? What kind of loan can you give? What’s the rate? The analytics and the sophisticated data science is feeding what happens in the branch.

You might walk in and say, okay, I can give you an unsecured loan at 22%, or I see you’ve got an automobile. We can give you a $14,000 loan. We can pay off the $6,000 you owe on your auto. We’ll take the collateral and we can give it to you for 17.5%. They’ll work through, they understand the differences there. It’s a consultative approach. In the branch, we also do the budget. I see you have this. What other expenses do you have? You’re making a call and you say, hey, if you get in trouble, Terrence, give me a buzz. We can help work out a payment plan for a couple of months. When the phone call comes in, it’s from your local area code, not from an 888 number. Our right party contacts are higher when it comes to collection calls.

We think the branches are really important. We’ve spent a lot of time working on the culture and the personalized service. The other thing I’d mention, because people are always, you know, in banks, everyone’s focused on shrinking branches efficiency. These are mostly in, you know, an office building in the suburb or a strip mall. They’re not wildly expensive. The real estate isn’t a lot more than a call center. You need people in call centers, even if you’re a digital lender. We love our branches, our team members. It’s inspiring to see them. The customers love the branches. We think it’s part of why our credit is better than anybody, FICO for FICO. It’s just part of the secret sauce of how we run the business.

Terry Mauck, Consumer Finance Analyst, Barclays: Great. We turn to strategic initiatives. OneMain applied for an ILC charter earlier this year. Can you talk about the rationale for the ILC charter and just give us an update on how that application process is going? Is there a timeline we can expect?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, so, we applied with the FDIC and the Utah Department of Financial Institutions for an ILC, an industrial loan company charter. It’s a specific charter that allows you to do business nationwide as a bank. It allows you to gather deposits and they’re FDIC insured. It doesn’t subject us to becoming a bank holding company, which has all sorts of implications about, you know, capital, capital allocation, etc. We could, you know, if we get this bank, we’ll be able to have all the benefits of a bank without changing, you know, our core business or our capital allocation strategy. The benefits are we could have a nationwide rate structure, and we could have a nationwide operation rather than operating in 47 different states with different state regulations, which adds a lot of complexity.

For our credit card, we could become our own credit card issuer rather than, you know, have a third-party partner. Deposits, you know, just allows us to diversify our funding. The way I’ve described this is it would be accretive. It would add to our bottom line. It would long-term be good for us. If you have access to deposits, we could potentially even, you know, have a ladder where you lend over time as people become better credit. You could still lend to them because you’d have a different funding cost for those people. We really don’t need it. Like, if we don’t get it, we’re very confident in all the guidance we’ve put out about the company in driving capital generation up year over year. If we got it, it would be a benefit. I don’t like to speculate on timing of applications into, you know, the government.

What I would say is I think we are very well qualified. The activities we would do in a bank are activities we’ve done for decades, which is lending and balance sheet management. You know, we’re not doing anything fancy in a bank, that we’re doing. We think we’re very well qualified. We’re in the midst of having very constructive conversations. You know, we’ll see, we’ll see where it goes.

Terry Mauck, Consumer Finance Analyst, Barclays: Sounds good. Switching gears again, you know, on the second quarter earnings call, you talked about some additional initiatives to drive growth. One of them is an enhanced debt consolidation product. Can you just talk about how that product differs from what you offer already? What are the early results that you’ve seen?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, for many years, debt consolidation was a significant portion of the loans we made because, you know, an installment loan is a single payment every month that amortizes down. You pay it off, you’re out of debt. It is very, it’s been very appealing to customers for a long time who have credit card debt and they felt they couldn’t get out of that debt and they were always paying and it was perpetual. The installment loan is actually a very good debt consolidation product. People came in, wanted to do debt consolidation. Our secured lending was, we always, you know, branches would talk to them historically about, hey, I can pay off a bunch of your debt, secure your auto, pay off some credit cards, give you a bigger loan. I had a lower interest rate. That’s always been part of it.

We, a couple of years ago, looked at all the data that people’s credit card debt was increasing. We put up in our priority queue of tech investments, product investments, marketing to just market this specifically as, and one is just marketing. We’ve changed some marketing that says, you know, debt consolidation, you can pay it off, you can get a single amortizing loan, you can get that. Second is, in our tech queue, we did some things that made it easier for our team members and for our customers just to automatically pay off credit cards. It was a clunkier process before, and we just put it up in our customer experience and ease of doing business flows. Lately, we’ve been doing some pricing around it and those kinds of things.

It’s all about tweaks to the product strategy, which, you know, we’re on a track now to have a couple million dollars more of originations. It could increase from there, from debt consolidation.

Terry Mauck, Consumer Finance Analyst, Barclays: Got it. You also rolled out new automation, income verification, and collateral checks on the tech side. You also streamlined some processes around loan renewal. Can you maybe just talk about those efforts?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, I mean, look, in the broad category of product, what I would say is running a great company is about a thousand little things and continually looking for places to improve the customer experience, improve the product, improve the value proposition. Let me talk about those and add just a couple, just so people get a sense of how we, you know, how we operate. We always did a big part, almost half of our lending was always secured lending. We get the car as collateral. We put up in the priority queue, and now about 70% of customers who walk in the door, we already have their VIN number automated that if an employee, you know, they can say, oh, I see you have a 2001 Tahoe, and you have this much paid off, you know, to pay off on it.

Would you like to put that into your loan and get a lower rate? If they say yes, you know, bing, you hit it, it automates, it all goes through. That was automation, which helps drive secured lending, which is very profitable. We also now, as income verification, instead of having to get a pay stub, do fraud verification, etc., we’ve linked bank accounts to a big chunk of our customers. Automated, takes friction out of the process. When you’re trying to get a loan, a lot of people drop out if they, you know, I don’t have my pay stub, I got to get my pay stub. They can’t upload it into our system when they go home. We’ve got that automated. For a small segment of our customers, took some steps out of the process for renewal, who are really good credit.

We have access to their credit bureau. They’ve been paying everyone else. They’ve been doing business with us for a while and just streamlined that. Something we’re quite excited about that I mentioned earlier, it’s income-based lending. We now have a product where we offer you a loan, you don’t qualify. We go back and say, if you’re willing to have a piece of your paycheck go to pay the loan, think about it as direct deposit from a bank, but instead it’s to the employer. We’ve built technology with a partner that allows you to do that. You’d qualify because we ran a test for several years and we saw a lot better credit, just like direct deposit for all the banks has better credit on credit cards and those kinds of things. We’ve rolled that out. It drives volume, reduces risk. These are all product innovations.

Next year, if I come back, we’ll have five more. This is continually grinding it, looking at opportunities, talking to our customers, and creating opportunities to keep driving volume.

Terry Mauck, Consumer Finance Analyst, Barclays: That’s great. That’s helpful. Maybe we’ll just round out this strategic initiative discussion with card and auto. Those two are growing businesses. Can you just give a progress update and talk about how you see card and auto fitting within OneMain?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah. So look, how they fit with OneMain, we, you know, in 2019 did a big strategic review and said we’re, you know, we’re a dominant player in personal loans. We run a great business. We’ve got a nice trajectory of growth. What else could we do with the franchise? It’s not just like what would be cool to do with the franchise and what do other people make money. It’s, you know, where do we have a right to play, where we have competitive advantage, where we could drive value for our shareholders. Coming out of that, auto and card, of all the different products, were the ones that we thought fit best with us. It’s really important that we are not straying far from our expertise and our roots. We looked at all sorts of stuff, but we said we’re going to stick with lending to the non-prime.

Our focus and our expertise is non-prime lending. The card fits with that, auto fits with that. We’re also very disciplined operators. You can have lots of good ideas, but execution is 90% of the time. We’ve been pacing these. Four years ago, we started the launch of card. We built the infrastructure. We launched it. Auto, about a year later, we started doing it with our team who already knew how to do secured. The rationale of both of these and how they fit in, a loan is a large episodic transaction for a large amount. It happens every once in a while. You make the loan, they pay you down. A lot of your customers you’re not talking to on a regular basis, they put it on direct deposit and they pay.

You talk more to the customers who are having an issue with you when you make a loan. A card is actually a daily transactional product that fits a different need. We launched our card, and first we launched it, we test marketing, we test line usage, and most importantly, we tested credit. In the segments that worked, we moved into it. We’re really pleased. The usage, the three biggest uses are gas, groceries, and retail, which are things that you don’t use for a loan. The card, our lowest line is $500. There’s a bunch of customers you can give a $500 line, especially one with a fee, that you’ll take that you’re not going to give a $10,000 loan to. It’s a pipeline for our customers. It’s on the app. It’s almost all digital. People are checking their line, checking their rewards, checking their spending.

You get a lot of digital real estate. We’ve just started the cross-sell, and it pops up for qualified customers. You know, you’re eligible for a $10,000 loan. It’s a very low-cost acquisition channel to us, and the returns are very similar to our loan returns, which are very good for financial services. Auto is a little different. We had had a history with auto. We knew how to underwrite a car. We knew how to secure the collateral and file the title with DMVs in 47 states. We’d been doing this for many years. We knew how to do collateral management if someone didn’t pay, picking up a car, selling it at auction. We had a bunch of core expertise. We started with independent dealers directly. We just plugged in the Dealertrack and RouteOne and some of the systems that dealers use to find loans.

Qualified buyers, they’d say, oh, you can get a OneMain loan. They’d have to get on the phone with us and apply to us in person, which is a little different than your typical car loan. Your typical car loan, the dealer gets the terms from the lender. They make the loan, and then two days later, you buy the paper from them. That worked really well, very profitable for us. We’d built about an $800 million book, and we decided that we should get into the bigger market of indirect lending, which is the typical way it goes. We bought Foresight 18 months ago. It’s been a great transaction. It was a tuck-in transaction. Now we can offer both kinds of loans. Auto is lower law, so it’s a little bit, it gives us some lower volatility and a different lower risk-adjusted returns.

The returns are slightly lower, but we like it as a use of capital. Both of them, we’ve been very measured in pacing it. We’re going to stay measured, especially with the uncertainty of the economy. We built both of those platforms. If we decide to give them the green light for growth, they’re ready.

Terry Mauck, Consumer Finance Analyst, Barclays: Okay. Speaking of growth, ultimately, what should we expect in terms of growth from those two?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, I think some of it, as I just mentioned, is macro-dependent. You know, I’ve said this a lot, but the way we run our business is we don’t chase growth. Growth is an output. We have our credit box, our customer experience, our returns that we have to have, and we lend into that. Those are faster growing than our loan book. They’re much bigger markets. You know, we are, our card, we have about $750 million, and it’s a $500 billion market. There’s plenty of room for growth. Auto, we have, you know, close to $2.5 billion of auto loans now, and it’s a $600 billion, the non-prime market. We’ll see what the pace is, but they definitely will be additive to our growth.

What I like about them, and I talked about our company, there’s very few financial service companies that have the kinds of profit margins we have and the opportunity for growth that we have.

Terry Mauck, Consumer Finance Analyst, Barclays: Got it. We’ll switch gears. What are you seeing in the environment with respect to competition, and are our competitors acting rationally?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, I mean, look, it’s a constructive competitive environment. The stat you gave that we’re having nice loan growth and 60% of our loans are in our top two risk tiers, which are the more competitive risk tiers where they have a lot more loan offers. We feel really well positioned. Right now there’s a lot of competitors. The market, the kind of credit markets to lend to lenders, was very tight in 2022, 2023. It got better in 2024, 2025. It was never tight for us. We have a balance sheet that people know our credit history. We have unsecured debt. We have ABS. We have whole loan partners. We were never tight, but competitors that have much more volatility in their losses, much less history, and depth of capital markets access didn’t have capital a few years ago. Now there’s plenty of capital for them.

The competitive environment is, I’d say, it’s constructive for us as evidenced by the loans we’re booking. There’s plenty of competitors, and we’re always watching our competitors. What I would say, even though you’ve seen a lot of originations this year from some of the smaller players, newer players, fintechs, it’s still not as frothy as it was in 2022. I think a lot of the debt providers are a little more discerning. We also, from what we can tell, get really good terms compared to our competitors. The competitive environment is going to come and go. We really like our positioning with loyal customers, world-class underwriting, all the things we’ve done for customer experience over time, our balance sheet. We feel good about the competitive environment.

Terry Mauck, Consumer Finance Analyst, Barclays: Okay, so when you put everything together, you guys got it to $1,250 per share of capital. In the medium term at your investor day, you still tracking with that target?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, we’re going to get to $1,250, and we like the trajectory we’re on. This year we had a significant year-over-year uptick in capital generation. Again, assuming the macro holds, there’s a lot of tailwinds for us to keep moving up in capital generation in the years to come. The most significant is the credit that we talked about is, you know, we like where the credit is now, and that should keep the losses should keep moving down. If interest rates, you know, stabilize or even go down a little bit, it could be a little bit of tailwinds for us. We’re confident we’re moving towards that $1,250. You know, all the pieces are in place for us to win in the market. You know, credit’s looking really good. We’ve been doing a lot of product innovation. We’ve now added a couple of complementary products.

Our balance sheet is as strong as it’s ever been, and so, you know, we like where we are, and we stand by, you know, headed towards $1,250 a share of capital generation.

Terry Mauck, Consumer Finance Analyst, Barclays: Okay. Great. We have three to four minutes left. I’ll open it up to Q&A from the audience if there is any. Okay. No questions. Maybe I’ll have one more. Can you maybe just talk about capital allocation? You guys obviously have the dividend. How do you kind of think about that kind of going forward?

Doug Shulman, CEO, OneMain Holdings Inc.: Yeah, look, we have our capital allocation strategy, and we’re quite disciplined in it. Number one, we use our capital to invest back into the business to position us for medium and long-term strength and competitive outperformance. We’ll put capital against every loan, you know, whether it’s a personal loan, credit card, auto loan that gets us that 20% return because that kicks off more capital that, you know, creates more opportunities for that. We’ll put into tech and digital and people and infrastructure and all the things you need to do to make sure we’re a great company. We’ve got a very healthy, you know, 7%-ish dividend. That’s sacrosanct to us. That gives a nice, you know, just kind of guaranteed capital return to our shareholders every year. What remains is, you know, we look at it opportunistically. Lately, we’ve been using it for buybacks.

If there’s something strategic we decide we’ll do. What I would say is, you know, we didn’t have a lot of excess capital when we went into a, you know, more stressed non-prime consumer cycle in 2022, 2023, 2024. We’ve had more capital recently, and we’ve been using it for buyback. You know, that will be a part of our strategy going forward. All our modeling going out, I talked about where we’re headed for profitability. We’ll have more excess capital available for buybacks and other things.

Terry Mauck, Consumer Finance Analyst, Barclays: Okay. Great. There are no more questions. Any more questions from the audience? I think we’ll wrap it up there.

Doug Shulman, CEO, OneMain Holdings Inc.: Great, thank you very much.

Terry Mauck, Consumer Finance Analyst, Barclays: Thank you.

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