# ASC 310-20-30: Receivables — Nonrefundable Fees and Other Costs — 30 Initial Measurement Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/310/20/#30-initial-measurement) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-09T23:25:57.651Z to 2026-09-09T23:25:57.651Z Record version: sha256:709b21fa85ae88809df0614c79d8fa521539527f2d8c6406de0bee94fa72c8cf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 310-20-30: 30 Initial Measurement [Read section](https://asc.understandingaccounting.org/asc/310/20/#30-initial-measurement) SEC content: no ##### [310-20-30-1](https://asc.understandingaccounting.org/asc/310/20/#310-20-30-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:25:57.651Z to 2026-09-09T23:25:57.651Z Record version: sha256:8865c90c78a9e34e0f946042beef70340532b5ae6b0c097c2ae944c1c3f02302 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Section addresses the measurement of certain types of lending fees and costs, specifically: 1. a [Loan origination fees](https://asc.understandingaccounting.org/glossary/l/#loan-origination-fees "Origination fees consist of all of the following: Fees that are being charged to the borrower as prepaid interest or to reduce the loan's nominal interest rate, such as interest buy-downs (explicit yield adjustments) Fees to reimburse the lender for origination activities Other fees charged to the borrower that relate directly to making the loan (for example, fees that are paid to the lender as compensation for granting a complex loan or agreeing to lend quickly) Fees that are not conditional on a loan being granted by the lender that receives the fee but are, in substance, implicit yield adjustments because a loan is granted at rates or terms that would not have otherwise been considered absent the fee (for example, certain syndication fees addressed in paragraph 310-20-25-19) Fees charged to the borrower in connection with the process of originating, refinancing, or restructuring a loan. This term includes, but is not limited to, points, management, arrangement, placement, application, underwriting, and other fees pursuant to a lending or leasing transaction and also includes syndication and participation fees to the extent they are associated with the portion of the loan retained by the lender.") and costs 2. b Syndication fees 3. c Purchase of a [loan](https://asc.understandingaccounting.org/glossary/l/#loan "A contractual right to receive money on demand or on fixed or determinable dates that is recognized as an asset in the creditor's statement of financial position. Examples include but are not limited to accounts receivable (with terms exceeding one year) and notes receivable. This definition encompasses loans accounted for as debt securities.") or group of loans. #### Loan Origination Fees and Costs ##### [310-20-30-2](https://asc.understandingaccounting.org/asc/310/20/#310-20-30-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:25:57.651Z to 2026-09-09T23:25:57.651Z Record version: sha256:92ca7fc9a2d412f544ec73eb60f61e5e77d76a7e816d08a8b2ce7f08115dab06 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Loan origination fees and related [direct loan origination costs](https://asc.understandingaccounting.org/glossary/d/#direct-loan-origination-costs "Direct loan origination costs represent costs associated with originating a loan. Direct loan origination costs of a completed loan shall include only the following: Incremental direct costs of loan origination incurred in transactions with independent third parties for that loan Certain costs directly related to specified activities performed by the lender for that loan. Those activities include all of the following: Evaluating the prospective borrower's financial condition Evaluating and recording guarantees, collateral, and other security arrangements Negotiating loan terms Preparing and processing loan documents Closing the transaction. The costs directly related to those activities shall include only that portion of the employees' total compensation and payroll-related fringe benefits directly related to time spent performing those activities for that loan and other costs related to those activities that would not have been incurred but for that loan. See Section 310-20-55 for examples of items.") for a given loan shall be offset and only the net amount shall be deferred. ##### [310-20-30-3](https://asc.understandingaccounting.org/asc/310/20/#310-20-30-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:25:57.651Z to 2026-09-09T23:25:57.651Z Record version: sha256:593edc5cd217ad01f97be9eeeed44685dfb0cd144a912fbea310524eb01f046d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For increasing interest rate loans, the recorded net investment in a loan may exceed the amount by which the borrower could settle the obligation but only if the excess results from a purchase premium (loans purchased) or loan costs that qualify for deferral in excess of loan fees (loans originated). #### Syndication Fees ##### [310-20-30-4](https://asc.understandingaccounting.org/asc/310/20/#310-20-30-4) Pending content: no Source downloaded (UTC): 2026-09-09T23:25:57.651Z to 2026-09-09T23:25:57.651Z Record version: sha256:be0ac2b4f122a1fb89657576e7f136be54489506e953f9aaff98d4844e4da613 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [310-20-25-19](https://asc.understandingaccounting.org/asc/310/20/#310-20-25-19) explains that, if the yield on the portion of the loan retained by the syndicator is less than the average yield to the other syndication participants after considering the fees passed through by the syndicator, the syndicator shall defer a portion of the syndication fee to produce a yield on the portion of the loan retained that is not less than the average yield on the loans held by the other syndication participants. #### Purchase of a Loan or Group of Loans ##### [310-20-30-5](https://asc.understandingaccounting.org/asc/310/20/#310-20-30-5) Pending content: no Source downloaded (UTC): 2026-09-09T23:25:57.651Z to 2026-09-09T23:25:57.651Z Record version: sha256:7f4f4cd8576e544b000966f7ff002556eecc88c6c6cc713a0d58a2061a8f46cf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The initial investment in a purchased loan or group of loans shall include the amount paid to the seller plus any fees paid or less any fees received. In applying the provisions of this Subtopic to loans purchased as a group, the purchaser may allocate the initial investment to the individual loans or may account for the initial investment in the aggregate.