Broadway Financial (BYFC) 10-Q 13 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 05, 2015
Entity Registrant Name	BROADWAY FINANCIAL CORP \DE\
Entity Central Index Key	1,001,171
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Voting common stock
Entity Common Stock, Shares Outstanding		21,405,188
Non-voting common stock
Entity Common Stock, Shares Outstanding		7,671,520

Consolidated Statements of Fina

Consolidated Statements of Financial Condition - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets
Cash and due from banks	$ 5,396	$ 5,740
Federal funds	46,265	15,050
Cash and cash equivalents	51,661	20,790
Securities available-for-sale, at fair value	15,647	17,075
Loans receivable held for sale, at lower of cost or fair value	81,985	19,481
Loans receivable held for investment, net of allowance of $6,923 and $8,465	195,154	276,643
Accrued interest receivable	1,050	1,216
Federal Home Loan Bank (FHLB) stock	2,915	4,254
Office properties and equipment, net	2,628	2,697
Real estate owned (REO)	2,178	2,082
Bank owned life insurance	2,851	2,821
Investment in affordable housing limited partnership	1,021	1,117
Other assets	2,129	2,687
Total assets	359,219	350,863
Liabilities:
Deposits	232,152	217,867
FHLB advances	77,500	86,000
Junior subordinated debentures	5,100	5,100
Advance payments by borrowers for taxes and insurance	1,037	1,081
Accrued expenses and other liabilities	3,782	3,557
Total liabilities	319,571	313,605
Stockholders' Equity:
Additional paid-in capital	44,669	44,669
Accumulated deficit	(4,088)	(6,539)
Accumulated other comprehensive income	104	165
Treasury stock-at cost, 103,991 shares at June 30, 2015 and December 31, 2014	(1,329)	(1,329)
Total stockholders' equity	39,648	37,258
Total liabilities and stockholders' equity	359,219	350,863
Common Stock | Voting common stock
Stockholders' Equity:
Common stock	215	215
Common Stock | Non-voting common stock
Stockholders' Equity:
Common stock	$ 77	$ 77

Consolidated Statements of Fin3

Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Allowance for loan losses (in dollars)	$ 6,923	$ 8,465
Treasury stock, shares	103,991	103,991
Common Stock | Voting common stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	21,509,179	21,509,179
Common stock, shares outstanding	21,405,188	21,405,188
Common Stock | Non-voting common stock
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	7,671,520	7,671,520
Common stock, shares outstanding	7,671,520	7,671,520

Consolidated Statements of Inco

Consolidated Statements of Income and Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Interest income:
Interest and fees on loans receivable	$ 3,779	$ 3,689	$ 7,503	$ 7,315
Interest on mortgage-backed and other securities	90	104	184	168
Other interest income	243	82	330	188
Total interest income	4,112	3,875	8,017	7,671
Interest expense:
Interest on deposits	435	427	850	888
Interest on borrowings	536	533	1,067	1,070
Total interest expense	971	960	1,917	1,958
Net interest income before recapture of loan losses	3,141	2,915	6,100	5,713
Recapture of loan losses	750	500	1,500	1,582
Net interest income after recapture of loan losses	3,891	3,415	7,600	7,295
Non-interest income:
Service charges	102	113	208	230
Net gain on sale of loans	380		514
Net loss on sale of REOs	(14)	(47)		(50)
CDFI grant			355	200
Other	24	(2)	58	17
Total non-interest income	492	64	1,135	397
Non-interest expense:
Compensation and benefits	1,670	1,607	3,438	3,195
Occupancy expense, net	287	296	586	580
Information services	245	218	462	437
Professional services	208	239	478	663
Office services and supplies	79	94	160	196
FDIC assessments	95	176	175	350
REO	164	377	200	425
Corporate insurance	102	116	196	228
Other	374	297	581	567
Total non-interest expense	3,224	3,420	6,276	6,641
Income before income taxes	1,159	59	2,459	1,051
Income tax expense	6		8	3
Net income	1,153	59	2,451	1,048
Other comprehensive income (loss), net of tax:
Change in unrealized gains (losses) on securities available-for-sale	(118)	94	(61)	73
Other comprehensive income (loss), net of tax	(118)	94	(61)	73
Comprehensive income	$ 1,035	$ 153	$ 2,390	$ 1,121
Earnings per common share - basic (in dollars per share)	$ 0.04	$ 0	$ 0.08	$ 0.05
Earnings per common share - diluted (in dollars per share)	$ 0.04	$ 0	$ 0.08	$ 0.05

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 2,451	$ 1,048
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Recapture of loan losses	(1,500)	(1,582)
Provision for losses on REO's	126	340
Depreciation	117	116
Net amortization of deferred loan origination costs	167	75
Net amortization of premiums on mortgage-backed securities	30	22
Amortization of investment in affordable housing limited partnership	96	96
Stock-based compensation expense		11
Earnings on bank owned life insurance	(30)	(33)
Originations of loans receivable held for sale	(31,479)
Proceeds from sales of loans receivable held for sale	14,781
Net gain on sales of loans	(514)
Net loss on sale of REO's		50
Amortization of deferred gain on debt restructuring		(74)
Stock-based compensation - non-employee		25
Net change in accrued interest receivable	166	(30)
Net change in other assets	558	56
Net change in advance payments by borrowers for taxes and insurance	(44)	38
Net change in accrued expenses and other liabilities	225	756
Net cash provided by (used in) operating activities	(14,850)	914
Cash flows from investing activities:
Net change in loans receivable held for investment	(8,204)	(17,459)
Proceeds from sales of loans receivable held for sale	44,725
Principal repayments on loans receivable held for sale	166
Available-for-sale securities:
Prepayments and amortizations	1,337	1,097
Purchases		(10,463)
Proceeds from sales of REO	621	2,219
Redemption of FHLB stock	1,527
Purchase of FHLB stock	(188)
Additions to office properties and equipment	(48)	(194)
Net cash provided by (used in) investing activities	39,936	(24,800)
Cash flows from financing activities:
Net change in deposits	14,285	326
Proceeds from FHLB advances	21,000	8,000
Repayments of FHLB advances	(29,500)	(8,000)
Net cash provided by financing activities	5,785	326
Net change in cash and cash equivalents	30,871	(23,560)
Cash and cash equivalents at beginning of the period	20,790	58,196
Cash and cash equivalents at end of the period	51,661	34,636
Supplemental disclosures of cash flow information:
Cash paid for interest	1,941	1,906
Cash paid for income taxes	2	3
Supplemental disclosures of non-cash investing and financing activities:
Transfers of loans receivable held for investment to REO	843	1,845
Transfers of loans receivable held for investment to loans receivable held for sale	$ 90,183
Issuance of common stock for services		$ 25

Basis of Financial Statement Pr

Basis of Financial Statement Presentation	6 Months Ended
	Jun. 30, 2015
Basis of Financial Statement Presentation
Basis of Financial Statement Presentation	NOTE (1) – Basis of Financial Statement Presentation The accompanying unaudited consolidated financial statements include Broadway Financial Corporation (the “Company”) and its wholly owned subsidiary, Broadway Federal Bank, f.s.b. (the “Bank”). Also included in the unaudited consolidated financial statements is Broadway Service Corporation, a wholly owned subsidiary of the Bank. All significant intercompany balances and transactions have been eliminated in consolidation. The unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions for quarterly reports on Form 10-Q. These unaudited consolidated financial statements do not include all disclosures associated with the Company’s consolidated annual financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2014 and, accordingly, should be read in conjunction with such audited consolidated financial statements. In the opinion of management, all adjustments (all of which are normal and recurring in nature) considered necessary for a fair presentation have been included. Operating results for the three and six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. Some items in the consolidated financial statements for the prior period were reclassified to conform to the current presentation. Reclassifications had no effect on prior period consolidated net income or loss or stockholders’ equity. Recent Accounting Pronouncements In January 2014, the FASB issued ASU 2014-01, “Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects”. ASU 2014-01 permits a reporting entity to make an accounting policy election to account for its investments in affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the amount of tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense or benefit. ASU 2014-01 becomes effective for interim and annual periods beginning on or after December 15, 2014, with early adoption permitted. The provisions of ASU 2014-01 must be applied retrospectively to all periods presented. Adopting this standard did not have a material impact on the Company’s consolidated financial statements. In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements - Going Concern (Subtopic 205-40) - Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern”. ASU 2014-15 incorporates into U.S. GAAP a requirement that management complete a going concern evaluation similar to that performed by an entity’s external auditor. Under the new guidance, management will be required to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements. Further, an entity must provide certain disclosures if there is substantial doubt about the entity’s ability to continue as a going concern. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods thereafter. Early adoption is permitted. Adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements. In January 2015, the FASB issued ASU 2015-01, “Income Statement - Extraordinary and Unusual Items (Subtopic 225-20) - Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items”. ASU 2015-01 eliminates from U.S. GAAP the concept of extraordinary items, which, among other things, required an entity to segregate extraordinary items considered to be unusual and infrequent from the results of ordinary operations and show the item separately in the income statement, net of tax, after income from continuing operations. ASU 2015-01 is effective for annual periods ending after December 15, 2015, and interim periods thereafter. Early adoption is permitted. Adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. Under ASU 2015-03, the Company will present debt issuance costs in the balance sheet as a reduction from the related debt liability rather than as an asset. Amortization of such costs will continue to be reported as interest expense. ASU 2015-03 is effective for annual periods ending after December 15, 2015, and interim periods thereafter. Early adoption is permitted. Retrospective adoption is required. Adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements.

Earnings Per Share of Common St

Earnings Per Share of Common Stock	6 Months Ended
	Jun. 30, 2015
Earnings Per Share of Common Stock
Earnings Per Share of Common Stock	NOTE (2) – Earnings Per Share of Common Stock Basic earnings per share of common stock is computed by dividing income available to common stockholders by the weighted average number of shares of common stock outstanding for the period. Diluted earnings per share of common stock is computed by dividing income available to common stockholders by the weighted average number of shares of common stock outstanding for the period, increased for the dilutive effect of common stock equivalents. The following table shows how the Company computed basic and diluted earnings per share of common stock for the three and six months ended June 30, 2015 and 2014: For the three months ended June 30, For the six months ended June 30, 2015 2014 2015 2014 (Dollars in thousands, except per share) Basic Net income $ $ $ $ Weighted average common shares outstanding Earnings per common share - basic $ $ $ $ Diluted Net income $ $ $ $ Weighted average common shares outstanding Add: dilutive effects of assumed exercises of stock options - - - - Weighted average common shares - fully dilutive Earnings per common share - diluted $ $ $ $ Stock options for 93,750 shares of common stock were not considered in computing diluted earnings per common share for the three and six months ended June 30, 2015 and 2014 because they were anti-dilutive.

Securities

Securities	6 Months Ended
	Jun. 30, 2015
Securities
Securities	NOTE (3) – Securities The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolios at June 30, 2015 and December 31, 2014 and the corresponding amounts of unrealized gains and losses which are recognized in accumulated other comprehensive income (loss): Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) June 30, 2015: Residential mortgage-backed $ $ $ - $ U.S. Government and federal agency - Total available-for-sale securities $ $ $ - $ December 31, 2014: Residential mortgage-backed $ $ $ - $ U.S. Government and federal agency - Total available-for-sale securities $ $ $ - $ At June 30, 2015, the Bank’s investment portfolio had an estimated remaining life of 4.6 years. The amortized cost and fair value of the investment securities portfolio are shown by contractual maturity at June 30, 2015. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date, primarily residential mortgage-backed securities, are shown separately. Available-for-Sale Maturity Amortized Cost Fair Value (In thousands) Within one year $ - $ - One to five years Five to ten years - - Beyond ten years - - Residential mortgage-backed Total $ $ At June 30, 2015 and December 31, 2014, securities pledged to secure public deposits had a carrying amount of $783 thousand and $1.2 million, respectively. At June 30, 2015 and December 31, 2014, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. There were no sales of securities during the three and six months ended June 30, 2015 and 2014.

Loans Receivable Held for Sale

Loans Receivable Held for Sale	6 Months Ended
	Jun. 30, 2015
Loans receivable held for sale
Loans Receivable Held for Sale
Loans Receivable Held for Sale	NOTE (4) – Loans Receivable Held for Sale Loans receivable held for sale at June 30, 2015 and December 31, 2014 totaled $82.0 million and $19.5 million, respectively, and consisted of multi-family loans. During the three and six months ended June 30, 2015, multi-family loans originated for sale totaled $18.9 million and $31.5 million, respectively. During the second quarter of 2015 , in order to comply with regulatory loan concentration guidelines, the Bank transferred $90.2 million of performing multi-family loans from held for investment to held for sale. During the three and six months ended June 30, 2015, loan sales totaled $46.8 million and $59.0 million, respectively.

Loans Receivable Held for Inves

Loans Receivable Held for Investment	6 Months Ended
	Jun. 30, 2015
Loans receivable held for investment
Loans Receivable Held for Investment
Loans Receivable Held for Investment	NOTE (5) – Loans Receivable Held for Investment Loans at June 30, 2015 and December 31, 2014 were as follows: June 30, 2015 December 31, 2014 (In thousands) Real estate: Single family $ $ Multi-family Commercial real estate Church Construction Commercial – other Consumer Gross loans receivable before deferred loan costs and premiums Unamortized net deferred loan costs and premiums Gross loans receivable Allowance for loan losses Loans receivable, net $ $ The following tables present the activity in the allowance for loan losses by loan type for the three and six months ended June 30, 2015 and 2014: Three Months Ended June 30, 2015 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - Recoveries - - - - - - Loans charged off - - - - - - Ending balance $ $ $ $ $ $ $ - $ Six Months Ended June 30, 2015 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - Recoveries - - - - - - Loans charged off - - - - - Ending balance $ $ $ $ $ $ $ - $ Three Months Ended June 30, 2014 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - - Recoveries - - - - - Loans charged off - - - - - Ending balance $ $ $ $ $ $ $ $ Six Months Ended June 30, 2014 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - Recoveries - - - - Loans charged off - - - Ending balance $ $ $ $ $ $ $ $ The following tables present the balance in the allowance for loan losses and the recorded investment (unpaid contractual principal balance less charge-offs, less interest applied to principal, plus unamortized deferred costs and premiums) by loan type and based on impairment method as of June 30, 2015 and December 31, 2014: June 30, 2015 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ $ $ $ $ - $ $ - $ Collectively evaluated for impairment - Total ending allowance balance $ $ $ $ $ $ $ - $ Loans: Loans individually evaluated for impairment $ $ $ $ $ - $ $ - $ Loans collectively evaluated for impairment Total ending loans balance $ $ $ $ $ $ $ $ December 31, 2014 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ $ $ $ $ - $ $ - $ Collectively evaluated for impairment Total ending allowance balance $ $ $ $ $ $ $ $ Loans: Loans individually evaluated for impairment $ $ $ $ $ - $ $ - $ Loans collectively evaluated for impairment Total ending loans balance $ $ $ $ $ $ $ $ The following table presents information related to loans individually evaluated for impairment by loan type as of June 30, 2015 and December 31, 2014: June 30, 2015 December 31, 2014 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated (In thousands) With no related allowance recorded: Single family $ $ $ - $ $ $ - Multi-family - - Commercial real estate - - Church - - Commercial - other - - With an allowance recorded: Single family Multi-family Commercial real estate Church Commercial -other Total $ $ $ $ $ $ The recorded investment in loans excludes accrued interest receivable due to immateriality. For purposes of this disclosure, the unpaid principal balance is not reduced for net charge-offs. The following tables present the monthly average of loans individually evaluated for impairment by loan type and the related interest income for the three and six months ended June 30, 2015 and 2014. Three Months Ended June 30, 2015 Six Months Ended June 30, 2015 Average Recorded Investment Cash Basis Interest Income Recognized Average Recorded Investment Cash Basis Interest Income Recognized (In thousands) Single family $ $ $ $ Multi-family Commercial real estate Church Commercial -other Total $ $ $ $ Three Months Ended June 30, 2014 Six Months Ended June 30, 2014 Average Recorded Investment Cash Basis Interest Income Recognized Average Recorded Investment Cash Basis Interest Income Recognized (In thousands) Single family $ $ $ $ Multi-family Commercial real estate Church Commercial -other Total $ $ $ $ Cash-basis interest income recognized represents cash received for interest payments on accruing impaired loans. Interest payments collected on non-accrual loans are characterized as payments of principal rather than payments of the outstanding accrued interest on the loans until the remaining principal on the non-accrual loans is considered to be fully collectible. Foregone interest income that would have been recognized had loans performed in accordance with their original terms amounted to $166 thousand and $328 thousand for the three months ended June 30, 2015 and 2014, respectively, and $450 thousand and $821 thousand for the six months ended June 30, 2015 and 2014, respectively, and were not included in the consolidated results of operations. The following tables present the aging of the recorded investment in past due loans as of June 30, 2015 and December 31, 2014 by loan type: June 30, 2015 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Current (In thousands) Loans receivable held for investment: Single family $ $ - $ - $ $ Multi-family - Commercial real estate - - - - Church Construction - - - - Commercial - other - - - - Consumer - - - - Total $ $ $ $ $ December 31, 2014 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Current (In thousands) Loans receivable held for investment: Single family $ - $ - $ - $ - $ Multi-family - - Commercial real estate - - Church - Construction - - - - Commercial - other - - Consumer - - - - Total $ $ $ $ $ The following table presents the recorded investment in non-accrual loans by loan type as of June 30, 2015 and December 31, 2014: June 30, 2015 December 31, 2014 (In thousands) Loans receivable held for investment: Single family $ $ Multi-family Commercial real estate Church Commercial - other Total non-accrual loans $ $ There were no loans 90 days or more delinquent that were accruing interest as of June 30, 2015 or December 31, 2014. Troubled Debt Restructurings At June 30, 2015, loans classified as troubled debt restructurings (“TDRs”) totaled $17.4 million, of which $5.1 million were included in non-accrual loans and $12.3 million were on accrual status. At December 31, 2014, loans classified as TDRs totaled $20.2 million, of which $5.5 million were included in non-accrual loans and $14.7 million were on accrual status. The Company has allocated $1.4 million and $1.3 million of specific reserves for accruing TDRs as of June 30, 2015 and December 31, 2014, respectively. TDRs on accrual status are comprised of loans that were accruing at the time of restructuring or loans that have complied with the terms of their restructured agreements for a satisfactory period of time, and for which the Bank anticipates full repayment of both principal and interest. TDRs that are on non-accrual status can be returned to accrual status after a period of sustained performance, generally determined to be six months of timely payments as modified. A well-documented credit analysis that supports a return to accrual status based on the borrower’s financial condition and prospects for repayment under the revised terms is also required. As of June 30, 2015 and December 31, 2014, the Company had no commitment to lend additional amounts to customers with outstanding loans that are classified as TDRs. No loans were modified during the three and six months ended June 30, 2015 and 2014. Credit Quality Indicators The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. For single family residential, consumer and other smaller balance homogenous loans, a credit grade is established at inception, and generally only adjusted based on performance. Information about payment status is disclosed elsewhere herein. The Company analyzes all other loans individually by classifying the loans as to credit risk. This analysis is performed at least on a quarterly basis. The Company uses the following definitions for risk ratings: · Watch. Loans classified as watch exhibit weaknesses that could threaten the current net worth and paying capacity of the obligors. Watch graded loans are generally performing and are not more than 59 days past due. A watch rating is used when a material deficiency exists but correction is anticipated within an acceptable time frame. · Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. · Substandard. Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. · Doubtful. Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. · Loss. Loans classified as loss are considered uncollectible and of such little value that to continue to carry the loan as an active asset is no longer warranted. Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. Pass rated loans are generally well protected by the current net worth and paying capacity of the obligor or by the value of the underlying collateral. Pass rated loans are not more than 59 days past due and are generally performing in accordance with the loan terms. Based on the most recent analysis performed, the risk category of loans by loan type as of June 30, 2015 and December 31, 2014 is as follows: June 30, 2015 Pass Watch Special Mention Substandard Doubtful Loss (In thousands) Single family $ $ - $ $ $ - $ - Multi-family - - - Commercial real estate - - - - Church - - Construction - - - - - Commercial - other - - - Consumer - - - - - Total $ $ $ $ $ $ - December 31, 2014 Pass Watch Special Mention Substandard Doubtful Loss (In thousands) Single family $ $ - $ $ $ - $ - Multi-family - - - Commercial real estate - - - Church - - - Construction - - - - - Commercial - other - - - - Consumer - - - - - Total $ $ - $ $ $ - $ -

Junior Subordinated Debentures

Junior Subordinated Debentures	6 Months Ended
	Jun. 30, 2015
Junior Subordinated Debentures:
Junior Subordinated Debentures	NOTE (6) – Junior Subordinated Debentures On March 17, 2004, the Company issued $6.0 million of Floating Rate Junior Subordinated Debentures (the “Debentures”) in a private placement to a trust that was capitalized to purchase subordinated debt and preferred stock of multiple community banks. Interest on the Debentures is payable quarterly at a rate per annum equal to the 3-Month LIBOR plus 2.54%. The interest rate is determined as of each March 17, June 17, September 17, and December 17, and was 2.82% at June 30, 2015. On October 16, 2014, the Company made payments of $900 thousand of principal on Debentures, executed a Supplemental Indenture for the Debentures that extended the maturity of the Debentures to March 17, 2024, and modified the payment terms of the remaining $5.1 million principal amount thereof. The modified terms of the Debentures require quarterly payments of interest only for the next five years at the original rate of 3-Month LIBOR plus 2.54%. Starting in June 2019, the Company will be required to make quarterly payments of equal amounts of principal, plus interest, until the Debentures are fully amortized on March 17, 2024. The Debentures may be called for redemption at any time by the Company.

Fair Value

Fair Value	6 Months Ended
	Jun. 30, 2015
Fair Value
Fair Value	NOTE (7) – Fair Value Fair value is the exchange price that would be received for an asset or paid to transfer a liability (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. There are three levels of inputs that may be used to measure fair values: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Company used the following methods and significant assumptions to estimate fair value: The fair values of securities available-for-sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs) or matrix pricing, which is a mathematical technique to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securities’ relationship to other benchmark quoted securities (Level 2 inputs). The fair value of impaired loans that are collateral dependent is generally based upon the fair value of the collateral which is obtained from recent real estate appraisals. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Assets acquired through or by transfer in lieu of loan foreclosure are initially recorded at fair value less costs to sell when acquired, establishing a new cost basis. These assets are subsequently accounted for at the lower of cost or fair value less estimated costs to sell. Fair value is commonly based on recent real estate appraisals which are updated every nine months. These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are usually significant and typically result in a Level 3 classification of the inputs for determining fair value. Real estate owned properties are evaluated on a quarterly basis for additional impairment and adjusted accordingly. Appraisals for collateral-dependent impaired loans and real estate owned are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, an independent third-party licensed appraiser reviews the appraisals for accuracy and reasonableness, reviewing the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. Assets Measured on a Recurring Basis Assets measured at fair value on a recurring basis are summarized below: Fair Value Measurements at June 30, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (In thousands) Assets: Securities available-for-sale - residential mortgage-backed $ - $ $ - $ Securities available-for-sale - U.S. Government and federal agency - - Fair Value Measurements at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (In thousands) Assets: Securities available-for-sale - residential mortgage-backed $ - $ $ - $ Securities available-for-sale - U.S. Government and federal agency - - There were no transfers between Level 1, Level 2, or Level 3 during the three and six months ended June 30, 2015 and 2014. Assets Measured on a Non-Recurring Basis Assets are considered to be reflected at fair value on a non-recurring basis if the fair value measurement of the instrument does not necessarily result in a change in the amount recorded on the balance sheet. Generally, a non-recurring valuation is the result of the application of other accounting pronouncements that require assets to be assessed for impairment or recorded at the lower of cost or fair value. The following table provides information regarding the carrying values of our assets measured at fair value on a non-recurring basis at the dates indicated. The fair value measurement for all of these assets falls within Level 3 of the fair value hierarchy, except for loans receivable held for sale which is a Level 2 classification. June 30, 2015 December 31, 2014 (In thousands) Assets: Impaired loans carried at fair value of collateral: Single family Multi-family - Commercial real estate Church Real estate owned: Church The following tables present quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at June 30, 2015 and December 31, 2014: June 30, 2015 Fair Value Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired loans – single family $ Sales comparison approach Adjustment for differences between the comparable sales -9% to -3% (-6%) Impaired loans – commercial real estate Sales comparison approach Adjustment for differences between the comparable sales -1% to 1% (-1%) Income approach Capitalization rate 4.75% to 7.25% (6.58%) Impaired loans – church Sales comparison approach Adjustment for differences between the comparable sales -12% to 14% (4%) Real estate owned – church Sales comparison approach Adjustment for differences between the comparable sales 2% to 29% (10%) Income approach Capitalization rate 6.50% December 31, 2014 Fair Value Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired loans – single family $ Sales comparison approach Adjustment for differences between the comparable sales -1% to 9% (-4%) Impaired loans – multi-family Sales comparison approach Adjustment for differences between the comparable sales -18% Income approach Capitalization rate 7% Impaired loans – commercial real estate Sales comparison approach Adjustment for differences between the comparable sales 0% to 1% (0%) Income approach Capitalization rate 5% to 7.25% (6.64%) Impaired loans – church Sales comparison approach Adjustment for differences between the comparable sales -12% to 18% (5%) Income approach Capitalization rate 6% Real estate owned – church Sales comparison approach Adjustment for differences between the comparable sales -1% to 2% (0%) Fair Values of Financial Instruments The carrying amounts and estimated fair values of financial instruments, at June 30, 2015 and December 31, 2014 were as follows: Fair Value Measurements at June 30, 2015 Carrying Value Level 1 Level 2 Level 3 Total (In thousands) Financial Assets: Cash and cash equivalents $ $ $ - $ - $ Securities available-for-sale - Loans receivable held for sale - - Loans receivable held for investment - - Accrued interest receivable Federal Home Loan Bank stock - - Financial Liabilities: Deposits $ $ - $ $ - $ Federal Home Loan Bank advances - - Junior subordinated debentures - - Accrued interest payable Fair Value Measurements at December 31, 2014 Carrying Value Level 1 Level 2 Level 3 Total (In thousands) Financial Assets: Cash and cash equivalents $ $ $ - $ - $ Securities available-for-sale - Loans receivable held for sale - - Loans receivable held for investment - - Accrued interest receivable Federal Home Loan Bank stock - - Financial Liabilities: Deposits $ $ - $ $ - $ Federal Home Loan Bank advances - - Junior subordinated debentures - - Accrued interest payable - The methods and assumptions, not previously presented, used to estimate fair values are described as follows: (a) Cash and Cash Equivalents The carrying amounts of cash and cash equivalents approximate fair values and are classified as Level 1. (b) Loans Receivable Held for Sale The Company’s loans receivable held for sale are carried at the lower of cost or fair value. The fair value of loans receivable held for sale is determined by pricing for comparable assets or by outstanding commitments from third party investors, resulting in a Level 2 classification. (c) Loans Receivable Held for Investment Fair values of loans, excluding loans receivable held for sale, are estimated as follows: For variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values resulting in a Level 3 classification. Fair values for other loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms to borrowers of similar credit quality resulting in a Level 3 classification. Impaired loans are valued at the lower of cost or fair value as described previously. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price. (d) FHLB Stock The carrying value of FHLB stock approximates its fair value as the shares can only be redeemed by the FHLB at par. (e) Accrued Interest Receivable/Payable The carrying amounts of accrued interest receivable/payable approximate their fair value and are classified the same as the related asset. (f) Deposits The fair values disclosed for demand deposits (e.g., interest and non-interest checking, passbook savings, and certain types of money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amount) resulting in Level 2 classification. Fair values for fixed rate certificates of deposit are estimated using discounted cash flow calculations that apply interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits resulting in a Level 2 classification. (g) Federal Home Loan Bank Advances The fair values of the Federal Home Loan Bank advances are estimated using discounted cash flow analyses based on the current borrowing rates for similar types of borrowing arrangements resulting in a Level 2 classification. (h) Junior Subordinated Debentures The fair values of the Debentures are estimated using discounted cash flow analyses based on the current borrowing rates for similar types of borrowing arrangements resulting in a Level 3 classification.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2015
Stock based Compensation
Stock-based Compensation	NOTE (8) – Stock-based Compensation In 2008, the Company adopted the 2008 Long-Term Incentive Plan (“2008 LTIP”), which was approved by its stockholders. The 2008 LTIP permits the grant of non-qualified and incentive stock options, stock appreciation rights, full value awards and cash incentive awards to the Company’s non-employee directors and certain officers and employees for up to 2,000,000 shares of common stock. Option awards are generally granted with an exercise price equal to the market price of the Company’s common stock at the date of grant; the option awards have vesting periods ranging from immediate vesting to 5 years and have 10-year contractual terms. No options were granted during the three and six months ended June 30, 2015 and 2014. The Company recorded no stock-based compensation expense during the three and six months ended June 30, 2015, compared to $11 thousand and $22 thousand of stock-based compensation expense recorded during the three and six months ended June 30, 2014.

Regulatory Matters

Regulatory Matters	6 Months Ended
	Jun. 30, 2015
Regulatory Matters
Regulatory Matters	NOTE (9) – Regulatory Matters Effective September 9, 2010, the Company and the Bank agreed to the issuance of cease and desist orders (the “Orders”) by the Office of Thrift Supervision, which was succeeded by the Office of the Comptroller of the Currency (“OCC”). The Order applicable to the Company prohibits the Company from paying dividends to its stockholders without the prior written approval of the FRB, which is now the federal regulator for savings and loan holding companies. In addition, the Company is not permitted to incur, issue, renew, repurchase, make payments on or increase any debt or redeem any capital stock without prior notice to and receipt of written notice of non-objection from the FRB. Effective October 30, 2013, the Bank entered into a Consent Order with the OCC, which superseded the Order applicable to the Bank. The Bank’s capital requirements are administered by the OCC and involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by the OCC. Failure to meet capital requirements can result in regulatory action. As part of the Consent Order, the Bank is required to maintain a Tier 1 Leverage ratio (Tier 1 capital to adjusted total assets) of at least 9% and a Total Capital ratio (Total capital to risk-weighted assets) of at least 13%, both of which ratios are greater than the respective 4% and 8% levels for such ratios that are generally required under OCC regulations. The Federal Reserve and the Federal Deposit Insurance Corporation approved final capital rules in July 2013 that substantially amend the existing capital rules for banks. These new rules reflect, in part, certain standards initially adopted by the Basel Committee on Banking Supervision in December 2010 (which standards are commonly referred to as “Basel III”) as well as requirements contemplated by the Dodd-Frank Act. Beginning in the first quarter of 2015, the Bank became subject to the Basel III capital requirements, including the standardized approach for calculating risk-weighted assets in accordance with subpart D of the final capital rule. The final rules revise the definition and calculation of Tier 1 capital, Total capital, and include a new Common Equity Tier 1 capital. Common Equity Tier 1 capital primarily includes common shareholders’ equity less certain deductions for goodwill and other intangibles, net of related taxes, MSRs and related deferred taxes that arise from tax loss and credit carryforwards. Tier 1 capital is primarily comprised of Common Equity Tier 1 capital, perpetual preferred stock and certain qualifying capital instruments that are subject to phase-out from Tier 1 capital. Tier 2 capital primarily includes qualifying subordinated debt and qualifying ALLL. The new capital rules include a new Common Equity Tier 1 capital to risk-weighted assets minimum ratio of 4.5%, raise the minimum ratio of Tier 1 capital to risk-weighted assets from 4.0% to 6.0%, require a minimum ratio of Total capital to risk-weighted assets of 8.0%, and require a minimum Tier 1 Leverage ratio of 4.0%. A new capital conservation buffer is also established above the regulatory minimum capital requirements. This capital conservation buffer will be phased in beginning January 1, 2016 at 0.625% of risk-weighted assets and will increase each subsequent year by an additional 0.625% until reaching its final level of 2.5% on January 1, 2019. An institution that does not meet the conservation buffer will be subject to restrictions on certain activities, including payment of dividends, stock repurchases, and discretionary bonuses to executive officers. The Bank met the minimum capital requirements under the Consent Order at June 30, 2015 and December 31, 2014. Actual and required capital amounts and ratios at June 30, 2015 and December 31, 2014, together with the higher capital requirements that the Bank is required to meet under the Consent Order applicable to it, are presented below. Actual Required for Capital Adequacy Purposes Capital Requirements under Consent Order Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) June 30, 2015: Tier 1 Leverage $ 11.89% $ 4.00% $ 9.00% Common Equity Tier 1 $ 17.87% $ 4.50% N/A N/A Tier 1 $ 17.87% $ 6.00% N/A N/A Total Capital $ 19.14% $ 8.00% $ 13.00% December 31, 2014: Tier 1 Leverage $ 11.34% $ 4.00% $ 9.00% Tier 1 $ 16.41% $ 4.00% N/A N/A Total Capital $ 17.69% $ 8.00% $ 13.00%

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Taxes
Income Taxes	NOTE (10) – Income Taxes The Company and its subsidiaries are subject to U.S. federal and state income taxes. Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all, of the deferred tax asset will not be realized. In assessing the realization of deferred tax assets, management evaluates both positive and negative evidence, including the existence of cumulative losses in the current year and the prior two years, the amount of taxes paid in available carry-back years, the forecasts of future income and tax planning strategies. This analysis is updated quarterly. Based on this analysis, the Company determined that a valuation allowance of $7.9 million was required as of June 30, 2015, resulting in $0 net deferred tax assets. The Company recorded a valuation allowance of $8.8 million and $0 net deferred tax assets as of December 31, 2014. The decreases in the valuation allowance for the three and six months ended June 30, 2015 were $387 thousand and $877 thousand, respectively.

Basis of Financial Statement 16

Basis of Financial Statement Presentation (Policies)	6 Months Ended
	Jun. 30, 2015
Basis of Financial Statement Presentation
Recent Accounting Pronouncements	Recent Accounting Pronouncements In January 2014, the FASB issued ASU 2014-01, “Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Qualified Affordable Housing Projects”. ASU 2014-01 permits a reporting entity to make an accounting policy election to account for its investments in affordable housing projects using the proportional amortization method if certain conditions are met. Under the proportional amortization method, an entity amortizes the initial cost of the investment in proportion to the amount of tax credits and other tax benefits received and recognizes the net investment performance in the income statement as a component of income tax expense or benefit. ASU 2014-01 becomes effective for interim and annual periods beginning on or after December 15, 2014, with early adoption permitted. The provisions of ASU 2014-01 must be applied retrospectively to all periods presented. Adopting this standard did not have a material impact on the Company’s consolidated financial statements. In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements - Going Concern (Subtopic 205-40) - Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern”. ASU 2014-15 incorporates into U.S. GAAP a requirement that management complete a going concern evaluation similar to that performed by an entity’s external auditor. Under the new guidance, management will be required to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements. Further, an entity must provide certain disclosures if there is substantial doubt about the entity’s ability to continue as a going concern. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods thereafter. Early adoption is permitted. Adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements. In January 2015, the FASB issued ASU 2015-01, “Income Statement - Extraordinary and Unusual Items (Subtopic 225-20) - Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items”. ASU 2015-01 eliminates from U.S. GAAP the concept of extraordinary items, which, among other things, required an entity to segregate extraordinary items considered to be unusual and infrequent from the results of ordinary operations and show the item separately in the income statement, net of tax, after income from continuing operations. ASU 2015-01 is effective for annual periods ending after December 15, 2015, and interim periods thereafter. Early adoption is permitted. Adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. Under ASU 2015-03, the Company will present debt issuance costs in the balance sheet as a reduction from the related debt liability rather than as an asset. Amortization of such costs will continue to be reported as interest expense. ASU 2015-03 is effective for annual periods ending after December 15, 2015, and interim periods thereafter. Early adoption is permitted. Retrospective adoption is required. Adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements.

Earnings (Loss) Per Common Shar

Earnings (Loss) Per Common Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share of Common Stock
Schedule of basic and diluted earnings per share of common stock	For the three months ended June 30, For the six months ended June 30, 2015 2014 2015 2014 (Dollars in thousands, except per share) Basic Net income $ $ $ $ Weighted average common shares outstanding Earnings per common share - basic $ $ $ $ Diluted Net income $ $ $ $ Weighted average common shares outstanding Add: dilutive effects of assumed exercises of stock options - - - - Weighted average common shares - fully dilutive Earnings per common share - diluted $ $ $ $

Securities (Tables)

Securities (Tables)	6 Months Ended
	Jun. 30, 2015
Securities
Summary of amortized cost and fair value of available-for-sale investment securities and corresponding amounts of unrealized gains (losses)	Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (In thousands) June 30, 2015: Residential mortgage-backed $ $ $ - $ U.S. Government and federal agency - Total available-for-sale securities $ $ $ - $ December 31, 2014: Residential mortgage-backed $ $ $ - $ U.S. Government and federal agency - Total available-for-sale securities $ $ $ - $
Schedule of amortized cost and fair value of the investment securities portfolios by contractual maturity	Available-for-Sale Maturity Amortized Cost Fair Value (In thousands) Within one year $ - $ - One to five years Five to ten years - - Beyond ten years - - Residential mortgage-backed Total $ $

Loans Receivable Held for Inv19

Loans Receivable Held for Investment (Tables)	6 Months Ended
	Jun. 30, 2015
Loans Receivable Held for Investment
Schedule of loans receivable	June 30, 2015 December 31, 2014 (In thousands) Real estate: Single family $ $ Multi-family Commercial real estate Church Construction Commercial – other Consumer Gross loans receivable before deferred loan costs and premiums Unamortized net deferred loan costs and premiums Gross loans receivable Allowance for loan losses Loans receivable, net $ $
Activity in the allowance for loan losses by loan type	Three Months Ended June 30, 2015 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - Recoveries - - - - - - Loans charged off - - - - - - Ending balance $ $ $ $ $ $ $ - $ Six Months Ended June 30, 2015 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - Recoveries - - - - - - Loans charged off - - - - - Ending balance $ $ $ $ $ $ $ - $ Three Months Ended June 30, 2014 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - - Recoveries - - - - - Loans charged off - - - - - Ending balance $ $ $ $ $ $ $ $ Six Months Ended June 30, 2014 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Beginning balance $ $ $ $ $ $ $ $ Provision for (recapture of) loan losses - Recoveries - - - - Loans charged off - - - Ending balance $ $ $ $ $ $ $ $
Allowance for loan losses and recorded investment in loans by type of loans and based on impairment method	June 30, 2015 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ $ $ $ $ - $ $ - $ Collectively evaluated for impairment - Total ending allowance balance $ $ $ $ $ $ $ - $ Loans: Loans individually evaluated for impairment $ $ $ $ $ - $ $ - $ Loans collectively evaluated for impairment Total ending loans balance $ $ $ $ $ $ $ $ December 31, 2014 Real Estate Single family Multi- family Commercial real estate Church Construction Commercial - other Consumer Total (In thousands) Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ $ $ $ $ - $ $ - $ Collectively evaluated for impairment Total ending allowance balance $ $ $ $ $ $ $ $ Loans: Loans individually evaluated for impairment $ $ $ $ $ - $ $ - $ Loans collectively evaluated for impairment Total ending loans balance $ $ $ $ $ $ $ $
Loans individually evaluated for impairment by loan type	June 30, 2015 December 31, 2014 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated (In thousands) With no related allowance recorded: Single family $ $ $ - $ $ $ - Multi-family - - Commercial real estate - - Church - - Commercial - other - - With an allowance recorded: Single family Multi-family Commercial real estate Church Commercial -other Total $ $ $ $ $ $
Average of loans individually evaluated for impairment by loan type and related interest income	Three Months Ended June 30, 2015 Six Months Ended June 30, 2015 Average Recorded Investment Cash Basis Interest Income Recognized Average Recorded Investment Cash Basis Interest Income Recognized (In thousands) Single family $ $ $ $ Multi-family Commercial real estate Church Commercial -other Total $ $ $ $ Three Months Ended June 30, 2014 Six Months Ended June 30, 2014 Average Recorded Investment Cash Basis Interest Income Recognized Average Recorded Investment Cash Basis Interest Income Recognized (In thousands) Single family $ $ $ $ Multi-family Commercial real estate Church Commercial -other Total $ $ $ $
Aging of recorded investment in past due loans by loan type	June 30, 2015 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Current (In thousands) Loans receivable held for investment: Single family $ $ - $ - $ $ Multi-family - Commercial real estate - - - - Church Construction - - - - Commercial - other - - - - Consumer - - - - Total $ $ $ $ $ December 31, 2014 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Current (In thousands) Loans receivable held for investment: Single family $ - $ - $ - $ - $ Multi-family - - Commercial real estate - - Church - Construction - - - - Commercial - other - - Consumer - - - - Total $ $ $ $ $
Recorded investment in nonaccrual loans by loan type	June 30, 2015 December 31, 2014 (In thousands) Loans receivable held for investment: Single family $ $ Multi-family Commercial real estate Church Commercial - other Total non-accrual loans $ $
Risk category of loans by loan type	June 30, 2015 Pass Watch Special Mention Substandard Doubtful Loss (In thousands) Single family $ $ - $ $ $ - $ - Multi-family - - - Commercial real estate - - - - Church - - Construction - - - - - Commercial - other - - - Consumer - - - - - Total $ $ $ $ $ $ - December 31, 2014 Pass Watch Special Mention Substandard Doubtful Loss (In thousands) Single family $ $ - $ $ $ - $ - Multi-family - - - Commercial real estate - - - Church - - - Construction - - - - - Commercial - other - - - - Consumer - - - - - Total $ $ - $ $ $ - $ -

Fair Value (Tables)

Fair Value (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value
Summary of assets measured at fair value on recurring basis	Fair Value Measurements at June 30, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (In thousands) Assets: Securities available-for-sale - residential mortgage-backed $ - $ $ - $ Securities available-for-sale - U.S. Government and federal agency - - Fair Value Measurements at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (In thousands) Assets: Securities available-for-sale - residential mortgage-backed $ - $ $ - $ Securities available-for-sale - U.S. Government and federal agency - -
Schedule of carrying values of assets measured at fair value on non-recurring basis	June 30, 2015 December 31, 2014 (In thousands) Assets: Impaired loans carried at fair value of collateral: Single family Multi-family - Commercial real estate Church Real estate owned: Church
Schedule of quantitative information on financial instruments measured on non-recurring basis	June 30, 2015 Fair Value Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired loans – single family $ Sales comparison approach Adjustment for differences between the comparable sales -9% to -3% (-6%) Impaired loans – commercial real estate Sales comparison approach Adjustment for differences between the comparable sales -1% to 1% (-1%) Income approach Capitalization rate 4.75% to 7.25% (6.58%) Impaired loans – church Sales comparison approach Adjustment for differences between the comparable sales -12% to 14% (4%) Real estate owned – church Sales comparison approach Adjustment for differences between the comparable sales 2% to 29% (10%) Income approach Capitalization rate 6.50% December 31, 2014 Fair Value Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in thousands) Impaired loans – single family $ Sales comparison approach Adjustment for differences between the comparable sales -1% to 9% (-4%) Impaired loans – multi-family Sales comparison approach Adjustment for differences between the comparable sales -18% Income approach Capitalization rate 7% Impaired loans – commercial real estate Sales comparison approach Adjustment for differences between the comparable sales 0% to 1% (0%) Income approach Capitalization rate 5% to 7.25% (6.64%) Impaired loans – church Sales comparison approach Adjustment for differences between the comparable sales -12% to 18% (5%) Income approach Capitalization rate 6% Real estate owned – church Sales comparison approach Adjustment for differences between the comparable sales -1% to 2% (0%)
Schedule of carrying amounts and estimated fair values of financial instruments	Fair Value Measurements at June 30, 2015 Carrying Value Level 1 Level 2 Level 3 Total (In thousands) Financial Assets: Cash and cash equivalents $ $ $ - $ - $ Securities available-for-sale - Loans receivable held for sale - - Loans receivable held for investment - - Accrued interest receivable Federal Home Loan Bank stock - - Financial Liabilities: Deposits $ $ - $ $ - $ Federal Home Loan Bank advances - - Junior subordinated debentures - - Accrued interest payable Fair Value Measurements at December 31, 2014 Carrying Value Level 1 Level 2 Level 3 Total (In thousands) Financial Assets: Cash and cash equivalents $ $ $ - $ - $ Securities available-for-sale - Loans receivable held for sale - - Loans receivable held for investment - - Accrued interest receivable Federal Home Loan Bank stock - - Financial Liabilities: Deposits $ $ - $ $ - $ Federal Home Loan Bank advances - - Junior subordinated debentures - - Accrued interest payable -

Regulatory Capital Matters (Tab

Regulatory Capital Matters (Tables)	6 Months Ended
	Jun. 30, 2015
Regulatory Matters
Schedule of actual and required capital amounts and ratios	Actual Required for Capital Adequacy Purposes Capital Requirements under Consent Order Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) June 30, 2015: Tier 1 Leverage $ 11.89% $ 4.00% $ 9.00% Common Equity Tier 1 $ 17.87% $ 4.50% N/A N/A Tier 1 $ 17.87% $ 6.00% N/A N/A Total Capital $ 19.14% $ 8.00% $ 13.00% December 31, 2014: Tier 1 Leverage $ 11.34% $ 4.00% $ 9.00% Tier 1 $ 16.41% $ 4.00% N/A N/A Total Capital $ 17.69% $ 8.00% $ 13.00%

Earnings Per Share of Common 22

Earnings Per Share of Common Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Basic
Net income	$ 1,153	$ 59	$ 2,451	$ 1,048
Weighted average common shares outstanding	29,076,708	20,243,948	29,076,708	20,234,368
Earnings per common share - basic (in dollars per share)	$ 0.04	$ 0	$ 0.08	$ 0.05
Diluted
Net income	$ 1,153	$ 59	$ 2,451	$ 1,048
Weighted average common shares outstanding	29,076,708	20,243,948	29,076,708	20,234,368
Weighted average common shares - fully dilutive	29,076,708	20,243,948	29,076,708	20,234,368
Earnings per common share - diluted (in dollars per share)	$ 0.04	$ 0	$ 0.08	$ 0.05
Anti-dilutive stock options not considered in computing diluting earnings (loss) per common share	93,750	93,750	93,750	93,750

Securities (Details)

Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Securities
Amortized Cost	$ 15,143	$ 16,510
Gross Unrealized Gains	504	565
Fair Value	15,647	17,075
Residential mortgage-backed
Securities
Amortized Cost	13,204	14,578
Gross Unrealized Gains	470	540
Fair Value	13,674	15,118
U.S. Government and federal agency
Securities
Amortized Cost	1,939	1,932
Gross Unrealized Gains	34	25
Fair Value	$ 1,973	$ 1,957

Securities (Details 2)

Securities (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Securities
Estimated remaining term			4 years 7 months 6 days
Amortized Cost
One to five years	$ 1,939		$ 1,939
Residential mortgage-backed	13,204		13,204
Total	15,143		15,143
Fair Value
One to five years	1,973		1,973
Residential mortgage-backed	13,674		13,674
Total	15,647		15,647
Securities pledged	783		783		$ 1,200
Securities of any one issuer, other than U.S. Government, greater than 10% of shareholders equity	0		$ 0		$ 0
Shareholders equity representing a concentration risk for any one securities investment (as a percent)			10.00%
Sales of securities	$ 0	$ 0	$ 0	$ 0

Loans Receivable Held for Sale

Loans Receivable Held for Sale (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
Loans Receivable Held for Sale
Loans receivable held for sale	$ 81,985	$ 81,985	$ 19,481
Payments for Origination of Mortgage Loans Held-for-sale		31,479
Transfer of loan held in portfolio to held-for-sale		90,183
Loan sales	46,800	59,000
Multi-family
Loans Receivable Held for Sale
Loans receivable held for sale	82,000	82,000	$ 19,500
Payments for Origination of Mortgage Loans Held-for-sale	18,900	$ 31,500
Transfer of loan held in portfolio to held-for-sale	$ 90,200

Loans Receivable Held for Inv26

Loans Receivable Held for Investment (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	$ 201,477		$ 283,563
Unamortized net deferred loan costs and premium	600		1,545
Total ending loans balance	202,077		285,108
Allowance for loan losses	(6,923)	$ (7,671)	(8,465)	$ (9,376)	$ (10,091)	$ (10,146)
Loans receivable, net	195,154		276,643
Single family
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	34,200		39,792
Total ending loans balance	34,422		40,055
Allowance for loan losses	(1,150)	(1,164)	(1,174)	(1,849)	(1,874)	(1,930)
Multi-family
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	103,947		171,792
Total ending loans balance	104,813		173,550
Allowance for loan losses	(1,845)	(2,741)	(2,726)	(2,304)	(2,107)	(1,726)
Commercial real estate
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	12,979		16,722
Total ending loans balance	12,988		16,719
Allowance for loan losses	(404)	(436)	(496)	(1,081)	(1,212)	(1,473)
Church
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	49,729		54,599
Total ending loans balance	49,232		54,127
Allowance for loan losses	(3,508)	(3,314)	(4,047)	(4,112)	(4,867)	(4,949)
Construction
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	366		387
Total ending loans balance	366		387
Allowance for loan losses	(4)	(4)	(7)	(7)	(7)	(7)
Commercial - other
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	252		262
Total ending loans balance	252		261
Allowance for loan losses	(12)	(11)	(12)	(19)	(20)	(55)
Consumer
Loans Receivable Held for Investment
Gross loans receivable before deferred loan costs and premiums	4		9
Total ending loans balance	$ 4		9
Allowance for loan losses		$ (1)	$ (3)	$ (4)	$ (4)	$ (6)

Loans Receivable Held for Inv27

Loans Receivable Held for Investment (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Allowance for loan losses
Beginning balance	$ 7,671	$ 10,091	$ 8,465	$ 10,146
Provision for (recapture of) loan losses	(750)	(500)	(1,500)	(1,582)
Recoveries	5	14	11	1,254
Loans charged off	(3)	(229)	(53)	(442)
Ending balance	6,923	9,376	6,923	9,376
Single family
Allowance for loan losses
Beginning balance	1,164	1,874	1,174	1,930
Provision for (recapture of) loan losses	(11)	65	(21)	10
Recoveries				2
Loans charged off	(3)	(90)	(3)	(93)
Ending balance	1,150	1,849	1,150	1,849
Multi-family
Allowance for loan losses
Beginning balance	2,741	2,107	2,726	1,726
Provision for (recapture of) loan losses	(896)	197	(881)	578
Ending balance	1,845	2,304	1,845	2,304
Commercial real estate
Allowance for loan losses
Beginning balance	436	1,212	496	1,473
Provision for (recapture of) loan losses	(32)	(131)	(92)	(383)
Loans charged off				(9)
Ending balance	404	1,081	404	1,081
Church
Allowance for loan losses
Beginning balance	3,314	4,867	4,047	4,949
Provision for (recapture of) loan losses	189	(629)	(500)	(684)
Recoveries	5	13	11	169
Loans charged off		(139)	(50)	(322)
Ending balance	3,508	4,112	3,508	4,112
Construction
Allowance for loan losses
Beginning balance	4	7	7	7
Provision for (recapture of) loan losses			(3)
Ending balance	4	7	4	7
Commercial - other
Allowance for loan losses
Beginning balance	11	20	12	55
Provision for (recapture of) loan losses	1	(2)		(1,101)
Recoveries		1		1,083
Loans charged off				(18)
Ending balance	12	19	12	19
Consumer
Allowance for loan losses
Beginning balance	1	4	3	6
Provision for (recapture of) loan losses	$ (1)		$ (3)	(2)
Ending balance		$ 4		$ 4

Loans Receivable Held for Inv28

Loans Receivable Held for Investment (Details 3) - USD ($) $ in Thousands	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013
Ending allowance balance attributable to loans:
Individually evaluated for impairment	$ 1,400		$ 1,506
Collectively evaluated for impairment	5,523		6,959
Total ending allowance balance	6,923	$ 7,671	8,465	$ 9,376	$ 10,091	$ 10,146
Loans:
Loans individually evaluated for impairment	19,059		23,519
Loans collectively evaluated for impairment	183,018		261,589
Total ending loans balance	202,077		285,108
Single family
Ending allowance balance attributable to loans:
Individually evaluated for impairment	138		132
Collectively evaluated for impairment	1,012		1,042
Total ending allowance balance	1,150	1,164	1,174	1,849	1,874	1,930
Loans:
Loans individually evaluated for impairment	1,337		1,414
Loans collectively evaluated for impairment	33,085		38,641
Total ending loans balance	34,422		40,055
Multi-family
Ending allowance balance attributable to loans:
Individually evaluated for impairment	4		115
Collectively evaluated for impairment	1,841		2,611
Total ending allowance balance	1,845	2,741	2,726	2,304	2,107	1,726
Loans:
Loans individually evaluated for impairment	1,469		2,765
Loans collectively evaluated for impairment	103,344		170,785
Total ending loans balance	104,813		173,550
Commercial real estate
Ending allowance balance attributable to loans:
Individually evaluated for impairment	95		161
Collectively evaluated for impairment	309		335
Total ending allowance balance	404	436	496	1,081	1,212	1,473
Loans:
Loans individually evaluated for impairment	2,788		4,636
Loans collectively evaluated for impairment	10,200		12,083
Total ending loans balance	12,988		16,719
Church
Ending allowance balance attributable to loans:
Individually evaluated for impairment	1,153		1,088
Collectively evaluated for impairment	2,355		2,959
Total ending allowance balance	3,508	3,314	4,047	4,112	4,867	4,949
Loans:
Loans individually evaluated for impairment	13,385		14,602
Loans collectively evaluated for impairment	35,847		39,525
Total ending loans balance	49,232		54,127
Construction
Ending allowance balance attributable to loans:
Collectively evaluated for impairment	4		7
Total ending allowance balance	4	4	7	7	7	7
Loans:
Loans collectively evaluated for impairment	366		387
Total ending loans balance	366		387
Commercial - other
Ending allowance balance attributable to loans:
Individually evaluated for impairment	10		10
Collectively evaluated for impairment	2		2
Total ending allowance balance	12	11	12	19	20	55
Loans:
Loans individually evaluated for impairment	80		102
Loans collectively evaluated for impairment	172		159
Total ending loans balance	252		261
Consumer
Ending allowance balance attributable to loans:
Collectively evaluated for impairment			3
Total ending allowance balance		$ 1	3	$ 4	$ 4	$ 6
Loans:
Loans collectively evaluated for impairment	4		9
Total ending loans balance	$ 4		$ 9

Loans Receivable Held for Inv29

Loans Receivable Held for Investment (Details 4) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Impaired loans
Unpaid principal balance	$ 23,056	$ 30,447
Recorded investment	19,059	23,519
Allowance for loan losses allocated, with an allowance recorded	1,400	1,506
Single family
Impaired loans
Unpaid principal balance, with no related allowance recorded	1,432	1,448
Unpaid principal balance, with an allowance recorded	670	678
Recorded investment, with no related allowance recorded	667	736
Recorded investment, with an allowance recorded	670	678
Allowance for loan losses allocated, with an allowance recorded	138	132
Multi-family
Impaired loans
Unpaid principal balance, with no related allowance recorded	915	1,384
Unpaid principal balance, with an allowance recorded	671	1,541
Recorded investment, with no related allowance recorded	798	1,263
Recorded investment, with an allowance recorded	671	1,502
Allowance for loan losses allocated, with an allowance recorded	4	115
Commercial real estate
Impaired loans
Unpaid principal balance, with no related allowance recorded	1,862	4,836
Unpaid principal balance, with an allowance recorded	1,707	3,473
Recorded investment, with no related allowance recorded	1,081	1,174
Recorded investment, with an allowance recorded	1,707	3,462
Allowance for loan losses allocated, with an allowance recorded	95	161
Church
Impaired loans
Unpaid principal balance, with no related allowance recorded	5,929	6,234
Unpaid principal balance, with an allowance recorded	9,790	10,751
Recorded investment, with no related allowance recorded	3,984	4,350
Recorded investment, with an allowance recorded	9,401	10,252
Allowance for loan losses allocated, with an allowance recorded	1,153	1,088
Commercial - other
Impaired loans
Unpaid principal balance, with no related allowance recorded	13	34
Unpaid principal balance, with an allowance recorded	67	68
Recorded investment, with no related allowance recorded	13	34
Recorded investment, with an allowance recorded	67	68
Allowance for loan losses allocated, with an allowance recorded	$ 10	$ 10

Loans Receivable Held for Inv30

Loans Receivable Held for Investment (Details 5) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Impaired loans
Average Recorded Investment	$ 19,994	$ 28,496	$ 21,588	$ 30,221
Cash Basis Interest Income Recognized	307	331	580	608
Foregone interest income if impaired loans had performed according to terms	166	328	450	821
Single family
Impaired loans
Average Recorded Investment	1,346	2,930	1,364	2,977
Cash Basis Interest Income Recognized	8	18	15	35
Multi-family
Impaired loans
Average Recorded Investment	1,974	3,543	2,305	3,722
Cash Basis Interest Income Recognized	99	23	115	46
Commercial real estate
Impaired loans
Average Recorded Investment	2,897	4,783	3,639	4,828
Cash Basis Interest Income Recognized	55	96	161	189
Church
Impaired loans
Average Recorded Investment	13,695	17,110	14,191	18,557
Cash Basis Interest Income Recognized	144	192	286	333
Commercial - other
Impaired loans
Average Recorded Investment	82	130	89	137
Cash Basis Interest Income Recognized	$ 1	$ 2	$ 3	$ 5

Loans Receivable Held for Inv31

Loans Receivable Held for Investment (Details 6) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Past due receivable
30-59 Days Past Due, Loans receivable	$ 818	$ 1,345
60-89 Days Past Due, Loans receivable	204	180
Greater than 90 Days Past Due, Loans receivable	715	987
Total Past Due, Loans receivable	1,737	2,512
Current	200,340	282,596
Single family
Past due receivable
30-59 Days Past Due, Loans receivable	82
Total Past Due, Loans receivable	82
Current	34,340	40,055
Multi-family
Past due receivable
30-59 Days Past Due, Loans receivable	341	455
Greater than 90 Days Past Due, Loans receivable	457
Total Past Due, Loans receivable	798	455
Current	104,015	173,095
Commercial real estate
Past due receivable
30-59 Days Past Due, Loans receivable		856
Total Past Due, Loans receivable		856
Current	12,988	15,863
Church
Past due receivable
30-59 Days Past Due, Loans receivable	395
60-89 Days Past Due, Loans receivable	204	180
Greater than 90 Days Past Due, Loans receivable	258	987
Total Past Due, Loans receivable	857	1,167
Current	48,375	52,960
Construction
Past due receivable
Current	366	387
Commercial - other
Past due receivable
30-59 Days Past Due, Loans receivable		34
Total Past Due, Loans receivable		34
Current	252	227
Consumer
Past due receivable
Current	$ 4	$ 9

Loans Receivable Held for Inv32

Loans Receivable Held for Investment (Details 7) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Investment in non-accrual loans by type of loans
Total non-accrual loans	$ 6,735	$ 8,862
Loans 90 days or more delinquent that were accruing interest	0	0
Single family
Investment in non-accrual loans by type of loans
Total non-accrual loans	667	736
Multi-family
Investment in non-accrual loans by type of loans
Total non-accrual loans	798	1,618
Commercial real estate
Investment in non-accrual loans by type of loans
Total non-accrual loans	1,081	1,174
Church
Investment in non-accrual loans by type of loans
Total non-accrual loans	4,109	5,232
Commercial - other
Investment in non-accrual loans by type of loans
Total non-accrual loans	$ 80	$ 102

Loans Receivable Held for Inv33

Loans Receivable Held for Investment (Details 8) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)loan	Jun. 30, 2014loan	Jun. 30, 2015USD ($)loan	Jun. 30, 2014loan	Dec. 31, 2014USD ($)
Troubled debt restructuring
Loans classified as Troubled Debt Restructurings	$ 17,400		$ 17,400		$ 20,200
Specific reserves allocated to TDRs	1,400		$ 1,400		1,300
Timely payment period for return to accrual status			6 months
Commitments to lend additional amounts to customers with TDRs	$ 0		$ 0		0
Number of loans modified | loan	0	0	0	0
Non-accrual status
Troubled debt restructuring
Loans classified as Troubled Debt Restructurings	$ 5,100		$ 5,100		5,500
Accrual status
Troubled debt restructuring
Loans classified as Troubled Debt Restructurings	$ 12,300		$ 12,300		$ 14,700

Loans Receivable Held for Inv34

Loans Receivable Held for Investment (Details 9) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Credit Quality Indicators
Loans receivable	$ 202,077	$ 285,108
Single family
Credit Quality Indicators
Loans receivable	34,422	40,055
Multi-family
Credit Quality Indicators
Loans receivable	104,813	173,550
Commercial real estate
Credit Quality Indicators
Loans receivable	12,988	16,719
Church
Credit Quality Indicators
Loans receivable	49,232	54,127
Construction
Credit Quality Indicators
Loans receivable	366	387
Commercial - other
Credit Quality Indicators
Loans receivable	252	261
Consumer
Credit Quality Indicators
Loans receivable	4	9
Pass
Credit Quality Indicators
Loans receivable	181,466	262,039
Pass | Single family
Credit Quality Indicators
Loans receivable	30,320	35,850
Pass | Multi-family
Credit Quality Indicators
Loans receivable	102,440	170,700
Pass | Commercial real estate
Credit Quality Indicators
Loans receivable	10,200	13,218
Pass | Church
Credit Quality Indicators
Loans receivable	37,964	41,716
Pass | Construction
Credit Quality Indicators
Loans receivable	366	387
Pass | Commercial - other
Credit Quality Indicators
Loans receivable	172	159
Pass | Consumer
Credit Quality Indicators
Loans receivable	4	9
Watch
Credit Quality Indicators
Loans receivable	782
Watch | Church
Credit Quality Indicators
Loans receivable	782
Special Mention
Credit Quality Indicators
Loans receivable	5,838	6,564
Special Mention | Single family
Credit Quality Indicators
Loans receivable	3,431	3,465
Special Mention | Multi-family
Credit Quality Indicators
Loans receivable	964	613
Special Mention | Commercial real estate
Credit Quality Indicators
Loans receivable		284
Special Mention | Church
Credit Quality Indicators
Loans receivable	1,443	2,202
Substandard
Credit Quality Indicators
Loans receivable	13,978	16,505
Substandard | Single family
Credit Quality Indicators
Loans receivable	671	740
Substandard | Multi-family
Credit Quality Indicators
Loans receivable	1,409	2,237
Substandard | Commercial real estate
Credit Quality Indicators
Loans receivable	2,788	3,217
Substandard | Church
Credit Quality Indicators
Loans receivable	9,043	10,209
Substandard | Commercial - other
Credit Quality Indicators
Loans receivable	67	$ 102
Doubtful
Credit Quality Indicators
Loans receivable	13
Doubtful | Commercial - other
Credit Quality Indicators
Loans receivable	$ 13

Junior Subordinated Debentures

Junior Subordinated Debentures (Details) - USD ($) $ in Thousands	Oct. 16, 2014	Jun. 30, 2015	Dec. 31, 2014	Mar. 17, 2004
Junior subordinated debentures
Junior subordinated debentures	$ 5,100	$ 5,100	$ 5,100
Floating Rate Junior Subordinated Debentures
Junior subordinated debentures
Payment of principal amount at face value required to extend maturity	$ 900
Junior subordinated debentures				$ 6,000
Effective interest rate on debentures (as a percent)		2.82%
Number of years of quarterly payments of interest only	5 years
Floating Rate Junior Subordinated Debentures | 3-month Libor
Junior subordinated debentures
Debt instrument interest rate description		3-Month LIBOR
Basis spread (as a percent)		2.54%

Fair Value (Details)

Fair Value (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Fair Value
Securities available-for-sale, at fair value	$ 15,647		$ 15,647		$ 17,075
Transfers between levels	0	$ 0	0	$ 0
Residential mortgage-backed
Fair Value
Securities available-for-sale, at fair value	13,674		13,674		15,118
U.S. Government and federal agency
Fair Value
Securities available-for-sale, at fair value	1,973		1,973		1,957
Significant Other Observable Unobservable Inputs (Level 2)
Fair Value
Securities available-for-sale, at fair value	13,674		13,674		15,118
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value
Securities available-for-sale, at fair value	1,973		1,973		1,957
Recurring basis | Significant Other Observable Unobservable Inputs (Level 2) | Residential mortgage-backed
Fair Value
Securities available-for-sale, at fair value	13,674		13,674		15,118
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Government and federal agency
Fair Value
Securities available-for-sale, at fair value	1,973		1,973		1,957
Recurring basis | Total | Residential mortgage-backed
Fair Value
Securities available-for-sale, at fair value	13,674		13,674		15,118
Recurring basis | Total | U.S. Government and federal agency
Fair Value
Securities available-for-sale, at fair value	$ 1,973		$ 1,973		$ 1,957

Fair Value (Details 2)

Fair Value (Details 2) - Significant Unobservable Inputs (Level 3) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value
Loans receivable, fair value	$ 195,405	$ 277,000
Fair Value, Measurements, Nonrecurring | Single family | Impaired loans
Fair Value
Loans receivable, fair value	504	549
Fair Value, Measurements, Nonrecurring | Multi-family | Impaired loans
Fair Value
Loans receivable, fair value		323
Fair Value, Measurements, Nonrecurring | Commercial real estate | Impaired loans
Fair Value
Loans receivable, fair value	1,081	1,177
Fair Value, Measurements, Nonrecurring | Church | Impaired loans
Fair Value
Loans receivable, fair value	2,794	3,779
Fair Value, Measurements, Nonrecurring | Church | Real estate owned.
Fair Value
Assets, fair value	$ 2,178	$ 2,082

Fair Value (Details 3)

Fair Value (Details 3) - Significant Unobservable Inputs (Level 3) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Fair value quantitative information
Fair Value	$ 195,405	$ 277,000
Fair Value, Measurements, Nonrecurring | Impaired loans | Single family
Fair value quantitative information
Fair Value	504	549
Fair Value, Measurements, Nonrecurring | Impaired loans | Multi-family
Fair value quantitative information
Fair Value		323
Fair Value, Measurements, Nonrecurring | Impaired loans | Commercial real estate
Fair value quantitative information
Fair Value	1,081	1,177
Fair Value, Measurements, Nonrecurring | Impaired loans | Church
Fair value quantitative information
Fair Value	$ 2,794	$ 3,779
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Single family | Minimum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	(9.00%)	(1.00%)
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Single family | Maximum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	(3.00%)	9.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Single family | Weighted Average
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	(6.00%)	(4.00%)
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Multi-family
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)		(18.00%)
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Commercial real estate | Minimum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	(1.00%)	0.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Commercial real estate | Maximum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	1.00%	1.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Commercial real estate | Weighted Average
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	(1.00%)	0.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Church | Minimum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	(12.00%)	(12.00%)
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Church | Maximum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	14.00%	18.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Sales comparison approach | Church | Weighted Average
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	4.00%	5.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Income approach | Multi-family
Fair value quantitative information
Capitalization rate (as a percent)		7.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Income approach | Commercial real estate | Minimum
Fair value quantitative information
Capitalization rate (as a percent)	4.75%	5.00%
Fair Value, Measurements, Nonrecurring | Impaired loans | Income approach | Commercial real estate | Maximum
Fair value quantitative information
Capitalization rate (as a percent)	7.25%	7.25%
Fair Value, Measurements, Nonrecurring | Impaired loans | Income approach | Commercial real estate | Weighted Average
Fair value quantitative information
Capitalization rate (as a percent)	6.58%	6.64%
Fair Value, Measurements, Nonrecurring | Impaired loans | Income approach | Church
Fair value quantitative information
Capitalization rate (as a percent)		6.00%
Fair Value, Measurements, Nonrecurring | Real estate owned. | Church
Fair value quantitative information
Fair Value	$ 2,178	$ 2,082
Fair Value, Measurements, Nonrecurring | Real estate owned. | Sales comparison approach | Church | Minimum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	2.00%	(1.00%)
Fair Value, Measurements, Nonrecurring | Real estate owned. | Sales comparison approach | Church | Maximum
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	29.00%	2.00%
Fair Value, Measurements, Nonrecurring | Real estate owned. | Sales comparison approach | Church | Weighted Average
Fair value quantitative information
Adjustment for differences between the comparable sales (as a percent)	10.00%	0.00%
Fair Value, Measurements, Nonrecurring | Real estate owned. | Income approach | Church | Weighted Average
Fair value quantitative information
Capitalization rate (as a percent)	6.50%

Fair Value (Details 4)

Fair Value (Details 4) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Financial Assets:
Securities available-for-sale, at fair value	$ 15,647	$ 17,075
Quoted Prices in Active Markets for Identical Assets (Level 1)
Financial Assets:
Cash and cash equivalents	51,661	20,790
Securities available-for-sale, at fair value	1,973	1,957
Accrued interest receivable	6	6
Federal Home Loan Bank stock	2,915	4,254
Significant Other Observable Unobservable Inputs (Level 2)
Financial Assets:
Securities available-for-sale, at fair value	13,674	15,118
Loans receivable held for sale	82,637	19,679
Accrued interest receivable	94	88
Financial Liabilities:
Deposits	224,169	210,181
Federal Home Loan Bank advances	79,447	88,246
Accrued interest payable	38	39
Significant Unobservable Inputs (Level 3)
Financial Assets:
Loans receivable held for investment	195,405	277,000
Accrued interest receivable	950	1,122
Financial Liabilities:
Junior subordinated debentures	3,025	2,034
Accrued interest payable	5	30
Carrying Value
Financial Assets:
Cash and cash equivalents	51,661	20,790
Securities available-for-sale, at fair value	15,647	17,075
Loans receivable held for sale	81,985	19,481
Loans receivable held for investment	195,154	276,643
Accrued interest receivable	1,050	1,216
Federal Home Loan Bank stock	2,915	4,254
Financial Liabilities:
Deposits	232,152	217,867
Federal Home Loan Bank advances	77,500	86,000
Junior subordinated debentures	5,100	5,100
Accrued interest payable	43	69
Total
Financial Assets:
Cash and cash equivalents	51,661	20,790
Securities available-for-sale, at fair value	15,647	17,075
Loans receivable held for sale	82,637	19,679
Loans receivable held for investment	195,405	277,000
Accrued interest receivable	1,050	1,216
Federal Home Loan Bank stock	2,915	4,254
Financial Liabilities:
Deposits	224,169	210,181
Federal Home Loan Bank advances	79,447	88,246
Junior subordinated debentures	3,025	2,034
Accrued interest payable	$ 43	$ 69

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - 2008 LTIP - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Stock-based compensation
Shares authorized to be granted under stock compensation plan	2,000,000		2,000,000
Stock Options
Stock-based compensation
Contractual term of option awards			10 years
Stock options granted (in shares)	0	0	0	0
Stock based compensation expense	$ 0	$ 11	$ 0	$ 22
Stock Options | Maximum
Stock-based compensation
Vesting period of option awards			5 years

Regulatory Matters (Details)

Regulatory Matters (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Tier-1 Leverage	$ 42,578	$ 39,773
Common Equity Tier 1	42,578
Tier1	42,578	39,773
Total Capital	$ 45,606	$ 42,870
Tier-1 Leverage, ratio (as a percent)	11.89%	11.34%
Common Equity Tier 1, ratio (as a percent)	17.87%
Tier 1, ratio (as a percent)	17.87%	16.41%
Total Capital, ratio (as a percent)	19.14%	17.69%
Leverage required for capital adequacy purposes	$ 14,323	$ 14,028
Common Equity Tier 1 required for capital adequacy purposes	10,723
Tier-1 required for capital adequacy purposes	14,297	9,695
Total Capital required for capital adequacy purposes	$ 19,063	$ 19,390
Leverage required for capital adequacy purposes, ratio (as a percent)	4.00%	4.00%
Common Equity Tier 1 required for capital adequacy purposes, ratio (as a percent)	4.50%
Tier-1 required for capital adequacy purposes, ratio (as a percent)	6.00%	4.00%
Total capital required for capital adequacy purposes, ratio (as a percent)	8.00%	8.00%
Tier 1 Leverage required under consent order	$ 32,227	$ 31,562
Total capital required under consent order	$ 30,978	$ 31,508
Leverage, ratio per consent order (as a percent)	9.00%	9.00%
Total Capital, ratio per consent order (as a percent)	13.00%	13.00%
Conservation Buffer Rule Starting January 2016
Basel III and Dodd Frank Rules
Capital conservation buffer (as a percent)	0.625%
Conservation Buffer Rule Subsequent to 2016
Basel III and Dodd Frank Rules
Capital conservation buffer annual increase (as a percent)	0.625%
Conservation Buffer Rule | Maximum
Basel III and Dodd Frank Rules
Capital conservation buffer (as a percent)	2.50%
Prior to Basel III New Capital Rules
Tier-1 required for capital adequacy purposes, ratio (as a percent)		4.00%
Basel III New Capital Rules
Tier-1 required for capital adequacy purposes, ratio (as a percent)	6.00%

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2015	Dec. 31, 2014
Income Taxes
Period for which prior cumulative losses considered in assessing the realization of deferred tax assets		2 years
Valuation allowance	$ 7,900	$ 7,900	$ 8,800
Decreases in the valuation allowance	387	877
Net deferred tax assets	$ 0	$ 0	$ 0