COVER
COVER - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 30, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-12647 | |
Entity Registrant Name | OFG Bancorp | |
Entity Incorporation, State or Country Code | PR | |
Entity Tax Identification Number | 66-0538893 | |
Entity Address, Address Line One | 254 Muñoz Rivera Avenue | |
Entity Address, City or Town | San Juan | |
Entity Address, Country | PR | |
Entity Address, Postal Zip Code | 00918 | |
City Area Code | 787 | |
Local Phone Number | 771-6800 | |
Title of 12(b) Security | Common shares, par value $1.00 per share | |
Trading Symbol | OFG | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 47,002,057 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001030469 | |
Current Fiscal Year End Date | --12-31 |
UNAUDITED CONSOLIDATED STATEMEN
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Cash and cash equivalents: | ||
Cash and due from banks | $ 749,718 | $ 743,550 |
Money market investments | 4,674 | 4,623 |
Total cash and cash equivalents | 754,392 | 748,173 |
Investments: | ||
Trading securities, at fair value, with amortized cost of $163 (December 31, 2023 - $163) | 14 | 13 |
Investment securities available-for-sale, at fair value, with amortized cost of $1,993,754 (December 31, 2023 - $2,177,761); no allowance for credit losses | 1,897,707 | 2,099,264 |
Investment securities held-to-maturity, at amortized cost, with fair value of $483,657 (December 31, 2023 - $490,764); no allowance for credit losses | 544,491 | 549,024 |
Equity securities | 40,162 | 38,469 |
Total investments | 2,482,374 | 2,686,770 |
Loans: | ||
Loans held-for-sale, at lower of cost or fair value | 28,274 | 28,345 |
Loans held-for-investment, net of allowance for credit losses of $156,563 (December 31, 2023 - $161,106) | 7,383,104 | 7,373,273 |
Total loans | 7,411,378 | 7,401,618 |
Other assets: | ||
Foreclosed real estate | 10,850 | 10,780 |
Accrued interest receivable | 72,117 | 71,400 |
Deferred tax assets, net | 4,379 | 4,923 |
Premises and equipment, net | 104,980 | 104,102 |
Customers' liability on acceptances | 25,826 | 25,576 |
Servicing assets | 49,553 | 49,520 |
Goodwill | 84,241 | 84,241 |
Other intangible assets | 19,216 | 20,694 |
Operating lease right-of-use assets | 21,606 | 21,725 |
Other assets | 118,323 | 114,931 |
Total assets | 11,159,235 | 11,344,453 |
Deposits: | ||
Demand deposits | 6,036,891 | 6,050,428 |
Savings accounts | 2,001,770 | 2,088,102 |
Time deposits | 1,509,613 | 1,623,639 |
Total deposits | 9,548,274 | 9,762,169 |
Borrowings: | ||
Advances from the Federal Home Loan Bank of New York (the “FHLB”) | 200,766 | 200,768 |
Other borrowings | 0 | 2 |
Total borrowings | 200,766 | 200,770 |
Other liabilities: | ||
Acceptances executed and outstanding | 25,826 | 25,576 |
Operating lease liabilities | 23,969 | 24,029 |
Deferred tax liabilities, net | 22,876 | 22,444 |
Accrued expenses and other liabilities | 121,871 | 115,985 |
Total liabilities | 9,943,582 | 10,150,973 |
Commitments and contingencies (See Note 18) | ||
Stockholders’ equity: | ||
Common stock, $1 par value; 100,000,000 shares authorized; 59,885,234 shares issued: 47,216,571 shares outstanding (December 31, 2023 - 59,885,234 shares issued; 47,065,156 shares outstanding) | 59,885 | 59,885 |
Additional paid-in capital | 636,208 | 638,667 |
Legal surplus | 155,732 | 150,967 |
Retained earnings | 672,455 | 639,324 |
Treasury stock, at cost, 12,668,663 shares (December 31, 2023 - 12,820,078 shares) | (226,896) | (228,350) |
Accumulated other comprehensive loss, net of tax of $14,316 (December 31, 2023 - $11,484) | (81,731) | (67,013) |
Total stockholders’ equity | 1,215,653 | 1,193,480 |
Total liabilities and stockholders’ equity | $ 11,159,235 | $ 11,344,453 |
UNAUDITED CONSOLIDATED STATEM_2
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Statement of Financial Position [Abstract] | ||
Trading securities, amortized cost | $ 163 | $ 163 |
Investment securities available-for-sale, amortized cost | 1,993,754 | 2,177,761 |
Investment securities available-for-sale, allowance for credit loss | 0 | 0 |
Investment securities held-to-maturity, fair value | 483,657 | 490,764 |
Investment securities held-to-maturity, allowance for credit loss | 0 | 0 |
Loans held for investment, allowance for credit losses | $ 156,563 | $ 161,106 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, issued (in shares) | 59,885,234 | 59,885,234 |
Common stock, outstanding (in shares) | 47,216,571 | 47,065,156 |
Treasury stock, at cost (in shares) | 12,668,663 | 12,820,078 |
Accumulated other comprehensive income, tax (benefit) expense | $ 14,316 | $ 11,484 |
UNAUDITED CONSOLIDATED STATEM_3
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Interest income: | ||
Loans | $ 149,594 | $ 128,311 |
Mortgage-backed securities | 19,793 | 10,074 |
Investment securities and other | 14,039 | 10,600 |
Total interest income | 183,426 | 148,985 |
Interest expense: | ||
Deposits | 36,792 | 12,497 |
Advances from FHLB and other borrowings | 2,532 | 591 |
Total interest expense | 39,324 | 13,088 |
Net interest income | 144,102 | 135,897 |
Provision for credit losses | 15,121 | 9,445 |
Net interest income after provision for credit losses | 128,981 | 126,452 |
Non-interest income: | ||
Banking service revenue | 17,259 | 17,513 |
Wealth management revenue | 8,107 | 7,120 |
Mortgage banking activities | 4,693 | 3,898 |
Total banking and financial service revenues | 30,059 | 28,531 |
Sale of securities | (7) | 0 |
Other non-interest income | 296 | 370 |
Total non-interest income | 30,348 | 28,901 |
Non-interest expense: | ||
Compensation and employee benefits | 39,816 | 38,473 |
Occupancy, equipment and infrastructure costs | 14,322 | 14,257 |
Electronic banking charges | 10,366 | 10,337 |
Information technology expenses | 6,603 | 6,418 |
Professional and service fees | 4,004 | 5,064 |
Taxes, other than payroll and income taxes | 3,243 | 3,273 |
Insurance | 2,676 | 2,918 |
Loan servicing and clearing expenses | 2,110 | 2,267 |
Advertising, business promotion, and strategic initiatives | 2,379 | 2,036 |
Communication | 1,081 | 1,029 |
Printing, postage, stationery and supplies | 959 | 730 |
Director and investor relations | 279 | 258 |
Foreclosed real estate and other repossessed assets income, net of expenses | 668 | 793 |
Other | 2,906 | 2,367 |
Total non-interest expense | 91,412 | 90,220 |
Income before income taxes | 67,917 | 65,133 |
Income tax expense | 18,225 | 18,904 |
Net income available to common shareholders | $ 49,692 | $ 46,229 |
Earnings per common share: | ||
Basic (in dollars per share) | $ 1.06 | $ 0.97 |
Diluted (in dollars per share) | $ 1.05 | $ 0.96 |
Average common shares outstanding and equivalents (in shares) | 47,343 | 47,944 |
Cash dividends per share of common stock (in dollars per share) | $ 0.25 | $ 0.22 |
UNAUDITED CONSOLIDATED STATEM_4
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 49,692 | $ 46,229 |
Other comprehensive (loss) income before tax: | ||
Unrealized (loss) gain on securities available-for-sale | (17,557) | 17,924 |
Realized loss on sale of securities available-for-sale | 7 | 0 |
Unrealized loss on cash flow hedges | 0 | (131) |
Other comprehensive (loss) income before taxes | (17,550) | 17,793 |
Income tax effect | 2,832 | (2,724) |
Other comprehensive (loss) income after taxes | (14,718) | 15,069 |
Comprehensive income | $ 34,974 | $ 61,298 |
UNAUDITED CONSOLIDATED STATEM_5
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY - USD ($) $ in Thousands | Total | Common stock | Additional paid-in capital | Legal surplus | Retained earnings | Treasury stock | Accumulated other comprehensive (loss) income, net of tax | |
Balance at beginning of period at Dec. 31, 2022 | $ 59,885 | $ 636,793 | $ 133,901 | $ 516,371 | $ (211,135) | $ (93,409) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Stock-based compensation expense | 965 | |||||||
Lapsed restricted stock units | (2,973) | 1,235 | ||||||
Transfer from retained earnings | 4,432 | |||||||
Net income | $ 46,229 | 46,229 | ||||||
Cash dividends declared on common stock | [1] | (10,527) | ||||||
Transfer to legal surplus | (4,432) | |||||||
Stocks repurchased | (2,894) | (2,894) | ||||||
Lapsed restricted stock units and options | (2,973) | 1,235 | ||||||
Other comprehensive (loss) gain, net of tax | 15,069 | 15,069 | ||||||
Balance at end of period at Mar. 31, 2023 | 1,089,510 | 59,885 | 634,785 | 138,333 | 547,641 | (212,794) | (78,340) | |
Balance at beginning of period at Dec. 31, 2023 | 1,193,480 | 59,885 | 638,667 | 150,967 | 639,324 | (228,350) | (67,013) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Stock-based compensation expense | 1,165 | |||||||
Lapsed restricted stock units | (3,624) | 1,454 | ||||||
Transfer from retained earnings | 4,765 | |||||||
Net income | 49,692 | 49,692 | ||||||
Cash dividends declared on common stock | [1] | (11,796) | ||||||
Transfer to legal surplus | 4,800 | (4,765) | ||||||
Stocks repurchased | 0 | 0 | ||||||
Lapsed restricted stock units and options | (3,624) | 1,454 | ||||||
Other comprehensive (loss) gain, net of tax | (14,718) | (14,718) | ||||||
Balance at end of period at Mar. 31, 2024 | $ 1,215,653 | $ 59,885 | $ 636,208 | $ 155,732 | $ 672,455 | $ (226,896) | $ (81,731) | |
[1]Dividends declared per common share during the quarter ended March 31, 2024 - $0.25 (March 31, 2023 - $0.22). |
UNAUDITED CONSOLIDATED STATEM_6
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY (Parenthetical) - $ / shares | 3 Months Ended | ||
Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends declared per common share (in dollars per share) | $ 0.25 | $ 0.22 | $ 0.22 |
UNAUDITED CONSOLIDATED STATEM_7
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net income | $ 49,692 | $ 46,229 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of deferred loan origination fees and fair value premiums on loans | 827 | 497 |
Amortization of investment securities (discounts), net of accretion of premiums | (3,580) | (2,343) |
Amortization of other intangible assets | 1,478 | 1,725 |
Net change in operating leases | 59 | 86 |
Depreciation and amortization of premises and equipment | 5,286 | 5,043 |
Deferred income tax expense, net | 3,808 | 15,391 |
Provision for credit losses | 15,121 | 9,445 |
Stock-based compensation | 1,165 | 965 |
(Gain) loss on: | ||
Sale of securities | 7 | 0 |
Sale of loans | (335) | (252) |
Foreclosed real estate and other repossessed assets | (566) | (238) |
Sale of other assets | (1) | (20) |
Originations and purchases of loans held-for-sale | (27,696) | (27,509) |
Proceeds from sale of loans held-for-sale | 19,685 | 3,260 |
Net decrease (increase) in: | ||
Accrued interest receivable | (694) | 307 |
Servicing assets | (33) | 1,576 |
Other assets | (558) | (9,764) |
Net (decrease) increase in: | ||
Accrued interest on deposits and borrowings | (1,254) | 543 |
Accrued expenses and other liabilities | (1,420) | 7,259 |
Net cash provided by operating activities | 60,991 | 52,200 |
Purchases of: | ||
Investment securities available-for-sale | (933) | (476) |
FHLB stock | (12,600) | (9,000) |
Equity securities | (1,693) | (573) |
Maturities and redemptions of: | ||
Investment securities available-for-sale | 56,153 | 101,510 |
Investment securities held-to-maturity | 4,838 | 4,492 |
FHLB stock | 12,600 | 22 |
Proceeds from sales of: | ||
Investment securities available-for-sale | 149,406 | 0 |
Foreclosed real estate and other repossessed assets, including write-offs | 10,363 | 15,110 |
Premises and equipment | 1 | 20 |
Origination and purchase of loans, excluding loans held-for-sale | (683,420) | (631,471) |
Principal repayment of loans | 634,989 | 593,606 |
Additions to premises and equipment | (6,186) | (3,118) |
Net cash provided by investing activities | 163,518 | 70,122 |
Net (decrease) increase in: | ||
Deposits | (205,733) | (10,417) |
FHLB advances and other borrowings | (2) | 199,329 |
Exercise of stock options and restricted units lapsed, net | (2,170) | (1,738) |
Purchase of treasury stock | 0 | (2,894) |
Dividends paid on common stock | (10,385) | (9,572) |
Net cash (used in) provided by financing activities | (218,290) | 174,708 |
Net change in cash, cash equivalents and restricted cash | 6,219 | 297,030 |
Cash, cash equivalents and restricted cash at beginning of period | 748,173 | 550,464 |
Cash, cash equivalents and restricted cash at end of period | 754,392 | 847,494 |
Reconciliation of the Consolidated Statements of Cash Flows to the Consolidated Statements of Financial Condition: | ||
Cash and due from banks | 749,718 | 844,180 |
Money market investments | 4,674 | 3,172 |
Restricted cash | 0 | 142 |
Total cash, cash equivalents, restricted cash and restricted cash equivalents at end of period | 754,392 | 847,494 |
Supplemental Cash Flow Disclosure and Schedule of Non-cash Activities: | ||
Interest paid | 39,446 | 11,224 |
Income taxes paid | 5,094 | 0 |
Operating lease liabilities paid | 2,594 | 2,514 |
Mortgage loans held-for-sale securitized into mortgage-backed securities | 17,351 | 21,399 |
Transfer from loans to foreclosed real estate and other repossessed assets | 12,803 | 13,140 |
Reclassification of loans held-for-investment portfolio to held-for-sale portfolio | 9,139 | 86 |
Reclassification of loans held-for-sale portfolio to held-for-investment portfolio | 0 | 8,736 |
Financed sales of foreclosed real estate | 124 | 286 |
Delinquent loans booked under the GNMA buy-back option | $ 18,510 | $ 26,348 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations OFG is a publicly-owned financial holding company incorporated under the laws of the Commonwealth of Puerto Rico. OFG operates through various subsidiaries including, a commercial bank, Oriental Bank (the “Bank”), a securities broker-dealer and investment adviser, Oriental Financial Services LLC (“Oriental Financial Services”), an insurance agency, Oriental Insurance, LLC (“Oriental Insurance”), a captive reinsurance company, OFG Reinsurance Ltd (“OFG Reinsurance”), and OFG Ventures LLC (“OFG Ventures”), which holds investments. Through these subsidiaries and their respective divisions, OFG provides a wide range of banking and financial services such as commercial, consumer, auto, and mortgage lending, financial planning, insurance sales, investment advisory, and securities brokerage services, as well as corporate and individual trust services. The Bank has a wholly-owned operating subsidiary, OFG USA LLC, which is a commercial lender organized in Delaware. In addition, Oriental International Bank Inc. (“OIB”), a wholly-owned subsidiary of the Bank, and Oriental Overseas, a division of the Bank, are international banking entities licensed pursuant to the International Banking Center Regulatory Act of Puerto Rico, as amended. OIB and Oriental Overseas offer the Bank certain Puerto Rico tax advantages. Their activities are limited under Puerto Rico law to persons located in Puerto Rico with assets/liabilities located outside of Puerto Rico. During the quarter ended March 31, 2024, the Bank organized OBPEF LLC, as a wholly-owned subsidiary of the Bank and a private equity fund under the Puerto Rico Incentives Code, as amended, which objective is to provide financing to eligible borrowers, whether in the form of senior or subordinated debt, to support the economic development of Puerto Rico. Basis of Presentation The accompanying unaudited consolidated financial statements of OFG have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and in accordance with guidance provided by the Securities and Exchange Commission (“SEC”). Accordingly, these consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. In the opinion of management, the accompanying unaudited consolidated financial statements reflect all adjustments considered necessary for a fair presentation of the financial position, results of operations and cash flows of OFG on a consolidated basis, and all such adjustments are of a normal recurring nature. The consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes thereto included in OFG’s annual report on Form 10-K for the fiscal year ended December 31, 2023 (the “2023 Form 10-K”). Operating results for the quarter ended March 31, 2024 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024. OFG evaluated subsequent events through the filing date of this report with the SEC and has recorded or disclosed those material events or transactions as described within the accompanying consolidated financial statements and notes. Material estimates that are particularly susceptible to significant change in the near term relate mainly to the determination of the allowance for credit losses. New Accounting Updates Not Yet Adopted Segment Reporting—Improvements to Reportable Segment Disclosures. In November 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-07 to enhance segment reporting by expanding the breadth and frequency of segment disclosures required for public entities. The amendments in this ASU will allow registrants to disclose multiple measures of segment profit or loss and it also clarifies that single reportable segment entities must apply Topic 280 in its entirety. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. The amendments will be effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. We will adopt this guidance when it becomes effective in the annual period of 2024 on a retrospective basis to all periods presented in the financial statements, and the impact on our financial statements and disclosures is not expected to be material. Income Taxes—Improvements to Income Tax Disclosures. In December 2023, the FASB issued ASU 2023-09 to enhance income tax disclosures and address investor requests for more information about the tax risks and opportunities present in an entity’s worldwide operations. The ASU’s two primary enhancements will require further disaggregation for existing disclosures for the effective tax rate reconciliation and income taxes paid. More specifically, the amendments will require entities to disclose: a tabular effective tax rate reconciliation, broken out into specific categories with certain reconciling items above a 5% threshold further broken out by nature and jurisdiction; and income taxes paid (net of refunds received), broken out between federal, state and foreign, and net amounts paid to an individual jurisdiction that exceed 5% of the total. The amendments in this update are effective for annual periods beginning after December 15, 2024. Entities are permitted to early adopt these amendments. The amendments should be applied prospectively, but retrospective application is permitted. We will adopt this guidance when it becomes effective, in the annual period of 2025 on a prospective basis, and the impact on our financial statements and disclosures is not expected to be material. The Enhancement and Standardization of Climate-Related Disclosures for Investors. On March 6, 2024, the SEC issued a final rule under SEC Release No. 33-11275 that requires registrants to provide climate disclosures in their annual reports and registration statements. The rule includes disclosure concerning the use of carbon offsets or renewable energy credits or certificates if their use is a material component of the registrant’s plans to achieve its disclosed climate-related targets or goals, and certain disclosures about Scope 1 and/or Scope 2 greenhouse gas (“GHG”) emissions, if material. It also requires disclosures of amounts related to the effects of severe weather events and other natural conditions. The disclosure requirements will apply to OFG's fiscal year beginning January 1, 2025. We will adopt this rule when it becomes effective. OFG is currently evaluating the final rule but the impact on our financial statements and disclosures is not expected to be material. |
RESTRICTED CASH
RESTRICTED CASH | 3 Months Ended |
Mar. 31, 2024 | |
Restricted Cash and Investments [Abstract] | |
RESTRICTED CASH | RESTRICTED CASH The Bank is required by Puerto Rico law to maintain average weekly reserve balances to cover demand deposits, excluding government deposits that are secured with pledged collateral. The amount of those minimum average reserve balances for the week that covered March 31, 2024 was $475.7 million (December 31, 2023 - $464.5 million). At March 31, 2024 and December 31, 2023, the Bank complied with this requirement. Cash and due from bank, as well as other short-term highly liquid securities, are used to cover the required average reserve balances. |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | INVESTMENT SECURITIES Money Market Investments OFG considers as cash equivalents all money market instruments that are not pledged and that have maturities of three months or less at the date of acquisition. At March 31, 2024 and December 31, 2023, money market instruments included as part of cash and cash equivalents amounted to $4.7 million and $4.6 million, respectively. Investment Securities The amortized cost, gross unrealized gains and losses, fair value, weighted average yield and contractual maturities of the securities owned by OFG at March 31, 2024 and December 31, 2023 were as follows: March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Available-for-sale Mortgage-backed securities FNMA and FHLMC certificates Due from 1 to 5 years $ 7,060 $ — $ 340 $ 6,720 1.82 % Due from 5 to 10 years 42,231 — 2,864 39,367 1.99 % Due after 10 years 1,367,038 5,322 64,893 1,307,467 4.10 % Total FNMA and FHLMC certificates 1,416,329 5,322 68,097 1,353,554 4.02 % GNMA certificates Due less than 1 year 2 — — 2 1.31 % Due from 1 to 5 years 9,253 — 390 8,863 1.72 % Due from 5 to 10 years 14,394 9 942 13,461 2.23 % Due after 10 years 393,433 5,373 36,961 361,845 3.46 % Total GNMA certificates 417,082 5,382 38,293 384,171 3.38 % CMOs issued by US government-sponsored agencies Due from 1 to 5 years 7,995 — 345 7,650 1.78 % Due after 10 years 834 — 14 820 5.07 % Total CMOs issued by US government-sponsored agencies 8,829 — 359 8,470 2.09 % Total mortgage-backed securities 1,842,240 10,704 106,749 1,746,195 3.87 % Investment securities US Treasury securities Due less than 1 year 150,915 — — 150,915 5.36 % Other debt securities Due less than 1 year 500 — — 500 3.25 % Due from 1 to 5 years 99 — 2 97 2.97 % Total other debt securities 599 — 2 597 3.20 % Total investment securities 151,514 — 2 151,512 5.35 % Total securities available for sale $ 1,993,754 $ 10,704 $ 106,751 $ 1,897,707 3.98 % March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Held-to-maturity Mortgage-backed securities FNMA and FHLMC certificates Due after 10 years $ 309,764 $ — $ 60,241 $ 249,523 1.73 % Investment securities US Treasury securities Due less than 1 year 199,727 — 647 199,080 3.32 % Other debt securities Due from 1 to 5 years 35,000 54 — 35,054 6.33 % Total securities held to maturity $ 544,491 $ 54 $ 60,888 $ 483,657 2.61 % December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Available-for-sale Mortgage-backed securities FNMA and FHLMC certificates Due from 1 to 5 years $ 6,972 — $ 311 $ 6,661 1.76 % Due from 5 to 10 years 45,835 — 2,767 43,068 2.00 % Due after 10 years 1,411,327 8,989 54,100 1,366,216 4.11 % Total FNMA and FHLMC certificates 1,464,134 8,989 57,178 1,415,945 4.03 % GNMA certificates Due less than 1 year 5 — — 5 1.31 % Due from 1 to 5 years 8,851 — 351 8,500 1.71 % Due from 5 to 10 years 17,113 16 955 16,174 2.19 % Due after 10 years 380,306 4,419 33,110 351,615 3.38 % Total GNMA certificates 406,275 4,435 34,416 376,294 3.30 % CMOs issued by US government-sponsored agencies Due from 1 to 5 years 9,071 — 364 8,707 1.78 % Due from 5 to 10 years 54 — — 54 2.14 % Due after 10 years 861 — 12 849 5.07 % Total CMOs issued by US government-sponsored agencies 9,986 — 376 9,610 2.06 % Total mortgage-backed securities 1,880,395 13,424 91,970 1,801,849 3.86 % Investment securities US Treasury securities Due less than 1 year 296,747 52 — 296,799 5.40 % Other debt securities Due less than 1 year 500 — — 500 3.25 % Due from 1 to 5 years 119 — 3 116 2.97 % Total investment securities 297,366 52 3 297,415 5.39 % Total securities available for sale $ 2,177,761 $ 13,476 $ 91,973 $ 2,099,264 4.07 % December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Held-to-maturity Mortgage-backed securities FNMA and FHLMC certificates Due after 10 years $ 314,710 $ — $ 56,767 $ 257,943 1.72 % Investment securities US Treasury securities Due less than 1 year 199,314 — 1,548 197,766 3.33 % Other debt securities Due from 1 to 5 years 35,000 55 — 35,055 6.36 % Total securities held to maturity $ 549,024 $ 55 $ 58,315 $ 490,764 2.60 % Securities not due on a single contractual maturity date, such as collateralized mortgage obligations, are classified in the period of final contractual maturity. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. The weighted average yield on debt securities available-for-sale is based on amortized cost and does not give effect to changes in fair value. Weighted average yields on tax-exempt obligations have been computed on a fully taxable equivalent basis. At March 31, 2024 and December 31, 2023, most securities held by OFG are issued by U.S. government entities and government-sponsored agencies that have a zero-credit loss assumption and, therefore, have no allowance for credit losses. Investment securities at March 31, 2024 include $1.617 billion pledged to secure government deposits and regulatory collateral, of which $1.570 billion serve as collateral for public funds. For regulatory collateral, the secured parties are not permitted to sell or repledge them. Investment securities as of December 31, 2023 include $1.624 billion pledged to secure government deposits, derivatives, and regulatory collateral that the secured parties are not permitted to sell or repledge, of which $1.575 billion serve as collateral for public funds. At March 31, 2024 and December 31, 2023, the Bank’s international banking entity, OIB, held short-term US Treasury securities in the amount of $525 thousand and $325 thousand, respectively, as the legal reserve required for international banking entities under Puerto Rico law. At both March 31, 2024 and December 31, 2023, the Bank’s international banking entity, Oriental Overseas, held short-term US Treasury securities in the amount of $325 thousand as the legal reserve required for international banking entities under Puerto Rico law. These instruments cannot be withdrawn or transferred without the prior written approval of the Office of the Commissioner of Financial Institutions. During the quarters ended March 31, 2024 and 2023, OFG retained securitized GNMA pools totaling $17.4 million and $16.5 million, respectively, at a yield of 5.05% and 5.19%, respectively, from its own originations. During the quarter ended March 31, 2023, OFG retained FNMA pools totaling $4.9 million at a yield of 5.30%. OFG did not retain FNMA pools during the first quarter of 2024. During the quarter ended March 31, 2024, OFG sold $149.4 million of available for sale US Treasury securities and recognized a $7 thousand loss on the sale. There were no sales of securities during the quarter ended March 31, 2023. Quarter Ended March 31, 2024 Description Sale Price Book Value at Sale Gross Gains Gross Losses (In thousands) Sale of investment securities available-for-sale Investment securities US Treasury securities $ 149,406 $ 149,413 $ — $ 7 The following table shows OFG’s gross unrealized losses and fair value of investment securities available-for-sale at March 31, 2024 and December 31, 2023, aggregated by investment category and the length of time that individual securities have been in a continuous unrealized loss position: March 31, 2024 12 months or more Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 754,641 $ 65,319 $ 689,322 GNMA certificates 271,543 38,197 233,346 CMOs issued by US Government-sponsored agencies 8,829 359 8,470 Other debt securities 99 2 97 $ 1,035,112 $ 103,877 $ 931,235 March 31, 2024 Less than 12 months Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 210,076 $ 2,778 $ 207,298 GNMA certificates 16,127 96 16,031 $ 226,203 $ 2,874 $ 223,329 March 31, 2024 Total Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 964,717 $ 68,097 $ 896,620 GNMA certificates 287,670 38,293 249,377 CMOs issued by US Government-sponsored agencies 8,829 359 8,470 Other debt securities 99 2 97 $ 1,261,315 $ 106,751 $ 1,154,564 The unrealized losses on OFG’s investment in federal agency mortgage-backed securities were caused by market volatility related to interest rate increases. OFG purchased those investments at a discount relative to their face amount, and the contractual cash flows of those investments are guaranteed by an agency of the U.S. government or by a government sponsored enterprise. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost bases of OFG’s investments. OFG does not intend to sell the investments, and it is not more likely than not that OFG will be required to sell the investments before recovery of their amortized cost bases. December 31, 2023 12 months or more Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 731,334 $ 56,847 $ 674,487 GNMA certificates 275,669 34,364 241,305 CMOs issued by US Government-sponsored agencies 9,986 376 9,610 Other debt securities 119 3 116 $ 1,017,108 $ 91,590 $ 925,518 December 31, 2023 Less than 12 months Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 106,235 $ 331 $ 105,904 GNMA certificates 7,864 52 7,812 $ 114,099 $ 383 $ 113,716 December 31, 2023 Total Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 837,569 $ 57,178 $ 780,391 GNMA certificates 283,533 34,416 249,117 CMOs issued by US Government-sponsored agencies 9,986 376 9,610 Other debt securities 119 3 116 $ 1,131,207 $ 91,973 $ 1,039,234 |
LOANS
LOANS | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
LOANS | LOANS OFG’s loan portfolio is composed of four segments: commercial, mortgage, consumer, and auto loans. Loans are further segregated into classes which OFG uses when assessing and monitoring the risk and performance of the portfolio. The composition of the amortized cost basis of OFG’s loan portfolio at March 31, 2024 and December 31, 2023 was as follows: March 31, 2024 December 31, 2023 Non-PCD PCD Total Non-PCD PCD Total (In thousands) Commercial PR: Commercial secured by real estate $ 1,172,215 $ 117,984 $ 1,290,199 $ 1,095,207 $ 120,988 $ 1,216,195 Other commercial and industrial 1,006,533 14,051 1,020,584 1,091,021 14,459 1,105,480 2,178,748 132,035 2,310,783 2,186,228 135,447 2,321,675 Commercial US 740,665 — 740,665 755,228 — 755,228 Total commercial loans 2,919,413 132,035 3,051,448 2,941,456 135,447 3,076,903 Mortgage loans 609,939 909,106 1,519,045 629,247 933,362 1,562,609 Consumer loans: Personal loans 577,304 260 577,564 568,358 264 568,622 Credit lines 10,747 284 11,031 10,926 288 11,214 Credit cards 39,016 — 39,016 40,314 — 40,314 Overdraft 369 — 369 296 — 296 627,436 544 627,980 619,894 552 620,446 Auto loans 2,339,836 1,358 2,341,194 2,272,530 1,891 2,274,421 6,496,624 1,043,043 7,539,667 6,463,127 1,071,252 7,534,379 Allowance for credit losses (148,767) (7,796) (156,563) (152,610) (8,496) (161,106) Total loans held for investment, net 6,347,857 1,035,247 7,383,104 6,310,517 1,062,756 7,373,273 Mortgage loans held-for-sale 9,370 — 9,370 — — — Other loans held-for-sale 18,904 — 18,904 28,345 — 28,345 Total loans held-for-sale 28,274 — 28,274 28,345 — 28,345 Total loans, net $ 6,376,131 $ 1,035,247 $ 7,411,378 $ 6,338,862 $ 1,062,756 $ 7,401,618 During the quarter ended March 31, 2024, OFG sold $16.7 million of commercial loans held-for-sale and recognized a $26 thousand loss, included in other non-interest income in the consolidated statement of operations. At March 31, 2024 and December 31, 2023, OFG had carrying balances of $75.5 million and $68.6 million, respectively, in loans held-for-investment granted to the Puerto Rico government or its instrumentalities as part of the commercial loan segment. The Bank’s loans to the Puerto Rico government are general obligations of municipalities secured by ad valorem taxation, without limitation as to rate or amount, on all taxable property within the issuing municipalities in current status. The good faith, credit and unlimited taxing power of each issuing municipality are pledged for the payment of its general obligations. The tables below present the aging of the amortized cost of loans held for investment at March 31, 2024 and December 31, 2023, by class of loans. Mortgage loans past due include $18.5 million and $19.4 million of delinquent loans in the GNMA buy-back option program at March 31, 2024 and December 31, 2023, respectively. Servicers of loans underlying GNMA mortgage-backed securities must report as their own assets the defaulted loans that they have the option (but not the obligation) to repurchase, even when they elect not to exercise that option. March 31, 2024 30-59 Days 60-89 Days 90+ Days Total Past Current Total Loans Loans 90+ (In thousands) Commercial PR: Commercial secured by real estate $ 2,146 $ 298 $ 5,534 $ 7,978 $ 1,164,237 $ 1,172,215 $ — Other commercial and industrial 2,349 265 2,509 5,123 1,001,410 1,006,533 — 4,495 563 8,043 13,101 2,165,647 2,178,748 — Commercial US 1,070 — — 1,070 739,595 740,665 — Total commercial loans 5,565 563 8,043 14,171 2,905,242 2,919,413 — Mortgage loans 5,248 7,832 31,414 44,494 565,445 609,939 2,934 Consumer loans: Personal loans 6,423 3,359 3,312 13,094 564,210 577,304 — Credit lines 52 29 20 101 10,646 10,747 — Credit cards 562 407 527 1,496 37,520 39,016 — Overdraft 69 — — 69 300 369 — 7,106 3,795 3,859 14,760 612,676 627,436 — Auto loans 91,686 35,018 14,516 141,220 2,198,616 2,339,836 — Total loans $ 109,605 $ 47,208 $ 57,832 $ 214,645 $ 6,281,979 $ 6,496,624 $ 2,934 As of March 31, 2024, total past due loans exclude $6.5 million of past due commercial loans held-for-sale. December 31, 2023 30-59 Day 60-89 Days 90+ Days Total Past Current Total Loans Loans 90+ (In thousands) Commercial PR: Commercial secured by real estate $ 1,585 $ 411 $ 5,671 $ 7,667 $ 1,087,540 $ 1,095,207 $ — Other commercial and industrial 1,366 291 4,974 6,631 1,084,390 1,091,021 — 2,951 702 10,645 14,298 2,171,930 2,186,228 — Commercial US — — — — 755,228 755,228 — Total commercial loans 2,951 702 10,645 14,298 2,927,158 2,941,456 — Mortgage loans 6,107 9,596 31,557 47,260 581,987 629,247 2,478 Consumer loans: Personal loans 6,115 4,041 2,755 12,911 555,447 568,358 — Credit lines 137 35 35 207 10,719 10,926 — Credit cards 657 280 586 1,523 38,791 40,314 — Overdraft 87 14 — 101 195 296 — 6,996 4,370 3,376 14,742 605,152 619,894 — Auto loans 101,610 46,071 19,056 166,737 2,105,793 2,272,530 — Total loans $ 117,664 $ 60,739 $ 64,634 $ 243,037 $ 6,220,090 $ 6,463,127 $ 2,478 As of December 31, 2023, total past due loans exclude $6.4 million of past due commercial loans held for sale. Upon adoption of the Current Expected Credit Losses (“CECL”) methodology, OFG elected to maintain pools of loans that were previously accounted for under ASC 310-30 and will continue to account for these pools as a unit of account. As such, purchased credit deteriorated (“PCD”) loans are not included in the preceding two tables. Non-accrual Loans The following table presents the amortized cost basis of loans held for investment on non-accrual status as of March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 Non-accrual with Allowance for Credit Loss Non-accrual with no Allowance for Credit Loss Total Non-accrual with Allowance for Credit Loss Non-accrual with no Allowance for Credit Loss Total (In thousands) (In thousands) Non-PCD: Commercial PR: Commercial secured by real estate $ 3,818 $ 7,747 $ 11,565 $ 3,553 $ 7,929 $ 11,482 Other commercial and industrial 2,941 709 3,650 4,560 830 5,390 6,759 8,456 15,215 8,113 8,759 16,872 Commercial US 18,579 — 18,579 19,224 — 19,224 Total Commercial loans 25,338 8,456 33,794 27,337 8,759 36,096 Mortgage loans 9,746 3,954 13,700 10,339 3,858 14,197 Consumer loans: Personal loans 3,203 143 3,346 2,741 14 2,755 Personal lines of credit 21 — 21 35 — 35 Credit cards 526 — 526 586 — 586 3,750 143 3,893 3,362 14 3,376 Auto loans 14,510 6 14,516 19,051 5 19,056 Total $ 53,344 $ 12,559 $ 65,903 $ 60,089 $ 12,636 $ 72,725 PCD: Commercial PR: Commercial secured by real estate $ 2,835 $ 2,306 $ 5,141 $ 3,060 $ 2,417 $ 5,477 Other commercial and industrial — 828 828 — 947 947 2,835 3,134 5,969 3,060 3,364 6,424 Mortgage loans 247 — 247 250 — 250 Total $ 3,082 $ 3,134 $ 6,216 $ 3,310 $ 3,364 $ 6,674 Total non-accrual loans $ 56,426 $ 15,693 $ 72,119 $ 63,399 $ 16,000 $ 79,399 The determination of non-accrual or accrual status of PCD loans is made at the pool level, not the individual loan level. As of March 31, 2024 and December 31, 2023, total commercial non-accrual loans exclude $6.5 million and $6.4 million of non-accrual commercial loans held for sale, respectively. Delinquent residential mortgage loans insured or guaranteed under applicable Federal Housing Administration (“FHA”) and Veterans Administration (“VA”) programs are classified as non-performing loans when they become 90 days or more past due but are not placed in non-accrual status until they become 12 months or more past due, since they are insured loans. Therefore, those loans are included as non-performing loans but excluded from non-accrual loans. Modifications to Debtors Experiencing Financial Difficulty OFG’s loss mitigation program was designed to ensure that borrowers experiencing financial difficulties have the opportunity to continue paying their obligations. The loss mitigation alternatives are divided depending on the borrower’s hardship and its ability to continue with regular payment or with a new modified payment plan. The loss mitigation program provides alternatives for home retention or disposition options avoiding foreclosure proceedings and collateral retention. OFG offers various types of loan modifications to borrowers experiencing financial difficulty in the form of an interest rate reduction, an other-than-insignificant payment delay, a term extension, interest or principal forbearance or forgiveness, or any combination of these types of concessions. At March 31, 2024 and 2023, the amortized cost of modified loans excludes zero and $32 thousand, respectively, in accrued interest receivable. Accrued interest receivable on loans is included in the “accrued interest receivable” line in OFG’s consolidated statements of financial condition. The amortized cost of modified loans during the quarters ended March 31, 2024 and 2023, includes $54 thousand and $2.4 million, respectively, of government-guaranteed loans ( e.g., FHA/VA). The following tables present the amortized cost basis as of March 31, 2024 and 2023 of loans held for investment that were modified during the quarters ended March 31, 2024 and 2023, disaggregated by class of financing receivable and type of concession granted. Quarter Ended March 31, 2024 Interest Rate Reduction Term Extension Principal Forbearance/Forgiveness Combination of Term Extension and Interest Rate Reduction Combination of Term Extension and Principal Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of (Dollars in thousands) Mortgage loans $ — — % $ 95 0.01 % $ — — % $ — — % $ — — % Consumer: Personal loans 27 — % 7 — % — — % — — % — — % Total $ 27 $ 102 $ — $ — $ — Quarter Ended March 31, 2023 Interest Rate Reduction Term Extension Principal Forbearance/Forgiveness Combination of Term Extension and Interest Rate Reduction Combination of Term Extension and Principal Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of (Dollars in thousands) Commercial PR: Commercial secured by real estate $ — — % $ 495 0.04 % $ — — % $ — — % $ — — % Mortgage loans — — % 2,604 0.16 % 129 0.01 % 187 0.01 % $ — — % Consumer: Personal loans — — % — — % — — % 28 0.01 % $ — — % Total $ — $ 3,099 $ 129 $ 215 $ — Our credit loss estimation methodology incorporates a lifetime approach, utilizing modeled loan performance based on the historical experience of loans with similar risk characteristics, adjusted for current conditions, and reasonable and supportable forecasts. The model considers extensive historical loss experience, including the impact of loss mitigation programs offered to borrowers facing financial difficulty and projected loss severity from loan defaults, and is applied consistently across all portfolio segments. Additionally, our ACL is recorded on each asset upon origination or acquisition and is based on historical loss information, including modifications made to borrowers facing financial difficulty, and expected behavior. Changes to the ACL are generally not recorded upon modification, as the effects of most modifications are already considered in the estimation methodology. Refer to Note 5 – Allowance for Credit Losses for additional information. The following tables present the financial effect of the modifications granted to borrowers experiencing financial difficulty during the quarters ended March 31, 2024 and 2023. The financial effect of the combined modifications is presented separately by type of modification. Quarter Ended March 31, 2024 Weighted-Average Interest Rate Reduction Weighted-Average Term Extension (In months) Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) Mortgage loans — % 180 — Consumer loans: Personal loans 5.00 % 18 — Quarter Ended March 31, 2023 Weighted-Average Interest Rate Reduction Weighted-Average Term Extension (In months) Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) Commercial PR: Commercial loans secured by real estate — % 12 $ — Mortgage loans 2.08 % 212 $ 39 Consumer loans: Personal loans 5.00 % 24 $ — The following table presents the amortized cost basis as of March 31, 2024 of loans held for investment that had a payment default subsequent to being granted a modification to borrowers experiencing financial difficulty in the prior twelve-months. Twelve Months Ended March 31, 2024 Amortized Cost Basis of Modified Financing Receivables that Subsequently Defaulted Interest Rate Reduction Term Extension Principal Forgiveness/Forbearance Combination - Term Extension and Interest Rate Reduction Total (In thousands) Mortgage loans $ — $ 277 $ — $ 85 $ 362 A payment default for a financial difficulty modification loan is defined as reaching 90 days past due with respect to principal and/or interest payments or when the borrower missed three consecutive monthly payments since modification. Payment defaults is one of the factors considered when projecting future cash flows in the calculation of the allowance for credit losses of loans. OFG closely monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table presents the payment status of loans that have been modified in the last twelve-months. March 31, 2024 30-59 Day 60-89 Days 90+ Days Total Past Current Total (In thousands) Commercial loans: Commercial PR: Commercial loans secured by real estate $ — $ — $ — $ — $ 5,806 $ 5,806 Other commercial and industrial — — — — 638 638 — — — — 6,444 6,444 Commercial US — — — — 10,571 10,571 — — — — 17,015 17,015 Mortgage loans 141 115 277 533 3,832 4,365 Consumer loans: Personal loans — — — — 127 127 — — — — 127 127 Auto loans — — — — 110 110 Total $ 141 $ 115 $ 277 $ 533 $ 21,084 $ 21,617 There were no outstanding commitments to lend additional funds to debtors experiencing financial difficulties at March 31, 2024 and December 31, 2023. As of March 31, 2024 and December 31, 2023, the recorded investment on residential mortgage loans collateralized by residential real estate property that were in the process of foreclosure amounted to $18.2 million and $24.1 million, respectively. OFG commences the foreclosure process on residential real estate loans when a borrower becomes 120 days delinquent. Puerto Rico and the USVI require the foreclosure to be processed through their respective courts. Foreclosure timelines vary according to local law and investor guidelines. Occasionally, foreclosures may be delayed due to, among other reasons, mandatory mediation, bankruptcy, court delays and property title issues. Collateral-dependent Loans The table below presents the amortized cost of commercial collateral-dependent loans held for investment at March 31, 2024 and December 31, 2023, by class of loans. March 31, December 31, 2024 2023 (In thousands) Commercial PR: Commercial loans secured by real estate $ 7,862 $ 8,027 PCD loans, except for single-pooled loans, are not included in the table above as their unit of account is the loan pool. Credit Quality Indicators OFG categorizes its loans into loan grades based on relevant information about the ability of borrowers to service their debts, such as economic conditions, portfolio risk characteristics, prior loss experience, and the results of periodic credit reviews of individual loans. OFG uses the following definitions for loan grades: Pass: Loans classified as “pass” have a well-defined primary source of repayment very likely to be sufficient, with no apparent risk, strong financial position, minimal operating risk, profitability, liquidity and capitalization better than industry standards. 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, questionable and improbable. Loss: Loans classified as “loss” are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this worthless loan even though partial recovery may be effected in the future. Loans not meeting the criteria above that are analyzed individually as part of the process described above are considered to be pass loans. As of March 31, 2024, and based on the most recent analysis performed, the risk category of loans held for investment subject to risk rating by class of loans, and current year-to-date period gross charge-offs by year of origination is as follows: Term Loans Revolving Total 2024 2023 2022 2021 2020 Prior (In thousands) Commercial PR: Commercial secured by real estate: Loan grade: Pass $ 93,845 $ 223,742 $ 206,955 $ 191,368 $ 110,669 $ 203,868 $ 74,976 $ 1,105,423 Special Mention — — 8,656 6,464 4,820 28,267 133 48,340 Substandard — — 457 1,346 1,214 14,714 706 18,437 Doubtful — — — — — 15 — 15 Loss — — — — — — — — Total commercial secured by real estate 93,845 223,742 216,068 199,178 116,703 246,864 75,815 1,172,215 Commercial secured by real estate: YTD gross charge-offs — — — — — 7 — 7 Other commercial and industrial: Loan grade: Pass 33,643 280,879 79,473 107,103 30,025 20,175 447,902 999,200 Special Mention — — 2,822 10 — 73 1,060 3,965 Substandard — 32 388 1,095 236 1,172 445 3,368 Doubtful — — — — — — — — Loss — — — — — — — — Total other commercial and industrial: 33,643 280,911 82,683 108,208 30,261 21,420 449,407 1,006,533 Other commercial and industrial: YTD gross charge-offs 99 — 156 3,303 — — — 3,558 Commercial US: Loan grade: Pass 9,860 141,607 63,193 59,735 30,482 29,930 356,117 690,924 Special Mention — — 7,798 17,678 — — — 25,476 Substandard — 10,571 — — — 5,686 8,008 24,265 Doubtful — — — — — — — — Loss — — — — — — — — Total Commercial US: 9,860 152,178 70,991 77,413 30,482 35,616 364,125 740,665 Commercial US: YTD gross charge-offs — — — 1,749 — 2 — 1,751 Total commercial loans $ 137,348 $ 656,831 $ 369,742 $ 384,799 $ 177,446 $ 303,900 $ 889,347 $ 2,919,413 Total YTD gross charge-offs $ 99 $ — $ 156 $ 5,052 $ — $ 9 $ — $ 5,316 As of December 31, 2023, and based on the most recent analysis performed, the risk category of loans held for investment subject to risk rating by class of loans is as follows: Term Loans Revolving Total 2023 2022 2021 2020 2019 Prior (In thousands) Commercial PR: Commercial secured by real estate: Loan grade: Pass $ 224,598 $ 216,205 $ 195,884 $ 120,489 $ 80,671 $ 131,016 $ 65,873 $ 1,034,736 Special Mention — 1,772 6,554 5,057 15,676 12,500 153 41,712 Substandard — 459 1,386 1,109 2,615 11,939 1,236 18,744 Doubtful — — — — — 15 — 15 Loss — — — — — — — — Total commercial secured by real estate 224,598 218,436 203,824 126,655 98,962 155,470 67,262 1,095,207 Commercial secured by real estate: YTD gross charge-offs — — 265 — 94 820 — 1,179 Other commercial and industrial: Loan grade: Pass 284,615 99,522 113,760 37,665 7,438 14,836 527,008 1,084,844 Special Mention 8 2,953 — — 51 100 — 3,112 Substandard 3 473 826 259 935 186 383 3,065 Doubtful — — — — — — — — Loss — — — — — — — — Total other commercial and industrial: 284,626 102,948 114,586 37,924 8,424 15,122 527,391 1,091,021 Other commercial and industrial: YTD gross charge-offs — 124 1,095 89 9 1,180 — 2,497 Commercial US: Loan grade: Pass 142,222 63,885 69,233 31,206 28,202 8,085 358,757 701,590 Special Mention — 7,803 — — — — 20,913 28,716 Substandard 10,832 — — — — 5,699 8,391 24,922 Doubtful — — — — — — — — Loss — — — — — — — — Total Commercial US: 153,054 71,688 69,233 31,206 28,202 13,784 388,061 755,228 Commercial US: YTD gross charge-offs 33 1,156 642 47 — 8,637 — 10,515 Total commercial loans $ 662,278 $ 393,072 $ 387,643 $ 195,785 $ 135,588 $ 184,376 $ 982,714 $ 2,941,456 Total YTD gross charge-offs $ 33 $ 1,280 $ 2,002 $ 136 $ 103 $ 10,637 $ — $ 14,191 At March 31, 2024 and December 31, 2023 , the balance of revolving commercial loans converted to term loans was $162.7 million and $144.1 million, respectively. OFG considers the performance of the loan portfolio and its impact on the ACL. For mortgage and consumer loan classes, OFG also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following table presents the amortized cost in mortgage and consumer loans held for investment based on payment activity as of March 31, 2024: Term Loans Revolving Total 2024 2023 2022 2021 2020 Prior (In thousands) Mortgage loans: Payment performance: Performing $ 3,961 $ 17,075 $ 19,576 $ 23,376 $ 15,766 $ 511,141 $ — $ 590,895 Nonperforming — — — 176 106 18,762 — 19,044 Total mortgage loans: 3,961 17,075 19,576 23,552 15,872 529,903 — 609,939 Mortgage loans: YTD gross charge-offs — — — — — 64 — 64 Consumer loans: Personal loans: Payment performance: Performing 66,385 247,875 166,549 59,793 16,903 16,453 — 573,958 Nonperforming 34 1,189 1,404 463 157 99 — 3,346 Total personal loans 66,419 249,064 167,953 60,256 17,060 16,552 — 577,304 Personal loans: YTD gross charge-offs — 1,635 3,576 1,018 298 381 — 6,908 Credit lines: Payment performance: Performing — — — — — — 10,726 10,726 Nonperforming — — — — — — 21 21 Total credit lines — — — — — — 10,747 10,747 Credit lines: YTD gross charge-offs — — — — — — 64 64 Credit cards: Payment performance: Performing — — — — — — 38,490 38,490 Nonperforming — — — — — — 526 526 Total credit cards — — — — — — 39,016 39,016 Credit cards: YTD gross charge-offs — — — — — — 633 633 Overdrafts: Payment performance: Performing — — — — — — 369 369 Nonperforming — — — — — — — — Total overdrafts — — — — — — 369 369 Overdrafts: YTD gross charge-offs — — — — — — 376 376 Total consumer loans 66,419 249,064 167,953 60,256 17,060 16,552 50,132 627,436 Total consumer loans YTD gross charge-offs — 1,635 3,576 1,018 298 381 1,073 7,981 Total mortgage and consumer loans $ 70,380 $ 266,139 $ 187,529 $ 83,808 $ 32,932 $ 546,455 $ 50,132 $ 1,237,375 Total mortgage and consumer loans YTD gross charge-offs $ — $ 1,635 $ 3,576 $ 1,018 $ 298 $ 445 $ 1,073 $ 8,045 The following table presents the amortized cost in mortgage and consumer loans held for investment based on payment activity as of December 31, 2023 : Term Loans Revolving Total 2023 2022 2021 2020 2019 Prior (In thousands) Mortgage loans: Payment performance: Performing $ 24,623 $ 19,722 $ 23,303 $ 15,821 $ 14,589 $ 511,182 $ — $ 609,240 Nonperforming $ — — 181 108 479 19,239 — 20,007 Total mortgage loans: 24,623 19,722 23,484 15,929 15,068 530,421 — 629,247 Mortgage loans: YTD gross charge-offs $ — 4 — — — 755 — 759 Consumer loans: Personal loans: Payment performance: Performing 270,883 186,612 68,133 19,185 14,460 6,330 — $ 565,603 Nonperforming 503 1,588 304 193 66 101 — 2,755 Total personal loans 271,386 188,200 68,437 19,378 14,526 6,431 — 568,358 Personal loans: YTD gross charge-offs 1,748 10,512 4,661 830 1,384 731 — 19,866 Credit lines: Payment performance: Performing — — — — — — 10,891 $ 10,891 Nonperforming — — — — — — 35 35 Total credit lines — — — — — — 10,926 10,926 Credit lines: YTD gross charge-offs — — — — — — 419 419 Credit cards: Payment performance: Performing — — — — — — 39,728 $ 39,728 Nonperforming — — — — — — 586 586 Total credit cards — — — — — — 40,314 40,314 Credit cards: YTD gross charge-offs — — — — — — 2,825 2,825 Overdrafts: Payment performance: Performing — — — — — — 296 $ 296 Nonperforming — — — — — — — — Total overdrafts — — — — — — 296 296 Overdrafts: YTD gross charge-offs — — — — — — 545 545 Total consumer loans 271,383 188,200 68,437 19,378 14,526 6,431 51,536 619,894 Total consumer loans YTD gross charge-offs 1,748 10,512 4,661 830 1,384 731 3,789 23,655 Total mortgage and consumer loans $ 296,009 $ 207,922 $ 91,921 $ 35,307 $ 29,594 $ 536,852 $ 51,536 $ 1,249,141 Total mortgage and consumer loans YTD gross charge-offs $ 1,748 $ 10,516 $ 4,661 $ 830 $ 1,384 $ 1,486 $ 3,789 $ 24,414 At March 31, 2024, the balance of revolving mortgage and consumer loans that converted to term loans was $54.4 thousand. At December 31, 2023 , there were no mortgage and consumer revolving loans that converted to term loans. OFG evaluates credit quality for auto loans based on FICO score. The following table presents the amortized cost in auto loans held for investment based on their most recent FICO score as of March 31, 2024: Term Loans Total 2024 2023 2022 2021 2020 Prior (In thousands) Auto loans: FICO score: 1-660 27,029 199,471 189,377 113,598 53,460 68,305 651,240 661-699 36,542 165,438 98,929 51,872 23,089 27,931 403,801 700+ 119,541 460,225 298,660 168,374 93,230 120,373 1,260,403 No FICO 969 6,493 6,225 4,291 1,992 4,422 24,392 Total auto loans $ 184,081 $ 831,627 $ 593,191 $ 338,135 $ 171,771 $ 221,031 $ 2,339,836 Auto loans: YTD gross charge-offs $ 9 $ 4,342 $ 5,108 $ 2,272 $ 1,009 $ 1,478 $ 14,218 The following table presents the amortized cost in auto loans held for investment based on their most recent FICO score as of December 31, 2023 : Term Loans Total 2023 2022 2021 2020 2019 Prior (In thousands) Auto loans: FICO score: 1-660 170,639 190,743 118,821 57,087 41,124 38,570 616,984 661-699 169,430 110,260 58,166 25,886 18,253 16,137 398,132 700+ 474,005 323,514 183,286 103,886 88,929 58,779 1,232,399 No FICO 6,203 6,537 4,592 2,200 3,886 1,597 25,015 Total auto loans $ 820,277 $ 631,054 $ 364,865 $ 189,059 $ 152,192 $ 115,083 $ 2,272,530 Auto loans: YTD gross charge-offs $ 4,090 $ 18,142 $ 10,894 $ 4,008 $ 3,380 $ 3,250 $ 43,764 Upon adoption of CECL, OFG elected to maintain pools of loans that were previously accounted for under ASC 310-30 and will continue to account for these pools as a unit of account. As such, PCD loans are not included in the preceding two tables. As of March 31, 2024 and December 31, 2023 , accrued interest receivable on loans totaled $62.6 million and $63.5 million, respectively, and is included in the accrued interest receivable line in OFG’s consolidated statements of financial condition. Refer to “Note 9 – Accrued Interest Receivable and Other Assets” for more information on accrued interest receivable on loans. |
ALLOWANCE FOR CREDIT LOSSES
ALLOWANCE FOR CREDIT LOSSES | 3 Months Ended |
Mar. 31, 2024 | |
Credit Loss [Abstract] | |
ALLOWANCE FOR CREDIT LOSSES | ALLOWANCE FOR CREDIT LOSSES OFG measures its ACL based on management’s best estimate of lifetime expected credit losses inherent in OFG’s relevant financial assets. The ACL is estimated using quantitative methods that consider a variety of factors such as historical loss experience, the current credit quality of the portfolio, and an economic outlook over the life of the loan. Also included in the ACL are qualitative reserves to cover losses that are expected but, in OFG’s assessment, may not be adequately represented in the quantitative methods or the economic assumptions. In its loss forecasting framework, OFG incorporates forward-looking information through the use of macroeconomic scenarios applied over the forecasted life of the assets. The scenarios that are chosen each quarter and the amount of weight given to each scenario depend on a variety of factors, including recent economic events, leading economic indicators, views of internal as well as third-party economists and industry trends. For more information on OFG’s credit loss accounting policies, including the allowance for credit losses, see “Note 1 – Summary of Significant Accounting Policies” included in OFG’s 2023 Form 10-K. At March 31, 2024, OFG used an economic probability-weighted scenario approach consisting of the baseline and moderate recession scenarios, giving more weight to the baseline scenario, except for the US loan segment that uses a higher probability level in the moderate recessionary scenario. In addition, the ACL at March 31, 2024 continues to include qualitative reserves for certain segments that OFG views as higher risk that may not be fully recognized through its quantitative models, such as auto loan portfolio credit trends and the evolution of risk ratings applied to the commercial loans and collateral changes in real estate portfolios. There are still many unknown variables, including the results of the government’s fiscal and monetary actions resulting from the effect of inflation and geopolitical tension. As of March 31, 2024, the ACL decreased by $4.5 million compared to December 31, 2023. The provision for credit losses for the quarter ended March 31, 2024, reflected adjustments of $15.1 million related to volume and $1.7 million as a result of the strategic sale of a performing US commercial loan, partially offset by $1.7 million related to a reduction in specific reserves for payments received on substantially reserved US commercial loans. The net charge-offs for the quarter ended March 31, 2024, amounted to $19.8 million, an increase of $9.7 million when compared to the same period of 2023. The increase is mainly due to $5.3 million in auto loans, $2.5 million in consumer loans and $2.4 million in commercial loans. Net charge-offs for the quarter ended March 31, 2024 include $3.5 million from previously and fully-reserved nonperforming paycheck protection program (“PPP”) loans. The following tables present the activity in OFG’s allowance for credit losses by segment for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 Commercial Mortgage Consumer Auto Total (In thousands) Non-PCD: Balance at beginning of period $ 44,041 $ 7,998 $ 27,086 $ 73,485 $ 152,610 (Recapture of) provision for credit losses (1,406) (574) 7,655 11,078 16,753 Charge-offs (5,316) (64) (7,981) (14,218) (27,579) Recoveries 52 267 693 5,971 6,983 Balance at end of period $ 37,371 $ 7,627 $ 27,453 $ 76,316 $ 148,767 PCD: Balance at beginning of period $ 1,113 $ 7,351 $ 7 $ 25 $ 8,496 Recapture of provision for credit losses (137) (1,268) (23) (56) (1,484) Charge-offs — (83) — (9) (92) Recoveries 157 638 23 58 876 Balance at end of period $ 1,133 $ 6,638 $ 7 $ 18 $ 7,796 Total allowance for credit losses at end of period $ 38,504 $ 14,265 $ 27,460 $ 76,334 $ 156,563 Quarter Ended March 31, 2023 Commercial Mortgage Consumer Auto Total (In thousands) Non-PCD: Balance at beginning of period $ 39,158 $ 9,571 $ 23,264 $ 69,848 $ 141,841 (Recapture of) provision for credit losses (335) (503) 5,974 2,896 8,032 Charge-offs (1,375) (201) (5,440) (9,479) (16,495) Recoveries 326 216 866 6,599 8,007 Balance at end of period $ 37,774 $ 9,083 $ 24,664 $ 69,864 $ 141,385 PCD: Balance at beginning of period $ 1,388 $ 9,359 $ 14 $ 71 $ 10,832 Provision for (recapture of) credit losses 1,920 (814) 200 (7) 1,299 Charge-offs (2,104) (75) (213) (87) (2,479) Recoveries 489 247 11 100 847 Balance at end of period $ 1,693 $ 8,717 $ 12 $ 77 $ 10,499 Total allowance for credit losses at end of period $ 39,467 $ 17,800 $ 24,676 $ 69,941 $ 151,884 |
FORECLOSED REAL ESTATE
FORECLOSED REAL ESTATE | 3 Months Ended |
Mar. 31, 2024 | |
Other Real Estate [Abstract] | |
FORECLOSED REAL ESTATE | FORECLOSED REAL ESTATE The following table presents the activity related to foreclosed real estate for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Balance at beginning of period $ 10,780 $ 11,214 Additions 1,345 1,438 Sales (1,826) (3,581) Decline in value (170) (127) Other adjustments 721 306 Balance at end of period $ 10,850 $ 9,250 |
SERVICING ASSETS
SERVICING ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Transfers and Servicing [Abstract] | |
SERVICING ASSETS | SERVICING ASSETS OFG periodically sells or securitizes mortgage loans while retaining the obligation to perform the servicing of such loans. In addition, OFG may purchase or assume the right to service mortgage loans originated by others. Whenever OFG undertakes an obligation to service a loan, management assesses whether a servicing asset and/or liability should be recognized. A servicing asset is recognized whenever the compensation for servicing is expected to more than adequately compensate OFG for servicing the loans. Likewise, a servicing liability would be recognized in the event that servicing fees to be received are not expected to adequately compensate OFG for its expected cost. At March 31, 2024, the fair value of mortgage servicing rights was $49.6 million ($49.5 million — December 31, 2023). The following table presents the changes in servicing rights measured using the fair value method for March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Fair value at beginning of period $ 49,520 $ 50,921 Servicing from mortgage securitization or asset transfers 527 575 Changes due to payments on loans (920) (1,065) Changes in fair value due to changes in valuation model inputs or assumptions 426 (1,086) Fair value at end of period $ 49,553 $ 49,345 The following table presents key economic assumption ranges used in measuring the mortgage-related servicing asset fair value as of March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 Constant prepayment rate 1.14% - 15.08% 3.59% - 23.26% Discount rate 10.00% - 15.50% 10.00% - 15.50% The sensitivity of the current fair value of servicing assets to immediate 10 percent and 20 percent adverse changes in the above key assumptions were as follows: March 31, December 31, 2024 2023 (In thousands) Mortgage-related servicing asset Carrying value of mortgage servicing asset $ 49,553 49,520 Weighted average life (in years) 7.3 7.3 Constant prepayment rate Decrease in fair value due to 10% adverse change $ (928) $ (928) Decrease in fair value due to 20% adverse change $ (1,821) $ (1,821) Discount rate Decrease in fair value due to 10% adverse change $ (2,007) $ (1,999) Decrease in fair value due to 20% adverse change $ (3,871) $ (3,856) These sensitivities are hypothetical and should be used with caution. As the figures indicate, changes in fair value based on a 10% variation in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in this table, the effect of a variation in a particular assumption on the fair value of the retained interest is calculated without changing any other assumption. Changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or offset the sensitivities. Mortgage banking activities, a component of total banking and financial service revenue in the consolidated statements of operations, include the changes from period to period in the fair value of the mortgage loan servicing rights, which may result from changes in the valuation model inputs or assumptions (principally reflecting changes in discount rates and prepayment speed assumptions) and other changes, including changes due to collection/realization of expected cash flows. Servicing fee income is based on a contractual percentage of the outstanding principal balance and is recorded as income when earned and included in the mortgage banking activities section in the consolidated statement of operations. Servicing fees on mortgage loans for the quarters ended March 31, 2024 and 2023 totaled $4.4 million and $5.0 million, respectively. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill by reportable business segment is included in the table below. Refer to “ Note 22 – Business Segments” for additional information on OFG’s reportable business segments. Banking Wealth Management Treasury Total (In thousands) December 31, 2023 $ 84,063 $ 178 $ — $ 84,241 March 31, 2024 $ 84,063 $ 178 $ — $ 84,241 There were no changes in the carrying amount of goodwill during the quarters ended March 31, 2024 and 2023. There were no accumulated impairment losses at March 31, 2024 and December 31, 2023. Relevant events and circumstances for evaluating whether it is more likely than not that the fair value of a reporting segment is less than its carrying amount may include macroeconomic conditions (such as deterioration of the Puerto Rico economy or the liquidity for Puerto Rico securities or loans secured by assets in Puerto Rico), adverse changes in legal factors or in the business climate, adverse actions by a regulator, unanticipated competition, the loss of key employees, natural disasters, or similar events. OFG performed its annual impairment review of goodwill during the fourth quarter of 2023 using October 31, 2023 as the annual evaluation date and concluded that there was no impairment at December 31, 2023. During the quarter ended March 31, 2024, OFG performed an assessment of events or circumstances that could trigger reductions in the book value of the goodwill. Based on this assessment, no impairments were identified at March 31, 2024. The following table reflects the components of other intangible assets subject to amortization at March 31, 2024 and December 31, 2023: Gross Accumulated Net (In thousands) March 31, 2024 Core deposit intangibles $ 41,507 $ 26,791 $ 14,716 Customer relationship intangibles 12,693 8,193 4,500 Total other intangible assets $ 54,200 $ 34,984 $ 19,216 December 31, 2023 Core deposit intangibles $ 41,507 $ 25,659 $ 15,848 Customer relationship intangibles 12,693 7,847 4,846 Total other intangible assets $ 54,200 $ 33,506 $ 20,694 In connection with previous acquisitions, OFG recorded core deposit intangibles representing the value of checking and savings deposits acquired. In addition, OFG recorded customer relationship intangibles representing the value of customer relationships acquired with its acquisitions of insurance agencies. During the quarter ended March 31, 2024, OFG performed an assessment of events or circumstances that could trigger reductions in the book value of other intangible assets. Based on this assessment, no impairments were identified at March 31, 2024. Other intangible assets have a definite useful life. Amortization of other intangible assets for the quarters ended March 31, 2024 and 2023, was $1.5 million and $1.7 million, respectively. The following table presents the estimated amortization of other intangible assets for each of the following periods. Year Ending December 31, (In thousands) 2024 5,913 2025 4,927 2026 3,942 2027 2,956 2028 1,971 Thereafter 985 |
ACCRUED INTEREST RECEIVABLE AND
ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Accrued Interest Receivable and Other Assets [Abstract] | |
ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS | ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS Accrued interest receivable at March 31, 2024 and December 31, 2023 consists of the following: March 31, 2024 December 31, 2023 (In thousands) Loans $ 62,584 $ 63,526 Investments 9,533 7,874 $ 72,117 $ 71,400 Accrued interest receivable on loans that participated in the Hurricane Fiona and Covid-19 deferral programs amounted to $19.9 million at March 31, 2024, of which $17.8 million corresponded to loans in current status, and $20.2 million at December 31, 2023, of which $18.2 million corresponded to loans in current status. OFG estim ates expected credit losses on accrued interest receivable for loans that participated in moratorium programs. An allowance has been established for loans with delinquency status in 30 to 89 days past due and is calculated by applying the corresponding loan projected loss factors to the accrued interest receivable balance. At March 31, 2024 and December 31, 2023, the ACL for accrued interest receivable for loans that participated in moratorium programs amounted to $62 thousand and $85 thousand, respectively, and is included in accrued interest receivable in the statement of financial condition. Other assets at March 31, 2024 and December 31, 2023 consist of the following: March 31, 2024 December 31, 2023 (In thousands) Prepaid expenses $ 62,145 $ 63,040 Other repossessed assets 6,844 4,032 Accounts receivable and other assets 49,334 47,859 $ 118,323 $ 114,931 Prepaid expenses amounting to $62.1 million at March 31, 2024, include prepaid municipal, property and income taxes aggregating to $55.0 million. At December 31, 2023 prepaid expenses amounted to $63.0 million, including prepaid municipal, property and income taxes aggregating to $54.7 million. Other repossessed assets totaled $6.8 million and $4.0 million at March 31, 2024 and December 31, 2023, respectively, and consist of repossessed automobiles, which are recorded at their net realizable value. |
DEPOSITS AND RELATED INTEREST
DEPOSITS AND RELATED INTEREST | 3 Months Ended |
Mar. 31, 2024 | |
Deposits and Related Interest [Abstract] | |
DEPOSITS AND RELATED INTEREST | DEPOSITS AND RELATED INTEREST Total deposits, including related accrued interest payable, as of March 31, 2024 and December 31, 2023 consist of the following: March 31, 2024 December 31, 2023 (In thousands) Non-interest-bearing demand deposits $ 2,562,096 $ 2,537,431 Interest-bearing savings and demand deposits 5,476,565 5,601,099 Retail certificates of deposit 1,117,004 1,083,316 Institutional certificates of deposit 390,033 378,143 Total core deposits 9,545,698 9,599,989 Brokered deposits 2,576 162,180 Total deposits $ 9,548,274 $ 9,762,169 At March 31, 2024 and December 31, 2023, the aggregate amount of uninsured deposits was $4.891 billion (51% of total deposits) and $4.885 billion (50.0% of total deposits), respectively. The weighted average interest rate of OFG’s deposits was 1.54% and 0.88%, respectively, at March 31, 2024 and December 31, 2023. Interest expense for the quarters ended March 31, 2024 and 2023 was as follows: Quarter Ended March 31, 2024 2023 Demand and savings deposits $ 26,065 $ 8,668 Certificates of deposit 10,727 3,829 $ 36,792 $ 12,497 At March 31, 2024 and December 31, 2023, time deposits in denominations of $250 thousand or higher, excluding accrued interest and unamortized discounts, amounted to $793.4 million and $747.2 million, respectively. At March 31, 2024 and December 31, 2023, total public fund deposits from various Puerto Rico government municipalities, agencies and corporations amounted to $1.590 billion and $1.616 billion, respectively. These public funds were collateralized with securities and commercial loans amounting to $1.694 billion and $1.645 billion at March 31, 2024 and December 31, 2023, respectively. Excluding accrued interest of approximately $1.7 million and $3.0 million, the scheduled maturities of certificates of deposit at March 31, 2024 and December 31, 2023 are as follows: March 31, 2024 Period-end amount Uninsured amount (In thousands) Within one year: Three months or less $ 291,558 $ 88,260 Over 3 months through 6 months 200,361 91,329 Over 6 months through 1 year 509,185 233,878 1,001,104 413,467 Over 1 through 2 years 350,012 109,708 Over 2 through 3 years 77,872 8,988 Over 3 through 4 years 34,371 1,415 Over 4 through 5 years 43,591 4,847 Over 5 years 961 — $ 1,507,911 $ 538,425 December 31, 2023 Period-end amount Uninsured amount (In thousands) Within one year: Three months or less $ 457,533 $ 115,392 Over 3 months through 6 months 195,902 61,245 Over 6 months through 1 year 329,758 113,524 983,193 290,161 Over 1 through 2 years 467,348 201,478 Over 2 through 3 years 94,450 13,971 Over 3 through 4 years 29,514 1,379 Over 4 through 5 years 45,575 4,665 Over 5 years 608 — $ 1,620,688 $ 511,654 The tables of scheduled maturities of certificates of deposits above includes brokered-deposits and individual retirement accounts. The aggregate amount of overdrafts in demand deposit accounts that were reclassified to loans amounted to $633 thousand and $564 thousand as of March 31, 2024 and December 31, 2023, respectively. |
BORROWINGS AND RELATED INTEREST
BORROWINGS AND RELATED INTEREST | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
BORROWINGS AND RELATED INTEREST | BORROWINGS AND RELATED INTEREST Advances from the Federal Home Loan Bank of New York Advances are received from the FHLB under an agreement whereby OFG is required to maintain a minimum amount of qualifying collateral with a fair value of at least 110% of the outstanding advances. At March 31, 2024 and December 31, 2023, these advances were secured by mortgage and commercial loans amounting to $984.4 million and $1.0 billion, respectively. Also, at March 31, 2024 and December 31, 2023, OFG had an additional borrowing capacity with the FHLB of $457.5 million and $446.0 million, respectively. At March 31, 2024 and December 31, 2023, the weighted average remaining maturity of FHLB advances was 11 months and 1.2 years, respectively. The original terms of the outstanding long-term advances at March 31, 2024 is 2 years. The following table shows a summary of the advances and their terms, excluding accrued interest in the amount of $766 thousand and $768 thousand at March 31, 2024 and December 31, 2023, respectively: March 31, 2024 December 31, 2023 (In thousands) Long-term fixed-rate advance from FHLB, with a weighted average interest rate of 4.52% (December 31, 2023 - 4.52%) $ 200,000 $ 200,000 Advances from FHLB mature as follows: March 31, 2024 December 31, 2023 (In thousands) Over one to three years $ 200,000 $ 200,000 |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES OFG is subject to the provisions of the Puerto Rico Internal Revenue Code of 2011, as amended (the “PR Code”). The PR Code imposes a maximum statutory corporate tax rate of 37.5%. OFG has operations in the U.S. through its wholly owned subsidiaries OFG Ventures and OFG USA LLC (“OFG USA”), which is a direct subsidiary of the Bank, and has two branches in the USVI. The United States subsidiaries are subject to federal income taxes at the corporate level, while the USVI branches are subject to federal income taxes under a mirror system and a 10% surtax included in the maximum tax rate. OFG USA is subject to North Carolina state taxes, and current investments in OFG Ventures are subject to state taxes in Missouri. In addition, OFG’s wholly owned subsidiary, OFG Reinsurance Ltd., is tax exempt in Grand Cayman. As of March 31, 2024, OFG’s net deferred tax assets, net of a valuation allowance of $7.1 million, amounted to $4.4 million; and the net deferred tax liability, net of valuation allowance of $461 thousand, amounted to $22.9 million, reflecting the aggregate deferred tax assets or liabilities of individual tax-paying subsidiaries of OFG. As of December 31, 2023, OFG’s deferred tax asset, net of a valuation allowance of $7.0 million, amounted to $4.9 million; and net deferred tax liability, net of a valuation allowance of $569 thousand, amounted to $22.4 million, reflecting aggregate deferred tax assets or liabilities of individual tax-paying subsidiaries of OFG. The decrease in valuation allowance of $39 thousand was mainly related to USVI operations. In assessing the realizability of the deferred tax asset, management considers whether it is more likely than not that some portion or the entire deferred tax asset will not be realized. The ultimate realization of the deferred tax asset is dependent upon the generation of future income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future income, and tax planning strategies in making this assessment. Based upon the assessment of positive and negative evidence, the level of historical taxable income, projections for future taxable income over the periods in which the deferred tax asset are deductible, and provisions of certain closing agreements, management believes it is more likely than not that OFG will realize the benefits of these deductible differences, net of the existing valuation allowances, at March 31, 2024. The amount of the deferred tax asset that is considered realizable could be reduced in the near term if there are changes in estimates of future taxable income. OFG maintained an effective tax rate (“ETR”) lower than the statutory rate for the quarters ended March 31, 2024 and 2023 of 26.8% and 29.0%, respectively, the decrease is mainly related to exempt income, income subject to preferential tax treatment under the PR Code and a discrete tax windfall on stock options recognized during the period. The expected ETR for 2024 is 28.5%. OFG classifies unrecognized tax benefits in other liabilities. These gross unrecognized tax benefits would affect the ETR if realized. At March 31, 2024, the amount of unrecognized tax benefits was $952 thousand (December 31, 2023 - $936 thousand). |
REGULATORY CAPITAL REQUIREMENTS
REGULATORY CAPITAL REQUIREMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Capital Disclosure [Abstract] | |
REGULATORY CAPITAL REQUIREMENTS | REGULATORY CAPITAL REQUIREMENTS Regulatory Capital Requirements OFG (on a consolidated basis) and the Bank are subject to various regulatory capital requirements administered by federal and Puerto Rico banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on OFG’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, OFG and the Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. OFG and the Bank have elected to exclude accumulated comprehensive income related to both available for sale securities and derivative valuations from Common Equity Tier 1 Capital. As of March 31, 2024 and December 31, 2023, OFG and the Bank met all capital adequacy requirements to which they are subject. As of March 31, 2024 and December 31, 2023, OFG and the Bank are “well capitalized” under the regulatory framework for prompt corrective action. To be categorized as “well capitalized,” an institution must maintain minimum CET1 risk-based, Tier 1 risk-based, total risk-based, and Tier 1 leverage ratios as set forth in the tables presented below. OFG’s and the Bank’s actual capital amounts and ratios as of March 31, 2024 and December 31, 2023 were as follows: Actual Minimum Capital Minimum to be Well Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) OFG Bancorp Ratios As of March 31, 2024 Total capital to risk-weighted assets $ 1,309,893 15.71 % $ 875,507 10.50 % $ 833,817 10.00 % Tier 1 capital to risk-weighted assets $ 1,205,231 14.45 % $ 708,744 8.50 % $ 667,053 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,205,231 14.45 % $ 583,672 7.00 % $ 541,981 6.50 % Tier 1 capital to average total assets $ 1,205,231 10.76 % $ 447,862 4.00 % $ 559,827 5.00 % As of December 31, 2023 Total capital to risk-weighted assets $ 1,278,537 15.37 % $ 873,369 10.50 % $ 831,780 10.00 % Tier 1 capital to risk-weighted assets $ 1,174,205 14.12 % $ 707,013 8.50 % $ 665,424 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,174,205 14.12 % $ 582,246 7.00 % $ 540,657 6.50 % Tier 1 capital to average total assets $ 1,174,205 11.03 % $ 425,911 4.00 % $ 532,389 5.00 % Actual Minimum Capital Minimum to be Well Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) Bank Ratios As of March 31, 2024 Total capital to risk-weighted assets $ 1,192,181 14.40 % $ 869,541 10.50 % $ 828,134 10.00 % Tier 1 capital to risk-weighted assets $ 1,088,220 13.14 % $ 703,914 8.50 % $ 662,507 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,088,220 13.14 % $ 579,694 7.00 % $ 538,287 6.50 % Tier 1 capital to average total assets $ 1,088,220 9.82 % $ 443,045 4.00 % $ 553,807 5.00 % As of December 31, 2023 Total capital to risk-weighted assets $ 1,179,164 14.27 % $ 867,797 10.50 % $ 826,474 10.00 % Tier 1 capital to risk-weighted assets $ 1,075,487 13.01 % $ 702,503 8.50 % $ 661,179 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,075,487 13.01 % $ 578,532 7.00 % $ 537,208 6.50 % Tier 1 capital to average total assets $ 1,075,487 10.20 % $ 421,660 4.00 % $ 527,075 5.00 % |
STOCKHOLDERS_ EQUITY
STOCKHOLDERS’ EQUITY | 3 Months Ended |
Mar. 31, 2024 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS’ EQUITY | STOCKHOLDERS’ EQUITY Common Stock At both March 31, 2024 and December 31, 2023, common stock amounted to $59.9 million. Additional Paid-in Capital Additional paid-in capital represents contributed capital in excess of par value of common stock, net of the costs of issuance. At both March 31, 2024 and December 31, 2023, accumulated common stock issuance costs charged against additional paid-in capital amounted to $13.6 million. Legal Surplus The Puerto Rico Banking Act requires that a minimum of 10% of the Bank’s net income for the year be transferred to a reserve fund until such fund (legal surplus) equals the total paid-in capital on common and preferred stock. At March 31, 2024 and December 31, 2023, the Bank’s legal surplus amounted to $155.7 million and $151.0 million, respectively. During the quarter ended March 31, 2024, OFG transferred $4.8 million to the legal surplus account. The amount transferred to the legal surplus account is not available for the payment of dividends to shareholders. Treasury Stock In January 2024, OFG announced the approval by the Board of Directors of a stock repurchase program for the purchase of up to $50 million of its outstanding shares of common stock. The new stock repurchase program, which is open-ended, replaces the prior stock repurchase program of $100 million, which had a remaining balance of $17.2 million and had been approved by the Board of Directors in January 2022. The shares of common stock repurchased are held by OFG as treasury shares. OFG records treasury stock purchases under the cost method whereby the entire cost of the acquired stock is recorded as treasury stock. There were no repurchases of stock under the new program during the quarter ended March 31, 2024. Under the prior stock program, OFG repurchased 104,800 shares for a total of $2.9 million at an average price of $27.61 per share during the quarter ended March 31, 2023. OFG did not repurchase any shares of its common stock during the quarter ended March 31, 2024 and 2023, other than through its publicly announced stock repurchase program. The activity in connection with common shares held in treasury by OFG for the quarters ended March 31, 2024 and 2023 is set forth below: Quarter Ended March 31, 2024 2023 Shares Dollar Shares Dollar (In thousands, except shares data) Beginning of period 12,820,078 $ 228,350 12,303,859 $ 211,135 Common shares used upon lapse of restricted stock units and options (151,415) (1,454) (134,827) (1,235) Common shares repurchased as part of the stock repurchase programs — — 104,800 2,894 End of period 12,668,663 $ 226,896 12,273,832 $ 212,794 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | ACCUMULATED OTHER COMPREHENSIVE LOSS Accumulated other comprehensive loss, net of income taxes, as of March 31, 2024 and December 31, 2023 consisted of: March 31, 2024 December 31, 2023 (In thousands) Unrealized loss on securities available-for-sale $ (96,047) $ (78,497) Income tax effect of unrealized loss on securities available-for-sale 14,316 11,484 Net unrealized loss on securities available-for-sale (81,731) (67,013) Accumulated other comprehensive loss, net of income taxes $ (81,731) $ (67,013) The following table presents changes in accumulated other comprehensive loss by component, net of taxes, for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 Net unrealized (In thousands) Beginning balance $ (67,013) Other comprehensive loss before reclassifications (14,711) Amounts reclassified out of accumulated other comprehensive loss (7) Other comprehensive loss (14,718) Ending balance $ (81,731) Quarter Ended March 31, 2023 Net unrealized Net unrealized Accumulated (In thousands) Beginning balance $ (93,663) $ 254 $ (93,409) Other comprehensive income (loss) before reclassifications 15,149 (673) 14,476 Amounts reclassified out of accumulated other comprehensive (loss) income 2 591 593 Other comprehensive income (loss) 15,151 (82) 15,069 Ending balance $ (78,512) $ 172 $ (78,340) The following table presents reclassifications out of accumulated other comprehensive loss for the quarters ended March 31, 2024 and 2023: Amount reclassified out of accumulated other comprehensive loss Quarter Ended March 31, Affected Line Item in 2024 2023 (In thousands) Cash flow hedges: Interest-rate contracts $ — $ 591 Net interest expense Available-for-sale securities: Loss on sale of investments (7) — Net (loss) gain on sale of securities Tax effect from changes in tax rates — 2 Income tax expense $ (7) $ 593 |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE The calculation of earnings per common share for the quarters ended March 31, 2024 and 2023 is as follows: Quarter Ended March 31, 2024 2023 (In thousands, except per share data) Income available to common shareholders $ 49,692 $ 46,229 Average common shares outstanding 47,096 47,600 Effect of dilutive securities: Average potential common shares-options 247 344 Total weighted average common shares outstanding and equivalents 47,343 47,944 Earnings per common share - basic $ 1.06 $ 0.97 Earnings per common share - diluted $ 1.05 $ 0.96 For the quarters ended March 31, 2024 and 2023, weighted-average restricted stock units with an anti-dilutive effect on earnings per share not included in the calculation amounted to zero and 446, respectively. During the quarter ended March 31, 2024, OFG increased its quarterly common stock cash dividend to $0.25 per share from $0.22 per share at December 31, 2023. |
GUARANTEES
GUARANTEES | 3 Months Ended |
Mar. 31, 2024 | |
Guarantees [Abstract] | |
GUARANTEES | GUARANTEES At March 31, 2024 and December 31, 2023 , the notional amount of the obligations undertaken in issuing the guarantees under standby letters of credit represented a liability of $24.7 million and $24.0 million, respectively. OFG has a liability for residential mortgage loans sold subject to credit recourse pursuant to FHLMC's, GNMA's, and FNMA's residential mortgage loan sales and securitization programs. At March 31, 2024 and December 31, 2023 , the unpaid principal balance of residential mortgage loans sold subject to credit recourse under the residential mortgage loan sales programs was $96.4 million and $98.7 million, respectively. The estimated losses to be absorbed under the credit recourse arrangements were recorded as a liability when the credit recourse was assumed and are updated on a quarterly basis. At March 31, 2024, OFG's liability for estimated credit losses related to loans sold with credit recourse amounted to $73 thousand (December 31, 2023– $102 thousand). On May 1, 2023, OFG and a third-party servicer terminated a subservicing agreement by mutual agreement. Pursuant to such termination, the third-party servicer assumed the direct servicing of the subserviced loans pursuant to FNMA's residential mortgage loans sales program, thereby relieving OFG of its corresponding recourse obligation under that program. The following table shows the changes in OFG’s liability for estimated losses from these credit recourse agreements, included in the consolidated statements of financial condition during the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Balance at beginning of period $ 102 $ 147 Net recoveries (charge-offs/terminations) (29) (6) Balance at end of period $ 73 $ 141 The expected loss, which represents the amount expected to be lost on a given loan, considers the probability of default and loss severity. The probability of default represents the probability that a loan in good standing would become 120 days delinquent, in which case OFG is obligated to repurchase the loan. If a borrower defaults, pursuant to the credit recourse provided, OFG is required to repurchase the loan or reimburse the third-party investor for the incurred loss. The maximum potential amount of future payments that OFG would be required to make under the recourse arrangements is equivalent to the total outstanding balance of the residential mortgage loans serviced with recourse and interest, if applicable. During the quarters ended March 31, 2024 and 2023, OFG repurchased $134 thousand and $65 thousand, respectively, in mortgage loans. If a borrower defaults, OFG has rights to the underlying collateral securing the mortgage loan. OFG suffers losses on these mortgage loans when the proceeds from a foreclosure sale of the collateral property are less than the outstanding principal balance of the loan, any uncollected interest advanced, and the costs of holding and disposing the related property. When OFG sells or securitizes mortgage loans, it generally makes customary representations and warranties regarding the characteristics of the loans sold. OFG’s mortgage operations division groups conforming mortgage loans into pools that are exchanged for FNMA and GNMA mortgage-backed securities, which are generally sold to private investors, or are sold directly to FNMA or other private investors for cash. As required under such mortgage-backed securities programs, quality review procedures are performed by OFG to ensure that asset guideline qualifications are met. To the extent the loans do not meet specified characteristics, OFG may be required to repurchase such loans or indemnify for losses and bear any subsequent loss related to the loans. During the quarter ended March 31, 2024, OFG repurchased $1.0 million (March 31, 2023 –$2.2 million) of unpaid principal balance in mortgage loans, excluding mortgage loans subject to such credit recourse provision. At March 31, 2024 and December 31, 2023, OFG had a $277 thousand and a $405 thousand liability, respectively, for the estimated credit losses related to these loans. During the quarters ended March 31, 2024 and 2023, OFG recognized $28 thousand and $6 thousand in gains, respectively, from the repurchase of residential mortgage loans sold subject to credit recourse, and $109 thousand and $252 thousand in gains, respectively, from the repurchase of residential mortgage loans as a result of breaches of customary representations and warranties. At March 31, 2024 OFG serviced $5.6 billion (December 31, 2023 - $5.6 billion) in mortgage loans for third parties. Servicing agreements relating to the mortgage-backed securities programs of FNMA and GNMA, and to mortgage loans sold or serviced to certain other investors, including FHLMC, require OFG to advance funds to make scheduled payments of principal, interest, taxes and insurance, if such payments have not been received from the borrowers. OFG generally recovers funds advanced pursuant to these arrangements from the mortgage owner, from liquidation proceeds when the mortgage loan is foreclosed or, in the case of FHA/VA loans, under the applicable FHA and VA insurance and guarantee programs. However, in the meantime, OFG must absorb the cost of the funds it advances during the time the advance is outstanding. OFG must also bear the costs of attempting to collect on delinquent and defaulted mortgage loans. In addition, if a defaulted loan is not cured, the mortgage loan would be canceled as part of the foreclosure proceedings and OFG would not receive any future servicing income with respect to that loan. At March 31, 2024, the outstanding balance of funds advanced by OFG under such mortgage loan servicing agreements was approximately $3.4 million (December 31, 2023 - $4.2 million). To the extent the mortgage loans underlying OFG’s servicing portfolio experience increased delinquencies, OFG would be required to dedicate additional cash resources to comply with its obligation to advance funds as well as incur additional administrative costs related to increases in collection efforts. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Commitments In the normal course of business, OFG becomes a party to credit-related financial instruments with off-balance-sheet risk to meet the financing needs of its customers. These financial instruments include commitments to extend credit, standby and commercial letters of credit, and financial guarantees. Those instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the consolidated statements of financial condition. The contract or notional amount of those instruments reflects the extent of OFG’s involvement in particular types of financial instruments. OFG’s exposure to credit losses in the event of nonperformance by the counterparty to the financial instrument for commitments to extend credit, including commitments under credit card arrangements, and commercial letters of credit is represented by the contractual notional amounts of those instruments, which do not necessarily represent the amounts potentially subject to risk. In addition, the measurement of the risks associated with these instruments is meaningful only when all related and offsetting transactions are identified. OFG uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. Credit-related financial instruments at March 31, 2024 and December 31, 2023 were as follows: March 31, 2024 December 31, 2023 (In thousands) Commitments to extend credit $ 1,353,808 $ 1,255,695 Commercial letters of credit 829 119 Commitments to extend credit represent agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. OFG evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if it is deemed necessary by OFG upon the extension of credit, is based on management’s credit evaluation of the counterparty. At March 31, 2024 and December 31, 2023, commitments to extend credit consisted mainly of undisbursed available amounts on commercial lines of credit, construction loans, and revolving credit card arrangements. Since many of the unused commitments are expected to expire unused or be only partially used, the total amount of these unused commitments does not necessarily represent future cash requirements. Commercial letters of credit are issued or confirmed to guarantee payment of customers’ payables or receivables in short-term international trade transactions. Generally, drafts will be drawn when the underlying transaction is consummated as intended. However, the short-term nature of this instrument serves to mitigate the risk associated with these contracts. The summary of instruments that are considered financial guarantees in accordance with the authoritative guidance related to guarantor’s accounting and disclosure requirements for guarantees, including indirect guarantees of indebtedness of others, at March 31, 2024 and December 31, 2023, is as follows: March 31, 2024 December 31, 2023 (In thousands) Standby letters of credit and financial guarantees $ 24,655 $ 23,970 Loans sold with recourse 96,437 98,685 Standby letters of credit and financial guarantees are written conditional commitments issued by OFG to guarantee the payment and/or performance of a customer to a third party (“beneficiary”). If the customer fails to comply with the agreement, the beneficiary may draw on the standby letter of credit or financial guarantee as a remedy. The amount of credit risk involved in issuing letters of credit in the event of non-performance is the face amount of the letter of credit or financial guarantee. These guarantees are primarily issued to support public and private borrowing arrangements, including commercial paper, bond financing, and similar transactions. The amount of collateral obtained, if it is deemed necessary by OFG upon extension of credit, is based on management’s credit evaluation of the customer. At March 31, 2024 and December 31, 2023, the ACL for off-balance sheet credit exposures corresponding to commitments to extend credit and standby letters of credit amounted to $1.0 million and $1.2 million, respectively, and is included in other liabilities in the statement of financial condition. At March 31, 2024 and December 31, 2023, OFG maintained other non-credit commitments amounting to $19.1 million and $18.9 million, respectively, primarily for the acquisition of equity securities. In addition, as we continue to transform OFG with a focus on simplification and building a culture of excellence and customer service, we continue to invest in technology. Some of our technology investments require us to continuously upgrade our systems. Others require us to focus our technology on investments that drive our strategy, namely digital, data analytics, cloud migration, cyber security, and our sales and service capabilities. At March 31, 2024 and December 31, 2023, OFG had commitments for capital expenditures in technology amounting to $6.0 million and $7.8 million, respectively. Contingencies OFG and its subsidiaries are defendants in a number of legal proceedings incidental to their business. In the ordinary course of business, OFG and its subsidiaries are also subject to governmental and regulatory examinations. Certain subsidiaries of OFG, including the Bank (and its subsidiary, OIB), Oriental Financial Services and Oriental Insurance, are subject to regulation by various U.S., Puerto Rico and other regulators. OFG seeks to resolve all arbitration, litigation and regulatory matters in the manner management believes is in the best interests of OFG and its shareholders, and contests allegations of liability or wrongdoing and, where applicable, the amount of damages or scope of any penalties or other relief sought as appropriate in each pending matter. In accordance with applicable accounting guidance, OFG establishes an accrued liability when those matters present loss contingencies that are both probable and estimable. In such cases, there may be an exposure to loss in excess of any amounts accrued. As a matter develops, OFG, in conjunction with any outside counsel handling the matter, evaluates on an ongoing basis whether such matter presents a loss contingency that is probable and estimable. Once the loss contingency is deemed to be both probable and estimable, OFG will establish an accrued liability and record a corresponding amount of expense. At March 31, 2024 and December 31, 2023, accrued liability for legal contingencies amounted to $725 thousand and $817 thousand, respectively. OFG continues to monitor the matter for further developments that could affect the amount of the accrued liability that has been previously established. OFG also has an accrued liability for potential losses, operational errors, loss on theft not covered by insurance premiums, uncollectible receivables, among other transactions, amounting to $1.7 million and $1.4 million, respectively, as of March 31, 2024 and December 31, 2023. Subject to the accounting and disclosure framework under the provisions of ASC 450, it is the opinion of OFG’s management, based on current knowledge and after taking into account its current legal accruals, that the eventual outcome of all matters would not be likely to have a material adverse effect on the consolidated statements of financial condition of OFG. Nonetheless, given the substantial or indeterminate amounts sought in certain of these matters, and the inherent unpredictability of such matters, an adverse outcome in certain of these matters could, from time to time, have a material adverse effect on OFG’s consolidated results of operations or cash flows in particular quarterly or annual periods. OFG has evaluated all arbitration, litigation and regulatory matters where the likelihood of a potential loss is deemed reasonably possible. OFG has determined that the estimate of the reasonably possible loss is not significant. |
OPERATING LEASES
OPERATING LEASES | 3 Months Ended |
Mar. 31, 2024 | |
Lessee Disclosure [Abstract] | |
OPERATING LEASES | OPERATING LEASES Substantially all leases in which OFG is the lessee are comprised of real estate property for branches, ATM locations, and office space with terms extending through 2038. OFG’s leases do not contain residual value guarantees or material variable lease payments. All leases are classified as operating leases and are included on the consolidated statements of financial condition as a right-of-use asset and a corresponding lease liability. OFG leases to others certain space in its principal offices for terms extending through 2024; all are operating leases. Operating Lease Cost Quarter Ended March 31, 2024 2023 Statement of Operations (In thousands) Lease costs $ 2,653 $ 2,600 Occupancy and equipment Variable lease costs 411 341 Occupancy and equipment Short-term lease costs 50 157 Occupancy and equipment Lease income (22) (38) Occupancy and equipment Total lease costs $ 3,092 $ 3,060 Operating Lease Assets and Liabilities March 31, 2024 December 31, 2023 Statement of Financial Condition Classification (In thousands) Right-of-use assets $ 21,606 $ 21,725 Operating lease right-of-use assets Lease Liabilities $ 23,969 $ 24,029 Operating leases liabilities March 31, 2024 December 31, 2023 (In thousands) Weighted-average remaining lease term 5.1 years 5.1 years Weighted-average discount rate 7.5 % 7.0 % Future minimum payments for operating leases with initial or remaining terms of one year or more as of March 31, 2024 were as follows: Minimum Rent As of March 31, 2024 (In thousands) 2024 $ 6,212 2025 6,540 2026 4,481 2027 3,724 2028 2,937 Thereafter 5,179 Total lease payments $ 29,073 Less imputed interest 5,104 Present value of lease liabilities $ 23,969 OFG, as lessor, leases and subleases real property to tenants under operating leases. As of March 31, 2024, no material lease concessions have been granted to tenants. As of March 31, 2024, OFG, as lessee, has not requested any lease concessions. |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS OFG follows the fair value measurement framework under GAAP. Fair Value Measurement The fair value measurement framework defines fair value as the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. This framework also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Money market investments The fair value of money market investments is based on the carrying amounts reflected in the consolidated statements of financial condition as these are reasonable estimates of fair value given the short-term nature of the instruments. Investment securities The fair value of investment securities is based on valuations obtained from an independent pricing provider, ICE Data Pricing (formerly known as IDC) (“ICE”). ICE is a well-recognized pricing company and an established leader in financial information. Such securities are classified as Level 1 or Level 2, depending on the basis for determining fair value. At March 31, 2024, there was one security held-to-maturity, carried at amortized cost with no ACL established, classified as Level 3. Servicing assets Servicing assets do not trade in an active market with readily observable prices. Servicing assets are priced using a discounted cash flow model. The valuation model considers servicing fees, portfolio characteristics, prepayment assumptions, delinquency rates, late charges, other ancillary revenues, cost to service, and other economic factors. Due to the unobservable nature of certain valuation inputs, the servicing rights are classified as Level 3. Foreclosed real estate Foreclosed real estate includes real estate properties securing residential mortgage and commercial loans. The fair value of foreclosed real estate may be determined using an external appraisal, broker price opinion or an internal valuation. These foreclosed assets are classified as Level 3 given certain internal adjustments that may be made to external appraisals. Other repossessed assets Other repossessed assets are mainly composed of repossessed automobiles. The fair value of the repossessed automobiles may be determined using internal valuation and an external appraisal. These repossessed assets are classified as Level 3 given certain internal adjustments that may be made to external appraisals. Assets and liabilities measured at fair value on a recurring and non-recurring basis are summarized below: March 31, 2024 Fair Value Measurements Level 1 Level 2 Level 3 Total (In thousands) Recurring fair value measurements: Investment securities available-for-sale $ 150,915 $ 1,746,792 $ — $ 1,897,707 Trading securities — 14 — 14 Money market investments 4,674 — — 4,674 Servicing assets — — 49,553 49,553 $ 155,589 $ 1,746,806 $ 49,553 $ 1,951,948 Non-recurring fair value measurements: Collateral dependent loans $ — $ — $ 7,862 $ 7,862 Foreclosed real estate — — 10,850 10,850 Other repossessed assets — — 6,844 6,844 Mortgage loans held for sale — — 9,370 9,370 Other loans held for sale — — 18,904 18,904 $ — $ — $ 53,830 $ 53,830 December 31, 2023 Fair Value Measurements Level 1 Level 2 Level 3 Total (In thousands) Recurring fair value measurements: Investment securities available-for-sale $ 296,799 $ 1,802,465 $ — $ 2,099,264 Trading securities — 13 — 13 Money market investments 4,623 — — 4,623 Servicing assets — — 49,520 49,520 $ 301,422 $ 1,802,478 $ 49,520 $ 2,153,420 Non-recurring fair value measurements: Collateral dependent loans $ — $ — $ 8,027 $ 8,027 Foreclosed real estate — — 10,780 10,780 Other repossessed assets — — 4,032 4,032 Other loans held for sale $ — $ — $ 28,345 28,345 $ — $ — $ 51,184 $ 51,184 The fair value information included in the tables above for non-recurring fair value measurements is not as of year-end. Instead, it is as of the date that the fair value measurement was recorded during March 31, 2024 and December 31, 2023, excludes nonrecurring fair value measurements of assets no longer outstanding as of the reporting date. The tables below present a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for March 31, 2024 and 2023: Level 3 Instruments Only Quarter Ended March 31, 2024 2023 Servicing Assets Other debt securities available for sale Servicing Assets Total (In thousands) Balance at beginning period $ 49,520 $ 406 $ 50,921 $ 51,327 New instruments acquired 527 — 575 575 Principal repayments and amortization (920) — (1,065) (1,065) Gains included in earnings 426 — (1,086) (1,086) Gains included in other comprehensive income — 7 — 7 Balance at end of period $ 49,553 $ 413 $ 49,345 $ 49,758 Servicing assets gains included in earnings during the quarters ended March 31, 2024 and 2023 were included as mortgage servicing activities in the consolidated statements of operations. For more information on the qualitative information about Level 3 fair value measurements, see Note 7 – Servicing Assets. During the quarters ended March 31, 2024 and 2023, there were purchases and sales of assets and liabilities measured at fair value on a recurring basis. The table below presents quantitative information for all assets and liabilities measured at fair value on a recurring and non-recurring basis using significant unobservable inputs (Level 3) at March 31, 2024 and December 31, 2023: March 31, 2024 Fair Value Valuation Technique Unobservable Input Range Weighted Average (In thousands) Servicing assets $ 49,553 Cash flow valuation Constant prepayment rate 1.14% - 15.08% 6.18 % Discount rate 10.00% - 15.50% 11.46 % Collateral dependent loans $ 7,862 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 16.99 % Foreclosed real estate $ 10,850 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 12.53 % Other repossessed assets $ 6,844 Fair value of property Estimated net realizable value less disposition costs 31.00% - 77.00% 56.43 % Mortgage loans held for sale $ 9,370 Market prices Pricing and execution whole loan 96.04% - 101.24% 98.25 % Other loans held for sale $ 18,904 Bids or sales contract prices Estimated market value 98.41% - 147.96% 129.96 % December 31, 2023 Fair Value Valuation Technique Unobservable Input Range Weighted Average (In thousands) Servicing assets $ 49,520 Cash flow valuation Constant prepayment rate 1.35% - 17.34% 6.12 % Discount rate 10.00% - 15.50% 11.45 % Collateral dependent loans $ 8,027 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 17.00 % Foreclosed real estate $ 10,780 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 12.67 % Other repossessed assets $ 4,032 Fair value of property Estimated net realizable value less disposition costs 31.00% - 77.00% 57.72 % Other loans held for sale $ 28,345 Bids or sales contract prices Estimated market value 52.00% - 103.20% 84.80% Information about Sensitivity to Changes in Significant Unobservable Inputs Servicing assets – The significant unobservable inputs used in the fair value measurement of OFG’s servicing assets are constant prepayment rates and discount rates. Changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or offset the sensitivities. Mortgage banking activities, a component of total banking and financial service revenue in the consolidated statements of operations, include the changes from period to period in the fair value of the mortgage loan servicing rights, which may result from changes in the valuation model inputs or assumptions (principally reflecting changes in discount rates and prepayment speed assumptions) and other changes, including changes due to collection/realization of expected cash flows. Fair Value of Financial Instruments The information about the estimated fair value of financial instruments required by GAAP is presented hereunder. The aggregate fair value amounts presented do not necessarily represent management’s estimate of the underlying value of OFG. The estimated fair value is subjective in nature, involves uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could affect these fair value estimates. The fair value estimates do not take into consideration the value of future business and the value of assets and liabilities that are not financial instruments. Other significant tangible and intangible assets that are not considered financial instruments include the value of long-term customer relationships of retail deposits, and premises and equipment. The estimated fair value and carrying value of OFG’s financial instruments at March 31, 2024 and December 31, 2023 was as follows: March 31, 2024 December 31, 2023 Fair Carrying Fair Carrying (In thousands) Financial Assets: Level 1 Cash and cash equivalents $ 754,392 $ 754,392 $ 748,173 $ 748,173 Investment securities available-for-sale $ 150,915 $ 150,915 $ 296,799 $ 296,799 Level 2 Financial Assets: Trading securities $ 14 $ 14 $ 13 $ 13 Investment securities available-for-sale $ 1,746,792 $ 1,746,792 $ 1,802,465 $ 1,802,465 Investment securities held-to-maturity $ 448,603 $ 509,491 $ 455,709 $ 514,024 Federal Home Loan Bank (FHLB) stock $ 14,488 $ 14,488 $ 14,488 $ 14,488 Equity securities $ 25,674 $ 25,674 $ 23,981 $ 23,981 Level 3 Financial Assets: Investment securities held-to-maturity $ 35,054 $ 35,000 $ 35,055 $ 35,000 Total loans (including loans held-for-sale) $ 7,296,452 $ 7,411,378 $ 7,282,214 $ 7,401,618 Accrued interest receivable $ 72,117 $ 72,117 $ 71,400 $ 71,400 Servicing assets $ 49,553 $ 49,553 $ 49,520 $ 49,520 Accounts receivable and other assets $ 49,334 $ 49,334 $ 47,859 $ 47,589 Financial Liabilities: Deposits $ 9,581,054 $ 9,548,274 $ 9,767,068 $ 9,762,169 Advances from FHLB $ 198,755 $ 200,766 $ 199,184 $ 200,768 Other borrowings $ — $ — $ 2 $ 2 Accrued expenses and other liabilities $ 121,871 $ 121,871 $ 115,985 $ 115,985 The following methods and assumptions were used to estimate the fair values of significant financial instruments at March 31, 2024 and December 31, 2023: • Cash and cash equivalents (including money market investments and time deposits with other banks), accrued interest receivable, accounts receivable and other assets, accrued expenses and other liabilities, and other borrowings have been valued at the carrying amounts reflected in the consolidated statements of financial condition as these are reasonable estimates of fair value given the short-term nature of the instruments. • Investments in FHLB stock are valued at their redemption value. • The fair value of investment securities, including trading securities, is based on quoted market prices, when available or prices provided from contracted pricing providers, or market prices provided by recognized broker-dealers. If listed prices or quotes are not available, fair value is based upon externally developed models that use both observable and unobservable inputs depending on the market activity of the instrument. The estimated fair value of the AFICA bond in other debt securities held-to-maturity is determined by using a detailed discounted cash flow valuation model to calculate the present value of projected future cash flows. The credit losses are recorded using the ACL methodology. This involves comparing the amortized cost of the securities with the fair value of the expected future cash flows. Several assumptions requiring a high degree of judgment include the selection of market discount rates, the determination of current credit spread, and the estimation of both the probability of default and loss given default rates. Equity securities do not have readily available fair values and are measured at cost, less any impairment. • The fair value of servicing asset is estimated by using a cash flow valuation model, which calculates the present value of estimated future net servicing cash flows, taking into consideration actual and expected loan prepayment rates, discount rates, servicing costs, and other economic factors, which are determined based on current market conditions. • The fair value of the loan portfolio (including loans held-for-sale and non-performing loans) is based on the exit market price, which is estimated by segregating by loan type, such as mortgage, commercial, consumer and auto. The fair value is calculated by discounting contractual cash flows. The discount rate used in such calculation considers a capital adjustment as well as other premiums for systemic risk, servicing costs, modeling and uncertainty risk, and impairment uncertainty. • The fair value of demand deposits and savings accounts is the amount payable on demand at the reporting date. The fair value of fixed-maturity certificates of deposit is based on the discounted value of the contractual cash flows, using estimated current market discount rates for deposits of similar remaining maturities. • The fair value of long-term borrowings, including advances from FHLB, is based on the discounted value of the contractual cash flows using current estimated market discount rates for borrowings with similar terms, remaining maturities and put dates. |
BANKING AND FINANCIAL SERVICE R
BANKING AND FINANCIAL SERVICE REVENUES | 3 Months Ended |
Mar. 31, 2024 | |
Banking and Thrift, Interest [Abstract] | |
BANKING AND FINANCIAL SERVICE REVENUES | BANKING AND FINANCIAL SERVICE REVENUES The following table presents the major categories of banking and financial service revenues for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Banking service revenues: Electronic banking fees $ 13,690 $ 13,366 Checking accounts fees 2,167 2,220 Savings accounts fees 308 333 Credit life commissions 4 105 Branch service commissions 346 422 Servicing and other loan fees 568 881 International fees 172 183 Miscellaneous income 4 3 Total banking service revenues 17,259 17,513 Wealth management revenue: Insurance income 3,774 3,369 Broker fees 2,091 1,784 Trust fees 2,242 1,924 Other fees — 43 Total wealth management revenue 8,107 7,120 Mortgage banking activities: Net servicing fees 3,951 2,842 Net gains on sale of mortgage loans and valuation 653 769 Net gain on repurchased loans and other 89 287 Total mortgage banking activities 4,693 3,898 Total banking and financial service revenues $ 30,059 $ 28,531 OFG recognizes the revenue from banking services, wealth management and mortgage banking based on the nature and timing of revenue streams from contracts with customers: Banking Service Revenues Electronic banking fees are credit and debit card processing services, use of the Bank’s ATMs by non-customers, debit card interchange income and service charges on deposit accounts. Revenue is recorded once the contracted service has been provided. Service charges on checking and saving accounts is recognized as consumer periodic maintenance revenue once the service is rendered, while overdraft and late charges revenues are recorded after the contracted service has been provided. Other income as credit life and branch service commissions, servicing and other loan fees, international fees, and miscellaneous income recognized as banking services revenue are out of the scope of ASC 606 – Revenue from Contracts with Customers. Wealth Management Revenue Insurance income from commissions generated in the sale of insurance policies issued by unaffiliated insurance companies and sale of annuities are recorded once the sale has been completed. Reinsurance revenue is recorded based on earned premium confirmed by the fronting insurance company. Contingent insurance commissions are recorded once the paying insurance companies confirm the amounts earned. Broker fees consist of two categories: • Sales commissions generated by advisers for their clients’ purchases and sales of securities and other investment products, which are collected once the stand-alone transactions are completed at trade date or as earned, and managed account fees which are fees charged to advisers’ clients’ accounts on OFG’s corporate advisory platform. These revenues do not cover future services, as a result there is no need to allocate the amount received to any other service. • Fees for providing distribution services related to mutual funds, net of compensation paid to a provider of such services, as well as trailer fees (also known as 12b-1 fees). These fees are considered variable and are recognized over time, as the uncertainty of the fees to be received is resolved as the net asset value of the mutual fund is determined and investor activity occurs. Fees do not cover future services, as a result there is no need to allocate the amount received to any other service. Trust fees are revenues related to fiduciary services provided to 401K retirement plans, an IRA trust, and retirement plans. These generally include payment for trustee services, distribution services, custodial services of plan assets, due diligence services, and investment advisory services. Fees are billed based on services contracted. Negotiated fees are detailed in the contract. Fees collected in advance are amortized over the term of the contract. Fees are generally collected on an annual or quarterly basis once the administrative service has been completed. Fees do not include future services. Mortgage Banking Activities Mortgage banking activities such as servicing fees, gain on sale of mortgage loans and valuation, and loss on repurchased loans and other are out of the scope of ASC 606. |
BUSINESS SEGMENTS
BUSINESS SEGMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENTS | BUSINESS SEGMENTS OFG segregates its businesses into the following segments of business: Banking, Wealth Management, and Treasury. Management established the reportable segments based on the internal reporting used to evaluate performance and to assess where to allocate resources. Other factors such as OFG’s organization, nature of its products, distribution channels and economic characteristics of the products were also considered in the determination of the reportable segments. OFG measures the performance of these segments based on pre-established goals of different financial parameters such as net income, net interest income, loan production, and fees generated. OFG’s methodology for allocating non-interest expenses among segments is based on several factors such as revenue, employee headcount, occupied space, dedicated services or time, among others. These factors are reviewed on a periodical basis and may change if the conditions warrant. Banking includes the Bank’s branches and traditional banking products such as deposits and commercial, consumer, auto, and mortgage loans. Mortgage banking activities are carried out by the Bank’s mortgage banking division, whose principal activity is to originate mortgage loans for OFG’s own portfolio. As part of its mortgage banking activities, OFG may sell loans directly into the secondary market or securitize conforming loans into mortgage-backed securities. Wealth Management is comprised of the Bank’s trust division, Oriental Financial Services, Oriental Insurance, and OFG Reinsurance. The core operations of this segment are financial planning, securities brokerage services, investment advisory services, insurance, corporate and individual trust and retirement services. The Treasury segment encompasses all of OFG’s asset/liability management activities, such as purchases and sales of investment securities, interest rate risk management, and borrowings. Intersegment sales and transfers, if any, are accounted for as if the sales or transfers were to third parties, that is, at current market prices. Following are the results of operations and the selected financial information by operating segment for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 Banking Wealth Treasury Total Major Eliminations Consolidated (In thousands) Interest income $ 150,995 $ 9 $ 33,497 $ 184,501 $ (1,075) $ 183,426 Interest expense (35,849) — (4,550) (40,399) 1,075 (39,324) Net interest income 115,146 9 28,947 144,102 — 144,102 Provision for (recapture of) credit losses 15,225 — (104) 15,121 — 15,121 Non-interest income 23,065 7,375 (92) 30,348 — 30,348 Non-interest expenses (85,990) (4,522) (900) (91,412) — (91,412) Intersegment revenue 424 — — 424 (424) — Intersegment expenses — (267) (157) (424) 424 — Income before income taxes 37,420 2,595 27,902 67,917 — $ 67,917 Income tax expense 18,166 13 46 18,225 — 18,225 Net income $ 19,254 $ 2,582 $ 27,856 $ 49,692 $ — $ 49,692 Total assets $ 9,132,772 $ 32,597 $ 3,144,241 $ 12,309,610 $ (1,150,375) $ 11,159,235 Eliminations include interest income and expense for a time deposit opened by the Bank in Oriental Overseas, an international banking entity organized and licensed under Puerto Rico law, which operates as a unit within the Bank. The time deposit with a balance of $301.4 million and $414.6 million at March 31, 2024 and 2023, respectively, is included in the Treasury Segment with its corresponding interest expense, to fund Oriental Overseas operations, which is included in the Banking Segment with its corresponding interest income, and are eliminated in the consolidation. Interest income is accrued on the unpaid principal balance. The decrease in interest income and interest expense from the prior year was mainly as a result of lower interest rate and average balance. Quarter Ended March 31, 2023 Banking Wealth Treasury Total Major Eliminations Consolidated (In thousands) Interest income $ 132,425 $ 5 $ 21,126 $ 153,556 $ (4,571) $ 148,985 Interest expense (12,381) — (5,278) (17,659) 4,571 (13,088) Net interest income 120,044 5 15,848 135,897 — 135,897 Provision for credit losses 9,405 — 40 9,445 — 9,445 Non-interest income 21,625 7,276 — 28,901 — 28,901 Non-interest expenses (85,365) (3,955) (900) (90,220) — (90,220) Intersegment revenue 546 — — 546 (546) — Intersegment expenses — (377) (169) (546) 546 — Income before income taxes 47,445 2,949 14,739 65,133 — 65,133 Income tax expense 18,892 — 12 18,904 — 18,904 Net income $ 28,553 $ 2,949 $ 14,727 $ 46,229 $ — $ 46,229 Total assets $ 8,484,413 $ 28,605 $ 2,591,608 $ 11,104,626 $ (1,047,045) $ 10,057,581 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Nature of Operations and Basis of Presentation | Nature of Operations OFG is a publicly-owned financial holding company incorporated under the laws of the Commonwealth of Puerto Rico. OFG operates through various subsidiaries including, a commercial bank, Oriental Bank (the “Bank”), a securities broker-dealer and investment adviser, Oriental Financial Services LLC (“Oriental Financial Services”), an insurance agency, Oriental Insurance, LLC (“Oriental Insurance”), a captive reinsurance company, OFG Reinsurance Ltd (“OFG Reinsurance”), and OFG Ventures LLC (“OFG Ventures”), which holds investments. Through these subsidiaries and their respective divisions, OFG provides a wide range of banking and financial services such as commercial, consumer, auto, and mortgage lending, financial planning, insurance sales, investment advisory, and securities brokerage services, as well as corporate and individual trust services. The Bank has a wholly-owned operating subsidiary, OFG USA LLC, which is a commercial lender organized in Delaware. In addition, Oriental International Bank Inc. (“OIB”), a wholly-owned subsidiary of the Bank, and Oriental Overseas, a division of the Bank, are international banking entities licensed pursuant to the International Banking Center Regulatory Act of Puerto Rico, as amended. OIB and Oriental Overseas offer the Bank certain Puerto Rico tax advantages. Their activities are limited under Puerto Rico law to persons located in Puerto Rico with assets/liabilities located outside of Puerto Rico. During the quarter ended March 31, 2024, the Bank organized OBPEF LLC, as a wholly-owned subsidiary of the Bank and a private equity fund under the Puerto Rico Incentives Code, as amended, which objective is to provide financing to eligible borrowers, whether in the form of senior or subordinated debt, to support the economic development of Puerto Rico. Basis of Presentation The accompanying unaudited consolidated financial statements of OFG have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and in accordance with guidance provided by the Securities and Exchange Commission (“SEC”). Accordingly, these consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. |
New Accounting Updates Not Yet Adopted | New Accounting Updates Not Yet Adopted Segment Reporting—Improvements to Reportable Segment Disclosures. In November 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-07 to enhance segment reporting by expanding the breadth and frequency of segment disclosures required for public entities. The amendments in this ASU will allow registrants to disclose multiple measures of segment profit or loss and it also clarifies that single reportable segment entities must apply Topic 280 in its entirety. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. The amendments will be effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. We will adopt this guidance when it becomes effective in the annual period of 2024 on a retrospective basis to all periods presented in the financial statements, and the impact on our financial statements and disclosures is not expected to be material. Income Taxes—Improvements to Income Tax Disclosures. In December 2023, the FASB issued ASU 2023-09 to enhance income tax disclosures and address investor requests for more information about the tax risks and opportunities present in an entity’s worldwide operations. The ASU’s two primary enhancements will require further disaggregation for existing disclosures for the effective tax rate reconciliation and income taxes paid. More specifically, the amendments will require entities to disclose: a tabular effective tax rate reconciliation, broken out into specific categories with certain reconciling items above a 5% threshold further broken out by nature and jurisdiction; and income taxes paid (net of refunds received), broken out between federal, state and foreign, and net amounts paid to an individual jurisdiction that exceed 5% of the total. The amendments in this update are effective for annual periods beginning after December 15, 2024. Entities are permitted to early adopt these amendments. The amendments should be applied prospectively, but retrospective application is permitted. We will adopt this guidance when it becomes effective, in the annual period of 2025 on a prospective basis, and the impact on our financial statements and disclosures is not expected to be material. The Enhancement and Standardization of Climate-Related Disclosures for Investors. On March 6, 2024, the SEC issued a final rule under SEC Release No. 33-11275 that requires registrants to provide climate disclosures in their annual reports and registration statements. The rule includes disclosure concerning the use of carbon offsets or renewable energy credits or certificates if their use is a material component of the registrant’s plans to achieve its disclosed climate-related targets or goals, and certain disclosures about Scope 1 and/or Scope 2 greenhouse gas (“GHG”) emissions, if material. It also requires disclosures of amounts related to the effects of severe weather events and other natural conditions. The disclosure requirements will apply to OFG's fiscal year beginning January 1, 2025. We will adopt this rule when it becomes effective. OFG is currently evaluating the final rule but the impact on our financial statements and disclosures is not expected to be material. |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Investment Securities | The amortized cost, gross unrealized gains and losses, fair value, weighted average yield and contractual maturities of the securities owned by OFG at March 31, 2024 and December 31, 2023 were as follows: March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Available-for-sale Mortgage-backed securities FNMA and FHLMC certificates Due from 1 to 5 years $ 7,060 $ — $ 340 $ 6,720 1.82 % Due from 5 to 10 years 42,231 — 2,864 39,367 1.99 % Due after 10 years 1,367,038 5,322 64,893 1,307,467 4.10 % Total FNMA and FHLMC certificates 1,416,329 5,322 68,097 1,353,554 4.02 % GNMA certificates Due less than 1 year 2 — — 2 1.31 % Due from 1 to 5 years 9,253 — 390 8,863 1.72 % Due from 5 to 10 years 14,394 9 942 13,461 2.23 % Due after 10 years 393,433 5,373 36,961 361,845 3.46 % Total GNMA certificates 417,082 5,382 38,293 384,171 3.38 % CMOs issued by US government-sponsored agencies Due from 1 to 5 years 7,995 — 345 7,650 1.78 % Due after 10 years 834 — 14 820 5.07 % Total CMOs issued by US government-sponsored agencies 8,829 — 359 8,470 2.09 % Total mortgage-backed securities 1,842,240 10,704 106,749 1,746,195 3.87 % Investment securities US Treasury securities Due less than 1 year 150,915 — — 150,915 5.36 % Other debt securities Due less than 1 year 500 — — 500 3.25 % Due from 1 to 5 years 99 — 2 97 2.97 % Total other debt securities 599 — 2 597 3.20 % Total investment securities 151,514 — 2 151,512 5.35 % Total securities available for sale $ 1,993,754 $ 10,704 $ 106,751 $ 1,897,707 3.98 % March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Held-to-maturity Mortgage-backed securities FNMA and FHLMC certificates Due after 10 years $ 309,764 $ — $ 60,241 $ 249,523 1.73 % Investment securities US Treasury securities Due less than 1 year 199,727 — 647 199,080 3.32 % Other debt securities Due from 1 to 5 years 35,000 54 — 35,054 6.33 % Total securities held to maturity $ 544,491 $ 54 $ 60,888 $ 483,657 2.61 % December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Available-for-sale Mortgage-backed securities FNMA and FHLMC certificates Due from 1 to 5 years $ 6,972 — $ 311 $ 6,661 1.76 % Due from 5 to 10 years 45,835 — 2,767 43,068 2.00 % Due after 10 years 1,411,327 8,989 54,100 1,366,216 4.11 % Total FNMA and FHLMC certificates 1,464,134 8,989 57,178 1,415,945 4.03 % GNMA certificates Due less than 1 year 5 — — 5 1.31 % Due from 1 to 5 years 8,851 — 351 8,500 1.71 % Due from 5 to 10 years 17,113 16 955 16,174 2.19 % Due after 10 years 380,306 4,419 33,110 351,615 3.38 % Total GNMA certificates 406,275 4,435 34,416 376,294 3.30 % CMOs issued by US government-sponsored agencies Due from 1 to 5 years 9,071 — 364 8,707 1.78 % Due from 5 to 10 years 54 — — 54 2.14 % Due after 10 years 861 — 12 849 5.07 % Total CMOs issued by US government-sponsored agencies 9,986 — 376 9,610 2.06 % Total mortgage-backed securities 1,880,395 13,424 91,970 1,801,849 3.86 % Investment securities US Treasury securities Due less than 1 year 296,747 52 — 296,799 5.40 % Other debt securities Due less than 1 year 500 — — 500 3.25 % Due from 1 to 5 years 119 — 3 116 2.97 % Total investment securities 297,366 52 3 297,415 5.39 % Total securities available for sale $ 2,177,761 $ 13,476 $ 91,973 $ 2,099,264 4.07 % December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Weighted Average Yield (In thousands) Held-to-maturity Mortgage-backed securities FNMA and FHLMC certificates Due after 10 years $ 314,710 $ — $ 56,767 $ 257,943 1.72 % Investment securities US Treasury securities Due less than 1 year 199,314 — 1,548 197,766 3.33 % Other debt securities Due from 1 to 5 years 35,000 55 — 35,055 6.36 % Total securities held to maturity $ 549,024 $ 55 $ 58,315 $ 490,764 2.60 % |
Schedule of Gross Realized Gains and Losses by Category | Quarter Ended March 31, 2024 Description Sale Price Book Value at Sale Gross Gains Gross Losses (In thousands) Sale of investment securities available-for-sale Investment securities US Treasury securities $ 149,406 $ 149,413 $ — $ 7 |
Schedule of Unrealized Gains and Losses by Category | The following table shows OFG’s gross unrealized losses and fair value of investment securities available-for-sale at March 31, 2024 and December 31, 2023, aggregated by investment category and the length of time that individual securities have been in a continuous unrealized loss position: March 31, 2024 12 months or more Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 754,641 $ 65,319 $ 689,322 GNMA certificates 271,543 38,197 233,346 CMOs issued by US Government-sponsored agencies 8,829 359 8,470 Other debt securities 99 2 97 $ 1,035,112 $ 103,877 $ 931,235 March 31, 2024 Less than 12 months Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 210,076 $ 2,778 $ 207,298 GNMA certificates 16,127 96 16,031 $ 226,203 $ 2,874 $ 223,329 March 31, 2024 Total Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 964,717 $ 68,097 $ 896,620 GNMA certificates 287,670 38,293 249,377 CMOs issued by US Government-sponsored agencies 8,829 359 8,470 Other debt securities 99 2 97 $ 1,261,315 $ 106,751 $ 1,154,564 The unrealized losses on OFG’s investment in federal agency mortgage-backed securities were caused by market volatility related to interest rate increases. OFG purchased those investments at a discount relative to their face amount, and the contractual cash flows of those investments are guaranteed by an agency of the U.S. government or by a government sponsored enterprise. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost bases of OFG’s investments. OFG does not intend to sell the investments, and it is not more likely than not that OFG will be required to sell the investments before recovery of their amortized cost bases. December 31, 2023 12 months or more Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 731,334 $ 56,847 $ 674,487 GNMA certificates 275,669 34,364 241,305 CMOs issued by US Government-sponsored agencies 9,986 376 9,610 Other debt securities 119 3 116 $ 1,017,108 $ 91,590 $ 925,518 December 31, 2023 Less than 12 months Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 106,235 $ 331 $ 105,904 GNMA certificates 7,864 52 7,812 $ 114,099 $ 383 $ 113,716 December 31, 2023 Total Amortized Unrealized Fair (In thousands) Securities available-for-sale FNMA and FHLMC certificates $ 837,569 $ 57,178 $ 780,391 GNMA certificates 283,533 34,416 249,117 CMOs issued by US Government-sponsored agencies 9,986 376 9,610 Other debt securities 119 3 116 $ 1,131,207 $ 91,973 $ 1,039,234 |
LOANS (Tables)
LOANS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
Schedule of Loan Portfolio | The composition of the amortized cost basis of OFG’s loan portfolio at March 31, 2024 and December 31, 2023 was as follows: March 31, 2024 December 31, 2023 Non-PCD PCD Total Non-PCD PCD Total (In thousands) Commercial PR: Commercial secured by real estate $ 1,172,215 $ 117,984 $ 1,290,199 $ 1,095,207 $ 120,988 $ 1,216,195 Other commercial and industrial 1,006,533 14,051 1,020,584 1,091,021 14,459 1,105,480 2,178,748 132,035 2,310,783 2,186,228 135,447 2,321,675 Commercial US 740,665 — 740,665 755,228 — 755,228 Total commercial loans 2,919,413 132,035 3,051,448 2,941,456 135,447 3,076,903 Mortgage loans 609,939 909,106 1,519,045 629,247 933,362 1,562,609 Consumer loans: Personal loans 577,304 260 577,564 568,358 264 568,622 Credit lines 10,747 284 11,031 10,926 288 11,214 Credit cards 39,016 — 39,016 40,314 — 40,314 Overdraft 369 — 369 296 — 296 627,436 544 627,980 619,894 552 620,446 Auto loans 2,339,836 1,358 2,341,194 2,272,530 1,891 2,274,421 6,496,624 1,043,043 7,539,667 6,463,127 1,071,252 7,534,379 Allowance for credit losses (148,767) (7,796) (156,563) (152,610) (8,496) (161,106) Total loans held for investment, net 6,347,857 1,035,247 7,383,104 6,310,517 1,062,756 7,373,273 Mortgage loans held-for-sale 9,370 — 9,370 — — — Other loans held-for-sale 18,904 — 18,904 28,345 — 28,345 Total loans held-for-sale 28,274 — 28,274 28,345 — 28,345 Total loans, net $ 6,376,131 $ 1,035,247 $ 7,411,378 $ 6,338,862 $ 1,062,756 $ 7,401,618 |
Schedule of Aging of Recorded Investment in Gross Loans | March 31, 2024 30-59 Days 60-89 Days 90+ Days Total Past Current Total Loans Loans 90+ (In thousands) Commercial PR: Commercial secured by real estate $ 2,146 $ 298 $ 5,534 $ 7,978 $ 1,164,237 $ 1,172,215 $ — Other commercial and industrial 2,349 265 2,509 5,123 1,001,410 1,006,533 — 4,495 563 8,043 13,101 2,165,647 2,178,748 — Commercial US 1,070 — — 1,070 739,595 740,665 — Total commercial loans 5,565 563 8,043 14,171 2,905,242 2,919,413 — Mortgage loans 5,248 7,832 31,414 44,494 565,445 609,939 2,934 Consumer loans: Personal loans 6,423 3,359 3,312 13,094 564,210 577,304 — Credit lines 52 29 20 101 10,646 10,747 — Credit cards 562 407 527 1,496 37,520 39,016 — Overdraft 69 — — 69 300 369 — 7,106 3,795 3,859 14,760 612,676 627,436 — Auto loans 91,686 35,018 14,516 141,220 2,198,616 2,339,836 — Total loans $ 109,605 $ 47,208 $ 57,832 $ 214,645 $ 6,281,979 $ 6,496,624 $ 2,934 December 31, 2023 30-59 Day 60-89 Days 90+ Days Total Past Current Total Loans Loans 90+ (In thousands) Commercial PR: Commercial secured by real estate $ 1,585 $ 411 $ 5,671 $ 7,667 $ 1,087,540 $ 1,095,207 $ — Other commercial and industrial 1,366 291 4,974 6,631 1,084,390 1,091,021 — 2,951 702 10,645 14,298 2,171,930 2,186,228 — Commercial US — — — — 755,228 755,228 — Total commercial loans 2,951 702 10,645 14,298 2,927,158 2,941,456 — Mortgage loans 6,107 9,596 31,557 47,260 581,987 629,247 2,478 Consumer loans: Personal loans 6,115 4,041 2,755 12,911 555,447 568,358 — Credit lines 137 35 35 207 10,719 10,926 — Credit cards 657 280 586 1,523 38,791 40,314 — Overdraft 87 14 — 101 195 296 — 6,996 4,370 3,376 14,742 605,152 619,894 — Auto loans 101,610 46,071 19,056 166,737 2,105,793 2,272,530 — Total loans $ 117,664 $ 60,739 $ 64,634 $ 243,037 $ 6,220,090 $ 6,463,127 $ 2,478 |
Schedule of Investment in Loans on Non-Accrual Status | The following table presents the amortized cost basis of loans held for investment on non-accrual status as of March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 Non-accrual with Allowance for Credit Loss Non-accrual with no Allowance for Credit Loss Total Non-accrual with Allowance for Credit Loss Non-accrual with no Allowance for Credit Loss Total (In thousands) (In thousands) Non-PCD: Commercial PR: Commercial secured by real estate $ 3,818 $ 7,747 $ 11,565 $ 3,553 $ 7,929 $ 11,482 Other commercial and industrial 2,941 709 3,650 4,560 830 5,390 6,759 8,456 15,215 8,113 8,759 16,872 Commercial US 18,579 — 18,579 19,224 — 19,224 Total Commercial loans 25,338 8,456 33,794 27,337 8,759 36,096 Mortgage loans 9,746 3,954 13,700 10,339 3,858 14,197 Consumer loans: Personal loans 3,203 143 3,346 2,741 14 2,755 Personal lines of credit 21 — 21 35 — 35 Credit cards 526 — 526 586 — 586 3,750 143 3,893 3,362 14 3,376 Auto loans 14,510 6 14,516 19,051 5 19,056 Total $ 53,344 $ 12,559 $ 65,903 $ 60,089 $ 12,636 $ 72,725 PCD: Commercial PR: Commercial secured by real estate $ 2,835 $ 2,306 $ 5,141 $ 3,060 $ 2,417 $ 5,477 Other commercial and industrial — 828 828 — 947 947 2,835 3,134 5,969 3,060 3,364 6,424 Mortgage loans 247 — 247 250 — 250 Total $ 3,082 $ 3,134 $ 6,216 $ 3,310 $ 3,364 $ 6,674 Total non-accrual loans $ 56,426 $ 15,693 $ 72,119 $ 63,399 $ 16,000 $ 79,399 |
Schedule of Troubled Debt Restructurings | The following tables present the financial effect of the modifications granted to borrowers experiencing financial difficulty during the quarters ended March 31, 2024 and 2023. The financial effect of the combined modifications is presented separately by type of modification. Quarter Ended March 31, 2024 Weighted-Average Interest Rate Reduction Weighted-Average Term Extension (In months) Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) Mortgage loans — % 180 — Consumer loans: Personal loans 5.00 % 18 — Quarter Ended March 31, 2023 Weighted-Average Interest Rate Reduction Weighted-Average Term Extension (In months) Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) Commercial PR: Commercial loans secured by real estate — % 12 $ — Mortgage loans 2.08 % 212 $ 39 Consumer loans: Personal loans 5.00 % 24 $ — |
Amortized Cost Basis of Modified Financing Receivables that Subsequently Defaulted | The following tables present the amortized cost basis as of March 31, 2024 and 2023 of loans held for investment that were modified during the quarters ended March 31, 2024 and 2023, disaggregated by class of financing receivable and type of concession granted. Quarter Ended March 31, 2024 Interest Rate Reduction Term Extension Principal Forbearance/Forgiveness Combination of Term Extension and Interest Rate Reduction Combination of Term Extension and Principal Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of (Dollars in thousands) Mortgage loans $ — — % $ 95 0.01 % $ — — % $ — — % $ — — % Consumer: Personal loans 27 — % 7 — % — — % — — % — — % Total $ 27 $ 102 $ — $ — $ — Quarter Ended March 31, 2023 Interest Rate Reduction Term Extension Principal Forbearance/Forgiveness Combination of Term Extension and Interest Rate Reduction Combination of Term Extension and Principal Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of Amortized Cost Basis % of Total Class of (Dollars in thousands) Commercial PR: Commercial secured by real estate $ — — % $ 495 0.04 % $ — — % $ — — % $ — — % Mortgage loans — — % 2,604 0.16 % 129 0.01 % 187 0.01 % $ — — % Consumer: Personal loans — — % — — % — — % 28 0.01 % $ — — % Total $ — $ 3,099 $ 129 $ 215 $ — The following table presents the amortized cost basis as of March 31, 2024 of loans held for investment that had a payment default subsequent to being granted a modification to borrowers experiencing financial difficulty in the prior twelve-months. Twelve Months Ended March 31, 2024 Amortized Cost Basis of Modified Financing Receivables that Subsequently Defaulted Interest Rate Reduction Term Extension Principal Forgiveness/Forbearance Combination - Term Extension and Interest Rate Reduction Total (In thousands) Mortgage loans $ — $ 277 $ — $ 85 $ 362 |
Financing Receivable, Modified, Past Due | The following table presents the payment status of loans that have been modified in the last twelve-months. March 31, 2024 30-59 Day 60-89 Days 90+ Days Total Past Current Total (In thousands) Commercial loans: Commercial PR: Commercial loans secured by real estate $ — $ — $ — $ — $ 5,806 $ 5,806 Other commercial and industrial — — — — 638 638 — — — — 6,444 6,444 Commercial US — — — — 10,571 10,571 — — — — 17,015 17,015 Mortgage loans 141 115 277 533 3,832 4,365 Consumer loans: Personal loans — — — — 127 127 — — — — 127 127 Auto loans — — — — 110 110 Total $ 141 $ 115 $ 277 $ 533 $ 21,084 $ 21,617 |
Schedule of the Amortized Cost of Collateral-Dependent Loans Held for Investment | The table below presents the amortized cost of commercial collateral-dependent loans held for investment at March 31, 2024 and December 31, 2023, by class of loans. March 31, December 31, 2024 2023 (In thousands) Commercial PR: Commercial loans secured by real estate $ 7,862 $ 8,027 |
Schedule of Credit Quality Indicators of Loans | As of March 31, 2024, and based on the most recent analysis performed, the risk category of loans held for investment subject to risk rating by class of loans, and current year-to-date period gross charge-offs by year of origination is as follows: Term Loans Revolving Total 2024 2023 2022 2021 2020 Prior (In thousands) Commercial PR: Commercial secured by real estate: Loan grade: Pass $ 93,845 $ 223,742 $ 206,955 $ 191,368 $ 110,669 $ 203,868 $ 74,976 $ 1,105,423 Special Mention — — 8,656 6,464 4,820 28,267 133 48,340 Substandard — — 457 1,346 1,214 14,714 706 18,437 Doubtful — — — — — 15 — 15 Loss — — — — — — — — Total commercial secured by real estate 93,845 223,742 216,068 199,178 116,703 246,864 75,815 1,172,215 Commercial secured by real estate: YTD gross charge-offs — — — — — 7 — 7 Other commercial and industrial: Loan grade: Pass 33,643 280,879 79,473 107,103 30,025 20,175 447,902 999,200 Special Mention — — 2,822 10 — 73 1,060 3,965 Substandard — 32 388 1,095 236 1,172 445 3,368 Doubtful — — — — — — — — Loss — — — — — — — — Total other commercial and industrial: 33,643 280,911 82,683 108,208 30,261 21,420 449,407 1,006,533 Other commercial and industrial: YTD gross charge-offs 99 — 156 3,303 — — — 3,558 Commercial US: Loan grade: Pass 9,860 141,607 63,193 59,735 30,482 29,930 356,117 690,924 Special Mention — — 7,798 17,678 — — — 25,476 Substandard — 10,571 — — — 5,686 8,008 24,265 Doubtful — — — — — — — — Loss — — — — — — — — Total Commercial US: 9,860 152,178 70,991 77,413 30,482 35,616 364,125 740,665 Commercial US: YTD gross charge-offs — — — 1,749 — 2 — 1,751 Total commercial loans $ 137,348 $ 656,831 $ 369,742 $ 384,799 $ 177,446 $ 303,900 $ 889,347 $ 2,919,413 Total YTD gross charge-offs $ 99 $ — $ 156 $ 5,052 $ — $ 9 $ — $ 5,316 As of December 31, 2023, and based on the most recent analysis performed, the risk category of loans held for investment subject to risk rating by class of loans is as follows: Term Loans Revolving Total 2023 2022 2021 2020 2019 Prior (In thousands) Commercial PR: Commercial secured by real estate: Loan grade: Pass $ 224,598 $ 216,205 $ 195,884 $ 120,489 $ 80,671 $ 131,016 $ 65,873 $ 1,034,736 Special Mention — 1,772 6,554 5,057 15,676 12,500 153 41,712 Substandard — 459 1,386 1,109 2,615 11,939 1,236 18,744 Doubtful — — — — — 15 — 15 Loss — — — — — — — — Total commercial secured by real estate 224,598 218,436 203,824 126,655 98,962 155,470 67,262 1,095,207 Commercial secured by real estate: YTD gross charge-offs — — 265 — 94 820 — 1,179 Other commercial and industrial: Loan grade: Pass 284,615 99,522 113,760 37,665 7,438 14,836 527,008 1,084,844 Special Mention 8 2,953 — — 51 100 — 3,112 Substandard 3 473 826 259 935 186 383 3,065 Doubtful — — — — — — — — Loss — — — — — — — — Total other commercial and industrial: 284,626 102,948 114,586 37,924 8,424 15,122 527,391 1,091,021 Other commercial and industrial: YTD gross charge-offs — 124 1,095 89 9 1,180 — 2,497 Commercial US: Loan grade: Pass 142,222 63,885 69,233 31,206 28,202 8,085 358,757 701,590 Special Mention — 7,803 — — — — 20,913 28,716 Substandard 10,832 — — — — 5,699 8,391 24,922 Doubtful — — — — — — — — Loss — — — — — — — — Total Commercial US: 153,054 71,688 69,233 31,206 28,202 13,784 388,061 755,228 Commercial US: YTD gross charge-offs 33 1,156 642 47 — 8,637 — 10,515 Total commercial loans $ 662,278 $ 393,072 $ 387,643 $ 195,785 $ 135,588 $ 184,376 $ 982,714 $ 2,941,456 Total YTD gross charge-offs $ 33 $ 1,280 $ 2,002 $ 136 $ 103 $ 10,637 $ — $ 14,191 Term Loans Revolving Total 2024 2023 2022 2021 2020 Prior (In thousands) Mortgage loans: Payment performance: Performing $ 3,961 $ 17,075 $ 19,576 $ 23,376 $ 15,766 $ 511,141 $ — $ 590,895 Nonperforming — — — 176 106 18,762 — 19,044 Total mortgage loans: 3,961 17,075 19,576 23,552 15,872 529,903 — 609,939 Mortgage loans: YTD gross charge-offs — — — — — 64 — 64 Consumer loans: Personal loans: Payment performance: Performing 66,385 247,875 166,549 59,793 16,903 16,453 — 573,958 Nonperforming 34 1,189 1,404 463 157 99 — 3,346 Total personal loans 66,419 249,064 167,953 60,256 17,060 16,552 — 577,304 Personal loans: YTD gross charge-offs — 1,635 3,576 1,018 298 381 — 6,908 Credit lines: Payment performance: Performing — — — — — — 10,726 10,726 Nonperforming — — — — — — 21 21 Total credit lines — — — — — — 10,747 10,747 Credit lines: YTD gross charge-offs — — — — — — 64 64 Credit cards: Payment performance: Performing — — — — — — 38,490 38,490 Nonperforming — — — — — — 526 526 Total credit cards — — — — — — 39,016 39,016 Credit cards: YTD gross charge-offs — — — — — — 633 633 Overdrafts: Payment performance: Performing — — — — — — 369 369 Nonperforming — — — — — — — — Total overdrafts — — — — — — 369 369 Overdrafts: YTD gross charge-offs — — — — — — 376 376 Total consumer loans 66,419 249,064 167,953 60,256 17,060 16,552 50,132 627,436 Total consumer loans YTD gross charge-offs — 1,635 3,576 1,018 298 381 1,073 7,981 Total mortgage and consumer loans $ 70,380 $ 266,139 $ 187,529 $ 83,808 $ 32,932 $ 546,455 $ 50,132 $ 1,237,375 Total mortgage and consumer loans YTD gross charge-offs $ — $ 1,635 $ 3,576 $ 1,018 $ 298 $ 445 $ 1,073 $ 8,045 The following table presents the amortized cost in mortgage and consumer loans held for investment based on payment activity as of December 31, 2023 : Term Loans Revolving Total 2023 2022 2021 2020 2019 Prior (In thousands) Mortgage loans: Payment performance: Performing $ 24,623 $ 19,722 $ 23,303 $ 15,821 $ 14,589 $ 511,182 $ — $ 609,240 Nonperforming $ — — 181 108 479 19,239 — 20,007 Total mortgage loans: 24,623 19,722 23,484 15,929 15,068 530,421 — 629,247 Mortgage loans: YTD gross charge-offs $ — 4 — — — 755 — 759 Consumer loans: Personal loans: Payment performance: Performing 270,883 186,612 68,133 19,185 14,460 6,330 — $ 565,603 Nonperforming 503 1,588 304 193 66 101 — 2,755 Total personal loans 271,386 188,200 68,437 19,378 14,526 6,431 — 568,358 Personal loans: YTD gross charge-offs 1,748 10,512 4,661 830 1,384 731 — 19,866 Credit lines: Payment performance: Performing — — — — — — 10,891 $ 10,891 Nonperforming — — — — — — 35 35 Total credit lines — — — — — — 10,926 10,926 Credit lines: YTD gross charge-offs — — — — — — 419 419 Credit cards: Payment performance: Performing — — — — — — 39,728 $ 39,728 Nonperforming — — — — — — 586 586 Total credit cards — — — — — — 40,314 40,314 Credit cards: YTD gross charge-offs — — — — — — 2,825 2,825 Overdrafts: Payment performance: Performing — — — — — — 296 $ 296 Nonperforming — — — — — — — — Total overdrafts — — — — — — 296 296 Overdrafts: YTD gross charge-offs — — — — — — 545 545 Total consumer loans 271,383 188,200 68,437 19,378 14,526 6,431 51,536 619,894 Total consumer loans YTD gross charge-offs 1,748 10,512 4,661 830 1,384 731 3,789 23,655 Total mortgage and consumer loans $ 296,009 $ 207,922 $ 91,921 $ 35,307 $ 29,594 $ 536,852 $ 51,536 $ 1,249,141 Total mortgage and consumer loans YTD gross charge-offs $ 1,748 $ 10,516 $ 4,661 $ 830 $ 1,384 $ 1,486 $ 3,789 $ 24,414 Term Loans Total 2024 2023 2022 2021 2020 Prior (In thousands) Auto loans: FICO score: 1-660 27,029 199,471 189,377 113,598 53,460 68,305 651,240 661-699 36,542 165,438 98,929 51,872 23,089 27,931 403,801 700+ 119,541 460,225 298,660 168,374 93,230 120,373 1,260,403 No FICO 969 6,493 6,225 4,291 1,992 4,422 24,392 Total auto loans $ 184,081 $ 831,627 $ 593,191 $ 338,135 $ 171,771 $ 221,031 $ 2,339,836 Auto loans: YTD gross charge-offs $ 9 $ 4,342 $ 5,108 $ 2,272 $ 1,009 $ 1,478 $ 14,218 The following table presents the amortized cost in auto loans held for investment based on their most recent FICO score as of December 31, 2023 : Term Loans Total 2023 2022 2021 2020 2019 Prior (In thousands) Auto loans: FICO score: 1-660 170,639 190,743 118,821 57,087 41,124 38,570 616,984 661-699 169,430 110,260 58,166 25,886 18,253 16,137 398,132 700+ 474,005 323,514 183,286 103,886 88,929 58,779 1,232,399 No FICO 6,203 6,537 4,592 2,200 3,886 1,597 25,015 Total auto loans $ 820,277 $ 631,054 $ 364,865 $ 189,059 $ 152,192 $ 115,083 $ 2,272,530 Auto loans: YTD gross charge-offs $ 4,090 $ 18,142 $ 10,894 $ 4,008 $ 3,380 $ 3,250 $ 43,764 |
ALLOWANCE FOR CREDIT LOSSES (Ta
ALLOWANCE FOR CREDIT LOSSES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Credit Loss [Abstract] | |
Schedule of Gross Loan and Allowance for Credit Losses | The following tables present the activity in OFG’s allowance for credit losses by segment for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 Commercial Mortgage Consumer Auto Total (In thousands) Non-PCD: Balance at beginning of period $ 44,041 $ 7,998 $ 27,086 $ 73,485 $ 152,610 (Recapture of) provision for credit losses (1,406) (574) 7,655 11,078 16,753 Charge-offs (5,316) (64) (7,981) (14,218) (27,579) Recoveries 52 267 693 5,971 6,983 Balance at end of period $ 37,371 $ 7,627 $ 27,453 $ 76,316 $ 148,767 PCD: Balance at beginning of period $ 1,113 $ 7,351 $ 7 $ 25 $ 8,496 Recapture of provision for credit losses (137) (1,268) (23) (56) (1,484) Charge-offs — (83) — (9) (92) Recoveries 157 638 23 58 876 Balance at end of period $ 1,133 $ 6,638 $ 7 $ 18 $ 7,796 Total allowance for credit losses at end of period $ 38,504 $ 14,265 $ 27,460 $ 76,334 $ 156,563 Quarter Ended March 31, 2023 Commercial Mortgage Consumer Auto Total (In thousands) Non-PCD: Balance at beginning of period $ 39,158 $ 9,571 $ 23,264 $ 69,848 $ 141,841 (Recapture of) provision for credit losses (335) (503) 5,974 2,896 8,032 Charge-offs (1,375) (201) (5,440) (9,479) (16,495) Recoveries 326 216 866 6,599 8,007 Balance at end of period $ 37,774 $ 9,083 $ 24,664 $ 69,864 $ 141,385 PCD: Balance at beginning of period $ 1,388 $ 9,359 $ 14 $ 71 $ 10,832 Provision for (recapture of) credit losses 1,920 (814) 200 (7) 1,299 Charge-offs (2,104) (75) (213) (87) (2,479) Recoveries 489 247 11 100 847 Balance at end of period $ 1,693 $ 8,717 $ 12 $ 77 $ 10,499 Total allowance for credit losses at end of period $ 39,467 $ 17,800 $ 24,676 $ 69,941 $ 151,884 |
FORECLOSED REAL ESTATE (Tables)
FORECLOSED REAL ESTATE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Other Real Estate [Abstract] | |
Schedule of Foreclosed Real Estate Rollforward | The following table presents the activity related to foreclosed real estate for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Balance at beginning of period $ 10,780 $ 11,214 Additions 1,345 1,438 Sales (1,826) (3,581) Decline in value (170) (127) Other adjustments 721 306 Balance at end of period $ 10,850 $ 9,250 |
SERVICING ASSETS (Tables)
SERVICING ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Transfers and Servicing [Abstract] | |
Schedule of Changes in Serving Rights at Fair Value | The following table presents the changes in servicing rights measured using the fair value method for March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Fair value at beginning of period $ 49,520 $ 50,921 Servicing from mortgage securitization or asset transfers 527 575 Changes due to payments on loans (920) (1,065) Changes in fair value due to changes in valuation model inputs or assumptions 426 (1,086) Fair value at end of period $ 49,553 $ 49,345 |
Schedule of Key Economic Assumptions | The following table presents key economic assumption ranges used in measuring the mortgage-related servicing asset fair value as of March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 Constant prepayment rate 1.14% - 15.08% 3.59% - 23.26% Discount rate 10.00% - 15.50% 10.00% - 15.50% |
Schedule of Sensitivity of Current Fair Value of Servicing Assets | The sensitivity of the current fair value of servicing assets to immediate 10 percent and 20 percent adverse changes in the above key assumptions were as follows: March 31, December 31, 2024 2023 (In thousands) Mortgage-related servicing asset Carrying value of mortgage servicing asset $ 49,553 49,520 Weighted average life (in years) 7.3 7.3 Constant prepayment rate Decrease in fair value due to 10% adverse change $ (928) $ (928) Decrease in fair value due to 20% adverse change $ (1,821) $ (1,821) Discount rate Decrease in fair value due to 10% adverse change $ (2,007) $ (1,999) Decrease in fair value due to 20% adverse change $ (3,871) $ (3,856) |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill by reportable business segment is included in the table below. Refer to “ Note 22 – Business Segments” for additional information on OFG’s reportable business segments. Banking Wealth Management Treasury Total (In thousands) December 31, 2023 $ 84,063 $ 178 $ — $ 84,241 March 31, 2024 $ 84,063 $ 178 $ — $ 84,241 |
Schedule of Core Deposit, Customer Relationship and Other Intangibles | The following table reflects the components of other intangible assets subject to amortization at March 31, 2024 and December 31, 2023: Gross Accumulated Net (In thousands) March 31, 2024 Core deposit intangibles $ 41,507 $ 26,791 $ 14,716 Customer relationship intangibles 12,693 8,193 4,500 Total other intangible assets $ 54,200 $ 34,984 $ 19,216 December 31, 2023 Core deposit intangibles $ 41,507 $ 25,659 $ 15,848 Customer relationship intangibles 12,693 7,847 4,846 Total other intangible assets $ 54,200 $ 33,506 $ 20,694 |
Schedule of Estimated Amortization of Other Intangible Assets | The following table presents the estimated amortization of other intangible assets for each of the following periods. Year Ending December 31, (In thousands) 2024 5,913 2025 4,927 2026 3,942 2027 2,956 2028 1,971 Thereafter 985 |
ACCRUED INTEREST RECEIVABLE A_2
ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Accrued Interest Receivable and Other Assets [Abstract] | |
Schedule of Accrued Interest Receivable | Accrued interest receivable at March 31, 2024 and December 31, 2023 consists of the following: March 31, 2024 December 31, 2023 (In thousands) Loans $ 62,584 $ 63,526 Investments 9,533 7,874 $ 72,117 $ 71,400 |
Schedule of Other Assets | Other assets at March 31, 2024 and December 31, 2023 consist of the following: March 31, 2024 December 31, 2023 (In thousands) Prepaid expenses $ 62,145 $ 63,040 Other repossessed assets 6,844 4,032 Accounts receivable and other assets 49,334 47,859 $ 118,323 $ 114,931 |
DEPOSITS AND RELATED INTEREST (
DEPOSITS AND RELATED INTEREST (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Deposits and Related Interest [Abstract] | |
Schedule of Deposits by Component | Total deposits, including related accrued interest payable, as of March 31, 2024 and December 31, 2023 consist of the following: March 31, 2024 December 31, 2023 (In thousands) Non-interest-bearing demand deposits $ 2,562,096 $ 2,537,431 Interest-bearing savings and demand deposits 5,476,565 5,601,099 Retail certificates of deposit 1,117,004 1,083,316 Institutional certificates of deposit 390,033 378,143 Total core deposits 9,545,698 9,599,989 Brokered deposits 2,576 162,180 Total deposits $ 9,548,274 $ 9,762,169 |
Schedule of Interest Expense | Interest expense for the quarters ended March 31, 2024 and 2023 was as follows: Quarter Ended March 31, 2024 2023 Demand and savings deposits $ 26,065 $ 8,668 Certificates of deposit 10,727 3,829 $ 36,792 $ 12,497 |
Time Deposit Maturities | Excluding accrued interest of approximately $1.7 million and $3.0 million, the scheduled maturities of certificates of deposit at March 31, 2024 and December 31, 2023 are as follows: March 31, 2024 Period-end amount Uninsured amount (In thousands) Within one year: Three months or less $ 291,558 $ 88,260 Over 3 months through 6 months 200,361 91,329 Over 6 months through 1 year 509,185 233,878 1,001,104 413,467 Over 1 through 2 years 350,012 109,708 Over 2 through 3 years 77,872 8,988 Over 3 through 4 years 34,371 1,415 Over 4 through 5 years 43,591 4,847 Over 5 years 961 — $ 1,507,911 $ 538,425 December 31, 2023 Period-end amount Uninsured amount (In thousands) Within one year: Three months or less $ 457,533 $ 115,392 Over 3 months through 6 months 195,902 61,245 Over 6 months through 1 year 329,758 113,524 983,193 290,161 Over 1 through 2 years 467,348 201,478 Over 2 through 3 years 94,450 13,971 Over 3 through 4 years 29,514 1,379 Over 4 through 5 years 45,575 4,665 Over 5 years 608 — $ 1,620,688 $ 511,654 |
BORROWINGS AND RELATED INTERE_2
BORROWINGS AND RELATED INTEREST (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Federal Home Loan Bank Advances | The following table shows a summary of the advances and their terms, excluding accrued interest in the amount of $766 thousand and $768 thousand at March 31, 2024 and December 31, 2023, respectively: March 31, 2024 December 31, 2023 (In thousands) Long-term fixed-rate advance from FHLB, with a weighted average interest rate of 4.52% (December 31, 2023 - 4.52%) $ 200,000 $ 200,000 Advances from FHLB mature as follows: March 31, 2024 December 31, 2023 (In thousands) Over one to three years $ 200,000 $ 200,000 |
REGULATORY CAPITAL REQUIREMEN_2
REGULATORY CAPITAL REQUIREMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Capital Disclosure [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements Under Banking Regulations | OFG’s and the Bank’s actual capital amounts and ratios as of March 31, 2024 and December 31, 2023 were as follows: Actual Minimum Capital Minimum to be Well Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) OFG Bancorp Ratios As of March 31, 2024 Total capital to risk-weighted assets $ 1,309,893 15.71 % $ 875,507 10.50 % $ 833,817 10.00 % Tier 1 capital to risk-weighted assets $ 1,205,231 14.45 % $ 708,744 8.50 % $ 667,053 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,205,231 14.45 % $ 583,672 7.00 % $ 541,981 6.50 % Tier 1 capital to average total assets $ 1,205,231 10.76 % $ 447,862 4.00 % $ 559,827 5.00 % As of December 31, 2023 Total capital to risk-weighted assets $ 1,278,537 15.37 % $ 873,369 10.50 % $ 831,780 10.00 % Tier 1 capital to risk-weighted assets $ 1,174,205 14.12 % $ 707,013 8.50 % $ 665,424 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,174,205 14.12 % $ 582,246 7.00 % $ 540,657 6.50 % Tier 1 capital to average total assets $ 1,174,205 11.03 % $ 425,911 4.00 % $ 532,389 5.00 % Actual Minimum Capital Minimum to be Well Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) Bank Ratios As of March 31, 2024 Total capital to risk-weighted assets $ 1,192,181 14.40 % $ 869,541 10.50 % $ 828,134 10.00 % Tier 1 capital to risk-weighted assets $ 1,088,220 13.14 % $ 703,914 8.50 % $ 662,507 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,088,220 13.14 % $ 579,694 7.00 % $ 538,287 6.50 % Tier 1 capital to average total assets $ 1,088,220 9.82 % $ 443,045 4.00 % $ 553,807 5.00 % As of December 31, 2023 Total capital to risk-weighted assets $ 1,179,164 14.27 % $ 867,797 10.50 % $ 826,474 10.00 % Tier 1 capital to risk-weighted assets $ 1,075,487 13.01 % $ 702,503 8.50 % $ 661,179 8.00 % Common equity tier 1 capital to risk-weighted assets $ 1,075,487 13.01 % $ 578,532 7.00 % $ 537,208 6.50 % Tier 1 capital to average total assets $ 1,075,487 10.20 % $ 421,660 4.00 % $ 527,075 5.00 % |
STOCKHOLDERS_ EQUITY (Tables)
STOCKHOLDERS’ EQUITY (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Activity of Common Shares Held in Treasury | The activity in connection with common shares held in treasury by OFG for the quarters ended March 31, 2024 and 2023 is set forth below: Quarter Ended March 31, 2024 2023 Shares Dollar Shares Dollar (In thousands, except shares data) Beginning of period 12,820,078 $ 228,350 12,303,859 $ 211,135 Common shares used upon lapse of restricted stock units and options (151,415) (1,454) (134,827) (1,235) Common shares repurchased as part of the stock repurchase programs — — 104,800 2,894 End of period 12,668,663 $ 226,896 12,273,832 $ 212,794 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Accumulated other comprehensive loss, net of income taxes, as of March 31, 2024 and December 31, 2023 consisted of: March 31, 2024 December 31, 2023 (In thousands) Unrealized loss on securities available-for-sale $ (96,047) $ (78,497) Income tax effect of unrealized loss on securities available-for-sale 14,316 11,484 Net unrealized loss on securities available-for-sale (81,731) (67,013) Accumulated other comprehensive loss, net of income taxes $ (81,731) $ (67,013) The following table presents changes in accumulated other comprehensive loss by component, net of taxes, for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 Net unrealized (In thousands) Beginning balance $ (67,013) Other comprehensive loss before reclassifications (14,711) Amounts reclassified out of accumulated other comprehensive loss (7) Other comprehensive loss (14,718) Ending balance $ (81,731) Quarter Ended March 31, 2023 Net unrealized Net unrealized Accumulated (In thousands) Beginning balance $ (93,663) $ 254 $ (93,409) Other comprehensive income (loss) before reclassifications 15,149 (673) 14,476 Amounts reclassified out of accumulated other comprehensive (loss) income 2 591 593 Other comprehensive income (loss) 15,151 (82) 15,069 Ending balance $ (78,512) $ 172 $ (78,340) |
Schedule of Reclassifications Out of Other Comprehensive Income | The following table presents reclassifications out of accumulated other comprehensive loss for the quarters ended March 31, 2024 and 2023: Amount reclassified out of accumulated other comprehensive loss Quarter Ended March 31, Affected Line Item in 2024 2023 (In thousands) Cash flow hedges: Interest-rate contracts $ — $ 591 Net interest expense Available-for-sale securities: Loss on sale of investments (7) — Net (loss) gain on sale of securities Tax effect from changes in tax rates — 2 Income tax expense $ (7) $ 593 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Common Share | The calculation of earnings per common share for the quarters ended March 31, 2024 and 2023 is as follows: Quarter Ended March 31, 2024 2023 (In thousands, except per share data) Income available to common shareholders $ 49,692 $ 46,229 Average common shares outstanding 47,096 47,600 Effect of dilutive securities: Average potential common shares-options 247 344 Total weighted average common shares outstanding and equivalents 47,343 47,944 Earnings per common share - basic $ 1.06 $ 0.97 Earnings per common share - diluted $ 1.05 $ 0.96 |
GUARANTEES (Tables)
GUARANTEES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Guarantees [Abstract] | |
Schedule of Changes in Liability of Estimated Loss from Credit Recourse Agreement | The following table shows the changes in OFG’s liability for estimated losses from these credit recourse agreements, included in the consolidated statements of financial condition during the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Balance at beginning of period $ 102 $ 147 Net recoveries (charge-offs/terminations) (29) (6) Balance at end of period $ 73 $ 141 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Credit-Related Financial Instruments | Credit-related financial instruments at March 31, 2024 and December 31, 2023 were as follows: March 31, 2024 December 31, 2023 (In thousands) Commitments to extend credit $ 1,353,808 $ 1,255,695 Commercial letters of credit 829 119 The summary of instruments that are considered financial guarantees in accordance with the authoritative guidance related to guarantor’s accounting and disclosure requirements for guarantees, including indirect guarantees of indebtedness of others, at March 31, 2024 and December 31, 2023, is as follows: March 31, 2024 December 31, 2023 (In thousands) Standby letters of credit and financial guarantees $ 24,655 $ 23,970 Loans sold with recourse 96,437 98,685 |
OPERATING LEASES (Tables)
OPERATING LEASES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Lessee Disclosure [Abstract] | |
Schedule of Operating Lease Cost | Quarter Ended March 31, 2024 2023 Statement of Operations (In thousands) Lease costs $ 2,653 $ 2,600 Occupancy and equipment Variable lease costs 411 341 Occupancy and equipment Short-term lease costs 50 157 Occupancy and equipment Lease income (22) (38) Occupancy and equipment Total lease costs $ 3,092 $ 3,060 |
Schedule of Operating Lease Assets and Liabilities | March 31, 2024 December 31, 2023 Statement of Financial Condition Classification (In thousands) Right-of-use assets $ 21,606 $ 21,725 Operating lease right-of-use assets Lease Liabilities $ 23,969 $ 24,029 Operating leases liabilities |
Schedule of Operating Lease, Other Information | March 31, 2024 December 31, 2023 (In thousands) Weighted-average remaining lease term 5.1 years 5.1 years Weighted-average discount rate 7.5 % 7.0 % |
Schedule of Future Minimum Payments for Operating Leases and Present Value | Future minimum payments for operating leases with initial or remaining terms of one year or more as of March 31, 2024 were as follows: Minimum Rent As of March 31, 2024 (In thousands) 2024 $ 6,212 2025 6,540 2026 4,481 2027 3,724 2028 2,937 Thereafter 5,179 Total lease payments $ 29,073 Less imputed interest 5,104 Present value of lease liabilities $ 23,969 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities on Recurring and Non-Recurring Basis | Assets and liabilities measured at fair value on a recurring and non-recurring basis are summarized below: March 31, 2024 Fair Value Measurements Level 1 Level 2 Level 3 Total (In thousands) Recurring fair value measurements: Investment securities available-for-sale $ 150,915 $ 1,746,792 $ — $ 1,897,707 Trading securities — 14 — 14 Money market investments 4,674 — — 4,674 Servicing assets — — 49,553 49,553 $ 155,589 $ 1,746,806 $ 49,553 $ 1,951,948 Non-recurring fair value measurements: Collateral dependent loans $ — $ — $ 7,862 $ 7,862 Foreclosed real estate — — 10,850 10,850 Other repossessed assets — — 6,844 6,844 Mortgage loans held for sale — — 9,370 9,370 Other loans held for sale — — 18,904 18,904 $ — $ — $ 53,830 $ 53,830 December 31, 2023 Fair Value Measurements Level 1 Level 2 Level 3 Total (In thousands) Recurring fair value measurements: Investment securities available-for-sale $ 296,799 $ 1,802,465 $ — $ 2,099,264 Trading securities — 13 — 13 Money market investments 4,623 — — 4,623 Servicing assets — — 49,520 49,520 $ 301,422 $ 1,802,478 $ 49,520 $ 2,153,420 Non-recurring fair value measurements: Collateral dependent loans $ — $ — $ 8,027 $ 8,027 Foreclosed real estate — — 10,780 10,780 Other repossessed assets — — 4,032 4,032 Other loans held for sale $ — $ — $ 28,345 28,345 $ — $ — $ 51,184 $ 51,184 |
Schedule of Reconciliation of Assets and Liabilities Using Significant Unobservable Inputs (Level 3) | The tables below present a reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for March 31, 2024 and 2023: Level 3 Instruments Only Quarter Ended March 31, 2024 2023 Servicing Assets Other debt securities available for sale Servicing Assets Total (In thousands) Balance at beginning period $ 49,520 $ 406 $ 50,921 $ 51,327 New instruments acquired 527 — 575 575 Principal repayments and amortization (920) — (1,065) (1,065) Gains included in earnings 426 — (1,086) (1,086) Gains included in other comprehensive income — 7 — 7 Balance at end of period $ 49,553 $ 413 $ 49,345 $ 49,758 |
Schedule of Qualitative Information for Assets and Liabilities | The table below presents quantitative information for all assets and liabilities measured at fair value on a recurring and non-recurring basis using significant unobservable inputs (Level 3) at March 31, 2024 and December 31, 2023: March 31, 2024 Fair Value Valuation Technique Unobservable Input Range Weighted Average (In thousands) Servicing assets $ 49,553 Cash flow valuation Constant prepayment rate 1.14% - 15.08% 6.18 % Discount rate 10.00% - 15.50% 11.46 % Collateral dependent loans $ 7,862 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 16.99 % Foreclosed real estate $ 10,850 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 12.53 % Other repossessed assets $ 6,844 Fair value of property Estimated net realizable value less disposition costs 31.00% - 77.00% 56.43 % Mortgage loans held for sale $ 9,370 Market prices Pricing and execution whole loan 96.04% - 101.24% 98.25 % Other loans held for sale $ 18,904 Bids or sales contract prices Estimated market value 98.41% - 147.96% 129.96 % December 31, 2023 Fair Value Valuation Technique Unobservable Input Range Weighted Average (In thousands) Servicing assets $ 49,520 Cash flow valuation Constant prepayment rate 1.35% - 17.34% 6.12 % Discount rate 10.00% - 15.50% 11.45 % Collateral dependent loans $ 8,027 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 17.00 % Foreclosed real estate $ 10,780 Fair value of property Appraised value less disposition costs 10.20% - 33.20% 12.67 % Other repossessed assets $ 4,032 Fair value of property Estimated net realizable value less disposition costs 31.00% - 77.00% 57.72 % Other loans held for sale $ 28,345 Bids or sales contract prices Estimated market value 52.00% - 103.20% 84.80% |
Schedule of Estimated Fair Value and Carrying Value | The estimated fair value and carrying value of OFG’s financial instruments at March 31, 2024 and December 31, 2023 was as follows: March 31, 2024 December 31, 2023 Fair Carrying Fair Carrying (In thousands) Financial Assets: Level 1 Cash and cash equivalents $ 754,392 $ 754,392 $ 748,173 $ 748,173 Investment securities available-for-sale $ 150,915 $ 150,915 $ 296,799 $ 296,799 Level 2 Financial Assets: Trading securities $ 14 $ 14 $ 13 $ 13 Investment securities available-for-sale $ 1,746,792 $ 1,746,792 $ 1,802,465 $ 1,802,465 Investment securities held-to-maturity $ 448,603 $ 509,491 $ 455,709 $ 514,024 Federal Home Loan Bank (FHLB) stock $ 14,488 $ 14,488 $ 14,488 $ 14,488 Equity securities $ 25,674 $ 25,674 $ 23,981 $ 23,981 Level 3 Financial Assets: Investment securities held-to-maturity $ 35,054 $ 35,000 $ 35,055 $ 35,000 Total loans (including loans held-for-sale) $ 7,296,452 $ 7,411,378 $ 7,282,214 $ 7,401,618 Accrued interest receivable $ 72,117 $ 72,117 $ 71,400 $ 71,400 Servicing assets $ 49,553 $ 49,553 $ 49,520 $ 49,520 Accounts receivable and other assets $ 49,334 $ 49,334 $ 47,859 $ 47,589 Financial Liabilities: Deposits $ 9,581,054 $ 9,548,274 $ 9,767,068 $ 9,762,169 Advances from FHLB $ 198,755 $ 200,766 $ 199,184 $ 200,768 Other borrowings $ — $ — $ 2 $ 2 Accrued expenses and other liabilities $ 121,871 $ 121,871 $ 115,985 $ 115,985 |
BANKING AND FINANCIAL SERVICE_2
BANKING AND FINANCIAL SERVICE REVENUES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Banking and Thrift, Interest [Abstract] | |
Schedule of Commissions and Fees Revenues | The following table presents the major categories of banking and financial service revenues for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 2023 (In thousands) Banking service revenues: Electronic banking fees $ 13,690 $ 13,366 Checking accounts fees 2,167 2,220 Savings accounts fees 308 333 Credit life commissions 4 105 Branch service commissions 346 422 Servicing and other loan fees 568 881 International fees 172 183 Miscellaneous income 4 3 Total banking service revenues 17,259 17,513 Wealth management revenue: Insurance income 3,774 3,369 Broker fees 2,091 1,784 Trust fees 2,242 1,924 Other fees — 43 Total wealth management revenue 8,107 7,120 Mortgage banking activities: Net servicing fees 3,951 2,842 Net gains on sale of mortgage loans and valuation 653 769 Net gain on repurchased loans and other 89 287 Total mortgage banking activities 4,693 3,898 Total banking and financial service revenues $ 30,059 $ 28,531 |
BUSINESS SEGMENTS (Tables)
BUSINESS SEGMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Following are the results of operations and the selected financial information by operating segment for the quarters ended March 31, 2024 and 2023: Quarter Ended March 31, 2024 Banking Wealth Treasury Total Major Eliminations Consolidated (In thousands) Interest income $ 150,995 $ 9 $ 33,497 $ 184,501 $ (1,075) $ 183,426 Interest expense (35,849) — (4,550) (40,399) 1,075 (39,324) Net interest income 115,146 9 28,947 144,102 — 144,102 Provision for (recapture of) credit losses 15,225 — (104) 15,121 — 15,121 Non-interest income 23,065 7,375 (92) 30,348 — 30,348 Non-interest expenses (85,990) (4,522) (900) (91,412) — (91,412) Intersegment revenue 424 — — 424 (424) — Intersegment expenses — (267) (157) (424) 424 — Income before income taxes 37,420 2,595 27,902 67,917 — $ 67,917 Income tax expense 18,166 13 46 18,225 — 18,225 Net income $ 19,254 $ 2,582 $ 27,856 $ 49,692 $ — $ 49,692 Total assets $ 9,132,772 $ 32,597 $ 3,144,241 $ 12,309,610 $ (1,150,375) $ 11,159,235 Eliminations include interest income and expense for a time deposit opened by the Bank in Oriental Overseas, an international banking entity organized and licensed under Puerto Rico law, which operates as a unit within the Bank. The time deposit with a balance of $301.4 million and $414.6 million at March 31, 2024 and 2023, respectively, is included in the Treasury Segment with its corresponding interest expense, to fund Oriental Overseas operations, which is included in the Banking Segment with its corresponding interest income, and are eliminated in the consolidation. Interest income is accrued on the unpaid principal balance. The decrease in interest income and interest expense from the prior year was mainly as a result of lower interest rate and average balance. Quarter Ended March 31, 2023 Banking Wealth Treasury Total Major Eliminations Consolidated (In thousands) Interest income $ 132,425 $ 5 $ 21,126 $ 153,556 $ (4,571) $ 148,985 Interest expense (12,381) — (5,278) (17,659) 4,571 (13,088) Net interest income 120,044 5 15,848 135,897 — 135,897 Provision for credit losses 9,405 — 40 9,445 — 9,445 Non-interest income 21,625 7,276 — 28,901 — 28,901 Non-interest expenses (85,365) (3,955) (900) (90,220) — (90,220) Intersegment revenue 546 — — 546 (546) — Intersegment expenses — (377) (169) (546) 546 — Income before income taxes 47,445 2,949 14,739 65,133 — 65,133 Income tax expense 18,892 — 12 18,904 — 18,904 Net income $ 28,553 $ 2,949 $ 14,727 $ 46,229 $ — $ 46,229 Total assets $ 8,484,413 $ 28,605 $ 2,591,608 $ 11,104,626 $ (1,047,045) $ 10,057,581 |
RESTRICTED CASH (Details)
RESTRICTED CASH (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Restricted Cash and Investments [Abstract] | ||
Reserve required by local government | $ 475.7 | $ 464.5 |
INVESTMENT SECURITIES (Narrativ
INVESTMENT SECURITIES (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Debt Securities, Available-for-sale [Line Items] | |||
Money market investments | $ 4,674 | $ 3,172 | $ 4,623 |
Restricted cash | 0 | 142 | |
Securitized GNMA pools retained, amortized cost | $ 17,400 | $ 16,500 | |
Securitized GNMA pool retained, yield | 5.05% | 5.19% | |
Retained FNMA pools | $ 0 | $ 4,900 | |
FNMA pools retained, yield | 5.30% | ||
Investment securities | US Treasury securities | |||
Debt Securities, Available-for-sale [Line Items] | |||
Proceeds from sale of available for sale securities | 149,400 | ||
OIB | |||
Debt Securities, Available-for-sale [Line Items] | |||
Restricted cash | 525 | 325 | |
Oriental Overseas | |||
Debt Securities, Available-for-sale [Line Items] | |||
Restricted cash | 325 | 325 | |
Asset Pledged as Collateral | |||
Debt Securities, Available-for-sale [Line Items] | |||
Pledged assets | 1,617,000 | 1,624,000 | |
Asset Pledged as Collateral | Public Funds | |||
Debt Securities, Available-for-sale [Line Items] | |||
Pledged assets | $ 1,570,000 | $ 1,575,000 |
INVESTMENT SECURITIES (Investme
INVESTMENT SECURITIES (Investment Securities by Contractual Maturity - AFS) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 1,993,754 | $ 2,177,761 |
Gross Unrealized Gains | 10,704 | 13,476 |
Gross Unrealized Losses | 106,751 | 91,973 |
Fair Value | $ 1,897,707 | $ 2,099,264 |
Weighted Average Yield | 3.98% | 4.07% |
Mortgage-backed securities | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 1,842,240 | $ 1,880,395 |
Gross Unrealized Gains | 10,704 | 13,424 |
Gross Unrealized Losses | 106,749 | 91,970 |
Fair Value | $ 1,746,195 | $ 1,801,849 |
Weighted Average Yield | 3.87% | 3.86% |
Mortgage-backed securities | FNMA and FHLMC certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 1,416,329 | $ 1,464,134 |
Gross Unrealized Gains | 5,322 | 8,989 |
Gross Unrealized Losses | 68,097 | 57,178 |
Fair Value | $ 1,353,554 | $ 1,415,945 |
Weighted Average Yield | 4.02% | 4.03% |
Mortgage-backed securities | GNMA certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 417,082 | $ 406,275 |
Gross Unrealized Gains | 5,382 | 4,435 |
Gross Unrealized Losses | 38,293 | 34,416 |
Fair Value | $ 384,171 | $ 376,294 |
Weighted Average Yield | 3.38% | 3.30% |
Mortgage-backed securities | CMOs issued by US government-sponsored agencies | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 8,829 | $ 9,986 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 359 | 376 |
Fair Value | $ 8,470 | $ 9,610 |
Weighted Average Yield | 2.09% | 2.06% |
Mortgage-backed securities | Due less than 1 year | GNMA certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 2 | $ 5 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 2 | $ 5 |
Weighted Average Yield | 1.31% | 1.31% |
Mortgage-backed securities | Due from 1 to 5 years | FNMA and FHLMC certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 7,060 | $ 6,972 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 340 | 311 |
Fair Value | $ 6,720 | $ 6,661 |
Weighted Average Yield | 1.82% | 1.76% |
Mortgage-backed securities | Due from 1 to 5 years | GNMA certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 9,253 | $ 8,851 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 390 | 351 |
Fair Value | $ 8,863 | $ 8,500 |
Weighted Average Yield | 1.72% | 1.71% |
Mortgage-backed securities | Due from 1 to 5 years | CMOs issued by US government-sponsored agencies | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 7,995 | $ 9,071 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 345 | 364 |
Fair Value | $ 7,650 | $ 8,707 |
Weighted Average Yield | 1.78% | 1.78% |
Mortgage-backed securities | Due from 5 to 10 years | FNMA and FHLMC certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 42,231 | $ 45,835 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 2,864 | 2,767 |
Fair Value | $ 39,367 | $ 43,068 |
Weighted Average Yield | 1.99% | 2% |
Mortgage-backed securities | Due from 5 to 10 years | GNMA certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 14,394 | $ 17,113 |
Gross Unrealized Gains | 9 | 16 |
Gross Unrealized Losses | 942 | 955 |
Fair Value | $ 13,461 | $ 16,174 |
Weighted Average Yield | 2.23% | 2.19% |
Mortgage-backed securities | Due from 5 to 10 years | CMOs issued by US government-sponsored agencies | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 54 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 0 | |
Fair Value | $ 54 | |
Weighted Average Yield | 2.14% | |
Mortgage-backed securities | Due after 10 years | FNMA and FHLMC certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 1,367,038 | $ 1,411,327 |
Gross Unrealized Gains | 5,322 | 8,989 |
Gross Unrealized Losses | 64,893 | 54,100 |
Fair Value | $ 1,307,467 | $ 1,366,216 |
Weighted Average Yield | 4.10% | 4.11% |
Mortgage-backed securities | Due after 10 years | GNMA certificates | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 393,433 | $ 380,306 |
Gross Unrealized Gains | 5,373 | 4,419 |
Gross Unrealized Losses | 36,961 | 33,110 |
Fair Value | $ 361,845 | $ 351,615 |
Weighted Average Yield | 3.46% | 3.38% |
Mortgage-backed securities | Due after 10 years | CMOs issued by US government-sponsored agencies | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 834 | $ 861 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 14 | 12 |
Fair Value | $ 820 | $ 849 |
Weighted Average Yield | 5.07% | 5.07% |
Investment securities | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 151,514 | $ 297,366 |
Gross Unrealized Gains | 0 | 52 |
Gross Unrealized Losses | 2 | 3 |
Fair Value | $ 151,512 | $ 297,415 |
Weighted Average Yield | 5.35% | 5.39% |
Investment securities | Other debt securities | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 599 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 2 | |
Fair Value | $ 597 | |
Weighted Average Yield | 3.20% | |
Investment securities | Due less than 1 year | US Treasury securities | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 150,915 | $ 296,747 |
Gross Unrealized Gains | 0 | 52 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 150,915 | $ 296,799 |
Weighted Average Yield | 5.36% | 5.40% |
Investment securities | Due less than 1 year | Other debt securities | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 500 | $ 500 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 500 | $ 500 |
Weighted Average Yield | 3.25% | 3.25% |
Investment securities | Due from 1 to 5 years | Other debt securities | ||
Schedule of Investments [Line Items] | ||
Amortized Cost | $ 99 | $ 119 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 2 | 3 |
Fair Value | $ 97 | $ 116 |
Weighted Average Yield | 2.97% | 2.97% |
INVESTMENT SECURITIES (Invest_2
INVESTMENT SECURITIES (Investment Securities by Contractual Maturity - HTM) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 544,491 | $ 549,024 |
Gross Unrealized Gains | 54 | 55 |
Gross Unrealized Losses | 60,888 | 58,315 |
Fair Value | $ 483,657 | $ 490,764 |
Weighted Average Yield | 2.61% | 2.60% |
Due less than 1 year | Investment securities | US Treasury securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 199,727 | $ 199,314 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 647 | 1,548 |
Fair Value | $ 199,080 | $ 197,766 |
Weighted Average Yield | 3.32% | 3.33% |
Due from 1 to 5 years | Investment securities | Other debt securities available for sale | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 35,000 | $ 35,000 |
Gross Unrealized Gains | 54 | 55 |
Gross Unrealized Losses | 0 | |
Fair Value | $ 35,054 | $ 35,055 |
Weighted Average Yield | 6.33% | 6.36% |
Due after 10 years | Mortgage-backed securities | FNMA and FHLMC certificates | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 309,764 | $ 314,710 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 60,241 | 56,767 |
Fair Value | $ 249,523 | $ 257,943 |
Weighted Average Yield | 1.73% | 1.72% |
INVESTMENT SECURITIES (Sale of
INVESTMENT SECURITIES (Sale of securities available-for-sale) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule of Investments [Line Items] | ||
Investment securities available-for-sale | $ 149,406 | $ 0 |
US Treasury securities | ||
Schedule of Investments [Line Items] | ||
Investment securities available-for-sale | 149,406 | |
Book Value at Sale | 149,413 | $ 0 |
Gross Gains | 0 | |
Gross Losses | $ 7 |
INVESTMENT SECURITIES (Unrealiz
INVESTMENT SECURITIES (Unrealized Gains and Losses by Category) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Securities Available-for-Sale, Amortized Cost | ||
12 months or more | $ 1,035,112 | $ 1,017,108 |
Less than 12 months | 226,203 | 114,099 |
Amortized Cost | 1,261,315 | 1,131,207 |
Securities Available-for-Sale, Unrealized Loss | ||
12 months or more | 103,877 | 91,590 |
Less than 12 months | 2,874 | 383 |
Total | 106,751 | 91,973 |
Securities Available-for-Sale, Fair Value | ||
12 months or more | 931,235 | 925,518 |
Less than 12 months | 223,329 | 113,716 |
Total | 1,154,564 | 1,039,234 |
FNMA and FHLMC certificates | ||
Securities Available-for-Sale, Amortized Cost | ||
12 months or more | 754,641 | 731,334 |
Less than 12 months | 210,076 | 106,235 |
Amortized Cost | 964,717 | 837,569 |
Securities Available-for-Sale, Unrealized Loss | ||
12 months or more | 65,319 | 56,847 |
Less than 12 months | 2,778 | 331 |
Total | 68,097 | 57,178 |
Securities Available-for-Sale, Fair Value | ||
12 months or more | 689,322 | 674,487 |
Less than 12 months | 207,298 | 105,904 |
Total | 896,620 | 780,391 |
GNMA certificates | ||
Securities Available-for-Sale, Amortized Cost | ||
12 months or more | 271,543 | 275,669 |
Less than 12 months | 16,127 | 7,864 |
Amortized Cost | 287,670 | 283,533 |
Securities Available-for-Sale, Unrealized Loss | ||
12 months or more | 38,197 | 34,364 |
Less than 12 months | 96 | 52 |
Total | 38,293 | 34,416 |
Securities Available-for-Sale, Fair Value | ||
12 months or more | 233,346 | 241,305 |
Less than 12 months | 16,031 | 7,812 |
Total | 249,377 | 249,117 |
CMOs issued by US Government-sponsored agencies | ||
Securities Available-for-Sale, Amortized Cost | ||
12 months or more | 8,829 | 9,986 |
Amortized Cost | 8,829 | 9,986 |
Securities Available-for-Sale, Unrealized Loss | ||
12 months or more | 359 | 376 |
Total | 359 | 376 |
Securities Available-for-Sale, Fair Value | ||
12 months or more | 8,470 | 9,610 |
Total | 8,470 | 9,610 |
Other debt securities | ||
Securities Available-for-Sale, Amortized Cost | ||
12 months or more | 99 | 119 |
Amortized Cost | 99 | 119 |
Securities Available-for-Sale, Unrealized Loss | ||
12 months or more | 2 | 3 |
Total | 2 | 3 |
Securities Available-for-Sale, Fair Value | ||
12 months or more | 97 | 116 |
Total | $ 97 | $ 116 |
LOANS (Narrative) (Details)
LOANS (Narrative) (Details) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 USD ($) portfolioSegment | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Number of loan portfolio segments | portfolioSegment | 4 | ||
Total Loans | $ 7,539,667,000 | $ 7,534,379,000 | |
Accrued interest receivable on modified loans | 0 | 32,000 | |
Recorded investment of residential mortgage loans collateralized and in process of foreclosure | 18,200,000 | 24,100,000 | |
Balance of revolving loans converted to term loans, amount | 162,700,000 | 144,100,000 | |
Accrued interest receivable | 72,117,000 | 71,400,000 | |
Total loans held-for-sale | 28,274,000 | 28,345,000 | |
Loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Accrued interest receivable | 62,584,000 | 63,526,000 | |
Non-PCD | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Charge-offs | (27,579,000) | $ (16,495,000) | |
Total Loans | 6,496,624,000 | 6,463,127,000 | |
Total loans held-for-sale | 28,274,000 | 28,345,000 | |
Non-PCD | Total Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 214,645,000 | 243,037,000 | |
Mortgage Loans - GNMA Buy-Back Option Program | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Delinquent loans | 18,500,000 | 19,400,000 | |
Mortgage loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Charge-offs | (64,000) | (759,000) | |
Total Loans | 1,519,045,000 | 1,562,609,000 | |
Total loans held-for-sale | $ 9,370,000 | 0 | |
Mortgage loans | Government Guaranteed Loan | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Period past due | 90 days | ||
Nonaccrual status | 12 months | ||
Total | $ 54,000 | 2,400,000 | |
Mortgage loans | Non-PCD | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Charge-offs | (64,000) | (201,000) | |
Total Loans | 609,939,000 | 629,247,000 | |
Total loans held-for-sale | 9,370,000 | 0 | |
Mortgage loans | Non-PCD | Total Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 44,494,000 | 47,260,000 | |
Commercial loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable, excluding accrued interest, sale | 16,700,000 | ||
Recognized gain on sale | 26,000 | ||
Charge-offs | (5,316,000) | (14,191,000) | |
Total Loans | 3,051,448,000 | 3,076,903,000 | |
Commitment to lend additional funds | 0 | 0 | |
Total loans held-for-sale | 18,904,000 | 28,345,000 | |
Commercial loans | Non-accruing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans held-for-sale | 6,500,000 | 6,400,000 | |
Commercial loans | Total Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans held-for-sale | 6,500,000 | 6,400,000 | |
Commercial loans | Non-PCD | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Charge-offs | (5,316,000) | $ (1,375,000) | |
Total Loans | 2,919,413,000 | 2,941,456,000 | |
Total loans held-for-sale | 18,904,000 | 28,345,000 | |
Commercial loans | Non-PCD | Total Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 14,171,000 | 14,298,000 | |
Commercial loans | Puerto Rico | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 2,310,783,000 | 2,321,675,000 | |
Commercial loans | Puerto Rico | Non-PCD | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 2,178,748,000 | 2,186,228,000 | |
Commercial loans | Puerto Rico | Non-PCD | Total Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 13,101,000 | 14,298,000 | |
Commercial loans | Puerto Rico | Government | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | 75,500,000 | 68,600,000 | |
Mortgage and consumer loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Charge-offs | (8,045,000) | (24,414,000) | |
Balance of revolving loans converted to term loans, amount | 54,400 | 0 | |
Mortgage and consumer loans | Non-PCD | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Loans | $ 1,237,375,000 | $ 1,249,141,000 |
LOANS (Composition of Loan Port
LOANS (Composition of Loan Portfolio) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | $ 7,539,667 | $ 7,534,379 | ||
Allowance for credit losses | (156,563) | (161,106) | $ (151,884) | |
Total loans held for investment, net | 7,383,104 | 7,373,273 | ||
Total loans held-for-sale | 28,274 | 28,345 | ||
Total loans | 7,411,378 | 7,401,618 | ||
Commercial loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 3,051,448 | 3,076,903 | ||
Allowance for credit losses | (38,504) | (39,467) | ||
Total loans held-for-sale | 18,904 | 28,345 | ||
Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 2,310,783 | 2,321,675 | ||
Commercial loans | UNITED STATES | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 740,665 | 755,228 | ||
Mortgage loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,519,045 | 1,562,609 | ||
Allowance for credit losses | (14,265) | (17,800) | ||
Total loans held-for-sale | 9,370 | 0 | ||
Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 627,980 | 620,446 | ||
Allowance for credit losses | (27,460) | (24,676) | ||
Auto loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 2,341,194 | 2,274,421 | ||
Allowance for credit losses | (76,334) | (69,941) | ||
Non-PCD | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 6,496,624 | 6,463,127 | ||
Allowance for credit losses | (148,767) | (152,610) | (141,385) | $ (141,841) |
Total loans held for investment, net | 6,347,857 | 6,310,517 | ||
Total loans held-for-sale | 28,274 | 28,345 | ||
Total loans | 6,376,131 | 6,338,862 | ||
Non-PCD | Commercial loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 2,919,413 | 2,941,456 | ||
Allowance for credit losses | (37,371) | (44,041) | (37,774) | (39,158) |
Total loans held-for-sale | 18,904 | 28,345 | ||
Non-PCD | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 2,178,748 | 2,186,228 | ||
Non-PCD | Commercial loans | UNITED STATES | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 740,665 | 755,228 | ||
Non-PCD | Mortgage loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 609,939 | 629,247 | ||
Allowance for credit losses | (7,627) | (7,998) | (9,083) | (9,571) |
Total loans held-for-sale | 9,370 | 0 | ||
Non-PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 627,436 | 619,894 | ||
Allowance for credit losses | (27,453) | (27,086) | (24,664) | (23,264) |
Non-PCD | Auto loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 2,339,836 | 2,272,530 | ||
Allowance for credit losses | (76,316) | (73,485) | (69,864) | (69,848) |
PCD | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,043,043 | 1,071,252 | ||
Allowance for credit losses | (7,796) | (8,496) | (10,499) | (10,832) |
Total loans held for investment, net | 1,035,247 | 1,062,756 | ||
Total loans held-for-sale | 0 | 0 | ||
Total loans | 1,035,247 | 1,062,756 | ||
PCD | Commercial loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 132,035 | 135,447 | ||
Allowance for credit losses | (1,133) | (1,113) | (1,693) | (1,388) |
Total loans held-for-sale | 0 | 0 | ||
PCD | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 132,035 | 135,447 | ||
PCD | Commercial loans | UNITED STATES | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 0 | 0 | ||
PCD | Mortgage loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 909,106 | 933,362 | ||
Allowance for credit losses | (6,638) | (7,351) | (8,717) | (9,359) |
Total loans held-for-sale | 0 | 0 | ||
PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 544 | 552 | ||
Allowance for credit losses | (7) | (7) | (12) | (14) |
PCD | Auto loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,358 | 1,891 | ||
Allowance for credit losses | (18) | (25) | $ (77) | $ (71) |
Commercial secured by real estate | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,290,199 | 1,216,195 | ||
Commercial secured by real estate | Non-PCD | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,172,215 | 1,095,207 | ||
Commercial secured by real estate | PCD | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 117,984 | 120,988 | ||
Other commercial and industrial | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,020,584 | 1,105,480 | ||
Other commercial and industrial | Non-PCD | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 1,006,533 | 1,091,021 | ||
Other commercial and industrial | PCD | Commercial loans | Puerto Rico | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 14,051 | 14,459 | ||
Commercial US | Non-PCD | Commercial loans | UNITED STATES | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 740,665 | 755,228 | ||
Personal loans | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 577,564 | 568,622 | ||
Personal loans | Non-PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 577,304 | 568,358 | ||
Personal loans | PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 260 | 264 | ||
Credit lines | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 11,031 | 11,214 | ||
Credit lines | Non-PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 10,747 | 10,926 | ||
Credit lines | PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 284 | 288 | ||
Credit cards | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 39,016 | 40,314 | ||
Credit cards | Non-PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 39,016 | 40,314 | ||
Credit cards | PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 0 | 0 | ||
Overdraft | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 369 | 296 | ||
Overdraft | Non-PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | 369 | 296 | ||
Overdraft | PCD | Consumer loans: | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total Loans | $ 0 | $ 0 |
LOANS (Aging of Recorded Invest
LOANS (Aging of Recorded Investment in Gross Loans) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Financing Receivable, Past Due [Line Items] | ||
Total Loans | $ 7,539,667 | $ 7,534,379 |
Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 6,496,624 | 6,463,127 |
Loans 90+ Days Past Due and Still Accruing | 2,934 | 2,478 |
30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 109,605 | 117,664 |
60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 47,208 | 60,739 |
90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 57,832 | 64,634 |
Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 214,645 | 243,037 |
Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 6,281,979 | 6,220,090 |
Commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 3,051,448 | 3,076,903 |
Commercial loans | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,310,783 | 2,321,675 |
Commercial loans | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 740,665 | 755,228 |
Commercial loans | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,919,413 | 2,941,456 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Commercial loans | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,178,748 | 2,186,228 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Commercial loans | Non-PCD | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 740,665 | 755,228 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 5,565 | 2,951 |
Commercial loans | 30-59 Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 4,495 | 2,951 |
Commercial loans | 30-59 Days Past Due | Non-PCD | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,070 | 0 |
Commercial loans | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 563 | 702 |
Commercial loans | 60-89 Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 563 | 702 |
Commercial loans | 60-89 Days Past Due | Non-PCD | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 0 | 0 |
Commercial loans | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 8,043 | 10,645 |
Commercial loans | 90+ Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 8,043 | 10,645 |
Commercial loans | 90+ Days Past Due | Non-PCD | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 0 | 0 |
Commercial loans | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 14,171 | 14,298 |
Commercial loans | Total Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 13,101 | 14,298 |
Commercial loans | Total Past Due | Non-PCD | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,070 | 0 |
Commercial loans | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,905,242 | 2,927,158 |
Commercial loans | Current | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,165,647 | 2,171,930 |
Commercial loans | Current | Non-PCD | UNITED STATES | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 739,595 | 755,228 |
Mortgage loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,519,045 | 1,562,609 |
Mortgage loans | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 609,939 | 629,247 |
Loans 90+ Days Past Due and Still Accruing | 2,934 | 2,478 |
Mortgage loans | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 5,248 | 6,107 |
Mortgage loans | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 7,832 | 9,596 |
Mortgage loans | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 31,414 | 31,557 |
Mortgage loans | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 44,494 | 47,260 |
Mortgage loans | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 565,445 | 581,987 |
Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 627,980 | 620,446 |
Consumer | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 627,436 | 619,894 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Consumer | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 7,106 | 6,996 |
Consumer | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 3,795 | 4,370 |
Consumer | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 3,859 | 3,376 |
Consumer | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 14,760 | 14,742 |
Consumer | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 612,676 | 605,152 |
Auto loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,341,194 | 2,274,421 |
Auto loans | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,339,836 | 2,272,530 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Auto loans | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 91,686 | 101,610 |
Auto loans | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 35,018 | 46,071 |
Auto loans | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 14,516 | 19,056 |
Auto loans | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 141,220 | 166,737 |
Auto loans | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,198,616 | 2,105,793 |
Commercial secured by real estate: | Commercial loans | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,290,199 | 1,216,195 |
Commercial secured by real estate: | Commercial loans | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,172,215 | 1,095,207 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Commercial secured by real estate: | Commercial loans | 30-59 Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,146 | 1,585 |
Commercial secured by real estate: | Commercial loans | 60-89 Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 298 | 411 |
Commercial secured by real estate: | Commercial loans | 90+ Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 5,534 | 5,671 |
Commercial secured by real estate: | Commercial loans | Total Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 7,978 | 7,667 |
Commercial secured by real estate: | Commercial loans | Current | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,164,237 | 1,087,540 |
Other commercial and industrial | Commercial loans | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,006,533 | 1,091,021 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Other commercial and industrial | Commercial loans | 30-59 Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,349 | 1,366 |
Other commercial and industrial | Commercial loans | 60-89 Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 265 | 291 |
Other commercial and industrial | Commercial loans | 90+ Days Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 2,509 | 4,974 |
Other commercial and industrial | Commercial loans | Total Past Due | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 5,123 | 6,631 |
Other commercial and industrial | Commercial loans | Current | Non-PCD | Puerto Rico | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,001,410 | 1,084,390 |
Personal loans | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 577,564 | 568,622 |
Personal loans | Consumer | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 577,304 | 568,358 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Personal loans | Consumer | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 6,423 | 6,115 |
Personal loans | Consumer | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 3,359 | 4,041 |
Personal loans | Consumer | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 3,312 | 2,755 |
Personal loans | Consumer | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 13,094 | 12,911 |
Personal loans | Consumer | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 564,210 | 555,447 |
Credit lines | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 11,031 | 11,214 |
Credit lines | Consumer | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 10,747 | 10,926 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Credit lines | Consumer | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 52 | 137 |
Credit lines | Consumer | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 29 | 35 |
Credit lines | Consumer | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 20 | 35 |
Credit lines | Consumer | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 101 | 207 |
Credit lines | Consumer | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 10,646 | 10,719 |
Credit cards | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 39,016 | 40,314 |
Credit cards | Consumer | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 39,016 | 40,314 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Credit cards | Consumer | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 562 | 657 |
Credit cards | Consumer | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 407 | 280 |
Credit cards | Consumer | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 527 | 586 |
Credit cards | Consumer | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 1,496 | 1,523 |
Credit cards | Consumer | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 37,520 | 38,791 |
Overdraft | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 369 | 296 |
Overdraft | Consumer | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 369 | 296 |
Loans 90+ Days Past Due and Still Accruing | 0 | 0 |
Overdraft | Consumer | 30-59 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 69 | 87 |
Overdraft | Consumer | 60-89 Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 0 | 14 |
Overdraft | Consumer | 90+ Days Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 0 | 0 |
Overdraft | Consumer | Total Past Due | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | 69 | 101 |
Overdraft | Consumer | Current | Non-PCD | ||
Financing Receivable, Past Due [Line Items] | ||
Total Loans | $ 300 | $ 195 |
LOANS (Investment in Loans on N
LOANS (Investment in Loans on Non-Accrual Status) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | $ 56,426 | $ 63,399 |
Non-accrual with no Allowance for Credit Loss | 15,693 | 16,000 |
Total | 72,119 | 79,399 |
Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 53,344 | 60,089 |
Non-accrual with no Allowance for Credit Loss | 12,559 | 12,636 |
Total | 65,903 | 72,725 |
PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 3,082 | 3,310 |
Non-accrual with no Allowance for Credit Loss | 3,134 | 3,364 |
Total | 6,216 | 6,674 |
Commercial loans | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 25,338 | 27,337 |
Non-accrual with no Allowance for Credit Loss | 8,456 | 8,759 |
Total | 33,794 | 36,096 |
Commercial loans | Non-PCD | Puerto Rico | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 6,759 | 8,113 |
Non-accrual with no Allowance for Credit Loss | 8,456 | 8,759 |
Total | 15,215 | 16,872 |
Commercial loans | Non-PCD | UNITED STATES | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 18,579 | 19,224 |
Non-accrual with no Allowance for Credit Loss | 0 | 0 |
Total | 18,579 | 19,224 |
Commercial loans | PCD | Puerto Rico | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 2,835 | 3,060 |
Non-accrual with no Allowance for Credit Loss | 3,134 | 3,364 |
Total | 5,969 | 6,424 |
Mortgage loans | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 9,746 | 10,339 |
Non-accrual with no Allowance for Credit Loss | 3,954 | 3,858 |
Total | 13,700 | 14,197 |
Mortgage loans | PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 247 | 250 |
Non-accrual with no Allowance for Credit Loss | 0 | 0 |
Total | 247 | 250 |
Consumer | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 3,750 | 3,362 |
Non-accrual with no Allowance for Credit Loss | 143 | 14 |
Total | 3,893 | 3,376 |
Auto loans | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 14,510 | 19,051 |
Non-accrual with no Allowance for Credit Loss | 6 | 5 |
Total | 14,516 | 19,056 |
Commercial secured by real estate: | Commercial loans | Non-PCD | Puerto Rico | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 3,818 | 3,553 |
Non-accrual with no Allowance for Credit Loss | 7,747 | 7,929 |
Total | 11,565 | 11,482 |
Commercial secured by real estate: | Commercial loans | PCD | Puerto Rico | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 2,835 | 3,060 |
Non-accrual with no Allowance for Credit Loss | 2,306 | 2,417 |
Total | 5,141 | 5,477 |
Other commercial and industrial | Commercial loans | Non-PCD | Puerto Rico | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 2,941 | 4,560 |
Non-accrual with no Allowance for Credit Loss | 709 | 830 |
Total | 3,650 | 5,390 |
Other commercial and industrial | Commercial loans | PCD | Puerto Rico | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 0 | 0 |
Non-accrual with no Allowance for Credit Loss | 828 | 947 |
Total | 828 | 947 |
Personal loans | Consumer | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 3,203 | 2,741 |
Non-accrual with no Allowance for Credit Loss | 143 | 14 |
Total | 3,346 | 2,755 |
Credit lines | Consumer | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 21 | 35 |
Non-accrual with no Allowance for Credit Loss | 0 | 0 |
Total | 21 | 35 |
Credit cards | Consumer | Non-PCD | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Non-accrual with Allowance for Credit Loss | 526 | 586 |
Non-accrual with no Allowance for Credit Loss | 0 | 0 |
Total | $ 526 | $ 586 |
LOANS (Troubled-Amortized Cost
LOANS (Troubled-Amortized Cost Basis Debt Restructuring Loan Portfolio) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Interest Rate Reduction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 27 | $ 0 |
Term Extension | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | 102 | 3,099 |
Principal Forbearance/Forgiveness | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | 0 | 129 |
Combination of Term Extension and Interest Rate Reduction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | 0 | 215 |
Combination of Term Extension and Principal Forgiveness/Forbearance | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | 0 | 0 |
Commercial loans | Interest Rate Reduction | Puerto Rico | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | |
% of Total Class of Financing Receivable | 0% | |
Commercial loans | Term Extension | Puerto Rico | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 495 | |
% of Total Class of Financing Receivable | 0.04% | |
Commercial loans | Principal Forbearance/Forgiveness | Puerto Rico | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | |
% of Total Class of Financing Receivable | 0% | |
Commercial loans | Combination of Term Extension and Interest Rate Reduction | Puerto Rico | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | |
% of Total Class of Financing Receivable | 0% | |
Commercial loans | Combination of Term Extension and Principal Forgiveness/Forbearance | Puerto Rico | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | |
% of Total Class of Financing Receivable | 0% | |
Mortgage loans | Interest Rate Reduction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 0 |
% of Total Class of Financing Receivable | 0% | 0% |
Mortgage loans | Term Extension | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 95 | $ 2,604 |
% of Total Class of Financing Receivable | 0.01% | 0.16% |
Mortgage loans | Principal Forbearance/Forgiveness | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 129 |
% of Total Class of Financing Receivable | 0% | 0.01% |
Mortgage loans | Combination of Term Extension and Interest Rate Reduction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 187 |
% of Total Class of Financing Receivable | 0% | 0.01% |
Mortgage loans | Combination of Term Extension and Principal Forgiveness/Forbearance | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 0 |
% of Total Class of Financing Receivable | 0% | 0% |
Consumer | Personal loans | Interest Rate Reduction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 27 | $ 0 |
% of Total Class of Financing Receivable | 0% | 0% |
Consumer | Personal loans | Term Extension | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 7 | $ 0 |
% of Total Class of Financing Receivable | 0% | 0% |
Consumer | Personal loans | Principal Forbearance/Forgiveness | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 0 |
% of Total Class of Financing Receivable | 0% | 0% |
Consumer | Personal loans | Combination of Term Extension and Interest Rate Reduction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 28 |
% of Total Class of Financing Receivable | 0% | 0.01% |
Consumer | Personal loans | Combination of Term Extension and Principal Forgiveness/Forbearance | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Amortized Cost Basis | $ 0 | $ 0 |
% of Total Class of Financing Receivable | 0% | 0% |
LOANS (Effect of Combined Modif
LOANS (Effect of Combined Modifications) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Commercial loans | Commercial secured by real estate: | Puerto Rico | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Weighted-Average Interest Rate Reduction | 0% | |
Weighted-Average Term Extension (In months) | 12 months | |
Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) | $ 0 | |
Mortgage loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Weighted-Average Interest Rate Reduction | 0% | 2.08% |
Weighted-Average Term Extension (In months) | 180 months | 212 months |
Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) | $ 0 | $ 39 |
Consumer | Personal loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Weighted-Average Interest Rate Reduction | 5% | 5% |
Weighted-Average Term Extension (In months) | 18 months | 24 months |
Weighted-Average Forgiveness/Forbearance of Principal Amount (In thousands) | $ 0 | $ 0 |
LOANS (Loans Held For Investmen
LOANS (Loans Held For Investment That Subsequently Defaulted) (Details) - Mortgage loans $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Recorded Investment | $ 362 |
Interest Rate Reduction | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Recorded Investment | 0 |
Term Extension | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Recorded Investment | 277 |
Principal Forbearance/Forgiveness | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Recorded Investment | 0 |
Combination of Term Extension and Interest Rate Reduction | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Recorded Investment | $ 85 |
LOANS (Aging of Loans Held For
LOANS (Aging of Loans Held For Investment) (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | $ 21,617 |
30-59 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 141 |
60-89 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 115 |
90+ Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 277 |
Total Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 533 |
Current | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 21,084 |
Commercial loans | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 17,015 |
Commercial loans | 30-59 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | 60-89 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | 90+ Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Total Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Current | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 17,015 |
Commercial loans | Commercial PR | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 6,444 |
Commercial loans | Commercial PR | 30-59 Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial PR | 60-89 Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial PR | 90+ Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial PR | Total Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial PR | Current | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 6,444 |
Commercial loans | Commercial secured by real estate: | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 5,806 |
Commercial loans | Commercial secured by real estate: | 30-59 Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial secured by real estate: | 60-89 Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial secured by real estate: | 90+ Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial secured by real estate: | Total Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial secured by real estate: | Current | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 5,806 |
Commercial loans | Other commercial and industrial | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 638 |
Commercial loans | Other commercial and industrial | 30-59 Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Other commercial and industrial | 60-89 Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Other commercial and industrial | 90+ Days Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Other commercial and industrial | Total Past Due | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Other commercial and industrial | Current | Puerto Rico | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 638 |
Commercial loans | Commercial US | UNITED STATES | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 10,571 |
Commercial loans | Commercial US | 30-59 Days Past Due | UNITED STATES | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial US | 60-89 Days Past Due | UNITED STATES | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial US | 90+ Days Past Due | UNITED STATES | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial US | Total Past Due | UNITED STATES | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Commercial loans | Commercial US | Current | UNITED STATES | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 10,571 |
Mortgage loans | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 4,365 |
Mortgage loans | 30-59 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 141 |
Mortgage loans | 60-89 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 115 |
Mortgage loans | 90+ Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 277 |
Mortgage loans | Total Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 533 |
Mortgage loans | Current | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 3,832 |
Consumer | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 127 |
Consumer | 30-59 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | 60-89 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | 90+ Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | Total Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | Current | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 127 |
Consumer | Personal loans | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 127 |
Consumer | Personal loans | 30-59 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | Personal loans | 60-89 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | Personal loans | 90+ Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | Personal loans | Total Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Consumer | Personal loans | Current | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 127 |
Auto loans | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 110 |
Auto loans | 30-59 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Auto loans | 60-89 Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Auto loans | 90+ Days Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Auto loans | Total Past Due | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | 0 |
Auto loans | Current | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |
Total Loans | $ 110 |
LOANS (Aging of the Amortized C
LOANS (Aging of the Amortized Cost of Collateral-Dependent Loans Held For Investment) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Commercial loans | Commercial secured by real estate: | Real Estate | Puerto Rico | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized cost of collateral-dependent loans held for investment | $ 7,862 | $ 8,027 |
LOANS (Credit Quality Indicator
LOANS (Credit Quality Indicators of Loans) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | $ 7,539,667 | $ 7,534,379 | |
Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 6,496,624 | 6,463,127 | |
Total | 27,579 | $ 16,495 | |
Commercial PR: | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 3,051,448 | 3,076,903 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 99 | 33 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 1,280 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 156 | 2,002 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 5,052 | 136 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 103 | |
Prior, charge-offs | 9 | 10,637 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 0 | 0 | |
Total | 5,316 | 14,191 | |
Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 137,348 | 662,278 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 656,831 | 393,072 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 369,742 | 387,643 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 384,799 | 195,785 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 177,446 | 135,588 | |
Prior | 303,900 | 184,376 | |
Revolving Loans Amortized Cost Basis | 889,347 | 982,714 | |
Total Loans | 2,919,413 | 2,941,456 | |
Total | 5,316 | 1,375 | |
Mortgage loans | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 1,519,045 | 1,562,609 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 4 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Prior, charge-offs | 64 | 755 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 0 | 0 | |
Total | 64 | 759 | |
Mortgage loans | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 3,961 | 24,623 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 17,075 | 19,722 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 19,576 | 23,484 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 23,552 | 15,929 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 15,872 | 15,068 | |
Prior | 529,903 | 530,421 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 609,939 | 629,247 | |
Total | 64 | 201 | |
Mortgage loans | Performing | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 3,961 | 24,623 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 17,075 | 19,722 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 19,576 | 23,303 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 23,376 | 15,821 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 15,766 | 14,589 | |
Prior | 511,141 | 511,182 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 590,895 | 609,240 | |
Mortgage loans | Nonperforming | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 181 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 176 | 108 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 106 | 479 | |
Prior | 18,762 | 19,239 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 19,044 | 20,007 | |
Consumer | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 627,980 | 620,446 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 1,748 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 1,635 | 10,512 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 3,576 | 4,661 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 1,018 | 830 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 298 | 1,384 | |
Prior, charge-offs | 381 | 731 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 1,073 | 3,789 | |
Total | 7,981 | 23,655 | |
Consumer | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 66,419 | 271,383 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 249,064 | 188,200 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 167,953 | 68,437 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 60,256 | 19,378 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 17,060 | 14,526 | |
Prior | 16,552 | 6,431 | |
Revolving Loans Amortized Cost Basis | 50,132 | 51,536 | |
Total Loans | 627,436 | 619,894 | |
Total | 7,981 | 5,440 | |
Mortgage and consumer loans | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 1,748 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 1,635 | 10,516 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 3,576 | 4,661 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 1,018 | 830 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 298 | 1,384 | |
Prior, charge-offs | 445 | 1,486 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 1,073 | 3,789 | |
Total | 8,045 | 24,414 | |
Mortgage and consumer loans | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 70,380 | 296,009 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 266,139 | 207,922 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 187,529 | 91,921 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 83,808 | 35,307 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 32,932 | 29,594 | |
Prior | 546,455 | 536,852 | |
Revolving Loans Amortized Cost Basis | 50,132 | 51,536 | |
Total Loans | 1,237,375 | 1,249,141 | |
Auto loans | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 2,341,194 | 2,274,421 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 9 | 4,090 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 4,342 | 18,142 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 5,108 | 10,894 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 2,272 | 4,008 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 1,009 | 3,380 | |
Prior, charge-offs | 1,478 | 3,250 | |
Total | 14,218 | 43,764 | |
Auto loans | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 184,081 | 820,277 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 831,627 | 631,054 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 593,191 | 364,865 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 338,135 | 189,059 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 171,771 | 152,192 | |
Prior | 221,031 | 115,083 | |
Total Loans | 2,339,836 | 2,272,530 | |
Total | 14,218 | $ 9,479 | |
Auto loans | 1-660 | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 27,029 | 170,639 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 199,471 | 190,743 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 189,377 | 118,821 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 113,598 | 57,087 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 53,460 | 41,124 | |
Prior | 68,305 | 38,570 | |
Total Loans | 651,240 | 616,984 | |
Auto loans | 661-699 | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 36,542 | 169,430 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 165,438 | 110,260 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 98,929 | 58,166 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 51,872 | 25,886 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 23,089 | 18,253 | |
Prior | 27,931 | 16,137 | |
Total Loans | 403,801 | 398,132 | |
Auto loans | 700+ | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 119,541 | 474,005 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 460,225 | 323,514 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 298,660 | 183,286 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 168,374 | 103,886 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 93,230 | 88,929 | |
Prior | 120,373 | 58,779 | |
Total Loans | 1,260,403 | 1,232,399 | |
Auto loans | No FICO | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 969 | 6,203 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 6,493 | 6,537 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 6,225 | 4,592 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 4,291 | 2,200 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 1,992 | 3,886 | |
Prior | 4,422 | 1,597 | |
Total Loans | 24,392 | 25,015 | |
Personal loans | Consumer | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 1,748 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 1,635 | 10,512 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 3,576 | 4,661 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 1,018 | 830 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 298 | 1,384 | |
Prior, charge-offs | 381 | 731 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 0 | 0 | |
Total | 6,908 | 19,866 | |
Personal loans | Consumer | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 66,419 | 271,386 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 249,064 | 188,200 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 167,953 | 68,437 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 60,256 | 19,378 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 17,060 | 14,526 | |
Prior | 16,552 | 6,431 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 577,304 | 568,358 | |
Personal loans | Consumer | Performing | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 66,385 | 270,883 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 247,875 | 186,612 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 166,549 | 68,133 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 59,793 | 19,185 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 16,903 | 14,460 | |
Prior | 16,453 | 6,330 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 573,958 | 565,603 | |
Personal loans | Consumer | Nonperforming | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 34 | 503 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 1,189 | 1,588 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 1,404 | 304 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 463 | 193 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 157 | 66 | |
Prior | 99 | 101 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 3,346 | 2,755 | |
Credit lines | Consumer | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 11,031 | 11,214 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Prior, charge-offs | 0 | 0 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 64 | 419 | |
Total | 64 | 419 | |
Credit lines | Consumer | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 10,747 | 10,926 | |
Total Loans | 10,747 | 10,926 | |
Credit lines | Consumer | Performing | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 10,726 | 10,891 | |
Total Loans | 10,726 | 10,891 | |
Credit lines | Consumer | Nonperforming | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 21 | 35 | |
Total Loans | 21 | 35 | |
Credit cards | Consumer | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 39,016 | 40,314 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Prior, charge-offs | 0 | 0 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 633 | 2,825 | |
Total | 633 | 2,825 | |
Credit cards | Consumer | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 39,016 | 40,314 | |
Total Loans | 39,016 | 40,314 | |
Credit cards | Consumer | Performing | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 38,490 | 39,728 | |
Total Loans | 38,490 | 39,728 | |
Credit cards | Consumer | Nonperforming | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 526 | 586 | |
Total Loans | 526 | 586 | |
Overdraft | Consumer | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 369 | 296 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Prior, charge-offs | 0 | 0 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 376 | 545 | |
Total | 376 | 545 | |
Overdraft | Consumer | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 369 | 296 | |
Total Loans | 369 | 296 | |
Overdraft | Consumer | Performing | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 369 | 296 | |
Total Loans | 369 | 296 | |
Overdraft | Consumer | Nonperforming | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 0 | 0 | |
Puerto Rico | Commercial PR: | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 2,310,783 | 2,321,675 | |
Puerto Rico | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 2,178,748 | 2,186,228 | |
Puerto Rico | Commercial secured by real estate: | Commercial PR: | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 1,290,199 | 1,216,195 | |
Puerto Rico | Commercial secured by real estate: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 93,845 | 224,598 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 223,742 | 218,436 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 216,068 | 203,824 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 199,178 | 126,655 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 116,703 | 98,962 | |
Prior | 246,864 | 155,470 | |
Revolving Loans Amortized Cost Basis | 75,815 | 67,262 | |
Total Loans | 1,172,215 | 1,095,207 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 0 | 265 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 94 | |
Prior, charge-offs | 7 | 820 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 0 | 0 | |
Total | 7 | 1,179 | |
Puerto Rico | Other commercial and industrial | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 33,643 | 284,626 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 280,911 | 102,948 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 82,683 | 114,586 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 108,208 | 37,924 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 30,261 | 8,424 | |
Prior | 21,420 | 15,122 | |
Revolving Loans Amortized Cost Basis | 449,407 | 527,391 | |
Total Loans | 1,006,533 | 1,091,021 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 99 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 124 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 156 | 1,095 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 3,303 | 89 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 9 | |
Prior, charge-offs | 0 | 1,180 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 0 | 0 | |
Total | 3,558 | 2,497 | |
Puerto Rico | Pass | Commercial secured by real estate: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 93,845 | 224,598 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 223,742 | 216,205 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 206,955 | 195,884 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 191,368 | 120,489 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 110,669 | 80,671 | |
Prior | 203,868 | 131,016 | |
Revolving Loans Amortized Cost Basis | 74,976 | 65,873 | |
Total Loans | 1,105,423 | 1,034,736 | |
Puerto Rico | Pass | Other commercial and industrial | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 33,643 | 284,615 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 280,879 | 99,522 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 79,473 | 113,760 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 107,103 | 37,665 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 30,025 | 7,438 | |
Prior | 20,175 | 14,836 | |
Revolving Loans Amortized Cost Basis | 447,902 | 527,008 | |
Total Loans | 999,200 | 1,084,844 | |
Puerto Rico | Special Mention | Commercial secured by real estate: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 1,772 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 8,656 | 6,554 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 6,464 | 5,057 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 4,820 | 15,676 | |
Prior | 28,267 | 12,500 | |
Revolving Loans Amortized Cost Basis | 133 | 153 | |
Total Loans | 48,340 | 41,712 | |
Puerto Rico | Special Mention | Other commercial and industrial | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 8 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 2,953 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 2,822 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 10 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 51 | |
Prior | 73 | 100 | |
Revolving Loans Amortized Cost Basis | 1,060 | 0 | |
Total Loans | 3,965 | 3,112 | |
Puerto Rico | Substandard | Commercial secured by real estate: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 459 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 457 | 1,386 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 1,346 | 1,109 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 1,214 | 2,615 | |
Prior | 14,714 | 11,939 | |
Revolving Loans Amortized Cost Basis | 706 | 1,236 | |
Total Loans | 18,437 | 18,744 | |
Puerto Rico | Substandard | Other commercial and industrial | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 3 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 32 | 473 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 388 | 826 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 1,095 | 259 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 236 | 935 | |
Prior | 1,172 | 186 | |
Revolving Loans Amortized Cost Basis | 445 | 383 | |
Total Loans | 3,368 | 3,065 | |
Puerto Rico | Doubtful | Commercial secured by real estate: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 15 | 15 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 15 | 15 | |
Puerto Rico | Doubtful | Other commercial and industrial | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 0 | 0 | |
Puerto Rico | Loss | Commercial secured by real estate: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 0 | 0 | |
Puerto Rico | Loss | Other commercial and industrial | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 0 | 0 | |
UNITED STATES | Commercial PR: | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 740,665 | 755,228 | |
UNITED STATES | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total Loans | 740,665 | 755,228 | |
UNITED STATES | Commercial US: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 9,860 | 153,054 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 152,178 | 71,688 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 70,991 | 69,233 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 77,413 | 31,206 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 30,482 | 28,202 | |
Prior | 35,616 | 13,784 | |
Revolving Loans Amortized Cost Basis | 364,125 | 388,061 | |
Total Loans | 740,665 | 755,228 | |
Term loans amortized by cost basis, in current fiscal year, gross charge-offs | 0 | 33 | |
Term loans amortized by cost basis, in one year prior to current fiscal year, gross charge-offs | 0 | 1,156 | |
Term loans amortized by cost basis, in two years prior to current fiscal year, gross charge-offs | 0 | 642 | |
Term loans amortized by cost basis, in three years prior to current fiscal year, gross charge-offs | 1,749 | 47 | |
Term loans amortized by cost basis, in four years prior to current fiscal year, gross charge-offs | 0 | 0 | |
Prior, charge-offs | 2 | 8,637 | |
Revolving Loans Amortized Cost Basis, gross charge-offs | 0 | 0 | |
Total | 1,751 | 10,515 | |
UNITED STATES | Pass | Commercial US: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 9,860 | 142,222 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 141,607 | 63,885 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 63,193 | 69,233 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 59,735 | 31,206 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 30,482 | 28,202 | |
Prior | 29,930 | 8,085 | |
Revolving Loans Amortized Cost Basis | 356,117 | 358,757 | |
Total Loans | 690,924 | 701,590 | |
UNITED STATES | Special Mention | Commercial US: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 7,803 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 7,798 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 17,678 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 20,913 | |
Total Loans | 25,476 | 28,716 | |
UNITED STATES | Substandard | Commercial US: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 10,832 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 10,571 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 5,686 | 5,699 | |
Revolving Loans Amortized Cost Basis | 8,008 | 8,391 | |
Total Loans | 24,265 | 24,922 | |
UNITED STATES | Doubtful | Commercial US: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | 0 | 0 | |
UNITED STATES | Loss | Commercial US: | Commercial PR: | Non-PCD | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Term loans amortized by cost basis, in current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in one year prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in two years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in three years prior to current fiscal year | 0 | 0 | |
Term loans amortized by cost basis, in four years prior to current fiscal year | 0 | 0 | |
Prior | 0 | 0 | |
Revolving Loans Amortized Cost Basis | 0 | 0 | |
Total Loans | $ 0 | $ 0 |
ALLOWANCE FOR CREDIT LOSSES (Na
ALLOWANCE FOR CREDIT LOSSES (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Decrease in allowance for credit losses | $ (4,500) | ||
Provision for credit losses | 15,121 | $ 9,445 | |
Financing receivable, excluding accrued interest, allowance for credit loss, writeoff (recovery) | (19,800) | ||
Increase (decrease) in net charge-offs | (9,700) | ||
PCD | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Charge-offs | 92 | 2,479 | |
Recoveries | 876 | 847 | |
Other commercial and industrial | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Net charge off | 3,500 | ||
Commercial loans | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Increase (decrease) in net charge-offs | (2,400) | ||
Charge-offs | 5,316 | $ 14,191 | |
Commercial loans | UNITED STATES | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Provision for credit losses | 1,700 | ||
Provision for credit losses, sale | 1,700 | ||
Commercial loans | PCD | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Charge-offs | 0 | 2,104 | |
Recoveries | 157 | 489 | |
Consumer | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Increase (decrease) in net charge-offs | (2,500) | ||
Charge-offs | 7,981 | 23,655 | |
Consumer | PCD | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Charge-offs | 0 | 213 | |
Recoveries | 23 | 11 | |
Mortgage loans | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Charge-offs | 64 | 759 | |
Mortgage loans | PCD | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Charge-offs | 83 | 75 | |
Recoveries | 638 | 247 | |
Auto loans | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Increase (decrease) in net charge-offs | (5,300) | ||
Charge-offs | 14,218 | $ 43,764 | |
Auto loans | PCD | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Charge-offs | 9 | 87 | |
Recoveries | 58 | $ 100 | |
Financing Receivable, Loan Growth Member | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Provision for credit losses | $ 15,100 |
ALLOWANCE FOR CREDIT LOSSES (Al
ALLOWANCE FOR CREDIT LOSSES (Allowance for Credit Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | $ 161,106 | ||
Balance at end of year | 156,563 | $ 151,884 | $ 161,106 |
Commercial PR: | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Charge-offs | (5,316) | (14,191) | |
Balance at end of year | 38,504 | 39,467 | |
Mortgage loans | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Charge-offs | (64) | (759) | |
Balance at end of year | 14,265 | 17,800 | |
Consumer | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Charge-offs | (7,981) | (23,655) | |
Balance at end of year | 27,460 | 24,676 | |
Auto loans | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Charge-offs | (14,218) | (43,764) | |
Balance at end of year | 76,334 | 69,941 | |
Non-PCD | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 152,610 | 141,841 | 141,841 |
(Recapture of) provision for credit losses | 16,753 | 8,032 | |
Charge-offs | (27,579) | (16,495) | |
Recoveries | 6,983 | 8,007 | |
Balance at end of year | 148,767 | 141,385 | 152,610 |
Non-PCD | Commercial PR: | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 44,041 | 39,158 | 39,158 |
(Recapture of) provision for credit losses | (1,406) | (335) | |
Charge-offs | (5,316) | (1,375) | |
Recoveries | 52 | 326 | |
Balance at end of year | 37,371 | 37,774 | 44,041 |
Non-PCD | Mortgage loans | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 7,998 | 9,571 | 9,571 |
(Recapture of) provision for credit losses | (574) | (503) | |
Charge-offs | (64) | (201) | |
Recoveries | 267 | 216 | |
Balance at end of year | 7,627 | 9,083 | 7,998 |
Non-PCD | Consumer | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 27,086 | 23,264 | 23,264 |
(Recapture of) provision for credit losses | 7,655 | 5,974 | |
Charge-offs | (7,981) | (5,440) | |
Recoveries | 693 | 866 | |
Balance at end of year | 27,453 | 24,664 | 27,086 |
Non-PCD | Auto loans | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 73,485 | 69,848 | 69,848 |
(Recapture of) provision for credit losses | 11,078 | 2,896 | |
Charge-offs | (14,218) | (9,479) | |
Recoveries | 5,971 | 6,599 | |
Balance at end of year | 76,316 | 69,864 | 73,485 |
PCD | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 8,496 | 10,832 | 10,832 |
(Recapture of) provision for credit losses | (1,484) | 1,299 | |
Charge-offs | (92) | (2,479) | |
Recoveries | 876 | 847 | |
Balance at end of year | 7,796 | 10,499 | 8,496 |
PCD | Commercial PR: | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 1,113 | 1,388 | 1,388 |
(Recapture of) provision for credit losses | (137) | 1,920 | |
Charge-offs | 0 | (2,104) | |
Recoveries | 157 | 489 | |
Balance at end of year | 1,133 | 1,693 | 1,113 |
PCD | Mortgage loans | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 7,351 | 9,359 | 9,359 |
(Recapture of) provision for credit losses | (1,268) | (814) | |
Charge-offs | (83) | (75) | |
Recoveries | 638 | 247 | |
Balance at end of year | 6,638 | 8,717 | 7,351 |
PCD | Consumer | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 7 | 14 | 14 |
(Recapture of) provision for credit losses | (23) | 200 | |
Charge-offs | 0 | (213) | |
Recoveries | 23 | 11 | |
Balance at end of year | 7 | 12 | 7 |
PCD | Auto loans | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | 25 | 71 | 71 |
(Recapture of) provision for credit losses | (56) | (7) | |
Charge-offs | (9) | (87) | |
Recoveries | 58 | 100 | |
Balance at end of year | $ 18 | $ 77 | $ 25 |
FORECLOSED REAL ESTATE (Foreclo
FORECLOSED REAL ESTATE (Foreclosed Real Estate Rollforward) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Other Real Estate Owned Activity [Roll Forward] | ||
Foreclosed real estate beginning balance | $ 10,780 | $ 11,214 |
Additions | 1,345 | 1,438 |
Sales | (1,826) | (3,581) |
Decline in value | (170) | (127) |
Other adjustments | 721 | 306 |
Foreclosed real estate ending balance | $ 10,850 | $ 9,250 |
SERVICING ASSETS (Narrative) (D
SERVICING ASSETS (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Servicing Assets at Fair Value [Line Items] | ||||
Servicing assets | $ 49,553 | $ 49,345 | $ 49,520 | $ 50,921 |
Servicing fees on mortgage loans | 568 | 881 | ||
Conventional Mortgage Loan | ||||
Servicing Assets at Fair Value [Line Items] | ||||
Servicing fees on mortgage loans | $ 4,400 | $ 5,000 |
SERVICING ASSETS (Changes in Se
SERVICING ASSETS (Changes in Serving Rights at Fair Value) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | ||
Fair value at beginning of period | $ 49,520 | $ 50,921 |
Servicing from mortgage securitization or asset transfers | 527 | 575 |
Changes due to payments on loans | (920) | (1,065) |
Changes in fair value due to changes in valuation model inputs or assumptions | 426 | (1,086) |
Fair value at end of period | $ 49,553 | $ 49,345 |
SERVICING ASSETS (Key Economic
SERVICING ASSETS (Key Economic Assumptions) (Details) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Minimum | ||
Servicing Assets at Fair Value [Line Items] | ||
Constant prepayment rate | 1.14% | 3.59% |
Discount rate | 10% | 10% |
Maximum | ||
Servicing Assets at Fair Value [Line Items] | ||
Constant prepayment rate | 15.08% | 23.26% |
Discount rate | 15.50% | 15.50% |
SERVICING ASSETS (Sensitivity o
SERVICING ASSETS (Sensitivity of Current Fair Value of Servicing Assets) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Transfers and Servicing [Abstract] | ||
Carrying value of mortgage servicing asset | $ 49,553 | $ 49,520 |
Weighted average life (in years) | 7 years 3 months 18 days | 7 years 3 months 18 days |
Constant prepayment rate - Decrease in fair value due to 10% adverse change | $ (928) | $ (928) |
Constant prepayment rate - Decrease in fair value due to 20% adverse change | (1,821) | (1,821) |
Discount rate - Decrease in fair value due to 10% adverse change | (2,007) | (1,999) |
Discount rate - Decrease in fair value due to 20% adverse change | $ (3,871) | $ (3,856) |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS (Schedule Of Goodwill) (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
Goodwill, Beginning Balance | $ 84,241 |
Goodwill, Ending Balance | 84,241 |
Banking | |
Finite-Lived Intangible Assets [Line Items] | |
Goodwill, Beginning Balance | 84,063 |
Goodwill, Ending Balance | 84,063 |
Wealth Management | |
Finite-Lived Intangible Assets [Line Items] | |
Goodwill, Beginning Balance | 178 |
Goodwill, Ending Balance | 178 |
Treasury | |
Finite-Lived Intangible Assets [Line Items] | |
Goodwill, Beginning Balance | 0 |
Goodwill, Ending Balance | $ 0 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Increase (decrease) in carrying amount of goodwill | $ 0 | $ 0 | |
Accumulated impairment losses | 0 | $ 0 | |
Impairment of goodwill | 0 | $ 0 | |
Intangible asset impairment | 0 | 0 | |
Amortization of intangible assets | $ 1,478 | $ 1,725 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS (Schedule of Core Deposit, Customer Relationship and Other Intangibles) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 54,200 | $ 54,200 |
Accumulated Amortization | 34,984 | 33,506 |
Net Carrying Value | 19,216 | 20,694 |
Core deposit intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 41,507 | 41,507 |
Accumulated Amortization | 26,791 | 25,659 |
Net Carrying Value | 14,716 | 15,848 |
Customer relationship intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 12,693 | 12,693 |
Accumulated Amortization | 8,193 | 7,847 |
Net Carrying Value | $ 4,500 | $ 4,846 |
GOODWILL AND OTHER INTANGIBLE_6
GOODWILL AND OTHER INTANGIBLE ASSETS (Estimated Amortization of Other Intangible Assets) (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2024 | $ 5,913 |
2025 | 4,927 |
2026 | 3,942 |
2027 | 2,956 |
2028 | 1,971 |
Thereafter | $ 985 |
ACCRUED INTEREST RECEIVABLE A_3
ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS (Schedule of Accrued Interest Receivable) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accrued interest receivable | $ 72,117 | $ 71,400 |
Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accrued interest receivable | 62,584 | 63,526 |
Investments | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accrued interest receivable | $ 9,533 | $ 7,874 |
ACCRUED INTEREST RECEIVABLE A_4
ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Other assets [Line Items] | ||
Prepaid expenses | $ 62,145 | $ 63,040 |
Prepaid municipal, property, and income taxes | 55,000 | 54,700 |
Other repossessed assets | 6,844 | 4,032 |
COVID-19 and Hurricane Fiona Deferral Program Loans | ||
Other assets [Line Items] | ||
Accrued interest receivable | 19,900 | 20,200 |
COVID-19 and Hurricane Fiona Deferral Program Loans | Accrued Income Receivable | ||
Other assets [Line Items] | ||
Allowance for credit losses | 62 | 85 |
COVID-19 and Hurricane Fiona Deferral Program Loans | Current | ||
Other assets [Line Items] | ||
Accrued interest receivable | $ 17,800 | $ 18,200 |
ACCRUED INTEREST RECEIVABLE A_5
ACCRUED INTEREST RECEIVABLE AND OTHER ASSETS (Other Assets) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Accrued Interest Receivable and Other Assets [Abstract] | ||
Prepaid expenses | $ 62,145 | $ 63,040 |
Other repossessed assets | 6,844 | 4,032 |
Accounts receivable and other assets | 49,334 | 47,859 |
Other assets | $ 118,323 | $ 114,931 |
DEPOSITS AND RELATED INTEREST_2
DEPOSITS AND RELATED INTEREST (Deposits by Components) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Deposits and Related Interest [Abstract] | ||
Non-interest-bearing demand deposits | $ 2,562,096 | $ 2,537,431 |
Interest-bearing savings and demand deposits | 5,476,565 | 5,601,099 |
Retail certificates of deposit | 1,117,004 | 1,083,316 |
Institutional certificates of deposit | 390,033 | 378,143 |
Total core deposits | 9,545,698 | 9,599,989 |
Brokered deposits | 2,576 | 162,180 |
Total deposits | $ 9,548,274 | $ 9,762,169 |
DEPOSITS AND RELATED INTEREST_3
DEPOSITS AND RELATED INTEREST (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Deposits and Related Interest [Line Items] | ||
Uninsured deposits | $ 4,891,000 | $ 4,885,000 |
Deposits percent | 51% | 50% |
Weighted average interest rate of deposits | 1.54% | 0.88% |
Time deposits in denominations in excess of $250,000 | $ 793,400 | $ 747,200 |
Deposits | 9,548,274 | 9,762,169 |
Public funds collateral investments | 1,694,000 | 1,645,000 |
Accrued interest on time deposits | 1,700 | 3,000 |
Overdrafts in demand deposit accounts | 633 | 564 |
Government | Puerto Rico | ||
Deposits and Related Interest [Line Items] | ||
Deposits | $ 1,590,000 | $ 1,616,000 |
DEPOSITS AND RELATED INTEREST_4
DEPOSITS AND RELATED INTEREST (Interest Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Deposits and Related Interest [Abstract] | ||
Demand and savings deposits | $ 26,065 | $ 8,668 |
Certificates of deposit | 10,727 | 3,829 |
Total | $ 36,792 | $ 12,497 |
DEPOSITS AND RELATED INTEREST_5
DEPOSITS AND RELATED INTEREST (Maturities of Time Deposits) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Year-end amount, Within One Year | ||
Three months or less | $ 291,558 | $ 457,533 |
Over 3 months through 6 months | 200,361 | 195,902 |
Over 6 months through 1 year | 509,185 | 329,758 |
Within one year | 1,001,104 | 983,193 |
Year-end amount, after one year: | ||
Over 1 through 2 years | 350,012 | 467,348 |
Over 2 through 3 years | 77,872 | 94,450 |
Over 3 through 4 years | 34,371 | 29,514 |
Over 4 through 5 years | 43,591 | 45,575 |
Over 5 years | 961 | 608 |
Certificates of deposit | 1,507,911 | 1,620,688 |
Uninsured amount, within one year: | ||
Three months or less | 88,260 | 115,392 |
Over 3 months through 6 months | 91,329 | 61,245 |
Over 6 months through 1 year | 233,878 | 113,524 |
Within one year | 413,467 | 290,161 |
Uninsured amount, after one year: | ||
Over 1 through 2 years | 109,708 | 201,478 |
Over 2 through 3 years | 8,988 | 13,971 |
Over 3 through 4 years | 1,415 | 1,379 |
Over 4 through 5 years | 4,847 | 4,665 |
Over 5 years | 0 | 0 |
Uninsured amount | $ 538,425 | $ 511,654 |
BORROWINGS AND RELATED INTERE_3
BORROWINGS AND RELATED INTEREST (Advances from the Federal Home Loan Bank of New York) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Debt Instrument [Line Items] | ||
Additional borrowing capacity | $ 457,500 | $ 446,000 |
Weighted average period remaining maturity of FHLB advances | 11 months | 1 year 2 months 12 days |
Advances from the Federal Home Loan Bank | ||
Debt Instrument [Line Items] | ||
Minimum amount of qualifying collateral | 110% | |
Accrued interest payable | $ 766 | $ 768 |
Advances from the Federal Home Loan Bank | Long-Term Fixed-Rate Advances from FHLB | ||
Debt Instrument [Line Items] | ||
Original debt instrument term of FHLB advances | 2 years | |
Advances from the Federal Home Loan Bank | Asset Pledged as Collateral | ||
Debt Instrument [Line Items] | ||
Total loans | $ 984,400 | $ 1,000,000 |
BORROWINGS AND RELATED INTERE_4
BORROWINGS AND RELATED INTEREST (Schedule of Federal Home Loan Bank Advances And Maturity) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Advances from the Federal Home Loan Bank of New York (the “FHLB”) | $ 200,766 | $ 200,768 |
Long-Term Fixed-Rate Advances from FHLB | Advances from the Federal Home Loan Bank | ||
Debt Instrument [Line Items] | ||
Advances from the Federal Home Loan Bank of New York (the “FHLB”) | $ 200,000 | $ 200,000 |
Weighted average interest rate of FHLB advances | 4.52% | 4.52% |
Over one to three years | Advances from the Federal Home Loan Bank | ||
Debt Instrument [Line Items] | ||
Advances from the Federal Home Loan Bank of New York (the “FHLB”) | $ 200,000 | $ 200,000 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |||
Statutory tax rate (as a percent) | 37.50% | ||
Valuation allowance | $ 7,100 | $ 7,000 | |
Deferred tax asset, net | 4,400 | 4,900 | |
Deferred tax liability valuation allowance | 461 | 569 | |
Deferred tax liabilities, net | 22,876 | 22,444 | |
Decrease in valuation allowance | $ 39 | ||
Effective tax rate (as a percent) | 26.80% | 29% | |
Expected effective tax rate for 2024 | 28.50% | ||
Unrecognized tax benefits | $ 952 | $ 936 | |
Income tax expense | $ 18,225 | $ 18,904 |
REGULATORY CAPITAL REQUIREMEN_3
REGULATORY CAPITAL REQUIREMENTS (Details) $ in Thousands | Mar. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) |
OFG Bancorp | ||
Amount | ||
Actual - Total capital to risk-weighted assets | $ 1,309,893 | $ 1,278,537 |
Actual - Tier 1 capital to risk-weighted assets | 1,205,231 | 1,174,205 |
Actual - Common equity tier 1 capital to risk-weighted assets | 1,205,231 | 1,174,205 |
Actual - Tier 1 capital to average total assets | 1,205,231 | 1,174,205 |
Minimum Capital Requirement - Total capital to risk-weighted assets | 875,507 | 873,369 |
Minimum Capital Requirement - Tier 1 capital to risk-weighted assets | 708,744 | 707,013 |
Minimum Capital Requirement - Common equity tier 1 capital to risk-weighted assets | 583,672 | 582,246 |
Minimum Capital Requirement - Tier 1 capital to average total assets | 447,862 | 425,911 |
Minimum to be Well Capitalized - Total capital to risk-weighted assets | 833,817 | 831,780 |
Minimum to be Well Capitalized - Tier 1 capital to risk-weighted assets | 667,053 | 665,424 |
Minimum to be Well Capitalized - Common equity tier 1 capital to risk-weighted assets | 541,981 | 540,657 |
Minimum to be Well Capitalized - Tier 1 capital to average total assets | $ 559,827 | $ 532,389 |
Ratio | ||
Actual - total capital to risk-weighted assets | 0.1571 | 0.1537 |
Actual - Tier 1 capital to risk-weighted assets | 0.1445 | 0.1412 |
Actual - Common equity tier 1 capital to risk-weighted assets | 0.1445 | 0.1412 |
Actual - Tier 1 capital to average total assets | 0.1076 | 0.1103 |
Minimum Capital Requirement - Total capital to risk-weighted assets | 0.1050 | 0.1050 |
Minimum Capital Requirement - Tier 1 capital to risk-weighted assets | 0.0850 | 0.0850 |
Minimum Capital Requirement - Common equity tier 1 capital to risk-weighted assets | 0.0700 | 0.0700 |
Minimum Capital Requirement - Tier 1 capital to average total assets | 0.0400 | 0.0400 |
Minimum to be Well Capitalized - Total capital to risk-weighted assets | 0.1000 | 0.1000 |
Minimum to be Well Capitalized - Tier 1 capital to risk-weighted assets | 0.0800 | 0.0800 |
Minimum to be Well Capitalized - Common equity tier 1 capital to risk-weighted assets | 0.0650 | 0.0650 |
Minimum to be Well Capitalized - Tier 1 capital to average total assets | 0.0500 | 0.0500 |
Bank | ||
Amount | ||
Actual - Total capital to risk-weighted assets | $ 1,192,181 | $ 1,179,164 |
Actual - Tier 1 capital to risk-weighted assets | 1,088,220 | 1,075,487 |
Actual - Common equity tier 1 capital to risk-weighted assets | 1,088,220 | 1,075,487 |
Actual - Tier 1 capital to average total assets | 1,088,220 | 1,075,487 |
Minimum Capital Requirement - Total capital to risk-weighted assets | 869,541 | 867,797 |
Minimum Capital Requirement - Tier 1 capital to risk-weighted assets | 703,914 | 702,503 |
Minimum Capital Requirement - Common equity tier 1 capital to risk-weighted assets | 579,694 | 578,532 |
Minimum Capital Requirement - Tier 1 capital to average total assets | 443,045 | 421,660 |
Minimum to be Well Capitalized - Total capital to risk-weighted assets | 828,134 | 826,474 |
Minimum to be Well Capitalized - Tier 1 capital to risk-weighted assets | 662,507 | 661,179 |
Minimum to be Well Capitalized - Common equity tier 1 capital to risk-weighted assets | 538,287 | 537,208 |
Minimum to be Well Capitalized - Tier 1 capital to average total assets | $ 553,807 | $ 527,075 |
Ratio | ||
Actual - total capital to risk-weighted assets | 0.1440 | 0.1427 |
Actual - Tier 1 capital to risk-weighted assets | 0.1314 | 0.1301 |
Actual - Common equity tier 1 capital to risk-weighted assets | 0.1314 | 0.1301 |
Actual - Tier 1 capital to average total assets | 0.0982 | 0.1020 |
Minimum Capital Requirement - Total capital to risk-weighted assets | 0.1050 | 0.1050 |
Minimum Capital Requirement - Tier 1 capital to risk-weighted assets | 0.0850 | 0.0850 |
Minimum Capital Requirement - Common equity tier 1 capital to risk-weighted assets | 0.0700 | 0.0700 |
Minimum Capital Requirement - Tier 1 capital to average total assets | 0.0400 | 0.0400 |
Minimum to be Well Capitalized - Total capital to risk-weighted assets | 0.1000 | 0.1000 |
Minimum to be Well Capitalized - Tier 1 capital to risk-weighted assets | 0.0800 | 0.0800 |
Minimum to be Well Capitalized - Common equity tier 1 capital to risk-weighted assets | 0.0650 | 0.0650 |
Minimum to be Well Capitalized - Tier 1 capital to average total assets | 0.0500 | 0.0500 |
STOCKHOLDERS_ EQUITY (Narrative
STOCKHOLDERS’ EQUITY (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2024 | Mar. 31, 2023 | Jan. 31, 2024 | Dec. 31, 2023 | Jan. 31, 2022 | |
Equity, Class of Treasury Stock [Line Items] | |||||
Common stock | $ 59,885 | $ 59,885 | |||
Legal surplus | 155,732 | 150,967 | |||
Transfer to legal surplus | $ 4,800 | ||||
Stock repurchase program, authorized amount | $ 50,000 | $ 100,000 | |||
Shares repurchased during period (in shares) | 0 | 104,800 | |||
Common shares repurchased as part of the stock repurchase programs | $ 0 | $ 2,894 | |||
Share repurchased, average price per share (in dollars per share) | $ 27.61 | ||||
Shares purchased (in shares) | 0 | 0 | |||
Stock repurchase program, remaining authorized repurchase amount | $ 17,200 | ||||
Common stock | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Accumulated common stock issuance costs charged against paid in capital | $ 13,600 | $ 13,600 |
STOCKHOLDERS_ EQUITY (Activity
STOCKHOLDERS’ EQUITY (Activity of Common Shares Held in Treasury) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Shares | ||
Beginning of period (in shares) | 12,820,078 | 12,303,859 |
Common shares used upon lapse of restricted stock units and options (in shares) | (151,415) | (134,827) |
Common shares repurchased as part of the stock repurchase programs (in shares) | 0 | 104,800 |
End of period (in shares) | 12,668,663 | 12,273,832 |
Dollar Amount | ||
Beginning of period | $ 228,350 | $ 211,135 |
Common shares used upon lapse of restricted stock units and options | (1,454) | (1,235) |
Common shares repurchased as part of the stock repurchase programs | 0 | 2,894 |
End of period | $ 226,896 | $ 212,794 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE LOSS (Accumulated Comprehensive Income, Net of Income Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated other comprehensive loss, net of income taxes | $ (81,731) | $ (67,013) |
AOCI Attributable to Parent | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated other comprehensive loss, net of income taxes | (81,731) | (67,013) |
Net unrealized gain (loss) on securities available-for-sale | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrealized loss on securities available-for-sale | (96,047) | (78,497) |
Income tax effect of unrealized loss on securities available-for-sale | 14,316 | 11,484 |
Net unrealized loss on securities available-for-sale | $ (81,731) | $ (67,013) |
ACCUMULATED OTHER COMPREHENSI_4
ACCUMULATED OTHER COMPREHENSIVE LOSS (Changes in Other Comprehensive Income by Components) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period | $ 1,193,480 | |
Other comprehensive income (loss) before reclassifications | $ 14,476 | |
Amounts reclassified out of accumulated other comprehensive income (loss) | 593 | |
Other comprehensive loss | 15,069 | |
Balance at end of period | 1,215,653 | 1,089,510 |
Accumulated other comprehensive loss | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period | (67,013) | (93,409) |
Balance at end of period | (81,731) | (78,340) |
Net unrealized gain (loss) on securities available-for-sale | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period | (67,013) | (93,663) |
Other comprehensive income (loss) before reclassifications | (14,711) | 15,149 |
Amounts reclassified out of accumulated other comprehensive income (loss) | (7) | 2 |
Other comprehensive loss | (14,718) | 15,151 |
Balance at end of period | $ (81,731) | (78,512) |
Net unrealized gain (loss) on cash flow hedges | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period | 254 | |
Other comprehensive income (loss) before reclassifications | (673) | |
Amounts reclassified out of accumulated other comprehensive income (loss) | 591 | |
Other comprehensive loss | (82) | |
Balance at end of period | $ 172 |
ACCUMULATED OTHER COMPREHENSI_5
ACCUMULATED OTHER COMPREHENSIVE LOSS (Reclassifications Out of Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net interest expense | $ 39,324 | $ 13,088 |
Income tax expense | 18,225 | 18,904 |
Net income | 49,692 | 46,229 |
Reclassification out of Accumulated Other Comprehensive Income | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net (loss) gain on sale of securities | 0 | |
Net income | (7) | 593 |
Reclassification out of Accumulated Other Comprehensive Income | Net unrealized gain (loss) on securities available-for-sale | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net (loss) gain on sale of securities | (7) | |
Income tax expense | 0 | 2 |
Reclassification out of Accumulated Other Comprehensive Income | Interest Rate Contract | Net unrealized gain (loss) on cash flow hedges | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Net interest expense | $ 0 | $ 591 |
EARNINGS PER COMMON SHARE (Sche
EARNINGS PER COMMON SHARE (Schedule of Earnings Per Share Basic and Diluted) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share [Abstract] | ||
Income available to common shareholders | $ 49,692 | $ 46,229 |
Average common shares outstanding (in shares) | 47,096 | 47,600 |
Average potential common shares-options (in shares) | 247 | 344 |
Total weighted average common shares outstanding and equivalents (in shares) | 47,343 | 47,944 |
Earnings per common share - basic (in dollars per share) | $ 1.06 | $ 0.97 |
Earnings per common share - diluted (in dollars per share) | $ 1.05 | $ 0.96 |
EARNINGS PER COMMON SHARE (Narr
EARNINGS PER COMMON SHARE (Narrative) (Details) - $ / shares | 3 Months Ended | ||
Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |||
Weighted average stock options with an anti dilutive effect excluded from calculation of earnings per share (in shares) | 0 | 446 | |
Quarterly common stock cash dividend (in dollars per share) | $ 0.25 | $ 0.22 | $ 0.22 |
GUARANTEES (Narrative) (Details
GUARANTEES (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Guarantor Obligations [Line Items] | |||
Acquired standby letters of credit and financial guarantees | $ 24,700 | $ 24,000 | |
Repurchased loans not subject to credit recourse provision | 1,000 | $ 2,200 | |
Amount of serviced loans | 5,600,000 | 5,600,000 | |
Funds advanced to investors under servicing agreements | 3,400 | 4,200 | |
Nonrecourse | |||
Guarantor Obligations [Line Items] | |||
Gain on early extinguishment of debt | 109 | 252 | |
Recourse | |||
Guarantor Obligations [Line Items] | |||
Loans sold with recourse | 96,437 | 98,685 | |
Liability for estimated credit losses to loans sold with credit recourse | 73 | 102 | |
Repurchased GNMA | 134 | 65 | |
Gain on early extinguishment of debt | 28 | $ 6 | |
Loan serviced under representation warranties | Nonrecourse | |||
Guarantor Obligations [Line Items] | |||
Loans sold with recourse | $ 277 | $ 405 |
GUARANTEES (Changes in Liabilit
GUARANTEES (Changes in Liability of Estimated Loss from Credit Recourse Agreement) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Movement in Liabilities for Guarantees on Long-Duration Contracts, Guaranteed Benefit Liability, Gross [Roll Forward] | ||
Balance at beginning of period | $ 102 | $ 147 |
Net recoveries (charge-offs/terminations) | (29) | (6) |
Balance at end of period | $ 73 | $ 141 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Summarized Credit-Related Financial Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Other Commitments [Line Items] | ||
Commitments to extend credit | $ 1,353,808 | $ 1,255,695 |
Commercial letters of credit | 829 | 119 |
Standby letters of credit and financial guarantees | 24,655 | 23,970 |
Recourse | ||
Other Commitments [Line Items] | ||
Loans sold with recourse | $ 96,437 | $ 98,685 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Other Commitments [Line Items] | ||
Allowance for credit losses for off-balance sheet | $ 1,000 | $ 1,200 |
Other non-credit commitments | 19,100 | 18,900 |
Legal Contingencies | ||
Other Commitments [Line Items] | ||
Contingency loss accrued liability | 725 | 817 |
Potential Losses, Operational Errors, Theft and Uncollectible Receivables | ||
Other Commitments [Line Items] | ||
Contingency loss accrued liability | 1,700 | 1,400 |
Technology Commitments | ||
Other Commitments [Line Items] | ||
Commitments for capital expenditures in technology | $ 6,000 | $ 7,800 |
OPERATING LEASES (Operating Lea
OPERATING LEASES (Operating Lease Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Lessee Disclosure [Abstract] | ||
Lease costs | $ 2,653 | $ 2,600 |
Variable lease costs | 411 | 341 |
Short-term lease costs | 50 | 157 |
Lease income | (22) | (38) |
Total lease costs | $ 3,092 | $ 3,060 |
OPERATING LEASES (Operating L_2
OPERATING LEASES (Operating Lease Assets and Liabilities) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Lessee Disclosure [Abstract] | ||
Right-of-use assets | $ 21,606 | $ 21,725 |
Lease Liabilities | $ 23,969 | $ 24,029 |
OPERATING LEASES (Operating L_3
OPERATING LEASES (Operating Lease Terms) (Details) | Mar. 31, 2024 | Dec. 31, 2023 |
Lessee Disclosure [Abstract] | ||
Weighted-average remaining lease term (in years) | 5 years 1 month 6 days | 5 years 1 month 6 days |
Weighted-average discount rate (percentage) | 7.50% | 7% |
OPERATING LEASES (Future Minimu
OPERATING LEASES (Future Minimum Payments for Operating Leases and Present Value) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Lessee Disclosure [Abstract] | ||
2024 | $ 6,212 | |
2025 | 6,540 | |
2026 | 4,481 | |
2027 | 3,724 | |
2028 | 2,937 | |
Thereafter | 5,179 | |
Total lease payments | 29,073 | |
Less imputed interest | 5,104 | |
Present value of lease liabilities | $ 23,969 | $ 24,029 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS (Narrative) (Details) | Mar. 31, 2024 security |
Level 3 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Number of security categorized as other debt | 1 |
FAIR VALUE OF FINANCIAL INSTR_4
FAIR VALUE OF FINANCIAL INSTRUMENTS (Assets and Liabilities on Recurring and Non-Recurring Basis) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Trading securities | $ 14 | $ 13 | ||
Money market investments | 4,674 | 4,623 | $ 3,172 | |
Servicing assets | 49,553 | 49,520 | 49,345 | $ 50,921 |
Foreclosed real estate | 10,850 | 10,780 | $ 9,250 | $ 11,214 |
Other repossessed assets | 6,844 | 4,032 | ||
Recurring fair value measurements | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities available-for-sale | 1,897,707 | 2,099,264 | ||
Trading securities | 14 | 13 | ||
Money market investments | 4,674 | 4,623 | ||
Servicing assets | 49,553 | 49,520 | ||
Total | 1,951,948 | 2,153,420 | ||
Recurring fair value measurements | Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities available-for-sale | 150,915 | 296,799 | ||
Trading securities | 0 | 0 | ||
Money market investments | 4,674 | 4,623 | ||
Servicing assets | 0 | 0 | ||
Total | 155,589 | 301,422 | ||
Recurring fair value measurements | Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities available-for-sale | 1,746,792 | 1,802,465 | ||
Trading securities | 14 | 13 | ||
Money market investments | 0 | 0 | ||
Servicing assets | 0 | 0 | ||
Total | 1,746,806 | 1,802,478 | ||
Recurring fair value measurements | Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities available-for-sale | 0 | 0 | ||
Trading securities | 0 | 0 | ||
Money market investments | 0 | 0 | ||
Servicing assets | 49,553 | 49,520 | ||
Total | 49,553 | 49,520 | ||
Non-recurring fair value measurements | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Collateral dependent loans | 7,862 | 8,027 | ||
Foreclosed real estate | 10,850 | 10,780 | ||
Other repossessed assets | 6,844 | 4,032 | ||
Mortgage loans held for sale | 9,370 | |||
Other loans held for sale | 18,904 | 28,345 | ||
Total | 53,830 | 51,184 | ||
Non-recurring fair value measurements | Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Collateral dependent loans | 0 | 0 | ||
Foreclosed real estate | 0 | 0 | ||
Other repossessed assets | 0 | 0 | ||
Mortgage loans held for sale | 0 | |||
Other loans held for sale | 0 | 0 | ||
Total | 0 | 0 | ||
Non-recurring fair value measurements | Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Collateral dependent loans | 0 | 0 | ||
Foreclosed real estate | 0 | 0 | ||
Other repossessed assets | 0 | 0 | ||
Mortgage loans held for sale | 0 | |||
Other loans held for sale | 0 | 0 | ||
Total | 0 | 0 | ||
Non-recurring fair value measurements | Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Collateral dependent loans | 7,862 | 8,027 | ||
Foreclosed real estate | 10,850 | 10,780 | ||
Other repossessed assets | 6,844 | 4,032 | ||
Mortgage loans held for sale | 9,370 | |||
Other loans held for sale | 18,904 | 28,345 | ||
Total | $ 53,830 | $ 51,184 |
FAIR VALUE OF FINANCIAL INSTR_5
FAIR VALUE OF FINANCIAL INSTRUMENTS (Reconciliation of Assets and Liabilities Using Significant Unobservable Inputs (Level 3)) (Details) - Recurring fair value measurements - Level 3 - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning year | $ 51,327 | |
New instruments acquired | 575 | |
Principal repayments and amortization | (1,065) | |
Gains (losses) included in earnings | (1,086) | |
Gains included in other comprehensive income | 7 | |
Balance at end of year | 49,758 | |
Other debt securities available for sale | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning year | 406 | |
New instruments acquired | 0 | |
Principal repayments and amortization | 0 | |
Gains (losses) included in earnings | 0 | |
Gains included in other comprehensive income | 7 | |
Balance at end of year | 413 | |
Servicing Assets | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning year | $ 49,520 | 50,921 |
New instruments acquired | 527 | 575 |
Principal repayments and amortization | (920) | (1,065) |
Gains (losses) included in earnings | 426 | (1,086) |
Gains included in other comprehensive income | 0 | 0 |
Balance at end of year | $ 49,553 | $ 49,345 |
FAIR VALUE OF FINANCIAL INSTR_6
FAIR VALUE OF FINANCIAL INSTRUMENTS (Qualitative Information for Assets and Liabilities) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value | ||||
Servicing assets | $ 49,553 | $ 49,345 | $ 49,520 | $ 50,921 |
Foreclosed real estate | 10,850 | $ 9,250 | 10,780 | $ 11,214 |
Other repossessed assets | $ 6,844 | 4,032 | ||
Minimum | ||||
Unobservable Input | ||||
Constant prepayment rate | 1.14% | 3.59% | ||
Discount rate | 10% | 10% | ||
Maximum | ||||
Unobservable Input | ||||
Constant prepayment rate | 15.08% | 23.26% | ||
Discount rate | 15.50% | 15.50% | ||
Level 3 | Cash flow valuation | Servicing Assets | ||||
Fair Value | ||||
Servicing assets | $ 49,553 | $ 49,520 | ||
Level 3 | Cash flow valuation | Minimum | Servicing Assets | ||||
Unobservable Input | ||||
Constant prepayment rate | 1.14% | 1.35% | ||
Discount rate | 10% | 10% | ||
Level 3 | Cash flow valuation | Maximum | Servicing Assets | ||||
Unobservable Input | ||||
Constant prepayment rate | 15.08% | 17.34% | ||
Discount rate | 15.50% | 15.50% | ||
Level 3 | Cash flow valuation | Weighted Average | Servicing Assets | ||||
Unobservable Input | ||||
Constant prepayment rate | 6.18% | 6.12% | ||
Discount rate | 11.46% | 11.45% | ||
Level 3 | Fair value of property or collateral | Collateral dependent loans | ||||
Fair Value | ||||
Collateral dependent loans | $ 7,862 | $ 8,027 | ||
Level 3 | Fair value of property or collateral | Foreclosed real estate | ||||
Fair Value | ||||
Foreclosed real estate | 10,850 | 10,780 | ||
Level 3 | Fair value of property or collateral | Other repossessed assets | ||||
Fair Value | ||||
Other repossessed assets | 6,844 | $ 4,032 | ||
Level 3 | Fair value of property or collateral | Mortgage loans held for sale | ||||
Fair Value | ||||
Mortgage loans held for sale | $ 9,370 | |||
Level 3 | Fair value of property or collateral | Minimum | Collateral dependent loans | ||||
Unobservable Input | ||||
Appraised value less disposition costs | 10.20% | 10.20% | ||
Level 3 | Fair value of property or collateral | Minimum | Foreclosed real estate | ||||
Unobservable Input | ||||
Appraised value less disposition costs | 10.20% | 10.20% | ||
Level 3 | Fair value of property or collateral | Minimum | Other repossessed assets | ||||
Unobservable Input | ||||
Estimated net realizable value | 31% | 31% | ||
Level 3 | Fair value of property or collateral | Minimum | Mortgage loans held for sale | ||||
Unobservable Input | ||||
Estimated net realizable value | 96.04% | |||
Level 3 | Fair value of property or collateral | Maximum | Collateral dependent loans | ||||
Unobservable Input | ||||
Appraised value less disposition costs | 33.20% | 33.20% | ||
Level 3 | Fair value of property or collateral | Maximum | Foreclosed real estate | ||||
Unobservable Input | ||||
Appraised value less disposition costs | 33.20% | 33.20% | ||
Level 3 | Fair value of property or collateral | Maximum | Other repossessed assets | ||||
Unobservable Input | ||||
Estimated net realizable value | 77% | 77% | ||
Level 3 | Fair value of property or collateral | Maximum | Mortgage loans held for sale | ||||
Unobservable Input | ||||
Estimated net realizable value | 101.24% | |||
Level 3 | Fair value of property or collateral | Weighted Average | Collateral dependent loans | ||||
Unobservable Input | ||||
Appraised value less disposition costs | 16.99% | 17% | ||
Level 3 | Fair value of property or collateral | Weighted Average | Foreclosed real estate | ||||
Unobservable Input | ||||
Appraised value less disposition costs | 12.53% | 12.67% | ||
Level 3 | Fair value of property or collateral | Weighted Average | Other repossessed assets | ||||
Unobservable Input | ||||
Estimated net realizable value | 56.43% | 57.72% | ||
Level 3 | Fair value of property or collateral | Weighted Average | Mortgage loans held for sale | ||||
Unobservable Input | ||||
Estimated net realizable value | 98.25% | |||
Level 3 | Bids or sales contract prices | Other loans held for sale | ||||
Fair Value | ||||
Other loans held for sale | $ 18,904 | $ 28,345 | ||
Level 3 | Bids or sales contract prices | Minimum | Other loans held for sale | ||||
Unobservable Input | ||||
Estimated market value | 98.41% | 52% | ||
Level 3 | Bids or sales contract prices | Maximum | Other loans held for sale | ||||
Unobservable Input | ||||
Estimated market value | 147.96% | 103.20% | ||
Level 3 | Bids or sales contract prices | Weighted Average | Other loans held for sale | ||||
Unobservable Input | ||||
Estimated market value | 129.96% | 84.80% |
FAIR VALUE OF FINANCIAL INSTR_7
FAIR VALUE OF FINANCIAL INSTRUMENTS (Estimated Fair Value and Carrying Value) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Financial Assets: | ||||
Trading securities | $ 14 | $ 13 | ||
Investment securities held-to-maturity, fair value | 483,657 | 490,764 | ||
Servicing assets | 49,553 | 49,520 | $ 49,345 | $ 50,921 |
Level 1 | Fair Value | ||||
Financial Assets: | ||||
Cash and cash equivalents | 754,392 | 748,173 | ||
Investment securities available-for-sale | 150,915 | 296,799 | ||
Level 1 | Carrying Value | ||||
Financial Assets: | ||||
Cash and cash equivalents | 754,392 | 748,173 | ||
Investment securities available-for-sale | 150,915 | 296,799 | ||
Level 2 | Fair Value | ||||
Financial Assets: | ||||
Trading securities | 14 | 13 | ||
Investment securities available-for-sale | 1,746,792 | 1,802,465 | ||
Investment securities held-to-maturity, fair value | 448,603 | 455,709 | ||
Federal Home Loan Bank (FHLB) stock | 14,488 | 14,488 | ||
Equity securities | 25,674 | 23,981 | ||
Level 2 | Carrying Value | ||||
Financial Assets: | ||||
Trading securities | 14 | 13 | ||
Investment securities available-for-sale | 1,746,792 | 1,802,465 | ||
Investment securities held-to-maturity, fair value | 509,491 | 514,024 | ||
Federal Home Loan Bank (FHLB) stock | 14,488 | 14,488 | ||
Equity securities | 25,674 | 23,981 | ||
Level 3 | Fair Value | ||||
Financial Assets: | ||||
Investment securities held-to-maturity, fair value | 35,054 | 35,055 | ||
Total loans (including loans held-for-sale) | 7,296,452 | 7,282,214 | ||
Accrued interest receivable | 72,117 | 71,400 | ||
Servicing assets | 49,553 | 49,520 | ||
Accounts receivable and other assets | 49,334 | 47,859 | ||
Financial Liabilities: | ||||
Deposits | 9,581,054 | 9,767,068 | ||
Advances from FHLB | 198,755 | 199,184 | ||
Other borrowings | 0 | 2 | ||
Accrued expenses and other liabilities | 121,871 | 115,985 | ||
Level 3 | Carrying Value | ||||
Financial Assets: | ||||
Investment securities held-to-maturity, fair value | 35,000 | 35,000 | ||
Total loans (including loans held-for-sale) | 7,411,378 | 7,401,618 | ||
Accrued interest receivable | 72,117 | 71,400 | ||
Servicing assets | 49,553 | 49,520 | ||
Accounts receivable and other assets | 49,334 | 47,589 | ||
Financial Liabilities: | ||||
Deposits | 9,548,274 | 9,762,169 | ||
Advances from FHLB | 200,766 | 200,768 | ||
Other borrowings | 0 | 2 | ||
Accrued expenses and other liabilities | $ 121,871 | $ 115,985 |
BANKING AND FINANCIAL SERVICE_3
BANKING AND FINANCIAL SERVICE REVENUES (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Banking service revenues: | ||
Electronic banking fees | $ 13,690 | $ 13,366 |
Checking accounts fees | 2,167 | 2,220 |
Savings accounts fees | 308 | 333 |
Credit life commissions | 4 | 105 |
Branch service commissions | 346 | 422 |
Servicing and other loan fees | 568 | 881 |
International fees | 172 | 183 |
Miscellaneous income | 4 | 3 |
Total banking service revenues | 17,259 | 17,513 |
Wealth management revenue: | ||
Insurance income | 3,774 | 3,369 |
Broker fees | 2,091 | 1,784 |
Trust fees | 2,242 | 1,924 |
Other fees | 0 | 43 |
Total wealth management revenue | 8,107 | 7,120 |
Mortgage banking activities: | ||
Net servicing fees | 3,951 | 2,842 |
Net gains on sale of mortgage loans and valuation | 653 | 769 |
Net gain on repurchased loans and other | 89 | 287 |
Total mortgage banking activities | 4,693 | 3,898 |
Total banking and financial service revenues | $ 30,059 | $ 28,531 |
BUSINESS SEGMENTS (Results of O
BUSINESS SEGMENTS (Results of Operations and Selected Financial Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Segment Reporting Information [Line Items] | |||
Interest income | $ 183,426 | $ 148,985 | |
Interest expense | (39,324) | (13,088) | |
Net interest income | 144,102 | 135,897 | |
Provision for credit losses | 15,121 | 9,445 | |
Non-interest income, net | 30,348 | 28,901 | |
Non-interest expenses | (91,412) | (90,220) | |
Intersegment revenue | 0 | 0 | |
Intersegment expenses | 0 | 0 | |
Income before income taxes | 67,917 | 65,133 | |
Income tax expense | 18,225 | 18,904 | |
Net income | 49,692 | 46,229 | |
Total assets | 11,159,235 | 10,057,581 | $ 11,344,453 |
Total | |||
Segment Reporting Information [Line Items] | |||
Interest income | 184,501 | 153,556 | |
Interest expense | (40,399) | (17,659) | |
Net interest income | 144,102 | 135,897 | |
Provision for credit losses | 15,121 | 9,445 | |
Non-interest income, net | 30,348 | 28,901 | |
Non-interest expenses | (91,412) | (90,220) | |
Income before income taxes | 67,917 | 65,133 | |
Income tax expense | 18,225 | 18,904 | |
Net income | 49,692 | 46,229 | |
Total assets | 12,309,610 | 11,104,626 | |
Total | Intersubsegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Intersegment revenue | 424 | 546 | |
Intersegment expenses | (424) | (546) | |
Eliminations | |||
Segment Reporting Information [Line Items] | |||
Interest income | (1,075) | (4,571) | |
Interest expense | 1,075 | 4,571 | |
Net interest income | 0 | 0 | |
Provision for credit losses | 0 | 0 | |
Non-interest income, net | 0 | 0 | |
Non-interest expenses | 0 | 0 | |
Intersegment revenue | (424) | (546) | |
Intersegment expenses | 424 | 546 | |
Income before income taxes | 0 | 0 | |
Income tax expense | 0 | 0 | |
Net income | 0 | 0 | |
Total assets | (1,150,375) | (1,047,045) | |
Banking | Total | |||
Segment Reporting Information [Line Items] | |||
Interest income | 150,995 | 132,425 | |
Interest expense | (35,849) | (12,381) | |
Net interest income | 115,146 | 120,044 | |
Provision for credit losses | 15,225 | 9,405 | |
Non-interest income, net | 23,065 | 21,625 | |
Non-interest expenses | (85,990) | (85,365) | |
Income before income taxes | 37,420 | 47,445 | |
Income tax expense | 18,166 | 18,892 | |
Net income | 19,254 | 28,553 | |
Total assets | 9,132,772 | 8,484,413 | |
Banking | Total | Intersubsegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Intersegment revenue | 424 | 546 | |
Intersegment expenses | 0 | 0 | |
Wealth Management | Total | |||
Segment Reporting Information [Line Items] | |||
Interest income | 9 | 5 | |
Interest expense | 0 | 0 | |
Net interest income | 9 | 5 | |
Provision for credit losses | 0 | 0 | |
Non-interest income, net | 7,375 | 7,276 | |
Non-interest expenses | (4,522) | (3,955) | |
Income before income taxes | 2,595 | 2,949 | |
Income tax expense | 13 | 0 | |
Net income | 2,582 | 2,949 | |
Total assets | 32,597 | 28,605 | |
Wealth Management | Total | Intersubsegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Intersegment revenue | 0 | 0 | |
Intersegment expenses | (267) | (377) | |
Treasury | Total | |||
Segment Reporting Information [Line Items] | |||
Interest income | 33,497 | 21,126 | |
Interest expense | (4,550) | (5,278) | |
Net interest income | 28,947 | 15,848 | |
Provision for credit losses | (104) | 40 | |
Non-interest income, net | (92) | 0 | |
Non-interest expenses | (900) | (900) | |
Income before income taxes | 27,902 | 14,739 | |
Income tax expense | 46 | 12 | |
Net income | 27,856 | 14,727 | |
Total assets | 3,144,241 | 2,591,608 | |
Treasury | Total | Intersubsegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Intersegment revenue | 0 | 0 | |
Intersegment expenses | $ (157) | $ (169) |
BUSINESS SEGMENTS (Narrative) (
BUSINESS SEGMENTS (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Time Deposits | $ 1,509,613 | $ 1,623,639 | |
Eliminations | Treasury | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Time Deposits | $ 301,400 | $ 414,600 |