Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | Note 4. Loans Receivable and Allowance for Loan and Lease Losses As of June 30, 2022 December 31, 2021, (In thousands) June 30, 2022 December 31, 2021 Loan portfolio segment: Commercial Real Estate $ 448,884 $ 365,247 Residential Real Estate 138,739 158,591 Commercial and Industrial 133,281 122,810 Consumer and Other 122,858 59,364 Construction 12,221 21,781 Construction to Permanent - CRE 3,124 11,695 Loans receivable, gross 859,107 739,488 Allowance for loan and lease losses (9,929 ) (9,905 ) Loans receivable, net $ 849,178 $ 729,583 Patriot's lending activities are conducted principally in Fairfield and New Haven Counties in Connecticut and Westchester County in New York, and the five 2016. first second Patriot has established credit policies applicable to each type of lending activity in which it engages and evaluates the creditworthiness of each borrower. Unless extenuating circumstances exist, Patriot limits the extension of credit on commercial real estate loans to 75% of the market value of the underlying collateral. Patriot’s loan origination policy for multi-family residential real estate is limited to 80% of the market value of the underlying collateral. In the case of construction loans, the maximum loan-to-value is 75% of the “as completed” appraised value of the real estate project. Management monitors the appraised value of collateral on an on-going basis and additional collateral is requested when warranted. Real estate is the primary form of collateral, although other forms of collateral do exist and may Risk characteristics of the Company s portfolio classes include the following: Commercial Real Estate Loans In underwriting commercial real estate loans, Patriot evaluates both the prospective borrower’s ability to make timely payments on the loan and the value of the property securing the loans. Repayment of such loans may may During the three six June 30, 2022, three six June 30, 2021. Residential Real Estate Loans In 2013, may During the first 2022, not three six June 30, 2021, Commercial and Industrial Loans Patriot’s commercial and industrial loan portfolio consists primarily of commercial business loans and lines of credit to businesses and professionals. These loans are generally for the financing of accounts receivable, purchases of inventory, purchases of new or used equipment, or for other short- or long-term working capital purposes. These loans are generally secured by business assets but are also occasionally offered on an unsecured basis. In granting these types of loans, Patriot considers the borrower’s cash flow as the primary source of repayment, supported by the value of collateral, if any, and personal guarantees, as applicable. Repayment of commercial and industrial loans may Patriot’s syndicated and leveraged loan portfolio totaled $16.4 million and $19.6 million at June 30, 2022 December 31, 2021, not Consumer and Other Loans Patriot offers individual consumers various forms of credit including installment loans, credit cards, overdraft protection, auto loans and reserve lines of credit. Repayments of such loans are generally dependent on the personal income of the borrower, which may not The Company does not During the three six June 30, 2022, three six June 30, 2021, Construction Loans Construction loans are of a short-term nature, generally of eighteen may Included in this category are loans to construct single family homes where no may Construction to Permanent - Commercial Real Estate Loans in this category represent a one five Close of the construction facility typically occurs when events dictate, such as receipt of a certificate of occupancy and property stabilization, which is defined as cash flow sufficient to support a pre-defined minimum debt coverage ratio and other conditions and covenants particular to the loan. Construction facilities are typically variable rate instruments that, upon conversion to an amortizing mortgage loan, reset to a fixed rate instrument that is the greater of the in-force variable rate plus a predetermined spread over a reference rate (e.g., prime) or a minimum interest rate. SBA Loans Patriot originates SBA 7 2021, October 1, 2021. June 30, 2022 December 31, 2021, first 2022, first 2021, Small Business Administration Paycheck Protection Program Under the Paycheck Protection Program of the CARES Act, small business loans were authorized to pay payroll and group health costs, salaries and commissions, mortgage and rent payments, utilities, and interest on other debt. The loans are provided through participating financial institutions that process loan applications and service the loans. The Bank participated in the SBA’s Paycheck Protection Program in 2021. Paycheck Protection Program loans totaled $194,000 and $919,000 as of June 30, 2022 December 31, 2021, Allowance for Loan and Lease Losses The following tables summarize the activity in the allowance for loan and lease losses, allocated to segments of the loan portfolio, for the three six June 30, 2022 2021: (In thousands) Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer and Other Construction Construction to Permanent - CRE Unallocated Total Three months ended June 30, 2022 Allowance for loan and lease losses: March 31, 2022 $ 4,889 $ 1,512 $ 2,860 $ 319 $ 56 $ 9 $ 92 $ 9,737 Charge-offs - - - (100 ) - - - (100 ) Recoveries - - 11 6 - - - 17 Provisions (credits) 91 (117 ) (555 ) 838 2 6 10 275 June 30, 2022 $ 4,980 $ 1,395 $ 2,316 $ 1,063 $ 58 $ 15 $ 102 $ 9,929 Three months ended June 30, 2021 Allowance for loan and lease losses: March 31, 2021 $ 4,154 $ 1,909 $ 3,624 $ 382 $ 280 $ 77 $ - $ 10,426 Charge-offs (9 ) - - (2 ) (69 ) - - (80 ) Recoveries - - 12 4 - - - 16 Provisions (credits) (66 ) 94 (424 ) 7 158 67 164 - June 30, 2021 $ 4,079 $ 2,003 $ 3,212 $ 391 $ 369 $ 144 $ 164 $ 10,362 (In thousands) Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer and Other Construction Construction to Permanent - CRE Unallocated Total Six Months ended June 30, 2022 Allowance for loan and lease losses: December 31, 2021 $ 5,063 $ 1,700 $ 2,532 $ 253 $ 78 $ 41 $ 238 $ 9,905 Charge-offs - - (68 ) (147 ) (70 ) - - (285 ) Recoveries - 1 26 7 - - - 34 Provisions (credits) (83 ) (306 ) (174 ) 950 50 (26 ) (136 ) 275 June 30, 2022 $ 4,980 $ 1,395 $ 2,316 $ 1,063 $ 58 $ 15 $ 102 $ 9,929 Six Months ended June 30, 2021 Allowance for loan and lease losses: December 31, 2020 $ 4,485 $ 1,379 $ 3,284 $ 295 $ 739 $ 162 $ 240 $ 10,584 Charge-offs (51 ) (3 ) (209 ) (20 ) (69 ) - - (352 ) Recoveries - - 24 106 - - - 130 Provisions (credits) (355 ) 627 113 10 (301 ) (18 ) (76 ) - June 30, 2021 $ 4,079 $ 2,003 $ 3,212 $ 391 $ 369 $ 144 $ 164 $ 10,362 The following tables summarize, by loan portfolio segment, the amount of loans receivable evaluated individually and collectively for impairment as of June 30, 2022 December 31, 2021: (In thousands) Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer and Other Construction Construction to Permanent - CRE Unallocated Total June 30, 2022 Allowance for loan and lease losses: Individually evaluated for impairment $ 1,900 $ 4 $ 986 $ - $ - $ - $ - $ 2,890 Collectively evaluated for impairment 3,080 1,391 1,330 1,063 58 15 102 7,039 Total allowance for loan and lease losses $ 4,980 $ 1,395 $ 2,316 $ 1,063 $ 58 $ 15 $ 102 $ 9,929 Loans receivable, gross: Individually evaluated for impairment $ 15,366 $ 2,906 $ 4,702 $ 518 $ - $ - $ - $ 23,492 Collectively evaluated for impairment 433,518 135,833 128,579 122,340 12,221 3,124 - 835,615 Total loans receivable, gross $ 448,884 $ 138,739 $ 133,281 $ 122,858 $ 12,221 $ 3,124 $ - $ 859,107 (In thousands) Commercial Real Estate Residential Real Estate Commercial and Industrial Consumer and Other Construction Construction to Permanent - CRE Unallocated Total December 31, 2021 Allowance for loan and lease losses: Individually evaluated for impairment $ 1,567 $ 3 $ 722 $ - $ - $ - $ - $ 2,292 Collectively evaluated for impairment 3,496 1,697 1,810 253 78 41 238 7,613 Total allowance for loan losses $ 5,063 $ 1,700 $ 2,532 $ 253 $ 78 $ 41 $ 238 $ 9,905 Loans receivable, gross: Individually evaluated for impairment $ 15,704 $ 2,954 $ 4,031 $ 523 $ - $ - $ - $ 23,212 Collectively evaluated for impairment 349,543 155,637 118,779 58,841 21,781 11,695 - 716,276 Total loans receivable, gross $ 365,247 $ 158,591 $ 122,810 $ 59,364 $ 21,781 $ 11,695 $ - $ 739,488 Patriot monitors the credit quality of its loans receivable on an ongoing basis. Credit quality is monitored by reviewing certain indicators, including cash flow from business operations, loan to value ratios, debt service coverage ratios, and credit scores. Patriot employs a risk rating system as part of the risk assessment of its loan portfolio. At origination, credit officers are required to assign a risk rating to each loan in their portfolio, which is ratified or modified by the Loan Committee to which the loan is submitted for approval. If financial developments occur on a loan in the credit officer’s portfolio of responsibility, the risk rating is reviewed and adjusted, as applicable. In carrying out its oversight responsibilities, the Loan Committee can adjust a risk rating based on available information. In addition, the risk ratings on all commercial loans over $250,000 Additionally, Patriot retains an independent third When assigning a risk rating to a loan, management utilizes the Bank’s internal eleven not one ● Substandard: An asset is classified “substandard” if it is not not ● Doubtful: Assets classified as “doubtful” have all of the weaknesses inherent in those classified as “substandard”, with the added characteristic that the identified weaknesses make collection or liquidation-in-full improbable, on the basis of currently existing facts, conditions, and values. Charge-offs of loans to reduce the loan to its recoverable value that are solely collateral dependent, generally occur immediately upon confirmation of the partial loss amount. Loans that are cash flow dependent are modeled to reflect the expected cash flows through expected loan maturity, including any proceeds from refinancing or principal curtailment. A specific reserve is established for the amount by which the net investment in the loan exceeds the present value of discounted cash flows. Charge-offs on cash flow dependent loans also generally occur immediately upon confirmation of the partial loss amount. If either type of loan is classified as “Loss”, meaning full loss on the loan is expected, the full balance of the loan receivable is charged off, regardless of the potential recovery from a sale of the underlying collateral. Any amount that may Loan Portfolio Aging Analysis The following tables summarize performing and non-performing (i.e., non-accruing) loans receivable by portfolio segment, by aging category, by delinquency status as of June 30, 2022. (In thousands) Performing (Accruing) Loans As of June 30, 2022: 30 - 59 Days Past Due 60 - 89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total Performing Loans Non- accruing Loans Loans Receivable Gross Loan portfolio segment: Commercial Real Estate: Pass $ 798 $ - $ - $ 798 $ 412,846 $ 413,644 $ - $ 413,644 Special mention - - - - 18,421 18,421 - 18,421 Substandard 853 - - 853 600 1,453 15,366 16,819 1,651 - - 1,651 431,867 433,518 15,366 448,884 Residential Real Estate: Pass 231 - - 231 135,421 135,652 - 135,652 Substandard - - - - - - 3,087 3,087 231 - - 231 135,421 135,652 3,087 138,739 Commercial and Industrial: Pass 1,018 - - 1,018 123,616 124,634 - 124,634 Special mention - - - - 1,712 1,712 - 1,712 Substandard 1,896 108 - 2,004 205 2,209 4,726 6,935 2,914 108 - 3,022 125,533 128,555 4,726 133,281 Consumer and Other: Pass - - - - 122,690 122,690 - 122,690 Substandard - - - - 23 23 145 168 - - - - 122,713 122,713 145 122,858 Construction: Pass - - - - 12,221 12,221 - 12,221 - - - - 12,221 12,221 - 12,221 Construction to Permanent - CRE: Pass - - - - 3,124 3,124 - 3,124 - - - - 3,124 3,124 - 3,124 Total $ 4,796 $ 108 $ - $ 4,904 $ 830,879 $ 835,783 $ 23,324 $ 859,107 Loans receivable, gross: Pass $ 2,047 $ - $ - $ 2,047 $ 809,918 $ 811,965 $ - $ 811,965 Special mention - - - - 20,133 20,133 - 20,133 Substandard 2,749 108 - 2,857 828 3,685 23,324 27,009 Loans receivable, gross $ 4,796 $ 108 $ - $ 4,904 $ 830,879 $ 835,783 $ 23,324 $ 859,107 The following tables summarize performing and non-performing loans (i.e., non-accruing) receivable by portfolio segment, by aging category, by delinquency status as of December 31, 2021. (In thousands) Performing (Accruing) Loans As of December 31, 2021: 30 - 59 Days Past Due 60 - 89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total Performing Loans Non- accruing Loans Loans Receivable Gross Loan portfolio segment: Commercial Real Estate: Pass $ 696 $ - $ - $ 696 $ 324,858 $ 325,554 $ - $ 325,554 Special mention - - - - 16,625 16,625 - 16,625 Substandard - - - - 7,364 7,364 15,704 23,068 696 - - 696 348,847 349,543 15,704 365,247 Residential Real Estate: Pass - - - - 154,044 154,044 - 154,044 Special mention - - - - 1,399 1,399 - 1,399 Substandard - - - - - - 3,148 3,148 - - - - 155,443 155,443 3,148 158,591 Commercial and Industrial: Pass 243 - - 243 114,306 114,549 - 114,549 Special mention - - - - 1,951 1,951 - 1,951 Substandard - - - - 2,209 2,209 4,101 6,310 243 - - 243 118,466 118,709 4,101 122,810 Consumer and Other: Pass - 26 2 28 59,171 59,199 - 59,199 Substandard - - - - 23 23 142 165 - 26 2 28 59,194 59,222 142 59,364 Construction: Pass - - - - 21,781 21,781 - 21,781 - - - - 21,781 21,781 - 21,781 Construction to Permanent - CRE: Pass - - - - 11,695 11,695 - 11,695 - - - - 11,695 11,695 - 11,695 Total $ 939 $ 26 $ 2 $ 967 $ 715,426 $ 716,393 $ 23,095 $ 739,488 Loans receivable, gross: Pass $ 939 $ 26 $ 2 $ 967 $ 685,855 $ 686,822 $ - $ 686,822 Special mention - - - - 19,975 19,975 - 19,975 Substandard - - - - 9,596 9,596 23,095 32,691 Loans receivable, gross $ 939 $ 26 $ 2 $ 967 $ 715,426 $ 716,393 $ 23,095 $ 739,488 The following tables summarize non-performing (i.e., non-accruing) loans by aging category and status, within the applicable loan portfolio segment as of June 30, 2022 December 31, 2021: (In thousands) Non-accruing Loans 30 - 59 Days Past Due 60 - 89 Days Past Due 90 Days or Greater Past Due Total Past Due Current Total Non-accruing Loans As of June 30, 2022: Loan portfolio segment: Commercial Real Estate: Substandard $ - $ - $ 6,537 $ 6,537 $ 8,829 $ 15,366 Residential Real Estate: Substandard 682 - 1,795 2,477 610 3,087 Commercial and Industrial: Substandard 143 136 4,447 4,726 - 4,726 Consumer and Other: Substandard - - 121 121 24 145 Total non-accruing loans $ 825 $ 136 $ 12,900 $ 13,861 $ 9,463 $ 23,324 As of December 31, 2021: Loan portfolio segment: Commercial Real Estate: Substandard $ - $ - $ 15,704 $ 15,704 $ - $ 15,704 Residential Real Estate: Substandard - - 2,419 2,419 729 3,148 Commercial and Industrial: Substandard - 491 2,458 2,949 1,152 4,101 Consumer and Other: Substandard - 94 28 122 20 142 Total non-accruing loans $ - $ 585 $ 20,609 $ 21,194 $ 1,901 $ 23,095 If non-accrual loans had been performing in accordance with the original contractual terms, additional interest income (net of cash collected) of approximately $115,000 and $221,000 would have been recognized during the three six June 30, 2022, three six June 30, 2021, Interest income collected and recognized on non-accruing loans for the three six June 30, 2022 three six June 30,2021, The accrual of interest on loans is discontinued at the time the loan is 90 no All interest accrued, but not six 90 not $100,000 not Troubled Debt Restructurings ( TDR ) On a case-by-case basis, Patriot may may Substantially all TDR loan modifications involve lowering the monthly payments on such loans through either a reduction in interest rate below market rate, an extension of the term of the loan, or a combination of adjusting these two may may six The following table summarizes the recorded investment in TDRs as of June 30, 2022 December 31, 2021: (In thousands) June 30, 2022 December 31, 2021 Loan portfolio segment: Number of Loans Recorded Investment Number of Loans Recorded Investment Commercial Real Estate 1 $ 8,828 1 $ 8,884 Residential Real Estate 3 840 3 870 Commercial and Industrial 1 118 0 - Consumer and Other 3 634 3 640 Total TDR Loans 8 10,420 7 10,394 Less: TDRs included in non-accrual loans 4 (9,721 ) 3 (9,688 ) Total accrual TDR Loans 4 $ 699 4 $ 706 The following loans were modified as TDRs during the three six June 30, 2022: Outstanding Recorded Investment (In thousands) Number of Loans Pre-Modification Post-Modification Loan portfolio segment: Commercial and Industrial 1 $ 118 $ 118 Total TDR Loans 1 $ 118 $ 118 The following table provides information on how loans were modified as TDRs: (In thousands) 6/30/2022 Payment deferral 118 Total $ 118 During the three six June 30, 2021, The loans modified in a TDR often involve reducing the interest rate for the remaining term of the loan, extending the maturity date at an interest rate lower than the current market rate for new debt with similar risk, extending the interest-only payment period, or substituting or adding a co-borrower or guarantor. There were no defaults of TDRs during the three six June 30, 2022 2021. June 30, 2022 December 31, 2021, The balances reflected here as TDR’s are also included in the non-accruing loan balance included in the prior table - Loan Portfolio Aging Analysis. Impaired Loans The following table reflects information about the impaired loans by class as of June 30, 2022 December 31, 2021: (In thousands) June 30, 2022 December 31, 2021 Recorded Investment Principal Outstanding Related Allowance Recorded Investment Principal Outstanding Related Allowance With no related allowance recorded: Commercial Real Estate $ 6,537 $ 7,552 $ - $ 6,820 $ 7,776 $ - Residential Real Estate 2,800 2,745 - 2,847 2,763 - Commercial and Industrial 603 736 - 630 758 - Consumer and Other 518 518 - 523 523 - 10,458 11,551 - 10,820 11,820 - With a related allowance recorded: Commercial Real Estate $ 8,829 $ 8,800 $ 1,900 8,884 8,811 1,567 Residential Real Estate 446 480 7 461 488 8 Commercial and Industrial 4,124 4,798 986 3,471 3,916 723 Consumer and Other 167 200 2 166 201 1 13,566 14,278 2,895 12,982 13,416 2,299 Impaired Loans, Total: Commercial Real Estate 15,366 16,352 1,900 15,704 16,587 1,567 Residential Real Estate 3,246 3,225 7 3,308 3,251 8 Commercial and Industrial 4,727 5,534 986 4,101 4,674 723 Consumer and Other 685 718 2 689 724 1 Impaired Loans, Total $ 24,024 $ 25,829 $ 2,895 $ 23,802 $ 25,236 $ 2,299 The following table summarizes additional information regarding impaired loans by class for the three six June 30, 2022 2021. Three Months Ended June 30, Six Months Ended June 30, (In thousands) 2022 2021 2022 2021 Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized With no related allowance recorded: Commercial Real Estate $ 6,611 $ 32 $ 8,188 $ 39 $ 6,697 $ 64 $ 6,979 $ 39 Residential Real Estate 2,818 10 4,276 16 2,829 18 4,280 29 Commercial and Industrial 607 2 4,741 25 614 5 3,608 71 Consumer and Other 520 4 713 1 521 9 854 6 10,556 48 17,918 81 10,661 96 15,721 145 With a related allowance recorded: Commercial Real Estate 8,843 40 8,813 - 8,858 65 8,812 - Residential Real Estate 453 2 270 5 456 4 201 8 Commercial and Industrial 3,967 29 2,031 32 3,766 50 1,161 58 Consumer and Other 168 1 86 2 166 2 50 3 13,431 72 11,200 39 13,246 121 10,224 69 Impaired Loans, Total: Commercial Real Estate 15,454 72 17,001 39 15,555 129 15,791 39 Residential Real Estate 3,271 12 4,546 21 3,285 22 4,481 37 Commercial and Industrial 4,574 31 6,772 57 4,380 55 4,769 129 Consumer and Other 688 5 799 3 687 11 904 9 Impaired Loans, Total $ 23,987 $ 120 $ 29,118 $ 120 $ 23,907 $ 217 $ 25,945 $ 214 Impaired loans may June 30, 2022. five $100,000, not At December 31, 2021, three thirty-four $100,000, not For collateral dependent loans, appraisal reports of the underlying collateral have been obtained from independent licensed appraisal firms. For non-performing loans, the independently determined appraised values were first may may Loans not no |