Village Bank and Trust Financial (VBFC) 10-K20 Mar 232022 FY Annual reportFinancial data

Company Profile

Document And Entity Information

Document And Entity Information - USD ($)	12 Months Ended
Document And Entity Information - USD ($)	Dec. 31, 2022	Mar. 01, 2023	Jun. 30, 2022
Document And Entity Information [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Document Transition Report	false
Entity File Number	0-50765
Entity Registrant Name	Village Bank & Trust Financial Corp.
Entity Incorporation, State or Country Code	VA
Entity Tax Identification Number	16-1694602
Entity Address, Address Line One	13319 Midlothian Turnpike
Entity Address, City or Town	Midlothian
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	23113
City Area Code	804
Local Phone Number	897-3900
Title of 12(b) Security	Common Stock, $4.00 par value
Trading Symbol	VBFC
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	false
Entity Shell Company	false
Entity Public Float			$ 27,310,000
Entity Common Stock, Shares Outstanding		1,483,575
Entity Central Index Key	0001290476
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false
Auditor Name	Yount, Hyde & Barbour, P.C.
Auditor Location	Richmond, Virginia
Auditor Firm ID	613

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Assets
Cash and due from banks	$ 12,062,000	$ 12,071,000
Federal funds sold	4,616,000	80,545,000
Total cash and cash equivalents	16,678,000	92,616,000
Investment securities available for sale, at fair value	133,853,000	94,699,000
Restricted stock, at cost	1,564,000	694,000
Loans held for sale	2,268,000	5,141,000
Loans
Outstandings	538,427,000	526,457,000
Allowance for loan losses	(3,370,000)	(3,423,000)
Deferred fees and costs, net	588,000	(433,000)
Total loans, net	535,645,000	522,601,000
Premises and equipment, net	11,748,000	11,824,000
Bank owned life insurance	12,798,000	12,494,000
Accrued interest receivable	3,651,000	3,245,000
Other assets	5,065,000	5,087,000
Total Assets	723,270,000	748,401,000
Deposits
Noninterest bearing demand	255,236,000	268,804,000
Interest bearing	369,507,000	395,244,000
Total deposits	624,743,000	664,048,000
Long-term debt - trust preferred securities	8,764,000	8,764,000
Subordinated debt, net	5,692,000	5,660,000
Other borrowings	20,000,000	0
Accrued interest payable	70,000	68,000
Other liabilities	2,890,000	6,460,000
Total liabilities	662,159,000	685,000,000
Shareholders' equity
Common stock, $4 par value, 10,000,000 shares authorized; 1,482,790 shares issued and outstanding at June 30, 2022 and 1,473,469 shares issued and outstanding at December 31, 2021	5,868,000	5,822,000
Additional paid-in capital	55,167,000	54,814,000
Retained earnings	10,957,000	3,509,000
Stock in directors rabbi trust	(689,000)	(730,000)
Directors deferred fees obligation	689,000	730,000
Accumulated other comprehensive loss	(10,881,000)	(744,000)
Total shareholders' equity	61,111,000	63,401,000
Total liabilities and shareholders' equity	$ 723,270,000	$ 748,401,000

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2022	Dec. 31, 2021
Consolidated Balance Sheets
Common stock, par value (in dollars per share)	$ 4	$ 4
Common stock, shares authorized (in shares)	10,000,000	10,000,000
Common stock, shares issued (in shares)	1,482,790	1,473,469
Common stock, shares outstanding (in shares)	1,482,790	1,473,469

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($)	12 Months Ended
Consolidated Statements of Income - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Interest income
Loans	$ 24,776,000	$ 26,560,000
Investment securities	2,244,000	1,052,000
Federal funds sold	467,000	55,000
Total interest income	27,487,000	27,667,000
Interest expense
Deposits	1,079,000	1,576,000
Borrowed funds	702,000	596,000
Total interest expense	1,781,000	2,172,000
Net interest income	25,706,000	25,495,000
Recovery of loan losses	(300,000)	(500,000)
Net interest income after provision for (recovery of) loan losses	26,006,000	25,995,000
Noninterest income
Service charges and fees	2,625,000	2,352,000
Mortgage banking income, net	3,427,000	9,521,000
Gain on sale of Small Business Administration loans	79,000
Other	471,000	470,000
Total noninterest income	6,602,000	12,343,000
Noninterest expense
Salaries and benefits	13,768,000	14,105,000
Occupancy	1,216,000	1,375,000
Equipment	1,102,000	1,041,000
Supplies	158,000	174,000
Professional and outside services	2,776,000	2,835,000
Advertising and marketing	386,000	453,000
Foreclosed assets, net		(8,000)
FDIC insurance premium	237,000	192,000
Other operating expense	2,670,000	2,298,000
Total noninterest expense	22,313,000	22,465,000
Income before income tax expense	10,295,000	15,873,000
Income tax expense	1,990,000	3,420,000
Net income	$ 8,305,000	$ 12,453,000
Earnings per share, basic	$ 5.62	$ 8.48
Earnings per share, diluted	$ 5.62	$ 8.48

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Consolidated Statements of Comprehensive Income (Loss)
Net income	$ 8,305	$ 12,453
Other comprehensive loss
Unrealized holding losses arising during the period	(12,843)	(1,497)
Tax effect	2,697	314
Net change in unrealized holding losses on securities available for sale, net of tax	(10,146)	(1,183)
Minimum pension adjustment	14	14
Tax effect	(5)	(5)
Minimum pension adjustment, net of tax	9	9
Total other comprehensive loss	(10,137)	(1,174)
Total comprehensive (loss) income	$ (1,832)	$ 11,279

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Retained Earnings	Stock in Directors Rabbi Trust	Directors Deferred Fees Obligation.	Accumulated Other Comprehensive Income (Loss)	Total
Balance at Dec. 31, 2020	$ 5,794	$ 54,510	$ (8,738)	$ (771)	$ 771	$ 430	$ 51,996
Vesting of restricted stock	28	(28)		41	(41)
Stock based compensation		332					332
Cash dividend declared ($0.14 per share)			(206)				(206)
Net income			12,453				12,453
Other comprehensive loss						(1,174)	(1,174)
Balance at Dec. 31, 2021	5,822	54,814	3,509	(730)	730	(744)	63,401
Vesting of restricted stock	43	(43)		41	(41)
Exercise of stock options	3	15					18
Stock based compensation		381					381
Cash dividend declared ($0.14 per share)			(857)				(857)
Net income			8,305				8,305
Other comprehensive loss						(10,137)	(10,137)
Balance at Dec. 31, 2022	$ 5,868	$ 55,167	$ 10,957	$ (689)	$ 689	$ (10,881)	$ 61,111

Consolidated Statements of Sh_2

Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Consolidated Statements of Shareholders' Equity
Cash dividends declared, per share	$ 0.58	$ 0.14

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
Consolidated Statements of Cash Flows - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Cash Flows from Operating Activities
Net income	$ 8,305,000	$ 12,453,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	546,000	582,000
Amortization of debt issuance costs	32,000	32,000
Deferred income taxes	146,000	699,000
Recovery of loan losses	(300,000)	(500,000)
Gain on sale of Small Business Administration loans	(79,000)
Gain on sales of loans held for sale	(4,751,000)	(11,762,000)
Gain on sale of other real estate owned	0	(8,000)
Loss on disposal of premises and equipment	3,000	10,000
Stock compensation expense	381,000	332,000
Proceeds from sale of mortgage loans	169,995,000	339,827,000
Origination of mortgage loans held for sale	(162,371,000)	(298,785,000)
Amortization of premiums and accretion of discounts on securities, net	58,000	261,000
Increase in bank owned life insurance	(304,000)	(280,000)
Net change in:
Interest receivable	(406,000)	1,698,000
Other assets	2,582,000	1,383,000
Interest payable	2,000	(126,000)
Other liabilities	(3,570,000)	(3,283,000)
Net cash provided by operating activities	10,269,000	42,533,000
Cash Flows from Investing Activities
Purchases of available for sale securities	(65,488,000)	(72,239,000)
Proceeds from maturities, calls and paydowns of available for sale securities	13,433,000	16,626,000
Net (increase) decrease in loans	(12,665,000)	32,884,000
Proceeds from sale of other real estate owned	0	344,000
Purchases of premises and equipment, net	(473,000)	(637,000)
Purchase of bank owned life insurance	0	(4,408,000)
(Purchase) redemptions of restricted stock, net	(870,000)	131,000
Net cash used in investing activities	(66,063,000)	(27,299,000)
Cash Flows from Financing Activities
Proceeds from Stock Options Exercised	18,000
Cash dividends paid	(857,000)	(206,000)
Net increase in deposits	(39,305,000)	75,666,000
Net decrease in other borrowings	20,000,000	(41,529,000)
Net cash provided by financing activities	(20,144,000)	33,931,000
Net (decrease) increase in cash and cash equivalents	(75,938,000)	49,165,000
Cash and cash equivalents, beginning of period	92,616,000	43,451,000
Cash and cash equivalents, end of period	16,678,000	92,616,000
Supplemental Disclosure of Cash Flow Information
Cash payments for interest	1,779,000	2,298,000
Cash payments for taxes	1,960,000	3,062,000
Supplemental Schedule of Non-Cash Activities
Unrealized losses on securities available for sale	(12,843,000)	(1,497,000)
Right of use assets obtained in exchange for new operating lease liabilities	263,000	243,000
Minimum pension adjustment	$ 14,000	$ 14,000

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
Summary of Significant Accounting Policies	Dec. 31, 2022
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	Note 1. Summary of Significant Accounting Policies The accounting and reporting policies of Village Bank and Trust Financial Corp. and subsidiary (the “Company”) conform to accounting principles generally accepted in the United States of America (“GAAP”) and to general practice within the banking industry. The following is a description of the more significant of those policies: Business The Company is the holding company of Village Bank (the “Bank”). The Bank opened to the public on December 13, 1999 as a traditional community bank offering deposit and loan services to individuals and businesses in the Richmond, Virginia metropolitan area. In 2017, the Bank entered the Williamsburg, Virginia market by opening a full service branch. Village Bank Mortgage Corporation (the “Mortgage Company”) is a full service mortgage banking company wholly-owned by the Bank. The Bank is subject to regulations of certain federal and state agencies and undergoes periodic examinations by those regulatory authorities. As a consequence of the extensive regulation of commercial banking activities, the Bank’s business is susceptible to being affected by state and federal legislation and regulations. The majority of the Company’s real estate loans are collateralized by properties in the Richmond, Virginia metropolitan area. Accordingly, the ultimate collectability of those loans collateralized by real estate is particularly susceptible to changes in market conditions in the Richmond area. Basis of presentation and consolidation The consolidated financial statements include the accounts of the Company, the Bank and the Mortgage Company. All material intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications have been made to the prior year financial statements to conform to current year presentation. The results of the reclassifications are not considered material. Use of estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the balance sheets dates and revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. Material estimates that are particularly susceptible to significant change include the determination of the allowance for loan losses and its related provision, including impaired loans, and the valuation of deferred tax asset. Securities At the time of purchase, debt securities are classified into the following categories: held to maturity, available for sale or trading. Debt securities that the Company has both the positive intent and ability to hold to maturity are classified as held to maturity. Held to maturity securities are stated at amortized cost adjusted for amortization of premiums and accretion of discounts on purchase using a method that approximates the effective interest method. Investments classified as trading or available for sale are stated at fair value. Changes in fair value of trading investments are included in current earnings while changes in fair value of available for sale investments are excluded from current earnings and reported, net of taxes, as a separate component of other comprehensive income. Presently, the Company does not maintain a portfolio of trading securities or held to maturity. The fair value of investment securities available for sale is estimated based on quoted prices for similar assets determined by bid quotations received from independent pricing services. Declines in the fair value of securities below their amortized cost that are other than temporary are reflected in earnings or other comprehensive income, as appropriate. For those debt securities whose fair value is less than their amortized cost basis, we consider our intent to sell the security, whether it is more likely than not that we will be required to sell the security before recovery and if we do not expect to recover the entire amortized cost basis of the security. In analyzing an issuer’s financial condition, we may consider whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred and the results of reviews of the issuer’s financial condition. Restricted stock, at cost. Interest income is recognized when earned. Realized gains and losses for securities classified as available-for-sale are included in earnings and are derived using the specific identification method for determining the cost of securities sold. Mortgage Banking and Derivatives Loans held for sale. The Company, through the Bank’s mortgage banking subsidiary, the Mortgage Company, originates residential mortgage loans for sale in the secondary market. Residential mortgage loans held for sale are sold to the permanent investor with the mortgage servicing rights released. The Company uses fair value accounting for its entire portfolio of loans held for sale (“LHFS”) in accordance with Accounting Standards Codification (“ASC”) 820 - Fair Value Measurement and Disclosures. Fair value of the Company’s LHFS is based on observable market prices for identical instruments traded in the secondary mortgage loan markets in which the Company conducts business and totaled $2.3 million as of December 31, 2022, of which $2.2 million is related to unpaid principal, and totaled $5.1 million as of December 31, 2021, of which $5.0 million is related to unpaid principal. The Company’s portfolio of LHFS is classified as Level 2. Interest Rate Lock Commitments and Forward Sales Commitments. The Company uses fair value accounting for its forward sales commitments related to IRLCs and LHFS under ASC 825-10-15-4(b). The fair value of forward sales commitments is reported in “Other Liabilities” in the Consolidated Balance Sheet at December 31, 2022, and totaled $207,000, with a notional amount of $12.1 million and total positions of 38, and at December 31, 2021, totaled $651,000, with a notional amount of $24.3 million and total positions of 95. Transfers of financial assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when: (1) the assets have been isolated from the Bank and put presumptively beyond the reach of the transferor and its creditors, even in bankruptcy or other receivership, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Bank does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets. Our transfers of financial assets are limited to commercial loan participations sold, which were insignificant for 2022 and 2021 and the sale of residential mortgage loans in the secondary market; the extent of which are disclosed in the Consolidated Statements of Cash Flows. Loans Loans are stated at the principal amount outstanding, net of unearned income. Loan origination fees and certain direct loan origination costs are deferred and amortized to interest income over the life of the loan as an adjustment to the loan’s yield over the term of the loan. A loan’s past due status is based on the contractual due date of the most delinquent payment dates. Interest is accrued on outstanding principal balances, unless the Company considers collection to be doubtful. Commercial and unsecured consumer loans are designated as nonaccrual when payment is delinquent 90 days or at the point which the Company considers collection doubtful, if earlier. Mortgage loans and most other types of consumer loans past due 90 days or more may remain on accrual status if management determines that such amounts are collectible. When loans are placed in nonaccrual status, previously accrued and unpaid interest is reversed against interest income in the current period and interest is subsequently recognized only to the extent cash is received as long as the remaining recorded investment in the loan is deemed fully collectible. Loans may be placed back on accrual status when, in the opinion of management, the circumstances warrant such action such as a history of timely payments subsequent to being placed on nonaccrual status, additional collateral is obtained or the borrowers cash flows improve. Standby letters of credit are written conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. The total contractual amount of standby letters of credit, whose contract amounts represent credit risk, was approximately $922,000 at December 31, 2022 and approximately $4,680,000 at December 31, 2021. Below is a summary of the current loan segments: Construction and land development loans amount of the loan. Construction loans also bear the risk that the general contractor, who may or may not be a loan customer, may be unable to finish the construction project as planned because of financial pressure unrelated to the project. Commercial real estate loans Consumer real estate loans Commercial and industrial Consumer and other loans Guaranteed student loans We also purchase the guaranteed portion of United State Department of Agriculture Loans (“USDA”) which are guaranteed by the USDA for 100% of the principal and interest. The originating institution holds the unguaranteed portion of the loan and services the loan. These loans are typically purchased at a premium. In the event of a loan default or early prepayment the Bank may need to write off any unamortized premium. These loans are included in the commercial and industrial loan segment. Allowance for loan losses The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is probable. Subsequent recoveries, if any, are credited to the allowance. The allowance represents an amount that, in management’s judgment, will be adequate to absorb probable losses inherent in the loan portfolio. Management’s judgment in determining the adequacy of the allowance is based on evaluations of the collectability of loans while taking into consideration such factors as changes in the nature and volume of the loan portfolio, current economic conditions which may affect a borrower’s ability to repay, overall portfolio quality, and review of specific potential losses. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of general and specific components. The general component covers non-classified loans and is based on historical loss experience and risk characteristics (i.e. trends in delinquencies and other nonperforming loans, changes in economic conditions on both a local and national level, and changes in the categories of loans comprising the loan portfolio) adjusted for qualitative factors. The specific component relates to loans that we have concluded, based on the value of collateral, guarantees and any other pertinent factors, have known losses. For such loans that are also classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis by either the present value of the expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent. Troubled debt restructurings (“TDR”) A loan or lease is accounted for as a TDR if we, for economic or legal reasons related to the borrower’s financial condition, grant a significant concession to the borrower that we would not otherwise consider. A TDR may involve the receipt of assets from the debtor in partial or full satisfaction of the loan or lease, or a modification of terms such as a reduction of the stated interest rate or balance of the loan or lease, a reduction of accrued interest, an extension of the maturity date at a stated interest rate lower than the current market rate for a new loan with similar risk, or some combination of these concessions. TDRs generally remain categorized as nonperforming loans and leases until a six-month payment history has been maintained. In accordance with current accounting guidance, loans modified as troubled debt restructurings are, by definition, considered to be impaired loans. Impairment for these loans is measured on a loan-by-loan basis similar to other impaired loans as described above under “ Allowance for loan losses”. Loan modifications made under the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), as amended by the Consolidated Appropriations Act, 2021 (the “Appropriations Act”), were suspended from TDR evaluation. Other real estate owned Real estate acquired through or in lieu of foreclosure is initially recorded at estimated fair value less estimated selling costs establishing a new cost basis. There were no assets held as other real estate owned (“OREO”) as of December 31, 2022 and December 31, 2021. Subsequent to the date of acquisition, it is carried at the lower of cost or fair value, adjusted for net selling costs. If fair value declines subsequent to foreclosure a valuation allowance is recorded through expense. Operating costs after acquisition are expensed as incurred. Costs relating to the development and improvement of such property are capitalized when appropriate, whereas those costs relating to holding the property are expensed. Assets held for sale There were no assets held for sale at December 31, 2022 and 2021. The Company periodically evaluates the value of assets held for sale and records an impairment charge for any subsequent declines in fair value less selling costs. Premises and equipment Land is carried at cost. Premises and equipment are carried at cost less accumulated depreciation and amortization. Depreciation of buildings and improvements is computed using the straight-line method over the estimated useful lives of the assets of 39 years. Depreciation of equipment is computed using the straight-line method over the estimated useful lives of the assets ranging from three seven Supplemental Executive Retirement Plan The Company recognizes the unfunded status of its Supplemental Executive Retirement Plan (the “SERP”) as a liability in its Consolidated Balance Sheets, measured at the projected benefit obligation as of December 31, 2022 and 2021. Net periodic pension costs are recorded each period based on actuarially determined amounts in accordance with GAAP and recognized in salaries and employment benefits in the Consolidated Statements of Income. Actuarial determinations of net periodic pension cost are based on assumptions related to discount rates, employee compensation and mortality and interest crediting rates. Other changes in the status of the plan are recorded in the year in which the changes occur through other comprehensive income. Income taxes Deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted tax rates applicable to future years to differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. The effect on recorded deferred income taxes of a change in tax laws or rates is recognized in income in the period that includes the enactment date. To the extent that available evidence about the future raises doubt about the realization of a deferred income tax asset, a valuation allowance is established. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. Interest and penalties associated with unrecognized tax benefits are classified as taxes other than income in the statement of income. The Company has no uncertain tax positions. Consolidated statements of cash flows For purposes of reporting cash flows, cash and cash equivalents include cash on hand, due from banks (including cash items in process of collection), interest-bearing deposits with banks and federal funds sold. Generally, federal funds are purchased and sold for one-day periods. Cash flows from loans originated by the Bank for investment and deposits are reported net. Comprehensive income Total comprehensive income consists of net income and other comprehensive income (loss). At December 31, 2022 and 2021, the accumulated other comprehensive income (loss) was comprised of unrealized (losses) on securities available for sale of $(10,862,000) and $(717,000), and unfunded pension liability of ($19,000) and ($27,000) net of tax, respectively. Earnings per common share Basic earnings per common share represent net income available to common shareholders, which represents net income less dividends paid or payable to preferred stock shareholders, divided by the weighted-average number of common shares outstanding during the period, inclusive of unvested restricted shares (Note 10). For diluted earnings per common share, net income available to common shareholders is divided by the weighted average number of common shares issued and outstanding for each period plus amounts representing the dilutive effect of stock options, as well as any adjustment to income that would result from the assumed issuance. The effects of stock options and warrants are excluded from the computation of diluted earnings per common share in periods in which the effect would be antidilutive. Stock options and warrants are antidilutive if the underlying average market price of the stock that can be purchased for the period is less than the exercise price of the option or warrant. Potential dilutive common shares that may be issued by the Company relate solely to outstanding stock options and warrants and are determined using the treasury stock method. Stock incentive plan On May 26, 2015, the Company’s shareholders approved the adoption of the Village Bank and Trust Financial Corp. 2015 Stock Incentive Plan (the “2015 Plan”) authorizing the issuance of up to 60,000 shares of common stock. On May 19, 2020, the Company’s shareholders approved an amendment to the 2015 Plan authorizing the issuance of up to 120,000 shares of common stock. See Note 14 for more information on the 2015 Plan. Fair values of financial instruments The fair value of an asset or liability is the price that would be received to sell that asset or paid to transfer that liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability (exit price) shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are independent, knowledgeable, able to transact and willing to transact. See Note 18 for the methods and assumptions the Company uses in estimating fair values of financial instruments. Revenue recognition The Company recognizes revenue as it is earned in accordance with Accounting Standards Update (“ASU”) 2014-09. The following discussion is of revenues that are within the scope of the this guidance: ● Debit and credit interchange fee income - Card processing fees consist of interchange fees from consumer debit and credit card networks and other card related services. Interchange fees are based on purchase volumes and other factors and are recognized as transactions occur. ● Service charges on deposit accounts - Revenue from service charges on deposit accounts is earned through deposit-related services, as well as overdraft, non-sufficient funds, account management and other deposit related fees. Revenue is recognized for these services either over time, corresponding with deposit accounts’ monthly cycle, or at a point in time for transactional related services and fees. ● Service charges on loan accounts - Revenue from loan accounts consists primarily of fees earned on prepayment penalties. Revenue is recognized for the services at a point in time for transactional related services and fees. ● Gains/Losses on sale of OREO - The Company records a gain or loss from the sale of OREO when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of OREO to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these criteria are met, the OREO asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. ● Gains/Losses on sale of assets held for sale – The Company records a gain or loss from the sale of assets held for sale when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of assets held for sale to the buyer, the Company assess whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probably. Once these criteria are met, the asset held for sale is derecognized and the gain or loss on sale is recorded upon transfer of control of the property to the buyer. Segments The Company has two reportable segments: traditional commercial banking and mortgage banking. Revenues from commercial banking operations consist primarily of interest earned on loans and securities and fees from deposit services. Mortgage banking operating revenues consist principally of interest earned on mortgage LHFS, gains on sales of loans in the secondary mortgage market, and loan origination fee income, net of commissions paid. The commercial banking segment provides the mortgage banking segment with the short-term funds needed to originate mortgage loans through a warehouse line of credit and charges the mortgage banking segment interest based on the commercial banking segment’s cost of funds. Additionally, the mortgage banking segment leases premises from the commercial banking segment. These transactions are eliminated in the consolidation process. See additional information at Note 19, Segment Reporting. Recent accounting pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The amendments in this ASU, among other things, require the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Among other things, the ASU also amended the impairment model for available for sale securities and addressed purchased financial assets with deterioration. The company adopted ASU 2016-13 as of January 1, 2023 in accordance with the required implementation date and recorded the impact of adoption to retained earnings, net of deferred income taxes, as required by the standard. The adjustment recorded at adoption was not significant to the overall allowance for credit losses or shareholders’ equity as compared to December 31, 2022 and consisted of adjustments to the allowance for credit losses on loans as well as an adjustment to the Company’s reserve for unfunded loan commitments. Subsequent to adoption, the company will record adjustments to its allowance for credit losses and reserves for unfunded commitments through the provision for credit losses in the consolidated statements of income. The Company is utilizing a third-party model to tabulate its estimate of current expected credit losses, using a weighted average remaining maturity (“WARM”) methodology. In accordance with ASC 326, the Company has segmented its loan portfolio based on similar risk characteristics by call report code. The Company primarily utilizes the short-term natural rate of unemployment forecast based on the Federal Open Market Committee’s projection of unemployment for its reasonable and supportable forecasting of current expected credit losses. To further adjust the allowance for credit losses for expected losses not already included within the quantitative component of the calculation, the Company may consider the following qualitative adjustment factors: changes in lending policies and procedures including changes in underwriting standards, and collections, charge-offs, and recovery practices, changes in international, national, regional, and local conditions, changes in the nature and volume of the portfolio and terms of loans, changes in experience, depth, and ability of lending management, changes in the volume and severity of past due loans and other similar conditions, changes in the quality of the organization’s loan review system, changes in the value of underlying collateral for collateral dependent loans, the existence and effect of any concentrations of credit and changes in the levels of such concentrations, and the effect of other external factors (i.e. competition, legal and regulatory requirements) on the level of estimated credit losses. The Company’s CECL implementation process was overseen by the Chief Financial Officer and included an assessment of data availability and gap analysis, data collection, consideration and analysis of multiple loss estimation methodologies, an assessment of relevant qualitative factors and correlation analysis of multiple potential loss drivers and their impact on the Company’s historical loss experience. During 2022, the Company calculated its current expected credit losses model in parallel to its incurred loss model to further refine the methodology and model. In addition, the Company utilized internal personnel who were not involved in the development of the model to perform a comprehensive model validation. In December 2022, the FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848”. ASU 2022-06 extends the period of time preparers can utilize the reference rate reform relief guidance in Topic 848. The objective of the guidance in Topic 848 is to provide relief during the temporary transition period, so the FASB included a sunset provision within Topic 848 based on expectations of when the London Interbank Offered Rate (LIBOR) would cease being published. In 2021, the UK Financial Conduct Authority (FCA) delayed the intended cessation date of certain tenors of USD LIBOR to June 30, 2023. To ensure the relief in Topic 848 covers the period of time during which a significant number of modifications may take place, the ASU defers the sunset date of Topic 848 from December 31, 2022, to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The ASU is effective for all entities upon issuance. The Company is assessing ASU 2022-06 and its impact on the Company’s transition away from LIBOR for its loan and other financial instruments. In March 2022, the FASB issued ASU 2022-02 “Financial Instruments – Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures.” ASU 2022-02 addresses areas identified by the FASB as part of its post implementation review of the credit losses standard (ASU 2016-13) that introduced the current expected credit losses (“CECL”) model. The amendments eliminate the accounting guidance for TDRs by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendments in this ASU should be applied prospectively, except for the transition method related to the recognition and measurement of TDRs, an entity has the option to apply a modified retrospective transition method, resulting in a cumulative-effect adjustment to retained earnings in the period of adoption. For entities that have adopted ASU 2016-13, ASU 2022-02 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. For entities that have not yet adopted ASU 2016-13, the effective dates for ASU 2022-02 are the same as the effective dates in ASU 2016-13. Early adoption is permitted if an entity has adopted ASU 2016-13. An entity may elect to early adopt the amendments about TDRs and related disclosure enhancements separately from the amendments related to vintage disclosures. The Company is currently assessing the impact that ASU 2022-02 will have on its consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” These amendments provide temporary optional guidance to ease the potential burden in accounting for reference rate reform. The ASU provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. It is intended to help stakeholders during the global market-wide reference rate transition period. The guidance is effective for all entities as of March 12, 2020 through December 31, 2022. Subsequently, in January 2021, the FASB issued ASU 2021-01 “Reference Rate Reform (Topic 848): Scope.” This ASU clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The ASU also amends the expedients and exceptions in Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments aff

Investment Securities Available

Investment Securities Available for Sale	12 Months Ended
Investment Securities Available for Sale	Dec. 31, 2022
Investment securities available for sale
Investment securities available for sale	Note 2. Investment Securities Available for Sale The amortized cost and fair value of investment securities available for sale as of December 31, 2022 and 2021 are as follows (in thousands): Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value December 31, 2022 U.S. Government agency obligations $ 64,631 $ 5 $ (3,734) $ 60,902 Mortgage-backed securities 69,151 6 (8,597) 60,560 Municipals 2,268 — (718) 1,550 Subordinated debt 11,553 29 (741) 10,841 $ 147,603 $ 40 $ (13,790) $ 133,853 December 31, 2021 U.S. Government agency obligations $ 41,513 $ 22 $ (536) $ 40,999 Mortgage-backed securities 40,806 302 (613) 40,495 Municipals 2,271 — (62) 2,209 Subordinated debt 11,016 90 (110) 10,996 $ 95,606 $ 414 $ (1,321) $ 94,699 At December 31, 2022, the Company had investments securities with a fair value of $5,613,000 pledged to secure borrowings from the Federal Home Loan Bank of Atlanta (“FHLB”). At December 31, 2021, the Company had no investment securities pledged to secure borrowings from the FHLB. There were no sales of available for sale securities for the years ended December 31, 2022 and December 31, 2021. Investment securities available for sale that had an unrealized loss position at December 31, 2022 and December 31, 2021 are detailed below (in thousands): Securities in a loss Securities in a loss position for less than position for more than 12 Months 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses December 31, 2022 U.S. Government agency obligations $ 21,848 $ (723) $ 37,256 $ (3,011) $ 59,104 $ (3,734) Mortgage-backed securities 36,089 (3,588) 22,549 (5,009) 58,638 (8,597) Municipals — — 1,549 (718) 1,549 (718) Subordinated debt 5,305 (498) 2,007 (243) 7,312 (741) $ 63,242 $ (4,809) $ 63,361 $ (8,981) $ 126,603 $ (13,790) December 31, 2021 U.S. Government agency obligations $ 39,617 $ (536) $ — $ — $ 39,617 $ (536) Mortgage-backed securities 21,911 (448) 4,518 (165) 26,429 (613) Municipals 2,208 (62) — — 2,208 (62) Subordinated debt 919 (80) 470 (30) 1,389 (110) $ 64,655 $ (1,126) $ 4,988 $ (195) $ 69,643 $ (1,321) As of December 31, 2022, there were $63.4 million, or 28 issues, of individual available for sale securities that had been in a continuous loss position for more than 12 months. These securities had an unrealized loss of $9.0 million and consisted of U.S. Government agency obligations, mortgage-backed securities, municipals and subordinated debt. As of December 31, 2021, there were $5.0 million, or five issues, of individual available for sale securities that had been in a continuous loss position for more than 12 months. These securities had an unrealized loss of $195,000 and consisted of mortgage-backed securities and subordinated debt. All of the unrealized losses are attributable to increases in interest rates and not to credit deterioration. Currently, the Company believes that it is probable that the Company will be able to collect all amounts due according to the contractual terms of the investments. Because the declines in fair value are attributable to changes in interest rates and not to credit quality, and because it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost bases, which may be maturity, the Company does not consider these investments to be other than temporarily impaired at December 31, 2022. The amortized cost and estimated fair value of investment securities available for sale as of December 31, 2022, by contractual maturity, are as follows (in thousands): Amortized Cost Fair Value Less than one year $ 10,034 $ 9,735 One to five years 55,643 52,198 Five to ten years 15,484 14,427 More than ten years 66,442 57,493 Total $ 147,603 $ 133,853

Loans

Loans	12 Months Ended
Loans	Dec. 31, 2022
Loans and allowance for loan losses
Loans and allowance for loan losses	Note 3. Loans Loans classified by type as of December 31, 2022 and 2021 are as follows (dollars in thousands): December 31, 2022 December 31, 2021 Amount % Amount % Construction and land development Residential $ 9,727 1.81 % $ 6,805 1.29 % Commercial 35,400 6.57 % 42,344 8.05 % 45,127 8.38 % 49,149 9.34 % Commercial real estate Owner occupied 119,643 22.22 % 113,108 21.48 % Non-owner occupied 153,610 28.53 % 129,786 24.65 % Multifamily 11,291 2.10 % 11,666 2.22 % Farmland 73 0.01 % 977 0.19 % 284,617 52.86 % 255,537 48.54 % Consumer real estate Home equity lines 18,421 3.42 % 17,977 3.41 % Secured by 1-4 family residential, First deed of trust 67,495 12.54 % 62,277 11.83 % Second deed of trust 7,764 1.44 % 12,118 2.31 % 93,680 17.40 % 92,372 17.55 % Commercial and industrial loans (except those secured by real estate) 90,348 16.78 % 100,421 19.07 % Guaranteed student loans 20,617 3.83 % 25,975 4.93 % Consumer and other 4,038 0.75 % 3,003 0.57 % Total loans 538,427 100.0 % 526,457 100.0 % Deferred (fees) and costs, net 588 (433) Less: allowance for loan losses (3,370) (3,423) $ 535,645 $ 522,601 The Bank has a purchased portfolio of rehabilitated student loans guaranteed by the DOE. The guarantee covers approximately 98% of principal and accrued interest. The loans are serviced by a third-party servicer that specializes in handling the special needs of the DOE student loan programs. PPP loans, included in commercial and industrial loans in the above table, were $270,000 and $32,601,000 as of December 31, 2022, and December 31, 2021, respectively. Loans pledged as collateral with the FHLB as part of their lending arrangements with the Company totaled $33,706,000 and $35,510,000 as of December 31, 2022 and 2021, respectively. The following is a summary of loans directly or indirectly with executive officers or directors of the Company for the years ended December 31, 2022 and 2021 (in thousands): 2022 2021 Beginning balance $ 5,922 $ 4,672 Additions 7,662 8,760 Effect of changes in composition of related parties — (324) Reductions (9,219) (7,186) Ending balance $ 4,365 $ 5,922 Executive officers and directors also had unused credit lines totaling $2,223,000 and $1,364,000 at December 31, 2022 and 2021, respectively. Based on management’s evaluation all loans and credit lines to executive officers and directors were made in the ordinary course of business at the Company’s normal credit terms, including interest rate and collateralization prevailing at the time for comparable transactions with other persons. Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Loans are placed on nonaccrual status when, in management’s opinion, the borrower may be unable to meet payment obligations as they become due, as well as when required by regulatory provisions. When interest accrual is discontinued, all unpaid accrued interest is reversed. Interest income is subsequently recognized only to the extent cash payments are received in excess of principal due. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The following table provides information on nonaccrual loans segregated by type at the dates indicated (dollars in thousands): December 31, December 31, 2022 2021 Commercial real estate Non-owner occupied $ — $ 286 — 286 Consumer real estate Home equity lines 300 300 Secured by 1-4 family residential First deed of trust 164 556 Second deed of trust 171 198 635 1,054 Commercial and industrial loans (except those secured by real estate) 19 19 Total loans $ 654 $ 1,359 The Company assigns risk rating classifications to its loans. These risk ratings are divided into the following groups: ● Risk rated 1 to 4 loans are considered of sufficient quality to preclude an adverse rating. These assets generally are well protected by the current net worth and paying capacity of the obligor or by the value of the asset or underlying collateral; ● Risk rated 5 loans are defined as having potential weaknesses that deserve management’s close attention; ● Risk rated 6 loans are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any; and ● Risk rated 7 loans have all the weaknesses inherent in substandard loans, with the added characteristics that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable and improbable. The following tables provide information on the risk rating of loans at the dates indicated (in thousands): Risk Rated Risk Rated Risk Rated Risk Rated Total 1 ‑ 4 5 6 7 Loans December 31, 2022 Construction and land development Residential $ 9,727 $ — $ — $ — $ 9,727 Commercial 32,763 2,637 — — 35,400 42,490 2,637 — — 45,127 Commercial real estate Owner occupied 115,825 2,583 1,235 — 119,643 Non-owner occupied 143,458 10,152 — — 153,610 Multifamily 11,291 — — — 11,291 Farmland 73 — — — 73 270,647 12,735 1,235 — 284,617 Consumer real estate Home equity lines 17,507 614 300 — 18,421 Secured by 1-4 family residential First deed of trust 66,616 407 472 — 67,495 Second deed of trust 7,517 72 175 — 7,764 91,640 1,093 947 — 93,680 Commercial and industrial loans (except those secured by real estate) 83,848 6,481 19 — 90,348 Guaranteed student loans 20,617 — — — 20,617 Consumer and other 4,017 — 21 — 4,038 Total loans $ 513,259 $ 22,946 $ 2,222 $ — $ 538,427 Risk Rated Risk Rated Risk Rated Risk Rated Total 1 ‑ 4 5 6 7 Loans December 31, 2021 Construction and land development Residential $ 6,805 $ — $ — $ — $ 6,805 Commercial 39,707 2,637 — — 42,344 46,512 2,637 — — 49,149 Commercial real estate Owner occupied 103,370 6,181 3,557 — 113,108 Non-owner occupied 114,168 15,332 286 — 129,786 Multifamily 11,666 — — — 11,666 Farmland 977 — — — 977 230,181 21,513 3,843 — 255,537 Consumer real estate Home equity lines 17,054 623 300 — 17,977 Secured by 1-4 family residential First deed of trust 57,932 3,605 740 — 62,277 Second deed of trust 11,492 429 197 — 12,118 86,478 4,657 1,237 — 92,372 Commercial and industrial loans (except those secured by real estate) 98,362 1,806 253 — 100,421 Guaranteed student loans 25,975 — — — 25,975 Consumer and other 2,972 31 — — 3,003 Total loans $ 490,480 $ 30,644 $ 5,333 $ — $ 526,457 The following tables present the aging of the recorded investment in past due loans as of the dates indicated (in thousands): Greater Investment > 30 ‑ 59 Days 60 ‑ 89 Days Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing December 31, 2022 Construction and land development Residential $ — $ — $ — $ — $ 9,727 $ 9,727 $ — Commercial — — — — 35,400 35,400 — — — — — 45,127 45,127 — Commercial real estate Owner occupied — — — — 119,643 119,643 — Non-owner occupied — — — — 153,610 153,610 — Multifamily — — — — 11,291 11,291 — Farmland — — — — 73 73 — — — — — 284,617 284,617 — Consumer real estate Home equity lines — 50 — 50 18,371 18,421 — Secured by 1‑4 family residential First deed of trust — — — — 67,495 67,495 — Second deed of trust 54 — — 54 7,710 7,764 — 54 50 — 104 93,576 93,680 — Commercial and industrial loans (except those secured by real estate) 1,022 — 377 1,399 88,949 90,348 — Guaranteed student loans 831 390 1,725 2,946 17,671 20,617 1,725 Consumer and other — — — — 4,038 4,038 — Total loans $ 1,907 $ 440 $ 2,102 $ 4,449 $ 533,978 $ 538,427 $ 1,725 Recorded Greater Investment > 30-59 Days 60-89 Days Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing December 31, 2021 Construction and land development Residential $ — $ — $ — $ — $ 6,805 $ 6,805 $ — Commercial — — — — 42,344 42,344 — — — — — 49,149 49,149 — Commercial real estate Owner occupied — — — — 113,108 113,108 — Non-owner occupied — — — — 129,786 129,786 — Multifamily — — — — 11,666 11,666 — Farmland — — — — 977 977 — — — — — 255,537 255,537 — Consumer real estate Home equity lines — — — — 17,977 17,977 — Secured by 1-4 family residential First deed of trust — — — — 62,277 62,277 — Second deed of trust — — — — 12,118 12,118 — — — — — 92,372 92,372 — Commercial and industrial loans (except those secured by real estate) 1,031 — — 1,031 99,390 100,421 — Guaranteed student loans 956 791 1,961 3,708 22,267 25,975 1,961 Consumer and other — — — — 3,003 3,003 — Total loans $ 1,987 $ 791 $ 1,961 $ 4,739 $ 521,718 $ 526,457 $ 1,961 Loans greater than 90 days past due consist of student loans that are guaranteed by the DOE which covers approximately 98% of the principal and interest. Accordingly, these loans will not be placed on nonaccrual status and are not considered to be impaired. Loans are considered impaired when, based on current information and events it is probable the Company will be unable to collect all amounts due in accordance with the original contractual terms of the loan agreement, including scheduled principal and interest payments. Loans evaluated individually for impairment include nonperforming loans, such as loans on nonaccrual, loans past due by 90 days or more, TDRs and other loans selected by management. The evaluations are based upon discounted expected cash flows or collateral valuations. If the evaluation shows that a loan is individually impaired, then a specific reserve is established for the amount of impairment. Impairment is evaluated in total for smaller-balance loans of a similar nature and on an individual loan basis for other loans. If a loan is impaired, a specific valuation allowance is allocated, if necessary, so that the loan is reported net, at the present value of estimated future cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Interest payments on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case interest is recognized on a cash basis. Impaired loans, or portions thereof, are charged off when deemed uncollectible. Impaired loans are set forth in the following table as of the dates indicated (in thousands): December 31, 2022 December 31, 2021 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate Owner occupied $ 4,332 $ 4,347 $ — $ 4,776 $ 4,791 $ — Non-owner occupied 312 312 — 1,458 1,458 — 4,644 4,659 — 6,234 6,249 — Consumer real estate Home equity lines 300 300 — 300 300 — Secured by 1‑4 family residential First deed of trust 1,745 1,745 — 1,873 1,873 — Second deed of trust 195 300 — 238 406 — 2,240 2,345 — 2,411 2,579 — Commercial and industrial loans (except those secured by real estate) 19 19 — 185 185 — 6,903 7,023 — 8,830 9,013 — With an allowance recorded Commercial real estate Owner occupied 251 251 2 267 267 4 251 251 2 267 267 4 Consumer real estate Secured by 1-4 family residential First deed of trust 136 136 6 146 146 7 136 136 6 146 146 7 Consumer and other 21 21 1 — — — 408 408 9 413 413 11 Total Owner occupied 4,583 4,598 2 5,043 5,058 4 Non-owner occupied 312 312 — 1,458 1,458 — 4,895 4,910 2 6,501 6,516 4 Consumer real estate Home equity lines 300 300 — 300 300 — Secured by 1-4 family residential, First deed of trust 1,881 1,881 6 2,019 2,019 7 Second deed of trust 195 300 — 238 406 — 2,376 2,481 6 2,557 2,725 7 Commercial and industrial loans (except those secured by real estate) 19 19 — 185 185 — Consumer and other 21 21 1 — — — $ 7,311 $ 7,431 $ 9 $ 9,243 $ 9,426 $ 11 The following is a summary of average recorded investment in impaired loans with and without valuation allowance and interest income recognized on those loans for periods indicated (in thousands): December 31, 2022 2021 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate Owner occupied $ 4,339 $ 159 $ 5,068 $ 159 Non-owner occupied 857 20 1,767 86 5,196 179 6,835 245 Consumer real estate Home equity lines 300 27 300 25 Secured by 1-4 family residential First deed of trust 1,798 70 1,924 93 Second deed of trust 217 10 574 23 2,315 107 2,798 141 Commercial and industrial loans (except those secured by real estate) 94 4 195 1 7,605 290 9,828 387 With an allowance recorded Commercial real estate Owner occupied 257 15 67 19 257 15 67 19 Consumer real estate Secured by 1-4 family residential First deed of trust 121 7 149 4 Second deed of trust 49 — — — 170 7 149 4 Consumer and other 11 — — — 438 22 216 23 Total Commercial real estate Owner occupied 4,596 174 5,135 178 Non-owner occupied 857 20 1,767 86 5,453 194 6,902 264 Consumer real estate Home equity lines 300 27 300 25 Secured by 1-4 family residential, First deed of trust 1,919 77 2,073 97 Second deed of trust 266 10 574 23 2,485 114 2,947 145 Commercial and industrial loans (except those secured by real estate) 94 4 195 1 Consumer and other 11 — — — $ 8,043 $ 312 $ 10,044 $ 410 As of December 31, 2022 and 2021, the Company had impaired loans of $654,000 and $1,359,000, respectively, which were on nonaccrual status. These loans had no valuation allowances as of December 31, 2022 and December 31, 2021. Cumulative interest income that would have been recorded had nonaccrual loans been performing would have been $87,000 and $88,000 for 2022 and 2021, respectively. Included in impaired loans are loans classified as TDRs. A modification of a loan’s terms constitutes a TDR if the creditor grants a concession to the borrower for economic or legal reasons related to the borrowers financial difficulties that it would not otherwise consider. For loans classified as impaired TDRs, the Company further evaluates the loans as performing or nonaccrual. To restore a nonaccrual loan that has been formally restructured in a TDR to accrual status, we perform a current, well documented credit analysis supporting a return to accrual status based on the borrower’s financial condition and prospects for repayment under the revised terms. Otherwise, the TDR must remain in nonaccrual status. The analysis considers the borrower’s sustained historical repayment performance for a reasonable period to the return-to-accrual date, but may take into account payments made for a reasonable period prior to the restructuring if the payments are consistent with the modified terms. A sustained period of repayment performance generally would be a minimum of six months and would involve payments in the form of cash or cash equivalents. An accruing loan that is modified in a TDR can remain in accrual status if, based on a current well-documented credit analysis, collection of principal and interest in accordance with the modified terms is reasonably assured, and the borrower has demonstrated sustained historical repayment performance for a reasonable period before modification. The following is a summary of performing and nonaccrual TDRs and the related specific valuation allowance by portfolio segment as of December 31, 2022 and 2021 (dollars in thousands). Specific Valuation Total Performing Nonaccrual Allowance December 31, 2022 Commercial real estate Owner occupied $ 3,348 $ 3,348 $ — $ 2 Non-owner occupied 312 312 — — 3,660 3,660 — 2 Consumer real estate Secured by 1-4 family residential First deeds of trust 1,409 1,409 — 6 Second deeds of trust 75 19 56 — 1,484 1,428 56 6 Commercial and industrial loans (except those secured by real estate) 19 — 19 — $ 5,163 $ 5,088 $ 75 $ 8 Number of loans 24 22 2 3 Specific Valuation Total Performing Nonaccrual Allowance December 31, 2021 Commercial real estate Owner occupied $ 3,243 $ 3,243 $ — $ 4 Non-owner occupied 1,458 1,172 286 — 4,701 4,415 286 4 Consumer real estate Secured by 1-4 family residential First deeds of trust 1,666 1,279 387 7 Second deeds of trust 99 40 59 — 1,765 1,319 446 7 Commercial and industrial loans (except those secured by real estate) 19 — 19 — $ 6,485 $ 5,734 $ 751 $ 11 Number of loans 28 23 5 3 The following table provides information about TDRs identified during the indicated periods (dollars in thousands). Year Ended Year Ended December 31, 2022 December 31, 2021 Pre- Post- Pre- Post- Modification Modification Modification Modification Number of Recorded Recorded Number of Recorded Recorded Loans Balance Balance Loans Balance Balance Secured by 1-4 family residential First deed of trust — $ — $ — 1 $ 267 $ 267 — $ — $ — 1 $ 267 $ 267 A TDR payment default occurs when, within 12 months of the original TDR modification, either a full or partial charge-off occurs or a TDR becomes 90 days or more past due. The specific reserve associated with a TDR is reevaluated when a TDR payment default occurs. There were no defaults on TDRs that were modified as TDRs during the twelve-month periods ended December 31, 2022 and 2021. The Coronavirus Aid, Relief, and Economic Security Act as amended by the Consolidated Appropriations Act, permitted financial institutions to suspend requirements under GAAP for loan modifications to borrowers affected by COVID-19 that would otherwise be characterized as TDRs and suspend any determination related thereto under certain circumstances. As of December 31, 2022 and December 31, 2021, all previously modified loans had returned to contractual payment terms. The Company’s modification program primarily included payment deferrals and interest only modifications.

Allowance for Loan Losses

Allowance for Loan Losses	12 Months Ended
Allowance for Loan Losses	Dec. 31, 2022
Allowance for Loan Losses
Allowance for Loan Losses	Note 4. Allowance for Loan Losses Activity in the allowance for loan losses was as follows for the periods indicated (in thousands): Provision for Beginning (Recovery of) Ending Balance Loan Losses Charge-offs Recoveries Balance Year Ended December 31, 2022 Construction and land development Residential $ 57 $ 22 $ — $ — $ 79 Commercial 229 (37) — — 192 286 (15) — — 271 Commercial real estate Owner occupied 833 34 — — 867 Non-owner occupied 1,083 206 — — 1,289 Multifamily 35 (2) — — 33 Farmland 2 (2) — — — 1,953 236 — — 2,189 Consumer real estate Home equity lines 12 (59) — 58 11 Secured by 1-4 family residential First deed of trust 123 3 — 5 131 Second deed of trust 47 (311) (27) 334 43 182 (367) (27) 397 185 Commercial and industrial loans (except those secured by real estate) 486 180 (157) 67 576 Student loans 65 18 (31) — 52 Consumer and other 29 10 (2) — 37 Unallocated 422 (362) — — 60 $ 3,423 $ (300) $ (217) $ 464 $ 3,370 Year Ended December 31, 2021 Construction and land development Residential $ 214 $ (157) $ — $ — $ 57 Commercial 285 (56) — — 229 499 (213) — — 286 Commercial real estate Owner occupied 1,047 (214) — — 833 Non-owner occupied 1,421 (352) — 14 1,083 Multifamily 47 (12) — — 35 Farmland 2 — — — 2 2,517 (578) — 14 1,953 Consumer real estate Home equity lines 24 (23) — 11 12 Secured by 1-4 family residential First deed of trust 166 (54) — 11 123 Second deed of trust 79 1 (84) 51 47 269 (76) (84) 73 182 Commercial and industrial loans (except those secured by real estate) 408 47 — 31 486 Student loans 87 13 (35) — 65 Consumer and other 36 39 (46) — 29 Unallocated 154 268 — — 422 $ 3,970 $ (500) $ (165) $ 118 $ 3,423 The amount of the loan loss provision (recovery) is determined by an evaluation of the level of loans outstanding, the level of nonperforming loans, historical loan loss experience, delinquency trends, underlying collateral values, the amount of actual losses charged to the reserve in a given period and assessment of present and anticipated economic conditions. Loans originated under PPP are not considered in the evaluation of the allowance for loan losses because these loans carry a 100% guarantee from the SBA; however, if the collectability on the guarantee on a loan is at risk that loan will be included in the evaluation of the allowance for loan losses. The level of the allowance reflects changes in the size of the portfolio or in any of its components as well as management’s continuing evaluation of industry concentrations, specific credit risk, loan loss experience, current loan portfolio quality, and present economic, political and regulatory conditions. Portions of the allowance may be allocated for specific credits; however, the entire allowance is available for any credit that, in management’s judgement, should be charged off. While management utilizes its best judgement and information available, the ultimate adequacy of the allowance is dependent upon a variety of factors beyond the Company’s control, including the performance of the Company’s loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. The Company recorded a recovery of provision for loan loss expense of $300,000 and $500,000 for the year ended December 31, 2022 and December 31, 2021, respectively. The recovery of provision for loan loss expense for the year ended December 31, 2022 and December 31, 2021, resulted from reductions in qualitative factors driven by improving economic factors, improved credit metrics, and reduction in loan deferrals. While current economic challenges due to higher inflation and the speed at which interest rates are rising remain risks to credit quality, we believe our current level of allowance for loan losses is sufficient. The allowance for loan losses at each of the periods presented includes an amount that could not be identified to individual types of loans referred to as the unallocated portion of the allowance. We recognize the inherent imprecision in estimates of losses due to various uncertainties and the variability related to the factors used in calculation of the allowance. The allowance for loan losses included an unallocated portion of approximately $60,000 and $422,000 at December 31, 2022 and December 31, 2021, respectively. Loans were evaluated for impairment as follows for the periods indicated (in thousands): Recorded Investment in Loans Allowance Loans Ending Ending Balance Individually Collectively Balance Individually Collectively Year Ended December 31, 2022 Construction and land development Residential $ 79 $ — $ 79 $ 9,727 $ — $ 9,727 Commercial 192 — 192 35,400 — 35,400 271 — 271 45,127 — 45,127 Commercial real estate Owner occupied 867 2 865 119,643 4,583 115,060 Non-owner occupied 1,289 — 1,289 153,610 312 153,298 Multifamily 33 — 33 11,291 — 11,291 Farmland — — — 73 — 73 2,189 2 2,187 284,617 4,895 279,722 Consumer real estate Home equity lines 11 — 11 18,421 300 18,121 Secured by 1-4 family residential First deed of trust 131 6 125 67,495 1,881 65,614 Second deed of trust 43 — 43 7,764 195 7,569 185 6 179 93,680 2,376 91,304 Commercial and industrial loans (except those secured by real estate) 576 — 576 90,348 19 90,329 Student loans 52 — 52 20,617 — 20,617 Consumer and other 97 1 96 4,038 21 4,017 $ 3,370 $ 9 $ 3,361 $ 538,427 $ 7,311 $ 531,116 Year Ended December 31, 2021 Construction and land development Residential $ 57 $ — $ 57 $ 6,805 $ — $ 6,805 Commercial 229 — 229 42,344 — 42,344 286 — 286 49,149 — 49,149 Commercial real estate Owner occupied 833 4 829 113,108 5,043 108,065 Non-owner occupied 1,083 — 1,083 129,786 1,458 128,328 Multifamily 35 — 35 11,666 — 11,666 Farmland 2 — 2 977 — 977 1,953 4 1,949 255,537 6,501 249,036 Consumer real estate Home equity lines 12 — 12 17,977 300 17,677 Secured by 1-4 family residential First deed of trust 123 7 116 62,277 2,019 60,258 Second deed of trust 47 — 47 12,118 238 11,880 182 7 175 92,372 2,557 89,815 Commercial and industrial loans (except those secured by real estate) 486 — 486 100,421 185 100,236 Student loans 65 — 65 25,975 — 25,975 Consumer and other 451 — 451 3,003 — 3,003 $ 3,423 $ 11 $ 3,412 $ 526,457 $ 9,243 $ 517,214

Premises and Equipment

Premises and Equipment	12 Months Ended
Premises and Equipment	Dec. 31, 2022
Premises and Equipment
Premises and Equipment	Note 5. Premises and Equipment The following is a summary of premises and equipment as of December 31, 2022 and 2021 (in thousands): 2022 2021 Land $ 4,352 $ 4,352 Buildings and improvements 11,444 11,159 Furniture, fixtures and equipment 7,945 7,826 Total premises and equipment 23,741 23,337 Less: Accumulated depreciation and amortization (11,993) (11,513) Premises and equipment, net $ 11,748 $ 11,824 Depreciation and amortization of premises and equipment for 2022 and 2021 amounted to $546,000 and $582,000, respectively.

Investment in Bank Owned Life I

Investment in Bank Owned Life Insurance	12 Months Ended
Investment in Bank Owned Life Insurance	Dec. 31, 2022
Investment in Bank Owned Life Insurance.
Investment in Bank Owned Life Insurance	Note 6. Investment in Bank Owned Life Insurance The Bank is owner and designated beneficiary on life insurance policies in the aggregate face amount of $21,681,000 covering certain of its directors and executive officers. The earnings from these policies are used to offset expenses related to retirement plans. The cash surrender value of these policies at December 31, 2022 and 2021 was approximately $12,798,000 and $12,494,000, respectively.

Deposits

Deposits	12 Months Ended
Deposits	Dec. 31, 2022
Deposits
Deposits	Note 7. Deposits Deposits as of December 31, 2022 and 2021 were as follows (dollars in thousands): December 31, 2022 December 31, 2021 Amount % Amount % Demand accounts $ 255,236 40.9 % $ 268,804 40.5 % Interest checking accounts 90,252 14.4 % 89,599 13.5 % Money market accounts 179,036 28.6 % 187,942 28.3 % Savings accounts 55,695 8.9 % 54,106 8.1 % Time deposits of $250,000 and over 4,740 0.8 % 6,977 1.1 % Other time deposits 39,784 6.4 % 56,620 8.5 % Total $ 624,743 100.0 % $ 664,048 100.0 % The following are the scheduled maturities of time deposits as of December 31, 2022 (in thousands): Greater Than Year Ending Less Than or Equal to December 31, $250,000 $250,000 Total 2023 $ 25,442 $ 4,203 $ 29,645 2024 6,729 — 6,729 2025 2,868 — 2,868 2026 3,514 — 3,514 2027 1,231 537 1,768 Total $ 39,784 $ 4,740 $ 44,524 Deposits held at the Company by related parties, which include officers, directors, greater than 5% shareholders and companies in which directors of the board have a significant ownership interest, approximated $15,366,000 and $13,599,000 at December 31, 2022 and 2021, respectively.

Borrowings

Borrowings	12 Months Ended
Borrowings	Dec. 31, 2022
Borrowings
Borrowings	Note 8. Borrowings The Company uses both short-term and long-term borrowings to supplement deposits when they are available at a lower overall cost to the Company or they can be invested at a positive rate of return. As a member of the Federal Home Loan Bank of Atlanta, the Bank is required to own capital stock in the FHLB and is authorized to apply for advances from the FHLB. The Company held $1,223,000 in FHLB stock at December 31, 2022 and $353,000 at December 31, 2021, which is held at cost. Each FHLB credit program has its own interest rate, which may be fixed or variable, and range of maturities. The FHLB may prescribe the acceptable uses to which the advances may be put, as well as on the size of the advances and repayment provisions. FHLB borrowings are secured by the pledge of commercial loans and 1-4 family residential loans. The Company had FHLB advances of $20,000,000 at December 31, 2022. The Company had no outstanding FHLB advances at December 31, 2021. Through the Federal Reserve Bank of Richmond, the Company could borrow funds through the Payment Protection Program Liquidity Fund (“PPPLF”) which were secured by the Company’s PPP loans. The PPPLF ceased extending credit on July 30, 2021. The Company did not have outstanding advances under the PPPLF at December 31, 2022 and December 31, 2021. The Company uses federal funds purchased and repurchase agreements for short-term borrowing needs. Securities sold under agreements to repurchase are classified as borrowings and generally mature within one to four days from the transaction date. Securities sold under agreements to repurchase are reflected at the amount of cash received in connection with the transaction. The Company may be required to provide additional collateral based on the fair value of the underlying securities. There were no borrowings against the lines at December 31, 2022 or December 31, 2021. The Company’s unused lines of credit for future borrowings total approximately $51.0 million at December 31, 2022, which consists of $8.2 million available from the FHLB, $15 million on revolving bank line of credit, $2.8 million under secured federal funds agreements with third party financial institutions, and $25 million in repurchase lines of credit with third party financial institutions. Additional loans and securities are available that can be pledged as collateral for future borrowings from the Federal Reserve Bank of Richmond or the FHLB above the current lendable collateral value. Information related to borrowings as of December 31, 2022 and 2021 is as follows (dollars in thousands): Year Ended December 31, 2022 2021 Maximum outstanding during the year Federal Funds Purchased $ 6,000 $ 4,982 FHLB advances 20,000 — PPPLF — 41,529 Balance outstanding at end of year Federal Funds Purchased — — FHLB advances 20,000 — PPPLF — — Average amount outstanding during the year Federal Funds Purchased 2 55 FHLB advances 164 — PPPLF — 5,601 Average interest rate during the year Federal Funds Purchased 4.61 % 0.05 % FHLB advances 4.65 % — % PPPLF — % 0.35 % Average interest rate at end of year Federal Funds Purchased — % — % FHLB advances 4.57 % — % PPPLF — % — %

Income Taxes

Income Taxes	12 Months Ended
Income Taxes	Dec. 31, 2022
Income Taxes
Income Taxes	Note 9. Income Taxes The following summarizes the tax effects of temporary differences that comprise deferred tax assets and liabilities at December 31, 2022 and 2021 (in thousands): 2022 2021 Deferred tax assets Capital loss carryforward $ 25 $ 25 Allowance for loan losses 708 719 Deferred fees, net of costs — 91 Unrealized loss on available for sale securities 2,887 190 Interest on nonaccrual loans 18 18 Stock compensation 78 37 Employee benefits 836 810 Depreciation 24 27 Lease obligation 5 3 Other, net 63 48 Total deferred tax assets 4,644 1,968 Deferred tax liabilities Deferred costs, net of fees 123 — Pension expense 6 1 Total deferred tax liabilities 129 1 Net deferred tax asset $ 4,515 $ 1,967 The net deferred tax asset is included in other assets on the consolidated balance sheet. ASC Topic 740, Income Taxes In assessing the Company’s ability to realize its net deferred tax asset, management considers whether it is more likely than not that some portion or all of the net deferred tax asset will or will not be realized. The Company’s ultimate realization of the net deferred tax asset is dependent upon the generation of future taxable income during the periods in which temporary differences become deductible. Management considers the nature and amount of historical and projected future taxable income, the scheduled reversal of deferred tax assets and liabilities, and available tax planning strategies in making this assessment. The amount of net deferred taxes recognized could be impacted by changes to any of these variables. Each quarter, the Company weighs both the positive and negative information with respect to realization of the net deferred tax asset and analyzes its position as to whether or not a valuation allowance is required. Given the consistent earnings and stable asset quality, the Company’s analysis concluded that, it is more likely than not that the Company will generate sufficient taxable income within the applicable carry-forward periods to realize its net deferred tax asset. The income tax expense charged to operations for the years ended December 31, 2022 and 2021 consists of the following (in thousands): 2022 2021 Current tax expense $ 1,844 $ 2,721 Deferred tax expense 146 699 Provision for income taxes $ 1,990 $ 3,420 A reconciliation of income taxes computed at the federal statutory income tax rate to total income taxes is as follows for the years ended December 31, 2022 and 2021 (in thousands): 2022 2021 Net income before income taxes $ 10,295 $ 15,873 Computed "expected" tax expense $ 2,162 $ 3,333 State taxes, net of federal (67) 173 Cash surrender value of life insurance (64) (59) Other (41) (27) Provision for income taxes $ 1,990 $ 3,420 Commercial banking organizations conducting business in Virginia are not subject to Virginia income taxes. Instead, they are subject to a franchise tax based on bank capital. The Company recorded franchise tax expense, within other operating expense, of approximately $640,000 and $519,000 for the years ended December 31, 2022 and 2021, respectively. With few exceptions, the Company is no longer subject to U.S. Federal, State, or local income tax examinations by tax authorities for years prior to 2019.

Earnings (Loss) per Share

Earnings (Loss) per Share	12 Months Ended
Earnings (Loss) per Share	Dec. 31, 2022
Earnings per common share
Earnings per common share	Note 10. Earnings per Share The following table presents the basic and diluted earnings per share computations (dollars in thousands except per share data): Year Ended December 31, 2022 2021 Numerator Net income - basic and diluted $ 8,305 $ 12,453 Denominator Weighted average shares outstanding - basic 1,477 1,468 Dilutive effect of common stock options — — Weighted average shares outstanding - diluted 1,477 1,468 Earnings per share - basic $ 5.62 $ 8.48 Earnings per share - diluted $ 5.62 $ 8.48 Applicable guidance requires that outstanding, unvested share-based payment awards that contain voting rights and rights to nonforfeitable dividends participate in undistributed earnings with common shareholders. Accordingly, the weighted average number of shares of the Company’s common stock used in the calculation of basic and diluted net income per common share includes unvested shares of the Company’s outstanding restricted common stock. The vesting of 12,834 and 5,793 restricted stock units outstanding as of December 31, 2022 and 2021, respectively, are dependent upon meeting certain performance criteria. As of December 31, 2022 and December 31, 2021, it was indeterminable whether these non-vested restricted stock units will vest and as such those shares are excluded from common shares issued and outstanding at each date and are not included in the computation of earnings per share for any period presented. Outstanding options and warrants to purchase common stock were considered in the computation of diluted earnings per share for the periods presented. There were none at December 31, 2022. Stock options for 406 shares were not included in computing diluted earnings per share at December 31, 2021, because their effects were anti-dilutive.

Lease Commitments

Lease Commitments	12 Months Ended
Lease Commitments	Dec. 31, 2022
Lease Commitments
Lease Commitments	Note 11. Lease Commitments The following tables present information about the Company’s leases (dollars in thousands): For the years ended December 31, 2022 2021 Lease liabilities $ 1,122 $ 930 Right-of-use assets $ 1,100 $ 916 Weighted average remaining lease term 4.40 5.05 Weighted average discount rate 2.51 % 2.39 % For the years ended December 31, 2022 2021 Lease cost Operating lease cost $ 301 $ 358 Total lease cost $ 301 $ 358 A maturity analysis of operating lease liabilities and reconciliation of the undiscounted cash flows to the total of operating lease liabilities is as follows (dollars in thousands): As of December 31, 2022 Lease payments due Twelve months ending December 31, 2023 $ 301 Twelve months ending December 31, 2024 313 Twelve months ending December 31, 2025 213 Twelve months ending December 31, 2026 163 Twelve months ending December 31, 2027 146 Thereafter 60 Total undiscounted cash flows $ 1,196 Discount 74 Lease liabilities $ 1,122 Cash paid for amounts included in the measurement of lease liabilities for the year ended December 31, 2022 and 2021 was $293,000 and $367,000, respectively. The Company recognized lease expense of $301,000 and $358,000 for the year ended December 31, 2022 and 2021, respectively.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
Commitments and Contingencies	Dec. 31, 2022
Commitments and contingencies
Commitments and contingencies	Note 12. Commitments and Contingencies Off-balance-sheet risk The Company’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit, and to potential credit loss associated with letters of credit issued, is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as it does for loans and other such on-balance sheet instruments. At December 31, 2022 and 2021, the Company had outstanding the following approximate off-balance-sheet financial instruments whose contract amounts represent credit risk (in thousands): December 31, December 31, 2022 2021 Undisbursed credit lines $ 119,454 $ 103,125 Commitments to extend or originate credit 9,899 18,551 Standby letters of credit 922 4,680 Total commitments to extend credit $ 130,275 $ 126,356 Commitments to extend credit are 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 the payment of a fee. Historically, any commitments expire without being drawn upon; therefore, the total commitment amounts shown in the above table are not necessarily indicative of future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, as deemed necessary by the Company upon extension of credit is based on management’s credit evaluation of the customer. Collateral held varies but may include personal or income-producing commercial real estate, accounts receivable, inventory and equipment. Standby letters of credit are written conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Concentrations of credit risk

Shareholders' Equity and Regula

Shareholders' Equity and Regulatory Matters	12 Months Ended
Shareholders' Equity and Regulatory Matters	Dec. 31, 2022
Shareholders' Equity and Regulatory Matters
Shareholders' Equity and Regulatory Matters	Note 13. Shareholders’ Equity and Regulatory Matters Accumulated Other Comprehensive Income (Loss) The following table presents the cumulative balances of the components of accumulated other comprehensive income, net of deferred tax benefit of $2,892,000 and $198,000 as of December 31, 2022 and 2021, respectively (in thousands): December 31, December 31, 2022 2021 Net unrealized losses on securities $ (10,862) $ (717) Net unrecognized losses on defined benefit plan (19) (27) Total accumulated other comprehensive loss $ (10,881) $ (744) Regulatory Matters The Company meets the eligibility criteria of a small bank holding company in accordance with the Board of Governors of the Federal Reserve System’s (the “Federal Reserve”) Small Bank Holding Company Policy Statement (the “SBHC Policy Statement”). Under the SBHC Policy Statement, qualifying bank holding companies, with total consolidated assets of less than $3 billion such as the Company, have additional flexibility in the amount of debt they can issue and are also exempt from the Basel III capital framework as outlined by the Basel Committee on Banking Supervision and certain provisions of the Dodd-Frank Act (the “Basel III Capital Rules”). The SBHC Policy Statement does not apply to the Bank and the Bank must comply with the Basel III Capital Rules. The Bank is required to comply with the capital adequacy standards established by the Federal Deposit Insurance Corporation (“FDIC”). The FDIC has adopted rules to implement the Basel III Capital Rules. The Basel III Capital Rules establish minimum capital ratios and risk weightings that are applied to many classes of assets held by community banks, including applying higher risk weightings to certain commercial real estate loans. The Basel III Capital Rules require banks to comply with the following minimum capital ratios: (1) a ratio of common equity Tier 1 capital to risk-weighted assets of at least 4.5% 2.5% 7% 6.0% 2.5% 8.5% 8.0% 2.5% 10.5% 4% The Bank must also comply with the capital requirements set forth in the “prompt corrective action” regulations pursuant to Section 38 of the Federal Deposit Insurance Act of 1950. To be well capitalized under these regulations, a bank must have the following minimum capital ratios: (1) a common equity Tier 1 capital ratio of at least 6.5% 8.0% 10.0% 5.0% On September 17, 2019, the federal bank regulators issued a final rule required by the Economic Growth, Regulatory, Relief, and Consumer Protection Act of 2018 that permits qualifying banks and bank holding companies that have less than $10 billion of assets, like the Company and the Bank, to elect to be subject to a 9% leverage ratio that would be applied using less complex leverage calculations (commonly referred to as the community bank leverage ratio or “CBLR”). The Bank elected not to opt into the CBLR framework as of December 31, 2022, and 2021. The capital amounts and ratios at December 31, 2022 and 2021 for the Bank are presented in the table below (dollars in thousands): Minimum Capital Requirements Actual Including Conservation Buffer (1) To be Well Capitalized Amount Ratio Amount Ratio Amount Ratio December 31, 2022 Total capital (to risk- weighted assets) Village Bank $ 84,982 14.81 % $ 60,267 10.50 % $ 57,398 10.00 % Tier 1 capital (to risk- weighted assets) Village Bank 81,612 14.22 % 48,788 8.50 % 45,918 8.00 % Leverage ratio (Tier 1 capital to average assets) Village Bank 81,612 10.95 % 29,805 4.00 % 37,256 5.00 % Common equity tier 1 (to risk- weighted assets) Village Bank 81,612 14.22 % 40,178 7.00 % 37,308 6.50 % December 31, 2021 Total capital (to risk- weighted assets) Village Bank $ 77,547 14.66 % $ 55,558 10.50 % $ 52,912 10.00 % Tier 1 capital (to risk- weighted assets) Village Bank 74,124 14.01 % 44,975 8.50 % 42,330 8.00 % Leverage ratio (Tier 1 capital to average assets) Village Bank 74,124 9.86 % 30,068 4.00 % 37,585 5.00 % Common equity tier 1 (to risk- weighted assets) Village Bank 74,124 14.01 % 37,038 7.00 % 34,393 6.50 % (1) Basel III Capital Rules require banking organizations to maintain a minimum CETI ratio of 4.5% , plus a 2.5% capital conservation buffer; a minimum Tier 1 capital ratio of 6.0% , plus a 2.5% capital conservation buffer; a minimum, total risk-based capital ratio of 8.0% , plus a 2.5% conservation buffer; and a minimum Tier leverage ratio of 4.0%

Stock Incentive Plans

Stock Incentive Plans	12 Months Ended
Stock Incentive Plans	Dec. 31, 2022
Stock incentive plan
Stock incentive plan	Note 14. Stock Incentive Plans In accordance with accounting standards, the Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost is recognized over the period during which an employee is required to provide service in exchange for the award rather than disclosed in the financial statements. The following table summarizes options outstanding under the Company’s stock incentive plans at the indicated dates: Year Ended December 31, 2022 2021 Weighted Weighted Average Average Exercise Fair Value Intrinsic Exercise Fair Value Intrinsic Options Price Per Share Value Options Price Per Share Value Options outstanding, beginning of period 734 $ 25.63 $ 9.76 734 $ 25.63 $ 9.76 Granted — — — — — — Forfeited — — — — — — Exercised (720) 25.63 $ 9.76 — — — Options outstanding, end of period 14 $ 25.28 $ 9.76 $ — 734 $ 25.63 $ 9.76 $ — Options exercisable, end of period 14 734 The following table summarizes information about stock options outstanding at December 31, 2022: Outstanding Exercisable Weighted Average Remaining Weighted Weighted Years of Average Average Range of Number of Contractual Exercise Number of Exercise Exercise Prices Options Life Price Options Price $25.28-$25.76 14 0.54 $ 25.28 14 $ 25.28 14 0.54 25.28 14 25.28 During 2022, we granted certain officers time-based restricted shares of common stock and performance-based restricted stock units. The time-based restricted shares vest ratably over a three year period provided the officer is employed with the Company on the applicable vesting date. The performance-based units, which have a two-year performance period that began on January 2, 2023, vest based on the Company’s achievement of performance targets related to return on tangible common equity over the performance period, with possible payouts ranging from 0% to 150% of the target awards. During 2021, we granted certain officers time-based restricted shares of common stock and performance-based restricted stock units. The time-based restricted shares vest ratably over a three year period provided the officer is employed with the Company on the applicable vesting date. The performance-based units, which have a two-year performance period that began on January 2, 2022, vest based on the Company’s achievement of performance targets related to return on tangible common equity and the adversely classified items ratio over the performance period, with possible payouts ranging from 0% to 150% of the target awards. The total number of shares underlying non-vested restricted stock was 28,296 and 23,734 at December 31, 2022 and 2021, respectively. The fair value of the stock is based on the grant date of the award and the expense is recognized over the vesting period. Unamortized stock-based compensation expense related to non-vested share-based compensation arrangements granted under the stock incentive plan as of December 31, 2022 and 2021 was $1,022,000 and $688,000, respectively. The time-based unrecognized compensation expense of $608,000 is expected to be recognized over a weighted average period of 2.25 years. During 2022, there were forfeitures of 924 shares of restricted stock awards. During 2021, there were no forfeitures of shares of restricted stock awards. A summary of changes in the Company’s non-vested restricted stock awards for the year follows: Weighted- Average Aggregate Grant-Date Intrinsic Shares Fair-Value Value December 31, 2021 23,734 $ 37.46 $ 1,234,168 Granted 17,866 51.11 929,032 Vested (13,815) 36.05 (718,380) Forfeited (924) 34.30 (48,048) Other (1) 1,435 32.32 74,620 December 31, 2022 28,296 $ 46.60 $ 1,471,392 (1) Represents the incremental increase in shares that vested based on the restricted stock units vesting at the maximum potential value as opposed to the targeted value of the award. Stock-based compensation expense was $381,000 and $332,000 for the years ended December 31, 2022 and 2021, respectively.

Trust Preferred Securities

Trust Preferred Securities	12 Months Ended
Trust Preferred Securities	Dec. 31, 2022
Trust preferred securities
Trust preferred securities	Note 15. Trust Preferred Securities During the first quarter of 2005, Southern Community Financial Capital Trust I, a wholly-owned subsidiary of the Company, was formed for the purpose of issuing redeemable securities. On February 24, 2005, $5.2 million of Trust Preferred Capital Notes were issued through a pooled underwriting. The securities have a LIBOR-indexed floating rate of interest (three-month LIBOR plus 2.15%) which adjusts, and is payable, quarterly. The interest rate was 6.89% and 2.36% at December 31, 2022 and 2021, respectively. The securities were redeemable at par beginning on March 15, 2010 and each quarter after such date until the securities mature on March 15, 2035. No amounts have been redeemed at December 31, 2022 and there are no plans to do so. The principal asset of the Trust is $5.2 million of the Company’s junior subordinated debt securities with like maturities and like interest rates to the Trust Preferred Capital Notes. During the third quarter of 2007, Village Financial Statutory Trust II, a wholly–owned subsidiary of the Company, was formed for the purpose of issuing redeemable securities. On September 20, 2007, $3.6 million of Trust Preferred Capital Notes were issued through a pooled underwriting. The securities have LIBOR-indexed floating rate of interest (three-month LIBOR plus 1.4%) which adjusts and is also payable quarterly. The interest rate was 6.14% and 1.61% at December 31, 2022 and 2021, respectively. The securities may be redeemed at par at any time commencing in December 2012 until the securities mature in 2037. No amounts have been redeemed at December 31, 2022 and there are no plans to do so. The principal asset of the Trust is $3.6 million of the Company’s junior subordinated securities with like maturities and like interest rates to the Trust Preferred Capital Notes. The Trust Preferred Capital Notes may be included in Tier 1 capital for regulatory capital adequacy determination purposes up to 25% of Tier 1 capital after its inclusion. The portion of the Trust Preferred Capital Notes not considered as Tier 1 capital may be included in Tier 2 capital. The obligations of the Company with respect to the issuance of the Trust Preferred Capital Notes constitute a full and unconditional guarantee by the Company of the Trust’s obligations with respect to the Trust Preferred Capital Notes. Subject to certain exceptions and limitations, the Company may elect from time to time to defer interest payments on the junior subordinated debt securities, which would result in a deferral of distribution payments on the related Trust Preferred Capital Notes and require a deferral of common dividends. The Company is current on these interest payments.

Subordinated Debt Offering

Subordinated Debt Offering	12 Months Ended
Subordinated Debt Offering	Dec. 31, 2022
Subordinated Debt
Subordinated Debt	Note 16. Subordinated Debt On March 21, 2018, the Company issued $5,700,000 of fixed-to-floating rate subordinated notes due March 31, 2028 in a private placement. The Company received $5,539,000 in net proceeds after deducting issuance costs. The subordinated notes accrue interest at a fixed rate of 6.50% for the first five years until March 31, 2023; thereafter, the subordinated notes will accrue interest at an annual floating rate equal to three-month LIBOR plus a spread of 3.73% until maturity or early redemption. The Company may redeem the subordinated notes in whole or in part, on or after March 31, 2023. The subordinated notes are unsecured and subordinated in right of payment to all of the Company’s existing and future senior indebtedness, whether secured or unsecured, including claims of depositors and general creditors, and rank equally in right of payment with any unsecured, subordinated indebtedness that the Company may incur in the future. At December 31, 2022 and 2021, the carrying value of the notes totaled $5,692,000 and $5,660,000, respectively.

Retirement Plans

Retirement Plans	12 Months Ended
Retirement Plans	Dec. 31, 2022
Retirement Plans
Retirement Plans	Note 17. Retirement Plans 401K Plan Supplemental Executive Retirement Plan Directors Deferral Plan 2021, the trust held 32,785 and 35,038 shares, respectively, of Company common stock totaling $689,000 and $730,000, respectively.

Fair value

Fair value	12 Months Ended
Fair value	Dec. 31, 2022
Fair value
Fair value	Note 18. Fair Value The Company determines the fair value of its financial instruments based on the requirements established in ASC 820: Fair Value Measurements, ASC 820 establishes a hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair values hierarchy is as follows: Level 1 Inputs Level 2 Inputs Level 3 Inputs The Company used the following methods to determine the fair value of each type of financial instrument: Securities Impaired loans Loans held for sale: portfolio of loans held for sale is classified as Level 2. Gains and losses on the sale of loans are recorded within mortgage banking income, net on the Consolidated Statements of Income. Derivative asset – interest rate lock commitments (“IRLCs”): Derivative asset/liability – forward sale commitments: Other Real Estate Owned: Assets and liabilities measured at fair value under Topic 820 on a recurring and non-recurring basis are summarized below for the indicated dates (in thousands): Fair Value Measurement at December 31, 2022 Using Quoted Prices in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Value (Level 1) (Level 2) (Level 3) Financial Assets - Recurring U.S. Government Agencies $ 60,902 $ — $ 60,902 $ — Mortgage-backed securities 60,560 — 60,560 — Municipals 1,550 — 1,550 — Subordinated debt 10,841 — 8,841 2,000 Loans held for sale 2,268 — 2,268 — IRLC 142 — 142 — Financial Liabilities - Recurring Forward sales commitment 207 — 207 — Fair Value Measurement at December 31, 2021 Using Quoted Prices in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Value (Level 1) (Level 2) (Level 3) Financial Assets - Recurring U.S. Government Agencies $ 40,999 $ — $ 40,999 $ — Mortgage-backed securities 40,495 — 40,495 — Municipals 2,209 2,209 Subordinated debt 10,996 — 9,246 1,750 Loans held for sale 5,141 — 5,141 — IRLC 471 — 471 — Financial Liabilities - Recurring Forward sales commitment 651 — 651 — There were no Level 3 fair value measurements for financial instruments measured on a non-recurring basis at fair value at December 31, 2022 and December 31, 2021. FASB ASC 825, Financial Instruments, requires disclosure about fair value of financial instruments, including those financial assets and financial liabilities that are not required to be measured and reported at fair value on a recurring or nonrecurring basis. ASC 825 excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Company. In accordance with ASU 2016-01, the Company uses the exit price notion, rather than the entry price notion, in calculating the fair values of financial instruments not measured at fair value on a recurring basis. The following tables reflect the carrying amounts and estimated fair values of the Company's financial instruments whether or not recognized on the Consolidated Balance Sheet at fair value. December 31, December 31, 2022 2021 Level in Fair Value Carrying Estimated Carrying Estimated Hierarchy Value Fair Value Value Fair Value Financial assets Cash Level 1 $ 12,062 $ 12,062 $ 12,071 $ 12,071 Cash equivalents Level 2 4,616 4,616 80,545 80,545 Investment securities available for sale Level 2 131,853 131,853 92,949 92,949 Investment securities available for sale Level 3 2,000 2,000 1,750 1,750 Federal Home Loan Bank stock Level 2 1,223 1,223 353 353 Loans held for sale Level 2 2,268 2,268 5,141 5,141 Loans Level 3 538,427 521,150 526,457 526,668 Bank owned life insurance Level 2 12,798 12,798 12,494 12,494 Accrued interest receivable Level 2 3,651 3,651 3,245 3,245 Interest rate lock commitments Level 2 142 142 471 471 Financial liabilities Deposits Level 2 624,743 625,037 664,048 663,898 FHLB borrowings Level 2 20,000 20,000 — — Trust preferred securities Level 2 8,764 7,066 8,764 9,554 Other borrowings Level 2 5,692 5,692 5,660 5,660 Accrued interest payable Level 2 70 70 68 68 Forward sales commitment Level 2 207 207 651 651

Segment Reporting

Segment Reporting	12 Months Ended
Segment Reporting	Dec. 31, 2022
Segment Reporting
Segment Reporting	Note 19. Segment Reporting The Company has two reportable segments: traditional commercial banking and mortgage banking. Revenues from commercial banking operations consist primarily of interest earned on loans and securities and fees from deposit services. Mortgage banking operating revenues consist principally of interest earned on mortgage LHFS, gains on sales of loans in the secondary mortgage market, and loan origination fee income. The commercial banking segment provides the mortgage banking segment with the short-term funds needed to originate mortgage loans through a warehouse line of credit and charges the mortgage banking segment interest based on the commercial banking segment’s cost of funds. Additionally, the mortgage banking segment leases premises from the commercial banking segment. These transactions are eliminated in the consolidation process. The following table presents segment information as of and for the years ended December 31, 2022 and 2021 (in thousands): Commercial Mortgage Consolidated Banking Banking Eliminations Totals Year Ended December 31, 2022 Revenues Interest income $ 27,250 $ 237 $ — $ 27,487 Gain on sale of loans — 4,752 — 4,752 Other revenues 3,335 488 (274) 3,549 Total revenues 30,585 5,477 (274) 35,788 Expenses Recovery of provision for loan losses (300) — — (300) Interest expense 1,781 — — 1,781 Salaries and benefits 10,585 3,183 — 13,768 Commissions — 1,698 — 1,698 Other expenses 7,625 1,195 (274) 8,546 Total operating expenses 19,691 6,076 (274) 25,493 Income (loss) before income taxes 10,894 (599) — 10,295 Income tax expense (benefit) 2,116 (126) — 1,990 Net income (loss) $ 8,778 $ (473) $ — $ 8,305 Total assets $ 738,110 $ 17,874 $ (32,714) $ 723,270 Commercial Mortgage Consolidated Banking Banking Eliminations Totals Year Ended December 31, 2021 Revenues Interest income $ 27,282 $ 409 $ (24) $ 27,667 Gain on sale of loans — 11,762 — 11,762 Other revenues 3,001 864 (281) 3,584 Total revenues 30,283 13,035 (305) 43,013 Expenses Recovery of provision for loan losses (500) — — (500) Interest expense 2,172 24 (24) 2,172 Salaries and benefits 9,942 4,163 — 14,105 Commissions — 3,004 — 3,004 Other expenses 7,314 1,326 (281) 8,359 Total operating expenses 18,928 8,517 (305) 27,140 Income before income taxes 11,355 4,518 — 15,873 Income tax expense 2,471 949 — 3,420 Net income $ 8,884 $ 3,569 $ — $ 12,453 Total assets $ 760,653 $ 19,673 $ (31,925) $ 748,401

Parent Corporation Only Financi

Parent Corporation Only Financial Statements	12 Months Ended
Parent Corporation Only Financial Statements	Dec. 31, 2022
Parent Corporation Only Financial Statements
Parent Corporation Only Financial Statements	Note 20. Village Bank and Trust Financial Corp. (Parent Corporation Only) Condensed Balance Sheet (in thousands) December 31, December 31, 2022 2021 Assets Cash and due from banks $ 1,868 $ 1,647 Investment in subsidiaries 70,731 73,380 Investment in special purpose subsidiary 264 264 Prepaid expenses and other assets 2,756 2,585 $ 75,619 $ 77,876 Liabilities and Shareholders’ Equity Liabilities Balance due to nonbank subsidiaries $ 8,764 $ 8,764 Other borrowings 5,692 5,660 Accrued interest payable 46 46 Other liabilities 6 5 Total liabilities 14,508 14,475 Shareholders’ equity Common stock 5,868 5,822 Additional paid-in capital 55,167 54,814 Retained Earnings 10,957 3,509 Stock in directors rabbi trust (689) (730) Directors deferred fees obligation 689 730 Accumulated other comprehensive loss (10,881) (744) Total stockholders’ equity 61,111 63,401 $ 75,619 $ 77,876 Village Bank and Trust Financial Corp. (Parent Corporation Only) Condensed Statements of Operations and Comprehensive Income Years Ended December 31, 2022 and 2021 (in thousands) 2022 2021 Income Interest income $ 3 $ 4 Dividends received from subsidiaries 1,835 950 Total Income 1,838 954 Interest expense Interest on borrowed funds 694 575 Total interest expense 694 575 Net interest income 1,144 379 Noninterest expense Supplies 30 30 Professional and outside services 42 33 Other 45 44 Total noninterest expense 117 107 Net income before undistributed income of subsidiary 1,027 272 Undistributed income of subsidiary 7,108 12,039 Net income before income tax benefit 8,135 12,311 Income tax benefit (170) (142) Net income $ 8,305 $ 12,453 Total comprehensive income (loss) $ (1,832) $ 11,279 Village Bank and Trust Financial Corp. (Parent Corporation Only) Condensed Statements of Cash Flows Years Ended December 31, 2022 and 2021 (in thousands) 2022 2021 Cash Flows from Operating Activities Net income $ 8,305 $ 12,453 Adjustments to reconcile net income to net cash used in operating activities Amortization of debt issuance costs 32 32 Undistributed income of subsidiary (8,943) (12,989) Net change in: Other assets (170) (147) Other liabilities 1 5 Net cash used in operating activities (775) (646) Cash Flows from Investing Activities Dividend from subsidiary 1,835 950 Net cash provided by investing activities 1,835 950 Cash Flows from Financing Activities Proceeds from exercise of stock options 18 — Cash dividends paid (857) (206) Net cash used in financing activities (839) (206) Net increase in cash 221 98 Cash, beginning of year 1,647 1,549 Cash, end of year $ 1,868 $ 1,647

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	12 Months Ended
Summary of Significant Accounting Policies (Policies)	Dec. 31, 2022
Summary of Significant Accounting Policies
Business	Business The Company is the holding company of Village Bank (the “Bank”). The Bank opened to the public on December 13, 1999 as a traditional community bank offering deposit and loan services to individuals and businesses in the Richmond, Virginia metropolitan area. In 2017, the Bank entered the Williamsburg, Virginia market by opening a full service branch. Village Bank Mortgage Corporation (the “Mortgage Company”) is a full service mortgage banking company wholly-owned by the Bank. The Bank is subject to regulations of certain federal and state agencies and undergoes periodic examinations by those regulatory authorities. As a consequence of the extensive regulation of commercial banking activities, the Bank’s business is susceptible to being affected by state and federal legislation and regulations. The majority of the Company’s real estate loans are collateralized by properties in the Richmond, Virginia metropolitan area. Accordingly, the ultimate collectability of those loans collateralized by real estate is particularly susceptible to changes in market conditions in the Richmond area.
Basis of presentation and consolidation	Basis of presentation and consolidation The consolidated financial statements include the accounts of the Company, the Bank and the Mortgage Company. All material intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications have been made to the prior year financial statements to conform to current year presentation. The results of the reclassifications are not considered material.
Use of estimates	Use of estimates The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the balance sheets dates and revenues and expenses during the reporting period. Actual results could differ significantly from those estimates. Material estimates that are particularly susceptible to significant change include the determination of the allowance for loan losses and its related provision, including impaired loans, and the valuation of deferred tax asset.
Securities	Securities At the time of purchase, debt securities are classified into the following categories: held to maturity, available for sale or trading. Debt securities that the Company has both the positive intent and ability to hold to maturity are classified as held to maturity. Held to maturity securities are stated at amortized cost adjusted for amortization of premiums and accretion of discounts on purchase using a method that approximates the effective interest method. Investments classified as trading or available for sale are stated at fair value. Changes in fair value of trading investments are included in current earnings while changes in fair value of available for sale investments are excluded from current earnings and reported, net of taxes, as a separate component of other comprehensive income. Presently, the Company does not maintain a portfolio of trading securities or held to maturity. The fair value of investment securities available for sale is estimated based on quoted prices for similar assets determined by bid quotations received from independent pricing services. Declines in the fair value of securities below their amortized cost that are other than temporary are reflected in earnings or other comprehensive income, as appropriate. For those debt securities whose fair value is less than their amortized cost basis, we consider our intent to sell the security, whether it is more likely than not that we will be required to sell the security before recovery and if we do not expect to recover the entire amortized cost basis of the security. In analyzing an issuer’s financial condition, we may consider whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred and the results of reviews of the issuer’s financial condition. Restricted stock, at cost. Interest income is recognized when earned. Realized gains and losses for securities classified as available-for-sale are included in earnings and are derived using the specific identification method for determining the cost of securities sold.
Mortgage Banking and Derivatives	Mortgage Banking and Derivatives Loans held for sale. The Company, through the Bank’s mortgage banking subsidiary, the Mortgage Company, originates residential mortgage loans for sale in the secondary market. Residential mortgage loans held for sale are sold to the permanent investor with the mortgage servicing rights released. The Company uses fair value accounting for its entire portfolio of loans held for sale (“LHFS”) in accordance with Accounting Standards Codification (“ASC”) 820 - Fair Value Measurement and Disclosures. Fair value of the Company’s LHFS is based on observable market prices for identical instruments traded in the secondary mortgage loan markets in which the Company conducts business and totaled $2.3 million as of December 31, 2022, of which $2.2 million is related to unpaid principal, and totaled $5.1 million as of December 31, 2021, of which $5.0 million is related to unpaid principal. The Company’s portfolio of LHFS is classified as Level 2. Interest Rate Lock Commitments and Forward Sales Commitments. The Company uses fair value accounting for its forward sales commitments related to IRLCs and LHFS under ASC 825-10-15-4(b). The fair value of forward sales commitments is reported in “Other Liabilities” in the Consolidated Balance Sheet at December 31, 2022, and totaled $207,000, with a notional amount of $12.1 million and total positions of 38, and at December 31, 2021, totaled $651,000, with a notional amount of $24.3 million and total positions of 95.
Transfers of financial assets	Transfers of financial assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when: (1) the assets have been isolated from the Bank and put presumptively beyond the reach of the transferor and its creditors, even in bankruptcy or other receivership, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and (3) the Bank does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity or the ability to unilaterally cause the holder to return specific assets. Our transfers of financial assets are limited to commercial loan participations sold, which were insignificant for 2022 and 2021 and the sale of residential mortgage loans in the secondary market; the extent of which are disclosed in the Consolidated Statements of Cash Flows.
Loans	Loans Loans are stated at the principal amount outstanding, net of unearned income. Loan origination fees and certain direct loan origination costs are deferred and amortized to interest income over the life of the loan as an adjustment to the loan’s yield over the term of the loan. A loan’s past due status is based on the contractual due date of the most delinquent payment dates. Interest is accrued on outstanding principal balances, unless the Company considers collection to be doubtful. Commercial and unsecured consumer loans are designated as nonaccrual when payment is delinquent 90 days or at the point which the Company considers collection doubtful, if earlier. Mortgage loans and most other types of consumer loans past due 90 days or more may remain on accrual status if management determines that such amounts are collectible. When loans are placed in nonaccrual status, previously accrued and unpaid interest is reversed against interest income in the current period and interest is subsequently recognized only to the extent cash is received as long as the remaining recorded investment in the loan is deemed fully collectible. Loans may be placed back on accrual status when, in the opinion of management, the circumstances warrant such action such as a history of timely payments subsequent to being placed on nonaccrual status, additional collateral is obtained or the borrowers cash flows improve. Standby letters of credit are written conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. The total contractual amount of standby letters of credit, whose contract amounts represent credit risk, was approximately $922,000 at December 31, 2022 and approximately $4,680,000 at December 31, 2021. Below is a summary of the current loan segments: Construction and land development loans amount of the loan. Construction loans also bear the risk that the general contractor, who may or may not be a loan customer, may be unable to finish the construction project as planned because of financial pressure unrelated to the project. Commercial real estate loans Consumer real estate loans Commercial and industrial Consumer and other loans Guaranteed student loans We also purchase the guaranteed portion of United State Department of Agriculture Loans (“USDA”) which are guaranteed by the USDA for 100% of the principal and interest. The originating institution holds the unguaranteed portion of the loan and services the loan. These loans are typically purchased at a premium. In the event of a loan default or early prepayment the Bank may need to write off any unamortized premium. These loans are included in the commercial and industrial loan segment.
Allowance for loan losses	Allowance for loan losses The allowance for loan losses is established as losses are estimated to have occurred through a provision for loan losses charged to earnings. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is probable. Subsequent recoveries, if any, are credited to the allowance. The allowance represents an amount that, in management’s judgment, will be adequate to absorb probable losses inherent in the loan portfolio. Management’s judgment in determining the adequacy of the allowance is based on evaluations of the collectability of loans while taking into consideration such factors as changes in the nature and volume of the loan portfolio, current economic conditions which may affect a borrower’s ability to repay, overall portfolio quality, and review of specific potential losses. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of general and specific components. The general component covers non-classified loans and is based on historical loss experience and risk characteristics (i.e. trends in delinquencies and other nonperforming loans, changes in economic conditions on both a local and national level, and changes in the categories of loans comprising the loan portfolio) adjusted for qualitative factors. The specific component relates to loans that we have concluded, based on the value of collateral, guarantees and any other pertinent factors, have known losses. For such loans that are also classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating specific and general losses in the portfolio. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan by loan basis by either the present value of the expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price, or the fair value of the collateral if the loan is collateral dependent.
Troubled debt restructurings	Troubled debt restructurings (“TDR”) A loan or lease is accounted for as a TDR if we, for economic or legal reasons related to the borrower’s financial condition, grant a significant concession to the borrower that we would not otherwise consider. A TDR may involve the receipt of assets from the debtor in partial or full satisfaction of the loan or lease, or a modification of terms such as a reduction of the stated interest rate or balance of the loan or lease, a reduction of accrued interest, an extension of the maturity date at a stated interest rate lower than the current market rate for a new loan with similar risk, or some combination of these concessions. TDRs generally remain categorized as nonperforming loans and leases until a six-month payment history has been maintained. In accordance with current accounting guidance, loans modified as troubled debt restructurings are, by definition, considered to be impaired loans. Impairment for these loans is measured on a loan-by-loan basis similar to other impaired loans as described above under “ Allowance for loan losses”. Loan modifications made under the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), as amended by the Consolidated Appropriations Act, 2021 (the “Appropriations Act”), were suspended from TDR evaluation.
Other real estate owned	Other real estate owned Real estate acquired through or in lieu of foreclosure is initially recorded at estimated fair value less estimated selling costs establishing a new cost basis. There were no assets held as other real estate owned (“OREO”) as of December 31, 2022 and December 31, 2021. Subsequent to the date of acquisition, it is carried at the lower of cost or fair value, adjusted for net selling costs. If fair value declines subsequent to foreclosure a valuation allowance is recorded through expense. Operating costs after acquisition are expensed as incurred. Costs relating to the development and improvement of such property are capitalized when appropriate, whereas those costs relating to holding the property are expensed.
Assets held for sale	Assets held for sale There were no assets held for sale at December 31, 2022 and 2021. The Company periodically evaluates the value of assets held for sale and records an impairment charge for any subsequent declines in fair value less selling costs.
Premises and equipment	Premises and equipment Land is carried at cost. Premises and equipment are carried at cost less accumulated depreciation and amortization. Depreciation of buildings and improvements is computed using the straight-line method over the estimated useful lives of the assets of 39 years. Depreciation of equipment is computed using the straight-line method over the estimated useful lives of the assets ranging from three seven
Supplemental Executive Retirement Plan	Supplemental Executive Retirement Plan The Company recognizes the unfunded status of its Supplemental Executive Retirement Plan (the “SERP”) as a liability in its Consolidated Balance Sheets, measured at the projected benefit obligation as of December 31, 2022 and 2021. Net periodic pension costs are recorded each period based on actuarially determined amounts in accordance with GAAP and recognized in salaries and employment benefits in the Consolidated Statements of Income. Actuarial determinations of net periodic pension cost are based on assumptions related to discount rates, employee compensation and mortality and interest crediting rates. Other changes in the status of the plan are recorded in the year in which the changes occur through other comprehensive income.
Income taxes	Income taxes Deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted tax rates applicable to future years to differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. The effect on recorded deferred income taxes of a change in tax laws or rates is recognized in income in the period that includes the enactment date. To the extent that available evidence about the future raises doubt about the realization of a deferred income tax asset, a valuation allowance is established. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. Interest and penalties associated with unrecognized tax benefits are classified as taxes other than income in the statement of income. The Company has no uncertain tax positions.
Consolidated statements of cash flows	Consolidated statements of cash flows For purposes of reporting cash flows, cash and cash equivalents include cash on hand, due from banks (including cash items in process of collection), interest-bearing deposits with banks and federal funds sold. Generally, federal funds are purchased and sold for one-day periods. Cash flows from loans originated by the Bank for investment and deposits are reported net.
Comprehensive income	Comprehensive income Total comprehensive income consists of net income and other comprehensive income (loss). At December 31, 2022 and 2021, the accumulated other comprehensive income (loss) was comprised of unrealized (losses) on securities available for sale of $(10,862,000) and $(717,000), and unfunded pension liability of ($19,000) and ($27,000) net of tax, respectively.
Earnings per common share	Earnings per common share Basic earnings per common share represent net income available to common shareholders, which represents net income less dividends paid or payable to preferred stock shareholders, divided by the weighted-average number of common shares outstanding during the period, inclusive of unvested restricted shares (Note 10). For diluted earnings per common share, net income available to common shareholders is divided by the weighted average number of common shares issued and outstanding for each period plus amounts representing the dilutive effect of stock options, as well as any adjustment to income that would result from the assumed issuance. The effects of stock options and warrants are excluded from the computation of diluted earnings per common share in periods in which the effect would be antidilutive. Stock options and warrants are antidilutive if the underlying average market price of the stock that can be purchased for the period is less than the exercise price of the option or warrant. Potential dilutive common shares that may be issued by the Company relate solely to outstanding stock options and warrants and are determined using the treasury stock method.
Stock incentive plan	Stock incentive plan On May 26, 2015, the Company’s shareholders approved the adoption of the Village Bank and Trust Financial Corp. 2015 Stock Incentive Plan (the “2015 Plan”) authorizing the issuance of up to 60,000 shares of common stock. On May 19, 2020, the Company’s shareholders approved an amendment to the 2015 Plan authorizing the issuance of up to 120,000 shares of common stock. See Note 14 for more information on the 2015 Plan.
Fair values of financial instruments	Fair values of financial instruments The fair value of an asset or liability is the price that would be received to sell that asset or paid to transfer that liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability (exit price) shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are independent, knowledgeable, able to transact and willing to transact. See Note 18 for the methods and assumptions the Company uses in estimating fair values of financial instruments.
Revenue recognition	Revenue recognition The Company recognizes revenue as it is earned in accordance with Accounting Standards Update (“ASU”) 2014-09. The following discussion is of revenues that are within the scope of the this guidance: ● Debit and credit interchange fee income - Card processing fees consist of interchange fees from consumer debit and credit card networks and other card related services. Interchange fees are based on purchase volumes and other factors and are recognized as transactions occur. ● Service charges on deposit accounts - Revenue from service charges on deposit accounts is earned through deposit-related services, as well as overdraft, non-sufficient funds, account management and other deposit related fees. Revenue is recognized for these services either over time, corresponding with deposit accounts’ monthly cycle, or at a point in time for transactional related services and fees. ● Service charges on loan accounts - Revenue from loan accounts consists primarily of fees earned on prepayment penalties. Revenue is recognized for the services at a point in time for transactional related services and fees. ● Gains/Losses on sale of OREO - The Company records a gain or loss from the sale of OREO when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of OREO to the buyer, the Company assesses whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these criteria are met, the OREO asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. ● Gains/Losses on sale of assets held for sale – The Company records a gain or loss from the sale of assets held for sale when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Company finances the sale of assets held for sale to the buyer, the Company assess whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probably. Once these criteria are met, the asset held for sale is derecognized and the gain or loss on sale is recorded upon transfer of control of the property to the buyer.
Segments	Segments The Company has two reportable segments: traditional commercial banking and mortgage banking. Revenues from commercial banking operations consist primarily of interest earned on loans and securities and fees from deposit services. Mortgage banking operating revenues consist principally of interest earned on mortgage LHFS, gains on sales of loans in the secondary mortgage market, and loan origination fee income, net of commissions paid. The commercial banking segment provides the mortgage banking segment with the short-term funds needed to originate mortgage loans through a warehouse line of credit and charges the mortgage banking segment interest based on the commercial banking segment’s cost of funds. Additionally, the mortgage banking segment leases premises from the commercial banking segment. These transactions are eliminated in the consolidation process. See additional information at Note 19, Segment Reporting.
Recent accounting pronouncements	Recent accounting pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The amendments in this ASU, among other things, require the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Among other things, the ASU also amended the impairment model for available for sale securities and addressed purchased financial assets with deterioration. The company adopted ASU 2016-13 as of January 1, 2023 in accordance with the required implementation date and recorded the impact of adoption to retained earnings, net of deferred income taxes, as required by the standard. The adjustment recorded at adoption was not significant to the overall allowance for credit losses or shareholders’ equity as compared to December 31, 2022 and consisted of adjustments to the allowance for credit losses on loans as well as an adjustment to the Company’s reserve for unfunded loan commitments. Subsequent to adoption, the company will record adjustments to its allowance for credit losses and reserves for unfunded commitments through the provision for credit losses in the consolidated statements of income. The Company is utilizing a third-party model to tabulate its estimate of current expected credit losses, using a weighted average remaining maturity (“WARM”) methodology. In accordance with ASC 326, the Company has segmented its loan portfolio based on similar risk characteristics by call report code. The Company primarily utilizes the short-term natural rate of unemployment forecast based on the Federal Open Market Committee’s projection of unemployment for its reasonable and supportable forecasting of current expected credit losses. To further adjust the allowance for credit losses for expected losses not already included within the quantitative component of the calculation, the Company may consider the following qualitative adjustment factors: changes in lending policies and procedures including changes in underwriting standards, and collections, charge-offs, and recovery practices, changes in international, national, regional, and local conditions, changes in the nature and volume of the portfolio and terms of loans, changes in experience, depth, and ability of lending management, changes in the volume and severity of past due loans and other similar conditions, changes in the quality of the organization’s loan review system, changes in the value of underlying collateral for collateral dependent loans, the existence and effect of any concentrations of credit and changes in the levels of such concentrations, and the effect of other external factors (i.e. competition, legal and regulatory requirements) on the level of estimated credit losses. The Company’s CECL implementation process was overseen by the Chief Financial Officer and included an assessment of data availability and gap analysis, data collection, consideration and analysis of multiple loss estimation methodologies, an assessment of relevant qualitative factors and correlation analysis of multiple potential loss drivers and their impact on the Company’s historical loss experience. During 2022, the Company calculated its current expected credit losses model in parallel to its incurred loss model to further refine the methodology and model. In addition, the Company utilized internal personnel who were not involved in the development of the model to perform a comprehensive model validation. In December 2022, the FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848”. ASU 2022-06 extends the period of time preparers can utilize the reference rate reform relief guidance in Topic 848. The objective of the guidance in Topic 848 is to provide relief during the temporary transition period, so the FASB included a sunset provision within Topic 848 based on expectations of when the London Interbank Offered Rate (LIBOR) would cease being published. In 2021, the UK Financial Conduct Authority (FCA) delayed the intended cessation date of certain tenors of USD LIBOR to June 30, 2023. To ensure the relief in Topic 848 covers the period of time during which a significant number of modifications may take place, the ASU defers the sunset date of Topic 848 from December 31, 2022, to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The ASU is effective for all entities upon issuance. The Company is assessing ASU 2022-06 and its impact on the Company’s transition away from LIBOR for its loan and other financial instruments. In March 2022, the FASB issued ASU 2022-02 “Financial Instruments – Credit Losses (Topic 326) Troubled Debt Restructurings and Vintage Disclosures.” ASU 2022-02 addresses areas identified by the FASB as part of its post implementation review of the credit losses standard (ASU 2016-13) that introduced the current expected credit losses (“CECL”) model. The amendments eliminate the accounting guidance for TDRs by creditors that have adopted the CECL model and enhance the disclosure requirements for loan refinancings and restructurings made with borrowers experiencing financial difficulty. In addition, the amendments require a public business entity to disclose current-period gross write-offs for financing receivables and net investment in leases by year of origination in the vintage disclosures. The amendments in this ASU should be applied prospectively, except for the transition method related to the recognition and measurement of TDRs, an entity has the option to apply a modified retrospective transition method, resulting in a cumulative-effect adjustment to retained earnings in the period of adoption. For entities that have adopted ASU 2016-13, ASU 2022-02 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. For entities that have not yet adopted ASU 2016-13, the effective dates for ASU 2022-02 are the same as the effective dates in ASU 2016-13. Early adoption is permitted if an entity has adopted ASU 2016-13. An entity may elect to early adopt the amendments about TDRs and related disclosure enhancements separately from the amendments related to vintage disclosures. The Company is currently assessing the impact that ASU 2022-02 will have on its consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” These amendments provide temporary optional guidance to ease the potential burden in accounting for reference rate reform. The ASU provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. It is intended to help stakeholders during the global market-wide reference rate transition period. The guidance is effective for all entities as of March 12, 2020 through December 31, 2022. Subsequently, in January 2021, the FASB issued ASU 2021-01 “Reference Rate Reform (Topic 848): Scope.” This ASU clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The ASU also amends the expedients and exceptions in Topic 848 to capture the incremental consequences of the scope clarification and to tailor the existing guidance to derivative instruments affected by the discounting transition. An entity may elect to apply ASU 2021-01 on contract modifications that change the interest rate used for margining, discounting, or contract price alignment retrospectively as of any date from the beginning of the interim period that includes March 12, 2020, or prospectively to new modifications from any date within the interim period that includes or is subsequent to January 7, 2021, up to the date that financial statements are available to be issued. An entity may elect to apply ASU 2021-01 to eligible hedging relationships existing as of the beginning of the interim period that includes March 12, 2020, and to new eligible hedging relationships entered into after the beginning of the interim period that includes March 12, 2020. The Company has a team to assess ASU 2020-04 and its impact on the Company’s transition away from LIBOR for its loan and other financial instruments.

Investment Securities Availab_2

Investment Securities Available for Sale (Tables)	12 Months Ended
Investment Securities Available for Sale (Tables)	Dec. 31, 2022
Investment securities available for sale
Schedule of amortized cost and fair value of investment securities available for sale	The amortized cost and fair value of investment securities available for sale as of December 31, 2022 and 2021 are as follows (in thousands): Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value December 31, 2022 U.S. Government agency obligations $ 64,631 $ 5 $ (3,734) $ 60,902 Mortgage-backed securities 69,151 6 (8,597) 60,560 Municipals 2,268 — (718) 1,550 Subordinated debt 11,553 29 (741) 10,841 $ 147,603 $ 40 $ (13,790) $ 133,853 December 31, 2021 U.S. Government agency obligations $ 41,513 $ 22 $ (536) $ 40,999 Mortgage-backed securities 40,806 302 (613) 40,495 Municipals 2,271 — (62) 2,209 Subordinated debt 11,016 90 (110) 10,996 $ 95,606 $ 414 $ (1,321) $ 94,699
Schedule of gross realized gains and losses pertaining to available for sale securities	There were
Schedule of investment securities available for sale	Investment securities available for sale that had an unrealized loss position at December 31, 2022 and December 31, 2021 are detailed below (in thousands): Securities in a loss Securities in a loss position for less than position for more than 12 Months 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses December 31, 2022 U.S. Government agency obligations $ 21,848 $ (723) $ 37,256 $ (3,011) $ 59,104 $ (3,734) Mortgage-backed securities 36,089 (3,588) 22,549 (5,009) 58,638 (8,597) Municipals — — 1,549 (718) 1,549 (718) Subordinated debt 5,305 (498) 2,007 (243) 7,312 (741) $ 63,242 $ (4,809) $ 63,361 $ (8,981) $ 126,603 $ (13,790) December 31, 2021 U.S. Government agency obligations $ 39,617 $ (536) $ — $ — $ 39,617 $ (536) Mortgage-backed securities 21,911 (448) 4,518 (165) 26,429 (613) Municipals 2,208 (62) — — 2,208 (62) Subordinated debt 919 (80) 470 (30) 1,389 (110) $ 64,655 $ (1,126) $ 4,988 $ (195) $ 69,643 $ (1,321)
Schedule of investment by contractual maturity	The amortized cost and estimated fair value of investment securities available for sale as of December 31, 2022, by contractual maturity, are as follows (in thousands): Amortized Cost Fair Value Less than one year $ 10,034 $ 9,735 One to five years 55,643 52,198 Five to ten years 15,484 14,427 More than ten years 66,442 57,493 Total $ 147,603 $ 133,853

Loans (Tables)

Loans (Tables)	12 Months Ended
Loans (Tables)	Dec. 31, 2022	Dec. 31, 2021
Loans and allowance for loan losses
Schedule of composition of loan portfolio (excluding mortgage loans held for sale)	Loans classified by type as of December 31, 2022 and 2021 are as follows (dollars in thousands): December 31, 2022 December 31, 2021 Amount % Amount % Construction and land development Residential $ 9,727 1.81 % $ 6,805 1.29 % Commercial 35,400 6.57 % 42,344 8.05 % 45,127 8.38 % 49,149 9.34 % Commercial real estate Owner occupied 119,643 22.22 % 113,108 21.48 % Non-owner occupied 153,610 28.53 % 129,786 24.65 % Multifamily 11,291 2.10 % 11,666 2.22 % Farmland 73 0.01 % 977 0.19 % 284,617 52.86 % 255,537 48.54 % Consumer real estate Home equity lines 18,421 3.42 % 17,977 3.41 % Secured by 1-4 family residential, First deed of trust 67,495 12.54 % 62,277 11.83 % Second deed of trust 7,764 1.44 % 12,118 2.31 % 93,680 17.40 % 92,372 17.55 % Commercial and industrial loans (except those secured by real estate) 90,348 16.78 % 100,421 19.07 % Guaranteed student loans 20,617 3.83 % 25,975 4.93 % Consumer and other 4,038 0.75 % 3,003 0.57 % Total loans 538,427 100.0 % 526,457 100.0 % Deferred (fees) and costs, net 588 (433) Less: allowance for loan losses (3,370) (3,423) $ 535,645 $ 522,601
Summary of loans directly or indirectly with executive officers or directors of the Company	The following is a summary of loans directly or indirectly with executive officers or directors of the Company for the years ended December 31, 2022 and 2021 (in thousands): 2022 2021 Beginning balance $ 5,922 $ 4,672 Additions 7,662 8,760 Effect of changes in composition of related parties — (324) Reductions (9,219) (7,186) Ending balance $ 4,365 $ 5,922
Schedule of information on nonaccrual loans	The following table provides information on nonaccrual loans segregated by type at the dates indicated (dollars in thousands): December 31, December 31, 2022 2021 Commercial real estate Non-owner occupied $ — $ 286 — 286 Consumer real estate Home equity lines 300 300 Secured by 1-4 family residential First deed of trust 164 556 Second deed of trust 171 198 635 1,054 Commercial and industrial loans (except those secured by real estate) 19 19 Total loans $ 654 $ 1,359
Schedule of information on the risk rating of loans	The following tables provide information on the risk rating of loans at the dates indicated (in thousands): Risk Rated Risk Rated Risk Rated Risk Rated Total 1 ‑ 4 5 6 7 Loans December 31, 2022 Construction and land development Residential $ 9,727 $ — $ — $ — $ 9,727 Commercial 32,763 2,637 — — 35,400 42,490 2,637 — — 45,127 Commercial real estate Owner occupied 115,825 2,583 1,235 — 119,643 Non-owner occupied 143,458 10,152 — — 153,610 Multifamily 11,291 — — — 11,291 Farmland 73 — — — 73 270,647 12,735 1,235 — 284,617 Consumer real estate Home equity lines 17,507 614 300 — 18,421 Secured by 1-4 family residential First deed of trust 66,616 407 472 — 67,495 Second deed of trust 7,517 72 175 — 7,764 91,640 1,093 947 — 93,680 Commercial and industrial loans (except those secured by real estate) 83,848 6,481 19 — 90,348 Guaranteed student loans 20,617 — — — 20,617 Consumer and other 4,017 — 21 — 4,038 Total loans $ 513,259 $ 22,946 $ 2,222 $ — $ 538,427 Risk Rated Risk Rated Risk Rated Risk Rated Total 1 ‑ 4 5 6 7 Loans December 31, 2021 Construction and land development Residential $ 6,805 $ — $ — $ — $ 6,805 Commercial 39,707 2,637 — — 42,344 46,512 2,637 — — 49,149 Commercial real estate Owner occupied 103,370 6,181 3,557 — 113,108 Non-owner occupied 114,168 15,332 286 — 129,786 Multifamily 11,666 — — — 11,666 Farmland 977 — — — 977 230,181 21,513 3,843 — 255,537 Consumer real estate Home equity lines 17,054 623 300 — 17,977 Secured by 1-4 family residential First deed of trust 57,932 3,605 740 — 62,277 Second deed of trust 11,492 429 197 — 12,118 86,478 4,657 1,237 — 92,372 Commercial and industrial loans (except those secured by real estate) 98,362 1,806 253 — 100,421 Guaranteed student loans 25,975 — — — 25,975 Consumer and other 2,972 31 — — 3,003 Total loans $ 490,480 $ 30,644 $ 5,333 $ — $ 526,457
Schedule of aging of recorded investment in past due loans and leases	The following tables present the aging of the recorded investment in past due loans as of the dates indicated (in thousands): Greater Investment > 30 ‑ 59 Days 60 ‑ 89 Days Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing December 31, 2022 Construction and land development Residential $ — $ — $ — $ — $ 9,727 $ 9,727 $ — Commercial — — — — 35,400 35,400 — — — — — 45,127 45,127 — Commercial real estate Owner occupied — — — — 119,643 119,643 — Non-owner occupied — — — — 153,610 153,610 — Multifamily — — — — 11,291 11,291 — Farmland — — — — 73 73 — — — — — 284,617 284,617 — Consumer real estate Home equity lines — 50 — 50 18,371 18,421 — Secured by 1‑4 family residential First deed of trust — — — — 67,495 67,495 — Second deed of trust 54 — — 54 7,710 7,764 — 54 50 — 104 93,576 93,680 — Commercial and industrial loans (except those secured by real estate) 1,022 — 377 1,399 88,949 90,348 — Guaranteed student loans 831 390 1,725 2,946 17,671 20,617 1,725 Consumer and other — — — — 4,038 4,038 — Total loans $ 1,907 $ 440 $ 2,102 $ 4,449 $ 533,978 $ 538,427 $ 1,725 Recorded Greater Investment > 30-59 Days 60-89 Days Than Total Past Total 90 Days and Past Due Past Due 90 Days Due Current Loans Accruing December 31, 2021 Construction and land development Residential $ — $ — $ — $ — $ 6,805 $ 6,805 $ — Commercial — — — — 42,344 42,344 — — — — — 49,149 49,149 — Commercial real estate Owner occupied — — — — 113,108 113,108 — Non-owner occupied — — — — 129,786 129,786 — Multifamily — — — — 11,666 11,666 — Farmland — — — — 977 977 — — — — — 255,537 255,537 — Consumer real estate Home equity lines — — — — 17,977 17,977 — Secured by 1-4 family residential First deed of trust — — — — 62,277 62,277 — Second deed of trust — — — — 12,118 12,118 — — — — — 92,372 92,372 — Commercial and industrial loans (except those secured by real estate) 1,031 — — 1,031 99,390 100,421 — Guaranteed student loans 956 791 1,961 3,708 22,267 25,975 1,961 Consumer and other — — — — 3,003 3,003 — Total loans $ 1,987 $ 791 $ 1,961 $ 4,739 $ 521,718 $ 526,457 $ 1,961
Schedule of impaired loans	December 31, 2022 December 31, 2021 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate Owner occupied $ 4,332 $ 4,347 $ — $ 4,776 $ 4,791 $ — Non-owner occupied 312 312 — 1,458 1,458 — 4,644 4,659 — 6,234 6,249 — Consumer real estate Home equity lines 300 300 — 300 300 — Secured by 1‑4 family residential First deed of trust 1,745 1,745 — 1,873 1,873 — Second deed of trust 195 300 — 238 406 — 2,240 2,345 — 2,411 2,579 — Commercial and industrial loans (except those secured by real estate) 19 19 — 185 185 — 6,903 7,023 — 8,830 9,013 — With an allowance recorded Commercial real estate Owner occupied 251 251 2 267 267 4 251 251 2 267 267 4 Consumer real estate Secured by 1-4 family residential First deed of trust 136 136 6 146 146 7 136 136 6 146 146 7 Consumer and other 21 21 1 — — — 408 408 9 413 413 11 Total Owner occupied 4,583 4,598 2 5,043 5,058 4 Non-owner occupied 312 312 — 1,458 1,458 — 4,895 4,910 2 6,501 6,516 4 Consumer real estate Home equity lines 300 300 — 300 300 — Secured by 1-4 family residential, First deed of trust 1,881 1,881 6 2,019 2,019 7 Second deed of trust 195 300 — 238 406 — 2,376 2,481 6 2,557 2,725 7 Commercial and industrial loans (except those secured by real estate) 19 19 — 185 185 — Consumer and other 21 21 1 — — — $ 7,311 $ 7,431 $ 9 $ 9,243 $ 9,426 $ 11
Schedule of average recorded investment in impaired loans	The following is a summary of average recorded investment in impaired loans with and without valuation allowance and interest income recognized on those loans for periods indicated (in thousands): December 31, 2022 2021 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate Owner occupied $ 4,339 $ 159 $ 5,068 $ 159 Non-owner occupied 857 20 1,767 86 5,196 179 6,835 245 Consumer real estate Home equity lines 300 27 300 25 Secured by 1-4 family residential First deed of trust 1,798 70 1,924 93 Second deed of trust 217 10 574 23 2,315 107 2,798 141 Commercial and industrial loans (except those secured by real estate) 94 4 195 1 7,605 290 9,828 387 With an allowance recorded Commercial real estate Owner occupied 257 15 67 19 257 15 67 19 Consumer real estate Secured by 1-4 family residential First deed of trust 121 7 149 4 Second deed of trust 49 — — — 170 7 149 4 Consumer and other 11 — — — 438 22 216 23 Total Commercial real estate Owner occupied 4,596 174 5,135 178 Non-owner occupied 857 20 1,767 86 5,453 194 6,902 264 Consumer real estate Home equity lines 300 27 300 25 Secured by 1-4 family residential, First deed of trust 1,919 77 2,073 97 Second deed of trust 266 10 574 23 2,485 114 2,947 145 Commercial and industrial loans (except those secured by real estate) 94 4 195 1 Consumer and other 11 — — — $ 8,043 $ 312 $ 10,044 $ 410
Schedule of troubled debt restructurings on financing receivables	Specific Valuation Total Performing Nonaccrual Allowance December 31, 2022 Commercial real estate Owner occupied $ 3,348 $ 3,348 $ — $ 2 Non-owner occupied 312 312 — — 3,660 3,660 — 2 Consumer real estate Secured by 1-4 family residential First deeds of trust 1,409 1,409 — 6 Second deeds of trust 75 19 56 — 1,484 1,428 56 6 Commercial and industrial loans (except those secured by real estate) 19 — 19 — $ 5,163 $ 5,088 $ 75 $ 8 Number of loans 24 22 2 3 Specific Valuation Total Performing Nonaccrual Allowance December 31, 2021 Commercial real estate Owner occupied $ 3,243 $ 3,243 $ — $ 4 Non-owner occupied 1,458 1,172 286 — 4,701 4,415 286 4 Consumer real estate Secured by 1-4 family residential First deeds of trust 1,666 1,279 387 7 Second deeds of trust 99 40 59 — 1,765 1,319 446 7 Commercial and industrial loans (except those secured by real estate) 19 — 19 — $ 6,485 $ 5,734 $ 751 $ 11 Number of loans 28 23 5 3
Schedule of troubled debt restructurings on financing receivables modification	The following table provides information about TDRs identified during the indicated periods (dollars in thousands). Year Ended Year Ended December 31, 2022 December 31, 2021 Pre- Post- Pre- Post- Modification Modification Modification Modification Number of Recorded Recorded Number of Recorded Recorded Loans Balance Balance Loans Balance Balance Secured by 1-4 family residential First deed of trust — $ — $ — 1 $ 267 $ 267 — $ — $ — 1 $ 267 $ 267
Schedule of activity in the allowance for loan losses		Activity in the allowance for loan losses was as follows for the periods indicated (in thousands): Provision for Beginning (Recovery of) Ending Balance Loan Losses Charge-offs Recoveries Balance Year Ended December 31, 2022 Construction and land development Residential $ 57 $ 22 $ — $ — $ 79 Commercial 229 (37) — — 192 286 (15) — — 271 Commercial real estate Owner occupied 833 34 — — 867 Non-owner occupied 1,083 206 — — 1,289 Multifamily 35 (2) — — 33 Farmland 2 (2) — — — 1,953 236 — — 2,189 Consumer real estate Home equity lines 12 (59) — 58 11 Secured by 1-4 family residential First deed of trust 123 3 — 5 131 Second deed of trust 47 (311) (27) 334 43 182 (367) (27) 397 185 Commercial and industrial loans (except those secured by real estate) 486 180 (157) 67 576 Student loans 65 18 (31) — 52 Consumer and other 29 10 (2) — 37 Unallocated 422 (362) — — 60 $ 3,423 $ (300) $ (217) $ 464 $ 3,370 Year Ended December 31, 2021 Construction and land development Residential $ 214 $ (157) $ — $ — $ 57 Commercial 285 (56) — — 229 499 (213) — — 286 Commercial real estate Owner occupied 1,047 (214) — — 833 Non-owner occupied 1,421 (352) — 14 1,083 Multifamily 47 (12) — — 35 Farmland 2 — — — 2 2,517 (578) — 14 1,953 Consumer real estate Home equity lines 24 (23) — 11 12 Secured by 1-4 family residential First deed of trust 166 (54) — 11 123 Second deed of trust 79 1 (84) 51 47 269 (76) (84) 73 182 Commercial and industrial loans (except those secured by real estate) 408 47 — 31 486 Student loans 87 13 (35) — 65 Consumer and other 36 39 (46) — 29 Unallocated 154 268 — — 422 $ 3,970 $ (500) $ (165) $ 118 $ 3,423
Schedule of loans evaluated for impairment	Loans were evaluated for impairment as follows for the periods indicated (in thousands): Recorded Investment in Loans Allowance Loans Ending Ending Balance Individually Collectively Balance Individually Collectively Year Ended December 31, 2022 Construction and land development Residential $ 79 $ — $ 79 $ 9,727 $ — $ 9,727 Commercial 192 — 192 35,400 — 35,400 271 — 271 45,127 — 45,127 Commercial real estate Owner occupied 867 2 865 119,643 4,583 115,060 Non-owner occupied 1,289 — 1,289 153,610 312 153,298 Multifamily 33 — 33 11,291 — 11,291 Farmland — — — 73 — 73 2,189 2 2,187 284,617 4,895 279,722 Consumer real estate Home equity lines 11 — 11 18,421 300 18,121 Secured by 1-4 family residential First deed of trust 131 6 125 67,495 1,881 65,614 Second deed of trust 43 — 43 7,764 195 7,569 185 6 179 93,680 2,376 91,304 Commercial and industrial loans (except those secured by real estate) 576 — 576 90,348 19 90,329 Student loans 52 — 52 20,617 — 20,617 Consumer and other 97 1 96 4,038 21 4,017 $ 3,370 $ 9 $ 3,361 $ 538,427 $ 7,311 $ 531,116 Year Ended December 31, 2021 Construction and land development Residential $ 57 $ — $ 57 $ 6,805 $ — $ 6,805 Commercial 229 — 229 42,344 — 42,344 286 — 286 49,149 — 49,149 Commercial real estate Owner occupied 833 4 829 113,108 5,043 108,065 Non-owner occupied 1,083 — 1,083 129,786 1,458 128,328 Multifamily 35 — 35 11,666 — 11,666 Farmland 2 — 2 977 — 977 1,953 4 1,949 255,537 6,501 249,036 Consumer real estate Home equity lines 12 — 12 17,977 300 17,677 Secured by 1-4 family residential First deed of trust 123 7 116 62,277 2,019 60,258 Second deed of trust 47 — 47 12,118 238 11,880 182 7 175 92,372 2,557 89,815 Commercial and industrial loans (except those secured by real estate) 486 — 486 100,421 185 100,236 Student loans 65 — 65 25,975 — 25,975 Consumer and other 451 — 451 3,003 — 3,003 $ 3,423 $ 11 $ 3,412 $ 526,457 $ 9,243 $ 517,214

Allowance for Loan Losses (Tabl

Allowance for Loan Losses (Tables)	12 Months Ended
Allowance for Loan Losses (Tables)	Dec. 31, 2022	Dec. 31, 2021
Allowance for Loan Losses
Schedule of activity in the allowance for loan losses		Activity in the allowance for loan losses was as follows for the periods indicated (in thousands): Provision for Beginning (Recovery of) Ending Balance Loan Losses Charge-offs Recoveries Balance Year Ended December 31, 2022 Construction and land development Residential $ 57 $ 22 $ — $ — $ 79 Commercial 229 (37) — — 192 286 (15) — — 271 Commercial real estate Owner occupied 833 34 — — 867 Non-owner occupied 1,083 206 — — 1,289 Multifamily 35 (2) — — 33 Farmland 2 (2) — — — 1,953 236 — — 2,189 Consumer real estate Home equity lines 12 (59) — 58 11 Secured by 1-4 family residential First deed of trust 123 3 — 5 131 Second deed of trust 47 (311) (27) 334 43 182 (367) (27) 397 185 Commercial and industrial loans (except those secured by real estate) 486 180 (157) 67 576 Student loans 65 18 (31) — 52 Consumer and other 29 10 (2) — 37 Unallocated 422 (362) — — 60 $ 3,423 $ (300) $ (217) $ 464 $ 3,370 Year Ended December 31, 2021 Construction and land development Residential $ 214 $ (157) $ — $ — $ 57 Commercial 285 (56) — — 229 499 (213) — — 286 Commercial real estate Owner occupied 1,047 (214) — — 833 Non-owner occupied 1,421 (352) — 14 1,083 Multifamily 47 (12) — — 35 Farmland 2 — — — 2 2,517 (578) — 14 1,953 Consumer real estate Home equity lines 24 (23) — 11 12 Secured by 1-4 family residential First deed of trust 166 (54) — 11 123 Second deed of trust 79 1 (84) 51 47 269 (76) (84) 73 182 Commercial and industrial loans (except those secured by real estate) 408 47 — 31 486 Student loans 87 13 (35) — 65 Consumer and other 36 39 (46) — 29 Unallocated 154 268 — — 422 $ 3,970 $ (500) $ (165) $ 118 $ 3,423
Schedule of loans evaluated for impairment	Loans were evaluated for impairment as follows for the periods indicated (in thousands): Recorded Investment in Loans Allowance Loans Ending Ending Balance Individually Collectively Balance Individually Collectively Year Ended December 31, 2022 Construction and land development Residential $ 79 $ — $ 79 $ 9,727 $ — $ 9,727 Commercial 192 — 192 35,400 — 35,400 271 — 271 45,127 — 45,127 Commercial real estate Owner occupied 867 2 865 119,643 4,583 115,060 Non-owner occupied 1,289 — 1,289 153,610 312 153,298 Multifamily 33 — 33 11,291 — 11,291 Farmland — — — 73 — 73 2,189 2 2,187 284,617 4,895 279,722 Consumer real estate Home equity lines 11 — 11 18,421 300 18,121 Secured by 1-4 family residential First deed of trust 131 6 125 67,495 1,881 65,614 Second deed of trust 43 — 43 7,764 195 7,569 185 6 179 93,680 2,376 91,304 Commercial and industrial loans (except those secured by real estate) 576 — 576 90,348 19 90,329 Student loans 52 — 52 20,617 — 20,617 Consumer and other 97 1 96 4,038 21 4,017 $ 3,370 $ 9 $ 3,361 $ 538,427 $ 7,311 $ 531,116 Year Ended December 31, 2021 Construction and land development Residential $ 57 $ — $ 57 $ 6,805 $ — $ 6,805 Commercial 229 — 229 42,344 — 42,344 286 — 286 49,149 — 49,149 Commercial real estate Owner occupied 833 4 829 113,108 5,043 108,065 Non-owner occupied 1,083 — 1,083 129,786 1,458 128,328 Multifamily 35 — 35 11,666 — 11,666 Farmland 2 — 2 977 — 977 1,953 4 1,949 255,537 6,501 249,036 Consumer real estate Home equity lines 12 — 12 17,977 300 17,677 Secured by 1-4 family residential First deed of trust 123 7 116 62,277 2,019 60,258 Second deed of trust 47 — 47 12,118 238 11,880 182 7 175 92,372 2,557 89,815 Commercial and industrial loans (except those secured by real estate) 486 — 486 100,421 185 100,236 Student loans 65 — 65 25,975 — 25,975 Consumer and other 451 — 451 3,003 — 3,003 $ 3,423 $ 11 $ 3,412 $ 526,457 $ 9,243 $ 517,214

Premises and Equipment (Tables)

Premises and Equipment (Tables)	12 Months Ended
Premises and Equipment (Tables)	Dec. 31, 2022
Premises and Equipment
Schedule of premises and equipment	The following is a summary of premises and equipment as of December 31, 2022 and 2021 (in thousands): 2022 2021 Land $ 4,352 $ 4,352 Buildings and improvements 11,444 11,159 Furniture, fixtures and equipment 7,945 7,826 Total premises and equipment 23,741 23,337 Less: Accumulated depreciation and amortization (11,993) (11,513) Premises and equipment, net $ 11,748 $ 11,824

Deposits (Tables)

Deposits (Tables)	12 Months Ended
Deposits (Tables)	Dec. 31, 2021
Deposits
Schedule of deposits	Deposits as of December 31, 2022 and 2021 were as follows (dollars in thousands): December 31, 2022 December 31, 2021 Amount % Amount % Demand accounts $ 255,236 40.9 % $ 268,804 40.5 % Interest checking accounts 90,252 14.4 % 89,599 13.5 % Money market accounts 179,036 28.6 % 187,942 28.3 % Savings accounts 55,695 8.9 % 54,106 8.1 % Time deposits of $250,000 and over 4,740 0.8 % 6,977 1.1 % Other time deposits 39,784 6.4 % 56,620 8.5 % Total $ 624,743 100.0 % $ 664,048 100.0 %
Schedule of maturities of time deposits	The following are the scheduled maturities of time deposits as of December 31, 2022 (in thousands): Greater Than Year Ending Less Than or Equal to December 31, $250,000 $250,000 Total 2023 $ 25,442 $ 4,203 $ 29,645 2024 6,729 — 6,729 2025 2,868 — 2,868 2026 3,514 — 3,514 2027 1,231 537 1,768 Total $ 39,784 $ 4,740 $ 44,524

Borrowings (Tables)

Borrowings (Tables)	12 Months Ended
Borrowings (Tables)	Dec. 31, 2022
Borrowings
Schedule of Debt	Information related to borrowings as of December 31, 2022 and 2021 is as follows (dollars in thousands): Year Ended December 31, 2022 2021 Maximum outstanding during the year Federal Funds Purchased $ 6,000 $ 4,982 FHLB advances 20,000 — PPPLF — 41,529 Balance outstanding at end of year Federal Funds Purchased — — FHLB advances 20,000 — PPPLF — — Average amount outstanding during the year Federal Funds Purchased 2 55 FHLB advances 164 — PPPLF — 5,601 Average interest rate during the year Federal Funds Purchased 4.61 % 0.05 % FHLB advances 4.65 % — % PPPLF — % 0.35 % Average interest rate at end of year Federal Funds Purchased — % — % FHLB advances 4.57 % — % PPPLF — % — %

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
Income Taxes (Tables)	Dec. 31, 2022
Income Taxes
Schedule of deferred tax assets and liabilities	The following summarizes the tax effects of temporary differences that comprise deferred tax assets and liabilities at December 31, 2022 and 2021 (in thousands): 2022 2021 Deferred tax assets Capital loss carryforward $ 25 $ 25 Allowance for loan losses 708 719 Deferred fees, net of costs — 91 Unrealized loss on available for sale securities 2,887 190 Interest on nonaccrual loans 18 18 Stock compensation 78 37 Employee benefits 836 810 Depreciation 24 27 Lease obligation 5 3 Other, net 63 48 Total deferred tax assets 4,644 1,968 Deferred tax liabilities Deferred costs, net of fees 123 — Pension expense 6 1 Total deferred tax liabilities 129 1 Net deferred tax asset $ 4,515 $ 1,967
Schedule of Provision for income taxes	The income tax expense charged to operations for the years ended December 31, 2022 and 2021 consists of the following (in thousands): 2022 2021 Current tax expense $ 1,844 $ 2,721 Deferred tax expense 146 699 Provision for income taxes $ 1,990 $ 3,420
Schedule of effective income tax rate reconciliation	A reconciliation of income taxes computed at the federal statutory income tax rate to total income taxes is as follows for the years ended December 31, 2022 and 2021 (in thousands): 2022 2021 Net income before income taxes $ 10,295 $ 15,873 Computed "expected" tax expense $ 2,162 $ 3,333 State taxes, net of federal (67) 173 Cash surrender value of life insurance (64) (59) Other (41) (27) Provision for income taxes $ 1,990 $ 3,420

Earnings (Loss) per Share (Tabl

Earnings (Loss) per Share (Tables)	12 Months Ended
Earnings (Loss) per Share (Tables)	Dec. 31, 2021
Earnings per common share
Schedule of basic and diluted earnings per common share	The following table presents the basic and diluted earnings per share computations (dollars in thousands except per share data): Year Ended December 31, 2022 2021 Numerator Net income - basic and diluted $ 8,305 $ 12,453 Denominator Weighted average shares outstanding - basic 1,477 1,468 Dilutive effect of common stock options — — Weighted average shares outstanding - diluted 1,477 1,468 Earnings per share - basic $ 5.62 $ 8.48 Earnings per share - diluted $ 5.62 $ 8.48

Lease Commitments (Tables)

Lease Commitments (Tables)	12 Months Ended
Lease Commitments (Tables)	Dec. 31, 2022
Lease Commitments
Schedule of information about the Company's leases	The following tables present information about the Company’s leases (dollars in thousands): For the years ended December 31, 2022 2021 Lease liabilities $ 1,122 $ 930 Right-of-use assets $ 1,100 $ 916 Weighted average remaining lease term 4.40 5.05 Weighted average discount rate 2.51 % 2.39 % For the years ended December 31, 2022 2021 Lease cost Operating lease cost $ 301 $ 358 Total lease cost $ 301 $ 358
Schedule of maturity analysis of operating lease liabilities	A maturity analysis of operating lease liabilities and reconciliation of the undiscounted cash flows to the total of operating lease liabilities is as follows (dollars in thousands): As of December 31, 2022 Lease payments due Twelve months ending December 31, 2023 $ 301 Twelve months ending December 31, 2024 313 Twelve months ending December 31, 2025 213 Twelve months ending December 31, 2026 163 Twelve months ending December 31, 2027 146 Thereafter 60 Total undiscounted cash flows $ 1,196 Discount 74 Lease liabilities $ 1,122

Commitments and contingencies (

Commitments and contingencies (Tables)	12 Months Ended
Commitments and contingencies (Tables)	Dec. 31, 2021
Commitments and contingencies
Schedule of off balance sheet financial instruments	At December 31, 2022 and 2021, the Company had outstanding the following approximate off-balance-sheet financial instruments whose contract amounts represent credit risk (in thousands): December 31, December 31, 2022 2021 Undisbursed credit lines $ 119,454 $ 103,125 Commitments to extend or originate credit 9,899 18,551 Standby letters of credit 922 4,680 Total commitments to extend credit $ 130,275 $ 126,356

Shareholders' Equity and Regu_2

Shareholders' Equity and Regulatory Matters (Tables)	12 Months Ended
Shareholders' Equity and Regulatory Matters (Tables)	Dec. 31, 2021
Shareholders' Equity and Regulatory Matters
Schedule of accumulated other comprehensive income (loss)	The following table presents the cumulative balances of the components of accumulated other comprehensive income, net of deferred tax benefit of $2,892,000 and $198,000 as of December 31, 2022 and 2021, respectively (in thousands): December 31, December 31, 2022 2021 Net unrealized losses on securities $ (10,862) $ (717) Net unrecognized losses on defined benefit plan (19) (27) Total accumulated other comprehensive loss $ (10,881) $ (744)
Schedule of capital amounts and ratios	The capital amounts and ratios at December 31, 2022 and 2021 for the Bank are presented in the table below (dollars in thousands): Minimum Capital Requirements Actual Including Conservation Buffer (1) To be Well Capitalized Amount Ratio Amount Ratio Amount Ratio December 31, 2022 Total capital (to risk- weighted assets) Village Bank $ 84,982 14.81 % $ 60,267 10.50 % $ 57,398 10.00 % Tier 1 capital (to risk- weighted assets) Village Bank 81,612 14.22 % 48,788 8.50 % 45,918 8.00 % Leverage ratio (Tier 1 capital to average assets) Village Bank 81,612 10.95 % 29,805 4.00 % 37,256 5.00 % Common equity tier 1 (to risk- weighted assets) Village Bank 81,612 14.22 % 40,178 7.00 % 37,308 6.50 % December 31, 2021 Total capital (to risk- weighted assets) Village Bank $ 77,547 14.66 % $ 55,558 10.50 % $ 52,912 10.00 % Tier 1 capital (to risk- weighted assets) Village Bank 74,124 14.01 % 44,975 8.50 % 42,330 8.00 % Leverage ratio (Tier 1 capital to average assets) Village Bank 74,124 9.86 % 30,068 4.00 % 37,585 5.00 % Common equity tier 1 (to risk- weighted assets) Village Bank 74,124 14.01 % 37,038 7.00 % 34,393 6.50 % (1) Basel III Capital Rules require banking organizations to maintain a minimum CETI ratio of 4.5% , plus a 2.5% capital conservation buffer; a minimum Tier 1 capital ratio of 6.0% , plus a 2.5% capital conservation buffer; a minimum, total risk-based capital ratio of 8.0% , plus a 2.5% conservation buffer; and a minimum Tier leverage ratio of 4.0%

Stock Incentive Plan (Tables)

Stock Incentive Plan (Tables)	12 Months Ended
Stock Incentive Plan (Tables)	Dec. 31, 2022	Dec. 31, 2021
Stock incentive plan
Schedule of options outstanding under company's stock incentive plan	Year Ended December 31, 2022 2021 Weighted Weighted Average Average Exercise Fair Value Intrinsic Exercise Fair Value Intrinsic Options Price Per Share Value Options Price Per Share Value Options outstanding, beginning of period 734 $ 25.63 $ 9.76 734 $ 25.63 $ 9.76 Granted — — — — — — Forfeited — — — — — — Exercised (720) 25.63 $ 9.76 — — — Options outstanding, end of period 14 $ 25.28 $ 9.76 $ — 734 $ 25.63 $ 9.76 $ — Options exercisable, end of period 14 734	The following table summarizes options outstanding under the Company’s stock incentive plans at the indicated dates: Year Ended December 31, 2022 2021 Weighted Weighted Average Average Exercise Fair Value Intrinsic Exercise Fair Value Intrinsic Options Price Per Share Value Options Price Per Share Value Options outstanding, beginning of period 734 $ 25.63 $ 9.76 734 $ 25.63 $ 9.76 Granted — — — — — — Forfeited — — — — — — Exercised (720) 25.63 $ 9.76 — — — Options outstanding, end of period 14 $ 25.28 $ 9.76 $ — 734 $ 25.63 $ 9.76 $ — Options exercisable, end of period 14 734
Schedule of information about stock options outstanding	Outstanding Exercisable Weighted Average Remaining Weighted Weighted Years of Average Average Range of Number of Contractual Exercise Number of Exercise Exercise Prices Options Life Price Options Price $25.28-$25.76 14 0.54 $ 25.28 14 $ 25.28 14 0.54 25.28 14 25.28	The following table summarizes information about stock options outstanding at December 31, 2022: Outstanding Exercisable Weighted Average Remaining Weighted Weighted Years of Average Average Range of Number of Contractual Exercise Number of Exercise Exercise Prices Options Life Price Options Price $25.28-$25.76 14 0.54 $ 25.28 14 $ 25.28 14 0.54 25.28 14 25.28
Schedule of company's non vested restricted stock awards	Weighted- Average Aggregate Grant-Date Intrinsic Shares Fair-Value Value December 31, 2021 23,734 $ 37.46 $ 1,234,168 Granted 17,866 51.11 929,032 Vested (13,815) 36.05 (718,380) Forfeited (924) 34.30 (48,048) Other (1) 1,435 32.32 74,620 December 31, 2022 28,296 $ 46.60 $ 1,471,392	A summary of changes in the Company’s non-vested restricted stock awards for the year follows: Weighted- Average Aggregate Grant-Date Intrinsic Shares Fair-Value Value December 31, 2021 23,734 $ 37.46 $ 1,234,168 Granted 17,866 51.11 929,032 Vested (13,815) 36.05 (718,380) Forfeited (924) 34.30 (48,048) Other (1) 1,435 32.32 74,620 December 31, 2022 28,296 $ 46.60 $ 1,471,392 (1) Represents the incremental increase in shares that vested based on the restricted stock units vesting at the maximum potential value as opposed to the targeted value of the award.

Fair Value (Tables)

Fair Value (Tables)	12 Months Ended
Fair Value (Tables)	Dec. 31, 2021
Fair value
Schedule of recurring and Non recurring basis	Assets and liabilities measured at fair value under Topic 820 on a recurring and non-recurring basis are summarized below for the indicated dates (in thousands): Fair Value Measurement at December 31, 2022 Using Quoted Prices in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Value (Level 1) (Level 2) (Level 3) Financial Assets - Recurring U.S. Government Agencies $ 60,902 $ — $ 60,902 $ — Mortgage-backed securities 60,560 — 60,560 — Municipals 1,550 — 1,550 — Subordinated debt 10,841 — 8,841 2,000 Loans held for sale 2,268 — 2,268 — IRLC 142 — 142 — Financial Liabilities - Recurring Forward sales commitment 207 — 207 — Fair Value Measurement at December 31, 2021 Using Quoted Prices in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Value (Level 1) (Level 2) (Level 3) Financial Assets - Recurring U.S. Government Agencies $ 40,999 $ — $ 40,999 $ — Mortgage-backed securities 40,495 — 40,495 — Municipals 2,209 2,209 Subordinated debt 10,996 — 9,246 1,750 Loans held for sale 5,141 — 5,141 — IRLC 471 — 471 — Financial Liabilities - Recurring Forward sales commitment 651 — 651 —
Schedule of company's financial instruments whether or not recognized	December 31, December 31, 2022 2021 Level in Fair Value Carrying Estimated Carrying Estimated Hierarchy Value Fair Value Value Fair Value Financial assets Cash Level 1 $ 12,062 $ 12,062 $ 12,071 $ 12,071 Cash equivalents Level 2 4,616 4,616 80,545 80,545 Investment securities available for sale Level 2 131,853 131,853 92,949 92,949 Investment securities available for sale Level 3 2,000 2,000 1,750 1,750 Federal Home Loan Bank stock Level 2 1,223 1,223 353 353 Loans held for sale Level 2 2,268 2,268 5,141 5,141 Loans Level 3 538,427 521,150 526,457 526,668 Bank owned life insurance Level 2 12,798 12,798 12,494 12,494 Accrued interest receivable Level 2 3,651 3,651 3,245 3,245 Interest rate lock commitments Level 2 142 142 471 471 Financial liabilities Deposits Level 2 624,743 625,037 664,048 663,898 FHLB borrowings Level 2 20,000 20,000 — — Trust preferred securities Level 2 8,764 7,066 8,764 9,554 Other borrowings Level 2 5,692 5,692 5,660 5,660 Accrued interest payable Level 2 70 70 68 68 Forward sales commitment Level 2 207 207 651 651

Segment Reporting (Tables)

Segment Reporting (Tables)	12 Months Ended
Segment Reporting (Tables)	Dec. 31, 2022
Segment Reporting
Schedule of segment information	The following table presents segment information as of and for the years ended December 31, 2022 and 2021 (in thousands): Commercial Mortgage Consolidated Banking Banking Eliminations Totals Year Ended December 31, 2022 Revenues Interest income $ 27,250 $ 237 $ — $ 27,487 Gain on sale of loans — 4,752 — 4,752 Other revenues 3,335 488 (274) 3,549 Total revenues 30,585 5,477 (274) 35,788 Expenses Recovery of provision for loan losses (300) — — (300) Interest expense 1,781 — — 1,781 Salaries and benefits 10,585 3,183 — 13,768 Commissions — 1,698 — 1,698 Other expenses 7,625 1,195 (274) 8,546 Total operating expenses 19,691 6,076 (274) 25,493 Income (loss) before income taxes 10,894 (599) — 10,295 Income tax expense (benefit) 2,116 (126) — 1,990 Net income (loss) $ 8,778 $ (473) $ — $ 8,305 Total assets $ 738,110 $ 17,874 $ (32,714) $ 723,270 Commercial Mortgage Consolidated Banking Banking Eliminations Totals Year Ended December 31, 2021 Revenues Interest income $ 27,282 $ 409 $ (24) $ 27,667 Gain on sale of loans — 11,762 — 11,762 Other revenues 3,001 864 (281) 3,584 Total revenues 30,283 13,035 (305) 43,013 Expenses Recovery of provision for loan losses (500) — — (500) Interest expense 2,172 24 (24) 2,172 Salaries and benefits 9,942 4,163 — 14,105 Commissions — 3,004 — 3,004 Other expenses 7,314 1,326 (281) 8,359 Total operating expenses 18,928 8,517 (305) 27,140 Income before income taxes 11,355 4,518 — 15,873 Income tax expense 2,471 949 — 3,420 Net income $ 8,884 $ 3,569 $ — $ 12,453 Total assets $ 760,653 $ 19,673 $ (31,925) $ 748,401

Parent Corporation Only Finan_2

Parent Corporation Only Financial Statements (Tables)	12 Months Ended
Parent Corporation Only Financial Statements (Tables)	Dec. 31, 2022
Parent Corporation Only Financial Statements
Condensed Balance Sheet	Village Bank and Trust Financial Corp. (Parent Corporation Only) Condensed Balance Sheet (in thousands) December 31, December 31, 2022 2021 Assets Cash and due from banks $ 1,868 $ 1,647 Investment in subsidiaries 70,731 73,380 Investment in special purpose subsidiary 264 264 Prepaid expenses and other assets 2,756 2,585 $ 75,619 $ 77,876 Liabilities and Shareholders’ Equity Liabilities Balance due to nonbank subsidiaries $ 8,764 $ 8,764 Other borrowings 5,692 5,660 Accrued interest payable 46 46 Other liabilities 6 5 Total liabilities 14,508 14,475 Shareholders’ equity Common stock 5,868 5,822 Additional paid-in capital 55,167 54,814 Retained Earnings 10,957 3,509 Stock in directors rabbi trust (689) (730) Directors deferred fees obligation 689 730 Accumulated other comprehensive loss (10,881) (744) Total stockholders’ equity 61,111 63,401 $ 75,619 $ 77,876
Condensed Statements of Operations and Comprehensive Income	Village Bank and Trust Financial Corp. (Parent Corporation Only) Condensed Statements of Operations and Comprehensive Income Years Ended December 31, 2022 and 2021 (in thousands) 2022 2021 Income Interest income $ 3 $ 4 Dividends received from subsidiaries 1,835 950 Total Income 1,838 954 Interest expense Interest on borrowed funds 694 575 Total interest expense 694 575 Net interest income 1,144 379 Noninterest expense Supplies 30 30 Professional and outside services 42 33 Other 45 44 Total noninterest expense 117 107 Net income before undistributed income of subsidiary 1,027 272 Undistributed income of subsidiary 7,108 12,039 Net income before income tax benefit 8,135 12,311 Income tax benefit (170) (142) Net income $ 8,305 $ 12,453 Total comprehensive income (loss) $ (1,832) $ 11,279
Condensed Statements of Cash Flows	Village Bank and Trust Financial Corp. (Parent Corporation Only) Condensed Statements of Cash Flows Years Ended December 31, 2022 and 2021 (in thousands) 2022 2021 Cash Flows from Operating Activities Net income $ 8,305 $ 12,453 Adjustments to reconcile net income to net cash used in operating activities Amortization of debt issuance costs 32 32 Undistributed income of subsidiary (8,943) (12,989) Net change in: Other assets (170) (147) Other liabilities 1 5 Net cash used in operating activities (775) (646) Cash Flows from Investing Activities Dividend from subsidiary 1,835 950 Net cash provided by investing activities 1,835 950 Cash Flows from Financing Activities Proceeds from exercise of stock options 18 — Cash dividends paid (857) (206) Net cash used in financing activities (839) (206) Net increase in cash 221 98 Cash, beginning of year 1,647 1,549 Cash, end of year $ 1,868 $ 1,647

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details)	12 Months Ended		24 Months Ended
Summary of Significant Accounting Policies (Details)	Dec. 31, 2022 USD ($) segment position	Dec. 31, 2021 USD ($) position	Dec. 31, 2022 USD ($) position	May 19, 2020 shares	May 26, 2015 shares
Accounting Policies [Line Items]
Loans held for sale	$ 2,300,000	$ 5,100,000	$ 2,300,000
Unpaid Principal balance	$ 2,200,000	5,000,000	2,200,000
Loan Non Accrual Period	90 days
Loan Accrual Period	90 days
Contractual amount of standby letters of credit	$ 922,000	4,680,000
Assets held for sale	$ 0	0	0
Property, Plant and Equipment, Useful Life	39 years
Net unrealized gains (losses) on securities	$ (10,862,000)	(717,000)	(10,862,000)
Assets held as other real estate owned			0
Net unrecognized losses on defined benefit plan	$ (19,000)	(27,000)	(19,000)
Number of reportable segments \| segment	2
Other Assets
Accounting Policies [Line Items]
Fair value of IRLC	$ 142,000	471,000	142,000
IRLC Notional amount	$ 9,900,000	$ 18,200,000	$ 9,900,000
IRLC total positions \| position	31	67	31
Other Liabilities
Accounting Policies [Line Items]
IRLC total positions \| position	38	95	38
Fair value of forward sales commitments	$ 207,000	$ 651,000	$ 207,000
Forward sales commitments notional amount	$ 12,100,000	$ 24,300,000	$ 12,100,000
US Department of Education [Member]
Accounting Policies [Line Items]
Percentages Of Principal And Accrued Interest Covered By Guarantee	98%
United State Department of Agriculture Loans [Member]
Accounting Policies [Line Items]
Percentages Of Principal And Accrued Interest Covered By Guarantee	100%
Maximum \| Equipment
Accounting Policies [Line Items]
Property, Plant and Equipment, Useful Life	7 years
Minimum \| Equipment
Accounting Policies [Line Items]
Property, Plant and Equipment, Useful Life	3 years
Stock Incentive Plan 2015 [Member]
Accounting Policies [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized \| shares				120,000	60,000

Investment securities availab_3

Investment securities available for sale - Amortized cost and fair value of investment securities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 147,603	$ 95,606
Gross Unrealized Gains	40	414
Gross Unrealized Losses	(13,790)	(1,321)
Fair Value	133,853	94,699
U.S. Government agencies obligations
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	64,631	41,513
Gross Unrealized Gains	5	22
Gross Unrealized Losses	(3,734)	(536)
Fair Value	60,902	40,999
Mortgage-backed securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	69,151	40,806
Gross Unrealized Gains	6	302
Gross Unrealized Losses	(8,597)	(613)
Fair Value	60,560	40,495
Municipals
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	2,268	2,271
Gross Unrealized Losses	(718)	(62)
Fair Value	1,550	2,209
Subordinated debt
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	11,553	11,016
Gross Unrealized Gains	29	90
Gross Unrealized Losses	(741)	(110)
Fair Value	$ 10,841	$ 10,996

Investment securities availab_4

Investment securities available for sale - Summary of investment securities available for sale having fair value and unrealized loss position (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Schedule of Available-for-sale Securities [Line Items]
Securities in a loss position for less than 12 Months, Fair Value	$ 63,242	$ 64,655
Securities in a loss position for less than 12 Months, Unrealized Losses	(4,809)	(1,126)
Securities in a loss position for more than 12 Months, Fair Value	63,361	4,988
Securities in a loss Position for more than 12 Months, Unrealized Losses	(8,981)	(195)
Total Fair Value	126,603	69,643
Total Unrealized Losses	(13,790)	(1,321)
U.S. Government agencies obligations
Schedule of Available-for-sale Securities [Line Items]
Securities in a loss position for less than 12 Months, Fair Value	21,848	39,617
Securities in a loss position for less than 12 Months, Unrealized Losses	(723)	(536)
Securities in a loss position for more than 12 Months, Fair Value	37,256	0
Securities in a loss Position for more than 12 Months, Unrealized Losses	(3,011)	0
Total Fair Value	59,104	39,617
Total Unrealized Losses	(3,734)	(536)
Mortgage-backed securities
Schedule of Available-for-sale Securities [Line Items]
Securities in a loss position for less than 12 Months, Fair Value	36,089	21,911
Securities in a loss position for less than 12 Months, Unrealized Losses	(3,588)	(448)
Securities in a loss position for more than 12 Months, Fair Value	22,549	4,518
Securities in a loss Position for more than 12 Months, Unrealized Losses	(5,009)	(165)
Total Fair Value	58,638	26,429
Total Unrealized Losses	(8,597)	(613)
Municipals
Schedule of Available-for-sale Securities [Line Items]
Securities in a loss position for less than 12 Months, Fair Value	0	2,208
Securities in a loss position for less than 12 Months, Unrealized Losses	0	(62)
Securities in a loss position for more than 12 Months, Fair Value	1,549	0
Securities in a loss Position for more than 12 Months, Unrealized Losses	(718)	0
Total Fair Value	1,549	2,208
Total Unrealized Losses	(718)	(62)
Subordinated debt
Schedule of Available-for-sale Securities [Line Items]
Securities in a loss position for less than 12 Months, Fair Value	5,305	919
Securities in a loss position for less than 12 Months, Unrealized Losses	(498)	(80)
Securities in a loss position for more than 12 Months, Fair Value	2,007	470
Securities in a loss Position for more than 12 Months, Unrealized Losses	(243)	(30)
Total Fair Value	7,312	1,389
Total Unrealized Losses	$ (741)	$ (110)

Investment securities availab_5

Investment securities available for sale - Summary of amortized cost and estimated fair value of investment securities available for sale (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Amortized Cost
Less than one year	$ 10,034
One to five years	55,643
Five to ten years	15,484
More than ten years	66,442
Total	147,603
Fair Value
Less than one year	9,735
One to five years	52,198
Five to ten years	14,427
More than ten years	57,493
Total	$ 133,853	$ 94,699

Investment securities availab_6

Investment securities available for sale - Additional Information (Details)	12 Months Ended		24 Months Ended
	Dec. 31, 2022 USD ($) position	Dec. 31, 2021 USD ($) position	Dec. 31, 2022 USD ($) position
Schedule of Available-for-sale Securities [Line Items]
Proceeds from Sale of Available-for-sale Securities, Debt			$ 0
Number of positions, more than 12 months \| position	28	5	28
Securities in a loss position for more than 12 Months, Fair Value	$ 63,361,000	$ 4,988,000	$ 63,361,000
Securities in a loss Position for more than 12 Months, Unrealized Losses	8,981,000	195,000	8,981,000
Securities in a loss position for less than 12 Months, Fair Value	63,242,000	64,655,000	63,242,000
Securities in a loss position for less than 12 Months, Unrealized Losses	4,809,000	1,126,000	4,809,000
Available-for-sale Securities, Gross Unrealized Loss	9,000,000	195,000
FHLB advances
Schedule of Available-for-sale Securities [Line Items]
Pledged Financial Instruments, Not Separately Reported, Securities for Federal Home Loan Bank	5,613,000		5,613,000
Investment Pledged As Security For Debt [Member] \| FHLB advances
Schedule of Available-for-sale Securities [Line Items]
Pledged Financial Instruments, Not Separately Reported, Securities for Federal Home Loan Bank	$ 0	$ 0	$ 0

Loans - Classified by type (Det

Loans - Classified by type (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 538,427	$ 526,457
Deferred (fees) and costs, net	588	(433)
Less: allowance for loan losses	(3,370)	(3,423)	$ (3,970)
Total loans, net	$ 535,645	$ 522,601
Percentage of class of loans to loan portfolio (in percent)	100%	100%
Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 45,127	$ 49,149
Less: allowance for loan losses	$ (271)	$ (286)	(499)
Percentage of class of loans to loan portfolio (in percent)	8.38%	9.34%
Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 284,617	$ 255,537
Less: allowance for loan losses	$ (2,189)	$ (1,953)	(2,517)
Percentage of class of loans to loan portfolio (in percent)	52.86%	48.54%
Consumer real estate secured by 1-4 family residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 93,680	$ 92,372
Less: allowance for loan losses	$ (185)	$ (182)	(269)
Percentage of class of loans to loan portfolio (in percent)	17.40%	17.55%
Residential \| Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 9,727	$ 6,805
Less: allowance for loan losses	$ (79)	$ (57)	(214)
Percentage of class of loans to loan portfolio (in percent)	1.81%	1.29%
Commercial \| Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 35,400	$ 42,344
Less: allowance for loan losses	$ (192)	$ (229)	(285)
Percentage of class of loans to loan portfolio (in percent)	6.57%	8.05%
Owner occupied \| Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 119,643	$ 113,108
Less: allowance for loan losses	$ (867)	$ (833)	(1,047)
Percentage of class of loans to loan portfolio (in percent)	22.22%	21.48%
Non-owner occupied \| Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 153,610	$ 129,786
Less: allowance for loan losses	$ (1,289)	$ (1,083)	(1,421)
Percentage of class of loans to loan portfolio (in percent)	28.53%	24.65%
Multifamily \| Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 11,291	$ 11,666
Less: allowance for loan losses	$ (33)	$ (35)	(47)
Percentage of class of loans to loan portfolio (in percent)	2.10%	2.22%
Farmland \| Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 73	$ 977
Less: allowance for loan losses		$ (2)	(2)
Percentage of class of loans to loan portfolio (in percent)	0.01%	0.19%
Home equity lines \| Consumer real estate secured by 1-4 family residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 18,421	$ 17,977
Less: allowance for loan losses	$ (11)	$ (12)	(24)
Percentage of class of loans to loan portfolio (in percent)	3.42%	3.41%
First deed of trust \| Consumer real estate secured by 1-4 family residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 67,495	$ 62,277
Less: allowance for loan losses	$ (131)	$ (123)	(166)
Percentage of class of loans to loan portfolio (in percent)	12.54%	11.83%
Second deed of trust \| Consumer real estate secured by 1-4 family residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 7,764	$ 12,118
Less: allowance for loan losses	$ (43)	$ (47)	(79)
Percentage of class of loans to loan portfolio (in percent)	1.44%	2.31%
Commercial and industrial loans (except those secured by real estate) \| Commercial and industrial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 90,348	$ 100,421
Less: allowance for loan losses	$ (576)	$ (486)	(408)
Percentage of class of loans to loan portfolio (in percent)	16.78%	19.07%
Guaranteed student loans \| Commercial and industrial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 20,617	$ 25,975
Less: allowance for loan losses	$ (52)	$ (65)	(87)
Percentage of class of loans to loan portfolio (in percent)	3.83%	4.93%
Consumer and other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	$ 4,038	$ 3,003
Less: allowance for loan losses	(97)	(451)
Consumer and other \| Commercial and industrial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans	4,038	3,003
Less: allowance for loan losses	$ (37)	$ (29)	$ (36)
Percentage of class of loans to loan portfolio (in percent)	0.75%	0.57%

Loans - Information on nonaccru

Loans - Information on nonaccrual loans (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans	$ 654,000	$ 1,359,000
Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans		286,000
Commercial real estate \| Non-owner occupied
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans		286,000
Consumer real estate secured by 1-4 family residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans	635,000	1,054,000
Consumer real estate secured by 1-4 family residential \| Home equity lines
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans	300,000	300,000
Consumer real estate secured by 1-4 family residential \| First deed of trust
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans	164,000	556,000
Consumer real estate secured by 1-4 family residential \| Second deed of trust
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans	171,000	198,000
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Allowance for Credit Losses [Line Items]
Total loans	$ 19,000	$ 19,000

Loans - Information on the risk

Loans - Information on the risk rating of loans (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Recorded Investment [Line Items]
Total loans	$ 538,427	$ 526,457
Consumer and other
Financing Receivable, Recorded Investment [Line Items]
Total loans	4,038	3,003
Risk Rated 1-4
Financing Receivable, Recorded Investment [Line Items]
Total loans	513,259	490,480
Risk Rated 5
Financing Receivable, Recorded Investment [Line Items]
Total loans	22,946	30,644
Risk Rated 6
Financing Receivable, Recorded Investment [Line Items]
Total loans	2,222	5,333
Construction and land development
Financing Receivable, Recorded Investment [Line Items]
Total loans	45,127	49,149
Construction and land development \| Residential
Financing Receivable, Recorded Investment [Line Items]
Total loans	9,727	6,805
Construction and land development \| Commercial
Financing Receivable, Recorded Investment [Line Items]
Total loans	35,400	42,344
Construction and land development \| Risk Rated 1-4
Financing Receivable, Recorded Investment [Line Items]
Total loans	42,490	46,512
Construction and land development \| Risk Rated 1-4 \| Residential
Financing Receivable, Recorded Investment [Line Items]
Total loans	9,727	6,805
Construction and land development \| Risk Rated 1-4 \| Commercial
Financing Receivable, Recorded Investment [Line Items]
Total loans	32,763	39,707
Construction and land development \| Risk Rated 5
Financing Receivable, Recorded Investment [Line Items]
Total loans	2,637	2,637
Construction and land development \| Risk Rated 5 \| Commercial
Financing Receivable, Recorded Investment [Line Items]
Total loans	2,637	2,637
Commercial real estate
Financing Receivable, Recorded Investment [Line Items]
Total loans	284,617	255,537
Commercial real estate \| Owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	119,643	113,108
Commercial real estate \| Non-owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	153,610	129,786
Commercial real estate \| Multifamily
Financing Receivable, Recorded Investment [Line Items]
Total loans	11,291	11,666
Commercial real estate \| Farmland
Financing Receivable, Recorded Investment [Line Items]
Total loans	73	977
Commercial real estate \| Risk Rated 1-4
Financing Receivable, Recorded Investment [Line Items]
Total loans	270,647	230,181
Commercial real estate \| Risk Rated 1-4 \| Owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	115,825	103,370
Commercial real estate \| Risk Rated 1-4 \| Non-owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	143,458	114,168
Commercial real estate \| Risk Rated 1-4 \| Multifamily
Financing Receivable, Recorded Investment [Line Items]
Total loans	11,291	11,666
Commercial real estate \| Risk Rated 1-4 \| Farmland
Financing Receivable, Recorded Investment [Line Items]
Total loans	73	977
Commercial real estate \| Risk Rated 5
Financing Receivable, Recorded Investment [Line Items]
Total loans	12,735	21,513
Commercial real estate \| Risk Rated 5 \| Owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	2,583	6,181
Commercial real estate \| Risk Rated 5 \| Non-owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	10,152	15,332
Commercial real estate \| Risk Rated 6
Financing Receivable, Recorded Investment [Line Items]
Total loans	1,235	3,843
Commercial real estate \| Risk Rated 6 \| Owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans	1,235	3,557
Commercial real estate \| Risk Rated 6 \| Non-owner occupied
Financing Receivable, Recorded Investment [Line Items]
Total loans		286
Consumer real estate secured by 1-4 family residential
Financing Receivable, Recorded Investment [Line Items]
Total loans	93,680	92,372
Consumer real estate secured by 1-4 family residential \| Home equity lines
Financing Receivable, Recorded Investment [Line Items]
Total loans	18,421	17,977
Consumer real estate secured by 1-4 family residential \| First deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	67,495	62,277
Consumer real estate secured by 1-4 family residential \| Second deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	7,764	12,118
Consumer real estate secured by 1-4 family residential \| Risk Rated 1-4
Financing Receivable, Recorded Investment [Line Items]
Total loans	91,640	86,478
Consumer real estate secured by 1-4 family residential \| Risk Rated 1-4 \| Home equity lines
Financing Receivable, Recorded Investment [Line Items]
Total loans	17,507	17,054
Consumer real estate secured by 1-4 family residential \| Risk Rated 1-4 \| First deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	66,616	57,932
Consumer real estate secured by 1-4 family residential \| Risk Rated 1-4 \| Second deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	7,517	11,492
Consumer real estate secured by 1-4 family residential \| Risk Rated 5
Financing Receivable, Recorded Investment [Line Items]
Total loans	1,093	4,657
Consumer real estate secured by 1-4 family residential \| Risk Rated 5 \| Home equity lines
Financing Receivable, Recorded Investment [Line Items]
Total loans	614	623
Consumer real estate secured by 1-4 family residential \| Risk Rated 5 \| First deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	407	3,605
Consumer real estate secured by 1-4 family residential \| Risk Rated 5 \| Second deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	72	429
Consumer real estate secured by 1-4 family residential \| Risk Rated 6
Financing Receivable, Recorded Investment [Line Items]
Total loans	947	1,237
Consumer real estate secured by 1-4 family residential \| Risk Rated 6 \| Home equity lines
Financing Receivable, Recorded Investment [Line Items]
Total loans	300	300
Consumer real estate secured by 1-4 family residential \| Risk Rated 6 \| First deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	472	740
Consumer real estate secured by 1-4 family residential \| Risk Rated 6 \| Second deed of trust
Financing Receivable, Recorded Investment [Line Items]
Total loans	175	197
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Recorded Investment [Line Items]
Total loans	90,348	100,421
Commercial and industrial loans \| Guaranteed student loans
Financing Receivable, Recorded Investment [Line Items]
Total loans	20,617	25,975
Commercial and industrial loans \| Consumer and other
Financing Receivable, Recorded Investment [Line Items]
Total loans	4,038	3,003
Commercial and industrial loans \| Risk Rated 1-4 \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Recorded Investment [Line Items]
Total loans	83,848	98,362
Commercial and industrial loans \| Risk Rated 1-4 \| Guaranteed student loans
Financing Receivable, Recorded Investment [Line Items]
Total loans	20,617	25,975
Commercial and industrial loans \| Risk Rated 1-4 \| Consumer and other
Financing Receivable, Recorded Investment [Line Items]
Total loans	4,017	2,972
Commercial and industrial loans \| Risk Rated 5 \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Recorded Investment [Line Items]
Total loans	6,481	1,806
Commercial and industrial loans \| Risk Rated 5 \| Consumer and other
Financing Receivable, Recorded Investment [Line Items]
Total loans		31
Commercial and industrial loans \| Risk Rated 6 \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Recorded Investment [Line Items]
Total loans	19	$ 253
Commercial and industrial loans \| Risk Rated 6 \| Consumer and other
Financing Receivable, Recorded Investment [Line Items]
Total loans	$ 21

Loans - Aging of recorded inves

Loans - Aging of recorded investment in past due loans and leases (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	$ 538,427	$ 526,457
Recorded Investment, 90 Days and Accruing	1,725	1,961
Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	533,978	521,718
Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	4,449	4,739
30 to 59 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	1,907	1,987
60 to 89 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	440	791
Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	2,102	1,961
Consumer and other
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	4,038	3,003
Construction and land development
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	45,127	49,149
Construction and land development \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	45,127	49,149
Construction and land development \| Residential
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	9,727	6,805
Construction and land development \| Residential \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	9,727	6,805
Construction and land development \| Commercial
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	35,400	42,344
Construction and land development \| Commercial \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	35,400	42,344
Commercial real estate
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	284,617	255,537
Commercial real estate \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	284,617	255,537
Commercial real estate \| Owner occupied
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	119,643	113,108
Commercial real estate \| Owner occupied \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	119,643	113,108
Commercial real estate \| Non-owner occupied
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	153,610	129,786
Commercial real estate \| Non-owner occupied \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	153,610	129,786
Commercial real estate \| Multifamily
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	11,291	11,666
Commercial real estate \| Multifamily \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	11,291	11,666
Commercial real estate \| Farmland
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	73	977
Commercial real estate \| Farmland \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	73	977
Consumer real estate secured by 1-4 family residential
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	93,680	92,372
Consumer real estate secured by 1-4 family residential \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	93,576	92,372
Consumer real estate secured by 1-4 family residential \| Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	104
Consumer real estate secured by 1-4 family residential \| 30 to 59 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	54
Consumer real estate secured by 1-4 family residential \| 60 to 89 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	50
Consumer real estate secured by 1-4 family residential \| Home equity lines
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	18,421	17,977
Consumer real estate secured by 1-4 family residential \| Home equity lines \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	18,371	17,977
Consumer real estate secured by 1-4 family residential \| Home equity lines \| Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	50
Consumer real estate secured by 1-4 family residential \| Home equity lines \| 60 to 89 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	50
Consumer real estate secured by 1-4 family residential \| First deed of trust
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	67,495	62,277
Consumer real estate secured by 1-4 family residential \| First deed of trust \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	67,495	62,277
Consumer real estate secured by 1-4 family residential \| Second deed of trust
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	7,764	12,118
Consumer real estate secured by 1-4 family residential \| Second deed of trust \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	7,710	12,118
Consumer real estate secured by 1-4 family residential \| Second deed of trust \| Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	54
Consumer real estate secured by 1-4 family residential \| Second deed of trust \| 30 to 59 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	54
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	90,348	100,421
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate) \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	88,949	99,390
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate) \| Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	1,399	1,031
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate) \| 30 to 59 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	1,022	1,031
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate) \| Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	377
Commercial and industrial loans \| Guaranteed student loans
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	20,617	25,975
Recorded Investment, 90 Days and Accruing	1,725	1,961
Commercial and industrial loans \| Guaranteed student loans \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	17,671	22,267
Commercial and industrial loans \| Guaranteed student loans \| Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	2,946	3,708
Commercial and industrial loans \| Guaranteed student loans \| 30 to 59 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	831	956
Commercial and industrial loans \| Guaranteed student loans \| 60 to 89 Days Past Due
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	390	791
Commercial and industrial loans \| Guaranteed student loans \| Greater than 90 Days
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	1,725	1,961
Commercial and industrial loans \| Consumer and other
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	4,038	3,003
Commercial and industrial loans \| Consumer and other \| Current
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total loans	$ 4,038	$ 3,003

Loans - Impaired loans (Details

Loans - Impaired loans (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
With no related allowance recorded
Recorded Investment	$ 6,903	$ 8,830
Unpaid Principal Balance	7,023	9,013
With an allowance recorded
Recorded Investment	408	413
Unpaid Principal Balance	408	413
Related Allowance	9	11
Total
Recorded Investment	7,311	9,243
Unpaid Principal Balance	7,431	9,426
Related Allowance	9	11
Commercial real estate
With no related allowance recorded
Recorded Investment	4,644	6,234
Unpaid Principal Balance	4,659	6,249
With an allowance recorded
Recorded Investment	251	267
Unpaid Principal Balance	251	267
Related Allowance	2
Total
Recorded Investment	4,895	6,501
Unpaid Principal Balance	4,910	6,516
Related Allowance	2	4
Commercial real estate \| Owner occupied
With no related allowance recorded
Recorded Investment	4,332	4,776
Unpaid Principal Balance	4,347	4,791
With an allowance recorded
Recorded Investment	251	267
Unpaid Principal Balance	251	267
Total
Recorded Investment	4,583	5,043
Unpaid Principal Balance	4,598	5,058
Related Allowance	2	4
Commercial real estate \| Non-owner occupied
With no related allowance recorded
Recorded Investment	312	1,458
Unpaid Principal Balance	312	1,458
Total
Recorded Investment	312	1,458
Unpaid Principal Balance	312	1,458
Related Allowance	0	0
Consumer real estate secured by 1-4 family residential
With no related allowance recorded
Recorded Investment	2,240	2,411
Unpaid Principal Balance	2,345	2,579
With an allowance recorded
Recorded Investment	136	146
Unpaid Principal Balance	136	146
Related Allowance	6	7
Total
Recorded Investment	2,376	2,557
Unpaid Principal Balance	2,481	2,725
Related Allowance	6	7
Consumer real estate secured by 1-4 family residential \| Home equity lines
With no related allowance recorded
Recorded Investment	300	300
Unpaid Principal Balance	300	300
Total
Recorded Investment	300	300
Unpaid Principal Balance	300	300
Consumer real estate secured by 1-4 family residential \| First deed of trust
With no related allowance recorded
Recorded Investment	1,745	1,873
Unpaid Principal Balance	1,745	1,873
With an allowance recorded
Recorded Investment	136	146
Unpaid Principal Balance	136	146
Total
Recorded Investment	1,881	2,019
Unpaid Principal Balance	1,881	2,019
Related Allowance	6	7
Consumer real estate secured by 1-4 family residential \| Second deed of trust
With no related allowance recorded
Recorded Investment	195	238
Unpaid Principal Balance	300	406
Total
Recorded Investment	195	238
Unpaid Principal Balance	300	406
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate)
With no related allowance recorded
Recorded Investment	19	185
Unpaid Principal Balance	19	185
Total
Recorded Investment	19	185
Unpaid Principal Balance	19	$ 185
Consumer and other
With an allowance recorded
Recorded Investment	21
Unpaid Principal Balance	21
Related Allowance	1
Consumer and other \| Commercial and industrial loans (except those secured by real estate)
With no related allowance recorded
Recorded Investment	21
Unpaid Principal Balance	21
Total
Related Allowance	$ 1

Loans - Average recorded invest

Loans - Average recorded investment in impaired loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Commercial real estate
With no related allowance recorded
Average Recorded Investment	$ 5,196	$ 6,835
Interest Income Recognized	179	245
With an allowance recorded
Average Recorded Investment	257	67
Interest Income Recognized	15	19
Total
Average Recorded Investment	5,453	6,902
Interest Income Recognized	194	264
Commercial real estate \| Owner occupied
With no related allowance recorded
Average Recorded Investment	4,339	5,068
Interest Income Recognized	159	159
With an allowance recorded
Average Recorded Investment	257	67
Interest Income Recognized	15	19
Total
Average Recorded Investment	4,596	5,135
Interest Income Recognized	174	178
Commercial real estate \| Non-owner occupied
With no related allowance recorded
Average Recorded Investment	857	1,767
Interest Income Recognized	20	86
Consumer real estate secured by 1-4 family residential
With no related allowance recorded
Average Recorded Investment	2,315	2,798
Interest Income Recognized	107	141
With an allowance recorded
Average Recorded Investment	170	149
Interest Income Recognized	7	4
Total
Average Recorded Investment	2,485	2,947
Interest Income Recognized	114	145
Consumer real estate secured by 1-4 family residential \| Non-owner occupied
Total
Average Recorded Investment	857	1,767
Interest Income Recognized	20	86
Consumer real estate secured by 1-4 family residential \| Home equity lines
With no related allowance recorded
Average Recorded Investment	300	300
Interest Income Recognized	27	25
Total
Average Recorded Investment	300	300
Interest Income Recognized	27	25
Consumer real estate secured by 1-4 family residential \| First deed of trust
With no related allowance recorded
Average Recorded Investment	1,798	1,924
Interest Income Recognized	70	93
With an allowance recorded
Average Recorded Investment	121	149
Interest Income Recognized	7	4
Total
Average Recorded Investment	1,919	2,073
Interest Income Recognized	77	97
Consumer real estate secured by 1-4 family residential \| Second deed of trust
With no related allowance recorded
Average Recorded Investment	217	574
Interest Income Recognized	10	23
With an allowance recorded
Average Recorded Investment	49
Total
Average Recorded Investment	266	574
Interest Income Recognized	10	23
Commercial and industrial loans
With no related allowance recorded
Average Recorded Investment	7,605	9,828
Interest Income Recognized	290	387
With an allowance recorded
Average Recorded Investment	438	216
Interest Income Recognized	22	23
Total
Average Recorded Investment	8,043	10,044
Interest Income Recognized	312	410
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate)
With no related allowance recorded
Average Recorded Investment	94	195
Interest Income Recognized	4	1
Total
Average Recorded Investment	94	195
Interest Income Recognized	4	$ 1
Commercial and industrial loans \| Consumer and other
With an allowance recorded
Average Recorded Investment	11
Total
Average Recorded Investment	$ 11

Loans - Nonaccrual TDRs and the

Loans - Nonaccrual TDRs and the related specific valuation allowance by portfolio segment (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($) loan
Information concerning Troubled Debt Restructurings
Recorded Investment	$ 5,163	$ 6,485
Number of Loans	24	28
Specific Valuation Allowance
Information concerning Troubled Debt Restructurings
Recorded Investment	$ 8	$ 11
Number of Loans	3	3
Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	$ 5,088	$ 5,734
Number of Loans	22	23
Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment	$ 75	$ 751
Number of Loans	2	5
Commercial real estate
Information concerning Troubled Debt Restructurings
Recorded Investment	$ 3,660	$ 4,701
Commercial real estate \| Specific Valuation Allowance
Information concerning Troubled Debt Restructurings
Recorded Investment	2	4
Commercial real estate \| Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	3,660	4,415
Commercial real estate \| Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment		286
Consumer real estate secured by 1-4 family residential
Information concerning Troubled Debt Restructurings
Recorded Investment	1,484	1,765
Consumer real estate secured by 1-4 family residential \| Specific Valuation Allowance
Information concerning Troubled Debt Restructurings
Recorded Investment	6	7
Consumer real estate secured by 1-4 family residential \| Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	1,428	1,319
Consumer real estate secured by 1-4 family residential \| Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment	56	446
Owner occupied \| Commercial real estate
Information concerning Troubled Debt Restructurings
Recorded Investment	3,348	3,243
Owner occupied \| Commercial real estate \| Specific Valuation Allowance
Information concerning Troubled Debt Restructurings
Recorded Investment	2	4
Owner occupied \| Commercial real estate \| Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	3,348	3,243
Non-owner occupied \| Commercial real estate
Information concerning Troubled Debt Restructurings
Recorded Investment	312	1,458
Non-owner occupied \| Commercial real estate \| Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	312	1,172
Non-owner occupied \| Commercial real estate \| Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment		286
First deed of trust \| Consumer real estate secured by 1-4 family residential
Information concerning Troubled Debt Restructurings
Recorded Investment	1,409	$ 1,666
Number of Loans \| loan		1
First deed of trust \| Consumer real estate secured by 1-4 family residential \| Specific Valuation Allowance
Information concerning Troubled Debt Restructurings
Recorded Investment	6	$ 7
First deed of trust \| Consumer real estate secured by 1-4 family residential \| Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	1,409	1,279
First deed of trust \| Consumer real estate secured by 1-4 family residential \| Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment		387
Second deed of trust \| Consumer real estate secured by 1-4 family residential
Information concerning Troubled Debt Restructurings
Recorded Investment	75	99
Second deed of trust \| Consumer real estate secured by 1-4 family residential \| Performing Financing Receivable
Information concerning Troubled Debt Restructurings
Recorded Investment	19	40
Second deed of trust \| Consumer real estate secured by 1-4 family residential \| Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment	56	59
Commercial and industrial loans (except those secured by real estate) \| Commercial and industrial loans
Information concerning Troubled Debt Restructurings
Recorded Investment	19	19
Commercial and industrial loans (except those secured by real estate) \| Commercial and industrial loans \| Nonperforming Financial Instruments
Information concerning Troubled Debt Restructurings
Recorded Investment	$ 19	$ 19

Loans - Information about TDRs

Loans - Information about TDRs (Details) $ in Thousands	12 Months Ended
Loans - Information about TDRs (Details) $ in Thousands	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($) loan
Information About Tdrs Identified During Period Line Items [Line Items]
Number of Loans	24	28
Consumer Real Estate Secured By 1-4 Family Residential
Information About Tdrs Identified During Period Line Items [Line Items]
Number of Loans \| loan		1
Pre-Modification Recorded Investment		$ 267
Post-Modification Recorded Investment		$ 267
Consumer real estate secured by 1-4 family residential \| First deed of trust
Information About Tdrs Identified During Period Line Items [Line Items]
Number of Loans \| loan		1
Pre-Modification Recorded Investment		$ 267
Post-Modification Recorded Investment		$ 267

Loans - Additional Information

Loans - Additional Information (Details)	12 Months Ended
Loans - Additional Information (Details)	Dec. 31, 2022 USD ($) loan	Dec. 31, 2021 USD ($) loan	Dec. 31, 2020 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan amount	$ 535,645,000	$ 522,601,000
Defaults on TDRs that were modified as TDRs \| loan	0	0
Recovery of loan losses	$ (300,000)	$ (500,000)
Loans and leases receivable, allowance	3,370,000	3,423,000	$ 3,970,000
Fair Value Disclosure, Off-balance Sheet Risks, Face Amount, Liability	2,223,000	1,364,000
Financing Receivable, Allowance for Credit Losses	0	0
Impaired Financing Receivable, Interest Income, Cash Basis Method	87,000	88,000
Asset Pledged as Collateral [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans pledged as collateral	$ 33,706,000	35,510,000
Guaranteed student loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Percentage Of Recovery Loss On Portfolio From Historical Experience	98%
Unallocated Financing Receivable [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases receivable, allowance	$ 60,000	422,000
PPP Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan amount	$ 270,000	$ 32,601,000

Allowance for Loan Losses - All

Allowance for Loan Losses - Allowance for loan losses (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	$ 3,423,000	$ 3,970,000
Provision for (Recovery of) Loan Losses	(300,000)	(500,000)
Charge-offs	(217,000)	(165,000)
Recoveries	464,000	118,000
Ending Balance	3,370,000	3,423,000
Consumer and other
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	451,000
Ending Balance	97,000	451,000
Construction and land development
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	286,000	499,000
Provision for (Recovery of) Loan Losses	(15,000)	(213,000)
Ending Balance	271,000	286,000
Construction and land development \| Residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	57,000	214,000
Provision for (Recovery of) Loan Losses	22,000	(157,000)
Ending Balance	79,000	57,000
Construction and land development \| Commercial
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	229,000	285,000
Provision for (Recovery of) Loan Losses	(37,000)	(56,000)
Ending Balance	192,000	229,000
Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	1,953,000	2,517,000
Provision for (Recovery of) Loan Losses	236,000	(578,000)
Recoveries		14,000
Ending Balance	2,189,000	1,953,000
Commercial real estate \| Owner occupied
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	833,000	1,047,000
Provision for (Recovery of) Loan Losses	34,000	(214,000)
Ending Balance	867,000	833,000
Commercial real estate \| Non-owner occupied
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	1,083,000	1,421,000
Provision for (Recovery of) Loan Losses	206,000	(352,000)
Recoveries		14,000
Ending Balance	1,289,000	1,083,000
Commercial real estate \| Multifamily
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	35,000	47,000
Provision for (Recovery of) Loan Losses	(2,000)	(12,000)
Ending Balance	33,000	35,000
Commercial real estate \| Farmland
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	2,000	2,000
Provision for (Recovery of) Loan Losses	(2,000)
Ending Balance		2,000
Consumer real estate secured by 1-4 family residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	182,000	269,000
Provision for (Recovery of) Loan Losses	(367,000)	(76,000)
Charge-offs	(27,000)	(84,000)
Recoveries	397,000	73,000
Ending Balance	185,000	182,000
Consumer real estate secured by 1-4 family residential \| Home equity lines
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	12,000	24,000
Provision for (Recovery of) Loan Losses	(59,000)	(23,000)
Recoveries	58,000	11,000
Ending Balance	11,000	12,000
Consumer real estate secured by 1-4 family residential \| First deed of trust
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	123,000	166,000
Provision for (Recovery of) Loan Losses	3,000	(54,000)
Recoveries	5,000	11,000
Ending Balance	131,000	123,000
Consumer real estate secured by 1-4 family residential \| Second deed of trust
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	47,000	79,000
Provision for (Recovery of) Loan Losses	(311,000)	1,000
Charge-offs	(27,000)	(84,000)
Recoveries	334,000	51,000
Ending Balance	43,000	47,000
Commercial and industrial loans \| Commercial and industrial loans (except those secured by real estate)
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	486,000	408,000
Provision for (Recovery of) Loan Losses	180,000	47,000
Charge-offs	(157,000)
Recoveries	67,000	31,000
Ending Balance	576,000	486,000
Commercial and industrial loans \| Guaranteed student loans
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	65,000	87,000
Provision for (Recovery of) Loan Losses	18,000	13,000
Charge-offs	(31,000)	(35,000)
Ending Balance	52,000	65,000
Commercial and industrial loans \| Consumer and other
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	29,000	36,000
Provision for (Recovery of) Loan Losses	10,000	39,000
Charge-offs	(2,000)	(46,000)
Ending Balance	37,000	29,000
Commercial and industrial loans \| Unallocated
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	422,000	154,000
Provision for (Recovery of) Loan Losses	(362,000)	268,000
Ending Balance	$ 60,000	$ 422,000

Allowance for Loan Losses - Loa

Allowance for Loan Losses - Loans evaluated for impairment (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	$ 3,370	$ 3,423	$ 3,970
Allowance Individually Evaluated for Impairment	9	11
Allowance Collectively Evaluated for Impairment	3,361	3,412
Loans Ending Balance	538,427	526,457
Loans Individually Evaluated for Impairment	7,311	9,243
Loans Collectively Evaluated for Impairment	531,116	517,214
Construction and land development
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	271	286	499
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	271	286
Loans Ending Balance	45,127	49,149
Loans Individually Evaluated for Impairment		0
Loans Collectively Evaluated for Impairment	45,127	49,149
Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	2,189	1,953	2,517
Allowance Individually Evaluated for Impairment	2	4
Allowance Collectively Evaluated for Impairment	2,187	1,949
Loans Ending Balance	284,617	255,537
Loans Individually Evaluated for Impairment	4,895	6,501
Loans Collectively Evaluated for Impairment	279,722	249,036
Consumer real estate secured by 1-4 family residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	185	182	269
Allowance Individually Evaluated for Impairment	6	7
Allowance Collectively Evaluated for Impairment	179	175
Loans Ending Balance	93,680	92,372
Loans Individually Evaluated for Impairment	2,376	2,557
Loans Collectively Evaluated for Impairment	91,304	89,815
Residential \| Construction and land development
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	79	57	214
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	79	57
Loans Ending Balance	9,727	6,805
Loans Individually Evaluated for Impairment		0
Loans Collectively Evaluated for Impairment	9,727	6,805
Commercial \| Construction and land development
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	192	229	285
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	192	229
Loans Ending Balance	35,400	42,344
Loans Individually Evaluated for Impairment		0
Loans Collectively Evaluated for Impairment	35,400	42,344
Owner occupied \| Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	867	833	1,047
Allowance Individually Evaluated for Impairment	2	4
Allowance Collectively Evaluated for Impairment	865	829
Loans Ending Balance	119,643	113,108
Loans Individually Evaluated for Impairment	4,583	5,043
Loans Collectively Evaluated for Impairment	115,060	108,065
Non-owner occupied \| Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	1,289	1,083	1,421
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	1,289	1,083
Loans Ending Balance	153,610	129,786
Loans Individually Evaluated for Impairment	312	1,458
Loans Collectively Evaluated for Impairment	153,298	128,328
Multifamily \| Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	33	35	47
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	33	35
Loans Ending Balance	11,291	11,666
Loans Individually Evaluated for Impairment		0
Loans Collectively Evaluated for Impairment	11,291	11,666
Farmland \| Commercial real estate
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance		2	2
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment		2
Loans Ending Balance	73	977
Loans Individually Evaluated for Impairment		0
Loans Collectively Evaluated for Impairment	73	977
Home equity lines \| Consumer real estate secured by 1-4 family residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	11	12	24
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	11	12
Loans Ending Balance	18,421	17,977
Loans Individually Evaluated for Impairment	300	300
Loans Collectively Evaluated for Impairment	18,121	17,677
First deed of trust \| Consumer real estate secured by 1-4 family residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	131	123	166
Allowance Individually Evaluated for Impairment	6	7
Allowance Collectively Evaluated for Impairment	125	116
Loans Ending Balance	67,495	62,277
Loans Individually Evaluated for Impairment	1,881	2,019
Loans Collectively Evaluated for Impairment	65,614	60,258
Second deed of trust \| Consumer real estate secured by 1-4 family residential
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	43	47	79
Allowance Collectively Evaluated for Impairment	43	47
Loans Ending Balance	7,764	12,118
Loans Individually Evaluated for Impairment	195	238
Loans Collectively Evaluated for Impairment	7,569	11,880
Commercial and industrial loans (except those secured by real estate) \| Commercial and industrial loans
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	576	486	408
Allowance Collectively Evaluated for Impairment	576	486
Loans Ending Balance	90,348	100,421
Loans Individually Evaluated for Impairment	19	185
Loans Collectively Evaluated for Impairment	90,329	100,236
Guaranteed student loans \| Commercial and industrial loans
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	52	65	87
Allowance Individually Evaluated for Impairment		0
Allowance Collectively Evaluated for Impairment	52	65
Loans Ending Balance	20,617	25,975
Loans Individually Evaluated for Impairment		0
Loans Collectively Evaluated for Impairment	20,617	25,975
Consumer and other
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	97	451
Allowance Individually Evaluated for Impairment	1
Allowance Collectively Evaluated for Impairment	96	451
Loans Ending Balance	4,038	3,003
Loans Individually Evaluated for Impairment	21
Loans Collectively Evaluated for Impairment	4,017	3,003
Consumer and other \| Commercial and industrial loans
Financing Receivable, Allowance for Credit Losses [Line Items]
Allowance Ending Balance	37	29	$ 36
Loans Ending Balance	$ 4,038	$ 3,003

Premises and Equipment (Details

Premises and Equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Total premises and equipment	$ 23,741	$ 23,337
Less: Accumulated depreciation and amortization	(11,993)	(11,513)
Premises and equipment, net	11,748	11,824
Land [Member]
Property, Plant and Equipment [Line Items]
Total premises and equipment	4,352	4,352
Buildings and improvements
Property, Plant and Equipment [Line Items]
Total premises and equipment	11,444	11,159
Furniture fixtures and equipment [Member]
Property, Plant and Equipment [Line Items]
Total premises and equipment	$ 7,945	$ 7,826

Premises and Equipment - Additi

Premises and Equipment - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Premises and Equipment
Depreciation, Depletion and Amortization	$ 546,000	$ 582,000

Investment in Bank Owned Life_2

Investment in Bank Owned Life Insurance - (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Investment in Bank Owned Life Insurance.
Bank owned life insurance, face amount	$ 21,681,000
Cash surrender value	$ 12,798,000	$ 12,494,000

Deposits (Details)

Deposits (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Deposit Liability [Line Items]
Demand accounts	$ 255,236	$ 268,804
Interest checking accounts	90,252	89,599
Money market accounts	179,036	187,942
Savings accounts	55,695	54,106
Other time deposits	39,784	56,620
Total	$ 624,743	$ 664,048
Percentage of individual deposits to deposit liability
Demand accounts (in hundredths)	40.90%	40.50%
Interest checking accounts(in hundredths)	14.40%	13.50%
Money market accounts (in hundredths)	28.60%	28.30%
Savings account (in hundredths)	8.90%	8.10%
Time deposits of $250,000 and over (in hundredths)	0.80%	1.10%
Other time deposits (in hundredths)	6.40%	8.50%
Total (in hundredths)	100%	100%
Geographic Distribution, Domestic [Member]
Deposit Liability [Line Items]
Time deposits of $250,000 and over	$ 4,740	$ 6,977

Deposits - Maturities of time d

Deposits - Maturities of time deposits (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Time deposit [Line Items]
2022	$ 29,645
2023	6,729
2024	2,868
2025	3,514
2026	1,768
Time Deposits	44,524
Less Than 250,000 [Member]
Time deposit [Line Items]
2022	25,442
2023	6,729
2024	2,868
2025	3,514
2026	1,231
Time Deposits	39,784
Greater than or Equal to 250,000 [Member]
Time deposit [Line Items]
2022	4,203
2026	537
Time Deposits	$ 4,740

Borrowings - (Details)

Borrowings - (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Federal Home Loan Bank, Advances [Line Items]
Federal Home Loan Bank Stock	$ 1,223,000	$ 353,000
Long-term Federal Home Loan Bank Advances		0	$ 0
Line of Credit Facility, Remaining Borrowing Capacity	51,000,000
PPPLF
Federal Home Loan Bank, Advances [Line Items]
Current borrowing capacity		$ 0
FHLB advances
Federal Home Loan Bank, Advances [Line Items]
Long-term Federal Home Loan Bank Advances	20,000,000
Line of Credit Facility, Remaining Borrowing Capacity	8,200,000
Revolving Credit Facility [Member]
Federal Home Loan Bank, Advances [Line Items]
Line of Credit Facility, Remaining Borrowing Capacity	15,000,000
Secured Debt [Member]
Federal Home Loan Bank, Advances [Line Items]
Line of Credit Facility, Remaining Borrowing Capacity	2,800,000
Line of Credit [Member]
Federal Home Loan Bank, Advances [Line Items]
Line of Credit Facility, Remaining Borrowing Capacity	$ 25,000,000

Borrowings - Information relate

Borrowings - Information related to borrowings (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Federal Funds Purchased
Debt Instrument [Line Items]
Maximum outstanding during the year FHLB advances	$ 6,000	$ 4,982
Balance outstanding at end of year FHLB advances	0
Average amount outstanding during the year FHLB advances	$ 2	$ 55
Average interest rate during the year FHLB advances	4.61%	0.05%
Average interest rate at end of year FHLB advances	0%	0%
FHLB advances
Debt Instrument [Line Items]
Maximum outstanding during the year FHLB advances	$ 20,000
Balance outstanding at end of year FHLB advances	20,000
Average amount outstanding during the year FHLB advances	$ 164
Average interest rate during the year FHLB advances	4.65%
Average interest rate at end of year FHLB advances	4.57%	0%
PPPLF.
Debt Instrument [Line Items]
Maximum outstanding during the year FHLB advances	$ 0	$ 41,529
Balance outstanding at end of year FHLB advances	0
Average amount outstanding during the year FHLB advances	$ 0	$ 5,601
Average interest rate during the year FHLB advances	0%	0.35%
Average interest rate at end of year FHLB advances	0%

Income Taxes - Tax effects of t

Income Taxes - Tax effects of temporary differences that comprise deferred tax assets and liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets
Capital loss carryforward	$ 25	$ 25
Allowance for loan losses	708	719
Deferred fees, net of costs		91
Unrealized loss on available-for-sale securities	2,887	190
Interest on nonaccrual loans	18	18
Stock compensation	78	37
Employee benefits	836	810
Depreciation	24	27
Lease obligation	5	3
Other, net	63	48
Total deferred tax assets	4,644	1,968
Deferred tax liabilities
Unrealized gain on available for sale securities	123
Pension expense	6	1
Total deferred tax liabilities	129	1
Net deferred tax asset	$ 4,515	$ 1,967

Income Taxes - Income tax expen

Income Taxes - Income tax expense charged to operations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Income Taxes
Current tax expense	$ 1,844	$ 2,721
Deferred tax expense	146	699
Provision for income taxes	$ 1,990	$ 3,420

Income Taxes - Reconciliation o

Income Taxes - Reconciliation of income taxes computed at the federal statutory income tax rate to total income taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Income Taxes
Income (loss) before income taxes	$ 10,295	$ 15,873
Computed "expected" tax expense	2,162	3,333
State taxes, net of fed	(67)	173
Cash surrender value of life insurance	(64)	(59)
Other	(41)	(27)
Provision for income taxes	$ 1,990	$ 3,420

Earnings (Loss) per Share (Deta

Earnings (Loss) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Numerator
Net income - basic and diluted	$ 8,305	$ 12,453
Denominator
Weighted average shares outstanding - basic (in shares)	1,477	1,468
Dilutive effect of common stock options (in shares)	0	0
Weighted average shares outstanding - diluted (in shares)	1,477	1,468
Earnings per share - basic (in dollars per share)	$ 5.62	$ 8.48
Earnings per share - diluted (in dollars per share)	$ 5.62	$ 8.48

Earnings (Loss) per Share - Add

Earnings (Loss) per Share - Additional Information (Details) - shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number	12,834	5,793
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0	0
Stock Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0	406

Lease Commitments (Details)

Lease Commitments (Details) - USD ($) $ in Thousands	12 Months Ended
Lease Commitments (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Lease Commitments
Lease liabilities	$ 1,122	$ 930
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Other Liabilities.	Other Liabilities.
Right-of-use assets	$ 1,100	$ 916
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Other Assets.	Other Assets.
Weighted average remaining lease term	5 years 5 months 26 days	5 years 1 month 18 days
Weighted average discount rate		2.51%	2.39%
Lease cost
Operating lease cost	$ 301	$ 358
Total lease cost	$ 301	$ 358

Lease Commitments - Additional

Lease Commitments - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Lease Commitments
Operating Lease, Expense	$ 301,000	$ 358,000
Operating Lease, Payments	$ 293,000	$ 367,000	$ 367,000

Lease Commitments - Summary of

Lease Commitments - Summary of maturity analysis of operating lease liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Lease payments due
Twelve months ending December 31, 2023	$ 301
Twelve months ending December 31, 2024	313
Twelve months ending December 31, 2025	213
Twelve months ending December 31, 2026	163
Twelve months ending December 31, 2027	146
Thereafter	60
Total undiscounted cash flows	1,196
Discount	74
Lease liabilities	$ 1,122	$ 930
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Other Liabilities.	Other Liabilities.

Commitments and Contingencies_2

Commitments and Contingencies (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Total commitments to extend credit	$ 130,275	$ 126,356
Standby letters of Credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Total commitments to extend credit	922	4,680
Undisbursed credit lines
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Total commitments to extend credit	119,454	103,125
Commitments to extend or originate credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Total commitments to extend credit	$ 9,899	$ 18,551

Shareholders' Equity and Regu_3

Shareholders' Equity and Regulatory Matters - Accumulated other comprehensive income (loss) (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Shareholders' Equity and Regulatory Matters
Net unrealized losses on securities	$ (10,862,000)	$ (717,000)
Net unrecognized losses on defined benefit plan	(19,000)	(27,000)
Total accumulated other comprehensive loss	$ (10,881,000)	$ (744,000)

Shareholders' Equity and Regu_4

Shareholders' Equity and Regulatory Matters - Capital amounts and ratios (Details) $ in Thousands	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Total capital (to risk- weighted assets) Village Bank, Ratio
For Capital Adequacy Purposes (in percentage)	0.080
To be Well Capitalized (in percentage)	0.010
Tier 1 capital (to risk-capital to average assets), Ratio
For Capital Adequacy Purposes (in percentage)	0.060
To be Well Capitalized (in percentage)	0.080
Leverage ratio (Tier 1 capital to average assets), Ratio
For Capital Adequacy Purposes (in percentage)	0.040
To be Well Capitalized (in percentage)	0.05
Common equity (Tier 1 risk based capital to risk weighted assets), Ratio
To Be Well Capitalized (in percentage)	0.065
Common equity tier one risk based capital ratio capital adequacy minimum	0.045
Capital conservation buffer common equity tier one risk based capital actual	0.025
Tier one risk based capital required for capital adequacy to risk weighted assets	0.060
Capital conservation buffer tier one risk based capital actual	0.025
Capital required for capital adequacy to risk weighted assets	0.080
Capital conservation buffer total risk based capital actual	0.025
Maximum
Total capital (to risk- weighted assets) Village Bank, Ratio
For Capital Adequacy Purposes (in percentage)	0.080
Capital Required For Capital Adequacy To Risk Weighted Assets Including Conservation Buffer (in percentage)	0.0105
Common equity (Tier 1 risk based capital to risk weighted assets), Ratio
Banking Regulation Common Equity Tier One Risk Based Capital Ratio Capital Adequacy Minimum Including Conservation Buffer (in percentage)	0.07
Capital required for capital adequacy to risk weighted assets	0.080
Minimum
Tier 1 capital (to risk-capital to average assets), Ratio
For Capital Adequacy Purposes (in percentage)	0.060
Tier One Risk Based Capital Required For Capital Adequacy To Risk Weighted Assets Including Conservation Buffer (in percentage)	0.085
Common equity (Tier 1 risk based capital to risk weighted assets), Ratio
Common equity tier one risk based capital ratio capital adequacy minimum	0.045
Tier one risk based capital required for capital adequacy to risk weighted assets	0.060
Subsidiaries [Member]
Total capital (to risk- weighted assets) Village Bank, Amount
Actual Amount	$ 84,982	$ 77,547
Capital Required For Capital Adequacy Including Conservation Buffer	60,267	55,558
To be Well Capitalized Amount	$ 57,398	$ 52,912
Total capital (to risk- weighted assets) Village Bank, Ratio
Actual Ratio (in percentage)	0.1481	0.1466
Capital Required For Capital Adequacy To Risk Weighted Assets Including Conservation Buffer (in percentage)	0.1050	0.1050
To be Well Capitalized (in percentage)	0.1000	0.1000
Tier 1 capital (to risk- weighted assets) Village Bank, Amount
Actual Amount	$ 81,612	$ 74,124
Tier One Risk Based Capital Required For Capital Adequacy Including Conservation Buffer	48,788	44,975
To be Well Capitalized Amount	$ 45,918	$ 42,330
Tier 1 capital (to risk-capital to average assets), Ratio
Actual Ratio (in percentage)	0.1422	0.1401
Tier One Risk Based Capital Required For Capital Adequacy To Risk Weighted Assets Including Conservation Buffer (in percentage)	0.0850	0.0850
To be Well Capitalized (in percentage)	0.0800	0.0800
Leverage ratio (Tier 1 capital to average assets), Amount
Actual Amount	$ 81,612	$ 74,124
Tier One Leverage Capital Required For Capital Adequacy Including Conservation Buffer	29,805	30,068
To be Well Capitalized Amount	$ 37,256	$ 37,585
Leverage ratio (Tier 1 capital to average assets), Ratio
Actual Ratio (in percentage)	0.1095	0.0986
For Capital Adequacy Purposes (in percentage)	0.0400	0.0400
To be Well Capitalized (in percentage)	0.0500	0.0500
Common equity (Tier 1 risk based capital to risk weighted assets), Amount
Actual Amount	$ 81,612	$ 74,124
Common Equity Tier One Capital Required For Capital Adequacy Including Conservation Buffer	40,178	37,038
To Be Well Capitalized Amount	$ 37,308	$ 34,393
Common equity (Tier 1 risk based capital to risk weighted assets), Ratio
Actual Ratio (in percentage)	14.22%	14.01%
Banking Regulation Common Equity Tier One Risk Based Capital Ratio Capital Adequacy Minimum Including Conservation Buffer (in percentage)	0.0700	0.0700
To Be Well Capitalized (in percentage)	0.0650	0.0650

Shareholders' Equity and Regu_5

Shareholders' Equity and Regulatory Matters - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Deferred tax benefits	$ 146,000	$ 699,000
Deferred Tax Liabilities, Gross	129,000	1,000
Deferred Tax Assets, Gross	4,644,000	1,968,000
Village Financial Statutory Trust II [Member]
Deferred tax benefits	$ 2,892,000	$ 198,000

Stock Incentive Plans - Options

Stock Incentive Plans - Options outstanding under company's stock incentive plan (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Options
Options outstanding, beginning of period	734	734
Granted	0	0
Forfeited	0
Exercised	(720)	0
Options outstanding, end of period	14	734
Options exercisable, end of period	14	734
Weighted Average Exercise Price
Options outstanding, beginning of period	$ 25.63	$ 25.63
Granted	0	0
Forfeited	0
Exercised	25.63	0
Options outstanding, end of period	25.28	25.63
Fair Value Per Share
Options outstanding, beginning of period	9.76	9.76
Granted	0	0
Forfeited	0
Exercised	9.76	0
Options outstanding, end of period	$ 9.76	$ 9.76
Intrinsic Value Options outstanding	$ 0	$ 0

Stock Incentive Plans - Non ves

Stock Incentive Plans - Non vested restricted stock award (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Beginning Balance	5,793
Ending Balance	12,834	5,793
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Beginning Balance	23,734
Shares, Granted	17,866
Shares, Vested	(13,815)
Shares, Forfeited	(924)	0
Shares, Other	(1,435)
Ending Balance	28,296	23,734
Weighted-Average Grant-Date Fair-Value, Beginning Balance	$ 37.46
Weighted-Average Grant-Date Fair-Value, Granted	51.11
Weighted-Average Grant-Date Fair-Value, Vested	36.05
Weighted-Average Grant-Date Fair-Value, Forfeited	34.30
Weighted-Average Grant Date Fair Value, Other	32.32
Weighted-Average Grant-Date Fair-Value, Ending Balance	$ 46.60	$ 37.46
Aggregate Intrinsic Value, Beginning Balance	$ 1,234,168
Aggregate Intrinsic Value, Granted	929,032
Aggregate Intrinsic Value, Vested	(718,380)
Aggregate Intrinsic Value, Forfeited	(48,048)
Aggregate Intrinsic Value, Other	(74,620)
Aggregate Intrinsic Value, Ending Balance	$ 1,471,392	$ 1,234,168

Stock Incentive Plans - stock o

Stock Incentive Plans - stock options outstanding (Details)	12 Months Ended
Stock Incentive Plans - stock options outstanding (Details)	Dec. 31, 2022 $ / shares shares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Prices, lower range (in dollars per share)	$ 25.28
Range of Exercise Prices, upper range (in dollars per share)	$ 25.76
Outstanding Number of Options (in shares) \| shares	14
Outstanding Weighted Average Remaining Years of Contractual Life	6 months 14 days
Outstanding Weighted Average Exercise Price (in dollars per share)	$ 25.28
Exercisable Number of Options (in shares) \| shares	14
Exercisable Weighted Average Exercise Price (in dollars per share)	$ 25.28
$25.28-$25.76 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Outstanding Number of Options (in shares) \| shares	14
Outstanding Weighted Average Remaining Years of Contractual Life	6 months 14 days
Outstanding Weighted Average Exercise Price (in dollars per share)	$ 25.28
Exercisable Number of Options (in shares) \| shares	14
Exercisable Weighted Average Exercise Price (in dollars per share)	$ 25.28

Stock Incentive Plans - Additio

Stock Incentive Plans - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number, Beginning Balance	12,834	5,793
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options	$ 608,000
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	2 years 3 months
Allocated Share-based Compensation Expense	$ 381,000	$ 332,000
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number, Beginning Balance	28,296	23,734
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options	$ 1,022,000	$ 688,000
Shares, Forfeited	924	0
Performance Based Restricted Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	3 years
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	2 years
Performance Shares [Member] \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Sharebased Compensation Arrangement by Sharebased Payment Award Payout Ratio	150%	150%
Performance Shares [Member] \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Sharebased Compensation Arrangement by Sharebased Payment Award Payout Ratio	0%	0%

Trust Preferred Securities (Det

Trust Preferred Securities (Details) - USD ($) $ in Thousands		12 Months Ended
	Sep. 20, 2007	Dec. 31, 2022	Dec. 31, 2021	Feb. 24, 2005
Debt Instrument [Line Items]
Trust preferred capital notes		$ 8,764	$ 8,764
Percentage of Tier one risk based capital required for capital adequacy (in hundredths)		25%
Southern Community Financial Capital Trust I [Member]
Debt Instrument [Line Items]
Debt Instrument, Issuance Date			Feb. 24, 2005
Trust preferred capital notes				$ 5,200
Interest rate (in hundredths)		6.89%	2.36%
Maturity date		Mar. 15, 2035
Principal assets of the trust		$ 5,200
Southern Community Financial Capital Trust I [Member] \| LIBOR
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate		2.15%
Village Financial Statutory Trust II [Member]
Debt Instrument [Line Items]
Debt Instrument, Issuance Date		Sep. 20, 2007
Trust preferred capital notes	$ 3,600
Interest rate (in hundredths)		6.14%	1.61%
Principal assets of the trust		$ 3,600
Village Financial Statutory Trust II [Member] \| LIBOR
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.40%

Subordinated Debt Offering (Det

Subordinated Debt Offering (Details) - USD ($)		12 Months Ended
Subordinated Debt Offering (Details) - USD ($)	Mar. 21, 2018	Dec. 31, 2022	Dec. 31, 2021
Subordinated Debt.		$ 5,692,000	$ 5,660,000
Fixed-to-floating rate subordinated notes
Debt Instrument, Face Amount	$ 5,700,000
Proceeds from Issuance of Subordinated Long-term Debt	$ 5,539,000
Debt Instrument, Maturity Date		Mar. 31, 2028
Interest Rate During First Period, Duration	5 years
Debt Instrument, Interest Rate, Stated Percentage	6.50%
Subordinated Debt.		$ 5,692,000	$ 5,660,000
LIBOR \| Fixed-to-floating rate subordinated notes
Debt Instrument, Basis Spread on Variable Rate	3.73%

Retirement Plans - Additional I

Retirement Plans - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Defined Benefit Plan Disclosure [Line Items]
Defined Contribution Plan Contributions Made by Employer and Employee	$ 417,000	$ 424,000
Bank Owned Life Insurance Income	$ 304,000	280,000
Defined Contribution Plan, Employers Matching Contribution, Annual Vesting Percentage	100%
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, after Tax	$ 9,000	9,000
Supplemental Employee Retirement Plan [Member]
Defined Benefit Plan Disclosure [Line Items]
Bank Owned Life Insurance Income	$ 304,000	4,688,000
Defined Contribution Retirement Plan Participant Approval Period	60 days
Deferred Compensation Arrangement with Individual, Requisite Service Period	10 years
Liability, Defined Benefit Plan	$ 2,532,000	2,523,000
Defined Contribution Plan, Cost	192,000	153,000
Directors Deferral Plan [Member]
Defined Benefit Plan Disclosure [Line Items]
Liability, Defined Benefit Plan	771,000	631,000
Defined Contribution Plan, Cost	146,000	112,000
Common Stock, Shares Held in Employee Trust	$ 689,000	$ 730,000
Common Stock, Shares Held in Employee Trust, Shares	32,785	35,038

Fair value - Recurring and non

Fair value - Recurring and non recurring basis (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	$ 2,300	$ 5,100
Reported Value Measurement [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held for sale	2,268	5,141
IRLC	142	471
Forward sales commitment	207	651
Fair Value, Measurements, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
US Government Agencies	60,902	40,999
Mortgage-backed securities	60,560	40,495
Municipals	1,550	2,209
Subordinated debt	8,841	9,246
Loans held for sale	2,268	5,141
IRLC	142	471
Forward sales commitment	207	651
Fair Value, Measurements, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Subordinated debt	2,000	1,750
Fair Value, Measurements, Recurring [Member] \| Reported Value Measurement [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
US Government Agencies	60,902	40,999
Mortgage-backed securities	60,560	40,495
Municipals	1,550	2,209
Subordinated debt	10,841	10,996
Loans held for sale	2,268	5,141
IRLC	142	471
Forward sales commitment	$ 207	$ 651

Fair value - Carrying amounts a

Fair value - Carrying amounts and estimated fair value of the company's (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Financial assets
Investment securities available for sale, at fair value	$ 133,853	$ 94,699
Loans held for sale	2,300	5,100
Fair Value, Inputs, Level 1 [Member] \| Reported Value Measurement [Member]
Financial assets
Cash	12,062	12,071
Fair Value, Inputs, Level 1 [Member] \| Estimate of Fair Value Measurement [Member]
Financial assets
Cash	12,062	12,071
Fair Value, Inputs, Level 2 [Member] \| Reported Value Measurement [Member]
Financial assets
Cash equivalents	4,616	80,545
Investment securities available for sale, at fair value	131,853	92,949
Federal Home Loan Bank stock	1,223	353
Loans held for sale	2,268	5,141
Accrued interest receivable	3,651	3,245
Interest rate lock commitments	142	471
Financial liabilities
Deposits	624,743	664,048
FHLB borrowings	20,000	0
Trust preferred securities	8,764	8,764
Other borrowings	5,692	5,660
Accrued interest payable	70	68
Forward sales commitment	207	651
Fair Value, Inputs, Level 2 [Member] \| Estimate of Fair Value Measurement [Member]
Financial assets
Cash equivalents	4,616	80,545
Investment securities available for sale, at fair value	131,853	92,949
Federal Home Loan Bank stock	1,223	353
Loans held for sale	2,268	5,141
Accrued interest receivable	3,651	3,245
Interest rate lock commitments	142	471
Financial liabilities
Deposits	625,037	663,898
FHLB borrowings	20,000	0
Trust preferred securities	7,066	9,554
Other borrowings	5,692	5,660
Accrued interest payable	70	68
Forward sales commitment	207	651
Fair Value, Inputs, Level 3 [Member] \| Reported Value Measurement [Member]
Financial assets
Investment securities available for sale, at fair value	2,000	1,750
Loans	538,427	526,457
Bank owned life insurance	12,798	12,494
Fair Value, Inputs, Level 3 [Member] \| Estimate of Fair Value Measurement [Member]
Financial assets
Investment securities available for sale, at fair value	2,000	1,750
Loans	521,150	526,668
Bank owned life insurance	$ 12,798	$ 12,494

Segment Reporting - Segment inf

Segment Reporting - Segment information (Details)	12 Months Ended
Segment Reporting - Segment information (Details)	Dec. 31, 2022 USD ($) segment	Dec. 31, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of Reportable Segments \| segment	2
Revenues
Interest income	$ 27,487,000	$ 27,667,000
Gain on sale of loans	4,752,000	11,762,000
Other revenues	3,549,000	3,584,000
Total revenues	35,788,000	43,013,000
Expenses
Recovery of provision for loan losses	(300,000)	(500,000)
Interest expense	1,781,000	2,172,000
Salaries and benefits	13,768,000	14,105,000
Commissions	1,698,000	3,004,000
Other expenses	8,546,000	8,359,000
Total operating expenses	25,493,000	27,140,000
Income (loss) before income taxes	10,295,000	15,873,000
Income tax expense (benefit)	1,990,000	3,420,000
Net income (loss)	8,305,000	12,453,000
Total assets	723,270,000	748,401,000
Eliminations [Member]
Revenues
Interest income	0	(24,000)
Gain on sale of loans	0	0
Other revenues	(274,000)	(281,000)
Total revenues	(274,000)	(305,000)
Expenses
Recovery of provision for loan losses	0	0
Interest expense	0	(24,000)
Salaries and benefits	0	0
Commissions	0	0
Other expenses	(274,000)	(281,000)
Total operating expenses	(274,000)	(305,000)
Income (loss) before income taxes	0	0
Income tax expense (benefit)	0	0
Net income (loss)	0	0
Total assets	(32,714,000)	(31,925,000)
Mortgage Banking [Member]
Revenues
Interest income	237,000	409,000
Gain on sale of loans	4,752,000	11,762,000
Other revenues	488,000	864,000
Total revenues	5,477,000	13,035,000
Expenses
Recovery of provision for loan losses	0	0
Interest expense	0	24,000
Salaries and benefits	3,183,000	4,163,000
Commissions	1,698,000	3,004,000
Other expenses	1,195,000	1,326,000
Total operating expenses	6,076,000	8,517,000
Income (loss) before income taxes	(599,000)	4,518,000
Income tax expense (benefit)	(126,000)	949,000
Net income (loss)	(473,000)	3,569,000
Total assets	17,874,000	19,673,000
Commercial Banking
Revenues
Interest income	27,250,000	27,282,000
Gain on sale of loans	0	0
Other revenues	3,335,000	3,001,000
Total revenues	30,585,000	30,283,000
Expenses
Recovery of provision for loan losses	(300,000)	(500,000)
Interest expense	1,781,000	2,172,000
Salaries and benefits	10,585,000	9,942,000
Commissions	0	0
Other expenses	7,625,000	7,314,000
Total operating expenses	19,691,000	18,928,000
Income (loss) before income taxes	10,894,000	11,355,000
Income tax expense (benefit)	2,116,000	2,471,000
Net income (loss)	8,778,000	8,884,000
Total assets	$ 738,110,000	$ 760,653,000

Parent Corporation Only Finan_3

Parent Corporation Only Financial Statements - Condensed Balance Sheet (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Assets
Cash and due from banks	$ 12,062	$ 12,071
Total Assets	723,270	748,401
Liabilities
Other borrowings	20,000	0
Accrued interest payable	70	68
Other liabilities	2,890	6,460
Total liabilities	662,159	685,000
Shareholders' equity
Common stock	5,868	5,822
Additional paid-in capital	55,167	54,814
Retained earnings	10,957	3,509
Accumulated other comprehensive loss	(10,881)	(744)
Total shareholders' equity	61,111	63,401	$ 51,996
Total liabilities and shareholders' equity	723,270	748,401
Parent Company [Member]
Assets
Cash and due from banks	1,868	1,647
Investment in subsidiaries	70,731	73,380
Investment in special purpose subsidiary	264	264
Prepaid expenses and other assets	2,756	2,585
Total Assets	75,619	77,876
Liabilities
Balance due to nonbank subsidiaries	8,764	8,764
Other borrowings	5,692	5,660
Accrued interest payable	46	46
Other liabilities	6	5
Total liabilities	14,508	14,475
Shareholders' equity
Common stock	5,868	5,822
Additional paid-in capital	55,167	54,814
Retained earnings	10,957	3,509
Stock in directors rabbi trust	(689)	(730)
Directors deferred fees obligation	689	730
Accumulated other comprehensive loss	(10,881)	(744)
Total shareholders' equity	61,111	63,401
Total liabilities and shareholders' equity	$ 75,619	$ 77,876

Parent Corporation Only Finan_4

Parent Corporation Only Financial Statements - Condensed Statements of Operations and Comprehensive Income (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Income
Total interest income	$ 27,487	$ 27,667
Interest expense
Interest on borrowed funds	702	596
Total interest expense	1,781	2,172
Net interest income	25,706	25,495
Noninterest expense
Supplies	158	174
Professional and outside services	2,776	2,835
Other	2,670	2,298
Total noninterest expense	22,313	22,465
Income (loss) before income taxes	10,295	15,873
Income tax expense (benefit)	1,990	3,420
Net income	8,305	12,453
Total comprehensive income (loss)	(10,137)	(1,174)
Parent Company [Member]
Income
Interest Income	3	4
Dividends received from subsidiaries	1,835	950
Total interest income	1,838	954
Interest expense
Interest on borrowed funds	694	575
Total interest expense	694	575
Net interest income	1,144	379
Noninterest expense
Supplies	30	30
Professional and outside services	42	33
Other	45	44
Total noninterest expense	117	107
Net income before undistributed income of subsidiary	1,027	272
Undistributed income (loss) of subsidiary	7,108	12,039
Income (loss) before income taxes	8,135	12,311
Income tax expense (benefit)	(170)	(142)
Net income	8,305	12,453
Total comprehensive income (loss)	$ (1,832)	$ 11,279

Parent Corporation Only Finan_5

Parent Corporation Only Financial Statements - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Cash Flows from Operating Activities
Net income	$ 8,305	$ 12,453
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of debt issuance costs	32	32
Net change in:
Other assets	(2,582)	(1,383)
Interest payable	2	(126)
Other liabilities	(3,570)	(3,283)
Net cash used in operating activities	10,269	42,533
Cash Flows from Investing Activities
Net cash provided by investing activities	(66,063)	(27,299)
Cash Flows from Financing Activities
Proceeds from exercise of stock options	18
Net cash provided by financing activities	(20,144)	33,931
Parent Company [Member]
Cash Flows from Operating Activities
Net income	8,305	12,453
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of debt issuance costs	32	32
Undistributed income of subsidiary	(8,943)	(12,989)
Net change in:
Other assets	(170)	(147)
Other liabilities	1	5
Net cash used in operating activities	(775)	(646)
Cash Flows from Investing Activities
Dividend from subsidiary	1,835	950
Net cash provided by investing activities	1,835	950
Cash Flows from Financing Activities
Proceeds from exercise of stock options	18	0
Cash dividends paid	(857)	(206)
Net cash provided by financing activities	(839)	(206)
Net increase in cash	221	98
Cash, beginning of year	1,647	1,549
Cash, end of year	$ 1,868	$ 1,647

Allowance for Loan Losses - Add

Allowance for Loan Losses - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Recovery of provision for loan losses	$ (300,000)	$ (500,000)
Loans and leases receivable, allowance	3,370,000	3,423,000	$ 3,970,000
Unallocated Financing Receivable [Member]
Loans and leases receivable, allowance	$ 60,000	$ 422,000

Allowance for Loan Losses (Deta

Allowance for Loan Losses (Details) - USD ($)	12 Months Ended
Allowance for Loan Losses (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	$ 3,423,000	$ 3,970,000
Provision for (Recovery of) Loan Losses	(300,000)	(500,000)
Charge-offs	(217,000)	(165,000)
Recoveries	464,000	118,000
Ending Balance	3,370,000	3,423,000
Consumer and other
Financing Receivable, Allowance for Credit Losses [Line Items]
Beginning Balance	451,000
Ending Balance	$ 97,000	$ 451,000

Loans and allowance for loan lo

Loans and allowance for loan losses - Information on PPP loans (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan amount	$ 535,645,000	$ 522,601,000
SBA fee earned	24,776,000	26,560,000
PPP Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan amount	$ 270,000	$ 32,601,000

Loans and allowance for loan _2

Loans and allowance for loan losses - Summary of loans directly or indirectly with executive officers or directors of the Company (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Loans and allowance for loan losses
Beginning balance	$ 5,922	$ 4,672
Additions	7,662	8,760
Effect of changes in composition of related parties	0	(324)
Reductions	(9,219)	(7,186)
Ending balance	$ 4,365	$ 5,922

Investment in Bank Owned Life_3

Investment in Bank Owned Life Insurance - narrative (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Investment in bank owned life insurance [Abstract]
Bank owned life insurance, face amount	$ 21,681,000
Cash surrender value	$ 12,798,000	$ 12,494,000

Deposits - Additional Informati

Deposits - Additional Information (Details) - USD ($)	12 Months Ended
Deposits - Additional Information (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Time Deposits, Fiscal Year Maturity [Abstract]
Related Party Deposit Liabilities Percentage	5%
Related Party Deposit Liabilities	$ 15,366,000	$ 13,599,000

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($)	12 Months Ended
Income Taxes - Additional Information (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Income Taxes
Taxes, Other	$ 640,000	$ 519,000