| Loans and allowance for credit losses | Note 5 – Loans and allowance for credit losses On January 1, 2023, the Company adopted ASC 326. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables. For further discussion on the Company’s accounting policies and policy elections related to the accounting standard update refer to Note 1 in this Quarterly report. All information presented as of June 30, 2023 is in accordance with ASC 326. All loan information presented prior to June 30, 2023 is in accordance with previous applicable GAAP. Loans classified by type as of June 30, 2023 and December 31, 2022 are as follows (dollars in thousands): June 30, 2023 December 31, 2022 Amount % Amount % Construction and land development Residential $ 7,527 1.35 % $ 9,727 1.81 % Commercial 43,411 7.81 % 35,400 6.57 % 50,938 9.16 % 45,127 8.38 % Commercial real estate Owner occupied 114,964 20.67 % 119,643 22.22 % Non-owner occupied 155,139 27.89 % 153,610 28.53 % Multifamily 12,755 2.29 % 11,291 2.10 % Farmland 63 0.01 % 73 0.01 % 282,921 50.86 % 284,617 52.86 % Consumer real estate Home equity lines 17,335 3.12 % 18,421 3.42 % Secured by 1-4 family residential, First deed of trust 79,762 14.34 % 67,495 12.54 % Second deed of trust 9,435 1.70 % 7,764 1.44 % 106,532 19.16 % 93,680 17.40 % Commercial and industrial loans (except those secured by real estate) 91,394 16.43 % 90,348 16.78 % Guaranteed student loans 20,002 3.60 % 20,617 3.83 % Consumer and other 4,383 0.79 % 4,038 0.73 % Total loans 556,170 100.0 % 538,427 100.0 % Deferred (fees) and costs, net 746 588 Less: allowance for credit losses (3,256) (3,370) $ 553,660 $ 535,645 The Bank has a purchased portfolio of rehabilitated student loans guaranteed by the U.S. Department of Education (“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. Loans pledged as collateral with the FHLB as part of their lending arrangement with the Company totaled $36,705,000 and $33,706,000 as of June 30, 2023 and December 31, 2022, respectively. 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. Loans may be placed on nonaccrual status regardless of whether or not such loans are considered past due as long as the remaining recorded investment in the loan is deemed fully collectible. 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 (in thousands): June 30, December 31, 2023 2022 Consumer real estate Home equity lines $ — $ 300 Secured by 1-4 family residential First deed of trust 162 164 Second deed of trust 107 171 269 635 Commercial and industrial loans (except those secured by real estate) 17 19 Total loans $ 286 $ 654 The Company recognized $13,000 of interest on nonaccrual loans as of June 30, 2023. The Company assigns risk rating classifications to its loans. These risk ratings are divided into the following groups: ● Risk rated 1 to 4 (Pass) 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 (Special Mention) loans are defined as having potential weaknesses that deserve management’s close attention; ● Risk rated 6 (Substandard) loans are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any; and ● Risk rated 7 (Doubtful) 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 Management considers the guidance in ASC 310-20 when determining whether a modification, extension, or renewal of loan constitutes a current period origination. Generally, current period renewals of credit are reunderwritten at the point of renewal and considered current period originations for purposes of the table below. As of June 30, 2023, based on the most recent analysis performed, the risk category of loans based on year of origination is as follows (in thousands): Revolving- Total 2023 2022 2021 2020 2019 Prior Revolving Term Loans June 30, 2023 Construction and land development Residential Pass $ 1,836 $ 5,229 $ 347 $ — $ — $ — $ — $ — $ 7,412 Special Mention — 115 — — — — — — 115 Substandard — — — — — — — — — Total Residential $ 1,836 $ 5,344 $ 347 $ — $ — $ — $ — $ — $ 7,527 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Commercial Pass 2,590 16,432 14,690 249 — 2,121 3,812 — 39,894 Special Mention — — — — — 3,517 — — 3,517 Substandard — — — — — — — — — Total Commercial $ 2,590 $ 16,432 $ 14,690 $ 249 $ — $ 5,638 $ 3,812 $ — $ 43,411 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Commercial real estate Owner occupied Pass 807 19,922 26,409 7,284 12,471 44,368 535 — 111,796 Special Mention — — — — — 1,938 — — 1,938 Substandard — — — — 1,230 — — — 1,230 Total Owner occupied $ 807 $ 19,922 $ 26,409 $ 7,284 $ 13,701 $ 46,306 $ 535 $ — $ 114,964 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Revolving- Total 2023 2022 2021 2020 2019 Prior Revolving Term Loans Non-owner occupied Pass 4,303 25,969 26,261 26,806 10,145 50,424 4,980 — 148,888 Special Mention — — 2,201 — — 4,050 — — 6,251 Substandard — — — — — — — — — Total Non-owner occupied $ 4,303 $ 25,969 $ 28,462 $ 26,806 $ 10,145 $ 54,474 $ 4,980 $ — $ 155,139 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Multifamily Pass 1,300 — 2,641 559 895 6,296 1,064 — 12,755 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Multifamily $ 1,300 $ — $ 2,641 $ 559 $ 895 $ 6,296 $ 1,064 $ — $ 12,755 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Farmland Pass — — 30 — — 33 — — 63 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Farmland $ — $ — $ 30 $ — $ — $ 33 $ — $ — $ 63 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Consumer real estate Home equity lines Pass — 446 — — — — 16,281 — 16,727 Special Mention — — — — — — 608 — 608 Substandard — — — — — — — — — Total Home equity lines $ — $ 446 $ — $ — $ — $ — $ 16,889 $ — $ 17,335 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Secured by 1-4 family residential First deed of trust Pass 17,767 13,987 16,130 8,810 3,101 18,480 — — 78,275 Special Mention 173 — 173 — — 979 — — 1,325 Substandard — — — — — 162 — — 162 Total First deed of trust $ 17,940 $ 13,987 $ 16,303 $ 8,810 $ 3,101 $ 19,621 $ — $ — $ 79,762 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Second deed of trust Pass 2,053 3,524 982 435 1,244 767 260 — 9,265 Special Mention — — — — 46 70 — — 116 Substandard — — — — 2 52 — — 54 Total Second deed of trust $ 2,053 $ 3,524 $ 982 $ 435 $ 1,292 $ 889 $ 260 $ $ 9,435 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Commercial and industrial loans (except those secured by real estate) Pass 9,633 13,969 18,773 6,939 3,543 4,460 26,788 — 84,105 Special Mention — 4,097 78 — 396 125 2,507 — 7,203 Substandard — — — — — 17 69 — 86 Total Commercial and industrial $ 9,633 $ 18,066 $ 18,851 $ 6,939 $ 3,939 $ 4,602 $ 29,364 $ — $ 91,394 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Guaranteed student loans Pass — — — — — 20,002 — — 20,002 Special Mention — — — — — — — — — Substandard — — — — — — — — — Total Guaranteed student loans $ — $ — $ — $ — $ — $ 20,002 $ — $ — $ 20,002 Current period gross writeoff $ 7 $ — $ — $ — $ — $ — $ — $ — $ 7 Consumer and other Pass 2,224 532 164 85 27 19 1,314 — 4,365 Special Mention — — — — 18 — — — 18 Substandard — — — — — — — — — Total Consumer and other $ 2,224 $ 532 $ 164 $ 85 $ 45 $ 19 $ 1,314 $ $ 4,383 Current period gross writeoff $ — $ — $ — $ — $ — $ — $ — $ — $ — Total Current period gross writeoff $ 7 $ — $ — $ — $ — $ — $ — $ — $ 7 Total loans $ 42,686 $ 104,222 $ 108,879 $ 51,167 $ 33,118 $ 157,880 $ 58,218 $ — $ 556,170 The following table presents the aging of the recorded investment in past due loans and leases 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 June 30, 2023 Construction and land development Residential $ — $ — $ — $ — $ 7,527 $ 7,527 $ — Commercial — — — — 43,411 43,411 — — — — — 50,938 50,938 — Commercial real estate Owner occupied — — — — 114,964 114,964 — Non-owner occupied — — — — 155,139 155,139 — Multifamily — — — — 12,755 12,755 — Farmland — — — — 63 63 — — — — — 282,921 282,921 — Consumer real estate Home equity lines 40 — — 40 17,295 17,335 — Secured by 1‑4 family residential First deed of trust — — — — 79,762 79,762 — Second deed of trust — — — — 9,435 9,435 — 40 — — 40 106,492 106,532 — Commercial and industrial loans (except those secured by real estate) 759 131 742 1,632 89,762 91,394 742 Guaranteed student loans 1,288 311 1,978 3,577 16,425 20,002 1,978 Consumer and other 3 — — 3 4,380 4,383 — Total loans $ 2,090 $ 442 $ 2,720 $ 5,252 $ 550,918 $ 556,170 $ 2,720 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, 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 Loans greater than 90 days past due are United States Department of Agriculture loans which carry a 100% guarantee of the principal and interest and 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 collateral dependent. Loans that are individually evaluated for credit losses are limited to loans that have specific risk characteristics that are not shared by other loans and based on current information and events it is probable the Company will be unable to collect all amounts when due in accordance with the original contractual terms of the loan agreement, including scheduled principal and interest payments. The repayment of these loans is expected to be substantially through the operations or the sale of the collateral. The allowance for credit losses on loans that are individually evaluated will be measured based on the fair value of the collateral either through operations or the sale of the collateral. When repayment is expected through the sale of the collateral, the allowance will be based on the fair value of the collateral less estimated costs to sell. Collateral dependent loans, or portions thereof, are charged off when deemed uncollectible. Collateral dependent loans are set forth in the following table as of the dates indicated (in thousands): June 30, 2023 December 31, 2022 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate Owner occupied $ 1,714 $ 1,729 $ — $ 4,332 $ 4,347 $ — Non-owner occupied — — — 312 312 — 1,714 1,729 — 4,644 4,659 — Consumer real estate Home equity lines — — — 300 300 — Secured by 1‑4 family residential First deed of trust 162 162 — 1,745 1,745 — Second deed of trust 109 193 — 195 300 — 271 355 — 2,240 2,345 — Commercial and industrial loans (except those secured by real estate) 86 86 — 19 19 — 2,071 2,170 — 6,903 7,023 — With an allowance recorded Commercial real estate Owner occupied — — — 251 251 2 — — — 251 251 2 Consumer real estate Secured by 1-4 family residential First deed of trust — — — 136 136 6 — — — 136 136 6 Consumer and other — — — 21 21 1 — — — 408 408 9 Total Owner occupied 1,714 1,729 — 4,583 4,598 2 Non-owner occupied — — — 312 312 — 1,714 1,729 — 4,895 4,910 2 Consumer real estate Home equity lines — — — 300 300 — Secured by 1-4 family residential, First deed of trust 162 162 — 1,881 1,881 6 Second deed of trust 109 193 — 195 300 — 271 355 — 2,376 2,481 6 Commercial and industrial loans (except those secured by real estate) 86 86 — 19 19 — Consumer and other — — — 21 21 1 $ 2,071 $ 2,170 $ — $ 7,311 $ 7,431 $ 9 The following is a summary of average recorded investment in collateral dependent loans with and without a valuation allowance and interest income recognized on those loans for the periods indicated (in thousands): For the Three Months Ended For the Six Months Ended June 30, 2023 June 30, 2023 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate Owner occupied $ 1,475 $ 92 $ 2,854 $ 123 Non-owner occupied — — — — 1,475 92 2,854 123 Consumer real estate Home equity lines 150 — 225 — Secured by 1-4 family residential First deed of trust 178 — 987 4 Second deed of trust 220 1 170 2 548 1 1,382 6 Commercial and industrial loans (except those secured by real estate) 52 4 52 5 2,075 97 4,288 134 With an allowance recorded Commercial real estate Owner occupied — — 127 — — — 127 — Consumer real estate Secured by 1-4 family residential First deed of trust — — 50 — Second deed of trust — — — — — — 50 — Consumer and other — — 16 — — — 193 — Total Commercial real estate Owner occupied 1,475 92 2,981 123 Non-owner occupied — — — — 1,475 92 2,981 123 Consumer real estate Home equity lines 150 — 225 — Secured by 1-4 family residential, First deed of trust 178 — 1,037 4 Second deed of trust 220 1 170 2 548 1 1,432 6 Commercial and industrial loans (except those secured by real estate) 52 4 52 5 Consumer and other — — 16 — $ 2,075 $ 97 $ 4,481 $ 134 Loan Modifications to Borrowers in Financial Difficulty As part of its credit risk management, the Company may modify a loan agreement with a borrower experiencing financial difficulties through a refinancing or restructuring of the borrower’s loan agreement. There were no modified loans identified during the six months ended June 30, 2023. Prior Period Troubled Debt Restructuring Disclosures Prior to adopting the new accounting standard on loan modifications, the Company accounted for modifications of loans to borrowers experiencing financial difficulties as TDRs, when the modification resulted in a concession. The following discussion reflects loans that are considered TDRs prior to January 1, 2023. 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 borrower’s 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 for the periods indicated (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 There were no new TDRs identified for the year ended December 31, 2022. 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 prior 12 month periods ended June 30, 2023 and 2022. In accordance with ASC 326, the Company has segmented its loan portfolio based on similar risk characteristics by call report code. The Company’s forecast of estimated expected losses is based on a twelve-month forecast of the national rate of unemployment and external observations of historical loan losses. The Company uses the Federal Open Market Committee’s projection of unemployment for its reasonable and supportable forecasting of current expected credit losses. For the periods beyond the reasonable and supportable forecast period, projections of expected credit losses are based on a reversion to the long-run mean for the national unemployment rate. 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. Activity in the allowance for credit losses is as follows for the periods indicated (in thousands): Impact of Provision for Beginning adopting (Recovery of) Ending Balance ASC 326 Credit Losses Charge-offs Recoveries Balance Three Months Ended June 30, 2023 Construction and land development Residential $ 51 $ — $ 10 $ — $ — $ 61 Commercial 264 — 3 — — 267 315 — 13 — — 328 Commercial real estate Owner occupied 391 — (12) — — 379 Non-owner occupied 1,460 — (84) — — 1,376 Multifamily 40 — — — — 40 Farmland — — — — — — 1,891 — (96) — — 1,795 Consumer real estate Home equity lines 33 — 30 — — 63 Secured by 1-4 family residential — First deed of trust 214 — 5 — — 219 Second deed of trust 75 — 4 — 4 83 322 — 39 — 4 365 Commercial and industrial loans (except those secured by real estate) 549 — 118 — 6 673 Student loans 112 — (95) (4) — 13 Consumer and other 34 — 1 — — 35 Unallocated 49 — (2) — — 47 $ 3,272 $ — $ (22) $ (4) $ 10 $ 3,256 Provision for Beginning (Recovery of) Ending Balance Loan Losses Charge-offs Recoveries Balance Three Months Ended June 30, 2022 Construction and land development Residential $ 46 $ 11 $ — $ — $ 57 Commercial 199 (28) — — 171 245 (17) — — 228 Commercial real estate Owner occupied 892 (24) — — 868 Non-owner occupied 1,106 161 — — 1,267 Multifamily 37 13 — — 50 Farmland 2 — — — 2 2,037 150 — — 2,187 Consumer real estate Home equity lines 12 — — — 12 Secured by 1-4 family residential First deed of trust 118 (5) — 1 114 Second deed of trust 80 (32) — 1 49 210 (37) — 2 175 Commercial and industrial loans (except those secured by real estate) 446 56 — 31 533 Student loans 63 10 (13) — 60 Consumer and other 35 10 — — 45 Unallocated 367 (172) — — 195 $ 3,403 $ — $ (13) $ 33 $ 3,423 Impact of Provision for Beginning adopting (Recovery of) Ending Balance ASC 326 Credit Losses Charge-offs Recoveries Balance Six Months Ended June 30, 2023 Construction and land development Residential $ 79 $ 3 $ (21) $ — $ — $ 61 Commercial 192 34 41 — — 267 271 37 20 — — 328 Commercial real estate Owner occupied 867 (475) (13) — — 379 Non-owner occupied 1,289 192 (105) — — 1,376 Multifamily 33 7 — — — 40 Farmland — — — — — — 2,189 (276) (118) — — 1,795 Consumer real estate Home equity lines 11 24 28 — — 63 Secured by 1-4 family residential First deed of trust 131 76 11 — 1 219 Second deed of trust 43 25 9 — 6 83 185 125 48 — 7 365 Commercial and industrial loans (except those secured by real estate) 576 1 84 — 12 673 Student loans 52 — (32) (7) — 13 Consumer and other 37 (5) 3 — — 35 Unallocated 60 (9) (4) — — 47 $ 3,370 $ (127) $ 1 $ (7) $ 19 $ 3,256 Provision for Beginning (Recovery of) Ending Balance Loan Losses Charge-offs Recoveries Balance Six Months Ended June 30, 2022 Construction and land development Residential $ 57 $ — $ — $ — $ 57 Commercial 229 (58) — — 171 286 (58) — — 228 Commercial real estate Owner occupied 833 35 — — 868 Non-owner occupied 1,083 184 — — 1,267 Multifamily 35 15 — — 50 Farmland 2 — — — 2 1,953 234 — — 2,187 Consumer real estate Home equity lines 12 (58) — 58 12 Secured by 1-4 family residential First deed of trust 123 (11) — 2 114 Second deed of trust 47 (301) — 303 49 182 (370) — 363 175 Commercial and industrial loans (except those secured by real estate) 486 (12) — 59 533 Student loans 65 17 (22) — 60 Consumer and other 29 16 — — 45 Unallocated 422 (227) — — 195 $ 3,423 $ (400) $ (22) $ 422 $ 3,423 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 |
