Independence Bancshares 10-Q 9 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 09, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	Independence Bancshares, Inc.
Entity Central Index Key	1,311,828
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Type	10-Q
Document Period End Date	Sep. 30, 2016
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2,016
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		20,502,760

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Assets
Cash and due from banks	$ 5,408,411	$ 5,453,795
Federal funds sold	5,809,000	8,446,000
Cash and cash equivalents	11,217,411	13,899,795
Interest-bearing deposits in other institutions	1,750,000	1,500,000
Investment securities available for sale	10,223,300	10,687,851
Non-marketable equity securities	380,050	392,500
Loans, net of allowance for loan losses of $853,137 and $1,139,509, respectively	62,478,299	66,402,246
Accrued interest receivable	206,687	232,215
Property, equipment, and software, net	2,043,803	2,198,796
Other real estate owned and repossessed assets	2,615,809	1,910,220
Bank owned life insurance	2,521,199
Other assets	553,212	243,683
Total assets	93,989,770	97,467,306
Deposits:
Noninterest bearing	14,147,006	13,010,209
Interest bearing	67,609,798	70,557,116
Total deposits	81,756,804	83,567,325
Securities sold under agreements to repurchase	61,820	113,080
Accrued interest payable	8,515	7,909
Accounts payable and accrued expenses	801,457	1,134,833
Total liabilities	82,628,596	84,823,147
Commitments and contingencies
Shareholders' equity
Common stock, par value $.01 per share; 300,000,000 shares authorized; 20,502,760 shares issued and outstanding	205,028	205,028
Additional paid-in capital	43,053,599	43,043,473
Accumulated other comprehensive income	267,356	113,846
Accumulated deficit	(32,164,893)	(30,718,272)
Total shareholders' equity	11,361,174	12,644,159
Total liabilities and shareholders' equity	93,989,770	97,467,306
Series A Preferred Stock [Member]
Shareholders' equity
Preferred stock, par value $.01 per share; 10,000,000 shares authorized; 8,425 Series A shares issued and outstanding	$ 84	$ 84

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Allowance for loan losses	$ 853,137	$ 1,139,509
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	20,502,760	20,502,760
Common stock, shares outstanding	20,502,760	20,502,760
Series A Preferred Stock [Member]
Preferred stock, shares issued	8,425	8,425
Preferred stock, shares outstanding	8,425	8,425

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Interest income
Loans	$ 820,984	$ 753,412	$ 2,496,404	$ 2,411,870
Investment securities	61,709	77,243	195,793	256,789
Federal funds sold and other	15,386	12,854	48,251	34,886
Total interest income	898,079	843,509	2,740,448	2,703,545
Interest expense
Deposits	84,896	81,117	243,799	236,003
Borrowings	103	2,161	181	15,548
Total interest expense	84,999	83,278	243,980	251,551
Net interest income	813,080	760,231	2,496,468	2,451,994
Provision for loan losses		150,000	(68,000)	150,000
Net interest income after provision for loan losses	813,080	610,231	2,564,468	2,301,994
Non-interest income
Service fees on deposit accounts	24,329	14,729	71,044	55,625
Residential loan origination fees	67,167	44,661	167,093	154,013
SBA loan fees			119,306
Loss on sale of investment securities		(129,143)		(87,995)
Other income	52,042	8,902	70,904	70,881
Total non-interest income	143,538	(60,851)	428,347	192,524
Non-interest expenses
Compensation and benefits	637,297	642,002	1,944,260	2,027,309
Real estate owned activity	(15,473)	148,429	348,839	407,382
Occupancy and equipment	188,407	199,076	507,220	514,862
Insurance	50,272	66,750	165,449	173,691
Data processing and related costs	90,876	90,952	256,650	255,924
Professional fees	234,381	169,883	707,534	500,846
Product research and development expense	27,364	1,162,722	204,554	2,091,892
Other	104,521	77,892	304,930	246,766
Total non-interest expenses	1,317,645	2,557,706	4,439,436	6,218,672
Loss before income tax expense	(361,027)	(2,008,326)	(1,446,621)	(3,724,154)
Income tax expense				5,080
Net loss	(361,027)	(2,008,326)	(1,446,621)	(3,729,234)
Other comprehensive income (loss), net of tax
Unrealized gain (loss) on investment securities available for sale, net of tax	9,712	343,260	153,510	160,661
Reclassification adjustment included in net loss, net of tax		(129,143)		(87,995)
Other comprehensive income	9,712	214,117	153,510	72,666
Total comprehensive loss	$ (351,315)	$ (1,794,209)	$ (1,293,111)	$ (3,656,568)
Net loss per common share - basic and diluted	$ (0.02)	$ (0.10)	$ (0.07)	$ (0.18)
Weighted average common shares outstanding - basic and diluted	20,502,760	20,502,760	20,502,760	20,502,760

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($)	Total	Common stock	Preferred stock	Additional paid-in capital	Accumulated other comprehensive income (loss)	Accumulated deficit
Beginning Balance at Dec. 31, 2014	$ 9,410,580	$ 205,028		$ 35,124,151	$ 1,154	$ (25,919,753)
Beginning Balance, shares at Dec. 31, 2014		20,502,760
Compensation expense related to stock options granted	236,512			236,512
Issuance of preferred stock - net of expenses	7,615,577		$ 84	7,615,493
Issuance of preferred stock - net of expenses, shares			8,425
Net loss	(3,729,234)					(3,729,234)
Other comprehensive income	72,666				72,666
Ending Balance at Sep. 30, 2015	13,606,101	$ 205,028	$ 84	42,976,156	73,820	(29,648,987)
Ending Balance, shares at Sep. 30, 2015		20,502,760	8,425
Beginning Balance at Dec. 31, 2015	12,644,159	$ 205,028	$ 84	43,043,473	113,846	(30,718,272)
Beginning Balance, shares at Dec. 31, 2015		20,502,760	8,425
Compensation expense related to stock options granted	10,126			10,126
Net loss	(1,446,621)					(1,446,621)
Other comprehensive income	153,510				153,510
Ending Balance at Sep. 30, 2016	$ 11,361,174	$ 205,028	$ 84	$ 43,053,599	$ 267,356	$ (32,164,893)
Ending Balance, shares at Sep. 30, 2016		20,502,760	8,425

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Operating activities
Net loss	$ (1,446,621)	$ (3,729,234)
Adjustments to reconcile net loss to cash used in operating activities
(Reversal of provision) provision for loan losses	(68,000)	150,000
Depreciation	182,567	161,249
Amortization of investment securities discounts/premiums, net	120,651	152,209
Stock option expense related to stock options granted	10,126	236,512
Net changes in fair value and losses on other real estate owned and repossessed assets	133,207	334,942
Increase in value of bank owned life insurance	(21,199)
Loss on sale of investment securities		87,995
Loss on disposal of property, equipment and software	566
(Increase) decrease in other assets, net	(284,001)	(177,975)
Decrease in other liabilities, net	(411,852)	(1,406,879)
Net cash used in operating activities	(1,784,556)	(4,191,181)
Investing activities
Net decrease in loans	2,734,658	3,256,118
Repayments of investment securities available for sale	576,492	878,824
Maturities and sales of investment securities available for sale		4,070,789
Purchases of interest bearing deposits in other institutions	(250,000)	(1,500,000)
Purchases of investment securities available for sale		(300,000)
Redemption of non-marketable equity securities, net	12,450	217,150
Purchase of property, equipment and software	(28,140)	(20,349)
Proceeds from sale of other real estate owned and repossessed assets	418,493	582,295
Purchase of bank owned life insurance	(2,500,000)
Net cash provided by investing activities	963,953	7,184,827
Financing activities
(Decrease) increase in deposits, net	(1,810,521)	1,743,850
Repayments on borrowings		(5,000,000)
Repayments on note payable		(600,000)
Issuance of preferred stock, net		7,615,577
Decrease in securities sold under agreements to repurchase	(51,260)	(129,962)
Net cash (used in) provided by financing activities	(1,861,781)	3,629,465
Net (decrease) increase in cash and cash equivalents	(2,682,384)	6,623,111
Cash and cash equivalents at beginning of the period	13,899,795	10,904,080
Cash and cash equivalents at end of the period	11,217,411	17,527,191
Cash paid for
Interest	243,374	250,695
Income taxes		5,080
Schedule of non-cash transactions
Unrealized gain on securities available for sale, net of tax	153,510	73,820
Loans transferred to other real estate owned and repossessed assets	$ 1,257,289	$ 300,000

Nature of Business and Basis of

Nature of Business and Basis of Presentation	9 Months Ended
	Sep. 30, 2016
Nature of Business and Basis of Presentation [Abstract]
NATURE OF BUSINESS AND BASIS OF PRESENTATION	NOTE 1 – NATURE OF BUSINESS AND BASIS OF PRESENTATION Independence Bancshares, Inc. (the “Company”) is a South Carolina corporation organized to operate as a bank holding company pursuant to the Federal Bank Holding Company Act of 1956 and the South Carolina Banking and Branching Efficiency Act of 1996, and to own and control all of the capital stock of Independence National Bank (the “Bank”), a national association organized under the laws of the United States. Since opening for business on May 16, 2005, the Bank has operated as a traditional community bank in Greenville, South Carolina, fulfilling the financial needs of individuals and small businesses in its market. The Bank provides traditional checking and savings products insured by the Federal Deposit Insurance Corporation (the “FDIC”) and commercial, consumer and mortgage loans, as well as ATM and online banking, cash management and safe deposit boxes. As previously reported, on September 25, 2015, the Company suspended development of its digital banking, payments and transaction services business and has subsequently been evaluating strategic alternatives for the Company. A key goal of the Company’s digital banking business was to reduce costs for banking activities and operate more efficiently through utilizing mobile and on-line delivery channels. In furtherance of this goal and based in part upon the institutional knowledge acquired in the pursuit of the digital banking strategy, the Company plans to supplement its current lending strategy by expanding its consumer lending program with on-line offerings, targeting prime and super-prime borrowers in the Bank’s current market area as well as throughout South Carolina. The Company’s board of directors is focused on profitably growing the Bank and enhancing shareholder value through this targeted expansion of its consumer lending program. Basis of Presentation The accompanying unaudited consolidated financial statements include the accounts of the Company and the Bank. In consolidation, all significant intercompany transactions have been eliminated. The unaudited consolidated financial statements include, in the opinion of management, all adjustments necessary to present a fair statement of the financial position and the results of operations for all periods presented. All such adjustments are of a normal recurring nature. The accounting and reporting policies conform to accounting principles generally accepted in the United States and to general practices in the banking industry. The foregoing discussion is a summary only and should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 (the “2015 10-K”) as filed with the Securities and Exchange Commission (the “SEC”) and Management’s Discussion and Analysis in this Quarterly Report on Form 10-Q. Operating results for the three and nine month periods ended September 30, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016. Reclassifications Certain amounts have been reclassified to state all periods on a comparable basis. Reclassifications had no effect on previously reported shareholders’ equity or net loss. Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America 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 date of the consolidated financial statements and the reported amount of income and expenses during the reporting periods. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, other real estate owned, fair value of financial instruments, evaluating other-than-temporary impairment of investment securities and valuation of deferred tax assets. Business Segments The Company reports its activities as four business segments - Community Banking, Transaction Services, Asset Management and Parent Only. In determining proper segment definition, the Company considers the materiality of a potential segment and components of the business about which financial information is available and regularly evaluated, relative to a resource allocation and performance assessment. Please refer to “Note 8 – Business Segments” for further information on the reporting for the four business segments. Subsequent Events Subsequent events are events or transactions that occur after the balance sheet date but before financial statements are issued. Recognized subsequent events are events or transactions that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements. Non-recognized subsequent events are events that provide evidence about conditions that did not exist at the date of the balance sheet but arose after that date. Management performed an evaluation to determine whether or not there have been any subsequent events since the balance sheet date, and concluded that no subsequent events had occurred requiring accrual or disclosure through the date of this filing, other than those mentioned in Note 11.

Liquidity and Capital Considera

Liquidity and Capital Considerations	9 Months Ended
	Sep. 30, 2016
Liquidity and Capital Considerations [Abstract]
LIQUIDITY AND CAPITAL CONSIDERATIONS	NOTE 2 – LIQUIDITY AND CAPITAL CONSIDERATIONS The Company The Company’s cash balances, independent of the Bank, were approximately $1.6 million and its real estate held for sale was $293,142 at September 30, 2016 compared to cash balances of approximately $2.9 million and real estate held for sale of $631,320 at December 31, 2015. The decrease in liquid assets of approximately $1.3 million during the nine month period is due primarily to the repayment of accrued liabilities, approximately $205,000 in expenses incurred related to the transaction services segment, approximately $73,000 in other real estate owned expenses incurred related to the asset management segment, and approximately $741,000 in professional fees and data processing expenses incurred at the Company. See “Note 8 – Business Segments” for additional information related to the Company’s business segments. The foregoing discussion is a summary only and should be read in conjunction with the 2015 Form 10-K as filed with the SEC and Management’s Discussion and Analysis in this Quarterly Report on Form 10-Q. The Company’s board of directors has suspended its digital banking business and, as such, we believe our liquidity sources are adequate to meet our operating needs at the Company. The Bank Our ability to maintain and expand our deposit base and borrowing capabilities serves as our primary source of liquidity at the Bank. We currently have $11.2 million in cash and federal funds sold. If our cash needs at the Bank exceed that, we plan to liquidate temporary investments and generate deposits within our market. In addition, we will receive cash upon the maturity and sale of loans and the maturity of investment securities. Our investment securities available for sale at September 30, 2016 amounted to $10.2 million, or 10.9% of total assets. Investment securities traditionally provide a secondary source of liquidity since they can be converted into cash in a timely manner. At September 30, 2016, $2.4 million of our investment portfolio was pledged against outstanding debt. Therefore, the related debt would need to be repaid prior to the securities being sold and converted to cash. The Bank is a member of the Federal Home Loan Bank of Atlanta (“FHLB”), from which applications for borrowings can be made for leverage purposes. The FHLB requires that securities, qualifying mortgage loans, and stock of the FHLB owned by the Bank be pledged to secure any advances from the FHLB. At September 30, 2016, we had collateral that would support approximately $35.9 million in additional borrowings. We are subject to the FHLB’s credit risk rating policy which assigns member institutions a rating which is reviewed quarterly. The rating system utilizes key factors such as loan quality, capital, liquidity, profitability, etc. Our ability to access our available borrowing capacity from the FHLB in the future is subject to our rating and any subsequent changes based on our financial performance as compared to factors considered by the FHLB in their assignment of our credit risk rating each quarter. The Bank also pledges collateral to the Federal Reserve Bank’s Borrower-in-Custody of Collateral program, and our available credit under this program was $16.5 million as of September 30, 2016. The Bank has $5.5 million in federal funds purchased lines of credits through correspondent banks that are unsecured, but have not been utilized. We believe our liquidity sources are adequate to meet our operating needs at the Bank. However, we continue to carefully focus on liquidity management during 2016. Comprehensive weekly and monthly liquidity analyses serve management as vital decision-making tools by providing summaries of anticipated changes in loans, investments, core deposits, and wholesale funds. These internal funding reports provide management with the details critical to anticipate immediate and long-term cash requirements, such as expected deposit runoff, loan pay downs and amount and cost of available borrowing sources, including secured overnight federal funds lines with our various correspondent banks. The Consolidated Company The Company’s level of liquidity is measured by the cash, cash equivalents, and investment securities available for sale to total assets ratio which was 24.7% at September 30, 2016 compared to 26.7% as of December 31, 2015. The decrease in liquidity is due primarily to the decrease in cash and due from bank and federal funds sold.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2016
Summary of Significant Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES For further information refer to the consolidated financial statements and footnotes thereto included in our 2015 Form 10K as filed with the SEC. Cash and Cash Equivalents - For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks and federal funds sold. Generally, federal funds are sold for one-day periods. Due to the short term nature of cash and cash equivalents, the carrying amount of these instruments is deemed to be a reasonable estimate of fair value. At September 30, 2016 and December 31, 2015, the Company had restricted cash totaling $2,000 with the FHLB. The Company places its deposits and correspondent accounts with and sells its federal funds to high quality institutions. Management believes credit risk associated with correspondent accounts is not significant. Net Loss per Common Share - Basic loss per common share represents net loss divided by the weighted average number of common shares outstanding during the period. Diluted loss per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued. Potential common shares that may be issued by the Company relate to outstanding stock options and warrants and are determined using the treasury stock method. For the three and nine month periods ended September 30, 2016 and September 30, 2015, as a result of the Company’s net loss, all of the potential common shares were considered anti-dilutive. Research and Development – All costs incurred to establish the technological feasibility of computer software to be sold, leased or otherwise marketed as research and development are expensed as incurred. Once technological feasibility has been established, the subsequent costs of producing, coding and testing the products should be capitalized. The expensing of computer software costs is discontinued when the product is available for general release for customers. The Company did not achieve technological feasibility and therefore expensed all computer software purchases and development expenses related to research and development of its digital banking, payments and transaction services business. On September 25, 2015 the Company suspended the development of its digital banking business. Fair Value Measurements - The Company determines the fair market values of its financial instruments based on the fair value hierarchy established in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 820, “Fair Value Measurements and Disclosures” (“ASC Topic 820”), which provides a framework for measuring and disclosing fair value under generally accepted accounting principles. ASC Topic 820 requires disclosures about the fair value of assets and liabilities recognized in the balance sheet in periods subsequent to initial recognition, whether the measurements are made on a recurring basis (for example, available for sale investment securities) or on a nonrecurring basis (for example, impaired loans). ASC Topic 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1 – Valuations are based on quoted prices in active markets for identical assets or liabilities. Level 2 – Valuations are based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 – Valuations include unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Income Taxes - The Company accounts for income taxes in accordance with FASB ASC Topic 740, “Income Taxes". Deferred tax assets and liabilities are recognized for the expected future tax consequences of events that have been recognized in the consolidated financial statements or tax returns. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established to reduce deferred tax assets if it is determined to be “more likely than not” that all or some portion of the potential deferred tax asset will not be realized. We did not recognize any income tax benefit or expense for the three and nine month periods ended September 30, 2016 due to our net operating loss carryforward position. For the nine month period ended September 30, 2015, we recognized $5,080 in state income tax expense related to our net operating income in 2014 at the Bank. We did not recognize any income tax benefit or expense for the three month period ended September 30, 2015 due to our net loss in 2015 at the Bank. Accounting literature states that a deferred tax asset should be reduced by a valuation allowance if, based on the weight of all available evidence, it is more likely than not (a likelihood of more than 50%) that some portion or the entire deferred tax asset will not be realized. The determination of whether a deferred tax asset is realizable is based on weighting all available evidence, including both positive and negative evidence. In making such judgments, significant weight is given to evidence that can be objectively verified. We will continue to analyze our deferred tax assets and related valuation allowance on a quarterly basis, taking into account performance compared to forecasted earnings as well as current economic and internal information. The Company believes that its income tax filing positions taken or expected to be taken in its tax returns will more likely than not be sustained upon audit by the taxing authorities, and does not anticipate any adjustments that will result in a material adverse impact on the Company’s financial condition, results of operations, or cash flows. Therefore, no reserves for uncertain income tax positions have been recorded pursuant to ASC 740. Recently Issued Accounting Pronouncements - The following is a summary of recent authoritative pronouncements that may affect our accounting, reporting, and disclosure of financial information: In May 2014 and August 2015, the FASB issued guidance to change the recognition of revenue from contracts with customers. The core principle of the new guidance is that an entity should recognize revenue to reflect the transfer of goods and services to customers in an amount equal to the consideration the entity receives or expects to receive. In March 2016, the guidance was amended to clarify the implementation guidance on principal versus agent considerations and address how an entity should assess whether it is the principal or the agent in contracts that include three or more parties. In May 2016, the topic was amended again to clarify the guidance related to collectability, noncash consideration, presentation of sales tax, and transition. The guidance and amendments will be effective for the Company for reporting periods beginning after December 15, 2017. The Company will apply the guidance using a modified retrospective approach. The Company does not expect these amendments to have a material effect on its financial statements. In January 2015, the FASB issued guidance to eliminate from the U.S. GAAP the concept of an extraordinary item, which is an event or transaction that is both (1) unusual in nature and (2) infrequently occurring. Under the new guidance, an entity will no longer (1) segregate an extraordinary item from the results of ordinary operations; (2) separately present an extraordinary item on its income statement, net of tax, after income from continuing operations; or (3) disclose income taxes and earnings-per-share data applicable to an extraordinary item. The amendments will be effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The Company will apply the guidance prospectively to all prior periods presented in the financial statements. These amendments have not had a material effect on the Company’s financial statements. In February 2015, the FASB issued guidance which amends the consolidation requirements and significantly changes the consolidation analysis required under the U.S. GAAP. Although the amendments are expected to result in the deconsolidation of many entities, the Company will need to reevaluate all its previous consolidation conclusions. The amendments will be effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted (included during an interim period), provided that the guidance is applied as of the beginning of the annual period containing the adoption date. These amendments have not had a material effect on the Company’s financial statements. In August 2015, the FASB issued amendments to the Interest topic of the Accounting Standards Codification to clarify the SEC staff’s position on presenting and measuring debt issuance costs incurred in connection with line-of-credit arrangements. The amendments were effective upon issuance and have not had a material effect on the Company’s financial statements. In January 2016, the FASB amended the Financial Instruments topic of the ASC to address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. The amendments will be effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The amendments related to equity securities without readily determinable fair values will be applied prospectively to equity investments that exist as of the date of adoption of the amendments. The Company does not expect these amendments to have a material effect on its financial statements. In February 2016, the FASB amended the Leases topic of the ASC to revise certain aspects of recognition, measurement, presentation, and disclosure of leasing transactions. The amendments will be effective for fiscal years beginning December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the effect that implementation of the new standard will have on its financial position, results of operations, and cash flows. In March 2016, the FASB issued guidance to simplify several aspects of the accounting for share-based payment award transactions including the income tax consequences, the classification of awards as either equity or liabilities, and the classification on the statement of cash flows. Additionally, the guidance simplifies two areas specific to entities other than public business entities allowing them to apply a practical expedient to estimate the expected term for all awards with performance or service conditions that have certain characteristics and also allowing them to make a one-time election to switch from measuring all liability-classified awards at fair value to measuring them at intrinsic value. The amendments will be effective for the Company for annual periods beginning after December 15, 2016. The Company does not expect these amendments to have a material effect on its financial statements. In June 2016, the FASB issued guidance to change the accounting for credit losses and modify the impairment model for certain debt securities. The amendments will be effective for the Company for reporting periods beginning after December 15, 2019. The Company is currently evaluating the effect that implementation of the new standard will have on its financial position, results of operations, and cash flows. In August 2016, the FASB amended the Statement of Cash Flows topic of the Accounting Standards Codification to clarify how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments will be effective for the Company for fiscal years beginning after December 15, 2017 including interim periods within those years. The Company does not expect these amendments to have a material effect on its financial statements. Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

Investment Securities

Investment Securities	9 Months Ended
	Sep. 30, 2016
Investment Securities [Abstract]
INVESTMENT SECURITIES	NOTE 4 – INVESTMENT SECURITIES Investment securities classified as “Available for Sale” are carried at fair value with unrealized gains and losses excluded from earnings and reported as a separate component of shareholders’ equity (net of estimated tax effects). Realized gains or losses on the sale of investments are based on the specific identification method. The amortized costs and fair values of investment securities available for sale are as follows: September 30, 2016 Amortized Gross Unrealized Fair Cost Gains Losses Value Government-sponsored mortgage-backed $ 3,660,290 $ 95,649 $ (10,121) $ 3,745,818 Municipals, tax-exempt 4,856,478 250,422 (2,173) 5,104,727 Municipals, taxable 1,301,446 71,309 - 1,372,755 Total investment securities $ 9,818,214 $ 417,380 $ (12,294) $ 10,223,300 December 31, 2015 Amortized Gross Unrealized Fair Cost Gains Losses Value Government-sponsored mortgage-backed $ 4,290,680 $ 66,350 $ (44,581) $ 4,312,449 Municipals, tax-exempt 4,916,379 140,335 (17,267) 5,039,447 Municipals, taxable 1,308,298 27,657 - 1,335,955 Total investment securities $ 10,515,357 $ 234,342 $ (61,848) $ 10,687,851 The following table presents information regarding securities with unrealized losses at September 30, 2016: Securities in an Unrealized Securities in an Unrealized Loss Position for Less than Loss Position for More than 12 Months 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses Government-sponsored mortgage-backed $ - $ - $ 709,955 $ 10,121 $ 709,955 $ 10,121 Municipals, tax-exempt 322,119 2,173 - - 322,119 2,173 Total temporarily impaired securities $ 322,119 $ 2,173 $ 709,955 $ 10,121 $ 1,032,074 $ 12,294 The following table presents information regarding securities with unrealized losses at December 31, 2015: Securities in an Unrealized Securities in an Unrealized Loss Position for Less than Loss Position for More than 12 Months 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses Government-sponsored mortgage-backed $ 627,542 $ 5,569 $ 764,462 $ 39,012 $ 1,392,004 $ 44,581 Municipals, tax-exempt 323,796 6,249 1,074,440 11,018 1,398,236 17,267 Total temporarily impaired securities $ 951,338 $ 11,818 $ 1,838,902 $ 50,030 $ 2,790,240 $ 61,848 At September 30, 2016, investment securities with a fair value of approximately $710,000 and unrealized losses of $10,121 had been in a continuous loss position for more than twelve months. At September 30, 2016, investment securities with a fair value of approximately $322,000 and unrealized losses of $2,173 had been in a continuous loss position for less than twelve months. All remaining investment securities were in an unrealized gain position. The Company believes, based on industry analyst reports and credit ratings that the deterioration in the fair value of these investment securities available for sale is attributed to changes in market interest rates and not in the credit quality of the issuer and therefore, these losses are not considered other-than-temporary. The Company has the ability and intent to hold these securities until such time as the values recover or the securities mature. At December 31, 2015, investment securities with a fair value of approximately $951,000 and unrealized losses of $11,818 had been in a continuous loss for less than twelve months. At December 31, 2015, investment securities with a fair value of approximately $1.8 million and unrealized losses of $50,030 had been in a continuous loss position for more than twelve months. All remaining investment securities were in an unrealized gain position. The amortized costs and fair values of investment securities available for sale at September 30, 2016, by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because issuers have the right to prepay the obligations. September 30, 2016 Amortized Fair Cost Value Due within one year $ — $ — Due after one through three years — — Due after three through five years — — Due after five through ten years 1,301,446 1,372,755 Due after ten years 8,516,768 8,850,545 Total investment securities $ 9,818,214 $ 10,223,300

Loans

Loans	9 Months Ended
	Sep. 30, 2016
Loans/Note Payable[Abstract]
LOANS	NOTE 5 – LOANS At September 30, 2016, our current loan portfolio consisted primarily of $32.3 million of commercial real estate loans, $16.3 million of commercial business loans, $13.1 million of home equity loans and $1.8 million of consumer loans. Our current loan portfolio composition is not materially different than the loan portfolio composition disclosed in the footnotes to the consolidated financial statements included in our 2015 10-K. The Bank plans to supplement its current lending strategy by expanding its consumer lending program, targeting prime and super-prime borrowers in the Bank’s current market area as well as throughout South Carolina. During the nine month period ended September 30, 2016, three nonaccrual loans at the Bank were transferred to other real estate owned for $1,257,289. Specific reserves for each of these loans were included in the December 31, 2015 allowance accounts. During the period ended September 30, 2015, one nonaccrual loan at the Bank for $343,266 was transferred to other real estate owned for $300,000, net of a specific reserve, which includes $34,327 in selling costs, of $43,266. Certain credit quality statistics related to our loan portfolio have improved over the past several quarters, including reductions of in-migration of nonaccrual loans and reductions in the aggregate level of nonperforming assets. To the extent such improvement continues, we may continue to reduce our allowance for loan losses in future periods based on our assessment of the inherent risk in the loan portfolio at those future reporting dates. There can be no assurance that loan losses in future periods will not exceed the current allowance for loan losses amount or that future increases in the allowance for loan losses will not be required. Additionally, no assurance can be given that our ongoing evaluation of the loan portfolio, in light of changing economic conditions and other relevant factors, will not require significant future additions to the allowance for loan losses, thus adversely impacting our business, financial condition, results of operations, and cash flows. Loan Performance and Asset Quality Generally, a loan will be placed on nonaccrual status when it becomes 90 days past due as to principal or interest (unless the loan is well-collateralized and in the process of collection), or when management believes, after considering economic and business conditions and collection efforts, that the borrower’s financial condition is such that collection of the loan is doubtful. When a loan is placed in nonaccrual status, interest accruals are discontinued and income earned but not collected is reversed. Cash receipts on nonaccrual loans are not recorded as interest income, but are used to reduce principal. Loans are removed from nonaccrual status when they become current as to both principal and interest and when concern no longer exists as to the collectability of principal or interest based on current available information or as evidenced by sufficient payment history, generally six months. The following table summarizes delinquencies and nonaccruals, by portfolio class, as of September 30, 2016 and December 31, 2015. Single and multifamily Construction Commercial residential and real estate - Commercial real estate development other business Consumer Total September 30, 2016 30-59 days past due $ - $ - $ - $ 90,135 $ 500 $ 90,635 60-89 days past due - - - - - - Nonaccrual 138,045 - 193,188 - - 331,233 Total past due and nonaccrual 138,045 - 193,188 90,135 500 421,868 Current 12,968,165 8,664,401 23,438,325 16,221,319 1,811,017 63,103,227 Total loans (gross of $ 13,106,210 $ 8,664,401 $ 23,631,513 $ 16,311,454 $ 1,811,517 $ 63,525,095 deferred fees) Deferred fees (193,659) Loan loss reserve (853,137) Total Loans, net $ 62,478,299 Single and multifamily Construction Commercial residential and real estate - Commercial real estate development other business Consumer Total December 31, 2015 30-59 days past due $ 75,890 $ - $ - $ - $ - $ 75,890 60-89 days past due 63,702 250,378 - - - 314,080 Nonaccrual 168,879 40,500 1,390,013 65,798 - 1,655,190 Total past due and nonaccrual 308,471 290,878 1,390,013 65,798 - 2,055,160 Current 16,126,251 6,995,581 24,169,930 16,961,256 1,369,224 65,622,242 Total loans (gross of $ 16,434,722 $ 7,286,459 $ 25,559,943 $ 17,027,054 $ 1,369,224 $ 67,677,402 deferred fees) Deferred fees (135,647) Loan loss reserve (1,139,509) Total Loans, net $ 66,402,246 At September 30, 2016 and December 31, 2015, there were nonaccrual loans of approximately $331,000 and $1.7 million, respectively. Foregone interest income related to nonaccrual loans equaled $55,231 for the nine months ended September 30, 2016. Foregone interest income related to nonaccrual loans equaled $10,535 for the nine months ended September 30, 2015. No interest income was recognized on nonaccrual loans during the nine months ended September 30, 2016. At September 30, 2016 and December 31, 2015, there were no accruing loans which were contractually past due 90 days or more as to principal or interest payments. As part of the loan review process, loans are given individual credit grades, representing the risk the Company believes is associated with the loan balance. Credit grades are assigned based on factors that impact the collectability of the loan, the strength of the borrower, the type of collateral, and loan performance. Commercial loans are individually graded at origination and credit grades are reviewed on a regular basis in accordance with our loan policy. Consumer loans are assigned a “pass” credit rating unless something within the loan warrants a specific classification grade . The following table summarizes management’s internal credit risk grades, by portfolio class, as of September 30, 2016 and December 31, 2015. Single and multifamily Construction Commercial residential and real estate - Commercial September 30, 2016 real estate development other business Consumer Total Pass Loans $ 8,166,976 $ 2,410,426 $ - $ - $ 1,811,517 $ 12,388,919 Grade 1 - Prime - - - - - - Grade 2 - Good - - - - - - Grade 3 - Acceptable 1,974,683 2,081,541 11,939,247 8,131,777 - 24,127,248 Grade 4 – Acceptable w/ Care 2,764,069 4,101,457 11,499,078 7,125,434 - 25,490,038 Grade 5 – Special Mention 62,437 70,977 - 831,026 - 964,440 Grade 6 - Substandard 138,045 - 193,188 223,217 - 554,450 Grade 7 - Doubtful - - - - - - Total loans (gross of $ 13,106,210 $ 8,664,401 $ 23,631,513 $ 16,311,454 $ 1,811,517 $ 63,525,095 deferred fees) Single and multifamily Construction Commercial residential and real estate - Commercial December 31, 2015 real estate development other business Consumer Total Pass Loans $ 8,340,816 $ 1,350,332 $ - $ - $ 1,369,224 $ 11,060,372 Grade 1 - Prime - - - - - - Grade 2 - Good - - - - - - Grade 3 - Acceptable 4,479,116 809,004 8,121,125 7,667,706 - 21,076,951 Grade 4 – Acceptable w/ Care 3,382,209 4,759,864 14,724,468 8,199,385 - 31,065,926 Grade 5 – Special Mention 63,702 76,381 611,189 846,106 - 1,597,378 Grade 6 - Substandard 168,879 290,878 2,103,161 313,857 - 2,876,775 Grade 7 - Doubtful - - - - - - Total loans (gross of $ 16,434,722 $ 7,286,459 $ 25,559,943 $ 17,027,054 $ 1,369,224 $ 67,677,402 deferred fees) Loans graded one through four are considered “pass” credits. At September 30, 2016, approximately 98% of the loan portfolio had a credit grade of “pass” compared to 93% at December 31, 2015. For loans to qualify for this grade, they must be performing relatively close to expectations, with no significant departures from the intended source and timing of repayment. Consumer loans are assigned a “pass” credit rating unless something within the loan warrants a specific classification grade. As of September 30, 2016 and December 31, 2015, we had loans totaling approximately $964,000 and $1.6 million, respectively, classified as special mention. This classification is utilized when an initial concern is identified about the financial health of a borrower. Loans are designated as such in order to be monitored more closely than other credits in the loan portfolio. At September 30, 2016, substandard loans totaled approximately $554,000, with all loans being collateralized by real estate compared to $2.9 million at December 31, 2015. Substandard credits are evaluated for impairment on a quarterly basis. The Company identifies impaired loans through its normal internal loan review process. 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. Loans on the Company's problem loan watch list are considered potentially impaired loans. Generally, once loans are considered impaired, they are moved to nonaccrual status and recognition of interest income is discontinued. However, loans may be considered impaired strictly based on a decrease in the underlying value of the collateral securing the loan while the loan is still considered to be performing, thus preventing the need to move the loan to nonaccrual status. Impairment is measured on a loan-by-loan basis based on the determination of the most probable source of repayment which is usually liquidation of the underlying collateral, but may also include discounted future cash flows, or in rare cases, the market value of the loan itself. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Accordingly, the Company does not separately identify individual consumer and residential loans for impairment disclosures, unless such loans are the subject of a restructuring agreement. At September 30, 2016, impaired loans totaled $1.4 million, all of which were valued on a nonrecurring basis at the lower of cost or market value of the underlying collateral. Impaired loans decreased $975,232 from December 31, 2015 due to three loans being transferred to other real estate owned for $1,257,289, approximately $374,000 in loan balance reductions through pay downs, and approximately $829,000 in loans being moved out of impaired status during the quarter, partially offset by three loans being deemed impaired with a recorded investment of approximately $1.0 million during the nine months ended September 30, 2016. Market values were obtained using independent appraisals, updated in accordance with our reappraisal policy, or other market data such as recent offers to the borrower. As of September 30, 2016, we had no loans that were classified in accordance with our loan rating policies but were not considered impaired. The following table summarizes information relative to impaired loans, by portfolio class, at September 30, 2016 and December 31, 2015. Unpaid Average Year to date principal Recorded Related impaired interest balance investment allowance investment income September 30, 2016 With no related allowance recorded: Single and multifamily residential real estate $ - $ - $ - $ 205,715 $ - Construction and development - - - 123,137 5,191 Commercial real estate - other 788,098 788,098 - 659,162 20,907 Commercial business 242,646 242,646 - 91,669 18,123 With related allowance recorded: Single and multifamily residential real estate 200,483 200,483 101,283 220,816 2,457 Construction and development - - - 126,353 - Commercial real estate - other 193,188 193,188 28,188 580,095 - Commercial business - - - 9,070 - Total: Single and multifamily residential real estate 200,483 200,483 101,283 426,531 2,457 Construction and development - - - 249,490 5,191 Commercial real estate - other 981,286 981,286 28,188 1,239,257 20,907 Commercial business 242,646 242,646 - 100,739 18,123 $ 1,424,415 $ 1,424,415 $ 129,471 $ 2,016,017 $ 46,678 December 31, 2015 With no related allowance recorded: Single and multifamily residential real estate $ - $ - $ - $ 411,430 $ 21,667 Construction and development - - - 177,047 - Commercial real estate - other 905,968 905,968 - 415,488 29,423 Commercial business - - - 62,015 - With related allowance recorded: Single and multifamily residential real estate 236,938 236,938 163,138 270,668 - Construction and development 40,500 40,500 10,500 239,206 727 Commercial real estate - other 1,197,193 1,197,193 201,793 805,654 46,761 Commercial business - - - 18,139 2,119 Total: Single and multifamily residential real estate 236,938 236,938 163,138 682,098 21,667 Construction and development 40,500 40,500 10,500 416,253 727 Commercial real estate - other 2,103,161 2,103,161 201,793 1,221,142 76,184 Commercial business - - - 80,154 2,119 $ 2,380,599 $ 2,380,599 $ 375,431 $ 2,399,647 $ 100,697 TDRs are loans which have been restructured from their original contractual terms and include concessions that would not otherwise have been granted outside of the financial difficulty of the borrower. Concessions can relate to the contractual interest rate, maturity date, or payment structure of the note. As part of our workout plan for individual loan relationships, we may restructure loan terms to assist borrowers facing challenges in the current economic environment. The purpose of a TDR is to facilitate ultimate repayment of the loan. Our policy with respect to accrual of interest on loans restructured in a TDR follows relevant supervisory guidance. That is, if a borrower has demonstrated performance under the previous loan terms and shows capacity to perform under the restructured loan terms continued accrual of interest at the restructured interest rate is likely. If a borrower was materially delinquent on payments prior to the restructuring, but shows capacity to meet the restructured loan terms, the loan will likely continue as nonaccrual going forward. Lastly, if the borrower does not perform under the restructured terms, the loan is placed on nonaccrual status. We will continue to closely monitor these loans and will cease accruing interest on them if management believes that the borrowers may not continue performing based on the restructured note terms. At September 30, 2016 the principal balance of TDRs was zero as the one loan constituting our sole TDR at June 30, 2016 had been repaid in full at maturity in August 2016. At December 31, 2015, the principal balance of TDRs was zero as the one loan constituting our sole TDR had been transferred to other real estate owned. There were no TDRs within the previous 12-month period for which there was a payment default during the nine months ended September 30, 2016. Provision and Allowance for Loan Losses An allowance for loan losses is maintained at a level deemed appropriate by management to adequately provide for known and inherent losses in the loan portfolio. 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 uncollectability of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. The provision and allowance for loan losses is evaluated on a regular basis by management and is based upon management’s periodic review of the collectability of the loans in light of historical experience, the nature and volume of the loan portfolio, adverse situations that may affect the borrower’s ability to repay, estimated value of any underlying collateral and prevailing economic conditions. This evaluation is inherently subjective as it requires estimates that are susceptible to significant revision as more information becomes available. The allowance consists of both a specific and a general component. The specific component relates to loans that are impaired loans as defined in FASB ASC Topic 310, “Receivables.” For such loans, an allowance is established when either the discounted cash flows or collateral value or observable market price of the impaired loan is lower than the carrying value of that loan. The general component covers non-impaired loans and is based on historical loss experience adjusted for qualitative factors. The following table summarizes activity related to our allowance for loan losses for the nine months ended September 30, 2016 and 2015, by portfolio segment. Single and multifamily Construction Commercial residential and real estate - Commercial real estate development other business Consumer Total September 30, 2016 Allowance for loan losses: Balance, beginning of period $ 265,797 $ 184,130 $ 439,830 $ 244,679 $ 5,073 $ 1,139,509 Provision (reversal of provision) for (30,000) (60,000) 45,000 (28,000) 5,000 (68,000) loan losses Loan charge-offs - (10,500) (209,045) - (139) (219,684) Loan recoveries - - - - 1,312 1,312 Net loans charged-off - (10,500) (209,045) - 1,173 (218,372) Balance, end of period $ 235,797 $ 113,630 $ 275,785 $ 216,679 $ 11,246 $ 853,137 Individually reviewed for impairment $ 101,283 $ - $ 28,188 $ - $ - $ 129,471 Collectively reviewed for impairment 134,514 113,630 247,597 216,679 11,246 723,666 Total allowance for loan losses $ 235,797 $ 113,630 $ 275,785 $ 216,679 $ 11,246 $ 853,137 Gross loans, end of period: Individually reviewed for impairment $ 200,483 $ - $ 981,286 $ 242,646 $ - $ 1,424,415 Collectively reviewed for impairment 12,905,727 8,664,401 22,650,227 16,068,808 1,811,517 62,100,680 Total loans (gross of deferred fees) $ 13,106,210 $ 8,664,401 $ 23,631,513 $ 16,311,454 $ 1,811,517 $ 63,525,095 September 30, 2015 Allowance for loan losses: Balance, beginning of year $ 160,797 $ 234,130 $ 363,097 $ 184,679 $ 90,073 $ 1,032,776 Provision (reversal of provision) for 105,000 (50,000) 120,000 60,000 (85,000) 150,000 loan losses Loan charge-offs - - (43,267) - - (43,267) Loan recoveries - - - - - - Net loans charged-off - - (43,267) - - (43,267) Balance, end of period $ 265,797 $ 184,130 $ 439,830 $ 244,679 $ 5,073 $ 1,139,509 Individually reviewed for impairment $ 158,529 $ 9,867 $ 212,836 $ 20,958 $ - $ 402,190 Collectively reviewed for impairment 107,268 174,263 226,994 223,721 5,073 737,319 Total allowance for loan losses $ 265,797 $ 184,130 $ 439,830 $ 244,679 $ 5,073 $ 1,139,509 Gross loans, end of period: Individually reviewed for impairment $ 951,429 $ 39,867 $ 2,111,886 $ 82,352 $ - $ 3,185,534 Collectively reviewed for impairment 16,141,243 7,656,202 21,584,909 16,469,948 1,348,721 62,378,123 Total loans (gross of deferred fees) $ 16,299,772 $ 7,666,069 $ 23,696,795 $ 16,552,300 $ 1,348,721 $ 65,563,657 September September 30, 2016 30, 2015 Nonaccrual loans $ 331,233 $ 2,461,342 Average gross loans $ 64,628,769 $ 66,974,277 Net loans charged-off as a percentage of average gross loans 0.34% 0.01% Allowance for loan losses as a percentage of total gross 1.34% 1.74% loans Allowance for loan losses as a percentage of non-accrual 257.56% 0.46% loans Portions of the allowance for loan losses may be allocated for specific loans or portfolio segments. However, the entire allowance for loan losses is available for any loan that, in management’s judgment, should be charged-off. The general reserve as a percentage of loans collectively reviewed for impairment was 1.17% at September 30, 2016 and December 31, 2015. While management utilizes the best judgment and information available to it, the ultimate adequacy of the allowance for loan losses depends on a variety of factors beyond our control, including the performance of our loan portfolio, the economy, changes in interest rates, and the view of the regulatory authorities toward loan classifications. If delinquencies and defaults increase, we may be required to increase our provision for loan losses, which would adversely affect our results of operations and financial condition. There can be no assurance that charge-offs of loans in future periods will not exceed the allowance for loan losses as estimated at any point in time or that provisions for loan losses will not be significant to a particular accounting period. Maturities and Sensitivity of Loans to Changes in Interest Rates The information in the following tables summarizes the loan maturity distribution by type and related interest rate characteristics based on the contractual maturities of individual loans, including loans which may be subject to renewal at their contractual maturity. Renewal of such loans is subject to review and credit approval, as well as modification of terms upon maturity. Actual repayments of loans may differ from the maturities reflected below, because borrowers have the right to prepay obligations with or without prepayment penalties. After one but One year or within five After five less years years Total September 30, 2016 Single and multifamily residential real estate $ 1,576,246 $ 6,640,725 $ 4,889,239 $ 13,106,210 Construction and development 2,560,990 5,564,125 539,286 8,664,401 Commercial real estate - other 3,396,392 18,289,695 1,945,426 23,631,513 Commercial business 4,568,492 11,159,120 583,842 16,311,454 Consumer 911,206 818,435 81,876 1,811,517 Total $ 13,016,326 $ 42,472,100 $ 8,039,669 $ 63,525,095 After one but One year or within five After five less years years Total December 31, 2015 Single and multifamily residential real estate $ 4,107,456 $ 7,977,523 $ 4,349,743 $ 16,434,722 Construction and development 2,850,334 3,915,218 520,907 7,286,459 Commercial real estate - other 5,740,738 17,556,599 2,262,606 25,559,943 Commercial business 5,170,004 11,334,906 522,144 17,027,054 Consumer 551,733 749,455 68,036 1,369,224 Total $ 18,420,265 $ 41,533,701 $ 7,723,436 $ 67,677,402 Loans maturing after one year with: September 30, 2016 December 31, 2015 Fixed interest rates $ 17,935,580 $ 16,892,651 Floating interest rates $ 32,576,189 $ 32,364,486

Fair Value

Fair Value	9 Months Ended
	Sep. 30, 2016
Fair Value [Abstract]
FAIR VALUE	NOTE 6 – FAIR VALUE Assets and Liabilities Measured at Fair Value Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The Company determines the fair values of its financial instruments based on the fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are detailed in Note 2. Available-for-sale investment securities ($10,223,300 and $10,687,851 at September 30, 2016 and December 31, 2015, respectively) are carried at fair value and measured on a recurring basis using Level 2 inputs. Fair values are estimated by using bid prices and quoted prices of pools or tranches of securities with similar characteristics. We do not record loans at fair value on a recurring basis. However, from time to time, a loan is considered impaired and a specific reserve within the allowance for loan losses is established or the loan is charged down to the fair value less costs to sell. At September 30, 2016, all impaired loans were evaluated on a nonrecurring basis based on the market value of the underlying collateral. Market values are generally obtained using independent appraisals or other market data, which the Company considers to be Level 3 inputs. The aggregate carrying amount, net of specific reserves, of impaired loans carried at fair value at September 30, 2016 and December 31, 2015 was $1.3 million and $2.0 million, respectively. Other real estate owned and repossessed assets, generally consisting of properties or other collateral obtained through foreclosure or in satisfaction of loans, are carried at the lower or market value and measured on a non-recurring basis. Market values are generally obtained using independent appraisals which are generally prepared using the income or market valuation approach, adjusted for estimated selling costs which the Company considers to be Level 3 inputs. The carrying amount of other real estate owned and repossessed assets carried at fair value at September 30, 2016 and December 31, 2015 was $2,615,809 and $1,910,220, respectively. The Company utilizes two methods to determine carrying values, either appraised value, or if lower, current net listing price. The Company has no assets whose fair values are measured using Level 1 inputs. The Company also has no liabilities carried at fair value or measured at fair value. For Level 3 assets measured at fair value on a non-recurring basis as of September 30, 2016, the significant observable inputs used in the fair value measurements were as follows: Fair Value at September Significant Description 30, 2016 Valuation Technique Unobservable Inputs Other real estate owned and repossessed assets $ 2,615,809 Appraised value Discounts to reflect current Impaired loans $ 1,294,944 Internal assessment based on Adjustments to estimated For Level 3 assets measured at fair value on a non-recurring basis as of December 31, 2015, the significant unobservable inputs used in the fair value measurements were as follows: Fair Value at December 31, Significant Description 2015 Valuation Technique Unobservable Inputs Other real estate owned and repossessed assets $ 1,910,220 Appraised value Discounts to reflect current Impaired loans $ 2,005,168 Internal assessment Adjustments to estimated Disclosures about Fair Value of Financial Instruments FASB ASC Topic 825, “Financial Instruments” requires disclosure of fair value information, whether or not recognized in the consolidated balance sheets, when it is practical to estimate the fair value. FASB ASC Topic 825 defines a financial instrument as cash, evidence of an ownership interest in an entity or contractual obligations which require the exchange of cash or other financial instruments. Certain items are specifically excluded from the disclosure requirements, including the Company’s common stock, property, equipment and software, and other assets and liabilities. Fair value approximates carrying value for the following financial instruments due to the short-term nature of the instrument: cash and due from banks, federal funds sold, and securities sold under agreements to repurchase. Investment securities are valued using quoted market prices. No ready market exists for non-marketable equity securities, and they have no quoted market value. However, redemption of these stocks has historically been at par value. Accordingly, the carrying amounts are deemed to be a reasonable estimate of fair value. Fair value of loans is based on the discounted present value of the estimated future cash flows. Discount rates used in these computations approximate the rates currently offered for similar loans of comparable terms and credit quality. Fair value of bank owned life insurance is based on the cash surrender value of the policies, as determined by the issuer. Fair value for demand deposit accounts and interest bearing accounts with no fixed maturity date is equal to the carrying value. Fair value of certificate of deposit accounts are estimated by discounting cash flows from expected maturities using current interest rates on similar instruments. Fair value for FHLB advances is based on discounted cash flows using the Company’s current incremental borrowing rate. The Company has used management’s best estimate of fair value based on the above assumptions. Thus, the fair values presented may not be the amounts that could be realized in an immediate sale or settlement of the instrument. In addition, any income taxes or other expenses, which would be incurred in an actual sale or settlement, are not taken into consideration in the fair value presented. The estimated fair values of the Company’s financial instruments at September 30, 2016 and December 31, 2015 are as follows: Carrying September 30, 2016 Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 5,408,411 $ 5,408,411 $ 5,408,411 - - Interest bearing deposits in other institutions 1,750,000 1,750,000 - 1,750,000 - Federal funds sold 5,809,000 5,809,000 5,809,000 - - Investment securities available for sale 10,223,300 10,223,300 - 10,223,300 - Non-marketable equity securities 380,050 380,050 - 380,050 - Loans, net 62,478,299 62,668,293 - - 62,668,293 Bank owned life insurance 2,521,199 2,521,199 - 2,521,199 - Financial Liabilities: Deposits 81,756,804 81,728,119 - 81,728,119 - Securities sold under agreements to repurchase 61,820 61,820 - 61,820 - Carrying December 31, 2015 Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 5,453,795 $ 5,453,795 $ 5,453,795 $ - $ - Interest-bearing deposits in other institutions 1,500,000 1,500,000 - 1,500,000 - Federal funds sold 8,446,000 8,446,000 8,446,000 - - Investment securities available for sale 10,687,851 10,687,851 - 10,687,851 - Non-marketable equity securities 392,500 392,500 - 392,500 - Loans, net 66,402,246 66,873,213 - - 66,873,213 Financial Liabilities: Deposits 83,567,325 83,538,827 - 83,538,827 - Securities sold under agreements to repurchase 113,080 113,080 - 113,080 -

Stock Compensation Plans

Stock Compensation Plans	9 Months Ended
	Sep. 30, 2016
Stock Compensation Plans [Abstract]
STOCK COMPENSATION PLANS	NOTE 7 – STOCK COMPENSATION PLANS On July 26, 2005, the Company adopted the Independence Bancshares, Inc. 2005 Stock Incentive Plan (the “2005 Incentive Plan”) for the benefit of the directors, officers and employees. The 2005 Incentive Plan initially reserved up to 260,626 shares of the Company’s common stock for the issuance of stock options and contained evergreen provision, which provided that the maximum number of shares to be issued under the 2005 Incentive Plan would automatically increase each time the Company issues additional shares of common stock such that the total number of shares issuable under the 2005 Incentive Plan would at all times equal 12.5% of the then outstanding shares of common stock. In February 2013, our board of directors amended the 2005 Incentive Plan to cap the number of shares issuable thereunder at 2,466,720 and adopted the Independence Bancshares, Inc. 2013 Equity Incentive Plan (the “2013 Incentive Plan”) which was subsequently approved by the Company’s shareholders at the 2013 annual shareholders’ meeting. The 2013 Incentive Plan is an omnibus equity incentive plan which provides for the granting of various types of equity compensation awards, including stock options, restricted stock, and stock appreciation rights, to the Company’s employees and directors. As of September 30, 2016 and December 31, 2015, 3,097,255 total options were outstanding at a weighted average price of $1.11. Of the 3,097,255 options outstanding, 3,067,255 options were vested. Compensation expense related to stock options granted was $10,126 and $236,512 for the nine months ended September 30, 2016 and September 30, 2015, respectively. The decrease in compensation expense related to stock options was due to several options becoming fully vested in 2015. The remaining stock options were fully vested in July 2016. Compensation expense is based on the fair value of the option estimated at the date of grant using the Black-Scholes option-pricing model. Compensation expense is recognized on a straight line basis over the vesting period of the option.

Business Segments

Business Segments	9 Months Ended
	Sep. 30, 2016
Business Segments [Abstract]
BUSINESS SEGMENTS	NOTE 8 – BUSINESS SEGMENTS The Company reports its activities as four business segments - Community Banking, Transaction Services, Asset Management and Parent Only as defined in Note 1. In determining proper segment definition, the Company considers the materiality of a potential segment and components of the business about which financial information is available and regularly evaluated, relative to a resource allocation and performance assessment. The following table presents selected financial information for the Company’s reportable business segments for the three and nine months ended September 30, 2016 and 2015. Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the three months ended September 30, 2016 Interest income $ 898,079 $ — $ — $ — $ 898,079 Interest expense 84,999 — — — 84,999 Net interest income 813,080 — — — 813,080 Reversal of provision for loan losses — — — — — Noninterest income 143,678 — — (140) 143,538 Noninterest expense 1,106,287 27,364 (43,664) 227,658 1,317,645 Loss before income taxes (149,529) (27,364) 43,664 (227,798) (361,027) Income taxes — — — — — Net loss $ (149,529) $ (27,364) $ 43,664 $ (227,798) $ (361,027) (1) Excludes equity in earnings of wholly-owned Bank subsidiary. Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the nine months ended September 30, 2016 Interest income $ 2,740,448 $ — $ — $ — $ 2,740,448 Interest expense 243,980 — — — 243,980 Net interest income 2,496,468 — — — 2,496,468 Reversal of provision for loan losses (68,000) — — — (68,000) Noninterest income 428,727 — — (380) 428,347 Noninterest expense 3,421,229 204,554 73,446 740,207 4,439,436 Loss before income taxes (428,034) (204,554) (73,446) (740,587) (1,446,621) Income taxes — — — — — Net income (loss) $ (428,034) $ (204,554) $ (73,446) $ (740,587) $ (1,446,621) (1) Excludes equity in earnings of wholly-owned Bank subsidiary Community Banking Holding Company (2) Eliminations Total As of September 30, 2016 Cash and due from banks $ 5,413,988 $ 1,644,724 $ ( 1,650,301) $ 5,408,411 Federal funds sold 5,809,000 — — 5,809,000 Interest-bearing deposits in other institutions 1,750,000 — — 1,750,000 Investment securities 10,223,300 — — 10,223,300 Loans receivable, net 62,478,299 — — 62,478,299 Other real estate owned 2,322,667 293,142 — 2,615,809 Property and equipment, net 2,020,242 23,561 — 2,043,803 Bank owned life insurance 2,521,199 — — 2,521,199 Other assets 782,021 357,928 — 1,139,949 Total assets $ 93,320,716 $ 2,319,355 $ (1,650,301) $ 93,989,770 Deposits $ 83,407,105 $ — $ (1,650,301) $ 81,756,804 Securities sold under agreements to repurchase 61,820 — — 61,820 Accrued and other 351,664 458,308 — 809,972 Shareholders’ equity 9,500,127 1,861,047 — 11,361,174 Total liabilities and $ 93,320,716 $ 2,319,355 $ (1,650,301) $ 93,989,770 (2) Excludes investment in wholly-owned Bank subsidiary Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the three months ended September 30, 2015 Interest income $ 843,509 $ — $ — $ — $ 843,509 Interest expense 81,144 — — 2,134 83,278 Net interest income 762,365 — — (2,134) 760,231 Reversal of provision for loan losses 150,000 — — — 150,000 Noninterest income (60,783) 64 — (132) (60,851) Noninterest expense 976,577 1,106,707 132,705 341,717 2,557,706 Income (loss) before income taxes (424,995) (1,106,643) (132,705) (343,983) (2,008,326) Income taxes — — — — — Net income (loss) $ (424,995) $ (1,106,643) $ (132,705) $ (343,983) $ (2,008,326) (1) Excludes equity in earnings of wholly-owned Bank subsidiary Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the nine months ended September 30, 2015 Interest income $ 2,703,545 $ — $ — $ — $ 2,703,545 Interest expense 236,847 — — 14,704 251,551 Net interest income 2,466,698 — — (14,704) 2,451,994 Provision for loan losses 150,000 — — — 150,000 Noninterest income 157,928 33,391 — 1,205 192,524 Noninterest expense 3,197,481 2,096,729 129,027 795,435 6,218,672 Income (loss) before income taxes (722,855) (2,063,338) (129,027) (808,934) (3,724,154) Income taxes 5,080 — — — 5,080 Net income (loss) $ (727,935) $ (2,063,338) $ (129,027) $ (808,934) $ (3,729,234) (1) Excludes equity in earnings of wholly-owned Bank subsidiary Community Banking Holding Company (2) Eliminations Total As of September 30, 2015 Cash and due from banks $ 5,996,959 $ 3,646,291 $ (3,662,059) $ 5,981,191 Federal funds sold 11,546,000 — — 11,546,000 Investment securities 12,372,672 — — 12,372,672 Loans receivable, net 64,288,549 — — 64,288,549 Other real estate owned 1,308,900 631,320 — 1,940,220 Property and equipment, 2,065,617 177,490 — 2,243,107 Other assets 785,832 431,238 — 1,217,070 Total assets $ 98,364,529 $ 4,886,339 $ (3,662,059) $ 99,588,809 Deposits $ 88,280,572 $ — $ (3,662,059) $ 84,618,513 Securities sold under agreements to repurchase 23,641 — — 23,641 Accrued and other 151,806 1,188,748 — 1,340,554 Shareholders’ equity 9,908,510 3,697,591 — 13,606,101 Total liabilities and $ 98,364,529 $ 4,886,339 $ (3,662,059) $ 99,588,809 (2) Excludes investment in wholly-owned Bank subsidiary

Note Payable

Note Payable	9 Months Ended
	Sep. 30, 2016
Loans/Note Payable[Abstract]
NOTE PAYABLE	NOTE 9 — NOTE PAYABLE In September 2014, the Company closed a $600,000 one-year borrowing. The loan was provided by a board member of the Bank and as a result needed to comply with Regulation O. Proceeds of the loan were used primarily to fund the research and development effort in the Transaction Services business segment. The loan was collateralized by a first perfected security interest in certain real estate assets of the Company. The loan was fully drawn at closing, and carried an annual interest rate of 7% per annum for the first six months on any outstanding borrowings and then stepped up to 8% per annum for the remaining six months of the term. On March 18, 2015, one of the parcels of real estate was sold and a payment was made on the loan so that the outstanding balance of the loan was $149,774, which was equal to the balance on September 3, 2015. The outstanding balance of $149,774 plus accrued interest was repaid in its entirety on September 3, 2015.

Bank Owned Life Insurance and P

Bank Owned Life Insurance and Pre-Retirement Benefit Plan	9 Months Ended
	Sep. 30, 2016
Bank Owned Life Insurance and Pre-Retirement Benefit Plan [Abstract]
BANK OWNED LIFE INSURANCE AND PRE-RETIREMENT BENEFIT PLAN	NOTE 10 — BANK OWNED LIFE INSURANCE AND PRE-RETIREMENT BENEFIT PLAN In June 2016, the Bank purchased two bank owned life insurance policies with aggregate death benefits of $2,500,000 for investment purposes. The Bank is responsible for paying all premiums and is the owner and beneficiary of the policies. At September 30, 2016, the cash surrender value of these policies was $2,521,199, and as a result $21,199 in income recognized during the period. In connection with the purchase of the bank owned life insurance policies, the Bank offered pre-retirement death benefits to selected employees of the Bank. The policies are not transferrable to the employees and are not impacted by a change in control. The pre-retirement death benefits are indirectly funded by the bank owned life insurance.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 11—SUBSEQUENT EVENTS In October 2016, the Company sold two pieces of real estate for proceeds of $218,577, net of closing costs and accrued expenses. A loss of $74,564 was recognized as a result of this transaction. In October 2016, the Company sold investment securities with a fair value of $10,223,300. A gain of approximately $302,000 was recognized as a result of this transaction.

Summary of Significant Accoun18

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2016
Summary of Significant Accounting Policies [Abstract]
Cash and Cash Equivalents	Cash and Cash Equivalents - For purposes of reporting cash flows, cash and cash equivalents include cash, amounts due from banks and federal funds sold. Generally, federal funds are sold for one-day periods. Due to the short term nature of cash and cash equivalents, the carrying amount of these instruments is deemed to be a reasonable estimate of fair value. At September 30, 2016 and December 31, 2015, the Company had restricted cash totaling $2,000 with the FHLB. The Company places its deposits and correspondent accounts with and sells its federal funds to high quality institutions. Management believes credit risk associated with correspondent accounts is not significant.
Net Loss per Common Share	Net Loss per Common Share - Basic loss per common share represents net loss divided by the weighted average number of common shares outstanding during the period. Diluted loss per share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued. Potential common shares that may be issued by the Company relate to outstanding stock options and warrants and are determined using the treasury stock method. For the three and nine month periods ended September 30, 2016 and September 30, 2015, as a result of the Company’s net loss, all of the potential common shares were considered anti-dilutive.
Research and Development	Research and Development – All costs incurred to establish the technological feasibility of computer software to be sold, leased or otherwise marketed as research and development are expensed as incurred. Once technological feasibility has been established, the subsequent costs of producing, coding and testing the products should be capitalized. The expensing of computer software costs is discontinued when the product is available for general release for customers. The Company did not achieve technological feasibility and therefore expensed all computer software purchases and development expenses related to research and development of its digital banking, payments and transaction services business. On September 25, 2015 the Company suspended the development of its digital banking business.
Fair Value Measurements	Fair Value Measurements - The Company determines the fair market values of its financial instruments based on the fair value hierarchy established in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 820, “Fair Value Measurements and Disclosures” (“ASC Topic 820”), which provides a framework for measuring and disclosing fair value under generally accepted accounting principles. ASC Topic 820 requires disclosures about the fair value of assets and liabilities recognized in the balance sheet in periods subsequent to initial recognition, whether the measurements are made on a recurring basis (for example, available for sale investment securities) or on a nonrecurring basis (for example, impaired loans). ASC Topic 820 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1 – Valuations are based on quoted prices in active markets for identical assets or liabilities. Level 2 – Valuations are based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 – Valuations include unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
Income Taxes	Income Taxes - The Company accounts for income taxes in accordance with FASB ASC Topic 740, “Income Taxes". Deferred tax assets and liabilities are recognized for the expected future tax consequences of events that have been recognized in the consolidated financial statements or tax returns. Deferred tax assets and liabilities are measured using the enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be realized or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established to reduce deferred tax assets if it is determined to be “more likely than not” that all or some portion of the potential deferred tax asset will not be realized. We did not recognize any income tax benefit or expense for the three and nine month periods ended September 30, 2016 due to our net operating loss carryforward position. For the nine month period ended September 30, 2015, we recognized $5,080 in state income tax expense related to our net operating income in 2014 at the Bank. We did not recognize any income tax benefit or expense for the three month period ended September 30, 2015 due to our net loss in 2015 at the Bank. Accounting literature states that a deferred tax asset should be reduced by a valuation allowance if, based on the weight of all available evidence, it is more likely than not (a likelihood of more than 50%) that some portion or the entire deferred tax asset will not be realized. The determination of whether a deferred tax asset is realizable is based on weighting all available evidence, including both positive and negative evidence. In making such judgments, significant weight is given to evidence that can be objectively verified. We will continue to analyze our deferred tax assets and related valuation allowance on a quarterly basis, taking into account performance compared to forecasted earnings as well as current economic and internal information. The Company believes that its income tax filing positions taken or expected to be taken in its tax returns will more likely than not be sustained upon audit by the taxing authorities, and does not anticipate any adjustments that will result in a material adverse impact on the Company’s financial condition, results of operations, or cash flows. Therefore, no reserves for uncertain income tax positions have been recorded pursuant to ASC 740.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements - The following is a summary of recent authoritative pronouncements that may affect our accounting, reporting, and disclosure of financial information: In May 2014 and August 2015, the FASB issued guidance to change the recognition of revenue from contracts with customers. The core principle of the new guidance is that an entity should recognize revenue to reflect the transfer of goods and services to customers in an amount equal to the consideration the entity receives or expects to receive. In March 2016, the guidance was amended to clarify the implementation guidance on principal versus agent considerations and address how an entity should assess whether it is the principal or the agent in contracts that include three or more parties. In May 2016, the topic was amended again to clarify the guidance related to collectability, noncash consideration, presentation of sales tax, and transition. The guidance and amendments will be effective for the Company for reporting periods beginning after December 15, 2017. The Company will apply the guidance using a modified retrospective approach. The Company does not expect these amendments to have a material effect on its financial statements. In January 2015, the FASB issued guidance to eliminate from the U.S. GAAP the concept of an extraordinary item, which is an event or transaction that is both (1) unusual in nature and (2) infrequently occurring. Under the new guidance, an entity will no longer (1) segregate an extraordinary item from the results of ordinary operations; (2) separately present an extraordinary item on its income statement, net of tax, after income from continuing operations; or (3) disclose income taxes and earnings-per-share data applicable to an extraordinary item. The amendments will be effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The Company will apply the guidance prospectively to all prior periods presented in the financial statements. These amendments have not had a material effect on the Company’s financial statements. In February 2015, the FASB issued guidance which amends the consolidation requirements and significantly changes the consolidation analysis required under the U.S. GAAP. Although the amendments are expected to result in the deconsolidation of many entities, the Company will need to reevaluate all its previous consolidation conclusions. The amendments will be effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted (included during an interim period), provided that the guidance is applied as of the beginning of the annual period containing the adoption date. These amendments have not had a material effect on the Company’s financial statements. In August 2015, the FASB issued amendments to the Interest topic of the Accounting Standards Codification to clarify the SEC staff’s position on presenting and measuring debt issuance costs incurred in connection with line-of-credit arrangements. The amendments were effective upon issuance and have not had a material effect on the Company’s financial statements. In January 2016, the FASB amended the Financial Instruments topic of the ASC to address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. The amendments will be effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The amendments related to equity securities without readily determinable fair values will be applied prospectively to equity investments that exist as of the date of adoption of the amendments. The Company does not expect these amendments to have a material effect on its financial statements. In February 2016, the FASB amended the Leases topic of the ASC to revise certain aspects of recognition, measurement, presentation, and disclosure of leasing transactions. The amendments will be effective for fiscal years beginning December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the effect that implementation of the new standard will have on its financial position, results of operations, and cash flows. In March 2016, the FASB issued guidance to simplify several aspects of the accounting for share-based payment award transactions including the income tax consequences, the classification of awards as either equity or liabilities, and the classification on the statement of cash flows. Additionally, the guidance simplifies two areas specific to entities other than public business entities allowing them to apply a practical expedient to estimate the expected term for all awards with performance or service conditions that have certain characteristics and also allowing them to make a one-time election to switch from measuring all liability-classified awards at fair value to measuring them at intrinsic value. The amendments will be effective for the Company for annual periods beginning after December 15, 2016. The Company does not expect these amendments to have a material effect on its financial statements. In June 2016, the FASB issued guidance to change the accounting for credit losses and modify the impairment model for certain debt securities. The amendments will be effective for the Company for reporting periods beginning after December 15, 2019. The Company is currently evaluating the effect that implementation of the new standard will have on its financial position, results of operations, and cash flows. In August 2016, the FASB amended the Statement of Cash Flows topic of the Accounting Standards Codification to clarify how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments will be effective for the Company for fiscal years beginning after December 15, 2017 including interim periods within those years. The Company does not expect these amendments to have a material effect on its financial statements. Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies are not expected to have a material impact on the Company’s financial position, results of operations or cash flows.

Investment Securities (Tables)

Investment Securities (Tables)	9 Months Ended
	Sep. 30, 2016
Investment Securities [Abstract]
Schedule of amortized costs and fair values of investment securities available for sale	September 30, 2016 Amortized Gross Unrealized Fair Cost Gains Losses Value Government-sponsored mortgage-backed $ 3,660,290 $ 95,649 $ (10,121) $ 3,745,818 Municipals, tax-exempt 4,856,478 250,422 (2,173) 5,104,727 Municipals, taxable 1,301,446 71,309 - 1,372,755 Total investment securities $ 9,818,214 $ 417,380 $ (12,294) $ 10,223,300 December 31, 2015 Amortized Gross Unrealized Fair Cost Gains Losses Value Government-sponsored mortgage-backed $ 4,290,680 $ 66,350 $ (44,581) $ 4,312,449 Municipals, tax-exempt 4,916,379 140,335 (17,267) 5,039,447 Municipals, taxable 1,308,298 27,657 - 1,335,955 Total investment securities $ 10,515,357 $ 234,342 $ (61,848) $ 10,687,851
Schedule of securities with unrealized losses	Securities in an Unrealized Securities in an Unrealized Loss Position for Less than Loss Position for More than 12 Months 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses Government-sponsored mortgage-backed $ - $ - $ 709,955 $ 10,121 $ 709,955 $ 10,121 Municipals, tax-exempt 322,119 2,173 - - 322,119 2,173 Total temporarily impaired securities $ 322,119 $ 2,173 $ 709,955 $ 10,121 $ 1,032,074 $ 12,294 Securities in an Unrealized Securities in an Unrealized Loss Position for Less than Loss Position for More than 12 Months 12 Months Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses Government-sponsored mortgage-backed $ 627,542 $ 5,569 $ 764,462 $ 39,012 $ 1,392,004 $ 44,581 Municipals, tax-exempt 323,796 6,249 1,074,440 11,018 1,398,236 17,267 Total temporarily impaired securities $ 951,338 $ 11,818 $ 1,838,902 $ 50,030 $ 2,790,240 $ 61,848
Schedule of amortized costs and fair values of investment securities available for sale by contractual maturity	September 30, 2016 Amortized Fair Cost Value Due within one year $ — $ — Due after one through three years — — Due after three through five years — — Due after five through ten years 1,301,446 1,372,755 Due after ten years 8,516,768 8,850,545 Total investment securities $ 9,818,214 $ 10,223,300

Loans (Tables)

Loans (Tables)	9 Months Ended
	Sep. 30, 2016
Loans/Note Payable[Abstract]
Summary of delinquencies and nonaccruals, by portfolio class	Single and multifamily Construction Commercial residential and real estate - Commercial real estate development other business Consumer Total September 30, 2016 30-59 days past due $ - $ - $ - $ 90,135 $ 500 $ 90,635 60-89 days past due - - - - - - Nonaccrual 138,045 - 193,188 - - 331,233 Total past due and nonaccrual 138,045 - 193,188 90,135 500 421,868 Current 12,968,165 8,664,401 23,438,325 16,221,319 1,811,017 63,103,227 Total loans (gross of $ 13,106,210 $ 8,664,401 $ 23,631,513 $ 16,311,454 $ 1,811,517 $ 63,525,095 deferred fees) Deferred fees (193,659) Loan loss reserve (853,137) Total Loans, net $ 62,478,299 Single and multifamily Construction Commercial residential and real estate - Commercial real estate development other business Consumer Total December 31, 2015 30-59 days past due $ 75,890 $ - $ - $ - $ - $ 75,890 60-89 days past due 63,702 250,378 - - - 314,080 Nonaccrual 168,879 40,500 1,390,013 65,798 - 1,655,190 Total past due and nonaccrual 308,471 290,878 1,390,013 65,798 - 2,055,160 Current 16,126,251 6,995,581 24,169,930 16,961,256 1,369,224 65,622,242 Total loans (gross of $ 16,434,722 $ 7,286,459 $ 25,559,943 $ 17,027,054 $ 1,369,224 $ 67,677,402 deferred fees) Deferred fees (135,647) Loan loss reserve (1,139,509) Total Loans, net $ 66,402,246
Summarizes management's internal credit risk grades, by portfolio class	Single and multifamily Construction Commercial residential and real estate - Commercial September 30, 2016 real estate development other business Consumer Total Pass Loans $ 8,166,976 $ 2,410,426 $ - $ - $ 1,811,517 $ 12,388,919 Grade 1 - Prime - - - - - - Grade 2 - Good - - - - - - Grade 3 - Acceptable 1,974,683 2,081,541 11,939,247 8,131,777 - 24,127,248 Grade 4 – Acceptable w/ Care 2,764,069 4,101,457 11,499,078 7,125,434 - 25,490,038 Grade 5 – Special Mention 62,437 70,977 - 831,026 - 964,440 Grade 6 - Substandard 138,045 - 193,188 223,217 - 554,450 Grade 7 - Doubtful - - - - - - Total loans (gross of $ 13,106,210 $ 8,664,401 $ 23,631,513 $ 16,311,454 $ 1,811,517 $ 63,525,095 deferred fees) Single and multifamily Construction Commercial residential and real estate - Commercial December 31, 2015 real estate development other business Consumer Total Pass Loans $ 8,340,816 $ 1,350,332 $ - $ - $ 1,369,224 $ 11,060,372 Grade 1 - Prime - - - - - - Grade 2 - Good - - - - - - Grade 3 - Acceptable 4,479,116 809,004 8,121,125 7,667,706 - 21,076,951 Grade 4 – Acceptable w/ Care 3,382,209 4,759,864 14,724,468 8,199,385 - 31,065,926 Grade 5 – Special Mention 63,702 76,381 611,189 846,106 - 1,597,378 Grade 6 - Substandard 168,879 290,878 2,103,161 313,857 - 2,876,775 Grade 7 - Doubtful - - - - - - Total loans (gross of $ 16,434,722 $ 7,286,459 $ 25,559,943 $ 17,027,054 $ 1,369,224 $ 67,677,402 deferred fees)
Summarizes information relative to impaired loans, by portfolio class	Unpaid Average Year to date principal Recorded Related impaired interest balance investment allowance investment income September 30, 2016 With no related allowance recorded: Single and multifamily residential real estate $ - $ - $ - $ 205,715 $ - Construction and development - - - 123,137 5,191 Commercial real estate - other 788,098 788,098 - 659,162 20,907 Commercial business 242,646 242,646 - 91,669 18,123 With related allowance recorded: Single and multifamily residential real estate 200,483 200,483 101,283 220,816 2,457 Construction and development - - - 126,353 - Commercial real estate - other 193,188 193,188 28,188 580,095 - Commercial business - - - 9,070 - Total: Single and multifamily residential real estate 200,483 200,483 101,283 426,531 2,457 Construction and development - - - 249,490 5,191 Commercial real estate - other 981,286 981,286 28,188 1,239,257 20,907 Commercial business 242,646 242,646 - 100,739 18,123 $ 1,424,415 $ 1,424,415 $ 129,471 $ 2,016,017 $ 46,678 December 31, 2015 With no related allowance recorded: Single and multifamily residential real estate $ - $ - $ - $ 411,430 $ 21,667 Construction and development - - - 177,047 - Commercial real estate - other 905,968 905,968 - 415,488 29,423 Commercial business - - - 62,015 - With related allowance recorded: Single and multifamily residential real estate 236,938 236,938 163,138 270,668 - Construction and development 40,500 40,500 10,500 239,206 727 Commercial real estate - other 1,197,193 1,197,193 201,793 805,654 46,761 Commercial business - - - 18,139 2,119 Total: Single and multifamily residential real estate 236,938 236,938 163,138 682,098 21,667 Construction and development 40,500 40,500 10,500 416,253 727 Commercial real estate - other 2,103,161 2,103,161 201,793 1,221,142 76,184 Commercial business - - - 80,154 2,119 $ 2,380,599 $ 2,380,599 $ 375,431 $ 2,399,647 $ 100,697
Schedule of activity related to allowance for loan losses	Single and multifamily Construction Commercial residential and real estate - Commercial real estate development other business Consumer Total September 30, 2016 Allowance for loan losses: Balance, beginning of period $ 265,797 $ 184,130 $ 439,830 $ 244,679 $ 5,073 $ 1,139,509 Provision (reversal of provision) for (30,000) (60,000) 45,000 (28,000) 5,000 (68,000) loan losses Loan charge-offs - (10,500) (209,045) - (139) (219,684) Loan recoveries - - - - 1,312 1,312 Net loans charged-off - (10,500) (209,045) - 1,173 (218,372) Balance, end of period $ 235,797 $ 113,630 $ 275,785 $ 216,679 $ 11,246 $ 853,137 Individually reviewed for impairment $ 101,283 $ - $ 28,188 $ - $ - $ 129,471 Collectively reviewed for impairment 134,514 113,630 247,597 216,679 11,246 723,666 Total allowance for loan losses $ 235,797 $ 113,630 $ 275,785 $ 216,679 $ 11,246 $ 853,137 Gross loans, end of period: Individually reviewed for impairment $ 200,483 $ - $ 981,286 $ 242,646 $ - $ 1,424,415 Collectively reviewed for impairment 12,905,727 8,664,401 22,650,227 16,068,808 1,811,517 62,100,680 Total loans (gross of deferred fees) $ 13,106,210 $ 8,664,401 $ 23,631,513 $ 16,311,454 $ 1,811,517 $ 63,525,095 September 30, 2015 Allowance for loan losses: Balance, beginning of year $ 160,797 $ 234,130 $ 363,097 $ 184,679 $ 90,073 $ 1,032,776 Provision (reversal of provision) for 105,000 (50,000) 120,000 60,000 (85,000) 150,000 loan losses Loan charge-offs - - (43,267) - - (43,267) Loan recoveries - - - - - - Net loans charged-off - - (43,267) - - (43,267) Balance, end of period $ 265,797 $ 184,130 $ 439,830 $ 244,679 $ 5,073 $ 1,139,509 Individually reviewed for impairment $ 158,529 $ 9,867 $ 212,836 $ 20,958 $ - $ 402,190 Collectively reviewed for impairment 107,268 174,263 226,994 223,721 5,073 737,319 Total allowance for loan losses $ 265,797 $ 184,130 $ 439,830 $ 244,679 $ 5,073 $ 1,139,509 Gross loans, end of period: Individually reviewed for impairment $ 951,429 $ 39,867 $ 2,111,886 $ 82,352 $ - $ 3,185,534 Collectively reviewed for impairment 16,141,243 7,656,202 21,584,909 16,469,948 1,348,721 62,378,123 Total loans (gross of deferred fees) $ 16,299,772 $ 7,666,069 $ 23,696,795 $ 16,552,300 $ 1,348,721 $ 65,563,657
Schedule of non accrual loan activities	September September 30, 2016 30, 2015 Nonaccrual loans $ 331,233 $ 2,461,342 Average gross loans $ 64,628,769 $ 66,974,277 Net loans charged-off as a percentage of average gross loans 0.34% 0.01% Allowance for loan losses as a percentage of total gross 1.34% 1.74% loans Allowance for loan losses as a percentage of non-accrual 257.56% 0.46% loans
Schedule of loan maturity distribution by type and related interest rate	After one but One year or within five After five less years years Total September 30, 2016 Single and multifamily residential real estate $ 1,576,246 $ 6,640,725 $ 4,889,239 $ 13,106,210 Construction and development 2,560,990 5,564,125 539,286 8,664,401 Commercial real estate - other 3,396,392 18,289,695 1,945,426 23,631,513 Commercial business 4,568,492 11,159,120 583,842 16,311,454 Consumer 911,206 818,435 81,876 1,811,517 Total $ 13,016,326 $ 42,472,100 $ 8,039,669 $ 63,525,095 After one but One year or within five After five less years years Total December 31, 2015 Single and multifamily residential real estate $ 4,107,456 $ 7,977,523 $ 4,349,743 $ 16,434,722 Construction and development 2,850,334 3,915,218 520,907 7,286,459 Commercial real estate - other 5,740,738 17,556,599 2,262,606 25,559,943 Commercial business 5,170,004 11,334,906 522,144 17,027,054 Consumer 551,733 749,455 68,036 1,369,224 Total $ 18,420,265 $ 41,533,701 $ 7,723,436 $ 67,677,402 Loans maturing after one year with: September 30, 2016 December 31, 2015 Fixed interest rates $ 17,935,580 $ 16,892,651 Floating interest rates $ 32,576,189 $ 32,364,486

Fair Value (Tables)

Fair Value (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value [Abstract]
Fair value assets measured on non recurring basis unobservable inputs	Fair Value at September Significant Description 30, 2016 Valuation Technique Unobservable Inputs Other real estate owned and repossessed assets $ 2,615,809 Appraised value Discounts to reflect current Impaired loans $ 1,294,944 Internal assessment based on Adjustments to estimated Fair Value at December 31, Significant Description 2015 Valuation Technique Unobservable Inputs Other real estate owned and repossessed assets $ 1,910,220 Appraised value Discounts to reflect current Impaired loans $ 2,005,168 Internal assessment Adjustments to estimated
Estimated fair values of the Company's financial instruments	Carrying September 30, 2016 Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 5,408,411 $ 5,408,411 $ 5,408,411 - - Interest bearing deposits in other institutions 1,750,000 1,750,000 - 1,750,000 - Federal funds sold 5,809,000 5,809,000 5,809,000 - - Investment securities available for sale 10,223,300 10,223,300 - 10,223,300 - Non-marketable equity securities 380,050 380,050 - 380,050 - Loans, net 62,478,299 62,668,293 - - 62,668,293 Bank owned life insurance 2,521,199 2,521,199 - 2,521,199 - Financial Liabilities: Deposits 81,756,804 81,728,119 - 81,728,119 - Securities sold under agreements to repurchase 61,820 61,820 - 61,820 - Carrying December 31, 2015 Amount Fair Value Level 1 Level 2 Level 3 Financial Assets: Cash and due from banks $ 5,453,795 $ 5,453,795 $ 5,453,795 $ - $ - Interest-bearing deposits in other institutions 1,500,000 1,500,000 - 1,500,000 - Federal funds sold 8,446,000 8,446,000 8,446,000 - - Investment securities available for sale 10,687,851 10,687,851 - 10,687,851 - Non-marketable equity securities 392,500 392,500 - 392,500 - Loans, net 66,402,246 66,873,213 - - 66,873,213 Financial Liabilities: Deposits 83,567,325 83,538,827 - 83,538,827 - Securities sold under agreements to repurchase 113,080 113,080 - 113,080 -

Business Segments (Tables)

Business Segments (Tables)	9 Months Ended
	Sep. 30, 2016
Business Segments [Abstract]
Summary of selected financial information for company's reportable business segments	Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the three months ended September 30, 2016 Interest income $ 898,079 $ — $ — $ — $ 898,079 Interest expense 84,999 — — — 84,999 Net interest income 813,080 — — — 813,080 Reversal of provision for loan losses — — — — — Noninterest income 143,678 — — (140) 143,538 Noninterest expense 1,106,287 27,364 (43,664) 227,658 1,317,645 Loss before income taxes (149,529) (27,364) 43,664 (227,798) (361,027) Income taxes — — — — — Net loss $ (149,529) $ (27,364) $ 43,664 $ (227,798) $ (361,027) (1) Excludes equity in earnings of wholly-owned Bank subsidiary. Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the nine months ended September 30, 2016 Interest income $ 2,740,448 $ — $ — $ — $ 2,740,448 Interest expense 243,980 — — — 243,980 Net interest income 2,496,468 — — — 2,496,468 Reversal of provision for loan losses (68,000) — — — (68,000) Noninterest income 428,727 — — (380) 428,347 Noninterest expense 3,421,229 204,554 73,446 740,207 4,439,436 Loss before income taxes (428,034) (204,554) (73,446) (740,587) (1,446,621) Income taxes — — — — — Net income (loss) $ (428,034) $ (204,554) $ (73,446) $ (740,587) $ (1,446,621) (1) Excludes equity in earnings of wholly-owned Bank subsidiary Community Banking Holding Company (2) Eliminations Total As of September 30, 2016 Cash and due from banks $ 5,413,988 $ 1,644,724 $ ( 1,650,301) $ 5,408,411 Federal funds sold 5,809,000 — — 5,809,000 Interest-bearing deposits in other institutions 1,750,000 — — 1,750,000 Investment securities 10,223,300 — — 10,223,300 Loans receivable, net 62,478,299 — — 62,478,299 Other real estate owned 2,322,667 293,142 — 2,615,809 Property and equipment, net 2,020,242 23,561 — 2,043,803 Bank owned life insurance 2,521,199 — — 2,521,199 Other assets 782,021 357,928 — 1,139,949 Total assets $ 93,320,716 $ 2,319,355 $ (1,650,301) $ 93,989,770 Deposits $ 83,407,105 $ — $ (1,650,301) $ 81,756,804 Securities sold under agreements to repurchase 61,820 — — 61,820 Accrued and other 351,664 458,308 — 809,972 Shareholders’ equity 9,500,127 1,861,047 — 11,361,174 Total liabilities and $ 93,320,716 $ 2,319,355 $ (1,650,301) $ 93,989,770 (2) Excludes investment in wholly-owned Bank subsidiary Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the three months ended September 30, 2015 Interest income $ 843,509 $ — $ — $ — $ 843,509 Interest expense 81,144 — — 2,134 83,278 Net interest income 762,365 — — (2,134) 760,231 Reversal of provision for loan losses 150,000 — — — 150,000 Noninterest income (60,783) 64 — (132) (60,851) Noninterest expense 976,577 1,106,707 132,705 341,717 2,557,706 Income (loss) before income taxes (424,995) (1,106,643) (132,705) (343,983) (2,008,326) Income taxes — — — — — Net income (loss) $ (424,995) $ (1,106,643) $ (132,705) $ (343,983) $ (2,008,326) (1) Excludes equity in earnings of wholly-owned Bank subsidiary Holding Company Community Transaction Asset Parent Banking Services Management Only (1) Total For the nine months ended September 30, 2015 Interest income $ 2,703,545 $ — $ — $ — $ 2,703,545 Interest expense 236,847 — — 14,704 251,551 Net interest income 2,466,698 — — (14,704) 2,451,994 Provision for loan losses 150,000 — — — 150,000 Noninterest income 157,928 33,391 — 1,205 192,524 Noninterest expense 3,197,481 2,096,729 129,027 795,435 6,218,672 Income (loss) before income taxes (722,855) (2,063,338) (129,027) (808,934) (3,724,154) Income taxes 5,080 — — — 5,080 Net income (loss) $ (727,935) $ (2,063,338) $ (129,027) $ (808,934) $ (3,729,234) (1) Excludes equity in earnings of wholly-owned Bank subsidiary Community Banking Holding Company (2) Eliminations Total As of September 30, 2015 Cash and due from banks $ 5,996,959 $ 3,646,291 $ (3,662,059) $ 5,981,191 Federal funds sold 11,546,000 — — 11,546,000 Investment securities 12,372,672 — — 12,372,672 Loans receivable, net 64,288,549 — — 64,288,549 Other real estate owned 1,308,900 631,320 — 1,940,220 Property and equipment, 2,065,617 177,490 — 2,243,107 Other assets 785,832 431,238 — 1,217,070 Total assets $ 98,364,529 $ 4,886,339 $ (3,662,059) $ 99,588,809 Deposits $ 88,280,572 $ — $ (3,662,059) $ 84,618,513 Securities sold under agreements to repurchase 23,641 — — 23,641 Accrued and other 151,806 1,188,748 — 1,340,554 Shareholders’ equity 9,908,510 3,697,591 — 13,606,101 Total liabilities and $ 98,364,529 $ 4,886,339 $ (3,662,059) $ 99,588,809 (2) Excludes investment in wholly-owned Bank subsidiary

Liquidity and Capital Conside23

Liquidity and Capital Considerations (Details) - USD ($)	1 Months Ended	9 Months Ended
	Dec. 31, 2015	Sep. 30, 2016	Sep. 30, 2015
Liquidity and Capital Considerations (Textual)
Cash balances	$ 2,900,000	$ 1,600,000
Real estate held for sale	$ 631,320	293,142
Decrease in liquid assets		(2,682,384)	$ 6,623,111
Cash and federal funds sold		11,200,000
Investment securities available for sale		$ 10,200,000
Percentage of investment securitites available for sale		10.90%
Pledged outstanding debt		$ 2,400,000
Additional borrowings		35,900,000
Pledges collateral federal reserve bank borrower custody		16,500,000
Federal funds purchased		5,500,000
Accrued Liabilities [Member]
Liquidity and Capital Considerations (Textual)
Decrease in liquid assets		1,300,000
Professional fees and data processing expenses [Member]
Liquidity and Capital Considerations (Textual)
Decrease in liquid assets		741,000
Transaction services [Member]
Liquidity and Capital Considerations (Textual)
Decrease in liquid assets		205,000
Asset management [Member]
Liquidity and Capital Considerations (Textual)
Decrease in liquid assets		$ 73,000
Investment securities [Member]
Liquidity and Capital Considerations (Textual)
Percentage liquidity ratio	26.70%	24.70%

Summary of Significant Accoun24

Summary of Significant Accounting Policies (Details) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2016	Dec. 31, 2015
Summary of Significant Accounting Policies (Textual)
Restricted cash		$ 2,000	$ 2,000
Income tax expense	$ 5,080

Investment Securities (Details)

Investment Securities (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Available-for-sale Securities [Abstract]
Amortized cost	$ 9,818,214	$ 10,515,357
Gross Unrealized Gains	417,380	234,342
Gross Unrealized Losses	(12,294)	(61,848)
Fair Value	10,223,300	10,687,851
Government-sponsored mortgage-backed [Member]
Available-for-sale Securities [Abstract]
Amortized cost	3,660,290	4,290,680
Gross Unrealized Gains	95,649	66,350
Gross Unrealized Losses	(10,121)	(44,581)
Fair Value	3,745,818	4,312,449
Municipals, tax-exempt [Member]
Available-for-sale Securities [Abstract]
Amortized cost	4,856,478	4,916,379
Gross Unrealized Gains	250,422	140,335
Gross Unrealized Losses	(2,173)	(17,267)
Fair Value	5,104,727	5,039,447
Municipals, taxable [Member]
Available-for-sale Securities [Abstract]
Amortized cost	1,301,446	1,308,298
Gross Unrealized Gains	71,309	27,657
Gross Unrealized Losses
Fair Value	$ 1,372,755	$ 1,335,955

Investment Securities (Details

Investment Securities (Details 1) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Available-for-sale Securities [Abstract]
Securities Fair Value Loss Position for Less than 12 Months	$ 322,000	$ 951,000
Securities Unrealized losses Loss Position, Less than 12 Months	2,173	11,818
Securities Fair Value Loss Position for More than 12 Months	710,000	1,800,000
Securities Unrealized Losses Loss Position, More than 12 Months	10,121	50,030
Total Fair Value	1,032,074	2,790,240
Total Unrealized Losses	12,294	61,848
Government-sponsored mortgage-backed [Member]
Available-for-sale Securities [Abstract]
Securities Fair Value Loss Position for Less than 12 Months		627,542
Securities Unrealized losses Loss Position, Less than 12 Months		5,569
Securities Fair Value Loss Position for More than 12 Months	709,955	764,462
Securities Unrealized Losses Loss Position, More than 12 Months	10,121	39,012
Total Fair Value	709,955	1,392,004
Total Unrealized Losses	10,121	44,581
Municipals, tax-exempt [Member]
Available-for-sale Securities [Abstract]
Securities Fair Value Loss Position for Less than 12 Months	322,119	323,796
Securities Unrealized losses Loss Position, Less than 12 Months	2,173	6,249
Securities Fair Value Loss Position for More than 12 Months		1,074,440
Securities Unrealized Losses Loss Position, More than 12 Months		11,018
Total Fair Value	322,119	1,398,236
Total Unrealized Losses	$ 2,173	$ 17,267

Investment Securities (Detail27

Investment Securities (Details 2) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Amortized costs and fair values of investment securities available for sale by contractual maturity
Due within one year, Amortized Cost
Due after one through three years, Amortized Cost
Due after three through five years, Amortized Cost
Due after five through ten years, Amortized Cost	1,301,446
Due after ten years, Amortized Cost	8,516,768
Total investment securities, Amortized Cost	9,818,214
Due within one year, Fair Value
Due after one through three years, Fair Value
Due after three through five years, Fair Value
Due after five through ten years, Fair Value	1,372,755
Due after ten years, Fair Value	8,850,545
Total investment securities, Fair Value	$ 10,223,300	$ 10,687,851

Investment Securities (Detail28

Investment Securities (Details Textual) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Investment Securities (Textual)
Investment securities, fair value for continuous loss position for less than twelve months	$ 322,000	$ 951,000
Securities Unrealized losses Loss Position, Less than 12 Months	2,173	11,818
Investment securities, fair value for more than one year	710,000	1,800,000
Investment securities, unrealized loss for more than one year	$ 10,121	$ 50,030

Loans (Details)

Loans (Details) - USD ($)	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015	Dec. 31, 2014
Summary of delinquencies and nonaccruals, by portfolio class
30-59 days past due	$ 90,635	$ 75,890
60-89 days past due		314,080
Nonaccrual	331,233	1,655,190	$ 2,461,342
Total past due and nonaccrual	421,868	2,055,160
Current	63,103,227	65,622,242
Total loans (gross of deferred fees)	63,525,095	67,677,402	65,563,657
Deferred fees	(193,659)	(135,647)
Loan loss reserve	853,137	1,139,509	1,139,509	$ 1,032,776
Total Loans, net	62,478,299	66,402,246
Single and multifamily residential real estate [Member]
Summary of delinquencies and nonaccruals, by portfolio class
30-59 days past due		75,890
60-89 days past due		63,702
Nonaccrual	138,045	168,879
Total past due and nonaccrual	138,045	308,471
Current	12,968,165	16,126,251
Total loans (gross of deferred fees)	13,106,210	16,434,722	16,299,772
Loan loss reserve	235,797	265,797	265,797	160,797
Construction and development [Member]
Summary of delinquencies and nonaccruals, by portfolio class
30-59 days past due
60-89 days past due		250,378
Nonaccrual		40,500
Total past due and nonaccrual		290,878
Current	8,664,401	6,995,581
Total loans (gross of deferred fees)	8,664,401	7,286,459	7,666,069
Loan loss reserve	113,630	184,130	184,130	234,130
Commercial real estate - other [Member]
Summary of delinquencies and nonaccruals, by portfolio class
30-59 days past due
60-89 days past due
Nonaccrual	193,188	1,390,013
Total past due and nonaccrual	193,188	1,390,013
Current	23,438,325	24,169,930
Total loans (gross of deferred fees)	23,631,513	25,559,943	23,696,795
Loan loss reserve	275,785	439,830	439,830	363,097
Commercial business [Member]
Summary of delinquencies and nonaccruals, by portfolio class
30-59 days past due	90,135
60-89 days past due
Nonaccrual		65,798
Total past due and nonaccrual	90,135	65,798
Current	16,221,319	16,961,256
Total loans (gross of deferred fees)	16,311,454	17,027,054	16,552,300
Loan loss reserve	216,679	244,679	244,679	184,679
Consumer [Member]
Summary of delinquencies and nonaccruals, by portfolio class
30-59 days past due	500
60-89 days past due
Nonaccrual
Total past due and nonaccrual	500
Current	1,811,017	1,369,224
Total loans (gross of deferred fees)	1,811,517	1,369,224	1,348,721
Loan loss reserve	$ 11,246	$ 5,073	$ 5,073	$ 90,073

Loans (Details 1)

Loans (Details 1) - USD ($)	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	$ 63,525,095	$ 67,677,402	$ 65,563,657
Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	13,106,210	16,434,722	16,299,772
Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	8,664,401	7,286,459	7,666,069
Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	23,631,513	25,559,943	23,696,795
Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	16,311,454	17,027,054	16,552,300
Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	1,811,517	1,369,224	$ 1,348,721
Pass Loans [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	12,388,919	11,060,372
Pass Loans [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	8,166,976	8,340,816
Pass Loans [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	2,410,426	1,350,332
Pass Loans [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Pass Loans [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Pass Loans [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	1,811,517	1,369,224
Grade 1 - Prime [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 1 - Prime [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 1 - Prime [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 1 - Prime [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 1 - Prime [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 1 - Prime [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 2 - Good [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 2 - Good [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 2 - Good [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 2 - Good [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 2 - Good [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 2 - Good [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 3 - Acceptable [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	24,127,248	21,076,951
Grade 3 - Acceptable [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	1,974,683	4,479,116
Grade 3 - Acceptable [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	2,081,541	809,004
Grade 3 - Acceptable [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	11,939,247	8,121,125
Grade 3 - Acceptable [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	8,131,777	7,667,706
Grade 3 - Acceptable [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 4 - Acceptable w/Care [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	25,490,038	31,065,926
Grade 4 - Acceptable w/Care [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	2,764,069	3,382,209
Grade 4 - Acceptable w/Care [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	4,101,457	4,759,864
Grade 4 - Acceptable w/Care [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	11,499,078	14,724,468
Grade 4 - Acceptable w/Care [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	7,125,434	8,199,385
Grade 4 - Acceptable w/Care [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 5 - Special Mention [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	964,440	1,597,378
Grade 5 - Special Mention [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	62,437	63,702
Grade 5 - Special Mention [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	70,977	76,381
Grade 5 - Special Mention [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)		611,189
Grade 5 - Special Mention [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	831,026	846,106
Grade 5 - Special Mention [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 6 - Substandard [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	554,450	2,876,775
Grade 6 - Substandard [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	138,045	168,879
Grade 6 - Substandard [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)		290,878
Grade 6 - Substandard [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	193,188	2,103,161
Grade 6 - Substandard [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)	223,217	313,857
Grade 6 - Substandard [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 7 - Doubtful [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 7 - Doubtful [Member] | Single and multifamily residential real estate [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 7 - Doubtful [Member] | Construction and development [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 7 - Doubtful [Member] | Commercial real estate - other [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 7 - Doubtful [Member] | Commercial business [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)
Grade 7 - Doubtful [Member] | Consumer [Member]
Summary of management's internal credit risk grades
Total loans (gross of deferred fees)

Loans (Details 2)

Loans (Details 2) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Summary of information relative to impaired loans, by portfolio class
Total, Unpaid principal balance	$ 1,424,415	$ 2,380,599
Total, Recorded investment	1,424,415	2,380,599
Total, Related allowance	129,471	375,431
Total, Average impaired investment	2,016,017	2,399,647
Total, Interest income	46,678	100,697
Single and multifamily residential real estate [Member]
Summary of information relative to impaired loans, by portfolio class
With no related allowance recorded, Unpaid principal balance
With no related allowance recorded, Recorded investment
With no related allowance, Related allowance
With no related allowance recorded, Average impaired investment	205,715	411,430
With no related allowance recorded, Interest income		21,667
With related allowance recorded, Unpaid principal balance	200,483	236,938
With related allowance recorded, Recorded investment	200,483	236,938
With related allowance recorded, Related allowance	101,283	163,138
With related allowance recorded, Average impaired investment	220,816	270,668
With related allowance recorded, Interest income	2,457
Total, Unpaid principal balance	200,483	236,938
Total, Recorded investment	200,483	236,938
Total, Related allowance	101,283	163,138
Total, Average impaired investment	426,531	682,098
Total, Interest income	2,457	21,667
Construction and development [Member]
Summary of information relative to impaired loans, by portfolio class
With no related allowance recorded, Unpaid principal balance
With no related allowance recorded, Recorded investment
With no related allowance, Related allowance
With no related allowance recorded, Average impaired investment	123,137	177,047
With no related allowance recorded, Interest income	5,191
With related allowance recorded, Unpaid principal balance		40,500
With related allowance recorded, Recorded investment		40,500
With related allowance recorded, Related allowance		10,500
With related allowance recorded, Average impaired investment	126,353	239,206
With related allowance recorded, Interest income		727
Total, Unpaid principal balance		40,500
Total, Recorded investment		40,500
Total, Related allowance		10,500
Total, Average impaired investment	249,490	416,253
Total, Interest income	5,191	727
Commercial real estate - other [Member]
Summary of information relative to impaired loans, by portfolio class
With no related allowance recorded, Unpaid principal balance	788,098	905,968
With no related allowance recorded, Recorded investment	788,098	905,968
With no related allowance, Related allowance
With no related allowance recorded, Average impaired investment	659,162	415,488
With no related allowance recorded, Interest income	20,907	29,423
With related allowance recorded, Unpaid principal balance	193,188	1,197,193
With related allowance recorded, Recorded investment	193,188	1,197,193
With related allowance recorded, Related allowance	28,188	201,793
With related allowance recorded, Average impaired investment	580,095	805,654
With related allowance recorded, Interest income		46,761
Total, Unpaid principal balance	981,286	2,103,161
Total, Recorded investment	981,286	2,103,161
Total, Related allowance	28,188	201,793
Total, Average impaired investment	1,239,257	1,221,142
Total, Interest income	20,907	76,184
Commercial business [Member]
Summary of information relative to impaired loans, by portfolio class
With no related allowance recorded, Unpaid principal balance	242,646
With no related allowance recorded, Recorded investment	242,646
With no related allowance, Related allowance
With no related allowance recorded, Average impaired investment	91,669	62,015
With no related allowance recorded, Interest income	18,123
With related allowance recorded, Unpaid principal balance
With related allowance recorded, Recorded investment
With related allowance recorded, Related allowance
With related allowance recorded, Average impaired investment	9,070	18,139
With related allowance recorded, Interest income		2,119
Total, Unpaid principal balance	242,646
Total, Recorded investment	242,646
Total, Related allowance
Total, Average impaired investment	100,739	80,154
Total, Interest income	$ 18,123	$ 2,119

Loans (Details 3)

Loans (Details 3) - USD ($)	3 Months Ended	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Allowance for loan losses:
Balance, beginning of period		$ 1,139,509	$ 1,032,776
Provision (reversal of provision) for loan losses	$ 150,000	(68,000)	150,000
Loan charge-offs		(219,684)	(43,267)
Loan recoveries		1,312
Net loans charged-off		(218,372)	(43,267)
Balance, end of period	1,139,509	853,137	1,139,509
Individually reviewed for impairment				$ 129,471		$ 402,190
Collectively reviewed for impairment				723,666		737,319
Total allowance for loan losses	1,139,509	1,139,509	1,032,776	853,137	$ 1,139,509	1,139,509
Gross loans, end of period:
Individually reviewed for impairment				1,424,415		3,185,534
Collectively reviewed for impairment				62,100,680		62,378,123
Total loans (gross of deferred fees)				63,525,095	67,677,402	65,563,657
Single and multifamily residential real estate [Member]
Allowance for loan losses:
Balance, beginning of period		265,797	160,797
Provision (reversal of provision) for loan losses		(30,000)	105,000
Loan charge-offs
Loan recoveries
Net loans charged-off
Balance, end of period	265,797	235,797	265,797
Individually reviewed for impairment				101,283		158,529
Collectively reviewed for impairment				134,514		107,268
Total allowance for loan losses	265,797	265,797	160,797	235,797	265,797	265,797
Gross loans, end of period:
Individually reviewed for impairment				200,483		951,429
Collectively reviewed for impairment				12,905,727		16,141,243
Total loans (gross of deferred fees)				13,106,210	16,434,722	16,299,772
Construction and development [Member]
Allowance for loan losses:
Balance, beginning of period		184,130	234,130
Provision (reversal of provision) for loan losses		(60,000)	(50,000)
Loan charge-offs		(10,500)
Loan recoveries
Net loans charged-off		(10,500)
Balance, end of period	184,130	113,630	184,130
Individually reviewed for impairment						9,867
Collectively reviewed for impairment				113,630		174,263
Total allowance for loan losses	184,130	184,130	234,130	113,630	184,130	184,130
Gross loans, end of period:
Individually reviewed for impairment						39,867
Collectively reviewed for impairment				8,664,401		7,656,202
Total loans (gross of deferred fees)				8,664,401	7,286,459	7,666,069
Commercial real estate - other [Member]
Allowance for loan losses:
Balance, beginning of period		439,830	363,097
Provision (reversal of provision) for loan losses		45,000	120,000
Loan charge-offs		(209,045)	(43,267)
Loan recoveries
Net loans charged-off		(209,045)	(43,267)
Balance, end of period	439,830	275,785	439,830
Individually reviewed for impairment				28,188		212,836
Collectively reviewed for impairment				247,597		226,994
Total allowance for loan losses	439,830	439,830	363,097	275,785	439,830	439,830
Gross loans, end of period:
Individually reviewed for impairment				981,286		2,111,886
Collectively reviewed for impairment				22,650,227		21,584,909
Total loans (gross of deferred fees)				23,631,513	25,559,943	23,696,795
Commercial business [Member]
Allowance for loan losses:
Balance, beginning of period		244,679	184,679
Provision (reversal of provision) for loan losses		(28,000)	60,000
Loan charge-offs
Loan recoveries
Net loans charged-off
Balance, end of period	244,679	216,679	244,679
Individually reviewed for impairment						20,958
Collectively reviewed for impairment				216,679		223,721
Total allowance for loan losses	244,679	244,679	184,679	216,679	244,679	244,679
Gross loans, end of period:
Individually reviewed for impairment				242,646		82,352
Collectively reviewed for impairment				16,068,808		16,469,948
Total loans (gross of deferred fees)				16,311,454	17,027,054	16,552,300
Consumer [Member]
Allowance for loan losses:
Balance, beginning of period		5,073	90,073
Provision (reversal of provision) for loan losses		5,000	(85,000)
Loan charge-offs		(139)
Loan recoveries		1,312
Net loans charged-off		1,173
Balance, end of period	5,073	11,246	5,073
Individually reviewed for impairment
Collectively reviewed for impairment				11,246		5,073
Total allowance for loan losses	$ 5,073	$ 5,073	$ 90,073	11,246	5,073	5,073
Gross loans, end of period:
Individually reviewed for impairment
Collectively reviewed for impairment				1,811,517		1,348,721
Total loans (gross of deferred fees)				$ 1,811,517	$ 1,369,224	$ 1,348,721

Loans (Details 4)

Loans (Details 4) - USD ($)	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Loans/Note Payable[Abstract]
Nonaccrual loans	$ 331,233	$ 1,655,190	$ 2,461,342
Average gross loans	$ 64,628,769		$ 66,974,277
Net loans charged-off as a percentage of average gross loans	0.34%		0.01%
Allowance for loan losses as a percentage of total gross loans	1.34%		1.74%
Allowance for loan losses as a percentage of non-accrual loans	257.56%		0.46%

Loans (Details 5)

Loans (Details 5) - USD ($)	Sep. 30, 2016	Dec. 31, 2015	Sep. 30, 2015
Loan maturity distribution by type and related interest rate
Loans, One year or less	$ 13,016,326	$ 18,420,265
Loans, After one but within five years	42,472,100	41,533,701
Loan, After five years	8,039,669	7,723,436
Total loans	63,525,095	67,677,402	$ 65,563,657
Loans maturing after one year with:
Fixed interest rates	17,935,580	16,892,651
Floating interest rates	32,576,189	32,364,486
Single and multifamily residential real estate [Member]
Loan maturity distribution by type and related interest rate
Loans, One year or less	1,576,246	4,107,456
Loans, After one but within five years	6,640,725	7,977,523
Loan, After five years	4,889,239	4,349,743
Total loans	13,106,210	16,434,722	16,299,772
Construction and development [Member]
Loan maturity distribution by type and related interest rate
Loans, One year or less	2,560,990	2,850,334
Loans, After one but within five years	5,564,125	3,915,218
Loan, After five years	539,286	520,907
Total loans	8,664,401	7,286,459	7,666,069
Commercial real estate - other [Member]
Loan maturity distribution by type and related interest rate
Loans, One year or less	3,396,392	5,740,738
Loans, After one but within five years	18,289,695	17,556,599
Loan, After five years	1,945,426	2,262,606
Total loans	23,631,513	25,559,943	23,696,795
Commercial business [Member]
Loan maturity distribution by type and related interest rate
Loans, One year or less	4,568,492	5,170,004
Loans, After one but within five years	11,159,120	11,334,906
Loan, After five years	583,842	522,144
Total loans	16,311,454	17,027,054	16,552,300
Consumer [Member]
Loan maturity distribution by type and related interest rate
Loans, One year or less	911,206	551,733
Loans, After one but within five years	818,435	749,455
Loan, After five years	81,876	68,036
Total loans	$ 1,811,517	$ 1,369,224	$ 1,348,721

Loans (Details Textual)

Loans (Details Textual) - USD ($)	3 Months Ended	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Loans (Textual)
Commercial real estate loans	$ 32,300,000	$ 32,300,000
Commercial business loans	16,300,000	16,300,000
Consumer and home equity loans	13,100,000	13,100,000
Consumer loans	1,800,000	1,800,000
Loans transferred to other real estate owned and repossessed assets		1,257,289	$ 300,000
Nonaccrual loans	331,233	331,233	2,461,342	$ 1,655,190
Nonaccrual loan during quarter period			343,266
Nonaccrual loan selling cost			34,327
Nonaccrual loan specific reserve amount			43,266
Foregone interest income related to nonaccrual loans		$ 55,231	10,535
Percentage of credit grade "pass" for loan portfolio		98.00%		93.00%
Total gross loans	63,525,095	$ 63,525,095	$ 65,563,657	$ 67,677,402
Impaired loans decreased		1,000,000		$ 975,232
Loan balance reductions through pay downs		$ 374,000
Percentage of increase decrease in reserves		1.17%		1.17%
Maturity date of loans		Aug. 31, 2016
Impaired loans	829,000	$ 1,400,000
Special Mention [Member]
Loans (Textual)
Total gross loans	964,440	964,440		$ 1,597,378
Substandard [Member]
Loans (Textual)
Total gross loans	$ 554,450	$ 554,450		$ 2,876,775

Fair Value (Details)

Fair Value (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Schedule of assets measured at fair value on a non-recurring basis
Other real estate owned and repossessed assets, Fair Value	$ 2,615,809	$ 1,910,220
Other real estate owned and repossessed assets [Member]
Schedule of assets measured at fair value on a non-recurring basis
Other real estate owned and repossessed assets, Fair Value	$ 2,651,809	$ 1,910,220
Valuation Technique	Appraised value	Appraised value
Significant Unobservable Inputs	Discounts to reflect current market conditions, abbreviated holding period, and estimated costs to sell	Discounts to reflect current market conditions and estimated costs to sell
Impaired loans [Member]
Schedule of assets measured at fair value on a non-recurring basis
Impaired loans, Fair Value	$ 1,294,944	$ 2,005,168
Valuation Technique	Internal assessment based on external third party appraised value	Internal assessment based on external third party appraised value
Significant Unobservable Inputs	Adjustments to estimated value based on recent sales of comparable collateral, and estimated costs to sell.	Adjustments to estimated value based on recent sales of comparable collateral, and estimated costs to sell.

Fair Value (Details 1)

Fair Value (Details 1) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Financial Assets:
Cash and due from banks	$ 5,408,411	$ 5,453,795
Interest bearing deposits in other institutions	1,750,000	1,500,000
Federal funds sold	5,809,000	8,446,000
Investment securities available for sale	10,223,300	10,687,851
Non-marketable equity securities	380,050	392,500
Loans, net	62,478,299	66,402,246
Bank owned life insurance	2,521,199
Financial Liabilities:
Deposits	81,756,804	83,567,325
Securities sold under agreements to repurchase	61,820	113,080
Carrying Amount [Member]
Financial Assets:
Cash and due from banks	5,408,411	5,453,795
Interest bearing deposits in other institutions	1,750,000	1,500,000
Federal funds sold	5,809,000	8,446,000
Investment securities available for sale	10,223,300	10,687,851
Non-marketable equity securities	380,050	392,500
Loans, net	62,478,299	66,402,246
Bank owned life insurance	2,521,199
Financial Liabilities:
Deposits	81,756,804	83,567,325
Securities sold under agreements to repurchase	61,820	113,080
Fair Value [Member]
Financial Assets:
Cash and due from banks	5,408,411	5,453,795
Interest bearing deposits in other institutions	1,750,000	1,500,000
Federal funds sold	5,809,000	8,446,000
Investment securities available for sale	10,223,300	10,687,851
Non-marketable equity securities	380,050	392,500
Loans, net	62,668,293	66,873,213
Bank owned life insurance	2,521,199
Financial Liabilities:
Deposits	81,728,119	83,538,827
Securities sold under agreements to repurchase	61,820	113,080
Fair Value [Member] | Level 1 [Member]
Financial Assets:
Cash and due from banks	5,408,411	5,453,795
Interest bearing deposits in other institutions
Federal funds sold	5,809,000	8,446,000
Investment securities available for sale
Non-marketable equity securities
Loans, net
Bank owned life insurance
Financial Liabilities:
Deposits
Securities sold under agreements to repurchase
Fair Value [Member] | Level 2 [Member]
Financial Assets:
Cash and due from banks
Interest bearing deposits in other institutions	1,750,000	1,500,000
Federal funds sold
Investment securities available for sale	10,223,300	10,687,851
Non-marketable equity securities	380,050	392,500
Loans, net
Bank owned life insurance	2,521,199
Financial Liabilities:
Deposits	81,728,119	83,538,827
Securities sold under agreements to repurchase	61,820	113,080
Fair Value [Member] | Level 3 [Member]
Financial Assets:
Cash and due from banks
Interest bearing deposits in other institutions
Federal funds sold
Investment securities available for sale
Non-marketable equity securities
Loans, net	62,668,293	66,873,213
Bank owned life insurance
Financial Liabilities:
Deposits
Securities sold under agreements to repurchase

Fair Value (Details Textual)

Fair Value (Details Textual) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Fair Value (Textual)
Investment securities available for sale	$ 10,223,300	$ 10,687,851
Net of specific reserves of impaired loans carried at fair value	1,300,000	2,000,000
Other real estate owned and repossessed assets	$ 2,615,809	$ 1,910,220

Stock Compensation Plans (Detai

Stock Compensation Plans (Details) - USD ($)	1 Months Ended	9 Months Ended		12 Months Ended
	Jul. 26, 2005	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015	Feb. 28, 2013
Stock Compensation Plans (Textual)
Stock options outstanding		3,097,255		3,097,255
Weighted average exercise price		$ 1.11		$ 1.11
Options vested		3,067,255		3,022,255
Stock compensation expense		$ 10,126	$ 236,512
2005 Incentive Plan [Member]
Stock Compensation Plans (Textual)
Description of shares issuable under Incentive Plan	The total number of shares issuable under the 2005 Incentive Plan would at all times equal 12.5% of the then outstanding shares of common stock.
Number of shares reserved for issuance of stock options	260,626
2013 Incentive Plan [Member]
Stock Compensation Plans (Textual)
Number of shares reserved for issuance of stock options					2,466,720

Business Segments (Details)

Business Segments (Details) - USD ($)		3 Months Ended		9 Months Ended
		Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Summary of selected financial information for Company's reportable business segments
Interest income		$ 898,079	$ 843,509	$ 2,740,448	$ 2,703,545
Interest expense		84,999	83,278	243,980	251,551
Net interest income		813,080	760,231	2,496,468	2,451,994
Reversal of provision for loan losses			150,000	(68,000)	150,000
Noninterest income		143,538	(60,851)	428,347	192,524
Noninterest expense		1,317,645	2,557,706	4,439,436	6,218,672
Loss before income taxes		(361,027)	(2,008,326)	(1,446,621)	(3,724,154)
Income taxes					5,080
Net loss		(361,027)	(2,008,326)	(1,446,621)	(3,729,234)
Community Banking [Member]
Summary of selected financial information for Company's reportable business segments
Interest income		898,079	843,509	2,740,448	2,703,545
Interest expense		84,999	81,144	243,980	236,847
Net interest income		813,080	762,365	2,496,468	2,466,698
Reversal of provision for loan losses			150,000	(68,000)	150,000
Noninterest income		143,678	(60,783)	428,727	157,928
Noninterest expense		1,106,287	976,577	3,421,229	3,197,481
Loss before income taxes		(149,529)	(424,995)	(428,034)	(722,855)
Income taxes					5,080
Net loss		(149,529)	(424,995)	(428,034)	(727,935)
Transaction Services [Member]
Summary of selected financial information for Company's reportable business segments
Interest income
Interest expense
Net interest income
Reversal of provision for loan losses
Noninterest income			64		33,391
Noninterest expense		27,364	1,106,707	204,554	2,096,729
Loss before income taxes		(27,364)	(1,106,707)	(204,554)	(2,063,338)
Income taxes
Net loss		(27,364)	(1,106,643)	(204,554)	(2,063,338)
Asset Management [Member]
Summary of selected financial information for Company's reportable business segments
Interest income
Interest expense
Net interest income
Reversal of provision for loan losses
Noninterest income
Noninterest expense		(43,664)	132,705	73,446	129,027
Loss before income taxes		43,664	(132,705)	(73,446)	(129,027)
Income taxes
Net loss		43,664	(132,705)	(73,446)	(129,027)
Parent Only [Member]
Summary of selected financial information for Company's reportable business segments
Interest income	[1]
Interest expense	[1]		2,134		14,704
Net interest income	[1]		(2,134)		(14,704)
Reversal of provision for loan losses	[1]
Noninterest income	[1]	(140)	(132)	(380)	1,205
Noninterest expense	[1]	227,658	341,717	740,207	795,435
Loss before income taxes	[1]	(227,658)	(343,983)	(740,587)	(808,934)
Income taxes	[1]
Net loss	[1]	(227,798)	(343,983)	(740,587)	(808,934)
Total [Member]
Summary of selected financial information for Company's reportable business segments
Interest income		898,079	843,509	2,740,448	2,703,545
Interest expense		84,999	83,278	243,980	251,551
Net interest income		813,080	760,231	2,496,468	2,451,994
Reversal of provision for loan losses			150,000	(68,000)	150,000
Noninterest income		143,538	(60,851)	428,347	192,524
Noninterest expense		1,317,645	2,557,706	4,439,436	6,218,672
Loss before income taxes		(361,027)	(2,008,326)	(1,446,621)	(3,724,154)
Income taxes					5,080
Net loss		$ (361,027)	$ (2,008,326)	$ (1,446,621)	$ (3,729,234)
[1]	Excludes equity in earnings of wholly-owned Bank subsidiary.

Business Segments (Details 1)

Business Segments (Details 1) - USD ($)		Sep. 30, 2016		Dec. 31, 2015	Sep. 30, 2015
Segment Reporting Information, Profit (Loss) [Abstract]
Cash and due from banks		$ 5,408,411		$ 5,453,795
Federal funds sold		5,809,000		8,446,000
Interest-bearing deposits in other institutions		1,750,000		1,500,000
Investment securities		10,472,437
Loans receivable, net		62,478,299		66,402,246
Other real estate owned		2,615,809		1,910,220
Property and equipment, net		2,043,803		2,198,796
Bank owned life insurance		2,521,199
Other assets		553,212		243,683
Total assets		93,989,770		97,467,306
Deposits		81,756,804		83,567,325
Securities sold under agreements to repurchase		61,820		113,080
Total liabilities and shareholders' equity		93,989,770		$ 97,467,306
Community Banking [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Cash and due from banks		5,413,988			$ 5,996,959
Federal funds sold		5,809,000			11,546,000
Interest-bearing deposits in other institutions		1,750,000
Investment securities		10,223,300			12,372,672
Loans receivable, net		62,478,299			64,288,549
Other real estate owned		2,322,667			1,308,900
Property and equipment, net		2,020,242			2,065,617
Bank owned life insurance		2,521,199
Other assets		782,021			785,832
Total assets		93,320,716			98,364,529
Deposits		83,407,105			88,280,572
Securities sold under agreements to repurchase		61,820			23,641
Accrued and other liabilities		351,664			151,806
Shareholders' equity		9,500,127			9,908,510
Total liabilities and shareholders' equity		93,320,716			98,364,529
Holding Company [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Cash and due from banks		1,644,724	[1]		3,646,291	[2]
Federal funds sold			[1]			[2]
Interest-bearing deposits in other institutions	[1]
Investment securities			[1]			[2]
Loans receivable, net			[1]			[2]
Other real estate owned		293,142	[1]		631,320	[2]
Property and equipment, net		23,561	[1]		177,490	[2]
Bank owned life insurance	[1]
Other assets		357,928	[1]		431,238	[2]
Total assets		2,319,355	[1]		4,886,339	[2]
Deposits			[1]			[2]
Securities sold under agreements to repurchase			[1]			[2]
Accrued and other liabilities		458,308	[1]		1,188,748	[2]
Shareholders' equity		1,861,047	[1]		3,697,591	[2]
Total liabilities and shareholders' equity		2,319,355	[1]		4,886,339	[2]
Eliminations [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Cash and due from banks		(1,650,301)			(3,662,059)
Federal funds sold
Interest-bearing deposits in other institutions
Investment securities
Loans receivable, net
Other real estate owned
Property and equipment, net
Bank owned life insurance
Other assets
Total assets		(1,650,301)			(3,662,059)
Deposits		(1,650,301)			(3,662,059)
Securities sold under agreements to repurchase
Accrued and other liabilities
Shareholders' equity
Total liabilities and shareholders' equity		(1,650,301)			(3,662,059)
Total [Member]
Segment Reporting Information, Profit (Loss) [Abstract]
Cash and due from banks		5,408,411			5,981,191
Federal funds sold		5,809,000			11,546,000
Interest-bearing deposits in other institutions		1,750,000
Investment securities		10,223,300			12,372,672
Loans receivable, net		62,478,299			64,288,549
Other real estate owned		2,615,809			1,940,220
Property and equipment, net		2,043,803			2,243,107
Bank owned life insurance		2,521,199
Other assets		1,139,949			1,217,070
Total assets		93,989,770			99,588,809
Deposits		81,756,804			84,618,513
Securities sold under agreements to repurchase		61,820			23,641
Accrued and other liabilities		809,972			1,340,554
Shareholders' equity		11,361,174			13,606,101
Total liabilities and shareholders' equity		$ 93,989,770			$ 99,588,809
[1]	Excludes investment in wholly-owned Bank subsidiary
[2]	Excludes equity in earnings of wholly-owned Bank subsidiary.

Business Segments (Details Text

Business Segments (Details Textual)	9 Months Ended
	Sep. 30, 2016Segment
Business Segments (Textual)
Number of business segments	4

Note Payable (Details)

Note Payable (Details) - USD ($)	Sep. 03, 2015	Sep. 30, 2014	Sep. 30, 2015
Note Payable - Related Party (Textual)
Repayments of debt		$ 600,000
Debt, term		1 year
Interest rate on mortgage loans		7.00%
Interest rate on mortgage loans, maturity		8.00%
Real Estate Loan [Member]
Note Payable - Related Party (Textual)
Outstanding loan			$ 149,774
Repayments of outstanding loan	$ 149,774

Bank Owned Life Insurance and44

Bank Owned Life Insurance and Pre-Retirement Benefit Plan (Details)	9 Months Ended
	Sep. 30, 2016USD ($)	Jun. 30, 2016USD ($)InsurancePolicies
Bank Owned Life Insurance and Pre-Retirement Benefit Plan (Textual)
Number of life insurance policies | InsurancePolicies		2
Life insurance policies, aggregate death benefits		$ 2,500,000
Cash surrender value of life insurance	$ 2,521,199
Income recognized under policies	$ 21,199

Subsequent Events (Details)

Subsequent Events (Details) - Subsequent Event [Member]	1 Months Ended
	Oct. 31, 2016USD ($)
Subsequent Events (Textual)
Proceeds from sale of real estate	$ 218,577
Loss on investment securities	74,564
Fair value of investment securities	10,223,300
Gain on investment securities	$ 302,000