Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | May 01, 2018 | |
Document And Entity Information Abstract | ||
Entity Registrant Name | Jacksonville Bancorp, Inc. | |
Entity Central Index Key | 1,484,949 | |
Trading Symbol | jxsb | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock Shares Outstanding | 1,814,467 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||
Cash and cash equivalents | $ 7,003,615 | $ 5,889,628 |
Interest-earning time deposits in banks | 998,000 | 998,000 |
Investment securities - available for sale | 52,608,847 | 56,164,109 |
Mortgage-backed securities - available for sale | 56,383,116 | 55,231,197 |
Federal Home Loan Bank stock | 428,500 | 490,500 |
Other investment securities | 51,864 | 52,502 |
Loans held for sale - net | 275,115 | 178,833 |
Loans receivable - net of allowance for loan losses of $2,737,933 and $2,879,510 as of March 31, 2018 and December 31, 2017 | 186,070,456 | 186,557,550 |
Premises and equipment - net | 4,167,048 | 4,260,196 |
Cash surrender value of life insurance | 7,341,204 | 7,439,062 |
Accrued interest receivable | 2,029,454 | 1,997,798 |
Goodwill | 2,726,567 | 2,726,567 |
Capitalized mortgage servicing rights | 543,210 | 547,092 |
Real estate owned | 10,500 | 10,500 |
Deferred income taxes | 2,296,441 | 1,892,749 |
Other assets | 519,142 | 560,038 |
Total Assets | 323,453,079 | 324,996,321 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Deposits | 261,518,469 | 252,700,432 |
Other borrowings | 3,663,976 | 16,112,154 |
Advance payments by borrowers for taxes and insurance | 1,828,407 | 1,153,926 |
Accrued interest payable | 91,774 | 106,068 |
Deferred compensation payable | 4,926,955 | 4,874,292 |
Income taxes payable | 182,608 | 28,502 |
Dividends payable | 181,447 | 181,287 |
Other liabilities | 3,290,018 | 1,086,750 |
Total liabilities | 275,683,654 | 276,243,411 |
Commitments and contingencies | ||
Preferred stock, $0.01 par value - authorized 10,000,000 shares; none issued and outstanding | ||
Common stock, $0.01 par value - authorized 25,000,000 shares; issued 1,814,467 shares as of March 31, 2018 and 1,812,871 as of December 31, 2017 | 18,145 | 18,129 |
Additional paid-in-capital | 14,167,829 | 14,128,221 |
Retained earnings | 36,021,473 | 35,512,950 |
Less: Unallocated ESOP shares | (141,470) | (147,650) |
Accumulated other comprehensive loss | (2,296,552) | (758,740) |
Total stockholders' equity | 47,769,425 | 48,752,910 |
Total Liabilities and Stockholders' Equity | $ 323,453,079 | $ 324,996,321 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parentheticals) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Allowance for loan losses of loans receivable (in dollars) | $ 2,737,933 | $ 2,879,510 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, shares issued | 1,814,467 | 1,812,871 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
INTEREST INCOME: | ||
Loans | $ 2,219,117 | $ 2,167,207 |
Investment securities | 402,490 | 385,926 |
Mortgage-backed securities | 323,537 | 236,060 |
Other | 7,789 | 11,363 |
Total interest income | 2,952,933 | 2,800,556 |
INTEREST EXPENSE: | ||
Deposits | 290,013 | 250,621 |
Other borrowings | 37,058 | 5,346 |
Total interest expense | 327,071 | 255,967 |
NET INTEREST INCOME | 2,625,862 | 2,544,589 |
PROVISION (CREDIT) FOR LOAN LOSSES | (160,000) | 30,000 |
NET INTEREST INCOME AFTER PROVISION (CREDIT) FOR LOAN LOSSES | 2,785,862 | 2,514,589 |
NON-INTEREST INCOME: | ||
Fiduciary activities | 107,830 | 88,160 |
Commission income | 341,412 | 321,596 |
Service charges on deposit accounts | 179,340 | 177,946 |
Mortgage banking operations, net | 48,570 | 68,483 |
Net realized gains on sales of available-for-sale securities | 32,780 | 128,617 |
Loan servicing fees | 82,365 | 84,599 |
ATM and bank card interchange income | 174,151 | 171,802 |
Other | 181,438 | 67,091 |
Total non-interest income | 1,147,886 | 1,108,294 |
NON-INTEREST EXPENSE: | ||
Salaries and employee benefits | 1,744,392 | 1,682,132 |
Occupancy and equipment | 265,757 | 259,403 |
Data processing and telecommunications | 194,970 | 167,917 |
Professional | 386,345 | 39,122 |
Postage and office supplies | 53,456 | 58,977 |
Deposit insurance premium | 24,133 | 24,794 |
ATM and bank card expense | 110,557 | 103,798 |
Other | 311,786 | 251,026 |
Total non-interest expense | 3,091,396 | 2,587,169 |
INCOME BEFORE INCOME TAXES | 842,352 | 1,035,714 |
INCOME TAXES | 154,106 | 276,148 |
NET INCOME | $ 688,246 | $ 759,566 |
NET INCOME PER COMMON SHARE - BASIC (in dollars per share) | $ 0.38 | $ 0.43 |
NET INCOME PER COMMON SHARE - DILUTED (in dollars per share) | $ 0.38 | $ 0.42 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net Income | $ 688,246 | $ 759,566 |
Other Comprehensive Income (Loss) | ||
Unrealized appreciation (depreciation) on available-for-sale securities, net of taxes of $(396,808) and $324,666 for 2018 and 2017, respectively. | (1,511,916) | 630,234 |
Less: reclassification adjustment for realized gains included in net income, net of taxes of $6,884 and $43,730, for 2018 and 2017, respectively. | 25,896 | 84,887 |
Total other comprehensive income (loss) | (1,537,812) | 545,347 |
Comprehensive Income (Loss) | $ (849,566) | $ 1,304,913 |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) (Parentheticals) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Taxes on unrealized appreciation (depreciation) on available-for-sale securities | $ (396,808) | $ 324,666 |
Taxes on reclassification adjustment for realized gains included in net income | $ 6,884 | $ 43,730 |
CONDENSED CONSOLIDATED STATEME7
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) - 3 months ended Mar. 31, 2018 - USD ($) | Common Stock | Additional Paid-in Capital | Retained Earnings | Unallocated ESOP Shares | Accumulated Other Comprehensive Loss | Total |
BALANCE at Dec. 31, 2017 | $ 18,129 | $ 14,128,221 | $ 35,512,950 | $ (147,650) | $ (758,740) | $ 48,752,910 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net Income | 688,246 | 688,246 | ||||
Other comprehensive loss | (1,537,812) | (1,537,812) | ||||
Exercise of stock options | 16 | 24,961 | 24,977 | |||
Shares held by ESOP, committed to be released | 14,647 | 6,180 | 20,827 | |||
Dividends ($0.10 per share) | (179,723) | (179,723) | ||||
BALANCE at Mar. 31, 2018 | $ 18,145 | $ 14,167,829 | $ 36,021,473 | $ (141,470) | $ (2,296,552) | $ 47,769,425 |
CONDENSED CONSOLIDATED STATEME8
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) (Parentheticals) | 3 Months Ended |
Mar. 31, 2018$ / shares | |
Statement Of Stockholders Equity [Abstract] | |
Dividend per share (in dollars per share) | $ 0.10 |
CONDENSED CONSOLIDATED STATEME9
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 688,246 | $ 759,566 |
Depreciation, amortization and accretion: | ||
Premises and equipment | 96,210 | 103,845 |
Amortization of investment and loan premiums and discounts, net | 264,162 | 268,853 |
Net realized gains on sales of available-for-sale securities | (32,780) | (128,617) |
Provision (credit) for loan losses | (160,000) | 30,000 |
Mortgage banking operations, net | (48,570) | (68,483) |
Shares held by ESOP committed to be released | 20,827 | 18,818 |
Stock-based compensation expense | 22,232 | |
Gain on BOLI claim | (84,035) | |
Changes in income taxes payable | 154,106 | 276,061 |
Changes in other assets and liabilities | 2,211,493 | (39,297) |
Net cash provided by operations before loan sales | 3,109,659 | 1,242,978 |
Origination of loans for sale to secondary market | (3,675,700) | (4,696,587) |
Proceeds from sales of loans to secondary market | 3,631,751 | 5,001,018 |
Net cash provided by operating activities | 3,065,710 | 1,547,409 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of FHLB stock, investment and mortgage-backed securities | (5,993,457) | (19,533,430) |
Maturity or call of investment securities available-for-sale | 870,000 | |
Sale of investment securities available-for-sale and FHLB stock | 4,424,064 | 8,998,123 |
Principal payments on mortgage-backed and investment securities | 1,862,315 | 1,763,589 |
Proceeds from BOLI claim | 221,211 | |
Net change in loans | 647,452 | 5,674,177 |
Additions to premises and equipment | (3,062) | (56,536) |
Net cash provided by (used in) investing activities | 1,158,523 | (2,284,077) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Net increase (decrease) in deposits | 8,818,037 | (36,983) |
Net decrease in other borrowings | (12,448,178) | (3,831,007) |
Increase in advance payments by borrowers for taxes and insurance | 674,481 | 523,935 |
Exercise of stock options | 24,977 | 39,125 |
Stock repurchase | (31,290) | |
Dividends paid - common stock | (179,563) | (177,907) |
Net cash used in financing activities | (3,110,246) | (3,514,127) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 1,113,987 | (4,250,795) |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 5,889,628 | 12,909,924 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 7,003,615 | 8,659,129 |
Cash paid during the period for: | ||
Interest on deposits | 297,750 | 264,121 |
Interest on other borrowings | $ 43,615 | 5,346 |
NONCASH INVESTING AND FINANCING ACTIVITIES: | ||
Real estate acquired in settlement of loans | 222,704 | |
Loans to facilitate sales of real estate owned | $ 26,467 |
FINANCIAL STATEMENTS
FINANCIAL STATEMENTS | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
FINANCIAL STATEMENTS | 1. FINANCIAL STATEMENTS The accompanying interim condensed consolidated financial statements include the accounts of Jacksonville Bancorp, Inc. and its wholly-owned subsidiary, Jacksonville Savings Bank (the “Bank”) and its wholly-owned subsidiary, Financial Resources Group, Inc. collectively (the “Company”). All significant intercompany accounts and transactions have been eliminated. In the opinion of management, the preceding unaudited consolidated financial statements contain all adjustments (consisting only of normal recurring accruals) necessary 1) for a fair presentation and 2) to make the financial statements not misleading as to the financial condition of the Company as of March 31, 2018, and the results of its operations for the three month periods ended March 31, 2018 and 2017. The results of operations for the three month periods are not necessarily indicative of the results which may be expected for the entire year. The condensed consolidated balance sheet of the Company as of December 31, 2017 has been derived from the audited consolidated balance sheet of the Company as of that date. Certain information and note disclosures normally included in the Company’s annual financial statements prepared in accordance with generally accepted accounting principles in the United States of America (GAAP) have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements of the Company for the year ended December 31, 2017 filed as an exhibit to the Company’s Annual Report on Form 10-K filed in March 2018. The accounting and reporting policies of the Company conform to GAAP and to prevailing practices within the industry. Certain amounts included in the 2017 consolidated statements have been reclassified to conform to the 2018 presentation. Summary of Significant Accounting Policies Revenue Recognition The Company recognizes revenues as they are earned based on contractual terms, as transactions occur, or as services are provided and collectibility is reasonable assured. The Company’s principal source of revenue is interest income from loans and investment and mortgage-backed securities. The Company also earns noninterest income from various banking and financial services offered primarily through the Bank and its subsidiary. Interest Income Noninterest Income |
NEW ACCOUNTING PRONOUNCEMENTS
NEW ACCOUNTING PRONOUNCEMENTS | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
NEW ACCOUNTING PRONOUNCEMENTS | 2. NEW ACCOUNTING PRONOUNCEMENTS In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). The update provides a five-step revenue recognition model for all revenue arising from contracts with customers and affects all entities that enter into contracts to provide goods or services to their customers (unless the contracts are included in the scope of other standards). The guidance requires an entity to recognize the revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606) – Deferral of the Effective Date, which provides a one-year deferral of ASU 2014-09. For public entities, the guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, and must be applied either retrospectively or using the modified retrospective approach. The Company adopted ASU 2014-09 on January 1, 2018, and did not identify any material changes in the timing of revenue recognition when considering the amended accounting guidance. See Note 1 for additional disclosures related to revenue recognition. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10) - Recognition and Measurement of Financial Assets and Financial Liabilities. ASU 2016-01 is intended to enhance the reporting model for financial instruments to provide users of financial statements with more decision-useful information. ASU 2016-01 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company adopted ASU 2016-01 on January 1, 2018 and there was not a significant impact on the Company’s consolidated financial statements, with the exception of the loan fair value calculation in Note 9. In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. Many of the loss estimation techniques applied today will still be permitted, although the inputs to those techniques will change to reflect the full amount of expected credit losses. Organizations will continue to use judgment to determine which loss estimation method is appropriate for their circumstances. Additionally, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. For public companies, this update will be effective for interim and annual periods beginning after December 15, 2019. The Company has been receiving training and gathering historical data in order to determine the impact the adoption of ASU 2016-13 will have on the consolidated financial statements. In January 2017, FASB amended FASB ASC Topic 350, Simplifying the Test for Goodwill. The amendments in the update simplify the measurement of goodwill by eliminating Step 2 from the goodwill impairment test. Instead, under this amendment, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss should not exceed the total amount of goodwill allocated to that reporting unit. The amendments are effective for public business entities for the first interim and annual reporting periods beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company has goodwill from a prior business combination and performs an annual impairment test or more frequently if changes or circumstances occur that would more likely than not reduce the fair value of the reporting unit below its carrying value. The Company’s most recent annual impairment assessment determined that the Company’s goodwill was not impaired. Although the Company cannot anticipate future goodwill impairment assessments, based on the most recent assessment it is unlikely that an impairment amount would need to be calculated and, therefore, does not anticipate a material impact from these amendments to the Company’s financial position and results of operations. The current accounting policies and processes are not anticipated to change, except for the elimination of the Step 2 analysis. In March 2017, FASB issued ASU 2017-08, Receivables – Nonrefundable Fees and Other Costs: Premium Amortization on Purchased Callable Debt Securities (Subtopic 310-20). The ASU amends the amortization period for certain callable debt securities held at a premium. The amendments require the premium to be amortized to the earliest call date. The ASU’s amendments are effective for public business entities for interim and annual periods beginning after December 15, 2018. Early adoption is permitted. The Company adopted the ASU early and there was not a material impact on the Company’s consolidated financial statements. In February 2018, FASB issued ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (AOCI). Because the Tax Change & Jobs Act was signed on December 22, 2017, the accounting for the change in tax rates and effect on deferred tax assets and liabilities must be reflected in the 2017 financial statements as an adjustment to income tax expense, even though a portion of the tax effects were initially recognized directly in other comprehensive income. This adjustment would leave a stranded balance in AOCI that would not reflect the appropriate tax rate. Under this ASU, entities are allowed, but not required, to reclassify from AOCI to retained earnings the stranded tax effects resulting from the new federal corporate income tax rate. The ASU is effective for all entities for annual reporting periods beginning after December 15, 2018. Early adoption would be permitted for interim or annual financial statements that have not been issued or made available for issuance. Early adoption will allow entities to align the timing of the stranded tax reclassification in their 2017 financial statements. The Company adopted the ASU retrospectively and the impact was reflected in the Company’s 2017 consolidated financial statements. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | 3. EARNINGS PER SHARE Earnings Per Share - The following reflects earnings per share calculations for basic and diluted methods: Three Months Ended March 31, 2018 2017 Net income $ 688,246 $ 759,566 Basic average shares outstanding 1,799,897 1,784,584 Diluted potential common shares: Stock option equivalents 15,248 20,938 Diluted average shares outstanding 1,815,145 1,805,522 Basic earnings per share $ 0.38 $ 0.43 Diluted earnings per share $ 0.38 $ 0.42 |
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Compensation Related Costs Share based Payments [Abstract] | |
STOCK BASED COMPENSATION | 4. STOCK BASED COMPENSATION In connection with the 2010 second-step conversion and related stock offering, the ESOP purchased an additional 41,614 shares for the exclusive benefit of eligible employees. The ESOP borrowed funds from the Company in an amount sufficient to purchase the 41,614 shares (approximately 4% of the common stock issued in the offering). The loan is secured by the shares purchased and will be repaid by the ESOP with funds from contributions made by the Bank and dividends received by the ESOP. Contributions will be applied to repay interest on the loan first, and the remainder will be applied to principal. The loan is expected to be repaid over a period of up to 20 years. Shares purchased with the loan proceeds are held in a suspense account for allocation among participants as the loan is repaid. Shares released from the suspense account are allocated among participants in proportion to their compensation, relative to total compensation of all active participants. Participants will vest on a pro-rata basis and reach 100% vesting in the accrued benefits under the ESOP after six years. Vesting is accelerated upon retirement, death, or disability of the participant or a change in control of the Bank. Forfeitures will be reallocated to remaining plan participants. Benefits may be payable upon retirement, death, disability, separation from service, or termination of the ESOP. Discretionary contributions are determined by the board annually. The Company is accounting for its ESOP in accordance with ASC Topic 718, “ Employers Accounting for Employee Stock Ownership Plans A summary of ESOP shares at March 31, 2018 and 2017 is shown below. March 31, 2018 March 31, 2017 Unearned shares 14,147 16,619 Shares committed for release 618 618 Allocated shares 60,538 63,778 Total ESOP shares 75,303 81,015 Fair value of unearned shares $ 472,510 $ 520,175 On April 24, 2012, the compensation committee of the board of directors approved the awards of 104,035 options to purchase Company common stock. The stock options vest over a five-year period and expire ten years after the date of the grant. Apart from the vesting schedule, there are no performance-based conditions or any other material conditions applicable to the options issued. The following table summarizes stock option activity for the three months ended March 31, 2018. Weighted Weighted Average Average Remaining Aggregate Exercise Contractual Instrinsic Options Price/Share Life (in years) Value Outstanding, December 31, 2017 31,067 $ 15.65 Granted - - Exercised (1,596 ) 15.65 Forfeited - - Outstanding, March 31, 2018 29,471 $ 15.65 4.00 $ 523,110 Exercisable, March 31, 2018 27,686 $ 15.65 4.00 $ 491,427 Intrinsic value for stock options is defined as the difference between the current market value and the exercise price. The value is based upon a closing price of $33.40 per share on March 31, 2018. |
LOAN PORTFOLIO COMPOSITION
LOAN PORTFOLIO COMPOSITION | 3 Months Ended |
Mar. 31, 2018 | |
Receivables [Abstract] | |
LOAN PORTFOLIO COMPOSITION | 5. LOAN PORTFOLIO COMPOSITION At March 31, 2018 and December 31, 2017, the composition of the Company’s loan portfolio is shown below. March 31, 2018 December 31, 2017 Amount Percent Amount Percent Real estate loans: One-to-four family residential $ 46,695,828 25.1 % $ 45,844,543 24.6 % Commercial 36,092,381 19.4 37,260,090 20.0 Agricultural 40,611,733 21.8 40,129,028 21.5 Home equity 9,670,718 5.2 10,117,647 5.4 Total real estate loans 133,070,660 71.5 133,351,308 71.5 Commercial loans 27,857,933 15.0 26,934,790 14.4 Agricultural loans 12,551,929 6.8 13,400,651 7.2 Consumer loans 15,340,380 8.2 15,760,797 8.4 Total loans receivable 188,820,902 101.5 189,447,546 101.5 Less: Net deferred loan fees 12,513 0.0 10,486 0.0 Allowance for loan losses 2,737,933 1.5 2,879,510 1.5 Total loans receivable, net $ 186,070,456 100.0 % $ 186,557,550 100.0 % The Company believes that sound loans are a necessary and desirable means of employing funds available for investment. Recognizing the Company’s obligations to its depositors and to the communities it serves, authorized personnel are expected to make sound, profitable loans that resources permit and that opportunity affords. The Company maintains lending policies and procedures in place designed to focus lending efforts on the types, locations, and duration of loans most appropriate for the business model and markets. The Company’s principal lending activities include the origination of one-to four-family residential mortgage loans, multi-family loans, commercial real estate loans, agricultural loans, home equity lines of credits, commercial business loans, and consumer loans. The primary lending market includes the Illinois counties of Morgan, Macoupin and Montgomery. Generally, loans are collateralized by assets, primarily real estate, of the borrowers and guaranteed by individuals. The loans are expected to be repaid from cash flows of the borrowers or from proceeds from the sale of selected assets of the borrowers. Loan originations are derived from a number of sources such as real estate broker referrals, existing customers, builders, attorneys and walk-in customers. Upon receipt of a loan application, a credit report is obtained to verify specific information relating to the applicant’s employment, income, and credit standing. In the case of a real estate loan, an appraisal of the real estate intended to secure the proposed loan is undertaken by an independent appraiser approved by the Company. A loan application file is first reviewed by a loan officer who checks applications for accuracy and completeness, and verifies the information provided. The financial resources of the borrower and the borrower’s credit history, as well as the collateral securing the loan, are considered an integral part of each risk evaluation prior to approval. All residential real estate loans are then verified by our loan risk management department prior to closing. The board of directors has established individual lending authorities for each loan officer by loan type. Loans over an individual officer’s lending limit must be approved by the officers’ loan committee consisting of the chairman of the board, president, chief lending officer and all lending officers, which meets three times a week, and has lending authority up to $750,000 depending on the type of loan. Loans to borrowers with an aggregate principal balance over this limit, up to $1.0 million, must be approved by the directors’ loan committee, which meets weekly and consists of the chairman of the board, president, senior vice president, chief lending officer and at least two outside directors, plus all lending officers as non-voting members. The board of directors approves all loans to borrowers with an aggregate principal balance over $1.0 million. The board of directors ratifies all loans that are originated. Once the loan is approved, the applicant is informed and a closing date is scheduled. Loan commitments are typically funded within 45 days. If the loan is approved, the borrower must provide proof of fire and casualty insurance on the property serving as collateral which insurance must be maintained during the full term of the loan; flood insurance is required in certain instances. Title insurance is generally required on loans secured by real property. One- to four-family Mortgage Loans - Fixed rate one- to four-family residential mortgage loans are generally conforming loans, underwritten according to secondary market guidelines. The Company generally originates both fixed and adjustable rate mortgage loans in amounts up to the maximum conforming loan limits established by the Federal Housing Finance Agency. The Company originates for resale to Freddie Mac and the Federal Home Loan Bank fixed-rate one- to four-family residential mortgage loans with terms of 15 years or more. The fixed-rate mortgage loans amortize monthly with principal and interest due each month. Residential real estate loans often remain outstanding for significantly shorter periods than their contractual terms because borrowers may refinance or prepay loans at their option. The Company offers fixed-rate one- to four-family residential mortgage loans with terms of up to 30 years without prepayment penalty. The Company currently offers adjustable-rate mortgage loans for terms ranging up to 30 years. They generally offer adjustable-rate mortgage loans that adjust between one and five years on the anniversary date of origination. Interest rate adjustments are up to two hundred basis points per year, with a cap of up to six hundred basis points on interest rate increases over the life of the loan. In a rising interest rate environment, such rate limitations may prevent adjustable-rate mortgage loans from repricing to market interest rates, which would have an adverse effect on the net interest income. In the low interest rate environment that has existed over the past several years, the adjustable-rate portfolio has repriced downward resulting in lower interest income from this portion of the loan portfolio. In addition, during this period borrowers have shown a preference for fixed-rate loans. The Company has used different interest indices for adjustable-rate mortgage loans in the past such as the average yield on U.S. Treasury securities, adjusted to a constant maturity of one-year, three-years or five-years. The origination of fixed-rate mortgage loans versus adjustable-rate mortgage loans is monitored on an ongoing basis and is affected significantly by the level of market interest rates, customer preference, interest rate risk position and competitors’ loan products. Adjustable-rate mortgage loans make the loan portfolio more interest rate sensitive and provide an alternative for those borrowers who meet the underwriting criteria, but are unable to qualify for a fixed-rate mortgage. However, as the interest income earned on adjustable-rate mortgage loans varies with prevailing interest rates, such loans do not offer predictable cash flows in the same manner as long-term, fixed-rate loans. Adjustable-rate mortgage loans carry increased credit risk associated with potentially higher monthly payments by borrowers as general market interest rates increase. It is possible that during periods of rising interest rates that the risk of delinquencies and defaults on adjustable-rate mortgage loans may increase due to the upward adjustment of interest costs to the borrower, resulting in increased loan losses. Residential first mortgage loans customarily include due-on-sale clauses, which gives the Company the right to declare a loan immediately due and payable in the event that, among other things, the borrower sells or otherwise disposes of the underlying real property serving as collateral for the loan. Due-on-sale clauses are a means of imposing assumption fees and increasing the interest rate on mortgage portfolio during periods of rising interest rates. When underwriting residential real estate loans, the Company reviews and verifies each loan applicant’s income and credit history. Management believes that stability of income and past credit history are integral parts in the underwriting process. Generally, the applicant’s total monthly mortgage payment, including all escrow amounts, is limited to 30% of the applicant’s total monthly income. In addition, total monthly obligations of the applicant, including mortgage payments, generally should not exceed 43% of total monthly income. Written appraisals are generally required on real estate property offered to secure an applicant’s loan. For one- to four-family real estate loans with loan to value ratios of over 80%, private mortgage insurance is generally required. Fire and casualty insurance is also required on all properties securing real estate loans. Title insurance may be required, as circumstances warrant. The Company does not offer an “interest only” mortgage loan product on one- to four-family residential properties (where the borrower pays interest for an initial period, after which the loan converts to a fully amortizing loan). They also do not offer loans that provide for negative amortization of principal, such as “Option ARM” loans, where the borrower can pay less than the interest owed on the loan, resulting in an increased principal balance during the life of the loan. The Company does not offer a “subprime loan” program (loans that generally target borrowers with weakened credit histories typically characterized by payment delinquencies, previous charge-offs, judgments, bankruptcies, or borrowers with questionable repayment capacity as evidenced by low credit scores or high debt-burden ratios) or Alt-A loans (traditionally defined as loans having less than full documentation). Commercial Real Estate Loans - Underwriting standards for commercial real estate loans include a determination of the applicant’s credit history and an assessment of the applicant’s ability to meet existing obligations and payments on the proposed loan. The income approach is primarily utilized to determine whether income generated from the applicant’s business or real estate offered as collateral is adequate to repay the loan. There is an emphasis on the ratio of the property’s projected net cash flow to the loan’s debt service requirement (generally requiring a minimum ratio of 120%). In underwriting a loan, the value of the real estate offered as collateral in relation to the proposed loan amount is considered. Generally, the loan amount cannot be greater than 80% of the value of the real estate. Written appraisals are usually obtained from either licensed or certified appraisers on all commercial real estate loans in excess of $250,000. Creditworthiness of the applicant is assessed by reviewing a credit report, financial statements and tax returns of the applicant, as well as obtaining other public records regarding the applicant. Loans secured by commercial real estate generally involve a greater degree of credit risk than one- to four-family residential mortgage loans and carry larger loan balances. This increased credit risk is a result of several factors, including the effects of general economic conditions on income producing properties and the successful operation or management of the properties securing the loans. Furthermore, the repayment of loans secured by commercial real estate is typically dependent upon the successful operation of the related business and real estate property. If the cash flow from the project is reduced, the borrower’s ability to repay the loan may be impaired. Agricultural Real Estate Loans - Underwriting standards for agricultural real estate include a determination of the applicant’s credit history and an assessment of the applicant’s ability to meet existing obligations and payments on the proposed loan. The income approach is primarily utilized to determine whether income generated from the applicant’s farm operation or real estate offered as collateral is adequate to repay the loan. We emphasize the ratio of the property’s projected cash flow to the loan’s debt service requirement (generally requiring a minimum ratio of 120%). In underwriting a loan, we consider the value of the real estate offered as collateral in relation to the proposed loan amount. Generally, the loan amount cannot be greater than 80% of the value of the real estate. We usually obtain written appraisals from either licensed or certified appraisers on all agricultural real estate loans in excess of $250,000. We assess the creditworthiness of the applicant by reviewing a credit report, financial statements and tax returns of the applicant, as well as obtaining other public records regarding the applicant. Loans secured by agricultural real estate generally involve a greater degree of credit risk than one- to four-family residential mortgage loans and carry larger loan balances. This increased credit risk is a result of several factors, including the effects of general economic and market conditions on farm operations and the successful operation or management of the properties securing the loans. The repayment of loans secured by agricultural estate is typically dependent upon the successful operation of the farm and real estate property. If the cash flow is reduced, the borrower’s ability to repay the loan may be impaired. Home Equity Loans – Underwriting standards for home equity loans include a determination of the applicant’s credit history and an assessment of the applicant’s ability to meet existing obligations and payments on the proposed loan. The stability of the applicant’s monthly income may be determined by verification of gross monthly income from primary employment, and additionally from any verifiable secondary income. We also consider the length of employment with the borrower’s present employer as well as the amount of time the borrower has lived in the local area. Creditworthiness of the applicant is of primary consideration; however, the underwriting process also includes a comparison of the value of the collateral in relation to the proposed loan amount. Home equity loans entail greater risks than one- to four-family residential mortgage loans, which are secured by first lien mortgages. In such cases, collateral repossessed after a default may not provide an adequate source of repayment of the outstanding loan balance because of damage or depreciation in the value of the property or loss of equity to the first lien position. Further, home equity loan payments are dependent on the borrower’s continuing financial stability, and therefore are more likely to be adversely affected by job loss, divorce, illness or personal bankruptcy. Finally, the application of various Federal and state laws, including Federal and state bankruptcy and insolvency laws, may limit the amount which can be recovered on such loans in the event of a default. Commercial Business Loans - Underwriting standards for commercial business loans include a determination of the applicant’s ability to meet existing obligations and payments on the proposed loan from normal cash flows generated in the applicant’s business. The financial strength of each applicant is assessed through the review of financial statements and tax returns provided by the applicant. The creditworthiness of an applicant is derived from a review of credit reports as well as a search of public records. Business loans are periodically reviewed following origination. Financial statements are requested at least annually and reviewed for substantial deviations or changes that might affect repayment of the loan. Loan officers also visit the premises of borrowers to observe the business premises, facilities, and personnel and to inspect the pledged collateral. Underwriting standards for business loans are different for each type of loan depending on the financial strength of the applicant and the value of collateral offered as security. Agricultural Business Loans - Underwriting standards for agricultural business loans include a determination of the applicant’s ability to meet existing obligations and payments on the proposed loan from normal cash flows generated in the applicant’s business. The financial strength of each applicant is assessed through the review of financial statements, pro-forma cash flow statements, and tax returns provided by the applicant. The creditworthiness of an applicant is derived from a review of credit reports as well as a search of public records. Financial statements are requested at least annually and reviewed for substantial deviations or changes that might affect repayment of the loan. Loan officers may also visit the premises of borrowers to observe the operation, facilities, equipment, and personnel and to inspect the pledged collateral. Underwriting standards for agricultural business loans are different for each type of loan depending on the financial strength of the applicant and the value of collateral offered as security. The repayment of agricultural business loans generally is dependent on the successful operation of a farm and can be adversely affected by fluctuations in crop prices, increase in interest rates, and changes in weather conditions. These developments may result in smaller harvests and less income for farmers which may adversely affect such borrower’s ability to repay a loan, and potentially result in an increase in the level of problem loans and loan losses in our agricultural portfolio. While not required, the majority of our agricultural business loans are covered by crop insurance, which provides protection against loss due to lower crop yields as a result of unfavorable weather conditions. Consumer Loans – Underwriting standards for consumer loans include a determination of the applicant’s credit history and an assessment of the applicant’s ability to meet existing obligations and payments on the proposed loan. The stability of the applicant’s monthly income may be determined by verification of gross monthly income from primary employment, and additionally from any verifiable secondary income. We also consider the length of employment with the borrower’s present employer as well as the amount of time the borrower has lived in the local area. Creditworthiness of the applicant is of primary consideration; however, the underwriting process also includes a comparison of the value of the collateral in relation to the proposed loan amount. Consumer loans entail greater risks than one- to four-family residential mortgage loans, particularly consumer loans secured by rapidly depreciating assets such as automobiles or loans that are unsecured. In such cases, collateral repossessed after a default may not provide an adequate source of repayment of the outstanding loan balance because of damage, loss or depreciation. Further, consumer loan payments are dependent on the borrower’s continuing financial stability, and therefore are more likely to be adversely affected by job loss, divorce, illness or personal bankruptcy. Such events would increase our risk of loss on unsecured loans. Finally, the application of various Federal and state laws, including Federal and state bankruptcy and insolvency laws, may limit the amount which can be recovered on such loans in the event of a default. The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of and for the periods ended March 31, 2018, March 31, 2017, and December 31, 2017. March 31, 2018 Commercial Agricultural 1-4 Family Real Estate Real Estate Home Equity Commercial Agricultural Consumer Unallocated Total Allowance for Loan Losses: Beginning Balance, December 31, 2017 $ 677,107 $ 846,045 $ 225,478 $ 95,902 $ 397,572 $ 288,922 $ 239,936 $ 108,548 $ 2,879,510 Provision (credit) charged to expense (110,505 ) 42,717 4,778 (29,500 ) 4,261 (40,191 ) (35,059 ) 3,499 (160,000 ) Losses charged off - - - - - - - - - Recoveries 9,454 5,808 - 525 32 - 2,604 - 18,423 Ending balance, March 31, 2018 $ 576,056 $ 894,570 $ 230,256 $ 66,927 $ 401,865 $ 248,731 $ 207,481 $ 112,047 $ 2,737,933 Ending balance: individually evaluated for impairment $ 224,993 $ 451,367 $ - $ - $ 129,416 $ 113,131 $ - $ - $ 918,907 Ending balance: collectively evaluated for impairment $ 351,063 $ 443,203 $ 230,256 $ 66,927 $ 272,449 $ 135,600 $ 207,481 $ 112,047 $ 1,819,026 Loans: Ending balance $ 46,695,828 $ 36,092,381 $ 40,611,733 $ 9,670,718 $ 27,857,933 $ 12,551,929 $ 15,340,380 $ - $ 188,820,902 Ending balance: individually evaluated for impairment $ 1,154,224 $ 1,806,302 $ - $ 46,629 $ 1,241,386 $ 269,534 $ - $ - $ 4,518,075 Ending balance: collectively evaluated for impairment $ 45,541,604 $ 34,286,079 $ 40,611,733 $ 9,624,089 $ 26,616,547 $ 12,282,395 $ 15,340,380 $ - $ 184,302,827 March 31, 2017 Commercial Agricultural 1-4 Family Real Estate Real Estate Home Equity Commercial Agricultural Consumer Unallocated Total Allowance for Loan Losses: Beginning Balance, December 31, 2016 $ 832,000 $ 1,044,553 $ 191,359 $ 173,626 $ 301,478 $ 167,469 $ 182,653 $ 114,257 $ 3,007,395 Provision charged to expense (49,055 ) 167,304 26,801 (17,364 ) (26,604 ) (33,605 ) (12,992 ) (24,485 ) 30,000 Losses charged off (18,367 ) - - - - - - - (18,367 ) Recoveries 6,550 3,872 - 2,525 29 - 3,404 - 16,380 Ending balance, March 31, 2017 $ 771,128 $ 1,215,729 $ 218,160 $ 158,787 $ 274,903 $ 133,864 $ 173,065 $ 89,772 $ 3,035,408 Ending balance: individually evaluated for impairment $ 251,976 $ 894,407 $ - $ - $ 62,059 $ 10,796 $ - $ - $ 1,219,238 Ending balance: collectively evaluated for impairment $ 519,152 $ 321,322 $ 218,160 $ 158,787 $ 212,844 $ 123,068 $ 173,065 $ 89,772 $ 1,816,170 Loans: Ending balance $ 45,367,530 $ 38,872,870 $ 38,665,494 $ 11,032,862 $ 21,302,516 $ 11,171,580 $ 15,190,490 $ - $ 181,603,342 Ending balance: individually evaluated for impairment $ 728,294 $ 2,765,091 $ - $ 52,541 $ 518,326 $ 379,307 $ - $ - $ 4,443,559 Ending balance: collectively evaluated for impairment $ 44,639,236 $ 36,107,779 $ 38,665,494 $ 10,980,321 $ 20,784,190 $ 10,792,273 $ 15,190,490 $ - $ 177,159,783 December 31, 2017 Commercial Agricultural 1-4 Family Real Estate Real Estate Home Equity Commercial Agricultural Consumer Unallocated Total Allowance for Loan Losses: Beginning Balance, December 31, 2016 $ 832,000 $ 1,044,553 $ 191,359 $ 173,626 $ 301,478 $ 167,469 $ 182,653 $ 114,257 $ 3,007,395 Provision (credit) charged to expense (127,286 ) 95,961 34,119 (81,824 ) (305,586 ) 121,453 88,872 (5,709 ) (180,000 ) Losses charged off (51,695 ) (315,766 ) - - (2,706 ) - (39,692 ) - (409,859 ) Recoveries 24,088 21,297 - 4,100 404,386 - 8,103 - 461,974 Ending balance, December 31, 2017 $ 677,107 $ 846,045 $ 225,478 $ 95,902 $ 397,572 $ 288,922 $ 239,936 $ 108,548 $ 2,879,510 Ending balance: individually evaluated for impairment $ 176,635 $ 472,393 $ - $ - $ 132,901 $ 144,438 $ - $ - $ 926,367 Ending balance: collectively evaluated for impairment $ 500,472 $ 373,652 $ 225,478 $ 95,902 $ 264,671 $ 144,484 $ 239,936 $ 108,548 $ 1,953,143 Loans: Ending balance $ 45,844,543 $ 37,260,090 $ 40,129,028 $ 10,117,647 $ 26,934,790 $ 13,400,651 $ 15,760,797 $ - $ 189,447,546 Ending balance: individually evaluated for impairment $ 663,366 $ 1,434,722 $ - $ 43,683 $ 553,950 $ 375,951 $ - $ - $ 3,071,672 Ending balance: collectively evaluated for impairment $ 45,181,177 $ 35,825,368 $ 40,129,028 $ 10,073,964 $ 26,380,840 $ 13,024,700 $ 15,760,797 $ - $ 186,375,874 Management’s opinion as to the ultimate collectability of loans is subject to estimates regarding future cash flows from operations and the value of property, real and personal, pledged as collateral. These estimates are affected by changing economic conditions and the economic prospects of borrowers. The allowance for loan losses is maintained at a level that, in management’s judgment, is adequate to cover probable credit losses inherent in the loan portfolio at the balance sheet date. 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 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 allocated and general components. The allocated component relates to loans that are classified as impaired. For those loans that are classified as impaired, an allowance is established when the discounted cash flows (or collateral value or observable market price) of the impaired loan is lower than the carrying value of that loan. A loan is considered impaired when, based on current information and events, it is probable that the scheduled payments of principal or interest will not be able to be collected when due according to the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record and the amount of the shortfall in relation to the principal and interest owed. Impairment is measured on a loan-by-loan basis for commercial and agricultural loans by either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent. Groups of loans with similar risk characteristics are collectively evaluated for impairment based on the group’s historical loss experience adjusted for changes in trends, conditions and other relevant factors that affect repayment of the loans. Accordingly, individual consumer and residential loans are not separately identified for impairment measurements, unless such loans are the subject of a restructuring agreement due to financial difficulties of the borrower. The general component covers non-classified loans and is based on historical charge-off experience and expected loss given the internal risk rating process. The loan portfolio is stratified into homogeneous groups of loans that possess similar loss characteristics and an appropriate loss ratio adjusted for other qualitative factors is applied to the homogeneous pools of loans to estimate the incurred losses in the loan portfolio. There have been no changes to the Company’s accounting policies or methodology from the prior periods. Credit Quality Indicators The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on all loans at origination. In addition, lending relationships over $750,000, new commercial and commercial real estate loans, and watch list credits are reviewed annually by our external loan review firm in order to verify risk ratings. All watch list credits are reviewed by management and reported to the Board monthly. The Company uses the following definitions for risk ratings: Special Mention Substandard Doubtful Loans not meeting the criteria above that are analyzed individually as part of the foregoing are considered to be Pass rated loans. The following tables present the credit risk profile of the Company’s loan portfolio based on rating category and payment activity as of March 31, 2018 and December 31, 2017. 1-4 Family Commercial Real Estate Agricultural Real Estate Home Equity March 31, December 31, March 31, December 31, March 31, December 31, March 31, December 31, 2018 2017 2018 2017 2018 2017 2018 2017 Rating: Pass $ 44,082,787 $ 43,254,380 $ 33,956,183 $ 35,239,108 $ 40,375,233 $ 39,892,528 $ 9,465,581 $ 9,893,063 Special Mention 259,479 809,345 57,637 310,770 - - 49,149 75,347 Substandard 2,353,562 1,780,818 2,078,561 1,710,212 236,500 236,500 155,988 149,237 Total $ 46,695,828 $ 45,844,543 $ 36,092,381 $ 37,260,090 $ 40,611,733 $ 40,129,028 $ 9,670,718 $ 10,117,647 Commercial Agricultural Consumer Total March 31, December 31, March 31, December 31, March 31, December 31, March 31, December 31, 2018 2017 2018 2017 2018 2017 2018 2017 Rating: Pass $ 26,609,443 $ 26,367,452 $ 11,843,253 $ 12,507,114 $ 14,568,695 $ 15,043,520 $ 180,901,175 $ 182,197,165 Special Mention 3,187 8,819 43,500 139,306 11,343 17,092 424,295 1,360,679 Substandard 1,245,303 558,519 665,176 754,231 760,342 700,185 7,495,432 5,889,702 Total $ 27,857,933 $ 26,934,790 $ 12,551,929 $ 13,400,651 $ 15,340,380 $ 15,760,797 $ 188,820,902 $ 189,447,546 The following tables present the Company’s loan portfolio aging analysis as of March 31, 2018 and December 31, 2017. March 31, 2018 30-59 Days 60-89 Days Greater than 90 Total Total Loans >90 Past Due Past Due Days Past Due Past Due Current Total Loans Days & Accruing One-to-four family residential $ 545,313 $ 34,336 $ 147,753 $ 727,402 $ 45,968,426 $ 46,695,828 $ - Commercial real estate - - 158,662 158,662 35,933,719 36,092,381 - Agricultural real estate - - - - 40,611,733 40,611,733 - Home equity 52,062 24,193 - 76,255 9,594,463 9,670,718 - Commercial 4,793 - 3,918 8,711 27,849,222 27,857,933 - Agricultural - - - - 12,551,929 12,551,929 - Consumer 114,636 23,820 94,378 232,834 15,107,546 15,340,380 - Total $ 716,804 $ 82,349 $ 404,711 $ 1,203,864 $ 187,617,038 $ 188,820,902 $ - December 31, 2017 30-59 Days 60-89 Days Greater than 90 Total Total Loans >90 Past Due Past Due Days Past Due Past Due Current Total Loans Days & Accruing One-to-four family residential $ 243,627 $ 169,154 $ 157,550 $ 570,331 $ 45,274,212 $ 45,844,543 $ - Commercial real estate - 139,467 19,195 158,662 37,101,428 37,260,090 - Agricultural real estate - - - - 40,129,028 40,129,028 - Home equity 20,082 75,247 - 95,329 10,022,318 10,117,647 - Commercial 5,485 - 4,317 9,802 26,924,988 26,934,790 - Agricultural - - - - 13,400,651 13,400,651 - Consumer 74,459 105,845 11,307 191,611 15,569,186 15,760,797 - Total $ 343,653 $ 489,713 $ 192,369 $ 1,025,735 $ 188,421,811 $ 189,447,546 $ - The accrual of interest on loans is discontinued at the time the loan is 90 days past due unless the credit is well-secured and in process of collection. Past due status is based on contractual terms of the loan. In all cases, loans are placed on non-accrual or charged-off at an earlier date if collection of principal and interest is considered doubtful. All interest accrued but not collected for loans that are placed on non-accrual or charged-off are reversed against interest income. The interest on these loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Company actively seeks to reduce its investment in impaired loans. The primary tools to work through impaired loans are settlement with the borrowers or guarantors, foreclosure of the underlying collateral, or restructuring. The Company will restructure loans when the borrower demonstrates the inability to comply with the terms of the loan, but can demonstrate the ability to meet acceptable restructured terms. Restructurings generally include one or more of the following restructuring options; reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance, or other actions intended to maximize collection. Restructured l |
INVESTMENTS
INVESTMENTS | 3 Months Ended |
Mar. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS | 6. INVESTMENTS The amortized cost and approximate fair value of securities, all of which are classified as available-for-sale, are as follows: Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value March 31, 2018: U.S. government and agencies $ 11,320,387 $ - $ (701,514 ) $ 10,618,873 Mortgage-backed securities (government- sponsored enterprises - residential) 58,154,675 - (1,771,559 ) 56,383,116 Municipal bonds 42,423,929 255,895 (689,850 ) 41,989,974 $ 111,898,991 $ 255,895 $ (3,162,923 ) $ 108,991,963 December 31, 2017: U.S. government and agencies $ 11,360,796 $ - $ (489,616 ) $ 10,871,180 Mortgage-backed securities (government- sponsored enterprises - residential) 56,048,355 1,499 (818,657 ) 55,231,197 Municipal bonds 44,951,679 618,470 (277,220 ) 45,292,929 $ 112,360,830 $ 619,969 $ (1,585,493 ) $ 111,395,306 The amortized cost and fair value of available-for-sale securities at March 31, 2018, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value Within one year $ 346,687 $ 346,260 More than one to five years 4,805,045 4,818,452 More than five to ten years 19,657,634 19,308,274 After ten years 28,934,950 28,135,861 53,744,316 52,608,847 Mortgage-backed securities (government- sponsored enterprises - residential) 58,154,675 56,383,116 $ 111,898,991 $ 108,991,963 The carrying value of securities pledged as collateral, to secure public deposits and for other purposes, was $56,728,000 at March 31, 2018 and $57,341,000 at December 31, 2017. The book value of securities sold under agreement to repurchase amounted to $3,664,000 at March 31, 2018 and $5,212,000 at December 31, 2017. At March 31, 2018, we had $1,990,000 of repurchase agreements secured by U.S. government agency bonds and $1,674,000 of repurchase agreements secured by mortgage backed securities. All of our repurchase agreements mature overnight. The right of offset for a repurchase agreement resembles a secured borrowing, whereby the collateral pledged by the Company would be used to settle the fair value of the repurchase agreement should the Company be in default. The collateral is held by the Company in a segregated custodial account. In the event the collateral fair value falls below stipulated levels, the Company will pledge additional securities. The Company closely monitors collateral levels to ensure adequate levels are maintained. Gross gains of $51,000 and $129,000 and gross losses of $18,000 and $0 resulting from sales of available-for-sale securities were realized during the three months ended March 31, 2018 and 2017, respectively. Certain investments in debt securities are reported in the financial statements at an amount less than their historical cost. Total fair value of these investments at March 31, 2018 and December 31, 2017 were $95,152,000, and $82,720,000, respectively, which was approximately 87% and 74%, respectively, of the Company’s available-for-sale investment portfolio at each date. Management believes the declines in fair value for these securities are temporary. Should the impairment of any of these securities become other than temporary, the cost basis of the investment will be reduced and the resulting loss recognized in net income in the period the other-than-temporary impairment is identified. The following table shows the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous loss position, at March 31, 2018 and December 31, 2017. Less Than Twelve Months Twelve Months or More Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair March 31, 2018 Losses Value Losses Value Losses Value U.S. government agencies $ (46,195 ) $ 974,666 $ (655,319 ) $ 9,644,208 $ (701,514 ) $ 10,618,874 Mortgage-backed securities (government sponsored enterprises - residential) (718,942 ) 30,218,221 (1,052,617 ) 26,164,896 (1,771,559 ) 56,383,117 Municipal bonds (208,906 ) 5,044,653 (480,944 ) 23,105,108 (689,850 ) 28,149,761 Total $ (974,043 ) $ 36,237,540 $ (2,188,880 ) $ 58,914,212 $ (3,162,923 ) $ 95,151,752 Less Than Twelve Months Twelve Months or More Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair December 31, 2017 Losses Value Losses Value Losses Value U.S. government agencies $ (23,513 ) $ 997,972 $ (466,103 ) $ 9,873,208 $ (489,616 ) $ 10,871,180 Mortgage-backed securities (government sponsored enterprises - residential) (240,968 ) 26,489,556 (577,689 ) 27,776,303 (818,657 ) 54,265,859 Municipal bonds (138,840 ) 12,341,123 (138,380 ) 5,241,641 (277,220 ) 17,582,764 Total $ (403,321 ) $ 39,828,651 $ (1,182,172 ) $ 42,891,152 $ (1,585,493 ) $ 82,719,803 The unrealized losses on the Company’s investments in municipal bonds, U.S. government and agencies, and mortgage-backed securities were caused by interest rate increases. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost bases of the investments. Because the Company does not intend to sell the investments and it is not more likely than not the Company will be required to sell the investments before recovery of their amortized cost bases, which may be maturity, the Company does not consider these investments to be other-than-temporarily impaired at March 31, 2018 and December 31, 2017. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 3 Months Ended |
Mar. 31, 2018 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 7. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The components of accumulated other comprehensive income (loss), included in stockholders’ equity, are as follows: March 31, 2018 December 31, 2017 Net unrealized loss on securities available-for-sale $ (2,907,028 ) $ (965,524 ) Tax effect 610,476 206,784 Net-of-tax amount $ (2,296,552 ) $ (758,740 ) |
CHANGES IN ACCUMULATED OTHER CO
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (AOCI) BY COMPONENT | 3 Months Ended |
Mar. 31, 2018 | |
Changes In Accumulated Other Comprehensive Income (Aoci) By Component [Abstract] | |
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (AOCI) BY COMPONENT | 8. CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (AOCI) BY COMPONENT Amounts reclassified from AOCI and the affected line items in the statements of income during the three months ended March 31, 2018 and 2017, were as follows: Amounts Reclassified from AOCI Affected Line Item in the March 31, 2018 March 31, 2017 Statements of Income Realized gains on securities available-for-sale securities $ 32,780 $ 128,617 Net realized gains on sales of available-for-sale securities 32,780 128,617 Tax effect (6,884 ) (43,730 ) Income taxes Total reclassification out of AOCI $ 25,896 $ 84,887 Net reclassified amount |
DISCLOSURES ABOUT FAIR VALUE OF
DISCLOSURES ABOUT FAIR VALUE OF ASSETS AND LIABILITIES | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
DISCLOSURES ABOUT FAIR VALUE OF ASSETS | 9. DISCLOSURES ABOUT FAIR VALUE OF ASSETS Fair value is the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date. Fair value measurements must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets; 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. Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets. Recurring Measurements The following table presents the fair value measurements of assets recognized in the accompanying condensed consolidated balance sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2018 and December 31, 2017: March 31, 2018 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) U.S. Government and agencies $ 10,618,873 $ - $ 10,618,873 $ - Mortgage-backed securities (Government sponsored enterprises - residential) 56,383,116 - 56,383,116 - Municipal bonds 41,989,974 - 41,989,974 - December 31, 2017 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) U.S. Government and agencies $ 10,871,180 $ - $ 10,871,180 $ - Mortgage-backed securities (Government sponsored enterprises - residential) 55,231,197 - 55,231,197 - Municipal bonds 45,292,929 - 45,292,929 - Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a recurring basis and recognized in the accompanying condensed consolidated balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. There have been no significant changes in the valuation techniques during the three months ended March 31, 2018. Available-for-Sale Securities - Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using quoted prices of securities with similar characteristics or independent asset pricing services and pricing models, the inputs of which are market-based on independently sourced market perspectives, including, but not limited to, yield curves, interest rates, volatilities, prepayments, defaults, cumulative loss projections and cash flows. Such securities are classified in Level 2 of the valuation hierarchy. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy. Nonrecurring Measurements The following table presents the fair value measurement of assets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2018 and December 31, 2017: March 31, 2018 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Impaired loans (collateral dependent) $ 1,094,952 $ - $ - $ 1,094,952 December 31, 2017 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Impaired loans (collateral dependent) $ 1,049,668 $ - $ - $ 1,049,668 Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a nonrecurring basis and recognized in the accompanying condensed consolidated balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Impaired Loans (Collateral Dependent) The Company considers the appraisal or evaluation as the starting point for determining fair value and then considers other factors and events in the environment that may affect the fair value. Appraisals of the collateral underlying collateral-dependent loans are obtained when the loan is determined to be collateral-dependent and subsequently as deemed necessary. Appraisals are reviewed for accuracy and consistency. Appraisers are selected from the list of approved appraisers maintained by management. The appraised values are reduced by discounts to consider lack of marketability and estimated cost to sell if repayment or satisfaction of the loan is dependent on the sale of the collateral. Unobservable (Level 3) Inputs The following table presents quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements. Fair Value at 3/31/18 Valuation Technique Unobservable Inputs Range (Weighted Average) Collateral-dependent impaired loans 1,094,952 Market comparable properties Marketability discount 20% – 30% (25%) Fair Value at 12/31/17 Valuation Technique Unobservable Inputs Range (Weighted Average) Collateral-dependent impaired loans 1,049,668 Market comparable properties Marketability discount 20% – 30% (25%) Fair Value of Financial Instruments The following table presents estimated fair values of the Company’s other financial instruments and the level within the fair value hierarchy in which the fair value measurements fall at March 31, 2018 and December 31, 2017: March 31, 2018 Fair Value Measurements Using Quoted Prices Significant in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Amount (Level 1) (Level 2) (Level 3) Financial Assets Cash and cash equivalents $ 7,003,615 $ 7,003,615 $ - $ - Interest-earning time deposits in banks 998,000 998,000 - - Other investments 51,864 - 51,864 - Loans held for sale 275,115 - 275,115 - Loans, net of allowance for loan losses 186,070,456 - - 184,967,405 Federal Home Loan Bank stock 428,500 - 428,500 - Interest receivable 2,029,454 - 2,029,454 - Financial Liabilities Deposits 261,518,469 - 192,415,562 69,878,446 Other borrowings 3,663,976 - 3,663,976 - Advances from borrowers for taxes and insurance 1,828,407 - 1,828,407 - Interest payable 91,774 - 91,774 - Unrecognized financial instruments (net of contract amount) Commitments to originate loans - - - - Letters of credit - - - - Lines of credit - - - - December 31, 2017 Fair Value Measurements Using Quoted Prices Significant in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Amount (Level 1) (Level 2) (Level 3) Financial Assets Cash and cash equivalents $ 5,889,628 $ 5,889,628 $ - $ - Interest-earning time deposits 998,000 998,000 - - Other investments 52,502 - 52,502 - Loans held for sale 178,833 - 178,833 - Loans, net of allowance for loan losses 186,557,550 - - 185,755,924 Federal Home Loan Bank stock 490,500 - 490,500 - Interest receivable 1,997,798 - 1,997,798 - Financial Liabilities Deposits 252,700,432 - 181,052,653 72,392,640 Short-term borrowings 16,112,154 - 16,112,154 - Advances from borrowers for taxes and insurance 1,153,926 - 1,153,926 - Interest payable 106,068 - 106,068 - Unrecognized financial instruments (net of contract amount) Commitments to originate loans - - - - Letters of credit - - - - Lines of credit - - - - The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying condensed consolidated balance sheets at amounts other than fair value. Cash and Cash Equivalents, Interest-Earning Time Deposits in Banks, Interest Receivable, Federal Home Loan Bank Stock, and Other Investments Loans Held for Sale Loans – Deposits Short-term Borrowings, Interest Payable, and Advances from Borrowers for Taxes and Insurance - Commitments to Originate Loans, Letters of Credit, and Lines of Credit |
MORTGAGE SERVICING RIGHTS
MORTGAGE SERVICING RIGHTS | 3 Months Ended |
Mar. 31, 2018 | |
Transfers and Servicing [Abstract] | |
MORTGAGE SERVICING RIGHTS | 10. MORTGAGE SERVICING RIGHTS Activity in the balance of mortgage servicing rights, measured using the amortization method, for the three month period ended March 31, 2018 and the year ended December 31, 2017 was as follows: March 31, 2018 December 31, 2017 Balance, beginning of period $ 547,092 $ 552,827 Servicing rights capitalized 15,878 78,824 Amortization of servicing rights (19,760 ) (84,559 ) Balance, end of period $ 543,210 $ 547,092 |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 11. INCOME TAXES A reconciliation of income tax expense at the statutory rate to the Company’s actual income tax expense for the three months ended March 31, 2018 and 2017 is shown below. March 31, 2018 March 31, 2017 Computed at the statutory rate $ 176,894 $ 352,143 Increase (decrease) resulting from Tax exempt interest (70,899 ) (109,662 ) State income taxes, net 55,959 47,224 Increase in cash surrender value (7,973 ) (13,837 ) Other, net 125 280 Actual tax expense $ 154,106 $ 276,148 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 12. COMMITMENTS AND CONTINGENCIES Occasionally, the Company is a defendant in legal actions arising from normal business activities. Management, after consultation with legal counsel, believes that the resolution of these actions will not have any material adverse effect on the Company's consolidated financial statements. The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers in the way of commitments to extend credit. Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer's creditworthiness on a case-by-case basis. Substantially all of the Company's loans are to borrowers located in Cass, Morgan, Macoupin, Montgomery, and surrounding counties in Illinois. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share calculations for basic and diluted methods | Three Months Ended March 31, 2018 2017 Net income $ 688,246 $ 759,566 Basic average shares outstanding 1,799,897 1,784,584 Diluted potential common shares: Stock option equivalents 15,248 20,938 Diluted average shares outstanding 1,815,145 1,805,522 Basic earnings per share $ 0.38 $ 0.43 Diluted earnings per share $ 0.38 $ 0.42 |
STOCK BASED COMPENSATION (Table
STOCK BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure Of Compensation Related Costs Share based Payments [Abstract] | |
Schedule of ESOP shares | March 31, 2018 March 31, 2017 Unearned shares 14,147 16,619 Shares committed for release 618 618 Allocated shares 60,538 63,778 Total ESOP shares 75,303 81,015 Fair value of unearned shares $ 472,510 $ 520,175 |
Schedule of stock option activity | Weighted Weighted Average Average Remaining Aggregate Exercise Contractual Instrinsic Options Price/Share Life (in years) Value Outstanding, December 31, 2017 31,067 $ 15.65 Granted - - Exercised (1,596 ) 15.65 Forfeited - - Outstanding, March 31, 2018 29,471 $ 15.65 4.00 $ 523,110 Exercisable, March 31, 2018 27,686 $ 15.65 4.00 $ 491,427 |
LOAN PORTFOLIO COMPOSITION (Tab
LOAN PORTFOLIO COMPOSITION (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Receivables [Abstract] | |
Schedule of composition of loan portfolio | March 31, 2018 December 31, 2017 Amount Percent Amount Percent Real estate loans: One-to-four family residential $ 46,695,828 25.1 % $ 45,844,543 24.6 % Commercial 36,092,381 19.4 37,260,090 20.0 Agricultural 40,611,733 21.8 40,129,028 21.5 Home equity 9,670,718 5.2 10,117,647 5.4 Total real estate loans 133,070,660 71.5 133,351,308 71.5 Commercial loans 27,857,933 15.0 26,934,790 14.4 Agricultural loans 12,551,929 6.8 13,400,651 7.2 Consumer loans 15,340,380 8.2 15,760,797 8.4 Total loans receivable 188,820,902 101.5 189,447,546 101.5 Less: Net deferred loan fees 12,513 0.0 10,486 0.0 Allowance for loan losses 2,737,933 1.5 2,879,510 1.5 Total loans receivable, net $ 186,070,456 100.0 % $ 186,557,550 100.0 % |
Schedule of allowance for loan losses and recorded investment in loans based on portfolio segment and impairment method | March 31, 2018 Commercial Agricultural 1-4 Family Real Estate Real Estate Home Equity Commercial Agricultural Consumer Unallocated Total Allowance for Loan Losses: Beginning Balance, December 31, 2017 $ 677,107 $ 846,045 $ 225,478 $ 95,902 $ 397,572 $ 288,922 $ 239,936 $ 108,548 $ 2,879,510 Provision (credit) charged to expense (110,505 ) 42,717 4,778 (29,500 ) 4,261 (40,191 ) (35,059 ) 3,499 (160,000 ) Losses charged off - - - - - - - - - Recoveries 9,454 5,808 - 525 32 - 2,604 - 18,423 Ending balance, March 31, 2018 $ 576,056 $ 894,570 $ 230,256 $ 66,927 $ 401,865 $ 248,731 $ 207,481 $ 112,047 $ 2,737,933 Ending balance: individually evaluated for impairment $ 224,993 $ 451,367 $ - $ - $ 129,416 $ 113,131 $ - $ - $ 918,907 Ending balance: collectively evaluated for impairment $ 351,063 $ 443,203 $ 230,256 $ 66,927 $ 272,449 $ 135,600 $ 207,481 $ 112,047 $ 1,819,026 Loans: Ending balance $ 46,695,828 $ 36,092,381 $ 40,611,733 $ 9,670,718 $ 27,857,933 $ 12,551,929 $ 15,340,380 $ - $ 188,820,902 Ending balance: individually evaluated for impairment $ 1,154,224 $ 1,806,302 $ - $ 46,629 $ 1,241,386 $ 269,534 $ - $ - $ 4,518,075 Ending balance: collectively evaluated for impairment $ 45,541,604 $ 34,286,079 $ 40,611,733 $ 9,624,089 $ 26,616,547 $ 12,282,395 $ 15,340,380 $ - $ 184,302,827 March 31, 2017 Commercial Agricultural 1-4 Family Real Estate Real Estate Home Equity Commercial Agricultural Consumer Unallocated Total Allowance for Loan Losses: Beginning Balance, December 31, 2016 $ 832,000 $ 1,044,553 $ 191,359 $ 173,626 $ 301,478 $ 167,469 $ 182,653 $ 114,257 $ 3,007,395 Provision charged to expense (49,055 ) 167,304 26,801 (17,364 ) (26,604 ) (33,605 ) (12,992 ) (24,485 ) 30,000 Losses charged off (18,367 ) - - - - - - - (18,367 ) Recoveries 6,550 3,872 - 2,525 29 - 3,404 - 16,380 Ending balance, March 31, 2017 $ 771,128 $ 1,215,729 $ 218,160 $ 158,787 $ 274,903 $ 133,864 $ 173,065 $ 89,772 $ 3,035,408 Ending balance: individually evaluated for impairment $ 251,976 $ 894,407 $ - $ - $ 62,059 $ 10,796 $ - $ - $ 1,219,238 Ending balance: collectively evaluated for impairment $ 519,152 $ 321,322 $ 218,160 $ 158,787 $ 212,844 $ 123,068 $ 173,065 $ 89,772 $ 1,816,170 Loans: Ending balance $ 45,367,530 $ 38,872,870 $ 38,665,494 $ 11,032,862 $ 21,302,516 $ 11,171,580 $ 15,190,490 $ - $ 181,603,342 Ending balance: individually evaluated for impairment $ 728,294 $ 2,765,091 $ - $ 52,541 $ 518,326 $ 379,307 $ - $ - $ 4,443,559 Ending balance: collectively evaluated for impairment $ 44,639,236 $ 36,107,779 $ 38,665,494 $ 10,980,321 $ 20,784,190 $ 10,792,273 $ 15,190,490 $ - $ 177,159,783 December 31, 2017 Commercial Agricultural 1-4 Family Real Estate Real Estate Home Equity Commercial Agricultural Consumer Unallocated Total Allowance for Loan Losses: Beginning Balance, December 31, 2016 $ 832,000 $ 1,044,553 $ 191,359 $ 173,626 $ 301,478 $ 167,469 $ 182,653 $ 114,257 $ 3,007,395 Provision (credit) charged to expense (127,286 ) 95,961 34,119 (81,824 ) (305,586 ) 121,453 88,872 (5,709 ) (180,000 ) Losses charged off (51,695 ) (315,766 ) - - (2,706 ) - (39,692 ) - (409,859 ) Recoveries 24,088 21,297 - 4,100 404,386 - 8,103 - 461,974 Ending balance, December 31, 2017 $ 677,107 $ 846,045 $ 225,478 $ 95,902 $ 397,572 $ 288,922 $ 239,936 $ 108,548 $ 2,879,510 Ending balance: individually evaluated for impairment $ 176,635 $ 472,393 $ - $ - $ 132,901 $ 144,438 $ - $ - $ 926,367 Ending balance: collectively evaluated for impairment $ 500,472 $ 373,652 $ 225,478 $ 95,902 $ 264,671 $ 144,484 $ 239,936 $ 108,548 $ 1,953,143 Loans: Ending balance $ 45,844,543 $ 37,260,090 $ 40,129,028 $ 10,117,647 $ 26,934,790 $ 13,400,651 $ 15,760,797 $ - $ 189,447,546 Ending balance: individually evaluated for impairment $ 663,366 $ 1,434,722 $ - $ 43,683 $ 553,950 $ 375,951 $ - $ - $ 3,071,672 Ending balance: collectively evaluated for impairment $ 45,181,177 $ 35,825,368 $ 40,129,028 $ 10,073,964 $ 26,380,840 $ 13,024,700 $ 15,760,797 $ - $ 186,375,874 |
Schedule of credit risk profile of loan portfolio based on rating category and payment activity | 1-4 Family Commercial Real Estate Agricultural Real Estate Home Equity March 31, December 31, March 31, December 31, March 31, December 31, March 31, December 31, 2018 2017 2018 2017 2018 2017 2018 2017 Rating: Pass $ 44,082,787 $ 43,254,380 $ 33,956,183 $ 35,239,108 $ 40,375,233 $ 39,892,528 $ 9,465,581 $ 9,893,063 Special Mention 259,479 809,345 57,637 310,770 - - 49,149 75,347 Substandard 2,353,562 1,780,818 2,078,561 1,710,212 236,500 236,500 155,988 149,237 Total $ 46,695,828 $ 45,844,543 $ 36,092,381 $ 37,260,090 $ 40,611,733 $ 40,129,028 $ 9,670,718 $ 10,117,647 Commercial Agricultural Consumer Total March 31, December 31, March 31, December 31, March 31, December 31, March 31, December 31, 2018 2017 2018 2017 2018 2017 2018 2017 Rating: Pass $ 26,609,443 $ 26,367,452 $ 11,843,253 $ 12,507,114 $ 14,568,695 $ 15,043,520 $ 180,901,175 $ 182,197,165 Special Mention 3,187 8,819 43,500 139,306 11,343 17,092 424,295 1,360,679 Substandard 1,245,303 558,519 665,176 754,231 760,342 700,185 7,495,432 5,889,702 Total $ 27,857,933 $ 26,934,790 $ 12,551,929 $ 13,400,651 $ 15,340,380 $ 15,760,797 $ 188,820,902 $ 189,447,546 |
Schedule of loan portfolio aging analysis | March 31, 2018 30-59 Days 60-89 Days Greater than 90 Total Total Loans >90 Past Due Past Due Days Past Due Past Due Current Total Loans Days & Accruing One-to-four family residential $ 545,313 $ 34,336 $ 147,753 $ 727,402 $ 45,968,426 $ 46,695,828 $ - Commercial real estate - - 158,662 158,662 35,933,719 36,092,381 - Agricultural real estate - - - - 40,611,733 40,611,733 - Home equity 52,062 24,193 - 76,255 9,594,463 9,670,718 - Commercial 4,793 - 3,918 8,711 27,849,222 27,857,933 - Agricultural - - - - 12,551,929 12,551,929 - Consumer 114,636 23,820 94,378 232,834 15,107,546 15,340,380 - Total $ 716,804 $ 82,349 $ 404,711 $ 1,203,864 $ 187,617,038 $ 188,820,902 $ - December 31, 2017 30-59 Days 60-89 Days Greater than 90 Total Total Loans >90 Past Due Past Due Days Past Due Past Due Current Total Loans Days & Accruing One-to-four family residential $ 243,627 $ 169,154 $ 157,550 $ 570,331 $ 45,274,212 $ 45,844,543 $ - Commercial real estate - 139,467 19,195 158,662 37,101,428 37,260,090 - Agricultural real estate - - - - 40,129,028 40,129,028 - Home equity 20,082 75,247 - 95,329 10,022,318 10,117,647 - Commercial 5,485 - 4,317 9,802 26,924,988 26,934,790 - Agricultural - - - - 13,400,651 13,400,651 - Consumer 74,459 105,845 11,307 191,611 15,569,186 15,760,797 - Total $ 343,653 $ 489,713 $ 192,369 $ 1,025,735 $ 188,421,811 $ 189,447,546 $ - |
Schedule of impaired loan | Three Months Ended March 31, 2018 Average Interest Unpaid Impairment in Interest Income Recorded Principal Specific Impaired Income Recognized Balance Balance Allowance Loans Recognized Cash Basis Loans without a specific allowance: One-to-four family residential $ 212,908 $ 212,908 $ - $ 217,436 $ 2,834 $ 2,886 Commercial real estate 838,443 838,443 - 835,880 12,795 11,067 Commercial 1,111,970 1,111,970 - 1,094,363 12,940 4,828 Home equity 46,629 46,629 - 47,404 844 796 Loans with a specific allowance: One-to-four family residential 941,316 941,316 224,993 951,131 12,372 12,023 Commercial real estate 967,859 967,859 451,367 1,040,249 14,765 14,984 Commercial 129,416 129,416 129,416 145,514 2,274 3,125 Agricultural 269,534 269,534 113,131 279,762 3,159 7,549 Total: One-to-four family residential 1,154,224 1,154,224 224,993 1,168,567 15,206 14,909 Commercial real estate 1,806,302 1,806,302 451,367 1,876,129 27,560 26,051 Commercial 1,241,386 1,241,386 129,416 1,239,877 15,214 7,953 Agricultural 269,534 269,534 113,131 279,762 3,159 7,549 Home equity 46,629 46,629 - 47,404 844 796 Total $ 4,518,075 $ 4,518,075 $ 918,907 $ 4,611,739 $ 61,983 $ 57,258 Three Months Ended March 31, 2017 Average Interest Unpaid Impairment in Interest Income Recorded Principal Specific Impaired Income Recognized Balance Balance Allowance Loans Recognized Cash Basis Loans without a specific allowance: One-to-four family residential $ 231,961 $ 231,961 $ - $ 265,795 $ 3,563 $ 3,713 Commercial real estate 1,053,432 1,053,432 - 1,053,606 14,552 19,933 Commercial 411,682 411,682 - 535,531 6,732 5,924 Home equity 52,541 52,541 - 53,321 893 790 Loans with a specific allowance: One-to-four family residential 496,333 496,333 251,976 499,324 6,350 5,076 Commercial real estate 1,711,659 1,711,659 894,407 1,740,514 22,022 20,011 Commercial 106,644 106,644 62,059 112,152 975 391 Agricultural 379,307 379,307 10,796 395,658 4,800 18,313 Total: - One-to-four family residential 728,294 728,294 251,976 765,119 9,913 8,789 Commercial real estate 2,765,091 2,765,091 894,407 2,794,120 36,574 39,944 Commercial 518,326 518,326 62,059 647,683 7,707 6,315 Agricultural 379,307 379,307 10,796 395,658 4,800 18,313 Home equity 52,541 52,541 - 53,321 893 790 Total $ 4,443,559 $ 4,443,559 $ 1,219,238 $ 4,655,901 $ 59,887 $ 74,151 Year Ended December 31, 2017 Average Interest Unpaid Impairment in Interest Income Recorded Principal Specific Impaired Income Recognized Balance Balance Allowance Loans Recognized Cash Basis Loans without a specific allowance: One-to-four family residential $ 223,997 $ 223,997 $ - $ 244,463 $ 12,789 $ 12,771 Commercial real estate 444,500 444,500 - 951,010 41,732 40,184 Commercial 421,049 421,049 - 473,657 24,123 23,768 Home equity 43,683 43,683 - 52,350 3,617 3,393 Loans with a specific allowance: One-to-four family residential 439,369 439,369 176,635 434,203 21,596 20,823 Commercial real estate 990,222 990,222 472,393 1,071,991 61,601 63,773 Commercial 132,901 132,901 132,901 145,858 2,608 1,545 Agricultural 375,951 375,951 144,438 381,803 18,053 26,240 Total: One-to-four family residential 663,366 663,366 176,635 678,666 34,385 33,594 Commercial real estate 1,434,722 1,434,722 472,393 2,023,001 103,333 103,957 Commercial 553,950 553,950 132,901 619,515 26,731 25,313 Agricultural 375,951 375,951 144,438 381,803 18,053 26,240 Home equity 43,683 43,683 - 52,350 3,617 3,393 Total $ 3,071,672 $ 3,071,672 $ 926,367 $ 3,755,335 $ 186,119 $ 192,497 |
Schedule of recorded balance at original cost of troubled debt restructurings | March 31, 2018 December 31, 2017 One-to-four family residential $ 661,579 $ 677,031 Commercial real estate 947,651 965,926 Agricultural real estate 236,500 236,500 Home equity - 4,417 Commercial loans 337,748 343,414 Agricultural loans 94,000 93,914 Consumer loans 77,351 80,011 Total $ 2,354,829 $ 2,401,213 |
Schedule of recorded balance at original cost of troubled debt restructurings performing according to terms of restructuring | March 31, 2018 December 31, 2017 One-to-four family residential $ 625,816 $ 677,031 Commercial real estate 808,184 826,459 Agricultural real estate 236,500 236,500 Home equity - 4,417 Commercial loans 337,748 343,414 Agricultural loans 94,000 93,914 Consumer loans 61,173 65,006 Total $ 2,163,421 $ 2,246,741 |
Schedule of loans modified as troubled debt restructurings | Three Months Ended Three Months Ended March 31, 2018 March 31, 2017 Number of Recorded Number of Recorded Modifications Investment Modifications Investment One-to-four family residential - $ - - $ - Commercial real estate - - 1 459,987 Agricultural real estate - - 1 236,500 Home equity - - - - Commercial loans - - 1 53,194 Agricultural loans 1 94,000 - - Consumer loans - - - - Total 1 $ 94,000 3 $ 749,681 |
Schedule of nonaccrual loans | March 31, 2018 December 31, 2017 One-to-four family residential $ 435,820 $ 366,992 Commercial real estate 790,269 1,057,663 Agricultural real estate - - Home equity 93,253 86,239 Commercial loans 133,333 137,471 Agricultural loans - - Consumer loans 184,648 104,360 Total $ 1,637,323 $ 1,752,725 |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and approximate fair values of available for sale securities | Gross Gross Amortized Unrealized Unrealized Cost Gains Losses Fair Value March 31, 2018: U.S. government and agencies $ 11,320,387 $ - $ (701,514 ) $ 10,618,873 Mortgage-backed securities (government- sponsored enterprises - residential) 58,154,675 - (1,771,559 ) 56,383,116 Municipal bonds 42,423,929 255,895 (689,850 ) 41,989,974 $ 111,898,991 $ 255,895 $ (3,162,923 ) $ 108,991,963 December 31, 2017: U.S. government and agencies $ 11,360,796 $ - $ (489,616 ) $ 10,871,180 Mortgage-backed securities (government- sponsored enterprises - residential) 56,048,355 1,499 (818,657 ) 55,231,197 Municipal bonds 44,951,679 618,470 (277,220 ) 45,292,929 $ 112,360,830 $ 619,969 $ (1,585,493 ) $ 111,395,306 |
Schedule of amortized cost and fair value of available-for-sale securities by contractual maturities | Amortized Fair Cost Value Within one year $ 346,687 $ 346,260 More than one to five years 4,805,045 4,818,452 More than five to ten years 19,657,634 19,308,274 After ten years 28,934,950 28,135,861 53,744,316 52,608,847 Mortgage-backed securities (government- sponsored enterprises - residential) 58,154,675 56,383,116 $ 111,898,991 $ 108,991,963 |
Schedule of gross unrealized losses and fair value in continuous loss position | Less Than Twelve Months Twelve Months or More Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair March 31, 2018 Losses Value Losses Value Losses Value U.S. government agencies $ (46,195 ) $ 974,666 $ (655,319 ) $ 9,644,208 $ (701,514 ) $ 10,618,874 Mortgage-backed securities (government sponsored enterprises - residential) (718,942 ) 30,218,221 (1,052,617 ) 26,164,896 (1,771,559 ) 56,383,117 Municipal bonds (208,906 ) 5,044,653 (480,944 ) 23,105,108 (689,850 ) 28,149,761 Total $ (974,043 ) $ 36,237,540 $ (2,188,880 ) $ 58,914,212 $ (3,162,923 ) $ 95,151,752 Less Than Twelve Months Twelve Months or More Total Gross Gross Gross Unrealized Fair Unrealized Fair Unrealized Fair December 31, 2017 Losses Value Losses Value Losses Value U.S. government agencies $ (23,513 ) $ 997,972 $ (466,103 ) $ 9,873,208 $ (489,616 ) $ 10,871,180 Mortgage-backed securities (government sponsored enterprises - residential) (240,968 ) 26,489,556 (577,689 ) 27,776,303 (818,657 ) 54,265,859 Municipal bonds (138,840 ) 12,341,123 (138,380 ) 5,241,641 (277,220 ) 17,582,764 Total $ (403,321 ) $ 39,828,651 $ (1,182,172 ) $ 42,891,152 $ (1,585,493 ) $ 82,719,803 |
ACCUMULATED OTHER COMPREHENSI26
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Equity [Abstract] | |
Schedule of accumulated other comprehensive income | March 31, 2018 December 31, 2017 Net unrealized loss on securities available-for-sale $ (2,907,028 ) $ (965,524 ) Tax effect 610,476 206,784 Net-of-tax amount $ (2,296,552 ) $ (758,740 ) |
CHANGES IN ACCUMULATED OTHER 27
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (AOCI) BY COMPONENT (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Changes In Accumulated Other Comprehensive Income (Aoci) By Component [Abstract] | |
Schedule of reclassified from AOCI and the affected line items in the statements of income | Amounts Reclassified from AOCI Affected Line Item in the March 31, 2018 March 31, 2017 Statements of Income Realized gains on securities available-for-sale securities $ 32,780 $ 128,617 Net realized gains on sales of available-for-sale securities 32,780 128,617 Tax effect (6,884 ) (43,730 ) Income taxes Total reclassification out of AOCI $ 25,896 $ 84,887 Net reclassified amount |
DISCLOSURES ABOUT FAIR VALUE 28
DISCLOSURES ABOUT FAIR VALUE OF ASSETS AND LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value measurements of assets recognized in balance sheets measured at fair value on recurring basis | March 31, 2018 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) U.S. Government and agencies $ 10,618,873 $ - $ 10,618,873 $ - Mortgage-backed securities (Government sponsored enterprises - residential) 56,383,116 - 56,383,116 - Municipal bonds 41,989,974 - 41,989,974 - December 31, 2017 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) U.S. Government and agencies $ 10,871,180 $ - $ 10,871,180 $ - Mortgage-backed securities (Government sponsored enterprises - residential) 55,231,197 - 55,231,197 - Municipal bonds 45,292,929 - 45,292,929 - |
Schedule of fair value measurement of assets measured at fair value on nonrecurring basis | March 31, 2018 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Impaired loans (collateral dependent) $ 1,094,952 $ - $ - $ 1,094,952 December 31, 2017 Fair Value Measurements Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Impaired loans (collateral dependent) $ 1,049,668 $ - $ - $ 1,049,668 |
Schedule of quantitative information about unobservable inputs used in recurring and nonrecurring level 3 fair value measurements | Fair Value at Valuation Unobservable Inputs Range (Weighted Collateral-dependent impaired loans 1,094,952 Market comparable properties Marketability discount 20% – 30% (25%) Fair Value at Valuation Unobservable Inputs Range (Weighted Collateral-dependent impaired loans 1,049,668 Market comparable properties Marketability discount 20% – 30% (25%) |
Schedule of estimated fair values of other financial instrument | March 31, 2018 Fair Value Measurements Using Quoted Prices Significant in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Amount (Level 1) (Level 2) (Level 3) Financial Assets Cash and cash equivalents $ 7,003,615 $ 7,003,615 $ - $ - Interest-earning time deposits in banks 998,000 998,000 - - Other investments 51,864 - 51,864 - Loans held for sale 275,115 - 275,115 - Loans, net of allowance for loan losses 186,070,456 - - 184,967,405 Federal Home Loan Bank stock 428,500 - 428,500 - Interest receivable 2,029,454 - 2,029,454 - Financial Liabilities Deposits 261,518,469 - 192,415,562 69,878,446 Other borrowings 3,663,976 - 3,663,976 - Advances from borrowers for taxes and insurance 1,828,407 - 1,828,407 - Interest payable 91,774 - 91,774 - Unrecognized financial instruments (net of contract amount) Commitments to originate loans - - - - Letters of credit - - - - Lines of credit - - - - December 31, 2017 Fair Value Measurements Using Quoted Prices Significant in Active Other Significant Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs Amount (Level 1) (Level 2) (Level 3) Financial Assets Cash and cash equivalents $ 5,889,628 $ 5,889,628 $ - $ - Interest-earning time deposits 998,000 998,000 - - Other investments 52,502 - 52,502 - Loans held for sale 178,833 - 178,833 - Loans, net of allowance for loan losses 186,557,550 - - 185,755,924 Federal Home Loan Bank stock 490,500 - 490,500 - Interest receivable 1,997,798 - 1,997,798 - Financial Liabilities Deposits 252,700,432 - 181,052,653 72,392,640 Short-term borrowings 16,112,154 - 16,112,154 - Advances from borrowers for taxes and insurance 1,153,926 - 1,153,926 - Interest payable 106,068 - 106,068 - Unrecognized financial instruments (net of contract amount) Commitments to originate loans - - - - Letters of credit - - - - Lines of credit - - - - |
MORTGAGE SERVICING RIGHTS (Tabl
MORTGAGE SERVICING RIGHTS (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Transfers and Servicing [Abstract] | |
Schedule of activity in balance of mortgage servicing rights measured using amortization method | March 31, 2018 December 31, 2017 Balance, beginning of period $ 547,092 $ 552,827 Servicing rights capitalized 15,878 78,824 Amortization of servicing rights (19,760 ) (84,559 ) Balance, end of period $ 543,210 $ 547,092 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of reconciliation of income tax expense at statutory rate to actual income tax expense | March 31, 2018 March 31, 2017 Computed at the statutory rate $ 176,894 $ 352,143 Increase (decrease) resulting from Tax exempt interest (70,899 ) (109,662 ) State income taxes, net 55,959 47,224 Increase in cash surrender value (7,973 ) (13,837 ) Other, net 125 280 Actual tax expense $ 154,106 $ 276,148 |
EARNINGS PER SHARE - Earnings P
EARNINGS PER SHARE - Earnings Per Share Calculations for Basic and Diluted Methods (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | ||
Net income | $ 688,246 | $ 759,566 |
Basic average shares outstanding | 1,799,897 | 1,784,584 |
Diluted potential common shares: | ||
Stock option equivalents | 15,248 | 20,938 |
Diluted average shares outstanding | 1,815,145 | 1,805,522 |
Basic earnings per share (in dollars per share) | $ 0.38 | $ 0.43 |
Diluted earnings per share (in dollars per share) | $ 0.38 | $ 0.42 |
STOCK BASED COMPENSATION - Summ
STOCK BASED COMPENSATION - Summary of ESOP Shares (Details) - USD ($) | Mar. 31, 2018 | Mar. 31, 2017 |
Disclosure Of Compensation Related Costs Share based Payments [Abstract] | ||
Unearned shares | 14,147 | 16,619 |
Shares committed for release | 618 | 618 |
Allocated shares | 60,538 | 63,778 |
Total ESOP shares | 75,303 | 81,015 |
Fair value of unearned shares | $ 472,510 | $ 520,175 |
STOCK BASED COMPENSATION - Stoc
STOCK BASED COMPENSATION - Stock Option Activity (Details 1) - Stock Options | 3 Months Ended |
Mar. 31, 2018USD ($)$ / sharesshares | |
Options | |
Outstanding, December 31, 2017 | shares | 31,067 |
Granted | shares | 0 |
Exercised | shares | (1,596) |
Forfeited | shares | 0 |
Outstanding, March 31, 2018 | shares | 29,471 |
Exercisable, March 31, 2018 | shares | 27,686 |
Weighted Average Exercise Price/Share | |
Outstanding, December 31, 2017 | $ / shares | $ 15.65 |
Granted | $ / shares | 0 |
Exercised | $ / shares | 15.65 |
Forfeited | $ / shares | 0 |
Outstanding, March 31, 2018 | $ / shares | 15.65 |
Exercisable, March 31, 2018 | $ / shares | $ 15.65 |
Weighted Average Remaining Contractual Life (in years) | |
Outstanding, March 31, 2018 | 4 years |
Exercisable, March 31, 2018 | 4 years |
Aggregate Intrinsic Value | |
Outstanding, March 31, 2018 | $ | $ 523,110 |
Exercisable, March 31, 2018 | $ | $ 491,427 |
STOCK BASED COMPENSATION (Detai
STOCK BASED COMPENSATION (Detail Textuals) - $ / shares | 1 Months Ended | 3 Months Ended |
Apr. 24, 2012 | Mar. 31, 2018 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||
Closing price per share | $ 33.40 | |
Stock Options | ||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||
Common stock reserved and awarded | 104,035 | |
Vesting period | 5 years | |
Award expiration period | 10 years | |
Employee Stock Ownership Plan (ESOP) | ||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||
ESOP purchased an additional shares | 41,614 | |
ESOP shares, percentage of common stock issued in the offering | 4.00% | |
Maximum loan repayment term | 20 years | |
Vesting percentage | 100.00% | |
Award expiration period | 6 years |
LOAN PORTFOLIO COMPOSITION - Co
LOAN PORTFOLIO COMPOSITION - Composition of Loan Portfolio (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 188,820,902 | $ 189,447,546 | $ 181,603,342 |
Less: Net deferred loan fees | 12,513 | 10,486 | |
Less: Allowance for loan losses | 2,737,933 | 2,879,510 | |
Total loans receivable, net | $ 186,070,456 | $ 186,557,550 | |
Total loans receivable, percentage | 101.50% | 101.50% | |
Less: Net deferred loan fees, percentage | 0.00% | 0.00% | |
Less: Allowance for loan losses, percentage | 1.50% | 1.50% | |
Total loans receivable, net, percentage | 100.00% | 100.00% | |
Real estate loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 133,070,660 | $ 133,351,308 | |
Total loans receivable, percentage | 71.50% | 71.50% | |
Real estate loans | One-to-four family residential | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 46,695,828 | $ 45,844,543 | 45,367,530 |
Total loans receivable, percentage | 25.10% | 24.60% | |
Real estate loans | Commercial | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 36,092,381 | $ 37,260,090 | 38,872,870 |
Total loans receivable, percentage | 19.40% | 20.00% | |
Real estate loans | Agricultural | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 40,611,733 | $ 40,129,028 | 38,665,494 |
Total loans receivable, percentage | 21.80% | 21.50% | |
Real estate loans | Home equity | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 9,670,718 | $ 10,117,647 | 11,032,862 |
Total loans receivable, percentage | 5.20% | 5.40% | |
Commercial loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 27,857,933 | $ 26,934,790 | 21,302,516 |
Total loans receivable, percentage | 15.00% | 14.40% | |
Agricultural loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 12,551,929 | $ 13,400,651 | 11,171,580 |
Total loans receivable, percentage | 6.80% | 7.20% | |
Consumer loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total loans receivable | $ 15,340,380 | $ 15,760,797 | $ 15,190,490 |
Total loans receivable, percentage | 8.20% | 8.40% |
LOAN PORTFOLIO COMPOSITION - Ba
LOAN PORTFOLIO COMPOSITION - Balance in Allowances for Loan Losses and Recorded Investment in Loans Based on Portfolio Segment and Impairment Method (Details 1) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Allowance for Loan Losses: | |||
Beginning Balance | $ 2,879,510 | $ 3,007,395 | $ 3,007,395 |
Provision (credit) charged to expense | (160,000) | 30,000 | (180,000) |
Losses charged off | 0 | (18,367) | (409,859) |
Recoveries | 18,423 | 16,380 | 461,974 |
Ending balance | 2,737,933 | 3,035,408 | 2,879,510 |
Ending balance: individually evaluated for impairment, ending balance | 918,907 | 1,219,238 | 926,367 |
Ending balance: collectively evaluated for impairment, ending balance | 1,819,026 | 1,816,170 | 1,953,143 |
Loans: | |||
Ending balance | 188,820,902 | 181,603,342 | 189,447,546 |
Ending balance: individually evaluated for impairment, ending balance | 4,518,075 | 4,443,559 | 3,071,672 |
Ending balance: collectively evaluated for impairment, ending balance | 184,302,827 | 177,159,783 | 186,375,874 |
Real estate loans | |||
Loans: | |||
Ending balance | 133,070,660 | 133,351,308 | |
Real estate loans | 1-4 Family | |||
Allowance for Loan Losses: | |||
Beginning Balance | 677,107 | 832,000 | 832,000 |
Provision (credit) charged to expense | (110,505) | (49,055) | (127,286) |
Losses charged off | 0 | (18,367) | (51,695) |
Recoveries | 9,454 | 6,550 | 24,088 |
Ending balance | 576,056 | 771,128 | 677,107 |
Ending balance: individually evaluated for impairment, ending balance | 224,993 | 251,976 | 176,635 |
Ending balance: collectively evaluated for impairment, ending balance | 351,063 | 519,152 | 500,472 |
Loans: | |||
Ending balance | 46,695,828 | 45,367,530 | 45,844,543 |
Ending balance: individually evaluated for impairment, ending balance | 1,154,224 | 728,294 | 663,366 |
Ending balance: collectively evaluated for impairment, ending balance | 45,541,604 | 44,639,236 | 45,181,177 |
Real estate loans | Commercial real estate | |||
Allowance for Loan Losses: | |||
Beginning Balance | 846,045 | 1,044,553 | 1,044,553 |
Provision (credit) charged to expense | 42,717 | 167,304 | 95,961 |
Losses charged off | 0 | 0 | (315,766) |
Recoveries | 5,808 | 3,872 | 21,297 |
Ending balance | 894,570 | 1,215,729 | 846,045 |
Ending balance: individually evaluated for impairment, ending balance | 451,367 | 894,407 | 472,393 |
Ending balance: collectively evaluated for impairment, ending balance | 443,203 | 321,322 | 373,652 |
Loans: | |||
Ending balance | 36,092,381 | 38,872,870 | 37,260,090 |
Ending balance: individually evaluated for impairment, ending balance | 1,806,302 | 2,765,091 | 1,434,722 |
Ending balance: collectively evaluated for impairment, ending balance | 34,286,079 | 36,107,779 | 35,825,368 |
Real estate loans | Agricultural Real Estate | |||
Allowance for Loan Losses: | |||
Beginning Balance | 225,478 | 191,359 | 191,359 |
Provision (credit) charged to expense | 4,778 | 26,801 | 34,119 |
Losses charged off | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Ending balance | 230,256 | 218,160 | 225,478 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | 230,256 | 218,160 | 225,478 |
Loans: | |||
Ending balance | 40,611,733 | 38,665,494 | 40,129,028 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | 40,611,733 | 38,665,494 | 40,129,028 |
Real estate loans | Home equity | |||
Allowance for Loan Losses: | |||
Beginning Balance | 95,902 | 173,626 | 173,626 |
Provision (credit) charged to expense | (29,500) | (17,364) | (81,824) |
Losses charged off | 0 | 0 | 0 |
Recoveries | 525 | 2,525 | 4,100 |
Ending balance | 66,927 | 158,787 | 95,902 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | 66,927 | 158,787 | 95,902 |
Loans: | |||
Ending balance | 9,670,718 | 11,032,862 | 10,117,647 |
Ending balance: individually evaluated for impairment, ending balance | 46,629 | 52,541 | 43,683 |
Ending balance: collectively evaluated for impairment, ending balance | 9,624,089 | 10,980,321 | 10,073,964 |
Commercial | |||
Allowance for Loan Losses: | |||
Beginning Balance | 397,572 | 301,478 | 301,478 |
Provision (credit) charged to expense | 4,261 | (26,604) | (305,586) |
Losses charged off | 0 | 0 | (2,706) |
Recoveries | 32 | 29 | 404,386 |
Ending balance | 401,865 | 274,903 | 397,572 |
Ending balance: individually evaluated for impairment, ending balance | 129,416 | 62,059 | 132,901 |
Ending balance: collectively evaluated for impairment, ending balance | 272,449 | 212,844 | 264,671 |
Loans: | |||
Ending balance | 27,857,933 | 21,302,516 | 26,934,790 |
Ending balance: individually evaluated for impairment, ending balance | 1,241,386 | 518,326 | 553,950 |
Ending balance: collectively evaluated for impairment, ending balance | 26,616,547 | 20,784,190 | 26,380,840 |
Agricultural | |||
Allowance for Loan Losses: | |||
Beginning Balance | 288,922 | 167,469 | 167,469 |
Provision (credit) charged to expense | (40,191) | (33,605) | 121,453 |
Losses charged off | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Ending balance | 248,731 | 133,864 | 288,922 |
Ending balance: individually evaluated for impairment, ending balance | 113,131 | 10,796 | 144,438 |
Ending balance: collectively evaluated for impairment, ending balance | 135,600 | 123,068 | 144,484 |
Loans: | |||
Ending balance | 12,551,929 | 11,171,580 | 13,400,651 |
Ending balance: individually evaluated for impairment, ending balance | 269,534 | 379,307 | 375,951 |
Ending balance: collectively evaluated for impairment, ending balance | 12,282,395 | 10,792,273 | 13,024,700 |
Consumer | |||
Allowance for Loan Losses: | |||
Beginning Balance | 239,936 | 182,653 | 182,653 |
Provision (credit) charged to expense | (35,059) | (12,992) | 88,872 |
Losses charged off | 0 | 0 | (39,692) |
Recoveries | 2,604 | 3,404 | 8,103 |
Ending balance | 207,481 | 173,065 | 239,936 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | 207,481 | 173,065 | 239,936 |
Loans: | |||
Ending balance | 15,340,380 | 15,190,490 | 15,760,797 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | 15,340,380 | 15,190,490 | 15,760,797 |
Unallocated | |||
Allowance for Loan Losses: | |||
Beginning Balance | 108,548 | 114,257 | 114,257 |
Provision (credit) charged to expense | 3,499 | (24,485) | (5,709) |
Losses charged off | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 |
Ending balance | 112,047 | 89,772 | 108,548 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | 112,047 | 89,772 | 108,548 |
Loans: | |||
Ending balance | 0 | 0 | 0 |
Ending balance: individually evaluated for impairment, ending balance | 0 | 0 | 0 |
Ending balance: collectively evaluated for impairment, ending balance | $ 0 | $ 0 | $ 0 |
LOAN PORTFOLIO COMPOSITION - Cr
LOAN PORTFOLIO COMPOSITION - Credit Risk Profile of Loan Portfolio based on Rating Category and Payment Activity (Details 2) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | $ 188,820,902 | $ 189,447,546 | $ 181,603,342 |
Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 180,901,175 | 182,197,165 | |
Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 424,295 | 1,360,679 | |
Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 7,495,432 | 5,889,702 | |
Real estate loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 133,070,660 | 133,351,308 | |
Real estate loans | 1-4 Family | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 46,695,828 | 45,844,543 | 45,367,530 |
Real estate loans | 1-4 Family | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 44,082,787 | 43,254,380 | |
Real estate loans | 1-4 Family | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 259,479 | 809,345 | |
Real estate loans | 1-4 Family | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 2,353,562 | 1,780,818 | |
Real estate loans | Commercial real estate | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 36,092,381 | 37,260,090 | 38,872,870 |
Real estate loans | Commercial real estate | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 33,956,183 | 35,239,108 | |
Real estate loans | Commercial real estate | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 57,637 | 310,770 | |
Real estate loans | Commercial real estate | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 2,078,561 | 1,710,212 | |
Real estate loans | Agricultural Real Estate | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 40,611,733 | 40,129,028 | 38,665,494 |
Real estate loans | Agricultural Real Estate | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 40,375,233 | 39,892,528 | |
Real estate loans | Agricultural Real Estate | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 0 | 0 | |
Real estate loans | Agricultural Real Estate | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 236,500 | 236,500 | |
Real estate loans | Home equity | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 9,670,718 | 10,117,647 | 11,032,862 |
Real estate loans | Home equity | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 9,465,581 | 9,893,063 | |
Real estate loans | Home equity | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 49,149 | 75,347 | |
Real estate loans | Home equity | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 155,988 | 149,237 | |
Commercial | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 27,857,933 | 26,934,790 | 21,302,516 |
Commercial | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 26,609,443 | 26,367,452 | |
Commercial | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 3,187 | 8,819 | |
Commercial | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 1,245,303 | 558,519 | |
Agricultural | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 12,551,929 | 13,400,651 | 11,171,580 |
Agricultural | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 11,843,253 | 12,507,114 | |
Agricultural | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 43,500 | 139,306 | |
Agricultural | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 665,176 | 754,231 | |
Consumer loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 15,340,380 | 15,760,797 | $ 15,190,490 |
Consumer loans | Pass | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 14,568,695 | 15,043,520 | |
Consumer loans | Special Mention | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | 11,343 | 17,092 | |
Consumer loans | Substandard | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Loans receivable gross | $ 760,342 | $ 700,185 |
LOAN PORTFOLIO COMPOSITION - Lo
LOAN PORTFOLIO COMPOSITION - Loan Portfolio Aging Analysis (Details 3) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | $ 1,203,864 | $ 1,025,735 | |
Current | 187,617,038 | 188,421,811 | |
Total Loans | 188,820,902 | 189,447,546 | $ 181,603,342 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 716,804 | 343,653 | |
60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 82,349 | 489,713 | |
Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 404,711 | 192,369 | |
Real estate loans | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Loans | 133,070,660 | 133,351,308 | |
Real estate loans | One-to-four family residential | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 727,402 | 570,331 | |
Current | 45,968,426 | 45,274,212 | |
Total Loans | 46,695,828 | 45,844,543 | 45,367,530 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Real estate loans | One-to-four family residential | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 545,313 | 243,627 | |
Real estate loans | One-to-four family residential | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 34,336 | 169,154 | |
Real estate loans | One-to-four family residential | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 147,753 | 157,550 | |
Real estate loans | Commercial real estate | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 158,662 | 158,662 | |
Current | 35,933,719 | 37,101,428 | |
Total Loans | 36,092,381 | 37,260,090 | 38,872,870 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Real estate loans | Commercial real estate | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Real estate loans | Commercial real estate | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 139,467 | |
Real estate loans | Commercial real estate | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 158,662 | 19,195 | |
Real estate loans | Agricultural real estate | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Current | 40,611,733 | 40,129,028 | |
Total Loans | 40,611,733 | 40,129,028 | 38,665,494 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Real estate loans | Agricultural real estate | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Real estate loans | Agricultural real estate | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Real estate loans | Agricultural real estate | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Real estate loans | Home equity | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 76,255 | 95,329 | |
Current | 9,594,463 | 10,022,318 | |
Total Loans | 9,670,718 | 10,117,647 | 11,032,862 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Real estate loans | Home equity | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 52,062 | 20,082 | |
Real estate loans | Home equity | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 24,193 | 75,247 | |
Real estate loans | Home equity | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 8,711 | 9,802 | |
Current | 27,849,222 | 26,924,988 | |
Total Loans | 27,857,933 | 26,934,790 | 21,302,516 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Commercial | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 4,793 | 5,485 | |
Commercial | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 3,918 | 4,317 | |
Agricultural | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Current | 12,551,929 | 13,400,651 | |
Total Loans | 12,551,929 | 13,400,651 | 11,171,580 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Agricultural | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Agricultural | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Agricultural | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Consumer | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 232,834 | 191,611 | |
Current | 15,107,546 | 15,569,186 | |
Total Loans | 15,340,380 | 15,760,797 | $ 15,190,490 |
Total Loans > 90 Days & Accruing | 0 | 0 | |
Consumer | 30-59 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 114,636 | 74,459 | |
Consumer | 60-89 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | 23,820 | 105,845 | |
Consumer | Greater than 90 Days Past Due | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total Past Due | $ 94,378 | $ 11,307 |
LOAN PORTFOLIO COMPOSITION - Im
LOAN PORTFOLIO COMPOSITION - Impaired Loans (Details 4) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Financing Receivable, Impaired [Line Items] | |||
Recorded Balance, Total | $ 4,518,075 | $ 4,443,559 | $ 3,071,672 |
Unpaid Principal Balance, Total | 4,518,075 | 4,443,559 | 3,071,672 |
Specific Allowance, Total | 918,907 | 1,219,238 | 926,367 |
Average Impairment in Impaired Loans, Total | 4,611,739 | 4,655,901 | 3,755,335 |
Interest Income Recognized, Total | 61,983 | 59,887 | 186,119 |
Interest Income Recognized Cash Basis, Total | 57,258 | 74,151 | 192,497 |
Real estate loans | One-to-four family residential | |||
Financing Receivable, Impaired [Line Items] | |||
Loans without a specific valuation allowance, Recorded Balance | 212,908 | 231,961 | 223,997 |
Loans without a specific valuation allowance, Unpaid Principal Balance | 212,908 | 231,961 | 223,997 |
Loans without a specific valuation allowance, Average Impairment in Impaired Loans | 217,436 | 265,795 | 244,463 |
Loans without a specific valuation allowance, Interest Income Recognized | 2,834 | 3,563 | 12,789 |
Loans without a specific valuation allowance, Interest Income Recognized Cash Basis | 2,886 | 3,713 | 12,771 |
Loans with a specific valuation allowance, Recorded Balance | 941,316 | 496,333 | 439,369 |
Loans with a specific valuation allowance, Unpaid Principal Balance | 941,316 | 496,333 | 439,369 |
Loans with a specific valuation allowance, Specific Allowance | 224,993 | 251,976 | 176,635 |
Loans with a specific valuation allowance, Average Impairment in Impaired Loans | 951,131 | 499,324 | 434,203 |
Loans with a specific valuation allowance, Interest Income Recognized | 12,372 | 6,350 | 21,596 |
Loans with a specific valuation allowance, Interest Income Recognized Cash Basis | 12,023 | 5,076 | 20,823 |
Recorded Balance, Total | 1,154,224 | 728,294 | 663,366 |
Unpaid Principal Balance, Total | 1,154,224 | 728,294 | 663,366 |
Specific Allowance, Total | 224,993 | 251,976 | 176,635 |
Average Impairment in Impaired Loans, Total | 1,168,567 | 765,119 | 678,666 |
Interest Income Recognized, Total | 15,206 | 9,913 | 34,385 |
Interest Income Recognized Cash Basis, Total | 14,909 | 8,789 | 33,594 |
Real estate loans | Commercial real estate | |||
Financing Receivable, Impaired [Line Items] | |||
Loans without a specific valuation allowance, Recorded Balance | 838,443 | 1,053,432 | 444,500 |
Loans without a specific valuation allowance, Unpaid Principal Balance | 838,443 | 1,053,432 | 444,500 |
Loans without a specific valuation allowance, Average Impairment in Impaired Loans | 835,880 | 1,053,606 | 951,010 |
Loans without a specific valuation allowance, Interest Income Recognized | 12,795 | 14,552 | 41,732 |
Loans without a specific valuation allowance, Interest Income Recognized Cash Basis | 11,067 | 19,933 | 40,184 |
Loans with a specific valuation allowance, Recorded Balance | 967,859 | 1,711,659 | 990,222 |
Loans with a specific valuation allowance, Unpaid Principal Balance | 967,859 | 1,711,659 | 990,222 |
Loans with a specific valuation allowance, Specific Allowance | 451,367 | 894,407 | 472,393 |
Loans with a specific valuation allowance, Average Impairment in Impaired Loans | 1,040,249 | 1,740,514 | 1,071,991 |
Loans with a specific valuation allowance, Interest Income Recognized | 14,765 | 22,022 | 61,601 |
Loans with a specific valuation allowance, Interest Income Recognized Cash Basis | 14,984 | 20,011 | 63,773 |
Recorded Balance, Total | 1,806,302 | 2,765,091 | 1,434,722 |
Unpaid Principal Balance, Total | 1,806,302 | 2,765,091 | 1,434,722 |
Specific Allowance, Total | 451,367 | 894,407 | 472,393 |
Average Impairment in Impaired Loans, Total | 1,876,129 | 2,794,120 | 2,023,001 |
Interest Income Recognized, Total | 27,560 | 36,574 | 103,333 |
Interest Income Recognized Cash Basis, Total | 26,051 | 39,944 | 103,957 |
Real estate loans | Home equity | |||
Financing Receivable, Impaired [Line Items] | |||
Loans without a specific valuation allowance, Recorded Balance | 46,629 | 52,541 | 43,683 |
Loans without a specific valuation allowance, Unpaid Principal Balance | 46,629 | 52,541 | 43,683 |
Loans without a specific valuation allowance, Average Impairment in Impaired Loans | 47,404 | 53,321 | 52,350 |
Loans without a specific valuation allowance, Interest Income Recognized | 844 | 893 | 3,617 |
Loans without a specific valuation allowance, Interest Income Recognized Cash Basis | 796 | 790 | 3,393 |
Recorded Balance, Total | 46,629 | 52,541 | 43,683 |
Unpaid Principal Balance, Total | 46,629 | 52,541 | 43,683 |
Specific Allowance, Total | 0 | 0 | 0 |
Average Impairment in Impaired Loans, Total | 47,404 | 53,321 | 52,350 |
Interest Income Recognized, Total | 844 | 893 | 3,617 |
Interest Income Recognized Cash Basis, Total | 796 | 790 | 3,393 |
Commercial | |||
Financing Receivable, Impaired [Line Items] | |||
Loans without a specific valuation allowance, Recorded Balance | 1,111,970 | 411,682 | 421,049 |
Loans without a specific valuation allowance, Unpaid Principal Balance | 1,111,970 | 411,682 | 421,049 |
Loans without a specific valuation allowance, Average Impairment in Impaired Loans | 1,094,363 | 535,531 | 473,657 |
Loans without a specific valuation allowance, Interest Income Recognized | 12,940 | 6,732 | 24,123 |
Loans without a specific valuation allowance, Interest Income Recognized Cash Basis | 4,828 | 5,924 | 23,768 |
Loans with a specific valuation allowance, Recorded Balance | 129,416 | 106,644 | 132,901 |
Loans with a specific valuation allowance, Unpaid Principal Balance | 129,416 | 106,644 | 132,901 |
Loans with a specific valuation allowance, Specific Allowance | 129,416 | 62,059 | 132,901 |
Loans with a specific valuation allowance, Average Impairment in Impaired Loans | 145,514 | 112,152 | 145,858 |
Loans with a specific valuation allowance, Interest Income Recognized | 2,274 | 975 | 2,608 |
Loans with a specific valuation allowance, Interest Income Recognized Cash Basis | 3,125 | 391 | 1,545 |
Recorded Balance, Total | 1,241,386 | 518,326 | 553,950 |
Unpaid Principal Balance, Total | 1,241,386 | 518,326 | 553,950 |
Specific Allowance, Total | 129,416 | 62,059 | 132,901 |
Average Impairment in Impaired Loans, Total | 1,239,877 | 647,683 | 619,515 |
Interest Income Recognized, Total | 15,214 | 7,707 | 26,731 |
Interest Income Recognized Cash Basis, Total | 7,953 | 6,315 | 25,313 |
Agricultural | |||
Financing Receivable, Impaired [Line Items] | |||
Loans with a specific valuation allowance, Recorded Balance | 269,534 | 379,307 | 375,951 |
Loans with a specific valuation allowance, Unpaid Principal Balance | 269,534 | 379,307 | 375,951 |
Loans with a specific valuation allowance, Specific Allowance | 113,131 | 10,796 | 144,438 |
Loans with a specific valuation allowance, Average Impairment in Impaired Loans | 279,762 | 395,658 | 381,803 |
Loans with a specific valuation allowance, Interest Income Recognized | 3,159 | 4,800 | 18,053 |
Loans with a specific valuation allowance, Interest Income Recognized Cash Basis | 7,549 | 18,313 | 26,240 |
Recorded Balance, Total | 269,534 | 379,307 | 375,951 |
Unpaid Principal Balance, Total | 269,534 | 379,307 | 375,951 |
Specific Allowance, Total | 113,131 | 10,796 | 144,438 |
Average Impairment in Impaired Loans, Total | 279,762 | 395,658 | 381,803 |
Interest Income Recognized, Total | 3,159 | 4,800 | 18,053 |
Interest Income Recognized Cash Basis, Total | $ 7,549 | $ 18,313 | $ 26,240 |
LOAN PORTFOLIO COMPOSITION - Re
LOAN PORTFOLIO COMPOSITION - Recorded Balance at Original Cost of Troubled Debt Restructurings (Details 5) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | $ 2,354,829 | $ 2,401,213 |
Real estate loans | One-to-four family residential | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | 661,579 | 677,031 |
Real estate loans | Commercial real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | 947,651 | 965,926 |
Real estate loans | Agricultural real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | 236,500 | 236,500 |
Real estate loans | Home equity | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | 0 | 4,417 |
Commercial loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | 337,748 | 343,414 |
Agricultural loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | 94,000 | 93,914 |
Consumer loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost | $ 77,351 | $ 80,011 |
LOAN PORTFOLIO COMPOSITION - 41
LOAN PORTFOLIO COMPOSITION - Recorded Balance at Original Cost of Troubled Debt Restructurings which were Performing According to Terms of Restructuring (Details 6) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | $ 2,163,421 | $ 2,246,741 |
Real estate loans | One-to-four family residential | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | 625,816 | 677,031 |
Real estate loans | Commercial real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | 808,184 | 826,459 |
Real estate loans | Agricultural real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | 236,500 | 236,500 |
Real estate loans | Home equity | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | 0 | 4,417 |
Commercial loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | 337,748 | 343,414 |
Agricultural loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | 94,000 | 93,914 |
Consumer loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, original cost, performing | $ 61,173 | $ 65,006 |
LOAN PORTFOLIO COMPOSITION - 42
LOAN PORTFOLIO COMPOSITION - Loans Modified as Troubled Debt Restructurings (Details 7) | 3 Months Ended | |
Mar. 31, 2018USD ($)Loan | Mar. 31, 2017USD ($)Loan | |
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 1 | 3 |
Troubled debt restructurings, recorded investment | $ | $ 94,000 | $ 749,681 |
Real estate loans | One-to-four family residential | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 0 |
Troubled debt restructurings, recorded investment | $ | $ 0 | $ 0 |
Real estate loans | Commercial real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 1 |
Troubled debt restructurings, recorded investment | $ | $ 0 | $ 459,987 |
Real estate loans | Agricultural real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 1 |
Troubled debt restructurings, recorded investment | $ | $ 0 | $ 236,500 |
Real estate loans | Home equity | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 0 |
Troubled debt restructurings, recorded investment | $ | $ 0 | $ 0 |
Commercial loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 1 |
Troubled debt restructurings, recorded investment | $ | $ 0 | $ 53,194 |
Agricultural loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 1 | 0 |
Troubled debt restructurings, recorded investment | $ | $ 94,000 | $ 0 |
Consumer loans | ||
Financing Receivable, Modifications [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 0 |
Troubled debt restructurings, recorded investment | $ | $ 0 | $ 0 |
LOAN PORTFOLIO COMPOSITION - No
LOAN PORTFOLIO COMPOSITION - Nonaccrual Loans (Details 8) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | $ 1,637,323 | $ 1,752,725 |
Real estate loans | One-to-four family residential | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | 435,820 | 366,992 |
Real estate loans | Commercial real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | 790,269 | 1,057,663 |
Real estate loans | Agricultural real estate | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | 0 | 0 |
Real estate loans | Home equity | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | 93,253 | 86,239 |
Commercial loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | 133,333 | 137,471 |
Agricultural loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | 0 | 0 |
Consumer loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual loans excludes performing troubled debt restructurings | $ 184,648 | $ 104,360 |
LOAN PORTFOLIO COMPOSITION (Det
LOAN PORTFOLIO COMPOSITION (Detail Textuals) | 3 Months Ended | |
Mar. 31, 2018USD ($)Loan | Mar. 31, 2017USD ($)Loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing receivable credit quality amount reviewed for lending relationships | $ 750,000 | |
Loan commitments funded period | 45 days | |
Troubled debt restructurings, number of modification | Loan | 1 | 3 |
Troubled debt restructurings, recorded investment | $ 94,000 | $ 749,681 |
Officer | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Lending authority amount | 750,000 | |
Director | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Lending authority amount | 1,000,000 | |
Board of Directors | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Lending authority amount | $ 1,000,000 | |
One-to-Four Family Mortgage Loans | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 1 year | |
One-to-Four Family Mortgage Loans | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 5 years | |
Commercial Real Estate Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 1 | |
Troubled debt restructurings, recorded investment | $ 459,987 | |
Agricultural Real Estate Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings default loans, number of modification | Loan | 1 | |
Troubled debt restructurings, recorded investment | $ 236,500 | |
Home equity | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 10 years | |
Loan to value ratios | 95.00% | |
Real estate loans | One-to-Four Family Mortgage Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 0 |
Troubled debt restructurings, recorded investment | $ 0 | $ 0 |
Real estate loans | One-to-Four Family Mortgage Loans | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Origination of loan for resale to secondary market fixed rate period | 15 years | |
Loan to value ratios | 80.00% | |
Real estate loans | One-to-Four Family Mortgage Loans | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Origination of loan for resale to secondary market fixed rate period | 30 years | |
Percentage of total applicant's monthly mortgage payment total monthly income | 30.00% | |
Percentage of applicant's total monthly obligations to total monthly income | 43.00% | |
Real estate loans | Commercial Real Estate Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings default loans, number of modification | Loan | 1 | |
TDR's defaulted as they were more than 90 days past due | $ 139,467 | |
Real estate loans | Commercial Real Estate Loans | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 5 years | |
Loan to value ratios | 80.00% | |
Real estate loans | Agricultural Real Estate Loans | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 5 years | |
Loan to value ratios | 75.00% | |
Real estate loans | Home Equity Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 0 |
Troubled debt restructurings, recorded investment | $ 0 | $ 0 |
Real estate loans | Residential Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings, number of real estate loans | Loan | 1 | |
TDR's defaulted as they were more than 90 days past due | $ 67,025 | |
Real estate loans | Commercial And Agriculture Real Estate Loans | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loan to value ratios | 80.00% | |
Minimum ratio of property's projected net cash flow to loan's debt service requirement | 120.00% | |
Loan value that requires written appraisals from licensed or certified appraisers | $ 250,000 | |
Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings default loans, number of modification | Loan | 1 | |
Troubled debt restructurings, number of modification | Loan | 0 | 1 |
Troubled debt restructurings, recorded investment | $ 0 | $ 53,194 |
Agricultural | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 1 | 0 |
Troubled debt restructurings, recorded investment | $ 94,000 | $ 0 |
Agricultural | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 5 years | |
Consumer loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Troubled debt restructurings, number of modification | Loan | 0 | 0 |
Troubled debt restructurings, recorded investment | $ 0 | $ 0 |
Troubled debt restructurings, number of real estate loans | Loan | 1 | |
TDR's defaulted as they were more than 90 days past due | $ 4,245 | |
Consumer loans | Purchase Price | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loan to value ratios | 100.00% | |
Consumer loans | NADA Book Value | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loan to value ratios | 80.00% | |
Consumer loans | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 60 months | |
Freddie Mac and Federal Home Loan Bank Mortgage Loan | Real estate loans | One-to-Four Family Mortgage Loans | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans maturity term | 15 years |
INVESTMENTS - Amortized Cost an
INVESTMENTS - Amortized Cost and Approximate Fair Value of Available-for-Sale Securities (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 111,898,991 | $ 112,360,830 |
Gross Unrealized Gains | 255,895 | 619,969 |
Gross Unrealized Losses | (3,162,923) | (1,585,493) |
Fair Value | 108,991,963 | 111,395,306 |
U.S. government and agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 11,320,387 | 11,360,796 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (701,514) | (489,616) |
Fair Value | 10,618,873 | 10,871,180 |
Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 58,154,675 | 56,048,355 |
Gross Unrealized Gains | 0 | 1,499 |
Gross Unrealized Losses | (1,771,559) | (818,657) |
Fair Value | 56,383,116 | 55,231,197 |
Municipal bonds | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 42,423,929 | 44,951,679 |
Gross Unrealized Gains | 255,895 | 618,470 |
Gross Unrealized Losses | (689,850) | (277,220) |
Fair Value | $ 41,989,974 | $ 45,292,929 |
INVESTMENTS - Amortized Cost 46
INVESTMENTS - Amortized Cost and Fair Value of Available-for-Sale Securities by Contractual Maturities (Details 1) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Amortized Cost | ||
Within one year | $ 346,687 | |
More than one year to five years | 4,805,045 | |
More than five years to ten years | 19,657,634 | |
After ten years | 28,934,950 | |
Available-for-sale securities, single maturity date, amortized cost | 53,744,316 | |
Mortgage-backed securities (government- sponsored enterprises - residential) | 58,154,675 | |
Available-for-sale securities, amortized cost, total | 111,898,991 | |
Fair Value | ||
Within one year | 346,260 | |
More than one year to five years | 4,818,452 | |
More than five years to ten years | 19,308,274 | |
After ten years | 28,135,861 | |
Available-for-sale securities, single maturity date, fair value | 52,608,847 | $ 56,164,109 |
Mortgage-backed securities (government- sponsored enterprises - residential) | 56,383,116 | $ 55,231,197 |
Available-for-sale securities, fair value, total | $ 108,991,963 |
INVESTMENTS - Gross Unrealized
INVESTMENTS - Gross Unrealized Losses and Fair Value in Continuous Loss Position (Details 2) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Investments, Unrealized Loss Position [Line Items] | ||
Less Than Twelve Months, Gross Unrealized Losses | $ (974,043) | $ (403,321) |
Less Than Twelve Months, Fair Value | 36,237,540 | 39,828,651 |
Twelve Months or More, Gross Unrealized Losses | (2,188,880) | (1,182,172) |
Twelve Months or More, Fair Value | 58,914,212 | 42,891,152 |
Gross Unrealized Losses | (3,162,923) | (1,585,493) |
Fair Value | 95,151,752 | 82,719,803 |
U.S. government agencies | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less Than Twelve Months, Gross Unrealized Losses | (46,195) | (23,513) |
Less Than Twelve Months, Fair Value | 974,666 | 997,972 |
Twelve Months or More, Gross Unrealized Losses | (655,319) | (466,103) |
Twelve Months or More, Fair Value | 9,644,208 | 9,873,208 |
Gross Unrealized Losses | (701,514) | (489,616) |
Fair Value | 10,618,874 | 10,871,180 |
Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less Than Twelve Months, Gross Unrealized Losses | (718,942) | (240,968) |
Less Than Twelve Months, Fair Value | 30,218,221 | 26,489,556 |
Twelve Months or More, Gross Unrealized Losses | (1,052,617) | (577,689) |
Twelve Months or More, Fair Value | 26,164,896 | 27,776,303 |
Gross Unrealized Losses | (1,771,559) | (818,657) |
Fair Value | 56,383,117 | 54,265,859 |
Municipal bonds | ||
Investments, Unrealized Loss Position [Line Items] | ||
Less Than Twelve Months, Gross Unrealized Losses | (208,906) | (138,840) |
Less Than Twelve Months, Fair Value | 5,044,653 | 12,341,123 |
Twelve Months or More, Gross Unrealized Losses | (480,944) | (138,380) |
Twelve Months or More, Fair Value | 23,105,108 | 5,241,641 |
Gross Unrealized Losses | (689,850) | (277,220) |
Fair Value | $ 28,149,761 | $ 17,582,764 |
INVESTMENTS (Detail Textuals)
INVESTMENTS (Detail Textuals) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Investments, Unrealized Loss Position [Line Items] | |||
Securities pledged as collateral | $ 56,728,000 | $ 57,341,000 | |
Securities sold under agreements to repurchase | 3,664,000 | 5,212,000 | |
Gross realized gains on sales of available-for-sale securities | 51,000 | $ 129,000 | |
Gross realized losses on sales of available-for-sale securities | 18,000 | $ 0 | |
Debt securities, fair value | $ 95,152,000 | $ 82,720,000 | |
Percentage of available-for-sale investment portfolio | 87.00% | 74.00% | |
Mortgage backed securities | |||
Investments, Unrealized Loss Position [Line Items] | |||
Securities sold under agreements to repurchase | $ 1,674,000 | ||
U.S. government agency bonds | |||
Investments, Unrealized Loss Position [Line Items] | |||
Securities sold under agreements to repurchase | $ 1,990,000 |
ACCUMULATED OTHER COMPREHENSI49
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Other Comprehensive Income Components and Related Taxes (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Net-of-tax amount | $ (2,296,552) | $ (758,740) |
Realized gains on securities available-for-sale securities | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Net unrealized loss on securities available-for-sale | (2,907,028) | (965,524) |
Tax effect | 610,476 | 206,784 |
Net-of-tax amount | $ (2,296,552) | $ (758,740) |
CHANGES IN ACCUMULATED OTHER 50
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (AOCI) BY COMPONENT - Amount Reclassified from Accumulated Other Comprehensive Income and Affected Line Items in Statements of Income (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Tax effect | $ (6,884) | $ (43,730) |
Total reclassification out of AOCI | 25,896 | 84,887 |
Reclassification out of Accumulated Other Comprehensive Income | Realized gains on securities available-for-sale securities | Net realized gains on sales of available-for-sale securities | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Realized gains on securities available-for-sale securities | 32,780 | 128,617 |
Net realized gains on securities available-for-sale securities | 32,780 | 128,617 |
Tax effect | (6,884) | (43,730) |
Total reclassification out of AOCI | $ 25,896 | $ 84,887 |
DISCLOSURES ABOUT FAIR VALUE 51
DISCLOSURES ABOUT FAIR VALUE OF ASSETS AND LIABILITIES - Fair Value Measurements of Assets Recognized in Balance Sheets on Recurring Basis (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | $ 108,991,963 | $ 111,395,306 |
U.S. Government and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 10,618,873 | 10,871,180 |
Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 56,383,116 | 55,231,197 |
Municipal bonds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 41,989,974 | 45,292,929 |
Recurring | Fair Value | U.S. Government and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 10,618,873 | 10,871,180 |
Recurring | Fair Value | Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 56,383,116 | 55,231,197 |
Recurring | Fair Value | Municipal bonds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 41,989,974 | 45,292,929 |
Recurring | Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Government and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 0 | 0 |
Recurring | Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 0 | 0 |
Recurring | Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal bonds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 0 | 0 |
Recurring | Fair Value | Significant Other Observable Inputs (Level 2) | U.S. Government and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 10,618,873 | 10,871,180 |
Recurring | Fair Value | Significant Other Observable Inputs (Level 2) | Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 56,383,116 | 55,231,197 |
Recurring | Fair Value | Significant Other Observable Inputs (Level 2) | Municipal bonds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 41,989,974 | 45,292,929 |
Recurring | Fair Value | Significant Unobservable Inputs (Level 3) | U.S. Government and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 0 | 0 |
Recurring | Fair Value | Significant Unobservable Inputs (Level 3) | Mortgage-backed securities (government-sponsored enterprises - residential) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | 0 | 0 |
Recurring | Fair Value | Significant Unobservable Inputs (Level 3) | Municipal bonds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Available for sale | $ 0 | $ 0 |
DISCLOSURES ABOUT FAIR VALUE 52
DISCLOSURES ABOUT FAIR VALUE OF ASSETS AND LIABILITIES - Fair Value Measurement of Assets Measured at Fair Value on Nonrecurring Basis (Details 1) - Fair Value - Impaired loans (collateral dependent) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | $ 1,094,952 | $ 1,049,668 |
Nonrecurring | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | 1,094,952 | 1,049,668 |
Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | 0 | 0 |
Nonrecurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | 0 | 0 |
Nonrecurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | $ 1,094,952 | $ 1,049,668 |
DISCLOSURES ABOUT FAIR VALUE 53
DISCLOSURES ABOUT FAIR VALUE OF ASSETS AND LIABILITIES - Quantitative Information about Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements (Details 2) - Collateral-dependent impaired loans - Fair Value - Significant Unobservable Inputs (Level 3) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on a nonrecurring basis | $ 1,094,952 | $ 1,049,668 |
Valuation Technique | Market comparable properties | Market comparable properties |
Unobservable Inputs | Marketability discount | Marketability discount |
Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketability discount | 20.00% | 20.00% |
Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketability discount | 30.00% | 30.00% |
Weighted Average | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketability discount | 25.00% | 25.00% |
DISCLOSURES ABOUT FAIR VALUE 54
DISCLOSURES ABOUT FAIR VALUE OF ASSETS AND LIABILITIES - Estimated Fair Values of Other Financial Instruments (Details 3) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Carrying Amount | ||
Financial Assets | ||
Cash and cash equivalents | $ 7,003,615 | $ 5,889,628 |
Interest-earning time deposits in banks | 998,000 | 998,000 |
Other investments | 51,864 | 52,502 |
Loans held for sale | 275,115 | 178,833 |
Loans, net of allowance for loan losses | 186,070,456 | 186,557,550 |
Federal Home Loan Bank stock | 428,500 | 490,500 |
Interest receivable | 2,029,454 | 1,997,798 |
Financial Liabilities | ||
Deposits | 261,518,469 | 252,700,432 |
Other borrowings | 3,663,976 | 16,112,154 |
Advances from borrowers for taxes and insurance | 1,828,407 | 1,153,926 |
Interest payable | 91,774 | 106,068 |
Unrecognized financial instruments (net of contract amount) | ||
Commitments to originate loans | 0 | 0 |
Letters of credit | 0 | 0 |
Lines of credit | 0 | 0 |
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial Assets | ||
Cash and cash equivalents | 7,003,615 | 5,889,628 |
Interest-earning time deposits in banks | 998,000 | 998,000 |
Other investments | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net of allowance for loan losses | 0 | 0 |
Federal Home Loan Bank stock | 0 | 0 |
Interest receivable | 0 | 0 |
Financial Liabilities | ||
Deposits | 0 | 0 |
Other borrowings | 0 | 0 |
Advances from borrowers for taxes and insurance | 0 | 0 |
Interest payable | 0 | 0 |
Unrecognized financial instruments (net of contract amount) | ||
Commitments to originate loans | 0 | 0 |
Letters of credit | 0 | 0 |
Lines of credit | 0 | 0 |
Fair Value | Significant Other Observable Inputs (Level 2) | ||
Financial Assets | ||
Cash and cash equivalents | 0 | 0 |
Interest-earning time deposits in banks | 0 | 0 |
Other investments | 51,864 | 52,502 |
Loans held for sale | 275,115 | 178,833 |
Loans, net of allowance for loan losses | 0 | 0 |
Federal Home Loan Bank stock | 428,500 | 490,500 |
Interest receivable | 2,029,454 | 1,997,798 |
Financial Liabilities | ||
Deposits | 192,415,562 | 181,052,653 |
Other borrowings | 3,663,976 | 16,112,154 |
Advances from borrowers for taxes and insurance | 1,828,407 | 1,153,926 |
Interest payable | 91,774 | 106,068 |
Unrecognized financial instruments (net of contract amount) | ||
Commitments to originate loans | 0 | 0 |
Letters of credit | 0 | 0 |
Lines of credit | 0 | 0 |
Fair Value | Significant Unobservable Inputs (Level 3) | ||
Financial Assets | ||
Cash and cash equivalents | 0 | 0 |
Interest-earning time deposits in banks | 0 | 0 |
Other investments | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net of allowance for loan losses | 184,967,405 | 185,755,924 |
Federal Home Loan Bank stock | 0 | 0 |
Interest receivable | 0 | 0 |
Financial Liabilities | ||
Deposits | 69,878,446 | 72,392,640 |
Other borrowings | 0 | 0 |
Advances from borrowers for taxes and insurance | 0 | 0 |
Interest payable | 0 | 0 |
Unrecognized financial instruments (net of contract amount) | ||
Commitments to originate loans | 0 | 0 |
Letters of credit | 0 | 0 |
Lines of credit | $ 0 | $ 0 |
MORTGAGE SERVICING RIGHTS - Act
MORTGAGE SERVICING RIGHTS - Activity in the balance of Mortgage Servicing Rights Measured using Amortization Method (Details) - Mortgage servicing rights - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Balance, beginning of period | $ 547,092 | $ 552,827 |
Servicing rights capitalized | 15,878 | 78,824 |
Amortization of servicing rights | (19,760) | (84,559) |
Balance, end of period | $ 543,210 | $ 547,092 |
INCOME TAXES - Reconciliation o
INCOME TAXES - Reconciliation of Income Tax Expense at Statutory Rate to Actual Income Tax Expense (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Computed at the statutory rate | $ 176,894 | $ 352,143 |
Increase (decrease) resulting from | ||
Tax exempt interest | (70,899) | (109,662) |
State income taxes, net | 55,959 | 47,224 |
Increase in cash surrender value | (7,973) | (13,837) |
Other, net | 125 | 280 |
Actual tax expense | $ 154,106 | $ 276,148 |