Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2024 | Aug. 06, 2024 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-35542 | |
Entity Registrant Name | Customers Bancorp, Inc. | |
Entity Incorporation, State or Country Code | PA | |
Entity Tax Identification Number | 27-2290659 | |
Entity Address, Address Line One | 701 Reading Avenue | |
Entity Address, City or Town | West Reading | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 19611 | |
City Area Code | 610 | |
Local Phone Number | 933-2000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 31,697,638 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001488813 | |
Current Fiscal Year End Date | --12-31 | |
Voting Common Stock, par value $1.00 per share | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Voting Common Stock, par value $1.00 per share | |
Trading Symbol | CUBI | |
Security Exchange Name | NYSE | |
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series E, par value $1.00 per share | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Fixed-to-Floating Rate Non-Cumulative PerpetualPreferred Stock, Series E, par value $1.00 per share | |
Trading Symbol | CUBI/PE | |
Security Exchange Name | NYSE | |
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series F, par value $1.00 per share | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Fixed-to-Floating Rate Non-Cumulative PerpetualPreferred Stock, Series F, par value $1.00 per share | |
Trading Symbol | CUBI/PF | |
Security Exchange Name | NYSE | |
5.375% Subordinated Notes due 2034 | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 5.375% Subordinated Notes due 2034 | |
Trading Symbol | CUBB | |
Security Exchange Name | NYSE |
CONSOLIDATED BALANCE SHEET _ UN
CONSOLIDATED BALANCE SHEET — UNAUDITED - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
ASSETS | ||
Cash and due from banks | $ 45,045 | $ 45,210 |
Interest earning deposits | 3,003,542 | 3,801,136 |
Cash and cash equivalents | 3,048,587 | 3,846,346 |
Investment securities, at fair value (includes allowance for credit losses of $5,339 and $3,952, respectively) | 2,511,650 | 2,405,640 |
Investment securities held to maturity | 962,799 | 1,103,170 |
Loans held for sale (includes $250,126 and $189,277, respectively, at fair value) | 375,724 | 340,317 |
Loans and leases receivable | 12,254,204 | 11,963,855 |
Loans receivable, mortgage finance, at fair value | 1,002,711 | 897,912 |
Allowance for credit losses on loans and leases | (132,436) | (135,311) |
Total loans and leases receivable, net of allowance for credit losses on loans and leases | 13,124,479 | 12,726,456 |
FHLB, Federal Reserve Bank, and other restricted stock | 92,276 | 109,548 |
Accrued interest receivable | 112,788 | 114,766 |
Bank premises and equipment, net | 7,019 | 7,371 |
Bank-owned life insurance | 293,108 | 292,193 |
Goodwill and other intangibles | 3,629 | 3,629 |
Other assets | 410,916 | 366,829 |
Total assets | 20,942,975 | 21,316,265 |
Deposits: | ||
Demand, non-interest bearing | 4,474,862 | 4,422,494 |
Interest bearing | 13,203,231 | 13,497,742 |
Total deposits | 17,678,093 | 17,920,236 |
FHLB advances | 1,018,349 | 1,203,207 |
Other borrowings | 123,970 | 123,840 |
Subordinated debt | 182,370 | 182,230 |
Accrued interest payable and other liabilities | 193,328 | 248,358 |
Total liabilities | 19,196,110 | 19,677,871 |
Commitments and contingencies (NOTE 15) | ||
Shareholders’ equity: | ||
Preferred stock, par value $1.00 per share; liquidation preference $25.00 per share; 100,000,000 shares authorized, 5,700,000 shares issued and outstanding as of June 30, 2024 and December 31, 2023 | 137,794 | 137,794 |
Common stock, par value $1.00 per share; 200,000,000 shares authorized; 35,686,091 and 35,459,342 shares issued as of June 30, 2024 and December 31, 2023; 31,667,655 and 31,440,906 shares outstanding as of June 30, 2024 and December 31, 2023 | 35,686 | 35,459 |
Additional paid in capital | 567,345 | 564,538 |
Retained earnings | 1,259,808 | 1,159,582 |
Accumulated other comprehensive income (loss), net | (131,358) | (136,569) |
Treasury stock, at cost (4,018,436 shares as of June 30, 2024 and December 31, 2023) | (122,410) | (122,410) |
Total shareholders’ equity | 1,746,865 | 1,638,394 |
Total liabilities and shareholders’ equity | $ 20,942,975 | $ 21,316,265 |
CONSOLIDATED BALANCE SHEET _ _2
CONSOLIDATED BALANCE SHEET — UNAUDITED (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Allowance for credit losses, available for sale securities | $ 5,339 | $ 3,952 |
Loans held for sale at fair value | $ 250,126 | $ 189,277 |
Preferred stock, par value (usd per share) | $ 1 | $ 1 |
Preferred stock, liquidation preference (usd per share) | $ 25 | $ 25 |
Preferred stock, shares authorized (shares) | 100,000,000 | 100,000,000 |
Preferred stock, shares issued (shares) | 5,700,000 | 5,700,000 |
Preferred stock, shares outstanding (shares) | 5,700,000 | 5,700,000 |
Common stock, par value (usd per share) | $ 1 | $ 1 |
Common stock, shares authorized (shares) | 200,000,000 | 200,000,000 |
Common stock, shares issued (shares) | 35,686,091 | 35,459,342 |
Common stock, shares outstanding (shares) | 31,667,655 | 31,440,906 |
Treasury stock (shares) | 4,018,436 | 4,018,436 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (LOSS) — UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Interest income: | ||||
Loans and leases | $ 224,265 | $ 241,745 | $ 442,264 | $ 485,957 |
Investment securities | 47,586 | 48,026 | 94,388 | 95,342 |
Interest earning deposits | 45,506 | 27,624 | 98,323 | 38,019 |
Loans held for sale | 13,671 | 11,149 | 25,719 | 22,850 |
Other | 3,010 | 1,616 | 5,121 | 2,937 |
Total interest income | 334,038 | 330,160 | 665,815 | 645,105 |
Interest expense: | ||||
Deposits | 148,784 | 136,375 | 302,509 | 280,305 |
FHLB advances | 13,437 | 24,285 | 26,922 | 34,655 |
FRB advances | 0 | 0 | 0 | 6,286 |
Subordinated debt | 2,734 | 2,689 | 5,423 | 5,378 |
Other borrowings | 1,430 | 1,540 | 2,923 | 3,311 |
Total interest expense | 166,385 | 164,889 | 337,777 | 329,935 |
Net interest income | 167,653 | 165,271 | 328,038 | 315,170 |
Provision for credit losses | 18,121 | 23,629 | 35,191 | 43,232 |
Net interest income after provision for credit losses | 149,532 | 141,642 | 292,847 | 271,938 |
Non-interest income: | ||||
Commercial lease income | 10,282 | 8,917 | 19,965 | 18,243 |
Loan fees | 5,233 | 4,271 | 10,513 | 8,261 |
Bank-owned life insurance | 2,007 | 4,997 | 5,268 | 7,644 |
Mortgage finance transactional fees | 1,058 | 1,376 | 2,004 | 2,450 |
Net gain (loss) on sale of loans | (238) | (761) | (228) | (761) |
Loss on sale of capital call lines of credit | 0 | (5,037) | 0 | (5,037) |
Net gain (loss) on sale of investment securities | (719) | 0 | (749) | 0 |
Unrealized gain on equity method investments | 11,041 | 0 | 11,041 | 0 |
Other | 2,373 | 2,234 | 4,454 | 3,318 |
Total non-interest income | 31,037 | 15,997 | 52,268 | 34,118 |
Non-interest expense: | ||||
Salaries and employee benefits | 44,947 | 33,120 | 80,972 | 65,465 |
Technology, communication and bank operations | 16,227 | 16,407 | 38,131 | 32,996 |
Commercial lease depreciation | 7,829 | 7,328 | 15,799 | 15,203 |
Professional services | 6,104 | 9,192 | 12,457 | 16,788 |
Loan servicing | 3,516 | 4,777 | 7,547 | 9,438 |
Occupancy | 3,120 | 2,519 | 5,467 | 5,279 |
FDIC assessments, non-income taxes and regulatory fees | 10,236 | 9,780 | 23,705 | 12,508 |
Advertising and promotion | 1,254 | 546 | 1,936 | 1,595 |
Other | 10,219 | 5,628 | 16,607 | 10,158 |
Total non-interest expense | 103,452 | 89,297 | 202,621 | 169,430 |
Income before income tax expense | 77,117 | 68,342 | 142,494 | 136,626 |
Income tax expense | 19,032 | 20,768 | 34,683 | 35,331 |
Net income | 58,085 | 47,574 | 107,811 | 101,295 |
Preferred stock dividends | 3,785 | 3,567 | 7,585 | 7,023 |
Net income available to common shareholders, basic | 54,300 | 44,007 | 100,226 | 94,272 |
Net income available to common shareholders, diluted | $ 54,300 | $ 44,007 | $ 100,226 | $ 94,272 |
Basic earnings per common share (usd per share) | $ 1.72 | $ 1.41 | $ 3.18 | $ 2.99 |
Diluted earnings per common share (usd per share) | $ 1.66 | $ 1.39 | $ 3.06 | $ 2.95 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) — UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 58,085 | $ 47,574 | $ 107,811 | $ 101,295 |
Unrealized gains (losses) on available for sale debt securities: | ||||
Unrealized gains (losses) arising during the period | (851) | (17,401) | 3,629 | (9,131) |
Income tax effect | 219 | 4,420 | (919) | 2,319 |
Reclassification adjustments for (gains) losses included in net income | 719 | 0 | 749 | 0 |
Income tax effect | (185) | 0 | (193) | 0 |
Amortization of unrealized loss on securities transferred from available-for-sale to held-to-maturity | 1,406 | 1,449 | 2,612 | 2,321 |
Income tax effect | (361) | (368) | (667) | (589) |
Net unrealized gains (losses) on available for sale debt securities | 947 | (11,900) | 5,211 | (5,080) |
Other comprehensive income (loss), net of income tax effect | 947 | (11,900) | 5,211 | (5,080) |
Comprehensive income (loss) | $ 59,032 | $ 35,674 | $ 113,022 | $ 96,215 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY — UNAUDITED - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | |
Beginning balance, preferred stock (shares) at Dec. 31, 2022 | 5,700,000 | |||||||
Beginning balance at Dec. 31, 2022 | $ 1,402,961 | $ 137,794 | $ 35,012 | $ 551,721 | $ 924,134 | $ (163,096) | $ (82,604) | |
Beginning balance, common stock (shares) at Dec. 31, 2022 | 32,373,697 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 101,295 | 101,295 | ||||||
Other comprehensive income (loss) | (5,080) | (5,080) | ||||||
Preferred stock dividends | [1] | (7,023) | (7,023) | |||||
Share-based compensation expense | 6,468 | 6,468 | ||||||
Issuance of common stock under share-based compensation arrangements (shares) | 288,504 | |||||||
Issuance of common stock under share-based compensation arrangements | (2,163) | $ 289 | (2,452) | |||||
Repurchase of common shares (in shares) | (1,379,883) | |||||||
Repurchase of common shares | (39,806) | (39,806) | ||||||
Ending balance, preferred stock (shares) at Jun. 30, 2023 | 5,700,000 | |||||||
Ending balance at Jun. 30, 2023 | 1,456,652 | $ 137,794 | $ 35,301 | 555,737 | 1,018,406 | (168,176) | (122,410) | |
Ending balance, common stock (shares) at Jun. 30, 2023 | 31,282,318 | |||||||
Beginning balance, preferred stock (shares) at Mar. 31, 2023 | 5,700,000 | |||||||
Beginning balance at Mar. 31, 2023 | 1,421,020 | $ 137,794 | $ 35,258 | 552,255 | 974,399 | (156,276) | (122,410) | |
Beginning balance, common stock (shares) at Mar. 31, 2023 | 31,239,750 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 47,574 | 47,574 | ||||||
Other comprehensive income (loss) | (11,900) | (11,900) | ||||||
Preferred stock dividends | [2] | (3,567) | (3,567) | |||||
Share-based compensation expense | 3,488 | 3,488 | ||||||
Issuance of common stock under share-based compensation arrangements (shares) | 42,568 | |||||||
Issuance of common stock under share-based compensation arrangements | 37 | $ 43 | (6) | |||||
Ending balance, preferred stock (shares) at Jun. 30, 2023 | 5,700,000 | |||||||
Ending balance at Jun. 30, 2023 | $ 1,456,652 | $ 137,794 | $ 35,301 | 555,737 | 1,018,406 | (168,176) | (122,410) | |
Ending balance, common stock (shares) at Jun. 30, 2023 | 31,282,318 | |||||||
Beginning balance, preferred stock (shares) at Dec. 31, 2023 | 5,700,000 | 5,700,000 | ||||||
Beginning balance at Dec. 31, 2023 | $ 1,638,394 | $ 137,794 | $ 35,459 | 564,538 | 1,159,582 | (136,569) | (122,410) | |
Beginning balance, common stock (shares) at Dec. 31, 2023 | 31,440,906 | 31,440,906 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | $ 107,811 | 107,811 | ||||||
Other comprehensive income (loss) | 5,211 | 5,211 | ||||||
Preferred stock dividends | [1] | (7,585) | (7,585) | |||||
Share-based compensation expense | 7,246 | 7,246 | ||||||
Issuance of common stock under share-based compensation arrangements (shares) | 226,749 | |||||||
Issuance of common stock under share-based compensation arrangements | $ (4,212) | $ 227 | (4,439) | |||||
Repurchase of common shares (in shares) | (1,379,883) | |||||||
Repurchase of common shares | $ (39,800) | |||||||
Ending balance, preferred stock (shares) at Jun. 30, 2024 | 5,700,000 | 5,700,000 | ||||||
Ending balance at Jun. 30, 2024 | $ 1,746,865 | $ 137,794 | $ 35,686 | 567,345 | 1,259,808 | (131,358) | (122,410) | |
Ending balance, common stock (shares) at Jun. 30, 2024 | 31,667,655 | 31,667,655 | ||||||
Beginning balance, preferred stock (shares) at Mar. 31, 2024 | 5,700,000 | |||||||
Beginning balance at Mar. 31, 2024 | $ 1,691,617 | $ 137,794 | $ 35,540 | 567,490 | 1,205,508 | (132,305) | (122,410) | |
Beginning balance, common stock (shares) at Mar. 31, 2024 | 31,521,931 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 58,085 | 58,085 | ||||||
Other comprehensive income (loss) | 947 | 947 | ||||||
Preferred stock dividends | [2] | (3,785) | (3,785) | |||||
Share-based compensation expense | 3,270 | 3,270 | ||||||
Issuance of common stock under share-based compensation arrangements (shares) | 145,724 | |||||||
Issuance of common stock under share-based compensation arrangements | $ (3,269) | $ 146 | (3,415) | |||||
Repurchase of common shares (in shares) | 0 | |||||||
Ending balance, preferred stock (shares) at Jun. 30, 2024 | 5,700,000 | 5,700,000 | ||||||
Ending balance at Jun. 30, 2024 | $ 1,746,865 | $ 137,794 | $ 35,686 | $ 567,345 | $ 1,259,808 | $ (131,358) | $ (122,410) | |
Ending balance, common stock (shares) at Jun. 30, 2024 | 31,667,655 | 31,667,655 | ||||||
[1] Dividends per share of $1.382118 and $1.333556 were declared on Series E and F preferred stock, respectively, for the six months ended June 30, 2024. Dividends per share of $1.258604 and $1.210829 were declared on Series E and F preferred stock, respectively, for the six months ended June 30, 2023. Dividends per share of $0.700488 and $0.675813 were declared on Series E and F preferred stock, respectively, for the three months ended June 30, 2024. Dividends per share of $0.639291 and $0.615141 were declared on Series E and F preferred stock, respectively, for the three months ended June 30, 2023. |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY — UNAUDITED (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Series E Preferred Stock | ||||
Preferred stock, dividends, per share, cash paid (usd per share) | $ 0.700488 | $ 0.639291 | $ 1.382118 | $ 1.258604 |
Series F Preferred Stock | ||||
Preferred stock, dividends, per share, cash paid (usd per share) | $ 0.675813 | $ 0.615141 | $ 1.333556 | $ 1.210829 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS — UNAUDITED - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Cash Flows from Operating Activities | ||
Net income from continuing operations | $ 107,811 | $ 101,295 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Provision for credit losses | 35,191 | 43,232 |
Depreciation and amortization | 14,709 | 16,569 |
Share-based compensation expense | 7,071 | 6,518 |
Deferred taxes | (529) | 2,766 |
Net amortization (accretion) of investment securities premiums and discounts | (4,689) | (5,778) |
Unrealized (gain) loss on investment securities | 69 | 0 |
Net (gain) loss on sale of investment securities | 749 | 0 |
Unrealized gain on equity method investments | (11,041) | 0 |
Impairment loss on fixed assets and leases | 0 | 124 |
Unrealized (gain) loss on derivatives | (720) | (139) |
Settlement of terminated fair value hedge derivatives | 0 | 4,630 |
(Gain) loss on sale of leased assets under lessor operating leases | (1,660) | 202 |
Net (gain) loss on sale of loans | 86 | 625 |
Loss on sale of capital call lines of credit | 0 | 5,037 |
Origination and purchases of loans held for sale | (694,847) | (309,590) |
Proceeds from the sales and repayments of loans held for sale | 655,749 | 313,685 |
Amortization (accretion) of loan net deferred fees, discounts and premiums | (16,809) | (32,174) |
Earnings on investment in bank-owned life insurance | (5,268) | (7,644) |
(Increase) decrease in accrued interest receivable and other assets | (43,888) | (70,818) |
Increase (decrease) in accrued interest payable and other liabilities | (54,727) | 38,465 |
Net Cash Provided By (Used In) Operating Activities | (12,743) | 107,005 |
Cash Flows from Investing Activities | ||
Proceeds from maturities, calls and principal repayments of investment securities available for sale | 259,666 | 156,297 |
Proceeds from maturities, calls and principal repayments of investment securities held to maturity | 142,791 | 94,286 |
Proceeds from sales of investment securities available for sale | 240,688 | 0 |
Purchases of investment securities available for sale | (599,311) | 0 |
Purchases of investment securities held to maturity | 0 | (73,074) |
Purchases of equity method investments | (5,000) | 0 |
Origination of mortgage finance loans | (10,386,402) | (10,104,913) |
Proceeds from repayments of mortgage finance loans | 10,278,131 | 10,452,136 |
Net (increase) decrease in loans and leases, excluding mortgage finance loans | (276,242) | 1,290,224 |
Proceeds from sales of loans and leases | 23,708 | 397,107 |
Purchases of loans | (50,644) | (600,674) |
Proceeds from bank-owned life insurance | 2,563 | 55,227 |
Net proceeds from sale of FHLB, Federal Reserve Bank, and other restricted stock | 18,267 | |
Net purchases from sale of FHLB, Federal Reserve Bank, and other restricted stock | (52,044) | |
Purchases of bank premises and equipment | (736) | (154) |
Proceeds from sale of other real estate owned | 79 | 0 |
Proceeds from sales of leased assets under lessor operating leases | 13,724 | 569 |
Purchases of leased assets under lessor operating leases | (19,601) | (14,881) |
Net Cash Provided By (Used In) Investing Activities | (358,319) | 1,600,106 |
Cash Flows from Financing Activities | ||
Net increase (decrease) in deposits | (239,772) | (208,662) |
Net increase (decrease) in short-term borrowed funds from FHLB | 0 | (300,000) |
Proceeds from long-term borrowed funds from FHLB and FRB | 75,000 | 2,565,000 |
Repayments of long-term borrowed funds from FHLB and FRB | (250,000) | (1,015,000) |
Preferred stock dividends paid | (7,713) | (7,012) |
Purchase of treasury stock | 0 | (39,806) |
Payments of employee taxes withheld from share-based awards | (4,989) | (2,373) |
Proceeds from issuance of common stock | 777 | 160 |
Net Cash Provided By (Used In) Financing Activities | (426,697) | 992,307 |
Net Increase (Decrease) in Cash and Cash Equivalents | (797,759) | 2,699,418 |
Cash and Cash Equivalents – Beginning | 3,846,346 | 455,806 |
Cash and Cash Equivalents – Ending | 3,048,587 | 3,155,224 |
Non-cash Investing and Financing Activities: | ||
Purchases of investment securities held to maturity upon sale of consumer installment loans | 0 | 436,841 |
Transfer of loans held for investment to held for sale | 24,804 | 256,465 |
Transfer of loans held for sale to held for investment | $ 3,194 | $ 14,377 |
DESCRIPTION OF THE BUSINESS
DESCRIPTION OF THE BUSINESS | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF THE BUSINESS | DESCRIPTION OF THE BUSINESS Customers Bancorp, Inc. (“Customers Bancorp”) is a bank holding company engaged in banking activities through its wholly owned subsidiary, Customers Bank (“the Bank”), collectively referred to as “Customers” herein. Customers Bancorp and its wholly owned subsidiaries, the Bank, and non-bank subsidiaries, serve businesses and residents in Berks County and Southeastern Pennsylvania (Bucks, Chester and Philadelphia Counties); New York (Westchester and Suffolk Counties, and Manhattan); Hamilton, New Jersey; Boston, Massachusetts; Providence, Rhode Island; Portsmouth, New Hampshire; Chicago, Illinois; Dallas, Texas; Wilmington, North Carolina; and nationally for certain loan and deposit products. The Bank has seven branches and provides commercial banking products, primarily loans and deposits. In addition, the Bank also administratively supports loan and other financial products, including equipment finance leases, to customers through its limited-purpose offices. The Bank also serves specialized businesses nationwide, including its mortgage finance loans, commercial equipment financing, SBA lending, specialized lending and consumer loans through relationships with fintech companies. The Bank is subject to regulation of the Pennsylvania Department of Banking and Securities and the Federal Reserve Bank and is periodically examined by those regulatory authorities. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION | SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION Basis of Presentation The interim unaudited consolidated financial statements have been prepared in conformity with U.S. GAAP and pursuant to the rules and regulations of the SEC. These interim unaudited consolidated financial statements reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present a fair statement of the financial position and the results of operations and cash flows of Customers Bancorp and subsidiaries for the interim periods presented. Certain information and footnote disclosures normally included in the annual consolidated financial statements have been omitted from these interim unaudited consolidated financial statements as permitted by SEC rules and regulations. The December 31, 2023 consolidated balance sheet presented in this report has been derived from Customers Bancorp’s audited 2023 consolidated financial statements. Management believes that the disclosures are adequate to present fairly the consolidated financial statements as of the dates and for the periods presented. These interim unaudited consolidated financial statements should be read in conjunction with the 2023 consolidated financial statements of Customers Bancorp and subsidiaries included in Customers’ Annual Report on Form 10-K for the year ended December 31, 2023 filed with the SEC on February 29, 2024 (the “2023 Form 10-K”). The 2023 Form 10-K describes Customers Bancorp’s significant accounting policies. There have been no material changes to Customers Bancorp’s significant accounting policies noted above for the three and six months ended June 30, 2024. Recently Issued Accounting Standards Presented below are recently issued accounting standards that Customers has adopted as well as those that the FASB has issued but are not yet effective. Accounting Standards Adopted in 2024 Standard Summary of Guidance Effects on Financial Statements ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions Issued June 2022 • Clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and not considered in measuring fair value. • Prohibits recognition and measurement of a contractual sale restriction on the sale of an equity security as a separate unit of account. • Provides disclosure requirements for the equity securities subject to contractual sale restrictions. • Effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued or made available for issuance. • Customers adopted this guidance on January 1, 2024. This guidance did not have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. ASU 2023-02, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method Issued March 2023 • Provides an election to account for tax equity investments, regardless of the tax credit program, using the proportional amortization method provided that certain conditions are met. • Customers adopted this guidance on January 1, 2024. This guidance did not have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. Accounting Standards Issued But Not Yet Adopted Standard Summary of Guidance Effects on Financial Statements ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures Issued November 2023 • Requires a public entity, including a public entity that has a single reportable segment to disclose, on an annual and interim basis, all disclosures required by the amendments in this ASU and all existing disclosures in ASC 280. • Requires disclosures of significant segment expenses included within each reportable segment’s profit or loss that are regularly provided to the CODM, an amount for other segment items by reportable segment and a description of its composition, the title and position of the CODM and an explanation of how the CODM uses the reported measure of segment profit or loss. • Clarifies that more than one measure of a segment’s profit or loss may be reported if the CODM uses them in assessing segment performance and deciding how to allocate resources, provided that at least one of the reported segment profit or loss measure is consistent with the measurement principles used in measuring the corresponding amounts in the entity’s consolidated financial statements. • Effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. • Customers is currently evaluating the expected impact of this ASU on Customers’ consolidated financial statements. ASU 2023-08, Intangibles - Goodwill and Other - Crypto Assets (Subtopic 250-60) Issued December 2023 • Requires crypto assets meeting certain criteria to be subsequently measured at fair value with changes recognized in net income each reporting period. • Requires crypto assets measured at fair value to be presented separately from other intangible assets in the balance sheet and changes from the remeasurement of crypto assets separately from changes in the carrying amounts of other intangible assets in the income statement. • Requires cash receipts arising from crypto assets that are received as noncash consideration in the ordinary course of business and converted nearly immediately into cash as operating activities in the statement of cash flows. • Effective for fiscal years beginning after December 15, 2024, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued. • Customers does not expect this ASU to have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures Issued December 2023 • Requires public entities to disclose annually a tabular reconciliation of specific reconciling items, including those items exceeding five percent of the amount computed by multiplying income from continuing operations before income taxes by the statutory income tax rate, in the income tax rate reconciliation of the effective tax rate to the statutory tax rate. • Requires disclosures of income taxes paid, net of refunds received, disaggregated by federal, state and foreign taxes and by individual jurisdictions where income taxes paid is equal to or greater than five percent of total income taxes paid, net of refunds received. • Effective for fiscal years beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued. • Customers is currently evaluating the expected impact of this ASU on Customers’ consolidated financial statements. |
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE | EARNINGS (LOSS) PER SHARE The following are the components and results of Customers’ earnings per common share calculations for the periods presented. Three Months Ended Six Months Ended (amounts in thousands, except share and per share data) 2024 2023 2024 2023 Net income available to common shareholders $ 54,300 $ 44,007 $ 100,226 $ 94,272 Weighted-average number of common shares outstanding – basic 31,649,715 31,254,125 31,561,569 31,535,103 Share-based compensation plans 1,049,434 337,017 1,215,273 430,894 Weighted-average number of common shares – diluted 32,699,149 31,591,142 32,776,842 31,965,997 Basic earnings per common share $ 1.72 $ 1.41 $ 3.18 $ 2.99 Diluted earnings per common share 1.66 1.39 3.06 2.95 The following are securities that could potentially dilute basic earnings per common share in future periods that were not included in the computation of diluted earnings per common share because either the performance conditions for certain of the share-based compensation awards have not been met or to do so would have been anti-dilutive for the periods presented. Three Months Ended Six Months Ended 2024 2023 2024 2023 Anti-dilutive securities: Share-based compensation awards 87,531 1,718,281 1,680 1,410,180 |
CHANGES IN ACCUMULATED OTHER CO
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT | CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT The following tables present the changes in accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2024 and 2023. Amounts in parentheses indicate reductions to AOCI. Unrealized Gains (Losses) on Available for Sale Securities (1) Three Months Ended June 30, (amounts in thousands) 2024 2023 Balance at April 1 $ (132,305) $ (156,276) Unrealized gains (losses) arising during period, before tax (851) (17,401) Income tax effect 219 4,420 Other comprehensive income (loss) before reclassifications (632) (12,981) Reclassification adjustments for (gains) losses included in net income, before tax 719 — Income tax effect (185) — Amounts reclassified from accumulated other comprehensive income (loss) to net income 534 — Amortization of unrealized loss on securities transferred from available for sale to held to maturity 1,406 1,449 Income tax effect (361) (368) Amortization of unrealized loss on securities transferred from available for sale to held to maturity 1,045 1,081 Net current-period other comprehensive income (loss) 947 (11,900) Balance at June 30 $ (131,358) $ (168,176) Unrealized Gains (Losses) Available for Sale Securities (1) Six Months Ended June 30, (amounts in thousands) 2024 2023 Balance at January 1 $ (136,569) $ (163,096) Unrealized gains (losses) arising during period, before tax 3,629 (9,131) Income tax effect (919) 2,319 Other comprehensive income (loss) before reclassifications 2,710 (6,812) Reclassification adjustments for (gains) losses included in net income, before tax 749 — Income tax effect (193) — Amounts reclassified from accumulated other comprehensive income (loss) to net income 556 — Amortization of unrealized loss on securities transferred from available for sale to held to maturity 2,612 2,321 Income tax effect (667) (589) Amortization of unrealized loss on securities transferred from available for sale to held to maturity 1,945 1,732 Net current-period other comprehensive income (loss) 5,211 (5,080) Balance at June 30 $ (131,358) $ (168,176) (1) Reclassification amounts for AFS debt securities are reported as gain (loss) on sale of investment securities and amortization of unrealized losses on debt securities transferred from available-for-sale to held-to-maturity is reported within interest income on the consolidated statements of income. |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 6 Months Ended |
Jun. 30, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | INVESTMENT SECURITIES Investment securities at fair value The amortized cost, approximate fair value and allowance for credit losses of investment securities at fair value as of June 30, 2024 and December 31, 2023 are summarized as follows: June 30, 2024 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale debt securities: Asset-backed securities $ 50,517 $ (367) $ — $ (3,038) $ 47,112 Agency-guaranteed residential mortgage-backed securities 198,732 — 943 (188) 199,487 Agency-guaranteed residential collateralized mortgage obligations 181,750 — 19 (12,257) 169,512 Agency-guaranteed commercial collateralized mortgage obligations 83,180 — 133 (1,495) 81,818 Collateralized loan obligations 412,452 — — (6,419) 406,033 Commercial mortgage-backed securities 100,610 — — (1,588) 99,022 Corporate notes 655,759 (4,972) 131 (63,173) 587,745 Private label collateralized mortgage obligations 939,526 — 491 (52,988) 887,029 Available for sale debt securities $ 2,622,526 $ (5,339) $ 1,717 $ (141,146) 2,477,758 Equity securities (2) 33,892 Total investment securities, at fair value $ 2,511,650 December 31, 2023 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale debt securities: Asset-backed securities $ 97,359 $ (483) $ 15 $ (4,262) $ 92,629 Agency-guaranteed residential collateralized mortgage obligations 129,589 — — (12,681) 116,908 Collateralized loan obligations 500,109 — 1 (11,018) 489,092 Commercial mortgage-backed securities 125,885 — — (4,249) 121,636 Corporate notes 636,880 (3,469) 79 (50,456) 583,034 Private label collateralized mortgage obligations 1,034,841 — 1,201 (62,481) 973,561 Available for sale debt securities $ 2,524,663 $ (3,952) $ 1,296 $ (145,147) 2,376,860 Equity securities (2) 28,780 Total investment securities, at fair value $ 2,405,640 (1) Accrued interest on AFS debt securities totaled $18.5 million and $14.7 million at June 30, 2024 and December 31, 2023, respectively, and is included in accrued interest receivable on the consolidated balance sheet. (2) Includes perpetual preferred stock issued by domestic banks and domestic bank holding companies and equity securities issued by fintech companies, without a readily determinable fair value, and CRA-qualified mutual fund shares at June 30, 2024 and December 31, 2023. No impairments or measurement adjustments have been recorded on the equity securities without a readily determinable fair value since acquisition. Customers’ transactions with unconsolidated VIEs include sales of consumer installment loans and investments in the securities issued by the VIEs. Customers is not the primary beneficiary of the VIEs because Customers has no right to make decisions that will most significantly affect the economic performance of the VIEs. Customers’ continuing involvement with the unconsolidated VIEs is not significant. Customers’ continuing involvement is not considered to be significant where Customers only invests in securities issued by the VIE and was not involved in the design of the VIE or where Customers has transferred financial assets to the VIE for only cash consideration. Customers’ investments in the securities issued by the VIEs are classified as AFS or HTM debt securities on the consolidated balance sheets, and represent Customers’ maximum exposure to loss. Proceeds from the sale of AFS debt securities were $218.7 million and $240.7 million for the three and six months ended June 30, 2024. There were no sales of AFS debt securities for the three and six months ended June 30, 2023. The following table presents gross realized gains and realized losses from the sale of AFS debt securities for the three and six months ended June 30, 2024 and 2023: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) 2024 2023 2024 2023 Gross realized gains $ 176 $ — $ 176 $ — Gross realized losses (895) — (925) — Net realized gains (losses) on sale of available for sale debt securities $ (719) $ — $ (749) $ — These gains (losses) were determined using the specific identification method and were reported as net gain (loss) on sale of investment securities within non-interest income on the consolidated statements of income. The following table presents AFS debt securities by stated maturity. Debt securities backed by mortgages and other assets have expected maturities that differ from contractual maturities because borrowers have the right to call or prepay and, therefore, these debt securities are classified separately with no specific maturity date: June 30, 2024 (amounts in thousands) Amortized Fair Due in one year or less $ 35,523 $ 26,273 Due after one year through five years 532,571 482,410 Due after five years through ten years 87,665 79,062 Asset-backed securities 50,517 47,112 Agency-guaranteed residential mortgage-backed securities 198,732 199,487 Agency-guaranteed residential collateralized mortgage obligations 181,750 169,512 Agency-guaranteed commercial collateralized mortgage obligations 83,180 81,818 Collateralized loan obligations 412,452 406,033 Commercial mortgage-backed securities 100,610 99,022 Private label collateralized mortgage obligations 939,526 887,029 Total available for sale debt securities $ 2,622,526 $ 2,477,758 Gross unrealized losses and fair value of Customers’ AFS debt securities for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 Less Than 12 Months 12 Months or More Total (amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Available for sale debt securities: Asset-backed securities $ — $ — $ 42,665 $ (2,771) $ 42,665 $ (2,771) Agency-guaranteed residential mortgage-backed securities 58,493 (188) — — 58,493 (188) Agency-guaranteed residential collateralized mortgage obligations — — 109,465 (12,257) 109,465 (12,257) Agency-guaranteed commercial collateralized mortgage obligations 64,227 (1,495) — — 64,227 (1,495) Collateralized loan obligations 57,745 (454) 278,681 (5,965) 336,426 (6,419) Commercial mortgage-backed securities — — 99,022 (1,588) 99,022 (1,588) Corporate notes 65,085 (1,610) 311,986 (33,972) 377,071 (35,582) Private label collateralized mortgage obligations 233,432 (6,794) 572,488 (46,204) 805,920 (52,998) Total $ 478,982 $ (10,541) $ 1,414,307 $ (102,757) $ 1,893,289 $ (113,298) December 31, 2023 Less Than 12 Months 12 Months or More Total (amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Available for sale debt securities: Asset-backed securities $ — $ — $ 64,029 $ (4,027) $ 64,029 $ (4,027) Agency-guaranteed residential collateralized mortgage obligations — — 116,908 (12,681) 116,908 (12,681) Collateralized loan obligations 29,241 (392) 438,551 (10,626) 467,792 (11,018) Commercial mortgage-backed securities — — 121,636 (4,249) 121,636 (4,249) Corporate notes 23,243 (1,147) 424,768 (33,764) 448,011 (34,911) Private label collateralized mortgage obligations 303,750 (11,243) 613,007 (51,417) 916,757 (62,660) Total $ 356,234 $ (12,782) $ 1,778,899 $ (116,764) $ 2,135,133 $ (129,546) At June 30, 2024, there were 28 AFS debt securities with unrealized losses in the less-than-twelve-months category and 93 AFS debt securities with unrealized losses in the twelve-months-or-more category. Except for one asset-backed security and 20 corporate notes where there was a change in future estimated cash flows as further discussed below, the unrealized losses were principally due to changes in market interest rates and credit spreads that resulted in a negative impact on the respective securities’ fair value and expected to be recovered when market prices recover or at maturity. Customers does not intend to sell any of the 121 securities, and it is not more likely than not that Customers will be required to sell any of the 121 securities before recovery of the amortized cost basis. At December 31, 2023, there were 119 AFS debt securities in an unrealized loss position. Customers recorded an allowance for credit losses on one asset-backed security and 20 corporate notes where there was a change in future estimated cash flows during the three and six months ended June 30, 2024 and on four asset-backed securities and nine corporate notes during the three and six months ended June 30, 2023. A discounted cash flow approach is used to determine the amount of the allowance. The cash flows expected to be collected, after considering expected prepayments, are discounted at the original effective interest rate. The amount of the allowance is limited to the difference between the amortized cost basis of the security and its estimated fair value. The following table presents the activity in the allowance for credit losses on AFS debt securities, by major security type, for the periods presented: Three Months Ended June 30, 2024 2023 (amounts in thousands) Asset-backed securities Corporate notes Total Asset-backed securities Corporate notes Total Balance at April 1 $ 450 $ 4,619 $ 5,069 $ 790 $ 1,383 $ 2,173 Credit losses on securities for which credit losses were not previously recorded — 466 466 — 233 233 Credit losses on previously impaired securities — 242 242 773 260 1,033 Decrease in allowance for credit losses on previously impaired securities (83) (355) (438) — — — Balance at June 30 $ 367 $ 4,972 $ 5,339 $ 1,563 $ 1,876 $ 3,439 Six Months Ended June 30, 2024 2023 (amounts in thousands) Asset-backed securities Corporate notes Total Asset-backed securities Corporate notes Total Balance at January 1 $ 483 $ 3,469 $ 3,952 $ 578 $ — $ 578 Credit losses on securities for which credit losses were not previously recorded — 631 631 — 1,876 1,876 Credit losses on previously impaired securities — 1,057 1,057 1,046 — 1,046 Decrease in allowance for credit losses on previously impaired securities (116) (185) (301) (61) — (61) Balance at June 30 $ 367 $ 4,972 $ 5,339 $ 1,563 $ 1,876 $ 3,439 At June 30, 2024 and December 31, 2023, no AFS investment securities holding of any one issuer, other than the U.S. government and its agencies, amounted to greater than 10% of shareholders’ equity. At June 30, 2024 and December 31, 2023, Customers Bank had pledged AFS investment securities aggregating $1.3 billion and $1.2 billion in fair value, respectively, as collateral for immediately available liquidity from the FRB. The counterparty does not have the ability to sell or repledge these securities. Investment securities held to maturity The amortized cost, approximate fair value and allowance for credit losses of investment securities held to maturity as of June 30, 2024 and December 31, 2023 are summarized as follows: June 30, 2024 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Net Carrying Value Gross Unrealized Gains Gross Unrealized Losses Fair Value Held to maturity debt securities: Asset-backed securities $ 446,070 $ — $ 446,070 $ 1,148 $ (1,515) $ 445,703 Agency-guaranteed residential mortgage-backed securities 6,960 — 6,960 — (849) 6,111 Agency-guaranteed commercial mortgage-backed securities 1,810 — 1,810 — (317) 1,493 Agency-guaranteed residential collateralized mortgage obligations 178,761 — 178,761 — (18,037) 160,724 Agency-guaranteed commercial collateralized mortgage obligations 145,173 — 145,173 — (21,899) 123,274 Private label collateralized mortgage obligations 184,025 — 184,025 — (13,255) 170,770 Total held to maturity debt securities $ 962,799 $ — $ 962,799 $ 1,148 $ (55,872) $ 908,075 December 31, 2023 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Net Carrying Value Gross Unrealized Gains Gross Unrealized Losses Fair Value Held to maturity debt securities: Asset-backed securities $ 575,990 $ — $ 575,990 $ 202 $ (2,064) $ 574,128 Agency-guaranteed residential mortgage-backed securities 7,039 — 7,039 — (649) 6,390 Agency-guaranteed commercial mortgage-backed securities 1,850 — 1,850 — (134) 1,716 Agency-guaranteed residential collateralized mortgage obligations 186,636 — 186,636 — (19,049) 167,587 Agency-guaranteed commercial collateralized mortgage obligations 146,765 — 146,765 — (23,178) 123,587 Private label collateralized mortgage obligations 184,890 — 184,890 — (11,859) 173,031 Total held to maturity debt securities $ 1,103,170 $ — $ 1,103,170 $ 202 $ (56,933) $ 1,046,439 (1) Accrued interest on HTM debt securities totaled $2.2 million and $2.7 million at June 30, 2024 and December 31, 2023, respectively, and is included in accrued interest receivable on the consolidated balance sheet. During the three and six months ended June 30, 2023, Customers sold consumer installment loans that were classified as held for sale with a carrying value of $556.7 million, inclusive of $154.0 million of other installment loans transferred from held for investment to held for sale, accrued interest and unamortized deferred loan origination costs, to two third-party sponsored VIEs. As part of these sales, Customers recognized a loss on sale of $1.2 million, inclusive of transaction costs, in net gain (loss) on sale of loans within non-interest income in the consolidated statement of income. Customers provided financing to the purchasers for a portion of the sale price in the form of $436.8 million of asset-backed securities, presented in the tables above, collateralized by the sold loans. Customers acts as the servicer for the sold consumer installment loans to one of the VIEs, and receives a servicing fee. Customers recognized a servicing asset of $3.8 million upon sale. At the time of the sale, and at each subsequent reporting period, Customers is required to evaluate its involvement with the VIEs to determine if it holds a variable interest in the VIEs and, if so, if Customers is the primary beneficiary of the VIEs. If Customers is both a variable interest holder and the primary beneficiary of the VIEs, it would be required to consolidate the VIEs. As of June 30, 2024 and December 31, 2023, Customers concluded that its investments in asset-backed securities as well as the servicing fees are considered variable interests in the VIEs as there is a possibility, even if remote, that would result in Customers’ interests in the asset-backed securities or the servicing fees absorbing some of the losses of the VIEs. After concluding that Customers has one or more variable interests in the VIEs, Customers must determine if it is the primary beneficiary of the VIEs. U.S. GAAP defines the primary beneficiary as the entity that has both an economic exposure to the VIE as well as the power to direct the activities that are determined to be most significant to the economic performance of the VIE. In order to make this determination, Customers needed to first establish which activities are the most significant to the economic performance of the VIEs. Based on a review of the VIEs’ activities, Customers concluded the servicing activities, specifically those performed for significantly delinquent loans contribute most significantly to the performance of the loans and thus the VIEs. The conclusion is based upon review of the historical performance of the types of consumer installment loans sold to the VIEs, as well as consideration of which activities performed by the owner or servicer of the loans contribute most significantly to the ultimate performance of the loans. The loan servicing agreement between Customers and the VIE for a portion of the sold consumer loans provide that the VIE has substantive kick out rights to replace Customers as the servicer with or without cause. Accordingly, as a holder of the asset-backed securities and the servicer of the loans, Customers does not have the power to direct the servicing of significantly delinquent loans given the VIEs’ substantive kick-out rights. Customers is not the servicer for the sold consumer loans to one of the VIEs and therefore does not have the power to direct the activities that most significantly impact the economic performance of this VIE. As the activities which most significantly affect the performance of the VIEs are not controlled by Customers, Customers has concluded that it is therefore not the primary beneficiary and does not consolidate the VIEs. Customers accounted for its investments in the asset-backed securities as HTM debt securities on the consolidated balance sheet. The following table presents HTM debt securities by stated maturity, including debt securities backed by mortgages and other assets with expected maturities that differ from contractual maturities because borrowers have the right to call or prepay and, therefore, are classified separately with no specific maturity date: June 30, 2024 (amounts in thousands) Amortized Fair Asset-backed securities $ 446,070 $ 445,703 Agency-guaranteed residential mortgage-backed securities 6,960 6,111 Agency-guaranteed commercial mortgage-backed securities 1,810 1,493 Agency-guaranteed residential collateralized mortgage obligations 178,761 160,724 Agency-guaranteed commercial collateralized mortgage obligations 145,173 123,274 Private label collateralized mortgage obligations 184,025 170,770 Total held to maturity debt securities $ 962,799 $ 908,075 Customers recorded no allowance for credit losses on investment securities classified as held to maturity at June 30, 2024 and December 31, 2023. The U.S. government agency securities represent obligations issued by a U.S. government-sponsored enterprise or other federal government agency that are explicitly or implicitly guaranteed by the U.S. federal government and therefore, assumed to have zero credit losses. The private label collateralized mortgage obligations that are highly rated with sufficient overcollateralization are estimated to have no expected credit losses. Customers recorded no allowance for its investments in the asset-backed securities. Customers considered the seniority of its beneficial interests, which include overcollateralization of these asset-backed securities in the estimate of the ACL at June 30, 2024 and December 31, 2023. The unrealized losses on HTM debt securities with no ACL were primarily due to changes in market interest rates that resulted in a negative impact on the respective securities’ fair value and are expected to be recovered when market prices recover or at maturity. Credit Quality Indicator Customers monitors the credit quality of HTM debt securities primarily through credit ratings provided by rating agencies. Investment grade debt securities are rated BBB- or higher by S&P Global Ratings, Baa3 or higher by Moody’s Investors Service or equivalent ratings by other rating agencies, and are generally considered to be of low credit risk. Except for the asset-backed securities and a private label collateralized mortgage obligation, all of the HTM debt securities held by Customers were investment grade or U.S. government agency guaranteed securities that were not rated at June 30, 2024 and December 31, 2023. The asset-backed securities and a private label collateralized mortgage obligation are not rated by rating agencies. Customers monitors the credit quality of these asset-backed securities and a private label collateralized mortgage obligation by evaluating the performance of the sold consumer installment loans and other underlying loans against the overcollateralization available for these securities. The following table presents the amortized cost of HTM debt securities based on their lowest credit rating available: June 30, 2024 (amounts in thousands) AAA AA Not Rated Total Held to maturity debt securities: Asset-backed securities $ — $ — $ 446,070 $ 446,070 Agency-guaranteed residential mortgage-backed securities — — 6,960 6,960 Agency-guaranteed commercial mortgage-backed securities — — 1,810 1,810 Agency-guaranteed residential collateralized mortgage obligations — — 178,761 178,761 Agency-guaranteed commercial collateralized mortgage obligations — — 145,173 145,173 Private label collateralized mortgage obligations 83,903 26,124 73,998 184,025 Total held to maturity debt securities $ 83,903 $ 26,124 $ 852,772 $ 962,799 Customers has elected to not estimate an ACL on accrued interest receivable on HTM debt securities, as it already has a policy in place to reverse or write-off accrued interest, through interest income, for debt securities in nonaccrual status in a timely manner. At June 30, 2024 and December 31, 2023, there were no HTM debt securities past due under the terms of their agreements or in nonaccrual status. At June 30, 2024 and December 31, 2023, Customers Bank had pledged HTM investment securities aggregating $388.7 million and $398.4 million in fair value, respectively, as collateral primarily for immediately available liquidity from the FRB and unused lines of credit with another financial institution. The counterparties do not have the ability to sell or repledge these securities. |
LOANS HELD FOR SALE
LOANS HELD FOR SALE | 6 Months Ended |
Jun. 30, 2024 | |
Receivable, Held-for-Sale [Abstract] | |
LOANS HELD FOR SALE | LOANS HELD FOR SALE The composition of loans held for sale as of June 30, 2024 and December 31, 2023 was as follows: (amounts in thousands) June 30, 2024 December 31, 2023 Residential mortgage loans, at fair value $ 2,684 $ 1,215 Personal installment loans, at lower of cost or fair value 125,598 151,040 Other installment loans, at fair value 247,442 188,062 Total loans held for sale $ 375,724 $ 340,317 Total loans held for sale included NPLs of $2.4 million and $0.5 million as of June 30, 2024 and December 31, 2023, respectively. During the three and six months ended June 30, 2023, Customers sold $556.7 million of personal and other installment loans that were classified as held for sale, inclusive of $154.0 million of other installment loans transferred from held for investment to held for sale, accrued interest and unamortized deferred loan origination costs, to two third-party sponsored VIEs. Customers provided financing to the purchasers for a portion of the sales price in the form of $436.8 million of asset backed securities while $115.1 million of the remaining sales proceeds were paid in cash. Refer to NOTE 5 – INVESTMENT SECURITIES for additional information. |
LOANS AND LEASES RECEIVABLE AND
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES | LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES The following table presents loans and leases receivable as of June 30, 2024 and December 31, 2023. (amounts in thousands) June 30, 2024 December 31, 2023 Loans and leases receivable: Commercial: Commercial and industrial: Specialized lending (1) $ 5,528,745 $ 5,006,693 Other commercial and industrial (2) 1,212,247 1,279,147 Multifamily 2,067,332 2,138,622 Commercial real estate owner occupied 805,779 797,319 Commercial real estate non-owner occupied 1,202,606 1,177,650 Construction 163,409 166,393 Total commercial loans and leases receivable 10,980,118 10,565,824 Consumer: Residential real estate 481,503 484,435 Manufactured housing 35,901 38,670 Installment: Personal 474,481 555,533 Other 282,201 319,393 Total consumer loans receivable 1,274,086 1,398,031 Loans and leases receivable 12,254,204 11,963,855 Loans receivable, mortgage finance, at fair value 1,002,711 897,912 Allowance for credit losses on loans and leases (132,436) (135,311) Total loans and leases receivable, net of allowance for credit losses on loans and leases (3) $ 13,124,479 $ 12,726,456 (1) Includes direct finance equipment leases of $222.2 million and $205.7 million at June 30, 2024 and December 31, 2023, respectively. (2) Includes PPP loans of $38.3 million and $74.7 million at June 30, 2024 and December 31, 2023, respectively. (3) Includes deferred (fees) costs and unamortized (discounts) premiums, net of $(15.1) million and $(22.7) million at June 30, 2024 and December 31, 2023, respectively. Customers’ total loans and leases receivable includes loans receivable reported at fair value based on an election made to account for these loans at fair value, and loans and leases receivable predominately reported at their outstanding unpaid principal balance, net of charge-offs, deferred costs and fees, unamortized premiums and discounts, and evaluated for impairment. The total amount of accrued interest recorded for total loans was $90.4 million and $95.0 million at June 30, 2024 and December 31, 2023, respectively, and is presented in accrued interest receivable in the consolidated balance sheet. At June 30, 2024 and December 31, 2023, there were $35.4 million and $15.8 million of individually evaluated loans that were collateral-dependent, respectively. Substantially all individually evaluated loans were collateral-dependent and consisted primarily of commercial and industrial, commercial real estate, and residential real estate loans. Collateral-dependent commercial and industrial loans were secured by accounts receivable, inventory and equipment; collateral-dependent commercial real estate loans were secured by commercial real estate assets; and residential real estate loans were secured by residential real estate assets. Loans and leases receivable The following tables summarize loans and leases receivable by loan and lease type and performance status as of June 30, 2024 and December 31, 2023: June 30, 2024 (amounts in thousands) 30-59 Days past due (1) 60-89 Days past due (1) 90 Days or more past due (2) Total past due Loans and leases not past due (3)(4) Total loans and leases (4) Commercial and industrial, including specialized lending $ 3,698 $ 14 $ 5,311 $ 9,023 $ 6,693,685 $ 6,702,708 Multifamily — — 14,002 14,002 2,053,330 2,067,332 Commercial real estate owner occupied 113 — 9,584 9,697 796,082 805,779 Commercial real estate non-owner occupied 5,580 494 62 6,136 1,196,470 1,202,606 Construction — — — — 163,409 163,409 Residential real estate 2,865 2,704 4,409 9,978 471,525 481,503 Manufactured housing 516 450 2,547 3,513 32,388 35,901 Installment 7,509 4,995 5,614 18,118 738,564 756,682 Total $ 20,281 $ 8,657 $ 41,529 $ 70,467 $ 12,145,453 $ 12,215,920 December 31, 2023 (amounts in thousands) 30-59 Days past due (1) 60-89 Days past due (1) 90 Days or more past due (2) Total past due Loans and leases not past due (3) Total loans and leases (4) Commercial and industrial, including specialized lending $ 1,516 $ 322 $ 4,153 $ 5,991 $ 6,205,114 $ 6,211,105 Multifamily 16,003 — — 16,003 2,122,619 2,138,622 Commercial real estate owner occupied 449 3,814 5,827 10,090 787,229 797,319 Commercial real estate non-owner occupied 16,653 — — 16,653 1,160,997 1,177,650 Construction — — — — 166,393 166,393 Residential real estate 10,504 2,255 3,764 16,523 467,912 484,435 Manufactured housing 1,152 343 2,869 4,364 34,306 38,670 Installment 9,255 7,866 7,211 24,332 850,594 874,926 Total $ 55,532 $ 14,600 $ 23,824 $ 93,956 $ 11,795,164 $ 11,889,120 (1) Includes past due loans and leases that are accruing interest because collection is considered probable. (2) Includes loans amounting to $0.5 million as of June 30, 2024 and December 31, 2023 that are still accruing interest because collection is considered probable. (3) Loans and leases where next payment due is less than 30 days from the report date. The tables exclude PPP loans of $38.3 million, of which $0.6 million were 30-59 days past due and $20.6 million were 60 days or more past due as of June 30, 2024, and PPP loans of $74.7 million, of which $0.7 million were 30-59 days past due and $48.5 million were 60 days or more past due as of December 31, 2023. Claims for guarantee payments are submitted to the SBA for eligible PPP loans that are more than 60 days past due. (4) Includes PCD loans of $152.2 million and $157.2 million at June 30, 2024 and December 31, 2023, respectively. Nonaccrual Loans and Leases The following table presents the amortized cost of loans and leases held for investment on nonaccrual status. June 30, 2024 December 31, 2023 (amounts in thousands) Nonaccrual loans with no related allowance Nonaccrual loans with related allowance Total nonaccrual loans Nonaccrual loans with no related allowance Nonaccrual loans with related allowance Total nonaccrual loans Commercial and industrial, including specialized lending $ 1,462 $ 4,026 $ 5,488 $ 3,365 $ 1,071 $ 4,436 Multifamily — 14,002 14,002 — — — Commercial real estate owner occupied 9,612 — 9,612 5,869 — 5,869 Commercial real estate non-owner occupied 62 — 62 — — — Residential real estate 7,765 414 8,179 6,685 117 6,802 Manufactured housing — 2,047 2,047 — 2,331 2,331 Installment — 5,614 5,614 — 7,211 7,211 Total $ 18,901 $ 26,103 $ 45,004 $ 15,919 $ 10,730 $ 26,649 Interest income recognized on nonaccrual loans was insignificant for the three and six months ended June 30, 2024 and 2023. Accrued interest reversed when the loans went to nonaccrual status was insignificant for the three and six months ended June 30, 2024 and 2023. Loans receivable, mortgage finance, at fair value Mortgage finance loans consist of commercial loans to mortgage companies. These mortgage finance lending transactions are subject to master repurchase agreements. As a result of the contractual provisions, for accounting purposes, control of the underlying mortgage loan has not transferred and the rewards and risks of the mortgage loans are not assumed by Customers. The mortgage finance loans are designated as loans held for investment and reported at fair value based on an election made to account for the loans at fair value. Pursuant to the agreements, Customers funds the pipelines for these mortgage lenders by sending payments directly to the closing agents for funded mortgage loans and receives proceeds directly from third party investors when the underlying mortgage loans are sold into the secondary market. The fair value of the mortgage finance loans is estimated as the amount of cash initially advanced to fund the mortgage, plus accrued interest and fees, as specified in the respective agreements. The interest rates on these loans are variable, and the lending transactions are short-term, with an average life under 30 days from purchase to sale. The primary goal of these lending transactions is to provide liquidity to mortgage companies. At June 30, 2024 and December 31, 2023, all of Customers’ mortgage finance loans were current in terms of payment. As these loans are reported at their fair value, they do not have an ACL and are therefore excluded from ACL-related disclosures. Allowance for credit losses on loans and leases The changes in the ACL on loans and leases by loan and lease type for the three and six months ended June 30, 2024 and 2023 are presented in the tables below. (amounts in thousands) Commercial and industrial (1)(2) Multifamily Commercial real estate owner occupied Commercial real estate non-owner occupied Construction Residential real estate Manufactured housing Installment Total Three Months Ended Ending Balance, March 31, 2024 $ 23,003 $ 18,307 $ 10,201 $ 18,320 $ 1,866 $ 6,707 $ 4,160 $ 50,732 $ 133,296 Charge-offs (7,348) (1,433) — — — — — (13,943) (22,724) Recoveries 1,683 — — — 7 20 — 2,303 4,013 Provision (benefit) for credit losses on loans and leases 6,383 3,778 (1,770) (354) (17) (843) (66) 10,740 17,851 Ending Balance, $ 23,721 $ 20,652 $ 8,431 $ 17,966 $ 1,856 $ 5,884 $ 4,094 $ 49,832 $ 132,436 Six Months Ended Ending Balance, $ 23,503 $ 16,343 $ 9,882 $ 16,859 $ 1,482 $ 6,586 $ 4,239 $ 56,417 $ 135,311 Charge-offs (12,744) (1,906) (22) — — (19) — (30,860) (45,551) Recoveries 3,407 — — — 7 21 — 5,437 8,872 Provision (benefit) for credit losses on loans and leases 9,555 6,215 (1,429) 1,107 367 (704) (145) 18,838 33,804 Ending Balance, $ 23,721 $ 20,652 $ 8,431 $ 17,966 $ 1,856 $ 5,884 $ 4,094 $ 49,832 $ 132,436 (amounts in thousands) Commercial and industrial (1)(2) Multifamily Commercial real estate owner occupied Commercial real estate non-owner occupied Construction Residential real estate Manufactured housing Installment Total Three Months Ended Ending Balance, March 31, 2023 $ 20,050 $ 15,084 $ 8,472 $ 11,032 $ 2,336 $ 6,853 $ 4,339 $ 62,115 $ 130,281 Allowance for credit losses on FDIC PCD loans, net of charge-offs (3) 2,576 — — — — — — — 2,576 Charge-offs (432) (1,448) — (288) — (27) — (16,384) (18,579) Recoveries 174 — 34 22 — 3 — 2,782 3,015 Provision (benefit) for credit losses on loans and leases 6,724 1,764 1,709 2,729 303 17 (1) 9,118 22,363 Ending Balance, $ 29,092 $ 15,400 $ 10,215 $ 13,495 $ 2,639 $ 6,846 $ 4,338 $ 57,631 $ 139,656 Six Months Ended Ending Balance, $ 17,582 $ 14,541 $ 6,454 $ 11,219 $ 1,913 $ 6,094 $ 4,430 $ 68,691 $ 130,924 Allowance for credit losses on FDIC PCD loans, net of charge-offs (3) 2,576 — — — — — — — 2,576 Charge-offs (592) (1,448) — (4,527) — (27) — (33,099) (39,693) Recoveries 405 — 34 27 116 5 — 4,891 5,478 Provision (benefit) for credit losses on loans and leases 9,121 2,307 3,727 6,776 610 774 (92) 17,148 40,371 Ending Balance, $ 29,092 $ 15,400 $ 10,215 $ 13,495 $ 2,639 $ 6,846 $ 4,338 $ 57,631 $ 139,656 (1) Includes specialized lending. (2) PPP loans include an embedded credit enhancement from the SBA, which guarantees 100% of the principal and interest owed by the borrower provided that the SBA’s eligibility criteria are met. As a result, the eligible PPP loans do not have an ACL. (3) Represents $8.7 million of allowance for credit losses on PCD loans recognized upon acquisition of a venture banking loan portfolio (included within specialized lending) from the FDIC on June 15, 2023, net of $6.2 million of charge-offs for certain of these PCD loans upon acquisition. At June 30, 2024, the ACL on loans and leases was $132.4 million, a decrease of $2.9 million from the December 31, 2023 balance of $135.3 million. The decrease in ACL for the three and six months ended June 30, 2024 was primarily attributable to slight improvements in macroeconomic forecasts and a decrease in consumer installment loan balances held for investment. Loan Modifications for Borrowers Experiencing Financial Difficulty A borrower is considered to be experiencing financial difficulty when there is a significant doubt about the borrower’s ability to make the required principal and interest payments on the loan or to get an equivalent financing from another creditor at a market rate for a similar loan. When borrowers are experiencing financial difficulty, Customers may make certain loan modifications as part of loss mitigation strategies to maximize expected payment. To be classified as a modification made to a borrower experiencing financial difficulty, the modification must be in the form of an interest rate reduction, principal forgiveness, or an other-than-insignificant payment delay (payment deferral), term extension, or combinations thereof. Customers will generally try other forms of relief before principal forgiveness. Any contractual reduction in the amount of principal due without receiving payment or assets is considered forgiveness. For the purpose of this disclosure, Customers considers any contractual change in interest rate that results in a reduction in interest rate relative to the current stated interest rate as an interest rate reduction. Generally, Customers considers any delay in payment of greater than 90 days in the last 12 months to be significant. Term extensions extend the original contractual maturity of the loan. For the purpose of this disclosure, modification of contingent payment features or covenants that would have accelerated payment are not considered term extensions. The following table presents the amortized cost of loans that were modified to borrowers experiencing financial difficulty for the three and six months ended June 30, 2024 and 2023, disaggregated by class of financing receivable and type of modification granted. Three Months Ended June 30, 2024 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial and industrial, including specialized lending $ 1,997 $ 1,756 $ — $ — $ 3,753 0.06 % Commercial real estate non-owner occupied 17,265 — — — 17,265 1.44 % Manufactured housing 82 — — 49 131 0.36 % Personal installment 373 34 35 — 442 0.09 % Total $ 19,717 $ 1,790 $ 35 $ 49 $ 21,591 Three Months Ended June 30, 2023 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Manufactured housing $ 52 $ — $ — $ 229 $ 281 0.67 % Personal installment 3,540 180 183 — 3,903 0.52 % Total $ 3,592 $ 180 $ 183 $ 229 $ 4,184 Six Months Ended June 30, 2024 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial and industrial, including specialized lending $ 1,997 $ 3,743 $ — $ — $ 5,740 0.09 % Multifamily — 10,691 — — 10,691 0.52 % Commercial real estate non-owner occupied 17,265 — — — 17,265 1.44 % Residential real estate — 53 — — 53 0.01 % Manufactured housing 82 — — 49 131 0.36 % Personal installment 3,840 189 68 — 4,097 0.86 % Total $ 23,184 $ 14,676 $ 68 $ 49 $ 37,977 Six Months Ended June 30, 2023 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial and industrial, including specialized lending $ 169 $ — $ — $ — $ 169 0.00 % Commercial real estate owner occupied 169 — — — 169 0.02 % Manufactured housing 59 — — 291 350 0.84 % Personal installment 8,067 269 264 — 8,600 1.14 % Total $ 8,464 $ 269 $ 264 $ 291 $ 9,288 As of June 30, 2024, there were no commitments to lend additional funds to debtors experiencing financial difficulty whose loans have been modified during the three and six months ended June 30, 2024. The following table summarizes the impacts of loan modifications made to borrowers experiencing financial difficulty for the three and six months ended June 30, 2024 and 2023. Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 Weighted Average Weighted Average (dollars in thousands) Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Commercial and industrial, including specialized lending —% 1 7 $ — —% 0 0 $ — Commercial real estate non-owner occupied — 12 0 — — 0 0 — Manufactured housing 4.3 50 0 — 3.5 47 0 — Personal installment — 4 7 41 — 5 6 100 Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 Weighted Average Weighted Average (dollars in thousands) Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Commercial and industrial, including specialized lending — % 1 5 $ — — % 4 0 $ — Multifamily — 0 5 — — 0 0 — Commercial real estate owner occupied — 0 0 — — 4 0 — Commercial real estate non-owner occupied — 12 0 — — 0 0 — Residential real estate — 0 5 — — 0 0 — Manufactured housing 4.3 50 0 — 2.9 49 0 — Personal installment — 6 7 141 — 5 6 166 The performance of loans made to borrowers experiencing financial difficulty in which modifications were made is closely monitored to understand the effectiveness of modification efforts. Loans are considered to be in payment default at 90 days or more past due. The following table presents an aging analysis of loan modifications made to borrowers experiencing financial difficulty in the twelve months ended June 30, 2024 and the six months ended ended June 30, 2023. June 30, 2024 (dollars in thousands) 30-59 Days past due 60-89 Days past due 90 Days or more past due Current Total Commercial: Commercial and industrial, including specialized lending $ — $ — $ 3,743 $ 14,101 $ 17,844 Multifamily — — — 10,691 10,691 Commercial real estate non-owner occupied — — — 17,265 17,265 Residential real estate — — — 99 99 Manufactured housing 124 36 — 317 477 Personal installment 510 312 417 9,317 10,556 Total $ 634 $ 348 $ 4,160 $ 51,790 $ 56,932 June 30, 2023 (1) (dollars in thousands) 30-59 Days past due 60-89 Days past due 90 Days or more past due Current Total Commercial and industrial, including specialized lending $ — $ — $ 169 $ — $ 169 Commercial real estate owner occupied — — 169 — 169 Manufactured housing — — — 350 350 Personal installment 492 459 63 7,586 8,600 Total $ 492 $ 459 $ 401 $ 7,936 $ 9,288 (1) Customers adopted ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”) effective January 1, 2023, therefore, the June 30, 2023 balances only include loans since ASU 2022-02 became effective. The loans to borrowers experiencing financial difficulty that were modified during the twelve months ended June 30, 2024 that subsequently defaulted were not material. During the six months ended June 30, 2023, the loans that were made to borrowers experiencing financial difficulty that subsequently defaulted were not material. Customers’ ACL is influenced by loan level characteristics that inform the assessed propensity to default. As such, the provision for credit losses is impacted by changes in such loan level characteristics, such as payment performance. Loans made to borrowers experiencing financial difficulty can be classified as either accrual or nonaccrual. Credit Quality Indicators The ACL represents management’s estimate of expected losses in Customers’ loans and leases receivable portfolio, excluding mortgage finance loans reported at fair value pursuant to a fair value option election and PPP loans receivable. Commercial and industrial including specialized lending, multifamily, owner occupied commercial real estate, non-owner occupied commercial real estate, and construction loans are rated based on an internally assigned risk rating system which is assigned at the time of loan origination and reviewed on a periodic, or on an “as needed” basis. Residential real estate, manufactured housing and installment loans are evaluated based on the payment activity of the loan. To facilitate the monitoring of credit quality within the commercial and industrial including specialized lending, multifamily, owner occupied commercial real estate, non-owner occupied commercial real estate, and construction loan portfolios, and as an input in the ACL lifetime loss rate model for the commercial and industrial loan portfolio, the Bank utilizes the following categories of risk ratings: pass/satisfactory (includes risk rating 1 through 6), special mention, substandard, doubtful, and loss. The risk rating categories, which are derived from standard regulatory rating definitions, are assigned upon initial approval of credit to borrowers and updated periodically thereafter. Pass ratings, which are assigned to those borrowers who do not have identified potential or well-defined weaknesses and for whom there is a high likelihood of orderly repayment, are updated periodically based on the size and credit characteristics of the borrower. All other categories are updated on a quarterly basis during the month preceding the end of the calendar quarter. While assigning risk ratings involves judgment, the risk-rating process allows management to identify riskier credits in a timely manner and allocate the appropriate resources to manage those loans and leases. The 2023 Form 10-K describes Customers Bancorp’s risk rating grades. Risk ratings are not established for certain consumer loans, including residential real estate, home equity, manufactured housing, and installment loans, mainly because these portfolios consist of a larger number of homogeneous loans with smaller balances. Instead, these portfolios are evaluated for risk mainly based upon aggregate payment history through the monitoring of delinquency levels and trends and are classified as performing and non-performing. PPP loans of $38.3 million and $74.7 million at June 30, 2024 and December 31, 2023, respectively, are excluded in the tables below as these loans are fully guaranteed by the SBA, provided that the eligibility criteria are met. The following tables present the credit ratings of loans and leases receivable and current period gross write-offs as of June 30, 2024 and December 31, 2023. Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2024 2023 2022 2021 2020 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Commercial and industrial loans and leases, including specialized lending: Pass $ 1,123,754 $ 822,962 $ 1,851,501 $ 416,454 $ 125,564 $ 123,237 $ 1,816,284 $ 255,249 $ 6,535,005 Special mention — 12,000 16,708 4,779 28,093 1,478 1,883 4,360 69,301 Substandard — 649 6,076 28,066 4,736 38,563 13,379 6,933 98,402 Doubtful — — — — — — — — — Total commercial and industrial loans and leases $ 1,123,754 $ 835,611 $ 1,874,285 $ 449,299 $ 158,393 $ 163,278 $ 1,831,546 $ 266,542 $ 6,702,708 Commercial and industrial loans and leases charge-offs: Three Months Ended June 30, 2024 (1) $ 73 $ 218 $ 5,328 $ 698 $ 995 $ 36 $ — $ — $ 7,348 Six Months Ended June 30, 2024 (1) 218 702 5,672 4,095 1,687 370 — — 12,744 Multifamily loans: Pass $ — $ 830 $ 1,211,752 $ 314,788 $ 126,126 $ 301,661 $ — $ — $ 1,955,157 Special mention — — 6,803 — — 50,150 — — 56,953 Substandard — — — — — 55,222 — — 55,222 Doubtful — — — — — — — — — Total multifamily loans $ — $ 830 $ 1,218,555 $ 314,788 $ 126,126 $ 407,033 $ — $ — $ 2,067,332 Multifamily loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ 1,433 $ — $ — $ 1,433 Six Months Ended June 30, 2024 — — — — — 1,906 — — 1,906 Commercial real estate owner occupied loans: Pass $ 124,022 $ 34,284 $ 188,450 $ 202,658 $ 51,981 $ 147,477 $ — $ 11,227 $ 760,099 Special mention — — — — — 10,985 — — 10,985 Substandard — 2,944 703 15,355 — 15,693 — — 34,695 Doubtful — — — — — — — — — Total commercial real estate owner occupied loans $ 124,022 $ 37,228 $ 189,153 $ 218,013 $ 51,981 $ 174,155 $ — $ 11,227 $ 805,779 Commercial real estate owner occupied loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — 22 — — 22 Commercial real estate non-owner occupied loans: Pass $ 13,499 $ 16,740 $ 381,262 $ 102,647 $ 161,374 $ 418,073 $ — $ — $ 1,093,595 Special mention — — — — 20,438 5,994 — — 26,432 Substandard — — 5,362 — 716 76,501 — — 82,579 Doubtful — — — — — — — — — Total commercial real estate non-owner occupied loans $ 13,499 $ 16,740 $ 386,624 $ 102,647 $ 182,528 $ 500,568 $ — $ — $ 1,202,606 Commercial real estate non-owner occupied loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — — — — — Construction loans: Pass $ 7,356 $ 17,883 $ 127,317 $ — $ — $ 4,510 $ — $ — $ 157,066 Special mention — 6,343 — — — — — — 6,343 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total construction loans $ 7,356 $ 24,226 $ 127,317 $ — $ — $ 4,510 $ — $ — $ 163,409 Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2024 2023 2022 2021 2020 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Construction loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — — — — — Total commercial loans and leases receivable $ 1,268,631 $ 914,635 $ 3,795,934 $ 1,084,747 $ 519,028 $ 1,249,544 $ 1,831,546 $ 277,769 $ 10,941,834 Total commercial loans and leases receivable charge-offs: Three Months Ended June 30, 2024 $ 73 $ 218 $ 5,328 $ 698 $ 995 $ 1,469 $ — $ — $ 8,781 Six Months Ended June 30, 2024 218 702 5,672 4,095 1,687 2,298 — — 14,672 Residential real estate loans: Performing $ 15,138 $ 22,341 $ 168,161 $ 126,398 $ 6,015 $ 82,697 $ 53,075 $ — $ 473,825 Non-performing — — 1,213 1,753 224 4,484 4 — 7,678 Total residential real estate loans $ 15,138 $ 22,341 $ 169,374 $ 128,151 $ 6,239 $ 87,181 $ 53,079 $ — $ 481,503 Residential real estate loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — 19 — — 19 Manufactured housing loans: Performing $ — $ — $ — $ — $ — $ 34,135 $ — $ — $ 34,135 Non-performing — — — — — 1,766 — — 1,766 Total manufactured housing loans $ — $ — $ — $ — $ — $ 35,901 $ — $ — $ 35,901 Manufactured housing loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — — — — — Installment loans: Performing $ 83,651 $ 176,367 $ 250,391 $ 118,477 $ 38,187 $ 30,805 $ 50,968 $ 10 $ 748,856 Non-performing 17 2,799 3,028 1,236 268 312 166 — 7,826 Total installment loans $ 83,668 $ 179,166 $ 253,419 $ 119,713 $ 38,455 $ 31,117 $ 51,134 $ 10 $ 756,682 Installment loans charge-offs: Three Months Ended June 30, 2024 $ 810 $ 2,352 $ 6,011 $ 3,551 $ 460 $ 759 $ — $ — $ 13,943 Six Months Ended June 30, 2024 1,882 3,405 12,231 8,788 1,733 2,821 — — 30,860 Total consumer loans $ 98,806 $ 201,507 $ 422,793 $ 247,864 $ 44,694 $ 154,199 $ 104,213 $ 10 $ 1,274,086 Total consumer loans charge-offs: Three Months Ended June 30, 2024 $ 810 $ 2,352 $ 6,011 $ 3,551 $ 460 $ 759 $ — $ — $ 13,943 Six Months Ended June 30, 2024 1,882 3,405 12,231 8,788 1,733 2,840 — — 30,879 Loans and leases receivable $ 1,367,437 $ 1,116,142 $ 4,218,727 $ 1,332,611 $ 563,722 $ 1,403,743 $ 1,935,759 $ 277,779 $ 12,215,920 Loans and leases receivable charge-offs: Three Months Ended June 30, 2024 $ 883 $ 2,570 $ 11,339 $ 4,249 $ 1,455 $ 2,228 $ — $ — $ 22,724 Six Months Ended June 30, 2024 $ 2,100 $ 4,107 $ 17,903 $ 12,883 $ 3,420 $ 5,138 $ — $ — $ 45,551 (1) Charge-offs for the three and six months ended June 30, 2024 included $0.8 million and $4.2 million, respectively, of commercial and industrial loans originated under the PPP that were subsequently determined to be ineligible for SBA forgiveness and guarantee and were ultimately deemed uncollectible. Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2023 2022 2021 2020 2019 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Commercial and industrial loans and leases, including specialized lending: Pass $ 1,184,923 $ 1,909,592 $ 483,039 $ 170,384 $ 59,213 $ 63,480 $ 1,722,559 $ 384,947 $ 5,978,137 Special mention 18,000 3,377 5,127 1,986 — 595 7,916 2,903 39,904 Substandard 14,738 39,258 61,533 26,660 4,803 42,062 4,010 — 193,064 Doubtful — — — — — — — — — Total commercial and industrial loans and leases $ 1,217,661 $ 1,952,227 $ 549,699 $ 199,030 $ 64,016 $ 106,137 $ 1,734,485 $ 387,850 $ 6,211,105 Commercial and industrial loans and leases charge-offs: For the Year Ended December 31, 2023 (1)(2) $ 1,483 $ 381 $ 3,169 $ 10,348 $ 24 $ 1,510 $ — $ — $ 16,915 Multifamily loans: Pass $ 845 $ 1,229,198 $ 371,016 $ 127,493 $ 43,046 $ 253,806 $ — $ — $ 2,025,404 Special mention — — — — 6,468 67,035 — — 73,503 Substandard — — — — — 39,715 — — 39,715 Doubtful — — — — — — — — — Total multifamily loans $ 845 $ 1,229,198 $ 371,016 $ 127,493 $ 49,514 $ 360,556 $ — $ — $ 2,138,622 Multifamily loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 3,574 $ — $ — $ 3,574 Commercial real estate owner occupied loans: Pass $ 41,011 $ 254,878 $ 180,289 $ 77,821 $ 44,382 $ 120,248 $ — $ 11,318 $ 729,947 Special mention — — 15,432 — 35,691 47 — — 51,170 Substandard — — — — 347 15,855 — — 16,202 Doubtful — — — — — — — — — Total commercial real estate owner occupied loans $ 41,011 $ 254,878 $ 195,721 $ 77,821 $ 80,420 $ 136,150 $ — $ 11,318 $ 797,319 Commercial real estate owner occupied loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 39 $ — $ — $ 39 Commercial real estate non-owner occupied loans: Pass $ 12,906 $ 325,881 $ 109,521 $ 152,227 $ 88,586 $ 367,996 $ — $ — $ 1,057,117 Special mention — — — 20,702 — 9,148 — — 29,850 Substandard — 10,910 — — 8,113 71,660 — — 90,683 Doubtful — — — — — — — — — Total commercial real estate non-owner occupied loans $ 12,906 $ 336,791 $ 109,521 $ 172,929 $ 96,699 $ 448,804 $ — $ — $ 1,177,650 Commercial real estate non-owner occupied loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 4,527 $ — $ — $ 4,527 Construction loans: Pass $ 17,594 $ 138,797 $ 2,567 $ — $ — $ 4,580 $ — $ 1,100 $ 164,638 Special mention 1,755 — — — — — — — 1,755 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total construction loans $ 19,349 $ 138,797 $ 2,567 $ — $ — $ 4,580 $ — $ 1,100 $ 166,393 Construction loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ — $ — $ — $ — Total commercial loans and leases receivable $ 1,291,772 $ 3,911,891 $ 1,228,524 $ 577,273 $ 290,649 $ 1,056,227 $ 1,734,485 $ 400,268 $ 10,491,089 Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2023 2022 2021 2020 2019 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Total commercial loans and leases receivable charge-offs: For the Year Ended December 31, 2023 $ 1,483 $ 381 $ 3,169 $ 10,348 $ 24 $ 9,650 $ — $ — $ 25,055 Residential real estate loans: Performing $ 22,613 $ 173,424 $ 131,621 $ 6,458 $ 15,508 $ 71,433 $ 56,844 $ — $ 477,901 Non-performing — 350 1,236 229 545 3,993 181 — 6,534 Total residential real estate loans $ 22,613 $ 173,774 $ 132,857 $ 6,687 $ 16,053 $ 75,426 $ 57,025 $ — $ 484,435 Residential real estate loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 69 $ — $ — $ 69 Manufactured housing loans: Performing $ — $ — $ — $ — $ 98 $ 36,464 $ — $ — $ 36,562 Non-performing — — — — — 2,108 — — 2,108 Total manufactured housing loans $ — $ — $ — $ — $ 98 $ 38,572 $ — $ — $ 38,670 Manufactured housing loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ — $ — $ — $ — Installment loans: Performing $ 253,958 $ 307,566 $ 158,381 $ 50,354 $ 39,953 $ 3,448 $ 51,480 $ — $ 865,140 Non-performing 2,634 4,102 1,751 546 477 86 190 — 9,786 Total installment loans $ 256,592 $ 311,668 $ 160,132 $ 50,900 $ 40,430 $ 3,534 $ 51,670 $ — $ 874,926 Installment loans charge-offs: For the Year Ended December 31, 2023 $ 7,728 $ 24,605 $ 23,984 $ 5,590 $ 6,797 $ 1,238 $ — $ — $ 69,942 Total consumer loans $ 279,205 $ 485,442 $ 292,989 $ 57,587 $ 56,581 $ 117,532 $ 108,695 $ — $ 1,398,031 Total consumer loans charge-offs: For the Year Ended December 31, 2023 $ 7,728 $ 24,605 $ 23,984 $ 5,590 $ 6,797 $ 1,307 $ — $ — $ 70,011 Loans and leases receivable $ 1,570,977 $ 4,397,333 $ 1,521,513 $ 634,860 $ 347,230 $ 1,173,759 $ 1,843,180 $ 400,268 $ 11,889,120 Loans and leases receivable charge-offs: For the Year Ended December 31, 2023 $ 9,211 $ 24,986 $ 27,153 $ 15,938 $ 6,821 $ 10,957 $ — $ — $ 95,066 (1) Excludes $6.2 million of charge-offs for certain PCD loans against $8.7 million of allowance for credit losses on PCD loans recogni |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2024 | |
Leases [Abstract] | |
LEASES | LEASES Lessee Customers has operating leases for its branches, certain LPOs, and administrative offices, with remaining lease terms ranging between six months and nine years. These operating leases comprise substantially all of Customers’ obligations in which Customers is the lessee. These lease agreements typically consist of initial lease terms ranging between one As most of Customers’ operating leases do not provide an implicit rate, Customers utilized its incremental borrowing rate when determining the present value of lease payments. The following table summarizes operating lease ROU assets and operating lease liabilities and their corresponding balance sheet location: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Operating lease ROU assets Other assets $ 17,317 $ 15,644 LIABILITIES Operating lease liabilities Other liabilities $ 19,052 $ 18,048 The following table summarizes operating lease cost and its corresponding income statement location for the periods presented: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) Classification 2024 2023 2024 2023 Operating lease cost (1) Occupancy expenses $ 1,300 $ 1,296 $ 2,485 $ 2,515 (1) There were no variable lease costs for the three and six months ended June 30, 2024 and 2023, and sublease income for operating leases was immaterial. Maturities of non-cancelable operating lease liabilities were as follows at June 30, 2024: (amounts in thousands) June 30, 2024 2024 $ 2,885 2025 4,863 2026 3,673 2027 3,174 2028 2,714 Thereafter 3,762 Total minimum payments 21,071 Less: interest 2,019 Present value of lease liabilities $ 19,052 Customers does not have leases where it is involved with the construction or design of an underlying asset. Cash paid pursuant to the operating lease liabilities was $1.3 million and $2.7 million for the three and six months ended June 30, 2024, respectively. Cash paid pursuant to the operating lease liabilities was $1.4 million and $3.1 million for the three and six months ended June 30, 2023, respectively. These payments were reported as cash flows used in operating activities in the statement of cash flows. The following table summarizes the weighted average remaining lease term and discount rate for Customers’ operating leases at June 30, 2024 and December 31, 2023: June 30, 2024 December 31, 2023 Weighted average remaining lease term (years) Operating leases 5.1 years 5.6 years Weighted average discount rate Operating leases 3.67 % 3.28 % Equipment Lessor Customers’ commercial equipment financing group goes to market through the following origination platforms: vendors, intermediaries, direct and capital markets. The commercial equipment financing group is primarily focused on serving the following industries: transportation, construction (includes crane and utility), marine, franchise, general manufacturing (includes machine tool), helicopter/fixed wing, solar, packaging, plastics and food processing. Lease terms typically range from 24 months to 120 months. The commercial equipment financing group offers the following products: Loans, Capital Lease, PUT, TRAC, Split-TRAC, and FMV. Direct finance equipment leases are included in commercial and industrial loans and leases receivable. The estimated residual values for direct finance and operating leases are established by utilizing internally developed analyses, external studies, and/or third-party appraisals to establish a residual position. For the direct finance leases, only Customers’ Split-TRAC leases have residual risk and the unguaranteed portions are typically nominal. Expected credit losses on direct financing leases and the related estimated residual values are included in the ACL on loans and leases. Leased assets under operating leases are reported at amortized cost net of accumulated depreciation, and any impairment charges and are presented in other assets. The depreciation expense of the leased assets is recognized on a straight-line basis over the contractual term of the leases up to the expected residual value. The expected residual value and, accordingly, the monthly depreciation expense, may change throughout the term of the lease. Operating lease rental income for leased assets is recognized in commercial lease income on a straight-line basis over the lease term. Customers periodically reviews its operating leased assets for impairment. An impairment loss is recognized if the carrying amount of the operating leased asset exceeds its fair value and is not recoverable. The carrying amount of operating leased assets is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the lease payments and the estimated residual value upon the eventual disposition of the equipment. The following table summarizes lease receivables and investment in operating leases and their corresponding balance sheet location at June 30, 2024 and December 31, 2023: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Direct financing leases Lease receivables Loans and leases receivable $ 207,996 $ 190,559 Guaranteed residual assets Loans and leases receivable 19,475 15,783 Unguaranteed residual assets Loans and leases receivable 10,335 10,010 Deferred initial direct costs Loans and leases receivable 1,374 1,213 Unearned income Loans and leases receivable (16,974) (11,891) Net investment in direct financing leases $ 222,206 $ 205,674 Operating leases Investment in operating leases Other assets $ 278,527 $ 282,208 Accumulated depreciation Other assets (81,417) (77,672) Deferred initial direct costs Other assets 1,038 1,192 Net investment in operating leases 198,148 205,728 Total lease assets $ 420,354 $ 411,402 Maturities of operating and direct financing lease receivables were as follows at June 30, 2024: (amounts in thousands) Operating leases Direct financing leases 2024 $ 21,925 $ 27,880 2025 39,817 49,116 2026 45,492 41,915 2027 32,308 36,872 2028 55,224 27,313 Thereafter 30,125 25,244 Total minimum payments $ 224,891 208,340 Less: interest 344 Present value of lease receivables $ 207,996 |
LEASES | LEASES Lessee Customers has operating leases for its branches, certain LPOs, and administrative offices, with remaining lease terms ranging between six months and nine years. These operating leases comprise substantially all of Customers’ obligations in which Customers is the lessee. These lease agreements typically consist of initial lease terms ranging between one As most of Customers’ operating leases do not provide an implicit rate, Customers utilized its incremental borrowing rate when determining the present value of lease payments. The following table summarizes operating lease ROU assets and operating lease liabilities and their corresponding balance sheet location: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Operating lease ROU assets Other assets $ 17,317 $ 15,644 LIABILITIES Operating lease liabilities Other liabilities $ 19,052 $ 18,048 The following table summarizes operating lease cost and its corresponding income statement location for the periods presented: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) Classification 2024 2023 2024 2023 Operating lease cost (1) Occupancy expenses $ 1,300 $ 1,296 $ 2,485 $ 2,515 (1) There were no variable lease costs for the three and six months ended June 30, 2024 and 2023, and sublease income for operating leases was immaterial. Maturities of non-cancelable operating lease liabilities were as follows at June 30, 2024: (amounts in thousands) June 30, 2024 2024 $ 2,885 2025 4,863 2026 3,673 2027 3,174 2028 2,714 Thereafter 3,762 Total minimum payments 21,071 Less: interest 2,019 Present value of lease liabilities $ 19,052 Customers does not have leases where it is involved with the construction or design of an underlying asset. Cash paid pursuant to the operating lease liabilities was $1.3 million and $2.7 million for the three and six months ended June 30, 2024, respectively. Cash paid pursuant to the operating lease liabilities was $1.4 million and $3.1 million for the three and six months ended June 30, 2023, respectively. These payments were reported as cash flows used in operating activities in the statement of cash flows. The following table summarizes the weighted average remaining lease term and discount rate for Customers’ operating leases at June 30, 2024 and December 31, 2023: June 30, 2024 December 31, 2023 Weighted average remaining lease term (years) Operating leases 5.1 years 5.6 years Weighted average discount rate Operating leases 3.67 % 3.28 % Equipment Lessor Customers’ commercial equipment financing group goes to market through the following origination platforms: vendors, intermediaries, direct and capital markets. The commercial equipment financing group is primarily focused on serving the following industries: transportation, construction (includes crane and utility), marine, franchise, general manufacturing (includes machine tool), helicopter/fixed wing, solar, packaging, plastics and food processing. Lease terms typically range from 24 months to 120 months. The commercial equipment financing group offers the following products: Loans, Capital Lease, PUT, TRAC, Split-TRAC, and FMV. Direct finance equipment leases are included in commercial and industrial loans and leases receivable. The estimated residual values for direct finance and operating leases are established by utilizing internally developed analyses, external studies, and/or third-party appraisals to establish a residual position. For the direct finance leases, only Customers’ Split-TRAC leases have residual risk and the unguaranteed portions are typically nominal. Expected credit losses on direct financing leases and the related estimated residual values are included in the ACL on loans and leases. Leased assets under operating leases are reported at amortized cost net of accumulated depreciation, and any impairment charges and are presented in other assets. The depreciation expense of the leased assets is recognized on a straight-line basis over the contractual term of the leases up to the expected residual value. The expected residual value and, accordingly, the monthly depreciation expense, may change throughout the term of the lease. Operating lease rental income for leased assets is recognized in commercial lease income on a straight-line basis over the lease term. Customers periodically reviews its operating leased assets for impairment. An impairment loss is recognized if the carrying amount of the operating leased asset exceeds its fair value and is not recoverable. The carrying amount of operating leased assets is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the lease payments and the estimated residual value upon the eventual disposition of the equipment. The following table summarizes lease receivables and investment in operating leases and their corresponding balance sheet location at June 30, 2024 and December 31, 2023: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Direct financing leases Lease receivables Loans and leases receivable $ 207,996 $ 190,559 Guaranteed residual assets Loans and leases receivable 19,475 15,783 Unguaranteed residual assets Loans and leases receivable 10,335 10,010 Deferred initial direct costs Loans and leases receivable 1,374 1,213 Unearned income Loans and leases receivable (16,974) (11,891) Net investment in direct financing leases $ 222,206 $ 205,674 Operating leases Investment in operating leases Other assets $ 278,527 $ 282,208 Accumulated depreciation Other assets (81,417) (77,672) Deferred initial direct costs Other assets 1,038 1,192 Net investment in operating leases 198,148 205,728 Total lease assets $ 420,354 $ 411,402 Maturities of operating and direct financing lease receivables were as follows at June 30, 2024: (amounts in thousands) Operating leases Direct financing leases 2024 $ 21,925 $ 27,880 2025 39,817 49,116 2026 45,492 41,915 2027 32,308 36,872 2028 55,224 27,313 Thereafter 30,125 25,244 Total minimum payments $ 224,891 208,340 Less: interest 344 Present value of lease receivables $ 207,996 |
LEASES | LEASES Lessee Customers has operating leases for its branches, certain LPOs, and administrative offices, with remaining lease terms ranging between six months and nine years. These operating leases comprise substantially all of Customers’ obligations in which Customers is the lessee. These lease agreements typically consist of initial lease terms ranging between one As most of Customers’ operating leases do not provide an implicit rate, Customers utilized its incremental borrowing rate when determining the present value of lease payments. The following table summarizes operating lease ROU assets and operating lease liabilities and their corresponding balance sheet location: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Operating lease ROU assets Other assets $ 17,317 $ 15,644 LIABILITIES Operating lease liabilities Other liabilities $ 19,052 $ 18,048 The following table summarizes operating lease cost and its corresponding income statement location for the periods presented: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) Classification 2024 2023 2024 2023 Operating lease cost (1) Occupancy expenses $ 1,300 $ 1,296 $ 2,485 $ 2,515 (1) There were no variable lease costs for the three and six months ended June 30, 2024 and 2023, and sublease income for operating leases was immaterial. Maturities of non-cancelable operating lease liabilities were as follows at June 30, 2024: (amounts in thousands) June 30, 2024 2024 $ 2,885 2025 4,863 2026 3,673 2027 3,174 2028 2,714 Thereafter 3,762 Total minimum payments 21,071 Less: interest 2,019 Present value of lease liabilities $ 19,052 Customers does not have leases where it is involved with the construction or design of an underlying asset. Cash paid pursuant to the operating lease liabilities was $1.3 million and $2.7 million for the three and six months ended June 30, 2024, respectively. Cash paid pursuant to the operating lease liabilities was $1.4 million and $3.1 million for the three and six months ended June 30, 2023, respectively. These payments were reported as cash flows used in operating activities in the statement of cash flows. The following table summarizes the weighted average remaining lease term and discount rate for Customers’ operating leases at June 30, 2024 and December 31, 2023: June 30, 2024 December 31, 2023 Weighted average remaining lease term (years) Operating leases 5.1 years 5.6 years Weighted average discount rate Operating leases 3.67 % 3.28 % Equipment Lessor Customers’ commercial equipment financing group goes to market through the following origination platforms: vendors, intermediaries, direct and capital markets. The commercial equipment financing group is primarily focused on serving the following industries: transportation, construction (includes crane and utility), marine, franchise, general manufacturing (includes machine tool), helicopter/fixed wing, solar, packaging, plastics and food processing. Lease terms typically range from 24 months to 120 months. The commercial equipment financing group offers the following products: Loans, Capital Lease, PUT, TRAC, Split-TRAC, and FMV. Direct finance equipment leases are included in commercial and industrial loans and leases receivable. The estimated residual values for direct finance and operating leases are established by utilizing internally developed analyses, external studies, and/or third-party appraisals to establish a residual position. For the direct finance leases, only Customers’ Split-TRAC leases have residual risk and the unguaranteed portions are typically nominal. Expected credit losses on direct financing leases and the related estimated residual values are included in the ACL on loans and leases. Leased assets under operating leases are reported at amortized cost net of accumulated depreciation, and any impairment charges and are presented in other assets. The depreciation expense of the leased assets is recognized on a straight-line basis over the contractual term of the leases up to the expected residual value. The expected residual value and, accordingly, the monthly depreciation expense, may change throughout the term of the lease. Operating lease rental income for leased assets is recognized in commercial lease income on a straight-line basis over the lease term. Customers periodically reviews its operating leased assets for impairment. An impairment loss is recognized if the carrying amount of the operating leased asset exceeds its fair value and is not recoverable. The carrying amount of operating leased assets is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the lease payments and the estimated residual value upon the eventual disposition of the equipment. The following table summarizes lease receivables and investment in operating leases and their corresponding balance sheet location at June 30, 2024 and December 31, 2023: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Direct financing leases Lease receivables Loans and leases receivable $ 207,996 $ 190,559 Guaranteed residual assets Loans and leases receivable 19,475 15,783 Unguaranteed residual assets Loans and leases receivable 10,335 10,010 Deferred initial direct costs Loans and leases receivable 1,374 1,213 Unearned income Loans and leases receivable (16,974) (11,891) Net investment in direct financing leases $ 222,206 $ 205,674 Operating leases Investment in operating leases Other assets $ 278,527 $ 282,208 Accumulated depreciation Other assets (81,417) (77,672) Deferred initial direct costs Other assets 1,038 1,192 Net investment in operating leases 198,148 205,728 Total lease assets $ 420,354 $ 411,402 Maturities of operating and direct financing lease receivables were as follows at June 30, 2024: (amounts in thousands) Operating leases Direct financing leases 2024 $ 21,925 $ 27,880 2025 39,817 49,116 2026 45,492 41,915 2027 32,308 36,872 2028 55,224 27,313 Thereafter 30,125 25,244 Total minimum payments $ 224,891 208,340 Less: interest 344 Present value of lease receivables $ 207,996 |
DEPOSITS
DEPOSITS | 6 Months Ended |
Jun. 30, 2024 | |
Deposit [Abstract] | |
DEPOSITS | DEPOSITS The components of deposits at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 December 31, 2023 (amounts in thousands) Demand, non-interest bearing $ 4,474,862 $ 4,422,494 Demand, interest bearing 5,894,056 5,580,527 Savings, including money market deposit accounts 5,113,476 4,629,336 Time 2,195,699 3,287,879 Total deposits $ 17,678,093 $ 17,920,236 The scheduled maturities for time deposits at June 30, 2024 were as follows: (amounts in thousands) June 30, 2024 2024 $ 638,219 2025 618,940 2026 392,818 2027 197,808 2028 227,757 Thereafter 120,157 Total time deposits $ 2,195,699 Time deposits greater than the FDIC limit of $250,000 totaled $501.2 million and $186.3 million at June 30, 2024 and December 31, 2023, respectively. Demand deposit overdrafts reclassified as loans were $1.2 million at June 30, 2024 and December 31, 2023. At June 30, 2024 and December 31, 2023, the Bank had $1.3 billion and $1.1 billion in deposits, respectively, to which it had pledged $1.4 billion and $1.1 billion of available borrowing capacity through the FHLB to the depositors through a standby letter of credit arrangement, respectively. |
BORROWINGS
BORROWINGS | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
BORROWINGS | BORROWINGS Short-term debt There were no short-term debt outstanding at June 30, 2024 and December 31, 2023. The following is a summary of additional information relating to Customers’ short-term debt: (dollars in thousands) June 30, 2024 (1) December 31, 2023 (2) FRB advances Maximum outstanding at any month end $ — $ — Average balance during the period — 120,099 Weighted-average interest rate during the period — % 5.23 % FHLB advances Maximum outstanding at any month end 150,000 — Average balance during the period 17,308 87,407 Weighted-average interest rate during the period 5.74 % 5.16 % Federal funds purchased Maximum outstanding at any month end — — Average balance during the period — 3,781 Weighted-average interest rate during the period — % 4.97 % (1) For the six months ended June 30, 2024. (2) For the year ended December 31, 2023. At June 30, 2024 and December 31, 2023, Customers Bank had aggregate availability under federal funds lines totaling $1.7 billion. Long-term debt FHLB and FRB advances Long-term FHLB and FRB advances at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 December 31, 2023 (dollars in thousands) Amount Rate Amount Rate FHLB advances (1)(2) $ 1,018,349 4.19 % $ 1,203,207 3.91 % Total long-term FHLB and FRB advances $ 1,018,349 $ 1,203,207 (1) Amounts reported in the above table include fixed rate long-term advances from FHLB of $950.0 million with maturities ranging from March 2025 to March 2028, and variable rate long-term advances from FHLB of $75.0 million with maturities ranging from March 2029 to June 2029 with a returnable option that can be repaid without penalty on certain predetermined dates at Customers Bank's option, at June 30, 2024. (2) Includes $(6.7) million and $3.2 million of unamortized basis adjustments from interest rate swaps designated as fair value hedges of long-term advances from FHLB at June 30, 2024 and December 31, 2023, respectively. Refer to NOTE 14 — DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES for additional information. Maturities of long-term FHLB advances were as follows at June 30, 2024: June 30, 2024 (dollars in thousands) Amount (1) Rate 2024 $ — — % 2025 200,000 4.45 % 2026 200,000 4.32 % 2027 450,000 3.70 % 2028 100,000 4.19 % Thereafter 75,000 6.05 % Total long-term FHLB advances $ 1,025,000 (1) Amounts reported in the above table include variable rate long-term advances from FHLB of $75.0 million with maturities ranging from March 2029 to June 2029 with a returnable option that can be repaid without penalty on certain predetermined dates at Customers Bank's option. The maximum borrowing capacity with the FHLB and FRB at June 30, 2024 and December 31, 2023 was as follows: (amounts in thousands) June 30, 2024 December 31, 2023 Total maximum borrowing capacity with the FHLB $ 3,345,182 $ 3,474,347 Total maximum borrowing capacity with the FRB 4,283,486 3,436,000 Qualifying loans and securities serving as collateral against FHLB and FRB advances 9,481,379 8,575,137 Senior and Subordinated Debt Long-term senior notes and subordinated debt at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 December 31, 2023 (dollars in thousands) Issued by Ranking Carrying Amount Carrying Amount Rate Issued Amount Date Issued Maturity Price Customers Bancorp Senior (1) $ 98,998 $ 98,928 2.875 % $ 100,000 August 2021 August 2031 100.000 % Customers Bancorp Senior 24,972 24,912 4.500 % 25,000 September 2019 September 2024 100.000 % Total other borrowings $ 123,970 $ 123,840 Customers Bancorp Subordinated (2)(3) $ 72,857 $ 72,766 5.375 % $ 74,750 December 2019 December 2034 100.000 % Customers Bank Subordinated (2)(4) 109,513 109,464 6.125 % 110,000 June 2014 June 2029 100.000 % Total subordinated debt $ 182,370 $ 182,230 (1) The senior notes will bear an annual fixed rate of 2.875% until August 15, 2026. From August 15, 2026 until maturity, the notes will bear an annual interest rate equal to a benchmark rate, which is expected to be the three-month term SOFR (2) The subordinated notes qualify as Tier 2 capital for regulatory capital purposes. (3) Customers Bancorp has the ability to call the subordinated notes, in whole, or in part, at a redemption price equal to 100% of the principal balance at certain times on or after December 30, 2029. (4) The subordinated notes had an annual fixed rate of 6.125% until June 26, 2024. From June 26, 2024 until maturity, the notes bear an annual interest rate equal to the three-month LIBOR plus 344.3 basis points. Pursuant to the Adjustable Interest Rate (LIBOR) Act enacted by Congress on March 15, 2022, Customers substituted three-month term SOFR plus a tenor spread adjustment of 26.161 basis points for three-month LIBOR as the benchmark reference rate in order to calculate the annual interest rate after June 26, 2024. Customers Bank has the ability to call the subordinated notes, in whole, or in part, at a redemption price equal to 100% of the principal balance at certain times on or after June 26, 2024. |
SHAREHOLDERS_ EQUITY
SHAREHOLDERS’ EQUITY | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
SHAREHOLDERS’ EQUITY | SHAREHOLDERS’ EQUITY Common Stock On June 26, 2024, the Board of Directors of Customers Bancorp authorized a new common stock repurchase program (the “2024 Share Repurchase Program”) to repurchase up to 497,509 shares of the Company’s common stock. The term of the 2024 Share Repurchase Program will extend for one year from June 26, 2024, unless earlier terminated. Purchases of shares under the 2024 Share Repurchase Program may be executed through open market purchases, privately negotiated transactions, through the use of Rule 10b5-1 plans, or otherwise. The exact number of shares, timing for such purchases, and the price and terms at and on which such purchases are to be made will be at the discretion of the Company and will comply with all applicable regulatory limitations. The Company’s previously authorized common stock repurchase program (the “Share Repurchase Program”), authorized on August 25, 2021, subsequently expired on September 27, 2023. At expiration, the Share Repurchase Program had 497,509 shares that had not been repurchased. Customers Bancorp did not purchase any shares of its common stock under the 2024 Share Repurchase Program during the three and six months ended June 30, 2024. Customers Bancorp purchased no shares and 1,379,883 shares of its common stock for $39.8 million under the previously authorized Share Repurchase Program during the three and six months ended June 30, 2023, respectively. Preferred Stock As of June 30, 2024 and December 31, 2023, Customers Bancorp has two series of preferred stock outstanding. The table below summarizes Customers’ issuances of preferred stock that remain outstanding at June 30, 2024 and December 31, 2023 and the dividends paid per share. (amounts in thousands except share and per share data) Shares at Carrying value at Initial Fixed Rate Date at which dividend rate becomes floating and earliest redemption date Floating rate of Three-Month SOFR (2) Plus: Dividend Paid Per Share in 2024 (1) Fixed-to-floating rate: Issue Date June 30, 2024 December 31, 2023 June 30, 2024 December 31, 2023 Series E April 28, 2016 2,300,000 2,300,000 $ 55,593 $ 55,593 6.45 % June 15, 2021 5.140 % $ 1.38 Series F September 16, 2016 3,400,000 3,400,000 82,201 82,201 6.00 % December 15, 2021 4.762 % $ 1.33 Totals 5,700,000 5,700,000 $ 137,794 $ 137,794 (1) For the six months ended June 30, 2024. (2) Pursuant to the Adjustable Interest Rate (LIBOR) Act enacted by Congress on March 15, 2022, Customers substituted three-month term SOFR plus a tenor spread adjustment of 26.161 basis points for three-month LIBOR as the benchmark reference rate on Series E and F Preferred Stock, plus 5.14% and 4.762%, respectively, beginning with dividends declared on October 25, 2023. |
REGULATORY CAPITAL
REGULATORY CAPITAL | 6 Months Ended |
Jun. 30, 2024 | |
Regulatory Capital Requirements under Banking Regulations [Abstract] | |
REGULATORY CAPITAL | REGULATORY CAPITAL The Bank and the Bancorp are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet the minimum capital requirements can result in certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on Customers’ financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank and the Bancorp must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance sheet items, as calculated under the regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Prompt corrective action provisions are not applicable to bank holding companies. In first quarter 2020, the U.S federal banking regulatory agencies permitted banking organizations to phase-in, for regulatory capital purposes, the day-one impact of the new CECL accounting rule on retained earnings over a period of three years. As part of its response to the impact of COVID-19, on March 31, 2020, the U.S. federal banking regulatory agencies issued an interim final rule that provided the option to temporarily delay certain effects of CECL on regulatory capital for two years, followed by a three-year transition period. The interim final rule allows banking organizations to delay for two years 100% of the day-one impact of adopting CECL and 25% of the cumulative change in the reported allowance for credit losses since adopting CECL. Customers has elected to adopt the interim final rule, which is reflected in the regulatory capital data presented below. The cumulative CECL capital transition impact as of December 31, 2021 which amounted to $61.6 million will be phased in at 25% per year beginning on January 1, 2022 through December 31, 2024. As of June 30, 2024, our regulatory capital ratios reflected 25%, or $15.4 million, benefit associated with the CECL transition provisions. Quantitative measures established by regulation to ensure capital adequacy require the Bank and the Bancorp to maintain minimum amounts and ratios (set forth in the following table) of common equity Tier 1, Tier 1, and total capital to risk-weighted assets, and Tier 1 capital to average assets (as defined in the regulations). At June 30, 2024 and December 31, 2023, the Bank and the Bancorp satisfied all capital requirements to which they were subject. Generally, to comply with the regulatory definition of adequately capitalized, or well capitalized, respectively, or to comply with the Basel III capital requirements, an institution must at least maintain the common equity Tier 1, Tier 1 and total risk-based capital ratios and the Tier 1 leverage ratio in excess of the related minimum ratios as set forth in the following table: Minimum Capital Levels to be Classified as: Actual Adequately Capitalized Well Capitalized Basel III Compliant (dollars in thousands) Amount Ratio Amount Ratio Amount Ratio Amount Ratio As of June 30, 2024: Common equity Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,750,538 12.786 % $ 616,080 4.500 % N/A N/A $ 958,346 7.000 % Customers Bank $ 1,937,780 14.169 % $ 615,428 4.500 % $ 888,952 6.500 % $ 957,333 7.000 % Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,888,331 13.793 % $ 821,439 6.000 % N/A N/A $ 1,163,706 8.500 % Customers Bank $ 1,937,780 14.169 % $ 820,571 6.000 % $ 1,094,095 8.000 % $ 1,162,476 8.500 % Total capital (to risk-weighted assets) Customers Bancorp, Inc. $ 2,162,965 15.799 % $ 1,095,252 8.000 % N/A N/A $ 1,437,519 10.500 % Customers Bank $ 2,139,557 15.644 % $ 1,094,095 8.000 % $ 1,367,619 10.000 % $ 1,436,000 10.500 % Tier 1 capital (to average assets) Customers Bancorp, Inc. $ 1,888,331 8.916 % $ 847,136 4.000 % N/A N/A $ 847,136 4.000 % Customers Bank $ 1,937,780 9.160 % $ 846,161 4.000 % $ 1,057,701 5.000 % $ 846,161 4.000 % As of December 31, 2023: Common equity Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,661,149 12.230 % $ 611,200 4.500 % N/A N/A $ 950,755 7.000 % Customers Bank $ 1,868,360 13.773 % $ 610,453 4.500 % $ 881,765 6.500 % $ 949,594 7.000 % Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,798,942 13.245 % $ 814,933 6.000 % N/A N/A $ 1,154,489 8.500 % Customers Bank $ 1,868,360 13.773 % $ 813,937 6.000 % $ 1,085,250 8.000 % $ 1,153,078 8.500 % Total capital (to risk-weighted assets) Customers Bancorp, Inc. $ 2,076,550 15.289 % $ 1,086,578 8.000 % N/A N/A $ 1,426,133 10.500 % Customers Bank $ 2,073,202 15.283 % $ 1,085,250 8.000 % $ 1,356,562 10.000 % $ 1,424,390 10.500 % Tier 1 capital (to average assets) Customers Bancorp, Inc. $ 1,798,942 8.375 % $ 859,189 4.000 % N/A N/A $ 859,189 4.000 % Customers Bank $ 1,868,360 8.708 % $ 858,225 4.000 % $ 1,072,782 5.000 % $ 858,225 4.000 % The Basel III Capital Rules require that we maintain a 2.500% capital conservation buffer with respect to each of common equity Tier 1, Tier 1 and total capital to risk-weighted assets, which provides for capital levels that exceed the minimum risk-based capital adequacy requirements. A financial institution with a conservation buffer of less than the required amount is subject to limitations on capital distributions, including dividend payments and stock repurchases, and certain discretionary bonus payments to executive officers. |
DISCLOSURES ABOUT FAIR VALUE OF
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS | DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS Customers uses fair value measurements to record fair value adjustments to certain assets and liabilities and to disclose the fair value of its financial instruments. ASC 825, Financial Instruments , requires disclosure of the estimated fair value of an entity’s assets and liabilities considered to be financial instruments. For Customers, as for most financial institutions, the majority of its assets and liabilities are considered to be financial instruments. Many of these instruments lack an available trading market as characterized by a willing buyer and a willing seller engaging in an exchange transaction. For fair value disclosure purposes, Customers utilized certain fair value measurement criteria under ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), as explained below. In accordance with ASC 820, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for Customers’ various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. The fair value guidance provides a consistent definition of fair value, focusing on an exit price in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. The fair value guidance also establishes a fair value hierarchy and describes the following three levels used to classify fair value measurements. Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Prices or valuation techniques that require adjustments to inputs that are both significant to the fair value measurement and unobservable (i.e., supported with little or no market activity). A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The following methods and assumptions were used to estimate the fair values of Customers’ financial instruments as of June 30, 2024 and December 31, 2023: Financial Instruments Recorded at Fair Value on a Recurring Basis Investment securities: The fair values of equity securities with a readily determinable fair value, AFS debt securities and debt securities reported at fair value based on a fair value option election are determined by obtaining quoted market prices on nationally recognized and foreign securities exchanges (Level 1), quoted prices in markets that are not active (Level 2), matrix pricing (Level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted prices, or internally and externally developed models that use unobservable inputs due to limited or no market activity of the instrument (Level 3). When quoted market prices are not available, Customers employs an independent pricing service that utilizes matrix pricing to calculate fair value. Such fair value measurements consider observable data such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayments speeds, credit information, and respective terms and conditions for debt instruments. Management maintains procedures to monitor the pricing service’s results and has an established process to challenge their valuations, or methodologies, that appear unusual or unexpected. Customers also utilizes internally and externally developed models that use unobservable inputs due to limited or no market activity of the instrument. These models use unobservable inputs that are inherently judgmental and reflect our best estimates of the assumptions a market participant would use to calculate fair value. Certain unobservable inputs in isolation may have either a directionally consistent or opposite impact on the fair value of the instrument for a given change in that input. When multiple inputs are used within the valuation techniques, a change in one input in a certain direction may be offset by an opposite change from another input. These assets are classified as Level 1, 2 or 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. Loans held for sale - Residential mortgage loans (fair value option): Customers generally estimates the fair values of residential mortgage loans held for sale based on commitments on hand from investors within the secondary market for loans with similar characteristics. These assets are classified as Level 2 fair values, based upon the lowest level of input that is significant to the fair value measurements. Loans held for sale - Consumer other installment loans (fair value option): The fair value of medical installment loans within consumer other installment loans is the amount of cash initially advanced to fund the loan, as specified in the agreement with a fintech company, and generally held for up to 90 days prior to sale. These assets are classified as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. Loans receivable - Mortgage finance loans (fair value option): The fair value of mortgage finance loans is the amount of cash initially advanced to fund the mortgage, plus accrued interest and fees, as specified in the respective agreements. The loan is used by mortgage companies as short-term bridge financing between the funding of the mortgage loans and the finalization of the sale of the loans to an investor. Changes in fair value are not generally expected to be recognized because at inception of the transaction the underlying mortgage loans have already been sold to an approved investor. Additionally, the interest rate is variable, and the transaction is short-term, with an average life of under 30 days from purchase to sale. These assets are classified as Level 2 fair values, based upon the lowest level of input that is significant to the fair value measurements. Derivatives (assets and liabilities): The fair values of interest rate swaps, interest rate caps and credit derivatives are determined using models that incorporate readily observable market data into a market standard methodology. This methodology nets the discounted future cash receipts and the discounted expected cash payments. The discounted variable cash receipts and payments are based on expectations of future interest rates derived from observable market interest rate curves. In addition, fair value is adjusted for the effect of nonperformance risk by incorporating credit valuation adjustments for Customers and its counterparties. These assets and liabilities are classified as Level 2 fair values, based upon the lowest level of input that is significant to the fair value measurements. Derivative assets and liabilities are presented in other assets and accrued interest payable and other liabilities on the consolidated balance sheet. Financial Instruments Recorded at Fair Value on a Nonrecurring Basis Collateral-dependent loans: Collateral-dependent loans are those loans that are accounted for under ASC 326, Financial Instruments - Credit Losses (“ASC 326”), in which the Bank has measured impairment generally based on the fair value of the loan’s collateral or DCF analysis. Fair value is generally determined based upon independent third-party appraisals of the properties that collateralize the loans, DCF based upon the expected proceeds, sales agreements or letters of intent with third parties. These assets are generally classified as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. The following information should not be interpreted as an estimate of Customers’ fair value in its entirety because fair value calculations are only provided for a limited portion of Customers’ assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making these estimates, comparisons between Customers’ disclosures and those of other companies may not be meaningful. The estimated fair values of Customers’ financial instruments at June 30, 2024 and December 31, 2023 were as follows: Fair Value Measurements at June 30, 2024 (amounts in thousands) Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Cash and cash equivalents $ 3,048,587 $ 3,048,587 $ 3,048,587 $ — $ — Debt securities, available for sale 2,477,758 2,477,758 — 2,455,896 21,862 Debt securities, held to maturity 962,799 908,075 — 462,372 445,703 Loans held for sale 375,724 375,724 — 2,684 373,040 Total loans and leases receivable, net of allowance for credit losses on loans and leases 13,124,479 12,817,379 — 1,002,711 11,814,668 FHLB, Federal Reserve Bank, and other restricted stock 92,276 92,276 — 92,276 — Derivatives 20,292 20,292 — 20,180 112 Liabilities: Deposits $ 17,678,093 $ 17,672,062 $ 15,482,394 $ 2,189,668 $ — FHLB advances 1,018,349 993,579 — 993,579 — Other borrowings 123,970 102,945 — 102,945 — Subordinated debt 182,370 161,420 — 161,420 — Derivatives 29,108 29,108 — 29,108 — Fair Value Measurements at December 31, 2023 (amounts in thousands) Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Cash and cash equivalents $ 3,846,346 $ 3,846,346 $ 3,846,346 $ — $ — Debt securities, available for sale 2,376,860 2,376,860 — 2,341,911 34,949 Debt securities, held to maturity 1,103,170 1,046,439 — 472,311 574,128 Loans held for sale 340,317 340,317 — 1,215 339,102 Total loans and leases receivable, net of allowance for credit losses on loans and leases 12,726,456 12,513,386 — 897,912 11,615,474 FHLB, Federal Reserve Bank, and other restricted stock 109,548 109,548 — 109,548 — Derivatives 17,931 17,931 — 17,906 25 Liabilities: Deposits $ 17,920,236 $ 17,922,005 $ 14,632,357 $ 3,289,648 $ — FHLB advances 1,203,207 1,188,517 — 1,188,517 — Other borrowings 123,840 103,674 — 103,674 — Subordinated debt 182,230 164,233 — 164,233 — Derivatives 27,110 27,110 — 27,110 — For financial assets and liabilities measured at fair value on a recurring and nonrecurring basis, the fair value measurements by level within the fair value hierarchy used at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 Fair Value Measurements at the End of the Reporting Period Using (amounts in thousands) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Measured at Fair Value on a Recurring Basis: Assets Available for sale debt securities: Asset-backed securities $ — $ 25,250 $ 21,862 $ 47,112 Agency-guaranteed residential mortgage-backed securities — 199,487 — 199,487 Agency-guaranteed residential collateralized mortgage obligations — 169,512 — 169,512 Agency-guaranteed commercial collateralized mortgage obligations — 81,818 — 81,818 Collateralized loan obligations — 406,033 — 406,033 Commercial mortgage-backed securities — 99,022 — 99,022 Corporate notes — 587,745 — 587,745 Private label collateralized mortgage obligations — 887,029 — 887,029 Derivatives — 20,180 112 20,292 Loans held for sale – fair value option — 2,684 247,442 250,126 Loans receivable, mortgage finance – fair value option — 1,002,711 — 1,002,711 Total assets – recurring fair value measurements $ — $ 3,481,471 $ 269,416 $ 3,750,887 Liabilities Derivatives $ — $ 29,108 $ — $ 29,108 Measured at Fair Value on a Nonrecurring Basis: Assets Collateral-dependent loans $ — $ — $ 18,051 $ 18,051 Total assets – nonrecurring fair value measurements $ — $ — $ 18,051 $ 18,051 December 31, 2023 Fair Value Measurements at the End of the Reporting Period Using (amounts in thousands) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Measured at Fair Value on a Recurring Basis: Assets Available for sale debt securities: Asset-backed securities $ — $ 57,680 $ 34,949 $ 92,629 Agency-guaranteed residential collateralized mortgage obligations — 116,908 — 116,908 Collateralized loan obligations — 489,092 — 489,092 Commercial mortgage-backed securities — 121,636 — 121,636 Corporate notes — 583,034 — 583,034 Private label collateralized mortgage obligations — 973,561 — 973,561 Derivatives — 17,906 25 17,931 Loans held for sale – fair value option — 1,215 188,062 189,277 Loans receivable, mortgage finance – fair value option — 897,912 — 897,912 Total assets – recurring fair value measurements $ — $ 3,258,944 $ 223,036 $ 3,481,980 Liabilities Derivatives $ — $ 27,110 $ — $ 27,110 Measured at Fair Value on a Nonrecurring Basis: Assets Collateral-dependent loans $ — $ — $ 2,373 $ 2,373 Total assets – nonrecurring fair value measurements $ — $ — $ 2,373 $ 2,373 The changes in asset-backed securities (Level 3 assets) measured at fair value on a recurring basis for the three and six months ended June 30, 2024 and 2023 are summarized in the tables below. Asset-backed securities (amounts in thousands) Three Months Ended June 30, 2024 2023 Balance at April 1 $ 28,263 $ 63,376 Principal payments and premium amortization (6,834) (10,444) Increase in allowance for credit losses — (773) Decrease in allowance for credit losses 83 — Change in fair value recognized in OCI 350 (334) Balance at June 30 $ 21,862 $ 51,825 Asset-backed securities (amounts in thousands) Six Months Ended June 30, 2024 2023 Balance at January 1 $ 34,949 $ 73,266 Principal payments and premium amortization (13,948) (21,660) Increase in allowance for credit losses — (1,046) Decrease in allowance for credit losses 116 61 Change in fair value recognized in OCI 745 1,204 Balance at June 30 $ 21,862 $ 51,825 The changes in other installment loans (Level 3 assets) measured at fair value on a recurring basis, based on an election made to account for the loans at fair value for the three and six months ended June 30, 2024 and 2023 are summarized in the tables below. Other Installment Loans (amounts in thousands) Three Months Ended June 30, 2024 2023 Balance at April 1 $ 219,015 $ — Originations 245,025 — Sales (160,015) — Principal payments (56,583) — Change in fair value recognized in earnings — — Balance at June 30 $ 247,442 $ — Other Installment Loans (amounts in thousands) Six Months Ended June 30, 2024 2023 Balance at January 1 $ 188,062 $ — Originations 480,456 — Sales (318,230) — Principal payments (102,846) — Change in fair value recognized in earnings — — Balance at June 30 $ 247,442 $ — There were no transfers between levels during the three and six months ended June 30, 2024 and 2023. The following tables summarize financial assets and financial liabilities measured at fair value as of June 30, 2024 and December 31, 2023 on a recurring and nonrecurring basis for which Customers utilized Level 3 inputs to measure fair value. The unobservable Level 3 inputs noted below contain a level of uncertainty that may differ from what is realized in an immediate settlement of the assets. Therefore, Customers may realize a value higher or lower than the current estimated fair value of the assets. Quantitative Information about Level 3 Fair Value Measurements (dollars in thousands) Fair Value Valuation Technique Unobservable Input Range June 30, 2024 Asset-backed securities $ 21,862 Discounted cash flow Discount rate Annualized loss rate Constant prepayment rate 10% - 13% (12%) 3% - 17% (6%) 8% - 31% (26%) Quantitative Information about Level 3 Fair Value Measurements (dollars in thousands) Fair Value Valuation Technique Unobservable Input Range December 31, 2023 Asset-backed securities $ 34,949 Discounted cash flow Discount rate Annualized loss rate Constant prepayment rate 12% - 14% (13%) 3% - 13% (5%) 11% - 30% (26%) |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Risk Management Objectives of Using Derivatives Customers is exposed to certain risks arising from both its business operations and economic conditions. Customers manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources, and durations of its assets and liabilities. Specifically, Customers enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the values of which are determined by interest rates. Customers’ derivative financial instruments are used to manage differences in the amount, timing, and duration of Customers’ known or expected cash receipts and its known or expected cash payments principally related to certain borrowings and deposits. Customers also has interest-rate derivatives resulting from an accommodation provided to certain qualifying customers, and therefore, they are not used to manage Customers’ interest-rate risk in assets or liabilities. Customers manages a matched book with respect to its derivative instruments used in this customer service in order to minimize its net risk exposure resulting from such transactions. Fair Value Hedges of Benchmark Interest-Rate Risk Customers is exposed to changes in the fair value of certain of its fixed rate AFS debt securities, deposits and FHLB advances due to changes in the benchmark interest rate. Customers uses interest rate swaps to manage its exposure to changes in fair value on these instruments attributable to changes in the designated benchmark interest rate such as the Fed Funds Effective Swap Rate. Interest rate swaps designated as fair value hedges of certain fixed rate AFS debt securities involve the payment of fixed-rate amounts to a counterparty in exchange for Customers receiving variable-rate payments over the life of the agreements without the exchange of the underlying notional amount. Interest rate swaps designated as fair value hedges of certain deposits and FHLB advances involve the payment of variable-rate amounts to a counterparty in exchange for Customers receiving fixed-rate payments over the life of the agreements without the exchange of the underlying notional amount. For derivatives designated and that qualify as fair value hedges, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in net interest income. At June 30, 2024, Customers had 31 outstanding interest rate derivatives with notional amounts totaling $1.9 billion that were designated as fair value hedges of certain AFS debt securities, deposits and FHLB advances. During the three and six months ended June 30, 2024, Customers entered into 25 interest rate derivatives with notional amounts totaling $1.4 billion that were designated as fair value hedges of certain deposits and FHLB advances. During the six months ended June 30, 2023, Customers entered into five interest rate derivatives with notional amounts totaling $1.0 billion, two of which were terminated with notional amounts totaling $550.0 million that were designated as fair value hedges of certain deposits and FHLB advances resulting in $4.6 million of basis adjustments being amortized over the remaining terms of the hedged items as a reduction in interest expense. At December 31, 2023, Customers had six outstanding interest rate derivatives with notional amounts totaling $472.5 million that were designated as fair value hedges of certain AFS debt securities and FHLB advances. As of June 30, 2024 and December 31, 2023, the following amounts were recorded on the consolidated balance sheet related to cumulative basis adjustments for fair value hedges. Amortized Cost Cumulative Amount of Fair Value Hedging Adjustment to Hedged Items (amounts in thousands) June 30, 2024 December 31, 2023 June 30, 2024 December 31, 2023 AFS debt securities $ 22,500 $ 22,500 $ 508 $ 941 Deposits 1,183,063 300,000 (939) 1,432 FHLB advances 1,200,000 700,000 (6,651) 3,206 Derivatives Not Designated as Hedging Instruments Customers executes interest rate swaps (typically the loan customers will swap a floating-rate loan for a fixed-rate loan) and interest rate caps with commercial banking customers to facilitate their respective risk management strategies. The customer interest rate swaps and interest rate caps are simultaneously offset by interest rate swaps and interest rate caps that Customers executes with a third party in order to minimize interest-rate risk exposure resulting from such transactions. As the interest rate swaps and interest rate caps associated with this program do not meet the hedge accounting requirements, changes in the fair value of both the customer swaps and caps and the offsetting third-party market swaps and caps are recognized directly in earnings. At June 30, 2024, Customers had 126 interest rate swaps with an aggregate notional amount of $1.1 billion and two interest rate caps with an aggregated notional amount of $55.6 million related to this program. At December 31, 2023, Customers had 132 interest rate swaps with an aggregate notional amount of $1.2 billion and two interest rate caps with an aggregate notional amount of $55.6 million related to this program. Fair Value of Derivative Instruments on the Balance Sheet The following tables present the fair value of Customers’ derivative financial instruments as well as their presentation on the consolidated balance sheets as of June 30, 2024 and December 31, 2023. June 30, 2024 Derivative Assets Derivative Liabilities (amounts in thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives not designated as hedging instruments: Interest rate swaps and caps (1) Other assets $ 20,180 Other liabilities $ 29,105 December 31, 2023 Derivative Assets Derivative Liabilities (amounts in thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives not designated as hedging instruments: Interest rate swaps and caps (1) Other assets $ 17,903 Other liabilities $ 27,097 (1) Customers’ centrally cleared derivatives are legally settled through variation margin payments and these payments are reflected as a reduction of the related derivative asset or liability, including accrued interest, on the consolidated balance sheet. Effect of Derivative Instruments on Net Income The following table presents amounts included in the consolidated statements of income related to derivatives designated as fair value hedges and derivatives not designated as hedges for the three and six months ended June 30, 2024 and 2023. Amount of Income (Loss) Recognized in Earnings Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) Income Statement Location 2024 2023 2024 2023 Derivatives designated as fair value hedges: Recognized on interest rate swaps Net interest income $ 3,563 $ 6,532 $ 11,736 $ 6,832 Recognized on hedged AFS debt securities Net interest income (256) 50 (433) (250) Recognized on hedged deposits Net interest income (1,686) — (1,686) — Recognized on hedged FHLB advances Net interest income (1,621) (6,582) (9,617) (6,582) Total $ — $ — $ — $ — Derivatives not designated as hedging instruments: Interest rate swaps and caps Other non-interest income $ 63 $ 165 $ 735 $ 140 Credit-risk-related Contingent Features By entering into derivative contracts, Customers is exposed to credit risk. The credit risk associated with derivatives executed with customers is the same as that involved in extending the related loans and is subject to the same standard credit policies. To mitigate the credit-risk exposure to major derivative dealer counterparties, Customers only enters into agreements with those counterparties that maintain credit ratings of high quality or with central clearing parties. Agreements with major derivative dealer counterparties contain provisions whereby default on any of Customers’ indebtedness would be considered a default on its derivative obligations. Customers also has entered into agreements that contain provisions under which the counterparty could require Customers to settle its obligations if Customers fails to maintain its status as a well/adequately capitalized institution. As of June 30, 2024, the fair value of derivatives in a net asset position related to these agreements was $19.4 million. In addition, Customers, which has collateral posting thresholds with certain of these counterparties, had received $22.7 million of cash as collateral at June 30, 2024. Customers records cash posted or received as collateral with these counterparties, except with a central clearing entity, as a reduction or an increase in the outstanding balance of cash and cash equivalents and an increase in the balance of other assets or other liabilities. Disclosures about Offsetting Assets and Liabilities The following tables present derivative instruments that are subject to enforceable master netting arrangements. Customers’ interest rate swaps and interest rate caps with institutional counterparties are subject to master netting arrangements and are included in the tables below. Interest rate swaps and interest rate caps with commercial banking customers are not subject to master netting arrangements and are excluded from the tables below. Customers has not made a policy election to offset its derivative positions. Gross Amounts Recognized on the Consolidated Balance Sheet Gross Amounts Not Offset in the Consolidated Balance Sheet Net Amount (amounts in thousands) Financial Instruments Cash Collateral Received/Posted June 30, 2024 Interest rate derivative assets with institutional counterparties $ 19,876 $ (511) $ (19,365) $ — Interest rate derivative liabilities with institutional counterparties $ 511 $ (511) $ — $ — Gross Amounts Recognized on the Consolidated Balance Sheet Gross Amounts Not Offset in the Consolidated Balance Sheet Net Amount (amounts in thousands) Financial Instruments Cash Collateral Received/Posted December 31, 2023 Interest rate derivative assets with institutional counterparties $ 17,439 $ (500) $ (16,939) $ — Interest rate derivative liabilities with institutional counterparties $ 500 $ (500) $ — $ — |
LOSS CONTINGENCIES
LOSS CONTINGENCIES | 6 Months Ended |
Jun. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
LOSS CONTINGENCIES | LOSS CONTINGENCIES Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. Management does not believe there are any such matters that will have a material effect on the consolidated financial statements that are not currently accrued for. However, in light of the uncertainties inherent in these matters, it is possible that the ultimate resolution may have a material adverse effect on Customers’ results of operations for a particular period, and future changes in circumstances or additional information could result in accruals or resolution in excess of established accruals, which could adversely affect Customers’ results of operations, potentially materially. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2024 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Pay vs Performance Disclosure | ||||
Net income | $ 58,085 | $ 47,574 | $ 107,811 | $ 101,295 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The interim unaudited consolidated financial statements have been prepared in conformity with U.S. GAAP and pursuant to the rules and regulations of the SEC. These interim unaudited consolidated financial statements reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present a fair statement of the financial position and the results of operations and cash flows of Customers Bancorp and subsidiaries for the interim periods presented. Certain information and footnote disclosures normally included in the annual consolidated financial statements have been omitted from these interim unaudited consolidated financial statements as permitted by SEC rules and regulations. The December 31, 2023 consolidated balance sheet presented in this report has been derived from Customers Bancorp’s audited 2023 consolidated financial statements. Management believes that the disclosures are adequate to present fairly the consolidated financial statements as of the dates and for the periods presented. These interim unaudited consolidated financial statements should be read in conjunction with the 2023 consolidated financial statements of Customers Bancorp and subsidiaries included in Customers’ Annual Report on Form 10-K for the year ended December 31, 2023 filed with the SEC on February 29, 2024 (the “2023 Form 10-K”). The 2023 Form 10-K describes Customers Bancorp’s significant accounting policies. There have been no material changes to Customers Bancorp’s significant accounting policies noted above for the three and six months ended June 30, 2024. |
Recently Issued Accounting Standards and Accounting Standards Issued But Not Yet Adopted | Recently Issued Accounting Standards Presented below are recently issued accounting standards that Customers has adopted as well as those that the FASB has issued but are not yet effective. Accounting Standards Adopted in 2024 Standard Summary of Guidance Effects on Financial Statements ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions Issued June 2022 • Clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and not considered in measuring fair value. • Prohibits recognition and measurement of a contractual sale restriction on the sale of an equity security as a separate unit of account. • Provides disclosure requirements for the equity securities subject to contractual sale restrictions. • Effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued or made available for issuance. • Customers adopted this guidance on January 1, 2024. This guidance did not have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. ASU 2023-02, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method Issued March 2023 • Provides an election to account for tax equity investments, regardless of the tax credit program, using the proportional amortization method provided that certain conditions are met. • Customers adopted this guidance on January 1, 2024. This guidance did not have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. Accounting Standards Issued But Not Yet Adopted Standard Summary of Guidance Effects on Financial Statements ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures Issued November 2023 • Requires a public entity, including a public entity that has a single reportable segment to disclose, on an annual and interim basis, all disclosures required by the amendments in this ASU and all existing disclosures in ASC 280. • Requires disclosures of significant segment expenses included within each reportable segment’s profit or loss that are regularly provided to the CODM, an amount for other segment items by reportable segment and a description of its composition, the title and position of the CODM and an explanation of how the CODM uses the reported measure of segment profit or loss. • Clarifies that more than one measure of a segment’s profit or loss may be reported if the CODM uses them in assessing segment performance and deciding how to allocate resources, provided that at least one of the reported segment profit or loss measure is consistent with the measurement principles used in measuring the corresponding amounts in the entity’s consolidated financial statements. • Effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. • Customers is currently evaluating the expected impact of this ASU on Customers’ consolidated financial statements. ASU 2023-08, Intangibles - Goodwill and Other - Crypto Assets (Subtopic 250-60) Issued December 2023 • Requires crypto assets meeting certain criteria to be subsequently measured at fair value with changes recognized in net income each reporting period. • Requires crypto assets measured at fair value to be presented separately from other intangible assets in the balance sheet and changes from the remeasurement of crypto assets separately from changes in the carrying amounts of other intangible assets in the income statement. • Requires cash receipts arising from crypto assets that are received as noncash consideration in the ordinary course of business and converted nearly immediately into cash as operating activities in the statement of cash flows. • Effective for fiscal years beginning after December 15, 2024, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued. • Customers does not expect this ASU to have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures Issued December 2023 • Requires public entities to disclose annually a tabular reconciliation of specific reconciling items, including those items exceeding five percent of the amount computed by multiplying income from continuing operations before income taxes by the statutory income tax rate, in the income tax rate reconciliation of the effective tax rate to the statutory tax rate. • Requires disclosures of income taxes paid, net of refunds received, disaggregated by federal, state and foreign taxes and by individual jurisdictions where income taxes paid is equal to or greater than five percent of total income taxes paid, net of refunds received. • Effective for fiscal years beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued. • Customers is currently evaluating the expected impact of this ASU on Customers’ consolidated financial statements. |
Variable Interest Entity | Customers’ transactions with unconsolidated VIEs include sales of consumer installment loans and investments in the securities issued by the VIEs. Customers is not the primary beneficiary of the VIEs because Customers has no right to make decisions that will most significantly affect the economic performance of the VIEs. Customers’ continuing involvement with the unconsolidated VIEs is not significant. Customers’ continuing involvement is not considered to be significant where Customers only invests in securities issued by the VIE and was not involved in the design of the VIE or where Customers has transferred financial assets to the VIE for only cash consideration. Customers’ investments in the securities issued by the VIEs are classified as AFS or HTM debt securities on the consolidated balance sheets, and represent Customers’ maximum exposure to loss. |
Fair Value Measurement | Customers uses fair value measurements to record fair value adjustments to certain assets and liabilities and to disclose the fair value of its financial instruments. ASC 825, Financial Instruments , requires disclosure of the estimated fair value of an entity’s assets and liabilities considered to be financial instruments. For Customers, as for most financial institutions, the majority of its assets and liabilities are considered to be financial instruments. Many of these instruments lack an available trading market as characterized by a willing buyer and a willing seller engaging in an exchange transaction. For fair value disclosure purposes, Customers utilized certain fair value measurement criteria under ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), as explained below. In accordance with ASC 820, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for Customers’ various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. The fair value guidance provides a consistent definition of fair value, focusing on an exit price in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. The fair value guidance also establishes a fair value hierarchy and describes the following three levels used to classify fair value measurements. Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs that are observable either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Prices or valuation techniques that require adjustments to inputs that are both significant to the fair value measurement and unobservable (i.e., supported with little or no market activity). A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. |
Risk Management Objective of Using Derivatives | Risk Management Objectives of Using Derivatives Customers is exposed to certain risks arising from both its business operations and economic conditions. Customers manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources, and durations of its assets and liabilities. Specifically, Customers enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the values of which are determined by interest rates. Customers’ derivative financial instruments are used to manage differences in the amount, timing, and duration of Customers’ known or expected cash receipts and its known or expected cash payments principally related to certain borrowings and deposits. Customers also has interest-rate derivatives resulting from an accommodation provided to certain qualifying customers, and therefore, they are not used to manage Customers’ interest-rate risk in assets or liabilities. Customers manages a matched book with respect to its derivative instruments used in this customer service in order to minimize its net risk exposure resulting from such transactions. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Presented below are recently issued accounting standards that Customers has adopted as well as those that the FASB has issued but are not yet effective. Accounting Standards Adopted in 2024 Standard Summary of Guidance Effects on Financial Statements ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions Issued June 2022 • Clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and not considered in measuring fair value. • Prohibits recognition and measurement of a contractual sale restriction on the sale of an equity security as a separate unit of account. • Provides disclosure requirements for the equity securities subject to contractual sale restrictions. • Effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued or made available for issuance. • Customers adopted this guidance on January 1, 2024. This guidance did not have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. ASU 2023-02, Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method Issued March 2023 • Provides an election to account for tax equity investments, regardless of the tax credit program, using the proportional amortization method provided that certain conditions are met. • Customers adopted this guidance on January 1, 2024. This guidance did not have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. Accounting Standards Issued But Not Yet Adopted Standard Summary of Guidance Effects on Financial Statements ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures Issued November 2023 • Requires a public entity, including a public entity that has a single reportable segment to disclose, on an annual and interim basis, all disclosures required by the amendments in this ASU and all existing disclosures in ASC 280. • Requires disclosures of significant segment expenses included within each reportable segment’s profit or loss that are regularly provided to the CODM, an amount for other segment items by reportable segment and a description of its composition, the title and position of the CODM and an explanation of how the CODM uses the reported measure of segment profit or loss. • Clarifies that more than one measure of a segment’s profit or loss may be reported if the CODM uses them in assessing segment performance and deciding how to allocate resources, provided that at least one of the reported segment profit or loss measure is consistent with the measurement principles used in measuring the corresponding amounts in the entity’s consolidated financial statements. • Effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. • Customers is currently evaluating the expected impact of this ASU on Customers’ consolidated financial statements. ASU 2023-08, Intangibles - Goodwill and Other - Crypto Assets (Subtopic 250-60) Issued December 2023 • Requires crypto assets meeting certain criteria to be subsequently measured at fair value with changes recognized in net income each reporting period. • Requires crypto assets measured at fair value to be presented separately from other intangible assets in the balance sheet and changes from the remeasurement of crypto assets separately from changes in the carrying amounts of other intangible assets in the income statement. • Requires cash receipts arising from crypto assets that are received as noncash consideration in the ordinary course of business and converted nearly immediately into cash as operating activities in the statement of cash flows. • Effective for fiscal years beginning after December 15, 2024, including interim periods within those fiscal years. Early adoption is permitted for both interim and annual financial statements that have not yet been issued. • Customers does not expect this ASU to have a material impact on Customers’ financial condition, results of operations and consolidated financial statements. ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures Issued December 2023 • Requires public entities to disclose annually a tabular reconciliation of specific reconciling items, including those items exceeding five percent of the amount computed by multiplying income from continuing operations before income taxes by the statutory income tax rate, in the income tax rate reconciliation of the effective tax rate to the statutory tax rate. • Requires disclosures of income taxes paid, net of refunds received, disaggregated by federal, state and foreign taxes and by individual jurisdictions where income taxes paid is equal to or greater than five percent of total income taxes paid, net of refunds received. • Effective for fiscal years beginning after December 15, 2024. Early adoption is permitted for annual financial statements that have not yet been issued. • Customers is currently evaluating the expected impact of this ASU on Customers’ consolidated financial statements. |
EARNINGS (LOSS) PER SHARE (Tabl
EARNINGS (LOSS) PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Components of Earnings (Loss) Per Share | The following are the components and results of Customers’ earnings per common share calculations for the periods presented. Three Months Ended Six Months Ended (amounts in thousands, except share and per share data) 2024 2023 2024 2023 Net income available to common shareholders $ 54,300 $ 44,007 $ 100,226 $ 94,272 Weighted-average number of common shares outstanding – basic 31,649,715 31,254,125 31,561,569 31,535,103 Share-based compensation plans 1,049,434 337,017 1,215,273 430,894 Weighted-average number of common shares – diluted 32,699,149 31,591,142 32,776,842 31,965,997 Basic earnings per common share $ 1.72 $ 1.41 $ 3.18 $ 2.99 Diluted earnings per common share 1.66 1.39 3.06 2.95 |
Anti-dilutive Securities Excluded from Computation of Earnings Per Share | The following are securities that could potentially dilute basic earnings per common share in future periods that were not included in the computation of diluted earnings per common share because either the performance conditions for certain of the share-based compensation awards have not been met or to do so would have been anti-dilutive for the periods presented. Three Months Ended Six Months Ended 2024 2023 2024 2023 Anti-dilutive securities: Share-based compensation awards 87,531 1,718,281 1,680 1,410,180 |
CHANGES IN ACCUMULATED OTHER _2
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Changes in Accumulated Other Comprehensive Income (Loss) | The following tables present the changes in accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2024 and 2023. Amounts in parentheses indicate reductions to AOCI. Unrealized Gains (Losses) on Available for Sale Securities (1) Three Months Ended June 30, (amounts in thousands) 2024 2023 Balance at April 1 $ (132,305) $ (156,276) Unrealized gains (losses) arising during period, before tax (851) (17,401) Income tax effect 219 4,420 Other comprehensive income (loss) before reclassifications (632) (12,981) Reclassification adjustments for (gains) losses included in net income, before tax 719 — Income tax effect (185) — Amounts reclassified from accumulated other comprehensive income (loss) to net income 534 — Amortization of unrealized loss on securities transferred from available for sale to held to maturity 1,406 1,449 Income tax effect (361) (368) Amortization of unrealized loss on securities transferred from available for sale to held to maturity 1,045 1,081 Net current-period other comprehensive income (loss) 947 (11,900) Balance at June 30 $ (131,358) $ (168,176) Unrealized Gains (Losses) Available for Sale Securities (1) Six Months Ended June 30, (amounts in thousands) 2024 2023 Balance at January 1 $ (136,569) $ (163,096) Unrealized gains (losses) arising during period, before tax 3,629 (9,131) Income tax effect (919) 2,319 Other comprehensive income (loss) before reclassifications 2,710 (6,812) Reclassification adjustments for (gains) losses included in net income, before tax 749 — Income tax effect (193) — Amounts reclassified from accumulated other comprehensive income (loss) to net income 556 — Amortization of unrealized loss on securities transferred from available for sale to held to maturity 2,612 2,321 Income tax effect (667) (589) Amortization of unrealized loss on securities transferred from available for sale to held to maturity 1,945 1,732 Net current-period other comprehensive income (loss) 5,211 (5,080) Balance at June 30 $ (131,358) $ (168,176) (1) Reclassification amounts for AFS debt securities are reported as gain (loss) on sale of investment securities and amortization of unrealized losses on debt securities transferred from available-for-sale to held-to-maturity is reported within interest income on the consolidated statements of income. |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Amortized Cost and Approximate Fair Value of Investment Securities and Held-to-Maturity Securities | The amortized cost, approximate fair value and allowance for credit losses of investment securities at fair value as of June 30, 2024 and December 31, 2023 are summarized as follows: June 30, 2024 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale debt securities: Asset-backed securities $ 50,517 $ (367) $ — $ (3,038) $ 47,112 Agency-guaranteed residential mortgage-backed securities 198,732 — 943 (188) 199,487 Agency-guaranteed residential collateralized mortgage obligations 181,750 — 19 (12,257) 169,512 Agency-guaranteed commercial collateralized mortgage obligations 83,180 — 133 (1,495) 81,818 Collateralized loan obligations 412,452 — — (6,419) 406,033 Commercial mortgage-backed securities 100,610 — — (1,588) 99,022 Corporate notes 655,759 (4,972) 131 (63,173) 587,745 Private label collateralized mortgage obligations 939,526 — 491 (52,988) 887,029 Available for sale debt securities $ 2,622,526 $ (5,339) $ 1,717 $ (141,146) 2,477,758 Equity securities (2) 33,892 Total investment securities, at fair value $ 2,511,650 December 31, 2023 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value Available for sale debt securities: Asset-backed securities $ 97,359 $ (483) $ 15 $ (4,262) $ 92,629 Agency-guaranteed residential collateralized mortgage obligations 129,589 — — (12,681) 116,908 Collateralized loan obligations 500,109 — 1 (11,018) 489,092 Commercial mortgage-backed securities 125,885 — — (4,249) 121,636 Corporate notes 636,880 (3,469) 79 (50,456) 583,034 Private label collateralized mortgage obligations 1,034,841 — 1,201 (62,481) 973,561 Available for sale debt securities $ 2,524,663 $ (3,952) $ 1,296 $ (145,147) 2,376,860 Equity securities (2) 28,780 Total investment securities, at fair value $ 2,405,640 (1) Accrued interest on AFS debt securities totaled $18.5 million and $14.7 million at June 30, 2024 and December 31, 2023, respectively, and is included in accrued interest receivable on the consolidated balance sheet. (2) Includes perpetual preferred stock issued by domestic banks and domestic bank holding companies and equity securities issued by fintech companies, without a readily determinable fair value, and CRA-qualified mutual fund shares at June 30, 2024 and December 31, 2023. No impairments or measurement adjustments have been recorded on the equity securities without a readily determinable fair value since acquisition. The amortized cost, approximate fair value and allowance for credit losses of investment securities held to maturity as of June 30, 2024 and December 31, 2023 are summarized as follows: June 30, 2024 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Net Carrying Value Gross Unrealized Gains Gross Unrealized Losses Fair Value Held to maturity debt securities: Asset-backed securities $ 446,070 $ — $ 446,070 $ 1,148 $ (1,515) $ 445,703 Agency-guaranteed residential mortgage-backed securities 6,960 — 6,960 — (849) 6,111 Agency-guaranteed commercial mortgage-backed securities 1,810 — 1,810 — (317) 1,493 Agency-guaranteed residential collateralized mortgage obligations 178,761 — 178,761 — (18,037) 160,724 Agency-guaranteed commercial collateralized mortgage obligations 145,173 — 145,173 — (21,899) 123,274 Private label collateralized mortgage obligations 184,025 — 184,025 — (13,255) 170,770 Total held to maturity debt securities $ 962,799 $ — $ 962,799 $ 1,148 $ (55,872) $ 908,075 December 31, 2023 (1) (amounts in thousands) Amortized Cost Allowance for Credit Losses Net Carrying Value Gross Unrealized Gains Gross Unrealized Losses Fair Value Held to maturity debt securities: Asset-backed securities $ 575,990 $ — $ 575,990 $ 202 $ (2,064) $ 574,128 Agency-guaranteed residential mortgage-backed securities 7,039 — 7,039 — (649) 6,390 Agency-guaranteed commercial mortgage-backed securities 1,850 — 1,850 — (134) 1,716 Agency-guaranteed residential collateralized mortgage obligations 186,636 — 186,636 — (19,049) 167,587 Agency-guaranteed commercial collateralized mortgage obligations 146,765 — 146,765 — (23,178) 123,587 Private label collateralized mortgage obligations 184,890 — 184,890 — (11,859) 173,031 Total held to maturity debt securities $ 1,103,170 $ — $ 1,103,170 $ 202 $ (56,933) $ 1,046,439 (1) Accrued interest on HTM debt securities totaled $2.2 million and $2.7 million at June 30, 2024 and December 31, 2023, respectively, and is included in accrued interest receivable on the consolidated balance sheet. |
Gain (Loss) on Securities | The following table presents gross realized gains and realized losses from the sale of AFS debt securities for the three and six months ended June 30, 2024 and 2023: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) 2024 2023 2024 2023 Gross realized gains $ 176 $ — $ 176 $ — Gross realized losses (895) — (925) — Net realized gains (losses) on sale of available for sale debt securities $ (719) $ — $ (749) $ — |
Summary of Available-for-Sale and Held-to-Maturity Debt Securities by Stated Maturity | The following table presents AFS debt securities by stated maturity. Debt securities backed by mortgages and other assets have expected maturities that differ from contractual maturities because borrowers have the right to call or prepay and, therefore, these debt securities are classified separately with no specific maturity date: June 30, 2024 (amounts in thousands) Amortized Fair Due in one year or less $ 35,523 $ 26,273 Due after one year through five years 532,571 482,410 Due after five years through ten years 87,665 79,062 Asset-backed securities 50,517 47,112 Agency-guaranteed residential mortgage-backed securities 198,732 199,487 Agency-guaranteed residential collateralized mortgage obligations 181,750 169,512 Agency-guaranteed commercial collateralized mortgage obligations 83,180 81,818 Collateralized loan obligations 412,452 406,033 Commercial mortgage-backed securities 100,610 99,022 Private label collateralized mortgage obligations 939,526 887,029 Total available for sale debt securities $ 2,622,526 $ 2,477,758 The following table presents HTM debt securities by stated maturity, including debt securities backed by mortgages and other assets with expected maturities that differ from contractual maturities because borrowers have the right to call or prepay and, therefore, are classified separately with no specific maturity date: June 30, 2024 (amounts in thousands) Amortized Fair Asset-backed securities $ 446,070 $ 445,703 Agency-guaranteed residential mortgage-backed securities 6,960 6,111 Agency-guaranteed commercial mortgage-backed securities 1,810 1,493 Agency-guaranteed residential collateralized mortgage obligations 178,761 160,724 Agency-guaranteed commercial collateralized mortgage obligations 145,173 123,274 Private label collateralized mortgage obligations 184,025 170,770 Total held to maturity debt securities $ 962,799 $ 908,075 |
Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value | Gross unrealized losses and fair value of Customers’ AFS debt securities for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 Less Than 12 Months 12 Months or More Total (amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Available for sale debt securities: Asset-backed securities $ — $ — $ 42,665 $ (2,771) $ 42,665 $ (2,771) Agency-guaranteed residential mortgage-backed securities 58,493 (188) — — 58,493 (188) Agency-guaranteed residential collateralized mortgage obligations — — 109,465 (12,257) 109,465 (12,257) Agency-guaranteed commercial collateralized mortgage obligations 64,227 (1,495) — — 64,227 (1,495) Collateralized loan obligations 57,745 (454) 278,681 (5,965) 336,426 (6,419) Commercial mortgage-backed securities — — 99,022 (1,588) 99,022 (1,588) Corporate notes 65,085 (1,610) 311,986 (33,972) 377,071 (35,582) Private label collateralized mortgage obligations 233,432 (6,794) 572,488 (46,204) 805,920 (52,998) Total $ 478,982 $ (10,541) $ 1,414,307 $ (102,757) $ 1,893,289 $ (113,298) December 31, 2023 Less Than 12 Months 12 Months or More Total (amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Available for sale debt securities: Asset-backed securities $ — $ — $ 64,029 $ (4,027) $ 64,029 $ (4,027) Agency-guaranteed residential collateralized mortgage obligations — — 116,908 (12,681) 116,908 (12,681) Collateralized loan obligations 29,241 (392) 438,551 (10,626) 467,792 (11,018) Commercial mortgage-backed securities — — 121,636 (4,249) 121,636 (4,249) Corporate notes 23,243 (1,147) 424,768 (33,764) 448,011 (34,911) Private label collateralized mortgage obligations 303,750 (11,243) 613,007 (51,417) 916,757 (62,660) Total $ 356,234 $ (12,782) $ 1,778,899 $ (116,764) $ 2,135,133 $ (129,546) |
Debt Securities, Available-for-Sale, Allowance for Credit Loss | The following table presents the activity in the allowance for credit losses on AFS debt securities, by major security type, for the periods presented: Three Months Ended June 30, 2024 2023 (amounts in thousands) Asset-backed securities Corporate notes Total Asset-backed securities Corporate notes Total Balance at April 1 $ 450 $ 4,619 $ 5,069 $ 790 $ 1,383 $ 2,173 Credit losses on securities for which credit losses were not previously recorded — 466 466 — 233 233 Credit losses on previously impaired securities — 242 242 773 260 1,033 Decrease in allowance for credit losses on previously impaired securities (83) (355) (438) — — — Balance at June 30 $ 367 $ 4,972 $ 5,339 $ 1,563 $ 1,876 $ 3,439 Six Months Ended June 30, 2024 2023 (amounts in thousands) Asset-backed securities Corporate notes Total Asset-backed securities Corporate notes Total Balance at January 1 $ 483 $ 3,469 $ 3,952 $ 578 $ — $ 578 Credit losses on securities for which credit losses were not previously recorded — 631 631 — 1,876 1,876 Credit losses on previously impaired securities — 1,057 1,057 1,046 — 1,046 Decrease in allowance for credit losses on previously impaired securities (116) (185) (301) (61) — (61) Balance at June 30 $ 367 $ 4,972 $ 5,339 $ 1,563 $ 1,876 $ 3,439 |
Debt Securities, Held-to-Maturity, Credit Quality Indicator | The following table presents the amortized cost of HTM debt securities based on their lowest credit rating available: June 30, 2024 (amounts in thousands) AAA AA Not Rated Total Held to maturity debt securities: Asset-backed securities $ — $ — $ 446,070 $ 446,070 Agency-guaranteed residential mortgage-backed securities — — 6,960 6,960 Agency-guaranteed commercial mortgage-backed securities — — 1,810 1,810 Agency-guaranteed residential collateralized mortgage obligations — — 178,761 178,761 Agency-guaranteed commercial collateralized mortgage obligations — — 145,173 145,173 Private label collateralized mortgage obligations 83,903 26,124 73,998 184,025 Total held to maturity debt securities $ 83,903 $ 26,124 $ 852,772 $ 962,799 |
LOANS HELD FOR SALE (Tables)
LOANS HELD FOR SALE (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Receivable, Held-for-Sale [Abstract] | |
Composition of Loans Held for Sale | The composition of loans held for sale as of June 30, 2024 and December 31, 2023 was as follows: (amounts in thousands) June 30, 2024 December 31, 2023 Residential mortgage loans, at fair value $ 2,684 $ 1,215 Personal installment loans, at lower of cost or fair value 125,598 151,040 Other installment loans, at fair value 247,442 188,062 Total loans held for sale $ 375,724 $ 340,317 |
LOANS AND LEASES RECEIVABLE A_2
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Receivables [Abstract] | |
Schedule of Loans and Leases Receivable | The following table presents loans and leases receivable as of June 30, 2024 and December 31, 2023. (amounts in thousands) June 30, 2024 December 31, 2023 Loans and leases receivable: Commercial: Commercial and industrial: Specialized lending (1) $ 5,528,745 $ 5,006,693 Other commercial and industrial (2) 1,212,247 1,279,147 Multifamily 2,067,332 2,138,622 Commercial real estate owner occupied 805,779 797,319 Commercial real estate non-owner occupied 1,202,606 1,177,650 Construction 163,409 166,393 Total commercial loans and leases receivable 10,980,118 10,565,824 Consumer: Residential real estate 481,503 484,435 Manufactured housing 35,901 38,670 Installment: Personal 474,481 555,533 Other 282,201 319,393 Total consumer loans receivable 1,274,086 1,398,031 Loans and leases receivable 12,254,204 11,963,855 Loans receivable, mortgage finance, at fair value 1,002,711 897,912 Allowance for credit losses on loans and leases (132,436) (135,311) Total loans and leases receivable, net of allowance for credit losses on loans and leases (3) $ 13,124,479 $ 12,726,456 (1) Includes direct finance equipment leases of $222.2 million and $205.7 million at June 30, 2024 and December 31, 2023, respectively. (2) Includes PPP loans of $38.3 million and $74.7 million at June 30, 2024 and December 31, 2023, respectively. (3) Includes deferred (fees) costs and unamortized (discounts) premiums, net of $(15.1) million and $(22.7) million at June 30, 2024 and December 31, 2023, respectively. |
Loans and Leases Receivable by Loan Type and Performance Status | The following tables summarize loans and leases receivable by loan and lease type and performance status as of June 30, 2024 and December 31, 2023: June 30, 2024 (amounts in thousands) 30-59 Days past due (1) 60-89 Days past due (1) 90 Days or more past due (2) Total past due Loans and leases not past due (3)(4) Total loans and leases (4) Commercial and industrial, including specialized lending $ 3,698 $ 14 $ 5,311 $ 9,023 $ 6,693,685 $ 6,702,708 Multifamily — — 14,002 14,002 2,053,330 2,067,332 Commercial real estate owner occupied 113 — 9,584 9,697 796,082 805,779 Commercial real estate non-owner occupied 5,580 494 62 6,136 1,196,470 1,202,606 Construction — — — — 163,409 163,409 Residential real estate 2,865 2,704 4,409 9,978 471,525 481,503 Manufactured housing 516 450 2,547 3,513 32,388 35,901 Installment 7,509 4,995 5,614 18,118 738,564 756,682 Total $ 20,281 $ 8,657 $ 41,529 $ 70,467 $ 12,145,453 $ 12,215,920 December 31, 2023 (amounts in thousands) 30-59 Days past due (1) 60-89 Days past due (1) 90 Days or more past due (2) Total past due Loans and leases not past due (3) Total loans and leases (4) Commercial and industrial, including specialized lending $ 1,516 $ 322 $ 4,153 $ 5,991 $ 6,205,114 $ 6,211,105 Multifamily 16,003 — — 16,003 2,122,619 2,138,622 Commercial real estate owner occupied 449 3,814 5,827 10,090 787,229 797,319 Commercial real estate non-owner occupied 16,653 — — 16,653 1,160,997 1,177,650 Construction — — — — 166,393 166,393 Residential real estate 10,504 2,255 3,764 16,523 467,912 484,435 Manufactured housing 1,152 343 2,869 4,364 34,306 38,670 Installment 9,255 7,866 7,211 24,332 850,594 874,926 Total $ 55,532 $ 14,600 $ 23,824 $ 93,956 $ 11,795,164 $ 11,889,120 (1) Includes past due loans and leases that are accruing interest because collection is considered probable. (2) Includes loans amounting to $0.5 million as of June 30, 2024 and December 31, 2023 that are still accruing interest because collection is considered probable. (3) Loans and leases where next payment due is less than 30 days from the report date. The tables exclude PPP loans of $38.3 million, of which $0.6 million were 30-59 days past due and $20.6 million were 60 days or more past due as of June 30, 2024, and PPP loans of $74.7 million, of which $0.7 million were 30-59 days past due and $48.5 million were 60 days or more past due as of December 31, 2023. Claims for guarantee payments are submitted to the SBA for eligible PPP loans that are more than 60 days past due. (4) Includes PCD loans of $152.2 million and $157.2 million at June 30, 2024 and December 31, 2023, respectively. |
Amortized Cost of Loans and Leases on Nonaccrual Status | The following table presents the amortized cost of loans and leases held for investment on nonaccrual status. June 30, 2024 December 31, 2023 (amounts in thousands) Nonaccrual loans with no related allowance Nonaccrual loans with related allowance Total nonaccrual loans Nonaccrual loans with no related allowance Nonaccrual loans with related allowance Total nonaccrual loans Commercial and industrial, including specialized lending $ 1,462 $ 4,026 $ 5,488 $ 3,365 $ 1,071 $ 4,436 Multifamily — 14,002 14,002 — — — Commercial real estate owner occupied 9,612 — 9,612 5,869 — 5,869 Commercial real estate non-owner occupied 62 — 62 — — — Residential real estate 7,765 414 8,179 6,685 117 6,802 Manufactured housing — 2,047 2,047 — 2,331 2,331 Installment — 5,614 5,614 — 7,211 7,211 Total $ 18,901 $ 26,103 $ 45,004 $ 15,919 $ 10,730 $ 26,649 |
Schedule of Allowance for Credit Losses on Loans and Leases | The changes in the ACL on loans and leases by loan and lease type for the three and six months ended June 30, 2024 and 2023 are presented in the tables below. (amounts in thousands) Commercial and industrial (1)(2) Multifamily Commercial real estate owner occupied Commercial real estate non-owner occupied Construction Residential real estate Manufactured housing Installment Total Three Months Ended Ending Balance, March 31, 2024 $ 23,003 $ 18,307 $ 10,201 $ 18,320 $ 1,866 $ 6,707 $ 4,160 $ 50,732 $ 133,296 Charge-offs (7,348) (1,433) — — — — — (13,943) (22,724) Recoveries 1,683 — — — 7 20 — 2,303 4,013 Provision (benefit) for credit losses on loans and leases 6,383 3,778 (1,770) (354) (17) (843) (66) 10,740 17,851 Ending Balance, $ 23,721 $ 20,652 $ 8,431 $ 17,966 $ 1,856 $ 5,884 $ 4,094 $ 49,832 $ 132,436 Six Months Ended Ending Balance, $ 23,503 $ 16,343 $ 9,882 $ 16,859 $ 1,482 $ 6,586 $ 4,239 $ 56,417 $ 135,311 Charge-offs (12,744) (1,906) (22) — — (19) — (30,860) (45,551) Recoveries 3,407 — — — 7 21 — 5,437 8,872 Provision (benefit) for credit losses on loans and leases 9,555 6,215 (1,429) 1,107 367 (704) (145) 18,838 33,804 Ending Balance, $ 23,721 $ 20,652 $ 8,431 $ 17,966 $ 1,856 $ 5,884 $ 4,094 $ 49,832 $ 132,436 (amounts in thousands) Commercial and industrial (1)(2) Multifamily Commercial real estate owner occupied Commercial real estate non-owner occupied Construction Residential real estate Manufactured housing Installment Total Three Months Ended Ending Balance, March 31, 2023 $ 20,050 $ 15,084 $ 8,472 $ 11,032 $ 2,336 $ 6,853 $ 4,339 $ 62,115 $ 130,281 Allowance for credit losses on FDIC PCD loans, net of charge-offs (3) 2,576 — — — — — — — 2,576 Charge-offs (432) (1,448) — (288) — (27) — (16,384) (18,579) Recoveries 174 — 34 22 — 3 — 2,782 3,015 Provision (benefit) for credit losses on loans and leases 6,724 1,764 1,709 2,729 303 17 (1) 9,118 22,363 Ending Balance, $ 29,092 $ 15,400 $ 10,215 $ 13,495 $ 2,639 $ 6,846 $ 4,338 $ 57,631 $ 139,656 Six Months Ended Ending Balance, $ 17,582 $ 14,541 $ 6,454 $ 11,219 $ 1,913 $ 6,094 $ 4,430 $ 68,691 $ 130,924 Allowance for credit losses on FDIC PCD loans, net of charge-offs (3) 2,576 — — — — — — — 2,576 Charge-offs (592) (1,448) — (4,527) — (27) — (33,099) (39,693) Recoveries 405 — 34 27 116 5 — 4,891 5,478 Provision (benefit) for credit losses on loans and leases 9,121 2,307 3,727 6,776 610 774 (92) 17,148 40,371 Ending Balance, $ 29,092 $ 15,400 $ 10,215 $ 13,495 $ 2,639 $ 6,846 $ 4,338 $ 57,631 $ 139,656 (1) Includes specialized lending. (2) PPP loans include an embedded credit enhancement from the SBA, which guarantees 100% of the principal and interest owed by the borrower provided that the SBA’s eligibility criteria are met. As a result, the eligible PPP loans do not have an ACL. (3) Represents $8.7 million of allowance for credit losses on PCD loans recognized upon acquisition of a venture banking loan portfolio (included within specialized lending) from the FDIC on June 15, 2023, net of $6.2 million of charge-offs for certain of these PCD loans upon acquisition. |
Summary of Loans Modified in Troubled Debt Restructurings and Related Recorded Investment | The following table presents the amortized cost of loans that were modified to borrowers experiencing financial difficulty for the three and six months ended June 30, 2024 and 2023, disaggregated by class of financing receivable and type of modification granted. Three Months Ended June 30, 2024 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial and industrial, including specialized lending $ 1,997 $ 1,756 $ — $ — $ 3,753 0.06 % Commercial real estate non-owner occupied 17,265 — — — 17,265 1.44 % Manufactured housing 82 — — 49 131 0.36 % Personal installment 373 34 35 — 442 0.09 % Total $ 19,717 $ 1,790 $ 35 $ 49 $ 21,591 Three Months Ended June 30, 2023 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Manufactured housing $ 52 $ — $ — $ 229 $ 281 0.67 % Personal installment 3,540 180 183 — 3,903 0.52 % Total $ 3,592 $ 180 $ 183 $ 229 $ 4,184 Six Months Ended June 30, 2024 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial and industrial, including specialized lending $ 1,997 $ 3,743 $ — $ — $ 5,740 0.09 % Multifamily — 10,691 — — 10,691 0.52 % Commercial real estate non-owner occupied 17,265 — — — 17,265 1.44 % Residential real estate — 53 — — 53 0.01 % Manufactured housing 82 — — 49 131 0.36 % Personal installment 3,840 189 68 — 4,097 0.86 % Total $ 23,184 $ 14,676 $ 68 $ 49 $ 37,977 Six Months Ended June 30, 2023 (dollars in thousands) Term Extension Payment Deferral Debt Forgiveness Interest Rate Reduction and Term Extension Total Percentage of Total by Financing Class Commercial and industrial, including specialized lending $ 169 $ — $ — $ — $ 169 0.00 % Commercial real estate owner occupied 169 — — — 169 0.02 % Manufactured housing 59 — — 291 350 0.84 % Personal installment 8,067 269 264 — 8,600 1.14 % Total $ 8,464 $ 269 $ 264 $ 291 $ 9,288 The following table summarizes the impacts of loan modifications made to borrowers experiencing financial difficulty for the three and six months ended June 30, 2024 and 2023. Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 Weighted Average Weighted Average (dollars in thousands) Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Commercial and industrial, including specialized lending —% 1 7 $ — —% 0 0 $ — Commercial real estate non-owner occupied — 12 0 — — 0 0 — Manufactured housing 4.3 50 0 — 3.5 47 0 — Personal installment — 4 7 41 — 5 6 100 Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 Weighted Average Weighted Average (dollars in thousands) Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Interest Rate Reduction (%) Term Extension Payment Deferral Debt Forgiven Commercial and industrial, including specialized lending — % 1 5 $ — — % 4 0 $ — Multifamily — 0 5 — — 0 0 — Commercial real estate owner occupied — 0 0 — — 4 0 — Commercial real estate non-owner occupied — 12 0 — — 0 0 — Residential real estate — 0 5 — — 0 0 — Manufactured housing 4.3 50 0 — 2.9 49 0 — Personal installment — 6 7 141 — 5 6 166 The performance of loans made to borrowers experiencing financial difficulty in which modifications were made is closely monitored to understand the effectiveness of modification efforts. Loans are considered to be in payment default at 90 days or more past due. The following table presents an aging analysis of loan modifications made to borrowers experiencing financial difficulty in the twelve months ended June 30, 2024 and the six months ended ended June 30, 2023. June 30, 2024 (dollars in thousands) 30-59 Days past due 60-89 Days past due 90 Days or more past due Current Total Commercial: Commercial and industrial, including specialized lending $ — $ — $ 3,743 $ 14,101 $ 17,844 Multifamily — — — 10,691 10,691 Commercial real estate non-owner occupied — — — 17,265 17,265 Residential real estate — — — 99 99 Manufactured housing 124 36 — 317 477 Personal installment 510 312 417 9,317 10,556 Total $ 634 $ 348 $ 4,160 $ 51,790 $ 56,932 June 30, 2023 (1) (dollars in thousands) 30-59 Days past due 60-89 Days past due 90 Days or more past due Current Total Commercial and industrial, including specialized lending $ — $ — $ 169 $ — $ 169 Commercial real estate owner occupied — — 169 — 169 Manufactured housing — — — 350 350 Personal installment 492 459 63 7,586 8,600 Total $ 492 $ 459 $ 401 $ 7,936 $ 9,288 (1) Customers adopted ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (“ASU 2022-02”) effective January 1, 2023, therefore, the June 30, 2023 balances only include loans since ASU 2022-02 became effective. |
Credit Ratings of Covered and Non-Covered Loan Portfolio | The following tables present the credit ratings of loans and leases receivable and current period gross write-offs as of June 30, 2024 and December 31, 2023. Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2024 2023 2022 2021 2020 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Commercial and industrial loans and leases, including specialized lending: Pass $ 1,123,754 $ 822,962 $ 1,851,501 $ 416,454 $ 125,564 $ 123,237 $ 1,816,284 $ 255,249 $ 6,535,005 Special mention — 12,000 16,708 4,779 28,093 1,478 1,883 4,360 69,301 Substandard — 649 6,076 28,066 4,736 38,563 13,379 6,933 98,402 Doubtful — — — — — — — — — Total commercial and industrial loans and leases $ 1,123,754 $ 835,611 $ 1,874,285 $ 449,299 $ 158,393 $ 163,278 $ 1,831,546 $ 266,542 $ 6,702,708 Commercial and industrial loans and leases charge-offs: Three Months Ended June 30, 2024 (1) $ 73 $ 218 $ 5,328 $ 698 $ 995 $ 36 $ — $ — $ 7,348 Six Months Ended June 30, 2024 (1) 218 702 5,672 4,095 1,687 370 — — 12,744 Multifamily loans: Pass $ — $ 830 $ 1,211,752 $ 314,788 $ 126,126 $ 301,661 $ — $ — $ 1,955,157 Special mention — — 6,803 — — 50,150 — — 56,953 Substandard — — — — — 55,222 — — 55,222 Doubtful — — — — — — — — — Total multifamily loans $ — $ 830 $ 1,218,555 $ 314,788 $ 126,126 $ 407,033 $ — $ — $ 2,067,332 Multifamily loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ 1,433 $ — $ — $ 1,433 Six Months Ended June 30, 2024 — — — — — 1,906 — — 1,906 Commercial real estate owner occupied loans: Pass $ 124,022 $ 34,284 $ 188,450 $ 202,658 $ 51,981 $ 147,477 $ — $ 11,227 $ 760,099 Special mention — — — — — 10,985 — — 10,985 Substandard — 2,944 703 15,355 — 15,693 — — 34,695 Doubtful — — — — — — — — — Total commercial real estate owner occupied loans $ 124,022 $ 37,228 $ 189,153 $ 218,013 $ 51,981 $ 174,155 $ — $ 11,227 $ 805,779 Commercial real estate owner occupied loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — 22 — — 22 Commercial real estate non-owner occupied loans: Pass $ 13,499 $ 16,740 $ 381,262 $ 102,647 $ 161,374 $ 418,073 $ — $ — $ 1,093,595 Special mention — — — — 20,438 5,994 — — 26,432 Substandard — — 5,362 — 716 76,501 — — 82,579 Doubtful — — — — — — — — — Total commercial real estate non-owner occupied loans $ 13,499 $ 16,740 $ 386,624 $ 102,647 $ 182,528 $ 500,568 $ — $ — $ 1,202,606 Commercial real estate non-owner occupied loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — — — — — Construction loans: Pass $ 7,356 $ 17,883 $ 127,317 $ — $ — $ 4,510 $ — $ — $ 157,066 Special mention — 6,343 — — — — — — 6,343 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total construction loans $ 7,356 $ 24,226 $ 127,317 $ — $ — $ 4,510 $ — $ — $ 163,409 Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2024 2023 2022 2021 2020 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Construction loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — — — — — Total commercial loans and leases receivable $ 1,268,631 $ 914,635 $ 3,795,934 $ 1,084,747 $ 519,028 $ 1,249,544 $ 1,831,546 $ 277,769 $ 10,941,834 Total commercial loans and leases receivable charge-offs: Three Months Ended June 30, 2024 $ 73 $ 218 $ 5,328 $ 698 $ 995 $ 1,469 $ — $ — $ 8,781 Six Months Ended June 30, 2024 218 702 5,672 4,095 1,687 2,298 — — 14,672 Residential real estate loans: Performing $ 15,138 $ 22,341 $ 168,161 $ 126,398 $ 6,015 $ 82,697 $ 53,075 $ — $ 473,825 Non-performing — — 1,213 1,753 224 4,484 4 — 7,678 Total residential real estate loans $ 15,138 $ 22,341 $ 169,374 $ 128,151 $ 6,239 $ 87,181 $ 53,079 $ — $ 481,503 Residential real estate loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — 19 — — 19 Manufactured housing loans: Performing $ — $ — $ — $ — $ — $ 34,135 $ — $ — $ 34,135 Non-performing — — — — — 1,766 — — 1,766 Total manufactured housing loans $ — $ — $ — $ — $ — $ 35,901 $ — $ — $ 35,901 Manufactured housing loans charge-offs: Three Months Ended June 30, 2024 $ — $ — $ — $ — $ — $ — $ — $ — $ — Six Months Ended June 30, 2024 — — — — — — — — — Installment loans: Performing $ 83,651 $ 176,367 $ 250,391 $ 118,477 $ 38,187 $ 30,805 $ 50,968 $ 10 $ 748,856 Non-performing 17 2,799 3,028 1,236 268 312 166 — 7,826 Total installment loans $ 83,668 $ 179,166 $ 253,419 $ 119,713 $ 38,455 $ 31,117 $ 51,134 $ 10 $ 756,682 Installment loans charge-offs: Three Months Ended June 30, 2024 $ 810 $ 2,352 $ 6,011 $ 3,551 $ 460 $ 759 $ — $ — $ 13,943 Six Months Ended June 30, 2024 1,882 3,405 12,231 8,788 1,733 2,821 — — 30,860 Total consumer loans $ 98,806 $ 201,507 $ 422,793 $ 247,864 $ 44,694 $ 154,199 $ 104,213 $ 10 $ 1,274,086 Total consumer loans charge-offs: Three Months Ended June 30, 2024 $ 810 $ 2,352 $ 6,011 $ 3,551 $ 460 $ 759 $ — $ — $ 13,943 Six Months Ended June 30, 2024 1,882 3,405 12,231 8,788 1,733 2,840 — — 30,879 Loans and leases receivable $ 1,367,437 $ 1,116,142 $ 4,218,727 $ 1,332,611 $ 563,722 $ 1,403,743 $ 1,935,759 $ 277,779 $ 12,215,920 Loans and leases receivable charge-offs: Three Months Ended June 30, 2024 $ 883 $ 2,570 $ 11,339 $ 4,249 $ 1,455 $ 2,228 $ — $ — $ 22,724 Six Months Ended June 30, 2024 $ 2,100 $ 4,107 $ 17,903 $ 12,883 $ 3,420 $ 5,138 $ — $ — $ 45,551 (1) Charge-offs for the three and six months ended June 30, 2024 included $0.8 million and $4.2 million, respectively, of commercial and industrial loans originated under the PPP that were subsequently determined to be ineligible for SBA forgiveness and guarantee and were ultimately deemed uncollectible. Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2023 2022 2021 2020 2019 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Commercial and industrial loans and leases, including specialized lending: Pass $ 1,184,923 $ 1,909,592 $ 483,039 $ 170,384 $ 59,213 $ 63,480 $ 1,722,559 $ 384,947 $ 5,978,137 Special mention 18,000 3,377 5,127 1,986 — 595 7,916 2,903 39,904 Substandard 14,738 39,258 61,533 26,660 4,803 42,062 4,010 — 193,064 Doubtful — — — — — — — — — Total commercial and industrial loans and leases $ 1,217,661 $ 1,952,227 $ 549,699 $ 199,030 $ 64,016 $ 106,137 $ 1,734,485 $ 387,850 $ 6,211,105 Commercial and industrial loans and leases charge-offs: For the Year Ended December 31, 2023 (1)(2) $ 1,483 $ 381 $ 3,169 $ 10,348 $ 24 $ 1,510 $ — $ — $ 16,915 Multifamily loans: Pass $ 845 $ 1,229,198 $ 371,016 $ 127,493 $ 43,046 $ 253,806 $ — $ — $ 2,025,404 Special mention — — — — 6,468 67,035 — — 73,503 Substandard — — — — — 39,715 — — 39,715 Doubtful — — — — — — — — — Total multifamily loans $ 845 $ 1,229,198 $ 371,016 $ 127,493 $ 49,514 $ 360,556 $ — $ — $ 2,138,622 Multifamily loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 3,574 $ — $ — $ 3,574 Commercial real estate owner occupied loans: Pass $ 41,011 $ 254,878 $ 180,289 $ 77,821 $ 44,382 $ 120,248 $ — $ 11,318 $ 729,947 Special mention — — 15,432 — 35,691 47 — — 51,170 Substandard — — — — 347 15,855 — — 16,202 Doubtful — — — — — — — — — Total commercial real estate owner occupied loans $ 41,011 $ 254,878 $ 195,721 $ 77,821 $ 80,420 $ 136,150 $ — $ 11,318 $ 797,319 Commercial real estate owner occupied loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 39 $ — $ — $ 39 Commercial real estate non-owner occupied loans: Pass $ 12,906 $ 325,881 $ 109,521 $ 152,227 $ 88,586 $ 367,996 $ — $ — $ 1,057,117 Special mention — — — 20,702 — 9,148 — — 29,850 Substandard — 10,910 — — 8,113 71,660 — — 90,683 Doubtful — — — — — — — — — Total commercial real estate non-owner occupied loans $ 12,906 $ 336,791 $ 109,521 $ 172,929 $ 96,699 $ 448,804 $ — $ — $ 1,177,650 Commercial real estate non-owner occupied loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 4,527 $ — $ — $ 4,527 Construction loans: Pass $ 17,594 $ 138,797 $ 2,567 $ — $ — $ 4,580 $ — $ 1,100 $ 164,638 Special mention 1,755 — — — — — — — 1,755 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total construction loans $ 19,349 $ 138,797 $ 2,567 $ — $ — $ 4,580 $ — $ 1,100 $ 166,393 Construction loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ — $ — $ — $ — Total commercial loans and leases receivable $ 1,291,772 $ 3,911,891 $ 1,228,524 $ 577,273 $ 290,649 $ 1,056,227 $ 1,734,485 $ 400,268 $ 10,491,089 Term Loans Amortized Cost Basis by Origination Year as of (amounts in thousands) 2023 2022 2021 2020 2019 Prior Revolving loans amortized cost basis Revolving loans converted to term Total Total commercial loans and leases receivable charge-offs: For the Year Ended December 31, 2023 $ 1,483 $ 381 $ 3,169 $ 10,348 $ 24 $ 9,650 $ — $ — $ 25,055 Residential real estate loans: Performing $ 22,613 $ 173,424 $ 131,621 $ 6,458 $ 15,508 $ 71,433 $ 56,844 $ — $ 477,901 Non-performing — 350 1,236 229 545 3,993 181 — 6,534 Total residential real estate loans $ 22,613 $ 173,774 $ 132,857 $ 6,687 $ 16,053 $ 75,426 $ 57,025 $ — $ 484,435 Residential real estate loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ 69 $ — $ — $ 69 Manufactured housing loans: Performing $ — $ — $ — $ — $ 98 $ 36,464 $ — $ — $ 36,562 Non-performing — — — — — 2,108 — — 2,108 Total manufactured housing loans $ — $ — $ — $ — $ 98 $ 38,572 $ — $ — $ 38,670 Manufactured housing loans charge-offs: For the Year Ended December 31, 2023 $ — $ — $ — $ — $ — $ — $ — $ — $ — Installment loans: Performing $ 253,958 $ 307,566 $ 158,381 $ 50,354 $ 39,953 $ 3,448 $ 51,480 $ — $ 865,140 Non-performing 2,634 4,102 1,751 546 477 86 190 — 9,786 Total installment loans $ 256,592 $ 311,668 $ 160,132 $ 50,900 $ 40,430 $ 3,534 $ 51,670 $ — $ 874,926 Installment loans charge-offs: For the Year Ended December 31, 2023 $ 7,728 $ 24,605 $ 23,984 $ 5,590 $ 6,797 $ 1,238 $ — $ — $ 69,942 Total consumer loans $ 279,205 $ 485,442 $ 292,989 $ 57,587 $ 56,581 $ 117,532 $ 108,695 $ — $ 1,398,031 Total consumer loans charge-offs: For the Year Ended December 31, 2023 $ 7,728 $ 24,605 $ 23,984 $ 5,590 $ 6,797 $ 1,307 $ — $ — $ 70,011 Loans and leases receivable $ 1,570,977 $ 4,397,333 $ 1,521,513 $ 634,860 $ 347,230 $ 1,173,759 $ 1,843,180 $ 400,268 $ 11,889,120 Loans and leases receivable charge-offs: For the Year Ended December 31, 2023 $ 9,211 $ 24,986 $ 27,153 $ 15,938 $ 6,821 $ 10,957 $ — $ — $ 95,066 (1) Excludes $6.2 million of charge-offs for certain PCD loans against $8.7 million of allowance for credit losses on PCD loans recognized upon acquisition of a venture banking loan portfolio (included within specialized lending) from the FDIC on June 15, 2023. These PCD loans were originated in years 2016 to 2022. (2) Charge-offs for the year ended December 31, 2023 included $10.7 million of commercial and industrial loans originated under the PPP that were subsequently determined to be ineligible for SBA forgiveness and guarantee and were ultimately deemed uncollectible. |
Schedule of Loan Purchases and Sales | Purchases and sales of loans held for investment were as follows for the three and six months ended June 30, 2024 and 2023: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) 2024 2023 2024 2023 Purchases (1) Specialized lending $ — $ 631,252 $ — $ 631,252 Other commercial and industrial — 4,863 7,403 10,308 Commercial real estate owner occupied — — — 2,867 Residential real estate — — — 4,238 Personal installment (2) 43,241 — 43,241 — Total $ 43,241 $ 636,115 $ 50,644 $ 648,665 Sales (3) Specialized lending (4) $ — $ 287,185 $ — $ 287,185 Other commercial and industrial (5) 23,708 47,358 23,708 47,358 Commercial real estate owner occupied (5) — 18,851 — 18,851 Commercial real estate non-owner occupied — 16,000 — 16,000 Other installment — 154,042 — 154,042 Total $ 23,708 $ 523,436 $ 23,708 $ 523,436 (1) Amounts reported in the above table are the unpaid principal balance at time of purchase. The purchase price was 99.5% and 85.1% of the loans’ unpaid principal balance for the three months ended June 30, 2024 and 2023, respectively. The purchase price was 99.6% and 85.5% of the loans’ unpaid principal balance for the six months ended June 30, 2024 and 2023, respectively. (2) Installment loan purchases for the three and six months ended June 30, 2024 consist of third-party originated unsecured consumer loans. None of the loans held for investment are considered sub-prime at the time of origination. Customers considers sub-prime borrowers to be those with FICO scores below 660. (3) For the three months ended June 30, 2024 and 2023, sales of loans held for investment resulted in net losses of $0.2 million and net gains of $0.4 million, respectively, included in net gain (loss) on sale of loans in the consolidated statements of income. For the six months ended June 30, 2024 and 2023, sales of loans held for investment resulted in net losses of $0.2 million and net gains of $0.4 million, respectively. (4) Includes a loss of $5.0 million from the sale of $670.0 million of short-term syndicated capital call lines of credit ($280.7 million of loans held for investment in unpaid principal balance and $389.3 million of unfunded loan commitments) included in the consolidated statements of income for the three and six months ended June 30, 2023. (5) Primarily sales of SBA loans for the three and six months ended June 30, 2023. |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Leases [Abstract] | |
Lessee, Summary of Right-of-Use Assets and Lease Liabilities | The following table summarizes operating lease ROU assets and operating lease liabilities and their corresponding balance sheet location: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Operating lease ROU assets Other assets $ 17,317 $ 15,644 LIABILITIES Operating lease liabilities Other liabilities $ 19,052 $ 18,048 |
Lease, Cost | The following table summarizes operating lease cost and its corresponding income statement location for the periods presented: Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) Classification 2024 2023 2024 2023 Operating lease cost (1) Occupancy expenses $ 1,300 $ 1,296 $ 2,485 $ 2,515 (1) There were no variable lease costs for the three and six months ended June 30, 2024 and 2023, and sublease income for operating leases was immaterial. |
Maturities of Non-cancelable Operating Lease Liabilities | Maturities of non-cancelable operating lease liabilities were as follows at June 30, 2024: (amounts in thousands) June 30, 2024 2024 $ 2,885 2025 4,863 2026 3,673 2027 3,174 2028 2,714 Thereafter 3,762 Total minimum payments 21,071 Less: interest 2,019 Present value of lease liabilities $ 19,052 |
Summary of Lease Term and Discount Rate for Operating Leases | The following table summarizes the weighted average remaining lease term and discount rate for Customers’ operating leases at June 30, 2024 and December 31, 2023: June 30, 2024 December 31, 2023 Weighted average remaining lease term (years) Operating leases 5.1 years 5.6 years Weighted average discount rate Operating leases 3.67 % 3.28 % |
Lessor, Lease Receivables and Investment in Operating Leases and their Corresponding Balance Sheet Location | The following table summarizes lease receivables and investment in operating leases and their corresponding balance sheet location at June 30, 2024 and December 31, 2023: (amounts in thousands) Classification June 30, 2024 December 31, 2023 ASSETS Direct financing leases Lease receivables Loans and leases receivable $ 207,996 $ 190,559 Guaranteed residual assets Loans and leases receivable 19,475 15,783 Unguaranteed residual assets Loans and leases receivable 10,335 10,010 Deferred initial direct costs Loans and leases receivable 1,374 1,213 Unearned income Loans and leases receivable (16,974) (11,891) Net investment in direct financing leases $ 222,206 $ 205,674 Operating leases Investment in operating leases Other assets $ 278,527 $ 282,208 Accumulated depreciation Other assets (81,417) (77,672) Deferred initial direct costs Other assets 1,038 1,192 Net investment in operating leases 198,148 205,728 Total lease assets $ 420,354 $ 411,402 |
Sales-type and Direct Financing Leases, Lease Receivable, Maturity | Maturities of operating and direct financing lease receivables were as follows at June 30, 2024: (amounts in thousands) Operating leases Direct financing leases 2024 $ 21,925 $ 27,880 2025 39,817 49,116 2026 45,492 41,915 2027 32,308 36,872 2028 55,224 27,313 Thereafter 30,125 25,244 Total minimum payments $ 224,891 208,340 Less: interest 344 Present value of lease receivables $ 207,996 |
Lessor, Operating Lease, Payment to be Received, Fiscal Year Maturity | Maturities of operating and direct financing lease receivables were as follows at June 30, 2024: (amounts in thousands) Operating leases Direct financing leases 2024 $ 21,925 $ 27,880 2025 39,817 49,116 2026 45,492 41,915 2027 32,308 36,872 2028 55,224 27,313 Thereafter 30,125 25,244 Total minimum payments $ 224,891 208,340 Less: interest 344 Present value of lease receivables $ 207,996 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Deposit [Abstract] | |
Components of Deposits | The components of deposits at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 December 31, 2023 (amounts in thousands) Demand, non-interest bearing $ 4,474,862 $ 4,422,494 Demand, interest bearing 5,894,056 5,580,527 Savings, including money market deposit accounts 5,113,476 4,629,336 Time 2,195,699 3,287,879 Total deposits $ 17,678,093 $ 17,920,236 |
Schedule of Time Deposit Maturities | The scheduled maturities for time deposits at June 30, 2024 were as follows: (amounts in thousands) June 30, 2024 2024 $ 638,219 2025 618,940 2026 392,818 2027 197,808 2028 227,757 Thereafter 120,157 Total time deposits $ 2,195,699 |
BORROWINGS (Tables)
BORROWINGS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Summary of Bancorp's Short-term Borrowings | The following is a summary of additional information relating to Customers’ short-term debt: (dollars in thousands) June 30, 2024 (1) December 31, 2023 (2) FRB advances Maximum outstanding at any month end $ — $ — Average balance during the period — 120,099 Weighted-average interest rate during the period — % 5.23 % FHLB advances Maximum outstanding at any month end 150,000 — Average balance during the period 17,308 87,407 Weighted-average interest rate during the period 5.74 % 5.16 % Federal funds purchased Maximum outstanding at any month end — — Average balance during the period — 3,781 Weighted-average interest rate during the period — % 4.97 % (1) For the six months ended June 30, 2024. (2) For the year ended December 31, 2023. |
Schedule of Long-term Debt | Long-term FHLB and FRB advances at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 December 31, 2023 (dollars in thousands) Amount Rate Amount Rate FHLB advances (1)(2) $ 1,018,349 4.19 % $ 1,203,207 3.91 % Total long-term FHLB and FRB advances $ 1,018,349 $ 1,203,207 (1) Amounts reported in the above table include fixed rate long-term advances from FHLB of $950.0 million with maturities ranging from March 2025 to March 2028, and variable rate long-term advances from FHLB of $75.0 million with maturities ranging from March 2029 to June 2029 with a returnable option that can be repaid without penalty on certain predetermined dates at Customers Bank's option, at June 30, 2024. (2) Includes $(6.7) million and $3.2 million of unamortized basis adjustments from interest rate swaps designated as fair value hedges of long-term advances from FHLB at June 30, 2024 and December 31, 2023, respectively. Refer to NOTE 14 — DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES for additional information. Maturities of long-term FHLB advances were as follows at June 30, 2024: June 30, 2024 (dollars in thousands) Amount (1) Rate 2024 $ — — % 2025 200,000 4.45 % 2026 200,000 4.32 % 2027 450,000 3.70 % 2028 100,000 4.19 % Thereafter 75,000 6.05 % Total long-term FHLB advances $ 1,025,000 (1) Amounts reported in the above table include variable rate long-term advances from FHLB of $75.0 million with maturities ranging from March 2029 to June 2029 with a returnable option that can be repaid without penalty on certain predetermined dates at Customers Bank's option. The maximum borrowing capacity with the FHLB and FRB at June 30, 2024 and December 31, 2023 was as follows: (amounts in thousands) June 30, 2024 December 31, 2023 Total maximum borrowing capacity with the FHLB $ 3,345,182 $ 3,474,347 Total maximum borrowing capacity with the FRB 4,283,486 3,436,000 Qualifying loans and securities serving as collateral against FHLB and FRB advances 9,481,379 8,575,137 Senior and Subordinated Debt Long-term senior notes and subordinated debt at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 December 31, 2023 (dollars in thousands) Issued by Ranking Carrying Amount Carrying Amount Rate Issued Amount Date Issued Maturity Price Customers Bancorp Senior (1) $ 98,998 $ 98,928 2.875 % $ 100,000 August 2021 August 2031 100.000 % Customers Bancorp Senior 24,972 24,912 4.500 % 25,000 September 2019 September 2024 100.000 % Total other borrowings $ 123,970 $ 123,840 Customers Bancorp Subordinated (2)(3) $ 72,857 $ 72,766 5.375 % $ 74,750 December 2019 December 2034 100.000 % Customers Bank Subordinated (2)(4) 109,513 109,464 6.125 % 110,000 June 2014 June 2029 100.000 % Total subordinated debt $ 182,370 $ 182,230 (1) The senior notes will bear an annual fixed rate of 2.875% until August 15, 2026. From August 15, 2026 until maturity, the notes will bear an annual interest rate equal to a benchmark rate, which is expected to be the three-month term SOFR (2) The subordinated notes qualify as Tier 2 capital for regulatory capital purposes. (3) Customers Bancorp has the ability to call the subordinated notes, in whole, or in part, at a redemption price equal to 100% of the principal balance at certain times on or after December 30, 2029. (4) |
SHAREHOLDERS_ EQUITY (Tables)
SHAREHOLDERS’ EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Schedule of Stock by Class | The table below summarizes Customers’ issuances of preferred stock that remain outstanding at June 30, 2024 and December 31, 2023 and the dividends paid per share. (amounts in thousands except share and per share data) Shares at Carrying value at Initial Fixed Rate Date at which dividend rate becomes floating and earliest redemption date Floating rate of Three-Month SOFR (2) Plus: Dividend Paid Per Share in 2024 (1) Fixed-to-floating rate: Issue Date June 30, 2024 December 31, 2023 June 30, 2024 December 31, 2023 Series E April 28, 2016 2,300,000 2,300,000 $ 55,593 $ 55,593 6.45 % June 15, 2021 5.140 % $ 1.38 Series F September 16, 2016 3,400,000 3,400,000 82,201 82,201 6.00 % December 15, 2021 4.762 % $ 1.33 Totals 5,700,000 5,700,000 $ 137,794 $ 137,794 (1) For the six months ended June 30, 2024. (2) Pursuant to the Adjustable Interest Rate (LIBOR) Act enacted by Congress on March 15, 2022, Customers substituted three-month term SOFR plus a tenor spread adjustment of 26.161 basis points for three-month LIBOR as the benchmark reference rate on Series E and F Preferred Stock, plus 5.14% and 4.762%, respectively, beginning with dividends declared on October 25, 2023. |
REGULATORY CAPITAL (Tables)
REGULATORY CAPITAL (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Regulatory Capital Requirements under Banking Regulations [Abstract] | |
Summary of Capital Amounts, Tier 1 Risk Based and Tier 1 Leveraged Ratios | Generally, to comply with the regulatory definition of adequately capitalized, or well capitalized, respectively, or to comply with the Basel III capital requirements, an institution must at least maintain the common equity Tier 1, Tier 1 and total risk-based capital ratios and the Tier 1 leverage ratio in excess of the related minimum ratios as set forth in the following table: Minimum Capital Levels to be Classified as: Actual Adequately Capitalized Well Capitalized Basel III Compliant (dollars in thousands) Amount Ratio Amount Ratio Amount Ratio Amount Ratio As of June 30, 2024: Common equity Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,750,538 12.786 % $ 616,080 4.500 % N/A N/A $ 958,346 7.000 % Customers Bank $ 1,937,780 14.169 % $ 615,428 4.500 % $ 888,952 6.500 % $ 957,333 7.000 % Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,888,331 13.793 % $ 821,439 6.000 % N/A N/A $ 1,163,706 8.500 % Customers Bank $ 1,937,780 14.169 % $ 820,571 6.000 % $ 1,094,095 8.000 % $ 1,162,476 8.500 % Total capital (to risk-weighted assets) Customers Bancorp, Inc. $ 2,162,965 15.799 % $ 1,095,252 8.000 % N/A N/A $ 1,437,519 10.500 % Customers Bank $ 2,139,557 15.644 % $ 1,094,095 8.000 % $ 1,367,619 10.000 % $ 1,436,000 10.500 % Tier 1 capital (to average assets) Customers Bancorp, Inc. $ 1,888,331 8.916 % $ 847,136 4.000 % N/A N/A $ 847,136 4.000 % Customers Bank $ 1,937,780 9.160 % $ 846,161 4.000 % $ 1,057,701 5.000 % $ 846,161 4.000 % As of December 31, 2023: Common equity Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,661,149 12.230 % $ 611,200 4.500 % N/A N/A $ 950,755 7.000 % Customers Bank $ 1,868,360 13.773 % $ 610,453 4.500 % $ 881,765 6.500 % $ 949,594 7.000 % Tier 1 capital (to risk-weighted assets) Customers Bancorp, Inc. $ 1,798,942 13.245 % $ 814,933 6.000 % N/A N/A $ 1,154,489 8.500 % Customers Bank $ 1,868,360 13.773 % $ 813,937 6.000 % $ 1,085,250 8.000 % $ 1,153,078 8.500 % Total capital (to risk-weighted assets) Customers Bancorp, Inc. $ 2,076,550 15.289 % $ 1,086,578 8.000 % N/A N/A $ 1,426,133 10.500 % Customers Bank $ 2,073,202 15.283 % $ 1,085,250 8.000 % $ 1,356,562 10.000 % $ 1,424,390 10.500 % Tier 1 capital (to average assets) Customers Bancorp, Inc. $ 1,798,942 8.375 % $ 859,189 4.000 % N/A N/A $ 859,189 4.000 % Customers Bank $ 1,868,360 8.708 % $ 858,225 4.000 % $ 1,072,782 5.000 % $ 858,225 4.000 % |
DISCLOSURES ABOUT FAIR VALUE _2
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Estimated Fair Values of Financial Instruments | The estimated fair values of Customers’ financial instruments at June 30, 2024 and December 31, 2023 were as follows: Fair Value Measurements at June 30, 2024 (amounts in thousands) Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Cash and cash equivalents $ 3,048,587 $ 3,048,587 $ 3,048,587 $ — $ — Debt securities, available for sale 2,477,758 2,477,758 — 2,455,896 21,862 Debt securities, held to maturity 962,799 908,075 — 462,372 445,703 Loans held for sale 375,724 375,724 — 2,684 373,040 Total loans and leases receivable, net of allowance for credit losses on loans and leases 13,124,479 12,817,379 — 1,002,711 11,814,668 FHLB, Federal Reserve Bank, and other restricted stock 92,276 92,276 — 92,276 — Derivatives 20,292 20,292 — 20,180 112 Liabilities: Deposits $ 17,678,093 $ 17,672,062 $ 15,482,394 $ 2,189,668 $ — FHLB advances 1,018,349 993,579 — 993,579 — Other borrowings 123,970 102,945 — 102,945 — Subordinated debt 182,370 161,420 — 161,420 — Derivatives 29,108 29,108 — 29,108 — Fair Value Measurements at December 31, 2023 (amounts in thousands) Carrying Amount Estimated Fair Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Assets: Cash and cash equivalents $ 3,846,346 $ 3,846,346 $ 3,846,346 $ — $ — Debt securities, available for sale 2,376,860 2,376,860 — 2,341,911 34,949 Debt securities, held to maturity 1,103,170 1,046,439 — 472,311 574,128 Loans held for sale 340,317 340,317 — 1,215 339,102 Total loans and leases receivable, net of allowance for credit losses on loans and leases 12,726,456 12,513,386 — 897,912 11,615,474 FHLB, Federal Reserve Bank, and other restricted stock 109,548 109,548 — 109,548 — Derivatives 17,931 17,931 — 17,906 25 Liabilities: Deposits $ 17,920,236 $ 17,922,005 $ 14,632,357 $ 3,289,648 $ — FHLB advances 1,203,207 1,188,517 — 1,188,517 — Other borrowings 123,840 103,674 — 103,674 — Subordinated debt 182,230 164,233 — 164,233 — Derivatives 27,110 27,110 — 27,110 — |
Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis | For financial assets and liabilities measured at fair value on a recurring and nonrecurring basis, the fair value measurements by level within the fair value hierarchy used at June 30, 2024 and December 31, 2023 were as follows: June 30, 2024 Fair Value Measurements at the End of the Reporting Period Using (amounts in thousands) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Measured at Fair Value on a Recurring Basis: Assets Available for sale debt securities: Asset-backed securities $ — $ 25,250 $ 21,862 $ 47,112 Agency-guaranteed residential mortgage-backed securities — 199,487 — 199,487 Agency-guaranteed residential collateralized mortgage obligations — 169,512 — 169,512 Agency-guaranteed commercial collateralized mortgage obligations — 81,818 — 81,818 Collateralized loan obligations — 406,033 — 406,033 Commercial mortgage-backed securities — 99,022 — 99,022 Corporate notes — 587,745 — 587,745 Private label collateralized mortgage obligations — 887,029 — 887,029 Derivatives — 20,180 112 20,292 Loans held for sale – fair value option — 2,684 247,442 250,126 Loans receivable, mortgage finance – fair value option — 1,002,711 — 1,002,711 Total assets – recurring fair value measurements $ — $ 3,481,471 $ 269,416 $ 3,750,887 Liabilities Derivatives $ — $ 29,108 $ — $ 29,108 Measured at Fair Value on a Nonrecurring Basis: Assets Collateral-dependent loans $ — $ — $ 18,051 $ 18,051 Total assets – nonrecurring fair value measurements $ — $ — $ 18,051 $ 18,051 December 31, 2023 Fair Value Measurements at the End of the Reporting Period Using (amounts in thousands) Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Measured at Fair Value on a Recurring Basis: Assets Available for sale debt securities: Asset-backed securities $ — $ 57,680 $ 34,949 $ 92,629 Agency-guaranteed residential collateralized mortgage obligations — 116,908 — 116,908 Collateralized loan obligations — 489,092 — 489,092 Commercial mortgage-backed securities — 121,636 — 121,636 Corporate notes — 583,034 — 583,034 Private label collateralized mortgage obligations — 973,561 — 973,561 Derivatives — 17,906 25 17,931 Loans held for sale – fair value option — 1,215 188,062 189,277 Loans receivable, mortgage finance – fair value option — 897,912 — 897,912 Total assets – recurring fair value measurements $ — $ 3,258,944 $ 223,036 $ 3,481,980 Liabilities Derivatives $ — $ 27,110 $ — $ 27,110 Measured at Fair Value on a Nonrecurring Basis: Assets Collateral-dependent loans $ — $ — $ 2,373 $ 2,373 Total assets – nonrecurring fair value measurements $ — $ — $ 2,373 $ 2,373 |
Statement of Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis | The changes in asset-backed securities (Level 3 assets) measured at fair value on a recurring basis for the three and six months ended June 30, 2024 and 2023 are summarized in the tables below. Asset-backed securities (amounts in thousands) Three Months Ended June 30, 2024 2023 Balance at April 1 $ 28,263 $ 63,376 Principal payments and premium amortization (6,834) (10,444) Increase in allowance for credit losses — (773) Decrease in allowance for credit losses 83 — Change in fair value recognized in OCI 350 (334) Balance at June 30 $ 21,862 $ 51,825 Asset-backed securities (amounts in thousands) Six Months Ended June 30, 2024 2023 Balance at January 1 $ 34,949 $ 73,266 Principal payments and premium amortization (13,948) (21,660) Increase in allowance for credit losses — (1,046) Decrease in allowance for credit losses 116 61 Change in fair value recognized in OCI 745 1,204 Balance at June 30 $ 21,862 $ 51,825 The changes in other installment loans (Level 3 assets) measured at fair value on a recurring basis, based on an election made to account for the loans at fair value for the three and six months ended June 30, 2024 and 2023 are summarized in the tables below. Other Installment Loans (amounts in thousands) Three Months Ended June 30, 2024 2023 Balance at April 1 $ 219,015 $ — Originations 245,025 — Sales (160,015) — Principal payments (56,583) — Change in fair value recognized in earnings — — Balance at June 30 $ 247,442 $ — Other Installment Loans (amounts in thousands) Six Months Ended June 30, 2024 2023 Balance at January 1 $ 188,062 $ — Originations 480,456 — Sales (318,230) — Principal payments (102,846) — Change in fair value recognized in earnings — — Balance at June 30 $ 247,442 $ — |
Summary of Financial Assets and Financial Liabilities Measured at Fair Value on Recurring and Nonrecurring Basis | The following tables summarize financial assets and financial liabilities measured at fair value as of June 30, 2024 and December 31, 2023 on a recurring and nonrecurring basis for which Customers utilized Level 3 inputs to measure fair value. The unobservable Level 3 inputs noted below contain a level of uncertainty that may differ from what is realized in an immediate settlement of the assets. Therefore, Customers may realize a value higher or lower than the current estimated fair value of the assets. Quantitative Information about Level 3 Fair Value Measurements (dollars in thousands) Fair Value Valuation Technique Unobservable Input Range June 30, 2024 Asset-backed securities $ 21,862 Discounted cash flow Discount rate Annualized loss rate Constant prepayment rate 10% - 13% (12%) 3% - 17% (6%) 8% - 31% (26%) Quantitative Information about Level 3 Fair Value Measurements (dollars in thousands) Fair Value Valuation Technique Unobservable Input Range December 31, 2023 Asset-backed securities $ 34,949 Discounted cash flow Discount rate Annualized loss rate Constant prepayment rate 12% - 14% (13%) 3% - 13% (5%) 11% - 30% (26%) |
DERIVATIVE INSTRUMENTS AND HE_2
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Assets at Fair Value | As of June 30, 2024 and December 31, 2023, the following amounts were recorded on the consolidated balance sheet related to cumulative basis adjustments for fair value hedges. Amortized Cost Cumulative Amount of Fair Value Hedging Adjustment to Hedged Items (amounts in thousands) June 30, 2024 December 31, 2023 June 30, 2024 December 31, 2023 AFS debt securities $ 22,500 $ 22,500 $ 508 $ 941 Deposits 1,183,063 300,000 (939) 1,432 FHLB advances 1,200,000 700,000 (6,651) 3,206 |
Fair Value of Derivative Financial Instruments | The following tables present the fair value of Customers’ derivative financial instruments as well as their presentation on the consolidated balance sheets as of June 30, 2024 and December 31, 2023. June 30, 2024 Derivative Assets Derivative Liabilities (amounts in thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives not designated as hedging instruments: Interest rate swaps and caps (1) Other assets $ 20,180 Other liabilities $ 29,105 December 31, 2023 Derivative Assets Derivative Liabilities (amounts in thousands) Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives not designated as hedging instruments: Interest rate swaps and caps (1) Other assets $ 17,903 Other liabilities $ 27,097 (1) Customers’ centrally cleared derivatives are legally settled through variation margin payments and these payments are reflected as a reduction of the related derivative asset or liability, including accrued interest, on the consolidated balance sheet. |
Effect of Derivative Financial Instruments on Net Income and Comprehensive Income | The following table presents amounts included in the consolidated statements of income related to derivatives designated as fair value hedges and derivatives not designated as hedges for the three and six months ended June 30, 2024 and 2023. Amount of Income (Loss) Recognized in Earnings Three Months Ended June 30, Six Months Ended June 30, (amounts in thousands) Income Statement Location 2024 2023 2024 2023 Derivatives designated as fair value hedges: Recognized on interest rate swaps Net interest income $ 3,563 $ 6,532 $ 11,736 $ 6,832 Recognized on hedged AFS debt securities Net interest income (256) 50 (433) (250) Recognized on hedged deposits Net interest income (1,686) — (1,686) — Recognized on hedged FHLB advances Net interest income (1,621) (6,582) (9,617) (6,582) Total $ — $ — $ — $ — Derivatives not designated as hedging instruments: Interest rate swaps and caps Other non-interest income $ 63 $ 165 $ 735 $ 140 |
Summary of Offsetting of Financial Assets and Derivative Assets | The following tables present derivative instruments that are subject to enforceable master netting arrangements. Customers’ interest rate swaps and interest rate caps with institutional counterparties are subject to master netting arrangements and are included in the tables below. Interest rate swaps and interest rate caps with commercial banking customers are not subject to master netting arrangements and are excluded from the tables below. Customers has not made a policy election to offset its derivative positions. Gross Amounts Recognized on the Consolidated Balance Sheet Gross Amounts Not Offset in the Consolidated Balance Sheet Net Amount (amounts in thousands) Financial Instruments Cash Collateral Received/Posted June 30, 2024 Interest rate derivative assets with institutional counterparties $ 19,876 $ (511) $ (19,365) $ — Interest rate derivative liabilities with institutional counterparties $ 511 $ (511) $ — $ — Gross Amounts Recognized on the Consolidated Balance Sheet Gross Amounts Not Offset in the Consolidated Balance Sheet Net Amount (amounts in thousands) Financial Instruments Cash Collateral Received/Posted December 31, 2023 Interest rate derivative assets with institutional counterparties $ 17,439 $ (500) $ (16,939) $ — Interest rate derivative liabilities with institutional counterparties $ 500 $ (500) $ — $ — |
Summary of Offsetting of Financial Liabilities and Derivative Liabilities | The following tables present derivative instruments that are subject to enforceable master netting arrangements. Customers’ interest rate swaps and interest rate caps with institutional counterparties are subject to master netting arrangements and are included in the tables below. Interest rate swaps and interest rate caps with commercial banking customers are not subject to master netting arrangements and are excluded from the tables below. Customers has not made a policy election to offset its derivative positions. Gross Amounts Recognized on the Consolidated Balance Sheet Gross Amounts Not Offset in the Consolidated Balance Sheet Net Amount (amounts in thousands) Financial Instruments Cash Collateral Received/Posted June 30, 2024 Interest rate derivative assets with institutional counterparties $ 19,876 $ (511) $ (19,365) $ — Interest rate derivative liabilities with institutional counterparties $ 511 $ (511) $ — $ — Gross Amounts Recognized on the Consolidated Balance Sheet Gross Amounts Not Offset in the Consolidated Balance Sheet Net Amount (amounts in thousands) Financial Instruments Cash Collateral Received/Posted December 31, 2023 Interest rate derivative assets with institutional counterparties $ 17,439 $ (500) $ (16,939) $ — Interest rate derivative liabilities with institutional counterparties $ 500 $ (500) $ — $ — |
DESCRIPTION OF THE BUSINESS - A
DESCRIPTION OF THE BUSINESS - Additional Information (Detail) | Jun. 30, 2024 branch |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of branches | 7 |
EARNINGS (LOSS) PER SHARE - Com
EARNINGS (LOSS) PER SHARE - Components of Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Earnings Per Share [Abstract] | ||||
Net income available to common shareholders, basic | $ 54,300 | $ 44,007 | $ 100,226 | $ 94,272 |
Net income available to common shareholders, diluted | $ 54,300 | $ 44,007 | $ 100,226 | $ 94,272 |
Weighted-average number of common shares outstanding – basic (shares) | 31,649,715 | 31,254,125 | 31,561,569 | 31,535,103 |
Share-based compensation plans (shares) | 1,049,434 | 337,017 | 1,215,273 | 430,894 |
Weighted-average number of common shares – diluted (shares) | 32,699,149 | 31,591,142 | 32,776,842 | 31,965,997 |
Basic earnings per common share (usd per share) | $ 1.72 | $ 1.41 | $ 3.18 | $ 2.99 |
Diluted earnings per common share (usd per share) | $ 1.66 | $ 1.39 | $ 3.06 | $ 2.95 |
EARNINGS (LOSS) PER SHARE - Ant
EARNINGS (LOSS) PER SHARE - Anti-Dilutive Securities Excluded from Computation of Earnings (Loss) Per Share (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Share-based compensation awards | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Total anti-dilutive securities (shares) | 87,531 | 1,718,281 | 1,680 | 1,410,180 |
CHANGES IN ACCUMULATED OTHER _3
CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | $ 1,691,617 | $ 1,421,020 | $ 1,638,394 | $ 1,402,961 |
Amortization of unrealized loss on securities transferred from available-for-sale to held-to-maturity | 1,406 | 1,449 | 2,612 | 2,321 |
Income tax effect | (361) | (368) | (667) | (589) |
Other comprehensive income (loss), net of income tax effect | 947 | (11,900) | 5,211 | (5,080) |
Ending balance | 1,746,865 | 1,456,652 | 1,746,865 | 1,456,652 |
Unrealized Gains (Losses) on Available for Sale Securities | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Beginning balance | (132,305) | (156,276) | (136,569) | (163,096) |
Unrealized gains (losses) arising during period, before tax | (851) | (17,401) | 3,629 | (9,131) |
Income tax effect | 219 | 4,420 | (919) | 2,319 |
Other comprehensive income (loss) before reclassifications | (632) | (12,981) | 2,710 | (6,812) |
Reclassification adjustments for (gains) losses included in net income, before tax | 719 | 0 | 749 | 0 |
Income tax effect | (185) | 0 | (193) | 0 |
Amounts reclassified from accumulated other comprehensive income (loss) to net income | 534 | 0 | 556 | 0 |
Amortization of unrealized loss on securities transferred from available-for-sale to held-to-maturity | 1,406 | 1,449 | 2,612 | 2,321 |
Income tax effect | (361) | (368) | (667) | (589) |
Amortization of unrealized loss on securities transferred from available for sale to held to maturity | 1,045 | 1,081 | 1,945 | 1,732 |
Other comprehensive income (loss), net of income tax effect | 947 | (11,900) | 5,211 | (5,080) |
Ending balance | $ (131,358) | $ (168,176) | $ (131,358) | $ (168,176) |
INVESTMENT SECURITIES - Summary
INVESTMENT SECURITIES - Summary of Amortized Cost and Approximate Fair Value of Investment Securities (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Mar. 31, 2024 | Dec. 31, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | $ 2,622,526 | $ 2,524,663 | ||||
Allowance for Credit Losses | (5,339) | $ (5,069) | (3,952) | $ (3,439) | $ (2,173) | $ (578) |
Gross Unrealized Gains | 1,717 | 1,296 | ||||
Gross Unrealized Losses | (141,146) | (145,147) | ||||
Fair Value | 2,477,758 | 2,376,860 | ||||
Equity securities | 33,892 | 28,780 | ||||
Total investment securities, at fair value | 2,511,650 | 2,405,640 | ||||
Available-for-sale debt securities, accrued interest | 18,500 | 14,700 | ||||
Asset-backed securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 50,517 | 97,359 | ||||
Allowance for Credit Losses | (367) | (450) | (483) | (1,563) | (790) | (578) |
Gross Unrealized Gains | 0 | 15 | ||||
Gross Unrealized Losses | (3,038) | (4,262) | ||||
Fair Value | 47,112 | 92,629 | ||||
Agency-guaranteed residential mortgage-backed securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 198,732 | |||||
Allowance for Credit Losses | 0 | |||||
Gross Unrealized Gains | 943 | |||||
Gross Unrealized Losses | (188) | |||||
Fair Value | 199,487 | |||||
Agency-guaranteed residential collateralized mortgage obligations | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 181,750 | 129,589 | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Gross Unrealized Gains | 19 | 0 | ||||
Gross Unrealized Losses | (12,257) | (12,681) | ||||
Fair Value | 169,512 | 116,908 | ||||
Agency-guaranteed commercial collateralized mortgage obligations | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 83,180 | |||||
Allowance for Credit Losses | 0 | |||||
Gross Unrealized Gains | 133 | |||||
Gross Unrealized Losses | (1,495) | |||||
Fair Value | 81,818 | |||||
Collateralized loan obligations | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 412,452 | 500,109 | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Gross Unrealized Gains | 0 | 1 | ||||
Gross Unrealized Losses | (6,419) | (11,018) | ||||
Fair Value | 406,033 | 489,092 | ||||
Commercial mortgage-backed securities | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 100,610 | 125,885 | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Gross Unrealized Gains | 0 | 0 | ||||
Gross Unrealized Losses | (1,588) | (4,249) | ||||
Fair Value | 99,022 | 121,636 | ||||
Corporate notes | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 655,759 | 636,880 | ||||
Allowance for Credit Losses | (4,972) | $ (4,619) | (3,469) | $ (1,876) | $ (1,383) | $ 0 |
Gross Unrealized Gains | 131 | 79 | ||||
Gross Unrealized Losses | (63,173) | (50,456) | ||||
Fair Value | 587,745 | 583,034 | ||||
Private label collateralized mortgage obligations | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Amortized Cost | 939,526 | 1,034,841 | ||||
Allowance for Credit Losses | 0 | 0 | ||||
Gross Unrealized Gains | 491 | 1,201 | ||||
Gross Unrealized Losses | (52,988) | (62,481) | ||||
Fair Value | $ 887,029 | $ 973,561 |
INVESTMENT SECURITIES - Additio
INVESTMENT SECURITIES - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 USD ($) assetBackedSecurity security | Jun. 30, 2023 USD ($) assetBackedSecurity | Jun. 30, 2024 USD ($) security corporateNote | Jun. 30, 2023 USD ($) corporateNote | Dec. 31, 2023 USD ($) security | |
Debt Securities, Available-for-sale [Line Items] | |||||
Proceeds from sales of investment securities available for sale | $ 218,700 | $ 0 | $ 240,688 | $ 0 | |
Number of available-for-sale investment securities, unrealized loss position, less than twelve month category | security | 28 | 28 | |||
Number of available-for-sale investment securities, unrealized loss position, twelve month or more category | security | 93 | 93 | |||
Number of asset-backed securities with deterioration in future estimated cash flows | assetBackedSecurity | 1 | 4 | |||
Number of corporate notes with deterioration in future estimated cash flows | corporateNote | 20 | 9 | |||
Number of available-for-sale investment securities, unrealized loss position | security | 121 | 121 | 119 | ||
Debt securities, available for sale | $ 2,477,758 | $ 2,477,758 | $ 2,376,860 | ||
Net gain on sale of loans | (200) | $ 400 | (200) | $ 400 | |
Investment securities held to maturity | 962,799 | 962,799 | 1,103,170 | ||
Servicing assets | 3,800 | 3,800 | |||
Variable Interest Entity, Not Primary Beneficiary | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Investment securities held to maturity | 436,800 | 436,800 | |||
Asset-backed securities | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Debt securities, available for sale | 47,112 | 47,112 | 92,629 | ||
Investment securities held to maturity | 446,070 | 446,070 | 575,990 | ||
Consumer Loan, Held-For-Sale | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Net gain on sale of loans | 1,200 | 1,200 | |||
Consumer Loan, Held-For-Sale | Other Installment Loans | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Financing receivable, sale | 154,000 | 154,000 | |||
Consumer Loan, Held-For-Sale | Personal And Other Installment Loans | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Carrying value of consumer loans sold | $ 556,700 | $ 556,700 | |||
Asset Pledged as Collateral | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Debt securities, available for sale | 1,300,000 | 1,300,000 | 1,200,000 | ||
Debt securities | $ 388,700 | $ 388,700 | $ 398,400 |
INVESTMENT SECURITIES - Gain (L
INVESTMENT SECURITIES - Gain (Loss) on Sale of AFS Debt Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Gross realized gains | $ 176 | $ 0 | $ 176 | $ 0 |
Gross realized losses | (895) | 0 | (925) | 0 |
Net realized gains (losses) on sale of available for sale debt securities | $ (719) | $ 0 | $ (749) | $ 0 |
INVESTMENT SECURITIES - Summa_2
INVESTMENT SECURITIES - Summary of Available-for-Sale Debt Securities by Stated Maturity (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Securities, Available-for-sale [Line Items] | ||
Due in one year or less, amortized cost | $ 35,523 | |
Due after one year through five years, amortized cost | 532,571 | |
Due after five years through ten years, amortized cost | 87,665 | |
Amortized Cost | 2,622,526 | $ 2,524,663 |
Due in one year or less, fair value | 26,273 | |
Due after one year through five years, fair value | 482,410 | |
Due after five years through ten years, fair value | 79,062 | |
Fair Value | 2,477,758 | 2,376,860 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 50,517 | |
Amortized Cost | 50,517 | 97,359 |
Debt securities, available-for-sale, without single maturity date, fair value | 47,112 | |
Fair Value | 47,112 | 92,629 |
Agency-guaranteed residential mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 198,732 | |
Amortized Cost | 198,732 | |
Debt securities, available-for-sale, without single maturity date, fair value | 199,487 | |
Fair Value | 199,487 | |
Agency-guaranteed residential collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 181,750 | |
Amortized Cost | 181,750 | 129,589 |
Debt securities, available-for-sale, without single maturity date, fair value | 169,512 | |
Fair Value | 169,512 | 116,908 |
Agency-guaranteed commercial collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 83,180 | |
Amortized Cost | 83,180 | |
Debt securities, available-for-sale, without single maturity date, fair value | 81,818 | |
Fair Value | 81,818 | |
Collateralized loan obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 412,452 | |
Amortized Cost | 412,452 | 500,109 |
Debt securities, available-for-sale, without single maturity date, fair value | 406,033 | |
Fair Value | 406,033 | 489,092 |
Commercial mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 100,610 | |
Amortized Cost | 100,610 | 125,885 |
Debt securities, available-for-sale, without single maturity date, fair value | 99,022 | |
Fair Value | 99,022 | 121,636 |
Private label collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt securities, available-for-sale, without single maturity date, amortized cost | 939,526 | |
Amortized Cost | 939,526 | 1,034,841 |
Debt securities, available-for-sale, without single maturity date, fair value | 887,029 | |
Fair Value | $ 887,029 | $ 973,561 |
INVESTMENT SECURITIES - Gross U
INVESTMENT SECURITIES - Gross Unrealized Losses and Fair Value, Aggregated by Investment Category (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | $ 478,982 | $ 356,234 |
Less than 12 Months, Unrealized Losses | (10,541) | (12,782) |
12 Months or More, Fair Value | 1,414,307 | 1,778,899 |
12 Months or More, Unrealized Losses | (102,757) | (116,764) |
Total, Fair Value | 1,893,289 | 2,135,133 |
Total, Unrealized Losses | (113,298) | (129,546) |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 0 | 0 |
Less than 12 Months, Unrealized Losses | 0 | 0 |
12 Months or More, Fair Value | 42,665 | 64,029 |
12 Months or More, Unrealized Losses | (2,771) | (4,027) |
Total, Fair Value | 42,665 | 64,029 |
Total, Unrealized Losses | (2,771) | (4,027) |
Agency-guaranteed residential mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 58,493 | |
Less than 12 Months, Unrealized Losses | (188) | |
12 Months or More, Fair Value | 0 | |
12 Months or More, Unrealized Losses | 0 | |
Total, Fair Value | 58,493 | |
Total, Unrealized Losses | (188) | |
Agency-guaranteed residential collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 0 | 0 |
Less than 12 Months, Unrealized Losses | 0 | 0 |
12 Months or More, Fair Value | 109,465 | 116,908 |
12 Months or More, Unrealized Losses | (12,257) | (12,681) |
Total, Fair Value | 109,465 | 116,908 |
Total, Unrealized Losses | (12,257) | (12,681) |
Agency-guaranteed commercial collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 64,227 | |
Less than 12 Months, Unrealized Losses | (1,495) | |
12 Months or More, Fair Value | 0 | |
12 Months or More, Unrealized Losses | 0 | |
Total, Fair Value | 64,227 | |
Total, Unrealized Losses | (1,495) | |
Collateralized loan obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 57,745 | 29,241 |
Less than 12 Months, Unrealized Losses | (454) | (392) |
12 Months or More, Fair Value | 278,681 | 438,551 |
12 Months or More, Unrealized Losses | (5,965) | (10,626) |
Total, Fair Value | 336,426 | 467,792 |
Total, Unrealized Losses | (6,419) | (11,018) |
Commercial mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 0 | 0 |
Less than 12 Months, Unrealized Losses | 0 | 0 |
12 Months or More, Fair Value | 99,022 | 121,636 |
12 Months or More, Unrealized Losses | (1,588) | (4,249) |
Total, Fair Value | 99,022 | 121,636 |
Total, Unrealized Losses | (1,588) | (4,249) |
Corporate notes | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 65,085 | 23,243 |
Less than 12 Months, Unrealized Losses | (1,610) | (1,147) |
12 Months or More, Fair Value | 311,986 | 424,768 |
12 Months or More, Unrealized Losses | (33,972) | (33,764) |
Total, Fair Value | 377,071 | 448,011 |
Total, Unrealized Losses | (35,582) | (34,911) |
Private label collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less Than 12 Months, Fair Value | 233,432 | 303,750 |
Less than 12 Months, Unrealized Losses | (6,794) | (11,243) |
12 Months or More, Fair Value | 572,488 | 613,007 |
12 Months or More, Unrealized Losses | (46,204) | (51,417) |
Total, Fair Value | 805,920 | 916,757 |
Total, Unrealized Losses | $ (52,998) | $ (62,660) |
INVESTMENT SECURITIES - Credit
INVESTMENT SECURITIES - Credit Valuation Allowance for Available-for-Sale Debt Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward] | ||||
Debt securities, allowance for credit loss, beginning balance | $ 5,069 | $ 2,173 | $ 3,952 | $ 578 |
Credit losses on securities for which credit losses were not previously recorded | 466 | 233 | 631 | 1,876 |
Credit losses on previously impaired securities | 242 | 1,033 | 1,057 | 1,046 |
Decrease in allowance for credit losses on previously impaired securities | (438) | 0 | (301) | (61) |
Debt securities, allowance for credit loss, ending balance | 5,339 | 3,439 | 5,339 | 3,439 |
Asset-backed securities | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward] | ||||
Debt securities, allowance for credit loss, beginning balance | 450 | 790 | 483 | 578 |
Credit losses on securities for which credit losses were not previously recorded | 0 | 0 | 0 | 0 |
Credit losses on previously impaired securities | 0 | 773 | 0 | 1,046 |
Decrease in allowance for credit losses on previously impaired securities | (83) | 0 | (116) | (61) |
Debt securities, allowance for credit loss, ending balance | 367 | 1,563 | 367 | 1,563 |
Corporate notes | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward] | ||||
Debt securities, allowance for credit loss, beginning balance | 4,619 | 1,383 | 3,469 | 0 |
Credit losses on securities for which credit losses were not previously recorded | 466 | 233 | 631 | 1,876 |
Credit losses on previously impaired securities | 242 | 260 | 1,057 | 0 |
Decrease in allowance for credit losses on previously impaired securities | (355) | 0 | (185) | 0 |
Debt securities, allowance for credit loss, ending balance | $ 4,972 | $ 1,876 | $ 4,972 | $ 1,876 |
INVESTMENT SECURITIES - Summa_3
INVESTMENT SECURITIES - Summary of Amortized Cost and Approximate Fair Value of Investment Securities (Detail) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | $ 962,799,000 | $ 1,103,170,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 962,799,000 | 1,103,170,000 |
Gross Unrealized Gains | 1,148,000 | 202,000 |
Gross Unrealized Losses | (55,872,000) | (56,933,000) |
Fair Value | 908,075,000 | 1,046,439,000 |
Debt securities, held to maturity, accrued interest | 2,200,000 | 2,700,000 |
Asset-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | 446,070,000 | 575,990,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 446,070,000 | 575,990,000 |
Gross Unrealized Gains | 1,148,000 | 202,000 |
Gross Unrealized Losses | (1,515,000) | (2,064,000) |
Fair Value | 445,703,000 | 574,128,000 |
Agency-guaranteed residential mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | 6,960,000 | 7,039,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 6,960,000 | 7,039,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (849,000) | (649,000) |
Fair Value | 6,111,000 | 6,390,000 |
Agency-guaranteed commercial mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | 1,810,000 | 1,850,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 1,810,000 | 1,850,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (317,000) | (134,000) |
Fair Value | 1,493,000 | 1,716,000 |
Agency-guaranteed residential collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | 178,761,000 | 186,636,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 178,761,000 | 186,636,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (18,037,000) | (19,049,000) |
Fair Value | 160,724,000 | 167,587,000 |
Agency-guaranteed commercial collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | 145,173,000 | 146,765,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 145,173,000 | 146,765,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (21,899,000) | (23,178,000) |
Fair Value | 123,274,000 | 123,587,000 |
Private label collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Amortized Cost | 184,025,000 | 184,890,000 |
Allowance for Credit Losses | 0 | 0 |
Net Carrying Value | 184,025,000 | 184,890,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (13,255,000) | (11,859,000) |
Fair Value | $ 170,770,000 | $ 173,031,000 |
INVESTMENT SECURITIES - Summa_4
INVESTMENT SECURITIES - Summary of Held-to-Maturity Debt Securities by Stated Maturity (Detail) $ in Thousands | Jun. 30, 2024 USD ($) |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | $ 962,799 |
Fair Value | 908,075 |
Asset-backed securities | |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | 446,070 |
Fair Value | 445,703 |
Agency-guaranteed residential mortgage-backed securities | |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | 6,960 |
Fair Value | 6,111 |
Agency-guaranteed commercial mortgage-backed securities | |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | 1,810 |
Fair Value | 1,493 |
Agency-guaranteed residential collateralized mortgage obligations | |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | 178,761 |
Fair Value | 160,724 |
Agency-guaranteed commercial collateralized mortgage obligations | |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | 145,173 |
Fair Value | 123,274 |
Private label collateralized mortgage obligations | |
Schedule of Held-to-Maturity Securities [Line Items] | |
Amortized Cost | 184,025 |
Fair Value | $ 170,770 |
INVESTMENT SECURITIES - Credi_2
INVESTMENT SECURITIES - Credit Valuation Allowance for Held to Maturity Debt Securities (Details) | Jun. 30, 2024 USD ($) |
Debt Securities, Held-to-Maturity, Allowance for Credit Loss [Roll Forward] | |
Debt securities, held-to-maturity, allowance for credit loss, beginning balance | $ 0 |
Debt securities, held-to-maturity, allowance for credit loss, ending balance | $ 0 |
INVESTMENT SECURITIES - Debt Se
INVESTMENT SECURITIES - Debt Securities, Held-to-Maturity, Credit Quality Indicator (Details) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | $ 962,799 | $ 1,103,170 |
Asset-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 446,070 | 575,990 |
Agency-guaranteed residential mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 6,960 | 7,039 |
Agency-guaranteed commercial mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 1,810 | 1,850 |
Agency-guaranteed residential collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 178,761 | 186,636 |
Agency-guaranteed commercial collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 145,173 | 146,765 |
Private label collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 184,025 | $ 184,890 |
AAA | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 83,903 | |
AAA | Asset-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AAA | Agency-guaranteed residential mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AAA | Agency-guaranteed commercial mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AAA | Agency-guaranteed residential collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AAA | Agency-guaranteed commercial collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AAA | Private label collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 83,903 | |
AA | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 26,124 | |
AA | Asset-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AA | Agency-guaranteed residential mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AA | Agency-guaranteed commercial mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AA | Agency-guaranteed residential collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AA | Agency-guaranteed commercial collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 0 | |
AA | Private label collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 26,124 | |
Not Rated | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 852,772 | |
Not Rated | Asset-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 446,070 | |
Not Rated | Agency-guaranteed residential mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 6,960 | |
Not Rated | Agency-guaranteed commercial mortgage-backed securities | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 1,810 | |
Not Rated | Agency-guaranteed residential collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 178,761 | |
Not Rated | Agency-guaranteed commercial collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | 145,173 | |
Not Rated | Private label collateralized mortgage obligations | ||
Schedule of Held-to-Maturity Securities [Line Items] | ||
Investment securities held to maturity | $ 73,998 |
LOANS HELD FOR SALE - Compositi
LOANS HELD FOR SALE - Composition of Loans Held for Sale (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Receivable, Held-for-Sale [Abstract] | ||
Residential mortgage loans, at fair value | $ 2,684 | $ 1,215 |
Personal installment loans, at lower of cost or fair value | 125,598 | 151,040 |
Other installment loans, at fair value | 247,442 | 188,062 |
Loans held for sale (includes $250,126 and $189,277, respectively, at fair value) | $ 375,724 | $ 340,317 |
LOANS HELD FOR SALE - Narrative
LOANS HELD FOR SALE - Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Receivable, Held-for-Sale [Abstract] | |||
Loans held for sale (including nonperforming loans) | $ 2,400 | $ 500 | |
Investment securities held to maturity | 962,799 | $ 1,103,170 | |
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Proceeds from sales of loans and leases | $ 23,708 | $ 397,107 | |
Variable Interest Entity, Not Primary Beneficiary | |||
Receivable, Held-for-Sale [Abstract] | |||
Investment securities held to maturity | 436,800 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Proceeds from sales of loans and leases | $ 115,100 |
LOANS AND LEASES RECEIVABLE A_3
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES- Schedule of Loans and Leases Receivable (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Mar. 31, 2024 | Dec. 31, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | $ 12,215,920 | $ 11,889,120 | ||||
Loans and leases receivable | 12,254,204 | 11,963,855 | ||||
Loans receivable, mortgage finance, at fair value | 1,002,711 | 897,912 | ||||
Allowance for credit losses on loans and leases | (132,436) | $ (133,296) | (135,311) | $ (139,656) | $ (130,281) | $ (130,924) |
Total loans and leases receivable, net of allowance for credit losses on loans and leases | 13,124,479 | 12,726,456 | ||||
Loans and leases receivable | 12,254,204 | 11,963,855 | ||||
Loans receivable, PPP | 38,300 | 74,700 | ||||
Deferred (fees) costs and unamortized (discounts) premiums, net | (15,100) | (22,700) | ||||
Multifamily | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 2,067,332 | 2,138,622 | ||||
Allowance for credit losses on loans and leases | (20,652) | (18,307) | (16,343) | (15,400) | (15,084) | (14,541) |
Construction | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 163,409 | 166,393 | ||||
Allowance for credit losses on loans and leases | (1,856) | (1,866) | (1,482) | (2,639) | (2,336) | (1,913) |
Residential real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 481,503 | 484,435 | ||||
Allowance for credit losses on loans and leases | (5,884) | (6,707) | (6,586) | (6,846) | (6,853) | (6,094) |
Manufactured housing | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 35,901 | 38,670 | ||||
Allowance for credit losses on loans and leases | (4,094) | $ (4,160) | (4,239) | $ (4,338) | $ (4,339) | $ (4,430) |
Commercial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 10,980,118 | 10,565,824 | ||||
Commercial | Specialized lending | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 5,528,745 | 5,006,693 | ||||
Commercial | Other commercial and industrial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 1,212,247 | 1,279,147 | ||||
Commercial | Multifamily | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 2,067,332 | 2,138,622 | ||||
Commercial | Commercial real estate owner occupied | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 805,779 | 797,319 | ||||
Commercial | Commercial real estate non-owner occupied | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 1,202,606 | 1,177,650 | ||||
Commercial | Construction | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 163,409 | 166,393 | ||||
Commercial | Direct finance equipment leases | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Loans and leases receivable | 222,200 | 205,700 | ||||
Consumer | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 1,274,086 | 1,398,031 | ||||
Consumer | Residential real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 481,503 | 484,435 | ||||
Consumer | Manufactured housing | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 35,901 | 38,670 | ||||
Consumer | Personal | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | 474,481 | 555,533 | ||||
Consumer | Other | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total consumer loans receivable | $ 282,201 | $ 319,393 |
LOANS AND LEASES RECEIVABLE A_4
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |||||
Jun. 30, 2024 | Mar. 31, 2024 | Dec. 31, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||||
Accrued interest | $ 90,400 | $ 95,000 | ||||
Loans receivable, excluding accrued interest | $ 13,124,479 | 12,726,456 | ||||
Loans held for sale, average life from purchase to sale | 30 days | |||||
Allowance for credit loss, excluding accrued interest | $ 132,436 | $ 133,296 | 135,311 | $ 139,656 | $ 130,281 | $ 130,924 |
Allowance for credit loss, period decrease | 2,900 | |||||
Number of commitments to lend additional funds (commitment) | 0 | |||||
Loans receivable, PPP | 38,300 | 74,700 | ||||
Total consumer loans receivable | 12,215,920 | 11,889,120 | ||||
Asset Pledged as Collateral | ||||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||||
Total consumer loans receivable | 7,700,000 | 7,000,000 | ||||
Commercial Real Estate | Other commercial and industrial | Collateral Dependent Loan | ||||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||||
Loans receivable, excluding accrued interest | $ 35,400 | $ 15,800 |
LOANS AND LEASES RECEIVABLE A_5
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Performance Status (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | $ 12,215,920 | $ 11,889,120 |
Loans still accruing interest because collection is considered probable | 500 | 500 |
Purchased-credit-impaired loans | 152,200 | 157,200 |
Small Business Administration (SBA), CARES Act, Paycheck Protection Program | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 38,300 | 74,700 |
Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 70,467 | 93,956 |
30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 20,281 | 55,532 |
30-59 Days past due | Small Business Administration (SBA), CARES Act, Paycheck Protection Program | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 600 | 700 |
60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 8,657 | 14,600 |
90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 41,529 | 23,824 |
Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 12,145,453 | 11,795,164 |
60 Days or More Past Due | Small Business Administration (SBA), CARES Act, Paycheck Protection Program | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 20,600 | 48,500 |
Commercial and industrial, including specialized lending | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 6,702,708 | 6,211,105 |
Commercial and industrial, including specialized lending | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 9,023 | 5,991 |
Commercial and industrial, including specialized lending | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 3,698 | 1,516 |
Commercial and industrial, including specialized lending | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 14 | 322 |
Commercial and industrial, including specialized lending | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 5,311 | 4,153 |
Commercial and industrial, including specialized lending | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 6,693,685 | 6,205,114 |
Multifamily | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 2,067,332 | 2,138,622 |
Multifamily | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 14,002 | 16,003 |
Multifamily | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 16,003 |
Multifamily | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 0 |
Multifamily | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 14,002 | 0 |
Multifamily | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 2,053,330 | 2,122,619 |
Commercial real estate owner occupied | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 805,779 | 797,319 |
Commercial real estate owner occupied | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 9,697 | 10,090 |
Commercial real estate owner occupied | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 113 | 449 |
Commercial real estate owner occupied | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 3,814 |
Commercial real estate owner occupied | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 9,584 | 5,827 |
Commercial real estate owner occupied | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 796,082 | 787,229 |
Commercial real estate non-owner occupied | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 1,202,606 | 1,177,650 |
Commercial real estate non-owner occupied | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 6,136 | 16,653 |
Commercial real estate non-owner occupied | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 5,580 | 16,653 |
Commercial real estate non-owner occupied | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 494 | 0 |
Commercial real estate non-owner occupied | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 62 | 0 |
Commercial real estate non-owner occupied | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 1,196,470 | 1,160,997 |
Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 163,409 | 166,393 |
Construction | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 0 |
Construction | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 0 |
Construction | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 0 |
Construction | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 0 | 0 |
Construction | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 163,409 | 166,393 |
Residential real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 481,503 | 484,435 |
Residential real estate | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 9,978 | 16,523 |
Residential real estate | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 2,865 | 10,504 |
Residential real estate | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 2,704 | 2,255 |
Residential real estate | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 4,409 | 3,764 |
Residential real estate | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 471,525 | 467,912 |
Manufactured housing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 35,901 | 38,670 |
Manufactured housing | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 3,513 | 4,364 |
Manufactured housing | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 516 | 1,152 |
Manufactured housing | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 450 | 343 |
Manufactured housing | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 2,547 | 2,869 |
Manufactured housing | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 32,388 | 34,306 |
Installment | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 756,682 | 874,926 |
Installment | Total past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 18,118 | 24,332 |
Installment | 30-59 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 7,509 | 9,255 |
Installment | 60-89 Days past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 4,995 | 7,866 |
Installment | 90 Days or more past due | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | 5,614 | 7,211 |
Installment | Current | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total consumer loans receivable | $ 738,564 | $ 850,594 |
LOANS AND LEASES RECEIVABLE A_6
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Summary of Amortized Cost of Loans and Leases on Nonaccrual Status (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | $ 18,901 | $ 15,919 |
Nonaccrual loans with related allowance | 26,103 | 10,730 |
Total nonaccrual loans | 45,004 | 26,649 |
Commercial and industrial, including specialized lending | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 1,462 | 3,365 |
Nonaccrual loans with related allowance | 4,026 | 1,071 |
Total nonaccrual loans | 5,488 | 4,436 |
Multifamily | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 0 | 0 |
Nonaccrual loans with related allowance | 14,002 | 0 |
Total nonaccrual loans | 14,002 | 0 |
Commercial real estate owner occupied | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 9,612 | 5,869 |
Nonaccrual loans with related allowance | 0 | 0 |
Total nonaccrual loans | 9,612 | 5,869 |
Commercial real estate non-owner occupied | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 62 | 0 |
Nonaccrual loans with related allowance | 0 | 0 |
Total nonaccrual loans | 62 | 0 |
Residential real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 7,765 | 6,685 |
Nonaccrual loans with related allowance | 414 | 117 |
Total nonaccrual loans | 8,179 | 6,802 |
Manufactured housing | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 0 | 0 |
Nonaccrual loans with related allowance | 2,047 | 2,331 |
Total nonaccrual loans | 2,047 | 2,331 |
Installment | ||
Financing Receivable, Impaired [Line Items] | ||
Nonaccrual loans with no related allowance | 0 | 0 |
Nonaccrual loans with related allowance | 5,614 | 7,211 |
Total nonaccrual loans | $ 5,614 | $ 7,211 |
LOANS AND LEASES RECEIVABLE A_7
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Schedule of Allowance for Credit Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 15, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | $ 133,296 | $ 130,281 | $ 135,311 | $ 130,924 | $ 130,924 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 2,576 | 2,576 | ||||
Charge-offs | (22,724) | (18,579) | (45,551) | (39,693) | (95,066) | |
Recoveries | 4,013 | 3,015 | 8,872 | 5,478 | ||
Provision (benefit) for credit losses on loans and leases | 17,851 | 22,363 | 33,804 | 40,371 | ||
Ending balance | 132,436 | 139,656 | 132,436 | 139,656 | 135,311 | |
Allowance for credit losses on FDIC PCD loans, excluding charge-offs | $ 8,700 | |||||
Commercial and industrial, including specialized lending | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 23,003 | 20,050 | 23,503 | 17,582 | 17,582 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 2,576 | 2,576 | ||||
Charge-offs | (7,348) | (432) | (12,744) | (592) | ||
Recoveries | 1,683 | 174 | 3,407 | 405 | ||
Provision (benefit) for credit losses on loans and leases | 6,383 | 6,724 | 9,555 | 9,121 | ||
Ending balance | 23,721 | 29,092 | 23,721 | 29,092 | 23,503 | |
Commercial and industrial, including specialized lending | Commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Charge-offs | (7,348) | (12,744) | (16,915) | |||
Multifamily | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 18,307 | 15,084 | 16,343 | 14,541 | 14,541 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | (1,433) | (1,448) | (1,906) | (1,448) | ||
Recoveries | 0 | 0 | 0 | 0 | ||
Provision (benefit) for credit losses on loans and leases | 3,778 | 1,764 | 6,215 | 2,307 | ||
Ending balance | 20,652 | 15,400 | 20,652 | 15,400 | 16,343 | |
Multifamily | Commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Charge-offs | (1,433) | (1,906) | (3,574) | |||
Commercial real estate owner occupied | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 10,201 | 8,472 | 9,882 | 6,454 | 6,454 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | 0 | 0 | (22) | 0 | ||
Recoveries | 0 | 34 | 0 | 34 | ||
Provision (benefit) for credit losses on loans and leases | (1,770) | 1,709 | (1,429) | 3,727 | ||
Ending balance | 8,431 | 10,215 | 8,431 | 10,215 | 9,882 | |
Commercial real estate owner occupied | Commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Charge-offs | 0 | (22) | (39) | |||
Commercial real estate non-owner occupied | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 18,320 | 11,032 | 16,859 | 11,219 | 11,219 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | 0 | (288) | 0 | (4,527) | ||
Recoveries | 0 | 22 | 0 | 27 | ||
Provision (benefit) for credit losses on loans and leases | (354) | 2,729 | 1,107 | 6,776 | ||
Ending balance | 17,966 | 13,495 | 17,966 | 13,495 | 16,859 | |
Commercial real estate non-owner occupied | Commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Charge-offs | 0 | 0 | (4,527) | |||
Construction | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 1,866 | 2,336 | 1,482 | 1,913 | 1,913 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries | 7 | 0 | 7 | 116 | ||
Provision (benefit) for credit losses on loans and leases | (17) | 303 | 367 | 610 | ||
Ending balance | 1,856 | 2,639 | 1,856 | 2,639 | 1,482 | |
Construction | Commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Charge-offs | 0 | 0 | 0 | |||
Residential real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 6,707 | 6,853 | 6,586 | 6,094 | 6,094 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | 0 | (27) | (19) | (27) | ||
Recoveries | 20 | 3 | 21 | 5 | ||
Provision (benefit) for credit losses on loans and leases | (843) | 17 | (704) | 774 | ||
Ending balance | 5,884 | 6,846 | 5,884 | 6,846 | 6,586 | |
Manufactured housing | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 4,160 | 4,339 | 4,239 | 4,430 | 4,430 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries | 0 | 0 | 0 | 0 | ||
Provision (benefit) for credit losses on loans and leases | (66) | (1) | (145) | (92) | ||
Ending balance | 4,094 | 4,338 | 4,094 | 4,338 | 4,239 | |
Installment | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Beginning balance | 50,732 | 62,115 | 56,417 | 68,691 | 68,691 | |
Allowance for credit losses on FDIC PCD loans, net of charge-offs | 0 | 0 | ||||
Charge-offs | (13,943) | (16,384) | (30,860) | (33,099) | ||
Recoveries | 2,303 | 2,782 | 5,437 | 4,891 | ||
Provision (benefit) for credit losses on loans and leases | 10,740 | 9,118 | 18,838 | 17,148 | ||
Ending balance | $ 49,832 | $ 57,631 | $ 49,832 | $ 57,631 | $ 56,417 | |
Special Lending | Commercial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Charge-off of certain PCD loans | $ 6,200 |
LOANS AND LEASES RECEIVABLE A_8
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Loan Modifications for Borrowers Experiencing Financial Difficulty (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 21,591 | $ 4,184 | $ 37,977 | $ 9,288 |
Loan modifications | 56,932 | 9,288 | 56,932 | 9,288 |
30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 634 | 492 | 634 | 492 |
60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 348 | 459 | 348 | 459 |
90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 4,160 | 401 | 4,160 | 401 |
Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 51,790 | 7,936 | 51,790 | 7,936 |
Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 19,717 | 3,592 | 23,184 | 8,464 |
Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 1,790 | 180 | 14,676 | 269 |
Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 35 | 183 | 68 | 264 |
Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 49 | $ 229 | 49 | 291 |
Commercial and industrial, including specialized lending | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 3,753 | $ 5,740 | $ 169 | |
Percentage of Total by Financing Class | 0.06% | 0.09% | 0% | |
Interest Rate Reduction (%) | 0 | 0 | 0 | 0 |
Debt Forgiven | $ 0 | $ 0 | $ 0 | $ 0 |
Loan modifications | 17,844 | 169 | 17,844 | 169 |
Commercial and industrial, including specialized lending | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | 0 | 0 |
Commercial and industrial, including specialized lending | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | 0 | 0 |
Commercial and industrial, including specialized lending | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 3,743 | 169 | 3,743 | 169 |
Commercial and industrial, including specialized lending | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 14,101 | $ 0 | 14,101 | 0 |
Commercial and industrial, including specialized lending | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 1,997 | $ 1,997 | $ 169 | |
Term Extension and Payment Deferral (in months) | 1 month | 0 months | 1 month | 4 months |
Commercial and industrial, including specialized lending | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 1,756 | $ 3,743 | $ 0 | |
Term Extension and Payment Deferral (in months) | 7 months | 0 months | 5 months | 0 months |
Commercial and industrial, including specialized lending | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | $ 0 | $ 0 | |
Commercial and industrial, including specialized lending | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 0 | 0 | 0 | |
Commercial real estate non-owner occupied | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 17,265 | $ 17,265 | ||
Percentage of Total by Financing Class | 1.44% | 1.44% | ||
Interest Rate Reduction (%) | 0 | 0 | 0 | |
Debt Forgiven | $ 0 | $ 0 | $ 0 | |
Loan modifications | 17,265 | 17,265 | ||
Commercial real estate non-owner occupied | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Commercial real estate non-owner occupied | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Commercial real estate non-owner occupied | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Commercial real estate non-owner occupied | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 17,265 | 17,265 | ||
Commercial real estate non-owner occupied | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 17,265 | $ 17,265 | ||
Term Extension and Payment Deferral (in months) | 12 months | 0 months | 12 months | |
Commercial real estate non-owner occupied | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | $ 0 | ||
Term Extension and Payment Deferral (in months) | 0 months | 0 months | 0 months | |
Commercial real estate non-owner occupied | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | $ 0 | ||
Commercial real estate non-owner occupied | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 0 | $ 0 | ||
Commercial real estate owner occupied | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 169 | |||
Percentage of Total by Financing Class | 0.02% | |||
Interest Rate Reduction (%) | 0 | 0 | ||
Debt Forgiven | $ 0 | $ 0 | ||
Loan modifications | $ 169 | 169 | ||
Commercial real estate owner occupied | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Commercial real estate owner occupied | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Commercial real estate owner occupied | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 169 | 169 | ||
Commercial real estate owner occupied | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Commercial real estate owner occupied | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 169 | |||
Term Extension and Payment Deferral (in months) | 0 months | 4 months | ||
Commercial real estate owner occupied | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Term Extension and Payment Deferral (in months) | 0 months | 0 months | ||
Commercial real estate owner occupied | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Commercial real estate owner occupied | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Multifamily | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 10,691 | |||
Percentage of Total by Financing Class | 0.52% | |||
Interest Rate Reduction (%) | 0 | 0 | ||
Debt Forgiven | $ 0 | $ 0 | ||
Loan modifications | 10,691 | 10,691 | ||
Multifamily | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Multifamily | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Multifamily | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Multifamily | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 10,691 | 10,691 | ||
Multifamily | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Term Extension and Payment Deferral (in months) | 0 months | 0 months | ||
Multifamily | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 10,691 | |||
Term Extension and Payment Deferral (in months) | 5 months | 0 months | ||
Multifamily | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Multifamily | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 0 | |||
Residential real estate | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 53 | |||
Percentage of Total by Financing Class | 0.01% | |||
Interest Rate Reduction (%) | 0 | 0 | ||
Debt Forgiven | $ 0 | $ 0 | ||
Loan modifications | 99 | 99 | ||
Residential real estate | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Residential real estate | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Residential real estate | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | ||
Residential real estate | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 99 | 99 | ||
Residential real estate | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Term Extension and Payment Deferral (in months) | 0 months | 0 months | ||
Residential real estate | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 53 | |||
Term Extension and Payment Deferral (in months) | 5 months | 0 months | ||
Residential real estate | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | |||
Residential real estate | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 0 | |||
Manufactured housing | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 131 | $ 281 | $ 131 | $ 350 |
Percentage of Total by Financing Class | 0.36% | 0.67% | 0.36% | 0.84% |
Interest Rate Reduction (%) | 0.043 | 0.035 | 0.043 | 0.029 |
Debt Forgiven | $ 0 | $ 0 | $ 0 | $ 0 |
Loan modifications | 477 | 350 | 477 | 350 |
Manufactured housing | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 124 | 0 | 124 | 0 |
Manufactured housing | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 36 | 0 | 36 | 0 |
Manufactured housing | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 0 | 0 | 0 | 0 |
Manufactured housing | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 317 | 350 | 317 | 350 |
Manufactured housing | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 82 | $ 52 | $ 82 | $ 59 |
Term Extension and Payment Deferral (in months) | 50 months | 47 months | 50 months | 49 months |
Manufactured housing | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | $ 0 | $ 0 | $ 0 |
Term Extension and Payment Deferral (in months) | 0 months | 0 months | 0 months | 0 months |
Manufactured housing | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | $ 0 | $ 0 | $ 0 |
Manufactured housing | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | 49 | 229 | 49 | 291 |
Personal installment | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 442 | $ 3,903 | $ 4,097 | $ 8,600 |
Percentage of Total by Financing Class | 0.09% | 0.52% | 0.86% | 1.14% |
Interest Rate Reduction (%) | 0 | 0 | 0 | 0 |
Debt Forgiven | $ 41 | $ 100 | $ 141 | $ 166 |
Loan modifications | 10,556 | 8,600 | 10,556 | 8,600 |
Personal installment | 30-59 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 510 | 492 | 510 | 492 |
Personal installment | 60-89 Days past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 312 | 459 | 312 | 459 |
Personal installment | 90 Days or more past due | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 417 | 63 | 417 | 63 |
Personal installment | Current | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Loan modifications | 9,317 | 7,586 | 9,317 | 7,586 |
Personal installment | Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 373 | $ 3,540 | $ 3,840 | $ 8,067 |
Term Extension and Payment Deferral (in months) | 4 months | 5 months | 6 months | 5 months |
Personal installment | Payment Deferral | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 34 | $ 180 | $ 189 | $ 269 |
Term Extension and Payment Deferral (in months) | 7 months | 6 months | 7 months | 6 months |
Personal installment | Debt Forgiveness | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 35 | $ 183 | $ 68 | $ 264 |
Personal installment | Interest Rate Reduction and Term Extension | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Amortized cost of loans | $ 0 | $ 0 | $ 0 | $ 0 |
LOANS AND LEASES RECEIVABLE A_9
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Credit Ratings (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 15, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | $ 1,367,437 | $ 1,367,437 | $ 1,570,977 | |||
Fiscal year before current year | 1,116,142 | 1,116,142 | 4,397,333 | |||
Two years before current year | 4,218,727 | 4,218,727 | 1,521,513 | |||
Three years before current year | 1,332,611 | 1,332,611 | 634,860 | |||
Four years before current year | 563,722 | 563,722 | 347,230 | |||
Prior | 1,403,743 | 1,403,743 | 1,173,759 | |||
Revolving loans amortized cost basis | 1,935,759 | 1,935,759 | 1,843,180 | |||
Revolving loans converted to term | 277,779 | 277,779 | 400,268 | |||
Loans and leases receivable | 12,215,920 | 12,215,920 | 11,889,120 | |||
Current year, charge-offs | 883 | 2,100 | 9,211 | |||
Fiscal year before current year, charge-offs | 2,570 | 4,107 | 24,986 | |||
Two years before current fiscal year, charge-offs | 11,339 | 17,903 | 27,153 | |||
Three years before current fiscal year, charge-offs | 4,249 | 12,883 | 15,938 | |||
Four years before current fiscal year, charge-offs | 1,455 | 3,420 | 6,821 | |||
Prior, charge-offs | 2,228 | 5,138 | 10,957 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 22,724 | $ 18,579 | 45,551 | $ 39,693 | 95,066 | |
Allowance for credit losses on FDIC PCD loans, excluding charge-offs | $ 8,700 | |||||
Small Business Administration (SBA), CARES Act, Paycheck Protection Program | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 38,300 | 38,300 | 74,700 | |||
Loans and leases receivable, charge-offs | 800 | 4,200 | 10,700 | |||
Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 10,980,118 | 10,980,118 | 10,565,824 | |||
Consumer | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 1,274,086 | 1,274,086 | 1,398,031 | |||
Commercial loans and leases receivable | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 1,268,631 | 1,268,631 | 1,291,772 | |||
Fiscal year before current year | 914,635 | 914,635 | 3,911,891 | |||
Two years before current year | 3,795,934 | 3,795,934 | 1,228,524 | |||
Three years before current year | 1,084,747 | 1,084,747 | 577,273 | |||
Four years before current year | 519,028 | 519,028 | 290,649 | |||
Prior | 1,249,544 | 1,249,544 | 1,056,227 | |||
Revolving loans amortized cost basis | 1,831,546 | 1,831,546 | 1,734,485 | |||
Revolving loans converted to term | 277,769 | 277,769 | 400,268 | |||
Loans and leases receivable | 10,941,834 | 10,941,834 | 10,491,089 | |||
Current year, charge-offs | 73 | 218 | 1,483 | |||
Fiscal year before current year, charge-offs | 218 | 702 | 381 | |||
Two years before current fiscal year, charge-offs | 5,328 | 5,672 | 3,169 | |||
Three years before current fiscal year, charge-offs | 698 | 4,095 | 10,348 | |||
Four years before current fiscal year, charge-offs | 995 | 1,687 | 24 | |||
Prior, charge-offs | 1,469 | 2,298 | 9,650 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 8,781 | 14,672 | 25,055 | |||
Commercial and industrial, including specialized lending | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 6,702,708 | 6,702,708 | 6,211,105 | |||
Loans and leases receivable, charge-offs | 7,348 | 432 | 12,744 | 592 | ||
Commercial and industrial, including specialized lending | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 1,123,754 | 1,123,754 | 1,217,661 | |||
Fiscal year before current year | 835,611 | 835,611 | 1,952,227 | |||
Two years before current year | 1,874,285 | 1,874,285 | 549,699 | |||
Three years before current year | 449,299 | 449,299 | 199,030 | |||
Four years before current year | 158,393 | 158,393 | 64,016 | |||
Prior | 163,278 | 163,278 | 106,137 | |||
Revolving loans amortized cost basis | 1,831,546 | 1,831,546 | 1,734,485 | |||
Revolving loans converted to term | 266,542 | 266,542 | 387,850 | |||
Loans and leases receivable | 6,702,708 | 6,702,708 | 6,211,105 | |||
Current year, charge-offs | 73 | 218 | 1,483 | |||
Fiscal year before current year, charge-offs | 218 | 702 | 381 | |||
Two years before current fiscal year, charge-offs | 5,328 | 5,672 | 3,169 | |||
Three years before current fiscal year, charge-offs | 698 | 4,095 | 10,348 | |||
Four years before current fiscal year, charge-offs | 995 | 1,687 | 24 | |||
Prior, charge-offs | 36 | 370 | 1,510 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 7,348 | 12,744 | 16,915 | |||
Commercial and industrial, including specialized lending | Pass | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 1,123,754 | 1,123,754 | 1,184,923 | |||
Fiscal year before current year | 822,962 | 822,962 | 1,909,592 | |||
Two years before current year | 1,851,501 | 1,851,501 | 483,039 | |||
Three years before current year | 416,454 | 416,454 | 170,384 | |||
Four years before current year | 125,564 | 125,564 | 59,213 | |||
Prior | 123,237 | 123,237 | 63,480 | |||
Revolving loans amortized cost basis | 1,816,284 | 1,816,284 | 1,722,559 | |||
Revolving loans converted to term | 255,249 | 255,249 | 384,947 | |||
Loans and leases receivable | 6,535,005 | 6,535,005 | 5,978,137 | |||
Commercial and industrial, including specialized lending | Special mention | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 18,000 | |||
Fiscal year before current year | 12,000 | 12,000 | 3,377 | |||
Two years before current year | 16,708 | 16,708 | 5,127 | |||
Three years before current year | 4,779 | 4,779 | 1,986 | |||
Four years before current year | 28,093 | 28,093 | 0 | |||
Prior | 1,478 | 1,478 | 595 | |||
Revolving loans amortized cost basis | 1,883 | 1,883 | 7,916 | |||
Revolving loans converted to term | 4,360 | 4,360 | 2,903 | |||
Loans and leases receivable | 69,301 | 69,301 | 39,904 | |||
Commercial and industrial, including specialized lending | Substandard | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 14,738 | |||
Fiscal year before current year | 649 | 649 | 39,258 | |||
Two years before current year | 6,076 | 6,076 | 61,533 | |||
Three years before current year | 28,066 | 28,066 | 26,660 | |||
Four years before current year | 4,736 | 4,736 | 4,803 | |||
Prior | 38,563 | 38,563 | 42,062 | |||
Revolving loans amortized cost basis | 13,379 | 13,379 | 4,010 | |||
Revolving loans converted to term | 6,933 | 6,933 | 0 | |||
Loans and leases receivable | 98,402 | 98,402 | 193,064 | |||
Commercial and industrial, including specialized lending | Doubtful | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 0 | 0 | 0 | |||
Multifamily | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 2,067,332 | 2,067,332 | 2,138,622 | |||
Loans and leases receivable, charge-offs | 1,433 | 1,448 | 1,906 | 1,448 | ||
Multifamily | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 845 | |||
Fiscal year before current year | 830 | 830 | 1,229,198 | |||
Two years before current year | 1,218,555 | 1,218,555 | 371,016 | |||
Three years before current year | 314,788 | 314,788 | 127,493 | |||
Four years before current year | 126,126 | 126,126 | 49,514 | |||
Prior | 407,033 | 407,033 | 360,556 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 2,067,332 | 2,067,332 | 2,138,622 | |||
Current year, charge-offs | 0 | 0 | 0 | |||
Fiscal year before current year, charge-offs | 0 | 0 | 0 | |||
Two years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Three years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Four years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Prior, charge-offs | 1,433 | 1,906 | 3,574 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 1,433 | 1,906 | 3,574 | |||
Multifamily | Pass | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 845 | |||
Fiscal year before current year | 830 | 830 | 1,229,198 | |||
Two years before current year | 1,211,752 | 1,211,752 | 371,016 | |||
Three years before current year | 314,788 | 314,788 | 127,493 | |||
Four years before current year | 126,126 | 126,126 | 43,046 | |||
Prior | 301,661 | 301,661 | 253,806 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 1,955,157 | 1,955,157 | 2,025,404 | |||
Multifamily | Special mention | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 6,803 | 6,803 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 6,468 | |||
Prior | 50,150 | 50,150 | 67,035 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 56,953 | 56,953 | 73,503 | |||
Multifamily | Substandard | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 55,222 | 55,222 | 39,715 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 55,222 | 55,222 | 39,715 | |||
Multifamily | Doubtful | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 0 | 0 | 0 | |||
Commercial real estate owner occupied loans: | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 805,779 | 805,779 | 797,319 | |||
Loans and leases receivable, charge-offs | 0 | 0 | 22 | 0 | ||
Commercial real estate owner occupied loans: | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 124,022 | 124,022 | 41,011 | |||
Fiscal year before current year | 37,228 | 37,228 | 254,878 | |||
Two years before current year | 189,153 | 189,153 | 195,721 | |||
Three years before current year | 218,013 | 218,013 | 77,821 | |||
Four years before current year | 51,981 | 51,981 | 80,420 | |||
Prior | 174,155 | 174,155 | 136,150 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 11,227 | 11,227 | 11,318 | |||
Loans and leases receivable | 805,779 | 805,779 | 797,319 | |||
Current year, charge-offs | 0 | 0 | 0 | |||
Fiscal year before current year, charge-offs | 0 | 0 | 0 | |||
Two years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Three years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Four years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Prior, charge-offs | 0 | 22 | 39 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 0 | 22 | 39 | |||
Commercial real estate owner occupied loans: | Pass | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 124,022 | 124,022 | 41,011 | |||
Fiscal year before current year | 34,284 | 34,284 | 254,878 | |||
Two years before current year | 188,450 | 188,450 | 180,289 | |||
Three years before current year | 202,658 | 202,658 | 77,821 | |||
Four years before current year | 51,981 | 51,981 | 44,382 | |||
Prior | 147,477 | 147,477 | 120,248 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 11,227 | 11,227 | 11,318 | |||
Loans and leases receivable | 760,099 | 760,099 | 729,947 | |||
Commercial real estate owner occupied loans: | Special mention | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 15,432 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 35,691 | |||
Prior | 10,985 | 10,985 | 47 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 10,985 | 10,985 | 51,170 | |||
Commercial real estate owner occupied loans: | Substandard | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 2,944 | 2,944 | 0 | |||
Two years before current year | 703 | 703 | 0 | |||
Three years before current year | 15,355 | 15,355 | 0 | |||
Four years before current year | 0 | 0 | 347 | |||
Prior | 15,693 | 15,693 | 15,855 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 34,695 | 34,695 | 16,202 | |||
Commercial real estate owner occupied loans: | Doubtful | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 0 | 0 | 0 | |||
Commercial real estate non-owner occupied | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 1,202,606 | 1,202,606 | 1,177,650 | |||
Loans and leases receivable, charge-offs | 0 | 288 | 0 | 4,527 | ||
Commercial real estate non-owner occupied | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 13,499 | 13,499 | 12,906 | |||
Fiscal year before current year | 16,740 | 16,740 | 336,791 | |||
Two years before current year | 386,624 | 386,624 | 109,521 | |||
Three years before current year | 102,647 | 102,647 | 172,929 | |||
Four years before current year | 182,528 | 182,528 | 96,699 | |||
Prior | 500,568 | 500,568 | 448,804 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 1,202,606 | 1,202,606 | 1,177,650 | |||
Current year, charge-offs | 0 | 0 | 0 | |||
Fiscal year before current year, charge-offs | 0 | 0 | 0 | |||
Two years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Three years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Four years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Prior, charge-offs | 0 | 0 | 4,527 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 0 | 0 | 4,527 | |||
Commercial real estate non-owner occupied | Pass | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 13,499 | 13,499 | 12,906 | |||
Fiscal year before current year | 16,740 | 16,740 | 325,881 | |||
Two years before current year | 381,262 | 381,262 | 109,521 | |||
Three years before current year | 102,647 | 102,647 | 152,227 | |||
Four years before current year | 161,374 | 161,374 | 88,586 | |||
Prior | 418,073 | 418,073 | 367,996 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 1,093,595 | 1,093,595 | 1,057,117 | |||
Commercial real estate non-owner occupied | Special mention | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 20,702 | |||
Four years before current year | 20,438 | 20,438 | 0 | |||
Prior | 5,994 | 5,994 | 9,148 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 26,432 | 26,432 | 29,850 | |||
Commercial real estate non-owner occupied | Substandard | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 10,910 | |||
Two years before current year | 5,362 | 5,362 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 716 | 716 | 8,113 | |||
Prior | 76,501 | 76,501 | 71,660 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 82,579 | 82,579 | 90,683 | |||
Commercial real estate non-owner occupied | Doubtful | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 0 | 0 | 0 | |||
Construction loans: | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 163,409 | 163,409 | 166,393 | |||
Loans and leases receivable, charge-offs | 0 | 0 | 0 | 0 | ||
Construction loans: | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 7,356 | 7,356 | 19,349 | |||
Fiscal year before current year | 24,226 | 24,226 | 138,797 | |||
Two years before current year | 127,317 | 127,317 | 2,567 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 4,510 | 4,510 | 4,580 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 1,100 | |||
Loans and leases receivable | 163,409 | 163,409 | 166,393 | |||
Current year, charge-offs | 0 | 0 | 0 | |||
Fiscal year before current year, charge-offs | 0 | 0 | 0 | |||
Two years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Three years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Four years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Prior, charge-offs | 0 | 0 | 0 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 0 | 0 | 0 | |||
Construction loans: | Pass | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 7,356 | 7,356 | 17,594 | |||
Fiscal year before current year | 17,883 | 17,883 | 138,797 | |||
Two years before current year | 127,317 | 127,317 | 2,567 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 4,510 | 4,510 | 4,580 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 1,100 | |||
Loans and leases receivable | 157,066 | 157,066 | 164,638 | |||
Construction loans: | Special mention | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 1,755 | |||
Fiscal year before current year | 6,343 | 6,343 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 6,343 | 6,343 | 1,755 | |||
Construction loans: | Substandard | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 0 | 0 | 0 | |||
Construction loans: | Doubtful | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 0 | 0 | 0 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 0 | 0 | 0 | |||
Consumer loans | Consumer | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 98,806 | 98,806 | 279,205 | |||
Fiscal year before current year | 201,507 | 201,507 | 485,442 | |||
Two years before current year | 422,793 | 422,793 | 292,989 | |||
Three years before current year | 247,864 | 247,864 | 57,587 | |||
Four years before current year | 44,694 | 44,694 | 56,581 | |||
Prior | 154,199 | 154,199 | 117,532 | |||
Revolving loans amortized cost basis | 104,213 | 104,213 | 108,695 | |||
Revolving loans converted to term | 10 | 10 | 0 | |||
Loans and leases receivable | 1,274,086 | 1,274,086 | 1,398,031 | |||
Current year, charge-offs | 810 | 1,882 | 7,728 | |||
Fiscal year before current year, charge-offs | 2,352 | 3,405 | 24,605 | |||
Two years before current fiscal year, charge-offs | 6,011 | 12,231 | 23,984 | |||
Three years before current fiscal year, charge-offs | 3,551 | 8,788 | 5,590 | |||
Four years before current fiscal year, charge-offs | 460 | 1,733 | 6,797 | |||
Prior, charge-offs | 759 | 2,840 | 1,307 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 13,943 | 30,879 | 70,011 | |||
Residential real estate | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 481,503 | 481,503 | 484,435 | |||
Loans and leases receivable, charge-offs | 0 | 27 | 19 | 27 | ||
Residential real estate | Consumer | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 15,138 | 15,138 | 22,613 | |||
Fiscal year before current year | 22,341 | 22,341 | 173,774 | |||
Two years before current year | 169,374 | 169,374 | 132,857 | |||
Three years before current year | 128,151 | 128,151 | 6,687 | |||
Four years before current year | 6,239 | 6,239 | 16,053 | |||
Prior | 87,181 | 87,181 | 75,426 | |||
Revolving loans amortized cost basis | 53,079 | 53,079 | 57,025 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 481,503 | 481,503 | 484,435 | |||
Current year, charge-offs | 0 | 0 | 0 | |||
Fiscal year before current year, charge-offs | 0 | 0 | 0 | |||
Two years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Three years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Four years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Prior, charge-offs | 0 | 19 | 69 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 0 | 19 | 69 | |||
Residential real estate | Consumer | Performing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 15,138 | 15,138 | 22,613 | |||
Fiscal year before current year | 22,341 | 22,341 | 173,424 | |||
Two years before current year | 168,161 | 168,161 | 131,621 | |||
Three years before current year | 126,398 | 126,398 | 6,458 | |||
Four years before current year | 6,015 | 6,015 | 15,508 | |||
Prior | 82,697 | 82,697 | 71,433 | |||
Revolving loans amortized cost basis | 53,075 | 53,075 | 56,844 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 473,825 | 473,825 | 477,901 | |||
Residential real estate | Consumer | Non-performing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 350 | |||
Two years before current year | 1,213 | 1,213 | 1,236 | |||
Three years before current year | 1,753 | 1,753 | 229 | |||
Four years before current year | 224 | 224 | 545 | |||
Prior | 4,484 | 4,484 | 3,993 | |||
Revolving loans amortized cost basis | 4 | 4 | 181 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 7,678 | 7,678 | 6,534 | |||
Manufactured housing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 35,901 | 35,901 | 38,670 | |||
Loans and leases receivable, charge-offs | 0 | 0 | 0 | 0 | ||
Manufactured housing | Consumer | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 98 | |||
Prior | 35,901 | 35,901 | 38,572 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 35,901 | 35,901 | 38,670 | |||
Current year, charge-offs | 0 | 0 | 0 | |||
Fiscal year before current year, charge-offs | 0 | 0 | 0 | |||
Two years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Three years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Four years before current fiscal year, charge-offs | 0 | 0 | 0 | |||
Prior, charge-offs | 0 | 0 | 0 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 0 | 0 | 0 | |||
Manufactured housing | Consumer | Performing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 98 | |||
Prior | 34,135 | 34,135 | 36,464 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 34,135 | 34,135 | 36,562 | |||
Manufactured housing | Consumer | Non-performing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 0 | 0 | 0 | |||
Fiscal year before current year | 0 | 0 | 0 | |||
Two years before current year | 0 | 0 | 0 | |||
Three years before current year | 0 | 0 | 0 | |||
Four years before current year | 0 | 0 | 0 | |||
Prior | 1,766 | 1,766 | 2,108 | |||
Revolving loans amortized cost basis | 0 | 0 | 0 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 1,766 | 1,766 | 2,108 | |||
Installment | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | 756,682 | 756,682 | 874,926 | |||
Loans and leases receivable, charge-offs | 13,943 | $ 16,384 | 30,860 | $ 33,099 | ||
Installment | Consumer | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 83,668 | 83,668 | 256,592 | |||
Fiscal year before current year | 179,166 | 179,166 | 311,668 | |||
Two years before current year | 253,419 | 253,419 | 160,132 | |||
Three years before current year | 119,713 | 119,713 | 50,900 | |||
Four years before current year | 38,455 | 38,455 | 40,430 | |||
Prior | 31,117 | 31,117 | 3,534 | |||
Revolving loans amortized cost basis | 51,134 | 51,134 | 51,670 | |||
Revolving loans converted to term | 10 | 10 | 0 | |||
Loans and leases receivable | 756,682 | 756,682 | 874,926 | |||
Current year, charge-offs | 810 | 1,882 | 7,728 | |||
Fiscal year before current year, charge-offs | 2,352 | 3,405 | 24,605 | |||
Two years before current fiscal year, charge-offs | 6,011 | 12,231 | 23,984 | |||
Three years before current fiscal year, charge-offs | 3,551 | 8,788 | 5,590 | |||
Four years before current fiscal year, charge-offs | 460 | 1,733 | 6,797 | |||
Prior, charge-offs | 759 | 2,821 | 1,238 | |||
Revolving loans amortized cost basis, charge-offs | 0 | 0 | 0 | |||
Revolving loans converted to term, charge-offs | 0 | 0 | 0 | |||
Loans and leases receivable, charge-offs | 13,943 | 30,860 | 69,942 | |||
Installment | Consumer | Performing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 83,651 | 83,651 | 253,958 | |||
Fiscal year before current year | 176,367 | 176,367 | 307,566 | |||
Two years before current year | 250,391 | 250,391 | 158,381 | |||
Three years before current year | 118,477 | 118,477 | 50,354 | |||
Four years before current year | 38,187 | 38,187 | 39,953 | |||
Prior | 30,805 | 30,805 | 3,448 | |||
Revolving loans amortized cost basis | 50,968 | 50,968 | 51,480 | |||
Revolving loans converted to term | 10 | 10 | 0 | |||
Loans and leases receivable | 748,856 | 748,856 | 865,140 | |||
Installment | Consumer | Non-performing | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Current year | 17 | 17 | 2,634 | |||
Fiscal year before current year | 2,799 | 2,799 | 4,102 | |||
Two years before current year | 3,028 | 3,028 | 1,751 | |||
Three years before current year | 1,236 | 1,236 | 546 | |||
Four years before current year | 268 | 268 | 477 | |||
Prior | 312 | 312 | 86 | |||
Revolving loans amortized cost basis | 166 | 166 | 190 | |||
Revolving loans converted to term | 0 | 0 | 0 | |||
Loans and leases receivable | 7,826 | 7,826 | 9,786 | |||
Specialized lending | Commercial | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Loans and leases receivable | $ 5,528,745 | $ 5,528,745 | $ 5,006,693 |
LOANS AND LEASES RECEIVABLE _10
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES - Schedule of Loan Purchases and Sales (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Purchases | $ 43,241 | $ 636,115 | $ 50,644 | $ 648,665 |
Sales | $ 23,708 | $ 523,436 | $ 23,708 | $ 523,436 |
Purchase price as a percentage of loans outstanding | 99.50% | 85.10% | 99.60% | 85.50% |
Gain (loss) on sale of consumer loans | $ 200 | $ (400) | $ 200 | $ (400) |
Loss on sale of capital call lines of credit | 0 | 5,037 | 0 | 5,037 |
Specialized lending | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Purchases | 0 | 631,252 | 0 | 631,252 |
Sales | 0 | 287,185 | 0 | 287,185 |
Capital calls lines of credit | 670,000 | 670,000 | ||
Specialized lending | Loans Held-for-Investment | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Capital calls lines of credit | 280,700 | 280,700 | ||
Specialized lending | Unfunded Loan Commitment | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Capital calls lines of credit | 389,300 | 389,300 | ||
Other commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Purchases | 0 | 4,863 | 7,403 | 10,308 |
Sales | 23,708 | 47,358 | 23,708 | 47,358 |
Commercial real estate owner occupied | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Purchases | 0 | 0 | 0 | 2,867 |
Sales | 0 | 18,851 | 0 | 18,851 |
Residential real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Purchases | 0 | 0 | 0 | 4,238 |
Personal | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Purchases | 43,241 | 0 | 43,241 | 0 |
Commercial real estate non-owner occupied | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Sales | 0 | 16,000 | 0 | 16,000 |
Other | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Sales | $ 0 | $ 154,042 | $ 0 | $ 154,042 |
LEASES - Lessee Narrative (Deta
LEASES - Lessee Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Lessee, Lease, Description [Line Items] | ||||
Lessee, operating lease, renewal term | 10 years | 10 years | ||
Operating cash flows from operating leases | $ 1.3 | $ 1.4 | $ 2.7 | $ 3.1 |
Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Lessee, operating lease, remaining lease term | 6 months | 6 months | ||
Lessee, operating lease, term | 1 year | 1 year | ||
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Lessee, operating lease, remaining lease term | 9 years | 9 years | ||
Lessee, operating lease, term | 10 years | 10 years |
LEASES - Right-of-Use Assets an
LEASES - Right-of-Use Assets and Lease Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
ASSETS | ||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other assets | Other assets |
Operating lease ROU assets | $ 17,317 | $ 15,644 |
LIABILITIES | ||
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other Liabilities | Other Liabilities |
Operating lease liabilities | $ 19,052 | $ 18,048 |
LEASES - Lease, Cost (Details)
LEASES - Lease, Cost (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Leases [Abstract] | ||||
Operating lease cost | $ 1,300,000 | $ 1,296,000 | $ 2,485,000 | $ 2,515,000 |
Variable lease cost | $ 0 | $ 0 | $ 0 | $ 0 |
LEASES - Maturities of Non-Canc
LEASES - Maturities of Non-Cancelable Lease Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Leases [Abstract] | ||
2024 | $ 2,885 | |
2025 | 4,863 | |
2026 | 3,673 | |
2027 | 3,174 | |
2028 | 2,714 | |
Thereafter | 3,762 | |
Total minimum payments | 21,071 | |
Less: interest | 2,019 | |
Present value of lease liabilities | $ 19,052 | $ 18,048 |
LEASES - Summary of Lease Term
LEASES - Summary of Lease Term and Discount Rate (Details) | Jun. 30, 2024 | Dec. 31, 2023 |
Leases [Abstract] | ||
Operating lease, weighted average remaining lease term (years) | 5 years 1 month 6 days | 5 years 7 months 6 days |
Operating lease, weighted average discount rate, percent | 3.67% | 3.28% |
LEASES - Lessor Narrative (Deta
LEASES - Lessor Narrative (Details) | Jun. 30, 2024 |
Minimum | |
Lessor, Lease, Description [Line Items] | |
Lessor, lease, term of contract (years) | 24 months |
Maximum | |
Lessor, Lease, Description [Line Items] | |
Lessor, lease, term of contract (years) | 120 months |
LEASES - Lessor, Lease Receivab
LEASES - Lessor, Lease Receivables and Investment in Operating Leases and their Corresponding Balance Sheet Location (Details) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Direct financing leases | ||
Lease receivables | $ 207,996 | $ 190,559 |
Guaranteed residual assets | 19,475 | 15,783 |
Unguaranteed residual assets | 10,335 | 10,010 |
Deferred initial direct costs | 1,374 | 1,213 |
Unearned income | (16,974) | (11,891) |
Net investment in direct financing leases | 222,206 | 205,674 |
Operating leases | ||
Investment in operating leases | 278,527 | 282,208 |
Accumulated depreciation | (81,417) | (77,672) |
Deferred initial direct costs | 1,038 | 1,192 |
Net investment in operating leases | 198,148 | 205,728 |
Total lease assets | $ 420,354 | $ 411,402 |
LEASES - Schedule of Operating
LEASES - Schedule of Operating Lease and Direct Financing Receivables (Details) $ in Thousands | Jun. 30, 2024 USD ($) |
Operating leases | |
2024 | $ 21,925 |
2025 | 39,817 |
2026 | 45,492 |
2027 | 32,308 |
2028 | 55,224 |
Thereafter | 30,125 |
Total minimum payments | 224,891 |
Direct financing leases | |
2024 | 27,880 |
2025 | 49,116 |
2026 | 41,915 |
2027 | 36,872 |
2028 | 27,313 |
Thereafter | 25,244 |
Total minimum payments | 208,340 |
Less: interest | 344 |
Present value of lease receivables | $ 207,996 |
DEPOSITS - Components of Deposi
DEPOSITS - Components of Deposits (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Deposits, by Component, Alternative [Abstract] | ||
Demand, non-interest bearing | $ 4,474,862 | $ 4,422,494 |
Demand, interest bearing | 5,894,056 | 5,580,527 |
Savings, including money market deposit accounts | 5,113,476 | 4,629,336 |
Time | 2,195,699 | 3,287,879 |
Total deposits | $ 17,678,093 | $ 17,920,236 |
DEPOSITS - Schedule of Time Dep
DEPOSITS - Schedule of Time Deposit Maturities (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Deposit [Abstract] | ||
2024 | $ 638,219 | |
2025 | 618,940 | |
2026 | 392,818 | |
2027 | 197,808 | |
2028 | 227,757 | |
Thereafter | 120,157 | |
Total time deposits | $ 2,195,699 | $ 3,287,879 |
DEPOSITS - Narrative (Detail)
DEPOSITS - Narrative (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Deposit Liability [Line Items] | ||
Time deposits greater than $250,000 | $ 501.2 | $ 186.3 |
Demand deposit overdrafts reclassified as loans | 1.2 | 1.2 |
State and municipal deposits | 1,300 | 1,100 |
Asset Pledged as Collateral | ||
Deposit Liability [Line Items] | ||
Available borrowing capacity through FHLB | $ 1,400 | $ 1,100 |
BORROWINGS - Short-term Borrowi
BORROWINGS - Short-term Borrowings (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Disclosure [Abstract] | ||
Total short-term debt | $ 0 | $ 0 |
BORROWINGS - Summary of Bancorp
BORROWINGS - Summary of Bancorp's Short-term Borrowings (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
FRB advances | ||
Short-term Debt [Line Items] | ||
Maximum outstanding at any month end | $ 0 | $ 0 |
Average balance during the period | $ 0 | $ 120,099 |
Weighted-average interest rate during the period | 0% | 5.23% |
FHLB advances | ||
Short-term Debt [Line Items] | ||
Maximum outstanding at any month end | $ 150,000 | $ 0 |
Average balance during the period | $ 17,308 | $ 87,407 |
Weighted-average interest rate during the period | 5.74% | 5.16% |
Federal funds purchased | ||
Short-term Debt [Line Items] | ||
Maximum outstanding at any month end | $ 0 | $ 0 |
Average balance during the period | $ 0 | $ 3,781 |
Weighted-average interest rate during the period | 0% | 4.97% |
BORROWINGS - Narrative (Detail)
BORROWINGS - Narrative (Detail) - USD ($) $ in Billions | Jun. 30, 2024 | Dec. 31, 2023 |
Federal funds purchased | ||
Debt Instrument [Line Items] | ||
Aggregate availability under federal funds line | $ 1.7 | $ 1.7 |
BORROWINGS - FHLB and FRB Advan
BORROWINGS - FHLB and FRB Advances (Details) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
FHLB advances | $ 1,025,000 | |
Amount | ||
2024 | 0 | |
2025 | 200,000 | |
2026 | 200,000 | |
2027 | 450,000 | |
2028 | 100,000 | |
Thereafter | 75,000 | |
FHLB advances | $ 1,025,000 | |
Rate | ||
2024 | 0 | |
2025 | 4.45% | |
2026 | 4.32% | |
2027 | 3.70% | |
2028 | 4.19% | |
Thereafter | 6.05% | |
Total maximum borrowing capacity with the FHLB | $ 3,345,182 | $ 3,474,347 |
Total maximum borrowing capacity with the FRB | 4,283,486 | 3,436,000 |
Qualifying loans and securities serving as collateral against FHLB and FRB advances | 12,215,920 | 11,889,120 |
Qualifying Assets Pledged as Collateral | ||
Rate | ||
Qualifying loans and securities serving as collateral against FHLB and FRB advances | 9,481,379 | 8,575,137 |
FHLB advances | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,018,349 | $ 1,203,207 |
FHLB advances, rate | 4.19% | 3.91% |
Unamortized basis adjustments from interest rate swaps designated as fair value hedges of long-term advances from FHLB | $ (6,700) | $ 3,200 |
FHLB Advance Due March 2028 | ||
Debt Instrument [Line Items] | ||
FHLB advances | 950,000 | |
Amount | ||
FHLB advances | 950,000 | |
FHLB Advance Due June 2029 | ||
Debt Instrument [Line Items] | ||
FHLB advances | 75,000 | |
Amount | ||
FHLB advances | $ 75,000 |
BORROWINGS - Long-term Debt (De
BORROWINGS - Long-term Debt (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2024 | Dec. 31, 2023 | |
Senior Notes | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 123,970,000 | $ 123,840,000 |
Senior Subordinated Notes | ||
Debt Instrument [Line Items] | ||
Carrying Amount | 182,370,000 | 182,230,000 |
Maturing August 2031 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 98,998,000 | 98,928,000 |
Rate | 2.875% | |
Issued Amount | $ 100,000,000 | |
Price | 100% | |
Spread on variable interest rate | 2.35% | |
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] | Secured Overnight Financing Rate (SOFR) [Member] | |
Maturing September 2024 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 24,972,000 | 24,912,000 |
Rate | 4.50% | |
Issued Amount | $ 25,000,000 | |
Price | 100% | |
Maturing December 2034 | Senior Subordinated Notes | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 72,857,000 | 72,766,000 |
Rate | 5.375% | |
Issued Amount | $ 74,750,000 | |
Price | 100% | |
Maturing June 2029 | Senior Subordinated Notes | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 109,513,000 | $ 109,464,000 |
Rate | 6.125% | |
Issued Amount | $ 110,000,000 | |
Price | 100% | |
Spread on variable interest rate | 3.443% |
SHAREHOLDERS_ EQUITY - Narrativ
SHAREHOLDERS’ EQUITY - Narrative (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 series shares | Jun. 30, 2024 USD ($) series shares | Jun. 30, 2023 USD ($) | Jun. 26, 2024 shares | Dec. 31, 2023 series | |
Equity [Abstract] | |||||
Stock repurchase program, number of shares authorized to be repurchased | 497,509 | ||||
Repurchase of common shares (in shares) | 0 | 1,379,883 | |||
Repurchase of common shares | $ | $ 39,800 | $ 39,806 | |||
Preferred stock, number of series outstanding | series | 2 | 2 | 2 |
SHAREHOLDERS_ EQUITY - Preferre
SHAREHOLDERS’ EQUITY - Preferred Stock and Dividends Paid Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Capital Unit [Line Items] | |||||
Preferred stock, shares issued (shares) | 5,700,000 | 5,700,000 | 5,700,000 | ||
Preferred stock, value | $ 137,794 | $ 137,794 | $ 137,794 | ||
Series E Preferred Stock | |||||
Capital Unit [Line Items] | |||||
Preferred stock, shares issued (shares) | 2,300,000 | 2,300,000 | 2,300,000 | ||
Preferred stock, value | $ 55,593 | $ 55,593 | $ 55,593 | ||
Initial Fixed Rate | 6.45% | ||||
Floating rate of Three-Month SOFR Plus | 5.14% | ||||
Preferred stock, dividends, per share, cash paid (usd per share) | $ 0.700488 | $ 0.639291 | $ 1.382118 | $ 1.258604 | |
Series F Preferred Stock | |||||
Capital Unit [Line Items] | |||||
Preferred stock, shares issued (shares) | 3,400,000 | 3,400,000 | 3,400,000 | ||
Preferred stock, value | $ 82,201 | $ 82,201 | $ 82,201 | ||
Initial Fixed Rate | 6% | ||||
Floating rate of Three-Month SOFR Plus | 4.762% | ||||
Preferred stock, dividends, per share, cash paid (usd per share) | $ 0.675813 | $ 0.615141 | $ 1.333556 | $ 1.210829 |
REGULATORY CAPITAL - Narrative
REGULATORY CAPITAL - Narrative (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2021 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital conservation buffer to risk weighted assets | 2.50% | |
Cumulative Effect, Period of Adoption, Adjustment | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Cumulative capital transition impact | $ 61.6 | |
Capital transition provisions, benefit recognized, excluding amount previously phased in | $ 15.4 |
REGULATORY CAPITAL - Summary of
REGULATORY CAPITAL - Summary of Capital Amounts, Tier 1 Risk Based and Tier 1 Leveraged Ratios (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity Tier 1 capital (to risk weighted assets), Actual Amount | $ 1,750,538 | $ 1,661,149 |
Tier 1 capital (to risk weighted assets), Actual Amount | 1,888,331 | 1,798,942 |
Total capital (to risk weighted assets), Actual Amount | 2,162,965 | 2,076,550 |
Tier 1 capital (to average assets), Actual Amount | $ 1,888,331 | $ 1,798,942 |
Common equity Tier 1 (to risk weighted assets), Actual Ratio | 12.786% | 12.23% |
Tier 1 capital (to risk weighted assets), Actual Ratio | 0.13793 | 0.13245 |
Total capital (to risk weighted assets), Actual Ratio | 0.15799 | 0.15289 |
Tier 1 capital (to average assets), Actual Ratio | 0.08916 | 0.08375 |
Common equity Tier 1 capital (to risk weighted assets), For Capital Adequacy Purposes Amount | $ 616,080 | $ 611,200 |
Tier 1 capital (to risk weighted assets), For Capital Adequacy Purposes Amount | 821,439 | 814,933 |
Total capital (to risk weighted assets), For Capital Adequacy Purposes Amount | 1,095,252 | 1,086,578 |
Tier 1 capital (to average assets), For Capital Adequacy Purposes Amount | $ 847,136 | $ 859,189 |
Common equity Tier 1 (to risk weighted assets), For Capital Adequacy Purposes Ratio | 4.50% | 4.50% |
Tier 1 capital (to risk weighted assets), For Capital Adequacy Purposes Ratio | 0.06000 | 0.06000 |
Total capital (to risk weighted assets), For Capital Adequacy Purposes Ratio | 0.08000 | 0.08000 |
Tier 1 capital (to average assets), For Capital Adequacy Purposes Ratio | 0.04000 | 0.04000 |
Common equity Tier 1 (to risk weighted assets), for Basel III amount | $ 958,346 | $ 950,755 |
Tier 1 (to risk weighted assets) Required for Basel III amount | 1,163,706 | 1,154,489 |
Total capital (to risk weighted assets), for Basel III amount | 1,437,519 | 1,426,133 |
Tier 1 (to risk average assets), for Basel III amount | $ 847,136 | $ 859,189 |
Common equity Tier 1 (to risk weighted assets), for Basel III ratio | 7% | 7% |
Tier 1 capital (to risk weighted assets), for Basel III ratio | 8.50% | 8.50% |
Total capital (to risk weighted assets), for Basel III ratio | 10.50% | 10.50% |
Tier 1 capital (to average assets), for Basel III ratio | 4% | 4% |
Customers Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity Tier 1 capital (to risk weighted assets), Actual Amount | $ 1,937,780 | $ 1,868,360 |
Tier 1 capital (to risk weighted assets), Actual Amount | 1,937,780 | 1,868,360 |
Total capital (to risk weighted assets), Actual Amount | 2,139,557 | 2,073,202 |
Tier 1 capital (to average assets), Actual Amount | $ 1,937,780 | $ 1,868,360 |
Common equity Tier 1 (to risk weighted assets), Actual Ratio | 14.169% | 13.773% |
Tier 1 capital (to risk weighted assets), Actual Ratio | 0.14169 | 0.13773 |
Total capital (to risk weighted assets), Actual Ratio | 0.15644 | 0.15283 |
Tier 1 capital (to average assets), Actual Ratio | 0.09160 | 0.08708 |
Common equity Tier 1 capital (to risk weighted assets), For Capital Adequacy Purposes Amount | $ 615,428 | $ 610,453 |
Tier 1 capital (to risk weighted assets), For Capital Adequacy Purposes Amount | 820,571 | 813,937 |
Total capital (to risk weighted assets), For Capital Adequacy Purposes Amount | 1,094,095 | 1,085,250 |
Tier 1 capital (to average assets), For Capital Adequacy Purposes Amount | $ 846,161 | $ 858,225 |
Common equity Tier 1 (to risk weighted assets), For Capital Adequacy Purposes Ratio | 4.50% | 4.50% |
Tier 1 capital (to risk weighted assets), For Capital Adequacy Purposes Ratio | 0.06000 | 0.06000 |
Total capital (to risk weighted assets), For Capital Adequacy Purposes Ratio | 0.08000 | 0.08000 |
Tier 1 capital (to average assets), For Capital Adequacy Purposes Ratio | 0.04000 | 0.04000 |
Common equity Tier 1 Capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 888,952 | $ 881,765 |
Tier 1 capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 1,094,095 | 1,085,250 |
Total capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | 1,367,619 | 1,356,562 |
Tier 1 capital (to average assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Amount | $ 1,057,701 | $ 1,072,782 |
Common equity Tier 1 (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 6.50% | 6.50% |
Tier 1 capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.08000 | 0.08000 |
Total capital (to risk weighted assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.10000 | 0.10000 |
Tier 1 capital (to average assets), To Be Well Capitalized Under Prompt Corrective Action Provisions Ratio | 0.05000 | 0.05000 |
Common equity Tier 1 (to risk weighted assets), for Basel III amount | $ 957,333 | $ 949,594 |
Tier 1 (to risk weighted assets) Required for Basel III amount | 1,162,476 | 1,153,078 |
Total capital (to risk weighted assets), for Basel III amount | 1,436,000 | 1,424,390 |
Tier 1 (to risk average assets), for Basel III amount | $ 846,161 | $ 858,225 |
Common equity Tier 1 (to risk weighted assets), for Basel III ratio | 7% | 7% |
Tier 1 capital (to risk weighted assets), for Basel III ratio | 8.50% | 8.50% |
Total capital (to risk weighted assets), for Basel III ratio | 10.50% | 10.50% |
Tier 1 capital (to average assets), for Basel III ratio | 4% | 4% |
DISCLOSURES ABOUT FAIR VALUE _3
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS - Narrative (Detail) | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Loans held for sale, number of days held prior to sale (up to) | 90 days |
Loans held for sale, average life from purchase to sale | 30 days |
DISCLOSURES ABOUT FAIR VALUE _4
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS - Estimated Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Assets: | ||
Cash and cash equivalents, Carrying Amount | $ 3,048,587 | $ 3,846,346 |
Cash and cash equivalents, Estimated Fair Value | 3,048,587 | 3,846,346 |
Debt securities, available for sale | 2,477,758 | 2,376,860 |
Debt securities, held to maturity | 962,799 | 1,103,170 |
Debt securities, held to maturity, fair value | 908,075 | 1,046,439 |
Loans held for sale | 375,724 | 340,317 |
Total loans and leases receivable, net of allowance for credit losses on loans and leases, Carrying Amount | 13,124,479 | 12,726,456 |
Total loans and leases receivable, net of allowance for credit losses on loans and leases, Estimated Fair Value | 12,817,379 | 12,513,386 |
FHLB, Federal Reserve Bank and other restricted stock, Carrying Amount | 92,276 | 109,548 |
FHLB, Federal Reserve Bank and other restricted stock, Estimated Fair Value | 92,276 | 109,548 |
Derivative assets | 20,292 | 17,931 |
Liabilities: | ||
Deposits, Carrying Amount | 17,678,093 | 17,920,236 |
Deposits, Estimated Fair Value | 17,672,062 | 17,922,005 |
FHLB advances, Carrying Amount | 1,018,349 | 1,203,207 |
FHLB advances, Estimated Fair Value | 993,579 | 1,188,517 |
Other borrowings, Carrying Amount | 123,970 | 123,840 |
Other borrowings, Estimated Fair Value | 102,945 | 103,674 |
Subordinated debt, Carrying Amount | 182,370 | 182,230 |
Subordinated debt, Estimated Fair Value | 161,420 | 164,233 |
Derivative liabilities | 29,108 | 27,110 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Cash and cash equivalents, Estimated Fair Value | 3,048,587 | 3,846,346 |
Debt securities, available for sale | 0 | 0 |
Debt securities, held to maturity, fair value | 0 | 0 |
Loans held for sale | 0 | 0 |
Total loans and leases receivable, net of allowance for credit losses on loans and leases, Estimated Fair Value | 0 | 0 |
FHLB, Federal Reserve Bank and other restricted stock, Estimated Fair Value | 0 | 0 |
Derivative assets | 0 | 0 |
Liabilities: | ||
Deposits, Estimated Fair Value | 15,482,394 | 14,632,357 |
FHLB advances, Estimated Fair Value | 0 | 0 |
Other borrowings, Estimated Fair Value | 0 | 0 |
Subordinated debt, Estimated Fair Value | 0 | 0 |
Derivative liabilities | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Cash and cash equivalents, Estimated Fair Value | 0 | 0 |
Debt securities, available for sale | 2,455,896 | 2,341,911 |
Debt securities, held to maturity, fair value | 462,372 | 472,311 |
Loans held for sale | 2,684 | 1,215 |
Total loans and leases receivable, net of allowance for credit losses on loans and leases, Estimated Fair Value | 1,002,711 | 897,912 |
FHLB, Federal Reserve Bank and other restricted stock, Estimated Fair Value | 92,276 | 109,548 |
Derivative assets | 20,180 | 17,906 |
Liabilities: | ||
Deposits, Estimated Fair Value | 2,189,668 | 3,289,648 |
FHLB advances, Estimated Fair Value | 993,579 | 1,188,517 |
Other borrowings, Estimated Fair Value | 102,945 | 103,674 |
Subordinated debt, Estimated Fair Value | 161,420 | 164,233 |
Derivative liabilities | 29,108 | 27,110 |
Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Cash and cash equivalents, Estimated Fair Value | 0 | 0 |
Debt securities, available for sale | 21,862 | 34,949 |
Debt securities, held to maturity, fair value | 445,703 | 574,128 |
Loans held for sale | 373,040 | 339,102 |
Total loans and leases receivable, net of allowance for credit losses on loans and leases, Estimated Fair Value | 11,814,668 | 11,615,474 |
FHLB, Federal Reserve Bank and other restricted stock, Estimated Fair Value | 0 | 0 |
Derivative assets | 112 | 25 |
Liabilities: | ||
Deposits, Estimated Fair Value | 0 | 0 |
FHLB advances, Estimated Fair Value | 0 | 0 |
Other borrowings, Estimated Fair Value | 0 | 0 |
Subordinated debt, Estimated Fair Value | 0 | 0 |
Derivative liabilities | $ 0 | $ 0 |
DISCLOSURES ABOUT FAIR VALUE _5
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS - Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Assets | ||
Fair Value | $ 2,477,758 | $ 2,376,860 |
Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 3,750,887 | 3,481,980 |
Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 18,051 | 2,373 |
Asset-backed securities | ||
Assets | ||
Fair Value | 47,112 | 92,629 |
Asset-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 47,112 | 92,629 |
Agency-guaranteed residential mortgage-backed securities | ||
Assets | ||
Fair Value | 199,487 | |
Agency-guaranteed residential mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 199,487 | |
Agency-guaranteed residential collateralized mortgage obligations | ||
Assets | ||
Fair Value | 169,512 | 116,908 |
Agency-guaranteed residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 169,512 | 116,908 |
Agency-guaranteed commercial collateralized mortgage obligations | ||
Assets | ||
Fair Value | 81,818 | |
Agency-guaranteed commercial collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 81,818 | |
Collateralized loan obligations | ||
Assets | ||
Fair Value | 406,033 | 489,092 |
Collateralized loan obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 406,033 | 489,092 |
Commercial mortgage-backed securities | ||
Assets | ||
Fair Value | 99,022 | 121,636 |
Commercial mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 99,022 | 121,636 |
Corporate notes | ||
Assets | ||
Fair Value | 587,745 | 583,034 |
Corporate notes | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 587,745 | 583,034 |
Private label collateralized mortgage obligations | ||
Assets | ||
Fair Value | 887,029 | 973,561 |
Private label collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 887,029 | 973,561 |
Derivatives | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 20,292 | 17,931 |
Loans held for sale – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 250,126 | 189,277 |
Loans receivable, mortgage finance – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 1,002,711 | 897,912 |
Derivatives | Fair Value, Measurements, Recurring | ||
Liabilities | ||
Financial liabilities, fair value | 29,108 | 27,110 |
Collateral-dependent loans | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 18,051 | 2,373 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency-guaranteed residential mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency-guaranteed residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency-guaranteed commercial collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized loan obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate notes | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Private label collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans held for sale – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans receivable, mortgage finance – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives | Fair Value, Measurements, Recurring | ||
Liabilities | ||
Financial liabilities, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateral-dependent loans | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Assets | ||
Fair Value | 2,455,896 | 2,341,911 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 3,481,471 | 3,258,944 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Asset-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 25,250 | 57,680 |
Significant Other Observable Inputs (Level 2) | Agency-guaranteed residential mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 199,487 | |
Significant Other Observable Inputs (Level 2) | Agency-guaranteed residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 169,512 | 116,908 |
Significant Other Observable Inputs (Level 2) | Agency-guaranteed commercial collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 81,818 | |
Significant Other Observable Inputs (Level 2) | Collateralized loan obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 406,033 | 489,092 |
Significant Other Observable Inputs (Level 2) | Commercial mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 99,022 | 121,636 |
Significant Other Observable Inputs (Level 2) | Corporate notes | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 587,745 | 583,034 |
Significant Other Observable Inputs (Level 2) | Private label collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 887,029 | 973,561 |
Significant Other Observable Inputs (Level 2) | Derivatives | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 20,180 | 17,906 |
Significant Other Observable Inputs (Level 2) | Loans held for sale – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 2,684 | 1,215 |
Significant Other Observable Inputs (Level 2) | Loans receivable, mortgage finance – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 1,002,711 | 897,912 |
Significant Other Observable Inputs (Level 2) | Derivatives | Fair Value, Measurements, Recurring | ||
Liabilities | ||
Financial liabilities, fair value | 29,108 | 27,110 |
Significant Other Observable Inputs (Level 2) | Collateral-dependent loans | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Fair Value | 21,862 | 34,949 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 269,416 | 223,036 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | 18,051 | 2,373 |
Significant Unobservable Inputs (Level 3) | Asset-backed securities | ||
Assets | ||
Fair Value | 21,862 | 34,949 |
Significant Unobservable Inputs (Level 3) | Asset-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 21,862 | 34,949 |
Significant Unobservable Inputs (Level 3) | Agency-guaranteed residential mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | |
Significant Unobservable Inputs (Level 3) | Agency-guaranteed residential collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Agency-guaranteed commercial collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | |
Significant Unobservable Inputs (Level 3) | Collateralized loan obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Commercial mortgage-backed securities | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Corporate notes | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Private label collateralized mortgage obligations | Fair Value, Measurements, Recurring | ||
Assets | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Derivatives | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 112 | 25 |
Significant Unobservable Inputs (Level 3) | Loans held for sale – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 247,442 | 188,062 |
Significant Unobservable Inputs (Level 3) | Loans receivable, mortgage finance – fair value option | Fair Value, Measurements, Recurring | ||
Assets | ||
Assets, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Derivatives | Fair Value, Measurements, Recurring | ||
Liabilities | ||
Financial liabilities, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Collateral-dependent loans | Fair Value, Measurements, Nonrecurring | ||
Assets | ||
Assets, fair value | $ 18,051 | $ 2,373 |
DISCLOSURES ABOUT FAIR VALUE _6
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS - Statement of Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Detail) - Significant Unobservable Inputs (Level 3) - Asset-backed securities - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Asset-backed securities | ||||
Balance at beginning of period | $ 28,263 | $ 63,376 | $ 34,949 | $ 73,266 |
Principal payments and premium amortization | (6,834) | (10,444) | (13,948) | (21,660) |
Increase in allowance for credit losses | 0 | (773) | 0 | (1,046) |
Decrease in allowance for credit losses | 83 | 0 | 116 | 61 |
Change in fair value recognized in OCI | 350 | (334) | 745 | 1,204 |
Balance at end of period | $ 21,862 | $ 51,825 | $ 21,862 | $ 51,825 |
DISCLOSURES ABOUT FAIR VALUE _7
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS - Statement of Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) - Significant Unobservable Inputs (Level 3) - Fair Value, Measurements, Recurring - Other Installment Loans - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Other Installment Loans | ||||
Balance at beginning of period | $ 219,015 | $ 0 | $ 188,062 | $ 0 |
Originations | 245,025 | 0 | 480,456 | 0 |
Sales | (160,015) | 0 | (318,230) | 0 |
Principal payments | (56,583) | 0 | (102,846) | 0 |
Change in fair value recognized in earnings | 0 | 0 | 0 | 0 |
Balance at end of period | $ 247,442 | $ 0 | $ 247,442 | $ 0 |
DISCLOSURES ABOUT FAIR VALUE _8
DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS - Summary of Financial Assets and Financial Liabilities Measured at Fair Value on Recurring and Nonrecurring Basis (Detail) $ in Thousands | Jun. 30, 2024 USD ($) | Dec. 31, 2023 USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 2,477,758 | $ 2,376,860 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 21,862 | 34,949 |
Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 47,112 | 92,629 |
Asset-backed securities | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 21,862 | $ 34,949 |
Minimum | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Discount rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.10 | 0.12 |
Minimum | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Annualized loss rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.03 | 0.03 |
Minimum | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Constant prepayment rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.08 | 0.11 |
Maximum | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Discount rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.13 | 0.14 |
Maximum | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Annualized loss rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.17 | 0.13 |
Maximum | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Constant prepayment rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.31 | 0.30 |
Weighted Average | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Discount rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.12 | 0.13 |
Weighted Average | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Annualized loss rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.06 | 0.05 |
Weighted Average | Asset-backed securities | Significant Unobservable Inputs (Level 3) | Constant prepayment rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, available-for-sale, measurement input | 0.26 | 0.26 |
DERIVATIVE INSTRUMENTS AND HE_3
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 USD ($) derivative | Jun. 30, 2024 USD ($) derivative | Jun. 30, 2023 USD ($) derivative | Dec. 31, 2023 USD ($) derivative | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, net liability position, aggregate fair value | $ 19,400 | $ 19,400 | ||
Cash collateral received | 22,700 | 22,700 | ||
Interest rate derivatives | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash collateral received | $ 19,365 | $ 19,365 | $ 16,939 | |
Interest rate derivatives | Derivative Designated as Hedging Instrument | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Number of outstanding interest rate derivatives | derivative | 31 | 31 | 6 | |
Aggregate notional amount | $ 1,900,000 | $ 1,900,000 | $ 472,500 | |
Number of interest rate derivatives entered into during the period | derivative | 25 | 25 | 5 | |
Notional amount of derivatives entered into during the period | $ 1,400,000 | $ 1,400,000 | $ 1,000,000 | |
Number of interest rate derivatives terminated | derivative | 2 | |||
Aggregate notional amount, terminated | $ 550,000 | |||
Notional amount of basis adjustments | $ 4,600 | |||
Interest rate swaps | Not Designated as Hedging Instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Aggregate notional amount | $ 1,100,000 | $ 1,100,000 | $ 1,200,000 | |
Number of derivative instruments held | derivative | 126 | 126 | 132 | |
Interest rate caps | Not Designated as Hedging Instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Aggregate notional amount | $ 55,600 | $ 55,600 | $ 55,600 | |
Number of derivative instruments held | derivative | 2 | 2 | 2 |
DERIVATIVE INSTRUMENTS AND HE_4
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Cumulative Basis Adjustment for Fair Value Hedges (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
AFS debt securities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Amortized Cost | $ 22,500 | $ 22,500 |
Cumulative Amount of Fair Value Hedging Adjustment to Hedged Items | 508 | 941 |
Deposits | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Amortized Cost | 1,183,063 | 300,000 |
Cumulative Amount of Fair Value Hedging Adjustment to Hedged Items | (939) | 1,432 |
FHLB advances | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Amortized Cost | 1,200,000 | 700,000 |
Cumulative Amount of Fair Value Hedging Adjustment to Hedged Items | $ (6,651) | $ 3,206 |
DERIVATIVE INSTRUMENTS AND HE_5
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Fair Value of Derivative Financial Instruments (Detail) - Not Designated as Hedging Instrument - Interest rate swaps and caps - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Other Assets | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Assets | $ 20,180 | $ 17,903 |
Other Liabilities | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative Liabilities | $ 29,105 | $ 27,097 |
DERIVATIVE INSTRUMENTS AND HE_6
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Effect of Derivative Financial Instruments on Net Income and Comprehensive Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Derivative Designated as Hedging Instrument | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Income (Loss) Recognized in Earnings | $ 0 | $ 0 | $ 0 | $ 0 |
Derivative Designated as Hedging Instrument | Interest rate swaps | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Income (Loss) Recognized in Earnings | 3,563 | 6,532 | 11,736 | 6,832 |
Derivative Designated as Hedging Instrument | AFS debt securities | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Income (Loss) Recognized in Earnings | (256) | 50 | (433) | (250) |
Derivative Designated as Hedging Instrument | Deposits | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Income (Loss) Recognized in Earnings | (1,686) | 0 | (1,686) | 0 |
Derivative Designated as Hedging Instrument | FHLB advances | Fair Value Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Income (Loss) Recognized in Earnings | (1,621) | (6,582) | (9,617) | (6,582) |
Not Designated as Hedging Instrument | Interest rate swaps and caps | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Income (Loss) Recognized in Earnings | $ 63 | $ 165 | $ 735 | $ 140 |
DERIVATIVE INSTRUMENTS AND HE_7
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Summary of Offsetting of Financial Assets and Derivative Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Offsetting Assets [Line Items] | ||
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received/Posted | $ (22,700) | |
Interest rate derivatives | ||
Offsetting Assets [Line Items] | ||
Gross Amounts Recognized on the Consolidated Balance Sheet | 19,876 | $ 17,439 |
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments | (511) | (500) |
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received/Posted | (19,365) | (16,939) |
Gross Amounts Not Offset in the Consolidated Balance Sheet, Net Amount | $ 0 | $ 0 |
DERIVATIVE INSTRUMENTS AND HE_8
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES - Summary of Offsetting of Financial Liabilities and Derivative Liabilities (Detail) - Interest rate derivatives - USD ($) $ in Thousands | Jun. 30, 2024 | Dec. 31, 2023 |
Offsetting Liabilities [Line Items] | ||
Gross Amounts Recognized on the Consolidated Balance Sheet | $ 511 | $ 500 |
Gross Amounts Not Offset in the Consolidated Balance Sheet, Financial Instruments | (511) | (500) |
Gross Amounts Not Offset in the Consolidated Balance Sheet, Cash Collateral Received/Posted | 0 | 0 |
Gross Amounts Not Offset in the Consolidated Balance Sheet, Net Amount | $ 0 | $ 0 |