Cover
Cover - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 08, 2024 | Jun. 30, 2023 | |
Class of Stock [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-35750 | ||
Entity Registrant Name | First Internet Bancorp | ||
Entity Incorporation, State or Country Code | IN | ||
Entity Tax Identification Number | 20-3489991 | ||
Entity Address, Address Line One | 8701 E. 116th Street | ||
Entity Address, City or Town | Fishers | ||
Entity Address, State or Province | IN | ||
Entity Address, Postal Zip Code | 46038 | ||
City Area Code | 317 | ||
Local Phone Number | 532-7900 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 284.3 | ||
ICFR Auditor Attestation Flag | true | ||
Entity Common Stock, Shares Outstanding | 8,655,854 | ||
Document Fiscal Period Focus (Q1,Q2,Q3,FY) | FY | ||
Document Fiscal Year Focus | 2023 | ||
Amendment Flag | false | ||
Entity Central Index Key | 0001562463 | ||
Documents Incorporated by Reference | Documents Incorporated By Reference Portions of our definitive proxy statement for our 2024 annual meeting of shareholders are incorporated by reference into Part III of this Annual Report on Form 10-K where indicated. | ||
Document Financial Statement Error Correction [Flag] | true | ||
Document Financial Statement Restatement Recovery Analysis [Flag] | false | ||
Common Stock | |||
Class of Stock [Line Items] | |||
Title of 12(b) Security | Common stock, without par value | ||
Trading Symbol | INBK | ||
Security Exchange Name | NASDAQ | ||
6.0% Fixed to Floating Subordinated Notes due 2029 | |||
Class of Stock [Line Items] | |||
Title of 12(b) Security | 6.0% Fixed to Floating Subordinated Notes due 2029 | ||
Trading Symbol | INBKZ | ||
Security Exchange Name | NASDAQ |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Name | FORVIS, LLP |
Auditor Location | Indianapolis, Indiana |
Auditor Firm ID | 686 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and due from banks | $ 8,269 | $ 17,426 |
Interest-bearing demand deposits | 397,629 | 239,126 |
Total cash and cash equivalents | 405,898 | 256,552 |
Securities available-for-sale - at fair value (amortized cost of $513,315 in 2023 and $436,183 in 2022) | 474,855 | 390,384 |
Net Carrying Value | 227,153 | 189,168 |
Loans held-for-sale (includes $9,110 at fair value in 2022) | 22,052 | 21,511 |
Total | 3,840,220 | 3,499,401 |
Allowance for credit losses - loans | (38,774) | (31,737) |
Net loans | 3,801,446 | 3,467,664 |
Accrued interest receivable | 26,746 | 21,069 |
Federal Home Loan Bank of Indianapolis stock | 28,350 | 28,350 |
Cash surrender value of bank-owned life insurance | 40,882 | 39,859 |
Premises and equipment, net | 73,463 | 72,711 |
Goodwill | 4,687 | 4,687 |
Servicing asset, at fair value | 10,567 | 6,255 |
Other real estate owned | 375 | 0 |
Accrued income and other assets | 51,098 | 44,894 |
Total assets | 5,167,572 | 4,543,104 |
Liabilities | ||
Noninterest-bearing deposits | 123,464 | 175,315 |
Interest-bearing deposits | 3,943,509 | 3,265,930 |
Total deposits | 4,066,973 | 3,441,245 |
Advances from Federal Home Loan Bank | 614,934 | 614,928 |
Subordinated debt, net of unamortized discounts and debt issuance costs of $2,162 in 2023 and $2,468 in 2022 | 104,838 | 104,532 |
Accrued interest payable | 3,848 | 2,913 |
Accrued expenses and other liabilities | 14,184 | 14,512 |
Total liabilities | 4,804,777 | 4,178,130 |
Commitments and Contingencies | ||
Shareholders’ equity | ||
Preferred stock, no par value; 4,913,779 shares authorized; issued and outstanding - none | 0 | 0 |
Retained earnings | 207,470 | 205,675 |
Accumulated other comprehensive loss | (29,375) | (33,636) |
Total shareholders’ equity | 362,795 | 364,974 |
Total liabilities and shareholders’ equity | 5,167,572 | 4,543,104 |
Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Securities available-for-sale - at fair value (amortized cost of $513,315 in 2023 and $436,183 in 2022) | 0 | 0 |
Servicing asset, at fair value | 10,567 | 6,255 |
Significant Unobservable Inputs (Level 3) | Servicing asset | ||
Assets | ||
Servicing asset, at fair value | 10,567 | 6,255 |
Voting Common Stock | ||
Shareholders’ equity | ||
Voting and nonvoting common stock | 184,700 | 192,935 |
Nonvoting Common Stock | ||
Shareholders’ equity | ||
Voting and nonvoting common stock | $ 0 | $ 0 |
Consolidated Balance Sheets _Pa
Consolidated Balance Sheets [Parenthetical] - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Amortized cost, at fair value | $ 513,315 | $ 436,183 |
Held-to-maturity securities, fair value | 207,572 | 168,483 |
Loans held-for-sale, Fair Value | 9,110 | 9,110 |
Unamortized discounts and debt issuance costs | $ 2,162 | $ 2,468 |
Preferred Stock, Par or Stated Value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 4,913,779 | 4,913,779 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Voting Common Stock | ||
Common Stock, Par or Stated Value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 45,000,000 | 45,000,000 |
Common stock, shares issued (in shares) | 8,644,451 | 9,065,883 |
Common stock, shares outstanding (in shares) | 8,644,451 | 9,065,883 |
Nonvoting Common Stock | ||
Common Stock, Par or Stated Value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 86,221 | 86,221 |
Common stock, shares issued (in shares) | 0 | 0 |
Common stock, shares outstanding (in shares) | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Interest income | |||
Loans | $ 192,337 | $ 140,600 | $ 123,467 |
Securities – taxable | 17,189 | 10,711 | 7,970 |
Securities – non-taxable | 3,532 | 1,767 | 1,017 |
Other earning assets | 26,384 | 3,830 | 1,429 |
Total interest income | 239,442 | 156,908 | 133,883 |
Interest expense | |||
Deposits | 143,363 | 41,832 | 29,822 |
Other borrowed funds | 21,175 | 17,983 | 17,505 |
Total interest expense | 164,538 | 59,815 | 47,327 |
Net interest income | 74,904 | 97,093 | 86,556 |
Provision for credit losses - loans | 15,454 | 4,977 | 1,030 |
Benefit for credit losses - debt securities held-to-maturity | (42) | 0 | 0 |
Provision for credit losses - off-balance sheet commitments | 1,241 | 0 | 0 |
Net interest income after provision for credit losses | 58,251 | 92,116 | 85,526 |
Noninterest income | |||
Gain on sale of loans | 20,526 | 11,372 | 11,598 |
Gain on sale of premises and equipment | 0 | 0 | 2,523 |
Other | 2,302 | 2,416 | 1,694 |
Total noninterest income | 26,125 | 21,257 | 32,844 |
Noninterest expense | |||
Salaries and employee benefits | 45,322 | 41,553 | 38,223 |
Marketing, advertising and promotion | 2,567 | 3,554 | 3,261 |
Consulting and professional fees | 3,082 | 4,826 | 4,054 |
Data processing | 2,373 | 1,989 | 1,649 |
Loan expenses | 5,756 | 4,435 | 2,112 |
Premises and equipment | 10,599 | 10,688 | 7,063 |
Deposit insurance premium | 3,880 | 1,152 | 1,213 |
Other | 5,857 | 5,076 | 4,223 |
Total noninterest expense | 79,436 | 73,273 | 61,798 |
Income before income taxes | 4,940 | 40,100 | 56,572 |
Income tax (benefit) provision | (3,477) | 4,559 | 8,458 |
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Income Per Share of Common Stock (in dollars per share) | |||
Basic (in dollars per share) | $ 0.95 | $ 3.73 | $ 4.85 |
Diluted (in dollars per share) | $ 0.95 | $ 3.70 | $ 4.82 |
Weighted-average number of common shares outstanding | |||
Basic (shares) | 8,837,558 | 9,530,921 | 9,918,083 |
Diluted (shares) | 8,858,890 | 9,595,115 | 9,976,261 |
Dividends Declared Per Share (in dollars per share) | $ 0.24 | $ 0.24 | $ 0.24 |
Service charges and fees | |||
Noninterest income | |||
Noninterest income | $ 851 | $ 1,071 | $ 1,114 |
Loan servicing revenue | |||
Noninterest income | |||
Noninterest income | 3,833 | 2,573 | 1,934 |
Mortgage banking activities | |||
Noninterest income | |||
Noninterest income | 76 | 5,464 | 15,050 |
Loan Servicing Asset Revaluation | |||
Noninterest income | |||
Noninterest income | $ (1,463) | $ (1,639) | $ (1,069) |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Other comprehensive income (loss) | |||
Net unrealized holding gains (losses) on securities available-for-sale recorded within other comprehensive income before income tax | 7,339 | (42,336) | (4,087) |
Other Comprehensive Income (Loss), Tax on Available-for-Sale Securities | 1,682 | (9,060) | (1,064) |
Other Comprehensive Income (Loss), Net of Tax on Available-for-Sale Securities | 5,657 | (33,276) | (3,023) |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, Tax | 0 | (5,402) | 0 |
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 778 | 844 | 0 |
Other Comprehensive Income (Loss), Tax on Held-to-Maturity Securities | 198 | (1,039) | 0 |
OCI, Debt Securities, Held-to-Maturity, Gain (Loss), after Adjustment and Tax | 580 | (3,519) | 0 |
Net unrealized holding (losses) gains on cash flow hedging derivatives recorded within other comprehensive income before income tax | (2,566) | 19,091 | 11,138 |
Other Comprehensive Income (Loss), Tax on Cash Flow Hedges | (590) | 4,893 | 1,958 |
OCI, Debt Securities, Cash Flow Hedge, Gain (Loss), after Adjustment and Tax | (1,976) | 14,198 | 9,180 |
Total other comprehensive income (loss) | 4,261 | (22,597) | 6,157 |
Comprehensive income | $ 12,678 | $ 12,944 | $ 54,271 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Voting and Nonvoting Common Stock | Common Stock Voting and Nonvoting Common Stock | Retained Earnings | Retained Earnings Cumulative Effect, Period of Adoption, Adjustment | Accumulated Other Comprehensive Loss |
Balance at Dec. 31, 2020 | $ 330,944 | $ 221,408 | $ 126,732 | $ (17,196) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 48,114 | 48,114 | |||||
Other comprehensive income (loss) | 6,157 | 6,157 | |||||
Cash dividends declared | (2,415) | (2,415) | |||||
Repurchased shares of common stock (502,525) | (4,436) | (4,436) | |||||
Recognition of the fair value of share-based compensation | 2,393 | 2,393 | |||||
Deferred stock rights and restricted stock units issued in lieu of cash dividends payable on outstanding deferred stock rights and restricted stock units | 21 | 21 | |||||
Common stock redeemed for the net settlement of share-based awards | (440) | (440) | |||||
Balance at Dec. 31, 2021 | 380,338 | 218,946 | 172,431 | (11,039) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 35,541 | 35,541 | |||||
Other comprehensive income (loss) | (22,597) | (22,597) | |||||
Cash dividends declared | (2,297) | (2,297) | |||||
Repurchased shares of common stock (502,525) | (27,780) | (27,780) | |||||
Recognition of the fair value of share-based compensation | 2,035 | 2,035 | |||||
Deferred stock rights and restricted stock units issued in lieu of cash dividends payable on outstanding deferred stock rights and restricted stock units | 21 | 21 | |||||
Common stock redeemed for the net settlement of share-based awards | (287) | (287) | |||||
Balance at Dec. 31, 2022 | 364,974 | $ (4,491) | 192,935 | 205,675 | $ (4,491) | (33,636) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Retained earnings | 205,675 | ||||||
Net income | 8,417 | 8,417 | |||||
Other comprehensive income (loss) | 4,261 | 4,261 | |||||
Cash dividends declared | (2,131) | (2,131) | |||||
Repurchased shares of common stock (502,525) | (9,248) | (9,248) | |||||
Excise Tax, Repurchased, Common Stock | (92) | $ (92) | |||||
Recognition of the fair value of share-based compensation | 1,258 | 1,258 | |||||
Deferred stock rights and restricted stock units issued in lieu of cash dividends payable on outstanding deferred stock rights and restricted stock units | 9 | 9 | |||||
Common stock redeemed for the net settlement of share-based awards | (162) | (162) | |||||
Balance at Dec. 31, 2023 | 362,795 | $ 184,700 | $ 207,470 | $ (29,375) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Retained earnings | $ 207,470 |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity [Parenthetical] - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash dividends declared (in dollars per share) | $ 0.24 | $ 0.24 | $ 0.24 |
Voting and Nonvoting Common Stock | Common Stock | |||
Repurchased shares of common stock (in shares) | 779,956 | 100,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating activities | |||
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 5,748 | 8,729 | 8,775 |
Increase in cash surrender value of bank-owned life insurance | (1,023) | (959) | (948) |
Provision for credit losses | 16,653 | 4,977 | 1,030 |
Share-based compensation expense | 1,258 | 2,035 | 2,393 |
Loans originated for sale | (328,146) | (518,870) | (814,671) |
Proceeds from sale of loans originated for sale | 342,684 | 558,817 | 832,089 |
Gain on sale of loans | (20,997) | (17,473) | (29,401) |
Decrease in fair value of loans held-for-sale | 143 | 184 | 718 |
(Gain) loss on derivatives | (384) | (2,569) | 1,513 |
Settlement of derivatives | 0 | 0 | (1,859) |
Gain on sale of premises and equipment | 0 | 0 | (2,523) |
Net change in servicing asset | 1,463 | 1,639 | 1,069 |
Net deferred income tax | (4,353) | 4,632 | 2,434 |
Net change in other assets | (6,625) | 9,815 | 7,028 |
Net change in other liabilities | (3,158) | (3,775) | (921) |
Net cash provided by operating activities | 11,680 | 82,723 | 54,840 |
Investing activities | |||
Net loan activity, excluding sales and purchases | (67,851) | (214,761) | 316,002 |
Proceeds from sales of other real estate owned | 0 | 1,188 | 0 |
Net proceeds from sales of portfolio loans | 0 | 14,466 | 21,093 |
Maturities of securities available-for-sale | 53,142 | 80,223 | 166,260 |
Purchase of securities available-for-sale | (130,772) | (12,969) | (282,226) |
Maturities and calls of securities held-to-maturity | 19,104 | 7,902 | 8,525 |
Purchase of securities held-to-maturity | (53,573) | (41,246) | 0 |
Proceeds from Sale of Federal Home Loan Bank Stock | 0 | 431 | 0 |
Net proceeds from sale of premises and equipment | 0 | 0 | 8,116 |
Purchase of Federal Home Loan Bank of Indianapolis stock | 0 | (3,131) | 0 |
Purchase of premises and equipment | (5,367) | (17,517) | (29,892) |
Loans purchased | (284,722) | (412,109) | (168,438) |
Other investing activities | (4,464) | (3,510) | 4,434 |
Net cash (used in) provided by investing activities | (474,503) | (601,033) | 43,874 |
Financing activities | |||
Net change in deposits | 623,818 | 262,286 | (91,926) |
Cash dividends paid | (2,156) | (2,317) | (2,415) |
Net proceeds from issuance of subordinated debt | 0 | 0 | 58,658 |
Repayment of subordinated debt | 0 | 0 | (35,000) |
Repurchase of common stock | (9,340) | (27,780) | (4,436) |
Proceeds from advances from Federal Home Loan Bank | 475,000 | 615,000 | 440,000 |
Repayment of advances from Federal Home Loan Bank | (475,000) | (515,000) | (440,000) |
Other, net | (153) | (287) | (441) |
Net cash (used in) provided by financing activities | 612,169 | 331,902 | (75,560) |
Net increase (decrease) in cash and cash equivalents | 149,346 | (186,408) | 23,154 |
Cash and cash equivalents, beginning of year | 256,552 | 442,960 | 419,806 |
Cash and cash equivalents, end of year | 405,898 | 256,552 | 442,960 |
Supplemental disclosures of cash flows information | |||
Cash paid during the year for interest | 163,604 | 58,920 | 46,748 |
Cash paid during the year for taxes | 939 | 2,005 | 7,045 |
Loans transferred to other real estate owned | 375 | 0 | 1,188 |
Loans transferred to held-for-sale from portfolio | 0 | 14,049 | 20,145 |
Cash dividends declared, not paid | 519 | 544 | 585 |
Securities purchases settled in subsequent period | 2,632 | 2,997 | 0 |
Transfer of available-for-sale mortgage-backed securities to held-to-maturity mortgage-backed securities at fair value | $ 0 | $ 96,220 | $ 0 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies The accounting policies of First Internet Bancorp and its subsidiaries (the “Company”) conform to accounting principles generally accepted in the United States of America (“GAAP”). A summary of the Company’s significant accounting policies follows: Description of Business The Company was incorporated on September 15, 2005, and consummated a plan of exchange on March 21, 2006, by which the Company became a bank holding company and 100% owner of First Internet Bank of Indiana (the “Bank”). The Company elected to and became a financial holding company, effective as of September 1, 2022. The Bank offers a wide range of commercial, small business, consumer and municipal banking products and services. The Bank conducts its consumer and small business deposit operations primarily through digital channels on a nationwide basis and has no traditional branch offices. The Bank is subject to competition from other financial institutions. The Bank is regulated by certain state and federal agencies and undergoes periodic examinations by those regulatory authorities. The Bank has three wholly owned subsidiaries. JKH Realty Services, LLC was established on August 20, 2012 as a single member limited liability company wholly owned by the Bank to manage other real estate owned properties as needed. First Internet Public Finance Corp., a wholly-owned subsidiary of the Bank, was incorporated on March 6, 2017 and was established to provide municipal finance lending and leasing products to government entities and to purchase, manage, service, and safekeep municipal securities. SPF15, Inc., a wholly-owned subsidiary of the Bank, was incorporated on August 31, 2018 and was established to acquire and hold real estate. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The Company’s business activities are currently limited to one reporting unit and reportable segment, which is commercial banking. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The Company utilizes processes that involve the use of significant estimates and the judgment of management in determining the amount of the Company’s allowance for credit losses, income taxes, valuation and impairments of investment securities and goodwill, as well as fair value measurements of derivatives, loans held-for-sale and other real estate owned. Actual results could differ from those estimates. Securities The Company classifies its securities in one of three categories and accounts for the investments as follows: • Securities that the Company has the positive intent and ability to hold to maturity are classified as “held-to-maturity” and reported at amortized cost. • Securities that are acquired and held principally for the purpose of selling them in the near term with the objective of generating economic profits on short-term differences in market characteristics are classified as “trading securities” and reported at fair value, with unrealized gains and losses included in earnings. The Company had no securities classified as “trading securities” at December 31, 2023 or 2022. • Securities not classified as either “held-to-maturity” or “trading securities” are classified as “available-for-sale” and reported at fair value, with unrealized gains and losses, after applicable taxes, excluded from earnings and reported in a separate component of shareholders’ equity. Interest and dividend income, adjusted by amortization of premium or discount, is included in earnings using the effective interest rate method. Purchases and sales of securities are recorded in the consolidated balance sheets on the trade date. Gains and losses from the sale or disposal of securities are recognized as of the trade date in the consolidated statements of income for the period in which securities are sold or otherwise disposed of. Gains and losses on sales of securities are determined using the specific-identification method. Loans Held-for-Sale Loans originated and intended for sale in the secondary market under best-efforts pricing agreements are carried at the lower of cost or fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to noninterest income. Loans originated and intended for sale in the secondary market under mandatory pricing agreements are carried at fair value to facilitate hedging of the loans. Gains and losses resulting from changes in fair value are recognized in noninterest income. Gains and losses on loan sales are recorded in noninterest income, and direct loan origination costs and fees are deferred at origination of the loan and are recognized in noninterest income upon sale of the loan. Revenue Recognition The Company recognizes revenues as they are earned based on contractual terms, as transactions occur, or as services are provided and collectability is reasonably assured. The Company's principal source of revenue is interest income from loans and leases and investment securities. Interest income on loans is accrued as earned using the interest method based on unpaid principal balances except for interest on loans in nonaccrual status. Interest on loans in nonaccrual status is recorded as a reduction of loan principal when received. Premiums and discounts are amortized using the effective interest rate method. Loan fees, net of certain direct origination costs, primarily salaries and wages, are deferred and amortized to interest income as a yield adjustment over the life of the loan. The Company also earns noninterest income through a variety of financial and transaction services provided to commercial and consumer clients such as deposit account, debit card, mortgage banking, portfolio loan sales and sales of the government-guaranteed portion of U.S. Small Business Administration loans. Revenue is recorded for noninterest income based on the contractual terms for the service or transaction performed. In certain circumstances, noninterest income is reported net of associated expenses. Loans Loans that management intends to hold until maturity are reported at their outstanding principal balance adjusted for unearned income, charge-offs, the allowance for credit losses (“ACL”), any unamortized deferred fees or costs on originated loans, unamortized premiums or discounts on purchased loans and any carrying value adjustments related to terminated interest rate swaps associated with loans. For loans recorded at cost, interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, as well as premiums and discounts, are recorded in accordance with our revenue recognition policy. Adoption of new accounting standards ASU 2016 - 13 On January 1, 2023, the Company adopted ASU 2016-03 Financial Instruments - Credit losses (“ASC 326”): Measurement of Credit Losses on Financial Instruments, as amended, which replaces the incurred loss methodology with an expected credit loss (“CECL”) methodology. The CECL estimate is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures, including loan commitments, standby letters of credit, financial guarantees and other similar instruments. Additionally, ASC 326 resulted in changes to the accounting for available-for-sale debt securities. The Company adopted ASC 326 for all financial assets measured at amortized cost, available-for-sale securities and off-balance sheet credit exposures. Results for reporting periods beginning after January 1, 2023 are presented under ASC 326, while prior period amounts continue to be reported in accordance with previously applicable U.S. GAAP. The Company recorded a net decrease to retained earnings of $4.5 million as of January 1, 2023 for the cumulative effect of adopting ASC 326. The net adjustment to allowance for credit losses (“ACL”) includes $2.3 million related to loans, $1.9 million related to off-balance sheet credit exposures and $0.3 million related to held-to-maturity debt securities. ACL - Available-For-Sale (“AFS”) Debt Securities For AFS debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell, the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For AFS debt securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors, such as interest rates or market conditions. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded. Changes in the ACL are recorded as a provision for, or recovery of, credit loss expense. Losses are charged against the allowance when management believes that uncollectibility of an AFS debt security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on AFS debt securities totaled $2.9 million at December 31, 2023 and is excluded from the estimate of credit losses. The Company made the policy election to exclude accrued interest from the amortized cost basis of AFS debt securities and report accrued interest separately on the condensed consolidated balance sheet. ACL - Held-To-Maturity (“HTM”) Debt Securities Management measures expected credit losses on HTM debt securities on a collective basis by major security type. Accrued interest receivable The estimate of expected credit losses considers historical credit loss information that is adjusted for current conditions and reasonable and supportable forecasts. At the time of adoption, the estimated reserve was $0.3 million. ACL - Loans The ACL for loans represents management's estimate of all expected credit losses over the expected life of the Company’s existing loan portfolio. Management estimates the ACL balance using relevant available information about the collectability of cash flows, from internal and external sources, including historical information relating to past events, current conditions, and reasonable and supportable forecasts of future economic conditions. When the Company is unable to forecast future economic events, management may revert to historical information. Accrued interest receivable ACL - Loans - Collectively Evaluated The ACL is measured on a collective pool basis when similar risk characteristics exist. The Company utilized a discounted cash flow (“DCF”) method to estimate the quantitative portion of the allowance for credit losses for loans evaluated on a collective pooled basis. For each segment, a loss driver analysis was performed in order to identify loss drivers and create a regression model for use in forecasting cash flows. In creating the DCF model, the Company has established a one-year reasonable and supportable forecast period with a one-year straight line reversion to the long-term historical average. Due to its minimal loss history, the Company elected to use peer data for a more conservative calculation. Key inputs into the DCF model include loan-level detail, including the amortized cost basis of individual loans, payment structure, loss history, and forecasted loss drivers. The Company utilizes a third party to provide economic forecasts under various scenarios, which are assessed quarterly considering the scenarios in the context of the current economic environment and loss risk. Expected credit losses are estimated over the contractual term of the loans and adjusted for prepayments when appropriate. The contractual term excludes extensions, renewals, and modifications unless the extension or renewal options are included in the original or modified contract at the reporting date and are not unconditionally cancellable by the Company. Additional key assumptions in the DCF model include the probability of default (“PD”), loss given default (“LGD”), and prepayment/curtailment rates. The Company utilizes the model-driven PD and a LGD derived from a method referred to as Frye Jacobs. The Frye Jacobs method is a mathematical formula that traces the relationship between LGD and PD over time and projects the LGD based on the level of PD forecasted. In all cases, the Frye Jacobs method is utilized to calculate LGDs during the forecast period, reversion period and long-term historical average. Prepayment and curtailment rates were calculated through third party analysis of the Company’s own data. Qualitative factors for the DCF include the following: • Changes in lending policies and procedures, including changes in underwriting standards and collections, charge-offs and recovery practices • Changes in international, national, regional and local conditions • Changes in the nature and volume of the portfolio and terms of loans • Changes in the experience, depth and ability of lending management • Changes in the volume and severity of past due loans and other similar conditions • Changes in the quality of the Company’s loan review system • Changes in the value of underlying collateral for collateral dependent loans • The existence and effect of any concentrations of credit and changes in the levels of such concentrations • The effect of other external factors (i.e. competition, legal and regulatory requirements) on the level of estimated credit losses ACL - Loans - Individually Evaluated Loans that do not share risk characteristics are evaluated on an individual basis and are excluded from the collective evaluation. The Company has determined that any loans which have been placed on nonaccrual status will be individually evaluated. Individual analysis will establish a specific reserve for loans, if necessary. Specific reserves on nonaccrual loans are typically based on management’s best estimate of the fair value of collateral securing these loans, adjusted for selling costs as necessary. ACL - Off-Balance Sheet Credit Exposures The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The ACL for off-balance sheet credit exposure is recorded as a liability and adjusted as a provision for credit loss expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. Funding rates are based on a historical analysis of the Company’s portfolio, while estimates of credit losses are determined using the same loss rates as funded loans. Regulatory Capital As permitted by the federal banking regulatory agencies, the Company has elected the option to delay the impact of the day one adoption of ASC 326. Refer to “Note 14. Regulatory Capital Requirements” for details of the phase-in transition adjustments. Modified Loans to Borrowers Experiencing Financial Difficulty Concurrent with the adoption of ASU 2016-03, the Company adopted ASU 2022-02 “Financial Instruments-Credit Losses (ASC 326): Troubled Debt Restructurings and Vintage Disclosures,” as amended. The update eliminated the accounting guidance for troubled debt restructurings (“TDRs”) by creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Provision for Credit Losses A provision for estimated credit losses is charged to income based upon management’s evaluation of the potential losses. Such an evaluation, which includes a review of all loans for which full repayment may not be reasonably assured, considers, among other matters, the estimated net realizable value of the underlying collateral, as applicable, economic conditions, loan loss experience, and other factors that are particularly susceptible to changes that could result in a material adjustment in the near term. While management attempts to use the best information available in making its evaluations, future allowance adjustments may be necessary if economic conditions change substantially from the assumptions used in making the evaluations. Nonaccrual Loans Any loan which becomes 90 days delinquent or for which the full collection of principal and interest may be in doubt will be considered for nonaccrual status. At the time a loan is placed on nonaccrual status, all accrued but unpaid interest will be reversed from interest income. Placing a loan on nonaccrual status does not relieve the borrower of the obligation to repay interest. A loan placed on nonaccrual status may be restored to accrual status when all delinquent principal and interest has been brought current, and the Company expects full payment of the remaining contractual principal and interest. Individually Evaluated Loans A loan is individually evaluated, when, based on current information or events, it is probable that the Company will be unable to collect all amounts due (principal and interest) according to the contractual terms of the loan agreement. Payments with delays not exceeding 90 days outstanding generally are not individually evaluated. Certain nonaccrual and substantially all delinquent loans more than 90 days past due may be individually evaluated. Generally, loans are placed on nonaccrual status at 90 days past due and accrued interest is reversed against earnings, unless the loan is well secured and in the process of collection. The accrual of interest on individually evaluated and nonaccrual loans is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due. Individually evaluated loans include nonperforming loans and also include loans where concessions have been granted to borrowers experiencing financial difficulties. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance, or other actions intended to maximize collection. Accounting Standards Codification (“ASC”) Topic 310, Receivables , requires that individually evaluated loans be measured based on the present value of expected future cash flows discounted at the loans’ effective interest rates or the fair value of the underlying collateral, less costs to sell, and allows existing methods for recognizing interest income. Policy for Charging Off Loans The Company’s policy is to charge off a loan at any point in time when it no longer can be considered a bankable asset, meaning collectible within the parameters of policy. A secured loan is generally charged down to the estimated fair value of the collateral, less costs to sell, no later than when it is 120 days past due as to principal or interest. An unsecured loan generally is charged off no later than when it is 180 days past due as to principal or interest. A home improvement loan generally is charged off no later than when it is 90 days past due as to principal or interest. Federal Home Loan Bank (“FHLB”) of Indianapolis Stock Federal law requires a member institution of the FHLB system to hold common stock of its district FHLB according to a predetermined formula. This investment is stated at cost, which represents redemption value, and may be pledged as collateral for FHLB advances. Premises and Equipment Premises and equipment is stated at cost, less accumulated depreciation. Depreciation is computed on the straight-line method over the estimated useful lives, which range from three Other Real Estate Owned Other real estate owned represents real estate acquired through foreclosure or deed in lieu of foreclosure and is recorded at its fair value less estimated costs to sell. When property is acquired, it is recorded at its fair value at the date of acquisition with any resulting write-down charged against the ACL. Any subsequent deterioration of the property is charged directly to operating expense. Costs relating to the development and improvement of other real estate owned are capitalized, whereas costs relating to holding and maintaining the property are charged to expense as incurred. Derivative Financial Instruments The Company uses derivative financial instruments to help manage exposure to interest rate risk and the effects that changes in interest rates may have on net income and the fair value of assets and liabilities. The Company enters into interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. Additionally, prior to the Company’s decision to exit its consumer mortgage business in the first quarter 2023, we entered into forward contracts related to our mortgage banking business to hedge the exposures we had from commitments to extend new residential mortgage loans to our customers and from our mortgage loans held-for-sale. The forward contracts were entered into in order to economically hedge the effect of changed interest rates resulted from the Company’s commitment to fund the loans. Designating an interest rate swap as an accounting hedge allows the Company to recognize gains and losses in the income statement within the same period that the hedged item affects earnings. The Company includes the gain or loss on the hedged items in the same line item as the offsetting loss or gain on the related interest rate swaps. For derivative instruments that are designated and qualify as cash flow hedges, any gains or losses related to changes in fair value are recorded in accumulated other comprehensive loss, net of tax. The fair value of interest rate swaps with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets while interest rate swaps with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. The IRLCs and forward contracts are not designated as accounting hedges and are recorded at fair value with changes in fair value reflected in noninterest income in the consolidated statements of income. The fair value of derivative instruments with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets, while derivative instruments with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. Fair Value Measurements The Company records or discloses certain assets and liabilities at fair value. ASC Topic 820, Fair Value Measurements , defines fair value as 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 measurements are classified within one of three levels in a valuation hierarchy. ASC Topic 820 describes three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets or liabilities Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities There were no transfers that occurred and, therefore, recognized, between any of the fair value hierarchy levels at December 31, 2023 or 2022. Income Taxes Deferred income tax assets and liabilities reflect the impact of temporary differences between amounts of assets and liabilities for financial reporting purposes and the basis of such assets and liabilities as measured by tax laws and regulations. Deferred income tax expense or benefit is based upon the change in deferred tax assets and liabilities from period to period, subject to an ongoing assessment of realization of deferred tax assets. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. The Company files income tax returns in the U.S. federal, Indiana, and other state jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, state and local examinations by tax authorities for years before 2019. ASC Topic 740-10, Accounting for Uncertainty in Income Taxes , prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. The Company did not identify any material uncertain tax positions that it believes should be recognized in the consolidated financial statements. Earnings Per Share Earnings per share of common stock is based on the weighted average number of basic shares and dilutive shares outstanding during the year. The following is a reconciliation of the weighted average common shares for the basic and diluted earnings per share computations. Year Ended December 31, 2023 2022 2021 Basic earnings per share Net income available to common shareholders $ 8,417 $ 35,541 $ 48,114 Weighted average common shares 8,837,558 9,530,921 9,918,083 Basic earnings per common share $ 0.95 $ 3.73 $ 4.85 Diluted earnings per share Net income available to common shareholders $ 8,417 $ 35,541 $ 48,114 Weighted average common shares 8,837,558 9,530,921 9,918,083 Dilutive effect of equity compensation 21,332 64,194 58,178 Weighted average common and incremental shares 8,858,890 9,595,115 9,976,261 Diluted earnings per common share 1 $ 0.95 $ 3.70 $ 4.82 1 Potential dilutive common shares are excluded from the computation of diluted earnings per share in the periods where the effect would be antidilutive. Excluded from the computation of diluted earnings per share were weighted average antidilutive shares totaling 20,797, 2,646 and 28 for the years ended December 31, 2023, 2022 and 2021, respectively. Share-based Compensation The Company has a share-based compensation plan using the fair value recognition provisions of ASC Topic 718, Compensation - Stock Compensation . The plan is described more fully in Note 11. Comprehensive Income Comprehensive income consists of net income and other comprehensive income (loss). Other comprehensive income (loss) includes unrealized gains and losses on securities available-for-sale, unrealized gains and losses on the transfer of securities available-for-sale to securities held-to-maturity, and unrealized gains and losses on cash flow hedges. Reclassification adjustments have been determined for all components of other comprehensive income (loss) reported in the consolidated statements of shareholders’ equity. Statements of Cash Flows Cash and cash equivalents are defined to include cash on-hand, noninterest and interest-bearing amounts due from other banks and federal funds sold. Generally, federal funds are sold for one-day periods. The Company reports net cash flows for customer loan transactions and deposit transactions. Bank-Owned Life Insurance Bank-owned life insurance policies are carried at their cash surrender value. The Company recognizes tax-free income from the periodic increases in the cash surrender value of these policies and from death benefits. Goodwill Goodwill is tested at least annually for impairment. If the implied fair value of goodwill is lower than its carrying amount, goodwill impairment is indicated and goodwill is written down to its implied fair value. Subsequent increases in goodwill value are not recognized in the consolidated financial statements. Servicing Asset |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2023 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalents | Cash and Cash Equivalents At December 31, 2023, the Company’s interest-bearing and noninterest-bearing cash accounts at other institutions exceeded the limits for full FDIC insurance coverage by $8.6 million. In addition, approximately $382.2 million and $7.0 million of cash was held by the Federal Reserve Bank of Chicago and the FHLB of Indianapolis, respectively, which are not federally insured. |
Securities
Securities | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities The following tables summarize securities available-for-sale and securities held-to-maturity as of December 31, 2023 and 2022. December 31, 2023 Amortized Cost Gross Unrealized Fair Value Gains Losses Securities available-for-sale U.S. Government-sponsored agencies $ 96,404 $ 402 $ (1,629) $ 95,177 Municipal securities 69,494 356 (1,404) 68,446 Agency mortgage-backed securities - residential 1 237,798 101 (31,250) 206,649 Agency mortgage-backed securities - commercial 40,215 9 (1,339) 38,885 Private label mortgage-backed securities - residential 21,742 144 (1,107) 20,779 Asset-backed securities 8,071 17 (7) 8,081 Corporate securities 39,591 25 (2,778) 36,838 Total available-for-sale $ 513,315 $ 1,054 $ (39,514) $ 474,855 December 31, 2023 Amortized Cost Gross Unrealized Fair Value Allowance for Credit Losses Net Carrying Value Gains Losses Securities held-to-maturity Municipal securities $ 13,892 $ 1 $ (853) $ 13,040 $ (3) $ 13,889 Agency mortgage-backed securities - residential 166,750 4 (14,112) 152,642 — 166,750 Agency mortgage-backed securities - commercial 5,767 — (1,246) 4,521 — 5,767 Corporate securities 41,037 — (3,668) 37,369 (290) 40,747 Total held-to-maturity $ 227,446 $ 5 $ (19,879) $ 207,572 $ (293) $ 227,153 1 Includes $0.4 million of additional premium related to terminated interest rate swaps associated with agency mortgage-backed securities - residential as of December 31, 2023. Accrued interest receivable on AFS and HTM securities at December 31, 2023 was $2.9 million and $1.2 million, respectively, and is included in accrued interest receivable Over 95% of mortgage-backed securities (including both AFS and HTM) held by the Company are issued by U.S. government-sponsored entities and agencies. These securities are either explicitly or implicitly guaranteed by the U.S. government and have a long history of no credit losses; therefore, the Company did not record an ACL on these securities. Additionally, the Company evaluated credit impairment for individual AFS securities that are in an unrealized loss position and determined that the unrealized losses are unrelated to credit quality and are primarily attributable to changes in interest rates and volatility in the financial markets. As the Company does not intend to sell the AFS securities that are in an unrealized loss position, and it is unlikely that it will be required to sell these securities before recovery of their amortized cost basis, the Company did not record an ACL on these securities. In accordance with the adoption of ASC 326, the Company also evaluated its HTM securities that are in an unrealized loss position and considered issuer bond ratings, historical loss rates for bond ratings and economic forecasts. As a result, the Company recorded in an initial ACL in retained earnings of $0.3 million on January 1, 2023. The Company reevaluated these securities at December 31, 2023 and determined no additional ACL was necessary. December 31, 2022 Amortized Cost Gross Unrealized Fair Value Gains Losses Securities available-for-sale U.S. Government-sponsored agencies $ 35,606 $ — $ (1,797) $ 33,809 Municipal securities 68,958 458 (2,140) 67,276 Agency mortgage-backed securities - residential 1 252,066 — (36,974) 215,092 Agency mortgage-backed securities - commercial 17,142 — (1,302) 15,840 Private label mortgage-backed securities - residential 11,777 — (1,322) 10,455 Asset-backed securities 5,000 — (40) 4,960 Corporate securities 45,634 35 (2,717) 42,952 Total available-for-sale $ 436,183 $ 493 $ (46,292) $ 390,384 December 31, 2022 Amortized Cost Gross Unrealized Fair Value Gains Losses Securities held-to-maturity Municipal securities $ 13,946 $ — $ (1,114) $ 12,832 Agency mortgage-backed securities - residential 121,853 — (15,112) 106,741 Agency mortgage-backed securities - commercial 5,818 — (1,266) 4,552 Corporate securities 47,551 — (3,193) 44,358 Total held-to-maturity $ 189,168 $ — $ (20,685) $ 168,483 1 Includes $0.5 million of additional premium related to terminated interest rate swaps associated with agency mortgage-backed securities - residential as of December 31, 2022. The carrying value of securities at December 31, 2023 is shown below by their contractual maturity date. Actual maturities will differ because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Available-for-Sale Amortized Fair Within one year $ 550 $ 549 One to five years 31,401 31,865 Five to ten years 69,553 67,120 After ten years 103,985 100,927 205,489 200,461 Agency mortgage-backed securities - residential 237,798 206,649 Agency mortgage-backed securities - commercial 40,215 38,885 Private label mortgage-backed securities - residential 21,742 20,779 Asset-backed securities 8,071 8,081 Total $ 513,315 $ 474,855 Held-to-Maturity Amortized Fair Within one year $ 995 $ 987 One to five years 6,129 5,952 Five to ten years 43,856 39,967 After ten years 3,949 3,503 54,929 50,409 Agency mortgage-backed securities - residential 166,750 152,642 Agency mortgage-backed securities - commercial 5,767 4,521 Total $ 227,446 $ 207,572 There were no gross realized gains or losses resulting from the sale of AFS securities recognized during the twelve months ended December 31, 2023, December 31, 2022 and December 31, 2021. As of December 31, 2023, the fair value of AFS securities pledged as collateral was $662.1 million. The Company pledged these securities to both the FHLB and the Fed Discount Window to increase the Company’s borrowing capacity and provide collateral for existing FHLB advances. Certain investments in debt securities are reported in the consolidated financial statements at an amount less than their historical cost. The total fair value of these investments at December 31, 2023 and 2022 was $578.9 million and $527.4 million, which is approximately 85% and 94%, respectively, of the Company’s AFS and HTM securities portfolios. As of December 31, 2023, the Company’s securities portfolio consisted of 512 securities, of which 434 were in an unrealized loss position. As of December 31, 2022, the Company’s security portfolio consisted of 445 securities, of which 434 were in an unrealized loss position. The unrealized losses are related to the categories noted below. U.S. Government-Sponsored Agencies, Municipal Securities, and Corporate Securities The unrealized losses on the Company’s investments in securities issued by U.S. Government-sponsored agencies, municipal organizations and corporate entities were caused primarily by interest rate changes. The contractual terms of those investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments. The Company does not intend to sell the investments and it is not likely that the Company will be required to sell the investments before recovery of their amortized cost basis, which may be upon maturity. Agency Mortgage-Backed and Private Label Mortgage-Backed Securities The unrealized losses on the Company’s investments in agency mortgage-backed and private label mortgage-backed securities were caused primarily by interest rate changes. The Company expects to recover the amortized cost basis over the terms of the securities. The Company does not intend to sell the investments and it is not likely that the Company will be required to sell the investments before recovery of their amortized cost basis, which may be upon maturity. The following tables show the securities portfolio’s gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2023 and 2022: December 31, 2023 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale U.S. Government-sponsored agencies $ 41,934 $ (161) $ 24,579 $ (1,468) $ 66,513 $ (1,629) Municipal securities 2,399 (103) 36,193 (1,301) 38,592 (1,404) Agency mortgage-backed securities - residential 1,089 (5) 194,095 (31,245) 195,184 (31,250) Agency mortgage-backed securities - commercial 21,561 (50) 14,217 (1,289) 35,778 (1,339) Private label mortgage-backed securities - residential 3,567 (29) 9,114 (1,078) 12,681 (1,107) Asset-backed securities 1,654 (7) — — 1,654 (7) Corporate securities 1,680 (365) 24,587 (2,413) 26,267 (2,778) Total $ 73,884 $ (720) $ 302,785 $ (38,794) $ 376,669 $ (39,514) December 31, 2022 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale U.S. Government-sponsored agencies $ 29,668 $ (1,008) $ 4,141 $ (789) $ 33,809 $ (1,797) Municipals 39,557 (1,766) 4,778 (374) 44,335 (2,140) Agency mortgage-backed securities - residential 170,026 (29,690) 45,066 (7,284) 215,092 (36,974) Agency mortgage-backed securities - commercial 10,560 (926) 5,280 (376) 15,840 (1,302) Private label mortgage-backed securities - residential 2,445 (330) 8,010 (992) 10,455 (1,322) Asset-backed securities 4,960 (40) — — 4,960 (40) Corporate securities 21,568 (1,452) 13,239 (1,265) 34,807 (2,717) Total $ 278,784 $ (35,212) $ 80,514 $ (11,080) $ 359,298 $ (46,292) December 31, 2022 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Securities held-to-maturity Municipals $ 8,160 $ (661) $ 4,258 $ (453) $ 12,418 $ (1,114) Agency mortgage-backed securities - residential 68,408 (8,848) 38,332 (6,264) 106,740 (15,112) Agency mortgage-backed securities - commercial 4,552 (1,266) — — 4,552 (1,266) Corporate securities 36,866 (2,685) 7,492 (508) 44,358 (3,193) Total $ 117,986 $ (13,460) $ 50,082 $ (7,225) $ 168,068 $ (20,685) The following table summarizes ratings for the Company’s HTM portfolio issued by state and political subdivisions and other securities as of December 31, 2023. Securities Held-to-Maturity (in thousands) State and Municipal Other Total Aaa/AAA $ — $ — $ — Aa1/AA+ 9,917 — 9,917 Aa2/AA 1,538 — 1,538 A1/A+ 1,794 — 1,794 A2/A 643 5,000 5,643 A3/A- — 4,509 4,509 Baa1/BBB+ — 8,500 8,500 Baa2/BBB — 8,500 8,500 Baa3/BBB- — 12,528 12,528 Ba1/BB+ — 2,000 2,000 Not Rated 1 — 172,517 172,517 Total $ 13,892 $ 213,554 $ 227,446 1 HTM agency mortgage-backed securities - commercial and residential are listed under Other securities as not rated. There were no amounts reclassified from accumulated other comprehensive loss to the condensed consolidated statements of income during the twelve months ended December 31, 2023, 2022 and 2021. Equity Investments Equity investments, largely comprised of non-marketable equity investments, are generally accounted for under equity security accounting. The following tables provide additional information related to investments accounted for under this method. The carrying amount of each equity investment with a readily determinable fair value or net asset value at December 31, 2023 and 2022 is reflected in the following table: (dollars in thousands) 2023 2022 GenOpp Financial Fund LP $ 2,102 $ 2,134 Total $ 2,102 $ 2,134 The carrying amount of the Company’s investments in non-marketable equity securities with no readily determinable fair value and amounts recognized in earnings on a cumulative basis as of December 31, 2023 and for the years ended December 31, 2023 and 2022 is reflected in the following table: (dollars in thousands ) 2023 2022 Carrying value 1 $ 12,374 $ 8,067 Carrying value adjustments — — Impairment — — Upward changes for observable prices — — Downward changes for observable prices — — Net change $ 12,374 $ 8,067 1 Exclusive of $11.5 million and $13.0 million in unfunded commitments as of December 31, 2023, and 2022, respectively. |
Loans
Loans | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Loans | Loans Categories of loans include: December 31, 2023 2022 Commercial loans Commercial and industrial $ 129,349 $ 126,108 Owner-occupied commercial real estate 57,286 61,836 Investor commercial real estate 132,077 93,121 Construction 261,750 181,966 Single tenant lease financing 936,616 939,240 Public finance 521,764 621,032 Healthcare finance 222,793 272,461 Small business lending 218,506 123,750 Franchise finance 525,783 299,835 Total commercial loans 3,005,924 2,719,349 Consumer loans Residential mortgage 395,648 383,948 Home equity 23,669 24,712 Other consumer 377,614 324,598 Total consumer loans 796,931 733,258 Total commercial and consumer loans 3,802,855 3,452,607 Net deferred loan origination costs, premiums and discounts on purchased loans, and other 1 37,365 46,794 Total loans 3,840,220 3,499,401 Allowance for credit losses (38,774) (31,737) Net loans $ 3,801,446 $ 3,467,664 1 Includes carrying value adjustment of $27.8 million and $32.5 million related to terminated interest rate swaps associated with public finance loans as of December 31, 2023 and December 31, 2022, respectively. The general risk characteristics specific to each loan portfolio segment are as follows: Commercial and Industrial: Commercial and industrial loans’ sources of repayment are primarily based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected, and the collateral securing these loans may fluctuate in value. Loans are made for working capital, equipment purchases, or other purposes. Most commercial and industrial loans are secured by the assets being financed and may incorporate a personal guarantee. This portfolio segment is generally concentrated in the Midwest and Southwest regions of the United States. Owner-Occupied Commercial Real Estate: The primary source of repayment is the cash flow from the ongoing operations and activities conducted by the borrower, or an affiliate of the borrower, who owns the property. This portfolio segment is generally concentrated in the Midwest and Southwest regions of the United States and its loans are often secured by manufacturing and service facilities. Investor Commercial Real Estate: These loans are made on a nationwide basis and are underwritten primarily based on the cash flow expected to be generated from the property and are secondarily supported by the value of the real estate. These loans typically incorporate a personal guarantee from the primary sponsor or sponsors. This portfolio segment generally involves larger loan amounts with repayment primarily dependent on the successful leasing and operation of the property securing the loan or the business conducted on the property securing the loan. Investor commercial real estate loans may be more adversely affected by changing economic conditions in the real estate markets, industry dynamics or the overall health of the local economy where the property is located. The properties securing the Company’s investor commercial real estate portfolio tend to be diverse in terms of property type. Management monitors and evaluates commercial real estate loans based on property financial performance, collateral value, guarantor strength, economic and industry conditions together with other risk grade criteria. As a general rule, the Company avoids financing special use projects unless other underwriting factors are present to mitigate these additional risks. Construction: Construction loans are made on a nationwide basis and are secured by land and related improvements and are made to assist in the construction of new structures, which may include commercial (retail, industrial, office, and multi-family) properties, land development for residential properties or single family residential properties offered for sale by the builder. These loans generally finance a variety of project costs, including land, site preparation, architectural services, construction, closing and soft costs and interim financing needs. The cash flows of builders, while initially predictable, may fluctuate with market conditions, and the value of the collateral securing these loans may be subject to fluctuations based on general economic changes. Single Tenant Lease Financing: These loans are made on a nationwide basis to owners of real estate subject to long-term lease arrangements with single tenant operators. The real estate is typically operated by regionally, nationally or globally branded businesses. The loans are underwritten based on the financial strength of the borrower, characteristics of the real estate, cash flows generated from the lease arrangements and the financial strength of the tenant. Similar to the other loan portfolio segments, management monitors and evaluates these loans based on borrower and tenant financial performance, collateral value, industry trends and other risk grade criteria. Public Finance: These loans are made on a nationwide basis to governmental and not-for-profit entities to provide both tax-exempt and taxable loans for a variety of purposes including: short-term cash-flow needs; debt refinancing; economic development; quality of life projects; infrastructure improvements; renewable energy projects; and equipment financing. The primary sources of repayment for public finance loans include pledged revenue sources including but not limited to: general obligations; property taxes; income taxes; tax increment revenue; utility revenue; gaming revenues; sales tax; and pledged general revenue. Certain loans may also include an additional collateral pledge of mortgaged property or a security interest in financed equipment. Healthcare Finance: These loans are made on a nationwide basis to healthcare providers, primarily dentists, for practice acquisition financing or refinancing that occasionally includes owner-occupied commercial real estate and equipment purchases. The sources of repayment are primarily based on the identified cash flows from operations of the borrower and related entities and secondarily on the underlying collateral provided by the borrower. Small Business Lending: These loans are made on a nationwide basis to small businesses and generally carry a partial guaranty from the U.S. Small Business Administration (“SBA”) under its 7(a) loan program. We generally sell the government guaranteed portion of SBA loans into the secondary market while retaining the non-guaranteed portion of the loan and the servicing rights. Loans in the small business lending portfolio have sources of repayment that are primarily based on the identified cash flows of the borrower and secondarily on any underlying collateral provided by the borrower. Loans may, but do not always, have a collateral shortfall. For SBA loans where the guaranteed portion is retained, the SBA guaranty provides a tertiary source of repayment to the Bank in event of borrower default. Cash flows of borrowers, however, may not be as expected and collateral securing these loans may fluctuate in value. Loans are made for a broad array of purposes including, but not limited to, providing operating cash flow, funding ownership changes, and facilitating equipment and commercial real estate purchases. Franchise Finance: These loans are made on a nationwide basis through our partnership with ApplePie Capital, which through their deep relationships with franchise brands provides franchisees with financing options for new franchise units, recapitalization, expansion, equipment and working capital. The sources of repayment are either based on identified cash flows from existing operations of the borrower or pro forma cash flow for new franchise locations. Residential Mortgage: With respect to residential loans that are secured by 1-to-4 family residences and are generally owner occupied, the Company typically establishes a maximum loan-to-value ratio and requires private mortgage insurance if that ratio is exceeded. Repayment of these loans is primarily dependent on the financial circumstances of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Repayment can also be impacted by changes in residential property values. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers in geographically diverse locations throughout the country. Home Equity: Home equity loans and lines of credit are typically secured by a subordinate interest in 1-to-4 family residences. The properties securing the home equity portfolio segment are generally geographically diverse as the Company offers these products on a nationwide basis. Repayment of these loans and lines of credit is primarily dependent on the financial circumstances of the borrowers and may be impacted by changes in unemployment levels and property values on residential properties, among other economic conditions in the market. Other Consumer: These loans primarily consist of consumer loans and credit cards. Consumer loans may be secured by consumer assets such as horse trailers or recreational vehicles. Some consumer loans are unsecured, such as small installment loans, home improvement loans and certain lines of credit. Repayment of consumer loans is primarily dependent upon the personal income of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers in geographically diverse locations throughout the country. Allowance for Credit Losses (“ACL”) Methodology The ACL for loans represents management's estimate of all expected credit losses over the expected life of the Company’s existing loan portfolio. Management estimates the ACL balance using relevant available information about the collectability of cash flows, from internal and external sources, including historical information relating to past events, current conditions, and reasonable and supportable forecasts of future economic conditions. When the Company is unable to forecast future economic events, management may revert to historical information. The Company's methodologies incorporate a one-year reasonable and supportable forecast period with a one-year straight line reversion to the long-term historical average. The ACL methodology may also consider other adjustments to address changes in conditions, trends, and circumstances such as local industry changes that could have a significant impact on the risk profile of the loan portfolio and provide for adjustments that may not be reflected and/or captured in the historical loss data. These factors include: lending policies, imprecision in forecasting future economic conditions, loan profile, lending staff, problem loan trends, loan review, collateral, credit concentration, or other internal and external factors. The Company also includes qualitative adjustments to the ACL based on factors and considerations that have not otherwise been fully accounted for. Qualitative adjustments include, but are not limited to: • Changes in lending policies and procedures, including changes in underwriting standards and collections, charge-offs and recovery practices • Changes in international, national, regional and local conditions • Changes in the nature and volume of the portfolio and terms of loans • Changes in the experience, depth and ability of lending management • Changes in the volume and severity of past due loans and other similar conditions • Changes in the quality of the Company’s loan review system • Changes in the value of underlying collateral for collateral dependent loans • The existence and effect of any concentrations of credit and changes in the levels of such concentrations • The effect of other external factors (i.e. competition, legal and regulatory requirements) on the level of estimated credit losses The ACL is measured on a collective or pool basis when similar risk characteristics exist. The Company segments its portfolio generally by Federal Financial Institutions Examination Council ("FFIEC") Call Report codes that align with its lines of business. Additional sub-segmentation may be utilized to identify groups of loans with unique risk characteristics relative to the rest of the portfolio. Loans that do not share similar risk characteristics are evaluated on an individual basis. These evaluations are typically performed on loans with a deteriorated internal risk rating. The allowance for credit loss is determined based on several methods, including estimating the fair value of the underlying collateral or the present value of expected cash flows. The Company relies on a third-party platform that offers multiple methodologies to measure historical life-of-loan losses. Modified Loans to Borrowers Experiencing Financial Difficulty The Company may make modifications to certain loans in order to alleviate temporary difficulties in the borrower’s financial condition and/or constraints on the borrower’s ability to repay the loan, and to minimize potential losses to the Company. Modifications may include changes in the amortization terms of the loan, reductions in interest rates, acceptance of interest only payments, and/or reductions to the outstanding loan balance. Such loans are typically placed on nonaccrual status when there is doubt concerning the full repayment of principal and interest or the loan has been delinquent for a period of 90 days or more. These loans may be returned to accrual status when all contractual amounts past due have been brought current, and the borrower’s performance under the modified terms of the loan agreement and the ultimate collectability of all contractual amounts due under the modified terms is no longer in doubt. The Company typically measures the ACL on modified loans to borrowers experiencing financial difficulty on an individual basis when the loans are deemed to no longer share risk characteristics that are similar with other loans in the portfolio. The determination of the ACL for these loans is based on a discounted cash flow approach for both those measured collectively and individually, unless the loan is deemed collateral dependent, which requires measurement of the ACL based on the estimated expected fair value of the underlying collateral, less costs to sell. GAAP requires the Company to make certain disclosures related to these loans, including certain types of modifications, as well as how such loans have performed since their modifications. Provision for Credit Losses A provision for estimated losses on loans is charged to income based upon management’s evaluation of the potential losses. Such an evaluation, which includes a review of all loans for which full repayment may not be reasonably assured, considers, among other matters, the estimated net realizable value of the underlying collateral, as applicable, economic conditions, loan loss experience, and other factors that are particularly susceptible to changes that could result in a material adjustment in the near term. While management attempts to use the best information available in making its evaluations, future allowance adjustments may be necessary if economic conditions change substantially from the assumptions used in making the evaluations. Policy for Charging Off Loans The Company’s policy is to charge off a loan at any point in time when it no longer can be considered a bankable asset, meaning collectible within the parameters of policy. A secured loan is generally charged down to the estimated fair value of the collateral, less costs to sell, no later than when it is 120 days past due as to principal or interest. An unsecured loan generally is charged off no later than when it is 180 days past due as to principal or interest. A home improvement loan generally is charged off no later than when it is 90 days past due as to principal or interest. The following tables present changes in the balance of the ACL during the twelve months ended December 31, 2023. Twelve Months Ended December 31, 2023 Balance, Beginning of Period Adoption of CECL (Credit) Provision Charged to Expense Losses Charged Off Recoveries Balance, End of Period Allowance for credit losses: Commercial and industrial $ 1,711 $ (120) $ 7,400 $ (7,049) $ 243 $ 2,185 Owner-occupied commercial real estate 651 62 112 — — 825 Investor commercial real estate 1,099 (191) 994 (591) — 1,311 Construction 2,074 (435) 528 — — 2,167 Single tenant lease financing 10,519 (346) (2,044) — — 8,129 Public finance 1,753 (135) (246) — — 1,372 Healthcare finance 2,997 1,034 (1,450) (605) — 1,976 Small business lending 2,168 334 6,539 (2,586) 77 6,532 Franchise finance 3,988 (313) 3,019 (331) — 6,363 Residential mortgage 1,559 406 224 (140) 5 2,054 Home equity 69 133 (37) — 6 171 Other consumer 3,149 2,533 415 (582) 174 5,689 Total $ 31,737 $ 2,962 $ 15,454 $ (11,884) $ 505 $ 38,774 Prior to the adoption of ASU 2016-13 on January 1, 2023, the Company calculated the allowance for loan losses using the incurred loss methodology. The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2022 and December 31, 2021. Twelve Months Ended December 31, 2022 Balance, Beginning of Period Provision (Credit) Charged to Expense Losses Charged Off Recoveries Balance, End of Period Allowance for loan losses: Commercial and industrial $ 1,891 $ (185) $ — $ 5 $ 1,711 Owner-occupied commercial real estate 742 (91) — — 651 Investor commercial real estate 328 771 — — 1,099 Construction 1,612 462 — — 2,074 Single tenant lease financing 10,385 (1,097) — 1,231 10,519 Public finance 1,776 (23) — — 1,753 Healthcare finance 5,940 (2,943) — — 2,997 Small business lending 1,387 1,154 (402) 29 2,168 Franchise finance 1,083 2,905 — — 3,988 Residential mortgage 643 912 — 4 1,559 Home equity 64 (134) — 139 69 Other consumer 1,990 3,246 (2,358) 271 3,149 Total $ 27,841 $ 4,977 $ (2,760) $ 1,679 $ 31,737 Twelve Months Ended December 31, 2021 Balance, Beginning of Period Provision (Credit) Charged to Expense Losses Charged Off Recoveries Balance, End of Period Allowance for loan losses: Commercial and industrial $ 1,146 $ 684 $ (28) $ 89 $ 1,891 Owner-occupied commercial real estate 1,082 (340) — — 742 Investor commercial real estate 155 173 — — 328 Construction 1,192 420 — — 1,612 Single tenant lease financing 12,990 (214) (2,391) — 10,385 Public finance 1,732 44 — — 1,776 Healthcare finance 7,485 (1,545) — — 5,940 Small business lending 628 901 (222) 80 1,387 Franchise Finance — 1,083 — — 1,083 Residential mortgage 519 67 (6) 63 643 Home equity 48 60 (51) 7 64 Other consumer 2,507 (303) (529) 315 1,990 Total $ 29,484 $ 1,030 $ (3,227) $ 554 $ 27,841 In addition to the ACL, the Company established a reserve for off-balance sheet commitments, classified in other liabilities, as required by the adoption of the CECL methodology for measuring credit losses. This reserve is maintained at a level management believes to be sufficient to absorb losses arising from unfunded loan commitments. The day one entry for off-balance sheet commitments resulted in a reserve of $2.5 million. The adequacy of the reserve for unfunded commitments is determined quarterly based on methodology similar to the methodology for determining the ACL. The following table details activity in the provision for credit losses on off-balance sheet commitments for the twelve months ended December 31, 2023. (dollars in thousands) Pre-ASC 326 Adoption Impact of ASC 326 Adoption Provision for credit losses Balance Off-balance sheet commitments Commercial loans Commercial and industrial $ — $ 110 $ 123 $ 233 Owner-occupied commercial real estate — — 9 9 Investor commercial real estate — 9 (3) 6 Construction — 2,193 696 2,889 Healthcare finance — 2 (2) — Small business lending — — 541 541 Total commercial loans — 2,314 1,364 3,678 Consumer loans Residential mortgage — 127 (116) 11 Home equity — 52 (7) 45 Other consumer — 11 — 11 Total consumer loans — 190 (123) 67 Total allowance for off-balance sheet commitments $ — $ 2,504 $ 1,241 $ 3,745 The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2022. Loans Allowance for Loan Losses December 31, 2022 Ending Balance: Ending Balance: Ending Balance Ending Balance: Ending Balance: Ending Balance Commercial and industrial $ 116,307 $ 9,801 $ 126,108 $ 1,660 $ 51 $ 1,711 Owner-occupied commercial real estate 60,266 1,570 61,836 651 — 651 Investor commercial real estate 93,121 — 93,121 1,099 — 1,099 Construction 181,966 — 181,966 2,074 — 2,074 Single tenant lease financing 939,240 — 939,240 10,519 — 10,519 Public finance 621,032 — 621,032 1,753 — 1,753 Healthcare finance 272,461 — 272,461 2,997 — 2,997 Small business lending 1 113,699 10,051 123,750 1,465 703 2,168 Franchise finance 299,835 — 299,835 3,988 — 3,988 Residential mortgage 380,272 3,676 383,948 1,559 — 1,559 Home equity 24,683 29 24,712 69 — 69 Other consumer 324,581 17 324,598 3,149 — 3,149 Total $ 3,427,463 $ 25,144 $ 3,452,607 $ 30,983 $ 754 $ 31,737 1 Balance is partially guaranteed by the U.S. government. The Company utilizes a risk grading matrix to assign a risk grade to each of its commercial loans. A description of the general characteristics of the risk grades is as follows: • “Pass” - Higher quality loans that do not fit any of the other categories described below. • “Special Mention” - Loans that possess some credit deficiency or potential weakness which deserve close attention. • “Substandard” - Loans that possess a defined weakness or weaknesses that jeopardize the liquidation of the debt. Loans that are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Loans that are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. • “Doubtful” - Such loans have been placed on nonaccrual status and may be heavily dependent upon collateral possessing a value that is difficult to determine or based upon some near-term event which lacks clear certainty. These loans have all of the weaknesses of those classified as Substandard; however, based on existing conditions, these weaknesses make full collection of the principal balance highly improbable. • “Loss” - Loans that are considered uncollectible and of such little value that continuing to carry them as assets is not warranted. The Company does not risk grade its consumer loans. It classifies them as either performing or nonperforming. Below is a description of those classifications: • “Performing” - Loans that are accruing and full collection of principal and interest is expected. • “Nonperforming” - Loans that are 90 days delinquent or for which the full collection of principal and interest may be in doubt. The following table presents the credit risk profile of the Company’s commercial and consumer loan portfolios by loan class and by year of origination for the years indicated based on rating category and payment activity as of December 31, 2023. December 31, 2023 Term Loans (amortized cost basis by origination year) Revolving loans amortized cost basis Revolving loans converted to term (in thousands) 2023 2022 2021 2020 2019 Prior Total Commercial and industrial Pass $ 24,329 $ 19,382 $ 15,464 $ 2,502 $ 12,365 $ 8,703 $ 41,967 $ — $ 124,712 Special Mention — 4,637 — — — — — — 4,637 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total Commercial and 24,329 24,019 15,464 2,502 12,365 8,703 41,967 — 129,349 Gross charge-offs — — 6,914 5 130 — — — 7,049 Owner-occupied commercial real estate Pass 1,492 10,731 7,990 6,591 5,255 12,485 — — 44,544 Special Mention — 584 922 8,392 — 1,189 — — 11,087 Substandard — — — — — 1,655 — — 1,655 Doubtful — — — — — — — — — Total owner-occupied 1,492 11,315 8,912 14,983 5,255 15,329 — — 57,286 Investor commercial real estate Pass 6,571 35,209 26,841 9,864 47,827 5,765 — — 132,077 Special Mention — — — — — — — — — Substandard — — — — — — — — — Doubtful — — — — — — — — — Total investor commercial real 6,571 35,209 26,841 9,864 47,827 5,765 — — 132,077 Gross charge-offs — — — — — 591 — — 591 Construction Pass 26,539 153,066 70,175 6,121 — — 5,849 — 261,750 Special Mention — — — — — — — — — Substandard — — — — — — — — — Doubtful — — — — — — — — — Total construction 26,539 153,066 70,175 6,121 — — 5,849 — 261,750 Single tenant lease financing Pass 52,360 221,964 89,075 65,863 142,023 346,695 — — 917,980 Special Mention — 4,362 6,698 3,032 — 4,544 — — 18,636 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total single tenant lease 52,360 226,326 95,773 68,895 142,023 351,239 — — 936,616 Public finance Pass 3,805 30,583 29,750 719 43,611 411,176 — — 519,644 Special Mention — — — — — 2,120 — — 2,120 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total public finance 3,805 30,583 29,750 719 43,611 413,296 — — 521,764 December 31, 2023 Term Loans (amortized cost basis by origination year) Revolving loans amortized cost basis Revolving loans converted to term (in thousands) 2023 2022 2021 2020 2019 Prior Total Healthcare finance Pass — — 9,955 124,654 63,486 23,484 — — 221,579 Special Mention — — — — 1,214 — — — 1,214 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total healthcare finance — — 9,955 124,654 64,700 23,484 — — 222,793 Gross charge-offs — — — — 605 — — — 605 Small business lending 1 Pass 119,149 42,077 15,180 13,948 4,582 9,215 5,388 — 209,539 Special Mention 343 496 — 341 265 698 — — 2,143 Substandard 1,095 1,854 52 1,777 1,155 417 474 — 6,824 Doubtful — — — — — — — — — Total small business lending 120,587 44,427 15,232 16,066 6,002 10,330 5,862 — 218,506 Gross charge-offs 67 739 416 1,364 — — — — 2,586 Franchise finance Pass 256,944 210,617 57,919 — — — — — 525,480 Special Mention — — — — — — — — — Substandard — — 303 — — — — — 303 Doubtful — — — — — — — — — Total franchise finance 256,944 210,617 58,222 — — — — — 525,783 Gross charge-offs — 331 — — — — — — 331 Consumer loans Residential mortgage Performing 14,942 195,453 91,010 30,092 13,072 48,330 — — 392,899 Nonperforming — 738 456 73 — 1,482 — — 2,749 Total residential mortgage 14,942 196,191 91,466 30,165 13,072 49,812 — — 395,648 Gross charge-offs — 53 70 — 17 — — — 140 Home equity Performing 1,369 1,997 436 467 141 585 16,896 1,778 23,669 Nonperforming — — — — — — — — — Total home equity 1,369 1,997 436 467 141 585 16,896 1,778 23,669 Other consumer Performing 115,736 106,883 41,598 26,527 27,087 58,902 795 — 377,528 Nonperforming — 53 — 5 15 13 — — 86 Total other consumer 115,736 106,936 41,598 26,532 27,102 58,915 795 — 377,614 Gross charge-offs 97 115 20 51 56 243 — — 582 Total Loans $ 624,674 $ 1,040,686 $ 463,824 $ 300,968 $ 362,098 $ 937,458 $ 71,369 $ 1,778 $ 3,802,855 Total gross charge-offs $ 164 $ 1,238 $ 7,420 $ 1,420 $ 808 $ 834 $ — $ — $ 11,884 1 Balance is partially guaranteed by the U.S. government. The following tables present the credit risk profile of the Company’s commercial and consumer loan portfolios based on rating category and payment activity as of December 31, 2022. December 31, 2022 (in thousands) Pass Special Mention Substandard Total Commercial and industrial $ 114,934 $ 1,373 $ 9,801 $ 126,108 Owner-occupied commercial real estate 50,721 9,546 1,569 61,836 Investor commercial real estate 93,121 — — 93,121 Construction 180,768 1,198 — 181,966 Single tenant lease financing 936,207 3,033 — 939,240 Public finance 618,752 2,280 — 621,032 Healthcare finance 271,085 1,376 — 272,461 Small business lending 1 107,885 5,814 10,051 123,750 Franchise finance 299,241 594 — 299,835 Total commercial loans $ 2,672,714 $ 25,214 $ 21,421 $ 2,719,349 1 Balance in “Substandard” is partially guaranteed by the U.S. government. December 31, 2022 (in thousands) Performing Nonperforming Total Residential mortgage $ 382,900 $ 1,048 $ 383,948 Home equity 24,712 — 24,712 Other consumer 324,581 17 324,598 Total $ 732,193 $ 1,065 $ 733,258 The following tables present the Company’s loan portfolio delinquency analysis as of December 31, 2023 and 2022. December 31, 2023 (in thousands) 30-59 60-89 90 Days Total Current Total loans Commercial and industrial $ 40 $ 21 $ — $ 61 $ 129,288 $ 129,349 Owner-occupied commercial real estate — — — — 57,286 57,286 Investor commercial real estate — — — — 132,077 132,077 Construction — — — — 261,750 261,750 Single tenant lease financing — — — — 936,616 936,616 Public finance — — — — 521,764 521,764 Healthcare finance — — — — 222,793 222,793 Small business lending 1 2,680 57 2,794 5,531 212,975 218,506 Franchise Finance — 2,923 303 3,226 522,557 525,783 Residential mortgage 70 709 1,663 2,442 393,206 395,648 Home equity — — — — 23,669 23,669 Other consumer 223 68 53 344 377,270 377,614 Total $ 3,013 $ 3,778 $ 4,813 $ 11,604 $ 3,791,251 $ 3,802,855 1 Balance is partially guaranteed by the U.S. government. December 31, 2022 (in thousands) 30-59 60-89 90 Days Total Current Total loans Commercial and industrial $ 81 $ — $ 51 $ 132 $ 125,976 $ 126,108 Owner-occupied commercial real estate — — — — 61,836 61,836 Investor commercial real estate — — — — 93,121 93,121 Construction — 1,198 — 1,198 180,768 181,966 Single tenant lease financing — — — — 939,240 939,240 Public finance — — — — 621,032 621,032 Healthcare finance — — — — 272,461 272,461 Small business lending 1 57 — 3,485 3,542 120,208 123,750 Franchise Finance 313 — — 313 299,522 299,835 Residential mortgage — 283 185 468 383,480 383,948 Home equity — — — — 24,712 24,712 Other consumer 91 10 — 101 324,497 324,598 Total $ 542 $ 1,491 $ 3,721 $ 5,754 $ 3,446,853 $ 3,452,607 1 Balance is partially guaranteed by the U.S. government. Loans are reclassified to non-accruing status when, in management’s judgment, the collateral value and financial condition of the borrower do not justify accruing interest. At the time the accrual is discontinued, all unpaid accrued interest is reversed against earnings. Interest income accrued in prior years, if any, is charged to the allowance for credit losses. Payments subsequently received on nonaccrual loans are applied to principal. A loan is returned to accrual status when principal and interest are no longer past due and collectability is probable, typically after a minimum of nine consecutive months of performance. The following table summarizes the Company’s nonaccrual loans and loans past due 90 days or more and still accruing by loan class for the periods indicated: December 31, 2023 December 31, 2022 (in thousands) Nonaccrual Loans Nonaccrual Loans with no Allowance for Credit Losses Total Loans Nonaccrual Loans Nonaccrual Loans with no Allowance for Loan Losses Total Loans Commercial and industrial $ — $ — $ — $ 51 $ — $ — Owner-occupied commercial real estate — — — 1,570 1,570 — Small business lending 1 6,824 904 — 4,764 2,766 — Franchise finance 303 — — — Residential mortgage 1,911 1,911 838 1,048 1,048 79 Other consumer 86 86 — 17 17 — Total loans $ 9,124 $ 2,901 $ 838 $ 7,450 $ 5,401 $ 79 1 Balance is partially guaranteed by the U.S. government. There was $0.3 million and $0.2 million in interest income recognized on nonaccrual loans for the twelve months ended December 31, 2023 and December 31, 2022, respectively. Determining fair value for collateral dependent loans requires obtaining a current independent appraisal of the collateral and applying a discount factor, which includes selling costs if applicable, to the value. The fair value of real estate is generally based on appraisals by qualified licensed appraisers. The appraisers typically determine the value of the real estate by utilizing an income or market valuation approach. If an appraisal is not available, the fair value may be determined by using a cash flow analysis. Fair value on other collateral such as business assets is typically ascertained by assessing, either singularly or some combination of, asset appraisals, accounts receivable aging reports, inventory listings and/or customer financial statements. Both appraised values and values based on borrower’s financial information are discounted as considered appropriate based on age and quality of the information and current market conditions. The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses as of December 31, 2023. December 31, 2023 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment The following table summarizes premises and equipment at December 31, 2023 and 2022. December 31, 2023 2022 Land $ 5,598 $ 5,598 Construction in process 1,119 714 Right of use leased asset 66 206 Building and improvements 60,699 57,505 Furniture and equipment 20,836 19,585 Less: accumulated depreciation (14,855) (10,897) $ 73,463 $ 72,711 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill As of December 31, 2023 and 2022, the carrying amount of goodwill was $4.7 million. There have been no changes in the carrying amount of goodwill for the three years ended December 31, 2023, 2022 and 2021. Goodwill is tested for impairment on an annual basis as of August 31, or whenever events or changes in circumstances indicate the carrying amount of goodwill exceeds its implied fair value. The annual test indicated no impairment existed as of August 31, 2023 and no events or changes in circumstances have occurred since the August 31, 2023 annual impairment test that would suggest it was more likely than not goodwill impairment existed. |
Servicing Asset
Servicing Asset | 12 Months Ended |
Dec. 31, 2023 | |
Transfers and Servicing [Abstract] | |
Servicing Asset | Servicing Asset Activity for the servicing asset and the related changes in fair value for the twelve months ended December 31, 2023, 2022 and 2021 are shown in the table below. Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2021 Beginning balance $ 6,255 $ 4,702 $ 3,569 Additions: Originated and purchased servicing 5,775 3,192 2,202 Subtractions: Paydowns (1,842) (1,075) (820) Changes in fair value due to changes in valuation inputs 379 (564) (249) Loan servicing asset revaluation (1,463) (1,639) (1,069) Ending balance $ 10,567 $ 6,255 $ 4,702 Loans serviced for others are not included in the consolidated balance sheets. The unpaid principal balances of these loans serviced for others as of December 31, 2023, 2022 and 2021 are shown in the table below. December 31, 2023 December 31, 2022 December 31, 2021 Loan portfolios serviced for: SBA guaranteed loans $ 531,927 $ 318,194 $ 230,514 Total $ 531,927 $ 318,194 $ 230,514 Loan servicing revenue totaled $3.8 million, $2.6 million and $1.9 million during the twelve months ended December 31, 2023, 2022 and 2021, respectively. Loan servicing asset revaluation, which represents paydowns and the change in fair value of the servicing asset, resulted in a $1.5 million, $1.6 million and $1.1 million downward valuation for twelve months ended December 31, 2023, 2022 and 2021, respectively. The fair value of servicing rights is highly sensitive to changes in underlying assumptions. Though fluctuations in prepayment speeds and changes in secondary market premiums generally have the most substantial impact on the fair value of servicing rights, other influencing factors include changing economic conditions, changes to the discount rate assumption and the weighted average life of the servicing portfolio. Measurement of fair value is limited to the conditions existing and the assumptions used as of a particular point in time; however, those assumptions may change over time. Refer to Note 16 - Fair Value of Financial Instruments for further details. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2023 | |
Deposits [Abstract] | |
Deposits | Deposits The following table presents the composition of the Company’s deposit base as of December 31, 2023 and 2022. December 31, 2023 2022 Noninterest-bearing demand deposit accounts $ 123,464 $ 175,315 Interest-bearing demand deposit accounts 402,976 335,611 Savings accounts 21,364 44,819 Money market accounts 1,248,319 1,418,599 Banking-as-a-Service (“BaaS”) - brokered deposits 74,401 13,607 Certificates of deposits 1,605,156 874,490 Brokered deposits 591,293 578,804 Total deposits $ 4,066,973 $ 3,441,245 Time deposits greater than $250 $ 703,835 $ 484,700 The following table presents time deposit maturities by year as of December 31, 2023. Certificates of Deposits Brokered Certificates of Deposits 2024 $ 1,245,393 $ 87,030 2025 83,378 92,499 2026 63,319 35,430 2027 94,844 40,000 2028 118,222 6,500 Thereafter — 6,400 $ 1,605,156 $ 267,859 |
FHLB Advances
FHLB Advances | 12 Months Ended |
Dec. 31, 2023 | |
Federal Home Loan Banks [Abstract] | |
FHLB Advances | FHLB Advances The Company had outstanding FHLB advances of $614.9 million as of December 31, 2023 and 2022. As of December 31, 2023, the stated interest rates on the Company’s outstanding FHLB advances ranged from 1.06% to 5.53%, with a weighted average interest rate of 3.04%. All advances are collateralized by residential mortgage loans and commercial real estate loans pledged and held by the Company and investment securities pledged by the Company and held in safekeeping with the FHLB. Residential mortgage loans pledged were approximately $330.3 million and $258.0 million as of December 31, 2023 and 2022, respectively, and commercial real estate loans pledged were approximately $932.4 million and $895.3 million as of December 31, 2023 and 2022, respectively. The fair value of investment securities pledged to the FHLB was approximately $662.1 million and $448.4 million as of December 31, 2023 and 2022, respectively. Based on this collateral and the Company’s holding of FHLB stock, the Company is eligible to borrow up to an additional $663.2 million at year-end 2023. As of December 31, 2023, the Company had $125.0 million of putable advances with the FHLB. The Company’s FHLB advances are scheduled to mature according to the following schedule: Amount 2024 $ 255,003 2025 90,000 2026 10,000 2027 100,000 2028 35,000 Thereafter 124,931 $ 614,934 |
Subordinated Debt
Subordinated Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Subordinated Debt | Subordinated Debt In June 2019, the Company issued $37.0 million aggregate principal amount of 6.0% Fixed-to-Floating Rate Subordinated Notes due 2029 (the “2029 Notes”) in a public offering. The 2029 Notes initially bear a fixed interest rate of 6.0% per year to, but excluding, June 30, 2024, and thereafter a floating rate equal to the then-current benchmark rate (initially three-month LIBOR rate) plus 4.11%. All interest on the 2029 Notes is payable quarterly. The 2029 Notes are scheduled to mature on June 30, 2029. The 2029 Notes are unsecured subordinated obligations of the Company and may be repaid, without penalty, on any interest payment date on or after June 30, 2024. The 2029 Notes are intended to qualify as Tier 2 capital under regulatory guidelines. In October 2020, the Company entered into a term loan in the principal amount of $10.0 million, evidenced by a term note due 2030 (the “2030 Note”). The 2030 Note initially bears a fixed interest rate of 6.0% per year to, but excluding, November 1, 2025 and thereafter at a floating rate equal to the then-current benchmark rate (initially three-month Term SOFR plus 5.795%). The 2030 Note is scheduled to mature on November 1, 2030. The 2030 Note is an unsecured subordinated obligation of the Company and may be repaid, without penalty, on any interest payment date on or after November 1, 2025. The 2030 Note is intended to qualify as Tier 2 capital under regulatory guidelines. The Company used the net proceeds from the issuance of the 2030 Note to redeem a subordinated term note that had been entered into in October 2015. In August 2021, the Company issued $60.0 million aggregate principal amount of 3.75% Fixed-to-Floating Rate Subordinated Notes due 2031 (the “2031 Notes”) in a private placement. The 2031 Notes initially bear a fixed interest rate of 3.75% per year to, but excluding, September 1, 2026, and thereafter a floating rate equal to the then-current benchmark rate (initially three-month Term SOFR plus 3.11%). The 2031 Notes are scheduled to mature on September 1, 2031. The 2031 Notes are unsecured subordinated obligations of the Company and may be repaid, without penalty, on any interest payment date on or after September 1, 2026. The 2031 Notes are intended to qualify as Tier 2 capital under regulatory guidelines. The Company used a portion of the net proceeds from the issuance of the 2031 Notes to redeem subordinated notes issued by the Company in 2016. Pursuant to the terms of a Registration Rights Agreement between the Company and the initial purchasers of the 2031 Notes, the Company offered to exchange the 2031 Notes for subordinated notes that are registered under the Securities Act of 1933, as amended, and have substantially the same terms as the 2031 Notes. On December 30, 2021, we completed an exchange of $59.3 million principal amount of the unregistered 2031 Notes for registered 2031 Notes in satisfaction of our obligations under the registration rights agreement. Holders of $0.7 million of unregistered 2031 Notes did not participate in the exchange. The following table presents the principal balance and unamortized discount and debt issuance costs for the 2029 Notes, the 2030 Note and the 2031 Notes as of December 31, 2023 and 2022. December 31, 2023 December 31, 2022 Principal Unamortized Discount and Debt Issuance Costs Principal Unamortized Discount and Debt Issuance Costs 2029 Notes $ 37,000 $ (862) $ 37,000 $ (1,020) 2030 Note 10,000 (160) 10,000 (184) 2031 Notes 60,000 (1,140) 60,000 (1,264) Total $ 107,000 $ (2,162) $ 107,000 $ (2,468) |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Benefit Plans | Benefit Plans 401(k) Plan The Company has a 401(k) plan established for substantially all full-time and part-time employees, as defined in the plan. Employee contributions are limited to the maximum established by the Internal Revenue Service on an annual basis. The Company has elected to match contributions equal to 100% up to the first 1% of employee deferrals and then 50% on deferrals of 2% to 6% equating to a maximum match of 3.5% of an individual’s total eligible salary, as defined in the plan. The company match vests immediately. Discretionary employer-matching contributions begin vesting immediately at a rate of 50% per year of employment and are fully vested after the completion of two years of employment. Contributions totaled approximately $0.9 million in the twelve months ended December 31, 2023, 2022 and 2021, respectively. Employment Agreements The Company is party to certain employment agreements with each of its Chief Executive Officer, President and Chief Operating Officer and Executive Vice President and Chief Financial Officer. The employment agreements each provide for annual base salaries and annual bonuses, if any, as determined from time to time by the Compensation Committee of our Board of Directors. The annual bonuses are to be determined with reference to the achievement of annual performance objectives established by the Compensation Committee. The agreements also provide that each of the Chief Executive Officer, President and Chief Operating Officer and Executive Vice President and Chief Financial Officer, may be awarded additional compensation, benefits, or consideration as the Compensation Committee may determine. The agreements also provide for the continuation of salary and certain other benefits for a specified period of time upon termination of employment under certain circumstances, including resignation for “good reason,” termination by the Company without “cause” at any time or any termination of employment within twelve months following a “change in control,” along with other specific conditions. 2022 Equity Incentive Plan The First Internet Bancorp 2022 Equity Incentive Plan (the “2022 Plan”) was approved by our Board of Directors and ratified by our shareholders on May 16, 2022. The plan permits awards of incentive and non-statutory stock options, stock appreciation rights, restricted stock awards, stock unit awards, performance awards and other stock-based awards. All employees, consultants and advisors of the Company or any subsidiary, as well as all non-employee directors of the Company, are eligible to receive awards under the 2022 Plan. The 2022 Plan initially authorized the issuance of 400,000 new shares of the Company’s common stock plus all shares of common stock that remained available for future grants under the First Internet Bancorp 2013 Equity Incentive Plan (the “2013 Plan”). Award Activity Under 2022 Plan The Company recorded $0.8 million and $0.1 million of share-based compensation expense for the years ended December 31, 2023, and 2022, respectively, related to stock-based awards under the 2022 Plan. The following table summarizes the stock-based award activity under the 2022 Plan for the year ended December 31, 2023. Restricted Stock Units Weighted-Average Grant Date Fair Value Per Share Restricted Stock Awards Weighted-Average Grant Date Fair Value Per Share Deferred Stock Units Weighted-Average Grant Date Fair Value Per Unit Unvested at January 1, 2023 — $ — 3,558 $ 36.84 — $ — Granted 147,576 24.61 30,030 11.18 — — Forfeited — — — — — Vested — — (3,558) 36.84 Unvested at December 31, 2023 147,576 $ 24.61 30,030 $ 11.18 — $ — At December 31, 2023, the total unrecognized compensation cost related to unvested stock-based awards was $1.3 million with a weighted-average expense recognition period of 1.9 years. 2013 Equity Incentive Plan The 2013 Plan authorized the issuance of 750,000 shares of the Company’s common stock in the form of stock-based awards to employees, directors and other eligible persons. Although outstanding stock-based awards under the 2013 Plan remain in place according to their terms, our authority to grant new awards under the 2013 Plan terminated upon shareholder approval of the 2022 Plan. Award Activity Under 2013 Plan The Company recorded $0.4 million, $2.0 million and $2.4 million of share-based compensation expense for the years ended December 31, 2023, 2022 and 2021, respectively, related to stock-based awards under the 2013 Plan. The following table summarizes the stock-based award activity under the 2013 Plan for the year ended December 31, 2023: Restricted Stock Units Weighted-Average Grant Date Fair Value Per Share Restricted Stock Awards Weighted-Average Grant Date Fair Value Per Share Deferred Stock Units Weighted-Average Grant Date Fair Value Per Unit Unvested at January 1, 2023 101,734 $ 35.93 — $ — — $ — Granted — — — — — — Forfeited (278) 27.56 — — — Vested (47,471) 31.56 — — — Unvested at December 31, 2023 53,985 $ 39.86 — — $ — As of December 31, 2023, the total unrecognized compensation cost related to unvested awards was $0.6 million with a weighted-average expense recognition period of 1.1 years. Directors Deferred Stock Plan Until January 1, 2014, the Company had a stock compensation plan for non-employee members of the Board of Directors (“Directors Deferred Stock Plan”). The Company reserved 180,000 shares of common stock that could have been issued pursuant to the Directors Deferred Stock Plan. The plan provided directors the option to elect to receive up to 100% of their annual retainer in either common stock or deferred stock rights. Deferred stock rights were to be settled in common stock following the end of the deferral period payable on the basis of one share of common stock for each deferred stock right. The following table summarizes the status of deferred stock rights related to the Directors Deferred Stock Plan for the year ended December 31, 2023. Deferred Rights Outstanding, beginning of year 40,414 Granted 402 Released (12,278) Outstanding, end of year 28,538 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provision for income taxes consists of the following: December 31, 2023 2022 2021 Current $ 876 $ (73) $ 6,024 Deferred (4,353) 4,632 2,434 Total $ (3,477) $ 4,559 $ 8,458 Income tax provision is reconciled to the statutory 21 % rate applied to pre-tax income. December 31, 2023 2022 2021 Statutory rate times pre-tax income $ 1,037 $ 8,421 $ 11,880 (Subtract) add the tax effect of: Income from tax-exempt securities and loans (3,951) (4,190) (4,217) State income tax, net of federal tax effect (30) 592 865 Bank-owned life insurance (215) (201) (199) Tax credits (168) (143) (175) Other differences (150) 80 304 Total income taxes $ (3,477) $ 4,559 $ 8,458 The net deferred tax asset at December 31, 2023 and 2022 consists of the following: December 31, 2023 2022 Deferred tax assets (liabilities) Allowance for loan losses $ 9,847 $ 8,569 Net unrealized losses on available-for-sale securities and hedged items 8,776 10,047 Fair value adjustments (12,101) (12,097) Depreciation (4,306) (2,612) Deferred compensation and accrued payroll 1,228 1,574 Loan origination costs (1,379) (1,816) Prepaid assets (806) (813) Net operating loss 13,309 8,928 Tax credits 711 — Other 335 312 Total deferred tax assets, net $ 15,614 $ 12,092 As of December 31, 2023 and 2022 the Company had federal net operating loss (“NOL”) carryforwards of approximately $57.2 million and $40.5 million, respectively, and state NOL carryforwards of $8.5 million and $9.1 million, respectively. For federal income tax purposes, the NOL has no expiration period; however, for state income tax purposes, the NOL may have varying expiration periods. The Company expects to generate sufficient taxable income in the future to utilize the loss generated. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions In the normal course of business, the Company may enter into transactions with various related parties. In management’s opinion, such loans, other extensions of credit, and deposits were made in the ordinary course of business and were made on substantially the same terms (including interest rates and collateral) as those prevailing at the time for comparable transactions with other persons. Further, in management’s opinion, these loans did not involve more than the normal risk of collectability or present other unfavorable features. Related party loans and extensions of credit at December 31, 2023 and 2022 totaled $45.9 million and $21.9 million, respectively. The following table presents the change in related party loans as of December 31, 2023 and 2022. Twelve Months Ended December 31, 2023 December 31, 2022 Balance at the beginning of period $ 21,860 $ 11,364 New Term Loans 19,139 21,810 Additions 4,956 — Repayment of term loans (12) (11,324) Changes in balances of revolving lines of credit (17) 10 Balance at end of period $ 45,926 $ 21,860 Deposits from related parties held by the Company at December 31, 2023 and 2022 totaled $28.3 million and $33.7 million, respectively. |
Regulatory Capital Requirements
Regulatory Capital Requirements | 12 Months Ended |
Dec. 31, 2023 | |
Mortgage Banking [Abstract] | |
Regulatory Capital Requirements | Regulatory Capital Requirements The Company and the Bank are subject to various regulatory capital requirements administered by state and federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators about components, risk weighting and other factors. The Basel III Capital Rules became effective for the Company and the Bank on January 1, 2015, subject to a phase-in period for certain provisions. Quantitative measures established by the Basel III Capital Rules to ensure capital adequacy require the maintenance of minimum amounts and ratios of Common Equity Tier 1 capital, Tier 1 capital and Total capital, as defined in the regulations, to risk-weighted assets, and of Tier 1 capital to adjusted quarterly average assets (“Leverage Ratio”). The Basel III Capital Rules were fully phased in on January 1, 2019 and require the Company and the Bank to maintain: 1) a minimum ratio of Common Equity Tier 1 capital to risk-weighted assets of 4.5%, plus a 2.5% “capital conservation buffer” (resulting in a minimum ratio of Common Equity Tier 1 capital to risk-weighted assets of 7.0%); 2) a minimum ratio of Tier 1 capital to risk-weighted assets of 6.0%, plus the capital conservation buffer (resulting in a minimum Tier 1 capital ratio of 8.5%); 3) a minimum ratio of Total capital to risk-weighted assets of 8.0%, plus the capital conservation buffer (resulting in a minimum Total capital ratio of 10.5%); and 4) a minimum Leverage Ratio of 4.0%. The capital conservation buffer is designed to absorb losses during periods of economic stress. Failure to maintain the minimum Common Equity Tier 1 capital ratio plus the capital conservation buffer will result in potential restrictions on a banking institution’s ability to pay dividends, repurchase stock and/or pay discretionary compensation to its employees. The following tables present actual and required capital ratios as of December 31, 2023 and 2022 for the Company and the Bank under the Basel III Capital Rules. The minimum required capital amounts presented include the minimum required capital levels as of December 31, 2023 and 2022 based on the Basel III Capital Rules. Capital levels required to be considered well capitalized are based upon prompt corrective action regulations, as amended to reflect the changes under the Basel III Capital Rules. As permitted by the federal banking regulatory agencies, the Company has elected the option to delay the impact of the day one adoption of ASC 326. The transition adjustments of $4.5 million will be phased into the regulatory capital calculations over a three-year period, with 25% of the adjustment recognized in 2023, 50% of the adjustment recognized in 2024, 75% of the adjustment recognized in 2025 and 100% of the adjustment recognized in 2026. Actual Minimum Capital Required - Basel III Minimum Required to be Considered Well Capitalized Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio As of December 31, 2023: Common equity tier 1 capital to risk-weighted assets Consolidated $ 381,001 9.60 % $ 277,914 7.00 % N/A N/A Bank 464,390 11.73 % 277,063 7.00 % $ 257,273 6.50 % Tier 1 capital to risk-weighted assets Consolidated 381,001 9.60 % 337,467 8.50 % N/A N/A Bank 464,390 11.73 % 336,434 8.50 % 316,644 8.00 % Total capital to risk-weighted assets Consolidated 525,283 13.23 % 416,870 10.50 % N/A N/A Bank 503,834 12.73 % 415,595 10.50 % 395,804 10.00 % Leverage ratio Consolidated 381,001 7.33 % 207,929 4.00 % N/A N/A Bank 464,390 8.95 % 207,479 4.00 % 259,349 5.00 % Actual Minimum Capital Required - Basel III Minimum Required to be Considered Well Capitalized Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio As of December 31, 2022: Common equity tier 1 capital to risk-weighted assets Consolidated $ 390,150 10.93 % $ 249,795 7.00 % N/A N/A Bank 466,257 13.10 % 249,191 7.00 % $ 231,392 6.50 % Tier 1 capital to risk-weighted assets Consolidated 390,150 10.93 % 303,323 8.50 % N/A N/A Bank 466,257 13.10 % 302,590 8.50 % 284,790 8.00 % Total capital to risk-weighted assets Consolidated 526,419 14.75 % 374,693 10.50 % N/A N/A Bank 497,994 13.99 % 373,787 10.50 % 355,988 10.00 % Leverage ratio Consolidated 390,150 9.06 % 172,330 4.00 % N/A N/A Bank 466,257 10.84 % 172,093 4.00 % 215,116 5.00 % |
Commitments and Credit Risk
Commitments and Credit Risk | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Credit Risk | Commitments and Credit Risk In the normal course of business, the Company makes various commitments to extend credit which are not reflected in the accompanying consolidated financial statements. At December 31, 2023 and 2022, the Company had outstanding loan commitments totaling approximately $755.4 million and $485.4 million, respectively. Capital Commitments Capital expenditures were made in connection with the construction of the building where our corporate headquarters is located, along with an attached parking garage. The Company entered into construction-related contracts. As of December 31, 2023, the project was completed at a total cost of $67.2 million. There are no remaining capital commitments left at December 31, 2023. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments ASC Topic 820, Fair Value Measurements , defines fair value as 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. ASU Topic 820 also specifies a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets or liabilities Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities Following is a description of the valuation methodologies and inputs used for assets measured at fair value on a recurring basis and recognized in the accompanying consolidated balance sheets, as well as the general classification of such assets pursuant to the valuation hierarchy. Available-for-Sale Securities Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. The Company did not own any securities classified within Level 1 of the hierarchy as of December 31, 2023 or December 31, 2022. Level 2 securities include U.S. Government-sponsored agencies, municipal securities, mortgage and asset-backed securities and corporate securities. Matrix pricing is a mathematical technique widely used in the banking industry to value investment securities. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy. Fair values are calculated using discounted cash flows. Discounted cash flows are calculated based off of the anticipated future cash flows updated to incorporate loss severities. Rating agency and industry research reports as well as default and deferral activity are reviewed and incorporated into the calculation. The Company did not own any securities classified within Level 3 of the hierarchy as of December 31, 2023 or 2022. Loans Held-for-Sale (mandatory pricing agreements) The fair value of loans held-for-sale is determined using quoted prices for similar assets, adjusted for specific attributes of that loan (Level 2). Servicing Asset Fair value is based on a loan-by-loan basis taking into consideration the origination to maturity dates of the loans, the current age of the loans and the remaining term to maturity. The valuation methodology utilized for the servicing asset begins with generating estimated future cash flows for each servicing asset based on their unique characteristics and market-based assumptions for prepayment speeds and costs to service. The present value of the future cash flows is then calculated utilizing market-based discount rate assumptions (Level 3). Interest Rate Swap Agreements The fair values of interest rate swap agreements are estimated using current market interest rates as of the balance sheet date and calculated using discounted cash flows that are observable or that can be corroborated by observable market data (Level 2). Back-to-Back Swap Agreements The Company offers interest rate swaps to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. The Company originates a variable rate loan and enters into a variable-to-fixed interest rate contract with the customer. The Company also enters into an offsetting interest rate swap with a correspondent bank. These back-to-back swap agreements are intended to offset each other and allow the Company to originate a variable rate loan, while providing a contract for fixed interest payments for the customer. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer. The fair value of these derivatives is based on a discounted cash flow approach. The fair value assets and liabilities of centrally cleared interest rate swaps are net of variation margin settled-to-market (Level 2). Forward Contracts The fair values of forward contracts on to-be-announced securities are determined using quoted prices in active markets, or benchmarked thereto (Level 1). Interest Rate Lock Commitments The fair values of IRLCs are determined using the projected sale price of individual loans based on changes in market interest rates, projected pull-through rates (the probability that an IRLC will ultimately result in an originated loan), the reduction in the value of the applicant’s option due to the passage of time, and the remaining origination costs to be incurred based on management’s estimate of market costs (Level 3). The following tables present the fair value measurements of assets and liabilities recognized in the accompanying consolidated balance sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2023 and 2022. December 31, 2023 Fair Value Measurements Using Fair Quoted Prices Significant Significant U.S. Government-sponsored agencies $ 95,177 $ — $ 95,177 $ — Municipal securities 68,446 — 68,446 — Agency mortgage-backed securities - residential 206,649 — 206,649 — Agency mortgage-backed securities - commercial 38,885 — 38,885 Private label mortgage-backed securities - residential 20,779 — 20,779 — Asset-backed securities 8,081 — 8,081 — Corporate securities 36,838 — 36,838 — Total available-for-sale securities $ 474,855 $ — $ 474,855 $ — Servicing asset 10,567 — — 10,567 Interest rate swaps assets 5,139 — 5,139 — Interest rate swap agreements - assets (back-to-back) 677 — 677 — Interest rate swap agreements - liabilities (back-to-back) (677) — (677) — December 31, 2022 Fair Value Measurements Using Fair Quoted Prices Significant Significant U.S. Government-sponsored agencies $ 33,809 $ — $ 33,809 $ — Municipal securities 67,276 — 67,276 — Agency mortgage-backed securities - residential 215,092 — 215,092 — Agency mortgage-backed securities - commercial 15,840 — 15,840 — Private label mortgage-backed securities - residential 10,455 — 10,455 — Asset-backed securities 4,960 — 4,960 — Corporate securities 42,952 — 42,952 — Total available-for-sale securities $ 390,384 $ — $ 390,384 $ — Servicing asset 6,255 — — 6,255 Interest rate swaps assets 8,645 — 8,645 — Loans held-for-sale (mandatory pricing agreements) 9,110 — 9,110 — Forward contracts 97 97 — — IRLCs 133 — — 133 The following table reconciles the beginning and ending balances of recurring fair value measurements recognized in the accompanying consolidated balance sheets using significant unobservable (Level 3) inputs. Servicing Asset Interest Rate Lock Commitments Balance as of January 1, 2021 $ 3,569 $ 3,361 Total realized gains Additions 2,202 — Paydowns (820) Change in fair value (249) (2,643) Balance, December 31, 2021 4,702 718 Total realized gains Additions 3,192 — Paydowns (1,135) — Change in fair value (504) (585) Balance, December 31, 2022 6,255 133 Total realized gains Additions 5,775 — Paydowns (1,842) — Change in fair value 379 (133) Balance, December 31, 2023 $ 10,567 $ — The following describes the valuation methodologies and inputs used for assets measured at fair value on a nonrecurring basis, as well as the general classification of such assets pursuant to the valuation hierarchy. Collateral Dependent Loans Loans for which it is probable that the Company will not collect all principal and interest due according to contractual terms are measured for impairment. The amount of impairment may be determined based on the fair value of the underlying collateral, less costs to sell, the estimated present value of future cash flows or the loan’s observable market price. If the individually evaluated loan is identified as collateral dependent, the fair value of the underlying collateral, less costs to sell, is used to measure impairment. This method requires obtaining a current independent appraisal of the collateral and applying a discount factor to the value. If the individually evaluated loan is not collateral dependent, the Company utilizes a discounted cash flow analysis to measure impairment. Individually evaluated loans with a specific valuation allowance based on the value of the underlying collateral or a discounted cash flow analysis are classified as Level 3 assets. The following table presents the fair value measurements of assets and liabilities recognized in the accompanying condensed consolidated balance sheets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurement falls at December 31, 2023 and December 31, 2022. December 31, 2023 Fair Value Measurements Using Fair Quoted Prices Significant Significant Collateral dependent loans 2,799 — — 2,799 December 31, 2022 Fair Value Measurements Using Fair Quoted Prices Significant Significant Impaired loans 1,164 — — 1,164 Significant (Level 3) Inputs The following tables present quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements. (dollars in thousands) Fair Value at Valuation Significant Unobservable Range Weighted-Average Range Collateral dependent loans $ 2,799 Fair value of collateral Discount for type of property and current market conditions 0% - 90% 28% Servicing asset 10,567 Discounted cash flow Prepayment speeds Discount rate 0% - 25% 15% 11.3% 15% (dollars in thousands) Fair Value at Valuation Unobservable Range Weighted - Average Range Impaired loans $ 1,164 Fair value of collateral Discount for type of property and current market conditions 0% - 25% 20% IRLCs 133 Discounted cash flow Loan closing rates 31% - 100% 89% Servicing asset 6,255 Discounted cash flow Prepayment speeds Discount rate 0% - 25% 14% 14.6% 14% The following methods were used to estimate the fair value of all other financial instruments recognized in the accompanying consolidated balance sheets at amounts other than fair value: Cash and Cash Equivalents For these instruments, the carrying amount is a reasonable estimate of fair value. Securities Held-to-Maturity Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. The Company did not own any securities classified within Level 1 of the hierarchy as of December 31, 2023 or December 31, 2022. Level 2 securities include agency mortgage-backed securities - residential, municipal securities and corporate securities. Matrix pricing is a mathematical technique widely used in the banking industry to value investment securities. In certain cases where Level 1 or Level 2 inputs are not available, securities are classified within Level 3 of the hierarchy. Fair values are calculated using discounted cash flows. Discounted cash flows are calculated based off of the anticipated future cash flows updated to incorporate loss severities. Rating agency and industry research reports as well as default and deferral activity are reviewed and incorporated into the calculation. The Company did not own any securities classified within Level 3 of the hierarchy as of December 31, 2023 or December 31, 2022. Loans The fair value of loans is estimated on an exit price basis incorporating discounts for credit, liquidity and marketability factors. Accrued Interest Receivable The fair value of these financial instruments approximates carrying value. Federal Home Loan Bank of Indianapolis Stock The fair value of this financial instrument approximates carrying value. Deposits The fair value of noninterest-bearing and interest-bearing demand deposits, savings accounts and money market accounts approximates carrying value. The fair value of fixed maturity certificates of deposit and brokered deposits are estimated using rates currently offered for deposits of similar remaining maturities. Advances from Federal Home Loan Bank The fair value of fixed rate advances is estimated using rates currently offered for similar remaining maturities. The carrying value of variable rate advances approximates fair value. Subordinated Debt The fair value of the Company’s publicly traded subordinated debt is obtained from quoted market prices. The fair value of the Company’s remaining subordinated debt is estimated using discounted cash flow analysis based on current borrowing rates for similar types of debt instruments. Accrued Interest Payable The fair value of these financial instruments approximates carrying value. Commitments The fair value of commitments to extend credit are based on fees currently charged to enter into similar agreements with similar maturities and interest rates. The Company determined that the fair value of commitments was zero based on the contractual value of outstanding commitments at December 31, 2023 and 2022. The following tables provide the carrying amounts and estimated fair values of the Company's financial instruments at December 31, 2023 and 2022: December 31, 2023 Fair Value Measurements Using Carrying Fair Value Quoted Prices Significant Significant Cash and cash equivalents $ 405,898 $ 405,898 $ 405,898 $ — $ — Securities held-to-maturity 227,153 207,572 — 207,572 — Loans held-for-sale (best efforts pricing agreements) 22,052 22,052 — 22,052 Net loans 3,801,446 3,611,909 — — 3,611,909 Accrued interest receivable 26,746 26,746 26,746 — — Federal Home Loan Bank of Indianapolis stock 28,350 28,350 — 28,350 — Deposits 4,066,973 4,059,447 1,796,123 — 2,263,324 Advances from Federal Home Loan Bank 614,934 605,366 — 605,366 — Subordinated debt 104,838 102,632 32,560 70,072 — Accrued interest payable 3,848 3,848 3,848 — — December 31, 2022 Fair Value Measurements Using Carrying Fair Value Quoted Prices Significant Significant Cash and cash equivalents $ 256,552 $ 256,552 $ 256,552 $ — $ — Securities held-to-maturity 189,168 168,483 — 168,483 — Loans held-for-sale (best efforts pricing agreements) 12,401 12,401 — 12,401 — Net loans 3,467,664 3,225,845 — — 3,225,845 Accrued interest receivable 21,069 21,069 21,069 — — Federal Home Loan Bank of Indianapolis stock 28,350 28,350 — 28,350 — Deposits 3,441,245 3,415,390 1,974,344 — 1,441,046 Advances from Federal Home Loan Bank 614,928 596,455 — 596,455 — Subordinated debt 104,532 102,669 32,560 70,109 — Accrued interest payable 2,913 2,913 2,913 — — |
Mortgage Banking Activities
Mortgage Banking Activities | 12 Months Ended |
Dec. 31, 2023 | |
Mortgage Banking [Abstract] | |
Mortgage Banking Activities | Mortgage Banking Activities The Bank’s residential real estate lending business originated mortgage loans for customers and typically sold a majority of the originated loans into the secondary market. For most of the mortgages sold in the secondary market, the Bank hedged its mortgage banking pipeline by entering into forward contracts for the future delivery of mortgage loans to third party investors and entering into IRLCs with potential borrowers to fund specific mortgage loans that would be sold into the secondary market. To facilitate the hedging of the loans, the Bank elected the fair value option for loans originated and intended for sale in the secondary market under mandatory pricing agreements Changes in the fair value of loans held-for-sale, IRLCs and forward contracts are recorded in the mortgage banking activities line item within noninterest income. Refer to Note 18 for further information on derivative financial instruments. During the years ended December 31, 2023, 2022, and 2021, the Company originated mortgage loans held-for-sale of $36.3 million, $388.0 million, and $721.3 million, respectively, and received $46.5 million, $411.5 million, and $714.9 million from the sale of mortgage loans, respectively, into the secondary market. During the first quarter 2023, the Company made the decision to exit the residential mortgage business. The following table provides the components of income from mortgage banking activities for the years ended December 31, 2023, 2022, and 2021. Year Ended December 31, 2023 2022 2021 Gain on loans sold $ 471 $ 6,101 $ 17,803 Loss resulting from the change in fair value of loans held-for-sale (143) (184) (718) (Loss) gain resulting from the change in fair value of derivatives (252) (453) (2,035) Net revenue from mortgage banking activities $ 76 $ 5,464 $ 15,050 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments The Company uses derivative financial instruments to help manage exposure to interest rate risk and the effects that changes in interest rates may have on net income and the fair value of assets and liabilities. The Company enters into interest rate swap agreements as part of its asset/liability management strategy to help manage its interest rate risk position. Additionally, the Company entered into forward contracts for the future delivery of mortgage loans to third-party investors and entered into IRLCs with potential borrowers to fund specific mortgage loans that were sold into the secondary market. The forward contracts were entered into in order to economically hedge the effect of changes in interest rates resulting from the Company’s commitment to fund the loans. The Company had various interest rate swap agreements designated and qualifying as accounting hedges during the reported periods. Designating an interest rate swap as an accounting hedge allows the Company to recognize gains and losses in the condensed consolidated statements of income within the same period that the hedged item affects earnings. The Company includes the gain or loss on the hedged items in the same line item as the offsetting loss or gain on the related interest rate swaps. For derivative instruments that are designated and qualify as cash flow hedges, any gains or losses related to changes in fair value are recorded in accumulated other comprehensive loss, net of tax. The fair value of interest rate swaps with a positive fair value are reported in accrued income and other assets in the condensed consolidated balance sheets, while interest rate swaps with a negative fair value are reported in accrued expenses and other liabilities in the condensed consolidated balance sheets. The Company offers interest rate swaps to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. The Company originates a variable rate loan and enters into a variable-to-fixed interest rate contract with the customer. The Company also enters into an offsetting interest rate swap with a correspondent bank. These back-to-back swap agreements are intended to offset each other and allow the Company to originate a variable rate loan, while providing a contract for fixed interest payments for the customer. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer. The fair value of these derivatives is based on a discounted cash flow approach. The fair value assets and liabilities of centrally cleared interest rate swaps are net of variation margin settled-to-market. The IRLCs and forward contracts are not designated as accounting hedges and are recorded at fair value with changes in fair value reflected in noninterest income on the condensed consolidated statements of income. The fair value of derivative instruments with a positive fair value are reported in accrued income and other assets in the condensed consolidated balance sheets, while derivative instruments with a negative fair value are reported in accrued expenses and other liabilities in the condensed consolidated balance sheets. The following table presents amounts that were recorded in the consolidated balance sheets related to cumulative basis adjustments for interest rate swap derivatives designated as fair value accounting hedges as of December 31, 2023 and 2022. Carrying amount of the hedged assets Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged assets Line item in the consolidated balance sheet in which the hedged item is included December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Securities available-for-sale 1 $ 69,504 $ 68,963 $ (1,143) $ (2,088) 1 These amounts include the amortized cost basis of closed portfolios used to designate hedging relationships in which the hedged item is the last layer expected to be remaining at the end of the hedging relationship. The amounts of the designated hedged items were $50.0 million at December 31, 2023 and 2022. The following tables present a summary of interest rate swap derivatives designated as fair value accounting hedges of fixed-rate receivables used in the Company's asset/liability management activities at December 31, 2023 and December 31, 2022, identified by the underlying interest rate-sensitive instruments. December 31, 2023 Weighted Average Remaining Maturity (years) Weighted-Average Rate Instruments Associated With Notional Value Fair Value Receive Pay Securities available-for-sale $ 50,000 0.8 $ 1,153 3 month SOFR 2.33% Total swap portfolio at December 31, 2023 $ 50,000 0.8 $ 1,153 3 month SOFR 2.33% December 31, 2022 Weighted Average Remaining Maturity (years) Weighted-Average Rate Instruments Associated With Notional Value Fair Value Receive Pay Securities available-for-sale $ 50,000 1.8 $ 2,093 3 month LIBOR 2.33% Total swap portfolio at December 31, 2022 $ 50,000 1.8 $ 2,093 3 month LIBOR 2.33% In March 2021, the Company terminated the last layer of interest rate swaps associated with available-for-sale agency mortgage-backed securities - residential, which resulted in swap termination payments to counterparties totaling $1.9 million. The corresponding fair value hedging adjustment was allocated pro-rata to the underlying hedged securities and is being amortized over the remaining lives of the designated securities. During the year ended December 31, 2023, amortization expense totaling $0.4 million was recognized as a reduction to interest income on securities. In June 2020, the Company terminated all fair value hedging relationships associated with loans, which resulted in swap termination payments to counterparties totaling $46.1 million. The corresponding loan fair value hedging adjustment as of the date of termination is being amortized over the remaining lives of the designated loans, which have a weighted average term to maturity of 10.4 years as of December 31, 2023. During the years ended December 31, 2023 and 2022, amortization expense totaling $4.7 million and $4.9 million, respectively, related to these previously terminated fair value hedges was recognized as a reduction to interest income on loans. The following tables present a summary of interest rate swap derivatives designated as cash flow accounting hedges of variable-rate liabilities used in the Company's asset/liability management activities at December 31, 2023 and December 31, 2022. December 31, 2023 Weighted Average Remaining Maturity (years) Weighted-Average Rate Cash Flow Hedges Notional Value Fair Value Receive Pay Interest rate swaps $ 110,000 3.1 $ 3,596 3-month SOFR 2.88% Interest rate swaps 40,000 0.4 390 Fed Funds Effective 2.78% December 31, 2022 Weighted Average Remaining Maturity (years) Weighted-Average Rate Cash Flow Hedges Notional Value Fair Value Receive Pay Interest rate swaps $ 110,000 4.1 $ 4,787 3 month LIBOR 2.88% Interest rate swaps 60,000 0.6 735 1 month LIBOR 2.88% Interest rate swaps 40,000 1.4 1,030 Fed Funds Effective 2.78% These derivative financial instruments were entered into for the purpose of managing the interest rate risk of certain assets and liabilities. The Company received $5.2 million and $7.7 million of cash collateral from counterparties as security for their obligations related to these swap transactions at December 31, 2023 and 2022, respectively. The Company had no pledged cash collateral as of December 31, 2023 and December 31, 2022 to counterparties on interest rate swap agreements as security for its obligations related to these agreements. Collateral posted and received is dependent on the market valuation of the underlying hedges. The following table presents the notional amount and fair value of interest rate swaps, IRLCs and forward contracts utilized by the Company at December 31, 2023 and 2022. December 31, 2023 December 31, 2022 Notional Fair Notional Fair Asset Derivatives Derivatives designated as hedging instruments Interest rate swaps associated with securities available-for-sale $ 50,000 $ 1,153 $ 50,000 $ 2,093 Interest rate swaps associated with liabilities 150,000 3,986 210,000 6,552 Derivatives not designated as hedging instruments Back-to-back swaps 1,778 $ 677 — — IRLCs — — 14,862 133 Forward contracts — — 17,000 97 Total contracts $ 201,778 $ 5,816 $ 291,862 $ 8,875 Liability Derivatives Derivatives not designated as hedging instruments Back-to-back swaps 1,778 (677) — — Total contracts $ 1,778 $ (677) $ — $ — The fair values of interest rate swaps were estimated using a discounted cash flow method that incorporates current market interest rates as of the balance sheet date. Fair values of IRLCs and forward contracts were estimated using changes in mortgage interest rates and other factors from the date the Company entered into the IRLC and the balance sheet date. Refer to “Note 16 - Fair Value of Financial Instruments” for additional information. Back-to-back swaps consist of two interest-rate swaps (a customer swap and an offsetting counterparty swap). As a result of this offsetting relationship, no net gains or losses are recognized in income. The following table presents the effects of the Company's cash flow hedge relationships on the consolidated statements of comprehensive income during the twelve months ended December 31, 2023, 2022, and 2021. Amount of (Loss) gain recognized in Other Comprehensive Income in the Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2021 Interest rate swap agreements $ (2,566) $ 19,091 $ 11,138 The following table summarizes the periodic changes in the fair value of derivatives not designated as hedging instruments on the condensed consolidated statements of income for the twelve months ended December 31, 2023, 2022, and 2021. Amount of (Loss) / Gain Recognized in the Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2021 Asset Derivatives Derivatives not designated as hedging instruments Forward contracts $ — $ 127 $ 610 Liability Derivatives Derivatives not designated as hedging instruments IRLCs $ (133) $ (585) $ (2,643) Forward contracts (119) — — The following table presents the effects of the Company's interest rate swap agreements on the consolidated statements of income during the twelve months ended December 31, 2023, 2022, and 2021. Line item in the consolidated statements of income December 31, 2023 December 31, 2022 December 31, 2021 Interest income Loans $ — $ — $ — Securities - taxable — — (253) Securities - non-taxable 1,471 (244) (1,099) Total interest income 1,471 (244) (1,352) Interest expense Deposits (1,671) 1,125 2,775 Other borrowed funds (2,622) 1,110 3,028 Total interest expense (4,293) 2,235 5,803 Net interest income $ 5,764 $ (2,479) $ (7,155) |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | Shareholders’ Equity On October 20, 2021, the Company's Board of Directors approved a stock repurchase program authorizing the repurchase of up to $30.0 million of our outstanding common stock from time to time on the open market or in privately negotiated transactions. In October 2022, the Company’s Board of Directors increased the authorization to $35.0 million. The Company repurchased a total of 855,956 shares at an average price of $36.31 per share under the program through December 19, 2022. On December 19, 2022, the Company's Board of Directors approved a new stock repurchase program to replace the prior program. The new program authorized the repurchase of up to $25.0 million of our outstanding common stock from time to time on the open market or in privately negotiated transactions. The stock repurchase authorization is scheduled to expire on December 31, 2024. Under this program, the Company repurchased 502,525 shares of common stock at an average price of $18.40 per share during 2023, and 46,497 shares of common stock at an average price of $24.42 per share during 2022. As of December 31, 2023, the Company had $14.6 million of remaining authority under the program. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive loss, included in stockholders' equity, are presented in the table below. Available-For-Sale Securities Unrealized Losses on Debt Securities Transferred from Available-for-Sale to Held-to-Maturity Cash Flow Hedges Total Balance, January 1, 2021 $ 468 $ — $ (17,664) $ (17,196) Net unrealized holding (losses) gains recorded within other comprehensive income before income tax (4,087) — 11,138 7,051 Other comprehensive (loss) income before tax (4,087) — 11,138 7,051 Income tax (benefit) provision (1,064) — 1,958 894 Other comprehensive (loss) income- net of tax (3,023) — 9,180 6,157 Balance, December 31, 2021 $ (2,555) $ — $ (8,484) $ (11,039) Net unrealized holding (losses) gains recorded within other comprehensive income before income tax (42,336) — 19,091 (23,245) Reclassification of securities available-for-sale to held-to-maturity — (5,402) — (5,402) Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity — 844 — 844 Other comprehensive (loss) income before tax (42,336) (4,558) 19,091 (27,803) Income tax (benefit) provision (9,060) (1,039) 4,893 (5,206) Other comprehensive (loss) income- net of tax (33,276) (3,519) 14,198 (22,597) Balance, December 31, 2022 $ (35,831) $ (3,519) $ 5,714 $ (33,636) Net unrealized holding gains (losses) recorded within other comprehensive income before income tax 7,339 — (2,566) 4,773 Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity — 778 — 778 Other comprehensive income (loss) before tax 7,339 778 (2,566) 5,551 Income tax provision (benefit) 1,682 198 (590) 1,290 Other comprehensive income (loss) - net of tax 5,657 580 (1,976) 4,261 Balance, December 31, 2023 $ (30,174) $ (2,939) $ 3,738 $ (29,375) |
Condensed Financial Information
Condensed Financial Information (Parent Company Only) | 12 Months Ended |
Dec. 31, 2023 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Financial Information (Parent Company Only) | Condensed Financial Information (Parent Company Only) Presented below is condensed financial information as to financial position, results of operations, and cash flows of the Company on a non-consolidated basis: Condensed Balance Sheets Year Ended December 31, 2023 2022 Assets Cash and cash equivalents $ 11,593 $ 22,259 Investment in common stock of subsidiaries 444,221 440,645 Premises and equipment, net — 58 Accrued income and other assets 14,127 8,567 Total assets $ 469,941 $ 471,529 Liabilities and shareholders’ equity Subordinated debt, net of unamortized discounts and debt issuance costs of $2,162 in 2023 and $2,468 in 2022 $ 104,838 $ 104,532 Accrued expenses and other liabilities 2,308 2,023 Total liabilities 107,146 106,555 Shareholders’ equity 362,795 364,974 Total liabilities and shareholders’ equity $ 469,941 $ 471,529 Condensed Statements of Income Year Ended December 31, 2023 2022 2021 Income Dividends from bank subsidiary $ 12,000 $ 8,000 $ — Gain on sale of premises and equipment — — 2,523 Other 188 285 75 Total income 12,188 8,285 2,598 Expenses Interest on borrowings $ 5,376 $ 5,371 $ 5,892 Salaries and employee benefits 1,203 1,147 1,037 Consulting and professional fees 1,572 1,814 2,178 Premises and equipment 126 201 548 Other 280 134 363 Total expenses 8,557 8,667 10,018 Income (loss) before income tax and equity in undistributed net income of subsidiaries 3,631 (382) (7,420) Income tax benefit (1,817) (1,874) (1,687) Income (loss) before equity in undistributed net income of subsidiaries 5,448 1,492 (5,733) Equity in undistributed net income of subsidiaries 2,969 34,049 53,847 Net income $ 8,417 $ 35,541 $ 48,114 Condensed Statements of Comprehensive Income Year Ended December 31, 2023 2022 2021 Net income $ 8,417 $ 35,541 $ 48,114 Other comprehensive income (loss) Securities available-for-sale Net unrealized holding gains (losses) on securities available-for-sale recorded within other comprehensive income before income tax 7,339 (42,336) (4,087) Income tax provision (benefit) 1,682 (9,060) (1,064) Net effect on other comprehensive income (loss) 5,657 (33,276) (3,023) Securities held-to-maturity Reclassification of securities from available-for-sale to held-to-maturity — (5,402) — Amortization of net unrealized holding losses on securities transferred from available-for-sale to held-to-maturity 778 844 — Income tax provision (benefit) 198 (1,039) — Net effect on other comprehensive income (loss) 580 (3,519) — Cash flow hedges Net unrealized holding (losses) gains on cash flow hedging derivatives recorded within other comprehensive income before income tax (2,566) 19,091 11,138 Income tax (benefit) provision (590) 4,893 1,958 Net effect on other comprehensive (loss) income (1,976) 14,198 9,180 Total other comprehensive income (loss) 4,261 (22,597) 6,157 Comprehensive income $ 12,678 $ 12,944 $ 54,271 Condensed Statements of Cash Flows Year Ended December 31, 2023 2022 2021 Operating activities Net income $ 8,417 $ 35,541 $ 48,114 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of subsidiaries (2,969) (34,049) (53,847) Depreciation and amortization 318 329 1,081 Share-based compensation expense 256 795 835 Gain on sale of premises and equipment — — (2,523) Net change in other assets (1,819) 350 (31) Net change in other liabilities 358 (490) 775 Net cash provided by (used in) operating activities 4,561 2,476 (5,596) Investing activities Net proceeds from sale of premises and equipment — — 8,116 Other investing activities (3,578) (2,727) (3,561) Net cash (used in) provided by investing activities (3,578) (2,727) 4,555 Financing activities Cash dividends paid (2,156) (2,317) (2,415) Net proceeds from issuance of subordinated debt — — 58,658 Repayment of subordinated debt — — (35,000) Repayment of Bank loan — — (3,000) Repurchase of common stock (9,340) (27,780) (4,436) Other, net (153) (250) (441) Net cash (used in) provided by financing activities (11,649) (30,347) 13,366 Net (decrease) increase in cash and cash equivalents (10,666) (30,598) 12,325 Cash and cash equivalents at beginning of year 22,259 52,857 40,532 Cash and cash equivalents at end of year $ 11,593 $ 22,259 $ 52,857 The prior year Condensed Statements of Income and Condensed Statements of Cash Flows presented above were voluntarily revised to correct an immaterial error. As a result, the following changes were made to the 2022 statements: • Dividends received from subsidiary are presented in total income. • Equity in undistributed net income of subsidiaries reflects the difference in subsidiary income and dividends received. The above changes had no effect on 2022 net income. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (June 2016) The main objective of this update is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. To achieve this objective, the amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments affect entities holding financial assets that are not accounted for at fair value through net income. The amendments affect loans, debt securities, off-balance-sheet credit exposures, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this update affect an entity to varying degrees depending on the credit quality of the assets held by the entity, their duration, and how the entity applies current GAAP. There is diversity in practice in applying the incurred loss methodology, which means that before transition some entities may be more aligned under current GAAP than others to the new measure of expected credit losses. The following describes the main provisions of this update. • Assets Measured at Amortized Cost: The amendments in this update require a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial asset. The statements of income reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increase or decrease of credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. • Available-for-Sale Debt Securities: Credit losses relating to available-for-sale debt securities should be recorded through an allowance for credit losses. Available-for-sale accounting recognizes that value may be realized either through collection of contractual cash flows or through sale of the security. Therefore, the amendments limit the amount of the allowance for credit losses to the amount by which fair value is below amortized cost because the classification as available-for-sale is premised on an investment strategy that recognizes that the investment could be sold at fair value if cash collection would result in the realization of an amount less than fair value. • In May 2019, the FASB issued ASU 2019-05 - Financial Instruments - Credit Losses (Topic 326) - Targeted Transition Relief. This ASU allows an option for preparers to irrevocably elect the fair value option, on an instrument-by-instrument basis, for eligible financial assets measured at amortized cost basis upon adoption of the credit losses standard. This increases the comparability of financial statement information provided by institutions that otherwise would have reported similar financial instruments using different measurement methodologies, potentially decreasing costs for financial statement preparers while providing more useful information to investors and other users. The Company formed a current expected credit losses (“CECL”) working group that discussed implementation matters related to the completeness and accuracy of historical data, model development and corporate governance documentation. The new allowance model estimates credit losses over the expected life of the portfolio and includes a qualitative framework to account for drivers of losses that the quantitative model does not capture. The CECL working group discussed results from parallel model runs for each portfolio segment, assumptions related to unfunded commitments and economic forecast factors. Model validation was completed by an independent third party in the fourth quarter 2022. The ASU allows for several different methods of calculating the Allowance for Credit Losses (“ACL”) and based on its analysis of observable data, the Company determined the discounted cash flow method to be the most appropriate for all its loan segments. The Company adopted this guidance on January 1, 2023 and recorded a $3.0 million pre-tax one-time cumulative effect adjustment to the ACL in retained earnings on the consolidated balance sheet as of the beginning of 2023, as is required in the guidance. In addition, the Company recorded a one-time $2.5 million pre-tax cumulative effect adjustment to the allowance for unfunded commitments in retained earnings on the consolidated balance sheet. The qualitative impact of the new accounting standard is directed by many of the same factors that impacted the previous methodology for calculating the ACL, including but not limited to, quality and experience of staff, changes in the value of collateral, concentrations of credit in loan types or industries and changes to lending policies. In addition, the Company also uses reasonable and supportable forecasts. Examples of this are regression analyses of data from the Federal Open Market Committee quarterly economic projections for change in real GDP, housing price index and national unemployment. The following table presents the impact of the adoption of ASC 326 as of January 1, 2023: January 1, 2023 (dollars in thousands) Pre-ASC 326 Adoption Impact of ASC 326 Adoption As Reported Under ASC 326 Assets: Commercial loans Commercial and industrial $ 1,711 $ (120) $ 1,591 Owner-occupied commercial real estate 651 62 713 Investor commercial real estate 1,099 (191) 908 Construction 2,074 (435) 1,639 Single tenant lease financing 10,519 (346) 10,173 Public finance 1,753 (135) 1,618 Healthcare finance 2,997 1,034 4,031 Small business lending 2,168 334 2,502 Franchise finance 3,988 (313) 3,675 Total commercial loans 26,960 (110) 26,850 Consumer loans Residential mortgage 1,559 406 1,965 Home equity 69 133 202 Other consumer 3,149 2,533 5,682 Total consumer loans 4,777 3,072 7,849 Total allowance for credit losses $ 31,737 $ 2,962 $ 34,699 Liabilities: Liability for off-balance sheet credit exposures $ — $ 2,504 $ 2,504 The Company also performed an assessment to determine if an allowance for credit loss was needed for available-for-sale and held-to-maturity securities. The Company analyzed available-for-sale securities investment securities that were in an unrealized loss position as of January 1, 2023 and determined the decline in fair value for those securities was not related to credit, but rather related to changes in interest rates and general market conditions. As such, no ACL was recorded for available-for-sale securities. The Company analyzed held-to-maturity securities and recorded a $0.3 million one-time cumulative adjustment to the allowance in retained earnings. ASU 2020-04 - Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (March 2020) and ASU 2022-06 - Deferral of sunset Date of Topic 848 In March 2020, FASB issued ASU 2020-04 to ease the potential burden in accounting for the transition away from the LIBOR on financial reporting. The ASU provides optional expedients and exceptions for applying GAAP to contract modification and hedge accounting relationships. The guidance is effective March 12, 2020 through December 31, 2024. The Company adopted this guidance in 2023 and it did not have a material impact on the condensed consolidated financial statements. ASU 2022-02 - Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (March 2022) |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net Income (Loss) Attributable to Parent | $ 8,417 | $ 35,541 | $ 48,114 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
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 |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business The Company was incorporated on September 15, 2005, and consummated a plan of exchange on March 21, 2006, by which the Company became a bank holding company and 100% owner of First Internet Bank of Indiana (the “Bank”). The Company elected to and became a financial holding company, effective as of September 1, 2022. The Bank offers a wide range of commercial, small business, consumer and municipal banking products and services. The Bank conducts its consumer and small business deposit operations primarily through digital channels on a nationwide basis and has no traditional branch offices. The Bank is subject to competition from other financial institutions. The Bank is regulated by certain state and federal agencies and undergoes periodic examinations by those regulatory authorities. The Bank has three wholly owned subsidiaries. JKH Realty Services, LLC was established on August 20, 2012 as a single member limited liability company wholly owned by the Bank to manage other real estate owned properties as needed. First Internet Public Finance Corp., a wholly-owned subsidiary of the Bank, was incorporated on March 6, 2017 and was established to provide municipal finance lending and leasing products to government entities and to purchase, manage, service, and safekeep municipal securities. SPF15, Inc., a wholly-owned subsidiary of the Bank, was incorporated on August 31, 2018 and was established to acquire and hold real estate. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The Company’s business activities are currently limited to one reporting unit and reportable segment, which is commercial banking. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. The Company utilizes processes that involve the use of significant estimates and the judgment of management in determining the amount of the Company’s allowance for credit losses, income taxes, valuation and impairments of investment securities and goodwill, as well as fair value measurements of derivatives, loans held-for-sale and other real estate owned. Actual results could differ from those estimates. |
Securities | Securities The Company classifies its securities in one of three categories and accounts for the investments as follows: • Securities that the Company has the positive intent and ability to hold to maturity are classified as “held-to-maturity” and reported at amortized cost. • Securities that are acquired and held principally for the purpose of selling them in the near term with the objective of generating economic profits on short-term differences in market characteristics are classified as “trading securities” and reported at fair value, with unrealized gains and losses included in earnings. The Company had no securities classified as “trading securities” at December 31, 2023 or 2022. • Securities not classified as either “held-to-maturity” or “trading securities” are classified as “available-for-sale” and reported at fair value, with unrealized gains and losses, after applicable taxes, excluded from earnings and reported in a separate component of shareholders’ equity. Interest and dividend income, adjusted by amortization of premium or discount, is included in earnings using the effective interest rate method. Purchases and sales of securities are recorded in the consolidated balance sheets on the trade date. Gains and losses from the sale or disposal of securities are recognized as of the trade date in the consolidated statements of income for the period in which securities are sold or otherwise disposed of. Gains and losses on sales of securities are determined using the specific-identification method. |
Loans Held for Sale | Loans Held-for-Sale Loans originated and intended for sale in the secondary market under best-efforts pricing agreements are carried at the lower of cost or fair value in the aggregate. Net unrealized losses, if any, are recognized through a valuation allowance by charges to noninterest income. Loans originated and intended for sale in the secondary market under mandatory pricing agreements are carried at fair value to facilitate hedging of the loans. Gains and losses resulting from changes in fair value are recognized in noninterest income. Gains and losses on loan sales are recorded in noninterest income, and direct loan origination costs and fees are deferred at origination of the loan and are recognized in noninterest income upon sale of the loan. |
Revenue Recognition | Revenue Recognition The Company recognizes revenues as they are earned based on contractual terms, as transactions occur, or as services are provided and collectability is reasonably assured. The Company's principal source of revenue is interest income from loans and leases and investment securities. Interest income on loans is accrued as earned using the interest method based on unpaid principal balances except for interest on loans in nonaccrual status. Interest on loans in nonaccrual status is recorded as a reduction of loan principal when received. Premiums and discounts are amortized using the effective interest rate method. Loan fees, net of certain direct origination costs, primarily salaries and wages, are deferred and amortized to interest income as a yield adjustment over the life of the loan. |
Loans Receivable | Loans Loans that management intends to hold until maturity are reported at their outstanding principal balance adjusted for unearned income, charge-offs, the allowance for credit losses (“ACL”), any unamortized deferred fees or costs on originated loans, unamortized premiums or discounts on purchased loans and any carrying value adjustments related to terminated interest rate swaps associated with loans. For loans recorded at cost, interest income is accrued based on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, as well as premiums and discounts, are recorded in accordance with our revenue recognition policy. |
Allowance for Loan Losses Methodology | |
Provision for Loan Losses | Provision for Credit Losses A provision for estimated credit losses is charged to income based upon management’s evaluation of the potential losses. Such an evaluation, which includes a review of all loans for which full repayment may not be reasonably assured, considers, among other matters, the estimated net realizable value of the underlying collateral, as applicable, economic conditions, loan loss experience, and other factors that are particularly susceptible to changes that could result in a material adjustment in the near term. While management attempts to use the best information available in making its evaluations, future allowance adjustments may be necessary if economic conditions change substantially from the assumptions used in making the evaluations. |
Nonaccrual Loans | Nonaccrual Loans Any loan which becomes 90 days delinquent or for which the full collection of principal and interest may be in doubt will be considered for nonaccrual status. At the time a loan is placed on nonaccrual status, all accrued but unpaid interest will be reversed from interest income. Placing a loan on nonaccrual status does not relieve the borrower of the obligation to repay interest. A loan placed on nonaccrual status may be restored to accrual status when all delinquent principal and interest has been brought current, and the Company expects full payment of the remaining contractual principal and interest. |
Impaired Loans | Individually Evaluated Loans A loan is individually evaluated, when, based on current information or events, it is probable that the Company will be unable to collect all amounts due (principal and interest) according to the contractual terms of the loan agreement. Payments with delays not exceeding 90 days outstanding generally are not individually evaluated. Certain nonaccrual and substantially all delinquent loans more than 90 days past due may be individually evaluated. Generally, loans are placed on nonaccrual status at 90 days past due and accrued interest is reversed against earnings, unless the loan is well secured and in the process of collection. The accrual of interest on individually evaluated and nonaccrual loans is discontinued when, in management’s opinion, the borrower may be unable to meet payments as they become due. Individually evaluated loans include nonperforming loans and also include loans where concessions have been granted to borrowers experiencing financial difficulties. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance, or other actions intended to maximize collection. Accounting Standards Codification (“ASC”) Topic 310, Receivables , requires that individually evaluated loans be measured based on the present value of expected future cash flows discounted at the loans’ effective interest rates or the fair value of the underlying collateral, less costs to sell, and allows existing methods for recognizing interest income. |
Policy for Charging Off Loans | Policy for Charging Off Loans The Company’s policy is to charge off a loan at any point in time when it no longer can be considered a bankable asset, meaning collectible within the parameters of policy. A secured loan is generally charged down to the estimated fair value of the collateral, less costs to sell, no later than when it is 120 days past due as to principal or interest. An unsecured loan generally is charged off no later than when it is 180 days past due as to principal or interest. A home improvement loan generally is charged off no later than when it is 90 days past due as to principal or interest. |
Federal Home Loan Bank (FHLB) of Indianapolis Stock | Federal Home Loan Bank (“FHLB”) of Indianapolis Stock Federal law requires a member institution of the FHLB system to hold common stock of its district FHLB according to a predetermined formula. This investment is stated at cost, which represents redemption value, and may be pledged as collateral for FHLB advances. |
Property and Equipment | Premises and Equipment Premises and equipment is stated at cost, less accumulated depreciation. Depreciation is computed on the straight-line method over the estimated useful lives, which range from three |
Derivative Financial Instruments | Derivative Financial Instruments The Company uses derivative financial instruments to help manage exposure to interest rate risk and the effects that changes in interest rates may have on net income and the fair value of assets and liabilities. The Company enters into interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. Additionally, prior to the Company’s decision to exit its consumer mortgage business in the first quarter 2023, we entered into forward contracts related to our mortgage banking business to hedge the exposures we had from commitments to extend new residential mortgage loans to our customers and from our mortgage loans held-for-sale. The forward contracts were entered into in order to economically hedge the effect of changed interest rates resulted from the Company’s commitment to fund the loans. Designating an interest rate swap as an accounting hedge allows the Company to recognize gains and losses in the income statement within the same period that the hedged item affects earnings. The Company includes the gain or loss on the hedged items in the same line item as the offsetting loss or gain on the related interest rate swaps. For derivative instruments that are designated and qualify as cash flow hedges, any gains or losses related to changes in fair value are recorded in accumulated other comprehensive loss, net of tax. The fair value of interest rate swaps with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets while interest rate swaps with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. The IRLCs and forward contracts are not designated as accounting hedges and are recorded at fair value with changes in fair value reflected in noninterest income in the consolidated statements of income. The fair value of derivative instruments with a positive fair value are reported in accrued income and other assets in the consolidated balance sheets, while derivative instruments with a negative fair value are reported in accrued expenses and other liabilities in the consolidated balance sheets. |
Fair Value Measurements | Fair Value Measurements The Company records or discloses certain assets and liabilities at fair value. ASC Topic 820, Fair Value Measurements , defines fair value as 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 measurements are classified within one of three levels in a valuation hierarchy. ASC Topic 820 describes three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets or liabilities Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities |
Income Taxes | Income Taxes Deferred income tax assets and liabilities reflect the impact of temporary differences between amounts of assets and liabilities for financial reporting purposes and the basis of such assets and liabilities as measured by tax laws and regulations. Deferred income tax expense or benefit is based upon the change in deferred tax assets and liabilities from period to period, subject to an ongoing assessment of realization of deferred tax assets. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not that some portion or all of a deferred tax asset will not be realized. The Company files income tax returns in the U.S. federal, Indiana, and other state jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, state and local examinations by tax authorities for years before 2019. ASC Topic 740-10, Accounting for Uncertainty in Income Taxes , prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. The Company did not identify any material uncertain tax positions that it believes should be recognized in the consolidated financial statements. |
Earnings Per Share | Earnings Per Share Earnings per share of common stock is based on the weighted average number of basic shares and dilutive shares outstanding during the year. |
Stock Compensation | Share-based Compensation The Company has a share-based compensation plan using the fair value recognition provisions of ASC Topic 718, Compensation - Stock Compensation . The plan is described more fully in Note 11. |
Comprehensive Income | Comprehensive Income Comprehensive income consists of net income and other comprehensive income (loss). Other comprehensive income (loss) includes unrealized gains and losses on securities available-for-sale, unrealized gains and losses on the transfer of securities available-for-sale to securities held-to-maturity, and unrealized gains and losses on cash flow hedges. Reclassification adjustments have been determined for all components of other comprehensive income (loss) reported in the consolidated statements of shareholders’ equity. |
Statements of Cash Flows | Statements of Cash Flows Cash and cash equivalents are defined to include cash on-hand, noninterest and interest-bearing amounts due from other banks and federal funds sold. Generally, federal funds are sold for one-day periods. The Company reports net cash flows for customer loan transactions and deposit transactions. |
Bank Owned Life Insurance | Bank-Owned Life Insurance Bank-owned life insurance policies are carried at their cash surrender value. The Company recognizes tax-free income from the periodic increases in the cash surrender value of these policies and from death benefits. |
Goodwill | Goodwill Goodwill is tested at least annually for impairment. If the implied fair value of goodwill is lower than its carrying amount, goodwill impairment is indicated and goodwill is written down to its implied fair value. Subsequent increases in goodwill value are not recognized in the consolidated financial statements. |
Servicing Asset | Servicing Asset |
Reclassifications | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (June 2016) The main objective of this update is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. To achieve this objective, the amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments affect entities holding financial assets that are not accounted for at fair value through net income. The amendments affect loans, debt securities, off-balance-sheet credit exposures, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this update affect an entity to varying degrees depending on the credit quality of the assets held by the entity, their duration, and how the entity applies current GAAP. There is diversity in practice in applying the incurred loss methodology, which means that before transition some entities may be more aligned under current GAAP than others to the new measure of expected credit losses. The following describes the main provisions of this update. • Assets Measured at Amortized Cost: The amendments in this update require a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial asset. The statements of income reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increase or decrease of credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. • Available-for-Sale Debt Securities: Credit losses relating to available-for-sale debt securities should be recorded through an allowance for credit losses. Available-for-sale accounting recognizes that value may be realized either through collection of contractual cash flows or through sale of the security. Therefore, the amendments limit the amount of the allowance for credit losses to the amount by which fair value is below amortized cost because the classification as available-for-sale is premised on an investment strategy that recognizes that the investment could be sold at fair value if cash collection would result in the realization of an amount less than fair value. • In May 2019, the FASB issued ASU 2019-05 - Financial Instruments - Credit Losses (Topic 326) - Targeted Transition Relief. This ASU allows an option for preparers to irrevocably elect the fair value option, on an instrument-by-instrument basis, for eligible financial assets measured at amortized cost basis upon adoption of the credit losses standard. This increases the comparability of financial statement information provided by institutions that otherwise would have reported similar financial instruments using different measurement methodologies, potentially decreasing costs for financial statement preparers while providing more useful information to investors and other users. The Company formed a current expected credit losses (“CECL”) working group that discussed implementation matters related to the completeness and accuracy of historical data, model development and corporate governance documentation. The new allowance model estimates credit losses over the expected life of the portfolio and includes a qualitative framework to account for drivers of losses that the quantitative model does not capture. The CECL working group discussed results from parallel model runs for each portfolio segment, assumptions related to unfunded commitments and economic forecast factors. Model validation was completed by an independent third party in the fourth quarter 2022. The ASU allows for several different methods of calculating the Allowance for Credit Losses (“ACL”) and based on its analysis of observable data, the Company determined the discounted cash flow method to be the most appropriate for all its loan segments. The Company adopted this guidance on January 1, 2023 and recorded a $3.0 million pre-tax one-time cumulative effect adjustment to the ACL in retained earnings on the consolidated balance sheet as of the beginning of 2023, as is required in the guidance. In addition, the Company recorded a one-time $2.5 million pre-tax cumulative effect adjustment to the allowance for unfunded commitments in retained earnings on the consolidated balance sheet. The qualitative impact of the new accounting standard is directed by many of the same factors that impacted the previous methodology for calculating the ACL, including but not limited to, quality and experience of staff, changes in the value of collateral, concentrations of credit in loan types or industries and changes to lending policies. In addition, the Company also uses reasonable and supportable forecasts. Examples of this are regression analyses of data from the Federal Open Market Committee quarterly economic projections for change in real GDP, housing price index and national unemployment. The following table presents the impact of the adoption of ASC 326 as of January 1, 2023: January 1, 2023 (dollars in thousands) Pre-ASC 326 Adoption Impact of ASC 326 Adoption As Reported Under ASC 326 Assets: Commercial loans Commercial and industrial $ 1,711 $ (120) $ 1,591 Owner-occupied commercial real estate 651 62 713 Investor commercial real estate 1,099 (191) 908 Construction 2,074 (435) 1,639 Single tenant lease financing 10,519 (346) 10,173 Public finance 1,753 (135) 1,618 Healthcare finance 2,997 1,034 4,031 Small business lending 2,168 334 2,502 Franchise finance 3,988 (313) 3,675 Total commercial loans 26,960 (110) 26,850 Consumer loans Residential mortgage 1,559 406 1,965 Home equity 69 133 202 Other consumer 3,149 2,533 5,682 Total consumer loans 4,777 3,072 7,849 Total allowance for credit losses $ 31,737 $ 2,962 $ 34,699 Liabilities: Liability for off-balance sheet credit exposures $ — $ 2,504 $ 2,504 The Company also performed an assessment to determine if an allowance for credit loss was needed for available-for-sale and held-to-maturity securities. The Company analyzed available-for-sale securities investment securities that were in an unrealized loss position as of January 1, 2023 and determined the decline in fair value for those securities was not related to credit, but rather related to changes in interest rates and general market conditions. As such, no ACL was recorded for available-for-sale securities. The Company analyzed held-to-maturity securities and recorded a $0.3 million one-time cumulative adjustment to the allowance in retained earnings. ASU 2020-04 - Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (March 2020) and ASU 2022-06 - Deferral of sunset Date of Topic 848 In March 2020, FASB issued ASU 2020-04 to ease the potential burden in accounting for the transition away from the LIBOR on financial reporting. The ASU provides optional expedients and exceptions for applying GAAP to contract modification and hedge accounting relationships. The guidance is effective March 12, 2020 through December 31, 2024. The Company adopted this guidance in 2023 and it did not have a material impact on the condensed consolidated financial statements. ASU 2022-02 - Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (March 2022) |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (June 2016) The main objective of this update is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. To achieve this objective, the amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments affect entities holding financial assets that are not accounted for at fair value through net income. The amendments affect loans, debt securities, off-balance-sheet credit exposures, and any other financial assets not excluded from the scope that have the contractual right to receive cash. The amendments in this update affect an entity to varying degrees depending on the credit quality of the assets held by the entity, their duration, and how the entity applies current GAAP. There is diversity in practice in applying the incurred loss methodology, which means that before transition some entities may be more aligned under current GAAP than others to the new measure of expected credit losses. The following describes the main provisions of this update. • Assets Measured at Amortized Cost: The amendments in this update require a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial asset. The statements of income reflect the measurement of credit losses for newly recognized financial assets, as well as the expected increase or decrease of credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. • Available-for-Sale Debt Securities: Credit losses relating to available-for-sale debt securities should be recorded through an allowance for credit losses. Available-for-sale accounting recognizes that value may be realized either through collection of contractual cash flows or through sale of the security. Therefore, the amendments limit the amount of the allowance for credit losses to the amount by which fair value is below amortized cost because the classification as available-for-sale is premised on an investment strategy that recognizes that the investment could be sold at fair value if cash collection would result in the realization of an amount less than fair value. • In May 2019, the FASB issued ASU 2019-05 - Financial Instruments - Credit Losses (Topic 326) - Targeted Transition Relief. This ASU allows an option for preparers to irrevocably elect the fair value option, on an instrument-by-instrument basis, for eligible financial assets measured at amortized cost basis upon adoption of the credit losses standard. This increases the comparability of financial statement information provided by institutions that otherwise would have reported similar financial instruments using different measurement methodologies, potentially decreasing costs for financial statement preparers while providing more useful information to investors and other users. The Company formed a current expected credit losses (“CECL”) working group that discussed implementation matters related to the completeness and accuracy of historical data, model development and corporate governance documentation. The new allowance model estimates credit losses over the expected life of the portfolio and includes a qualitative framework to account for drivers of losses that the quantitative model does not capture. The CECL working group discussed results from parallel model runs for each portfolio segment, assumptions related to unfunded commitments and economic forecast factors. Model validation was completed by an independent third party in the fourth quarter 2022. The ASU allows for several different methods of calculating the Allowance for Credit Losses (“ACL”) and based on its analysis of observable data, the Company determined the discounted cash flow method to be the most appropriate for all its loan segments. The Company adopted this guidance on January 1, 2023 and recorded a $3.0 million pre-tax one-time cumulative effect adjustment to the ACL in retained earnings on the consolidated balance sheet as of the beginning of 2023, as is required in the guidance. In addition, the Company recorded a one-time $2.5 million pre-tax cumulative effect adjustment to the allowance for unfunded commitments in retained earnings on the consolidated balance sheet. The qualitative impact of the new accounting standard is directed by many of the same factors that impacted the previous methodology for calculating the ACL, including but not limited to, quality and experience of staff, changes in the value of collateral, concentrations of credit in loan types or industries and changes to lending policies. In addition, the Company also uses reasonable and supportable forecasts. Examples of this are regression analyses of data from the Federal Open Market Committee quarterly economic projections for change in real GDP, housing price index and national unemployment. The following table presents the impact of the adoption of ASC 326 as of January 1, 2023: January 1, 2023 (dollars in thousands) Pre-ASC 326 Adoption Impact of ASC 326 Adoption As Reported Under ASC 326 Assets: Commercial loans Commercial and industrial $ 1,711 $ (120) $ 1,591 Owner-occupied commercial real estate 651 62 713 Investor commercial real estate 1,099 (191) 908 Construction 2,074 (435) 1,639 Single tenant lease financing 10,519 (346) 10,173 Public finance 1,753 (135) 1,618 Healthcare finance 2,997 1,034 4,031 Small business lending 2,168 334 2,502 Franchise finance 3,988 (313) 3,675 Total commercial loans 26,960 (110) 26,850 Consumer loans Residential mortgage 1,559 406 1,965 Home equity 69 133 202 Other consumer 3,149 2,533 5,682 Total consumer loans 4,777 3,072 7,849 Total allowance for credit losses $ 31,737 $ 2,962 $ 34,699 Liabilities: Liability for off-balance sheet credit exposures $ — $ 2,504 $ 2,504 The Company also performed an assessment to determine if an allowance for credit loss was needed for available-for-sale and held-to-maturity securities. The Company analyzed available-for-sale securities investment securities that were in an unrealized loss position as of January 1, 2023 and determined the decline in fair value for those securities was not related to credit, but rather related to changes in interest rates and general market conditions. As such, no ACL was recorded for available-for-sale securities. The Company analyzed held-to-maturity securities and recorded a $0.3 million one-time cumulative adjustment to the allowance in retained earnings. ASU 2020-04 - Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting (March 2020) and ASU 2022-06 - Deferral of sunset Date of Topic 848 In March 2020, FASB issued ASU 2020-04 to ease the potential burden in accounting for the transition away from the LIBOR on financial reporting. The ASU provides optional expedients and exceptions for applying GAAP to contract modification and hedge accounting relationships. The guidance is effective March 12, 2020 through December 31, 2024. The Company adopted this guidance in 2023 and it did not have a material impact on the condensed consolidated financial statements. ASU 2022-02 - Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures (March 2022) |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Weighted Average Number of Shares | The following is a reconciliation of the weighted average common shares for the basic and diluted earnings per share computations. Year Ended December 31, 2023 2022 2021 Basic earnings per share Net income available to common shareholders $ 8,417 $ 35,541 $ 48,114 Weighted average common shares 8,837,558 9,530,921 9,918,083 Basic earnings per common share $ 0.95 $ 3.73 $ 4.85 Diluted earnings per share Net income available to common shareholders $ 8,417 $ 35,541 $ 48,114 Weighted average common shares 8,837,558 9,530,921 9,918,083 Dilutive effect of equity compensation 21,332 64,194 58,178 Weighted average common and incremental shares 8,858,890 9,595,115 9,976,261 Diluted earnings per common share 1 $ 0.95 $ 3.70 $ 4.82 1 Potential dilutive common shares are excluded from the computation of diluted earnings per share in the periods where the effect would be antidilutive. Excluded from the computation of diluted earnings per share were weighted average antidilutive shares totaling 20,797, 2,646 and 28 for the years ended December 31, 2023, 2022 and 2021, respectively. |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation | The following tables summarize securities available-for-sale and securities held-to-maturity as of December 31, 2023 and 2022. December 31, 2023 Amortized Cost Gross Unrealized Fair Value Gains Losses Securities available-for-sale U.S. Government-sponsored agencies $ 96,404 $ 402 $ (1,629) $ 95,177 Municipal securities 69,494 356 (1,404) 68,446 Agency mortgage-backed securities - residential 1 237,798 101 (31,250) 206,649 Agency mortgage-backed securities - commercial 40,215 9 (1,339) 38,885 Private label mortgage-backed securities - residential 21,742 144 (1,107) 20,779 Asset-backed securities 8,071 17 (7) 8,081 Corporate securities 39,591 25 (2,778) 36,838 Total available-for-sale $ 513,315 $ 1,054 $ (39,514) $ 474,855 December 31, 2022 Amortized Cost Gross Unrealized Fair Value Gains Losses Securities available-for-sale U.S. Government-sponsored agencies $ 35,606 $ — $ (1,797) $ 33,809 Municipal securities 68,958 458 (2,140) 67,276 Agency mortgage-backed securities - residential 1 252,066 — (36,974) 215,092 Agency mortgage-backed securities - commercial 17,142 — (1,302) 15,840 Private label mortgage-backed securities - residential 11,777 — (1,322) 10,455 Asset-backed securities 5,000 — (40) 4,960 Corporate securities 45,634 35 (2,717) 42,952 Total available-for-sale $ 436,183 $ 493 $ (46,292) $ 390,384 |
Schedule Of Held-To-Maturity Securities Reconciliation | December 31, 2023 Amortized Cost Gross Unrealized Fair Value Allowance for Credit Losses Net Carrying Value Gains Losses Securities held-to-maturity Municipal securities $ 13,892 $ 1 $ (853) $ 13,040 $ (3) $ 13,889 Agency mortgage-backed securities - residential 166,750 4 (14,112) 152,642 — 166,750 Agency mortgage-backed securities - commercial 5,767 — (1,246) 4,521 — 5,767 Corporate securities 41,037 — (3,668) 37,369 (290) 40,747 Total held-to-maturity $ 227,446 $ 5 $ (19,879) $ 207,572 $ (293) $ 227,153 1 Includes $0.4 million of additional premium related to terminated interest rate swaps associated with agency mortgage-backed securities - residential as of December 31, 2023. December 31, 2022 Amortized Cost Gross Unrealized Fair Value Gains Losses Securities held-to-maturity Municipal securities $ 13,946 $ — $ (1,114) $ 12,832 Agency mortgage-backed securities - residential 121,853 — (15,112) 106,741 Agency mortgage-backed securities - commercial 5,818 — (1,266) 4,552 Corporate securities 47,551 — (3,193) 44,358 Total held-to-maturity $ 189,168 $ — $ (20,685) $ 168,483 1 Includes $0.5 million of additional premium related to terminated interest rate swaps associated with agency mortgage-backed securities - residential as of December 31, 2022. |
Investments Classified by Contractual Maturity Date | The carrying value of securities at December 31, 2023 is shown below by their contractual maturity date. Actual maturities will differ because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Available-for-Sale Amortized Fair Within one year $ 550 $ 549 One to five years 31,401 31,865 Five to ten years 69,553 67,120 After ten years 103,985 100,927 205,489 200,461 Agency mortgage-backed securities - residential 237,798 206,649 Agency mortgage-backed securities - commercial 40,215 38,885 Private label mortgage-backed securities - residential 21,742 20,779 Asset-backed securities 8,071 8,081 Total $ 513,315 $ 474,855 Held-to-Maturity Amortized Fair Within one year $ 995 $ 987 One to five years 6,129 5,952 Five to ten years 43,856 39,967 After ten years 3,949 3,503 54,929 50,409 Agency mortgage-backed securities - residential 166,750 152,642 Agency mortgage-backed securities - commercial 5,767 4,521 Total $ 227,446 $ 207,572 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Fair Value | The following tables show the securities portfolio’s gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31, 2023 and 2022: December 31, 2023 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale U.S. Government-sponsored agencies $ 41,934 $ (161) $ 24,579 $ (1,468) $ 66,513 $ (1,629) Municipal securities 2,399 (103) 36,193 (1,301) 38,592 (1,404) Agency mortgage-backed securities - residential 1,089 (5) 194,095 (31,245) 195,184 (31,250) Agency mortgage-backed securities - commercial 21,561 (50) 14,217 (1,289) 35,778 (1,339) Private label mortgage-backed securities - residential 3,567 (29) 9,114 (1,078) 12,681 (1,107) Asset-backed securities 1,654 (7) — — 1,654 (7) Corporate securities 1,680 (365) 24,587 (2,413) 26,267 (2,778) Total $ 73,884 $ (720) $ 302,785 $ (38,794) $ 376,669 $ (39,514) December 31, 2022 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale U.S. Government-sponsored agencies $ 29,668 $ (1,008) $ 4,141 $ (789) $ 33,809 $ (1,797) Municipals 39,557 (1,766) 4,778 (374) 44,335 (2,140) Agency mortgage-backed securities - residential 170,026 (29,690) 45,066 (7,284) 215,092 (36,974) Agency mortgage-backed securities - commercial 10,560 (926) 5,280 (376) 15,840 (1,302) Private label mortgage-backed securities - residential 2,445 (330) 8,010 (992) 10,455 (1,322) Asset-backed securities 4,960 (40) — — 4,960 (40) Corporate securities 21,568 (1,452) 13,239 (1,265) 34,807 (2,717) Total $ 278,784 $ (35,212) $ 80,514 $ (11,080) $ 359,298 $ (46,292) December 31, 2022 Less Than 12 Months 12 Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized Securities held-to-maturity Municipals $ 8,160 $ (661) $ 4,258 $ (453) $ 12,418 $ (1,114) Agency mortgage-backed securities - residential 68,408 (8,848) 38,332 (6,264) 106,740 (15,112) Agency mortgage-backed securities - commercial 4,552 (1,266) — — 4,552 (1,266) Corporate securities 36,866 (2,685) 7,492 (508) 44,358 (3,193) Total $ 117,986 $ (13,460) $ 50,082 $ (7,225) $ 168,068 $ (20,685) The following table summarizes ratings for the Company’s HTM portfolio issued by state and political subdivisions and other securities as of December 31, 2023. Securities Held-to-Maturity (in thousands) State and Municipal Other Total Aaa/AAA $ — $ — $ — Aa1/AA+ 9,917 — 9,917 Aa2/AA 1,538 — 1,538 A1/A+ 1,794 — 1,794 A2/A 643 5,000 5,643 A3/A- — 4,509 4,509 Baa1/BBB+ — 8,500 8,500 Baa2/BBB — 8,500 8,500 Baa3/BBB- — 12,528 12,528 Ba1/BB+ — 2,000 2,000 Not Rated 1 — 172,517 172,517 Total $ 13,892 $ 213,554 $ 227,446 1 HTM agency mortgage-backed securities - commercial and residential are listed under Other securities as not rated. |
Schedule of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive loss, included in stockholders' equity, are presented in the table below. Available-For-Sale Securities Unrealized Losses on Debt Securities Transferred from Available-for-Sale to Held-to-Maturity Cash Flow Hedges Total Balance, January 1, 2021 $ 468 $ — $ (17,664) $ (17,196) Net unrealized holding (losses) gains recorded within other comprehensive income before income tax (4,087) — 11,138 7,051 Other comprehensive (loss) income before tax (4,087) — 11,138 7,051 Income tax (benefit) provision (1,064) — 1,958 894 Other comprehensive (loss) income- net of tax (3,023) — 9,180 6,157 Balance, December 31, 2021 $ (2,555) $ — $ (8,484) $ (11,039) Net unrealized holding (losses) gains recorded within other comprehensive income before income tax (42,336) — 19,091 (23,245) Reclassification of securities available-for-sale to held-to-maturity — (5,402) — (5,402) Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity — 844 — 844 Other comprehensive (loss) income before tax (42,336) (4,558) 19,091 (27,803) Income tax (benefit) provision (9,060) (1,039) 4,893 (5,206) Other comprehensive (loss) income- net of tax (33,276) (3,519) 14,198 (22,597) Balance, December 31, 2022 $ (35,831) $ (3,519) $ 5,714 $ (33,636) Net unrealized holding gains (losses) recorded within other comprehensive income before income tax 7,339 — (2,566) 4,773 Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity — 778 — 778 Other comprehensive income (loss) before tax 7,339 778 (2,566) 5,551 Income tax provision (benefit) 1,682 198 (590) 1,290 Other comprehensive income (loss) - net of tax 5,657 580 (1,976) 4,261 Balance, December 31, 2023 $ (30,174) $ (2,939) $ 3,738 $ (29,375) |
Schedule of Equity Investment With Readily Determinable Fair Value | The carrying amount of each equity investment with a readily determinable fair value or net asset value at December 31, 2023 and 2022 is reflected in the following table: (dollars in thousands) 2023 2022 GenOpp Financial Fund LP $ 2,102 $ 2,134 Total $ 2,102 $ 2,134 |
Equity Securities without Readily Determinable Fair Value | The carrying amount of the Company’s investments in non-marketable equity securities with no readily determinable fair value and amounts recognized in earnings on a cumulative basis as of December 31, 2023 and for the years ended December 31, 2023 and 2022 is reflected in the following table: (dollars in thousands ) 2023 2022 Carrying value 1 $ 12,374 $ 8,067 Carrying value adjustments — — Impairment — — Upward changes for observable prices — — Downward changes for observable prices — — Net change $ 12,374 $ 8,067 1 Exclusive of $11.5 million and $13.0 million in unfunded commitments as of December 31, 2023, and 2022, respectively. |
Loans (Tables)
Loans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Categories of loans include: December 31, 2023 2022 Commercial loans Commercial and industrial $ 129,349 $ 126,108 Owner-occupied commercial real estate 57,286 61,836 Investor commercial real estate 132,077 93,121 Construction 261,750 181,966 Single tenant lease financing 936,616 939,240 Public finance 521,764 621,032 Healthcare finance 222,793 272,461 Small business lending 218,506 123,750 Franchise finance 525,783 299,835 Total commercial loans 3,005,924 2,719,349 Consumer loans Residential mortgage 395,648 383,948 Home equity 23,669 24,712 Other consumer 377,614 324,598 Total consumer loans 796,931 733,258 Total commercial and consumer loans 3,802,855 3,452,607 Net deferred loan origination costs, premiums and discounts on purchased loans, and other 1 37,365 46,794 Total loans 3,840,220 3,499,401 Allowance for credit losses (38,774) (31,737) Net loans $ 3,801,446 $ 3,467,664 1 Includes carrying value adjustment of $27.8 million and $32.5 million related to terminated interest rate swaps associated with public finance loans as of December 31, 2023 and December 31, 2022, respectively. |
Allowance for Credit Losses on Financing Receivables | The following tables present changes in the balance of the ACL during the twelve months ended December 31, 2023. Twelve Months Ended December 31, 2023 Balance, Beginning of Period Adoption of CECL (Credit) Provision Charged to Expense Losses Charged Off Recoveries Balance, End of Period Allowance for credit losses: Commercial and industrial $ 1,711 $ (120) $ 7,400 $ (7,049) $ 243 $ 2,185 Owner-occupied commercial real estate 651 62 112 — — 825 Investor commercial real estate 1,099 (191) 994 (591) — 1,311 Construction 2,074 (435) 528 — — 2,167 Single tenant lease financing 10,519 (346) (2,044) — — 8,129 Public finance 1,753 (135) (246) — — 1,372 Healthcare finance 2,997 1,034 (1,450) (605) — 1,976 Small business lending 2,168 334 6,539 (2,586) 77 6,532 Franchise finance 3,988 (313) 3,019 (331) — 6,363 Residential mortgage 1,559 406 224 (140) 5 2,054 Home equity 69 133 (37) — 6 171 Other consumer 3,149 2,533 415 (582) 174 5,689 Total $ 31,737 $ 2,962 $ 15,454 $ (11,884) $ 505 $ 38,774 Prior to the adoption of ASU 2016-13 on January 1, 2023, the Company calculated the allowance for loan losses using the incurred loss methodology. The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2022 and December 31, 2021. Twelve Months Ended December 31, 2022 Balance, Beginning of Period Provision (Credit) Charged to Expense Losses Charged Off Recoveries Balance, End of Period Allowance for loan losses: Commercial and industrial $ 1,891 $ (185) $ — $ 5 $ 1,711 Owner-occupied commercial real estate 742 (91) — — 651 Investor commercial real estate 328 771 — — 1,099 Construction 1,612 462 — — 2,074 Single tenant lease financing 10,385 (1,097) — 1,231 10,519 Public finance 1,776 (23) — — 1,753 Healthcare finance 5,940 (2,943) — — 2,997 Small business lending 1,387 1,154 (402) 29 2,168 Franchise finance 1,083 2,905 — — 3,988 Residential mortgage 643 912 — 4 1,559 Home equity 64 (134) — 139 69 Other consumer 1,990 3,246 (2,358) 271 3,149 Total $ 27,841 $ 4,977 $ (2,760) $ 1,679 $ 31,737 Twelve Months Ended December 31, 2021 Balance, Beginning of Period Provision (Credit) Charged to Expense Losses Charged Off Recoveries Balance, End of Period Allowance for loan losses: Commercial and industrial $ 1,146 $ 684 $ (28) $ 89 $ 1,891 Owner-occupied commercial real estate 1,082 (340) — — 742 Investor commercial real estate 155 173 — — 328 Construction 1,192 420 — — 1,612 Single tenant lease financing 12,990 (214) (2,391) — 10,385 Public finance 1,732 44 — — 1,776 Healthcare finance 7,485 (1,545) — — 5,940 Small business lending 628 901 (222) 80 1,387 Franchise Finance — 1,083 — — 1,083 Residential mortgage 519 67 (6) 63 643 Home equity 48 60 (51) 7 64 Other consumer 2,507 (303) (529) 315 1,990 Total $ 29,484 $ 1,030 $ (3,227) $ 554 $ 27,841 |
Financing Receivables, Provision For Credit Losses On Off-Balance Sheet Commitments | The following table details activity in the provision for credit losses on off-balance sheet commitments for the twelve months ended December 31, 2023. (dollars in thousands) Pre-ASC 326 Adoption Impact of ASC 326 Adoption Provision for credit losses Balance Off-balance sheet commitments Commercial loans Commercial and industrial $ — $ 110 $ 123 $ 233 Owner-occupied commercial real estate — — 9 9 Investor commercial real estate — 9 (3) 6 Construction — 2,193 696 2,889 Healthcare finance — 2 (2) — Small business lending — — 541 541 Total commercial loans — 2,314 1,364 3,678 Consumer loans Residential mortgage — 127 (116) 11 Home equity — 52 (7) 45 Other consumer — 11 — 11 Total consumer loans — 190 (123) 67 Total allowance for off-balance sheet commitments $ — $ 2,504 $ 1,241 $ 3,745 |
Allowance For Credit Losses On Financing Receivables Portfolio Segment | The following tables present the balance in the allowance for loan losses and the recorded investment in loans based on portfolio segment and impairment method as of December 31, 2022. Loans Allowance for Loan Losses December 31, 2022 Ending Balance: Ending Balance: Ending Balance Ending Balance: Ending Balance: Ending Balance Commercial and industrial $ 116,307 $ 9,801 $ 126,108 $ 1,660 $ 51 $ 1,711 Owner-occupied commercial real estate 60,266 1,570 61,836 651 — 651 Investor commercial real estate 93,121 — 93,121 1,099 — 1,099 Construction 181,966 — 181,966 2,074 — 2,074 Single tenant lease financing 939,240 — 939,240 10,519 — 10,519 Public finance 621,032 — 621,032 1,753 — 1,753 Healthcare finance 272,461 — 272,461 2,997 — 2,997 Small business lending 1 113,699 10,051 123,750 1,465 703 2,168 Franchise finance 299,835 — 299,835 3,988 — 3,988 Residential mortgage 380,272 3,676 383,948 1,559 — 1,559 Home equity 24,683 29 24,712 69 — 69 Other consumer 324,581 17 324,598 3,149 — 3,149 Total $ 3,427,463 $ 25,144 $ 3,452,607 $ 30,983 $ 754 $ 31,737 1 Balance is partially guaranteed by the U.S. government. |
Financing Receivable Credit Quality Indicators | The following table presents the credit risk profile of the Company’s commercial and consumer loan portfolios by loan class and by year of origination for the years indicated based on rating category and payment activity as of December 31, 2023. December 31, 2023 Term Loans (amortized cost basis by origination year) Revolving loans amortized cost basis Revolving loans converted to term (in thousands) 2023 2022 2021 2020 2019 Prior Total Commercial and industrial Pass $ 24,329 $ 19,382 $ 15,464 $ 2,502 $ 12,365 $ 8,703 $ 41,967 $ — $ 124,712 Special Mention — 4,637 — — — — — — 4,637 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total Commercial and 24,329 24,019 15,464 2,502 12,365 8,703 41,967 — 129,349 Gross charge-offs — — 6,914 5 130 — — — 7,049 Owner-occupied commercial real estate Pass 1,492 10,731 7,990 6,591 5,255 12,485 — — 44,544 Special Mention — 584 922 8,392 — 1,189 — — 11,087 Substandard — — — — — 1,655 — — 1,655 Doubtful — — — — — — — — — Total owner-occupied 1,492 11,315 8,912 14,983 5,255 15,329 — — 57,286 Investor commercial real estate Pass 6,571 35,209 26,841 9,864 47,827 5,765 — — 132,077 Special Mention — — — — — — — — — Substandard — — — — — — — — — Doubtful — — — — — — — — — Total investor commercial real 6,571 35,209 26,841 9,864 47,827 5,765 — — 132,077 Gross charge-offs — — — — — 591 — — 591 Construction Pass 26,539 153,066 70,175 6,121 — — 5,849 — 261,750 Special Mention — — — — — — — — — Substandard — — — — — — — — — Doubtful — — — — — — — — — Total construction 26,539 153,066 70,175 6,121 — — 5,849 — 261,750 Single tenant lease financing Pass 52,360 221,964 89,075 65,863 142,023 346,695 — — 917,980 Special Mention — 4,362 6,698 3,032 — 4,544 — — 18,636 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total single tenant lease 52,360 226,326 95,773 68,895 142,023 351,239 — — 936,616 Public finance Pass 3,805 30,583 29,750 719 43,611 411,176 — — 519,644 Special Mention — — — — — 2,120 — — 2,120 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total public finance 3,805 30,583 29,750 719 43,611 413,296 — — 521,764 December 31, 2023 Term Loans (amortized cost basis by origination year) Revolving loans amortized cost basis Revolving loans converted to term (in thousands) 2023 2022 2021 2020 2019 Prior Total Healthcare finance Pass — — 9,955 124,654 63,486 23,484 — — 221,579 Special Mention — — — — 1,214 — — — 1,214 Substandard — — — — — — — — — Doubtful — — — — — — — — — Total healthcare finance — — 9,955 124,654 64,700 23,484 — — 222,793 Gross charge-offs — — — — 605 — — — 605 Small business lending 1 Pass 119,149 42,077 15,180 13,948 4,582 9,215 5,388 — 209,539 Special Mention 343 496 — 341 265 698 — — 2,143 Substandard 1,095 1,854 52 1,777 1,155 417 474 — 6,824 Doubtful — — — — — — — — — Total small business lending 120,587 44,427 15,232 16,066 6,002 10,330 5,862 — 218,506 Gross charge-offs 67 739 416 1,364 — — — — 2,586 Franchise finance Pass 256,944 210,617 57,919 — — — — — 525,480 Special Mention — — — — — — — — — Substandard — — 303 — — — — — 303 Doubtful — — — — — — — — — Total franchise finance 256,944 210,617 58,222 — — — — — 525,783 Gross charge-offs — 331 — — — — — — 331 Consumer loans Residential mortgage Performing 14,942 195,453 91,010 30,092 13,072 48,330 — — 392,899 Nonperforming — 738 456 73 — 1,482 — — 2,749 Total residential mortgage 14,942 196,191 91,466 30,165 13,072 49,812 — — 395,648 Gross charge-offs — 53 70 — 17 — — — 140 Home equity Performing 1,369 1,997 436 467 141 585 16,896 1,778 23,669 Nonperforming — — — — — — — — — Total home equity 1,369 1,997 436 467 141 585 16,896 1,778 23,669 Other consumer Performing 115,736 106,883 41,598 26,527 27,087 58,902 795 — 377,528 Nonperforming — 53 — 5 15 13 — — 86 Total other consumer 115,736 106,936 41,598 26,532 27,102 58,915 795 — 377,614 Gross charge-offs 97 115 20 51 56 243 — — 582 Total Loans $ 624,674 $ 1,040,686 $ 463,824 $ 300,968 $ 362,098 $ 937,458 $ 71,369 $ 1,778 $ 3,802,855 Total gross charge-offs $ 164 $ 1,238 $ 7,420 $ 1,420 $ 808 $ 834 $ — $ — $ 11,884 1 Balance is partially guaranteed by the U.S. government. The following tables present the credit risk profile of the Company’s commercial and consumer loan portfolios based on rating category and payment activity as of December 31, 2022. December 31, 2022 (in thousands) Pass Special Mention Substandard Total Commercial and industrial $ 114,934 $ 1,373 $ 9,801 $ 126,108 Owner-occupied commercial real estate 50,721 9,546 1,569 61,836 Investor commercial real estate 93,121 — — 93,121 Construction 180,768 1,198 — 181,966 Single tenant lease financing 936,207 3,033 — 939,240 Public finance 618,752 2,280 — 621,032 Healthcare finance 271,085 1,376 — 272,461 Small business lending 1 107,885 5,814 10,051 123,750 Franchise finance 299,241 594 — 299,835 Total commercial loans $ 2,672,714 $ 25,214 $ 21,421 $ 2,719,349 1 Balance in “Substandard” is partially guaranteed by the U.S. government. December 31, 2022 (in thousands) Performing Nonperforming Total Residential mortgage $ 382,900 $ 1,048 $ 383,948 Home equity 24,712 — 24,712 Other consumer 324,581 17 324,598 Total $ 732,193 $ 1,065 $ 733,258 |
Past Due Financing Receivables | The following tables present the Company’s loan portfolio delinquency analysis as of December 31, 2023 and 2022. December 31, 2023 (in thousands) 30-59 60-89 90 Days Total Current Total loans Commercial and industrial $ 40 $ 21 $ — $ 61 $ 129,288 $ 129,349 Owner-occupied commercial real estate — — — — 57,286 57,286 Investor commercial real estate — — — — 132,077 132,077 Construction — — — — 261,750 261,750 Single tenant lease financing — — — — 936,616 936,616 Public finance — — — — 521,764 521,764 Healthcare finance — — — — 222,793 222,793 Small business lending 1 2,680 57 2,794 5,531 212,975 218,506 Franchise Finance — 2,923 303 3,226 522,557 525,783 Residential mortgage 70 709 1,663 2,442 393,206 395,648 Home equity — — — — 23,669 23,669 Other consumer 223 68 53 344 377,270 377,614 Total $ 3,013 $ 3,778 $ 4,813 $ 11,604 $ 3,791,251 $ 3,802,855 1 Balance is partially guaranteed by the U.S. government. December 31, 2022 (in thousands) 30-59 60-89 90 Days Total Current Total loans Commercial and industrial $ 81 $ — $ 51 $ 132 $ 125,976 $ 126,108 Owner-occupied commercial real estate — — — — 61,836 61,836 Investor commercial real estate — — — — 93,121 93,121 Construction — 1,198 — 1,198 180,768 181,966 Single tenant lease financing — — — — 939,240 939,240 Public finance — — — — 621,032 621,032 Healthcare finance — — — — 272,461 272,461 Small business lending 1 57 — 3,485 3,542 120,208 123,750 Franchise Finance 313 — — 313 299,522 299,835 Residential mortgage — 283 185 468 383,480 383,948 Home equity — — — — 24,712 24,712 Other consumer 91 10 — 101 324,497 324,598 Total $ 542 $ 1,491 $ 3,721 $ 5,754 $ 3,446,853 $ 3,452,607 1 Balance is partially guaranteed by the U.S. government. Loans are reclassified to non-accruing status when, in management’s judgment, the collateral value and financial condition of the borrower do not justify accruing interest. At the time the accrual is discontinued, all unpaid accrued interest is reversed against earnings. Interest income accrued in prior years, if any, is charged to the allowance for credit losses. Payments subsequently received on nonaccrual loans are applied to principal. A loan is returned to accrual status when principal and interest are no longer past due and collectability is probable, typically after a minimum of nine consecutive months of performance. The following table summarizes the Company’s nonaccrual loans and loans past due 90 days or more and still accruing by loan class for the periods indicated: December 31, 2023 December 31, 2022 (in thousands) Nonaccrual Loans Nonaccrual Loans with no Allowance for Credit Losses Total Loans Nonaccrual Loans Nonaccrual Loans with no Allowance for Loan Losses Total Loans Commercial and industrial $ — $ — $ — $ 51 $ — $ — Owner-occupied commercial real estate — — — 1,570 1,570 — Small business lending 1 6,824 904 — 4,764 2,766 — Franchise finance 303 — — — Residential mortgage 1,911 1,911 838 1,048 1,048 79 Other consumer 86 86 — 17 17 — Total loans $ 9,124 $ 2,901 $ 838 $ 7,450 $ 5,401 $ 79 1 Balance is partially guaranteed by the U.S. government. There was $0.3 million and $0.2 million in interest income recognized on nonaccrual loans for the twelve months ended December 31, 2023 and December 31, 2022, respectively. Determining fair value for collateral dependent loans requires obtaining a current independent appraisal of the collateral and applying a discount factor, which includes selling costs if applicable, to the value. The fair value of real estate is generally based on appraisals by qualified licensed appraisers. The appraisers typically determine the value of the real estate by utilizing an income or market valuation approach. If an appraisal is not available, the fair value may be determined by using a cash flow analysis. Fair value on other collateral such as business assets is typically ascertained by assessing, either singularly or some combination of, asset appraisals, accounts receivable aging reports, inventory listings and/or customer financial statements. Both appraised values and values based on borrower’s financial information are discounted as considered appropriate based on age and quality of the information and current market conditions. The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses as of December 31, 2023. December 31, 2023 (in thousands) Commercial Real Estate Residential Real Estate Other Total Allowance on Collateral Dependent Loans Commercial and industrial $ — $ — $ — $ — $ — Owner-occupied commercial real estate — — 1,654 1,654 — Small business lending 1 2,875 1,210 2,226 6,311 2,391 Residential mortgage — 1,911 — 1,911 — Other consumer loans — — 86 86 — Total loans $ 2,875 $ 3,121 $ 3,966 $ 9,962 $ 2,391 1 Balance is partially guaranteed by the U.S. government. |
Impaired Financing Receivables | The following tables present the Company’s impaired loans as of December 31,2022. December 31, 2022 Recorded Unpaid Specific Loans without a specific valuation allowance Commercial and industrial $ 9,750 $ 9,750 $ — Owner-occupied commercial real estate 1,570 1,779 — Small business lending 1 8,184 8,705 — Residential mortgage 3,676 3,835 — Home equity 29 29 — Other consumer 17 36 — Total 23,226 24,134 — Loans with a specific valuation allowance Commercial and industrial $ 51 $ 51 $ 51 Single tenant lease financing — — — Healthcare finance — — — Small business lending 1 1,867 1,867 703 Total 1,918 1,918 754 Total impaired loans $ 25,144 $ 26,052 $ 754 1 Balance is partially guaranteed by the U.S. government. The following table presents average balances and interest income recognized for impaired loans during the twelve months ended December 31, 2022, and 2021. December 31, 2022 December 31, 2021 Average Interest Average Interest Loans without a specific valuation allowance Commercial and industrial $ 3,676 $ 872 $ 194 $ 9 Owner-occupied commercial real estate 2,253 — 3,324 — Single tenant lease financing — — 75 5 Healthcare finance — — 252 — Small business lending 1 2,678 — 1,215 — Residential mortgage 3,529 25 2,264 67 Home equity 16 — 13 — Other consumer 8 — 29 — Total 12,160 897 7,366 81 Loans with a specific valuation allowance Commercial and industrial $ 411 $ — $ 675 $ — Owner-occupied commercial real estate — — 355 — Single tenant lease financing 410 — 3,931 — Healthcare finance 620 45 841 131 Small business lending 1 1,662 — 644 — Other consumer 50 — — — Total 3,153 45 6,446 131 Total impaired loans $ 15,313 $ 942 $ 13,812 $ 212 1 Balance is partially guaranteed by the U.S. government. |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | The following table summarizes premises and equipment at December 31, 2023 and 2022. December 31, 2023 2022 Land $ 5,598 $ 5,598 Construction in process 1,119 714 Right of use leased asset 66 206 Building and improvements 60,699 57,505 Furniture and equipment 20,836 19,585 Less: accumulated depreciation (14,855) (10,897) $ 73,463 $ 72,711 |
Servicing Asset (Tables)
Servicing Asset (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Transfers and Servicing [Abstract] | |
Schedule of Servicing Assets at Fair Value | Activity for the servicing asset and the related changes in fair value for the twelve months ended December 31, 2023, 2022 and 2021 are shown in the table below. Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2021 Beginning balance $ 6,255 $ 4,702 $ 3,569 Additions: Originated and purchased servicing 5,775 3,192 2,202 Subtractions: Paydowns (1,842) (1,075) (820) Changes in fair value due to changes in valuation inputs 379 (564) (249) Loan servicing asset revaluation (1,463) (1,639) (1,069) Ending balance $ 10,567 $ 6,255 $ 4,702 |
Schedule Of Unpaid Principal Balances Of Loans Serviced For Others | Loans serviced for others are not included in the consolidated balance sheets. The unpaid principal balances of these loans serviced for others as of December 31, 2023, 2022 and 2021 are shown in the table below. December 31, 2023 December 31, 2022 December 31, 2021 Loan portfolios serviced for: SBA guaranteed loans $ 531,927 $ 318,194 $ 230,514 Total $ 531,927 $ 318,194 $ 230,514 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Deposits [Abstract] | |
Schedule of deposits | The following table presents the composition of the Company’s deposit base as of December 31, 2023 and 2022. December 31, 2023 2022 Noninterest-bearing demand deposit accounts $ 123,464 $ 175,315 Interest-bearing demand deposit accounts 402,976 335,611 Savings accounts 21,364 44,819 Money market accounts 1,248,319 1,418,599 Banking-as-a-Service (“BaaS”) - brokered deposits 74,401 13,607 Certificates of deposits 1,605,156 874,490 Brokered deposits 591,293 578,804 Total deposits $ 4,066,973 $ 3,441,245 Time deposits greater than $250 $ 703,835 $ 484,700 |
Schedule of certificates of deposits scheduled maturities | The following table presents time deposit maturities by year as of December 31, 2023. Certificates of Deposits Brokered Certificates of Deposits 2024 $ 1,245,393 $ 87,030 2025 83,378 92,499 2026 63,319 35,430 2027 94,844 40,000 2028 118,222 6,500 Thereafter — 6,400 $ 1,605,156 $ 267,859 |
FHLB Advances (Tables)
FHLB Advances (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Federal Home Loan Banks [Abstract] | |
Schedule of Federal Home Loan Bank, Advances, by Branch of FHLB Bank | The Company’s FHLB advances are scheduled to mature according to the following schedule: Amount 2024 $ 255,003 2025 90,000 2026 10,000 2027 100,000 2028 35,000 Thereafter 124,931 $ 614,934 |
Subordinated Debt Subordinated
Subordinated Debt Subordinated Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Subordinated Borrowing | The following table presents the principal balance and unamortized discount and debt issuance costs for the 2029 Notes, the 2030 Note and the 2031 Notes as of December 31, 2023 and 2022. December 31, 2023 December 31, 2022 Principal Unamortized Discount and Debt Issuance Costs Principal Unamortized Discount and Debt Issuance Costs 2029 Notes $ 37,000 $ (862) $ 37,000 $ (1,020) 2030 Note 10,000 (160) 10,000 (184) 2031 Notes 60,000 (1,140) 60,000 (1,264) Total $ 107,000 $ (2,162) $ 107,000 $ (2,468) |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Nonvested Restricted Stock Shares Activity | The following table summarizes the stock-based award activity under the 2022 Plan for the year ended December 31, 2023. Restricted Stock Units Weighted-Average Grant Date Fair Value Per Share Restricted Stock Awards Weighted-Average Grant Date Fair Value Per Share Deferred Stock Units Weighted-Average Grant Date Fair Value Per Unit Unvested at January 1, 2023 — $ — 3,558 $ 36.84 — $ — Granted 147,576 24.61 30,030 11.18 — — Forfeited — — — — — Vested — — (3,558) 36.84 Unvested at December 31, 2023 147,576 $ 24.61 30,030 $ 11.18 — $ — The following table summarizes the stock-based award activity under the 2013 Plan for the year ended December 31, 2023: Restricted Stock Units Weighted-Average Grant Date Fair Value Per Share Restricted Stock Awards Weighted-Average Grant Date Fair Value Per Share Deferred Stock Units Weighted-Average Grant Date Fair Value Per Unit Unvested at January 1, 2023 101,734 $ 35.93 — $ — — $ — Granted — — — — — — Forfeited (278) 27.56 — — — Vested (47,471) 31.56 — — — Unvested at December 31, 2023 53,985 $ 39.86 — — $ — |
Schedule Of Deferred Stock Option Plan | The following table summarizes the status of deferred stock rights related to the Directors Deferred Stock Plan for the year ended December 31, 2023. Deferred Rights Outstanding, beginning of year 40,414 Granted 402 Released (12,278) Outstanding, end of year 28,538 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes consists of the following: December 31, 2023 2022 2021 Current $ 876 $ (73) $ 6,024 Deferred (4,353) 4,632 2,434 Total $ (3,477) $ 4,559 $ 8,458 |
Schedule of Effective Income Tax Rate Reconciliation | Income tax provision is reconciled to the statutory 21 % rate applied to pre-tax income. December 31, 2023 2022 2021 Statutory rate times pre-tax income $ 1,037 $ 8,421 $ 11,880 (Subtract) add the tax effect of: Income from tax-exempt securities and loans (3,951) (4,190) (4,217) State income tax, net of federal tax effect (30) 592 865 Bank-owned life insurance (215) (201) (199) Tax credits (168) (143) (175) Other differences (150) 80 304 Total income taxes $ (3,477) $ 4,559 $ 8,458 |
Schedule of Deferred Tax Assets and Liabilities | The net deferred tax asset at December 31, 2023 and 2022 consists of the following: December 31, 2023 2022 Deferred tax assets (liabilities) Allowance for loan losses $ 9,847 $ 8,569 Net unrealized losses on available-for-sale securities and hedged items 8,776 10,047 Fair value adjustments (12,101) (12,097) Depreciation (4,306) (2,612) Deferred compensation and accrued payroll 1,228 1,574 Loan origination costs (1,379) (1,816) Prepaid assets (806) (813) Net operating loss 13,309 8,928 Tax credits 711 — Other 335 312 Total deferred tax assets, net $ 15,614 $ 12,092 |
Related Party Disclosures (Tabl
Related Party Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | The following table presents the change in related party loans as of December 31, 2023 and 2022. Twelve Months Ended December 31, 2023 December 31, 2022 Balance at the beginning of period $ 21,860 $ 11,364 New Term Loans 19,139 21,810 Additions 4,956 — Repayment of term loans (12) (11,324) Changes in balances of revolving lines of credit (17) 10 Balance at end of period $ 45,926 $ 21,860 |
Regulatory Capital Requiremen_2
Regulatory Capital Requirements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Mortgage Banking [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The following tables present actual and required capital ratios as of December 31, 2023 and 2022 for the Company and the Bank under the Basel III Capital Rules. The minimum required capital amounts presented include the minimum required capital levels as of December 31, 2023 and 2022 based on the Basel III Capital Rules. Capital levels required to be considered well capitalized are based upon prompt corrective action regulations, as amended to reflect the changes under the Basel III Capital Rules. As permitted by the federal banking regulatory agencies, the Company has elected the option to delay the impact of the day one adoption of ASC 326. The transition adjustments of $4.5 million will be phased into the regulatory capital calculations over a three-year period, with 25% of the adjustment recognized in 2023, 50% of the adjustment recognized in 2024, 75% of the adjustment recognized in 2025 and 100% of the adjustment recognized in 2026. Actual Minimum Capital Required - Basel III Minimum Required to be Considered Well Capitalized Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio As of December 31, 2023: Common equity tier 1 capital to risk-weighted assets Consolidated $ 381,001 9.60 % $ 277,914 7.00 % N/A N/A Bank 464,390 11.73 % 277,063 7.00 % $ 257,273 6.50 % Tier 1 capital to risk-weighted assets Consolidated 381,001 9.60 % 337,467 8.50 % N/A N/A Bank 464,390 11.73 % 336,434 8.50 % 316,644 8.00 % Total capital to risk-weighted assets Consolidated 525,283 13.23 % 416,870 10.50 % N/A N/A Bank 503,834 12.73 % 415,595 10.50 % 395,804 10.00 % Leverage ratio Consolidated 381,001 7.33 % 207,929 4.00 % N/A N/A Bank 464,390 8.95 % 207,479 4.00 % 259,349 5.00 % Actual Minimum Capital Required - Basel III Minimum Required to be Considered Well Capitalized Capital Amount Ratio Capital Amount Ratio Capital Amount Ratio As of December 31, 2022: Common equity tier 1 capital to risk-weighted assets Consolidated $ 390,150 10.93 % $ 249,795 7.00 % N/A N/A Bank 466,257 13.10 % 249,191 7.00 % $ 231,392 6.50 % Tier 1 capital to risk-weighted assets Consolidated 390,150 10.93 % 303,323 8.50 % N/A N/A Bank 466,257 13.10 % 302,590 8.50 % 284,790 8.00 % Total capital to risk-weighted assets Consolidated 526,419 14.75 % 374,693 10.50 % N/A N/A Bank 497,994 13.99 % 373,787 10.50 % 355,988 10.00 % Leverage ratio Consolidated 390,150 9.06 % 172,330 4.00 % N/A N/A Bank 466,257 10.84 % 172,093 4.00 % 215,116 5.00 % |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following tables present the fair value measurements of assets and liabilities recognized in the accompanying consolidated balance sheets measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at December 31, 2023 and 2022. December 31, 2023 Fair Value Measurements Using Fair Quoted Prices Significant Significant U.S. Government-sponsored agencies $ 95,177 $ — $ 95,177 $ — Municipal securities 68,446 — 68,446 — Agency mortgage-backed securities - residential 206,649 — 206,649 — Agency mortgage-backed securities - commercial 38,885 — 38,885 Private label mortgage-backed securities - residential 20,779 — 20,779 — Asset-backed securities 8,081 — 8,081 — Corporate securities 36,838 — 36,838 — Total available-for-sale securities $ 474,855 $ — $ 474,855 $ — Servicing asset 10,567 — — 10,567 Interest rate swaps assets 5,139 — 5,139 — Interest rate swap agreements - assets (back-to-back) 677 — 677 — Interest rate swap agreements - liabilities (back-to-back) (677) — (677) — December 31, 2022 Fair Value Measurements Using Fair Quoted Prices Significant Significant U.S. Government-sponsored agencies $ 33,809 $ — $ 33,809 $ — Municipal securities 67,276 — 67,276 — Agency mortgage-backed securities - residential 215,092 — 215,092 — Agency mortgage-backed securities - commercial 15,840 — 15,840 — Private label mortgage-backed securities - residential 10,455 — 10,455 — Asset-backed securities 4,960 — 4,960 — Corporate securities 42,952 — 42,952 — Total available-for-sale securities $ 390,384 $ — $ 390,384 $ — Servicing asset 6,255 — — 6,255 Interest rate swaps assets 8,645 — 8,645 — Loans held-for-sale (mandatory pricing agreements) 9,110 — 9,110 — Forward contracts 97 97 — — IRLCs 133 — — 133 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following table reconciles the beginning and ending balances of recurring fair value measurements recognized in the accompanying consolidated balance sheets using significant unobservable (Level 3) inputs. Servicing Asset Interest Rate Lock Commitments Balance as of January 1, 2021 $ 3,569 $ 3,361 Total realized gains Additions 2,202 — Paydowns (820) Change in fair value (249) (2,643) Balance, December 31, 2021 4,702 718 Total realized gains Additions 3,192 — Paydowns (1,135) — Change in fair value (504) (585) Balance, December 31, 2022 6,255 133 Total realized gains Additions 5,775 — Paydowns (1,842) — Change in fair value 379 (133) Balance, December 31, 2023 $ 10,567 $ — |
Schedule Of Impaired Loans, Including Valuation Allowance, Fair Value, Unobservable Inputs Reconciliation | The following table presents the fair value measurements of assets and liabilities recognized in the accompanying condensed consolidated balance sheets measured at fair value on a nonrecurring basis and the level within the fair value hierarchy in which the fair value measurement falls at December 31, 2023 and December 31, 2022. December 31, 2023 Fair Value Measurements Using Fair Quoted Prices Significant Significant Collateral dependent loans 2,799 — — 2,799 December 31, 2022 Fair Value Measurements Using Fair Quoted Prices Significant Significant Impaired loans 1,164 — — 1,164 |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques | The following tables present quantitative information about unobservable inputs used in recurring and nonrecurring Level 3 fair value measurements. (dollars in thousands) Fair Value at Valuation Significant Unobservable Range Weighted-Average Range Collateral dependent loans $ 2,799 Fair value of collateral Discount for type of property and current market conditions 0% - 90% 28% Servicing asset 10,567 Discounted cash flow Prepayment speeds Discount rate 0% - 25% 15% 11.3% 15% (dollars in thousands) Fair Value at Valuation Unobservable Range Weighted - Average Range Impaired loans $ 1,164 Fair value of collateral Discount for type of property and current market conditions 0% - 25% 20% IRLCs 133 Discounted cash flow Loan closing rates 31% - 100% 89% Servicing asset 6,255 Discounted cash flow Prepayment speeds Discount rate 0% - 25% 14% 14.6% 14% |
Fair Value, by Balance Sheet Grouping | The following tables provide the carrying amounts and estimated fair values of the Company's financial instruments at December 31, 2023 and 2022: December 31, 2023 Fair Value Measurements Using Carrying Fair Value Quoted Prices Significant Significant Cash and cash equivalents $ 405,898 $ 405,898 $ 405,898 $ — $ — Securities held-to-maturity 227,153 207,572 — 207,572 — Loans held-for-sale (best efforts pricing agreements) 22,052 22,052 — 22,052 Net loans 3,801,446 3,611,909 — — 3,611,909 Accrued interest receivable 26,746 26,746 26,746 — — Federal Home Loan Bank of Indianapolis stock 28,350 28,350 — 28,350 — Deposits 4,066,973 4,059,447 1,796,123 — 2,263,324 Advances from Federal Home Loan Bank 614,934 605,366 — 605,366 — Subordinated debt 104,838 102,632 32,560 70,072 — Accrued interest payable 3,848 3,848 3,848 — — December 31, 2022 Fair Value Measurements Using Carrying Fair Value Quoted Prices Significant Significant Cash and cash equivalents $ 256,552 $ 256,552 $ 256,552 $ — $ — Securities held-to-maturity 189,168 168,483 — 168,483 — Loans held-for-sale (best efforts pricing agreements) 12,401 12,401 — 12,401 — Net loans 3,467,664 3,225,845 — — 3,225,845 Accrued interest receivable 21,069 21,069 21,069 — — Federal Home Loan Bank of Indianapolis stock 28,350 28,350 — 28,350 — Deposits 3,441,245 3,415,390 1,974,344 — 1,441,046 Advances from Federal Home Loan Bank 614,928 596,455 — 596,455 — Subordinated debt 104,532 102,669 32,560 70,109 — Accrued interest payable 2,913 2,913 2,913 — — |
Mortgage Banking Activities (Ta
Mortgage Banking Activities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Mortgage Banking [Abstract] | |
Schedule of Participating Mortgage Loans | The following table provides the components of income from mortgage banking activities for the years ended December 31, 2023, 2022, and 2021. Year Ended December 31, 2023 2022 2021 Gain on loans sold $ 471 $ 6,101 $ 17,803 Loss resulting from the change in fair value of loans held-for-sale (143) (184) (718) (Loss) gain resulting from the change in fair value of derivatives (252) (453) (2,035) Net revenue from mortgage banking activities $ 76 $ 5,464 $ 15,050 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule Of Derivative Instruments, Cumulative Basis Adjustments | The following table presents amounts that were recorded in the consolidated balance sheets related to cumulative basis adjustments for interest rate swap derivatives designated as fair value accounting hedges as of December 31, 2023 and 2022. Carrying amount of the hedged assets Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged assets Line item in the consolidated balance sheet in which the hedged item is included December 31, 2023 December 31, 2022 December 31, 2023 December 31, 2022 Securities available-for-sale 1 $ 69,504 $ 68,963 $ (1,143) $ (2,088) 1 These amounts include the amortized cost basis of closed portfolios used to designate hedging relationships in which the hedged item is the last layer expected to be remaining at the end of the hedging relationship. The amounts of the designated hedged items were $50.0 million at December 31, 2023 and 2022. |
Schedule Of Derivative Instruments Of Fixed Rate Receivables | The following tables present a summary of interest rate swap derivatives designated as fair value accounting hedges of fixed-rate receivables used in the Company's asset/liability management activities at December 31, 2023 and December 31, 2022, identified by the underlying interest rate-sensitive instruments. December 31, 2023 Weighted Average Remaining Maturity (years) Weighted-Average Rate Instruments Associated With Notional Value Fair Value Receive Pay Securities available-for-sale $ 50,000 0.8 $ 1,153 3 month SOFR 2.33% Total swap portfolio at December 31, 2023 $ 50,000 0.8 $ 1,153 3 month SOFR 2.33% December 31, 2022 Weighted Average Remaining Maturity (years) Weighted-Average Rate Instruments Associated With Notional Value Fair Value Receive Pay Securities available-for-sale $ 50,000 1.8 $ 2,093 3 month LIBOR 2.33% Total swap portfolio at December 31, 2022 $ 50,000 1.8 $ 2,093 3 month LIBOR 2.33% |
Schedule Of Derivative Instruments Of Variable Rate Liabilities | The following tables present a summary of interest rate swap derivatives designated as cash flow accounting hedges of variable-rate liabilities used in the Company's asset/liability management activities at December 31, 2023 and December 31, 2022. December 31, 2023 Weighted Average Remaining Maturity (years) Weighted-Average Rate Cash Flow Hedges Notional Value Fair Value Receive Pay Interest rate swaps $ 110,000 3.1 $ 3,596 3-month SOFR 2.88% Interest rate swaps 40,000 0.4 390 Fed Funds Effective 2.78% December 31, 2022 Weighted Average Remaining Maturity (years) Weighted-Average Rate Cash Flow Hedges Notional Value Fair Value Receive Pay Interest rate swaps $ 110,000 4.1 $ 4,787 3 month LIBOR 2.88% Interest rate swaps 60,000 0.6 735 1 month LIBOR 2.88% Interest rate swaps 40,000 1.4 1,030 Fed Funds Effective 2.78% |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following table presents the notional amount and fair value of interest rate swaps, IRLCs and forward contracts utilized by the Company at December 31, 2023 and 2022. December 31, 2023 December 31, 2022 Notional Fair Notional Fair Asset Derivatives Derivatives designated as hedging instruments Interest rate swaps associated with securities available-for-sale $ 50,000 $ 1,153 $ 50,000 $ 2,093 Interest rate swaps associated with liabilities 150,000 3,986 210,000 6,552 Derivatives not designated as hedging instruments Back-to-back swaps 1,778 $ 677 — — IRLCs — — 14,862 133 Forward contracts — — 17,000 97 Total contracts $ 201,778 $ 5,816 $ 291,862 $ 8,875 Liability Derivatives Derivatives not designated as hedging instruments Back-to-back swaps 1,778 (677) — — Total contracts $ 1,778 $ (677) $ — $ — |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) | The following table presents the effects of the Company's cash flow hedge relationships on the consolidated statements of comprehensive income during the twelve months ended December 31, 2023, 2022, and 2021. Amount of (Loss) gain recognized in Other Comprehensive Income in the Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2021 Interest rate swap agreements $ (2,566) $ 19,091 $ 11,138 |
Schedule Of Derivative Instruments In Statements Of Income Fair Value | twelve months ended December 31, 2023, 2022, and 2021. Amount of (Loss) / Gain Recognized in the Twelve Months Ended December 31, 2023 December 31, 2022 December 31, 2021 Asset Derivatives Derivatives not designated as hedging instruments Forward contracts $ — $ 127 $ 610 Liability Derivatives Derivatives not designated as hedging instruments IRLCs $ (133) $ (585) $ (2,643) Forward contracts (119) — — |
Derivative Instruments, Gain (Loss) | The following table presents the effects of the Company's interest rate swap agreements on the consolidated statements of income during the twelve months ended December 31, 2023, 2022, and 2021. Line item in the consolidated statements of income December 31, 2023 December 31, 2022 December 31, 2021 Interest income Loans $ — $ — $ — Securities - taxable — — (253) Securities - non-taxable 1,471 (244) (1,099) Total interest income 1,471 (244) (1,352) Interest expense Deposits (1,671) 1,125 2,775 Other borrowed funds (2,622) 1,110 3,028 Total interest expense (4,293) 2,235 5,803 Net interest income $ 5,764 $ (2,479) $ (7,155) |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive loss, included in stockholders' equity, are presented in the table below. Available-For-Sale Securities Unrealized Losses on Debt Securities Transferred from Available-for-Sale to Held-to-Maturity Cash Flow Hedges Total Balance, January 1, 2021 $ 468 $ — $ (17,664) $ (17,196) Net unrealized holding (losses) gains recorded within other comprehensive income before income tax (4,087) — 11,138 7,051 Other comprehensive (loss) income before tax (4,087) — 11,138 7,051 Income tax (benefit) provision (1,064) — 1,958 894 Other comprehensive (loss) income- net of tax (3,023) — 9,180 6,157 Balance, December 31, 2021 $ (2,555) $ — $ (8,484) $ (11,039) Net unrealized holding (losses) gains recorded within other comprehensive income before income tax (42,336) — 19,091 (23,245) Reclassification of securities available-for-sale to held-to-maturity — (5,402) — (5,402) Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity — 844 — 844 Other comprehensive (loss) income before tax (42,336) (4,558) 19,091 (27,803) Income tax (benefit) provision (9,060) (1,039) 4,893 (5,206) Other comprehensive (loss) income- net of tax (33,276) (3,519) 14,198 (22,597) Balance, December 31, 2022 $ (35,831) $ (3,519) $ 5,714 $ (33,636) Net unrealized holding gains (losses) recorded within other comprehensive income before income tax 7,339 — (2,566) 4,773 Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity — 778 — 778 Other comprehensive income (loss) before tax 7,339 778 (2,566) 5,551 Income tax provision (benefit) 1,682 198 (590) 1,290 Other comprehensive income (loss) - net of tax 5,657 580 (1,976) 4,261 Balance, December 31, 2023 $ (30,174) $ (2,939) $ 3,738 $ (29,375) |
Condensed Financial Informati_2
Condensed Financial Information (Parent Company Only) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Condensed Financial Information Disclosure [Abstract] | |
Schedule Of Condensed Balance Sheet Of Parent Company Only | Condensed Balance Sheets Year Ended December 31, 2023 2022 Assets Cash and cash equivalents $ 11,593 $ 22,259 Investment in common stock of subsidiaries 444,221 440,645 Premises and equipment, net — 58 Accrued income and other assets 14,127 8,567 Total assets $ 469,941 $ 471,529 Liabilities and shareholders’ equity Subordinated debt, net of unamortized discounts and debt issuance costs of $2,162 in 2023 and $2,468 in 2022 $ 104,838 $ 104,532 Accrued expenses and other liabilities 2,308 2,023 Total liabilities 107,146 106,555 Shareholders’ equity 362,795 364,974 Total liabilities and shareholders’ equity $ 469,941 $ 471,529 |
Schedule Of Condensed Income Statement Of Parent Company Only | Condensed Statements of Income Year Ended December 31, 2023 2022 2021 Income Dividends from bank subsidiary $ 12,000 $ 8,000 $ — Gain on sale of premises and equipment — — 2,523 Other 188 285 75 Total income 12,188 8,285 2,598 Expenses Interest on borrowings $ 5,376 $ 5,371 $ 5,892 Salaries and employee benefits 1,203 1,147 1,037 Consulting and professional fees 1,572 1,814 2,178 Premises and equipment 126 201 548 Other 280 134 363 Total expenses 8,557 8,667 10,018 Income (loss) before income tax and equity in undistributed net income of subsidiaries 3,631 (382) (7,420) Income tax benefit (1,817) (1,874) (1,687) Income (loss) before equity in undistributed net income of subsidiaries 5,448 1,492 (5,733) Equity in undistributed net income of subsidiaries 2,969 34,049 53,847 Net income $ 8,417 $ 35,541 $ 48,114 |
Comprehensive Income (Loss) | Condensed Statements of Comprehensive Income Year Ended December 31, 2023 2022 2021 Net income $ 8,417 $ 35,541 $ 48,114 Other comprehensive income (loss) Securities available-for-sale Net unrealized holding gains (losses) on securities available-for-sale recorded within other comprehensive income before income tax 7,339 (42,336) (4,087) Income tax provision (benefit) 1,682 (9,060) (1,064) Net effect on other comprehensive income (loss) 5,657 (33,276) (3,023) Securities held-to-maturity Reclassification of securities from available-for-sale to held-to-maturity — (5,402) — Amortization of net unrealized holding losses on securities transferred from available-for-sale to held-to-maturity 778 844 — Income tax provision (benefit) 198 (1,039) — Net effect on other comprehensive income (loss) 580 (3,519) — Cash flow hedges Net unrealized holding (losses) gains on cash flow hedging derivatives recorded within other comprehensive income before income tax (2,566) 19,091 11,138 Income tax (benefit) provision (590) 4,893 1,958 Net effect on other comprehensive (loss) income (1,976) 14,198 9,180 Total other comprehensive income (loss) 4,261 (22,597) 6,157 Comprehensive income $ 12,678 $ 12,944 $ 54,271 |
Schedule Of Condensed Cash Flow Statement Of Parent Company Only | Condensed Statements of Cash Flows Year Ended December 31, 2023 2022 2021 Operating activities Net income $ 8,417 $ 35,541 $ 48,114 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of subsidiaries (2,969) (34,049) (53,847) Depreciation and amortization 318 329 1,081 Share-based compensation expense 256 795 835 Gain on sale of premises and equipment — — (2,523) Net change in other assets (1,819) 350 (31) Net change in other liabilities 358 (490) 775 Net cash provided by (used in) operating activities 4,561 2,476 (5,596) Investing activities Net proceeds from sale of premises and equipment — — 8,116 Other investing activities (3,578) (2,727) (3,561) Net cash (used in) provided by investing activities (3,578) (2,727) 4,555 Financing activities Cash dividends paid (2,156) (2,317) (2,415) Net proceeds from issuance of subordinated debt — — 58,658 Repayment of subordinated debt — — (35,000) Repayment of Bank loan — — (3,000) Repurchase of common stock (9,340) (27,780) (4,436) Other, net (153) (250) (441) Net cash (used in) provided by financing activities (11,649) (30,347) 13,366 Net (decrease) increase in cash and cash equivalents (10,666) (30,598) 12,325 Cash and cash equivalents at beginning of year 22,259 52,857 40,532 Cash and cash equivalents at end of year $ 11,593 $ 22,259 $ 52,857 The prior year Condensed Statements of Income and Condensed Statements of Cash Flows presented above were voluntarily revised to correct an immaterial error. As a result, the following changes were made to the 2022 statements: • Dividends received from subsidiary are presented in total income. • Equity in undistributed net income of subsidiaries reflects the difference in subsidiary income and dividends received. |
Recent Accounting Pronounceme_3
Recent Accounting Pronouncements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Accounting Standards Update and Change in Accounting Principle | The following table presents the impact of the adoption of ASC 326 as of January 1, 2023: January 1, 2023 (dollars in thousands) Pre-ASC 326 Adoption Impact of ASC 326 Adoption As Reported Under ASC 326 Assets: Commercial loans Commercial and industrial $ 1,711 $ (120) $ 1,591 Owner-occupied commercial real estate 651 62 713 Investor commercial real estate 1,099 (191) 908 Construction 2,074 (435) 1,639 Single tenant lease financing 10,519 (346) 10,173 Public finance 1,753 (135) 1,618 Healthcare finance 2,997 1,034 4,031 Small business lending 2,168 334 2,502 Franchise finance 3,988 (313) 3,675 Total commercial loans 26,960 (110) 26,850 Consumer loans Residential mortgage 1,559 406 1,965 Home equity 69 133 202 Other consumer 3,149 2,533 5,682 Total consumer loans 4,777 3,072 7,849 Total allowance for credit losses $ 31,737 $ 2,962 $ 34,699 Liabilities: Liability for off-balance sheet credit exposures $ — $ 2,504 $ 2,504 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounting Policies [Abstract] | |||
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Weighted-average common shares (in shares) | 8,837,558 | 9,530,921 | 9,918,083 |
Basic earnings per share | |||
Basic earnings per common share (in dollars per share) | $ 0.95 | $ 3.73 | $ 4.85 |
Diluted earnings per share | |||
Dilutive effect of equity compensation (in shares) | 21,332 | 64,194 | 58,178 |
Weighted-average common and incremental shares (in shares) | 8,858,890 | 9,595,115 | 9,976,261 |
Diluted earnings per common share (in dollars per share) | $ 0.95 | $ 3.70 | $ 4.82 |
Antidilutive securities excluded from computation of earnings per share (in shares) | 20,797 | 2,646 | 28 |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies (Details Textual) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2023 USD ($) reporting_unit subsidiary | Jan. 01, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 31, 2006 | |
Significant Accounting Policies [Line Items] | ||||||
Date of incorporation | Sep. 15, 2005 | |||||
Number of wholly owned subsidiaries | subsidiary | 3 | |||||
Number of reporting units | reporting_unit | 1 | |||||
Number of reportable segments | reporting_unit | 1 | |||||
Accrued interest receivable | $ 2,900 | |||||
Accrued interest | 1,200 | |||||
Accrued interest, financing receivable | 20,900 | |||||
Equity, Attributable to Parent | (362,795) | $ (364,974) | $ (380,338) | $ (330,944) | ||
Net loans | 3,801,446 | 3,467,664 | ||||
Allowance for unfunded commitments | 0 | |||||
Allowance for credit loss in retained earnings | $ 293 | |||||
Debt Securities, Held-to-Maturity, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | FHLB stock, Carrying Amount | |||||
Financing Receivable, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | FHLB stock, Carrying Amount | |||||
Retained Earnings | ||||||
Significant Accounting Policies [Line Items] | ||||||
Equity, Attributable to Parent | $ (207,470) | (205,675) | $ (172,431) | $ (126,732) | ||
Cumulative Effect, Period of Adoption, Adjustment | ||||||
Significant Accounting Policies [Line Items] | ||||||
Equity, Attributable to Parent | 4,491 | |||||
Net loans | 2,300 | |||||
Allowance for unfunded commitments | $ 2,504 | 1,900 | ||||
Allowance for credit loss in retained earnings | 300 | |||||
Cumulative Effect, Period of Adoption, Adjustment | Retained Earnings | ||||||
Significant Accounting Policies [Line Items] | ||||||
Equity, Attributable to Parent | $ 4,491 | |||||
First Internet Bank of Indiana | ||||||
Significant Accounting Policies [Line Items] | ||||||
Ownership (as a percent) | 100% | |||||
Equipment | Minimum | ||||||
Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives (in years) | 3 years | |||||
Equipment | Maximum | ||||||
Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives (in years) | 5 years | |||||
Land Improvements | ||||||
Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives (in years) | 10 years | |||||
Buildings | ||||||
Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives (in years) | 39 years |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Details Textual) $ in Millions | Dec. 31, 2023 USD ($) |
Cash and Cash Equivalents [Line Items] | |
Cash in excess of limits of FDIC insurance coverage | $ 8.6 |
Federal Home Loan Bank of Chicago | |
Cash and Cash Equivalents [Line Items] | |
Cash held | 382.2 |
Federal Home Loan Bank of Indianapolis | |
Cash and Cash Equivalents [Line Items] | |
Cash held | $ 7 |
Securities (Details)
Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | $ 513,315 | $ 436,183 |
Gross Unrealized Gains | 1,054 | 493 |
Gross Unrealized Losses | (39,514) | (46,292) |
Fair Value | 474,855 | 390,384 |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 227,446 | 189,168 |
Gross Unrealized Gains | 5 | 0 |
Gross Unrealized Losses | (19,879) | (20,685) |
Fair Value | 207,572 | 168,483 |
Allowance for Credit Losses | (293) | |
Net Carrying Value | 227,153 | 189,168 |
Premium related to terminated interest rate swaps | $ 400 | 500 |
Debt Securities, Available-for-Sale, Accrued Interest, after Allowance for Credit Loss, Statement of Financial Position [Extensible Enumeration] | FHLB stock, Carrying Amount | |
Accrued interest | $ 1,200 | |
U.S. Government-sponsored agencies | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 96,404 | 35,606 |
Gross Unrealized Gains | 402 | 0 |
Gross Unrealized Losses | (1,629) | (1,797) |
Fair Value | 95,177 | 33,809 |
Municipal securities | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 69,494 | 68,958 |
Gross Unrealized Gains | 356 | 458 |
Gross Unrealized Losses | (1,404) | (2,140) |
Fair Value | 68,446 | 67,276 |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 13,892 | 13,946 |
Gross Unrealized Gains | 1 | 0 |
Gross Unrealized Losses | (853) | (1,114) |
Fair Value | 13,040 | 12,832 |
Allowance for Credit Losses | (3) | |
Net Carrying Value | 13,889 | |
Agency mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 237,798 | 252,066 |
Gross Unrealized Gains | 101 | 0 |
Gross Unrealized Losses | (31,250) | (36,974) |
Fair Value | 206,649 | 215,092 |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 166,750 | 121,853 |
Gross Unrealized Gains | 4 | 0 |
Gross Unrealized Losses | (14,112) | (15,112) |
Fair Value | 152,642 | 106,741 |
Allowance for Credit Losses | 0 | |
Net Carrying Value | 166,750 | |
Agency mortgage-backed securities - commercial | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 40,215 | 17,142 |
Gross Unrealized Gains | 9 | 0 |
Gross Unrealized Losses | (1,339) | (1,302) |
Fair Value | 38,885 | 15,840 |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 5,767 | 5,818 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (1,246) | (1,266) |
Fair Value | 4,521 | 4,552 |
Allowance for Credit Losses | 0 | |
Net Carrying Value | 5,767 | |
Private label mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 21,742 | 11,777 |
Gross Unrealized Gains | 144 | 0 |
Gross Unrealized Losses | (1,107) | (1,322) |
Fair Value | 20,779 | 10,455 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 8,071 | 5,000 |
Gross Unrealized Gains | 17 | 0 |
Gross Unrealized Losses | (7) | (40) |
Fair Value | 8,081 | 4,960 |
Corporate securities | ||
Debt Securities, Available-for-sale [Abstract] | ||
Amortized Cost | 39,591 | 45,634 |
Gross Unrealized Gains | 25 | 35 |
Gross Unrealized Losses | (2,778) | (2,717) |
Fair Value | 36,838 | 42,952 |
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 41,037 | 47,551 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (3,668) | (3,193) |
Fair Value | 37,369 | $ 44,358 |
Allowance for Credit Losses | (290) | |
Net Carrying Value | $ 40,747 |
Securities - Carrying Value of
Securities - Carrying Value of Securities by Contractual Maturity Date (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Amortized Cost | ||
Within one year | $ 550 | |
One to five years | 31,401 | |
Five to ten years | 69,553 | |
Five to ten years | 103,985 | |
Amortized Cost | 205,489 | |
Totals | 513,315 | $ 436,183 |
Held-to-Maturity, Amortized Cost | ||
Within one year | 995 | |
One to five years | 6,129 | |
Five to ten years | 43,856 | |
After ten years | 3,949 | |
Total | 54,929 | |
Debt Securities, Held-to-maturity | 227,446 | 189,168 |
Fair Value | ||
Within one year | 549 | |
One to five years | 31,865 | |
Five to ten years | 67,120 | |
After ten years | 100,927 | |
Fair Value | 200,461 | |
Totals | 474,855 | 390,384 |
Held-to-Maturity, Fair Value | ||
Within one year | 987 | |
Five to ten years | 5,952 | |
Five to ten years | 39,967 | |
After ten years | 3,503 | |
Total | 50,409 | |
Held-to-maturity securities, fair value | 207,572 | 168,483 |
Agency mortgage-backed securities - residential | ||
Amortized Cost | ||
Totals | 237,798 | 252,066 |
Held-to-Maturity, Amortized Cost | ||
Debt Securities, Held-to-maturity | 166,750 | 121,853 |
Fair Value | ||
Totals | 206,649 | 215,092 |
Held-to-Maturity, Fair Value | ||
Held-to-maturity securities, fair value | 152,642 | 106,741 |
Agency mortgage-backed securities - commercial | ||
Amortized Cost | ||
Totals | 40,215 | 17,142 |
Held-to-Maturity, Amortized Cost | ||
Debt Securities, Held-to-maturity | 5,767 | 5,818 |
Fair Value | ||
Totals | 38,885 | 15,840 |
Held-to-Maturity, Fair Value | ||
Held-to-maturity securities, fair value | 4,521 | 4,552 |
Private label mortgage-backed securities - residential | ||
Amortized Cost | ||
Totals | 21,742 | 11,777 |
Fair Value | ||
Totals | 20,779 | 10,455 |
Asset-backed securities | ||
Amortized Cost | ||
Totals | 8,071 | 5,000 |
Fair Value | ||
Totals | $ 8,081 | $ 4,960 |
Securities - Gross Unrealized L
Securities - Gross Unrealized Losses and Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | $ 73,884 | $ 278,784 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 302,785 | 80,514 |
Available-for-sale, Unrealized Loss Position, Fair Value | 376,669 | 359,298 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (720) | (35,212) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (38,794) | (11,080) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 39,514 | 46,292 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Held-to-maturity, Less Than 12 Months | 117,986 | |
Held-to-maturity, 12 Months or Longer | 50,082 | |
Held-to-maturity, Total | 168,068 | |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract] | ||
Held-to-maturity, Less Than 12 Months | (13,460) | |
Held-to-maturity, 12 Months or Longer | (7,225) | |
Held-to-maturity, Total | (20,685) | |
U.S. Government-sponsored agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 41,934 | 29,668 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 24,579 | 4,141 |
Available-for-sale, Unrealized Loss Position, Fair Value | 66,513 | 33,809 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (161) | (1,008) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (1,468) | (789) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 1,629 | 1,797 |
Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 2,399 | 39,557 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 36,193 | 4,778 |
Available-for-sale, Unrealized Loss Position, Fair Value | 38,592 | 44,335 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (103) | (1,766) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (1,301) | (374) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 1,404 | 2,140 |
Agency mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 1,089 | 170,026 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 194,095 | 45,066 |
Available-for-sale, Unrealized Loss Position, Fair Value | 195,184 | 215,092 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (5) | (29,690) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (31,245) | (7,284) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 31,250 | 36,974 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Held-to-maturity, Less Than 12 Months | 68,408 | |
Held-to-maturity, 12 Months or Longer | 38,332 | |
Held-to-maturity, Total | 106,740 | |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract] | ||
Held-to-maturity, Less Than 12 Months | (8,848) | |
Held-to-maturity, 12 Months or Longer | (6,264) | |
Held-to-maturity, Total | (15,112) | |
Agency mortgage-backed securities - commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 21,561 | 10,560 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 14,217 | 5,280 |
Available-for-sale, Unrealized Loss Position, Fair Value | 35,778 | 15,840 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (50) | (926) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (1,289) | (376) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 1,339 | 1,302 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Held-to-maturity, Less Than 12 Months | 4,552 | |
Held-to-maturity, 12 Months or Longer | 0 | |
Held-to-maturity, Total | 4,552 | |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract] | ||
Held-to-maturity, Less Than 12 Months | (1,266) | |
Held-to-maturity, 12 Months or Longer | 0 | |
Held-to-maturity, Total | (1,266) | |
Private label mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 3,567 | 2,445 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 9,114 | 8,010 |
Available-for-sale, Unrealized Loss Position, Fair Value | 12,681 | 10,455 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (29) | (330) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (1,078) | (992) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 1,107 | 1,322 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 1,654 | 4,960 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 0 | 0 |
Available-for-sale, Unrealized Loss Position, Fair Value | 1,654 | 4,960 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (7) | (40) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | 0 | 0 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | 7 | 40 |
Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Fair Value | 1,680 | 21,568 |
Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Fair Value | 24,587 | 13,239 |
Available-for-sale, Unrealized Loss Position, Fair Value | 26,267 | 34,807 |
Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Unrealized Losses | (365) | (1,452) |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Unrealized Losses | (2,413) | (1,265) |
Debt Securities, Available-for-sale, Unrealized Loss Position, Unrealized Losses | $ 2,778 | 2,717 |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Held-to-maturity, Less Than 12 Months | 36,866 | |
Held-to-maturity, 12 Months or Longer | 7,492 | |
Held-to-maturity, Total | 44,358 | |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract] | ||
Held-to-maturity, Less Than 12 Months | (2,685) | |
Held-to-maturity, 12 Months or Longer | (508) | |
Held-to-maturity, Total | (3,193) | |
Municipal securities | ||
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Held-to-maturity, Less Than 12 Months | 8,160 | |
Held-to-maturity, 12 Months or Longer | 4,258 | |
Held-to-maturity, Total | 12,418 | |
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position [Abstract] | ||
Held-to-maturity, Less Than 12 Months | (661) | |
Held-to-maturity, 12 Months or Longer | (453) | |
Held-to-maturity, Total | $ (1,114) |
Securities - HTM Portfolio Cred
Securities - HTM Portfolio Credit Rating (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | $ 227,446 | $ 189,168 |
Standard & Poor's, AAA Rating | Moody's, Aaa Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Standard & Poor's, AA+ Rating | Moody's, Aa1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 9,917 | |
Standard & Poor's, AA Rating | Moody's, Aa2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 1,538 | |
Standard & Poor's, A+ Rating | Moody's, A1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 1,794 | |
Standard & Poor's, A Rating | Moody's, A2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 5,643 | |
Standard & Poor's, A- Rating | Moody's, A3 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 4,509 | |
Standard & Poor's, BBB+ Rating | Moody's, Baa1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 8,500 | |
Standard & Poor's, BBB Rating | Moody's, Baa2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 8,500 | |
Standard & Poor's, BBB- Rating | Moody's, Baa3 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 12,528 | |
Standard & Poor's Not Rated | Moody's, Not Rated Agency | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 172,517 | |
Standard & Poor's, BB+ Rating | Moody's, Ba1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 2,000 | |
Municipal securities | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 13,892 | $ 13,946 |
Municipal securities | Standard & Poor's, AAA Rating | Moody's, Aaa Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Municipal securities | Standard & Poor's, AA+ Rating | Moody's, Aa1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 9,917 | |
Municipal securities | Standard & Poor's, AA Rating | Moody's, Aa2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 1,538 | |
Municipal securities | Standard & Poor's, A+ Rating | Moody's, A1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 1,794 | |
Municipal securities | Standard & Poor's, A Rating | Moody's, A2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 643 | |
Municipal securities | Standard & Poor's, A- Rating | Moody's, A3 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Municipal securities | Standard & Poor's, BBB+ Rating | Moody's, Baa1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Municipal securities | Standard & Poor's, BBB Rating | Moody's, Baa2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Municipal securities | Standard & Poor's, BBB- Rating | Moody's, Baa3 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Municipal securities | Standard & Poor's Not Rated | Moody's, Not Rated Agency | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Municipal securities | Standard & Poor's, BB+ Rating | Moody's, Ba1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Other | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 213,554 | |
Other | Standard & Poor's, AAA Rating | Moody's, Aaa Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Other | Standard & Poor's, AA+ Rating | Moody's, Aa1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Other | Standard & Poor's, AA Rating | Moody's, Aa2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Other | Standard & Poor's, A+ Rating | Moody's, A1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 0 | |
Other | Standard & Poor's, A Rating | Moody's, A2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 5,000 | |
Other | Standard & Poor's, A- Rating | Moody's, A3 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 4,509 | |
Other | Standard & Poor's, BBB+ Rating | Moody's, Baa1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 8,500 | |
Other | Standard & Poor's, BBB Rating | Moody's, Baa2 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 8,500 | |
Other | Standard & Poor's, BBB- Rating | Moody's, Baa3 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 12,528 | |
Other | Standard & Poor's Not Rated | Moody's, Not Rated Agency | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | 172,517 | |
Other | Standard & Poor's, BB+ Rating | Moody's, Ba1 Rating | ||
Debt Securities, Held-to-Maturity, Credit Quality Indicator [Line Items] | ||
Securities held-to-maturity - at amortized cost, net of allowance for credit losses of $0.3 million in 2023 (fair value of $207,572 in 2023 and $168,483 in 2022) | $ 2,000 |
Securities - Additional Informa
Securities - Additional Information (Details Textual) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Debt Securities, Available-for-sale [Line Items] | ||
Accrued interest receivable | $ 2,900,000 | |
Allowance for credit loss in retained earnings | 293,000 | |
Gross realized gain | 0 | |
Fair Value | 474,855,000 | $ 390,384,000 |
Total fair value | $ 578,900,000 | $ 527,400,000 |
Percentage of available-for-sale portfolio | 85% | 94% |
Cumulative Effect, Period of Adoption, Adjustment | ||
Debt Securities, Available-for-sale [Line Items] | ||
Allowance for credit loss in retained earnings | $ 300,000 | |
Asset Pledged as Collateral | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | $ 662,100,000 |
Securities - Carrying Values of
Securities - Carrying Values of Readily Determinable Fair Value Equity Investments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt and Equity Securities, FV-NI [Line Items] | ||
Carrying value of equity securities | $ 2,102 | $ 2,134 |
GenOpp Financial Fund LP | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Carrying value of equity securities | $ 2,102 | $ 2,134 |
Securities - Nonmarketable Equi
Securities - Nonmarketable Equity Securities With No Readily-Determinable Fair Value Changes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | ||
Carrying value | $ 12,374 | $ 8,067 |
Carrying value adjustments | 0 | 0 |
Impairment | 0 | 0 |
Upward changes for observable prices | 0 | 0 |
Downward changes for observable prices | 0 | 0 |
Net change | 12,374 | 8,067 |
Unfunded commitments | $ 11,500 | $ 13,000 |
Loans - Categories (Details)
Loans - Categories (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | $ 3,802,855 | $ 3,452,607 | ||
Financing Receivable, Unamortized Loan Cost (Fee) and Purchase Premium (Discount) | 37,365 | 46,794 | ||
Total | 3,840,220 | 3,499,401 | ||
Allowance for credit losses | (38,774) | (31,737) | $ (27,841) | $ (29,484) |
Net loans | 3,801,446 | 3,467,664 | ||
Nonaccural, interest income | 300 | 200 | ||
Commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (1,711) | (1,891) | (1,146) | |
Owner-occupied commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (651) | (742) | (1,082) | |
Investor commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (1,099) | (328) | (155) | |
Construction | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (2,074) | (1,612) | (1,192) | |
Single tenant lease financing | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (10,519) | (10,385) | (12,990) | |
Public finance | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (1,753) | (1,776) | (1,732) | |
Healthcare finance | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (2,997) | (5,940) | (7,485) | |
Franchise finance | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (3,988) | (1,083) | 0 | |
Small business lending | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (2,168) | (1,387) | (628) | |
Residential mortgage | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (1,559) | (643) | (519) | |
Home equity | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (69) | (64) | (48) | |
Other consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | (3,149) | $ (1,990) | $ (2,507) | |
Commercial loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 3,005,924 | |||
Total | 2,719,349 | |||
Allowance for credit losses | (26,960) | |||
Commercial loans | Commercial and industrial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 129,349 | 126,108 | ||
Total | 129,349 | |||
Allowance for credit losses | (1,711) | |||
Commercial loans | Owner-occupied commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 57,286 | 61,836 | ||
Total | 57,286 | |||
Allowance for credit losses | (651) | |||
Commercial loans | Investor commercial real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 132,077 | 93,121 | ||
Total | 132,077 | |||
Allowance for credit losses | (1,099) | |||
Commercial loans | Construction | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 261,750 | 181,966 | ||
Total | 261,750 | |||
Allowance for credit losses | (2,074) | |||
Commercial loans | Single tenant lease financing | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 936,616 | 939,240 | ||
Total | 936,616 | |||
Allowance for credit losses | (10,519) | |||
Commercial loans | Public finance | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 521,764 | 621,032 | ||
Total | 521,764 | |||
Allowance for credit losses | (1,753) | |||
Commercial loans | Public finance | Interest rate swaps assets | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 27,800 | 32,500 | ||
Commercial loans | Healthcare finance | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 222,793 | 272,461 | ||
Allowance for credit losses | (2,997) | |||
Commercial loans | Franchise finance | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 525,783 | 299,835 | ||
Allowance for credit losses | (3,988) | |||
Commercial loans | Small business lending | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 218,506 | 123,750 | ||
Allowance for credit losses | (2,168) | |||
Consumer loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 796,931 | 733,258 | ||
Total | 733,258 | |||
Allowance for credit losses | (4,777) | |||
Consumer loans | Residential mortgage | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 395,648 | 383,948 | ||
Allowance for credit losses | (1,559) | |||
Consumer loans | Home equity | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | 23,669 | 24,712 | ||
Allowance for credit losses | (69) | |||
Consumer loans | Other consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Loans | $ 377,614 | 324,598 | ||
Allowance for credit losses | $ (3,149) |
Loans - Provision for Credit Lo
Loans - Provision for Credit Losses on Off-Balance Sheet Commitments (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 01, 2023 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | $ 0 | |||
Provision for credit losses - off-balance sheet commitments | $ 1,241 | 0 | $ 0 | |
Balance, Beginning of Period | 31,737 | 27,841 | 29,484 | |
Adoption of CECL | 38,774 | 31,737 | 27,841 | |
(Credit) Provision Charged to Expense | 15,454 | 4,977 | 1,030 | |
Losses Charged Off | (11,884) | (2,760) | (3,227) | |
Recoveries | 505 | 1,679 | 554 | |
Balance, End of Period | 38,774 | 31,737 | 27,841 | |
Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 1,900 | $ 2,504 | ||
Adoption of CECL | 2,962 | |||
Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 3,745 | 2,504 | ||
Adoption of CECL | 38,774 | 34,699 | ||
Balance, End of Period | 38,774 | |||
Commercial and industrial | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 1,711 | 1,891 | 1,146 | |
Adoption of CECL | 1,711 | 1,891 | ||
(Credit) Provision Charged to Expense | 7,400 | (185) | 684 | |
Losses Charged Off | (7,049) | 0 | (28) | |
Recoveries | 243 | 5 | 89 | |
Balance, End of Period | 1,711 | 1,891 | ||
Commercial and industrial | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (120) | |||
Commercial and industrial | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 2,185 | |||
Balance, End of Period | 2,185 | |||
Owner-occupied commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 651 | 742 | 1,082 | |
Adoption of CECL | 651 | 742 | ||
(Credit) Provision Charged to Expense | 112 | (91) | (340) | |
Losses Charged Off | 0 | 0 | 0 | |
Recoveries | 0 | 0 | 0 | |
Balance, End of Period | 651 | 742 | ||
Owner-occupied commercial real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 62 | |||
Owner-occupied commercial real estate | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 825 | |||
Balance, End of Period | 825 | |||
Investor commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 1,099 | 328 | 155 | |
Adoption of CECL | 1,099 | 328 | ||
(Credit) Provision Charged to Expense | 994 | 771 | 173 | |
Losses Charged Off | (591) | 0 | 0 | |
Recoveries | 0 | 0 | 0 | |
Balance, End of Period | 1,099 | 328 | ||
Investor commercial real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (191) | |||
Investor commercial real estate | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 1,311 | |||
Balance, End of Period | 1,311 | |||
Construction | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 2,074 | 1,612 | 1,192 | |
Adoption of CECL | 2,074 | 1,612 | ||
(Credit) Provision Charged to Expense | 528 | 462 | 420 | |
Losses Charged Off | 0 | 0 | 0 | |
Recoveries | 0 | 0 | 0 | |
Balance, End of Period | 2,074 | 1,612 | ||
Construction | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (435) | |||
Construction | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 2,167 | |||
Balance, End of Period | 2,167 | |||
Healthcare finance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 2,997 | 5,940 | 7,485 | |
Adoption of CECL | 2,997 | 5,940 | ||
(Credit) Provision Charged to Expense | (1,450) | (2,943) | (1,545) | |
Losses Charged Off | (605) | 0 | 0 | |
Recoveries | 0 | 0 | 0 | |
Balance, End of Period | 2,997 | 5,940 | ||
Healthcare finance | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 1,034 | |||
Healthcare finance | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 1,976 | |||
Balance, End of Period | 1,976 | |||
Residential mortgage | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 1,559 | 643 | 519 | |
Adoption of CECL | 1,559 | 643 | ||
(Credit) Provision Charged to Expense | 224 | 912 | 67 | |
Losses Charged Off | (140) | 0 | (6) | |
Recoveries | 5 | 4 | 63 | |
Balance, End of Period | 1,559 | 643 | ||
Residential mortgage | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 406 | |||
Residential mortgage | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 2,054 | |||
Balance, End of Period | 2,054 | |||
Home equity | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 69 | 64 | 48 | |
Adoption of CECL | 69 | 64 | ||
(Credit) Provision Charged to Expense | (37) | (134) | 60 | |
Losses Charged Off | 0 | 0 | (51) | |
Recoveries | 6 | 139 | 7 | |
Balance, End of Period | 69 | 64 | ||
Home equity | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 133 | |||
Home equity | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 171 | |||
Balance, End of Period | 171 | |||
Other consumer | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 3,149 | 1,990 | 2,507 | |
Adoption of CECL | 3,149 | 1,990 | ||
(Credit) Provision Charged to Expense | 415 | 3,246 | (303) | |
Losses Charged Off | (582) | (2,358) | (529) | |
Recoveries | 174 | 271 | 315 | |
Balance, End of Period | 3,149 | 1,990 | ||
Other consumer | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 2,533 | |||
Other consumer | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 5,689 | |||
Balance, End of Period | 5,689 | |||
Single tenant lease financing | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 10,519 | 10,385 | 12,990 | |
Adoption of CECL | 10,519 | 10,385 | ||
(Credit) Provision Charged to Expense | (2,044) | (1,097) | (214) | |
Losses Charged Off | 0 | 0 | (2,391) | |
Recoveries | 0 | 1,231 | 0 | |
Balance, End of Period | 10,519 | 10,385 | ||
Single tenant lease financing | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (346) | |||
Single tenant lease financing | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 8,129 | |||
Balance, End of Period | 8,129 | |||
Public finance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 1,753 | 1,776 | 1,732 | |
Adoption of CECL | 1,753 | 1,776 | ||
(Credit) Provision Charged to Expense | (246) | (23) | 44 | |
Losses Charged Off | 0 | 0 | 0 | |
Recoveries | 0 | 0 | 0 | |
Balance, End of Period | 1,753 | 1,776 | ||
Public finance | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (135) | |||
Public finance | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 1,372 | |||
Balance, End of Period | 1,372 | |||
Small business lending | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 2,168 | 1,387 | 628 | |
Adoption of CECL | 2,168 | 1,387 | ||
(Credit) Provision Charged to Expense | 6,539 | 1,154 | 901 | |
Losses Charged Off | (2,586) | (402) | (222) | |
Recoveries | 77 | 29 | 80 | |
Balance, End of Period | 2,168 | 1,387 | ||
Small business lending | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 334 | |||
Small business lending | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 6,532 | |||
Balance, End of Period | 6,532 | |||
Franchise finance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 3,988 | 1,083 | 0 | |
Adoption of CECL | 3,988 | 1,083 | ||
(Credit) Provision Charged to Expense | 3,019 | 2,905 | 1,083 | |
Losses Charged Off | (331) | 0 | 0 | |
Recoveries | 0 | 0 | 0 | |
Balance, End of Period | 3,988 | $ 1,083 | ||
Franchise finance | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (313) | |||
Franchise finance | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 6,363 | |||
Balance, End of Period | 6,363 | |||
Commercial loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | 1,364 | |||
Balance, Beginning of Period | 26,960 | |||
Adoption of CECL | 26,960 | |||
Balance, End of Period | 26,960 | |||
Commercial loans | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 2,314 | |||
Adoption of CECL | (110) | |||
Commercial loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 3,678 | |||
Adoption of CECL | 26,850 | |||
Commercial loans | Commercial and industrial | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | 123 | |||
Balance, Beginning of Period | 1,711 | |||
Adoption of CECL | 1,711 | |||
Losses Charged Off | (7,049) | |||
Balance, End of Period | 1,711 | |||
Commercial loans | Commercial and industrial | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 110 | |||
Adoption of CECL | (120) | |||
Commercial loans | Commercial and industrial | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 233 | |||
Adoption of CECL | 1,591 | |||
Commercial loans | Owner-occupied commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | 9 | |||
Balance, Beginning of Period | 651 | |||
Adoption of CECL | 651 | |||
Balance, End of Period | 651 | |||
Commercial loans | Owner-occupied commercial real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Adoption of CECL | 62 | |||
Commercial loans | Owner-occupied commercial real estate | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 9 | |||
Adoption of CECL | 713 | |||
Commercial loans | Investor commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | (3) | |||
Balance, Beginning of Period | 1,099 | |||
Adoption of CECL | 1,099 | |||
Losses Charged Off | (591) | |||
Balance, End of Period | 1,099 | |||
Commercial loans | Investor commercial real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 9 | |||
Adoption of CECL | (191) | |||
Commercial loans | Investor commercial real estate | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 6 | |||
Adoption of CECL | 908 | |||
Commercial loans | Construction | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | 696 | |||
Balance, Beginning of Period | 2,074 | |||
Adoption of CECL | 2,074 | |||
Balance, End of Period | 2,074 | |||
Commercial loans | Construction | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 2,193 | |||
Adoption of CECL | (435) | |||
Commercial loans | Construction | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 2,889 | |||
Adoption of CECL | 1,639 | |||
Commercial loans | Healthcare finance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | (2) | |||
Balance, Beginning of Period | 2,997 | |||
Adoption of CECL | 2,997 | |||
Losses Charged Off | (605) | |||
Balance, End of Period | 2,997 | |||
Commercial loans | Healthcare finance | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 2 | |||
Adoption of CECL | 1,034 | |||
Commercial loans | Healthcare finance | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Adoption of CECL | 4,031 | |||
Commercial loans | Single tenant lease financing | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 10,519 | |||
Adoption of CECL | 10,519 | |||
Balance, End of Period | 10,519 | |||
Commercial loans | Single tenant lease financing | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (346) | |||
Commercial loans | Single tenant lease financing | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 10,173 | |||
Commercial loans | Public finance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 1,753 | |||
Adoption of CECL | 1,753 | |||
Balance, End of Period | 1,753 | |||
Commercial loans | Public finance | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (135) | |||
Commercial loans | Public finance | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 1,618 | |||
Commercial loans | Small business lending | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | 541 | |||
Balance, Beginning of Period | 2,168 | |||
Adoption of CECL | 2,168 | |||
Losses Charged Off | (2,586) | |||
Balance, End of Period | 2,168 | |||
Commercial loans | Small business lending | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Adoption of CECL | 334 | |||
Commercial loans | Small business lending | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 541 | |||
Adoption of CECL | 2,502 | |||
Commercial loans | Franchise finance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Balance, Beginning of Period | 3,988 | |||
Adoption of CECL | 3,988 | |||
Losses Charged Off | (331) | |||
Balance, End of Period | 3,988 | |||
Commercial loans | Franchise finance | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | (313) | |||
Commercial loans | Franchise finance | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Adoption of CECL | 3,675 | |||
Consumer loans | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | (123) | |||
Balance, Beginning of Period | 4,777 | |||
Adoption of CECL | 4,777 | |||
Balance, End of Period | 4,777 | |||
Consumer loans | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 190 | |||
Adoption of CECL | 3,072 | |||
Consumer loans | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 67 | |||
Adoption of CECL | 7,849 | |||
Consumer loans | Residential mortgage | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | (116) | |||
Balance, Beginning of Period | 1,559 | |||
Adoption of CECL | 1,559 | |||
Losses Charged Off | (140) | |||
Balance, End of Period | 1,559 | |||
Consumer loans | Residential mortgage | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 127 | |||
Adoption of CECL | 406 | |||
Consumer loans | Residential mortgage | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 11 | |||
Adoption of CECL | 1,965 | |||
Consumer loans | Home equity | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | (7) | |||
Balance, Beginning of Period | 69 | |||
Adoption of CECL | 69 | |||
Balance, End of Period | 69 | |||
Consumer loans | Home equity | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 52 | |||
Adoption of CECL | 133 | |||
Consumer loans | Home equity | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 45 | |||
Adoption of CECL | 202 | |||
Consumer loans | Other consumer | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 0 | |||
Provision for credit losses - off-balance sheet commitments | 0 | |||
Balance, Beginning of Period | 3,149 | |||
Adoption of CECL | 3,149 | |||
Losses Charged Off | (582) | |||
Balance, End of Period | $ 3,149 | |||
Consumer loans | Other consumer | Cumulative Effect, Period of Adoption, Adjustment | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | 11 | |||
Adoption of CECL | 2,533 | |||
Consumer loans | Other consumer | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Allowance for unfunded commitments | $ 11 | |||
Adoption of CECL | $ 5,682 |
Loans - Recorded Investments in
Loans - Recorded Investments in Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Loans: | ||||
Ending balance: collectively evaluated for impairment | $ 3,427,463 | |||
Ending balance: individually evaluated for impairment | 25,144 | |||
Total commercial and consumer loans | $ 3,802,855 | 3,452,607 | ||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 30,983 | |||
Ending balance: individually evaluated for impairment | 754 | |||
Adoption of CECL | 38,774 | 31,737 | $ 27,841 | $ 29,484 |
Commercial and industrial | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 116,307 | |||
Ending balance: individually evaluated for impairment | 9,801 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 1,660 | |||
Ending balance: individually evaluated for impairment | 51 | |||
Adoption of CECL | 1,711 | 1,891 | 1,146 | |
Owner-occupied commercial real estate | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 60,266 | |||
Ending balance: individually evaluated for impairment | 1,570 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 651 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 651 | 742 | 1,082 | |
Investor commercial real estate | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 93,121 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 1,099 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 1,099 | 328 | 155 | |
Construction | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 181,966 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 2,074 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 2,074 | 1,612 | 1,192 | |
Single tenant lease financing | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 939,240 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 10,519 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 10,519 | 10,385 | 12,990 | |
Public finance | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 621,032 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 1,753 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 1,753 | 1,776 | 1,732 | |
Healthcare finance | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 272,461 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 2,997 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 2,997 | 5,940 | 7,485 | |
Small business lending | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 113,699 | |||
Ending balance: individually evaluated for impairment | 10,051 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 1,465 | |||
Ending balance: individually evaluated for impairment | 703 | |||
Adoption of CECL | 2,168 | 1,387 | 628 | |
Franchise finance | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 299,835 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 3,988 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 3,988 | 1,083 | 0 | |
Residential mortgage | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 380,272 | |||
Ending balance: individually evaluated for impairment | 3,676 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 1,559 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 1,559 | 643 | 519 | |
Home equity | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 24,683 | |||
Ending balance: individually evaluated for impairment | 29 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 69 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 69 | 64 | 48 | |
Other consumer | ||||
Loans: | ||||
Ending balance: collectively evaluated for impairment | 324,581 | |||
Ending balance: individually evaluated for impairment | 17 | |||
Allowance for loan losses: | ||||
Ending balance: collectively evaluated for impairment | 3,149 | |||
Ending balance: individually evaluated for impairment | 0 | |||
Adoption of CECL | 3,149 | $ 1,990 | $ 2,507 | |
Commercial loans | ||||
Loans: | ||||
Total commercial and consumer loans | 3,005,924 | |||
Allowance for loan losses: | ||||
Adoption of CECL | 26,960 | |||
Commercial loans | Commercial and industrial | ||||
Loans: | ||||
Total commercial and consumer loans | 129,349 | 126,108 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 1,711 | |||
Commercial loans | Owner-occupied commercial real estate | ||||
Loans: | ||||
Total commercial and consumer loans | 57,286 | 61,836 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 651 | |||
Commercial loans | Investor commercial real estate | ||||
Loans: | ||||
Total commercial and consumer loans | 132,077 | 93,121 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 1,099 | |||
Commercial loans | Construction | ||||
Loans: | ||||
Total commercial and consumer loans | 261,750 | 181,966 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 2,074 | |||
Commercial loans | Single tenant lease financing | ||||
Loans: | ||||
Total commercial and consumer loans | 936,616 | 939,240 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 10,519 | |||
Commercial loans | Public finance | ||||
Loans: | ||||
Total commercial and consumer loans | 521,764 | 621,032 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 1,753 | |||
Commercial loans | Healthcare finance | ||||
Loans: | ||||
Total commercial and consumer loans | 222,793 | 272,461 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 2,997 | |||
Commercial loans | Small business lending | ||||
Loans: | ||||
Total commercial and consumer loans | 218,506 | 123,750 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 2,168 | |||
Commercial loans | Franchise finance | ||||
Loans: | ||||
Total commercial and consumer loans | 525,783 | 299,835 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 3,988 | |||
Consumer loans | ||||
Loans: | ||||
Total commercial and consumer loans | 796,931 | 733,258 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 4,777 | |||
Consumer loans | Residential mortgage | ||||
Loans: | ||||
Total commercial and consumer loans | 395,648 | 383,948 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 1,559 | |||
Consumer loans | Home equity | ||||
Loans: | ||||
Total commercial and consumer loans | 23,669 | 24,712 | ||
Allowance for loan losses: | ||||
Adoption of CECL | 69 | |||
Consumer loans | Other consumer | ||||
Loans: | ||||
Total commercial and consumer loans | $ 377,614 | 324,598 | ||
Allowance for loan losses: | ||||
Adoption of CECL | $ 3,149 |
Loans - Nonaccrual Loans (Detai
Loans - Nonaccrual Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | $ 624,674 | ||
Fiscal year before current year | 1,040,686 | ||
Two fiscal years before current year | 463,824 | ||
Three fiscal years before current year | 300,968 | ||
Four fiscal years before current year | 362,098 | ||
More than five years before current year | 937,458 | ||
Revolving loans amortized, cost basis | 71,369 | ||
Revolving loans converted to term | 1,778 | ||
Total loans | 3,840,220 | $ 3,499,401 | |
Current fiscal year, writeoff | 164 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 1,238 | ||
Two Years before Current Fiscal Year, Writeoff | 7,420 | ||
Three Years before Current Fiscal Year, Writeoff | 1,420 | ||
Four Years before Current Fiscal Year, Writeoff | 808 | ||
More than Five Years before Current Fiscal Year, Writeoff | 834 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 11,884 | 2,760 | $ 3,227 |
Loans | 3,802,855 | 3,452,607 | |
Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 140 | 0 | 6 |
Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 7,049 | 0 | 28 |
Owner-occupied commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 0 | 0 | 0 |
Investor commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 591 | 0 | 0 |
Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 0 | 0 | 0 |
Single tenant lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 0 | 0 | 2,391 |
Public finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 0 | 0 | 0 |
Healthcare finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 605 | 0 | 0 |
Small business lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 2,586 | 402 | 222 |
Franchise finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 331 | 0 | 0 |
Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 0 | 0 | 51 |
Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Losses Charged Off | 582 | 2,358 | $ 529 |
Commercial loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 2,719,349 | ||
Loans | 3,005,924 | ||
Commercial loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 24,329 | ||
Fiscal year before current year | 24,019 | ||
Two fiscal years before current year | 15,464 | ||
Three fiscal years before current year | 2,502 | ||
Four fiscal years before current year | 12,365 | ||
More than five years before current year | 8,703 | ||
Revolving loans amortized, cost basis | 41,967 | ||
Revolving loans converted to term | 0 | ||
Total loans | 129,349 | ||
Current fiscal year, writeoff | 0 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 0 | ||
Two Years before Current Fiscal Year, Writeoff | 6,914 | ||
Three Years before Current Fiscal Year, Writeoff | 5 | ||
Four Years before Current Fiscal Year, Writeoff | 130 | ||
More than Five Years before Current Fiscal Year, Writeoff | 0 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 7,049 | ||
Loans | 129,349 | 126,108 | |
Commercial loans | Owner-occupied commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 1,492 | ||
Fiscal year before current year | 11,315 | ||
Two fiscal years before current year | 8,912 | ||
Three fiscal years before current year | 14,983 | ||
Four fiscal years before current year | 5,255 | ||
More than five years before current year | 15,329 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 57,286 | ||
Loans | 57,286 | 61,836 | |
Commercial loans | Investor commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 6,571 | ||
Fiscal year before current year | 35,209 | ||
Two fiscal years before current year | 26,841 | ||
Three fiscal years before current year | 9,864 | ||
Four fiscal years before current year | 47,827 | ||
More than five years before current year | 5,765 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 132,077 | ||
Current fiscal year, writeoff | 0 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 0 | ||
Two Years before Current Fiscal Year, Writeoff | 0 | ||
Three Years before Current Fiscal Year, Writeoff | 0 | ||
Four Years before Current Fiscal Year, Writeoff | 0 | ||
More than Five Years before Current Fiscal Year, Writeoff | 591 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 591 | ||
Loans | 132,077 | 93,121 | |
Commercial loans | Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 26,539 | ||
Fiscal year before current year | 153,066 | ||
Two fiscal years before current year | 70,175 | ||
Three fiscal years before current year | 6,121 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 5,849 | ||
Revolving loans converted to term | 0 | ||
Total loans | 261,750 | ||
Loans | 261,750 | 181,966 | |
Commercial loans | Single tenant lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 52,360 | ||
Fiscal year before current year | 226,326 | ||
Two fiscal years before current year | 95,773 | ||
Three fiscal years before current year | 68,895 | ||
Four fiscal years before current year | 142,023 | ||
More than five years before current year | 351,239 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 936,616 | ||
Loans | 936,616 | 939,240 | |
Commercial loans | Public finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 3,805 | ||
Fiscal year before current year | 30,583 | ||
Two fiscal years before current year | 29,750 | ||
Three fiscal years before current year | 719 | ||
Four fiscal years before current year | 43,611 | ||
More than five years before current year | 413,296 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 521,764 | ||
Loans | 521,764 | 621,032 | |
Commercial loans | Healthcare finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 9,955 | ||
Three fiscal years before current year | 124,654 | ||
Four fiscal years before current year | 64,700 | ||
More than five years before current year | 23,484 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Current fiscal year, writeoff | 0 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 0 | ||
Two Years before Current Fiscal Year, Writeoff | 0 | ||
Three Years before Current Fiscal Year, Writeoff | 0 | ||
Four Years before Current Fiscal Year, Writeoff | 605 | ||
More than Five Years before Current Fiscal Year, Writeoff | 0 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 605 | ||
Loans | 222,793 | 272,461 | |
Commercial loans | Small business lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 120,587 | ||
Fiscal year before current year | 44,427 | ||
Two fiscal years before current year | 15,232 | ||
Three fiscal years before current year | 16,066 | ||
Four fiscal years before current year | 6,002 | ||
More than five years before current year | 10,330 | ||
Revolving loans amortized, cost basis | 5,862 | ||
Revolving loans converted to term | 0 | ||
Current fiscal year, writeoff | 67 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 739 | ||
Two Years before Current Fiscal Year, Writeoff | 416 | ||
Three Years before Current Fiscal Year, Writeoff | 1,364 | ||
Four Years before Current Fiscal Year, Writeoff | 0 | ||
More than Five Years before Current Fiscal Year, Writeoff | 0 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 2,586 | ||
Loans | 218,506 | 123,750 | |
Commercial loans | Franchise finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 256,944 | ||
Fiscal year before current year | 210,617 | ||
Two fiscal years before current year | 58,222 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Current fiscal year, writeoff | 0 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 331 | ||
Two Years before Current Fiscal Year, Writeoff | 0 | ||
Three Years before Current Fiscal Year, Writeoff | 0 | ||
Four Years before Current Fiscal Year, Writeoff | 0 | ||
More than Five Years before Current Fiscal Year, Writeoff | 0 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 331 | ||
Loans | 525,783 | 299,835 | |
Commercial loans | Pass | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 2,672,714 | ||
Commercial loans | Pass | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 24,329 | ||
Fiscal year before current year | 19,382 | ||
Two fiscal years before current year | 15,464 | ||
Three fiscal years before current year | 2,502 | ||
Four fiscal years before current year | 12,365 | ||
More than five years before current year | 8,703 | ||
Revolving loans amortized, cost basis | 41,967 | ||
Revolving loans converted to term | 0 | ||
Total loans | 124,712 | 114,934 | |
Commercial loans | Pass | Owner-occupied commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 1,492 | ||
Fiscal year before current year | 10,731 | ||
Two fiscal years before current year | 7,990 | ||
Three fiscal years before current year | 6,591 | ||
Four fiscal years before current year | 5,255 | ||
More than five years before current year | 12,485 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 44,544 | 50,721 | |
Commercial loans | Pass | Investor commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 6,571 | ||
Fiscal year before current year | 35,209 | ||
Two fiscal years before current year | 26,841 | ||
Three fiscal years before current year | 9,864 | ||
Four fiscal years before current year | 47,827 | ||
More than five years before current year | 5,765 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 132,077 | 93,121 | |
Commercial loans | Pass | Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 26,539 | ||
Fiscal year before current year | 153,066 | ||
Two fiscal years before current year | 70,175 | ||
Three fiscal years before current year | 6,121 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 5,849 | ||
Revolving loans converted to term | 0 | ||
Total loans | 261,750 | 180,768 | |
Commercial loans | Pass | Single tenant lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 52,360 | ||
Fiscal year before current year | 221,964 | ||
Two fiscal years before current year | 89,075 | ||
Three fiscal years before current year | 65,863 | ||
Four fiscal years before current year | 142,023 | ||
More than five years before current year | 346,695 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 917,980 | 936,207 | |
Commercial loans | Pass | Public finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 3,805 | ||
Fiscal year before current year | 30,583 | ||
Two fiscal years before current year | 29,750 | ||
Three fiscal years before current year | 719 | ||
Four fiscal years before current year | 43,611 | ||
More than five years before current year | 411,176 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 519,644 | 618,752 | |
Commercial loans | Pass | Healthcare finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 9,955 | ||
Three fiscal years before current year | 124,654 | ||
Four fiscal years before current year | 63,486 | ||
More than five years before current year | 23,484 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 271,085 | ||
Loans | 221,579 | ||
Commercial loans | Pass | Small business lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 119,149 | ||
Fiscal year before current year | 42,077 | ||
Two fiscal years before current year | 15,180 | ||
Three fiscal years before current year | 13,948 | ||
Four fiscal years before current year | 4,582 | ||
More than five years before current year | 9,215 | ||
Revolving loans amortized, cost basis | 5,388 | ||
Revolving loans converted to term | 0 | ||
Total loans | 107,885 | ||
Loans | 209,539 | ||
Commercial loans | Pass | Franchise finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 256,944 | ||
Fiscal year before current year | 210,617 | ||
Two fiscal years before current year | 57,919 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 299,241 | ||
Loans | 525,480 | ||
Commercial loans | Special Mention | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 25,214 | ||
Commercial loans | Special Mention | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 4,637 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 4,637 | 1,373 | |
Commercial loans | Special Mention | Owner-occupied commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 584 | ||
Two fiscal years before current year | 922 | ||
Three fiscal years before current year | 8,392 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 1,189 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 11,087 | 9,546 | |
Commercial loans | Special Mention | Investor commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 0 | |
Commercial loans | Special Mention | Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 1,198 | |
Commercial loans | Special Mention | Single tenant lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 4,362 | ||
Two fiscal years before current year | 6,698 | ||
Three fiscal years before current year | 3,032 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 4,544 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 18,636 | 3,033 | |
Commercial loans | Special Mention | Public finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 2,120 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 2,120 | 2,280 | |
Commercial loans | Special Mention | Healthcare finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 1,214 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 1,376 | ||
Loans | 1,214 | ||
Commercial loans | Special Mention | Small business lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 343 | ||
Fiscal year before current year | 496 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 341 | ||
Four fiscal years before current year | 265 | ||
More than five years before current year | 698 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 5,814 | ||
Loans | 2,143 | ||
Commercial loans | Special Mention | Franchise finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 594 | ||
Loans | 0 | ||
Commercial loans | Substandard | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 21,421 | ||
Commercial loans | Substandard | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 9,801 | |
Commercial loans | Substandard | Owner-occupied commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 1,655 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 1,655 | 1,569 | |
Commercial loans | Substandard | Investor commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 0 | |
Commercial loans | Substandard | Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 0 | |
Commercial loans | Substandard | Single tenant lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 0 | |
Commercial loans | Substandard | Public finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | 0 | |
Commercial loans | Substandard | Healthcare finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Loans | 0 | ||
Commercial loans | Substandard | Small business lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 1,095 | ||
Fiscal year before current year | 1,854 | ||
Two fiscal years before current year | 52 | ||
Three fiscal years before current year | 1,777 | ||
Four fiscal years before current year | 1,155 | ||
More than five years before current year | 417 | ||
Revolving loans amortized, cost basis | 474 | ||
Revolving loans converted to term | 0 | ||
Total loans | 10,051 | ||
Loans | 6,824 | ||
Commercial loans | Substandard | Franchise finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 303 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Loans | 303 | ||
Commercial loans | Doubtful | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Commercial loans | Doubtful | Owner-occupied commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Commercial loans | Doubtful | Investor commercial real estate | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Commercial loans | Doubtful | Construction | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Commercial loans | Doubtful | Single tenant lease financing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Commercial loans | Doubtful | Public finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Total loans | 0 | ||
Commercial loans | Doubtful | Healthcare finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | 0 | ||
Commercial loans | Doubtful | Small business lending | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | 0 | ||
Commercial loans | Doubtful | Franchise finance | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | 0 | ||
Consumer loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 733,258 | ||
Loans | 796,931 | 733,258 | |
Consumer loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 14,942 | ||
Fiscal year before current year | 196,191 | ||
Two fiscal years before current year | 91,466 | ||
Three fiscal years before current year | 30,165 | ||
Four fiscal years before current year | 13,072 | ||
More than five years before current year | 49,812 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Current fiscal year, writeoff | 0 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 53 | ||
Two Years before Current Fiscal Year, Writeoff | 70 | ||
Three Years before Current Fiscal Year, Writeoff | 0 | ||
Four Years before Current Fiscal Year, Writeoff | 17 | ||
More than Five Years before Current Fiscal Year, Writeoff | 0 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 140 | ||
Loans | 395,648 | 383,948 | |
Consumer loans | Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 1,369 | ||
Fiscal year before current year | 1,997 | ||
Two fiscal years before current year | 436 | ||
Three fiscal years before current year | 467 | ||
Four fiscal years before current year | 141 | ||
More than five years before current year | 585 | ||
Revolving loans amortized, cost basis | 16,896 | ||
Revolving loans converted to term | 1,778 | ||
Loans | 23,669 | 24,712 | |
Consumer loans | Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 115,736 | ||
Fiscal year before current year | 106,936 | ||
Two fiscal years before current year | 41,598 | ||
Three fiscal years before current year | 26,532 | ||
Four fiscal years before current year | 27,102 | ||
More than five years before current year | 58,915 | ||
Revolving loans amortized, cost basis | 795 | ||
Revolving loans converted to term | 0 | ||
Current fiscal year, writeoff | 97 | ||
Fiscal Year before Current Fiscal Year, Writeoff | 115 | ||
Two Years before Current Fiscal Year, Writeoff | 20 | ||
Three Years before Current Fiscal Year, Writeoff | 51 | ||
Four Years before Current Fiscal Year, Writeoff | 56 | ||
More than Five Years before Current Fiscal Year, Writeoff | 243 | ||
Revolving, Writeoff | 0 | ||
Converted to Term Loan, Writeoff | 0 | ||
Losses Charged Off | 582 | ||
Loans | 377,614 | 324,598 | |
Consumer loans | Performing | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 14,942 | ||
Fiscal year before current year | 195,453 | ||
Two fiscal years before current year | 91,010 | ||
Three fiscal years before current year | 30,092 | ||
Four fiscal years before current year | 13,072 | ||
More than five years before current year | 48,330 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | 392,899 | ||
Consumer loans | Performing | Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 1,369 | ||
Fiscal year before current year | 1,997 | ||
Two fiscal years before current year | 436 | ||
Three fiscal years before current year | 467 | ||
Four fiscal years before current year | 141 | ||
More than five years before current year | 585 | ||
Revolving loans amortized, cost basis | 16,896 | ||
Revolving loans converted to term | 1,778 | ||
Loans | 23,669 | ||
Consumer loans | Performing | Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 115,736 | ||
Fiscal year before current year | 106,883 | ||
Two fiscal years before current year | 41,598 | ||
Three fiscal years before current year | 26,527 | ||
Four fiscal years before current year | 27,087 | ||
More than five years before current year | 58,902 | ||
Revolving loans amortized, cost basis | 795 | ||
Revolving loans converted to term | 0 | ||
Loans | 377,528 | ||
Consumer loans | Nonaccrual | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 738 | ||
Two fiscal years before current year | 456 | ||
Three fiscal years before current year | 73 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 1,482 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | 2,749 | ||
Consumer loans | Nonaccrual | Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 0 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 0 | ||
Four fiscal years before current year | 0 | ||
More than five years before current year | 0 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | 0 | ||
Consumer loans | Nonaccrual | Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Current year | 0 | ||
Fiscal year before current year | 53 | ||
Two fiscal years before current year | 0 | ||
Three fiscal years before current year | 5 | ||
Four fiscal years before current year | 15 | ||
More than five years before current year | 13 | ||
Revolving loans amortized, cost basis | 0 | ||
Revolving loans converted to term | 0 | ||
Loans | $ 86 | ||
Consumer loans | Nonaccrual | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 1,065 | ||
Consumer loans | Nonaccrual | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 1,048 | ||
Consumer loans | Nonaccrual | Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 0 | ||
Consumer loans | Nonaccrual | Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 17 | ||
Consumer loans | Performing | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 732,193 | ||
Consumer loans | Performing | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 382,900 | ||
Consumer loans | Performing | Home equity | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | 24,712 | ||
Consumer loans | Performing | Other consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total loans | $ 324,581 |
Loans - Credit Risk Profile (De
Loans - Credit Risk Profile (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 3,840,220 | $ 3,499,401 |
Commercial loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 2,719,349 | |
Commercial loans | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 2,672,714 | |
Commercial loans | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 25,214 | |
Commercial loans | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 21,421 | |
Commercial loans | Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 129,349 | |
Commercial loans | Commercial and industrial | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 124,712 | 114,934 |
Commercial loans | Commercial and industrial | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 4,637 | 1,373 |
Commercial loans | Commercial and industrial | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | 9,801 |
Commercial loans | Owner-occupied commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 57,286 | |
Commercial loans | Owner-occupied commercial real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 44,544 | 50,721 |
Commercial loans | Owner-occupied commercial real estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 11,087 | 9,546 |
Commercial loans | Owner-occupied commercial real estate | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 1,655 | 1,569 |
Commercial loans | Investor commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 132,077 | |
Commercial loans | Investor commercial real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 132,077 | 93,121 |
Commercial loans | Investor commercial real estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Commercial loans | Investor commercial real estate | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Commercial loans | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 261,750 | |
Commercial loans | Construction | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 261,750 | 180,768 |
Commercial loans | Construction | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | 1,198 |
Commercial loans | Construction | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Commercial loans | Single tenant lease financing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 936,616 | |
Commercial loans | Single tenant lease financing | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 917,980 | 936,207 |
Commercial loans | Single tenant lease financing | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 18,636 | 3,033 |
Commercial loans | Single tenant lease financing | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | 0 |
Commercial loans | Public finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 521,764 | |
Commercial loans | Public finance | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 519,644 | 618,752 |
Commercial loans | Public finance | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 2,120 | 2,280 |
Commercial loans | Public finance | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 0 | 0 |
Commercial loans | Healthcare finance | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 271,085 | |
Commercial loans | Healthcare finance | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 1,376 | |
Commercial loans | Healthcare finance | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | |
Commercial loans | Small business lending | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 107,885 | |
Commercial loans | Small business lending | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 5,814 | |
Commercial loans | Small business lending | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 10,051 | |
Commercial loans | Franchise finance | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 299,241 | |
Commercial loans | Franchise finance | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 594 | |
Commercial loans | Franchise finance | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | |
Consumer loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 733,258 | |
Consumer loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 732,193 | |
Consumer loans | Nonaccrual | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 1,065 | |
Consumer loans | Residential mortgage | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 382,900 | |
Consumer loans | Residential mortgage | Nonaccrual | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 1,048 | |
Consumer loans | Home equity | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 24,712 | |
Consumer loans | Home equity | Nonaccrual | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 0 | |
Consumer loans | Other consumer | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 324,581 | |
Consumer loans | Other consumer | Nonaccrual | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 17 |
Loans - Loan Portfolio Aging An
Loans - Loan Portfolio Aging Analysis (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | $ 3,802,855 | $ 3,452,607 |
Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 11,604 | 5,754 |
30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 3,013 | 542 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 3,778 | 1,491 |
90 Days or More Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 4,813 | 3,721 |
Current | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 3,791,251 | 3,446,853 |
Commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 3,005,924 | |
Commercial loans | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 129,349 | 126,108 |
Commercial loans | Owner-occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 57,286 | 61,836 |
Commercial loans | Investor commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 132,077 | 93,121 |
Commercial loans | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 261,750 | 181,966 |
Commercial loans | Single tenant lease financing | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 936,616 | 939,240 |
Commercial loans | Public finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 521,764 | 621,032 |
Commercial loans | Healthcare finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 222,793 | 272,461 |
Commercial loans | Small business lending | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 218,506 | 123,750 |
Commercial loans | Franchise finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 525,783 | 299,835 |
Commercial loans | Total Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 61 | 132 |
Commercial loans | Total Past Due | Owner-occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | Total Past Due | Investor commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | Total Past Due | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 1,198 |
Commercial loans | Total Past Due | Single tenant lease financing | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | Total Past Due | Public finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | Total Past Due | Healthcare finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | Total Past Due | Small business lending | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 5,531 | 3,542 |
Commercial loans | Total Past Due | Franchise finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 3,226 | 313 |
Commercial loans | 30-59 Days Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 40 | 81 |
Commercial loans | 30-59 Days Past Due | Owner-occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Investor commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Single tenant lease financing | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Public finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Healthcare finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 30-59 Days Past Due | Small business lending | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 2,680 | 57 |
Commercial loans | 30-59 Days Past Due | Franchise finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 313 |
Commercial loans | 60-89 Days Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 21 | 0 |
Commercial loans | 60-89 Days Past Due | Owner-occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 60-89 Days Past Due | Investor commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 60-89 Days Past Due | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 1,198 |
Commercial loans | 60-89 Days Past Due | Single tenant lease financing | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 60-89 Days Past Due | Public finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 60-89 Days Past Due | Healthcare finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 60-89 Days Past Due | Small business lending | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 57 | 0 |
Commercial loans | 60-89 Days Past Due | Franchise finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 2,923 | 0 |
Commercial loans | 90 Days or More Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 51 |
Commercial loans | 90 Days or More Past Due | Owner-occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 90 Days or More Past Due | Investor commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 90 Days or More Past Due | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 90 Days or More Past Due | Single tenant lease financing | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 90 Days or More Past Due | Public finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 90 Days or More Past Due | Healthcare finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Commercial loans | 90 Days or More Past Due | Small business lending | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 2,794 | 3,485 |
Commercial loans | 90 Days or More Past Due | Franchise finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 303 | 0 |
Commercial loans | Current | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 129,288 | 125,976 |
Commercial loans | Current | Owner-occupied commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 57,286 | 61,836 |
Commercial loans | Current | Investor commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 132,077 | 93,121 |
Commercial loans | Current | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 261,750 | 180,768 |
Commercial loans | Current | Single tenant lease financing | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 936,616 | 939,240 |
Commercial loans | Current | Public finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 521,764 | 621,032 |
Commercial loans | Current | Healthcare finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 222,793 | 272,461 |
Commercial loans | Current | Small business lending | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 212,975 | 120,208 |
Commercial loans | Current | Franchise finance | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 522,557 | 299,522 |
Consumer loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 796,931 | 733,258 |
Consumer loans | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 395,648 | 383,948 |
Consumer loans | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 23,669 | 24,712 |
Consumer loans | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 377,614 | 324,598 |
Consumer loans | Total Past Due | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 2,442 | 468 |
Consumer loans | Total Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Consumer loans | Total Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 344 | 101 |
Consumer loans | 30-59 Days Past Due | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 70 | 0 |
Consumer loans | 30-59 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Consumer loans | 30-59 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 223 | 91 |
Consumer loans | 60-89 Days Past Due | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 709 | 283 |
Consumer loans | 60-89 Days Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Consumer loans | 60-89 Days Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 68 | 10 |
Consumer loans | 90 Days or More Past Due | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 1,663 | 185 |
Consumer loans | 90 Days or More Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 0 | 0 |
Consumer loans | 90 Days or More Past Due | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 53 | 0 |
Consumer loans | Current | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 393,206 | 383,480 |
Consumer loans | Current | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | 23,669 | 24,712 |
Consumer loans | Current | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total commercial and consumer loans | $ 377,270 | $ 324,497 |
Loans - Internal Credit Assessm
Loans - Internal Credit Assessment (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccural, interest income | $ 300 | $ 200 | ||
Adoption of CECL | 38,774 | 31,737 | $ 27,841 | $ 29,484 |
Commercial Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 2,875 | |||
Residential Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 3,121 | |||
Other Real Estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 3,966 | |||
Collateral Pledged | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 9,962 | |||
Adoption of CECL | 2,391 | |||
Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 9,124 | 7,450 | ||
Total Loans 90 Days or More Past Due and Accruing | 838 | 79 | ||
Nonaccrual Loans with no Allowance for Credit Losses | 2,901 | 5,401 | ||
Commercial and industrial | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 1,711 | 1,891 | 1,146 | |
Commercial and industrial | Commercial Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Commercial and industrial | Residential Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Commercial and industrial | Other Real Estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Commercial and industrial | Collateral Pledged | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Adoption of CECL | 0 | |||
Owner-occupied commercial real estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 651 | 742 | 1,082 | |
Owner-occupied commercial real estate | Commercial Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Owner-occupied commercial real estate | Residential Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Owner-occupied commercial real estate | Other Real Estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 1,654 | |||
Owner-occupied commercial real estate | Collateral Pledged | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 1,654 | |||
Adoption of CECL | 0 | |||
Small business lending | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 2,168 | 1,387 | 628 | |
Small business lending | Commercial Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 2,875 | |||
Small business lending | Residential Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 1,210 | |||
Small business lending | Other Real Estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 2,226 | |||
Small business lending | Collateral Pledged | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 6,311 | |||
Adoption of CECL | 2,391 | |||
Franchise finance | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 3,988 | 1,083 | 0 | |
Residential mortgage | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 1,559 | 643 | 519 | |
Residential mortgage | Commercial Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Residential mortgage | Residential Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 1,911 | |||
Residential mortgage | Other Real Estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Residential mortgage | Collateral Pledged | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 1,911 | |||
Adoption of CECL | 0 | |||
Other consumer | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 3,149 | $ 1,990 | $ 2,507 | |
Other consumer | Commercial Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Other consumer | Residential Real Estate 1 | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | |||
Other consumer | Other Real Estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 86 | |||
Other consumer | Collateral Pledged | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 86 | |||
Adoption of CECL | 0 | |||
Commercial loans | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 26,960 | |||
Commercial loans | Commercial and industrial | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 1,711 | |||
Commercial loans | Commercial and industrial | Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | 51 | ||
Total Loans 90 Days or More Past Due and Accruing | 0 | 0 | ||
Nonaccrual Loans with no Allowance for Credit Losses | 0 | 0 | ||
Commercial loans | Owner-occupied commercial real estate | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 651 | |||
Commercial loans | Owner-occupied commercial real estate | Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 0 | 1,570 | ||
Total Loans 90 Days or More Past Due and Accruing | 0 | 0 | ||
Nonaccrual Loans with no Allowance for Credit Losses | 0 | 1,570 | ||
Commercial loans | Small business lending | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 2,168 | |||
Commercial loans | Small business lending | Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 6,824 | 4,764 | ||
Total Loans 90 Days or More Past Due and Accruing | 0 | 0 | ||
Nonaccrual Loans with no Allowance for Credit Losses | 904 | 2,766 | ||
Commercial loans | Franchise finance | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 3,988 | |||
Commercial loans | Franchise finance | Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 303 | 0 | ||
Total Loans 90 Days or More Past Due and Accruing | ||||
Nonaccrual Loans with no Allowance for Credit Losses | 0 | 0 | ||
Consumer loans | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 4,777 | |||
Consumer loans | Residential mortgage | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 1,559 | |||
Consumer loans | Residential mortgage | Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 1,911 | 1,048 | ||
Total Loans 90 Days or More Past Due and Accruing | 838 | 79 | ||
Nonaccrual Loans with no Allowance for Credit Losses | 1,911 | 1,048 | ||
Consumer loans | Other consumer | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Adoption of CECL | 3,149 | |||
Consumer loans | Other consumer | Nonaccrual | ||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||
Nonaccrual Loans | 86 | 17 | ||
Total Loans 90 Days or More Past Due and Accruing | 0 | 0 | ||
Nonaccrual Loans with no Allowance for Credit Losses | $ 86 | $ 17 |
Loans - Impaired Loans (Details
Loans - Impaired Loans (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 USD ($) contract loan | Dec. 31, 2022 USD ($) contract loan | Dec. 31, 2021 USD ($) | |
Loans without a specific valuation allowance | |||
Recorded Balance | $ 23,226 | ||
Unpaid Principal Balance | 24,134 | ||
Average Balance | 12,160 | $ 7,366 | |
Interest Income | 897 | 81 | |
Loans with a specific valuation allowance | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 1,918 | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 1,918 | ||
Impaired Financing Receivable Loans With Specific Related Allowance | 754 | ||
Average Balance | 3,153 | 6,446 | |
Interest Income | 45 | 131 | |
Total impaired loans | |||
Recorded Balance | 25,144 | ||
Unpaid Principal Balance | 26,052 | ||
Specific Allowance | 754 | ||
Average Balance | 15,313 | 13,812 | |
Interest Income | 942 | 212 | |
Modifications, recorded Investment | $ 1,000 | 1,600 | |
Allowance for unfunded commitments | 0 | ||
Other real estate owned | $ 375 | $ 0 | |
Number of properties | contract | 2 | ||
Mortgage loans in process of foreclosure, number of loans | loan | 1 | 1 | |
Mortgage loans in process of foreclosure, amount | $ 800 | $ 100 | |
Commercial and industrial | |||
Loans without a specific valuation allowance | |||
Recorded Balance | 9,750 | ||
Unpaid Principal Balance | 9,750 | ||
Average Balance | 3,676 | 194 | |
Interest Income | 872 | 9 | |
Loans with a specific valuation allowance | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 51 | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 51 | ||
Impaired Financing Receivable Loans With Specific Related Allowance | 51 | ||
Average Balance | 411 | 675 | |
Interest Income | 0 | 0 | |
Owner-occupied commercial real estate | |||
Loans without a specific valuation allowance | |||
Recorded Balance | 1,570 | ||
Unpaid Principal Balance | 1,779 | ||
Average Balance | 2,253 | 3,324 | |
Interest Income | 0 | 0 | |
Loans with a specific valuation allowance | |||
Average Balance | 0 | 355 | |
Interest Income | 0 | 0 | |
Single tenant lease financing | |||
Loans without a specific valuation allowance | |||
Average Balance | 0 | 75 | |
Interest Income | 0 | 5 | |
Loans with a specific valuation allowance | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 0 | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable Loans With Specific Related Allowance | 0 | ||
Average Balance | 410 | 3,931 | |
Interest Income | 0 | 0 | |
Healthcare finance | |||
Loans without a specific valuation allowance | |||
Average Balance | 0 | 252 | |
Interest Income | 0 | 0 | |
Loans with a specific valuation allowance | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 0 | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 0 | ||
Impaired Financing Receivable Loans With Specific Related Allowance | 0 | ||
Average Balance | 620 | 841 | |
Interest Income | 45 | 131 | |
Small business lending | |||
Loans without a specific valuation allowance | |||
Recorded Balance | 8,184 | ||
Unpaid Principal Balance | 8,705 | ||
Average Balance | 2,678 | 1,215 | |
Interest Income | 0 | 0 | |
Loans with a specific valuation allowance | |||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 1,867 | ||
Impaired Financing Receivable, with Related Allowance, Unpaid Principal Balance | 1,867 | ||
Impaired Financing Receivable Loans With Specific Related Allowance | 703 | ||
Average Balance | 1,662 | 644 | |
Interest Income | 0 | 0 | |
Total impaired loans | |||
Modifications, number of contracts | contract | 1 | ||
Modifications, recorded Investment | $ 600 | ||
Allowance, financing receivable | $ 300 | ||
Residential mortgage | |||
Loans without a specific valuation allowance | |||
Recorded Balance | 3,676 | ||
Unpaid Principal Balance | 3,835 | ||
Average Balance | 3,529 | 2,264 | |
Interest Income | $ 25 | 67 | |
Total impaired loans | |||
Modifications, number of contracts | contract | 2 | 2 | |
Home equity | |||
Loans without a specific valuation allowance | |||
Recorded Balance | $ 29 | ||
Unpaid Principal Balance | 29 | ||
Average Balance | 16 | 13 | |
Interest Income | 0 | 0 | |
Other consumer | |||
Loans without a specific valuation allowance | |||
Recorded Balance | 17 | ||
Unpaid Principal Balance | 36 | ||
Average Balance | 8 | 29 | |
Interest Income | 0 | 0 | |
Loans with a specific valuation allowance | |||
Average Balance | 50 | 0 | |
Interest Income | $ 0 | $ 0 |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Less: accumulated depreciation | $ (14,855) | $ (10,897) | |
Premises and equipment, Net | 73,463 | 72,711 | |
Gain on sale of premises and equipment | 0 | 0 | $ 2,523 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment | 5,598 | 5,598 | |
Construction in process | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment | 1,119 | 714 | |
Right of use leased asset | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment | 66 | 206 | |
Building and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment | 60,699 | 57,505 | |
Furniture and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment | $ 20,836 | $ 19,585 |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 4,687 | $ 4,687 |
Servicing Asset (Details)
Servicing Asset (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | |||||
Beginning balance | $ 6,255 | $ 4,702 | $ 3,569 | ||
Additions | 5,775 | 3,192 | 2,202 | ||
Paydowns | $ (1,842) | $ (1,075) | (820) | ||
Changes in fair value | 379 | (564) | (249) | ||
Loan servicing asset revaluation | (1,463) | (1,639) | (1,069) | ||
Ending balance | $ 10,567 | $ 6,255 | $ 10,567 | $ 6,255 | $ 4,702 |
Servicing Asset - Unpaid princi
Servicing Asset - Unpaid principal balance (Details) - Loan servicing - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Servicing Assets at Fair Value [Line Items] | |||
Loans serviced for others | $ 531,927 | $ 318,194 | $ 230,514 |
SBA guaranteed loans | |||
Servicing Assets at Fair Value [Line Items] | |||
Loans serviced for others | $ 531,927 | $ 318,194 | $ 230,514 |
Servicing Asset - Narrative (De
Servicing Asset - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Servicing Assets at Fair Value [Line Items] | |||||
Changes in fair value | $ 379 | $ (564) | $ (249) | ||
Loan servicing | |||||
Servicing Assets at Fair Value [Line Items] | |||||
Noninterest income | $ 3,833 | $ 2,573 | 1,934 | ||
Changes in fair value | $ 1,500 | $ 1,600 | $ 1,100 |
Deposits (Details)
Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deposits [Abstract] | ||
Noninterest-bearing demand deposit accounts | $ 123,464 | $ 175,315 |
Interest-bearing demand deposit accounts | 402,976 | 335,611 |
Savings accounts | 21,364 | 44,819 |
Money market accounts | 1,248,319 | 1,418,599 |
Banking-as-a-Service (“BaaS”) - brokered deposits | 74,401 | 13,607 |
Certificates of deposits | 1,605,156 | 874,490 |
Brokered deposits | 591,293 | 578,804 |
Total deposits | 4,066,973 | 3,441,245 |
Time deposits greater than $250 | $ 703,835 | $ 484,700 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Cash and Cash Equivalents [Line Items] | ||
Thereafter | $ 0 | $ 6,400 |
Certificates of Deposits | ||
Cash and Cash Equivalents [Line Items] | ||
2024 | 1,245,393 | |
2025 | 83,378 | |
2026 | 63,319 | |
2027 | 94,844 | |
2028 | 118,222 | |
Time Deposits, Total | 1,605,156 | |
Brokered Certificates of Deposits | ||
Cash and Cash Equivalents [Line Items] | ||
2024 | 87,030 | |
2025 | 92,499 | |
2026 | 35,430 | |
2027 | 40,000 | |
2028 | 6,500 | |
Time Deposits, Total | $ 267,859 |
Deposits (Details Textual)
Deposits (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deposits [Abstract] | ||
Time deposits greater than $250 | $ 703,835 | $ 484,700 |
FHLB Advances (Details)
FHLB Advances (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Federal Home Loan Banks [Abstract] | |
2024 | $ 255,003 |
2025 | 90,000 |
2026 | 10,000 |
2027 | 100,000 |
2028 | 35,000 |
Thereafter | 124,931 |
Total | $ 614,934 |
FHLB Advances (Details Textual)
FHLB Advances (Details Textual) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
FHLB Advances | $ 614,934,000 | |
Maximum borrowing capacity | 663,200,000 | |
Asset Pledged as Collateral with Right | Federal Home Loan Bank Advances | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Investments | $ 662,100,000 | $ 448,400,000 |
Minimum | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Interest rate (as a percent) | 1.06% | |
Maximum | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Interest rate (as a percent) | 5.53% | |
Weighted Average | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Interest rate (as a percent) | 3.04% | |
Federal Home Loan Bank, Advances, Putable Option | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Variable rate advances | $ 125,000,000 | |
Residential mortgage | Asset Pledged as Collateral with Right | Federal Home Loan Bank Advances | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Loans | 330,300,000 | 258,000,000 |
Commercial and industrial | Asset Pledged as Collateral with Right | Federal Home Loan Bank Advances | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Loans | $ 932,400,000 | $ 895,300,000 |
Subordinated Debt (Details Text
Subordinated Debt (Details Textual) - Subordinated Debt - USD ($) | 1 Months Ended | ||||
Aug. 31, 2021 | Oct. 31, 2020 | Jun. 30, 2019 | Dec. 30, 2021 | Jun. 30, 2021 | |
6% Fixed To Floating Rate Subordinated Notes Due 2029 | |||||
Debt Instrument [Line Items] | |||||
Principal amount | $ 37,000,000 | ||||
Annual rate (as a percent) | 6% | ||||
6.0% Term Note Due 2030 | |||||
Debt Instrument [Line Items] | |||||
Principal amount | $ 10,000,000 | ||||
Annual rate (as a percent) | 6% | ||||
3.75% Notes Due 2031 | |||||
Debt Instrument [Line Items] | |||||
Principal amount | $ 60,000,000 | ||||
Annual rate (as a percent) | 3.75% | ||||
Unregistered 2031 Notes | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Principal Amount Exchanged | $ 59,300,000 | ||||
Debt Instrument, Principal Amount Remaining | $ 700,000 | ||||
LIBOR | 6% Fixed To Floating Rate Subordinated Notes Due 2029 | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 4.11% | ||||
SOFR | 6.0% Term Note Due 2030 | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 5.795% | ||||
SOFR | 3.75% Notes Due 2031 | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 3.11% |
Subordinated Debt - Schedule Of
Subordinated Debt - Schedule Of Subordinated Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Principal | $ 614,934 | $ 614,928 |
Unamortized Discount and Debt Issuance Costs | (2,162) | (2,468) |
Subordinated Debt | ||
Debt Instrument [Line Items] | ||
Principal | 107,000 | 107,000 |
Unamortized Discount and Debt Issuance Costs | (2,162) | (2,468) |
Subordinated Debt | 6% Fixed To Floating Rate Subordinated Notes Due 2029 | ||
Debt Instrument [Line Items] | ||
Principal | 37,000 | 37,000 |
Unamortized Discount and Debt Issuance Costs | (862) | (1,020) |
Subordinated Debt | 6.0% Term Note Due 2030 | ||
Debt Instrument [Line Items] | ||
Principal | 10,000 | 10,000 |
Unamortized Discount and Debt Issuance Costs | (160) | (184) |
Subordinated Debt | 3.75% Notes Due 2031 | ||
Debt Instrument [Line Items] | ||
Principal | 60,000 | 60,000 |
Unamortized Discount and Debt Issuance Costs | $ (1,140) | $ (1,264) |
Benefit Plans - Restricted Stoc
Benefit Plans - Restricted Stock (Details) | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
2022 Plan | |
Restricted Stock Awards (in shares) | |
Restricted stock units, vested | (3,558) |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighed-Average Grant Date Fair Value Per Share Value (in dollars per share) | $ / shares | $ (36.84) |
Restricted Stock Units | 2022 Plan | |
Restricted Stock Awards (in shares) | |
Nonvested at beginning of period | 0 |
Granted | 147,576 |
Restricted stock units, vested | 0 |
Forfeited, restricted stock units (in shares) | 0 |
Nonvested at end of period | 147,576 |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Beginning Balance (in dollars per share) | $ / shares | $ 0 |
Weighted-Average Grant Date Fair Value Per Share Granted (in dollars per share) | $ / shares | 24.61 |
Weighed-Average Grant Date Fair Value Per Share Value (in dollars per share) | $ / shares | 0 |
Weighted-Average Grant Date Fair Value Per Share Forfeited (in dollars per share) | $ / shares | 0 |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Ending Balance (in dollars per share) | $ / shares | $ 24.61 |
Restricted Stock Units | 2013 Plan | |
Restricted Stock Awards (in shares) | |
Nonvested at beginning of period | 101,734 |
Granted | 0 |
Restricted stock units, vested | (47,471) |
Forfeited, restricted stock units (in shares) | (278) |
Nonvested at end of period | 53,985 |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Beginning Balance (in dollars per share) | $ / shares | $ 35.93 |
Weighted-Average Grant Date Fair Value Per Share Granted (in dollars per share) | $ / shares | 0 |
Weighed-Average Grant Date Fair Value Per Share Value (in dollars per share) | $ / shares | (31.56) |
Weighted-Average Grant Date Fair Value Per Share Forfeited (in dollars per share) | $ / shares | 27.56 |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Ending Balance (in dollars per share) | $ / shares | $ 39.86 |
Restricted Stock Awards | 2022 Plan | |
Restricted Stock Awards (in shares) | |
Nonvested at beginning of period | 3,558 |
Granted | 30,030 |
Forfeited, restricted stock units (in shares) | 0 |
Nonvested at end of period | 30,030 |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Beginning Balance (in dollars per share) | $ / shares | $ 36.84 |
Weighted-Average Grant Date Fair Value Per Share Granted (in dollars per share) | $ / shares | 11.18 |
Weighted-Average Grant Date Fair Value Per Share Forfeited (in dollars per share) | $ / shares | 0 |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Ending Balance (in dollars per share) | $ / shares | $ 11.18 |
Restricted Stock Awards | 2013 Plan | |
Restricted Stock Awards (in shares) | |
Nonvested at beginning of period | 0 |
Granted | 0 |
Restricted stock units, vested | 0 |
Forfeited, restricted stock units (in shares) | 0 |
Nonvested at end of period | 0 |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Beginning Balance (in dollars per share) | $ / shares | $ 0 |
Weighted-Average Grant Date Fair Value Per Share Granted (in dollars per share) | $ / shares | 0 |
Weighed-Average Grant Date Fair Value Per Share Value (in dollars per share) | $ / shares | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Ending Balance (in dollars per share) | $ / shares | |
Deferred Stock Units | 2022 Plan | |
Restricted Stock Awards (in shares) | |
Nonvested at beginning of period | 0 |
Granted | 0 |
Forfeited, restricted stock units (in shares) | 0 |
Nonvested at end of period | 0 |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Beginning Balance (in dollars per share) | $ / shares | $ 0 |
Weighted-Average Grant Date Fair Value Per Share Granted (in dollars per share) | $ / shares | 0 |
Weighted-Average Grant Date Fair Value Per Share Forfeited (in dollars per share) | $ / shares | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Ending Balance (in dollars per share) | $ / shares | $ 0 |
Deferred Stock Units | 2013 Plan | |
Restricted Stock Awards (in shares) | |
Nonvested at beginning of period | 0 |
Granted | 0 |
Restricted stock units, vested | 0 |
Forfeited, restricted stock units (in shares) | 0 |
Nonvested at end of period | 0 |
Weighted-Average Grant Date Fair Value Per Share (in dollars per share) | |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Beginning Balance (in dollars per share) | $ / shares | $ 0 |
Weighted-Average Grant Date Fair Value Per Share Granted (in dollars per share) | $ / shares | 0 |
Weighed-Average Grant Date Fair Value Per Share Value (in dollars per share) | $ / shares | 0 |
Weighted-Average Grant Date Fair Value Per Share Forfeited (in dollars per share) | $ / shares | 0 |
Weighted-Average Grant Date Fair Value Per Share Nonvested, Ending Balance (in dollars per share) | $ / shares | $ 0 |
Benefit Plans - Deferred Stock
Benefit Plans - Deferred Stock Rights (Details) | 12 Months Ended |
Dec. 31, 2023 shares | |
Deferred Rights (in shares) | |
Outstanding, beginning of year | 40,414 |
Granted | 402 |
Released | (12,278) |
Outstanding, end of year | 28,538 |
Benefit Plans (Details Textual)
Benefit Plans (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | May 16, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Contributions | $ 0.9 | $ 0.9 | $ 0.9 | |
Unrecognized compensation cost | $ 0.6 | |||
Employer matching contribution description | The Company has a 401(k) plan established for substantially all full-time employees, as defined. Employee contributions are limited to the maximum established by the Internal Revenue Service on an annual basis. The Company has elected to match contributions equal to 100% of the first 1% of employee deferrals and then 50% on deferrals over 1% up to a maximum of 6% of an individuals total eligible salary, as defined by the plan. | |||
Maximum contributions (as a percent) | 3.50% | |||
Vesting percentage (as a percent) | 50% | |||
Annual vesting period (in years) | 2 years | |||
Employer Contribution Plan, Employer Match, One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee deferral (as a percent) | 100% | |||
Employer match (as a percent) | 1% | |||
Defined Contribution Plan, Employer Match, Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee deferral (as a percent) | 50% | |||
2022 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 400,000 | |||
Share-based compensation expense | $ 0.8 | 0.1 | ||
2013 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 750,000 | |||
Minimum | Defined Contribution Plan, Employer Match, Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employer match (as a percent) | 2% | |||
Maximum | Defined Contribution Plan, Employer Match, Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employer match (as a percent) | 6% | |||
Equity Incentive Plan 2013 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 0.4 | $ 2 | $ 2.4 | |
Directors Deferred Stock Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Contributions (as a percent) | 100% | |||
Number of shares available for future issuance | 180,000 | |||
Restricted Stock Units | 2022 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation cost | $ 1.3 | |||
Weighted average expense recognition period (in years) | 1 year 10 months 24 days | |||
Restricted Stock Units | 2013 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted average expense recognition period (in years) | 1 year 1 month 6 days |
Income Taxes - Provisions (Cred
Income Taxes - Provisions (Credit) for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Current | $ 876 | $ (73) | $ 6,024 |
Deferred | (4,353) | 4,632 | 2,434 |
Total | $ (3,477) | $ 4,559 | $ 8,458 |
Income Taxes - Income Tax Recon
Income Taxes - Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Statutory rate times pre-tax income | $ 1,037 | $ 8,421 | $ 11,880 |
(Subtract) add the tax effect of: | |||
Income from tax-exempt securities and loans | (3,951) | (4,190) | (4,217) |
State income tax, net of federal tax effect | (30) | 592 | 865 |
Bank-owned life insurance | (215) | (201) | (199) |
Tax credits | (168) | (143) | (175) |
Other differences | (150) | 80 | 304 |
Total | $ (3,477) | $ 4,559 | $ 8,458 |
Income Taxes - Net Deferred Tax
Income Taxes - Net Deferred Taxes (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax assets (liabilities) | ||
Allowance for loan losses | $ 9,847 | $ 8,569 |
Net unrealized losses on available-for-sale securities and hedged items | 8,776 | 10,047 |
Fair value adjustments | (12,101) | (12,097) |
Depreciation | (4,306) | (2,612) |
Deferred compensation and accrued payroll | 1,228 | 1,574 |
Loan origination costs | (1,379) | (1,816) |
Prepaid assets | (806) | (813) |
Net operating loss | 13,309 | 8,928 |
Tax credits | 711 | 0 |
Other | 335 | 312 |
Total deferred tax assets, net | $ 15,614 | $ 12,092 |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Federal | ||
Tax Credit Carryforward [Line Items] | ||
Net operating loss, not subject to expiration | $ 57.2 | $ 40.5 |
State | ||
Tax Credit Carryforward [Line Items] | ||
Net operating loss, subject to expiration | $ 8.5 | $ 9.1 |
Related Party Transactions (Det
Related Party Transactions (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Related Party Transactions [Abstract] | |||
Related party loans and extensions of credit | $ 45,926 | $ 21,860 | $ 11,364 |
Deposits from related party | $ 28,300 | $ 33,700 |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Party Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loans and Leases Receivable, Related Parties [Roll Forward] | ||
Balance at the beginning of period | $ 21,860 | $ 11,364 |
New Term Loans | 19,139 | 21,810 |
Additions | 4,956 | 0 |
Repayment of term loans | (12) | (11,324) |
Changes in balances of revolving lines of credit | (17) | 10 |
Balance at end of period | $ 45,926 | $ 21,860 |
Regulatory Capital Requiremen_3
Regulatory Capital Requirements - Required Ratios (Details) | Jan. 01, 2019 |
Mortgage Banking [Abstract] | |
Minimum ratio of Common Equity Tier 1 capital to risk-weighed assets | 4.50% |
Minimum ratio of Common Equity Tier 1 capital to risk-weighed assets, capital conservation buffer | 2.50% |
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 7% |
Minimum ratio of Tier 1 capital to risk-weighted assets | 6% |
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 0.085 |
Minimum ratio of Total capital to risk-weighted assets | 8% |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.105 |
Tier 1 capital (to average assets), Minimum Capital Requirement, Ratio (as a percent) | 0.040 |
Regulatory Capital Requiremen_4
Regulatory Capital Requirements (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Jan. 01, 2019 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 common equity, (to risk-weighted assets), Actual Amount | $ 381,001 | $ 390,150 | |
Tier 1 common equity, (to risk-weighted assets), Actual Ratio (as a percent) | 9.60% | 10.93% | |
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 7% | ||
Capital | $ 525,283 | $ 526,419 | |
Capital to Risk Weighted Assets | 0.1323 | 0.1475 | |
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.105 | ||
Tier 1 capital (to risk-weighted assets), Actual Amount | $ 381,001 | $ 390,150 | |
Tier 1 capital (to risk-weighted assets), Actual Ratio (as a percent) | 0.0960 | 0.1093 | |
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 0.085 | ||
Tier 1 capital (to average assets), Actual Amount | $ 381,001 | $ 390,150 | |
Tier 1 capital (to average assets), Actual Ratio (as a percent) | 0.0733 | 0.0906 | |
Tier 1 capital (to average assets), Minimum Capital Requirement, Ratio (as a percent) | 0.040 | ||
Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 common equity, (to risk-weighted assets), Actual Amount | $ 464,390 | $ 466,257 | |
Tier 1 common equity, (to risk-weighted assets), Actual Ratio (as a percent) | 11.73% | 13.10% | |
Tier One Common Equity Required to be Well Capitalized | $ 257,273 | $ 231,392 | |
Tier One Common Equity Required to be Well Capitalized to Risk Weighted Assets | 6.50% | 6.50% | |
Capital | $ 503,834 | $ 497,994 | |
Capital to Risk Weighted Assets | 0.1273 | 0.1399 | |
Capital Required to be Well Capitalized | $ 395,804 | $ 355,988 | |
Capital Required to be Well Capitalized to Risk Weighted Assets | 0.1000 | 0.1000 | |
Tier 1 capital (to risk-weighted assets), Actual Amount | $ 464,390 | $ 466,257 | |
Tier 1 capital (to risk-weighted assets), Actual Ratio (as a percent) | 0.1173 | 0.1310 | |
Tier 1 capital (to risk-weighted assets), Minimum to be Wel Capitalized Under Prompt Corrective Actions, Amount | $ 316,644 | $ 284,790 | |
Tier 1 capital (to risk-weighted assets), Minimum to be Wel Capitalized Under Prompt Corrective Actions, Ratio (as a percent) | 0.0800 | 0.0800 | |
Tier 1 capital (to average assets), Actual Amount | $ 464,390 | $ 466,257 | |
Tier 1 capital (to average assets), Actual Ratio (as a percent) | 0.0895 | 0.1084 | |
Tier 1 capital (to average assets), Minimum to be Well Capitalized Under Prompt Corrective Actions, Amount | $ 259,349 | $ 215,116 | |
Tier 1 capital (to average assets), Minimum to be Well Capitalized Under Prompt Corrective Actions, Ratio (as a percent) | 0.0500 | 0.0500 | |
2016 Period | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Actual Amount | $ 277,914 | ||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 7% | ||
Capital Required for Capital Adequacy | $ 416,870 | ||
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.1050 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Amount | $ 337,467 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0850 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Amount | $ 207,929 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0400 | ||
2016 Period | Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Actual Amount | $ 277,063 | ||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 7% | ||
Capital Required for Capital Adequacy | $ 415,595 | ||
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.1050 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Amount | $ 336,434 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0850 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Amount | $ 207,479 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0400 | ||
Two Thousand Fifteen Period | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Actual Amount | $ 249,795 | ||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 7% | ||
Capital Required for Capital Adequacy | $ 374,693 | ||
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.1050 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Amount | $ 303,323 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0850 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Amount | $ 172,330 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0400 | ||
Two Thousand Fifteen Period | Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Actual Amount | $ 249,191 | ||
Tier 1 common equity, (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 7% | ||
Capital Required for Capital Adequacy | $ 373,787 | ||
Capital Required for Capital Adequacy to Risk Weighted Assets | 0.1050 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Amount | $ 302,590 | ||
Tier 1 capital (to risk-weighted assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0850 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Amount | $ 172,093 | ||
Tier 1 capital (to average assets), Minimum Capital Requirement, Ratio (as a percent) | 0.0400 |
Commitments and Credit Risk (De
Commitments and Credit Risk (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Other Commitments [Line Items] | ||
Loan commitments | $ 755.4 | $ 485.4 |
Capital Addition Purchase Commitments | ||
Other Commitments [Line Items] | ||
Construction related contract commitment | $ 67.2 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | $ 474,855 | $ 390,384 |
Servicing asset, at fair value | 10,567 | 6,255 |
Loans held-for-sale (mandatory pricing agreements) | 9,110 | 9,110 |
Derivative, fair value | (677) | 0 |
Loans held for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loans held-for-sale (mandatory pricing agreements) | 9,110 | |
Interest rate swaps assets | Interest rate swaps assets | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative asset, fair value | 5,139 | |
Derivative liability, fair value | 8,645 | |
Forward contracts | Forward contracts | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | 677 | 97 |
U.S. Government-sponsored agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 95,177 | 33,809 |
Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 68,446 | 67,276 |
Agency mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 206,649 | 215,092 |
Private label mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 20,779 | 10,455 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 8,081 | 4,960 |
Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 36,838 | 42,952 |
Interest rate swap agreements - liabilities (back-to-back) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | (677) | 133 |
Agency mortgage-backed securities - commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 38,885 | 15,840 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Servicing asset, at fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans held for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loans held-for-sale (mandatory pricing agreements) | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swaps assets | Interest rate swaps assets | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative asset, fair value | 0 | |
Derivative liability, fair value | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Forward contracts | Forward contracts | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | 0 | 97 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Government-sponsored agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Private label mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swap agreements - liabilities (back-to-back) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency mortgage-backed securities - commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 474,855 | 390,384 |
Servicing asset, at fair value | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Loans held for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loans held-for-sale (mandatory pricing agreements) | 9,110 | |
Significant Other Observable Inputs (Level 2) | Interest rate swaps assets | Interest rate swaps assets | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative asset, fair value | 5,139 | |
Derivative liability, fair value | 8,645 | |
Significant Other Observable Inputs (Level 2) | Forward contracts | Forward contracts | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | 677 | 0 |
Significant Other Observable Inputs (Level 2) | U.S. Government-sponsored agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 95,177 | 33,809 |
Significant Other Observable Inputs (Level 2) | Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 68,446 | 67,276 |
Significant Other Observable Inputs (Level 2) | Agency mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 206,649 | 215,092 |
Significant Other Observable Inputs (Level 2) | Private label mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 10,455 | |
Significant Other Observable Inputs (Level 2) | Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 8,081 | 4,960 |
Significant Other Observable Inputs (Level 2) | Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 36,838 | 42,952 |
Significant Other Observable Inputs (Level 2) | Interest rate swap agreements - liabilities (back-to-back) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | (677) | 0 |
Significant Other Observable Inputs (Level 2) | Agency mortgage-backed securities - commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 38,885 | 15,840 |
Significant Unobservable Inputs (Level 3) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Servicing asset, at fair value | 10,567 | 6,255 |
Significant Unobservable Inputs (Level 3) | Loans held for sale | ||
Debt Securities, Available-for-sale [Line Items] | ||
Loans held-for-sale (mandatory pricing agreements) | 0 | |
Significant Unobservable Inputs (Level 3) | Interest rate swaps assets | Interest rate swaps assets | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative asset, fair value | 0 | |
Derivative liability, fair value | 0 | |
Significant Unobservable Inputs (Level 3) | Forward contracts | Forward contracts | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | U.S. Government-sponsored agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Municipal securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Agency mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Private label mortgage-backed securities - residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Interest rate swap agreements - liabilities (back-to-back) | ||
Debt Securities, Available-for-sale [Line Items] | ||
Derivative, fair value | 0 | 133 |
Significant Unobservable Inputs (Level 3) | Agency mortgage-backed securities - commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Fair Value | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Fair Value Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Servicing asset | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Beginning balance | $ 6,255 | $ 4,702 | $ 3,569 |
Additions | 5,775 | 3,192 | 2,202 |
Paydowns | (1,842) | (1,135) | (820) |
Change in fair value | 379 | (504) | (249) |
Ending balance | 10,567 | 6,255 | 4,702 |
IRLCs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Beginning balance | 133 | 718 | 3,361 |
Additions | 0 | 0 | 0 |
Paydowns | 0 | 0 | |
Change in fair value | (133) | (585) | (2,643) |
Ending balance | $ 0 | $ 133 | $ 718 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - Quantative Information About Unobservable Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Impaired loans | $ 1,918 | |
Servicing asset | $ 10,567 | 6,255 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Servicing asset | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Servicing asset | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Servicing asset | 10,567 | 6,255 |
Impaired loans | Significant Unobservable Inputs (Level 3) | ||
Impaired loans | 2,799 | 1,164 |
Interest rate swap agreements - liabilities (back-to-back) | Significant Unobservable Inputs (Level 3) | ||
IRLCs Fair Value | 133 | |
Servicing asset | Significant Unobservable Inputs (Level 3) | ||
Servicing asset | $ 10,567 | $ 6,255 |
Discount for type of property and current market conditions | Fair value of collateral | Impaired loans | Significant Unobservable Inputs (Level 3) | Minimum | ||
Impaired Financing Receivable, Measurement Input | 0% | 0% |
Discount for type of property and current market conditions | Fair value of collateral | Impaired loans | Significant Unobservable Inputs (Level 3) | Maximum | ||
Impaired Financing Receivable, Measurement Input | 90% | 25% |
Discount for type of property and current market conditions | Fair value of collateral | Impaired loans | Significant Unobservable Inputs (Level 3) | Weighted Average | ||
Impaired Financing Receivable, Measurement Input | 28% | 20% |
Loan closing rates | Discounted cash flow | Interest rate swap agreements - liabilities (back-to-back) | Significant Unobservable Inputs (Level 3) | Minimum | ||
IRLC, Range, Loan closing rates (as a percent) | 31% | |
Loan closing rates | Discounted cash flow | Interest rate swap agreements - liabilities (back-to-back) | Significant Unobservable Inputs (Level 3) | Maximum | ||
IRLC, Range, Loan closing rates (as a percent) | 100% | |
Loan closing rates | Discounted cash flow | Interest rate swap agreements - liabilities (back-to-back) | Significant Unobservable Inputs (Level 3) | Weighted Average | ||
IRLC, Range, Loan closing rates (as a percent) | 89% | |
Discount rate | Discounted cash flow | Servicing asset | Significant Unobservable Inputs (Level 3) | ||
Servicing asset, discount rate | 15% | 14% |
Discount rate | Discounted cash flow | Servicing asset | Significant Unobservable Inputs (Level 3) | Weighted Average | ||
Servicing asset, discount rate | 15% | 14% |
Prepayment rate | Discounted cash flow | Servicing asset | Significant Unobservable Inputs (Level 3) | Minimum | ||
Servicing asset, discount rate | 0% | 0% |
Prepayment rate | Discounted cash flow | Servicing asset | Significant Unobservable Inputs (Level 3) | Maximum | ||
Servicing asset, discount rate | 25% | 25% |
Prepayment rate | Discounted cash flow | Servicing asset | Significant Unobservable Inputs (Level 3) | Weighted Average | ||
Servicing asset, discount rate | 11.30% | 14.60% |
Fair Value of Financial Instr_6
Fair Value of Financial Instruments - Carrying Value and Estimated Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Carrying Value | $ 405,898 | $ 256,552 |
Debt Securities, Held-to-maturity | 227,446 | 189,168 |
Held-to-maturity securities, fair value | 207,572 | 168,483 |
Loans held-for-sale, Carrying Amount | 22,052 | 12,401 |
Loans held-for-sale, Fair Value | 9,110 | 9,110 |
Accrued interest receivable, Carrying Amount | 26,746 | 21,069 |
FHLB stock, Carrying Amount | 28,350 | 28,350 |
Deposits, Carrying Amount | 4,066,973 | 3,441,245 |
FHLB advances, Carrying Amount | 614,934 | 614,928 |
Subordinated Debt, Carrying Value | 104,838 | 104,532 |
Accrued interest payable | 3,848 | 2,913 |
Net Carrying Value | 227,153 | 189,168 |
Fair Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents, Fair Value | 405,898 | 256,552 |
Held-to-maturity securities, fair value | 207,572 | 168,483 |
Loans held-for-sale, Fair Value | 22,052 | 12,401 |
Loans receivable - net, Fair Value | 3,611,909 | 3,225,845 |
Accrued interest receivable, Fair Value | 26,746 | 21,069 |
FHLB stock, Fair Value | 28,350 | 28,350 |
Deposits, Fair Value | 4,059,447 | 3,415,390 |
FHLB advances, Fair Value | 605,366 | 596,455 |
Subordinated Debt, Fair Value | 102,632 | 102,669 |
Accrued interest payable, Fair Value | 3,848 | 2,913 |
Fair Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents, Fair Value | 405,898 | 256,552 |
Held-to-maturity securities, fair value | 0 | 0 |
Loans held-for-sale, Fair Value | 0 | 0 |
Loans receivable - net, Fair Value | 0 | 0 |
Accrued interest receivable, Fair Value | 26,746 | 21,069 |
FHLB stock, Fair Value | 0 | 0 |
Deposits, Fair Value | 1,796,123 | 1,974,344 |
FHLB advances, Fair Value | 0 | 0 |
Subordinated Debt, Fair Value | 32,560 | 32,560 |
Accrued interest payable, Fair Value | 3,848 | 2,913 |
Fair Value | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents, Fair Value | 0 | 0 |
Held-to-maturity securities, fair value | 207,572 | 168,483 |
Loans held-for-sale, Fair Value | 22,052 | 12,401 |
Loans receivable - net, Fair Value | 0 | 0 |
Accrued interest receivable, Fair Value | 0 | 0 |
FHLB stock, Fair Value | 28,350 | 28,350 |
Deposits, Fair Value | 0 | 0 |
FHLB advances, Fair Value | 605,366 | 596,455 |
Subordinated Debt, Fair Value | 70,072 | 70,109 |
Accrued interest payable, Fair Value | 0 | 0 |
Fair Value | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents, Fair Value | 0 | 0 |
Held-to-maturity securities, fair value | 0 | 0 |
Loans held-for-sale, Fair Value | 0 | |
Loans receivable - net, Fair Value | 3,611,909 | 3,225,845 |
Accrued interest receivable, Fair Value | 0 | 0 |
FHLB stock, Fair Value | 0 | 0 |
Deposits, Fair Value | 2,263,324 | 1,441,046 |
FHLB advances, Fair Value | 0 | 0 |
Subordinated Debt, Fair Value | 0 | 0 |
Accrued interest payable, Fair Value | $ 0 | $ 0 |
Mortgage Banking Activities (De
Mortgage Banking Activities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Principal Transaction Revenue [Line Items] | |||
Loans originated for sale | $ 36,300 | $ 388,000 | $ 721,300 |
Proceeds from sale of loans originated for sale | 46,500 | 411,500 | 714,900 |
Mortgage banking activities | |||
Principal Transaction Revenue [Line Items] | |||
Gain on loans sold | 471 | 6,101 | 17,803 |
Loss resulting from the change in fair value of loans held-for-sale | (143) | (184) | (718) |
(Loss) gain resulting from the change in fair value of derivatives | (252) | (453) | (2,035) |
Net revenue from mortgage banking activities | $ 76 | $ 5,464 | $ 15,050 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Carrying Amount and Adjustment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Amortized cost, at fair value | $ 513,315 | $ 436,183 |
Derivatives designated as hedging instruments | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Carrying amount of the hedged assets | 69,504 | 68,963 |
Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged assets | (1,143) | $ (2,088) |
Amortized cost, at fair value | $ 50,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Interest Swap Derivatives (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Jun. 30, 2020 | Dec. 31, 2023 | Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional Value | $ 1,778 | $ 0 | ||
Cash pledged as collateral | 5,200 | 7,700 | ||
Derivative, fair value | (677) | 0 | ||
Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Fair Value | (1,143) | (2,088) | ||
Interest rate swaps assets | Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional Value | $ 50,000 | $ 50,000 | ||
Weighted Average Remaining Maturity (years) | 9 months 18 days | 1 year 9 months 18 days | ||
Fair Value | $ 1,153 | $ 2,093 | ||
Weighted-Average Rate | 2.33% | 2.33% | ||
Loans | Interest rate swaps assets | Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Weighted Average Remaining Maturity (years) | 10 years 4 months 24 days | |||
Payments for swap termination payments | $ 46,100 | |||
Amortization expense | $ 4,700 | $ 4,900 | ||
Securities available-for-sale | Interest rate swaps assets | Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional Value | $ 50,000 | $ 50,000 | ||
Weighted Average Remaining Maturity (years) | 9 months 18 days | 1 year 9 months 18 days | ||
Fair Value | $ 1,153 | $ 2,093 | ||
Weighted-Average Rate | 2.33% | 2.33% | ||
Payments for swap termination payments | $ 1,900 | |||
Amortization expense | $ 400 | |||
3 Month LIBOR | Interest rate swaps assets | Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional Value | $ 110,000 | $ 110,000 | ||
Weighted Average Remaining Maturity (years) | 3 years 1 month 6 days | 4 years 1 month 6 days | ||
Derivative, fair value | $ 3,596 | $ 4,787 | ||
Derivative, variable interest rate | 2.88% | 2.88% | ||
1 Month LIBOR | Interest rate swaps assets | Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional Value | $ 60,000 | |||
Weighted Average Remaining Maturity (years) | 7 months 6 days | |||
Derivative, fair value | $ 735 | |||
Derivative, variable interest rate | 2.88% | |||
Fed Funds Effective | Interest rate swaps assets | Derivatives designated as hedging instruments | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Notional Value | $ 40,000 | $ 40,000 | ||
Weighted Average Remaining Maturity (years) | 4 months 24 days | 1 year 4 months 24 days | ||
Derivative, fair value | $ 390 | $ 1,030 | ||
Derivative, variable interest rate | 2.78% | 2.78% |
Derivative Financial Instrume_5
Derivative Financial Instruments - Notional Amounts and Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Asset Derivatives | ||
Notional Amount | $ 201,778 | $ 291,862 |
Fair Value | 5,816 | 8,875 |
Derivative Liability [Abstract] | ||
Notional Amount | 1,778 | 0 |
Fair Value | (677) | 0 |
IRLCs | ||
Derivative Liability [Abstract] | ||
Fair Value | (677) | 133 |
Derivatives designated as hedging instruments | Interest rate swaps assets | ||
Asset Derivatives | ||
Notional Amount | 50,000 | 50,000 |
Fair Value | 1,153 | 2,093 |
Derivative Liability [Abstract] | ||
Notional Amount | 50,000 | 50,000 |
Derivatives not designated as hedging instruments | Back to Back Swaps | ||
Asset Derivatives | ||
Notional Amount | 1,778 | 0 |
Fair Value | 677 | 0 |
Derivative Liability [Abstract] | ||
Notional Amount | 1,778 | |
Fair Value | (677) | |
Derivatives not designated as hedging instruments | IRLCs | ||
Asset Derivatives | ||
Notional Amount | 0 | 14,862 |
Fair Value | 0 | 133 |
Derivatives not designated as hedging instruments | Forward contracts | ||
Asset Derivatives | ||
Notional Amount | 0 | 17,000 |
Fair Value | 0 | 97 |
Securities available-for-sale | Derivatives designated as hedging instruments | Interest rate swaps assets | ||
Asset Derivatives | ||
Notional Amount | 150,000 | 210,000 |
Fair Value | 3,986 | 6,552 |
Derivative Liability [Abstract] | ||
Notional Amount | $ 50,000 | $ 50,000 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Gain (Loss) Recognized (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Asset Derivatives | Forward contracts | |||
Asset Derivatives | |||
Derivatives not designated as hedging instruments | $ 0 | $ 127 | $ 610 |
Liability Derivatives | IRLCs | |||
Asset Derivatives | |||
Derivatives not designated as hedging instruments | (133) | (585) | (2,643) |
Liability Derivatives | Forward contracts | |||
Asset Derivatives | |||
Derivatives not designated as hedging instruments | $ (119) | $ 0 | $ 0 |
Derivative Financial Instrume_7
Derivative Financial Instruments - Effect of Derivatives on Income (Details) - Interest rate swaps assets - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of (Loss) gain recognized in Other Comprehensive Income in the Twelve Months Ended | $ (2,566) | $ 19,091 | $ 11,138 |
Loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | 0 | 0 | 0 |
Securities - taxable | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | 0 | 0 | (253) |
Securities - non-taxable | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | 1,471 | (244) | (1,099) |
Total interest income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | 1,471 | (244) | (1,352) |
Deposits | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | (1,671) | 1,125 | 2,775 |
Other borrowed funds | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | (2,622) | 1,110 | 3,028 |
Total interest expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | (4,293) | 2,235 | 5,803 |
Net interest income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized on the condensed consolidated statements of income | $ 5,764 | $ (2,479) | $ (7,155) |
Shareholders' Equity (Details T
Shareholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 20, 2022 | Oct. 31, 2022 | Oct. 20, 2021 | |
Stock Repurchase Program | |||||
Shareholders Equity [Line Items] | |||||
Stock repurchase program, authorized amount | $ 35 | $ 30 | |||
Repurchased shares of common stock (in shares) | 855,956 | ||||
Stock repurchased, average price per share (in dollars per share) | $ 36.31 | ||||
New Stock Repurchase Program | |||||
Shareholders Equity [Line Items] | |||||
Stock repurchase program, authorized amount | $ 25 | ||||
Repurchased shares of common stock (in shares) | 502,525 | 46,497 | |||
Stock repurchased, average price per share (in dollars per share) | $ 18.40 | $ 24.42 | |||
Stock repurchase program, remaining authorized repurchase amount | $ 14.6 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | $ 364,974 | $ 380,338 | $ 330,944 |
Net unrealized holding gains (losses) recorded within other comprehensive income before income tax | 4,773 | (23,245) | 7,051 |
Reclassification of securities available-for-sale to held-to-maturity | (5,402) | ||
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 778 | 844 | 0 |
Net effect on other comprehensive (loss) income | 5,551 | (27,803) | 7,051 |
Income tax (benefit) provision | 1,290 | (5,206) | 894 |
Total other comprehensive income (loss) | 4,261 | (22,597) | 6,157 |
Balance | 362,795 | 364,974 | 380,338 |
Accumulated Other Comprehensive Loss | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (33,636) | (11,039) | (17,196) |
Total other comprehensive income (loss) | 4,261 | (22,597) | 6,157 |
Balance | (29,375) | (33,636) | (11,039) |
Available-For-Sale Securities | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (35,831) | (2,555) | 468 |
Net unrealized holding gains (losses) recorded within other comprehensive income before income tax | 7,339 | (42,336) | (4,087) |
Reclassification of securities available-for-sale to held-to-maturity | 0 | ||
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 0 | 0 | |
Net effect on other comprehensive (loss) income | 7,339 | (42,336) | (4,087) |
Income tax (benefit) provision | 1,682 | (9,060) | (1,064) |
Total other comprehensive income (loss) | 5,657 | (33,276) | (3,023) |
Balance | (30,174) | (35,831) | (2,555) |
AOCI, Gain (Loss), Debt Securities, Transferred From Available-for-Sale to Held-to-Maturity [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (3,519) | 0 | 0 |
Net unrealized holding gains (losses) recorded within other comprehensive income before income tax | 0 | 0 | 0 |
Reclassification of securities available-for-sale to held-to-maturity | (5,402) | ||
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 778 | 844 | |
Net effect on other comprehensive (loss) income | 778 | (4,558) | 0 |
Income tax (benefit) provision | 198 | (1,039) | 0 |
Total other comprehensive income (loss) | 580 | (3,519) | 0 |
Balance | (2,939) | (3,519) | 0 |
Cash Flow Hedges | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | 5,714 | (8,484) | (17,664) |
Net unrealized holding gains (losses) recorded within other comprehensive income before income tax | (2,566) | 19,091 | 11,138 |
Reclassification of securities available-for-sale to held-to-maturity | 0 | ||
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 0 | 0 | |
Net effect on other comprehensive (loss) income | (2,566) | 19,091 | 11,138 |
Income tax (benefit) provision | (590) | 4,893 | 1,958 |
Total other comprehensive income (loss) | (1,976) | 14,198 | 9,180 |
Balance | $ 3,738 | $ 5,714 | $ (8,484) |
Condensed Financial Informati_3
Condensed Financial Information (Parent Company Only) - Condensed Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Assets | ||||
Cash and Cash Equivalents, at Carrying Value | $ 405,898 | $ 256,552 | ||
Premises and equipment, net | 73,463 | 72,711 | ||
Accrued income and other assets | 51,098 | 44,894 | ||
Total assets | 5,167,572 | 4,543,104 | ||
Liabilities and shareholders’ equity | ||||
Subordinated debt, net of unamortized discounts and debt issuance costs of $2,162 in 2023 and $2,468 in 2022 | 104,838 | 104,532 | ||
Accrued expenses and other liabilities | 14,184 | 14,512 | ||
Total liabilities | 4,804,777 | 4,178,130 | ||
Total shareholders’ equity | 362,795 | 364,974 | $ 380,338 | $ 330,944 |
Total liabilities and shareholders’ equity | 5,167,572 | 4,543,104 | ||
Unamortized discounts and debt issuance costs | 2,162 | 2,468 | ||
Parent Company | ||||
Assets | ||||
Cash and Cash Equivalents, at Carrying Value | 11,593 | 22,259 | ||
Investment in common stock of subsidiaries | 444,221 | 440,645 | ||
Premises and equipment, net | 0 | 58 | ||
Accrued income and other assets | 14,127 | 8,567 | ||
Total assets | 469,941 | 471,529 | ||
Liabilities and shareholders’ equity | ||||
Subordinated debt, net of unamortized discounts and debt issuance costs of $2,162 in 2023 and $2,468 in 2022 | 104,838 | 104,532 | ||
Accrued expenses and other liabilities | 2,308 | 2,023 | ||
Total liabilities | 107,146 | 106,555 | ||
Total shareholders’ equity | 362,795 | 364,974 | ||
Total liabilities and shareholders’ equity | 469,941 | 471,529 | ||
Unamortized discounts and debt issuance costs | $ 2,162 | $ 2,468 |
Condensed Financial Informati_4
Condensed Financial Information (Parent Company Only) - Condensed Statements of Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Condensed Financial Statements, Captions [Line Items] | |||
Gain on sale of premises and equipment | $ 0 | $ 0 | $ 2,523 |
Other | 2,302 | 2,416 | 1,694 |
Total noninterest income | 26,125 | 21,257 | 32,844 |
Expenses | |||
Interest on borrowings | 21,175 | 17,983 | 17,505 |
Salaries and employee benefits | 45,322 | 41,553 | 38,223 |
Consulting and professional fees | 3,082 | 4,826 | 4,054 |
Premises and equipment | 10,599 | 10,688 | 7,063 |
Income tax benefit | (3,477) | 4,559 | 8,458 |
Net income | 8,417 | 35,541 | 48,114 |
Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Dividends from bank subsidiary | 12,000 | 8,000 | 0 |
Gain on sale of premises and equipment | 0 | 0 | 2,523 |
Other | 188 | 285 | 75 |
Total noninterest income | 12,188 | 8,285 | 2,598 |
Expenses | |||
Interest on borrowings | 5,376 | 5,371 | 5,892 |
Salaries and employee benefits | 1,203 | 1,147 | 1,037 |
Consulting and professional fees | 1,572 | 1,814 | 2,178 |
Premises and equipment | 126 | 201 | 548 |
Other | 280 | 134 | 363 |
Total expenses | 8,557 | 8,667 | 10,018 |
Income (loss) before income tax and equity in undistributed net income of subsidiaries | 3,631 | (382) | (7,420) |
Income tax benefit | (1,817) | (1,874) | (1,687) |
Income (loss) before equity in undistributed net income of subsidiaries | 5,448 | 1,492 | (5,733) |
Equity in undistributed net income of subsidiaries | 2,969 | 34,049 | 53,847 |
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Condensed Financial Informati_5
Condensed Financial Information (Parent Company Only) - Condensed Statements of Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule Of Condensed Comprehensive Income [Line Items] | |||
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Other comprehensive income (loss) | |||
Net unrealized holding gains (losses) on securities available-for-sale recorded within other comprehensive income before income tax | 7,339 | (42,336) | (4,087) |
Other Comprehensive Income (Loss), Tax on Available-for-Sale Securities | 1,682 | (9,060) | (1,064) |
Other Comprehensive Income (Loss), Net of Tax on Available-for-Sale Securities | 5,657 | (33,276) | (3,023) |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, Tax | 0 | (5,402) | 0 |
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 778 | 844 | 0 |
Other Comprehensive Income (Loss), Tax on Held-to-Maturity Securities | 198 | (1,039) | 0 |
OCI, Debt Securities, Held-to-Maturity, Gain (Loss), after Adjustment and Tax | 580 | (3,519) | 0 |
Net unrealized holding (losses) gains on cash flow hedging derivatives recorded within other comprehensive income before income tax | (2,566) | 19,091 | 11,138 |
Other Comprehensive Income (Loss), Tax on Cash Flow Hedges | (590) | 4,893 | 1,958 |
OCI, Debt Securities, Cash Flow Hedge, Gain (Loss), after Adjustment and Tax | (1,976) | 14,198 | 9,180 |
Total other comprehensive income (loss) | 4,261 | (22,597) | 6,157 |
Comprehensive income | 12,678 | 12,944 | 54,271 |
Parent Company | |||
Schedule Of Condensed Comprehensive Income [Line Items] | |||
Net income | 8,417 | 35,541 | 48,114 |
Other comprehensive income (loss) | |||
Net unrealized holding gains (losses) on securities available-for-sale recorded within other comprehensive income before income tax | 7,339 | (42,336) | (4,087) |
Other Comprehensive Income (Loss), Tax on Available-for-Sale Securities | 1,682 | (9,060) | (1,064) |
Other Comprehensive Income (Loss), Net of Tax on Available-for-Sale Securities | 5,657 | (33,276) | (3,023) |
OCI, Debt Securities, Available-for-Sale, Transfer from Held-to-Maturity, Gain (Loss), before Adjustment, Tax | (5,402) | 0 | |
Amortization of net unrealized losses on securities transferred from available-for-sale to held-to-maturity | 844 | 0 | |
Other Comprehensive Income (Loss), Tax on Held-to-Maturity Securities | (1,039) | 0 | |
OCI, Debt Securities, Held-to-Maturity, Gain (Loss), after Adjustment and Tax | 580 | (3,519) | 0 |
OCI, Debt Securities, Cash Flow Hedge, Gain (Loss), after Adjustment and Tax | (1,976) | 14,198 | 9,180 |
Total other comprehensive income (loss) | 4,261 | (22,597) | 6,157 |
Comprehensive income | $ 12,678 | $ 12,944 | $ 54,271 |
Condensed Financial Informati_6
Condensed Financial Information (Parent Company Only) - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating Activities | |||
Net income | $ 8,417 | $ 35,541 | $ 48,114 |
Depreciation and amortization | 5,748 | 8,729 | 8,775 |
Share-based compensation expense | 1,258 | 2,035 | 2,393 |
Gain on sale of premises and equipment | 0 | 0 | (2,523) |
Net change in other assets | (6,625) | 9,815 | 7,028 |
Net change in other liabilities | (3,158) | (3,775) | (921) |
Net cash provided by operating activities | 11,680 | 82,723 | 54,840 |
Investing activities | |||
Net proceeds from sale of premises and equipment | 0 | 0 | 8,116 |
Other investing activities | (4,464) | (3,510) | 4,434 |
Net cash (used in) provided by investing activities | (474,503) | (601,033) | 43,874 |
Financing activities | |||
Cash dividends paid | (2,156) | (2,317) | (2,415) |
Net proceeds from issuance of subordinated debt | 0 | 0 | 58,658 |
Repurchase of common stock | (9,340) | (27,780) | (4,436) |
Other, net | (153) | (287) | (441) |
Net cash (used in) provided by financing activities | 612,169 | 331,902 | (75,560) |
Net increase (decrease) in cash and cash equivalents | 149,346 | (186,408) | 23,154 |
Cash and cash equivalents, beginning of year | 256,552 | 442,960 | 419,806 |
Cash and cash equivalents, end of year | 405,898 | 256,552 | 442,960 |
Parent Company | |||
Operating Activities | |||
Net income | 8,417 | 35,541 | 48,114 |
Equity in undistributed net income of subsidiaries | (2,969) | (34,049) | (53,847) |
Depreciation and amortization | 318 | 329 | 1,081 |
Share-based compensation expense | 256 | 795 | 835 |
Gain on sale of premises and equipment | 0 | 0 | (2,523) |
Net change in other assets | (1,819) | 350 | (31) |
Net change in other liabilities | 358 | (490) | 775 |
Net cash provided by operating activities | 4,561 | 2,476 | (5,596) |
Investing activities | |||
Net proceeds from sale of premises and equipment | 0 | 0 | 8,116 |
Other investing activities | (3,578) | (2,727) | (3,561) |
Net cash (used in) provided by investing activities | (3,578) | (2,727) | 4,555 |
Financing activities | |||
Cash dividends paid | (2,156) | (2,317) | (2,415) |
Net proceeds from issuance of subordinated debt | 0 | 0 | 58,658 |
Repayment of subordinated debt | 0 | 0 | (35,000) |
Repayment of Bank loan | 0 | 0 | (3,000) |
Repurchase of common stock | (9,340) | (27,780) | (4,436) |
Other, net | (153) | (250) | (441) |
Net cash (used in) provided by financing activities | (11,649) | (30,347) | 13,366 |
Net increase (decrease) in cash and cash equivalents | (10,666) | (30,598) | 12,325 |
Cash and cash equivalents, beginning of year | 22,259 | 52,857 | 40,532 |
Cash and cash equivalents, end of year | $ 11,593 | $ 22,259 | $ 52,857 |
Recent Accounting Pronounceme_4
Recent Accounting Pronouncements - Adjustments for ASC 326 Adoption (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Jan. 01, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | $ 38,774 | $ 31,737 | $ 27,841 | $ 29,484 | |
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Allowance for credit loss in retained earnings | 293 | ||||
Commercial and industrial | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,711 | 1,891 | 1,146 | ||
Owner-occupied commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 651 | 742 | 1,082 | ||
Investor commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,099 | 328 | 155 | ||
Construction | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,074 | 1,612 | 1,192 | ||
Single tenant lease financing | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 10,519 | 10,385 | 12,990 | ||
Public finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,753 | 1,776 | 1,732 | ||
Healthcare finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,997 | 5,940 | 7,485 | ||
Small business lending | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,168 | 1,387 | 628 | ||
Franchise finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 3,988 | 1,083 | 0 | ||
Residential mortgage | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,559 | 643 | 519 | ||
Home equity | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 69 | 64 | 48 | ||
Other consumer | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 3,149 | $ 1,990 | $ 2,507 | ||
Commercial loans | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 26,960 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Commercial and industrial | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,711 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Owner-occupied commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 651 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Investor commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,099 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Construction | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,074 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Single tenant lease financing | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 10,519 | ||||
Commercial loans | Public finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,753 | ||||
Commercial loans | Healthcare finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,997 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Small business lending | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,168 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Commercial loans | Franchise finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 3,988 | ||||
Consumer loans | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 4,777 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Consumer loans | Residential mortgage | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,559 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Consumer loans | Home equity | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 69 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Consumer loans | Other consumer | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 3,149 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Cumulative Effect, Period of Adoption, Adjustment | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | $ 2,962 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 2,504 | 1,900 | |||
Allowance for credit loss in retained earnings | $ 300 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial and industrial | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (120) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Owner-occupied commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 62 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Investor commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (191) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Construction | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (435) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Single tenant lease financing | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (346) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Public finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (135) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Healthcare finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,034 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Small business lending | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 334 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Franchise finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (313) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Residential mortgage | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 406 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Home equity | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 133 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Other consumer | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,533 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (110) | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 2,314 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Commercial and industrial | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (120) | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 110 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Owner-occupied commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 62 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Investor commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (191) | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 9 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Construction | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (435) | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 2,193 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Single tenant lease financing | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (346) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Public finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (135) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Healthcare finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,034 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 2 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Small business lending | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 334 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Commercial loans | Franchise finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | (313) | ||||
Cumulative Effect, Period of Adoption, Adjustment | Consumer loans | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 3,072 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 190 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Consumer loans | Residential mortgage | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 406 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 127 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Consumer loans | Home equity | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 133 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 52 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Consumer loans | Other consumer | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,533 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 11 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 38,774 | 34,699 | |||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 3,745 | 2,504 | |||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial and industrial | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,185 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Owner-occupied commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 825 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Investor commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,311 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Construction | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,167 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Single tenant lease financing | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 8,129 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Public finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,372 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Healthcare finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,976 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Small business lending | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 6,532 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Franchise finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 6,363 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Residential mortgage | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,054 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Home equity | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 171 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Other consumer | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 5,689 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 26,850 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 3,678 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Commercial and industrial | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,591 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 233 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Owner-occupied commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 713 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 9 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Investor commercial real estate | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 908 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 6 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Construction | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,639 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 2,889 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Single tenant lease financing | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 10,173 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Public finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,618 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Healthcare finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 4,031 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 0 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Small business lending | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 2,502 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 541 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Commercial loans | Franchise finance | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 3,675 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Consumer loans | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 7,849 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 67 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Consumer loans | Residential mortgage | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 1,965 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 11 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Consumer loans | Home equity | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | 202 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | 45 | ||||
Cumulative Effect, Period of Adoption, Adjusted Balance | Consumer loans | Other consumer | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Adoption of CECL | $ 5,682 | ||||
Liabilities [Abstract] | |||||
Allowance for unfunded commitments | $ 11 |
Uncategorized Items - inbk-2023
Label | Element | Value |
Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2016-13 [Member] |