Meridian (MRBK) 10-Q 9 Nov 22 2022 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2022	Nov. 02, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity File Number	000-55983
Entity Registrant Name	Meridian Corp
Entity Incorporation, State or Country Code	PA
Entity Tax Identification Number	83-1561918
Entity Address, Address Line One	9 Old Lincoln Highway
Entity Address, City or Town	Malvern
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	19355
City Area Code	484
Local Phone Number	568-5000
Title of 12(b) Security	Common Stock, $1 par value
Trading Symbol	MRBK
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		5,800,526
Entity Central Index Key	0001750735
Amendment Flag	false
Document Fiscal Year Focus	2022
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q3

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Assets:
Cash and due from banks	$ 12,114	$ 3,966
Interest-bearing deposits at other banks	20,774	19,514
Cash and cash equivalents	32,888	23,480
Securities available-for-sale, at fair value (amortized cost of $143,581 and $158,387, respectively)	127,999	159,302
Securities held-to-maturity, at amortized cost (fair value of $32,323 and $6,591, respectively)	37,922	6,372
Equity investments	2,092	2,354
Mortgage loans held for sale	33,800	80,882
Loans, net of fees and costs	1,610,349	1,386,457
Allowance for loan and lease losses	(18,974)	(18,758)
Loans, net of the allowance for loan and lease losses	1,591,375	1,367,699
Restricted investment in bank stock	5,217	5,117
Bank premises and equipment, net	12,835	11,806
Bank owned life insurance	22,916	22,503
Accrued interest receivable	6,008	5,009
Deferred income taxes	5,722	1,413
Servicing assets	12,807	12,765
Goodwill	899	899
Intangible assets	3,226	3,379
Other assets	26,218	10,463
Total assets	1,921,924	1,713,443
Deposits:
Non-interest bearing	290,169	274,528
Interest bearing	1,383,384	1,171,885
Total deposits	1,673,553	1,446,413
Short-term borrowings	23,458	41,344
Subordinated debentures	40,597	40,508
Accrued interest payable	1,154	31
Other liabilities	32,001	19,787
Total liabilities	1,770,763	1,548,083
Stockholders’ equity:
Common stock, $1 par value per share. 25,000,000 shares authorized; 6,566,356 and 6,534,587 shares issued and outstanding, respectively	6,566	6,535
Surplus	84,848	83,663
Treasury stock, 721,927 and 426,693 shares, respectively, at cost	(18,033)	(8,860)
Unearned common stock held by employee stock ownership plan	(1,602)	(1,602)
Retained earnings	92,405	84,916
Accumulated other comprehensive (loss) income	(13,023)	708
Total stockholders’ equity	151,161	165,360
Total liabilities and stockholders’ equity	$ 1,921,924	$ 1,713,443

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Securities available-for-sale, amortized cost	$ 143,581	$ 158,387
Securities held-to-maturity	$ 32,323	$ 6,591
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, authorized (in shares)	25,000,000	25,000,000
Common stock, issued (in shares)	6,566,356	6,534,587
Common stock, outstanding (in shares)	6,566,356	6,534,587
Treasury stock held (in shares)	721,927	426,693

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Interest income:
Loans, including fees	$ 21,848	$ 17,626	$ 58,187	$ 51,287
Securities - taxable	648	357	1,599	1,076
Securities - tax-exempt	369	306	1,015	886
Cash and cash equivalents	93	17	157	25
Total interest income	22,958	18,306	60,958	53,274
Interest expense:
Deposits	4,075	1,327	7,182	4,261
Borrowings	857	722	2,166	2,224
Total interest expense	4,932	2,049	9,348	6,485
Net interest income	18,026	16,257	51,610	46,789
Provision for loan losses	526	597	1,743	1,292
Net interest income after provision for loan losses	17,500	15,660	49,867	45,497
Non-interest income:
Mortgage banking income	7,329	18,726	21,367	62,293
SBA loan income	989	2,688	3,946	5,423
Earnings on investment in life insurance	138	93	413	224
Net change in the fair value of derivative instruments	127	(339)	(713)	(3,431)
Net change in the fair value of loans held-for-sale	(237)	(532)	(1,094)	(3,164)
Net change in the fair value of loans held-for-investment	(886)	37	(2,499)	(24)
Net gain on hedging activity	399	(1,189)	4,941	2,397
Net gain on sale of investment securities available-for-sale	0	314	0	362
Other	1,219	1,057	3,605	3,192
Total non-interest income	10,224	22,122	33,728	70,902
Non-interest expense:
Salaries and employee benefits	13,360	19,472	41,585	61,824
Occupancy and equipment	1,191	1,133	3,619	3,460
Professional fees	899	873	2,659	2,629
Advertising and promotion	1,165	1,089	3,340	2,795
Data processing	574	530	1,633	1,666
Information technology	868	476	2,306	1,365
Pennsylvania bank shares tax	202	152	612	478
Other	2,002	1,756	5,646	5,773
Total non-interest expense	20,261	25,481	61,400	79,990
Income before income taxes	7,463	12,301	22,195	36,409
Income tax expense	1,665	2,863	4,927	8,543
Net income	$ 5,798	$ 9,438	$ 17,268	$ 27,866
Basic earnings per common share (in USD per share)	$ 0.99	$ 1.56	$ 2.90	$ 4.62
Diluted earnings per common share (in USD per share)	$ 0.96	$ 1.52	$ 2.80	$ 4.49
Basic weighted average shares outstanding (in shares)	5,868	6,045	5,964	6,033
Diluted weighted average shares outstanding (in shares)	6,060	6,231	6,172	6,201
Wealth management income
Non-interest income:
Revenue from contract with customer	$ 1,114	$ 1,232	$ 3,672	$ 3,531
Service charges
Non-interest income:
Revenue from contract with customer	$ 32	$ 35	$ 90	$ 99

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income:	$ 5,798	$ 9,438	$ 17,268	$ 27,866
Net change in unrealized gains on investment securities available for sale:
Change in fair value of investment securities available for sale, net of tax of $(1,129), $(312), $(3,694), and $(475), respectively	(3,910)	(1,021)	(12,760)	(1,490)
Reclassification adjustment for net gains (losses) realized in net income, net of tax effect of $0, $(71), $(1), and $(83), respectively	0	(243)	(9)	(279)
Reclassification adjustment for securities transferred from available-for-sale to held-to-maturity, net of tax effect of $8, $0, $(293), and $0, respectively	37	0	(962)	0
Unrealized investment losses, net of tax effect of $(1,121), $(383), $(3,989), and $(558), respectively	(3,873)	(1,264)	(13,731)	(1,769)
Other comprehensive loss	(3,873)	(1,264)	(13,731)	(1,769)
Comprehensive income	$ 1,925	$ 8,174	$ 3,537	$ 26,097

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Comprehensive Income [Abstract]
Tax expense (benefit) on unrealized gains arising during the period	$ (1,129)	$ (312)	$ (3,694)	$ (475)
Tax expense (benefit) on reclassification adjustment for net gains on sales realized in net income	0	(71)	(1)	(83)
Tax expense (benefit) on reclassification adjustment for transfer to held-to-maturity	8	0	(293)	0
Tax expense (benefit) on unrealized investment gains (losses)	$ (1,121)	$ (383)	$ (3,989)	$ (558)

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Surplus	Treasury Stock	Unearned ESOP	Retained Earnings	AOCI
Balance beginning of the period at Dec. 31, 2020	$ 141,622	$ 6,456	$ 81,196	$ (5,828)	$ (1,768)	$ 59,010	$ 2,556
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	27,866					27,866
Other comprehensive loss	(1,769)						(1,769)
Dividends paid or accrued	(8,468)					(8,468)
Net purchase of treasury stock through publicly announced plans	(2,197)			(2,197)
Common stock issued through share-based awards and exercises	571	50	521
Stock based compensation expense	791		791
Balance ending of the period at Sep. 30, 2021	158,416	6,506	82,508	(8,025)	(1,768)	78,408	787
Balance beginning of the period at Jun. 30, 2021	152,885	6,493	82,198	(5,828)	(1,768)	69,739	2,051
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	9,438					9,438
Other comprehensive loss	(1,264)						(1,264)
Dividends paid or accrued	(769)					(769)
Net purchase of treasury stock through publicly announced plans	(2,197)			(2,197)
Common stock issued through share-based awards and exercises	180	13	167
Stock based compensation expense	143		143
Balance ending of the period at Sep. 30, 2021	158,416	6,506	82,508	(8,025)	(1,768)	78,408	787
Balance beginning of the period at Dec. 31, 2021	165,360	6,535	83,663	(8,860)	(1,602)	84,916	708
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	17,268					17,268
Other comprehensive loss	(13,731)						(13,731)
Dividends paid or accrued	(9,779)					(9,779)
Net purchase of treasury stock through publicly announced plans	(9,173)			(9,173)
Common stock issued through share-based awards and exercises	485	31	454
Stock based compensation expense	731		731
Balance ending of the period at Sep. 30, 2022	151,161	6,566	84,848	(18,033)	(1,602)	92,405	(13,023)
Balance beginning of the period at Jun. 30, 2022	156,087	6,561	84,359	(11,896)	(1,602)	87,815	(9,150)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	5,798					5,798
Other comprehensive loss	(3,873)						(3,873)
Dividends paid or accrued	(1,208)					(1,208)
Net purchase of treasury stock through publicly announced plans	(6,137)			(6,137)
Common stock issued through share-based awards and exercises	117	5	112
Stock based compensation expense	377		377
Balance ending of the period at Sep. 30, 2022	$ 151,161	$ 6,566	$ 84,848	$ (18,033)	$ (1,602)	$ 92,405	$ (13,023)

CONSOLIDATED STATEMENTS OF ST_2

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Stockholders' Equity [Abstract]
Dividends declared (in dollars per share)	$ 0.20	$ 0.125	$ 1.60	$ 1.375
Treasury stock (in shares)	197,849	78,491	295,234	78,491

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Statement of Cash Flows [Abstract]
Net income	$ 17,268	$ 27,866
Adjustments to reconcile net income to net cash provided by operating activities:
Gain on sale of investment securities	0	(362)
Net amortization of investment premiums and discounts and change in fair value of equity securities	668	991
Depreciation and amortization, net	(1,343)	(4,677)
Provision for loan losses	1,743	1,292
Amortization of issuance costs on subordinated debt	89	88
Stock based compensation	731	791
Net change in fair value of derivative instruments	713	3,431
Net change in fair value of loans held for sale	1,094	3,164
Net change in fair value of loans held for investment	2,499	24
Amortization and net impairment of servicing rights	1,753	707
SBA loan income	(3,946)	(5,423)
Proceeds from sale of loans	863,056	2,027,443
Loans originated for sale	(794,541)	(1,864,132)
Mortgage banking income	(21,367)	(62,293)
(Increase) decrease in accrued interest receivable	(999)	402
Increase in other assets	(1,675)	(2,648)
Earnings from investment in life insurance	(413)	(224)
Decrease in deferred income tax	(219)	(817)
Increase (decrease) in accrued interest payable	1,123	(490)
(Decrease) increase in other liabilities	(2,579)	1,299
Net cash provided by operating activities	63,655	126,432
Activity in available-for-sale securities:
Maturities, repayments and calls	8,662	6,173
Sales	0	20,855
Purchases	(22,176)	(52,468)
Activity in held-to-maturity securities:
Maturities, repayments and calls	540	0
Purchases	(5,500)	0
Increase (decrease) in restricted stock	(100)	3,699
Net increase in loans	(225,967)	(82,711)
Purchases of premises and equipment	(2,020)	(1,496)
Purchase of bank owned life insurance	0	(10,000)
Net cash used in investing activities	(246,561)	(115,948)
Cash flows from financing activities:
Net increase in deposits	227,140	197,712
Decrease in short-term borrowings	0	(3,187)
Decrease in short-term borrowings with original maturity > 90 days	(17,886)	(81,397)
Repayment of long-term debt, net	0	(87,141)
Net purchase of treasury stock	(9,173)	(2,197)
Dividends paid	(9,779)	(8,468)
Share based awards and exercises	485	571
Net cash provided by financing activities	190,787	15,893
Net change in cash and cash equivalents	7,881	26,377
Cash and cash equivalents at beginning of period	23,480	36,744
Cash and cash equivalents at end of period	31,361	63,121
Supplemental disclosure of cash flow information:
Interest	8,225	6,976
Income taxes	5,365	11,354
Supplemental disclosure of cash flow information:
Transfers from loans held for sale to loans held for investment	2,955	7,116
Transfer of securities from AFS to HTM	23,655	0
ROU asset obtained in exchange for lease liabilities	$ 10,995	$ 0

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The Corporation’s unaudited consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete consolidated financial statements. In the opinion of management, all adjustments necessary for a fair presentation of the consolidated financial position and the results of operations for the interim periods presented have been included. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Amounts subject to significant estimates are items such as the allowance for loan losses, lending related commitments, the fair value of financial instruments, other-than-temporary impairments of investment securities, and the valuations of goodwill, intangible assets, and servicing assets. These unaudited consolidated financial statements should be read in conjunction with the Corporation’s filings with the Securities and Exchange Commission (including our Annual Report on Form 10-K for the year ended December 31, 2021), subsequently filed quarterly reports on Form 10-Q and current reports on Form 8-K that update or provide information in addition to the information included in Form 10-K and Form 10-Q filings, if any. Certain prior period amounts have been reclassified to conform with current period presentation. Reclassifications had no effect on net income or stockholders’ equity. Operating results for the three and nine months ended September 30, 2022 are not necessarily indicative of the results for the year ending December 31, 2022 or for any other period.

Earnings per Common Share

Earnings per Common Share	9 Months Ended
	Sep. 30, 2022
Earnings Per Share [Abstract]
Earnings per Common Share	Earnings per Common Share Basic earnings per common share excludes dilution and is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period reduced by unearned ESOP Plan shares and treasury shares. Diluted earnings per common share takes into account the potential dilution computed pursuant to the treasury stock method that could occur if stock options were exercised and converted into common stock and if restricted stock awards were vested, and SERP plan liabilities were satisfied with common shares. The effects of stock options are excluded from the computation of diluted earnings per share in periods in which the effect would be anti-dilutive. Three months ended Nine months ended (dollars in thousands, except per share data) 2022 2021 2022 2021 Numerator for earnings per share: Net income available to common stockholders $ 5,798 $ 9,438 $ 17,268 $ 27,866 Denominators for earnings per share: Weighted average shares outstanding 5,968 6,157 6,038 6,148 Average unearned ESOP shares (100) (112) (74) (115) Basic weighted averages shares outstanding 5,868 6,045 5,964 6,033 Dilutive effects of assumed exercises of stock options 116 125 137 113 Dilutive effects of SERP shares 75 61 71 55 Diluted weighted averages shares outstanding 6,060 6,231 6,172 6,201 Basic earnings per share $ 0.99 $ 1.56 $ 2.90 $ 4.62 Diluted earnings per share $ 0.96 $ 1.52 $ 2.80 $ 4.49 Antidilutive shares excluded from computation of average dilutive earnings per share 237 140 236 140

Securities

Securities	9 Months Ended
	Sep. 30, 2022
Investments, Debt and Equity Securities [Abstract]
Securities	Securities The following table presents the amortized cost and fair value of securities at the dates indicated: September 30, 2022 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 15,763 $ 21 $ (311) $ 15,473 14 U.S. government agency MBS 12,079 — (735) 11,344 13 U.S. government agency CMO 21,248 — (2,079) 19,169 28 State and municipal securities 44,885 — (7,646) 37,239 34 U.S. Treasuries 32,980 — (3,699) 29,281 25 Non-U.S. government agency CMO 9,426 — (599) 8,827 11 Corporate bonds 7,200 — (534) 6,666 12 Total securities available-for-sale $ 143,581 $ 21 $ (15,603) $ 127,999 137 Securities held-to-maturity: State and municipal securities $ 37,922 $ — $ (5,599) $ 32,323 27 Total securities held-to-maturity $ 37,922 $ — $ (5,599) $ 32,323 — December 31, 2021 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 16,850 $ 55 $ (68) $ 16,837 10 U.S. government agency MBS 9,749 124 (60) 9,813 3 U.S. government agency CMO 22,276 358 (253) 22,381 10 State and municipal securities 72,099 1,379 (496) 72,982 12 U.S. Treasuries 29,973 1 (246) 29,728 21 Non-U.S. government agency CMO 990 — (15) 975 1 Corporate bonds 6,450 154 (18) 6,586 5 Total securities available-for-sale $ 158,387 $ 2,071 $ (1,156) $ 159,302 62 Securities held-to-maturity: State and municipal securities $ 6,372 $ 219 $ — $ 6,591 — Total securities held-to-maturity $ 6,372 $ 219 $ — $ 6,591 — Although the Corporation’s investment portfolio overall is in a net unrealized loss position at September 30, 2022, the temporary impairment in the above noted securities is primarily the result of changes in market interest rates subsequent to purchase and it is more likely than not that the Corporation will not be required to sell these securities prior to recovery to satisfy liquidity needs, and therefore, no securities are deemed to be other-than-temporarily impaired. During the quarter-ended March 31, 2022, $27.7 million of municipal securities, previously classified as available-for-sale on the balance sheet, were transferred to the held-to-maturity portfolio at fair value. After transfer, $1.3 million of unrealized losses remain in accumulated other comprehensive income. No gain or loss was recognized as a result of the transfer. As of September 30, 2022 and December 31, 2021, securities having a fair value of $76.5 million and $92.2 million, respectively, were specifically pledged as collateral for public funds, the FRB discount window program, FHLB borrowings and other purposes. The FHLB has a blanket lien on non-pledged, mortgage-related loans and securities as part of the Corporation’s borrowing agreement with the FHLB. The following table shows the Corporation’s investment gross unrealized losses and fair value aggregated by investment category and length of time that individual securities have been in continuous unrealized loss position at the dates indicated: September 30, 2022 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 10,122 $ (129) $ 3,254 $ (182) $ 13,376 $ (311) U.S. government agency MBS 9,795 (638) 1,549 (97) 11,344 (735) U.S. government agency CMO 10,526 (850) 8,617 (1,229) 19,143 (2,079) State and municipal securities 34,801 (7,077) 2,438 (569) 37,239 (7,646) U.S. Treasuries 15,468 (1,443) 13,813 (2,256) 29,281 (3,699) Non-U.S. government agency CMO 8,112 (470) 715 (129) 8,827 (599) Corporate bonds 5,565 (384) 1,101 (150) 6,666 (534) Total securities available-for-sale $ 94,389 $ (10,991) $ 31,487 $ (4,612) $ 125,876 $ (15,603) Securities held-to-maturity: State and municipal securities $ — $ — $ 24,955 $ (5,599) $ 24,955 $ (5,599) Total securities held-to-maturity $ — $ — $ 24,955 $ (5,599) $ 24,955 $ (5,599) December 31, 2021 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 12,330 $ (68) $ — $ — $ 12,330 $ (68) U.S. government agency MBS 3,852 (60) — — 3,852 (60) U.S. government agency CMO 8,836 (187) 1,657 (66) 10,493 (253) State and municipal securities 14,994 (427) 2,019 (69) 17,013 (496) U.S. Treasuries 28,750 (246) — — 28,750 (246) Non-U.S. government agency CMO 975 (15) — — 975 (15) Corporate bonds 2,232 (18) — — 2,232 (18) Total securities available-for-sale $ 71,969 $ (1,021) $ 3,676 $ (135) $ 75,645 $ (1,156) The amortized cost and carrying value of securities are shown below by contractual maturities at the dates indicated. Actual maturities may differ from contractual maturities as issuers may have the right to call or repay obligations with or without call or prepayment penalties. September 30, 2022 December 31, 2021 Available-for-sale Held-to-maturity Available-for-sale Held-to-maturity (dollars in thousands) Amortized Fair Amortized Fair Amortized Fair Amortized Fair Due in one year or less $ — $ — $ — $ — $ — $ — $ 763 $ 769 Due after one year through five years 17,892 16,326 4,665 4,588 12,934 12,885 2,354 2,397 Due after five years through ten years 27,386 24,111 3,003 2,643 30,890 30,798 3,255 3,425 Due after ten years 55,550 48,222 30,254 25,092 81,548 82,450 — — Subtotal 100,828 88,659 37,922 32,323 125,372 126,133 6,372 6,591 Mortgage-related securities 42,753 39,340 — — 33,015 33,169 — — Total $ 143,581 $ 127,999 $ 37,922 $ 32,323 $ 158,387 $ 159,302 $ 6,372 $ 6,591 The following table presents the gross gain and (loss) on sale of investment securities available for sale on the dates indicated: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Gross gain on sale of available for sale investments $ — $ 314 $ — $ 562 Gross loss on sale of available for sale investments — — — 200

Loans

Loans	9 Months Ended
	Sep. 30, 2022
Receivables [Abstract]
Loans	Loans The following table presents loans detailed by category at the dates indicated: (dollars in thousands) September 30, December 31, Real estate loans: Commercial mortgage $ 545,736 $ 516,928 Home equity lines and loans 57,648 52,299 Residential mortgage 153,513 68,175 Construction 244,435 160,905 Total real estate loans 1,001,332 798,307 Commercial and industrial 329,451 293,771 Small business loans 133,904 114,158 PPP loans 8,837 90,194 MSLP loans 597 597 Consumer 497 419 Leases, net 129,574 88,242 Total loans $ 1,604,192 $ 1,385,688 Balances included in loans, net of fees and costs: Residential mortgage real estate loans accounted under fair value option, at fair value $ 14,702 $ 17,558 Residential mortgage real estate loans accounted under fair value option, at amortized cost 17,217 17,106 Unearned lease income included in leases, net (23,940) (17,366) Unamortized net deferred loan origination costs 6,157 769 Fair Value Option for Residential Mortgage Real Estate Loans Residential mortgage real estate loans that were originated by the Corporation and intended for sale in the secondary market to permanent investors, but were either repurchased or unsalable due to defect, and that the Corporation has the ability and intent to hold for the foreseeable future or until maturity or payoff are carried at fair value pursuant to the Corporation's election of the fair value option for these loans. The remaining loans, net of fees and costs are stated at their outstanding unpaid principal balances, net of deferred fees or costs, since the original intent for these loans was to hold them until payoff or maturity. Nonaccrual and Past Due Loans, Net of Fees and Costs The following tables present an aging of the Corporation’s loans at the dates indicated: September 30, 2022 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans % Delinquent Commercial mortgage $ 684 $ — $ 684 $ 543,208 $ 543,892 $ 1,844 $ 545,736 0.46 % Home equity lines and loans 189 — 189 56,581 56,770 878 57,648 1.85 Residential mortgage (1) 819 — 819 150,679 151,498 2,015 153,513 1.85 Construction — — — 244,435 244,435 — 244,435 — Commercial and industrial 887 — 887 312,220 313,107 16,344 329,451 5.23 Small business loans 1,803 — 1,803 130,700 132,503 1,401 133,904 2.39 PPP — — — 8,837 8,837 — 8,837 — September 30, 2022 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans % Delinquent MSLP — — — 597 597 — 597 — Consumer — — — 497 497 — 497 — Leases, net 1,378 — 1,378 127,690 129,068 506 129,574 1.45 % Total $ 5,760 $ — $ 5,760 $ 1,575,444 $ 1,581,204 $ 22,988 $ 1,604,192 1.79 % (1) Includes $14,702 of loans at fair value of which $14,151 are current and $551 are nonaccrual. December 31, 2021 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans % Delinquent Commercial mortgage $ — $ — $ — $ 516,928 $ 516,928 $ — $ 516,928 — % Home equity lines and loans 103 — 103 51,285 51,388 911 52,299 1.94 Residential mortgage (1) 600 — 600 65,177 65,777 2,398 68,175 4.40 Construction — — — 160,905 160,905 — 160,905 — Commercial and industrial — — — 274,970 274,970 18,801 293,771 6.40 Small business loans — — — 113,492 113,492 666 114,158 0.58 PPP — — — 90,194 90,194 — 90,194 — MSLP — — — 597 597 — 597 — Consumer — — — 419 419 — 419 — Leases, net 390 — 390 87,640 88,030 212 88,242 0.68 % Total $ 1,093 $ — $ 1,093 $ 1,361,607 $ 1,362,700 $ 22,988 $ 1,385,688 1.74 % (1) Includes $17,558 of loans at fair value of which $16,768 are current, $189 are 30-89 days past due and $601 are nonaccrual. Foreclosed and Repossessed Assets At September 30, 2022, there were no consumer mortgage loans secured by residential real estate properties (included in loans, net of fees and costs on the Consolidated Balance Sheets) for which formal foreclosure proceedings were in process. Risks and Uncertainties We have no particular credit concentration. Our commercial loans have been proactively managed in an effort to achieve a balanced portfolio with no unusual exposure to one industry. Additionally, most of our lending activity occurs within our primary market areas which are concentrated in southeastern Pennsylvania, Delaware, and Maryland as well as other contiguous markets and represents a geographic concentration. Additionally, our loan portfolio is concentrated in commercial loans. Commercial loans are generally viewed as having more inherent risk of default than residential real estate loans or other consumer loans. Also, the commercial loan balance per borrower is typically larger than that for residential real estate loans and consumer loans, implying higher potential losses on an individual loan basis.

Allowance for Loan and Lease Lo

Allowance for Loan and Lease Losses (the “Allowance”)	9 Months Ended
	Sep. 30, 2022
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
Allowance for Loan and Lease Losses (the “Allowance”)	Allowance for Loan and Lease Losses (the “Allowance”) The Allowance is evaluated on at least a quarterly basis, as losses are estimated to be probable and incurred. The provision for loan and lease losses increase or decrease the ALLL, if deemed necessary. Loans deemed to be uncollectible are charged against the Allowance, and subsequent recoveries, if any, are credited to the Allowance. The Allowance is maintained at a level considered adequate to provide for losses that are probable and estimable. Management’s periodic evaluation of the adequacy of the Allowance is based on known and inherent risks in the portfolio, adverse situations that may affect the borrower’s ability to repay, the estimated value of any underlying collateral, composition of the loan portfolio, current economic conditions and other relevant factors. This evaluation is subjective as it requires material estimates that may be susceptible to significant revisions as more information becomes available. Roll-Forward of Allowance by Portfolio Segment The following tables detail the roll-forward of the Corporation’s Allowance, by portfolio segment, for the periods indicated: Three Months Ended September 30, 2022 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 4,327 $ — $ — $ (238) $ 4,089 Home equity lines and loans 240 (12) 34 (25) 237 Residential mortgage 489 — — 217 706 Construction 2,481 — — 378 2,859 Commercial and industrial 6,287 — 39 (657) 5,669 Small business loans 3,681 — — 319 4,000 Consumer 3 — 1 (1) 3 Leases 1,297 (419) — 533 1,411 Total $ 18,805 $ (431) $ 74 $ 526 $ 18,974 Nine Months Ended September 30, 2022 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 4,950 $ — $ — $ (861) $ 4,089 Home equity lines and loans 224 (12) 42 (17) 237 Residential mortgage 283 — 2 421 706 Construction 2,042 — — 817 2,859 Commercial and industrial 6,533 — 58 (922) 5,669 Small business loans 3,737 — — 263 4,000 Consumer 3 — 3 (3) 3 Leases 986 (1,682) 62 2,045 1,411 Total $ 18,758 $ (1,694) $ 167 $ 1,743 $ 18,974 Three Months Ended September 30, 2021 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 7,146 $ — $ — $ (604) $ 6,542 Home equity lines and loans 281 — 1 (9) 273 Residential mortgage 324 — 1 (49) 276 Construction 2,241 — — 44 2,285 Commercial and industrial 5,360 — 15 239 5,614 Small business loans 2,235 — — 864 3,099 Consumer 4 — 1 (2) 3 Leases 770 — — 114 884 Total $ 18,361 $ — $ 18 $ 597 $ 18,976 Nine Months Ended September 30, 2021 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 7,451 $ — $ — $ (909) $ 6,542 Home equity lines and loans 434 — 5 (166) 273 Residential mortgage 385 — 5 (114) 276 Construction 2,421 — — (136) 2,285 Commercial and industrial 5,431 — 33 150 5,614 Small business loans 1,259 — — 1,840 3,099 Consumer 4 — 3 (4) 3 Leases 382 (129) — 631 884 Total $ 17,767 $ (129) $ 46 $ 1,292 $ 18,976 Allowance Allocated by Portfolio Segment The following tables detail the allocation of the allowance for loan and lease losses and the carrying value for loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment at the dates indicated: September 30, 2022 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,089 $ 4,089 $ 4,196 $ 541,540 $ 545,736 Home equity lines and loans — 237 237 878 56,770 57,648 Residential mortgage — 706 706 1,464 137,347 138,811 Construction — 2,859 2,859 1,206 243,229 244,435 Commercial and industrial 2,193 3,476 5,669 16,358 313,093 329,451 Small business loans 376 3,624 4,000 1,479 132,425 133,904 PPP (2) — — — — 8,837 8,837 MSLP (2) — — — — 597 597 Consumer — 3 3 — 497 497 Leases, net — 1,411 1,411 506 129,068 129,574 Total (1) $ 2,569 $ 16,405 $ 18,974 $ 26,087 $ 1,563,403 $ 1,589,490 December 31, 2021 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,950 $ 4,950 $ 3,556 $ 513,372 $ 516,928 Home equity lines and loans — 224 224 905 51,394 52,299 Residential mortgage — 283 283 1,797 48,820 50,617 Construction — 2,042 2,042 1,206 159,699 160,905 Commercial and industrial 2,900 3,633 6,533 17,361 276,410 293,771 Small business loans 376 3,361 3,737 792 113,366 114,158 PPP (2) — — — — 90,194 90,194 MSLP (2) — — — — 597 597 Consumer — 3 3 — 419 419 Leases, net — 986 986 212 88,030 88,242 Total (1) $ 3,276 $ 15,482 $ 18,758 $ 25,829 $ 1,342,301 $ 1,368,130 (1) Excludes deferred fees and loans carried at fair value. (2) PPP and MSLP loans are not reserved against as they are 100% guaranteed. Loans and Leases by Credit Ratings As part of the process of determining the Allowance to the different segments of the loan and lease portfolio, Management considers certain credit quality indicators. For the commercial mortgage, construction and commercial and industrial loan segments, periodic reviews of the individual loans are performed by Management. The results of these reviews are reflected in the risk grade assigned to each loan. These internally assigned grades are as follows: • Pass – Loans considered to be satisfactory with no indications of deterioration. • Special mention – Loans classified as special mention have a potential weakness that deserves Management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. • Substandard – Loans classified as substandard are inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Substandard loans have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. • Doubtful – Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loan balances classified as doubtful have been reduced by partial charge-offs and are carried at their net realizable values. The following tables detail the carrying value of loans and leases by portfolio segment based on the credit quality indicators used to determine the allowance for loan and lease losses at the dates indicated: September 30, 2022 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 511,993 $ 28,382 $ 5,361 $ — $ 545,736 Home equity lines and loans 56,290 — 1,358 — 57,648 Construction 235,464 8,971 — — 244,435 Commercial and industrial 280,929 5,414 43,108 — 329,451 Small business loans 132,503 — 1,401 — 133,904 PPP 8,837 — — — 8,837 MSLP 597 — — — 597 Total $ 1,226,613 $ 42,767 $ 51,228 $ — $ 1,320,608 Commercial and industrial loans classified as substandard totaled $43.1 million as of September 30, 2022, an increase of $238 thousand, from $42.9 million as of December 31, 2021. The majority of this amount is comprised of 16 different loan relationships with no specific industry concentration and a $13.5 million commercial loan relationship in the advertising industry that became a non-performing loan relationship late in 2021. December 31, 2021 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 481,551 $ 29,452 $ 5,925 $ — $ 516,928 Home equity lines and loans 50,908 — 1,391 — 52,299 Construction 151,608 9,297 — — 160,905 Commercial and industrial 236,298 14,603 42,870 — 293,771 Small business loans 112,096 — 2,062 — 114,158 PPP 90,194 — — — 90,194 MSLP 597 — — — 597 Total $ 1,123,252 $ 53,352 $ 52,248 $ — $ 1,228,852 In addition to credit quality indicators as shown in the above tables, allowance allocations for residential mortgages, consumer loans and leases are also applied based on their performance status at the dates indicated: September 30, 2022 December 31, 2021 (dollars in thousands) Performing Non- Total Performing Non- Total Residential mortgage (1) $ 151,498 $ 2,015 $ 153,513 $ 48,820 $ 1,797 $ 50,617 Consumer 497 — 497 419 — 419 Leases, net 129,068 506 129,574 88,030 212 88,242 Total $ 281,063 $ 2,521 $ 283,584 $ 137,269 $ 2,009 $ 139,278 (1) There were four nonperforming residential mortgage loans at September 30, 2022 and four nonperforming residential mortgage loans at December 31, 2021 with a combined outstanding principal balance of $551 thousand and $601 thousand, respectively, which were carried at fair value and not included in the table above. This decrease was largely due to a residential mortgage loan that was nonperforming at December 31, 2021, which subsequently paid off before September 30, 2022. Impaired Loans The following tables detail the recorded investment and principal balance of impaired loans by portfolio segment, their related Allowance and interest income recognized at the dates indicated. September 30, 2022 December 31, 2021 (dollars in thousands) Recorded Principal Related Recorded Principal Related Impaired loans with related allowance: Commercial and industrial $ 16,095 $ 16,552 $ 2,193 $ 17,147 $ 17,310 $ 2,900 Small business loans 666 666 376 666 666 376 Total $ 16,761 $ 17,218 $ 2,569 $ 17,813 $ 17,976 $ 3,276 Impaired loans without related allowance: Commercial mortgage $ 4,196 $ 4,206 $ — $ 3,556 $ 3,559 $ — Commercial and industrial 263 329 — 214 269 — Small business loans 813 813 — 126 126 — Home equity lines and loans 878 878 — 905 935 — Residential mortgage 1,464 1,464 — 1,797 1,797 — Construction 1,206 1,206 — 1,206 1,206 — Leases 506 506 — 212 212 — Total $ 9,326 $ 9,402 $ — $ 8,016 $ 8,104 $ — Grand Total $ 26,087 $ 26,620 $ 2,569 $ 25,829 $ 26,080 $ 3,276 The following table details the average recorded investment and interest income recognized on impaired loans by portfolio segment. Three Months Ended September 30, 2022 Three Months Ended September 30, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Commercial and industrial $ 16,195 $ — $ 3,242 $ 5 Small business loans 666 — 916 — Home equity lines and loans — — 89 — Residential mortgage — — 169 — Total $ 16,861 $ — $ 4,416 $ 5 Impaired loans without related allowance: Commercial mortgage $ 4,212 $ 29 $ 2,573 $ 8 Commercial and industrial 286 — 473 19 Small business loans 819 2 147 3 Home equity lines and loans 878 15 823 — Residential mortgage 1,468 22 1,636 6 Construction 1,206 20 1,206 17 Leases 500 — — — Total $ 9,369 $ 88 $ 6,858 $ 53 Grand Total $ 26,230 $ 88 $ 11,274 $ 58 Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Commercial and industrial $ 16,363 $ — $ 3,306 $ 15 Small business loans 666 — 917 — Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Home equity lines and loans — — 92 — Residential mortgage — — 170 — Total $ 17,029 $ — $ 4,485 $ 15 Impaired loans without related allowance: Commercial mortgage 4,257 77 2,584 24 Commercial and industrial 293 — 485 19 Small business loans 835 7 161 11 Home equity lines and loans 878 39 824 — Residential mortgage 1,478 190 1,640 9 Construction 1,206 51 1,206 47 Leases 510 — 53 — Total $ 9,457 $ 364 $ 6,953 $ 110 Grand Total $ 26,486 $ 364 $ 11,438 $ 125 Troubled Debt Restructuring The restructuring of a loan is considered a TDR if both of the following conditions are met: (i) the borrower is experiencing financial difficulties, and (ii) the creditor has granted a concession. The most common concessions granted include one or more modifications to the terms of the debt, such as (a) a reduction in the interest rate for the remaining life of the debt, (b) an extension of the maturity date at an interest rate lower than the current market rate for new debt with similar risk, (c) a temporary period of interest-only payments, (d) a reduction in the contractual payment amount for either a short period or remaining term of the loan, and (e) for leases, a reduced lease payment. A less common concession granted is the forgiveness of a portion of the principal. The determination of whether a borrower is experiencing financial difficulties takes into account not only the current financial condition of the borrower, but also the potential financial condition of the borrower, were a concession not granted. The determination of whether a concession has been granted is very subjective in nature. For example, simply extending the term of a loan at its original interest rate or even at a higher interest rate could be interpreted as a concession unless the borrower could readily obtain similar credit terms from a different lender. The following table presents information about TDRs at the dates indicated: (dollars in thousands) September 30, December 31, TDRs included in nonperforming loans and leases $ 193 $ 361 TDRs in compliance with modified terms 3,637 3,446 Total TDRs $ 3,830 $ 3,807 There were no new loan modifications granted during the three months ended September 30, 2022 and 1 new loan modification on a commercial mortgage for $684 thousand for the nine months ended September 30, 2022, while there were no loan or lease modifications granted during the three and nine months September 30, 2021 that were classified as a TDR, and there were no subsequent defaults during the same time periods.

Short-Term Borrowings and Long

Short-Term Borrowings and Long -Term Debt	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
Short-Term Borrowings and Long-Term Debt	Short-Term Borrowings and Long-Term DebtThe Corporation’s short-term borrowings generally consist of federal funds purchased and short-term borrowings extended under agreements with the FHLB or other correspondent banks. The Corporation has two unsecured Federal funds borrowing facilities with correspondent banks: one of $24 million and one of $15 million. Federal funds purchased generally represent one-day borrowings. The Corporation had $0 in Federal funds purchased at September 30, 2022 and December 31, 2021. The Corporation also has a facility with the Federal Reserve Bank discount window of $9.2 million. This facility is fully secured by investment securities. There were no borrowings under this at September 30, 2022 and December 31, 2021. The following table presents short-term borrowings at the dates indicated: (dollars in thousands) Maturity Interest September 30, December 31, Open Repo Plus Weekly 6/5/2023 3.11 % $ 23,458 $ 36,458 Mid-term Repo-fixed 9/12/2022 0.23 — 4,886 Total $ 23,458 $ 41,344 The Corporation had no long-term debt as of September 30, 2022 or December 31, 2021. The FHLB has also issued $74.8 million of letters of credit to the Corporation for the benefit of the Corporation’s public deposit funds and loan customers. These letters of credit expire throughout the remainder of 2022. The Corporation has a maximum borrowing capacity with the FHLB of $529.0 million as of September 30, 2022 and $505.4 million as of December 31, 2021. All advances and letters of credit from the FHLB are secured by a blanket lien on non-pledged, mortgage-related loans and securities as part of the Corporation’s borrowing agreement with the FHLB.

Servicing Assets

Servicing Assets	9 Months Ended
	Sep. 30, 2022
Transfers and Servicing [Abstract]
Servicing Assets	Servicing Assets The Corporation sells certain residential mortgage loans and the guaranteed portion of certain SBA loans to third parties and retains servicing rights and receives servicing fees. All such transfers are accounted for as sales. When the Corporation sells a residential mortgage loan, it does not retain any portion of that loan and its continuing involvement in such transfers is limited to certain servicing responsibilities. While the Corporation may retain a portion of certain sold SBA loans, its continuing involvement in the portion of the loan that was sold is limited to certain servicing responsibilities. When the contractual servicing fees on loans sold with servicing retained are expected to be more than adequate compensation to a servicer for performing the servicing, a capitalized servicing asset is recognized. Residential Mortgage Loans The related MSR asset is amortized over the period of the estimated future net servicing life of the underlying assets. MSRs are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount of the MSR. The Corporation serviced $1.0 billion of residential mortgage loans as of September 30, 2022 and December 31, 2021. During the three and nine months ended September 30, 2022, the Corporation recognized servicing fee income of $643 thousand and $1.9 million compared to $562 thousand and $1.4 million, during the three and nine months ended September 30, 2021, respectively. Changes in the MSR balance are summarized as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 10,610 $ 8,942 $ 10,756 $ 4,647 Servicing rights capitalized 65 1,360 648 5,856 Amortization of servicing rights (356) (316) (1,092) (786) Change in valuation allowance (4) 111 3 380 Balance at end of the period $ 10,315 $ 10,097 $ 10,315 $ 10,097 Activity in the valuation allowance for MSRs was as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Valuation allowance, beginning of period $ (1) $ (166) $ (8) $ (435) Impairment (4) — (4) — Recovery — 111 7 380 Valuation allowance, end of period $ (5) $ (55) $ (5) $ (55) The Corporation uses assumptions and estimates in determining the fair value of MSRs. These assumptions include prepayment speeds and discount rates. The assumptions used in the valuation were based on input from buyers, brokers and other qualified personnel, as well as market knowledge. At September 30, 2022, the key assumptions used to determine the fair value of the Corporation’s MSRs included a lifetime constant prepayment rate equal to 7.11% and a discount rate equal to 9.50%. At December 31, 2021, the key assumptions used to determine the fair value of the Corporation’s MSRs included a lifetime constant prepayment rate equal to 7.23% and a discount rate equal to 9.00%. Due in part to market volatility as interest rates increased, the prepayment speed assumption has decreased from December 31, 2021 to September 30, 2022. As interest rates have started to increase and the number of mortgage refinancings have started to decline, model inputs have been adjusted to align the MSRs fair value with market conditions. The sensitivity of the current fair value of the residential mortgage servicing rights to immediate 10% and 20% favorable and unfavorable changes in key economic assumptions are included in the following table. (dollars in thousands) September 30, December 31, Fair value of residential mortgage servicing rights $ 12,132 $ 11,241 Weighted average life (months) 19 11 Prepayment speed 7.11 % 7.23 % Impact on fair value: 10% adverse change $ (524) $ (376) 20% adverse change (1,010) (731) Discount rate 9.50 % 9.00 % Impact on fair value: 10% adverse change $ (426) $ (436) 20% adverse change (824) (840) The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in this table, the effect of an adverse variation in a articular assumption on the fair value of the MSRs is calculated without changing any other assumption; while in reality, changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or counteract the effect of the change. SBA Loans SBA loan servicing assets are amortized over the period of the estimated future net servicing life of the underlying assets. SBA loan servicing assets are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount of the SBA loan servicing asset. The Corporation serviced $156.3 million and $115.1 million of SBA loans, as of September 30, 2022 and December 31, 2021, respectively. Changes in the SBA loan servicing asset balance are summarized as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 2,250 $ 1,385 $ 2,009 $ 970 Servicing rights capitalized 306 588 1,146 1,166 Amortization of servicing rights (173) (112) (523) (266) Change in valuation allowance 109 (26) (140) (35) Balance at end of the period $ 2,492 $ 1,835 $ 2,492 $ 1,835 Activity in the valuation allowance for SBA loan servicing assets was as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Valuation allowance, beginning of period $ (345) $ (48) $ (96) $ (39) Impairment — (26) (280) (35) Recovery 109 — 140 — Valuation allowance, end of period $ (236) $ (74) $ (236) $ (74) The Corporation uses assumptions and estimates in determining the fair value of SBA loan servicing rights. These assumptions include prepayment speeds, discount rates, and other assumptions. The assumptions used in the valuation were based on input from buyers, brokers and other qualified personnel, as well as market knowledge. At September 30, 2022, the key assumptions used to determine the fair value of the Corporation’s SBA loan servicing rights included a lifetime constant prepayment rate equal to 12.88% and a discount rate equal to 12.24%. At December 31, 2021, the key assumptions used to determine the fair value of the Corporation’s SBA loan servicing rights included a lifetime constant prepayment rate equal to 12.38% and a discount rate equal to 9.01%. The change in valuation allowance due to impairment, noted in the tables above, was largely due to the increased prepayment speed experienced in the current year periods and the rising interest rate environment. The sensitivity of the current fair value of the SBA loan servicing rights to immediate 10% and 20% favorable and unfavorable changes in key economic assumptions are included in the following table. (dollars in thousands) September 30, December 31, Fair value of SBA loan servicing rights $ 2,578 $ 2,107 Weighted average life (years) 3.8 3.8 Prepayment speed 12.88 % 12.38 % Impact on fair value: 10% adverse change $ (83) $ (69) 20% adverse change (160) (132) Discount rate 12.24 % 9.01 % Impact on fair value: 10% adverse change $ (61) $ (54) 20% adverse change (120) (106) The sensitivity calculations above are hypothetical and should not be considered to be predictive of future performance. As indicated, changes in fair value based on adverse changes in assumptions generally cannot be extrapolated because the relationship of the change in assumption to the change in fair value may not be linear. Also, in this table, the effect of an adverse variation in a particular assumption on the fair value of the SBA servicing rights is calculated without changing any other assumption; while in reality, changes in one factor may result in changes in another (for example, increases in market interest rates may result in lower prepayments), which may magnify or counteract the effect of the change.

Fair Value Measurements and Dis

Fair Value Measurements and Disclosures	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements and Disclosures	Fair Value Measurements and Disclosures The Corporation uses fair value measurements to record fair value adjustments to certain assets and liabilities. The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. However, in many instances, there are no quoted market prices for the Corporation’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. The fair value guidance provides a consistent definition of fair value, which focuses on exit price in an orderly transaction (that is, not a forced liquidation or distressed sale) between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation techniques or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. In accordance with this guidance, the Corporation groups its financial assets and financial liabilities measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Level 1 – Valuation is based on quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 – Valuation is based on inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. The valuation may be based on 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 asset or liability. Level 3 – Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which determination of fair value requires significant management judgment or estimation. Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis. Securities The fair value of securities available-for-sale (carried at fair value) and held to maturity (carried at amortized cost) are determined by matrix pricing (Level 2), which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted prices. Mortgage Loans Held for Sale The fair value of loans held for sale is based on secondary market prices. Mortgage Loans Held for Investment The fair value of mortgage loans held for investment is based on the price secondary markets are currently offering for similar loans using observable market data. Derivative Financial Instruments The fair values of forward commitments and interest rate swaps are based on market pricing and therefore are considered Level 2. Derivatives classified as Level 3 consist of interest rate lock commitments related to mortgage loan commitments. The determination of fair value includes assumptions related to the likelihood that a commitment will ultimately result in a closed loan, which is a significant unobservable assumption. A significant increase or decrease in the external market price would result in a significantly higher or lower fair value measurement. The following table presents the fair value of financial assets measured at fair value on a recurring basis by level within the fair value hierarchy at the dates indicated : September 30, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 15,473 $ — $ 15,473 $ — U.S. government agency MBS 11,344 — 11,344 — U.S. government agency CMO 19,169 — 19,169 — State and municipal securities 37,239 — 37,239 — U.S. Treasuries 29,281 29,281 — — Non-U.S. government agency CMO 8,827 — 8,827 Corporate bonds 6,666 — 6,666 — Equity investments 2,092 — 2,092 — Mortgage loans held for sale 33,800 — 33,800 — Mortgage loans held for investment 14,702 — 14,702 — Interest rate lock commitments 137 — — 137 Forward commitments 475 — 475 — Customer derivatives - interest rate swaps 4,572 — 4,572 — Total $ 183,777 $ 29,281 $ 154,359 $ 137 Liabilities Interest rate lock commitments $ 598 $ — $ — $ 598 Forward commitments — — — — Customer derivatives - interest rate swaps 4,479 — 4,479 — Total $ 5,077 $ — $ 4,479 $ 598 December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 16,837 $ — $ 16,837 $ — U.S. government agency MBS 9,813 — 9,813 — U.S. government agency CMO 22,381 — 22,381 — State and municipal securities 72,982 — 72,982 — U.S. Treasuries 29,728 29,728 — — Non-U.S. government agency CMO 975 — 975 — Corporate bonds 6,586 — 6,586 — Equity investments 2,354 — 2,354 — Mortgage loans held for sale 80,882 — 80,882 — Mortgage loans held for investment 17,558 — 17,558 — Interest rate lock commitments 1,122 — — 1,122 Forward commitments 65 — 65 — Customer derivatives - interest rate swaps 961 — 961 — Total $ 262,244 $ 29,728 $ 231,394 $ 1,122 Liabilities Interest rate lock commitments $ 203 $ — $ — $ 203 Forward commitments 106 — 106 — Customer derivatives - interest rate swaps 1,018 — 1,018 — Total $ 1,327 $ — $ 1,124 $ 203 The following table presents assets measured at fair value on a nonrecurring basis at the dates indicated: (dollars in thousands) September 30, December 31, Mortgage servicing rights $ 10,315 $ 10,756 SBA loan servicing rights 2,492 2,009 Impaired loans (1) Commercial and industrial 820 1,837 Small business loans — 290 Total $ 13,627 $ 14,892 (1) Impaired loans are those in which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Refer to the following page for further qualitative discussion around impaired loans. The following table details the valuation techniques for Level 3 impaired loans. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs September 30, 2022 $ 820 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount December 31, 2021 $ 2,127 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount Below is management’s estimate of the fair value of all financial instruments, whether carried at cost or fair value on the Corporation’s balance sheet. The following information should not be interpreted as an estimate of the fair value of the entire Corporation since a fair value calculation is only provided for a limited portion of the Corporation’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Corporation’s disclosures and those of other companies may not be meaningful. The following methods and assumptions were used to estimate the fair value of the Corporation’s financial instruments: Cash and Cash Equivalents The carrying amounts reported in the balance sheet for cash and short-term instruments approximate those assets’ fair values. Loans Receivable The fair value of loans receivable is estimated using discounted cash flow analyses, using market rates at the balance sheet date that reflect the credit and interest rate-risk inherent in the loans. Projected future cash flows are calculated based upon contractual maturity or call dates, projected repayments and prepayments of principal. Generally, for variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. The fair value below is reflective of an exit price. Servicing Assets The Corporation estimates the fair value of mortgage servicing rights and SBA loan servicing rights using discounted cash flow models that calculate the present value of estimated future net servicing income. The model uses readily available prepayment speed assumptions for the interest rates of the portfolios serviced. These servicing rights are classified within Level 3 in the fair value hierarchy based upon management’s assessment of the inputs. The Corporation reviews the servicing rights portfolios on a quarterly basis for impairment. Impaired Loans Impaired loans are those in which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Fair value is generally determined based upon independent third‑party appraisals of the properties, or discounted cash flows based upon the expected proceeds. Non-real estate collateral may be valued using an appraisal, net book value per the borrower’s financial statements, or aging reports, adjusted or discounted based on management’s historical knowledge, changes in market conditions from the time of the valuation, and management’s expertise and knowledge of the client and client’s business. These assets are included as Level 3 fair values, based upon the lowest level of input that is significant to the fair value measurements. Impaired loans are evaluated on a quarterly basis for additional impairment and adjusted in accordance with the Allowance policy. Accrued Interest Receivable and Payable The carrying amount of accrued interest receivable and accrued interest payable approximates its fair value. Deposit Liabilities The fair values disclosed for demand deposits (e.g., interest and noninterest checking, passbook savings and money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts). Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies interest rates currently being offered in the market on certificates to a schedule of aggregated expected monthly maturities on time deposits. Short-Term Borrowings The carrying amounts of short-term borrowings approximate their fair values. Subordinated Debt Fair values of junior subordinated debt are estimated using discounted cash flow analysis, based on market rates currently offered on such debt with similar credit risk characteristics, terms and remaining maturity. Off-Balance Sheet Financial Instruments Off-balance sheet instruments are primarily comprised of loan commitments, which are generally priced at market at the time of funding. Fees on commitments to extend credit and stand-by letters of credit are deemed to be immaterial and these instruments are expected to be settled at face value or expire unused. It is impractical to assign any fair value to these instruments and as a result they are not included in the table below. Fair values assigned to the notional value of interest rate lock commitments and forward sale contracts are based on market quotes. Derivative Financial Instruments The fair value of forward commitments and interest rate swaps is based on market pricing and therefore are considered Level 2. Derivatives classified as Level 3 consist of interest rate lock commitments related to mortgage loan commitments. The determination of fair value includes assumptions related to the likelihood that a commitment will ultimately result in a closed loan, which is a significant unobservable assumption. A significant increase or decrease in the external market price would result in a significantly higher or lower fair value measurement. The following table presents the estimated fair values of the Corporation’s financial instruments at the dates indicated: September 30, 2022 December 31, 2021 (dollars in thousands) Fair Value Carrying Fair value Carrying Fair value Financial assets: Cash and cash equivalents Level 1 $ 32,888 $ 32,888 $ 23,480 $ 23,480 Securities available-for-sale Level 1 / 2 127,999 127,999 159,302 159,302 Securities held-to-maturity Level 2 37,922 32,323 6,372 6,591 Equity investments Level 2 2,092 2,092 2,354 2,354 Mortgage loans held for sale Level 2 33,800 33,800 80,882 80,882 Loans receivable, net of the allowance for loan and lease losses Level 3 1,595,647 1,535,398 1,368,899 1,370,885 Mortgage loans held for investment Level 2 14,702 14,702 17,558 17,558 Interest rate lock commitments Level 3 137 137 1,122 1,122 Forward commitments Level 2 475 475 65 65 Restricted investment in bank stock NA 5,217 NA 5,117 NA Accrued interest receivable Level 3 6,008 6,008 5,009 5,009 Customer derivatives - interest rate swaps Level 2 4,572 4,572 961 961 Financial liabilities: Deposits Level 2 1,673,553 1,526,400 1,446,413 1,549,100 Short-term borrowings Level 2 23,458 23,458 41,344 41,344 Subordinated debentures Level 2 40,597 40,285 40,508 40,803 Accrued interest payable Level 2 1,154 1,154 31 31 Interest rate lock commitments Level 3 598 598 203 203 Forward commitments Level 2 — — 106 106 Customer derivatives - interest rate swaps Level 2 4,479 4,479 1,018 1,018 Notional Notional Off-balance sheet financial instruments: amount Fair value amount Fair value Commitments to extend credit Level 2 $ 505,860 $ — $ 486,632 $ — Letters of credit Level 2 21,462 — 25,986 — The following table includes a rollforward of interest rate lock commitments for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the periods indicated. Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 374 $ 2,667 $ 1,122 $ 6,932 Decrease in value (237) (955) (985) (5,220) Balance at end of the period $ 137 $ 1,712 $ 137 $ 1,712 The following table details the valuation techniques for Level 3 interest rate lock commitments. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs Weighted Average September 30, 2022 $ 137 Market comparable pricing Pull through 1 - 99% 96.93% December 31, 2021 1,122 Market comparable pricing Pull through 1 - 99 87.66

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
	Sep. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Risk Management Objective of Using Derivatives The Corporation is exposed to certain risk arising from both its business operations and economic conditions. The Corporation principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Corporation manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Corporation enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Corporation’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Corporation’s known or expected cash receipts and its known or expected cash payments principally related to the Corporation’s loan portfolio. Mortgage Banking Derivatives In connection with its mortgage banking activities, the Corporation enters into commitments to originate certain fixed rate residential mortgage loans for customers, also referred to as interest rate locks. In addition, the Corporation enters into forward commitments for the future sales or purchases of mortgage-backed securities to or from third-party counterparties to hedge the effect of changes in interest rates on the values of both the interest rate locks and mortgage loans held for sale. Forward sales commitments may also be in the form of commitments to sell individual mortgage loans or interest rate locks at a fixed price at a future date. The amount necessary to settle each interest rate lock is based on the price that secondary market investors would pay for loans with similar characteristics, including interest rate and term, as of the date fair value is measured. Interest rate lock commitments and forward commitments are recorded within other assets/liabilities on the consolidated balance sheets, with changes in fair values during the period recorded within net change in the fair value of derivative instruments on the consolidated statements of income. Customer Derivatives – Interest Rate Swaps Derivatives not designated as hedges are not speculative and result from a service the Corporation provides to certain customers to swap a fixed rate product for a variable rate product, or vice versa. The Corporation executes interest rate derivatives with commercial banking customers to facilitate their respective risk management strategies. Those interest rate derivatives are simultaneously hedged by offsetting derivatives that the Corporation executes with a third party, such that the Corporation minimizes its net interest rate risk exposure resulting from such transactions. As the interest rate derivatives associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer derivatives and the offsetting derivatives are recognized directly in earnings. The following table presents a summary of notional amounts and fair values of derivative financial instruments at the dates indicated: September 30, 2022 December 31, 2021 (dollars in thousands) Balance Sheet Line Item Notional Asset Notional Asset Interest Rate Lock Commitments Positive fair values Other assets $ 23,037 $ 137 $ 108,653 $ 1,122 Negative fair values Other liabilities 45,063 (598) 35,264 (203) Total 68,100 (461) 143,917 919 Forward Commitments Positive fair values Other assets 12,000 475 30,500 65 Negative fair values Other liabilities — — 45,500 (106) Total 12,000 475 76,000 (41) Customer Derivatives - Interest Rate Swaps Positive fair values Other assets 41,352 4,572 35,447 961 Negative fair values Other liabilities 41,352 (4,479) 35,447 (1,018) Total 82,704 93 70,894 (57) Total derivative financial instruments $ 162,804 $ 107 $ 290,811 $ 821 Interest rate lock commitments are considered Level 3 in the fair value hierarchy, while the forward commitments and interest rate swaps are considered Level 2 in the fair value hierarchy. The following table presents a summary of the fair value gains and (losses) on derivative financial instruments: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Interest Rate Lock Commitments $ (405) $ (1,056) $ (1,380) $ (5,480) Forward Commitments 485 703 516 1,997 Customer Derivatives - Interest Rate Swaps 47 14 151 52 Net fair value (losses) gains on derivative financial instruments $ 127 $ (339) $ (713) $ (3,431)

Segments

Segments	9 Months Ended
	Sep. 30, 2022
Segment Reporting [Abstract]
Segments	Segments ASC Topic 280 – Segment Reporting identifies operating segments as components of an enterprise which are evaluated regularly by the Corporation’s Chief Operating Decision Maker, our Chief Executive Officer, in deciding how to allocate resources and assess performance. The Corporation has applied the aggregation criterion set forth in this codification to the results of its operations. Our Banking segment (“Bank”) consists of commercial and retail banking. The Banking segment generates interest income from its lending (including leasing) and investing activities and is dependent on the gathering of lower cost deposits from its branch network or borrowed funds from other sources for funding its loans, resulting in the generation of net interest income. The Banking segment also derives revenues from other sources including gains on the sale of available for sale investment securities, service charges on deposit accounts, cash sweep fees, overdraft fees, BOLI income, title insurance fees, and other less significant non-interest income. Meridian Wealth (“Wealth”), a registered investment advisor and wholly-owned subsidiary of the Bank, provides a comprehensive array of wealth management services and products and the trusted guidance to help its clients and our banking customers prepare for the future. The unit generates non-interest income through advisory fees. Meridian’s mortgage banking segment (“Mortgage”) consists of 13 loan production offices throughout suburban Philadelphia and Maryland. The Mortgage segment originates 1 – 4 family residential mortgages and sells nearly all of its production to third party investors. The unit generates net interest income on the loans it originates and holds temporarily, then earns fee income (primarily gain on sales) at the time of the sale. The unit also recognizes income from document preparation fees, changes in portfolio pipeline fair values and related net hedging gains (losses). The table below summarizes income and expenses, directly attributable to each business line, which have been included in the statement of operations. Total assets for each segment is also provided. Segment Information Three Months Ended September 30, 2022 Three Months Ended September 30, 2021 (Dollars in thousands) Bank Wealth Mortgage Total Bank Wealth Mortgage Total Net interest income $ 17,664 $ 218 $ 144 $ 18,026 $ 15,777 $ 2 $ 478 $ 16,257 Provision for loan losses 526 — — 526 597 — — 597 Net interest income after provision 17,138 218 144 17,500 15,180 2 478 15,660 Non-interest Income Mortgage banking income 72 — 7,257 7,329 215 — 18,511 18,726 Wealth management income — 1,114 — 1,114 — 1,232 — 1,232 SBA loan income 989 — — 989 2,688 — — 2,688 Net change in fair values 47 — (1,043) (996) 13 — (847) (834) Net gain on hedging activity — — 399 399 — — (1,189) (1,189) Other 622 — 767 1,389 836 — 663 1,499 Non-interest income 1,730 1,114 7,380 10,224 3,752 1,232 17,138 22,122 Non-interest expense 11,354 780 8,127 20,261 10,633 802 14,046 25,481 Income (loss) before income taxes $ 7,514 $ 552 $ (603) $ 7,463 $ 8,299 $ 432 $ 3,570 $ 12,301 Total Assets $ 1,858,770 $ 7,927 $ 55,227 $ 1,921,924 $ 1,625,468 $ 6,396 $ 130,581 $ 1,762,445 Segment Information Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (Dollars in thousands) Bank Wealth Mortgage Total Bank Wealth Mortgage Total Net interest income $ 50,197 $ 628 $ 785 $ 51,610 $ 45,340 $ (249) $ 1,698 $ 46,789 Provision for loan losses 1,743 — — 1,743 1,292 — — 1,292 Net interest income after provision 48,454 628 785 49,867 44,048 (249) 1,698 45,497 Non-interest Income Mortgage banking income 394 — 20,973 21,367 892 — 61,401 62,293 Wealth management income — 3,672 — 3,672 — 3,531 — 3,531 SBA loan income 3,946 — — 3,946 5,423 — — 5,423 Net change in fair values 151 — (4,457) (4,306) 52 — (6,671) (6,619) Net gain on hedging activity — — 4,941 4,941 — — 2,397 2,397 Other 1,776 (1) 2,333 4,108 2,110 — 1,767 3,877 Non-interest income 6,267 3,671 23,790 33,728 8,477 3,531 58,894 70,902 Non-interest expense 32,186 2,480 26,734 61,400 28,981 2,486 48,523 79,990 Income (loss) before income taxes $ 22,535 $ 1,819 $ (2,159) $ 22,195 $ 23,544 $ 796 $ 12,069 $ 36,409 Total Assets $ 1,858,770 $ 7,927 $ 55,227 $ 1,921,924 $ 1,625,468 $ 6,396 $ 130,581 $ 1,762,445

Leases

Leases	9 Months Ended
	Sep. 30, 2022
Leases [Abstract]
Leases	Leases On January 1, 2022, the Corporation adopted ASU 2016-02 (Topic 842), “Leases”, as further explained in Note 12, Recent Accounting Pronouncements. The Corporation’s operating leases consist of various retail branch locations and loan production offices. As of September 30, 2022, the Corporation’s leases have remaining lease terms ranging from 8 months to 13 years, including extension options that the Corporation is reasonably certain will be exercised. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases. As of September 30, 2022 the Corporation’s ROU assets and related lease liabilities were $9.5 million and $9.4 million, respectively. These amounts are included within other assets and other liabilities, respectively. The components of lease expense were as follows: (dollars in thousands) Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022 Operating lease expense $ 585 $ 1,742 Short term lease expense 1 3 Variable lease expense — — Total lease expense $ 586 $ 1,745 Supplemental cash flow information related to leases was as follows: (dollars in thousands) Nine Months Ended September 30, 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 563 ROU asset obtained in exchange for lease liabilities $ 10,995 Maturities of operating lease liabilities were as follows for the period indicated: (dollars in thousands) September 30, 2022 2022 $ 559 2023 1,919 2024 1,746 2025 1,456 2026 1,436 Thereafter 3,134 Total $ 10,250 Less: Present value discount (887) Total operating lease liabilities $ 9,363 As of September 30, 2022, the weighted-average remaining lease term, including extension options that the Corporation is reasonably certain will be exercised for all operating leases is 6.33 years. Because we generally do not have access to the rate implicit in the lease, we utilize our incremental borrowing rate as the discount rate. The weighted average discount rate associated with operating leases as of September 30, 2022 is 2.61%. As of September 30, 2022, the Corporation had not entered into any material leases that have not yet commenced.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2022
Accounting Standards Update and Change in Accounting Principle [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements As an “emerging growth company” under the JOBS Act, the Corporation is permitted an extended transition period for complying with new or revised accounting standards affecting public companies. We have elected to take advantage of this extended transition period, which means that the financial statements included herein, as well as financial statements that we file up to the date we lose this designation (December 31, 2022) will not be subject to all new or revised accounting standards generally applicable to public companies for the transition period. As a filer under the JOBS Act, we will implement new accounting standards subject to the effective dates required for non-public entities Pronouncements Adopted in 2022: FASB ASU 2016-02 (Topic 842), “Leases” Issued in February 2016, ASU 2016-02 revises the accounting related to lessee accounting. Under the new guidance, lessees are required to recognize a lease ROU liability and a ROU asset for all leases. The new lease guidance also simplifies the accounting for sale and leaseback transactions primarily because lessees must recognize lease assets and lease liabilities. In June 2020, the FASB approved a delay for the implementation of the ASU. Accordingly, the amendments in this update are effective for the Corporation for fiscal years beginning after December 15, 2021, and interim periods within fiscal years beginning after December 15, 2022. On January 1, 2022 the Corporation recognized a right-of-use asset and a lease obligation liability on the consolidated statement of financial condition. The adoption of the ASU was on a prospective basis and therefore comparative prior periods are still presented under ASC 840. Refer to footnote 11 - leases, for further details. Pronouncements Not Yet Effective as of September 30, 2022: FASB ASU 2016-13 (Topic 326), “Measurement of Credit Losses on Financial Instruments” Issued in June 2016, ASU 2016-13 significantly changes how companies measure and recognize credit impairment for many financial assets. This ASU requires businesses and other organizations to measure the current expected credit losses on financial assets, such as loans, net investments in leases, certain debt securities, bond insurance and other receivables. The amendments affect entities holding financial assets and net investments in leases that are not accounted for at fair value through net income. Current GAAP requires an incurred loss methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. The amendments in this ASU replace the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonableness and supportable information to inform credit loss estimates. An entity should apply the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (modified retrospective approach). Acquired credit impaired loans for which the guidance in ASC Topic 310-30 has been previously applied should prospectively apply the guidance in this ASU. A prospective transition approach is required for debt securities for which an other-than-temporary impairment has been recognized before the effective date. In October 2019, the FASB approved a delay for the implementation of the ASU. Accordingly, as an emerging growth company, the Corporation’s effective date for the implementation of the ASU will be January 1, 2023. The Corporation expects to recognize a one-time cumulative-effect adjustment to the allowance for credit losses as of the date of adoption. While the Corporation anticipates the allowance for credit losses will increase under current model assumptions, it expects the impact of adopting ASU 2016-13 will be influenced by the composition, characteristics and quality of its loan and investment securities portfolios, as well as general economic conditions and forecasts at the date of adoption. Management is currently running parallel tests under different methods and using various assumptions to determine the best approach for when we adopt this ASU, and has engaged a third party vendor to perform a model validation prior to adoption. FASB ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” Issued in April 2019, ASU 2019-04 clarifies certain aspects of accounting for credit losses, hedging activities, and financial instruments (addressed by ASUs 2016-13, 2017-12, and 2016-01, respectively). The amendments to estimating expected credit losses (ASU 2016-13), in particular, how a company considers recoveries and extension options when estimating expected credit losses, are the most relevant to the Corporation. The ASU clarifies that (1) the estimate of expected credit losses should include expected recoveries of financial assets, including recoveries of amounts expected to be written off and those previously written off, and (2) that contractual extension or renewal options that are not unconditionally cancellable by the lender are considered when determining the contractual term over which expected credit losses are measured. Management is considering the impact of ASU 2019-04 while considering the impact of ASU 2016-13 as discussed above. FASB ASU 2020-04 (Topic 848), “Reference Rate Reform (“ASC 848”): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” Issued in March 2020, ASU 2020-04 contains optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or another reference rate expected to be discontinued. The Corporation does not have a significant concentration of loans, derivative contracts, borrowings or other financial instruments with attributes that are either directly or indirectly dependent on LIBOR. The guidance under ASC-848 will be available for a limited time, generally through December 31, 2022. The Corporation expects to adopt the LIBOR transition relief allowed under this standard. FASB ASU 2020-06, “Debt With Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity” This ASU clarifies the accounting for certain financial instruments with characteristics of liabilities and equity. The amendments in this update reduce the number of accounting models for convertible debt instruments and convertible preferred stock by removing the cash conversion model and the beneficial conversion feature models. For public business entities that meet the definition of an SEC filer (excluding smaller reporting entities), the amendments are effective for fiscal years beginning after Dec. 15, 2021, and interim periods within. For all other entities, the amendments are effective for fiscal years beginning after Dec. 15, 2023, and interim periods within. Early adoption is permitted, but no earlier than for fiscal years beginning after Dec. 15, 2020. The Company does not expect this to have a material impact on our consolidated financial statements. FASB ASU 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures." In March 2022, the FASB issued ASU No. 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures." The amendments eliminate the accounting guidance for troubled debt restructurings by creditors that have adopted CECL and enhance the disclosure requirements for modifications of receivables made with borrowers experiencing financial difficulty. In addition, the amendments require disclosure of current period gross write-offs by year of origination for financing receivables and net investment in leases in the existing vintage disclosures. This ASU is effective for fiscal years beginning after December 15, 2022 or January 1, 2023 for the Corporation, including interim periods within those fiscal years for entities that have adopted CECL. Early adoption is permitted if an entity has adopted CECL. The Corporation is in the process of evaluating the amendments but does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

Earnings per Common Share (Tabl

Earnings per Common Share (Tables)	9 Months Ended
	Sep. 30, 2022
Earnings Per Share [Abstract]
Schedule of basic and diluted earnings per common share	Three months ended Nine months ended (dollars in thousands, except per share data) 2022 2021 2022 2021 Numerator for earnings per share: Net income available to common stockholders $ 5,798 $ 9,438 $ 17,268 $ 27,866 Denominators for earnings per share: Weighted average shares outstanding 5,968 6,157 6,038 6,148 Average unearned ESOP shares (100) (112) (74) (115) Basic weighted averages shares outstanding 5,868 6,045 5,964 6,033 Dilutive effects of assumed exercises of stock options 116 125 137 113 Dilutive effects of SERP shares 75 61 71 55 Diluted weighted averages shares outstanding 6,060 6,231 6,172 6,201 Basic earnings per share $ 0.99 $ 1.56 $ 2.90 $ 4.62 Diluted earnings per share $ 0.96 $ 1.52 $ 2.80 $ 4.49 Antidilutive shares excluded from computation of average dilutive earnings per share 237 140 236 140

Securities (Tables)

Securities (Tables)	9 Months Ended
	Sep. 30, 2022
Investments, Debt and Equity Securities [Abstract]
Schedule of amortized cost and fair value of securities	The following table presents the amortized cost and fair value of securities at the dates indicated: September 30, 2022 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 15,763 $ 21 $ (311) $ 15,473 14 U.S. government agency MBS 12,079 — (735) 11,344 13 U.S. government agency CMO 21,248 — (2,079) 19,169 28 State and municipal securities 44,885 — (7,646) 37,239 34 U.S. Treasuries 32,980 — (3,699) 29,281 25 Non-U.S. government agency CMO 9,426 — (599) 8,827 11 Corporate bonds 7,200 — (534) 6,666 12 Total securities available-for-sale $ 143,581 $ 21 $ (15,603) $ 127,999 137 Securities held-to-maturity: State and municipal securities $ 37,922 $ — $ (5,599) $ 32,323 27 Total securities held-to-maturity $ 37,922 $ — $ (5,599) $ 32,323 — December 31, 2021 (dollars in thousands) Amortized cost Gross unrealized gains Gross unrealized losses Fair value # of Securities in unrealized loss position Securities available-for-sale: U.S. asset backed securities $ 16,850 $ 55 $ (68) $ 16,837 10 U.S. government agency MBS 9,749 124 (60) 9,813 3 U.S. government agency CMO 22,276 358 (253) 22,381 10 State and municipal securities 72,099 1,379 (496) 72,982 12 U.S. Treasuries 29,973 1 (246) 29,728 21 Non-U.S. government agency CMO 990 — (15) 975 1 Corporate bonds 6,450 154 (18) 6,586 5 Total securities available-for-sale $ 158,387 $ 2,071 $ (1,156) $ 159,302 62 Securities held-to-maturity: State and municipal securities $ 6,372 $ 219 $ — $ 6,591 — Total securities held-to-maturity $ 6,372 $ 219 $ — $ 6,591 —
Schedule of investment gross unrealized loss in continuous unrealized loss position	The following table shows the Corporation’s investment gross unrealized losses and fair value aggregated by investment category and length of time that individual securities have been in continuous unrealized loss position at the dates indicated: September 30, 2022 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 10,122 $ (129) $ 3,254 $ (182) $ 13,376 $ (311) U.S. government agency MBS 9,795 (638) 1,549 (97) 11,344 (735) U.S. government agency CMO 10,526 (850) 8,617 (1,229) 19,143 (2,079) State and municipal securities 34,801 (7,077) 2,438 (569) 37,239 (7,646) U.S. Treasuries 15,468 (1,443) 13,813 (2,256) 29,281 (3,699) Non-U.S. government agency CMO 8,112 (470) 715 (129) 8,827 (599) Corporate bonds 5,565 (384) 1,101 (150) 6,666 (534) Total securities available-for-sale $ 94,389 $ (10,991) $ 31,487 $ (4,612) $ 125,876 $ (15,603) Securities held-to-maturity: State and municipal securities $ — $ — $ 24,955 $ (5,599) $ 24,955 $ (5,599) Total securities held-to-maturity $ — $ — $ 24,955 $ (5,599) $ 24,955 $ (5,599) December 31, 2021 Less than 12 Months 12 Months or more Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Securities available-for-sale: U.S. asset backed securities $ 12,330 $ (68) $ — $ — $ 12,330 $ (68) U.S. government agency MBS 3,852 (60) — — 3,852 (60) U.S. government agency CMO 8,836 (187) 1,657 (66) 10,493 (253) State and municipal securities 14,994 (427) 2,019 (69) 17,013 (496) U.S. Treasuries 28,750 (246) — — 28,750 (246) Non-U.S. government agency CMO 975 (15) — — 975 (15) Corporate bonds 2,232 (18) — — 2,232 (18) Total securities available-for-sale $ 71,969 $ (1,021) $ 3,676 $ (135) $ 75,645 $ (1,156)
Schedule of amortized cost and carrying value of held-to-maturity securities and available-for-sale securities by contractual maturity	The amortized cost and carrying value of securities are shown below by contractual maturities at the dates indicated. Actual maturities may differ from contractual maturities as issuers may have the right to call or repay obligations with or without call or prepayment penalties. September 30, 2022 December 31, 2021 Available-for-sale Held-to-maturity Available-for-sale Held-to-maturity (dollars in thousands) Amortized Fair Amortized Fair Amortized Fair Amortized Fair Due in one year or less $ — $ — $ — $ — $ — $ — $ 763 $ 769 Due after one year through five years 17,892 16,326 4,665 4,588 12,934 12,885 2,354 2,397 Due after five years through ten years 27,386 24,111 3,003 2,643 30,890 30,798 3,255 3,425 Due after ten years 55,550 48,222 30,254 25,092 81,548 82,450 — — Subtotal 100,828 88,659 37,922 32,323 125,372 126,133 6,372 6,591 Mortgage-related securities 42,753 39,340 — — 33,015 33,169 — — Total $ 143,581 $ 127,999 $ 37,922 $ 32,323 $ 158,387 $ 159,302 $ 6,372 $ 6,591
Gross gain and (loss) on sale of investment securities available for sale	The following table presents the gross gain and (loss) on sale of investment securities available for sale on the dates indicated: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Gross gain on sale of available for sale investments $ — $ 314 $ — $ 562 Gross loss on sale of available for sale investments — — — 200

Loans (Tables)

Loans (Tables)	9 Months Ended
	Sep. 30, 2022
Receivables [Abstract]
Summary of loans and leases outstanding	The following table presents loans detailed by category at the dates indicated: (dollars in thousands) September 30, December 31, Real estate loans: Commercial mortgage $ 545,736 $ 516,928 Home equity lines and loans 57,648 52,299 Residential mortgage 153,513 68,175 Construction 244,435 160,905 Total real estate loans 1,001,332 798,307 Commercial and industrial 329,451 293,771 Small business loans 133,904 114,158 PPP loans 8,837 90,194 MSLP loans 597 597 Consumer 497 419 Leases, net 129,574 88,242 Total loans $ 1,604,192 $ 1,385,688 Balances included in loans, net of fees and costs: Residential mortgage real estate loans accounted under fair value option, at fair value $ 14,702 $ 17,558 Residential mortgage real estate loans accounted under fair value option, at amortized cost 17,217 17,106 Unearned lease income included in leases, net (23,940) (17,366) Unamortized net deferred loan origination costs 6,157 769
Schedule of age analysis of past due loans and leases	The following tables present an aging of the Corporation’s loans at the dates indicated: September 30, 2022 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans % Delinquent Commercial mortgage $ 684 $ — $ 684 $ 543,208 $ 543,892 $ 1,844 $ 545,736 0.46 % Home equity lines and loans 189 — 189 56,581 56,770 878 57,648 1.85 Residential mortgage (1) 819 — 819 150,679 151,498 2,015 153,513 1.85 Construction — — — 244,435 244,435 — 244,435 — Commercial and industrial 887 — 887 312,220 313,107 16,344 329,451 5.23 Small business loans 1,803 — 1,803 130,700 132,503 1,401 133,904 2.39 PPP — — — 8,837 8,837 — 8,837 — September 30, 2022 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans % Delinquent MSLP — — — 597 597 — 597 — Consumer — — — 497 497 — 497 — Leases, net 1,378 — 1,378 127,690 129,068 506 129,574 1.45 % Total $ 5,760 $ — $ 5,760 $ 1,575,444 $ 1,581,204 $ 22,988 $ 1,604,192 1.79 % (1) Includes $14,702 of loans at fair value of which $14,151 are current and $551 are nonaccrual. December 31, 2021 (dollars in thousands) 30-89 days past due 90+ days past due and still accruing Total past due Current Total Accruing Loans and leases Nonaccrual loans and leases Total loans % Delinquent Commercial mortgage $ — $ — $ — $ 516,928 $ 516,928 $ — $ 516,928 — % Home equity lines and loans 103 — 103 51,285 51,388 911 52,299 1.94 Residential mortgage (1) 600 — 600 65,177 65,777 2,398 68,175 4.40 Construction — — — 160,905 160,905 — 160,905 — Commercial and industrial — — — 274,970 274,970 18,801 293,771 6.40 Small business loans — — — 113,492 113,492 666 114,158 0.58 PPP — — — 90,194 90,194 — 90,194 — MSLP — — — 597 597 — 597 — Consumer — — — 419 419 — 419 — Leases, net 390 — 390 87,640 88,030 212 88,242 0.68 % Total $ 1,093 $ — $ 1,093 $ 1,361,607 $ 1,362,700 $ 22,988 $ 1,385,688 1.74 % (1) Includes $17,558 of loans at fair value of which $16,768 are current, $189 are 30-89 days past due and $601 are nonaccrual.

Allowance for Loan and Lease _2

Allowance for Loan and Lease Losses (the “Allowance”) (Tables)	9 Months Ended
	Sep. 30, 2022
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
Roll-forward of allowance for loan and lease losses by portfolio segment	The following tables detail the roll-forward of the Corporation’s Allowance, by portfolio segment, for the periods indicated: Three Months Ended September 30, 2022 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 4,327 $ — $ — $ (238) $ 4,089 Home equity lines and loans 240 (12) 34 (25) 237 Residential mortgage 489 — — 217 706 Construction 2,481 — — 378 2,859 Commercial and industrial 6,287 — 39 (657) 5,669 Small business loans 3,681 — — 319 4,000 Consumer 3 — 1 (1) 3 Leases 1,297 (419) — 533 1,411 Total $ 18,805 $ (431) $ 74 $ 526 $ 18,974 Nine Months Ended September 30, 2022 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 4,950 $ — $ — $ (861) $ 4,089 Home equity lines and loans 224 (12) 42 (17) 237 Residential mortgage 283 — 2 421 706 Construction 2,042 — — 817 2,859 Commercial and industrial 6,533 — 58 (922) 5,669 Small business loans 3,737 — — 263 4,000 Consumer 3 — 3 (3) 3 Leases 986 (1,682) 62 2,045 1,411 Total $ 18,758 $ (1,694) $ 167 $ 1,743 $ 18,974 Three Months Ended September 30, 2021 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 7,146 $ — $ — $ (604) $ 6,542 Home equity lines and loans 281 — 1 (9) 273 Residential mortgage 324 — 1 (49) 276 Construction 2,241 — — 44 2,285 Commercial and industrial 5,360 — 15 239 5,614 Small business loans 2,235 — — 864 3,099 Consumer 4 — 1 (2) 3 Leases 770 — — 114 884 Total $ 18,361 $ — $ 18 $ 597 $ 18,976 Nine Months Ended September 30, 2021 (dollars in thousands) Beginning Balance Charge-offs Recoveries Provision (Credit) Ending Balance Commercial mortgage $ 7,451 $ — $ — $ (909) $ 6,542 Home equity lines and loans 434 — 5 (166) 273 Residential mortgage 385 — 5 (114) 276 Construction 2,421 — — (136) 2,285 Commercial and industrial 5,431 — 33 150 5,614 Small business loans 1,259 — — 1,840 3,099 Consumer 4 — 3 (4) 3 Leases 382 (129) — 631 884 Total $ 17,767 $ (129) $ 46 $ 1,292 $ 18,976
Schedule of allocation of the allowance for loan and lease losses	The following tables detail the allocation of the allowance for loan and lease losses and the carrying value for loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment at the dates indicated: September 30, 2022 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,089 $ 4,089 $ 4,196 $ 541,540 $ 545,736 Home equity lines and loans — 237 237 878 56,770 57,648 Residential mortgage — 706 706 1,464 137,347 138,811 Construction — 2,859 2,859 1,206 243,229 244,435 Commercial and industrial 2,193 3,476 5,669 16,358 313,093 329,451 Small business loans 376 3,624 4,000 1,479 132,425 133,904 PPP (2) — — — — 8,837 8,837 MSLP (2) — — — — 597 597 Consumer — 3 3 — 497 497 Leases, net — 1,411 1,411 506 129,068 129,574 Total (1) $ 2,569 $ 16,405 $ 18,974 $ 26,087 $ 1,563,403 $ 1,589,490 December 31, 2021 Allowance on loans and leases Carrying value of loans and leases (dollars in thousands) Individually Collectively Total Individually Collectively Total Commercial mortgage $ — $ 4,950 $ 4,950 $ 3,556 $ 513,372 $ 516,928 Home equity lines and loans — 224 224 905 51,394 52,299 Residential mortgage — 283 283 1,797 48,820 50,617 Construction — 2,042 2,042 1,206 159,699 160,905 Commercial and industrial 2,900 3,633 6,533 17,361 276,410 293,771 Small business loans 376 3,361 3,737 792 113,366 114,158 PPP (2) — — — — 90,194 90,194 MSLP (2) — — — — 597 597 Consumer — 3 3 — 419 419 Leases, net — 986 986 212 88,030 88,242 Total (1) $ 3,276 $ 15,482 $ 18,758 $ 25,829 $ 1,342,301 $ 1,368,130 (1) Excludes deferred fees and loans carried at fair value. (2) PPP and MSLP loans are not reserved against as they are 100% guaranteed.
Schedule of carrying value of loans and leases by portfolio segment based on the credit quality indicators	The following tables detail the carrying value of loans and leases by portfolio segment based on the credit quality indicators used to determine the allowance for loan and lease losses at the dates indicated: September 30, 2022 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 511,993 $ 28,382 $ 5,361 $ — $ 545,736 Home equity lines and loans 56,290 — 1,358 — 57,648 Construction 235,464 8,971 — — 244,435 Commercial and industrial 280,929 5,414 43,108 — 329,451 Small business loans 132,503 — 1,401 — 133,904 PPP 8,837 — — — 8,837 MSLP 597 — — — 597 Total $ 1,226,613 $ 42,767 $ 51,228 $ — $ 1,320,608 Commercial and industrial loans classified as substandard totaled $43.1 million as of September 30, 2022, an increase of $238 thousand, from $42.9 million as of December 31, 2021. The majority of this amount is comprised of 16 different loan relationships with no specific industry concentration and a $13.5 million commercial loan relationship in the advertising industry that became a non-performing loan relationship late in 2021. December 31, 2021 (dollars in thousands) Pass Special Substandard Doubtful Total Commercial mortgage $ 481,551 $ 29,452 $ 5,925 $ — $ 516,928 Home equity lines and loans 50,908 — 1,391 — 52,299 Construction 151,608 9,297 — — 160,905 Commercial and industrial 236,298 14,603 42,870 — 293,771 Small business loans 112,096 — 2,062 — 114,158 PPP 90,194 — — — 90,194 MSLP 597 — — — 597 Total $ 1,123,252 $ 53,352 $ 52,248 $ — $ 1,228,852
Schedule of allocations based on the credit quality indicators	In addition to credit quality indicators as shown in the above tables, allowance allocations for residential mortgages, consumer loans and leases are also applied based on their performance status at the dates indicated: September 30, 2022 December 31, 2021 (dollars in thousands) Performing Non- Total Performing Non- Total Residential mortgage (1) $ 151,498 $ 2,015 $ 153,513 $ 48,820 $ 1,797 $ 50,617 Consumer 497 — 497 419 — 419 Leases, net 129,068 506 129,574 88,030 212 88,242 Total $ 281,063 $ 2,521 $ 283,584 $ 137,269 $ 2,009 $ 139,278 (1) There were four nonperforming residential mortgage loans at September 30, 2022 and four nonperforming residential mortgage loans at December 31, 2021 with a combined outstanding principal balance of $551 thousand and $601 thousand, respectively, which were carried at fair value and not included in the table above. This decrease was largely due to a residential mortgage loan that was nonperforming at December 31, 2021, which subsequently paid off before September 30, 2022.
Schedule of recorded investment and principal balance of impaired loans	The following tables detail the recorded investment and principal balance of impaired loans by portfolio segment, their related Allowance and interest income recognized at the dates indicated. September 30, 2022 December 31, 2021 (dollars in thousands) Recorded Principal Related Recorded Principal Related Impaired loans with related allowance: Commercial and industrial $ 16,095 $ 16,552 $ 2,193 $ 17,147 $ 17,310 $ 2,900 Small business loans 666 666 376 666 666 376 Total $ 16,761 $ 17,218 $ 2,569 $ 17,813 $ 17,976 $ 3,276 Impaired loans without related allowance: Commercial mortgage $ 4,196 $ 4,206 $ — $ 3,556 $ 3,559 $ — Commercial and industrial 263 329 — 214 269 — Small business loans 813 813 — 126 126 — Home equity lines and loans 878 878 — 905 935 — Residential mortgage 1,464 1,464 — 1,797 1,797 — Construction 1,206 1,206 — 1,206 1,206 — Leases 506 506 — 212 212 — Total $ 9,326 $ 9,402 $ — $ 8,016 $ 8,104 $ — Grand Total $ 26,087 $ 26,620 $ 2,569 $ 25,829 $ 26,080 $ 3,276
Schedule of average recorded investment on impaired loans	The following table details the average recorded investment and interest income recognized on impaired loans by portfolio segment. Three Months Ended September 30, 2022 Three Months Ended September 30, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Commercial and industrial $ 16,195 $ — $ 3,242 $ 5 Small business loans 666 — 916 — Home equity lines and loans — — 89 — Residential mortgage — — 169 — Total $ 16,861 $ — $ 4,416 $ 5 Impaired loans without related allowance: Commercial mortgage $ 4,212 $ 29 $ 2,573 $ 8 Commercial and industrial 286 — 473 19 Small business loans 819 2 147 3 Home equity lines and loans 878 15 823 — Residential mortgage 1,468 22 1,636 6 Construction 1,206 20 1,206 17 Leases 500 — — — Total $ 9,369 $ 88 $ 6,858 $ 53 Grand Total $ 26,230 $ 88 $ 11,274 $ 58 Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Commercial and industrial $ 16,363 $ — $ 3,306 $ 15 Small business loans 666 — 917 — Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (dollars in thousands) Average Interest Average Interest Impaired loans with related allowance: Home equity lines and loans — — 92 — Residential mortgage — — 170 — Total $ 17,029 $ — $ 4,485 $ 15 Impaired loans without related allowance: Commercial mortgage 4,257 77 2,584 24 Commercial and industrial 293 — 485 19 Small business loans 835 7 161 11 Home equity lines and loans 878 39 824 — Residential mortgage 1,478 190 1,640 9 Construction 1,206 51 1,206 47 Leases 510 — 53 — Total $ 9,457 $ 364 $ 6,953 $ 110 Grand Total $ 26,486 $ 364 $ 11,438 $ 125
Schedule of TDRs	The following table presents information about TDRs at the dates indicated: (dollars in thousands) September 30, December 31, TDRs included in nonperforming loans and leases $ 193 $ 361 TDRs in compliance with modified terms 3,637 3,446 Total TDRs $ 3,830 $ 3,807

Short-Term Borrowings and Long-

Short-Term Borrowings and Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2022
Debt Disclosure [Abstract]
Schedule of short term borrowings	The following table presents short-term borrowings at the dates indicated: (dollars in thousands) Maturity Interest September 30, December 31, Open Repo Plus Weekly 6/5/2023 3.11 % $ 23,458 $ 36,458 Mid-term Repo-fixed 9/12/2022 0.23 — 4,886 Total $ 23,458 $ 41,344

Servicing Assets (Tables)

Servicing Assets (Tables)	9 Months Ended
	Sep. 30, 2022
Mortgage Servicing Rights
Servicing Assets at Fair Value [Line Items]
Schedule of servicing assets	Changes in the MSR balance are summarized as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 10,610 $ 8,942 $ 10,756 $ 4,647 Servicing rights capitalized 65 1,360 648 5,856 Amortization of servicing rights (356) (316) (1,092) (786) Change in valuation allowance (4) 111 3 380 Balance at end of the period $ 10,315 $ 10,097 $ 10,315 $ 10,097
Schedule of valuation allowance for servicing assets	Activity in the valuation allowance for MSRs was as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Valuation allowance, beginning of period $ (1) $ (166) $ (8) $ (435) Impairment (4) — (4) — Recovery — 111 7 380 Valuation allowance, end of period $ (5) $ (55) $ (5) $ (55)
Schedule of sensitivity of fair value of servicing assets	The sensitivity of the current fair value of the residential mortgage servicing rights to immediate 10% and 20% favorable and unfavorable changes in key economic assumptions are included in the following table. (dollars in thousands) September 30, December 31, Fair value of residential mortgage servicing rights $ 12,132 $ 11,241 Weighted average life (months) 19 11 Prepayment speed 7.11 % 7.23 % Impact on fair value: 10% adverse change $ (524) $ (376) 20% adverse change (1,010) (731) Discount rate 9.50 % 9.00 % Impact on fair value: 10% adverse change $ (426) $ (436) 20% adverse change (824) (840)
SBA Loan Servicing Rights
Servicing Assets at Fair Value [Line Items]
Schedule of servicing assets	Changes in the SBA loan servicing asset balance are summarized as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 2,250 $ 1,385 $ 2,009 $ 970 Servicing rights capitalized 306 588 1,146 1,166 Amortization of servicing rights (173) (112) (523) (266) Change in valuation allowance 109 (26) (140) (35) Balance at end of the period $ 2,492 $ 1,835 $ 2,492 $ 1,835
Schedule of valuation allowance for servicing assets	Activity in the valuation allowance for SBA loan servicing assets was as follows: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Valuation allowance, beginning of period $ (345) $ (48) $ (96) $ (39) Impairment — (26) (280) (35) Recovery 109 — 140 — Valuation allowance, end of period $ (236) $ (74) $ (236) $ (74)
Schedule of sensitivity of fair value of servicing assets	The sensitivity of the current fair value of the SBA loan servicing rights to immediate 10% and 20% favorable and unfavorable changes in key economic assumptions are included in the following table. (dollars in thousands) September 30, December 31, Fair value of SBA loan servicing rights $ 2,578 $ 2,107 Weighted average life (years) 3.8 3.8 Prepayment speed 12.88 % 12.38 % Impact on fair value: 10% adverse change $ (83) $ (69) 20% adverse change (160) (132) Discount rate 12.24 % 9.01 % Impact on fair value: 10% adverse change $ (61) $ (54) 20% adverse change (120) (106)

Fair Value Measurements and D_2

Fair Value Measurements and Disclosures (Tables)	9 Months Ended
	Sep. 30, 2022
Fair Value Disclosures [Abstract]
Schedule of financial assets measured at fair value on a recurring basis	The following table presents the fair value of financial assets measured at fair value on a recurring basis by level within the fair value hierarchy at the dates indicated : September 30, 2022 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 15,473 $ — $ 15,473 $ — U.S. government agency MBS 11,344 — 11,344 — U.S. government agency CMO 19,169 — 19,169 — State and municipal securities 37,239 — 37,239 — U.S. Treasuries 29,281 29,281 — — Non-U.S. government agency CMO 8,827 — 8,827 Corporate bonds 6,666 — 6,666 — Equity investments 2,092 — 2,092 — Mortgage loans held for sale 33,800 — 33,800 — Mortgage loans held for investment 14,702 — 14,702 — Interest rate lock commitments 137 — — 137 Forward commitments 475 — 475 — Customer derivatives - interest rate swaps 4,572 — 4,572 — Total $ 183,777 $ 29,281 $ 154,359 $ 137 Liabilities Interest rate lock commitments $ 598 $ — $ — $ 598 Forward commitments — — — — Customer derivatives - interest rate swaps 4,479 — 4,479 — Total $ 5,077 $ — $ 4,479 $ 598 December 31, 2021 (dollars in thousands) Total Level 1 Level 2 Level 3 Assets Securities available for sale: U.S. asset backed securities $ 16,837 $ — $ 16,837 $ — U.S. government agency MBS 9,813 — 9,813 — U.S. government agency CMO 22,381 — 22,381 — State and municipal securities 72,982 — 72,982 — U.S. Treasuries 29,728 29,728 — — Non-U.S. government agency CMO 975 — 975 — Corporate bonds 6,586 — 6,586 — Equity investments 2,354 — 2,354 — Mortgage loans held for sale 80,882 — 80,882 — Mortgage loans held for investment 17,558 — 17,558 — Interest rate lock commitments 1,122 — — 1,122 Forward commitments 65 — 65 — Customer derivatives - interest rate swaps 961 — 961 — Total $ 262,244 $ 29,728 $ 231,394 $ 1,122 Liabilities Interest rate lock commitments $ 203 $ — $ — $ 203 Forward commitments 106 — 106 — Customer derivatives - interest rate swaps 1,018 — 1,018 — Total $ 1,327 $ — $ 1,124 $ 203
Schedule of financial assets measured at fair value on non-recurring basis	The following table presents assets measured at fair value on a nonrecurring basis at the dates indicated: (dollars in thousands) September 30, December 31, Mortgage servicing rights $ 10,315 $ 10,756 SBA loan servicing rights 2,492 2,009 Impaired loans (1) Commercial and industrial 820 1,837 Small business loans — 290 Total $ 13,627 $ 14,892 (1) Impaired loans are those in which the Corporation has measured impairment generally based on the fair value of the loan’s collateral. Refer to the following page for further qualitative discussion around impaired loans.
Schedule of measurement inputs	The following table details the valuation techniques for Level 3 impaired loans. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs September 30, 2022 $ 820 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount December 31, 2021 $ 2,127 Appraisal of collateral Management adjustments on appraisals for property type and recent activity 2%-15% discount The following table details the valuation techniques for Level 3 interest rate lock commitments. (dollars in thousands) Fair Value Valuation Technique Significant Unobservable Input Range of Inputs Weighted Average September 30, 2022 $ 137 Market comparable pricing Pull through 1 - 99% 96.93% December 31, 2021 1,122 Market comparable pricing Pull through 1 - 99 87.66
Schedule of estimated fair values of financial instruments	The following table presents the estimated fair values of the Corporation’s financial instruments at the dates indicated: September 30, 2022 December 31, 2021 (dollars in thousands) Fair Value Carrying Fair value Carrying Fair value Financial assets: Cash and cash equivalents Level 1 $ 32,888 $ 32,888 $ 23,480 $ 23,480 Securities available-for-sale Level 1 / 2 127,999 127,999 159,302 159,302 Securities held-to-maturity Level 2 37,922 32,323 6,372 6,591 Equity investments Level 2 2,092 2,092 2,354 2,354 Mortgage loans held for sale Level 2 33,800 33,800 80,882 80,882 Loans receivable, net of the allowance for loan and lease losses Level 3 1,595,647 1,535,398 1,368,899 1,370,885 Mortgage loans held for investment Level 2 14,702 14,702 17,558 17,558 Interest rate lock commitments Level 3 137 137 1,122 1,122 Forward commitments Level 2 475 475 65 65 Restricted investment in bank stock NA 5,217 NA 5,117 NA Accrued interest receivable Level 3 6,008 6,008 5,009 5,009 Customer derivatives - interest rate swaps Level 2 4,572 4,572 961 961 Financial liabilities: Deposits Level 2 1,673,553 1,526,400 1,446,413 1,549,100 Short-term borrowings Level 2 23,458 23,458 41,344 41,344 Subordinated debentures Level 2 40,597 40,285 40,508 40,803 Accrued interest payable Level 2 1,154 1,154 31 31 Interest rate lock commitments Level 3 598 598 203 203 Forward commitments Level 2 — — 106 106 Customer derivatives - interest rate swaps Level 2 4,479 4,479 1,018 1,018 Notional Notional Off-balance sheet financial instruments: amount Fair value amount Fair value Commitments to extend credit Level 2 $ 505,860 $ — $ 486,632 $ — Letters of credit Level 2 21,462 — 25,986 —
Schedule of level 3 inputs reconciliation	The following table includes a rollforward of interest rate lock commitments for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the periods indicated. Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Balance at beginning of the period $ 374 $ 2,667 $ 1,122 $ 6,932 Decrease in value (237) (955) (985) (5,220) Balance at end of the period $ 137 $ 1,712 $ 137 $ 1,712

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Summary of the notional amounts and fair values of derivative financial instruments	The following table presents a summary of notional amounts and fair values of derivative financial instruments at the dates indicated: September 30, 2022 December 31, 2021 (dollars in thousands) Balance Sheet Line Item Notional Asset Notional Asset Interest Rate Lock Commitments Positive fair values Other assets $ 23,037 $ 137 $ 108,653 $ 1,122 Negative fair values Other liabilities 45,063 (598) 35,264 (203) Total 68,100 (461) 143,917 919 Forward Commitments Positive fair values Other assets 12,000 475 30,500 65 Negative fair values Other liabilities — — 45,500 (106) Total 12,000 475 76,000 (41) Customer Derivatives - Interest Rate Swaps Positive fair values Other assets 41,352 4,572 35,447 961 Negative fair values Other liabilities 41,352 (4,479) 35,447 (1,018) Total 82,704 93 70,894 (57) Total derivative financial instruments $ 162,804 $ 107 $ 290,811 $ 821
Summary of the fair value gains and losses on derivative financial instruments	The following table presents a summary of the fair value gains and (losses) on derivative financial instruments: Three months ended Nine months ended (dollars in thousands) 2022 2021 2022 2021 Interest Rate Lock Commitments $ (405) $ (1,056) $ (1,380) $ (5,480) Forward Commitments 485 703 516 1,997 Customer Derivatives - Interest Rate Swaps 47 14 151 52 Net fair value (losses) gains on derivative financial instruments $ 127 $ (339) $ (713) $ (3,431)

Segments (Tables)

Segments (Tables)	9 Months Ended
	Sep. 30, 2022
Segment Reporting [Abstract]
Schedule of business segment financial information	The table below summarizes income and expenses, directly attributable to each business line, which have been included in the statement of operations. Total assets for each segment is also provided. Segment Information Three Months Ended September 30, 2022 Three Months Ended September 30, 2021 (Dollars in thousands) Bank Wealth Mortgage Total Bank Wealth Mortgage Total Net interest income $ 17,664 $ 218 $ 144 $ 18,026 $ 15,777 $ 2 $ 478 $ 16,257 Provision for loan losses 526 — — 526 597 — — 597 Net interest income after provision 17,138 218 144 17,500 15,180 2 478 15,660 Non-interest Income Mortgage banking income 72 — 7,257 7,329 215 — 18,511 18,726 Wealth management income — 1,114 — 1,114 — 1,232 — 1,232 SBA loan income 989 — — 989 2,688 — — 2,688 Net change in fair values 47 — (1,043) (996) 13 — (847) (834) Net gain on hedging activity — — 399 399 — — (1,189) (1,189) Other 622 — 767 1,389 836 — 663 1,499 Non-interest income 1,730 1,114 7,380 10,224 3,752 1,232 17,138 22,122 Non-interest expense 11,354 780 8,127 20,261 10,633 802 14,046 25,481 Income (loss) before income taxes $ 7,514 $ 552 $ (603) $ 7,463 $ 8,299 $ 432 $ 3,570 $ 12,301 Total Assets $ 1,858,770 $ 7,927 $ 55,227 $ 1,921,924 $ 1,625,468 $ 6,396 $ 130,581 $ 1,762,445 Segment Information Nine Months Ended September 30, 2022 Nine Months Ended September 30, 2021 (Dollars in thousands) Bank Wealth Mortgage Total Bank Wealth Mortgage Total Net interest income $ 50,197 $ 628 $ 785 $ 51,610 $ 45,340 $ (249) $ 1,698 $ 46,789 Provision for loan losses 1,743 — — 1,743 1,292 — — 1,292 Net interest income after provision 48,454 628 785 49,867 44,048 (249) 1,698 45,497 Non-interest Income Mortgage banking income 394 — 20,973 21,367 892 — 61,401 62,293 Wealth management income — 3,672 — 3,672 — 3,531 — 3,531 SBA loan income 3,946 — — 3,946 5,423 — — 5,423 Net change in fair values 151 — (4,457) (4,306) 52 — (6,671) (6,619) Net gain on hedging activity — — 4,941 4,941 — — 2,397 2,397 Other 1,776 (1) 2,333 4,108 2,110 — 1,767 3,877 Non-interest income 6,267 3,671 23,790 33,728 8,477 3,531 58,894 70,902 Non-interest expense 32,186 2,480 26,734 61,400 28,981 2,486 48,523 79,990 Income (loss) before income taxes $ 22,535 $ 1,819 $ (2,159) $ 22,195 $ 23,544 $ 796 $ 12,069 $ 36,409 Total Assets $ 1,858,770 $ 7,927 $ 55,227 $ 1,921,924 $ 1,625,468 $ 6,396 $ 130,581 $ 1,762,445

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2022
Leases [Abstract]
Schedule of lease cost	The components of lease expense were as follows: (dollars in thousands) Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022 Operating lease expense $ 585 $ 1,742 Short term lease expense 1 3 Variable lease expense — — Total lease expense $ 586 $ 1,745
Supplemental cash flow information	Supplemental cash flow information related to leases was as follows: (dollars in thousands) Nine Months Ended September 30, 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 563 ROU asset obtained in exchange for lease liabilities $ 10,995
Schedule of maturity - ASC842	Maturities of operating lease liabilities were as follows for the period indicated: (dollars in thousands) September 30, 2022 2022 $ 559 2023 1,919 2024 1,746 2025 1,456 2026 1,436 Thereafter 3,134 Total $ 10,250 Less: Present value discount (887) Total operating lease liabilities $ 9,363

Earnings per Common Share (Deta

Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Numerator for earnings per share:
Net income available to common stockholders	$ 5,798	$ 9,438	$ 17,268	$ 27,866
Denominators for earnings per share:
Weighted average shares outstanding (in shares)	5,968	6,157	6,038	6,148
Average unearned ESOP shares (in shares)	(100)	(112)	(74)	(115)
Basic weighted averages shares outstanding (in shares)	5,868	6,045	5,964	6,033
Dilutive effects of assumed exercises of stock options (in shares)	116	125	137	113
Dilutive effects of SERP shares (in shares)	$ 75,000	$ 61,000	$ 71,000	$ 55,000
Diluted weighted averages shares outstanding (in shares)	6,060	6,231	6,172	6,201
Basic earnings per share (in USD per share)	$ 0.99	$ 1.56	$ 2.90	$ 4.62
Diluted earnings per share (in USD per share)	$ 0.96	$ 1.52	$ 2.80	$ 4.49
Antidilutive shares excluded from computation of average dilutive earnings per share (in shares)	237	140	236	140

Securities - Amortized cost and

Securities - Amortized cost and fair value (Details) $ in Thousands	Sep. 30, 2022 USD ($) security	Dec. 31, 2021 USD ($) security
Securities available-for-sale:
Amortized cost	$ 143,581	$ 158,387
Gross unrealized gains	21	2,071
Gross unrealized losses	(15,603)	(1,156)
Fair value	$ 127,999	$ 159,302
# of Securities in unrealized loss position | security	137	62
Securities held-to-maturity:
Amortized cost	$ 37,922	$ 6,372
Gross unrealized gains	0	219
Gross unrealized losses	(5,599)	0
Fair value	$ 32,323	$ 6,591
# of Securities in unrealized loss position | security	0	0
U.S. asset backed securities
Securities available-for-sale:
Amortized cost	$ 15,763	$ 16,850
Gross unrealized gains	21	55
Gross unrealized losses	(311)	(68)
Fair value	$ 15,473	$ 16,837
# of Securities in unrealized loss position | security	14	10
U.S. government agency MBS
Securities available-for-sale:
Amortized cost	$ 12,079	$ 9,749
Gross unrealized gains	0	124
Gross unrealized losses	(735)	(60)
Fair value	$ 11,344	$ 9,813
# of Securities in unrealized loss position | security	13	3
U.S. government agency CMO
Securities available-for-sale:
Amortized cost	$ 21,248	$ 22,276
Gross unrealized gains	0	358
Gross unrealized losses	(2,079)	(253)
Fair value	$ 19,169	$ 22,381
# of Securities in unrealized loss position | security	28	10
State and municipal securities
Securities available-for-sale:
Amortized cost	$ 44,885	$ 72,099
Gross unrealized gains	0	1,379
Gross unrealized losses	(7,646)	(496)
Fair value	$ 37,239	$ 72,982
# of Securities in unrealized loss position | security	34	12
Securities held-to-maturity:
Amortized cost	$ 37,922	$ 6,372
Gross unrealized gains	0	219
Gross unrealized losses	(5,599)	0
Fair value	$ 32,323	$ 6,591
# of Securities in unrealized loss position | security	27	0
U.S. Treasuries
Securities available-for-sale:
Amortized cost	$ 32,980	$ 29,973
Gross unrealized gains	0	1
Gross unrealized losses	(3,699)	(246)
Fair value	$ 29,281	$ 29,728
# of Securities in unrealized loss position | security	25	21
Non-U.S. government agency CMO
Securities available-for-sale:
Amortized cost	$ 9,426	$ 990
Gross unrealized gains	0	0
Gross unrealized losses	(599)	(15)
Fair value	$ 8,827	$ 975
# of Securities in unrealized loss position | security	11	1
Corporate bonds
Securities available-for-sale:
Amortized cost	$ 7,200	$ 6,450
Gross unrealized gains	0	154
Gross unrealized losses	(534)	(18)
Fair value	$ 6,666	$ 6,586
# of Securities in unrealized loss position | security	12	5

Securities - Additional Informa

Securities - Additional Information (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Mar. 31, 2022 USD ($)	Sep. 30, 2022 USD ($) security	Dec. 31, 2021 USD ($)
Securities
Number of securities deemed other-than-temporarily impaired | security		0
Securities transferred to held-to-maturity	$ 27,700
After transfer unrealized loss	$ 1,300
Fair value		$ 127,999	$ 159,302
Asset Pledged as Collateral
Securities
Fair value		$ 76,500	$ 92,200

Securities - Continuous Unreali

Securities - Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	$ 94,389	$ 71,969
12 Months or More, Fair Value	31,487	3,676
Total Fair Value	125,876	75,645
Less than 12 Months, Unrealized Losses	(10,991)	(1,021)
12 Months or More, Unrealized Losses	(4,612)	(135)
Total Unrealized Losses	(15,603)	(1,156)
Contractual Maturities, Held-to-maturity
Less than 12 Months, Fair Value	0
12 Months or More, Fair Value	24,955
Total Fair Value	24,955
Less than 12 Months, Unrecognized Loss	0
12 Months or More, Unrecognized Loss	(5,599)
Gross unrealized losses	(5,599)	0
U.S. asset backed securities
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	10,122	12,330
12 Months or More, Fair Value	3,254	0
Total Fair Value	13,376	12,330
Less than 12 Months, Unrealized Losses	(129)	(68)
12 Months or More, Unrealized Losses	(182)	0
Total Unrealized Losses	(311)	(68)
U.S. government agency MBS
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	9,795	3,852
12 Months or More, Fair Value	1,549	0
Total Fair Value	11,344	3,852
Less than 12 Months, Unrealized Losses	(638)	(60)
12 Months or More, Unrealized Losses	(97)	0
Total Unrealized Losses	(735)	(60)
U.S. government agency CMO
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	10,526	8,836
12 Months or More, Fair Value	8,617	1,657
Total Fair Value	19,143	10,493
Less than 12 Months, Unrealized Losses	(850)	(187)
12 Months or More, Unrealized Losses	(1,229)	(66)
Total Unrealized Losses	(2,079)	(253)
State and municipal securities
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	34,801	14,994
12 Months or More, Fair Value	2,438	2,019
Total Fair Value	37,239	17,013
Less than 12 Months, Unrealized Losses	(7,077)	(427)
12 Months or More, Unrealized Losses	(569)	(69)
Total Unrealized Losses	(7,646)	(496)
Contractual Maturities, Held-to-maturity
Less than 12 Months, Fair Value	0
12 Months or More, Fair Value	24,955
Total Fair Value	24,955
Less than 12 Months, Unrecognized Loss	0
12 Months or More, Unrecognized Loss	(5,599)
Gross unrealized losses	(5,599)	0
U.S. Treasuries
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	15,468	28,750
12 Months or More, Fair Value	13,813	0
Total Fair Value	29,281	28,750
Less than 12 Months, Unrealized Losses	(1,443)	(246)
12 Months or More, Unrealized Losses	(2,256)	0
Total Unrealized Losses	(3,699)	(246)
Non-U.S. government agency CMO
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	8,112	975
12 Months or More, Fair Value	715	0
Total Fair Value	8,827	975
Less than 12 Months, Unrealized Losses	(470)	(15)
12 Months or More, Unrealized Losses	(129)	0
Total Unrealized Losses	(599)	(15)
Corporate bonds
Activity in available-for-sale securities:
Less than 12 Months, Fair Value	5,565	2,232
12 Months or More, Fair Value	1,101	0
Total Fair Value	6,666	2,232
Less than 12 Months, Unrealized Losses	(384)	(18)
12 Months or More, Unrealized Losses	(150)	0
Total Unrealized Losses	$ (534)	$ (18)

Securities - Contractual Maturi

Securities - Contractual Maturities (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Contractual Maturities, Available-for-sale, Amortized Cost
Due in one year or less	$ 0	$ 0
Due after one year through five years	17,892	12,934
Due after five years through ten years	27,386	30,890
Due after ten years	55,550	81,548
Subtotal	100,828	125,372
Mortgage-related securities	42,753	33,015
Securities available-for-sale, amortized cost	143,581	158,387
Contractual Maturities, Available-for-sale, Fair Value
Due in one year or less	0	0
Due after one year through five years	16,326	12,885
Due after five years through ten years	24,111	30,798
Due after ten years	48,222	82,450
Subtotal	88,659	126,133
Mortgage-related securities	39,340	33,169
Fair value	127,999	159,302
Contractual Maturities, Held-to-maturity, Amortized Cost
Due in one year or less	0	763
Due after one year through five years	4,665	2,354
Due after five years through ten years	3,003	3,255
Due after ten years	30,254	0
Subtotal	37,922	6,372
Mortgage-related securities	0	0
Amortized cost	37,922	6,372
Contractual Maturities, Held-to-maturity, Fair Value
Due in one year or less	0	769
Due after one year through five years	4,588	2,397
Due after five years through ten years	2,643	3,425
Due after ten years	25,092	0
Subtotal	32,323	6,591
Mortgage-related securities	0	0
Fair value	$ 32,323	$ 6,591

Securities - Sale of Investment

Securities - Sale of Investment Securities, Available for Sale (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Investments, Debt and Equity Securities [Abstract]
Gross gain on sale of available for sale investments	$ 0	$ 314	$ 0	$ 562
Gross loss on sale of available for sale investments	$ 0	$ 0	$ 0	$ 200

Loans - Loans outstanding by ca

Loans - Loans outstanding by category (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Loans Receivable
Total loans	$ 1,604,192	$ 1,385,688
Residential mortgage real estate loans accounted under fair value option, at fair value	14,702	17,558
Residential mortgage real estate loans accounted under fair value option, at amortized cost	17,217	17,106
Unearned lease income included in leases, net	(23,940)
Unearned lease income included in leases, net		(17,366)
Unamortized net deferred loan origination costs	6,157	769
Real estate loans:
Loans Receivable
Total loans	1,001,332	798,307
Real estate loans: | Commercial mortgage
Loans Receivable
Total loans	545,736	516,928
Real estate loans: | Home equity lines and loans
Loans Receivable
Total loans	57,648	52,299
Real estate loans: | Residential Mortgage
Loans Receivable
Total loans	153,513	68,175
Real estate loans: | Construction
Loans Receivable
Total loans	244,435	160,905
Commercial and industrial
Loans Receivable
Total loans	329,451	293,771
Small business loans
Loans Receivable
Total loans	133,904	114,158
PPP loans
Loans Receivable
Total loans	8,837	90,194
MSLP loans
Loans Receivable
Total loans	597	597
Consumer
Loans Receivable
Total loans	497	419
Leases, net
Loans Receivable
Total loans	$ 129,574	$ 88,242

Loans - Age analysis of past du

Loans - Age analysis of past due loans and leases (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Age Analysis of Past Due Loans and Leases
Total loans	$ 1,604,192	$ 1,385,688
90+ days past due and still accruing	0	0
Total past due	5,760	1,093
Total Accruing Loans and leases	$ 1,581,204	$ 1,362,700
% Delinquent	1.79%	1.74%
Residential mortgage real estate loans accounted under fair value option, at fair value	$ 14,702	$ 17,558
Residential Mortgage | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	14,702	17,558
Commercial and industrial
Age Analysis of Past Due Loans and Leases
Total loans	329,451	293,771
90+ days past due and still accruing	0	0
Total past due	887	0
Total Accruing Loans and leases	$ 313,107	$ 274,970
% Delinquent	5.23%	6.40%
Small business loans
Age Analysis of Past Due Loans and Leases
Total loans	$ 133,904	$ 114,158
90+ days past due and still accruing	0	0
Total past due	1,803	0
Total Accruing Loans and leases	$ 132,503	$ 113,492
% Delinquent	2.39%	0.58%
PPP loans
Age Analysis of Past Due Loans and Leases
Total loans	$ 8,837	$ 90,194
90+ days past due and still accruing	0	0
Total past due	0	0
Total Accruing Loans and leases	$ 8,837	$ 90,194
% Delinquent	0%	0%
MSLP loans
Age Analysis of Past Due Loans and Leases
Total loans	$ 597	$ 597
90+ days past due and still accruing	0	0
Total past due	0	0
Total Accruing Loans and leases	$ 597	$ 597
% Delinquent	0%	0%
Leases, net
Age Analysis of Past Due Loans and Leases
Total loans	$ 129,574	$ 88,242
90+ days past due and still accruing	0	0
Total past due	1,378	390
Total Accruing Loans and leases	$ 129,068	$ 88,030
% Delinquent	1.45%	0.68%
Real estate loans:
Age Analysis of Past Due Loans and Leases
Total loans	$ 1,001,332	$ 798,307
Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Total loans	545,736	516,928
90+ days past due and still accruing	0	0
Total past due	684	0
Total Accruing Loans and leases	$ 543,892	$ 516,928
% Delinquent	0.46%	0%
Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Total loans	$ 57,648	$ 52,299
90+ days past due and still accruing	0	0
Total past due	189	103
Total Accruing Loans and leases	$ 56,770	$ 51,388
% Delinquent	1.85%	1.94%
Real estate loans: | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Total loans	$ 153,513	$ 68,175
90+ days past due and still accruing	0	0
Total past due	819	600
Total Accruing Loans and leases	$ 151,498	$ 65,777
% Delinquent	1.85%	4.40%
Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Total loans	$ 244,435	$ 160,905
90+ days past due and still accruing	0	0
Total past due	0	0
Total Accruing Loans and leases	$ 244,435	$ 160,905
% Delinquent	0%	0%
Consumer
Age Analysis of Past Due Loans and Leases
Total loans	$ 497	$ 419
90+ days past due and still accruing	0	0
Total past due	0	0
Total Accruing Loans and leases	$ 497	$ 419
% Delinquent	0%	0%
30-89 days past due
Age Analysis of Past Due Loans and Leases
Total loans	$ 5,760	$ 1,093
30-89 days past due | Residential Mortgage | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value		189
30-89 days past due | Commercial and industrial
Age Analysis of Past Due Loans and Leases
Total loans	887	0
30-89 days past due | Small business loans
Age Analysis of Past Due Loans and Leases
Total loans	1,803	0
30-89 days past due | PPP loans
Age Analysis of Past Due Loans and Leases
Total loans	0	0
30-89 days past due | MSLP loans
Age Analysis of Past Due Loans and Leases
Total loans	0	0
30-89 days past due | Leases, net
Age Analysis of Past Due Loans and Leases
Total loans	1,378	390
30-89 days past due | Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Total loans	684	0
30-89 days past due | Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Total loans	189	103
30-89 days past due | Real estate loans: | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Total loans	819	600
30-89 days past due | Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Total loans	0	0
30-89 days past due | Consumer
Age Analysis of Past Due Loans and Leases
Total loans	0	0
Current
Age Analysis of Past Due Loans and Leases
Total loans	1,575,444	1,361,607
Current | Residential Mortgage | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	14,151	16,768
Current | Commercial and industrial
Age Analysis of Past Due Loans and Leases
Total loans	312,220	274,970
Current | Small business loans
Age Analysis of Past Due Loans and Leases
Total loans	130,700	113,492
Current | PPP loans
Age Analysis of Past Due Loans and Leases
Total loans	8,837	90,194
Current | MSLP loans
Age Analysis of Past Due Loans and Leases
Total loans	597	597
Current | Leases, net
Age Analysis of Past Due Loans and Leases
Total loans	127,690	87,640
Current | Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Total loans	543,208	516,928
Current | Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Total loans	56,581	51,285
Current | Real estate loans: | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Total loans	150,679	65,177
Current | Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Total loans	244,435	160,905
Current | Consumer
Age Analysis of Past Due Loans and Leases
Total loans	497	419
Nonaccrual
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	22,988	22,988
Nonaccrual | Residential Mortgage | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Residential mortgage real estate loans accounted under fair value option, at fair value	551	601
Nonaccrual | Commercial and industrial
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	16,344	18,801
Nonaccrual | Small business loans
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	1,401	666
Nonaccrual | PPP loans
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	0	0
Nonaccrual | MSLP loans
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	0	0
Nonaccrual | Leases, net
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	506	212
Nonaccrual | Real estate loans: | Commercial mortgage
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	1,844	0
Nonaccrual | Real estate loans: | Home equity lines and loans
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	878	911
Nonaccrual | Real estate loans: | Residential Mortgage
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	2,015	2,398
Nonaccrual | Real estate loans: | Construction
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	0	0
Nonaccrual | Consumer
Age Analysis of Past Due Loans and Leases
Nonaccrual loans and leases	$ 0	$ 0

Allowance for Loan and Lease _3

Allowance for Loan and Lease Losses (the “Allowance”) - Roll-forward of allowance by portfolio segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	$ 18,805	$ 18,361	$ 18,758	$ 17,767
Charge-offs	(431)	0	(1,694)	(129)
Recoveries	74	18	167	46
Provision (Credit)	526	597	1,743	1,292
Balance at end of period	18,974	18,976	18,974	18,976
Commercial mortgage
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	4,327	7,146	4,950	7,451
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (Credit)	(238)	(604)	(861)	(909)
Balance at end of period	4,089	6,542	4,089	6,542
Home equity lines and loans
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	240	281	224	434
Charge-offs	(12)	0	(12)	0
Recoveries	34	1	42	5
Provision (Credit)	(25)	(9)	(17)	(166)
Balance at end of period	237	273	237	273
Residential Mortgage
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	489	324	283	385
Charge-offs	0	0	0	0
Recoveries	0	1	2	5
Provision (Credit)	217	(49)	421	(114)
Balance at end of period	706	276	706	276
Construction
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	2,481	2,241	2,042	2,421
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (Credit)	378	44	817	(136)
Balance at end of period	2,859	2,285	2,859	2,285
Commercial and industrial
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	6,287	5,360	6,533	5,431
Charge-offs	0	0	0	0
Recoveries	39	15	58	33
Provision (Credit)	(657)	239	(922)	150
Balance at end of period	5,669	5,614	5,669	5,614
Small business loans
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	3,681	2,235	3,737	1,259
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Provision (Credit)	319	864	263	1,840
Balance at end of period	4,000	3,099	4,000	3,099
Consumer
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	3	4	3	4
Charge-offs	0	0	0	0
Recoveries	1	1	3	3
Provision (Credit)	(1)	(2)	(3)	(4)
Balance at end of period	3	3	3	3
Leases, net
Roll-Forward of Allowance for Loan and Lease Losses by Portfolio Segment
Balance at beginning of period	1,297	770	986	382
Charge-offs	(419)	0	(1,682)	(129)
Recoveries	0	0	62	0
Provision (Credit)	533	114	2,045	631
Balance at end of period	$ 1,411	$ 884	$ 1,411	$ 884

Allowance for Loan and Lease _4

Allowance for Loan and Lease Losses (the “Allowance”) - Allowance allocated by portfolio segment (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021	Jun. 30, 2022	Sep. 30, 2021	Jun. 30, 2021	Dec. 31, 2020
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	$ 2,569	$ 3,276
Allowance on loans and leases collectively evaluated for impairment	16,405	15,482
Total	18,974	18,758	$ 18,805	$ 18,976	$ 18,361	$ 17,767
Carrying value of loans and leases individually evaluated for impairment	26,087	25,829
Carrying value of loans and leases collectively evaluated for impairment	1,563,403	1,342,301
Total	1,589,490	1,368,130
Commercial mortgage
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	4,089	4,950
Total	4,089	4,950	4,327	6,542	7,146	7,451
Carrying value of loans and leases individually evaluated for impairment	4,196	3,556
Carrying value of loans and leases collectively evaluated for impairment	541,540	513,372
Total	545,736	516,928
Home equity lines and loans
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	237	224
Total	237	224	240	273	281	434
Carrying value of loans and leases individually evaluated for impairment	878	905
Carrying value of loans and leases collectively evaluated for impairment	56,770	51,394
Total	57,648	52,299
Residential Mortgage
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	706	283
Total	706	283	489	276	324	385
Carrying value of loans and leases individually evaluated for impairment	1,464	1,797
Carrying value of loans and leases collectively evaluated for impairment	137,347	48,820
Total	138,811	50,617
Construction
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	2,859	2,042
Total	2,859	2,042	2,481	2,285	2,241	2,421
Carrying value of loans and leases individually evaluated for impairment	1,206	1,206
Carrying value of loans and leases collectively evaluated for impairment	243,229	159,699
Total	244,435	160,905
Commercial and industrial
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	2,193	2,900
Allowance on loans and leases collectively evaluated for impairment	3,476	3,633
Total	5,669	6,533	6,287	5,614	5,360	5,431
Carrying value of loans and leases individually evaluated for impairment	16,358	17,361
Carrying value of loans and leases collectively evaluated for impairment	313,093	276,410
Total	329,451	293,771
Small business loans
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	376	376
Allowance on loans and leases collectively evaluated for impairment	3,624	3,361
Total	4,000	3,737	3,681	3,099	2,235	1,259
Carrying value of loans and leases individually evaluated for impairment	1,479	792
Carrying value of loans and leases collectively evaluated for impairment	132,425	113,366
Total	133,904	114,158
PPP loans
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	0	0
Total	0	0
Carrying value of loans and leases individually evaluated for impairment	0	0
Carrying value of loans and leases collectively evaluated for impairment	8,837	90,194
Total	8,837	90,194
MSLP loans
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	0	0
Total	0	0
Carrying value of loans and leases individually evaluated for impairment	0	0
Carrying value of loans and leases collectively evaluated for impairment	597	597
Total	597	597
Consumer
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	3	3
Total	3	3	3	3	4	4
Carrying value of loans and leases individually evaluated for impairment	0	0
Carrying value of loans and leases collectively evaluated for impairment	497	419
Total	497	419
Leases, net
Impaired Loans
Allowance on loans and leases individually evaluated for impairment	0	0
Allowance on loans and leases collectively evaluated for impairment	1,411	986
Total	1,411	986	$ 1,297	$ 884	$ 770	$ 382
Carrying value of loans and leases individually evaluated for impairment	506	212
Carrying value of loans and leases collectively evaluated for impairment	129,068	88,030
Total	$ 129,574	$ 88,242
Paycheck Protection Program And Main Street Lending Program Loans
Impaired Loans
Percentage guaranteed	100%	100%

Allowance for Loan and Lease _5

Allowance for Loan and Lease Losses (the “Allowance”) - Carrying value based on credit quality indicators (Details) $ in Thousands	Sep. 30, 2022 USD ($) loan	Dec. 31, 2021 USD ($)
Loans and Leases by Credit Ratings
Total loans	$ 1,604,192	$ 1,385,688
Increase in carry value	238
Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	1,320,608	1,228,852
Pass
Loans and Leases by Credit Ratings
Total loans	1,226,613	1,123,252
Special Mention
Loans and Leases by Credit Ratings
Total loans	42,767	53,352
Substandard
Loans and Leases by Credit Ratings
Total loans	$ 51,228	52,248
Substandard | Commercial and industrial
Loans and Leases by Credit Ratings
Number of loan relationships with no specific industry concentration | loan	16
Doubtful
Loans and Leases by Credit Ratings
Total loans	$ 0	0
Commercial mortgage | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	545,736	516,928
Commercial mortgage | Pass
Loans and Leases by Credit Ratings
Total loans	511,993	481,551
Commercial mortgage | Special Mention
Loans and Leases by Credit Ratings
Total loans	28,382	29,452
Commercial mortgage | Substandard
Loans and Leases by Credit Ratings
Total loans	5,361	5,925
Commercial mortgage | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Home equity lines and loans | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	57,648	52,299
Home equity lines and loans | Pass
Loans and Leases by Credit Ratings
Total loans	56,290	50,908
Home equity lines and loans | Special Mention
Loans and Leases by Credit Ratings
Total loans	0	0
Home equity lines and loans | Substandard
Loans and Leases by Credit Ratings
Total loans	1,358	1,391
Home equity lines and loans | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Construction | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	244,435	160,905
Construction | Pass
Loans and Leases by Credit Ratings
Total loans	235,464	151,608
Construction | Special Mention
Loans and Leases by Credit Ratings
Total loans	8,971	9,297
Construction | Substandard
Loans and Leases by Credit Ratings
Total loans	0	0
Construction | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Commercial and industrial
Loans and Leases by Credit Ratings
Total loans	329,451	293,771
Commercial and industrial | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	329,451	293,771
Commercial and industrial | Pass
Loans and Leases by Credit Ratings
Total loans	280,929	236,298
Commercial and industrial | Special Mention
Loans and Leases by Credit Ratings
Total loans	5,414	14,603
Commercial and industrial | Substandard
Loans and Leases by Credit Ratings
Total loans	43,108	42,870
Deferrals that became non performing loans	13,500
Commercial and industrial | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
Small business loans
Loans and Leases by Credit Ratings
Total loans	133,904	114,158
Small business loans | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	133,904	114,158
Small business loans | Pass
Loans and Leases by Credit Ratings
Total loans	132,503	112,096
Small business loans | Special Mention
Loans and Leases by Credit Ratings
Total loans	0	0
Small business loans | Substandard
Loans and Leases by Credit Ratings
Total loans	1,401	2,062
Small business loans | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
PPP loans
Loans and Leases by Credit Ratings
Total loans	8,837	90,194
PPP loans | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	8,837	90,194
PPP loans | Pass
Loans and Leases by Credit Ratings
Total loans	8,837	90,194
PPP loans | Special Mention
Loans and Leases by Credit Ratings
Total loans	0	0
PPP loans | Substandard
Loans and Leases by Credit Ratings
Total loans	0	0
PPP loans | Doubtful
Loans and Leases by Credit Ratings
Total loans	0	0
MSLP loans
Loans and Leases by Credit Ratings
Total loans	597	597
MSLP loans | Evaluated based on credit quality indicators
Loans and Leases by Credit Ratings
Total loans	597	597
MSLP loans | Pass
Loans and Leases by Credit Ratings
Total loans	597	597
MSLP loans | Special Mention
Loans and Leases by Credit Ratings
Total loans	0	0
MSLP loans | Substandard
Loans and Leases by Credit Ratings
Total loans	0	0
MSLP loans | Doubtful
Loans and Leases by Credit Ratings
Total loans	$ 0	$ 0

Allowance for Loan and Lease _6

Allowance for Loan and Lease Losses (the “Allowance”) - Carrying value based on performance status (Details) $ in Thousands	Sep. 30, 2022 USD ($) loan	Dec. 31, 2021 USD ($) loan
Loans and Leases by Credit Ratings
Total loans	$ 1,604,192	$ 1,385,688
Loans at fair value	14,702	17,558
Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	283,584	139,278
Performing
Loans and Leases by Credit Ratings
Total loans	281,063	137,269
Non- performing
Loans and Leases by Credit Ratings
Total loans	2,521	2,009
Residential Mortgage | Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	153,513	50,617
Residential Mortgage | Performing
Loans and Leases by Credit Ratings
Total loans	151,498	48,820
Residential Mortgage | Non- performing
Loans and Leases by Credit Ratings
Total loans	$ 2,015	$ 1,797
Number of loans | loan	4	4
Loans at fair value	$ 551	$ 601
Consumer
Loans and Leases by Credit Ratings
Total loans	497	419
Consumer | Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	497	419
Consumer | Performing
Loans and Leases by Credit Ratings
Total loans	497	419
Consumer | Non- performing
Loans and Leases by Credit Ratings
Total loans	0	0
Leases, net
Loans and Leases by Credit Ratings
Total loans	129,574	88,242
Leases, net | Evaluated by performance status
Loans and Leases by Credit Ratings
Total loans	129,574	88,242
Leases, net | Performing
Loans and Leases by Credit Ratings
Total loans	129,068	88,030
Leases, net | Non- performing
Loans and Leases by Credit Ratings
Total loans	$ 506	$ 212

Allowance for Loan and Lease _7

Allowance for Loan and Lease Losses (the “Allowance”) - Impaired loans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Impaired loans with related allowance:
Recorded investment	$ 16,761		$ 16,761		$ 17,813
Principal balance	17,218		17,218		17,976
Related allowance	2,569		2,569		3,276
Impaired loans without related allowance:
Recorded investment	9,326		9,326		8,016
Principal balance	9,402		9,402		8,104
Grand Total
Recorded investment	26,087		26,087		25,829
Principal balance	26,620		26,620		26,080
Related allowance	2,569		2,569		3,276
Average Recorded Investment	16,861	$ 4,416	17,029	$ 4,485
Commercial and industrial
Impaired loans with related allowance:
Recorded investment	16,095		16,095		17,147
Principal balance	16,552		16,552		17,310
Related allowance	2,193		2,193		2,900
Impaired loans without related allowance:
Recorded investment	263		263		214
Principal balance	329		329		269
Grand Total
Related allowance	2,193		2,193		2,900
Average Recorded Investment	16,195	3,242	16,363	3,306
Commercial mortgage
Impaired loans without related allowance:
Recorded investment	4,196		4,196		3,556
Principal balance	4,206		4,206		3,559
Small business loans
Impaired loans with related allowance:
Recorded investment	666		666		666
Principal balance	666		666		666
Related allowance	376		376		376
Impaired loans without related allowance:
Recorded investment	813		813		126
Principal balance	813		813		126
Grand Total
Related allowance	376		376		376
Average Recorded Investment	666	916	666	917
Home equity lines and loans
Impaired loans without related allowance:
Recorded investment	878		878		905
Principal balance	878		878		935
Grand Total
Average Recorded Investment	0	89	0	92
Residential Mortgage
Impaired loans without related allowance:
Recorded investment	1,464		1,464		1,797
Principal balance	1,464		1,464		1,797
Grand Total
Average Recorded Investment	0	$ 169	0	$ 170
Construction
Impaired loans without related allowance:
Recorded investment	1,206		1,206		1,206
Principal balance	1,206		1,206		1,206
Leases, net
Impaired loans without related allowance:
Recorded investment	506		506		212
Principal balance	$ 506		$ 506		$ 212

Allowance for Loan and Lease _8

Allowance for Loan and Lease Losses (the “Allowance”) - Impaired loan average recorded investment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Impaired loans with related allowance:
Average Recorded Investment	$ 16,861	$ 4,416	$ 17,029	$ 4,485
Interest Income Recognized	0	5	0	15
Impaired loans without related allowance:
Average Recorded Investment	9,369	6,858	9,457	6,953
Interest Income Recognized	88	53	364	110
Grand Total
Average Recorded Investment	26,230	11,274	26,486	11,438
Interest Income Recognized	88	58	364	125
Commercial mortgage
Impaired loans without related allowance:
Average Recorded Investment	4,212	2,573	4,257	2,584
Interest Income Recognized	29	8	77	24
Commercial and industrial
Impaired loans with related allowance:
Average Recorded Investment	16,195	3,242	16,363	3,306
Interest Income Recognized	0	5	0	15
Impaired loans without related allowance:
Average Recorded Investment	286	473	293	485
Interest Income Recognized	0	19	0	19
Small business loans
Impaired loans with related allowance:
Average Recorded Investment	666	916	666	917
Interest Income Recognized	0	0	0	0
Impaired loans without related allowance:
Average Recorded Investment	819	147	835	161
Interest Income Recognized	2	3	7	11
Home equity lines and loans
Impaired loans with related allowance:
Average Recorded Investment	0	89	0	92
Interest Income Recognized	0	0	0	0
Impaired loans without related allowance:
Average Recorded Investment	878	823	878	824
Interest Income Recognized	15	0	39	0
Residential Mortgage
Impaired loans with related allowance:
Average Recorded Investment	0	169	0	170
Interest Income Recognized	0	0	0	0
Impaired loans without related allowance:
Average Recorded Investment	1,468	1,636	1,478	1,640
Interest Income Recognized	22	6	190	9
Construction
Impaired loans without related allowance:
Average Recorded Investment	1,206	1,206	1,206	1,206
Interest Income Recognized	20	17	51	47
Leases, net
Impaired loans without related allowance:
Average Recorded Investment	500	0	510	53
Interest Income Recognized	$ 0	$ 0	$ 0	$ 0

Allowance for Loan and Lease _9

Allowance for Loan and Lease Losses (the “Allowance”) - Troubled debt restructuring (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
TDRs included in nonperforming loans and leases	$ 193	$ 361
TDRs in compliance with modified terms	3,637	3,446
Total TDRs	$ 3,830	$ 3,807

Allowance for Loan and Lease_10

Allowance for Loan and Lease Losses (the “Allowance”) - Loan modifications granted categorized as TDRs (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2022 USD ($) loan
Financing Receivable, Allowance for Credit Loss, Writeoff, after Recovery [Abstract]
Number of loan modifications | loan	1
New loan modifications | $	$ 684

Short-Term Borrowings and Lon_2

Short-Term Borrowings and Long -Term Debt - Additional Information (Details)	9 Months Ended
	Sep. 30, 2022 USD ($) item	Dec. 31, 2021 USD ($)
Short-Term Borrowings
Short-term borrowings	$ 23,458,000	$ 41,344,000
Letters of credit
Short-Term Borrowings
Maximum borrowing capacity	529,000,000	505,400,000
Proceeds from long term debt	$ 74,800,000
Federal funds purchased
Short-Term Borrowings
Number of borrowing facilities | item	2
Maximum borrowing capacity	$ 0	0
Federal funds purchased, facility one
Short-Term Borrowings
Maximum borrowing capacity	24,000,000
Federal funds purchased, facility two
Short-Term Borrowings
Maximum borrowing capacity	15,000,000
Federal Reserve discount window
Short-Term Borrowings
Maximum borrowing capacity	9,200,000
Short-term borrowings	$ 0	$ 0

Short-Term Borrowings and Lon_3

Short-Term Borrowings and Long-Term Debt - Short-term borrowings (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Short-Term Borrowings
Short term borrowings	$ 23,458	$ 41,344
Open Repo Plus Weekly 0.33 Percent Maturing On 6/05/2023
Short-Term Borrowings
Interest rate	3.11%
Short term borrowings	$ 23,458	36,458
Mid-term Repo-fixed Maturing On 9/12/2022
Short-Term Borrowings
Interest rate	0.23%
Short term borrowings	$ 0	$ 4,886

Servicing Assets - Residential

Servicing Assets - Residential Mortgage Loans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period			$ 12,765
Balance at end of the period	$ 12,807		12,807
Mortgage Servicing Rights
Servicing Assets at Fair Value [Line Items]
Loans serviced	1,000,000		1,000,000		$ 1,000,000
Servicing fee income	643	$ 562	1,900	$ 1,400
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period	10,610	8,942	10,756	4,647
Servicing rights capitalized	65	1,360	648	5,856
Amortization of servicing rights	(356)	(316)	(1,092)	(786)
Change in valuation allowance	(4)	111	3	380
Balance at end of the period	10,315	10,097	10,315	10,097
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward]
Valuation allowance, beginning of period	(1)	(166)	(8)	(435)
Impairment	(4)	0	(4)	0
Recovery	0	111	7	380
Valuation allowance, end of the period	$ (5)	$ (55)	$ (5)	$ (55)

Servicing Assets - MSR Sensitiv

Servicing Assets - MSR Sensitivity Analysis (Details) - Mortgage Servicing Rights - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value of residential mortgage servicing rights	$ 12,132	$ 11,241
Weighted average life (months)	19 months	11 months
Prepayment speed	7.11%	7.23%
Impact on fair value of a 10% adverse change in prepayment speed	$ (524)	$ (376)
Impact on fair value of a 20% adverse change in prepayment speed	$ (1,010)	$ (731)
Discount rate	9.50%	9%
Impact on fair value of a 10% adverse change in the discount rate	$ (426)	$ (436)
Impact on fair value of a 20% adverse change in the discount rate	$ (824)	$ (840)

Servicing Assets - SBA Loans (D

Servicing Assets - SBA Loans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period			$ 12,765
Balance at end of the period	$ 12,807		12,807
SBA Loan Servicing Rights
Servicing Assets at Fair Value [Line Items]
Loans serviced	156,300		156,300		$ 115,100
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Balance at beginning of the period	2,250	$ 1,385	2,009	$ 970
Servicing rights capitalized	306	588	1,146	1,166
Amortization of servicing rights	(173)	(112)	(523)	(266)
Change in valuation allowance	109	(26)	(140)	(35)
Balance at end of the period	2,492	1,835	2,492	1,835
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward]
Valuation allowance, beginning of period	(345)	(48)	(96)	(39)
Impairment	0	(26)	(280)	(35)
Recovery	109	0	140	0
Valuation allowance, end of the period	$ (236)	$ (74)	$ (236)	$ (74)

Servicing Assets - SBA Sensitiv

Servicing Assets - SBA Sensitivity Analysis (Details) - SBA Loan Servicing Rights - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value of SBA loan servicing rights	$ 2,578	$ 2,107
Weighted average life (months)	3 years 9 months 18 days	3 years 9 months 18 days
Prepayment speed	12.88%	12.38%
Impact on fair value of a 10% adverse change in prepayment speed	$ (83)	$ (69)
Impact on fair value of a 20% adverse change in prepayment speed	$ (160)	$ (132)
Discount rate	12.24%	9.01%
Impact on fair value of a 10% adverse change in the discount rate	$ (61)	$ (54)
Impact on fair value of a 20% adverse change in the discount rate	$ (120)	$ (106)

Fair Value Measurements and D_3

Fair Value Measurements and Disclosures - Financial assets measured at fair value on a recurring basis (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Assets
Fair value	$ 127,999	$ 159,302
Equity investments	2,092	2,354
U.S. asset backed securities
Assets
Fair value	15,473	16,837
U.S. government agency MBS
Assets
Fair value	11,344	9,813
U.S. government agency CMO
Assets
Fair value	19,169	22,381
State and municipal securities
Assets
Fair value	37,239	72,982
Non-U.S. government agency CMO
Assets
Fair value	8,827	975
Corporate bonds
Assets
Fair value	6,666	6,586
Forward Commitments
Assets
Derivative assets, Fair value		65
Recurring
Assets
Equity investments	2,092	2,354
Mortgage loans held for sale	33,800	80,882
Mortgage loans held for investment	14,702	17,558
Total	183,777	262,244
Liabilities
Total	5,077	1,327
Recurring | U.S. asset backed securities
Assets
Fair value	15,473	16,837
Recurring | U.S. government agency MBS
Assets
Fair value	11,344	9,813
Recurring | U.S. government agency CMO
Assets
Fair value	19,169	22,381
Recurring | State and municipal securities
Assets
Fair value	37,239	72,982
Recurring | U.S. Treasuries
Assets
Fair value	29,281	29,728
Recurring | Non-U.S. government agency CMO
Assets
Fair value	8,827	975
Recurring | Corporate bonds
Assets
Fair value	6,666	6,586
Recurring | Interest Rate Lock Commitments
Assets
Derivative assets, Fair value	137	1,122
Liabilities
Derivative Liability	598	203
Recurring | Forward Commitments
Assets
Derivative assets, Fair value	475
Liabilities
Derivative Liability	0	106
Recurring | Customer Derivatives - Interest Rate Swaps
Assets
Derivative assets, Fair value	4,572	961
Liabilities
Derivative Liability	4,479	1,018
Recurring | Level 1
Assets
Equity investments	0	0
Mortgage loans held for sale	0	0
Mortgage loans held for investment	0	0
Total	29,281	29,728
Liabilities
Total	0	0
Recurring | Level 1 | U.S. asset backed securities
Assets
Fair value	0	0
Recurring | Level 1 | U.S. government agency MBS
Assets
Fair value	0	0
Recurring | Level 1 | U.S. government agency CMO
Assets
Fair value	0	0
Recurring | Level 1 | State and municipal securities
Assets
Fair value	0	0
Recurring | Level 1 | U.S. Treasuries
Assets
Fair value	29,281	29,728
Recurring | Level 1 | Non-U.S. government agency CMO
Assets
Fair value	0	0
Recurring | Level 1 | Corporate bonds
Assets
Fair value	0	0
Recurring | Level 1 | Interest Rate Lock Commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 1 | Forward Commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 1 | Customer Derivatives - Interest Rate Swaps
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 2
Assets
Equity investments	2,092	2,354
Mortgage loans held for sale	33,800	80,882
Mortgage loans held for investment	14,702	17,558
Total	154,359	231,394
Liabilities
Total	4,479	1,124
Recurring | Level 2 | U.S. asset backed securities
Assets
Fair value	15,473	16,837
Recurring | Level 2 | U.S. government agency MBS
Assets
Fair value	11,344	9,813
Recurring | Level 2 | U.S. government agency CMO
Assets
Fair value	19,169	22,381
Recurring | Level 2 | State and municipal securities
Assets
Fair value	37,239	72,982
Recurring | Level 2 | U.S. Treasuries
Assets
Fair value	0	0
Recurring | Level 2 | Non-U.S. government agency CMO
Assets
Fair value	8,827	975
Recurring | Level 2 | Corporate bonds
Assets
Fair value	6,666	6,586
Recurring | Level 2 | Interest Rate Lock Commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 2 | Forward Commitments
Assets
Derivative assets, Fair value	475	65
Liabilities
Derivative Liability	0	106
Recurring | Level 2 | Customer Derivatives - Interest Rate Swaps
Assets
Derivative assets, Fair value	4,572	961
Liabilities
Derivative Liability	4,479	1,018
Recurring | Level 3
Assets
Equity investments	0	0
Mortgage loans held for sale	0	0
Mortgage loans held for investment	0	0
Total	137	1,122
Liabilities
Total	598	203
Recurring | Level 3 | U.S. asset backed securities
Assets
Fair value	0	0
Recurring | Level 3 | U.S. government agency MBS
Assets
Fair value	0	0
Recurring | Level 3 | U.S. government agency CMO
Assets
Fair value	0	0
Recurring | Level 3 | State and municipal securities
Assets
Fair value	0	0
Recurring | Level 3 | U.S. Treasuries
Assets
Fair value	0	0
Recurring | Level 3 | Non-U.S. government agency CMO
Assets
Fair value		0
Recurring | Level 3 | Corporate bonds
Assets
Fair value	0	0
Recurring | Level 3 | Interest Rate Lock Commitments
Assets
Derivative assets, Fair value	137	1,122
Liabilities
Derivative Liability	598	203
Recurring | Level 3 | Forward Commitments
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	0	0
Recurring | Level 3 | Customer Derivatives - Interest Rate Swaps
Assets
Derivative assets, Fair value	0	0
Liabilities
Derivative Liability	$ 0	$ 0

Fair Value Measurements and D_4

Fair Value Measurements and Disclosures - Financial assets measured at fair value on non-recurring basis (Details) - Nonrecurring - Level 3 - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Financial assets measured at fair value on a nonrecurring basis
Mortgage servicing rights	$ 10,315	$ 10,756
SBA loan servicing rights	2,492	2,009
Total	13,627	14,892
Commercial and industrial
Financial assets measured at fair value on a nonrecurring basis
Impaired loans	820	1,837
Small business loans
Financial assets measured at fair value on a nonrecurring basis
Impaired loans	$ 0	$ 290

Fair Value Measurements and D_5

Fair Value Measurements and Disclosures - Level 3 valuation (Details) - Level 3 - Valuation, Income Approach - Measurement Input, Appraised Value $ in Thousands	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	$ 820	$ 2,127
Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans, measurement input (as a percent)	0.02	0.02
Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans, measurement input (as a percent)	0.15	0.15

Fair Value Measurements and D_6

Fair Value Measurements and Disclosures - Estimated fair values of financial instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Financial assets:
Securities available-for-sale, at fair value (amortized cost of $143,581 and $158,387, respectively)	$ 127,999	$ 159,302
Securities held-to-maturity	32,323	6,591
Equity investments	2,092	2,354
Residential mortgage real estate loans accounted under fair value option, at fair value	14,702	17,558
Forward Commitments
Financial assets:
Derivative asset		65
Carrying amount
Financial assets:
Restricted investment in bank stock	5,217	5,117
Level 1 | Carrying amount
Financial assets:
Cash and cash equivalents	32,888	23,480
Level 1 | Fair value
Financial assets:
Cash and cash equivalents	32,888	23,480
Level 2 | Carrying amount
Financial assets:
Securities available-for-sale, at fair value (amortized cost of $143,581 and $158,387, respectively)	127,999	159,302
Securities held-to-maturity	37,922	6,372
Equity investments	2,092	2,354
Mortgage loans held for sale	33,800	80,882
Mortgage loans held for investment	14,702	17,558
Financial liabilities:
Deposits	1,673,553	1,446,413
Short-term borrowings	23,458	41,344
Subordinated debentures	40,597	40,508
Accrued interest payable	1,154	31
Level 2 | Carrying amount | Forward Commitments
Financial assets:
Derivative asset	475	65
Financial liabilities:
Derivatives	0	106
Level 2 | Carrying amount | Customer Derivatives - Interest Rate Swaps
Financial assets:
Derivative asset	4,572	961
Financial liabilities:
Derivatives	4,479	1,018
Level 2 | Carrying amount | Letters of credit
Financial liabilities:
Off-balance sheet financial instruments	21,462	25,986
Level 2 | Carrying amount | Commitments to extend credit
Financial liabilities:
Off-balance sheet financial instruments	505,860	486,632
Level 2 | Fair value
Financial assets:
Securities available-for-sale, at fair value (amortized cost of $143,581 and $158,387, respectively)	127,999	159,302
Securities held-to-maturity	32,323	6,591
Equity investments	2,092	2,354
Mortgage loans held for sale	33,800	80,882
Mortgage loans held for investment	14,702	17,558
Financial liabilities:
Deposits	1,526,400	1,549,100
Short-term borrowings	23,458	41,344
Subordinated debentures	40,285	40,803
Accrued interest payable	1,154	31
Level 2 | Fair value | Forward Commitments
Financial assets:
Derivative asset	475	65
Financial liabilities:
Derivatives	0	106
Level 2 | Fair value | Customer Derivatives - Interest Rate Swaps
Financial assets:
Derivative asset	4,572	961
Financial liabilities:
Derivatives	4,479	1,018
Level 2 | Fair value | Letters of credit
Financial liabilities:
Off-balance sheet financial instruments	0	0
Level 2 | Fair value | Commitments to extend credit
Financial liabilities:
Off-balance sheet financial instruments	0	0
Level 3 | Carrying amount
Financial assets:
Residential mortgage real estate loans accounted under fair value option, at fair value	1,595,647	1,368,899
Accrued interest receivable	6,008	5,009
Level 3 | Carrying amount | Interest Rate Lock Commitments
Financial assets:
Derivative asset	137	1,122
Financial liabilities:
Derivatives	598	203
Level 3 | Fair value
Financial assets:
Residential mortgage real estate loans accounted under fair value option, at fair value	1,535,398	1,370,885
Accrued interest receivable	6,008	5,009
Level 3 | Fair value | Interest Rate Lock Commitments
Financial assets:
Derivative asset	137	1,122
Financial liabilities:
Derivatives	$ 598	$ 203

Fair Value Measurements and D_7

Fair Value Measurements and Disclosures - Fair value on a recurring basis (Details) - Interest Rate Lock Commitments - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Balance at beginning of the period	$ 374	$ 2,667	$ 1,122	$ 6,932
Decrease in value	(237)	(955)	(985)	(5,220)
Balance at end of the period	$ 137	$ 1,712	$ 137	$ 1,712

Fair Value Measurements and D_8

Fair Value Measurements and Disclosures - Valuation techniques for level 3 interest rate lock (Details) - Interest Rate Lock Commitments - Level 3 - Valuation Technique, Consensus Pricing Model $ in Thousands	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset	$ 137	$ 1,122
Valuation technique extensible list	Valuation Technique, Consensus Pricing Model	Valuation Technique, Consensus Pricing Model
Measurement input extensible list	Loan Origination Success Rate [Member]	Loan Origination Success Rate [Member]
Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset, measurement input	1	1
Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset, measurement input	99	99
Weighted Average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Derivative asset, measurement input	0.9693	0.8766

Derivative Financial Instrume_3

Derivative Financial Instruments - Notional amounts and fair values of derivative financial instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Derivative Financial Instruments
Notional amount	$ 162,804	$ 290,811
Assets (liabilities) fair value	107	821
Interest Rate Lock Commitments
Derivative Financial Instruments
Notional amount	68,100	143,917
Assets (liabilities) fair value	(461)	919
Interest Rate Lock Commitments | Other assets
Derivative Financial Instruments
Notional amount	23,037	108,653
Assets (liabilities) fair value	137	1,122
Interest Rate Lock Commitments | Other liabilities
Derivative Financial Instruments
Notional amount	45,063	35,264
Assets (liabilities) fair value	(598)	(203)
Forward Commitments
Derivative Financial Instruments
Notional amount	12,000	76,000
Assets (liabilities) fair value	475	(41)
Forward Commitments | Other assets
Derivative Financial Instruments
Notional amount	12,000	30,500
Assets (liabilities) fair value	475	65
Forward Commitments | Other liabilities
Derivative Financial Instruments
Notional amount	0	45,500
Assets (liabilities) fair value	0	(106)
Customer Derivatives - Interest Rate Swaps
Derivative Financial Instruments
Notional amount	82,704	70,894
Assets (liabilities) fair value	93	(57)
Customer Derivatives - Interest Rate Swaps | Other assets
Derivative Financial Instruments
Notional amount	41,352	35,447
Assets (liabilities) fair value	4,572	961
Customer Derivatives - Interest Rate Swaps | Other liabilities
Derivative Financial Instruments
Notional amount	41,352	35,447
Assets (liabilities) fair value	$ (4,479)	$ (1,018)

Derivative Financial Instrume_4

Derivative Financial Instruments - Fair value gains and losses on derivative financial instruments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	$ 127	$ (339)	$ (713)	$ (3,431)
Interest Rate Lock Commitments
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	(405)	(1,056)	(1,380)	(5,480)
Forward Commitments
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	485	703	516	1,997
Customer Derivatives - Interest Rate Swaps
Summary of the fair value gains and losses on derivative financial instruments
Net fair value (losses) gains on derivative financial instruments	$ 47	$ 14	$ 151	$ 52

Segments - Narrative (Details)

Segments - Narrative (Details)	9 Months Ended
	Sep. 30, 2022 office
Mortgage
Segments
Number of loan production offices	13

Segments - Business segment (De

Segments - Business segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Net-interest Income:
Net interest income	$ 18,026	$ 16,257	$ 51,610	$ 46,789
Provision for loan losses	526	597	1,743	1,292
Net interest income after provision for loan losses	17,500	15,660	49,867	45,497
Non-interest Income
Mortgage banking income	7,329	18,726	21,367	62,293
SBA loan income	989	2,688	3,946	5,423
Net change in fair values	(996)	(834)	(4,306)	(6,619)
Net gain on hedging activity	399	(1,189)	4,941	2,397
Other	1,389	1,499	4,108	3,877
Total non-interest income	10,224	22,122	33,728	70,902
Total non-interest expense	20,261	25,481	61,400	79,990
Income (loss) before income taxes	7,463	12,301	22,195	36,409
Total Assets	1,921,924	1,762,445	1,921,924	1,762,445	$ 1,713,443
Bank
Net-interest Income:
Net interest income	17,664	15,777	50,197	45,340
Provision for loan losses	526	597	1,743	1,292
Net interest income after provision for loan losses	17,138	15,180	48,454	44,048
Non-interest Income
Mortgage banking income	72	215	394	892
SBA loan income	989	2,688	3,946	5,423
Net change in fair values	47	13	151	52
Net gain on hedging activity	0	0	0	0
Other	622	836	1,776	2,110
Total non-interest income	1,730	3,752	6,267	8,477
Total non-interest expense	11,354	10,633	32,186	28,981
Income (loss) before income taxes	7,514	8,299	22,535	23,544
Total Assets	1,858,770	1,625,468	1,858,770	1,625,468
Wealth
Net-interest Income:
Net interest income	218	2	628	(249)
Provision for loan losses	0	0	0	0
Net interest income after provision for loan losses	218	2	628	(249)
Non-interest Income
Mortgage banking income	0	0	0	0
SBA loan income	0	0	0	0
Net change in fair values	0	0	0	0
Net gain on hedging activity	0	0	0	0
Other	0	0	(1)	0
Total non-interest income	1,114	1,232	3,671	3,531
Total non-interest expense	780	802	2,480	2,486
Income (loss) before income taxes	552	432	1,819	796
Total Assets	7,927	6,396	7,927	6,396
Mortgage
Net-interest Income:
Net interest income	144	478	785	1,698
Provision for loan losses	0	0	0	0
Net interest income after provision for loan losses	144	478	785	1,698
Non-interest Income
Mortgage banking income	7,257	18,511	20,973	61,401
SBA loan income	0	0	0	0
Net change in fair values	(1,043)	(847)	(4,457)	(6,671)
Net gain on hedging activity	399	(1,189)	4,941	2,397
Other	767	663	2,333	1,767
Total non-interest income	7,380	17,138	23,790	58,894
Total non-interest expense	8,127	14,046	26,734	48,523
Income (loss) before income taxes	(603)	3,570	(2,159)	12,069
Total Assets	55,227	130,581	55,227	130,581
Wealth management income
Non-interest Income
Revenue from contract with customer	1,114	1,232	3,672	3,531
Wealth management income | Bank
Non-interest Income
Revenue from contract with customer	0	0	0	0
Wealth management income | Wealth
Non-interest Income
Revenue from contract with customer	1,114	1,232	3,672	3,531
Wealth management income | Mortgage
Non-interest Income
Revenue from contract with customer	$ 0	$ 0	$ 0	$ 0

Leases - Narrative (Details)

Leases - Narrative (Details) $ in Thousands	Sep. 30, 2022 USD ($)
Lessee, Lease, Description [Line Items]
ROU assets	$ 9,500
Total operating lease liabilities	$ 9,363
Weighted average remaining lease term	6 years 3 months 29 days
Weighted average discount rate	2.61%
Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term	8 months
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term	13 years

Leases - Lease Cost (Details)

Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2022
Leases [Abstract]
Operating lease expense	$ 585	$ 1,742
Short term lease expense	1	3
Variable lease expense	0	0
Total lease expense	$ 586	$ 1,745

Leases - Cash Flow Information

Leases - Cash Flow Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Cash Paid For Amounts Included In the Measurement of Lease Liabilities [Abstract]
Operating cash flows from operating leases	$ 563
ROU asset obtained in exchange for lease liabilities	$ 10,995	$ 0

Leases - Maturity of Lease Liab

Leases - Maturity of Lease Liabilities Under ASC 842 (Details) $ in Thousands	Sep. 30, 2022 USD ($)
Leases [Abstract]
2022	$ 559
2023	1,919
2024	1,746
2025	1,456
2026	1,436
Thereafter	3,134
Total	10,250
Less: Present value discount	(887)
Total operating lease liabilities	$ 9,363