Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 11, 2021 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-40610 | |
Entity Registrant Name | Texas Community Bancshares, Inc. | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 86-2760335 | |
Entity Address, Address Line One | 215 West Broad Street | |
Entity Address, City or Town | Mineola | |
Entity Address State Or Province | TX | |
Entity Address, Postal Zip Code | 75773 | |
City Area Code | 903 | |
Local Phone Number | 569-2602 | |
Entity Current Reporting Status | No | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 3,257,759 | |
Entity Central Index Key | 0001849466 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Assets | ||
Cash and due from banks | $ 4,889,262 | $ 5,968,175 |
Federal funds sold | 18,041,270 | 2,105,000 |
Cash held in escrow | 22,685,730 | |
Cash and cash equivalents | 45,616,262 | 8,073,175 |
Interest bearing deposits in banks | 17,182,333 | 14,014,861 |
Securities available for sale | 13,714,075 | 12,966,164 |
Securities held to maturity (fair values of $35,907,758 at June 30, 2021 and $34,969,078 at December 31, 2020) | 38,225,589 | 34,327,997 |
Loans receivable, net of allowance for loan and lease losses of $1,583,690 at June 30, 2021 and $1,561,101 at December 31, 2020 | 218,384,035 | 213,239,232 |
Net investment in direct financing leases | 104,679 | 31,998 |
Accrued interest receivable | 764,150 | 963,096 |
Premises and equipment | 6,354,084 | 6,382,873 |
Bank-owned life insurance | 5,961,612 | 5,908,393 |
Foreclosed assets | 209,181 | 209,181 |
Restricted investments carried at cost | 2,030,833 | 2,023,633 |
Core deposit intangible | 595,273 | 661,417 |
Mortgage servicing rights, net | 8,133 | 11,881 |
Deferred income taxes | 314,411 | 246,739 |
Other assets | 517,388 | 577,333 |
Total assets | 349,982,038 | 299,637,973 |
Liabilities | ||
Noninterest bearing | 38,936,179 | 31,439,331 |
Interest bearing | 224,870,925 | 203,700,613 |
Deposits held in escrow | 22,685,730 | |
Total deposits | 286,492,834 | 235,139,944 |
Advances from Federal Home Loan Bank | 29,644,049 | 30,768,095 |
Accrued expenses and other liabilities | 2,256,296 | 1,790,851 |
Total liabilities | 318,393,179 | 267,698,890 |
Members' Equity | ||
Additional paid in capital | (747,818) | |
Retained earnings | 32,240,962 | 31,810,769 |
Accumulated other comprehensive income | 95,715 | 128,314 |
Total members' equity | 31,588,859 | 31,939,083 |
Total liabilities and members' equity | $ 349,982,038 | $ 299,637,973 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Consolidated Statements of Financial Condition | ||
Fair value of securities held to maturity | $ 38,603,682 | $ 34,969,078 |
Allowance for loan and lease losses | $ 1,583,690 | $ 1,561,101 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Interest Income | ||||
Loans, including fees | $ 2,402,267 | $ 2,305,083 | $ 4,803,352 | $ 4,532,348 |
Debt securities | ||||
Taxable | 158,633 | 186,199 | 300,277 | 399,652 |
Non taxable | 31,493 | 41,089 | 67,354 | 85,123 |
Dividends on restricted investments | 5,514 | 11,734 | 9,358 | 23,125 |
Federal funds sold | 4,666 | 277 | 5,082 | 4,546 |
Deposits with banks | 14,234 | 73,011 | 34,568 | 177,706 |
Total interest income | 2,616,807 | 2,617,393 | 5,219,991 | 5,222,500 |
Interest Expense | ||||
Deposits | 388,444 | 454,318 | 789,924 | 936,523 |
Advances from Federal Home Loan Bank | 156,990 | 179,828 | 317,270 | 361,166 |
Other | 2,728 | 2,877 | 5,495 | 5,789 |
Total interest expense | 548,162 | 637,023 | 1,112,689 | 1,303,478 |
Net Interest Income | 2,068,645 | 1,980,370 | 4,107,302 | 3,919,022 |
Provision for Loan and Lease Losses | 28,145 | 141,027 | 30,076 | 145,429 |
Net Interest Income After Provision for Loan and Lease Losses | 2,040,500 | 1,839,343 | 4,077,226 | 3,773,593 |
Noninterest Income | ||||
Service charges on deposit accounts | 124,615 | 103,867 | 253,765 | 274,359 |
Other service charges and fees | 268,378 | 413,749 | 491,747 | 600,363 |
Appreciation on bank-owned life insurance | 26,876 | 29,605 | 53,219 | 58,970 |
Other income | 6,012 | 5,611 | 10,127 | 16,590 |
Total noninterest income | 425,881 | 552,832 | 808,858 | 950,282 |
Noninterest Expenses | ||||
Salaries and employee benefits | 1,261,059 | 1,208,155 | 2,491,405 | 2,382,865 |
Occupancy and equipment expense | 185,298 | 177,168 | 367,617 | 352,655 |
Data processing | 224,734 | 207,785 | 448,485 | 401,386 |
Contract services | 171,999 | 121,150 | 290,842 | 233,929 |
Director fees | 81,000 | 61,000 | 156,000 | 121,000 |
Other expense | 320,064 | 244,011 | 618,400 | 542,887 |
Total noninterest expenses | 2,244,154 | 2,019,269 | 4,372,749 | 4,034,722 |
Income Before Income Taxes | 222,227 | 372,906 | 513,335 | 689,153 |
Income Tax Expense | 34,573 | 64,417 | 83,142 | 116,292 |
Net Income | $ 187,654 | $ 308,489 | $ 430,193 | $ 572,861 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Consolidated Statements of Comprehensive Income | ||||
Net Income | $ 187,654 | $ 308,489 | $ 430,193 | $ 572,861 |
Other items of comprehensive income (loss) Change in unrealized appreciation (depreciation) on investment securities available for sale, before tax | (14,320) | 127,398 | (41,265) | 300,918 |
Total other items of comprehensive income (loss) | (14,320) | 127,398 | (41,265) | 300,918 |
Comprehensive Income | 173,334 | 435,887 | 388,928 | 873,779 |
Income tax (expense) benefit related to other items of comprehensive income (loss) | 3,007 | (26,753) | 8,666 | (63,193) |
Comprehensive Income | $ 176,341 | $ 409,134 | $ 397,594 | $ 810,586 |
Consolidated Statements of Memb
Consolidated Statements of Members' Equity - USD ($) | Additional Paid In Capital | Retained Earnings | Accumulated Other Comprehensive Income | Total |
Beginning balance at Dec. 31, 2019 | $ 31,061,872 | $ (8,099) | $ 31,053,773 | |
Net income | 572,861 | 572,861 | ||
Net changes in unrealized depreciation on available for sale securities, less tax expense of $5,659 and $36,439 | 237,725 | 237,725 | ||
Ending balance at Jun. 30, 2020 | 31,634,733 | 229,626 | 31,864,359 | |
Beginning balance at Mar. 31, 2020 | 31,326,244 | 128,981 | 31,455,225 | |
Net income | 308,489 | 308,489 | ||
Net changes in unrealized depreciation on available for sale securities, less tax expense of $5,659 and $36,439 | 100,645 | 100,645 | ||
Ending balance at Jun. 30, 2020 | 31,634,733 | 229,626 | 31,864,359 | |
Beginning balance at Dec. 31, 2020 | 31,810,769 | 128,314 | 31,939,083 | |
Net income | 430,193 | 430,193 | ||
Change in APIC | $ (747,818) | (747,818) | ||
Net changes in unrealized depreciation on available for sale securities, less tax expense of $5,659 and $36,439 | (32,599) | (32,599) | ||
Ending balance at Jun. 30, 2021 | (747,818) | 32,240,962 | 95,715 | 31,588,859 |
Beginning balance at Mar. 31, 2021 | (402,887) | 32,053,308 | 107,028 | 31,757,449 |
Net income | 187,654 | 187,654 | ||
Change in APIC | (344,931) | (344,931) | ||
Net changes in unrealized depreciation on available for sale securities, less tax expense of $5,659 and $36,439 | (11,313) | (11,313) | ||
Ending balance at Jun. 30, 2021 | $ (747,818) | $ 32,240,962 | $ 95,715 | $ 31,588,859 |
Consolidated Statements of Me_2
Consolidated Statements of Members' Equity (Parenthetical) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Consolidated Statements of Members' Equity | ||||
Tax on fair value of available for sale securities | $ (3,007) | $ 26,753 | $ (8,666) | $ 63,193 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Operating Activities | ||
Net income | $ 430,193 | $ 572,861 |
Adjustments to reconcile net income to net cash from operating activities | ||
Provision for loan and lease losses | 30,076 | 145,429 |
Net amortization of securities | 217,999 | 157,517 |
Depreciation and amortization | 218,477 | 214,668 |
Loss on sale of fixed assets | 194 | |
Appreciation on bank-owned life insurance | (53,219) | (58,970) |
Deferred income tax | (59,007) | (54,174) |
Net change in | ||
Accrued interest receivable | 198,946 | (3,328) |
Mortgage servicing rights | 3,748 | 3,823 |
Other assets | 105,803 | 55,612 |
Accrued expenses and other liabilities | 419,588 | 347,828 |
Net Cash from Operating Activities | 1,512,798 | 1,381,266 |
Investing Activities | ||
Net change in interest bearing deposits in banks | (3,167,472) | (1,867,488) |
Purchases | (3,056,250) | |
Maturities, prepayments and calls | 2,197,214 | 1,152,992 |
Purchases | (12,290,653) | |
Maturities, prepayments and calls | 8,244,922 | 4,843,918 |
Purchases of restricted investments | (7,200) | (20,900) |
Loan originations and principal collections, net | (5,174,879) | (18,564,143) |
Net increase in net investment in direct financing leases | (72,681) | |
Additions to premises and equipment | (123,738) | (729,773) |
Net Cash (used for) from Investing Activities | (13,450,737) | (15,185,394) |
Financing Activities | ||
Net increase in deposits | 51,352,890 | 17,383,275 |
Advances from FHLB and other borrowings | 5,000,000 | |
Payments on long-term FHLB and other borrowings | (1,124,046) | (5,250,029) |
Conversion costs related to the conversion | (747,818) | |
Net Cash from Financing Activities | 49,481,026 | 17,133,246 |
Net Change in Cash and Cash Equivalents | 37,543,087 | 3,329,118 |
Cash and Cash Equivalents at Beginning of Year | 8,073,175 | 5,529,907 |
Cash and Cash Equivalents at End of Year | $ 45,616,262 | $ 8,859,025 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | Note 1 - Summary of Significant Accounting Policies Nature of Operations Mineola Community Mutual Holding Company (the Company) is a Texas state-chartered mutual holding company owned by its members. The Company wholly owns Mineola Community Financial Group, Inc. (MCFGI), which is a Delaware corporation. MCFGI wholly owns Mineola Community Bank, S.S.B. (the Bank), which is a Texas corporation. The Bank wholly owns Mineola Financial Services Corporation, which is a Texas corporation. Members of the Company are all holders of deposit accounts and borrowers of the Bank. Each member is allowed one vote per every $100 or fraction thereof on account up to a maximum of 1,000 votes. The Bank’s primary source of revenue is providing loans and banking services to consumers and commercial customers in Mineola, Texas and the surrounding area and the Dallas Fort Worth Metroplex. The accounting and reporting policies of the Company conform with accounting principles generally accepted in the United States of America (GAAP) and to general practices of the banking industry. Policies and practices which materially affect the determination of financial position, results of operations and cash flows are summarized as follows: Plan of Conversion and Offering The Boards of Directors of Mineola Community Mutual Holding Company, Mineola Community Bank, and Mineola Community Financial Group have adopted a plan of conversion and reorganization pursuant to which Mineola Community Bank will reorganize from the mutual holding company structure to the stock holding company structure. This conversion to a stock holding company structure includes the offering by Texas Community Bancshares, Inc. of shares of its common stock to eligible depositors and borrowers of Mineola Community Bank in a subscription offering and, if necessary, to the public in a community offering and/or in a separate offering through a syndicate of broker-dealers. Following the conversion and offering, Mineola Community Mutual Holding Company and Mineola Community Financial Group, Inc. will cease to exist, and Texas Community Bancshares will be the parent company of Mineola Community Bank. As stated in the plan of conversion, Texas Community Bancshares, Inc. offered shares of common stock for sale in the subscription offering to eligible account holders of the Bank, the Bank’s tax-qualified employee benefit plans, including its employee stock ownership plan, supplemental eligible account holders of the Bank, and other members (qualifying depositors and borrowers) of the Bank. The subscription offering at a price of $10.00 per share ended on June 17, 2021. The Company sold a total of per share. The Company also contributed Conversion costs will be deferred and reduce the proceeds from the shares sold in the conversion. There were no conversion costs recorded at December 31, 2020. At June 30, 2021, the Company has capitalized Interim Financial Statements The interim unaudited consolidated financial statements as of June 30, 2021, and for the three and six months ended June 30, 2021 and 2020, are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for a fair presentation of the results for the interim periods presented. Such adjustments are the only adjustments contained in these unaudited consolidated financial statements. These unaudited consolidated financial statements have been prepared according to the rules and regulations of the Securities and Exchange Commission, and therefore certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been omitted. The results of operations for the three and six months ended June 30, 2021, are not necessarily indicative of the results to be achieved for the remainder of the year ending December 31, 2021, or any other period. Certain prior period data presented in the consolidated financial statements have been reclassified to conform with the current period presentation. The accompanying consolidated financial statements have been derived from and should be read in conjunction with the consolidated financial statements and notes thereto of the Company for the year ended December 31, 2020 included in the Company’s definitive Prospectus dated May 14, 2021. Reference is made to the accounting policies of the Company described in the Notes to Consolidated Financial Statements contained in Form S-1 for the year ended December 31, 2020. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. Earnings Per Share During the periods ended June 30, 2021 and December 31, 2020, the Company did not have any outstanding common shares, therefore, an earnings per share calculation is not presented due to lack of required inputs for calculation. Use of Estimates In preparing consolidated financial statements in conformity with GAAP, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the statements of financial condition and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan and lease losses. Subsequent Events Effective July 14, 2021, Texas Community Bancshares, Inc. became the stock holding company of the Bank in connection with the consummation of the conversion and stock offering described above under “Plan of Conversion and Offering.” The common stock of Texas Community Bancshares, Inc. began trading on the Nasdaq Capital Market under the symbol “TCBS” on July 15, 2021. |
Debt Securities
Debt Securities | 6 Months Ended |
Jun. 30, 2021 | |
Debt Securities | |
Debt Securities | Note 2 - Debt Securities The amortized cost and fair value of securities, with gross unrealized gains and losses, follows: June 30, 2021 Gross Gross Estimated Amortized Unrealized Unrealized Fair Available for Sale Cost Gains Losses Value Debt Securities Residential mortgage-backed $ 12,730,119 $ 179,511 $ (87,309) $ 12,822,321 State and municipal 862,798 29,044 (88) 891,754 Total securities available for sale $ 13,592,917 $ 208,555 $ (87,397) $ 13,714,075 Held to Maturity Debt Securities Residential mortgage-backed $ 34,665,067 $ 552,020 $ (194,150) $ 35,022,937 State and municipal 3,560,522 25,700 (5,477) 3,580,745 Total securities held to maturity $ 38,225,589 $ 577,720 $ (199,627) $ 38,603,682 December 31, 2020 Gross Gross Estimated Amortized Unrealized Unrealized Fair Available for Sale Cost Gains Losses Value Debt Securities: Residential mortgage-backed $ 11,936,141 $ 202,240 $ (76,308) $ 12,062,073 State and municipal 867,600 36,781 (290) 904,091 Total securities available for sale $ 12,803,741 $ 239,021 $ (76,598) $ 12,966,164 Held to Maturity Debt Securities: Residential mortgage-backed $ 28,407,135 $ 650,705 $ (49,314) $ 29,008,526 State and municipal 5,920,862 39,690 — 5,960,552 Total securities held to maturity $ 34,327,997 $ 690,395 $ (49,314) $ 34,969,078 During the six months ended June 30, 2021 and 2020, the Bank had no sales of available for sale securities or held to maturity securities. At June 30, 2021 and December 31, 2020, securities with a carrying value of $2,815,654 and $2,680,448, respectively, were pledged to secure public deposits and for other purposes required or permitted by law. The amortized cost and fair value of debt securities by contractual maturity at June 30, 2021, follows: Available for Sale Held to Maturity Estimated Estimated Amortized Fair Amortized Fair Cost Value Cost Value Due in one year $ — $ — $ 500,000 $ 501,392 Due from one to five years — — 1,780,918 1,802,749 Due in five to ten years 862,798 891,754 134,059 136,536 After ten years — — 1,145,545 1,140,068 Residential mortgage-backed 12,730,119 12,822,321 34,665,067 35,022,937 Total $ 13,592,917 $ 13,714,075 $ 38,225,589 $ 38,603,682 The following table shows the gross unrealized losses and fair value of the Company’s investments with unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position: June 30, 2021 Less than 12 months 12 months or longer Gross Gross Fair Unrealized Fair Unrealized Category (number of securities) Value Losses Value Losses Residential mortgage-backed (13) $ 18,235,972 $ (281,459) $ — $ — State and municipal (1,1) 200,403 (88) 1,140,068 (5,477) Total $ 18,436,375 $ (281,547) $ 1,140,068 $ (5,477) December 31, 2020 Less than 12 months 12 months or longer Gross Gross Fair Unrealized Fair Unrealized Category (number of securities) Value Losses Value Losses Residential mortgage-backed (5) $ 8,298,196 $ (125,622) $ — $ — State and municipal (1) — — 202,130 (290) Total $ 8,298,196 $ (125,622) $ 202,130 $ (290) Mortgage-backed securities The unrealized losses on the Company’s investments in residential mortgage-backed securities were caused by interest rate increases and increases in prepayment speeds. The Company purchased those investments at a discount relative to their face amount, and the contractual cash flows of those investments are guaranteed by agencies of the U.S. government. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost bases of the Company’s investments. Because the decline in market value is attributable to changes in interest rates and increases in prepayment speeds and not credit quality, and because the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost bases, which may be maturity, the Company does not consider those investments to be other-than-temporarily impaired at June 30, 2021 or December 31, 2020. State and Municipal The unrealized losses on the Company’s investments in state and municipal securities were caused by interest rate increases. Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost bases of the Company’s investments. Because the decline in market value is attributable to changes in interest rates and not credit quality, and because the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost bases, which may be maturity, the Company does not consider those investments to be other-than-temporarily impaired at June 30, 2021 or December 31, 2020. Other-than-temporary Impairment Management evaluates securities for other-than-temporary impairment at least on a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) evaluation by the Company of (a) its intent to sell a debt security prior to recovery and (b) whether it is more likely than not the Company will have to sell the debt security prior to recovery. As of June 30, 2021 and December 31, 2020, no investment securities were other-than-temporarily impaired. |
Loans and Leases
Loans and Leases | 6 Months Ended |
Jun. 30, 2021 | |
Loans and Leases | |
Loans and Leases | Note 3 - Loans and Leases A summary of the balances of loans and leases follows: June 30, December 31, 2021 2020 Real estate $ 207,777,952 $ 201,660,711 Agriculture 146,035 358,171 Commercial 7,025,501 8,664,606 Consumer and other 5,122,916 4,148,843 Subtotal 220,072,404 214,832,331 Less allowance for loan and lease losses (1,583,690) (1,561,101) Loans and leases, net $ 218,488,714 $ 213,271,230 Paycheck Protection Program (PPP) Loans In March 2020, the United States government passed legislation designed to help the nation’s economy recover from the coronavirus disease 2019 (“COVID‐19”) pandemic. This legislation is called the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) which provides economy‐wide financial stimulus in the form of financial aid to individuals, businesses, nonprofit entities, states and municipalities. The CARES Act temporarily added a new product titled the “Paycheck Protection Program” (PPP) to the U.S. Small Business Administration’s loan program. The CARES Act permits the SBA to guarantee 100 percent of these loans and also provides for forgiveness of up to the full principal amount of these loans. As of June 30, 2021, the Company originated $5,484,223 in PPP loans of which $4,912,668 had been forgiven. Additionally, the Company recognized $5,096 and $10,094 of PPP loan interest in interest income during the six months ended June 30, 2021 and 2020, respectively. The following tables set forth information regarding the activity in the allowance for loan and lease losses for the three and six months ended June 30, 2021 and 2020 and year ended December 31, 2020 (in thousands): June 30, 2021 Consumer Real Estate Agriculture Commercial and Other Total Allowance for loan and lease losses: Three-months ended Beginning balance, April 1, 2021 $ 1,175 $ — $ 341 $ 46 $ 1,562 Charge-offs — — — (8) (8) Recoveries — — — 2 2 Provision (credit) (5) — 21 12 28 Ending balance, June 30, 2021 $ 1,170 $ — $ 362 $ 52 $ 1,584 Six-months ended Beginning balance, January 1, 2021 $ 1,171 $ 2 $ 355 $ 33 $ 1,561 Charge-offs — — — (21) (21) Recoveries — — — 14 14 Provision (credit) (1) (2) 7 26 30 Ending balance, June 30, 2021 $ 1,170 $ — $ 362 $ 52 $ 1,584 Balance, June 30, 2021 allocated to loans and leases individually evaluated for impairment $ 8 $ — $ 300 $ — $ 308 Balance, June 30, 2021 allocated to loans and leases collectively evaluated for impairment $ 1,162 $ — $ 62 $ 52 $ 1,276 Loans and leases receivable Balance, June 30, 2021 Loans and leases individually evaluated for impairment $ 2,414 $ — $ 502 $ — $ 2,916 Balance, June 30, 2021 Loans and leases collectively evaluated for impairment 205,364 146 6,523 5,123 217,156 Ending balance, June 30, 2021 $ 207,778 $ 146 $ 7,025 $ 5,123 $ 220,072 June 30, 2020 Consumer Real Estate Agriculture Commercial and Other Total Allowance for loan and lease losses: Three-months ended Beginning balance, April 1, 2020 $ 933 $ 2 $ 130 $ 37 $ 1,102 Charge-offs — — — (4) (4) Recoveries — — — 3 3 Provision (credit) 121 (1) 28 (7) 141 Ending balance, June 30, 2020 $ 1,054 $ 1 $ 158 $ 29 $ 1,242 Six-months ended Beginning balance, January 1, 2020 $ 937 $ 3 $ 128 $ 36 $ 1,104 Charge-offs — — — (13) (13) Recoveries — — — 6 6 Provision (credit) 117 (2) 30 — 145 Ending balance, June 30, 2020 $ 1,054 $ 1 $ 158 $ 29 $ 1,242 December 31, 2020 Consumer Real Estate Agriculture Commercial and Other Total Ending balance allocated to loans and leases individually evaluated for impairment $ 8 $ — $ 300 $ — $ 308 Ending balance allocated to loans and leases collectively evaluated for impairment $ 1,163 $ 2 $ 55 $ 33 $ 1,253 Loans and leases receivable Loans and leases individually evaluated for impairment $ 2,488 $ — $ 622 $ 2 $ 3,112 Loans and leases collectively evaluated for impairment 199,172 358 8,043 4,147 211,720 Ending balance $ 201,660 $ 358 $ 8,665 $ 4,149 $ 214,832 The Company monitors credit quality within its portfolio segments based on primary credit quality indicators. All of the Company’s loans and leases are evaluated using pass rated or reservable criticized as the primary credit quality indicator. The term reservable criticized refers to those loans and leases that are internally classified or listed by the Company as special mention, substandard, doubtful or loss. These assets pose an elevated risk and may have a high probability of default or total loss. The classifications of loans and leases reflect a judgment about the risks of default and loss associated with the loan. The Company reviews the ratings on credits quarterly. Ratings are adjusted to reflect the degree of risk and loss that is felt to be inherent in each credit as of each quarterly reporting period. The methodology is structured so that specific allocations are increased in accordance with deterioration in credit quality (and a corresponding increase in risk and loss) or decreased in accordance with improvement in credit quality (and a corresponding decrease in risk and loss). Credits rated special mention show clear signs of financial weaknesses or deterioration in credit worthiness; however, such concerns are not so pronounced that the Company generally expects to experience significant loss within the short-term. Such credits typically maintain the ability to perform within standard credit terms and credit exposure is not as prominent as credits rated more harshly. Credits rated substandard are those in which the normal repayment of principal and interest may be, or has been, jeopardized by reason of adverse trends or developments of a financial, managerial, economic or political nature, or important weaknesses exist in collateral. A protracted workout on these credits is a distinct possibility. Prompt corrective action is therefore required to strengthen the Company’s position, and/or to reduce exposure and to assure that adequate remedial measures are taken by the borrower. Credit exposure becomes more likely in such credits and a serious evaluation of the secondary support to the credit is performed. Credits rated doubtful are those in which full collection of principal appears highly questionable, and which some degree of loss is anticipated, even though the ultimate amount of loss may not yet be certain and/or other factors exist which could affect collection of debt. Based upon available information, positive action by the Company is required to avert or minimize loss. Credits with this classification have often become collateral dependent and any shortage in collateral or other likely loss amount is recorded as a specific valuation allowance. Credits rated doubtful are generally also placed on nonaccrual. Credits rated loss are those that are considered uncollectible and of such little value that their continuance as bankable assets is not warranted. This classification does not mean that the asset has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be affected in the future. Pass rated refers to loans that are not considered criticized. In addition to this primary credit quality indicator, the Company uses other credit quality indicators for certain types of loans. The following table sets forth information regarding the internal classification of the loan and lease portfolio (in thousands): June 30, 2021 Special Pass Mention Substandard Doubtful Loss Total Real estate Construction and land $ 20,210 $ 926 $ 339 $ — $ — $ 21,475 Farmland 5,547 — 209 — — 5,756 1‑4 Residential & multi 149,642 14 2,062 — — 151,718 Commercial real estate 27,494 — 1,335 — — 28,829 Agriculture 146 — — — — 146 Commercial 6,466 — 104 455 — 7,025 Consumer and other 5,046 13 64 — — 5,123 Total $ 214,551 $ 953 $ 4,113 $ 455 $ — $ 220,072 December 31, 2020 Special Pass Mention Substandard Doubtful Loss Total Real estate Construction and land $ 22,467 $ — $ 328 $ — $ — $ 22,795 Farmland 5,306 — 310 — — 5,616 1‑4 Residential & multi 141,371 664 1,811 — — 143,846 Commercial real estate 28,062 — 1,341 — — 29,403 Agriculture 358 — — — — 358 Commercial 8,043 — 56 566 — 8,665 Consumer and other 4,130 2 17 — — 4,149 Total $ 209,737 $ 666 $ 3,863 $ 566 $ — $ 214,832 The following table sets forth information regarding the credit risk profile based on payment activity of the loan and lease portfolio (in thousands): June 30, 2021 December 31, 2020 Non- Non- Performing performing Total Performing performing Total Real estate Construction and land $ 21,475 $ — $ 21,475 $ 22,795 $ — $ 22,795 Farmland 5,547 209 5,756 5,306 310 5,616 1‑4 Residential & multi 151,063 655 151,718 143,317 529 143,846 Commercial real estate 28,829 — 28,829 29,403 — 29,403 Agriculture 146 — 146 358 — 358 Commercial 7,000 25 7,025 8,634 31 8,665 Consumer and other 5,123 — 5,123 4,146 3 4,149 Total $ 219,183 $ 889 $ 220,072 $ 213,959 $ 873 $ 214,832 The following table sets forth information regarding the delinquencies not on nonaccrual within the loan and lease portfolio (in thousands): June 30, 2021 Recorded 90 Days Investment 30‑89 Days and Total Total > 90 Days and Past Due Greater Past Due Current Loans Still Accruing Real estate Construction and land $ 1,261 $ 312 $ 1,573 $ 19,902 $ 21,475 $ 312 Farmland — 209 209 5,547 5,756 — 1‑4 Residential & multi 107 524 631 151,087 151,718 — Commercial real estate 2 — 2 28,827 28,829 — Agriculture — — — 146 146 — Commercial 66 — 66 6,959 7,025 — Consumer and other 28 — 28 5,095 5,123 — Total $ 1,464 $ 1,045 $ 2,509 $ 217,563 $ 220,072 $ 312 December 31, 2020 Recorded 90 Days Investment 30‑89 Days and Total Total > 90 Days and Past Due Greater Past Due Current Loans Still Accruing Real estate Construction and land $ 286 $ — $ 286 $ 22,509 $ 22,795 $ — Farmland — — — 5,616 5,616 — 1‑4 Residential & multi 344 — 344 143,502 143,846 — Commercial real estate — — — 29,403 29,403 — Agriculture — — — 358 358 — Commercial 44 — 44 8,621 8,665 — Consumer and other 5 — 5 4,144 4,149 — Total $ 679 $ — $ 679 $ 214,153 $ 214,832 $ — The following table sets forth information regarding the nonaccrual status within the loan and lease portfolio as of June 30, 2021 and December 31, 2020 (in thousands): June 30 December 31, 2021 2020 Real estate Farmland $ 209 $ 310 1‑4 Residential & multi 655 529 Commercial 25 31 Consumer and other — 3 Total $ 889 $ 873 A loan is considered impaired when based on current information and events; it is probable that the Company will be unable to collect all amounts due from the borrower in accordance with the contractual terms of the loan. Impaired loans include nonperforming loans (nonaccrual loans), loans performing but with deterioration that leads to doubt regarding collectability and also includes loans modified in troubled debt restructurings when concessions have been granted to borrowers experiencing financial difficulties. These concessions could include a reduction in the interest rate on the loan, payment extensions, forgiveness of principal, forbearance or other actions intended to maximize collection. All interest accrued but not collected for loans that are placed on nonaccrual or charged‐off is reversed against interest income. The interest on these loans is accounted for on the cash‐basis or cost‐recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. No interest income was recognized for loans on nonaccrual status for the three and six months ended June 30, 2021 and 2020. The following table presents interest income recognized on impaired loans for the three and six month periods (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Real estate 1‑4 Residential & multi $ 18 $ 3 $ 20 $ 5 Commercial real estate 27 1 29 3 Commercial 11 8 14 15 Consumer and other 1 — 1 — $ 57 $ 12 $ 64 $ 23 The following table sets forth information regarding impaired loans as of June 30, 2021 (in thousands): Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment With no related allowance Real estate Farmland $ 209 $ 249 $ — $ 260 1‑4 Residential & multi 870 900 — 854 Commercial real estate 130 130 — 133 Commercial 187 188 — 109 With a related allowance Real estate Commercial real estate 1,205 1,205 8 1,205 Commercial 315 315 300 453 Total Real estate Farmland 209 249 — 260 1-4 Residential & multi 870 900 — 854 Commercial real estate 1,335 1,335 8 1,338 Commercial 502 503 300 562 $ 2,916 $ 2,987 $ 308 $ 3,014 The following table sets forth information regarding impaired loans as of December 31, 2020 (in thousands): Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment With no related allowance Real estate Farmland $ 310 $ 340 $ — $ 322 1‑4 Residential & multi 837 873 — 897 Commercial real estate 136 136 — 141 Commercial 31 32 — 106 Consumer and other 2 3 — 5 With a related allowance Real estate Commercial real estate 1,205 1,205 8 1,205 Commercial 591 591 300 462 Total Real estate Farmland 310 340 — 322 1-4 Residential & multi 837 873 — 897 Commercial real estate 1,341 1,341 8 1,346 Commercial 622 623 300 568 Consumer and other 2 3 — 5 $ 3,112 $ 3,180 $ 308 $ 3,138 During the six months ended June 30, 2021, there were two modifications resulting in troubled debt restructurings of approximately $90,000. The first loan is a single-family residence with an outstanding balance of approximately $71,000 as of June 30, 2021 and a second loan in commercial and industrial with an outstanding balance of approximately $16,000 as of June 30, 2021. There were no troubled debt restructurings that occurred during the six months ended June 30, 2020. There have been no subsequently defaulted troubled debt restructurings. The Company has no commitments to loan additional funds to borrowers whose loans have been modified but may on occasion extend financing to these borrowers. At June 30, 2021 and December 31, 2020, the Company had a recorded investment of $510,403 and $433,455, respectively, of troubled debt restructured loans. The Company has no current commitments to loan additional funds to the borrowers whose loans have been modified. |
Off-Balance-Sheet Activities
Off-Balance-Sheet Activities | 6 Months Ended |
Jun. 30, 2021 | |
Off-Balance-Sheet Activities | |
Off-Balance-Sheet Activities | Note 4 - Off-Balance-Sheet Activities The Company is a party to credit related financial instruments with off-balance-sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated statements of financial condition. The Company’s exposure to credit loss is represented by the contractual amount of these commitments. The Company follows the same credit policies in making commitments as it does for on-balance-sheet instruments. At June 30, 2021 and December 31, 2020, the following financial instruments were outstanding whose contract amounts represent credit risk: Contract Amount June 30, December 31, 2021 2020 Commitments to extend credit $ 22,977,000 $ 22,403,000 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. The commitments for equity lines of credit may expire without being drawn upon. Therefore, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if it is deemed necessary by the Company, is based on management’s credit evaluation of the customer. The Company is party to an agreement with the Federal Reserve Bank of Boston that provides the Company with a federal funds line of credit in an amount tied to securities on deposit with that bank. The Company pays no fees for this line of credit and has not drawn upon it. The Company is party to agreements with its correspondent banks that provide the Company with lines for up to $15,000,000 federal funds line of credit to support overnight funding needs. The Company pays no fees for this line of credit and has not drawn upon it. The lines renew annually. At June 30, 2021, the Company had no commitments to purchase securities. The Company has no other off-balance-sheet arrangements or transactions with unconsolidated, special purpose entities that would expose the Company to liability that is not reflected on the face of the consolidated financial statements. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2021 | |
Supplemental Cash Flow Information | |
Supplemental Cash Flow Information | Note 5 - Supplemental Cash Flow Information Supplemental disclosure of cash flow information is as follows: Six Months Ended June 30, 2021 2020 Supplemental cash flow information: Cash paid for Interest on deposits $ 820,335 $ 964,198 Interest on FHLB advances 318,365 362,634 Other interest 5,495 5,789 Income taxes 145,000 122,041 |
Minimum Regulatory Capital Requ
Minimum Regulatory Capital Requirements | 6 Months Ended |
Jun. 30, 2021 | |
Minimum Regulatory Capital Requirements | |
Minimum Regulatory Capital Requirements | Note 6 - Minimum Regulatory Capital Requirements The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgements by the regulators about components, risk weightings, and other factors. The Bank has opted into the Community Bank Leverage Ratio (CBLR) framework, beginning with the Call Report filed for the first quarter of 2020. At June 30, 2021 and December 31, 2020, the Bank’s CBLR ratio was 9.34% and 10.49%, respectively, which exceeded all regulatory capital requirements under the CBLR framework and the Bank was considered to be “well-capitalized.” Under the CLBR framework, banks and their bank holding companies that have less than $10 billion in total consolidated assets and meet other qualifying criteria, including a leverage ratio (equal to tier 1 capital divided by average total consolidated assets) of greater than 9%, are eligible to opt into the CBLR framework. Qualifying community banking organizations that elect to use the CBLR framework and that maintain a leverage ratio of greater than 9% will be considered to have satisfied the generally applicable risk-based and leverage capital requirements in the agencies’ capital rules (generally applicable capital rules) and, if applicable, will be considered to have met the well-capitalized ratio requirements for purposes of section 38 of the Federal Deposit Insurance Act. Accordingly, a qualifying community banking organization that exceeds the 9% CBLR will be considered to have met: (i) the generally applicable risk-based and leverage capital requirements of the generally applicable capital rules; (ii) the capital ratio requirements in order to be considered well-capitalized under the prompt corrective action framework; (iii) any other applicable capital or leverage requirements. A qualifying community banking organization that elects to be under the CBLR framework generally would be exempt from the current capital framework, including risk-based capital requirements and capital conservation buffer requirements. On April 6, 2020, the federal banking regulators, implementing the applicable provisions of the CARES Act, issued interim rules which modified the CBLR framework so that: (i) beginning second quarter 2020 and until the end of the year, a banking organization that has a leverage ratio of 8% or greater and meets certain other criteria may elect to use the CBLR framework; and (ii) community banking organizations will have until January 1, 2022 before the CBLR requirement is reestablished at greater than 9%. Under the interim rules, the minimum CBLR will be 8% beginning in the second quarter and for the remainder of calendar year 2020, 8.5% for calendar year 2021, and 9% thereafter. The interim rules also maintain a two-quarter grace period for a qualifying community banking organization whose leverage ratio falls no more than 1% below the applicable community bank leverage ratio. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements | |
Fair Value Measurements | Note 7 - Fair Value Measurements Authoritative guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability shall not be adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. Authoritative guidance requires the use of valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset (replacement costs). Valuation techniques should be consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, authoritative guidance establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: ● Level 1 Inputs - Unadjusted 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 Inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (for example, interest rates, volatilities, prepayment speeds, loss severities, credit risks and default rates) or inputs that are derived principally from or corroborated by observable market data by correlation or other means. ● Level 3 Inputs - Significant unobservable inputs that reflect an entity ’ s own assumptions that market participants would use in pricing the assets or liabilities. A description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. There have been no changes in valuation techniques during the periods ended June 30, 2021 and December 31, 2020, respectively. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that primarily use, as inputs, observable market- based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Available for Sale Securities - Securities classified as available for sale are reported at fair value utilizing Level 2 inputs. For these securities, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U. S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayments speeds, credit information and the bond’s terms and conditions, among other things. Impaired Loans - Impaired loans are reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. Collateral values are estimated using Level 3 inputs based on internally customized discounting criteria. Foreclosed Assets – Fair values are valued at the time the loan is foreclosed upon and the asset is transferred from loans. The value is based upon primarily third-party appraisals, less estimated costs to sell. The appraisals are generally discounted based on management’s historical knowledge, changes in market conditions from the time of valuation, and/or management’s expertise and knowledge of the client and the client’s business. Such discounts are typically significant and result in Level 3 classification of the inputs for determining fair value. Foreclosed assets are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly, based on the same or similar factors above. The following table summarizes financial assets measured at fair value on a recurring basis as of June 30, 2021 and December 31, 2020, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: June 30, 2021 Level 1 Level 2 Level 3 Total Inputs Inputs Inputs Fair Value Financial assets Available-for-sale securities Residential mortgage-backed $ — $ 12,822,321 $ — $ 12,822,321 State and municipal — 891,754 — 891,754 Total financial assets $ — $ 13,714,075 $ — $ 13,714,075 December 31, 2020 Level 1 Level 2 Level 3 Total Inputs Inputs Inputs FairValue Financial assets Available-for-sale securities Residential mortgage-backed $ — $ 12,062,073 $ — $ 12,062,073 State and municipal — 904,091 — 904,091 Total financial assets $ — $ 12,966,164 $ — $ 12,966,164 Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). The following table summarizes financial and non-financial assets measured at fair value on a nonrecurring basis as of June 30, 2021 and December 31, 2020, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value: June 30, 2021 Level 1 Level 2 Level 3 Total Fair Inputs Inputs Inputs Value Financial assets Impaired loans $ — $ — $ 1,211,917 $ 1,211,917 Nonfinancial assets Foreclosed assets — — 209,181 209,181 $ — $ — $ 1,421,098 $ 1,421,098 December 31, 2020 Level 1 Level 2 Level 3 Total Fair Inputs Inputs Inputs Value Financial assets Impaired loans $ — $ — $ 1,487,301 $ 1,487,301 Nonfinancial assets Foreclosed assets — — 209,181 209,181 $ — $ — $ 1,696,482 $ 1,696,482 During the six months ended June 30, 2021 and 2020, certain impaired loans were remeasured and reported at fair value through a specific valuation allowance allocation of the allowance for loan and lease losses based upon the fair value of the underlying collateral. At June 30, 2021, impaired loans with a carrying value of $1,519,917 were reduced by specific valuation allowance allocations totaling $308,000 to a reported fair value of $1,211,917 . At December 31, 2020, impaired loans with a carrying value of Quantitative Information About Significant Unobservable Inputs Used in Level 3 Fair Value Measurements – The following table represents the Company’s Level 3 financial assets, the valuation techniques used to measure the fair value of those financial assets, the significant unobservable inputs and the ranges of values for those inputs: Significant Range of Fair Value at Principal Valuation Unobservable Significant Input Instrument June 30, 2021 Technique Inputs Values Appraisal of Appraisal Impaired loans $ 1,211,917 collateral (1) adjustment 10-25 % Appraisal of Appraisal Foreclosed assets $ 209,181 collateral (1) adjustment 10-25 % Significant Range of Fair Value at Principal Valuation Unobservable Significant Input Instrument December 31, 2020 Technique Inputs Values Appraisal of Appraisal Impaired loans $ 1,487,301 collateral (1) adjustment 10-25 % Appraisal of Appraisal Foreclosed assets $ 209,181 collateral (1) adjustment 10-25 % (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various Level 3 inputs which are not identifiable. The estimated fair values, and related carrying amounts, of the Company’s financial instruments are as follows (in thousands): June 30, 2021 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value Total Carrying Value Financial assets Cash and cash equivalents $ 45,616 $ — $ — $ 45,616 $ 45,616 Interest bearing deposits in banks 17,182 — — 17,182 17,182 Securities held to maturity — 38,604 — 38,604 38,226 Loans, net — — 219,884 219,884 218,384 Net investment in direct financing leases — — 105 105 105 Interest receivable 764 — — 764 764 Restricted investments carried at cost — 2,031 — 2,031 2,031 Mortgage servicing rights — — 8 8 8 Financial liabilities Deposits — — 286,769 286,769 286,493 Federal Home Loan Bank advances — — 30,733 30,733 29,644 Interest payable 147 — — 147 147 December 31, 2020 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value Total Carrying Value Financial assets Cash and cash equivalents $ 8,073 $ — $ — $ 8,073 $ 8,073 Interest bearing deposits in banks 14,015 — — 14,015 14,015 Securities held to maturity — 34,969 — 34,969 34,328 Loans, net — — 214,362 214,362 213,239 Net investment in direct financing leases — — 32 32 32 Interest receivable 963 — — 963 963 Restricted investments carried at cost — 2,024 — 2,024 2,024 Mortgage servicing rights — — 12 12 12 Financial liabilities Deposits — — 235,246 235,246 235,140 Federal Home Loan Bank advances — — 32,297 32,297 30,768 Interest payable 180 — — 180 180 The following methods and assumptions were used by the Company in estimating fair value disclosures for financial instruments: Cash and cash equivalents and interest-bearing deposits in banks – The carrying value approximates their fair values. Securities held to maturity – Fair values for investment securities are based on quoted market prices or whose value is determined using discounted cash flow methodologies. Loans and net investment in direct financing leases – The fair values for loans are estimated using discounted cash flow analyses, using interest rates currently being offered for loans with similar terms and credit quality. Interest receivable – The carrying value approximates its fair value. Mortgage servicing rights – Fair values are estimated using discounted cash flows based on current market rates of interest. Restricted investments carried at cost – The carrying value of these investments approximates fair value based on the redemption provisions contained in each. Deposits – The fair values disclosed for demand deposits (for example, interest and noninterest checking, passbook savings, and certain types of money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (that is, their carrying amounts). The carrying amounts of variable-rate, fixed-term money market accounts and certificates of deposit approximate their fair values at the reporting date. Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies market interest rates on comparable instruments to a schedule of aggregated expected monthly maturities on time deposits. Federal Home Loan Bank advances – Current market rates for debt with similar terms and remaining maturities are used to estimate fair value of existing debt. Interest payable – The carrying value approximates the fair value. |
Recently Issued Accounting Pron
Recently Issued Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Changes and Error Corrections [Abstract] | |
Recently Issued Accounting Pronouncements | Note 8 - Recently Issued But Not Yet Effective Accounting Pronouncements Accounting Standards Update (ASU) 2016‐13, “Financial Instruments ‐ Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” ASU 2016‐13 requires the measurement of all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts and requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. ASU 2016‐13 is effective for the Company on January 1, 2023. Management is still evaluating the impact on the Company’s consolidated financial statements. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Summary of Significant Accounting Policies | |
Interim Financial Statements | Interim Financial Statements The interim unaudited consolidated financial statements as of June 30, 2021, and for the three and six months ended June 30, 2021 and 2020, are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for a fair presentation of the results for the interim periods presented. Such adjustments are the only adjustments contained in these unaudited consolidated financial statements. These unaudited consolidated financial statements have been prepared according to the rules and regulations of the Securities and Exchange Commission, and therefore certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been omitted. The results of operations for the three and six months ended June 30, 2021, are not necessarily indicative of the results to be achieved for the remainder of the year ending December 31, 2021, or any other period. Certain prior period data presented in the consolidated financial statements have been reclassified to conform with the current period presentation. The accompanying consolidated financial statements have been derived from and should be read in conjunction with the consolidated financial statements and notes thereto of the Company for the year ended December 31, 2020 included in the Company’s definitive Prospectus dated May 14, 2021. Reference is made to the accounting policies of the Company described in the Notes to Consolidated Financial Statements contained in Form S-1 for the year ended December 31, 2020. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany transactions and balances have been eliminated in consolidation. |
Earnings Per Share | Earnings Per Share During the periods ended June 30, 2021 and December 31, 2020, the Company did not have any outstanding common shares, therefore, an earnings per share calculation is not presented due to lack of required inputs for calculation. |
Use of Estimates | Use of Estimates In preparing consolidated financial statements in conformity with GAAP, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the statements of financial condition and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan and lease losses. |
Debt Securities (Tables)
Debt Securities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Securities | |
Schedule of amortized cost and fair value of securities | June 30, 2021 Gross Gross Estimated Amortized Unrealized Unrealized Fair Available for Sale Cost Gains Losses Value Debt Securities Residential mortgage-backed $ 12,730,119 $ 179,511 $ (87,309) $ 12,822,321 State and municipal 862,798 29,044 (88) 891,754 Total securities available for sale $ 13,592,917 $ 208,555 $ (87,397) $ 13,714,075 Held to Maturity Debt Securities Residential mortgage-backed $ 34,665,067 $ 552,020 $ (194,150) $ 35,022,937 State and municipal 3,560,522 25,700 (5,477) 3,580,745 Total securities held to maturity $ 38,225,589 $ 577,720 $ (199,627) $ 38,603,682 December 31, 2020 Gross Gross Estimated Amortized Unrealized Unrealized Fair Available for Sale Cost Gains Losses Value Debt Securities: Residential mortgage-backed $ 11,936,141 $ 202,240 $ (76,308) $ 12,062,073 State and municipal 867,600 36,781 (290) 904,091 Total securities available for sale $ 12,803,741 $ 239,021 $ (76,598) $ 12,966,164 Held to Maturity Debt Securities: Residential mortgage-backed $ 28,407,135 $ 650,705 $ (49,314) $ 29,008,526 State and municipal 5,920,862 39,690 — 5,960,552 Total securities held to maturity $ 34,327,997 $ 690,395 $ (49,314) $ 34,969,078 |
Schedule of contractual maturities of debt securities | Available for Sale Held to Maturity Estimated Estimated Amortized Fair Amortized Fair Cost Value Cost Value Due in one year $ — $ — $ 500,000 $ 501,392 Due from one to five years — — 1,780,918 1,802,749 Due in five to ten years 862,798 891,754 134,059 136,536 After ten years — — 1,145,545 1,140,068 Residential mortgage-backed 12,730,119 12,822,321 34,665,067 35,022,937 Total $ 13,592,917 $ 13,714,075 $ 38,225,589 $ 38,603,682 |
Schedule of securities with unrealized and unrecognized losses | June 30, 2021 Less than 12 months 12 months or longer Gross Gross Fair Unrealized Fair Unrealized Category (number of securities) Value Losses Value Losses Residential mortgage-backed (13) $ 18,235,972 $ (281,459) $ — $ — State and municipal (1,1) 200,403 (88) 1,140,068 (5,477) Total $ 18,436,375 $ (281,547) $ 1,140,068 $ (5,477) December 31, 2020 Less than 12 months 12 months or longer Gross Gross Fair Unrealized Fair Unrealized Category (number of securities) Value Losses Value Losses Residential mortgage-backed (5) $ 8,298,196 $ (125,622) $ — $ — State and municipal (1) — — 202,130 (290) Total $ 8,298,196 $ (125,622) $ 202,130 $ (290) |
Loans and Leases (Tables)
Loans and Leases (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Loans and Leases | |
Summary of the balances of loans and leases | June 30, December 31, 2021 2020 Real estate $ 207,777,952 $ 201,660,711 Agriculture 146,035 358,171 Commercial 7,025,501 8,664,606 Consumer and other 5,122,916 4,148,843 Subtotal 220,072,404 214,832,331 Less allowance for loan and lease losses (1,583,690) (1,561,101) Loans and leases, net $ 218,488,714 $ 213,271,230 |
Schedule of activity in the allowance for loan and lease losses | The following tables set forth information regarding the activity in the allowance for loan and lease losses for the three and six months ended June 30, 2021 and 2020 and year ended December 31, 2020 (in thousands): June 30, 2021 Consumer Real Estate Agriculture Commercial and Other Total Allowance for loan and lease losses: Three-months ended Beginning balance, April 1, 2021 $ 1,175 $ — $ 341 $ 46 $ 1,562 Charge-offs — — — (8) (8) Recoveries — — — 2 2 Provision (credit) (5) — 21 12 28 Ending balance, June 30, 2021 $ 1,170 $ — $ 362 $ 52 $ 1,584 Six-months ended Beginning balance, January 1, 2021 $ 1,171 $ 2 $ 355 $ 33 $ 1,561 Charge-offs — — — (21) (21) Recoveries — — — 14 14 Provision (credit) (1) (2) 7 26 30 Ending balance, June 30, 2021 $ 1,170 $ — $ 362 $ 52 $ 1,584 Balance, June 30, 2021 allocated to loans and leases individually evaluated for impairment $ 8 $ — $ 300 $ — $ 308 Balance, June 30, 2021 allocated to loans and leases collectively evaluated for impairment $ 1,162 $ — $ 62 $ 52 $ 1,276 Loans and leases receivable Balance, June 30, 2021 Loans and leases individually evaluated for impairment $ 2,414 $ — $ 502 $ — $ 2,916 Balance, June 30, 2021 Loans and leases collectively evaluated for impairment 205,364 146 6,523 5,123 217,156 Ending balance, June 30, 2021 $ 207,778 $ 146 $ 7,025 $ 5,123 $ 220,072 June 30, 2020 Consumer Real Estate Agriculture Commercial and Other Total Allowance for loan and lease losses: Three-months ended Beginning balance, April 1, 2020 $ 933 $ 2 $ 130 $ 37 $ 1,102 Charge-offs — — — (4) (4) Recoveries — — — 3 3 Provision (credit) 121 (1) 28 (7) 141 Ending balance, June 30, 2020 $ 1,054 $ 1 $ 158 $ 29 $ 1,242 Six-months ended Beginning balance, January 1, 2020 $ 937 $ 3 $ 128 $ 36 $ 1,104 Charge-offs — — — (13) (13) Recoveries — — — 6 6 Provision (credit) 117 (2) 30 — 145 Ending balance, June 30, 2020 $ 1,054 $ 1 $ 158 $ 29 $ 1,242 December 31, 2020 Consumer Real Estate Agriculture Commercial and Other Total Ending balance allocated to loans and leases individually evaluated for impairment $ 8 $ — $ 300 $ — $ 308 Ending balance allocated to loans and leases collectively evaluated for impairment $ 1,163 $ 2 $ 55 $ 33 $ 1,253 Loans and leases receivable Loans and leases individually evaluated for impairment $ 2,488 $ — $ 622 $ 2 $ 3,112 Loans and leases collectively evaluated for impairment 199,172 358 8,043 4,147 211,720 Ending balance $ 201,660 $ 358 $ 8,665 $ 4,149 $ 214,832 |
Schedule of internal classification and credit risk profile based on payment activity of the loan and lease portfolio | The following table sets forth information regarding the internal classification of the loan and lease portfolio (in thousands): June 30, 2021 Special Pass Mention Substandard Doubtful Loss Total Real estate Construction and land $ 20,210 $ 926 $ 339 $ — $ — $ 21,475 Farmland 5,547 — 209 — — 5,756 1‑4 Residential & multi 149,642 14 2,062 — — 151,718 Commercial real estate 27,494 — 1,335 — — 28,829 Agriculture 146 — — — — 146 Commercial 6,466 — 104 455 — 7,025 Consumer and other 5,046 13 64 — — 5,123 Total $ 214,551 $ 953 $ 4,113 $ 455 $ — $ 220,072 December 31, 2020 Special Pass Mention Substandard Doubtful Loss Total Real estate Construction and land $ 22,467 $ — $ 328 $ — $ — $ 22,795 Farmland 5,306 — 310 — — 5,616 1‑4 Residential & multi 141,371 664 1,811 — — 143,846 Commercial real estate 28,062 — 1,341 — — 29,403 Agriculture 358 — — — — 358 Commercial 8,043 — 56 566 — 8,665 Consumer and other 4,130 2 17 — — 4,149 Total $ 209,737 $ 666 $ 3,863 $ 566 $ — $ 214,832 The following table sets forth information regarding the credit risk profile based on payment activity of the loan and lease portfolio (in thousands): June 30, 2021 December 31, 2020 Non- Non- Performing performing Total Performing performing Total Real estate Construction and land $ 21,475 $ — $ 21,475 $ 22,795 $ — $ 22,795 Farmland 5,547 209 5,756 5,306 310 5,616 1‑4 Residential & multi 151,063 655 151,718 143,317 529 143,846 Commercial real estate 28,829 — 28,829 29,403 — 29,403 Agriculture 146 — 146 358 — 358 Commercial 7,000 25 7,025 8,634 31 8,665 Consumer and other 5,123 — 5,123 4,146 3 4,149 Total $ 219,183 $ 889 $ 220,072 $ 213,959 $ 873 $ 214,832 |
Schedule of delinquencies not on nonaccrual within the loan and lease portfolio | The following table sets forth information regarding the delinquencies not on nonaccrual within the loan and lease portfolio (in thousands): June 30, 2021 Recorded 90 Days Investment 30‑89 Days and Total Total > 90 Days and Past Due Greater Past Due Current Loans Still Accruing Real estate Construction and land $ 1,261 $ 312 $ 1,573 $ 19,902 $ 21,475 $ 312 Farmland — 209 209 5,547 5,756 — 1‑4 Residential & multi 107 524 631 151,087 151,718 — Commercial real estate 2 — 2 28,827 28,829 — Agriculture — — — 146 146 — Commercial 66 — 66 6,959 7,025 — Consumer and other 28 — 28 5,095 5,123 — Total $ 1,464 $ 1,045 $ 2,509 $ 217,563 $ 220,072 $ 312 December 31, 2020 Recorded 90 Days Investment 30‑89 Days and Total Total > 90 Days and Past Due Greater Past Due Current Loans Still Accruing Real estate Construction and land $ 286 $ — $ 286 $ 22,509 $ 22,795 $ — Farmland — — — 5,616 5,616 — 1‑4 Residential & multi 344 — 344 143,502 143,846 — Commercial real estate — — — 29,403 29,403 — Agriculture — — — 358 358 — Commercial 44 — 44 8,621 8,665 — Consumer and other 5 — 5 4,144 4,149 — Total $ 679 $ — $ 679 $ 214,153 $ 214,832 $ — |
Schedule of nonaccrual status within the loan and lease portfolio | The following table sets forth information regarding the nonaccrual status within the loan and lease portfolio as of June 30, 2021 and December 31, 2020 (in thousands): June 30 December 31, 2021 2020 Real estate Farmland $ 209 $ 310 1‑4 Residential & multi 655 529 Commercial 25 31 Consumer and other — 3 Total $ 889 $ 873 |
Schedule of interest income recognized on impaired financing receivables | The following table presents interest income recognized on impaired loans for the three and six month periods (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2021 2020 2021 2020 Real estate 1‑4 Residential & multi $ 18 $ 3 $ 20 $ 5 Commercial real estate 27 1 29 3 Commercial 11 8 14 15 Consumer and other 1 — 1 — $ 57 $ 12 $ 64 $ 23 |
Schedule of information regarding impaired loans | The following table sets forth information regarding impaired loans as of June 30, 2021 (in thousands): Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment With no related allowance Real estate Farmland $ 209 $ 249 $ — $ 260 1‑4 Residential & multi 870 900 — 854 Commercial real estate 130 130 — 133 Commercial 187 188 — 109 With a related allowance Real estate Commercial real estate 1,205 1,205 8 1,205 Commercial 315 315 300 453 Total Real estate Farmland 209 249 — 260 1-4 Residential & multi 870 900 — 854 Commercial real estate 1,335 1,335 8 1,338 Commercial 502 503 300 562 $ 2,916 $ 2,987 $ 308 $ 3,014 The following table sets forth information regarding impaired loans as of December 31, 2020 (in thousands): Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment With no related allowance Real estate Farmland $ 310 $ 340 $ — $ 322 1‑4 Residential & multi 837 873 — 897 Commercial real estate 136 136 — 141 Commercial 31 32 — 106 Consumer and other 2 3 — 5 With a related allowance Real estate Commercial real estate 1,205 1,205 8 1,205 Commercial 591 591 300 462 Total Real estate Farmland 310 340 — 322 1-4 Residential & multi 837 873 — 897 Commercial real estate 1,341 1,341 8 1,346 Commercial 622 623 300 568 Consumer and other 2 3 — 5 $ 3,112 $ 3,180 $ 308 $ 3,138 |
Off-Balance-Sheet Activities (T
Off-Balance-Sheet Activities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Off-Balance-Sheet Activities | |
Schedule of financial instruments outstanding whose contract amounts represent credit risk | Contract Amount June 30, December 31, 2021 2020 Commitments to extend credit $ 22,977,000 $ 22,403,000 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Supplemental Cash Flow Information | |
Schedule of supplemental cash flow information | Six Months Ended June 30, 2021 2020 Supplemental cash flow information: Cash paid for Interest on deposits $ 820,335 $ 964,198 Interest on FHLB advances 318,365 362,634 Other interest 5,495 5,789 Income taxes 145,000 122,041 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Measurements | |
Summary of financial assets and financial liabilities measured at fair value on a recurring basis | June 30, 2021 Level 1 Level 2 Level 3 Total Inputs Inputs Inputs Fair Value Financial assets Available-for-sale securities Residential mortgage-backed $ — $ 12,822,321 $ — $ 12,822,321 State and municipal — 891,754 — 891,754 Total financial assets $ — $ 13,714,075 $ — $ 13,714,075 December 31, 2020 Level 1 Level 2 Level 3 Total Inputs Inputs Inputs FairValue Financial assets Available-for-sale securities Residential mortgage-backed $ — $ 12,062,073 $ — $ 12,062,073 State and municipal — 904,091 — 904,091 Total financial assets $ — $ 12,966,164 $ — $ 12,966,164 |
Summary of financial assets and financial liabilities measured at fair value on a nonrecurring basis | June 30, 2021 Level 1 Level 2 Level 3 Total Fair Inputs Inputs Inputs Value Financial assets Impaired loans $ — $ — $ 1,211,917 $ 1,211,917 Nonfinancial assets Foreclosed assets — — 209,181 209,181 $ — $ — $ 1,421,098 $ 1,421,098 December 31, 2020 Level 1 Level 2 Level 3 Total Fair Inputs Inputs Inputs Value Financial assets Impaired loans $ — $ — $ 1,487,301 $ 1,487,301 Nonfinancial assets Foreclosed assets — — 209,181 209,181 $ — $ — $ 1,696,482 $ 1,696,482 |
Schedule of quantitative information about significant unobservable inputs | Significant Range of Fair Value at Principal Valuation Unobservable Significant Input Instrument June 30, 2021 Technique Inputs Values Appraisal of Appraisal Impaired loans $ 1,211,917 collateral (1) adjustment 10-25 % Appraisal of Appraisal Foreclosed assets $ 209,181 collateral (1) adjustment 10-25 % Significant Range of Fair Value at Principal Valuation Unobservable Significant Input Instrument December 31, 2020 Technique Inputs Values Appraisal of Appraisal Impaired loans $ 1,487,301 collateral (1) adjustment 10-25 % Appraisal of Appraisal Foreclosed assets $ 209,181 collateral (1) adjustment 10-25 % (1) Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various Level 3 inputs which are not identifiable. |
Summary of estimated fair values, and related carrying amounts, of the Company's financial instruments | June 30, 2021 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value Total Carrying Value Financial assets Cash and cash equivalents $ 45,616 $ — $ — $ 45,616 $ 45,616 Interest bearing deposits in banks 17,182 — — 17,182 17,182 Securities held to maturity — 38,604 — 38,604 38,226 Loans, net — — 219,884 219,884 218,384 Net investment in direct financing leases — — 105 105 105 Interest receivable 764 — — 764 764 Restricted investments carried at cost — 2,031 — 2,031 2,031 Mortgage servicing rights — — 8 8 8 Financial liabilities Deposits — — 286,769 286,769 286,493 Federal Home Loan Bank advances — — 30,733 30,733 29,644 Interest payable 147 — — 147 147 December 31, 2020 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value Total Carrying Value Financial assets Cash and cash equivalents $ 8,073 $ — $ — $ 8,073 $ 8,073 Interest bearing deposits in banks 14,015 — — 14,015 14,015 Securities held to maturity — 34,969 — 34,969 34,328 Loans, net — — 214,362 214,362 213,239 Net investment in direct financing leases — — 32 32 32 Interest receivable 963 — — 963 963 Restricted investments carried at cost — 2,024 — 2,024 2,024 Mortgage servicing rights — — 12 12 12 Financial liabilities Deposits — — 235,246 235,246 235,140 Federal Home Loan Bank advances — — 32,297 32,297 30,768 Interest payable 180 — — 180 180 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | Jun. 17, 2021USD ($)$ / sharesshares | Jun. 30, 2021USD ($)Vote | Dec. 31, 2020USD ($) | Jul. 14, 2021shares |
Accounting Policies [Line Items] | ||||
Denomination for calculation of votes | $ | $ 100 | |||
Maximum number of votes | Vote | 1,000 | |||
Number of votes per share | Vote | 1 | |||
Offering price | $ / shares | $ 10 | |||
Common stock shares sold | shares | 3,207,759 | |||
Common stock shares issued | shares | 3,257,759 | |||
Conversion costs | $ | $ 0 | |||
Conversion costs capitalized | $ | $ 747,818 | |||
TCBS Foundation Inc. | ||||
Accounting Policies [Line Items] | ||||
Common stock shares contributed | shares | 50,000 | |||
Cash contributed | $ | $ 75,000 | |||
Mineola Community Bank's Employee Stock Ownership Plan | ||||
Accounting Policies [Line Items] | ||||
Offering price | $ / shares | $ 10 | |||
Common stock shares sold | shares | 260,261 |
Debt Securities - Amortized cos
Debt Securities - Amortized cost and fair value (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Available for Sale | |||
Amortized Cost | $ 13,592,917 | $ 12,803,741 | |
Gross Unrealized Gains | 208,555 | 239,021 | |
Gross Unrealized Losses | (87,397) | (76,598) | |
Debt Securities, Available-for-sale, Total | 13,714,075 | 12,966,164 | |
Held to Maturity | |||
Amortized Cost | 38,225,589 | 34,327,997 | |
Gross Unrealized Gains | 577,720 | 690,395 | |
Gross Unrealized Losses | (199,627) | (49,314) | |
Debt Securities, Held-to-maturity, Fair Value, Total | 38,603,682 | 34,969,078 | |
Collateral Pledged | |||
Held to Maturity | |||
Debt securities pledged as collateral | 2,815,654 | 2,680,448 | |
Available-for-sale Securities | |||
Held to Maturity | |||
Proceeds from sales of available for sale securities | 0 | $ 0 | |
Held-to-maturity Securities | |||
Held to Maturity | |||
Proceeds from sales of held for sale securities | 0 | $ 0 | |
Residential Mortgage-backed | |||
Available for Sale | |||
Amortized Cost | 12,730,119 | 11,936,141 | |
Gross Unrealized Gains | 179,511 | 202,240 | |
Gross Unrealized Losses | (87,309) | (76,308) | |
Debt Securities, Available-for-sale, Total | 12,822,321 | 12,062,073 | |
Held to Maturity | |||
Amortized Cost | 34,665,067 | 28,407,135 | |
Gross Unrealized Gains | 552,020 | 650,705 | |
Gross Unrealized Losses | (194,150) | (49,314) | |
Debt Securities, Held-to-maturity, Fair Value, Total | 35,022,937 | 29,008,526 | |
State and municipal | |||
Available for Sale | |||
Amortized Cost | 862,798 | 867,600 | |
Gross Unrealized Gains | 29,044 | 36,781 | |
Gross Unrealized Losses | (88) | (290) | |
Debt Securities, Available-for-sale, Total | 891,754 | 904,091 | |
Held to Maturity | |||
Amortized Cost | 3,560,522 | 5,920,862 | |
Gross Unrealized Gains | 25,700 | 39,690 | |
Gross Unrealized Losses | (5,477) | ||
Debt Securities, Held-to-maturity, Fair Value, Total | $ 3,580,745 | $ 5,960,552 |
Debt Securities - Contractual m
Debt Securities - Contractual maturities (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Available for Sale, Amortized Cost | ||
Due after five through ten years, Amortized Cost | $ 862,798 | |
Residential Mortgage-backed | 12,730,119 | |
Total debt securities, Amortized Cost | 13,592,917 | $ 12,803,741 |
Available for Sale, Fair Value | ||
Due after five through ten years, Fair Value | 891,754 | |
Residential Mortgage-backed | 12,822,321 | |
Debt Securities, Available-for-sale, Total | 13,714,075 | 12,966,164 |
Held to Maturity, Amortized Cost | ||
Due in one year or less, Amortized Cost | 500,000 | |
Due after one through five years, Amortized Cost | 1,780,918 | |
Due after five through ten years, Amortized Cost | 134,059 | |
Due after ten years, Amortized Cost | 1,145,545 | |
Residential Mortgage-backed | 34,665,067 | |
Debt Securities, Held-to-maturity, Total | 38,225,589 | 34,327,997 |
Held to Maturity, Fair Value | ||
Due in one year or less, Fair Value | 501,392 | |
Due after one through five years, Fair Value | 1,802,749 | |
Due after five through ten years, Fair Value | 136,536 | |
Due after ten years, Fair Value | 1,140,068 | |
Debt Securities, Held-to-maturity, Maturity, without Single Maturity Date, Fair Value | 35,022,937 | |
Debt Securities, Held-to-maturity, Fair Value, Total | 38,603,682 | 34,969,078 |
Residential Mortgage-backed | ||
Available for Sale, Amortized Cost | ||
Total debt securities, Amortized Cost | 12,730,119 | 11,936,141 |
Available for Sale, Fair Value | ||
Debt Securities, Available-for-sale, Total | 12,822,321 | 12,062,073 |
Held to Maturity, Amortized Cost | ||
Debt Securities, Held-to-maturity, Total | 34,665,067 | 28,407,135 |
Held to Maturity, Fair Value | ||
Debt Securities, Held-to-maturity, Fair Value, Total | $ 35,022,937 | $ 29,008,526 |
Debt Securities - Unrealized Lo
Debt Securities - Unrealized Losses (Details) | Jun. 30, 2021USD ($)security | Dec. 31, 2020USD ($)security |
Debt Securities, Available-for-sale [Line Items] | ||
Unrealized Losses, Less than 12 Months | $ (281,547) | $ (125,622) |
Unrealized Losses, 12 Months or More | (5,477) | (290) |
Fair Value, Less than 12 Months | 18,436,375 | 8,298,196 |
Fair Value, 12 Months or More | 1,140,068 | 202,130 |
Residential Mortgage-backed | ||
Debt Securities, Available-for-sale [Line Items] | ||
Unrealized Losses, Less than 12 Months | (281,459) | (125,622) |
Fair Value, Less than 12 Months | $ 18,235,972 | $ 8,298,196 |
Number of securities in portfolio | security | (13) | (5) |
State and municipal | ||
Debt Securities, Available-for-sale [Line Items] | ||
Unrealized Losses, Less than 12 Months | $ (88) | |
Unrealized Losses, 12 Months or More | (5,477) | $ (290) |
Fair Value, Less than 12 Months | 200,403 | |
Fair Value, 12 Months or More | $ 1,140,068 | $ 202,130 |
Number of securities in portfolio | security | (1) | (1) |
Debt Securities (Details)
Debt Securities (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Debt Securities | ||
Other than temporary impairment loss recognized | $ 0 | $ 0 |
Loans and Leases - Summary of b
Loans and Leases - Summary of balances of loans and leases (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Loans and Leases | ||
Loans and leases, gross | $ 220,072,404 | $ 214,832,331 |
Less allowance for loan and lease losses | (1,583,690) | (1,561,101) |
Loans and leases, net | 218,488,714 | 213,271,230 |
Real estate | ||
Loans and Leases | ||
Loans and leases, gross | 207,777,952 | 201,660,711 |
Agriculture | ||
Loans and Leases | ||
Loans and leases, gross | 146,035 | 358,171 |
Commercial | ||
Loans and Leases | ||
Loans and leases, gross | 7,025,501 | 8,664,606 |
Consumer and other | ||
Loans and Leases | ||
Loans and leases, gross | $ 5,122,916 | $ 4,148,843 |
Loans and Leases - Paycheck Pro
Loans and Leases - Paycheck Protection Program (PPP) Loans (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Loans and Leases | |||||
Original balance | $ 220,072,404 | $ 220,072,404 | $ 214,832,331 | ||
Loan fees in interest income | 2,402,267 | $ 2,305,083 | 4,803,352 | $ 4,532,348 | |
Paycheck Protection Program (PPP) Loans | |||||
Loans and Leases | |||||
Original balance | 5,484,223 | 5,484,223 | |||
Loan forgiven | 4,912,668 | 4,912,668 | |||
Loan fees in interest income | 5,096 | $ 10,094 | |||
Consumer and other | |||||
Loans and Leases | |||||
Original balance | $ 5,122,916 | $ 5,122,916 | $ 4,148,843 |
Loans and Leases - Activity in
Loans and Leases - Activity in the allowance for loan and lease losses (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Allowance for loan and lease losses: | |||||
Beginning balance | $ 1,562,000 | $ 1,102,000 | $ 1,561,000 | $ 1,104,000 | |
Charge-offs | (8,000) | (4,000) | (21,000) | (13,000) | |
Recoveries | 2,000 | 3,000 | 14,000 | 6,000 | |
Provision for Loan and Lease Losses | 28,145 | 141,027 | 30,076 | 145,429 | |
Ending balance | 1,584,000 | 1,242,000 | 1,584,000 | 1,242,000 | |
Ending balance allocated to loans and leases individually evaluated for impairment | 308,000 | 308,000 | $ 308,000 | ||
Ending balance allocated to loans and leases collectively evaluated for impairment | 1,276,000 | 1,276,000 | 1,253,000 | ||
Loans and leases receivable | |||||
Loans and leases individually evaluated for impairment | 2,916,000 | 2,916,000 | 3,112,000 | ||
Loans and leases collectively evaluated for impairment | 217,156,000 | 217,156,000 | 211,720,000 | ||
Total Loans | 220,072,404 | 220,072,404 | 214,832,331 | ||
Real estate | |||||
Allowance for loan and lease losses: | |||||
Beginning balance | 1,175,000 | 933,000 | 1,171,000 | 937,000 | |
Provision for Loan and Lease Losses | (5,000) | 121,000 | (1,000) | 117,000 | |
Ending balance | 1,170,000 | 1,054,000 | 1,170,000 | 1,054,000 | |
Ending balance allocated to loans and leases individually evaluated for impairment | 8,000 | 8,000 | 8,000 | ||
Ending balance allocated to loans and leases collectively evaluated for impairment | 1,162,000 | 1,162,000 | 1,163,000 | ||
Loans and leases receivable | |||||
Loans and leases individually evaluated for impairment | 2,414,000 | 2,414,000 | 2,488,000 | ||
Loans and leases collectively evaluated for impairment | 205,364,000 | 205,364,000 | 199,172,000 | ||
Total Loans | 207,777,952 | 207,777,952 | 201,660,711 | ||
Agriculture | |||||
Allowance for loan and lease losses: | |||||
Beginning balance | 2,000 | 2,000 | 3,000 | ||
Provision for Loan and Lease Losses | (1,000) | (2,000) | (2,000) | ||
Ending balance | 1,000 | 1,000 | |||
Ending balance allocated to loans and leases collectively evaluated for impairment | 2,000 | ||||
Loans and leases receivable | |||||
Loans and leases collectively evaluated for impairment | 146,000 | 146,000 | 358,000 | ||
Total Loans | 146,035 | 146,035 | 358,171 | ||
Commercial | |||||
Allowance for loan and lease losses: | |||||
Beginning balance | 341,000 | 130,000 | 355,000 | 128,000 | |
Provision for Loan and Lease Losses | 21,000 | 28,000 | 7,000 | 30,000 | |
Ending balance | 362,000 | 158,000 | 362,000 | 158,000 | |
Ending balance allocated to loans and leases individually evaluated for impairment | 300,000 | 300,000 | 300,000 | ||
Ending balance allocated to loans and leases collectively evaluated for impairment | 62,000 | 62,000 | 55,000 | ||
Loans and leases receivable | |||||
Loans and leases individually evaluated for impairment | 502,000 | 502,000 | 622,000 | ||
Loans and leases collectively evaluated for impairment | 6,523,000 | 6,523,000 | 8,043,000 | ||
Total Loans | 7,025,501 | 7,025,501 | 8,664,606 | ||
Consumer and other | |||||
Allowance for loan and lease losses: | |||||
Beginning balance | 46,000 | 37,000 | 33,000 | 36,000 | |
Charge-offs | (8,000) | (4,000) | (21,000) | (13,000) | |
Recoveries | 2,000 | 3,000 | 14,000 | 6,000 | |
Provision for Loan and Lease Losses | 12,000 | (7,000) | 26,000 | ||
Ending balance | 52,000 | $ 29,000 | 52,000 | $ 29,000 | |
Ending balance allocated to loans and leases collectively evaluated for impairment | 52,000 | 52,000 | 33,000 | ||
Loans and leases receivable | |||||
Loans and leases individually evaluated for impairment | 2,000 | ||||
Loans and leases collectively evaluated for impairment | 5,123,000 | 5,123,000 | 4,147,000 | ||
Total Loans | $ 5,122,916 | $ 5,122,916 | $ 4,148,843 |
Loans and Leases - Internal cla
Loans and Leases - Internal classification of the loan and lease portfolio (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Loans and Leases | ||
Loans and leases, gross | $ 220,072,404 | $ 214,832,331 |
Performing | ||
Loans and Leases | ||
Loans and leases, gross | 219,183,000 | 213,959,000 |
Non-performing | ||
Loans and Leases | ||
Loans and leases, gross | 889,000 | 873,000 |
Pass | ||
Loans and Leases | ||
Loans and leases, gross | 214,551,000 | 209,737,000 |
Special Mention | ||
Loans and Leases | ||
Loans and leases, gross | 953,000 | 666,000 |
Substandard | ||
Loans and Leases | ||
Loans and leases, gross | 4,113,000 | 3,863,000 |
Doubtful | ||
Loans and Leases | ||
Loans and leases, gross | 455,000 | 566,000 |
Real estate | ||
Loans and Leases | ||
Loans and leases, gross | 207,777,952 | 201,660,711 |
Real estate | Construction and Land loan | ||
Loans and Leases | ||
Loans and leases, gross | 21,475,000 | 22,795,000 |
Real estate | Construction and Land loan | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 21,475,000 | 22,795,000 |
Real estate | Construction and Land loan | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 20,210,000 | 22,467,000 |
Real estate | Construction and Land loan | Special Mention | ||
Loans and Leases | ||
Loans and leases, gross | 926,000 | |
Real estate | Construction and Land loan | Substandard | ||
Loans and Leases | ||
Loans and leases, gross | 339,000 | 328,000 |
Real estate | Farmland loan | ||
Loans and Leases | ||
Loans and leases, gross | 5,756,000 | 5,616,000 |
Real estate | Farmland loan | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 5,547,000 | 5,306,000 |
Real estate | Farmland loan | Non-performing | ||
Loans and Leases | ||
Loans and leases, gross | 209,000 | 310,000 |
Real estate | Farmland loan | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 5,547,000 | 5,306,000 |
Real estate | Farmland loan | Substandard | ||
Loans and Leases | ||
Loans and leases, gross | 209,000 | 310,000 |
Real estate | 1- 4 Residential & Multi Loan | ||
Loans and Leases | ||
Loans and leases, gross | 151,718,000 | 143,846,000 |
Real estate | 1- 4 Residential & Multi Loan | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 151,063,000 | 143,317,000 |
Real estate | 1- 4 Residential & Multi Loan | Non-performing | ||
Loans and Leases | ||
Loans and leases, gross | 655,000 | 529,000 |
Real estate | 1- 4 Residential & Multi Loan | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 149,642,000 | 141,371,000 |
Real estate | 1- 4 Residential & Multi Loan | Special Mention | ||
Loans and Leases | ||
Loans and leases, gross | 14,000 | 664,000 |
Real estate | 1- 4 Residential & Multi Loan | Substandard | ||
Loans and Leases | ||
Loans and leases, gross | 2,062,000 | 1,811,000 |
Real estate | Commercial real estate loan | ||
Loans and Leases | ||
Loans and leases, gross | 28,829,000 | 29,403,000 |
Real estate | Commercial real estate loan | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 28,829,000 | 29,403,000 |
Real estate | Commercial real estate loan | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 27,494,000 | 28,062,000 |
Real estate | Commercial real estate loan | Substandard | ||
Loans and Leases | ||
Loans and leases, gross | 1,335,000 | 1,341,000 |
Agriculture | ||
Loans and Leases | ||
Loans and leases, gross | 146,035 | 358,171 |
Agriculture | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 146,000 | 358,000 |
Agriculture | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 146,000 | 358,000 |
Commercial | ||
Loans and Leases | ||
Loans and leases, gross | 7,025,501 | 8,664,606 |
Commercial | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 7,000,000 | 8,634,000 |
Commercial | Non-performing | ||
Loans and Leases | ||
Loans and leases, gross | 25,000 | 31,000 |
Commercial | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 6,466,000 | 8,043,000 |
Commercial | Substandard | ||
Loans and Leases | ||
Loans and leases, gross | 104,000 | 56,000 |
Commercial | Doubtful | ||
Loans and Leases | ||
Loans and leases, gross | 455,000 | 566,000 |
Consumer and other | ||
Loans and Leases | ||
Loans and leases, gross | 5,122,916 | 4,148,843 |
Consumer and other | Performing | ||
Loans and Leases | ||
Loans and leases, gross | 5,123,000 | 4,146,000 |
Consumer and other | Non-performing | ||
Loans and Leases | ||
Loans and leases, gross | 3,000 | |
Consumer and other | Pass | ||
Loans and Leases | ||
Loans and leases, gross | 5,046,000 | 4,130,000 |
Consumer and other | Special Mention | ||
Loans and Leases | ||
Loans and leases, gross | 13,000 | 2,000 |
Consumer and other | Substandard | ||
Loans and Leases | ||
Loans and leases, gross | $ 64,000 | $ 17,000 |
Loans and Leases - Delinquencie
Loans and Leases - Delinquencies not on nonaccrual (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 220,072,000 | $ 214,832,000 |
Original balance | 220,072,404 | 214,832,331 |
Recorded Investment > 90 Days and Still Accruing | 312,000 | |
Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 217,563,000 | 214,153,000 |
Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 2,509,000 | 679,000 |
30 - 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,464,000 | 679,000 |
90 Days and Greater | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,045,000 | |
Real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Original balance | 207,777,952 | 201,660,711 |
Real estate | Construction and Land loan | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 21,475,000 | 22,795,000 |
Original balance | 21,475,000 | 22,795,000 |
Recorded Investment > 90 Days and Still Accruing | 312,000 | |
Real estate | Construction and Land loan | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 19,902,000 | 22,509,000 |
Real estate | Construction and Land loan | Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,573,000 | 286,000 |
Real estate | Construction and Land loan | 30 - 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,261,000 | 286,000 |
Real estate | Construction and Land loan | 90 Days and Greater | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 312,000 | |
Real estate | Farmland loan | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 5,756,000 | 5,616,000 |
Original balance | 5,756,000 | 5,616,000 |
Real estate | Farmland loan | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 5,547,000 | 5,616,000 |
Real estate | Farmland loan | Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 209,000 | |
Real estate | Farmland loan | 90 Days and Greater | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 209,000 | |
Real estate | 1- 4 Residential & Multi Loan | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 151,718,000 | 143,846,000 |
Original balance | 151,718,000 | 143,846,000 |
Real estate | 1- 4 Residential & Multi Loan | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 151,087,000 | 143,502,000 |
Real estate | 1- 4 Residential & Multi Loan | Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 631,000 | 344,000 |
Real estate | 1- 4 Residential & Multi Loan | 30 - 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 107,000 | 344,000 |
Real estate | 1- 4 Residential & Multi Loan | 90 Days and Greater | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 524,000 | |
Real estate | Commercial real estate loan | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 28,829,000 | 29,403,000 |
Original balance | 28,829,000 | 29,403,000 |
Real estate | Commercial real estate loan | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 28,827,000 | 29,403,000 |
Real estate | Commercial real estate loan | Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 2,000 | |
Real estate | Commercial real estate loan | 30 - 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 2,000 | |
Agriculture | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 146,000 | |
Original balance | 146,035 | 358,171 |
Agriculture | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 146,000 | |
Agriculture | Commercial real estate loan | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 358,000 | |
Agriculture | Commercial real estate loan | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 358,000 | |
Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 7,025,501 | 8,665,000 |
Original balance | 7,025,501 | 8,664,606 |
Commercial | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 6,959,000 | 8,621,000 |
Commercial | Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 66,000 | 44,000 |
Commercial | 30 - 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 66,000 | 44,000 |
Consumer and other | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 5,123,000 | 4,149,000 |
Original balance | 5,122,916 | 4,148,843 |
Consumer and other | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 5,095,000 | 4,144,000 |
Consumer and other | Financial Asset, Past Due [Member] | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 28,000 | 5,000 |
Consumer and other | 30 - 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 28,000 | $ 5,000 |
Loans and Leases - Nonaccrual s
Loans and Leases - Nonaccrual status within the loan and lease portfolio (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Loans and Leases | |||||
Loans with nonaccrual status | $ 889,000 | $ 889,000 | $ 873,000 | ||
Interest income on nonaccrual loans | 0 | $ 0 | 0 | $ 0 | |
Real estate | Farmland loan | |||||
Loans and Leases | |||||
Loans with nonaccrual status | 209,000 | 209,000 | 310,000 | ||
Real estate | 1- 4 Residential & Multi Loan | |||||
Loans and Leases | |||||
Loans with nonaccrual status | 655,000 | 655,000 | 529,000 | ||
Commercial | |||||
Loans and Leases | |||||
Loans with nonaccrual status | $ 25,000 | $ 25,000 | 31,000 | ||
Consumer and other | |||||
Loans and Leases | |||||
Loans with nonaccrual status | $ 3,000 |
Loans and Leases - Interest Inc
Loans and Leases - Interest Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Loans and Leases | ||||
Interest income for impaired loans | $ 57 | $ 12 | $ 64 | $ 23 |
Real estate | 1- 4 Residential & Multi Loan | ||||
Loans and Leases | ||||
Interest income for impaired loans | 18 | 3 | 20 | 5 |
Real estate | Commercial real estate loan | ||||
Loans and Leases | ||||
Interest income for impaired loans | 27 | 1 | 29 | 3 |
Commercial | ||||
Loans and Leases | ||||
Interest income for impaired loans | 11 | $ 8 | 14 | $ 15 |
Consumer and other | ||||
Loans and Leases | ||||
Interest income for impaired loans | $ 1 | $ 1 |
Loans and Leases - Impaired loa
Loans and Leases - Impaired loans (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Recorded Investment | ||
Recorded Investment, Total | $ 2,916 | $ 3,112 |
Unpaid Principal Balance | ||
Unpaid Principal Balance, Total | 2,987 | 3,180 |
Related Allowance | 308 | 308 |
Average Recorded Investment | ||
Average Recorded Investment, Total | 3,014 | 3,138 |
Real estate | Farmland loan | ||
Recorded Investment | ||
With no related allowance | 209 | 310 |
Recorded Investment, Total | 209 | 310 |
Unpaid Principal Balance | ||
With no related allowance | 249 | 340 |
Unpaid Principal Balance, Total | 249 | 340 |
Average Recorded Investment | ||
With no related allowance | 260 | 322 |
Average Recorded Investment, Total | 260 | 322 |
Real estate | 1- 4 Residential & Multi Loan | ||
Recorded Investment | ||
With no related allowance | 870 | 837 |
Recorded Investment, Total | 870 | 837 |
Unpaid Principal Balance | ||
With no related allowance | 900 | 873 |
Unpaid Principal Balance, Total | 900 | 873 |
Average Recorded Investment | ||
With no related allowance | 854 | 897 |
Average Recorded Investment, Total | 854 | 897 |
Real estate | Commercial real estate loan | ||
Recorded Investment | ||
With no related allowance | 130 | 136 |
With a related allowance | 1,205 | 1,205 |
Recorded Investment, Total | 1,335 | 1,341 |
Unpaid Principal Balance | ||
With no related allowance | 130 | 136 |
With a related allowance | 1,205 | 1,205 |
Unpaid Principal Balance, Total | 1,335 | 1,341 |
Related Allowance | 8 | 8 |
Average Recorded Investment | ||
With no related allowance | 133 | 141 |
With a related allowance | 1,205 | 1,205 |
Average Recorded Investment, Total | 1,338 | 1,346 |
Commercial | ||
Recorded Investment | ||
With no related allowance | 187 | 31 |
With a related allowance | 315 | 591 |
Recorded Investment, Total | 502 | 622 |
Unpaid Principal Balance | ||
With no related allowance | 188 | 32 |
With a related allowance | 315 | 591 |
Unpaid Principal Balance, Total | 503 | 623 |
Related Allowance | 300 | 300 |
Average Recorded Investment | ||
With no related allowance | 109 | 106 |
With a related allowance | 453 | 462 |
Average Recorded Investment, Total | $ 562 | 568 |
Consumer and other | ||
Recorded Investment | ||
With no related allowance | 2 | |
Recorded Investment, Total | 2 | |
Unpaid Principal Balance | ||
With no related allowance | 3 | |
Unpaid Principal Balance, Total | 3 | |
Average Recorded Investment | ||
With no related allowance | 5 | |
Average Recorded Investment, Total | $ 5 |
Loans and Leases - Trouble debt
Loans and Leases - Trouble debt restructuring (Details) | 6 Months Ended | ||
Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Financing Receivable, Modifications, Number of Contracts | 2 | 0 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 90,000 | ||
Financing Receivable, Troubled Debt Restructuring | 510,403 | $ 433,455 | |
Commercial | |||
Financing Receivable, Troubled Debt Restructuring, Postmodification | 16,000 | ||
1- 4 Residential & Multi Loan | Real estate | |||
Financing Receivable, Troubled Debt Restructuring, Postmodification | $ 71,000 |
Loans and Leases - Troubled deb
Loans and Leases - Troubled debt restructurings (Details) | 6 Months Ended | ||
Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Loans and Leases | |||
Number of troubled debt restructurings | 2 | 0 | |
Number of subsequently defaulted troubled debt restructurings | 0 | ||
Loan commitments | $ 0 | ||
Recorded investment of troubled debt restructurings | $ 510,403 | $ 433,455 |
Off-Balance-Sheet Activities -
Off-Balance-Sheet Activities - Commitments to extend credit (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments outstanding whose contract amounts represent credit risk | $ 0 | |
Commitments to extend credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments outstanding whose contract amounts represent credit risk | $ 22,977,000 | $ 22,403,000 |
Off-Balance-Sheet Activities _2
Off-Balance-Sheet Activities - Narratives (Details) | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Line of Credit Facility [Line Items] | |
Commitments to purchase securities | $ 0 |
Other off-balance-sheet arrangements | 0 |
Federal Reserve Bank of Boston | |
Line of Credit Facility [Line Items] | |
Line of credit facility fees | 0 |
Maximum borrowing capacity | $ 15,000,000 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Supplemental Cash Flow Information | ||
Interest on deposits | $ 820,335 | $ 964,198 |
Interest on FHLB advances | 318,365 | 362,634 |
Other interest | 5,495 | 5,789 |
Income taxes | $ 145,000 | $ 122,041 |
Minimum Regulatory Capital Re_2
Minimum Regulatory Capital Requirements (Details) | Jun. 30, 2021 | Dec. 31, 2020 |
Minimum Regulatory Capital Requirements | ||
Community Bank Leverage Ratio | 9.34 | 10.49 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial assets and liabilities measured at fair value on a recurring basis (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value Measurements | ||
Available-for-sale securities | $ 13,714,075 | $ 12,966,164 |
Residential Mortgage-backed | ||
Fair Value Measurements | ||
Available-for-sale securities | 12,822,321 | 12,062,073 |
State and municipal | ||
Fair Value Measurements | ||
Available-for-sale securities | 891,754 | 904,091 |
Recurring | ||
Fair Value Measurements | ||
Financial assets | 13,714,075 | 12,966,164 |
Recurring | Residential Mortgage-backed | ||
Fair Value Measurements | ||
Available-for-sale securities | 12,822,321 | 12,062,073 |
Recurring | State and municipal | ||
Fair Value Measurements | ||
Available-for-sale securities | 891,754 | 904,091 |
Recurring | Level 2 | ||
Fair Value Measurements | ||
Financial assets | 13,714,075 | 12,966,164 |
Recurring | Level 2 | Residential Mortgage-backed | ||
Fair Value Measurements | ||
Available-for-sale securities | 12,822,321 | 12,062,073 |
Recurring | Level 2 | State and municipal | ||
Fair Value Measurements | ||
Available-for-sale securities | $ 891,754 | $ 904,091 |
Fair Value Measurements - Fin_2
Fair Value Measurements - Financial assets and liabilities measured at fair value on a nonrecurring basis (Details) - Non-recurring - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value Measurements | ||
Impaired loans | $ 1,211,917 | $ 1,487,301 |
Foreclosed assets | 209,181 | 209,181 |
Financial assets | 1,421,098 | 1,696,482 |
Level 3 | ||
Fair Value Measurements | ||
Impaired loans | 1,211,917 | 1,487,301 |
Foreclosed assets | 209,181 | 209,181 |
Financial assets | 1,421,098 | 1,696,482 |
Level 3 | Impaired Loans | ||
Fair Value Measurements | ||
Impaired loans | $ 1,211,917 | $ 1,487,301 |
Fair Value Measurements - Quant
Fair Value Measurements - Quantitative information about significant unobservable inputs (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Carrying value | $ 2,916,000 | $ 2,916,000 | $ 3,112,000 | ||
Related Allowance | 308,000 | 308,000 | 308,000 | ||
Provision for Loan and Lease Losses | 28,145 | $ 141,027 | 30,076 | $ 145,429 | |
Impaired Loans | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Carrying value | 1,519,917 | 1,519,917 | 1,795,301 | ||
Related Allowance | 308,000 | 308,000 | 308,000 | ||
Provision for Loan and Lease Losses | 0 | $ 0 | |||
Non-recurring | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Impaired loans | 1,211,917 | 1,211,917 | 1,487,301 | ||
Foreclosed assets | 209,181 | 209,181 | 209,181 | ||
Non-recurring | Level 3 | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Impaired loans | 1,211,917 | 1,211,917 | 1,487,301 | ||
Foreclosed assets | 209,181 | 209,181 | 209,181 | ||
Non-recurring | Level 3 | Impaired Loans | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Impaired loans | $ 1,211,917 | $ 1,211,917 | $ 1,487,301 | ||
Non-recurring | Level 3 | Impaired Loans | Minimum | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Asset measurement input | 10 | 10 | 10 | ||
Non-recurring | Level 3 | Impaired Loans | Maximum | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Asset measurement input | 25 | 25 | 25 | ||
Non-recurring | Level 3 | Foreclosed Assets | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Foreclosed assets | $ 209,181 | $ 209,181 | $ 209,181 | ||
Non-recurring | Level 3 | Foreclosed Assets | Minimum | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Asset measurement input | 10 | 10 | 10 | ||
Non-recurring | Level 3 | Foreclosed Assets | Maximum | |||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||||
Asset measurement input | 25 | 25 | 25 |
Fair Value Measurements - Estim
Fair Value Measurements - Estimated fair values, and related carrying amounts, of financial instruments (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Financial assets | ||
Securities held to maturity | $ 38,603,682 | $ 34,969,078 |
Carrying Value | ||
Financial assets | ||
Cash and cash equivalents | 45,616,000 | 8,073,000 |
Interest bearing deposits in banks | 17,182,000 | 14,015,000 |
Securities held to maturity | 38,226,000 | 34,328,000 |
Loans, net | 218,384,000 | 213,239,000 |
Net investment in direct financing leases | 105,000 | 32,000 |
Interest receivable | 764,000 | 963,000 |
Restricted investments carried at cost | 2,031,000 | 2,024,000 |
Mortgage servicing rights | 8,000 | 12,000 |
Financial liabilities | ||
Deposits | 286,493,000 | 235,140,000 |
Federal Home Loan Bank advances | 29,644,000 | 30,768,000 |
Interest payable | 147,000 | 180,000 |
Fair Value | ||
Financial assets | ||
Cash and cash equivalents | 45,616,000 | 8,073,000 |
Interest bearing deposits in banks | 17,182,000 | 14,015,000 |
Securities held to maturity | 38,604,000 | 34,969,000 |
Loans, net | 219,884,000 | 214,362,000 |
Net investment in direct financing leases | 105,000 | 32,000 |
Interest receivable | 764,000 | 963,000 |
Restricted investments carried at cost | 2,031,000 | 2,024,000 |
Mortgage servicing rights | 8,000 | 12,000 |
Financial liabilities | ||
Deposits | 286,769,000 | 235,246,000 |
Federal Home Loan Bank advances | 30,733,000 | 32,297,000 |
Interest payable | 147,000 | 180,000 |
Level 1 | ||
Financial assets | ||
Cash and cash equivalents | 45,616,000 | 8,073,000 |
Interest bearing deposits in banks | 17,182,000 | 14,015,000 |
Interest receivable | 764,000 | 963,000 |
Financial liabilities | ||
Interest payable | 147,000 | 180,000 |
Level 2 | ||
Financial assets | ||
Securities held to maturity | 38,604,000 | 34,969,000 |
Restricted investments carried at cost | 2,031,000 | 2,024,000 |
Level 3 | ||
Financial assets | ||
Loans, net | 219,884,000 | 214,362,000 |
Net investment in direct financing leases | 105,000 | 32,000 |
Mortgage servicing rights | 8,000 | 12,000 |
Financial liabilities | ||
Deposits | 286,769,000 | 235,246,000 |
Federal Home Loan Bank advances | $ 30,733,000 | $ 32,297,000 |