Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Oct. 31, 2020 | |
Cover [Abstract] | ||
Entity Registrant Name | Trustmark Corp | |
Entity Central Index Key | 0000036146 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 63,423,820 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2020 | |
Trading Symbol | TRMK | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock, no par value | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity File Number | 000-03683 | |
Entity Incorporation, State or Country Code | MS | |
Entity Tax Identification Number | 64-0471500 | |
Entity Address, Address Line One | 248 East Capitol Street | |
Entity Address, City or Town | Jackson | |
Entity Address, State or Province | MS | |
Entity Address, Postal Zip Code | 39201 | |
City Area Code | 601 | |
Local Phone Number | 208-5111 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | |
Assets | |||
Cash and due from banks | $ 564,588 | $ 358,916 | |
Federal funds sold and securities purchased under reverse repurchase agreements | 50 | ||
Securities available for sale, at fair value (amortized cost: $1,885,860; allowance for credit losses: $0) | 1,922,728 | 1,602,404 | |
Securities held to maturity, net of allowance for credit losses of $0 (fair value: $639,665-2020; $746,202-2019) | 611,280 | 738,099 | |
Paycheck Protection Program (PPP) loans | 944,270 | ||
Loans held for sale (LHFS) | 485,103 | 226,347 | |
Loans held for investment (LHFI) | [1] | 9,847,728 | 9,335,628 |
Less allowance for credit losses (ACL), LHFI | [1] | 122,010 | 84,277 |
Net LHFI | 9,725,718 | 9,251,351 | |
Acquired loans | [1] | 72,601 | |
Less allowance for loan losses, acquired loans | [1] | 815 | |
Net acquired loans | 71,786 | ||
Net LHFI and acquired loans | 9,725,718 | 9,323,137 | |
Premises and equipment, net | 192,722 | 189,791 | |
Mortgage servicing rights | 61,613 | 79,394 | |
Goodwill | 385,270 | 379,627 | |
Identifiable intangible assets, net | 8,142 | 7,343 | |
Other real estate | 16,248 | 29,248 | |
Operating lease right-of-use assets | 30,508 | 31,182 | |
Other assets | 609,922 | 532,389 | |
Total Assets | 15,558,162 | 13,497,877 | |
Deposits: | |||
Noninterest-bearing | 3,964,023 | 2,891,215 | |
Interest-bearing | 9,258,390 | 8,354,342 | |
Total deposits | 13,222,413 | 11,245,557 | |
Federal funds purchased and securities sold under repurchase agreements | 153,834 | 256,020 | |
Other borrowings | 178,599 | 85,396 | |
Junior subordinated debt securities | 61,856 | 61,856 | |
ACL on off-balance sheet credit exposures | [1] | 39,659 | 0 |
Operating lease liabilities | 31,838 | 32,354 | |
Other liabilities | 159,922 | 155,992 | |
Total Liabilities | 13,848,121 | 11,837,175 | |
Shareholders' Equity | |||
Common stock, no par value: Authorized: 250,000,000 shares Issued and outstanding: 63,423,820 shares - 2020; 64,200,111 shares - 2019 | 13,215 | 13,376 | |
Capital surplus | 231,836 | 256,400 | |
Retained earnings | 1,459,306 | 1,414,526 | |
Accumulated other comprehensive income (loss), net of tax | 5,684 | (23,600) | |
Total Shareholders' Equity | 1,710,041 | 1,660,702 | |
Total Liabilities and Shareholders' Equity | $ 15,558,162 | $ 13,497,877 | |
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Assets | ||
Securities available-for-sale, amortized cost | $ 1,885,860 | $ 1,600,984 |
Securities available-for-sale, allowance for credit Losses | 0 | 0 |
Securities held to maturity, net of allowance for credit losses | 0 | 0 |
Securities held to maturity, fair value | $ 639,665 | $ 746,202 |
Shareholders' Equity | ||
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, authorized (in shares) | 250,000,000 | 250,000,000 |
Common stock, issued (in shares) | 63,423,820 | 64,200,111 |
Common stock, outstanding (in shares) | 63,423,820 | 64,200,111 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Interest Income | |||||
Interest and fees on LHFS & LHFI | $ 94,523 | $ 113,285 | $ 297,227 | $ 331,820 | |
Interest and fees on PPP loans | 6,729 | 11,773 | |||
Interest and fees on acquired loans | [1] | 2,309 | 6,235 | ||
Interest on securities: | |||||
Taxable | 12,542 | 13,184 | 38,252 | 41,765 | |
Tax exempt | 238 | 383 | 848 | 1,329 | |
Interest on federal funds sold and securities purchased under reverse repurchase agreements | 1 | 23 | 1 | 239 | |
Other interest income | 331 | 1,044 | 1,310 | 4,467 | |
Total Interest Income | 114,364 | 130,228 | 349,411 | 385,855 | |
Interest Expense | |||||
Interest on deposits | 7,437 | 20,385 | 31,124 | 61,455 | |
Interest on federal funds purchased and securities sold under repurchase agreements | 32 | 547 | 699 | 916 | |
Other interest expense | 688 | 830 | 2,429 | 2,486 | |
Total Interest Expense | 8,157 | 21,762 | 34,252 | 64,857 | |
Net Interest Income | 106,207 | 108,466 | 315,159 | 320,998 | |
Provision for credit losses (PCL) | [1] | 1,760 | 3,039 | 40,526 | 7,136 |
Provision for loan losses, acquired loans | [1] | (140) | 44 | ||
Net Interest Income After PCL | 104,447 | 105,567 | 274,633 | 313,818 | |
Noninterest Income | |||||
Service charges on deposit accounts | 7,577 | 11,065 | 24,006 | 31,709 | |
Bank card and other fees | 8,843 | 8,349 | 21,915 | 23,544 | |
Mortgage banking, net | 36,439 | 8,171 | 97,667 | 21,908 | |
Insurance commissions | 11,562 | 11,072 | 34,980 | 33,032 | |
Wealth management | 7,679 | 7,691 | 23,787 | 22,916 | |
Other, net | 1,601 | 1,989 | 6,121 | 6,358 | |
Total Noninterest Income | 73,701 | 48,337 | 208,476 | 139,467 | |
Noninterest Expense | |||||
Salaries and employee benefits | 67,342 | 62,495 | 202,597 | 185,398 | |
Services and fees | 20,992 | 18,838 | 61,489 | 53,815 | |
Net occupancy - premises | 7,000 | 6,831 | 19,873 | 19,688 | |
Equipment expense | 5,828 | 5,971 | 17,064 | 17,853 | |
Other real estate expense, net | 1,203 | 531 | 2,768 | 2,415 | |
Credit loss expense related to off-balance sheet credit exposures | [1] | (3,004) | 10,021 | ||
Other expense | 14,598 | 12,187 | 42,616 | 39,806 | |
Total Noninterest Expense | 113,959 | 106,853 | 356,428 | 318,975 | |
Income Before Income Taxes | 64,189 | 47,051 | 126,681 | 134,310 | |
Income taxes | 9,749 | 6,016 | 17,873 | 17,796 | |
Net Income | $ 54,440 | $ 41,035 | $ 108,808 | $ 116,514 | |
Earnings Per Share | |||||
Basic | $ 0.86 | $ 0.64 | $ 1.71 | $ 1.80 | |
Diluted | $ 0.86 | $ 0.64 | $ 1.71 | $ 1.80 | |
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income per consolidated statements of income | $ 54,440 | $ 41,035 | $ 108,808 | $ 116,514 |
Net unrealized gains (losses) on available for sale securities and transferred securities: | ||||
Net unrealized holding gains (losses) arising during the period | (5,781) | 3,116 | 26,585 | 32,293 |
Change in net unrealized holding loss on securities transferred to held to maturity | 603 | 637 | 1,832 | 2,139 |
Reclassification adjustments for changes realized in net income: | ||||
Net change in prior service costs | 28 | 46 | 84 | 140 |
Recognized net loss due to lump sum settlement | 30 | 34 | 60 | 105 |
Change in net actuarial loss | 239 | 186 | 723 | 562 |
Derivatives: | ||||
Change in the accumulated gain (loss) on effective cash flow hedge derivatives | 0 | 14 | 0 | (109) |
Reclassification adjustment for (gain) loss realized in net income | 0 | (75) | 0 | (309) |
Other comprehensive income (loss), net of tax | (4,881) | 3,958 | 29,284 | 34,821 |
Comprehensive income | $ 49,559 | $ 44,993 | $ 138,092 | $ 151,335 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Cumulative Effect Period Of Adoption Adjustment [Member] | Common Stock [Member] | Capital Surplus [Member] | Retained Earnings [Member] | Retained Earnings [Member]Cumulative Effect Period Of Adoption Adjustment [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Balance at Dec. 31, 2018 | $ 1,591,453 | $ 13,717 | $ 309,545 | $ 1,323,870 | $ (55,679) | ||
Balance (in shares) at Dec. 31, 2018 | 65,834,395 | ||||||
Net income per consolidated statements of income | 33,339 | 33,339 | |||||
Other comprehensive income (loss), net of tax | 14,764 | 14,764 | |||||
Common stock dividends paid ($0.23 per share) | (15,033) | (15,033) | |||||
Shares withheld to pay taxes, long-term incentive plan | (1,604) | $ 25 | (1,629) | ||||
Shares withheld to pay taxes, long-term incentive plan (in shares) | 123,821 | ||||||
Repurchase and retirement of common stock | (36,893) | $ (243) | (36,650) | ||||
Repurchase and retirement of common stock (in shares) | (1,168,273) | ||||||
Compensation expense, long-term incentive plan | 1,002 | 1,002 | |||||
Balance at Mar. 31, 2019 | 1,587,028 | $ 13,499 | 272,268 | 1,342,176 | (40,915) | ||
Balance (in shares) at Mar. 31, 2019 | 64,789,943 | ||||||
Balance at Dec. 31, 2018 | 1,591,453 | $ 13,717 | 309,545 | 1,323,870 | (55,679) | ||
Balance (in shares) at Dec. 31, 2018 | 65,834,395 | ||||||
Net income per consolidated statements of income | 116,514 | ||||||
Other comprehensive income (loss), net of tax | 34,821 | ||||||
Compensation expense, long-term incentive plan | 3,553 | ||||||
Balance at Sep. 30, 2019 | 1,645,362 | $ 13,390 | 257,370 | 1,395,460 | (20,858) | ||
Balance (in shares) at Sep. 30, 2019 | 64,262,779 | ||||||
Balance at Mar. 31, 2019 | 1,587,028 | $ 13,499 | 272,268 | 1,342,176 | (40,915) | ||
Balance (in shares) at Mar. 31, 2019 | 64,789,943 | ||||||
Net income per consolidated statements of income | 42,140 | 42,140 | |||||
Other comprehensive income (loss), net of tax | 16,099 | 16,099 | |||||
Common stock dividends paid ($0.23 per share) | (14,987) | (14,987) | |||||
Shares withheld to pay taxes, long-term incentive plan | (1) | $ 2 | (3) | ||||
Shares withheld to pay taxes, long-term incentive plan (in shares) | 7,087 | ||||||
Repurchase and retirement of common stock | (13,008) | $ (83) | (12,925) | ||||
Repurchase and retirement of common stock (in shares) | (398,184) | ||||||
Compensation expense, long-term incentive plan | 1,279 | 1,279 | |||||
Balance at Jun. 30, 2019 | 1,618,550 | $ 13,418 | 260,619 | 1,369,329 | (24,816) | ||
Balance (in shares) at Jun. 30, 2019 | 64,398,846 | ||||||
Net income per consolidated statements of income | 41,035 | 41,035 | |||||
Other comprehensive income (loss), net of tax | 3,958 | 3,958 | |||||
Common stock dividends paid ($0.23 per share) | (14,904) | (14,904) | |||||
Shares withheld to pay taxes, long-term incentive plan | (34) | $ 1 | (35) | ||||
Shares withheld to pay taxes, long-term incentive plan (in shares) | 2,502 | ||||||
Repurchase and retirement of common stock | (4,515) | $ (29) | (4,486) | ||||
Repurchase and retirement of common stock (in shares) | (138,569) | ||||||
Compensation expense, long-term incentive plan | 1,272 | 1,272 | |||||
Balance at Sep. 30, 2019 | 1,645,362 | $ 13,390 | 257,370 | 1,395,460 | (20,858) | ||
Balance (in shares) at Sep. 30, 2019 | 64,262,779 | ||||||
Balance at Dec. 31, 2019 | $ 1,660,702 | $ (19,949) | $ 13,376 | 256,400 | 1,414,526 | $ (19,949) | (23,600) |
Balance (in shares) at Dec. 31, 2019 | 64,200,111 | 64,200,111 | |||||
Net income per consolidated statements of income | $ 22,218 | 22,218 | |||||
Other comprehensive income (loss), net of tax | 31,298 | 31,298 | |||||
Common stock dividends paid ($0.23 per share) | (14,706) | (14,706) | |||||
Shares withheld to pay taxes, long-term incentive plan | (1,020) | $ 17 | (1,037) | ||||
Shares withheld to pay taxes, long-term incentive plan (in shares) | 83,759 | ||||||
Repurchase and retirement of common stock | (27,538) | $ (184) | (27,354) | ||||
Repurchase and retirement of common stock (in shares) | (886,958) | ||||||
Compensation expense, long-term incentive plan | 1,394 | 1,394 | |||||
Balance at Mar. 31, 2020 | 1,652,399 | $ 13,209 | 229,403 | 1,402,089 | 7,698 | ||
Balance (in shares) at Mar. 31, 2020 | 63,396,912 | ||||||
Balance at Dec. 31, 2019 | $ 1,660,702 | $ (19,949) | $ 13,376 | 256,400 | 1,414,526 | $ (19,949) | (23,600) |
Balance (in shares) at Dec. 31, 2019 | 64,200,111 | 64,200,111 | |||||
Net income per consolidated statements of income | $ 108,808 | ||||||
Other comprehensive income (loss), net of tax | 29,284 | ||||||
Compensation expense, long-term incentive plan | 3,907 | ||||||
Balance at Sep. 30, 2020 | $ 1,710,041 | $ 13,215 | 231,836 | 1,459,306 | 5,684 | ||
Balance (in shares) at Sep. 30, 2020 | 63,423,820 | 63,423,820 | |||||
Balance at Mar. 31, 2020 | $ 1,652,399 | $ 13,209 | 229,403 | 1,402,089 | 7,698 | ||
Balance (in shares) at Mar. 31, 2020 | 63,396,912 | ||||||
Net income per consolidated statements of income | 32,150 | 32,150 | |||||
Other comprehensive income (loss), net of tax | 2,867 | 2,867 | |||||
Common stock dividends paid ($0.23 per share) | (14,687) | (14,687) | |||||
Shares withheld to pay taxes, long-term incentive plan | (59) | $ 5 | (64) | ||||
Shares withheld to pay taxes, long-term incentive plan (in shares) | 25,527 | ||||||
Compensation expense, long-term incentive plan | 1,274 | 1,274 | |||||
Balance at Jun. 30, 2020 | 1,673,944 | $ 13,214 | 230,613 | 1,419,552 | 10,565 | ||
Balance (in shares) at Jun. 30, 2020 | 63,422,439 | ||||||
Net income per consolidated statements of income | 54,440 | 54,440 | |||||
Other comprehensive income (loss), net of tax | (4,881) | (4,881) | |||||
Common stock dividends paid ($0.23 per share) | (14,686) | (14,686) | |||||
Shares withheld to pay taxes, long-term incentive plan | (15) | $ 1 | (16) | ||||
Shares withheld to pay taxes, long-term incentive plan (in shares) | 1,381 | ||||||
Compensation expense, long-term incentive plan | 1,239 | 1,239 | |||||
Balance at Sep. 30, 2020 | $ 1,710,041 | $ 13,215 | $ 231,836 | $ 1,459,306 | $ 5,684 | ||
Balance (in shares) at Sep. 30, 2020 | 63,423,820 | 63,423,820 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | |
Statement Of Stockholders Equity [Abstract] | ||||||
Cash dividends paid on common stock (in dollars per share) | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.23 | $ 0.23 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Operating Activities | |||
Net income per consolidated statements of income | $ 108,808 | $ 116,514 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Credit loss expense, net | [1] | 50,547 | 7,180 |
Depreciation and amortization | 30,000 | 29,585 | |
Net amortization of securities | 8,458 | 5,699 | |
Gains on sales of loans, net | (61,464) | (17,556) | |
Compensation expense, long-term incentive plan | 3,907 | 3,553 | |
Deferred income tax provision | (20,600) | (6,400) | |
Proceeds from sales of loans held for sale | 1,869,187 | 943,309 | |
Purchases and originations of loans held for sale | (1,976,190) | (1,078,222) | |
Originations of mortgage servicing rights | (20,728) | (11,431) | |
Earnings on bank-owned life insurance | (3,845) | (4,239) | |
Net change in other assets | (53,141) | (31,241) | |
Net change in other liabilities | 5,667 | (1,625) | |
Other operating activities, net | 30,367 | 26,874 | |
Net cash from operating activities | (29,027) | (18,000) | |
Investing Activities | |||
Proceeds from maturities, prepayments and calls of securities held to maturity | 128,367 | 125,652 | |
Proceeds from maturities, prepayments and calls of securities available for sale | 465,568 | 306,630 | |
Purchases of securities available for sale | (758,008) | (9,744) | |
Net proceeds from bank-owned life insurance | 592 | 4,159 | |
Net change in federal funds sold and securities purchased under reverse repurchase agreements | (50) | 830 | |
Net change in member bank stock | 281 | (285) | |
Net change in LHFI and PPP loans | (1,384,833) | (370,781) | |
Purchases of premises and equipment | (15,634) | (11,335) | |
Proceeds from sales of premises and equipment | 548 | 2,374 | |
Proceeds from sales of other real estate | 11,434 | 6,698 | |
Purchases of software | (6,050) | (9,541) | |
Investments in tax credit and other partnerships | (4,458) | (3,426) | |
Purchase of insurance book of business | (3,097) | (347) | |
Net cash used in business acquisition | (4,834) | 0 | |
Net cash from investing activities | (1,570,174) | 40,884 | |
Financing Activities | |||
Net change in deposits | 1,976,856 | (110,228) | |
Net change in federal funds purchased and securities sold under repurchase agreements | (102,186) | 326,241 | |
Net change in short-term borrowings | 4,272 | 344 | |
Payments on long-term FHLB advances | (39) | (51) | |
Payments under finance lease obligations | (1,319) | (1,509) | |
Common stock dividends | (44,079) | (44,924) | |
Repurchase and retirement of common stock | (27,538) | (54,416) | |
Shares withheld to pay taxes, long-term incentive plan | (1,094) | (1,639) | |
Net cash from financing activities | 1,804,873 | 113,818 | |
Net change in cash and cash equivalents | 205,672 | 136,702 | |
Cash and cash equivalents at beginning of period | 358,916 | 349,561 | |
Cash and cash equivalents at end of period | $ 564,588 | $ 486,263 | |
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Business, Basis of Financial St
Business, Basis of Financial Statement Presentation and Principles of Consolidation | 9 Months Ended |
Sep. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Business, Basis of Financial Statement Presentation and Principles of Consolidation | Note 1 – Business, Basis of Financial Statement Presentation and Principles of Consolidation Trustmark Corporation (Trustmark) is a bank holding company headquartered in Jackson, Mississippi. Through its subsidiaries, Trustmark operates as a financial services organization providing banking and financial solutions to corporate institutions and individual customers through 187 offices at September 30, 2020 in Alabama, Florida, Mississippi, Tennessee and Texas. The consolidated financial statements include the accounts of Trustmark and all other entities in which Trustmark has a controlling financial interest. All significant intercompany accounts and transactions have been eliminated in consolidation. Certain reclassifications have been made to prior period amounts to conform to the current period presentation. The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the consolidated financial statements, and notes thereto, included in Trustmark’s Annual Report on Form 10-K for its fiscal year ended December 31, 2019 (2019 Annual Report). Operating results for the interim periods disclosed herein are not necessarily indicative of the results that may be expected for a full year or any future period. In the opinion of Management, all adjustments (consisting of normal recurring accruals) considered necessary for the fair presentation of these consolidated financial statements have been included. The preparation of financial statements in conformity with these accounting principles requires Management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and income and expense during the reporting periods and the related disclosures. Although Management’s estimates contemplate current conditions and how they are expected to change in the future, it is reasonably possible that in 2020 actual conditions could vary from those anticipated, which could affect Trustmark’s financial condition and results of operations. Actual results could differ from those estimates. Coronavirus 2019 (COVID-19) Pandemic On March 11, 2020, the World Health Organization declared COVID-19, the disease caused by the novel coronavirus, a pandemic as a result of the global spread of the coronavirus illness. The COVID-19 pandemic has adversely affected, and may continue to adversely affect economic activity globally, nationally and locally. In response to the outbreak, federal and state authorities in the United States introduced various measures to try to limit or slow the spread of the virus, including travel restrictions, nonessential business closures, stay-at-home orders, and strict social distancing. The full impact of the COVID-19 pandemic is unknown and rapidly evolving. It has caused substantial disruption in international and U.S. economies, markets, and employment. The COVID-19 pandemic may continue to have a significant adverse impact on certain industries Trustmark serves, including restaurants and food services, hotels, retail and energy. Because of the significant uncertainties related to the ultimate duration of the COVID-19 pandemic and its potential effects on customers and prospects, and on the national and local economy as a whole, there can be no assurances as to how the crisis may ultimately affect Trustmark’s loan portfolio. It is unknown how long the adverse conditions associated with the COVID-19 pandemic will last and what the complete financial effect will be to Trustmark. It is reasonably possible that estimates made in the financial statements could be materially and adversely impacted in the near term as a result of these conditions, including expected credit losses on loans and off-balance sheet credit exposures. See Note 3 – LHFI and Allowance for Credit Losses, LHFI for information regarding the impact of COVID-19 on Trustmark’s loan portfolio. Paycheck Protection Program (PPP) Loans On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act), a stimulus package intended to provide relief to businesses and consumers in the United States struggling as a result of the pandemic, was signed into law. A provision in the CARES Act included a $349 billion fund for the creation of the Paycheck Protection Program (PPP) through the Small Business Administration (SBA) and Treasury Department. The PPP is intended to provide loans to small businesses to pay their employees, rent, mortgage interest and utilities. PPP loans are forgivable, in whole or in part, if the proceeds are used for payroll and other permitted purposes in accordance with the requirements of the PPP. If not forgiven, in whole or in part, these loans carry a fixed rate of 1.00% per annum with payments deferred until the date the SBA remits the borrower’s loan forgiveness amount to the lender (or, if the borrower does not apply for loan forgiveness, ten months after the end of the borrower’s loan forgiveness covered period). Originally, the loans carried a term of two years under SBA rules implemented by the CARES Act, but a June 5, 2020 amendment to the CARES Act provided for a five-year minimum loan term for loans made beginning as of such date, and permitted lenders and borrowers to mutually agree to amend existing two-year loans to have terms of five years . The loans are 100% guaranteed by the SBA. The SBA pays the originating bank a processing fee ranging from 1.0% to 5.0% , based on the size of the loan. The SBA stopped accepting applications for PPP loans on August 8, 2020. At September 30, 2020, Trustmark had outstanding 9,691 PPP loans totaling $944.3 million (net of $25.7 million of deferred fees and costs). Due to amount and nature of the PPP loans, these loans were not included in the LHFI portfolio and are presented separately in the accompanying consolidated balance sheet. The PPP loans are fully guaranteed by the SBA; therefore, no ACL was estimated for these loans. Goodwill Impairment Evaluation Trustmark tests goodwill for impairment at least annually and, more frequently, if events or changes in circumstances indicate that it is more likely than not that there is possible impairment. Considering the significant negative impact that the ongoing COVID-19 pandemic is having on the U.S. economy, Trustmark has determined that the COVID-19 pandemic represented a triggering event prompting an evaluation of goodwill impairment. Based on the qualitative evaluation performed, Trustmark concluded that goodwill was not more than likely impaired at September 30, 2020. However, in light of the on-going impact of the COVID-19 pandemic, Trustmark will continue to monitor its goodwill for possible impairment. |
Securities Available for Sale a
Securities Available for Sale and Held to Maturity | 9 Months Ended |
Sep. 30, 2020 | |
Investments Debt And Equity Securities [Abstract] | |
Securities Available for Sale and Held to Maturity | Note 2 – Securities Available for Sale and Held to Maturity Financial Accounting Standards Board (FASB) Accounting Standard Update (ASU) 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” was adopted by Trustmark on January 1, 2020. ASU 2016-13 introduces the current expected credit losses methodology for estimating allowances for credit losses. ASU 2016-13 applies to all financial instruments carried at amortized cost, including securities held to maturity, and makes targeted improvements to the accounting for credit losses on securities available for sale. Under ASU 2016-13, the allowance for credit losses is an estimate measured using relevant information about past events, including historical credit loss experience on financial assets with similar risk characteristics, current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the financial assets. In order to comply with ASU 2016-13, Trustmark conducted a review of its investment portfolio and determined that for certain classes of securities it would be appropriate to assume the expected credit loss to be zero. This zero-credit loss assumption applies to debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. The reasons behind the adoption of the zero-credit loss assumption were as follows: • High credit rating • Long history with no credit losses • Guaranteed by a sovereign entity • Widely recognized as “risk-free rate” • Can print its own currency • Currency is routinely held by central banks, used in international commerce, and commonly viewed as reserve currency • Currently under the U.S. Government conservatorship or receivership Trustmark will continuously monitor any changes in economic conditions, credit downgrades, changes to explicit or implicit guarantees granted to certain debt issuers, and any other relevant information that would indicate potential credit deterioration and prompt Trustmark to reconsider its zero-credit loss assumption. At the date of adoption, Trustmark’s estimated allowance for credit losses on securities available for sale and held to maturity under ASU 2016-13 was deemed immaterial due to the composition of these portfolios. Both portfolios consist primarily of U.S. government agency guaranteed mortgage-backed securities for which the risk of loss is minimal. Therefore, Trustmark did not recognize a cumulative effect adjustment through retained earnings related to the available for sale or held to maturity securities. Securities Available for Sale ASU 2016-13 makes targeted improvements to the accounting for credit losses on securities available for sale. The concept of other-than-temporarily impaired has been replaced with the allowance for credit losses. Unlike securities held to maturity, securities available for sale are evaluated on an individual level and pooling of securities is not allowed. Quarterly, Trustmark evaluates if any securit y ha s a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a d ecline in fair value result ed from a credit loss or other factors , Trustmark perform s further analysis as outlined below: • Review the extent to which the fair value is less than the amortized cost and observe the security’s lowest credit rating as reported by third-party credit ratings companies. • The securities that violate the credit loss triggers above would be subjected to additional analysis that may include, but is not limited to: changes in market interest rates, changes in securities credit ratings, security type, service area economic factors, financial performance of the issuer/or obligor of the underlying issue and third-party guarantee. • If Trustmark determines that a credit loss exists, the credit portion of the allowance will be measured using a discounted cash flow (DCF) analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss Trustmark records will be limited to the amount by which the amortized cost exceeds the fair value. The DCF analysis utilizes contractual maturities, as well as third-party credit ratings and cumulative default rates published annually by Moody’s Investor Service (Moody’s). At September 30, 2020, the results of the analysis did not identify any securities that violate the credit loss triggers; therefore, no DCF analysis was performed and no credit loss was recognized on any of the securities available for sale. Accrued interest receivable is excluded from the estimate of credit losses for securities available for sale. At September 30, 2020, accrued interest receivable totaled $4.2 million for securities available for sale and was reported in other assets on the accompanying consolidated balance sheet. Securities Held to Maturity ASU 2016-13 requires institutions to measure expected credit losses on financial assets carried at amortized cost on a collective or pool basis when similar risks exist. Trustmark uses several levels of segmentation in order to measure expected credit losses: • The portfolio is segmented into agency and non-agency securities. • The non-agency securities are separated into municipal, mortgage, and corporate securities. Each individual segment is categorized by third-party credit ratings. As discussed above, Trustmark has determined that for certain classes of securities it would be appropriate to assume the expected credit loss to be zero, which include debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. This assumption will be reviewed and attested to quarterly. Trustmark is using an internally built model to verify the accuracy of third-party provided calculations. At September 30, 2020, Trustmark’s securities held to maturity totaled $611.3 million. The potential credit loss exposure was $31.5 million and consisted of municipal securities. After applying appropriate probability of default and loss given default assumptions, the total amount of current expected credit losses was deemed immaterial. Therefore, no reserve was recorded at September 30, 2020. Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity. At September 30, 2020, accrued interest receivable totaled $1.5 million for securities held to maturity and was reported in other assets on the accompanying consolidated balance sheet. At September 30, 2020, Trustmark had no securities held to maturity that were past due 30 days or more as to principal or interest payments. Trustmark had no securities held to maturity classified as nonaccrual at September 30, 2020. Trustmark monitors the credit quality of securities held to maturity on a monthly basis through credit ratings. The following table presents the amortized cost of Trustmark’s securities held to maturity by credit rating, as determined by Moody’s, at September 30, 2020 ($ in thousands): September 30, 2020 Aaa $ 579,674 Aa1 to Aa3 26,166 Not Rated (1) 5,440 Total $ 611,280 (1) Not rated securities primarily consist of Mississippi municipal general obligations. The following tables are a summary of the amortized cost and estimated fair value of securities available for sale and held to maturity at September 30, 2020 and December 31, 2019 ($ in thousands): Securities Available for Sale Securities Held to Maturity September 30, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value U.S. Government agency obligations $ 19,318 $ 189 $ (496 ) $ 19,011 $ — $ — $ — $ — Obligations of states and political subdivisions 7,714 601 — 8,315 31,605 375 (12 ) 31,968 Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 60,492 1,665 (1 ) 62,156 8,244 353 — 8,597 Issued by FNMA and FHLMC 1,259,607 21,265 (953 ) 1,279,919 78,213 2,776 — 80,989 Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 487,567 13,309 (18 ) 500,858 399,400 22,181 (10 ) 421,571 Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 51,162 1,316 (9 ) 52,469 93,818 2,726 (4 ) 96,540 Total $ 1,885,860 $ 38,345 $ (1,477 ) $ 1,922,728 $ 611,280 $ 28,411 $ (26 ) $ 639,665 December 31, 2019 U.S. Government agency obligations $ 22,965 $ 69 $ (707 ) $ 22,327 $ 3,781 $ 220 $ — $ 4,001 Obligations of states and political subdivisions 24,952 513 — 25,465 31,781 434 (53 ) 32,162 Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 69,196 425 (369 ) 69,252 10,820 266 (10 ) 11,076 Issued by FNMA and FHLMC 714,350 2,171 (3,165 ) 713,356 96,631 286 (370 ) 96,547 Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 656,162 3,777 (1,713 ) 658,226 485,324 7,026 (656 ) 491,694 Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 113,359 625 (206 ) 113,778 109,762 1,042 (82 ) 110,722 Total $ 1,600,984 $ 7,580 $ (6,160 ) $ 1,602,404 $ 738,099 $ 9,274 $ (1,171 ) $ 746,202 During 2013, Trustmark reclassified approximately $1.099 billion of securities available for sale to securities held to maturity. The securities were transferred at fair value, which became the cost basis for the securities held to maturity. At the date of transfer, the net unrealized holding loss on the available for sale securities totaled approximately $46.6 million ($28.8 million, net of tax). The net unrealized holding loss is amortized over the remaining life of the securities as a yield adjustment in a manner consistent with the amortization or accretion of the original purchase premium or discount on the associated security. There were no gains or losses recognized as a result of the transfer. At September 30, 2020, the net unamortized, unrealized loss on the transferred securities included in accumulated other comprehensive income (loss) in the accompanying balance sheet totaled approximately $9.7 million ($7.3 million, net of tax) compared to approximately $12.1 million ($9.1 million, net of tax) at December 31, 2019. The tables below include securities with gross unrealized losses for which an allowance for credit losses has not been recorded and segregated by length of impairment at September 30, 2020 and December 31, 2019 ($ in thousands): Less than 12 Months 12 Months or More Total September 30, 2020 Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses U.S. Government agency obligations $ — $ — $ 11,347 $ (496 ) $ 11,347 $ (496 ) Obligations of states and political subdivisions — — 6,221 (12 ) 6,221 (12 ) Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 353 (1 ) — — 353 (1 ) Issued by FNMA and FHLMC 399,494 (953 ) — — 399,494 (953 ) Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 11,155 (28 ) — — 11,155 (28 ) Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 15,029 (4 ) 663 (9 ) 15,692 (13 ) Total $ 426,031 $ (986 ) $ 18,231 $ (517 ) $ 444,262 $ (1,503 ) December 31, 2019 U.S. Government agency obligations $ 6,585 $ (105 ) $ 12,886 $ (602 ) $ 19,471 $ (707 ) Obligations of states and political subdivisions — — 6,216 (53 ) 6,216 (53 ) Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 23,544 (107 ) 18,529 (272 ) 42,073 (379 ) Issued by FNMA and FHLMC 112,879 (230 ) 278,120 (3,305 ) 390,999 (3,535 ) Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 158,341 (738 ) 151,271 (1,631 ) 309,612 (2,369 ) Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 51,312 (167 ) 14,155 (121 ) 65,467 (288 ) Total $ 352,661 $ (1,347 ) $ 481,177 $ (5,984 ) $ 833,838 $ (7,331 ) The unrealized losses shown above are due to increases in market rates over the yields available at the time of purchase of the underlying securities and not credit quality. Trustmark does not intend to sell these securities and it is more likely than not that Trustmark will not be required to sell the investments before recovery of their amortized cost bases, which may be maturity. Prior to the adoption of FASB ASU 2016-13, Trustmark did not consider these investments to be other-than-temporarily impaired at September 30, 2019. There were no other-than-temporary impairments for the nine months ended September 30, 2019. Security Gains and Losses During the three and nine months ended September 30, 2020 and 2019, there were no gross realized gains or losses as a result of calls and dispositions of securities. Realized gains and losses are determined using the specific identification method and are included in noninterest income as security gains (losses), net. Securities Pledged Securities with a carrying value of $1.991 billion and $1.770 billion at September 30, 2020 and December 31, 2019, respectively, were pledged to collateralize public deposits and securities sold under repurchase agreements and for other purposes as permitted by law. At both September 30, 2020 and December 31, 2019, none of these securities were pledged under the Federal Reserve Discount Window program to provide additional contingency funding capacity. Contractual Maturities The amortized cost and estimated fair value of securities available for sale and held to maturity at September 30, 2020, by contractual maturity, are shown below ($ in thousands). Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities Available for Sale Securities Held to Maturity Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Due in one year or less $ 4,667 $ 4,719 $ 20,900 $ 21,018 Due after one year through five years 1,543 1,589 10,705 10,950 Due after five years through ten years 2,096 2,051 — — Due after ten years 18,726 18,967 — — 27,032 27,326 31,605 31,968 Mortgage-backed securities 1,858,828 1,895,402 579,675 607,697 Total $ 1,885,860 $ 1,922,728 $ 611,280 $ 639,665 |
Loans Held for Investment (LHFI
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI | 9 Months Ended |
Sep. 30, 2020 | |
Accounts Notes Loans And Financing Receivable Gross Allowance And Net [Abstract] | |
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI | Note 3 – LHFI and Allowance for Credit Losses, LHFI Trustmark adopted the amendments of FASB ASU 2016-13, on January 1, 2020. The amendments of ASU 2016-13 created FASB Accounting Standards Codification (ASC) Topic 326, “Financial Instruments – Credit Losses,” which, among other things, replace much of the guidance and disclosures previously provided in FASB ASC Topic 310, “Receivables.” The guidance in FASB ASC Topic 326 replaces the incurred loss methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to determine credit losses. In accordance with FASB ASC Subtopic 326-20, “Financial Instruments – Credit Losses – Measured at Amortized Cost,” Trustmark has developed an ACL methodology effective January 1, 2020, which replaces its previous allowance for loan losses methodology. See the section captioned “Allowance for Credit Losses (ACL)” within this note for additional information regarding Trustmark’s ACL. Trustmark adopted FASB ASC Topic 326 using the modified retrospective approach prescribed by the amendments of ASU 2016-13; therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. At September 30, 2020 and December 31, 2019, LHFI consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Loans secured by real estate: Construction, land development and other land $ 494,519 $ 1,162,791 Other secured by 1-4 family residential properties (1) 547,148 1,855,913 Secured by nonfarm, nonresidential properties 2,707,627 2,475,245 Other real estate secured 887,792 724,480 Other loans secured by real estate: (1) Other construction 891,428 — Secured by 1-4 family residential properties 1,228,252 — Commercial and industrial loans 1,398,468 1,477,896 Consumer loans 163,933 175,738 State and other political subdivision loans 935,349 967,944 Other commercial loans (1) 593,212 495,621 LHFI 9,847,728 9,335,628 Less ACL 122,010 84,277 Net LHFI $ 9,725,718 $ 9,251,351 (1) In accordance with the guidance in FASB ASC Topic 326, Trustmark redefined its LHFI portfolio segments and related loan classes based on the level at which risk is monitored within the ACL methodology. The other loans secured by real estate portfolio segment and related loan classes were separated from the loans secured by real estate portfolio segment. The other construction loans were segregated from the construction, land development and other land loans. The other loans secured by 1-4 family residential properties were segregated from the loans secured by 1-4 family residential properties and the loans secured by 1-4 family residential properties were redefined in the other loans secured by real estate portfolio segment. Other loans were redefined as other commercial loans. Accrued interest receivable is not included in the amortized cost basis of Trustmark’s LHFI. At September 30, 2020, accrued interest receivable for LHFI totaled $37.4 million with no related ACL and was reported in other assets on the accompanying consolidated balance sheet. Loan Concentrations Trustmark does not have any loan concentrations other than those reflected in the preceding table, which exceed 10% of total LHFI. At September 30, 2020, Trustmark’s geographic loan distribution was concentrated primarily in its five key market regions: Alabama, Florida, Mississippi, Tennessee and Texas. Accordingly, the ultimate collectability of a substantial portion of these loans is susceptible to changes in market conditions in these areas. Nonaccrual and Past Due LHFI Past due LHFI are loans contractually past due 30 days or more as to principal or interest payments. A LHFI is classified as nonaccrual, and the accrual of interest on such loan is discontinued, when the contractual payment of principal or interest becomes 90 days past due on commercial credits and 120 days past due on non-business purpose credits. In addition, a credit may be placed on nonaccrual at any other time Management has serious doubts about further collectibility of principal or interest according to the contractual terms, even though the loan is currently performing. A LHFI may remain in accrual status if it is in the process of collection and well secured. When a LHFI is placed in nonaccrual status, interest accrued but not received is reversed against interest income. Interest payments received on nonaccrual LHFI are applied against principal under the cost-recovery method, until qualifying for return to accrual status. Under the cost-recovery method, interest income is not recognized until the principal balance is reduced to zero. LHFI are restored to accrual status when the obligation is brought current or has performed in accordance with the contractual terms for a reasonable period of time and the ultimate collectibility of the total contractual principal and interest is no longer in doubt. No material interest income was recognized in the income statement on nonaccrual LHFI for each of the periods ended September 30, 2020 and 2019. The following table provides the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest as of September 30, 2020 ($ in thousands): September 30, 2020 Nonaccrual With No ACL Total Nonaccrual Loans Past Due 90 Days or More Still Accruing Loans secured by real estate: Construction, land development and other land $ 517 $ 786 $ — Other secured by 1-4 family residential properties 1,928 4,298 299 Secured by nonfarm, nonresidential properties 6,951 10,272 — Other real estate secured 61 565 — Other loans secured by real estate: Other construction — — — Secured by 1-4 family residential properties — 11,087 359 Commercial and industrial loans 13,465 16,813 — Consumer loans — 96 124 State and other political subdivision loans — 4,019 — Other commercial loans — 5,920 — Total $ 22,922 $ 53,856 $ 782 The following table provides an aging analysis of the amortized cost basis of past due LHFI at September 30, 2020 ($ in thousands): September 30, 2020 Past Due 30-59 Days 60-89 Days 90 Days or Total Past Due Current Loans Total LHFI Loans secured by real estate: Construction, land development and other land $ 867 $ 262 $ 186 $ 1,315 $ 493,204 $ 494,519 Other secured by 1-4 family residential properties 906 664 908 2,478 544,670 547,148 Secured by nonfarm, nonresidential properties 172 93 881 1,146 2,706,481 2,707,627 Other real estate secured 15 107 — 122 887,670 887,792 Other loans secured by real estate: Other construction — — — — 891,428 891,428 Secured by 1-4 family residential properties 2,882 1,034 3,857 7,773 1,220,479 1,228,252 Commercial and industrial loans 740 340 1,922 3,002 1,395,466 1,398,468 Consumer loans 899 226 124 1,249 162,684 163,933 State and other political subdivision loans — — 177 177 935,172 935,349 Other commercial loans 46 520 401 967 592,245 593,212 Total $ 6,527 $ 3,246 $ 8,456 $ 18,229 $ 9,829,499 $ 9,847,728 The following table provides an aging analysis of past due and nonaccrual LHFI by loan class at December 31, 2019 ($ in thousands): December 31, 2019 Past Due 30-59 Days 60-89 Days 90 Days or (1) Total Nonaccrual Current Loans Total LHFI Loans secured by real estate: Construction, land development and other land $ 380 $ 256 $ — $ 636 $ 897 $ 1,161,258 $ 1,162,791 Secured by 1-4 family residential properties 5,254 940 211 6,405 16,810 1,832,698 1,855,913 Secured by nonfarm, nonresidential properties 1,698 — — 1,698 7,700 2,465,847 2,475,245 Other real estate secured 8 — — 8 1,032 723,440 724,480 Commercial and industrial loans 617 12 39 668 21,775 1,455,453 1,477,896 Consumer loans 2,208 380 392 2,980 108 172,650 175,738 State and other political subdivision loans 76 — — 76 4,079 963,789 967,944 Other loans 152 4 — 156 825 494,640 495,621 Total $ 10,393 $ 1,592 $ 642 $ 12,627 $ 53,226 $ 9,269,775 $ 9,335,628 (1) Past due 90 days or more but still accruing interest. Impaired LHFI Prior to the adoption of FASB ASC Topic 326, Trustmark’s individually evaluated impaired LHFI included all commercial nonaccrual relationships of $500 thousand or more, which were specifically reviewed for impairment and deemed impaired, and all LHFI classified as TDRs in accordance with FASB ASC Subtopic 310-10-50-20 “Impaired Loans.” Once a LHFI was deemed to be impaired, the full difference between book value and the most likely estimate of the collateral’s net realizable value was charged off or a specific reserve was established. No material interest income was recognized in the income statement on impaired LHFI for the periods ended September 30, 2019. At December 31, 2019, individually evaluated impaired LHFI consisted of the following ($ in thousands): December 31, 2019 LHFI Unpaid Principal Balance With No Related Allowance Recorded With an Allowance Recorded Total Recorded Investment Related Allowance Average Recorded Investment Loans secured by real estate: Construction, land development and other land $ 926 $ 610 $ 16 $ 626 $ — $ 1,089 Secured by 1-4 family residential properties 6,513 2,104 3,360 5,464 35 4,713 Secured by nonfarm, nonresidential properties 7,295 1,462 5,255 6,717 2,355 8,096 Other real estate secured 69 — 68 68 — 158 Commercial and industrial loans 27,178 19,374 4,084 23,458 707 27,088 Consumer loans 22 — 21 21 — 11 State and other political subdivision loans 4,079 — 4,079 4,079 1,809 6,337 Other loans 1,207 — 784 784 553 1,033 Total $ 47,289 $ 23,550 $ 17,667 $ 41,217 $ 5,459 $ 48,525 Troubled Debt Restructurings A TDR occurs when a borrower is experiencing financial difficulties, and for related economic or legal reasons, a concession is granted to the borrower that Trustmark would not otherwise consider. Whatever the form of concession that might be granted by Trustmark, Management’s objective is to enhance collectibility by obtaining more cash or other value from the borrower or by increasing the probability of receipt by granting the concession than by not granting it. Other concessions may arise from court proceedings or may be imposed by law. In addition, TDRs also include those credits that are extended or renewed to a borrower who is not able to obtain funds from sources other than Trustmark at a market interest rate for new debt with similar risk. At September 30, 2020 and 2019 , LHFI classified as TDRs totaled $ 25.4 million and $ million, respectively, and were primarily comprised of credits with interest-only payments for an extended period of time and credits renewed at a rate that was not commensurate with that of new debt with similar risk which totaled $ 13.3 million and $ million at September 30, 2020 and 2019 , respectively. The remaining TDRs at September 30, 2020 and 2019 resulted from bankruptcies or from payment or maturity extensions. Trustmark had $ 4.2 million of unused commitments on TDRs at September 30, 2020 compared to $ million of unused commitments on TDRs at September 30, 2019 . At September 30, 2020, TDRs had a related ACL of $2.6 million, compared to a related allowance for loan loss of $2.9 million at September 30, 2019, and resulted in charge-offs of $2.3 million and $472 thousand for the nine months ended September 30, 2020 and 2019, respectively. The following table illustrates the impact of modifications classified as TDRs for the periods presented ($ in thousands): Three Months Ended September 30, 2020 2019 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Loans secured by real estate: Other secured by 1-4 family residential properties 3 $ 87 $ 89 4 $ 113 $ 102 Commercial and industrial loans 1 48 47 — — — Total 4 $ 135 $ 136 4 $ 113 $ 102 Nine Months Ended September 30, 2020 2019 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Loans secured by real estate: Other secured by 1-4 family residential properties 11 $ 794 $ 800 11 $ 992 $ 980 Secured by nonfarm, nonresidential properties 1 139 139 1 5,055 5,055 Commercial and industrial loans 3 1,630 1,629 8 9,167 9,054 Consumer loans 6 26 26 2 30 30 State and other political subdivision loans 2 3,902 3,872 — — — Total 23 $ 6,491 $ 6,466 22 $ 15,244 $ 15,119 The table below includes the balances at default for TDRs modified within the last 12 months for which there was a payment default during the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Number of Contracts Recorded Investment Number of Contracts Recorded Investment Loans secured by real estate: Other secured by 1-4 family residential properties 4 $ 484 1 $ 46 Secured by nonfarm, nonresidential properties 1 139 — — Commercial and industrial loans 1 82 8 254 Consumer loans — — 1 27 Total 6 $ 705 10 $ 327 Trustmark’s TDRs have resulted primarily from allowing the borrower to pay interest-only for an extended period of time and credits renewed at a rate that was not commensurate with that of new debt with similar risk rather than from forgiveness. Accordingly, as shown above, these TDRs have a similar recorded investment for both the pre-modification and post-modification disclosure. Trustmark has utilized loans 90 days or more past due to define payment default in determining TDRs that have subsequently defaulted. The following tables detail LHFI classified as TDRs by loan class at September 30, 2020 and 2019 ($ in thousands): September 30, 2020 Accruing Nonaccrual Total Loans secured by real estate: Construction, land development and other land $ — $ 13 $ 13 Other secured by 1-4 family residential properties 18 3,689 3,707 Secured by nonfarm, nonresidential properties — 2,970 2,970 Commercial and industrial loans 1,500 13,198 14,698 Consumer loans 16 19 35 State and other political subdivision loans — 3,842 3,842 Other commercial loans — 125 125 Total TDRs $ 1,534 $ 23,856 $ 25,390 September 30, 2019 Accruing Nonaccrual Total Loans secured by real estate: Construction, land development and other land $ — $ 18 $ 18 Secured by 1-4 family residential properties 101 3,373 3,474 Secured by nonfarm, nonresidential properties — 5,243 5,243 Commercial and industrial loans 1,246 20,262 21,508 Consumer loans — 23 23 Other loans — 244 244 Total TDRs $ 1,347 $ 29,163 $ 30,510 On March 27, 2020, the CARES Act, a stimulus package intended to provide relief to businesses and consumers in the United States struggling as a result of the pandemic, was signed into law. Section 4013 of the CARES Act also addressed COVID-19- related modifications and specified that COVID-19 related modifications executed between March 1, 2020 and the earlier of (i) 60 days after the date of termination of the national emergency declared by the President and (ii) December 31, 2020, on loans that were current as of December 31, 2019 are not TDRs. Additionally, under guidance from the federal banking agencies, other short-term modifications made on a good faith basis in response to COVID-19 to borrowers that were current prior to any relief are not TDRs under ASC Subtopic 310-40, “Troubled Debt Restructuring by Creditors.” These modifications include short-term (e.g., up to six months) modifications such as payment deferrals, fee waivers, extensions of repayment terms, or delays in payment that are insignificant. Borrowers considered current are those that are less than 30 days past due on their contractual payments at the time a modification program is implemented. Trustmark modified 2,812 individual loans with aggregate principal balances totaling $1.327 billion through September 30, 2020 without treating such modifications as TDRs. Commercial concessions were primarily either interest only for 90 days or full payment deferrals for 90 days. Consumer concessions were 90-day full payment deferrals. Collateral-Dependent Loans The following table presents the amortized cost basis of collateral-dependent loans by class of loans and collateral type as of September 30, 2020 ($ in thousands): September 30, 2020 Real Estate Equipment and Machinery Inventory and Receivables Vehicles Miscellaneous Total Loans secured by real estate: Construction, land development and other land $ 1,024 $ — $ — $ — $ — $ 1,024 Other secured by 1-4 family residential properties 474 — — — — 474 Secured by nonfarm, nonresidential properties 13,527 — — — — 13,527 Other real estate secured 61 — — — — 61 Other loans secured by real estate: Other construction — — — — — — Secured by 1-4 family residential properties 1,453 — — — — 1,453 Commercial and industrial loans 96 798 5,174 155 8,660 14,883 Consumer loans — — — — — — State and other political subdivision loans 4,019 — — — — 4,019 Other commercial loans 623 — 1,983 — 3,120 5,726 Total $ 21,277 $ 798 $ 7,157 $ 155 $ 11,780 $ 41,167 A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The following provides a qualitative description by class of loan of the collateral that secures Trustmark’s collateral-dependent LHFI: • Loans secured by real estate – Loans within these loan classes are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period. • Other loans secured by real estate – Loans within these loan classes are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period. • Commercial and industrial loans – Loans within this loan class are primarily secured by inventory, accounts, equipment and other non-real estate collateral. One loan relationship experienced a decline in fair value due to general deterioration during the third quarter of 2020 to the collateral that secures the relationship. There were no other significant changes to the collateral that secures these financial assets during the period. • State and other political subdivision loans – Loans within this loan class are secured by liens on real estate properties. There have been no significant changes to the collateral that secures these financial assets during the period. • Other commercial loans - Loans within this loan class are secured by liens on real estate properties or priority status of a UCC agreement for non-real estate collateral. One loan relationship experienced a decline in fair value due to general deterioration during the third quarter of 2020 to the real estate collateral that secures the relationship. There were no other significant changes to the collateral that secures these financial assets during the period. Credit Quality Indicators Trustmark’s LHFI portfolio credit quality indicators focus on six key quality ratios that are compared against bank tolerances. The loan indicators are total classified outstanding, total criticized outstanding, nonperforming loans, nonperforming assets, delinquencies and net loan losses. Due to the homogenous nature of consumer loans, Trustmark does not assign a formal internal risk rating to each credit and therefore the criticized and classified measures are primarily composed of commercial loans. In addition to monitoring portfolio credit quality indicators, Trustmark also measures how effectively the lending process is being managed and risks are being identified. As part of an ongoing monitoring process, Trustmark grades the commercial portfolio segment as it relates to credit file completion and financial statement exceptions, underwriting, collateral documentation and compliance with law as shown below: • Credit File Completeness and Financial Statement Exceptions – evaluates the quality and condition of credit files in terms of content and completeness and focuses on efforts to obtain and document sufficient information to determine the quality and status of credits. Also included is an evaluation of the systems/procedures used to insure compliance with policy. • Underwriting – evaluates whether credits are adequately analyzed, appropriately structured and properly approved within loan policy requirements. A properly approved credit is approved by adequate authority in a timely manner with all conditions of approval fulfilled. Total policy exceptions measure the level of underwriting and other policy exceptions within a portfolio segment. • Collateral Documentation – focuses on the adequacy of documentation to perfect Trustmark’s collateral position and substantiate collateral value. Collateral exceptions measure the level of documentation exceptions within a portfolio segment. Collateral exceptions occur when certain collateral documentation is either not present or not current. • Compliance with Law – focuses on underwriting, documentation, approval and reporting in compliance with banking laws and regulations. Primary emphasis is directed to the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), Regulation O requirements and regulations governing appraisals. Commercial Credits Trustmark has established a loan grading system that consists of ten individual credit risk grades (risk ratings) that encompass a range from loans where the expectation of loss is negligible to loans where loss has been established. The model is based on the risk of default for an individual credit and establishes certain criteria to delineate the level of risk across the ten unique credit risk grades. Credit risk grade definitions are as follows: • Risk Rate (RR) 1 through RR 6 – Grades one through six represent groups of loans that are not subject to criticism as defined in regulatory guidance. Loans in these groups exhibit characteristics that represent low to moderate risk measured by using a variety of credit risk criteria such as cash flow coverage, debt service coverage, balance sheet leverage, liquidity, management experience, industry position, prevailing economic conditions, support from secondary sources of repayment and other credit factors that may be relevant to a specific loan. In general, these loans are supported by properly margined collateral and guarantees of principal parties. • Other Assets Especially Mentioned (Special Mention) (RR 7) – a loan that has a potential weakness that if not corrected will lead to a more severe rating. This rating is for credits that are currently protected but potentially weak because of an adverse feature or condition that if not corrected will lead to a further downgrade. • Substandard (RR 8) – a loan that has at least one identified weakness that is well defined. This rating is for credits where the primary sources of repayment are not viable at the time of evaluation or where either the capital or collateral is not adequate to support the loan and the secondary means of repayment do not provide a sufficient level of support to offset the identified weakness. Loss potential exists in the aggregate amount of substandard loans but does not necessarily exist in individual loans. • Doubtful (RR 9) – a loan with an identified weakness that does not have a valid secondary source of repayment. Generally, these credits have an impaired primary source of repayment and secondary sources are not sufficient to prevent a loss in the credit. The exact amount of the loss has not been determined at this time. • Loss (RR 10) – a loan or a portion of a loan that is deemed to be uncollectible. By definition, credit risk grades special mention (RR 7), substandard (RR 8), doubtful (RR 9) and loss (RR 10) are criticized loans while substandard (RR 8), doubtful (RR 9) and loss (RR 10) are classified loans. These definitions are standardized by all bank regulatory agencies and are generally equally applied to each individual lending institution. The remaining credit risk grades are considered pass credits and are solely defined by Trustmark. To enhance this process, Trustmark has determined that loans will be individually assessed, and a formal analysis will be performed and based upon the analysis the loan will be written down to net realizable value. Trustmark will individually assess and remove loans from the pool in the following circumstances: • Commercial nonaccrual loans with total exposure of $500 thousand (excluding those portions of the debt that are government guaranteed or are secured by Trustmark deposits or marketable securities) or more. • Any loan that is believed to not share similar risk characteristics with the rest of the pool will be individually assessed. Otherwise, the loan will be left within the pool based on the results of the assessment. • Commercial accruing loans deemed to be a TDR with total exposure of $500 thousand (excluding those portions of the debt that are government guaranteed or are secured by Trustmark deposits or marketable securities) or more. If the loan is believed to not share similar risk characteristics with the rest of the loan pool, the loan will be individually assessed. Otherwise, the loan will be left within the pool and monitored on an ongoing basis. Each loan officer assesses the appropriateness of the internal risk rating assigned to their credits on an ongoing basis. Trustmark’s Asset Review area conducts independent credit quality reviews of the majority of Trustmark’s commercial loan portfolio both on the underlying credit quality of each individual loan class as well as the adherence to Trustmark’s loan policy and the loan administration process. In addition to the ongoing internal risk rate monitoring described above, Trustmark’s Credit Quality Review Committee meets monthly and performs a review of all loans of $100 thousand or more that are either delinquent thirty days or more or on nonaccrual. This review includes recommendations regarding risk ratings, accrual status, charge-offs and appropriate servicing officer as well as evaluation of problem credits for determination of TDRs. Quarterly, the Credit Quality Review Committee reviews and modifies continuous action plans for all credits risk rated seven or worse for relationships of $100 thousand or more. In addition, periodic reviews of significant development, commercial construction, multi-family and nonowner-occupied projects are performed. These reviews assess each particular project with respect to location, project valuations, progress of completion, leasing status, current financial information, rents, operating expenses, cash flow, adherence to budget and projections and other information as applicable. Summary results are reviewed by Senior and Regional Credit Officers in addition to the Chief Credit Officer with a determination made as to the appropriateness of existing risk ratings and accrual status. Consumer Credits Consumer LHFI that do not meet a minimum custom credit score are reviewed quarterly by Management. The Retail Credit Review Committee reviews the volume and percentage of approvals that did not meet the minimum passing custom score by region, individual location, and officer to ensure that Trustmark continues to originate quality loans. Trustmark monitors the levels and severity of past due consumer LHFI on a daily basis through its collection activities. A detailed assessment of consumer LHFI delinquencies is performed monthly at both a product and market level by delivery channel, which incorporates the perceived level of risk at time of underwriting. The tables below present the amortized cost basis of loans by credit quality indicator and class of loans based on the most recent analysis performed ($ in thousands): Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Commercial LHFI Loans secured by real estate: Construction, land development and other land: Pass - RR 1 through RR 6 $ 226,639 $ 96,572 $ 33,263 $ 4,709 $ 3,424 $ 4,336 $ 29,238 $ 398,181 Special Mention - RR 7 268 — — — — — — 268 Substandard - RR 8 6,304 4,194 1,372 34 680 23 — 12,607 Doubtful - RR 9 — — — — — 42 — 42 Total 233,211 100,766 34,635 4,743 4,104 4,401 29,238 411,098 Other secured by 1-4 family residential properties: Pass - RR 1 through RR 6 $ 28,504 $ 23,022 $ 18,840 $ 10,616 $ 11,869 $ 6,610 $ 8,288 $ 107,749 Special Mention - RR 7 46 43 — — — — — 89 Substandard - RR 8 934 82 981 353 305 613 4,150 7,418 Doubtful - RR 9 31 — — — — — — 31 Total 29,515 23,147 19,821 10,969 12,174 7,223 12,438 115,287 Secured by nonfarm, nonresidential properties: Pass - RR 1 through RR 6 $ 545,273 $ 503,516 $ 435,877 $ 326,971 $ 274,113 $ 333,242 $ 110,298 $ 2,529,290 Special Mention - RR 7 6,330 6,916 13,487 4,551 5,053 15,227 — 51,564 Substandard - RR 8 14,093 22,207 3,515 13,092 35,939 34,326 2,130 125,302 Doubtful - RR 9 55 167 — — 217 318 — 757 Total 565,751 532,806 452,879 344,614 315,322 383,113 112,428 2,706,913 Other real estate secured: Pass - RR 1 through RR 6 $ 107,988 $ 206,213 $ 303,645 $ 107,141 $ 110,083 $ 27,682 $ 11,336 $ 874,088 Special Mention - RR 7 — — — — — 858 — 858 Substandard - RR 8 11,076 148 18 — 566 501 — 12,309 Doubtful - RR 9 — — — — — — — — Total 119,064 206,361 303,663 107,141 110,649 29,041 11,336 887,255 Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Commercial LHFI Other loans secured by real estate: Other construction Pass - RR 1 through RR 6 $ 113,727 $ 564,093 $ 194,012 $ 13,346 $ 1,605 $ — $ 4,060 $ 890,843 Special Mention - RR 7 — — — — — — — — Substandard - RR 8 585 — — — — — — 585 Doubtful - RR 9 — — — — — — — — Total 114,312 564,093 194,012 13,346 1,605 — 4,060 891,428 Commercial and industrial loans: Pass - RR 1 through RR 6 $ 433,771 $ 184,698 $ 104,647 $ 83,887 $ 74,401 $ 49,508 $ 394,527 $ 1,325,439 Special Mention - RR 7 844 — 177 — — — 3,000 4,021 Substandard - RR 8 5,824 1,731 15,519 3,781 2,286 5,800 33,604 68,545 Doubtful - RR 9 178 219 — — 38 4 24 463 Total 440,617 186,648 120,343 87,668 76,725 55,312 431,155 1,398,468 State and other political subdivision loans: Pass - RR 1 through RR 6 $ 141,729 $ 84,369 $ 51,181 $ 116,529 $ 135,190 $ 396,607 $ 832 $ 926,437 Special Mention - RR 7 — — — — — 4,000 — 4,000 Substandard - RR 8 — — — 293 — 4,619 — 4,912 Doubtful - RR 9 — — — — — — — — Total 141,729 84,369 51,181 116,822 135,190 405,226 832 935,349 Other commercial loans: Pass - RR 1 through RR 6 $ 74,539 $ 76,935 $ 23,491 $ 11,708 $ 56,530 $ 51,725 $ 265,683 $ 560,611 Special Mention - RR 7 7,917 — — — — — 11,333 19,250 Substandard - RR 8 127 2,146 686 — 893 — 9,473 13,325 Doubtful - RR 9 — 3 — — — 23 — 26 Total 82,583 79,084 24,177 11,708 57,423 51,748 286,489 593,212 Total commercial LHFI $ 1,726,782 $ 1,777,274 $ 1,200,711 $ 697,011 $ 713,192 $ 936,064 $ 887,976 $ 7,939,010 Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Consumer LHFI Loans secured by real estate: Construction, land development and other land: Current $ 32,812 $ 34,108 $ 8,758 $ 2,382 $ 1,576 $ 3,347 $ — $ 82,983 Past due 30-89 days — — 241 — — 74 — 315 Past due 90 days or more — — — — — — — — Nonaccrual — — — — 19 104 — 123 Total 32,812 34,108 8,999 2,382 1,595 3,525 — 83,421 Other secured by 1-4 family residential properties: Current $ 18,709 $ 13,768 $ 13,212 $ 4,295 $ 2,142 $ 14,300 $ 360,724 $ 427,150 Past due 30-89 days 126 297 — 15 58 186 538 1,220 Past due 90 days or more — 15 12 — — — 272 299 Nonaccrual 8 33 110 436 — 462 2,143 3,192 Total 18,843 14,113 13,334 4,746 2,200 14,948 363,677 431,861 Secured by nonfarm, nonresidential properties: Current $ 698 $ — $ — $ 4 $ — $ 12 $ — $ 714 Past due 30-89 days — — — — — — — — Past due 90 days or more — — — — — — — — Nonaccrual — — — — — — — — Total 698 — — 4 — 12 — 714 Other real estate secured: Current $ 139 $ — $ 41 $ 38 $ 102 $ 217 $ — $ 537 Past due 30-89 days — — — — — — — — Past due 90 days or more — — — — — — — — Nonaccrual — — — — — — — — Total 139 — 41 38 102 217 — 537 Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Consumer LHFI Other loans secured by real estate: Secured by 1-4 family residential properties Current $ 217,950 $ 226,130 $ 194,593 $ 102,945 $ 119,707 $ 352,569 $ — $ 1,213,894 Past due 30-89 days 256 — 71 274 1,127 1,180 — 2,908 Past due 90 days or more 7 — — — 181 171 — 359 Nonaccrual 148 839 2,051 439 241 7,373 — 11,091 Total 218,361 226,969 196,715 103,658 121,256 361,293 — 1,228,252 Consumer loans: C |
Acquired Loans
Acquired Loans | 9 Months Ended |
Sep. 30, 2020 | |
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities [Abstract] | |
Acquired Loans | Note 4 – Acquired Loans Trustmark’s loss-share agreement with the Federal Deposit Insurance Corporation (FDIC) covering the acquired covered loans secured by 1-4 family residential properties will expire in 2021. Upon adoption of FASB ASC Topic 326, which was effective for Trustmark on January 1, 2020 in accordance with the amendments in FASB ASU 2016-13, Trustmark elected to account for its existing acquired loans as purchased credit deteriorated (PCD) loans included within the LHFI portfolio. Trustmark elected to maintain pools of loans that were previously accounted for under FASB ASC Subtopic 310-30, “Receivables – Loans and Debt Securities Acquired with Deteriorated Credit Quality,” and will continue to account for these pools as a unit of account. Loans are only removed from the existing loan pools if they are written off, paid off or sold. Upon adoption of FASB ASC Topic 326, the ACL was determined for each pool and added to the pool’s carrying value to establish a new amortized cost basis. The difference between the unpaid principal balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. Changes to the allowance for credit losses after adoption of FASB ASC Topic 326 are recorded through the PCL. Consequently, acquired loans of $72.6 million, as well as the allowance for loan losses, acquired loans of $815 thousand, were transferred on January 1, 2020. At December 31, 2019, acquired loans consisted of the following ($ in thousands): December 31, 2019 Loans secured by real estate: Construction, land development and other land $ 4,771 Secured by 1-4 family residential properties 17,525 Secured by nonfarm, nonresidential properties 38,206 Other real estate secured 3,946 Commercial and industrial loans 5,035 Consumer loans 520 Other loans 2,598 Acquired loans 72,601 Less allowance for loan losses, acquired loans 815 Net acquired loans $ 71,786 The following table presents changes in the net carrying value of the acquired loans for the periods presented ($ in thousands): Acquired Impaired Acquired Not ASC 310-30 (1) Carrying value, net at January 1, 2019 $ 102,890 $ 2,811 Transfers (2) — (2,926 ) Accretion to interest income 5,532 115 Payments received, net (37,230 ) — Other (3) 178 — Change in allowance for loan losses, acquired loans 416 — Carrying value, net at December 31, 2019 71,786 — FASB ASU 2016-13 adoption adjustment (71,786 ) — Accretion to interest income — — Payments received, net — — Other (3) — — Change in allowance for loan losses, acquired loans — — Carrying value, net at September 30, 2020 $ — $ — (1) “Acquired Not ASC 310-30” loans consist of loans that are not in scope for FASB ASC Subtopic 310-30. (2) “Acquired Not ASC 310-30” ( 3 ) Includes miscellaneous timing adjustments as well as acquired loan terminations through foreclosure, charge-off and other terminations. Under FASB ASC Subtopic 310-30, the accretable yield is the excess of expected cash flows at acquisition over the initial fair value of acquired impaired loans and is recorded as interest income over the estimated life of the loans using the effective yield method if the timing and amount of the future cash flows is reasonably estimable. The following table presents changes in the accretable yield for the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Accretable yield at beginning of period $ (14,816 ) $ (17,722 ) FASB ASU 2016-13 adoption adjustment 14,816 — Accretion to interest income — 4,290 Disposals, net — 1,903 Reclassification from nonaccretable difference (1) — (3,596 ) Accretable yield at end of period $ — $ (15,125 ) (1) Reclassifications from nonaccretable difference are due to lower loss expectations and improvements in expected cash flows. The following table presents the components of the allowance for loan losses on acquired loans for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Balance at beginning of period $ — $ 1,398 $ 815 $ 1,231 FASB ASU 2016-13 adoption adjustment — — (815 ) — Net (charge-offs) recoveries — (9 ) — (26 ) Provision for loan losses, acquired loans — (140 ) — 44 Balance at end of period $ — $ 1,249 $ — $ 1,249 The table below presents the acquired loans by loan class and credit quality indicator at December 31, 2019 ($ in thousands): December 31, 2019 Commercial Loans Pass - Categories 1-6 Special Mention - Category 7 Substandard - Category 8 Doubtful - Category 9 Subtotal Loans secured by real estate: Construction, land development and other land $ 4,022 $ — $ 192 $ — $ 4,214 Secured by 1-4 family residential properties 3,164 42 580 — 3,786 Secured by nonfarm, nonresidential properties 27,848 — 9,972 386 38,206 Other real estate secured 3,878 — 68 0 3,946 Commercial and industrial loans 3,419 — — 1,616 5,035 Consumer loans — — — — — Other loans 2,591 — 7 — 2,598 Total acquired loans $ 44,922 $ 42 $ 10,819 $ 2,002 $ 57,785 Consumer Loans Current Past Due 30-89 Days Past Due 90 Days or More Nonaccrual (1) Subtotal Total Acquired Loans Loans secured by real estate: Construction, land development and other land $ 463 $ 94 $ — $ — $ 557 $ 4,771 Secured by 1-4 family residential properties 12,843 615 281 — 13,739 17,525 Secured by nonfarm, nonresidential properties — — — — — 38,206 Other real estate secured — — — — — 3,946 Commercial and industrial loans — — — — — 5,035 Consumer loans 489 31 — — 520 520 Other loans — — — — — 2,598 Total acquired loans $ 13,795 $ 740 $ 281 $ — $ 14,816 $ 72,601 (1) Acquired loans not accounted for under FASB ASC Subtopic 310-30. The following table provides an aging analysis of contractually past due and nonaccrual acquired loans at December 31, 2019 ($ in thousands): December 31, 2019 Past Due 30-59 Days 60-89 Days 90 Days or More (1) Total Nonaccrual (2) Current Loans Total Acquired Loans Loans secured by real estate: Construction, land development and other land $ 94 $ — $ 38 $ 132 $ — $ 4,639 $ 4,771 Secured by 1-4 family residential properties 696 131 366 1,193 — 16,332 17,525 Secured by nonfarm, nonresidential properties 36 — 851 887 — 37,319 38,206 Other real estate secured 1 — 52 53 — 3,893 3,946 Commercial and industrial loans — — — — — 5,035 5,035 Consumer loans 16 15 — 31 — 489 520 Other loans — — — — — 2,598 2,598 Total acquired loans $ 843 $ 146 $ 1,307 $ 2,296 $ — $ 70,305 $ 72,601 (1) Past due 90 days or more but still accruing interest. (2) Acquired loans not accounted for under FASB ASC Subtopic 310-30. |
Mortgage Banking
Mortgage Banking | 9 Months Ended |
Sep. 30, 2020 | |
Mortgage Banking [Abstract] | |
Mortgage Banking | Note 5 – Mortgage Banking Mortgage Servicing Rights The activity in the mortgage servicing rights (MSR) is detailed in the table below for the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Balance at beginning of period $ 79,394 $ 95,596 Origination of servicing assets 20,728 11,431 Change in fair value: Due to market changes (27,098 ) (25,126 ) Due to run-off (11,411 ) (8,885 ) Balance at end of period $ 61,613 $ 73,016 Trustmark determines the fair value of the MSR using a valuation model administered by a third party that calculates the present value of estimated future net servicing income. Trustmark considers the conditional prepayment rate (CPR), which is an estimated loan prepayment rate that uses historical prepayment rates for previous loans similar to the loans being evaluated, and the discount rate in determining the fair value of the MSR. An increase in either the CPR or discount rate assumption will result in a decrease in the fair value of the MSR, while a decrease in either assumption will result in an increase in the fair value of the MSR. At September 30, 2020, the fair value of the MSR included an assumed average prepayment speed of 16 CPR and an average discount rate of 9.59% compared to an assumed average prepayment speed of 13 CPR and an average discount rate of 10.04% at September 30, 2019. Mortgage Loans Serviced/Sold During the first nine months of 2020 and 2019, Trustmark sold $1.808 billion and $925.8 million, respectively, of residential mortgage loans. Gains on these sales were recorded as noninterest income in mortgage banking, net and totaled $82.9 million for the first nine months of 2020 compared to $22.3 million for the first nine months of 2019. The table below details the mortgage loans sold and serviced for others at September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Federal National Mortgage Association $ 4,547,696 $ 4,411,914 Government National Mortgage Association 2,879,122 2,652,782 Federal Home Loan Mortgage Corporation 57,684 73,134 Other 16,931 19,404 Total mortgage loans sold and serviced for others $ 7,501,433 $ 7,157,234 Trustmark is subject to losses in its loan servicing portfolio due to loan foreclosures. Trustmark has obligations to either repurchase the outstanding principal balance of a loan or make the purchaser whole for the economic benefits of a loan if it is determined that the loan sold was in violation of representations or warranties made by Trustmark at the time of the sale, herein referred to as mortgage loan servicing putback expenses. Such representations and warranties typically include those made regarding loans that had missing or insufficient file documentation, loans that do not meet investor guidelines, loans in which the appraisal does not support the value and/or loans obtained through fraud by the borrowers or other third parties. Generally, putback requests may be made until the loan is paid in full. However, mortgage loans delivered to Federal National Mortgage Association (FNMA) and Federal Home Loan Mortgage Corporation (FHLMC) on or after January 1, 2013 are subject to the Lending and Selling Representations and Warranties Framework updated in May 2014, which provides certain instances in which FNMA and FHLMC will not exercise their remedies, including a putback request, for breaches of certain selling representations and warranties, such as payment history and quality control review. When a putback request is received, Trustmark evaluates the request and takes appropriate actions based on the nature of the request. Trustmark is required by FNMA and FHLMC to provide a response to putback requests within 60 days of the date of receipt. The total mortgage loan servicing putback expenses are included in other expense. At September 30, 2020 and 2019, Trustmark had a reserve for mortgage loan servicing putback expenses of $500 thousand and $577 thousand, respectively. There is inherent uncertainty in reasonably estimating the requirement for reserves against potential future mortgage loan servicing putback expenses. Future putback expenses are dependent on many subjective factors, including the review procedures of the purchasers and the potential refinance activity on loans sold with servicing released and the subsequent consequences under the representations and warranties. Trustmark believes that it has appropriately reserved for potential mortgage loan servicing putback requests. |
Other Real Estate
Other Real Estate | 9 Months Ended |
Sep. 30, 2020 | |
Other Real Estate And Foreclosed Assets [Abstract] | |
Other Real Estate | Note 6 – Other Real Estate At September 30, 2020, Trustmark’s geographic other real estate distribution was concentrated primarily in its five key market regions: Alabama, Florida, Mississippi, Tennessee and Texas. The ultimate recovery of a substantial portion of the carrying amount of other real estate is susceptible to changes in market conditions in these areas. For the periods presented, changes and gains (losses), net on other real estate were as follows ($ in thousands): Nine Months Ended September 30, 2020 2019 Balance at beginning of period $ 29,248 $ 34,668 Additions 496 5,684 Disposals (11,823 ) (6,574 ) Write-downs (1,673 ) (1,804 ) Balance at end of period $ 16,248 $ 31,974 Gains (losses), net on the sale of other real estate included in other real estate expense $ (388 ) $ 124 At September 30, 2020 and December 31, 2019, other real estate by type of property consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Construction, land development and other land properties $ 7,697 $ 11,482 1-4 family residential properties 1,351 3,453 Nonfarm, nonresidential properties 7,200 14,313 Total other real estate $ 16,248 $ 29,248 At September 30, 2020 and December 31, 2019, other real estate by geographic location consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Alabama $ 3,725 $ 8,133 Florida 3,665 5,877 Mississippi (1) 8,718 14,919 Tennessee (2) 140 319 Texas — — Total other real estate $ 16,248 $ 29,248 (1) Mississippi includes Central and Southern Mississippi Regions. (2) Tennessee includes Memphis, Tennessee and Northern Mississippi Regions. At September 30, 2020 and December 31, 2019, the balance of other real estate included $1.4 million and $3.5 million, respectively, of foreclosed residential real estate properties recorded as a result of obtaining physical possession of the property. At September 30, 2020 and December 31, 2019, the recorded investment of consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process was $245 thousand and $953 thousand, respectively. |
Leases
Leases | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Leases | Note 7 – Leases The following table details the components of net lease cost for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Finance leases Amortization of right-of-use assets $ 449 $ 520 $ 1,427 $ 1,665 Interest on lease liabilities 62 75 194 236 Operating lease cost 1,306 1,303 3,885 3,892 Short-term lease cost 104 85 324 288 Variable lease cost 304 349 983 1,039 Sublease income (84 ) (81 ) (246 ) (250 ) Net lease cost $ 2,141 $ 2,251 $ 6,567 $ 6,870 The following table details the cash payments included in the measurement of lease liabilities during the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Finance leases Operating cash flows included in operating activities $ 194 $ 779 Financing cash flows included in payments under finance lease obligations 1,319 1,509 Operating leases Operating cash flows (fixed payments) included in other operating activities, net 3,739 3,759 Operating cash flows (liability reduction) included in other operating activities, net 2,896 2,850 The following table details balance sheet information, as well as weighted-average lease terms and discount rates, related to leases at September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Finance lease right-of-use assets, net of accumulated depreciation $ 7,900 $ 9,326 Finance lease liabilities 8,201 9,520 Operating lease right-of-use assets 30,508 31,182 Operating lease liabilities 31,838 32,354 Weighted-average lease term Finance leases 8.56 years 8.62 years Operating leases 8.72 years 9.05 years Weighted-average discount rate Finance leases 3.07 % 3.01 % Operating leases 3.40 % 3.51 % At September 30, 2020, future minimum rental commitments under finance and operating leases were as follows ($ in thousands): Finance Leases Operating Leases 2020 (excluding the nine months ended September 30, 2020) $ 456 $ 1,250 2021 1,615 4,872 2022 1,556 4,378 2023 871 4,265 2024 572 4,371 Thereafter 4,452 17,982 Total minimum lease payments 9,522 37,118 Less imputed interest (1,321 ) (5,280 ) Lease liabilities $ 8,201 $ 31,838 |
Deposits
Deposits | 9 Months Ended |
Sep. 30, 2020 | |
Deposits [Abstract] | |
Deposits | Note 8 – Deposits At September 30, 2020 and December 31, 2019, deposits consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Noninterest-bearing demand $ 3,964,023 $ 2,891,215 Interest-bearing demand 3,486,959 3,125,914 Savings 4,298,004 3,590,509 Time 1,473,427 1,637,919 Total $ 13,222,413 $ 11,245,557 |
Securities Sold Under Repurchas
Securities Sold Under Repurchase Agreements | 9 Months Ended |
Sep. 30, 2020 | |
Securities Sold Under Agreements To Repurchase [Abstract] | |
Securities Sold Under Repurchase Agreements | Note 9 – Securities Sold Under Repurchase Agreements Trustmark utilizes securities sold under repurchase agreements as a source of borrowing in connection with overnight repurchase agreements offered to commercial deposit customers by using its unencumbered investment securities as collateral. Trustmark accounts for its securities sold under repurchase agreements as secured borrowings in accordance with FASB ASC Subtopic 860-30, “Transfers and Servicing – Secured Borrowing and Collateral.” Securities sold under repurchase agreements are stated at the amount of cash received in connection with the transaction. Trustmark monitors collateral levels on a continual basis and may be required to provide additional collateral based on the fair value of the underlying securities. Securities sold under repurchase agreements were secured by securities with a carrying amount of $141.4 million and $105.6 million at September 30, 2020 and December 31, 2019, respectively. Trustmark’s repurchase agreements are transacted under master repurchase agreements that give Trustmark, in the event of default by the counterparty, the right of offset with the same counterparty. As of September 30, 2020, all repurchase agreements were short-term and consisted primarily of sweep repurchase arrangements, under which excess deposits are “swept” into overnight repurchase agreements with Trustmark. The following table presents the securities sold under repurchase agreements by collateral pledged at September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Mortgage-backed securities Residential mortgage pass-through securities Issued by FNMA and FHLMC $ 70,185 $ — Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 48,418 24,282 Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 14,220 29,290 Total securities sold under repurchase agreements $ 132,823 $ 53,572 |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 9 Months Ended |
Sep. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | Note 10 – Revenue from Contracts with Customers Trustmark accounts for revenue from contracts with customers in accordance with FASB ASC Topic 606, “Revenue from Contracts with Customers,” which provides that revenue be recognized in a manner that depicts the transfer of goods or services to a customer in an amount that reflects the consideration Trustmark expects to be entitled to in exchange for those goods or services. Revenue from contracts with customers is recognized either over time in a manner that depicts Trustmark’s performance, or at a point in time when control of the goods or services are transferred to the customer. Trustmark’s noninterest income, excluding all of mortgage banking, net and securities gains (losses), net and portions of bank card and other fees and other income, are considered within the scope of FASB ASC Topic 606. Gains or losses on the sale of other real estate, which are included in Trustmark’s noninterest expense as other real estate expense, are also within the scope of FASB ASC Topic 606. Trustmark records a gain or loss from the sale of other real estate when control of the property transfers to the buyer. Trustmark records the gain or loss from the sale of other real estate in noninterest expense as other real estate expense, net. Other real estate sales for the three and nine months ended September 30, 2020 resulted in net losses of $133 thousand and $388 thousand, respectively, compared to a net loss of $122 thousand and a net gain of $124 thousand for the three and nine months ended September 30, 2019, respectively. The following tables present noninterest income disaggregated by reportable operating segment and revenue stream for the periods presented ($ in thousands): Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Topic 606 Not Topic 606 (1) Total Topic 606 Not Topic 606 (1) Total General Banking Segment Service charges on deposit accounts $ 7,557 $ — $ 7,557 $ 11,041 $ — $ 11,041 Bank card and other fees 7,019 1,817 8,836 6,959 1,383 8,342 Mortgage banking, net — 36,439 36,439 — 8,171 8,171 Wealth management 54 — 54 92 — 92 Other, net 1,496 40 1,536 1,792 138 1,930 Total noninterest income $ 16,126 $ 38,296 $ 54,422 $ 19,884 $ 9,692 $ 29,576 Wealth Management Segment Service charges on deposit accounts $ 20 $ — $ 20 $ 24 $ — $ 24 Bank card and other fees 7 — 7 7 — 7 Wealth management 7,625 — 7,625 7,599 — 7,599 Other, net 27 15 42 22 32 54 Total noninterest income $ 7,679 $ 15 $ 7,694 $ 7,652 $ 32 $ 7,684 Insurance Segment Insurance commissions $ 11,562 $ — $ 11,562 $ 11,072 $ — $ 11,072 Other, net 23 — 23 5 — 5 Total noninterest income $ 11,585 $ — $ 11,585 $ 11,077 $ — $ 11,077 Consolidated Service charges on deposit accounts $ 7,577 $ — $ 7,577 $ 11,065 $ — $ 11,065 Bank card and other fees 7,026 1,817 8,843 6,966 1,383 8,349 Mortgage banking, net — 36,439 36,439 — 8,171 8,171 Insurance commissions 11,562 — 11,562 11,072 — 11,072 Wealth management 7,679 — 7,679 7,691 — 7,691 Other, net 1,546 55 1,601 1,819 170 1,989 Total noninterest income $ 35,390 $ 38,311 $ 73,701 $ 38,613 $ 9,724 $ 48,337 (1) Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security Nine Months Ended September 30, 2020 Nine Months Ended September 30, 2019 Topic 606 Not Topic 606 (1) Total Topic 606 Not Topic 606 (1) Total General Banking Segment Service charges on deposit accounts $ 23,949 $ — $ 23,949 $ 31,638 $ — $ 31,638 Bank card and other fees 20,294 1,600 21,894 20,986 2,508 23,494 Mortgage banking, net — 97,667 97,667 — 21,908 21,908 Wealth management 219 — 219 280 — 280 Other, net 4,614 1,306 5,920 6,369 (392 ) 5,977 Total noninterest income $ 49,076 $ 100,573 $ 149,649 $ 59,273 $ 24,024 $ 83,297 Wealth Management Segment Service charges on deposit accounts $ 57 $ — $ 57 $ 71 $ — $ 71 Bank card and other fees 21 — 21 50 — 50 Wealth management 23,568 — 23,568 22,636 — 22,636 Other, net 77 37 114 283 87 370 Total noninterest income $ 23,723 $ 37 $ 23,760 $ 23,040 $ 87 $ 23,127 Insurance Segment Insurance commissions $ 34,980 $ — $ 34,980 $ 33,032 $ — $ 33,032 Other, net 87 — 87 11 — 11 Total noninterest income $ 35,067 $ — $ 35,067 $ 33,043 $ — $ 33,043 Consolidated Service charges on deposit accounts $ 24,006 $ — $ 24,006 $ 31,709 $ — $ 31,709 Bank card and other fees 20,315 1,600 21,915 21,036 2,508 23,544 Mortgage banking, net — 97,667 97,667 — 21,908 21,908 Insurance commissions 34,980 — 34,980 33,032 — 33,032 Wealth management 23,787 — 23,787 22,916 — 22,916 Other, net 4,778 1,343 6,121 6,663 (305 ) 6,358 Total noninterest income $ 107,866 $ 100,610 $ 208,476 $ 115,356 $ 24,111 $ 139,467 (1) Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security |
Defined Benefit and Other Postr
Defined Benefit and Other Postretirement Benefits | 9 Months Ended |
Sep. 30, 2020 | |
Compensation And Retirement Disclosure [Abstract] | |
Defined Benefit and Other Postretirement Benefits | Note 11 – Defined Benefit and Other Postretirement Benefits Qualified Pension Plan Trustmark maintains a noncontributory tax-qualified defined benefit pension plan titled the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions (the Continuing Plan) to satisfy commitments made by Trustmark to associates covered through plans obtained in acquisitions. The following table presents information regarding the net periodic benefit cost for the Continuing Plan for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 64 $ 53 $ 191 $ 159 Interest cost 60 90 181 270 Expected return on plan assets (39 ) (51 ) (116 ) (152 ) Recognized net loss due to lump sum settlements 40 47 80 141 Recognized net actuarial loss 82 92 245 278 Net periodic benefit cost $ 207 $ 231 $ 581 $ 696 For the plan year ending December 31, 2020, Trustmark’s minimum required contribution to the Continuing Plan is $306 thousand; however, Management and the Board of Directors of Trustmark will monitor the Continuing Plan throughout 2020 to determine any additional funding requirements by the plan’s measurement date, which is December 31. Supplemental Retirement Plans Trustmark maintains a nonqualified supplemental retirement plan covering key executive officers and senior officers as well as directors who have elected to defer fees. The plan provides for retirement and/or death benefits based on a participant’s covered salary or deferred fees. Although plan benefits may be paid from Trustmark’s general assets, Trustmark has purchased life insurance contracts on the participants covered under the plan, which may be used to fund future benefit payments under the plan. The measurement date for the plan is December 31. As a result of mergers prior to 2014, Trustmark became the administrator of small nonqualified supplemental retirement plans, for which the plan benefits were frozen prior to the merger date. The following table presents information regarding the net periodic benefit cost for Trustmark’s nonqualified supplemental retirement plans for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 19 $ 27 $ 58 $ 82 Interest cost 388 502 1,189 1,544 Amortization of prior service cost 37 62 112 187 Recognized net actuarial loss 237 155 719 471 Net periodic benefit cost $ 681 $ 746 $ 2,078 $ 2,284 |
Stock and Incentive Compensatio
Stock and Incentive Compensation | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock and Incentive Compensation | Note 12 – Stock and Incentive Compensation Trustmark has granted stock and incentive compensation awards and units subject to the provisions of the Stock and Incentive Compensation Plan (the Stock Plan). Current outstanding and future grants of stock and incentive compensation awards are subject to the provisions of the Stock Plan, which is designed to provide flexibility to Trustmark regarding its ability to motivate, attract and retain the services of key associates and directors. The Stock Plan also allows Trustmark to grant nonqualified stock options, incentive stock options, stock appreciation rights, restricted stock, restricted stock units and performance units to key associates and directors. Restricted Stock Grants Performance Awards Trustmark’s performance awards vest over three years and are granted to Trustmark’s executive and senior management teams. Performance awards granted vest based on performance goals of return on average tangible equity and total shareholder return. Performance awards are valued utilizing a Monte Carlo simulation model to estimate fair value of the awards at the grant date. The Monte Carlo simulation was performed by an independent valuation consultant and requires the use of subjective modeling assumptions. These awards are recognized using the straight-line method over the requisite service period. These awards provide for achievement shares if performance measures exceed 100%. The restricted share agreement for these awards provides for voting rights and dividend privileges. During 2020, Trustmark began granting performance units instead of performance awards. The performance units have the same attributes as the previously granted performance awards, except for the performance units do not provide voting rights. Time-Vested Awards Trustmark’s time-vested awards vest over three years and are granted to members of Trustmark’s Board of Directors as well as Trustmark’s executive and senior management teams. Time-vested awards are valued utilizing the fair value of Trustmark’s stock at the grant date. These awards are recognized on the straight-line method over the requisite service period. During 2020, Trustmark began granting time-vested units instead of time-vested awards. The time-vested units have the same attributes as the previously granted time-vested awards, except for the time-vested units do not provide voting rights. The following tables summarize the Stock Plan activity for the periods presented: Three Months Ended September 30, 2020 Performance Awards and Units Time-Vested Awards and Units Nonvested shares, beginning of period 146,508 304,693 Granted — 1,500 Released from restriction — (2,031 ) Forfeited (1,640 ) (1,967 ) Nonvested shares, end of period 144,868 302,195 Nine Months Ended September 30, 2020 Performance Awards and Units Time-Vested Awards and Units Nonvested shares, beginning of period 149,914 300,006 Granted 53,450 123,060 Released from restriction (36,357 ) (109,537 ) Forfeited (22,139 ) (11,334 ) Nonvested shares, end of period 144,868 302,195 The following table presents information regarding compensation expense for awards and units under the Stock Plan for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Performance awards and units $ 417 $ 481 $ 360 $ 1,043 Time-vested awards and units 822 791 3,547 2,510 Total compensation expense $ 1,239 $ 1,272 $ 3,907 $ 3,553 |
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | Note 13 – Contingencies Lending Related Trustmark makes commitments to extend credit and issues standby and commercial letters of credit (letters of credit) in the normal course of business in order to fulfill the financing needs of its customers. The carrying amount of commitments to extend credit and letters of credit approximates the fair value of such financial instruments. Commitments to extend credit are agreements to lend money to customers pursuant to certain specified conditions. Commitments generally have fixed expiration dates or other termination clauses. Because many of these commitments are expected to expire without being fully drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The exposure to credit loss in the event of nonperformance by the other party to the commitments to extend credit is represented by the contract amount of those instruments. Trustmark applies the same credit policies and standards as it does in the lending process when making these commitments. The collateral obtained is based upon the nature of the transaction and the assessed creditworthiness of the borrower. At September 30, 2020 and 2019, Trustmark had unused commitments to extend credit of $4.647 billion and $4.205 billion, respectively. Letters of credit are conditional commitments issued by Trustmark to insure the performance of a customer to a third-party. A financial standby letter of credit irrevocably obligates Trustmark to pay a third-party beneficiary when a customer fails to repay an outstanding loan or debt instrument. A performance standby letter of credit irrevocably obligates Trustmark to pay a third-party beneficiary when a customer fails to perform some contractual, nonfinancial obligation. When issuing letters of credit, Trustmark uses the same policies regarding credit risk and collateral, which are followed in the lending process. At September 30, 2020 and 2019, Trustmark’s maximum exposure to credit loss in the event of nonperformance by the customer for letters of credit was $109.3 million and $103.1 million, respectively. These amounts consist primarily of commitments with maturities of less than three years, which have an immaterial carrying value. Trustmark holds collateral to support standby letters of credit when deemed necessary. As of September 30, 2020 and 2019, the fair value of collateral held was $22.5 million and $28.7 million, respectively. Trustmark adopted FASB ASC Topic 326, effective January 1, 2020, which requires Trustmark to estimate expected credit losses for off-balance sheet credit exposures which are not unconditionally cancellable. Trustmark maintains a separate ACL on off-balance sheet credit exposures, including unfunded loan commitments and letters of credit, which is included on the accompanying consolidated balance sheet as of September 30, 2020 . Expected credit losses for off-balance sheet credit exposures are estimated by calculating a commitment usage factor over the contractual period for exposures that are not unconditionally cancellable by Trustmark. Trustmark generates a loan pool level unfunded amount for the period. Trustmark views the loan pools as either closed-ended or open-ended. Closed-ended loan pools are those that typically fund up to 100% such as other construction and nonowner-occupied. Open-ended loan pools are those that behave similar to a revolver such as the commercial and industrial and home equity line of credit loan pools. In addition to the unfunded balances, Trustmark uses a funding rate for loan pools that are considered open-ended. Trustmark calculates the funding rate of the open-ended loan pools each period. In order to mitigate volatility and incorporate historical experience in the funding rate, Trustmark uses a twelve-quarter moving average. For the closed-ended loan pools, Trustmark takes a conservative approach and uses a 100% funding rate. The funding rate is applied to the pool unfunded commitment balances to ensure that reserves will be applied to the pool as Trustmark believes the pool will reach its historical levels. In addition to the funding rate being applied to the unfunded commitment balance, the total reserve rate is applied. The total reserve rate incorporates both quantitative and qualitative aspects of the current period’s expected credit loss rate. The total reserve rate is loan pool specific and is applied to the unfunded amount to ensure loss factors, both quantitative and qualitative, are being considered on the unfunded portion of the loan pool, consistent with the methodology applied to the funded loan pools. Changes in the ACL on off-balance sheet credit exposures were as follows for the periods presented ($ in thousands): Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Balance at beginning of period $ 42,663 $ — FASB ASU 2016-13 adoption adjustment — 29,638 Credit loss expense related to off-balance sheet credit exposures (3,004 ) 10,021 Balance at end of period $ 39,659 $ 39,659 Adjustments to the ACL on off-balance sheet credit exposures are recorded to credit loss expense related to off-balance sheet credit exposures in noninterest expense. The decrease in the ACL on off-balance sheet credit exposures for the three months ended September 30, 2020 was primarily due to improvements in the macroeconomic forecasts. The increase in the ACL on off-balance sheet credit exposures for the nine months ended September 30, 2020 was primarily due to net changes in the economic forecast due to the negative effects of the COVID-19 pandemic on the overall economy and macroeconomic factors used in the quantitative calculation of the ACL. No credit loss estimate is reported for off-balance sheet credit exposures that are unconditionally cancellable by Trustmark or for undrawn amounts under such arrangements that may be drawn prior to the cancellation of the arrangement. Legal Proceedings Trustmark’s wholly-owned subsidiary, TNB, has been named as a defendant in several lawsuits related to the collapse of the Stanford Financial Group. On August 23, 2009, a purported class action complaint was filed in the District Court of Harris County, Texas, by Peggy Roif Rotstain, Guthrie Abbott, Catherine Burnell, Steven Queyrouze, Jaime Alexis Arroyo Bornstein and Juan C. Olano (collectively, Class Plaintiffs), on behalf of themselves and all others similarly situated, naming TNB and four other financial institutions and one individual, each of which are unaffiliated with Trustmark, as defendants. The complaint seeks to recover (i) alleged fraudulent transfers from each of the defendants in the amount of fees and other monies received by each defendant from entities controlled by R. Allen Stanford (collectively, the Stanford Financial Group) and (ii) damages allegedly attributable to alleged conspiracies by one or more of the defendants with the Stanford Financial Group to commit fraud and/or aid and abet fraud on the asserted grounds that defendants knew or should have known the Stanford Financial Group was conducting an illegal and fraudulent scheme. Class Plaintiffs have demanded a jury trial. Class Plaintiffs did not quantify damages. In November 2009, the lawsuit was removed to federal court by certain defendants and then transferred by the United States Panel on Multidistrict Litigation to federal court in the Northern District of Texas (Dallas) where multiple Stanford related matters are being consolidated for pre-trial proceedings. In May 2010, all defendants (including TNB) filed motions to dismiss the lawsuit. In August 2010, the court authorized and approved the formation of an Official Stanford Investors Committee (OSIC) to represent the interests of Stanford investors and, under certain circumstances, to file legal actions for the benefit of Stanford investors. In December 2011, the OSIC filed a motion to intervene in this action. In September 2012, the district court referred the case to a magistrate judge for hearing and determination of certain pretrial issues. In December 2012, the court granted the OSIC’s motion to intervene, and the OSIC filed an Intervenor Complaint against one of the other defendant financial institutions. In February 2013, the OSIC filed a second Intervenor Complaint that asserts claims against TNB and the remaining defendant financial institutions. The OSIC seeks to recover: (i) alleged fraudulent transfers in the amount of the fees each of the defendants allegedly received from Stanford Financial Group, the profits each of the defendants allegedly made from Stanford Financial Group deposits, and other monies each of the defendants allegedly received from Stanford Financial Group; (ii) damages attributable to alleged conspiracies by each of the defendants with the Stanford Financial Group to commit fraud and/or aid and abet fraud and conversion on the asserted grounds that the defendants knew or should have known the Stanford Financial Group was conducting an illegal and fraudulent scheme; and (iii) punitive damages. The OSIC did not quantify damages. In July 2013, all defendants (including TNB) filed motions to dismiss the OSIC’s claims. In March 2015, the court entered an order authorizing the parties to conduct discovery regarding class certification, staying all other discovery and setting a deadline for the parties to complete briefing on class certification issues. In April 2015, the court granted in part and denied in part the defendants’ motions to dismiss the Class Plaintiffs’ claims and the OSIC’s claims. The court dismissed all of the Class Plaintiffs’ fraudulent transfer claims and dismissed certain of the OSIC’s claims. The court denied the motions by TNB and the other financial institution defendants to dismiss the OSIC’s constructive fraudulent transfer claims. On June 23, 2015, the court allowed the Class Plaintiffs to file a Second Amended Class Action Complaint (SAC), which asserted new claims against TNB and certain of the other defendants for (i) aiding, abetting and participating in a fraudulent scheme, (ii) aiding, abetting and participating in violations of the Texas Securities Act, (iii) aiding, abetting and participating in breaches of fiduciary duty, (iv) aiding, abetting and participating in conversion and (v) conspiracy. On July 14, 2015, the defendants (including TNB) filed motions to dismiss the SAC and to reconsider the court’s prior denial to dismiss the OSIC’s constructive fraudulent transfer claims against TNB and the other financial institutions that are defendants in the action. On July 27, 2016, the court denied the motion by TNB and the other financial institution defendants to dismiss the SAC and also denied the motion by TNB and the other financial institution defendants to reconsider the court’s prior denial to dismiss the OSIC’s constructive fraudulent transfer claims. On August 24, 2016, TNB filed its answer to the SAC. On October 20, 2017, the OSIC filed a motion seeking an order lifting the discovery stay and establishing a trial schedule. On November 4, 2016, the OSIC filed a First Amended Intervenor Complaint, which added claims for (i) aiding, abetting or participation in violations of the Texas Securities Act and (ii) aiding, abetting or participation in the breach of fiduciary duty. On November 7, 2017, the court denied the Class Plaintiffs’ motion seeking class certification and designation of class representatives and counsel, finding that common issues of fact did not predominate. The court granted the OSIC’s motion to lift the discovery stay that it had previously ordered. On May 3, 2019, individual investors and entities filed motions to intervene in the action. On September 18, 2019, the court denied the motions to intervene. On October 14, 2019, certain of the proposed intervenors filed a notice of appeal. On December 14, 2009, a different Stanford-related lawsuit was filed in the District Court of Ascension Parish, Louisiana, individually by Harold Jackson, Paul Blaine and Carolyn Bass Smith, Christine Nichols, and Ronald and Ramona Hebert naming TNB (misnamed as Trust National Bank) and other individuals and entities not affiliated with Trustmark as defendants. The complaint seeks to recover the money lost by these individual plaintiffs as a result of the collapse of the Stanford Financial Group (in addition to other damages) under various theories and causes of action, including negligence, breach of contract, breach of fiduciary duty, negligent misrepresentation, detrimental reliance, conspiracy, and violation of Louisiana’s uniform fiduciary, securities, and racketeering laws. The complaint does not quantify the amount of money the plaintiffs seek to recover. In January 2010, the lawsuit was removed to federal court by certain defendants and then transferred by the United States Panel on Multidistrict Litigation to federal court in the Northern District of Texas (Dallas) where multiple Stanford related matters are being consolidated for pre-trial proceedings. On March 29, 2010, the court stayed the case. TNB filed a motion to lift the stay, which was denied on February 28, 2012. In September 2012, the district court referred the case to a magistrate judge for hearing and determination of certain pretrial issues. On April 11, 2016, Trustmark learned that a different Stanford-related lawsuit had been filed on that date in the Superior Court of Justice in Ontario, Canada, by The Toronto-Dominion Bank (“TD Bank”), naming TNB and three other financial institutions not affiliated with Trustmark as defendants. The complaint seeks a declaration specifying the degree to which each of TNB and the other defendants are liable in respect of any loss and damage for which TD Bank is found to be liable in a litigation commenced against TD Bank brought by the Joint Liquidators of Stanford International Bank Limited in the Superior Court of Justice, Commercial List in Ontario, Canada (the “Joint Liquidators’ Action”), as well as contribution and indemnity in respect of any judgment, interest and costs TD Bank is ordered to pay in the Joint Liquidators’ Action. To date, TNB has not been served in connection with this action. On November 1, 2019, TNB was named as a defendant in a complaint filed by Paul Blaine Smith, Carolyn Bass Smith and other plaintiffs identified therein (the Smith Complaint). The Smith Complaint was filed in District Court, Harris County, Texas and named TNB and four other financial institutions and one individual, each of which are unaffiliated with Trustmark, as defendants. The Smith Complaint relates to the collapse of the Stanford Financial Group, as does the other pending litigation relating to Stanford summarized above. Plaintiffs in the Smith Complaint have demanded a jury trial. On January 15, 2020, the court granted Stanford Financial Group receiver’s motion to stay the state court action. On February 26, 2020, the lawsuit was removed to federal court in the Southern District of Texas by TNB. Trustmark and its counsel are carefully evaluating the Smith Complaint in the form that is publicly available, and will update the foregoing description to the extent that additional material facts are ascertained. TNB’s relationship with the Stanford Financial Group began as a result of Trustmark’s acquisition of a Houston-based bank in August 2006, and consisted of correspondent banking and other traditional banking services in the ordinary course of business. All Stanford-related lawsuits are in pre-trial stages. On December 30, 2019, a complaint was filed in the United States District Court for the Southern District of Mississippi, Northern Division (the Court) by Alysson Mills in her capacity as Court-appointed Receiver (the Receiver) for Arthur Lamar Adams (Adams) and Madison Timber Properties, LLC (Madison Timber), naming TNB, two other Mississippi-based financial institutions both of which are unaffiliated with Trustmark and two individuals, one of who was employed by TNB at all times relevant to the complaint and the other was employed either by TNB or one of the other defendant financial institutions, as defendants. The complaint seeks to recover from the defendants, for the benefit of the receivership estate and also for certain investors who were allegedly defrauded by Adams and Madison Timber, damages (including punitive damages) and related costs allegedly attributable to actions of the defendants that allegedly enabled illegal and fraudulent activities engaged in by Adams and Madison Timber. The Receiver did not quantify damages. TNB’s relationship with Adams and Madison Timber consisted of traditional banking services in the ordinary course of business. Trustmark and its subsidiaries are also parties to other lawsuits and other claims that arise in the ordinary course of business. Some of the lawsuits assert claims related to the lending, collection, servicing, investment, trust and other business activities, and some of the lawsuits allege substantial claims for damages. All pending legal proceedings described above are being vigorously contested. In accordance with FASB ASC Subtopic 450-20, “Loss Contingencies,” Trustmark will establish an accrued liability for litigation matters when those matters present loss contingencies that are both probable and reasonably estimable. At the present time, Trustmark believes, based on its evaluation and the advice of legal counsel, that a loss in any such proceeding is not probable and a reasonable estimate cannot reasonably be made. |
Earnings Per Share (EPS)
Earnings Per Share (EPS) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share (EPS) | Note 14 – Earnings Per Share (EPS) The following table reflects weighted-average shares used to calculate basic and diluted EPS for the periods presented (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Basic shares 63,423 64,359 63,531 64,755 Dilutive shares 159 156 134 135 Diluted shares 63,582 64,515 63,665 64,890 Weighted-average antidilutive stock awards were excluded in determining diluted EPS. The following table reflects weighted-average antidilutive stock awards for the periods presented (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Weighted-average antidilutive stock awards 60 — 61 85 |
Statements of Cash Flows
Statements of Cash Flows | 9 Months Ended |
Sep. 30, 2020 | |
Supplemental Cash Flow Information [Abstract] | |
Statements of Cash Flows | Note 15 – Statements of Cash Flows The following table reflects specific transaction amounts for the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Income taxes paid $ 36,211 $ 17,277 Interest expense paid on deposits and borrowings 35,246 64,881 Noncash transfers from loans to other real estate 496 5,684 Finance right-of-use assets resulting from lease liabilities — 9,823 Operating right-of-use assets resulting from lease liabilities 2,368 33,180 Transfer of long-term FHLB advances to short-term 651 — |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2020 | |
Stockholders Equity Note [Abstract] | |
Shareholders' Equity | Note 16 – Shareholders’ Equity Regulatory Capital Trustmark and TNB are subject to minimum risk-based capital and leverage capital requirements, as described in the section captioned “Capital Adequacy” included in Part I. Item 1. – Business of Trustmark’s 2019 Annual Report, which are administered by the federal bank regulatory agencies. These capital requirements, as defined by federal regulations, involve quantitative and qualitative measures of assets, liabilities and certain off-balance sheet instruments. Trustmark’s and TNB’s minimum risk-based capital requirements include a capital conservation buffer of 2.50% at September 30, 2020 and December 31, 2019. Accumulated other comprehensive income (loss), net of tax, is not included in computing regulatory capital. Trustmark has elected the five-year phase-in transition period related to adopting FASB ASU 2016-13 for regulatory capital purposes. Failure to meet minimum capital requirements can result in certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the financial statements of Trustmark and TNB and limit Trustmark’s and TNB’s ability to pay dividends. As of September 30, 2020, Trustmark and TNB exceeded all applicable minimum capital standards. In addition, Trustmark and TNB met applicable regulatory guidelines to be considered well-capitalized at September 30, 2020. To be categorized in this manner, Trustmark and TNB maintained minimum common equity Tier 1 risk-based capital, Tier 1 risk-based capital, total risk-based capital and Tier 1 leverage ratios as set forth in the accompanying table, and were not subject to any written agreement, order or capital directive, or prompt corrective action directive issued by their primary federal regulators to meet and maintain a specific capital level for any capital measures. There are no significant conditions or events that have occurred since September 30, 2020, which Management believes have affected Trustmark’s or TNB’s present classification. The following table provides Trustmark’s and TNB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at September 30, 2020 and December 31, 2019 ($ in thousands): Actual Regulatory Capital Minimum To Be Well Amount Ratio Requirement Capitalized At September 30, 2020: Common Equity Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,358,889 11.36 % 7.00 % n/a Trustmark National Bank 1,384,436 11.57 % 7.00 % 6.50 % Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,418,889 11.86 % 8.50 % n/a Trustmark National Bank 1,384,436 11.57 % 8.50 % 8.00 % Total Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,541,261 12.88 % 10.50 % n/a Trustmark National Bank 1,506,808 12.60 % 10.50 % 10.00 % Tier 1 Leverage (to Average Assets) Trustmark Corporation $ 1,418,889 9.20 % 4.00 % n/a Trustmark National Bank 1,384,436 9.00 % 4.00 % 5.00 % At December 31, 2019: Common Equity Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,312,668 11.93 % 7.00 % n/a Trustmark National Bank 1,352,893 12.30 % 7.00 % 6.50 % Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,372,668 12.48 % 8.50 % n/a Trustmark National Bank 1,352,893 12.30 % 8.50 % 8.00 % Total Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,457,760 13.25 % 10.50 % n/a Trustmark National Bank 1,437,985 13.07 % 10.50 % 10.00 % Tier 1 Leverage (to Average Assets) Trustmark Corporation $ 1,372,668 10.48 % 4.00 % n/a Trustmark National Bank 1,352,893 10.35 % 4.00 % 5.00 % Stock Repurchase Program On March 11, 2016, the Board of Directors of Trustmark authorized a stock repurchase program under which $100.0 million of Trustmark’s outstanding common stock could be acquired through March 31, 2019. Trustmark repurchased approximately 1.2 million shares of its common stock valued at $36.9 million during the three months ended March 31, 2019. Under this authority, Trustmark repurchased approximately 3.2 million shares valued at $100.0 million. On April 1, 2019, the Board of Directors of Trustmark authorized a stock repurchase program under which $100.0 million of Trustmark’s outstanding common stock could be acquired through March 31, 2020. Trustmark repurchased approximately 887 thousand shares of its common stock valued at $27.5 million during the three months ended March 31, 2020. Under this authority, Trustmark repurchased approximately 1.5 million shares valued at $47.2 million. On January 28, 2020, the Board of Directors of Trustmark authorized a new stock repurchase program, effective April 1, 2020, under which $100.0 million of Trustmark’s outstanding common stock may be acquired through December 31, 2021. The shares may be purchased from time to time at prevailing market prices, through open market or private transactions, depending on market conditions. On March 9, 2020, Trustmark suspended its share repurchase program s to preserve capital to support customers during the COVID-19 pandemic. Trustmark may begin repurchases under the program at any time at Management’s discretion and subject to any necessary regulatory approvals, but Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Income (Loss) The following tables present the net change in the components of accumulated other comprehensive income (loss) and the related tax effects allocated to each component for the periods presented ($ in thousands). The amortization of prior service cost, recognized net loss due to lump sum settlements and change in net actuarial loss are included in the computation of net periodic benefit cost (see Note 11 – Defined Benefit and Other Postretirement Benefits for additional details). Reclassification adjustments related to pension and other postretirement benefit plans are included in salaries and employee benefits and other expense in the accompanying consolidated statements of income. Reclassification adjustments related to the cash flow hedge derivative are included in other interest expense in the accompanying consolidated statements of income. Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Securities available for sale and transferred securities: Net unrealized holding gains (losses) arising during the period $ (7,707 ) $ 1,926 $ (5,781 ) $ 4,154 $ (1,038 ) $ 3,116 Change in net unrealized holding loss on securities transferred to held to maturity 804 (201 ) 603 849 (212 ) 637 Total securities available for sale and transferred securities (6,903 ) 1,725 (5,178 ) 5,003 (1,250 ) 3,753 Pension and other postretirement benefit plans: Reclassification adjustments for changes realized in net income: Net change in prior service costs 37 (9 ) 28 62 (16 ) 46 Recognized net loss due to lump sum settlements 40 (10 ) 30 47 (13 ) 34 Change in net actuarial loss 319 (80 ) 239 247 (61 ) 186 Total pension and other postretirement benefit plans 396 (99 ) 297 356 (90 ) 266 Cash flow hedge derivatives: Change in accumulated gain (loss) on effective cash flow hedge derivatives — — — 19 (5 ) 14 Reclassification adjustment for (gain) loss realized in net income — — — (101 ) 26 (75 ) Total cash flow hedge derivatives — — — (82 ) 21 (61 ) Total other comprehensive income (loss) $ (6,507 ) $ 1,626 $ (4,881 ) $ 5,277 $ (1,319 ) $ 3,958 Nine Months Ended September 30, 2020 Nine Months Ended September 30, 2019 Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Securities available for sale and transferred securities: Net unrealized holding gains (losses) arising during the period $ 35,448 $ (8,863 ) $ 26,585 $ 43,057 $ (10,764 ) $ 32,293 Change in net unrealized holding loss on securities transferred to held to maturity 2,443 (611 ) 1,832 2,852 (713 ) 2,139 Total securities available for sale and transferred securities 37,891 (9,474 ) 28,417 45,909 (11,477 ) 34,432 Pension and other postretirement benefit plans: Reclassification adjustments for changes realized in net income: Net change in prior service costs 112 (28 ) 84 187 (47 ) 140 Recognized net loss due to lump sum settlements 80 (20 ) 60 141 (36 ) 105 Change in net actuarial loss 964 (241 ) 723 749 (187 ) 562 Total pension and other postretirement benefit plans 1,156 (289 ) 867 1,077 (270 ) 807 Cash flow hedge derivatives: Change in accumulated gain (loss) on effective cash flow hedge derivatives — — — (145 ) 36 (109 ) Reclassification adjustment for (gain) loss realized in net income — — — (413 ) 104 (309 ) Total cash flow hedge derivatives — — — (558 ) 140 (418 ) Total other comprehensive income (loss) $ 39,047 $ (9,763 ) $ 29,284 $ 46,428 $ (11,607 ) $ 34,821 The following table presents the changes in the balances of each component of accumulated other comprehensive income (loss) for the periods presented ($ in thousands). All amounts are presented net of tax. Securities Available and Transferred Securities Defined Benefit Pension Items Cash Flow Hedge Derivatives Total Balance at January 1, 2020 $ (8,017 ) $ (15,583 ) $ — $ (23,600 ) Other comprehensive income (loss) before reclassification 28,417 — — 28,417 Amounts reclassified from accumulated other comprehensive income (loss) — 867 — 867 Net other comprehensive income (loss) 28,417 867 — 29,284 Balance at September 30, 2020 $ 20,400 $ (14,716 ) $ — $ 5,684 Balance at January 1, 2019 $ (43,824 ) $ (12,324 ) $ 469 $ (55,679 ) Other comprehensive income (loss) before reclassification 34,432 — (109 ) 34,323 Amounts reclassified from accumulated other comprehensive income (loss) — 807 (309 ) 498 Net other comprehensive income (loss) 34,432 807 (418 ) 34,821 Balance at September 30, 2019 $ (9,392 ) $ (11,517 ) $ 51 $ (20,858 ) |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Note 17 – Fair Value Financial Instruments Measured at Fair Value The methodologies Trustmark uses in determining the fair values are based primarily on the use of independent, market-based data to reflect a value that would be reasonably expected upon exchange of the position in an orderly transaction between market participants at the measurement date. The predominant portion of assets that are stated at fair value are of a nature that can be valued using prices or inputs that are readily observable through a variety of independent data providers. The providers selected by Trustmark for fair valuation data are widely recognized and accepted vendors whose evaluations support the pricing functions of financial institutions, investment and mutual funds, and portfolio managers. Trustmark has documented and evaluated the pricing methodologies used by the vendors and maintains internal processes that regularly test valuations for anomalies. Trustmark utilizes an independent pricing service to advise it on the carrying value of the securities available for sale portfolio. As part of Trustmark’s procedures, the price provided from the service is evaluated for reasonableness given market changes. When a questionable price exists, Trustmark investigates further to determine if the price is valid. If needed, other market participants may be utilized to determine the correct fair value. Trustmark has also reviewed and confirmed its determinations in thorough discussions with the pricing source regarding their methods of price discovery. Mortgage loan commitments are valued based on the securities prices of similar collateral, term, rate and delivery for which the loan is eligible to deliver in place of the particular security. Trustmark acquires a broad array of mortgage security prices that are supplied by a market data vendor, which in turn accumulates prices from a broad list of securities dealers. Prices are processed through a mortgage pipeline management system that accumulates and segregates all loan commitment and forward-sale transactions according to the similarity of various characteristics (maturity, term, rate, and collateral). Prices are matched to those positions that are deemed to be an eligible substitute or offset ( i.e Trustmark estimates fair value of the MSR through the use of prevailing market participant assumptions and market participant valuation processes. This valuation is periodically tested and validated against other third-party firm valuations. Trustmark obtains the fair value of interest rate swaps from a third-party pricing service that uses an industry standard discounted cash flow methodology. In addition, credit valuation adjustments are incorporated in the fair values to account for potential nonperformance risk. In adjusting the fair value of its interest rate swap contracts for the effect of nonperformance risk, Trustmark has considered any applicable credit enhancements such as collateral postings, thresholds, mutual puts, and guarantees. In conjunction with the FASB’s fair value measurement guidance, Trustmark made an accounting policy election to measure the credit risk of these derivative financial instruments, which are subject to master netting agreements, on a net basis by counterparty portfolio. Trustmark has determined that the majority of the inputs used to value its interest rate swaps offered to qualified commercial borrowers fall within Level 2 of the fair value hierarchy, while the credit valuation adjustments associated with these derivatives utilize Level 3 inputs, such as estimates of current credit spreads. Trustmark has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its interest rate swaps and has determined that the credit valuation adjustment is not significant to the overall valuation of these derivatives. As a result, Trustmark classifies its interest rate swap valuations in Level 2 of the fair value hierarchy. Trustmark also utilizes exchange-traded derivative instruments such as Treasury note futures contracts and option contracts to achieve a fair value return that offsets the changes in fair value of the MSR attributable to interest rates. Fair values of these derivative instruments are determined from quoted prices in active markets for identical assets therefore allowing them to be classified within Level 1 of the fair value hierarchy. In addition, Trustmark utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area which lack observable inputs for valuation purposes resulting in their inclusion in Level 3 of the fair value hierarchy. At this time, Trustmark presents no fair values that are derived through internal modeling. Should positions requiring fair valuation arise that are not relevant to existing methodologies, Trustmark will make every reasonable effort to obtain market participant assumptions, or independent evaluation. Financial Assets and Liabilities The following tables summarize financial assets and financial liabilities measured at fair value on a recurring basis as of September 30, 2020 and December 31, 2019, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands). There were no transfers between fair value levels for the nine months ended September 30, 2020 and the year ended December 31, 2019. September 30, 2020 Total Level 1 Level 2 Level 3 U.S. Government agency obligations $ 19,011 $ — $ 19,011 $ — Obligations of states and political subdivisions 8,315 — 8,315 — Mortgage-backed securities 1,895,402 — 1,895,402 — Securities available for sale 1,922,728 — 1,922,728 — Loans held for sale 485,103 — 485,103 — Mortgage servicing rights 61,613 — — 61,613 Other assets - derivatives 54,960 644 42,103 12,213 Other liabilities - derivatives 3,353 512 2,841 — December 31, 2019 Total Level 1 Level 2 Level 3 U.S. Government agency obligations $ 22,327 $ — $ 22,327 $ — Obligations of states and political subdivisions 25,465 — 25,465 — Mortgage-backed securities 1,554,612 — 1,554,612 — Securities available for sale 1,602,404 — 1,602,404 — Loans held for sale 226,347 — 226,347 — Mortgage servicing rights 79,394 — — 79,394 Other assets - derivatives 17,956 244 16,273 1,439 Other liabilities - derivatives 6,063 4,414 1,649 — The changes in Level 3 assets measured at fair value on a recurring basis for the nine months ended September 30, 2020 and 2019 are summarized as follows ($ in thousands): MSR Other Assets - Derivatives Balance, January 1, 2020 $ 79,394 $ 1,439 Total net (loss) gain included in Mortgage banking, net (1) (38,509 ) 32,833 Additions 20,728 — Sales — (22,059 ) Balance, September 30, 2020 $ 61,613 $ 12,213 The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at September 30, 2020 $ (27,098 ) $ 19,930 Balance, January 1, 2019 $ 95,596 $ 1,187 Total net (loss) gain included in Mortgage banking, net (1) (34,011 ) 5,741 Additions 11,431 — Sales — (4,712 ) Balance, September 30, 2019 $ 73,016 $ 2,216 The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at September 30, 2019 $ (25,126 ) $ 924 (1) Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off. Trustmark may be required, from time to time, to measure certain assets at fair value on a nonrecurring basis in accordance with GAAP. Assets at September 30, 2020, which have been measured at fair value on a nonrecurring basis, include collateral-dependent LHFI. A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The expected credit loss for collateral-dependent loans is measured as the difference between the amortized cost basis of the loan and the fair value of the collateral, adjusted for the estimated cost to sell. Fair value estimates for collateral-dependent loans are derived from appraised values based on the current market value or as is value of the collateral, normally from recently received and reviewed appraisals. Current appraisals are ordered on an annual basis based on the inspection date or more often if market conditions necessitate. Appraisals are obtained from state-certified appraisers and are based on certain assumptions, which may include construction or development status and the highest and best use of the property. These appraisals are reviewed by Trustmark’s Appraisal Review Department to ensure they are acceptable, and values are adjusted down for costs associated with asset disposal. At September 30, 2020, Trustmark had outstanding balances of $41.2 million with a related ACL of $4.6 million in collateral-dependent LHFI. At December 31, 2019, Trustmark had outstanding balances of $41.2 million with a related allowance of $5.5 million in impaired LHFI that were individually evaluated for impairment and written down to the fair value of the underlying collateral less cost to sell based on the fair value of the collateral or other unobservable input compared. Both the collateral-dependent LHFI and the individually evaluated impaired LHFI are classified as Level 3 in the fair value hierarchy. Nonfinancial Assets and Liabilities Certain nonfinancial assets measured at fair value on a nonrecurring basis include foreclosed assets (upon initial recognition or subsequent impairment), nonfinancial assets and nonfinancial liabilities measured at fair value in the second step of a goodwill impairment test, and intangible assets and other nonfinancial long-lived assets measured at fair value for impairment assessment. Other real estate includes assets that have been acquired in satisfaction of debt through foreclosure and is carried at the lower of cost or estimated fair value. Fair value is based on independent appraisals and other relevant factors. In the determination of fair value subsequent to foreclosure, Management also considers other factors or recent developments, such as changes in market conditions from the time of valuation and anticipated sales values considering plans for disposition, which could result in an adjustment to lower the collateral value estimates indicated in the appraisals. Periodic revaluations are classified as Level 3 in the fair value hierarchy since assumptions are used that may not be observable in the market. Foreclosed assets of $7.6 million were remeasured during the first nine months of 2020, requiring write-downs of $1.6 million to reach their current fair values compared to $12.0 million of foreclosed assets that were remeasured during the first nine months of 2019, requiring write-downs of $1.4 million. Fair Value of Financial Instruments FASB ASC Topic 825, “Financial Instruments,” requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis. The carrying amounts and estimated fair values of financial instruments at September 30, 2020 and December 31, 2019, are as follows ($ in thousands): September 30, 2020 December 31, 2019 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Financial Assets: Level 2 Inputs: Cash and short-term investments $ 564,638 $ 564,638 $ 358,916 $ 358,916 Securities held to maturity 611,280 639,665 738,099 746,202 Level 3 Inputs: Net LHFI and PPP loans 10,669,988 10,680,458 9,251,351 9,235,674 Net acquired loans (1) — — 71,786 71,786 Financial Liabilities: Level 2 Inputs: Deposits 13,222,413 13,227,707 11,245,557 11,250,071 Federal funds purchased and securities sold under repurchase agreements 153,834 153,834 256,020 256,020 Other borrowings 178,599 178,600 85,396 85,374 Junior subordinated debt securities 61,856 45,773 61,856 50,722 (1) Upon adoption of FASB ASC Topic 326 at January 1, 2020, Trustmark elected to account for its existing acquired loans as purchased credit deteriorated loans included within the LHFI portfolio. See Note 4 – Acquired Loans for additional details. Fair Value Option Trustmark has elected to account for its mortgage LHFS under the fair value option, with interest income on these mortgage LHFS reported in interest and fees on LHFS and LHFI. The fair value of the mortgage LHFS is determined using quoted prices for a similar asset, adjusted for specific attributes of that loan. The mortgage LHFS are actively managed and monitored and certain market risks of the loans may be mitigated through the use of derivatives. These derivative instruments are carried at fair value with changes in fair value recorded as noninterest income in mortgage banking, net. The changes in the fair value of LHFS are largely offset by changes in the fair value of the derivative instruments. For the three and nine months ended September 30, 2020, net gains of $4.1 million and $11.3 million, respectively, were recorded as noninterest income in mortgage banking, net for changes in the fair value of LHFS accounted for under the fair value option, compared to a net loss of $544 thousand and a net gain of $2.3 million for the three and nine months ended September 30, 2019, respectively. Interest and fees on LHFS and LHFI for the three and nine months ended September 30, 2020 included $2.0 million and $4.8 million, respectively, of interest earned on LHFS accounted for under the fair value option, compared to $1.7 million and $4.1 million for the three and nine months ended September 30, 2019, respectively. Election of the fair value option allows Trustmark to reduce the accounting volatility that would otherwise result from the asymmetry created by accounting for the financial instruments at the lower of cost or fair value and the derivatives at fair value. The fair value option election does not apply to GNMA optional repurchase loans which do not meet the requirements under FASB ASC Topic 825 to be accounted for under the fair value option. GNMA optional repurchase loans totaled $147.4 million and $57.1 million at September 30, 2020 and December 31, 2019, respectively, and are included in LHFS on the accompanying consolidated balance sheets. For additional information regarding GNMA optional repurchase loans, please see the section captioned “Past Due LHFS” included in Note 3 – LHFI and Allowance for Credit Losses, LHFI. The following table provides information about the fair value and the contractual principal outstanding of LHFS accounted for under the fair value option as of September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Fair value of LHFS $ 337,752 $ 169,285 LHFS contractual principal outstanding 321,690 164,420 Fair value less unpaid principal $ 16,062 $ 4,865 |
Derivative Financial Instrument
Derivative Financial Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Note 18 – Derivative Financial Instruments Derivatives Designated as Hedging Instruments On April 4, 2013, Trustmark entered into a forward interest rate swap contract on junior subordinated debentures with a total notional amount of $60.0 million. The interest rate swap contract was designated as a derivative instrument in a cash flow hedge under FASB ASC Topic 815, “Derivatives and Hedging,” with the objective of protecting the quarterly interest payments on Trustmark’s $60.0 million of junior subordinated debentures issued to Trustmark Preferred Capital Trust I throughout the five-year The interest rate swap matured on December 31, 2019; therefore, there was no accumulated net after-tax amount related to the effective cash flow hedge included in accumulated other comprehensive income (loss) at December 31, 2019. No ineffectiveness related to the interest rate swap designated as a cash flow hedge was recognized in the consolidated statements of income for the nine months ended September 30, 2019. Amounts reported in accumulated other comprehensive income (loss) related to this derivative were reclassified to other interest expense as interest payments were made on Trustmark’s variable rate junior subordinated debentures. Derivatives not Designated as Hedging Instruments Trustmark utilizes a portfolio of exchange-traded derivative instruments, such as Treasury note futures contracts and option contracts, to achieve a fair value return that economically hedges changes in the fair value of the MSR attributable to interest rates. These transactions are considered freestanding derivatives that do not otherwise qualify for hedge accounting. The total notional amount of these derivative instruments was $331.0 million at September 30, 2020 compared to $564.0 million at December 31, 2019. Changes in the fair value of these exchange-traded derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of the MSR. The impact of this strategy resulted in a net positive ineffectiveness of $815 thousand and a net negative ineffectiveness of $3.7 million for the three months ended September 30, 2020 and 2019, respectively. For the nine months ended September 30, 2020 and 2019, the impact was a net positive ineffectiveness of $8.7 million and a net negative ineffectiveness of $8.5 million, respectively. As part of Trustmark’s risk management strategy in the mortgage banking area, derivative instruments such as forward sales contracts are utilized. Trustmark’s obligations under forward sales contracts consist of commitments to deliver mortgage loans, originated and/or purchased, in the secondary market at a future date. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by changes in the fair value of LHFS. Trustmark’s off-balance sheet obligations under these derivative instruments totaled $462.0 million at September 30, 2020, with a negative valuation adjustment of $1.1 million, compared to $209.0 million, with a negative valuation adjustment of $486 thousand, at December 31, 2019. Trustmark also utilizes derivative instruments such as interest rate lock commitments in its mortgage banking area. Interest rate lock commitments are residential mortgage loan commitments with customers, which guarantee a specified interest rate for a specified time period. Changes in the fair value of these derivative instruments are recorded as noninterest income in mortgage banking, net and are offset by the changes in the fair value of forward sales contracts. Trustmark’s off-balance sheet obligations under these derivative instruments totaled $393.4 million at September 30, 2020, with a positive valuation adjustment of $12.2 million, compared to $92.1 million, with a positive valuation adjustment of $1.4 million, as of December 31, 2019. Trustmark offers certain derivatives products directly to qualified commercial lending clients seeking to manage their interest rate risk. Trustmark economically hedges interest rate swap transactions executed with commercial lending clients by entering into offsetting interest rate swap transactions with institutional derivatives market participants. Derivatives transactions executed as part of this program are not designated as qualifying hedging relationships and are, therefore, carried at fair value with the change in fair value recorded as noninterest income in bank card and other fees. Because these derivatives have mirror-image contractual terms, in addition to collateral provisions which mitigate the impact of nonperformance risk, the changes in fair value are expected to substantially offset. As of September 30, 2020, Trustmark had interest rate swaps with an aggregate notional amount of $1.054 billion related to this program, compared to $893.1 million as of December 31, 2019. Credit-risk-related Contingent Features Trustmark has agreements with its financial institution counterparties that contain provisions where if Trustmark defaults on any of its indebtedness, including default where repayment of the indebtedness has not been accelerated by the lender, then Trustmark could also be declared in default on its derivatives obligations. As of September 30, 2020 and December 31, 2019, the termination value of interest rate swaps in a liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $1.5 million and $1.0 million, respectively. As of September 30, 2020, Trustmark had posted collateral of $1.6 million against its obligations because of negotiated thresholds and minimum transfer amounts under these agreements. If Trustmark had breached any of these triggering provisions at September 30, 2020, it could have been required to settle its obligations under the agreements at the termination value. Credit risk participation agreements arise when Trustmark contracts with other financial institutions, as a guarantor or beneficiary, to share credit risk associated with certain interest rate swaps. These agreements provide for reimbursement of losses resulting from a third-party default on the underlying swap. At both September 30, 2020 and December 31, 2019, Trustmark had entered into three risk participation agreements as a beneficiary with an aggregate notional amount of $41.4 million and $37.6 million, respectively. At September 30, 2020, Trustmark had entered into twenty-one risk participation agreements as a guarantor with an aggregate notional amount of $145.6 million compared to ten risk participation agreements as a guarantor with an aggregate notional amount of $79.3 million at December 31, 2019. The aggregate fair values of these risk participation agreements were immaterial at both September 30, 2020 and December 31, 2019. Tabular Disclosures The following tables disclose the fair value of derivative instruments in Trustmark’s consolidated balance sheets as of September 30, 2020 and December 31, 2019 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands): September 30, 2020 December 31, 2019 Derivatives not designated as hedging instruments Interest rate contracts: Futures contracts included in other assets $ 539 $ — Exchange traded purchased options included in other assets 105 244 OTC written options (rate locks) included in other assets 12,213 1,439 Interest rate swaps included in other assets 41,992 16,209 Credit risk participation agreements included in other assets 111 64 Futures contracts included in other liabilities — 2,654 Forward contracts included in other liabilities 1,139 486 Exchange traded written options included in other liabilities 512 1,760 Interest rate swaps included in other liabilities 1,483 1,122 Credit risk participation agreements included in other liabilities 219 41 Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Derivatives in hedging relationships Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) and recognized in other interest expense $ — $ 101 $ — $ 413 Derivatives not designated as hedging instruments Amount of gain (loss) recognized in mortgage banking, net $ 74 $ 6,191 $ 45,955 $ 18,988 Amount of gain (loss) recognized in bank card and other fees 234 (600 ) (1,502 ) (1,343 ) The following table discloses the amount included in other comprehensive income (loss), net of tax, for derivative instruments designated as cash flow hedges for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Derivatives in cash flow hedging relationship Amount of gain (loss) recognized in other comprehensive income (loss), net of tax $ — $ 14 $ — $ (109 ) Trustmark’s interest rate swap derivative instruments are subject to master netting agreements, and therefore, eligible for offsetting in the consolidated balance sheets. Trustmark has elected to not offset any derivative instruments in its consolidated balance sheets. Information about financial instruments that are eligible for offset in the consolidated balance sheets as of September 30, 2020 and December 31, 2019 is presented in the following tables ($ in thousands): Offsetting of Derivative Assets As of September 30, 2020 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount Derivatives $ 41,992 $ — $ 41,992 $ — $ — $ 41,992 Offsetting of Derivative Liabilities As of September 30, 2020 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 1,483 $ — $ 1,483 $ — $ (1,483 ) $ — Offsetting of Derivative Assets As of December 31, 2019 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount Derivatives $ 16,209 $ — $ 16,209 $ — $ — $ 16,209 Offsetting of Derivative Liabilities As of December 31, 2019 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 1,122 $ — $ 1,122 $ — $ (1,390 ) $ (268 ) |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | Note 19 – Segment Information Trustmark’s management reporting structure includes three segments: General Banking, Wealth Management and Insurance. For a complete overview of Trustmark’s operating segments, see Note 22 – Segment Information included in Part II. Item 8. – Financial Statements and Supplementary Data, of Trustmark’s 2019 Annual Report. During the first quarter of 2020, Trustmark revised the composition of its operating segments by moving the Retail Private Banking Group from the General Banking Segment to the Wealth Management Segment as a result of a change in supervision of this group for segment reporting purposes. The prior period amounts presented include reclassifications to conform to the current period presentation. The accounting policies of each reportable segment are the same as those of Trustmark except for its internal allocations. Noninterest expenses for back-office operations support are allocated to segments based on estimated uses of those services. Trustmark measures the net interest income of its business segments with a process that assigns cost of funds or earnings credit on a matched-term basis. This process, called “funds transfer pricing”, charges an appropriate cost of funds to assets held by a business unit, or credits the business unit for potential earnings for carrying liabilities. The net of these charges and credits flows through to the General Banking Segment, which contains the management team responsible for determining TNB’s funding and interest rate risk strategies. The following table discloses financial information by reportable segment for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 General Banking Net interest income $ 104,738 $ 106,806 $ 310,517 $ 315,708 Provision for credit losses 3,973 2,672 40,535 6,961 Noninterest income 54,422 29,576 149,649 83,297 Noninterest expense 98,384 93,103 308,189 273,211 Income before income taxes 56,803 40,607 111,442 118,833 Income taxes 7,971 4,456 14,155 13,973 General banking net income $ 48,832 $ 36,151 $ 97,287 $ 104,860 Selected Financial Information Total assets $ 15,255,359 $ 13,221,723 $ 15,255,359 $ 13,221,723 Depreciation and amortization $ 10,081 $ 10,254 $ 29,297 $ 28,985 Wealth Management Net interest income $ 1,401 $ 1,588 $ 4,481 $ 5,108 Provision for credit losses (2,213 ) 227 (9 ) 219 Noninterest income 7,694 7,684 23,760 23,127 Noninterest expense 7,067 5,797 22,527 21,187 Income before income taxes 4,241 3,248 5,723 6,829 Income taxes 1,009 812 1,380 1,703 Wealth management net income $ 3,232 $ 2,436 $ 4,343 $ 5,126 Selected Financial Information Total assets $ 224,773 $ 289,977 $ 224,773 $ 289,977 Depreciation and amortization $ 69 $ 67 $ 203 $ 204 Insurance Net interest income $ 68 $ 72 $ 161 $ 182 Noninterest income 11,585 11,077 35,067 33,043 Noninterest expense 8,508 7,953 25,712 24,577 Income before income taxes 3,145 3,196 9,516 8,648 Income taxes 769 748 2,338 2,120 Insurance net income $ 2,376 $ 2,448 $ 7,178 $ 6,528 Selected Financial Information Total assets $ 78,030 $ 73,086 $ 78,030 $ 73,086 Depreciation and amortization $ 194 $ 141 $ 500 $ 396 Consolidated Net interest income $ 106,207 $ 108,466 $ 315,159 $ 320,998 Provision for credit losses 1,760 2,899 40,526 7,180 Noninterest income 73,701 48,337 208,476 139,467 Noninterest expense 113,959 106,853 356,428 318,975 Income before income taxes 64,189 47,051 126,681 134,310 Income taxes 9,749 6,016 17,873 17,796 Consolidated net income $ 54,440 $ 41,035 $ 108,808 $ 116,514 Selected Financial Information Total assets $ 15,558,162 $ 13,584,786 $ 15,558,162 $ 13,584,786 Depreciation and amortization $ 10,344 $ 10,462 $ 30,000 $ 29,585 |
Accounting Policies Recently Ad
Accounting Policies Recently Adopted and Pending Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2020 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Accounting Policies Recently Adopted and Pending Accounting Pronouncements | Note 20 – Accounting Policies Recently Adopted and Pending Accounting Pronouncements Accounting Policies Recently Adopted Except for the changes detailed below, Trustmark has consistently applied its accounting policies to all periods presented in the accompanying consolidated financial statements. ASU 2018-15, “Intangibles-Goodwill and Other–Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force).” Issued in August 2018, ASU 2018-15 aims to reduce complexity in the accounting for costs of implementing a cloud computing service arrangement. ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The amendments of ASU 2018-15 require an entity to follow the guidance in FASB ASC Subtopic 350-40, “Intangibles-Goodwill and Other-Internal-Use Software,” in order to determine which implementation costs to capitalize as an asset related to the service contract and which costs to expense. The amendments of ASU 2018-15 also require an entity to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement (i.e. the noncancellable period of the arrangement plus periods covered by (1) an option to extend the arrangement if the entity is reasonably certain to exercise that option, (2) an option to terminate the arrangement if the entity is reasonably certain not to exercise the option, and (3) an option to extend (or not to terminate) the arrangement in which exercise of the option is in the control of the vendor). ASU 2018-15 also requires an entity to present the expense related to the capitalized implementation costs in the same line item in the statement of income as the fees associated with the hosting element (service) of the arrangement, and to classify payments for capitalized implementation costs in the statement of cash flows in the same manner as payments made for fees associated with the hosting element. ASU 2018-15 became effective for Trustmark on January 1, 2020. Trustmark does not currently have any material amount of implementation costs related to hosting arrangements that are service contracts within the scope of this ASU; therefore, adoption of ASU 2018-15 did not impact Trustmark’s consolidated financial statements. ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement.” Issued in August 2018, the amendments in this ASU remove disclosure requirements in FASB ASC Topic 820 related to (1) the amount of, and reasons for, transfers between Level 1 and Level 2 of the fair value hierarchy; (2) the policy for timing of transfers between levels; (3) the valuation processes for Level 3 fair value measurements; and (4) for non-public entities, the changes in unrealized gains and losses for the period included in earnings for recurring Level 3 fair value measurements held at the end of the reporting period. The ASU also modifies disclosure requirements such that (1) in place of a rollforward for Level 3 fair value measurements, a non-public entity is required to disclose transfers into and out of Level 3 of the fair value hierarchy and purchases and issues of Level 3 assets and liabilities; (2) for investments in certain entities that calculate net asset value, an entity is required to disclose the timing of liquidation of an investee’s assets and the date that restrictions from redemption might lapse, only if the investee has communicated the timing to the entity or announced the timing publicly; and (3) it is clear that the measurement uncertainty disclosure is to communicate information about the uncertainty in measurement as of the reporting date. Additionally, this ASU adds disclosure requirements for public entities about (1) the changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period, and (2) the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements. The amendments of ASU 2018-13 became effective for Trustmark on January 1, 2020. Adoption of ASU 2018-13 did not have a material impact on Trustmark’s consolidated financial statements. Disclosures required by FASB ASC Topic 820 are presented in Note 17 – Fair Value, of this report. ASU 2017-04, “ Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” Issued in January 2017, ASU 2017-04 simplifies the manner in which an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit's goodwill with the carrying amount of that goodwill. In computing the implied fair value of goodwill under Step 2, an entity, prior to the amendments in ASU 2017-04, had to perform procedures to determine the fair value at the impairment testing date of its assets and liabilities, including unrecognized assets and liabilities, in accordance with the procedure that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. However, under the amendments in ASU 2017-04, an entity should (1) perform its annual or interim goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount, and (2) recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value, with the understanding that the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, ASU 2017-04 removes the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails such qualitative test, to perform Step 2 of the goodwill impairment test. ASU 2017-04 became effective for Trustmark on January 1, 2020, and the amendments of this ASU will be applicable to the annual goodwill impairment test performed as of October 1, 2020. Based on Trustmark’s annual goodwill impairment test performed as of October 1, 2019, the fair value of its reporting units exceeded the carrying value and, therefore, the related goodwill was not impaired. ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” Issued in June 2016, ASU 2016-13 will add FASB ASC Topic 326, “Financial Instruments-Credit Losses” and finalizes amendments to FASB ASC Subtopic 825-15, “Financial Instruments-Credit Losses.” The amendments of ASU 2016-13 are intended to provide financial statement users with more decision-useful information related to expected credit losses on financial instruments and other commitments to extend credit by replacing the current incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to determine credit loss estimates. The amendments of ASU 2016-13 eliminate the probable initial recognition threshold and, in turn, reflect an entity’s current estimate of all expected credit losses. ASU 2016-13 does not specify the method for measuring expected credit losses, and an entity is allowed to apply methods that reasonably reflect its expectations of the credit loss estimate. Additionally, the amendments of ASU 2016-13 require that credit losses on available for sale debt securities be presented as an allowance rather than as a write-down. The amendments of ASU 2016-13, and all subsequent ASUs issued by FASB to provide additional guidance and clarification related to this Topic, became effective for Trustmark on January 1, 2020. As previously disclosed, Trustmark established a cross-functional Current Expected Credit Loss (CECL) Steering Committee, a CECL Solution Development Working Group and a CECL Working Group which included the appropriate members of Management to evaluate the impact this ASU, and all subsequent ASUs issued by FASB, will have on Trustmark’s financial position, results of operations and financial statement disclosures and determine the most appropriate method of implementing the amendments in these ASUs as well as any resources needed to implement the amendments. Trustmark selected a third-party vendor to provide allowance for loan loss software as well as advisory services in developing a new methodology that would be compliant with amendments of ASU 2016-13. In accordance with the amendments of ASU 2016-13, Trustmark elected to maintain pools of loans that were previously accounted for under FASB ASC Subtopic 310-30 and will continue to account for these pools as a unit of account. Loans are only removed from the existing loan pools if they are written off, paid off or sold. Upon adoption of ASU 2016-13, the allowance for credit losses was determined for each pool and added to the pool’s carrying value to establish a new amortized cost basis. The difference between the unpaid principle balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. As a result of adopting the amendments of ASU 2016-13, Trustmark recorded a decrease to its ACL LHFI of $3.0 million and an increase to its ACL on off-balance sheet credit exposures of $29.6 million resulting in a one-time cumulative effect adjustment through retained earnings of $26.6 million ($19.9 million, net of tax) at the date of adoption. This adjustment included a qualitative adjustment to the allowance for credit losses related to loans and an allowance on off-balance sheet credit exposures. Trustmark estimates losses over an approximate one-year forecast period using Moody’s baseline economic forecasts, and then reverts to longer term historical loss experience over a one-year period. Trustmark’s estimated allowance for credit losses on both held to maturity securities and available for sale securities under the CECL model was deemed immaterial due to the composition of the portfolios being primarily government agency-backed securities for which the risk of loss is minimal. Therefore, Trustmark did not recognize a cumulative effective adjustment through retained earnings at the date of adoption related to the held to maturity or available for sale securities. Disclosures required by the amendments ASU 2016-13 are presented in Note 2 – Securities Available for Sale and Held to Maturity and Note 3 – Loans Held for Investment and Allowance for Credit Losses, of this report. Pending Accounting Pronouncements ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” Issued in March 2020, ASU 2020-04 seeks to provided additional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The FASB issued ASU 2020-04 is response to concerns about the structural risks of interbank offered rates (IBORs) and, in particular, the risk that the London Interbank Offer Rate (LIBOR) will no longer be used. Regulators have begun reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. Stakeholders have raised operational challenges likely to arise with the reference rate reform, particularly related to contract modifications and hedge accounting. The amendments of ASU 2020-04, which are elective and apply to all entities, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by the reference rate reform id certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications should be applied consistently for all contracts or transactions within the relevant Codification Topic or Subtopic or Industry Subtopic that contains the related guidance. The optional expedients for hedging relationships can be elected on an individual hedging relationship basis. As the guidance in ASU 2020-04 is intended to assist entity’s during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. Management is currently evaluating the impact to Trustmark as a result of the potential discontinuance of LIBOR, and a determination cannot be made at this time as to the impact the amendments of ASU 2020-04 or the reference rate reform will have on its consolidated financial statements. ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” Issued in December 2019, ASU 2019-12 seeks to simplify the accounting for income taxes by removing certain exceptions to the general principles in FASB ASC Topic 740, Income Taxes. In particular, the amendments of ASU 2019-12 remove the exceptions to (1) the incremental approach for intra-period tax allocation when there is a loss from continuing operations and income or a gain from other items (e.g., discontinued operations or other comprehensive income); (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The amendments of ASU 2019-12 (1) require that an entity recognize a franchise tax (or similar tax), that is partially based on income, in accordance with FASB ASC Topic 740 and account for any incremental amount incurred as a non-income-based tax; (2) require that an entity evaluate when a step up in the tax basis of goodwill should be considered part of the business combination in which the book goodwill was originally recognized and when it should instead be considered a separate transaction; (3) specify that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements, but rather may elect to do so for a legal entity that is both not subject to tax and disregarded by the taxing authority; and (4) require that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date. ASU 2019-12 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption of ASU 2019-12 is permitted, including adoption in any interim period for periods for which financial statements have not yet been issued. An entity that elects to early adopt the amendments in an interim period should reflect any adjustments as of the beginning of the annual period that includes that interim period. Additionally, an entity that elects early adoption must adopt all the amendments in the same period. The amendments related to separate financial statements of legal entities that are not subject to tax should be applied on a retrospective basis for all periods presented. The amendments related to changes in ownership of foreign equity method investments or foreign subsidiaries should be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. The amendments related to franchise taxes that are partially based on income should be applied on either a retrospective basis for all periods presented or a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. All other amendments should be applied on a prospective basis. Trustmark intends to adopt the amendments in ASU 2019-12 during the first quarter of 2021. Adoption of ASU 2019-12 is not expected to have a material impact to Trustmark’s consolidated financial statements. ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans.” Issued in August 2018, ASU 2018-14 modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments in ASU 2018-14 remove certain disclosure requirements that are no longer considered cost beneficial, clarify the specific requirements of disclosures and add disclosure requirements identified as relevant. T he amendments of ASU 2018-14 become effective for fiscal years beginning after December 15, 2020. Trustmark plans to adopt these amendments during the first quarter of 2021. Management is currently assessing all the potential impacts of the amendments in ASU 2018-14 on Trustmark’s consolidated financial statements; however, the adoption of ASU 2018-14 is not expected to have a material impact on Trustmark’s consolidated financial statements. |
Accounting Policies Recently _2
Accounting Policies Recently Adopted and Pending Accounting Pronouncements (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Credit Loss, Financial Instrument | In order to comply with ASU 2016-13, Trustmark conducted a review of its investment portfolio and determined that for certain classes of securities it would be appropriate to assume the expected credit loss to be zero. This zero-credit loss assumption applies to debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. The reasons behind the adoption of the zero-credit loss assumption were as follows: • High credit rating • Long history with no credit losses • Guaranteed by a sovereign entity • Widely recognized as “risk-free rate” • Can print its own currency • Currency is routinely held by central banks, used in international commerce, and commonly viewed as reserve currency • Currently under the U.S. Government conservatorship or receivership Trustmark will continuously monitor any changes in economic conditions, credit downgrades, changes to explicit or implicit guarantees granted to certain debt issuers, and any other relevant information that would indicate potential credit deterioration and prompt Trustmark to reconsider its zero-credit loss assumption. |
Securities Available for Sale | Securities Available for Sale ASU 2016-13 makes targeted improvements to the accounting for credit losses on securities available for sale. The concept of other-than-temporarily impaired has been replaced with the allowance for credit losses. Unlike securities held to maturity, securities available for sale are evaluated on an individual level and pooling of securities is not allowed. Quarterly, Trustmark evaluates if any securit y ha s a fair value less than its amortized cost. Once these securities are identified, in order to determine whether a d ecline in fair value result ed from a credit loss or other factors , Trustmark perform s further analysis as outlined below: • Review the extent to which the fair value is less than the amortized cost and observe the security’s lowest credit rating as reported by third-party credit ratings companies. • The securities that violate the credit loss triggers above would be subjected to additional analysis that may include, but is not limited to: changes in market interest rates, changes in securities credit ratings, security type, service area economic factors, financial performance of the issuer/or obligor of the underlying issue and third-party guarantee. • If Trustmark determines that a credit loss exists, the credit portion of the allowance will be measured using a discounted cash flow (DCF) analysis using the effective interest rate as of the security’s purchase date. The amount of credit loss Trustmark records will be limited to the amount by which the amortized cost exceeds the fair value. The DCF analysis utilizes contractual maturities, as well as third-party credit ratings and cumulative default rates published annually by Moody’s Investor Service (Moody’s). At September 30, 2020, the results of the analysis did not identify any securities that violate the credit loss triggers; therefore, no DCF analysis was performed and no credit loss was recognized on any of the securities available for sale. Accrued interest receivable is excluded from the estimate of credit losses for securities available for sale. At September 30, 2020, accrued interest receivable totaled $4.2 million for securities available for sale and was reported in other assets on the accompanying consolidated balance sheet. |
Securities Held to Maturity | Securities Held to Maturity ASU 2016-13 requires institutions to measure expected credit losses on financial assets carried at amortized cost on a collective or pool basis when similar risks exist. Trustmark uses several levels of segmentation in order to measure expected credit losses: • The portfolio is segmented into agency and non-agency securities. • The non-agency securities are separated into municipal, mortgage, and corporate securities. Each individual segment is categorized by third-party credit ratings. As discussed above, Trustmark has determined that for certain classes of securities it would be appropriate to assume the expected credit loss to be zero, which include debt issuances of the U.S. Treasury and agencies and instrumentalities of the United States government. This assumption will be reviewed and attested to quarterly. Trustmark is using an internally built model to verify the accuracy of third-party provided calculations. At September 30, 2020, Trustmark’s securities held to maturity totaled $611.3 million. The potential credit loss exposure was $31.5 million and consisted of municipal securities. After applying appropriate probability of default and loss given default assumptions, the total amount of current expected credit losses was deemed immaterial. Therefore, no reserve was recorded at September 30, 2020. Accrued interest receivable is excluded from the estimate of credit losses for securities held to maturity. At September 30, 2020, accrued interest receivable totaled $1.5 million for securities held to maturity and was reported in other assets on the accompanying consolidated balance sheet. At September 30, 2020, Trustmark had no securities held to maturity that were past due 30 days or more as to principal or interest payments. Trustmark had no securities held to maturity classified as nonaccrual at September 30, 2020. |
Allowance for Credit Losses, LHFI (ACL) | Allowance for Credit Losses, LHFI (ACL) Trustmark’s ACL methodology for LHFI is based upon guidance within FASB ASC Subtopic 326-20 as well as regulatory guidance from its primary regulator. The ACL is a valuation account that is deducted from the loans’ amortized cost basis to present the net amount expected to be collected on the loans. Credit quality within the LHFI portfolio is continuously monitored by Management and is reflected within the ACL for loans. The ACL is an estimate of expected losses inherent within Trustmark’s existing LHFI portfolio. The ACL for LHFI is adjusted through the provision for credit losses (PCL) and reduced by the charge off of loan amounts, net of recoveries. The loan loss estimation process involves procedures to appropriately consider the unique characteristics of Trustmark’s LHFI portfolio segments. These segments are further disaggregated into loan classes, the level at which credit risk is monitored. When computing allowance levels, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Evaluations of the portfolio and individual credits are inherently subjective, as they require estimates, assumptions and judgments as to the facts and circumstances of particular situations. Determining the appropriateness of the allowance is complex and requires judgement by Management about the effect of matters that are inherently uncertain. In future periods, evaluations of the overall LHFI portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense. Trustmark estimates the ACL using relevant available information, from internal and external sources, relating to past events, current conditions and reasonable and supportable forecasts including the COVID-19 pandemic effects. Trustmark uses a third-party software application to calculate the quantitative portion of the ACL using a methodology and assumptions specific to each loan pool. The qualitative portion of the allowance is based on general economic conditions and other internal and external factors affecting Trustmark as a whole as well as specific LHFI. Factors considered include the following: lending policies and procedures, economic conditions and concentrations of credit, nature and volume of the portfolio, performance trends, and external factors . The quantitative and qualitative portions of the allowance are added together to determine the total allowance for credit losses, which reflects Management’s expectations of future conditions based on reasonable and supportable forecasts. The methodology for estimating the amount of expected credit losses reported in the ACL has two basic components: a collective, or pooled, component for estimated expected credit losses for pools of loans that share similar risk characteristics, and an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans. In estimating the allowance for credit losses for the collective component, loans are segregated into loan pools based on loan product types and similar risk characteristics. The loans secured by real estate and other loans secured by real estate portfolio segments include loans for both commercial and residential properties. The underwriting process for these loans includes analysis of the financial position and strength of both the borrower and guarantor, experience with similar projects in the past, market demand and prospects for successful completion of the proposed project within the established budget and schedule, values of underlying collateral, availability of permanent financing, maximum loan-to-value ratios, minimum equity requirements, acceptable amortization periods and minimum debt service coverage requirements, based on property type. The borrower’s financial strength and capacity to repay their obligations remain the primary focus of underwriting. Financial strength is evaluated based upon analytical tools that consider historical and projected cash flows and performance in addition to analysis of the proposed project for income-producing properties. Additional support offered by guarantors is also considered. Ultimate repayment of these loans is sensitive to interest rate changes, general economic conditions, liquidity and availability of long-term financing. The commercial and industrial LHFI portfolio segment includes commercial loans made to many types of businesses for various purposes, such as short-term working capital loans that are usually secured by accounts receivable and inventory, equipment and fixed asset purchases that are secured by those assets and term financing for those within Trustmark’s geographic markets. Trustmark’s credit underwriting process for commercial and industrial loans includes analysis of historical and projected cash flows and performance, evaluation of financial strength of both borrowers and guarantors as reflected in current and detailed financial information and evaluation of underlying collateral to support the credit. The consumer LHFI portfolio segment is comprised of loans which are underwritten after evaluating a borrower’s capacity, credit and collateral. Several factors are considered when assessing a borrower’s capacity, including the borrower’s employment, income, current debt, assets and level of equity in the property. Credit is assessed using a credit report that provides credit scores and the borrower’s current and past information about their credit history. Property appraisals are obtained to assist in evaluating collateral. Loan-to-value and debt-to-income ratios, loan amount and lien position are also considered in assessing whether to originate a loan. These borrowers are particularly susceptible to downturns in economic trends such as conditions that negatively affect housing prices and demand and levels of unemployment. The state and other political subdivision LHFI and the other commercial LHFI portfolio segments primarily consist of loans to non-depository financial institutions, such as mortgage companies, finance companies and other financial intermediaries, loans to state and political subdivisions, and loans to non-profit and charitable organizations. These loans are underwritten based on the specific nature or purpose of the loan and underlying collateral with special consideration given to the specific source of repayment for the loan. The following table provides a description of each of Trustmark’s portfolio segments, loan classes, loan pools and the ACL methodology and loss drivers: Portfolio Segment Loan Class Loan Pool Methodology Loss Drivers Loans secured by real estate Construction, land development and other land 1-4 family residential construction DCF Prime Rate, National GDP Lots and development DCF Prime Rate, Southern Unemployment Unimproved land DCF Prime Rate, Southern Unemployment All other consumer DCF Prime Rate, Southern Unemployment Other secured by 1-4 family residential properties Consumer 1-4 family - 1st liens DCF Prime Rate, Southern Unemployment All other consumer DCF Prime Rate, Southern Unemployment Nonresidential owner-occupied DCF Southern Unemployment, National GDP Secured by nonfarm, nonresidential properties Nonowner-occupied - hotel/motel DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied - office DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied- Retail DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied - senior living/nursing homes DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied - all other DCF Southern Vacancy Rate, Southern Unemployment Nonresidential owner-occupied DCF Southern Unemployment, National GDP Other real estate secured Nonresidential nonowner -occupied - apartments DCF Southern Vacancy Rate, Southern Unemployment Nonresidential owner-occupied DCF Southern Unemployment, National GDP Nonowner-occupied - all other DCF Southern Vacancy Rate, Southern Unemployment Other loans secured by real estate Other construction Other construction WARM Prime Rate, National Unemployment Secured by 1-4 family residential properties Trustmark mortgage WARM Southern Unemployment Commercial and industrial loans Commercial and industrial loans Commercial and industrial - non-working capital DCF Trustmark historical data Commercial and industrial - working capital DCF Trustmark historical data Credit cards WARM Trustmark call report data Consumer loans Consumer loans Credit cards WARM Trustmark call report data Overdrafts Loss Rate Trustmark historical data All other consumer DCF Prime Rate, Southern Unemployment State and other political subdivision loans State and other political subdivision loans Obligations of state and political subdivisions DCF Moody's Bond Default Study Other commercial loans Other commercial loans Other loans DCF Prime Rate, Southern Unemployment Commercial and industrial - non-working capital DCF Trustmark historical data Commercial and industrial - working capital DCF Trustmark historical data In general, Trustmark utilizes a DCF method to estimate the quantitative portion of the allowance for credit losses for loan pools. The DCF model consists of two key components, a loss driver analysis (LDA) and a cash flow analysis. For loan pools utilizing the DCF methodology, multiple assumptions are in place, depending on the loan pool. A reasonable and supportable forecast is utilized for each loan pool by developing a LDA for each loan class. The LDA uses charge off data from Federal Financial Institutions Examination Council ( FFIEC ) reports to construct a periodic default rate (PDR). The PDR is decomposed into a probability of default (PD). Regressions are run using the data for various macroeconomic variables in order to determine which ones correlate to Trustmark’s losses. These variables are then incorporated into the application to calculate a quarterly PD using a third-party baseline forecast. In addition to the PD, a loss given default (LGD) is derived using a method referred to as Frye Jacobs. The Frye Jacobs method is a mathematical formula that traces the relationship between LGD and PD over time and projects the LGD based on the levels of PD forecasts. This model approach is applicable to all pools within the construction , land development and other land, other secured by 1-4 family residential properties, secured by nonfarm, nonresidential properties and other real estate secure d loan classes as well as the all other consumer and other loans pools. For the commercial and industrial loans related pools, Trustmark uses its own PD and LGD data, instead of the macroeconomic variables and the Frye Jacobs method described above, to calculate the PD and LGD as there were no defensible macroeconomic variables that correlated to Trustmark’s losses. Trustmark utilizes a third-party Bond Default Study to derive the PD and LGD for the obligations of state and political subdivisions pool. Due to the lack of losses within this pool, no defensible macroeconomic factors were identified to correlate. The PD and LGD measures are used in conjunction with prepayment data as inputs into the DCF model to calculate the cash flows at the individual loan level. Contractual cash flows based on loan terms are adjusted for PD, LGD and prepayments to derive loss cash flows. These loss cash flows are discounted by the loan’s coupon rate to arrive at the discounted cash flow based quantitative loss. The prepayment studies are updated quarterly by a third-party for each applicable pool. An alternate method of estimating the ACL is used for certain loan pools due to specific characteristics of these loans. For the non-DCF pools, specifically, those using the weighted average remaining maturity (WARM) method, the remaining life is incorporated into the ACL quantitative calculation. Trustmark determined that reasonable and supportable forecasts could be made for a twelve-month period for all of its loan pools. To the extent the lives of the loans in the LHFI portfolio extend beyond this forecast period, Trustmark uses a reversion period of four quarters and reverts to the historical mean on a straight-line basis over the remaining life of the loans. The econometric models in production today reflect segment or pool level sensitivities of probability of default (PD) to changes in macroeconomic variables. By measuring the relationship between defaults and changes in the economy, the quantitative reserve incorporates reasonable and supportable forecasts of future conditions that will affect the value of its assets, as required by FASB ASC Topic 326. Under stable forecasts, these linear regressions will reasonably predict a pool’s PD. However, due to the COVID-19 pandemic, the macroeconomic variables used for reasonable and supportable forecasting have changed rapidly. At the current levels, it is not clear that the models currently in production will produce reasonably representative results since the models were originally estimated using data beginning in 2004 through 2017. During this period, a traditional albeit severe economic recession occurred. Thus, econometric models are sensitive to similar future levels of PD. During the second quarter of 2020, Trustmark revised its ACL methodology in order to prevent the econometric models from extrapolating beyond reasonable boundaries of their input variables. Trustmark chose to establish an upper and lower limit process when applying the periodic forecasts. In this way, Management will not rely upon unobserved and untested relationships in the setting of the quantitative reserve. This approach applies to all input variables, including: Southern Unemployment, National Unemployment, National GDP, Southern Vacancy Rate and the Prime Rate. The upper and lower limits are based on the distribution of the macroeconomic variable by selecting extreme percentiles at the upper and lower limits of the distribution, the 1st and 99th, respectively. These upper and lower limits are then used to calculate the PD for the forecast time period in which the forecasted values are outside of the upper and lower limit range. For the current period, the forecast related to the macroeconomic variables used in the quantitative modeling process were positively impacted due to the updated forecast effects related to COVID-19, causing an overall decrease in quantitative reserve levels. Qualitative factors used in the ACL methodology include the following: • Lending policies and procedures • Economic conditions and concentrations of credit • Nature and volume of the portfolio • Performance trends • External factors While all these factors are incorporated into the overall methodology, only three are currently considered active: economic conditions and concentrations of credit, performance trends and external factors. Two of Trustmark’s largest loan classes are the loans secured by nonfarm, nonresidential properties and the loans secured by other real estate . Trustmark elected to create a qualitative factor specifically for the se loan classes which address es changes in the economic conditions of metropolitan areas and appl ies additional pool level reserves. This qualitative factor is based on third - party market data and forecast trends and is updated quarterly as information is available, by market and by loan pool . For the performance trends factor, Trustmark uses migration analyses to allocate additional ACL to non-pass/delinquent loans within each pool. In this way, Management believes the ACL will directly reflect changes in risk, based on the performance of the loans within a pool, whether declining or improving. The external factors qualitative factor is Management’s best judgement on the loan or pool level impact of all factors that affect the portfolio but cannot be accounted for using any other part of the ACL methodology, e.g., natural disasters, changes in legislation, impacts due to technology and pandemics. During the third quarter of 2020, Trustmark activated the External Factor – Pandemic to ensure reserve adequacy for collectively evaluated loans most likely to be impacted by the unique economic and behavioral conditions created by the COVID-19 pandemic. Additional qualitative reserves are derived based on two principles. The first is the disconnect of economic factors to Trustmark’s modeled probability of default (the econometric models underpinning the quantitative pooled reserves). During the pandemic, extraordinary measures by the federal government were made available to consumers and businesses, including COVID-19 loan payment concessions, direct transfer payments to households, tax deferrals, and reduced interest rates, among others. These government interventions may have extended the lag between economic conditions and default, relative to what was captured in the model development data. Because Trustmark’s econometric PD models rely on the observed relationship from the economic downturn from 2007 to 2009 in both timing and severity, Management does not expect the models to reflect these current conditions. For example, while the models would predict contemporaneous unemployment peaks and loan defaults, this cannot occur when borrowers can request payment deferrals. Thus, for the affected population, economic conditions are not fully considered as a part of Trustmark’s quantitative reserve. The second principle is the change in risk that is identified by rating changes. As a part of Trustmark’s credit review process, loans in the affected population have been given more frequent screening to ensure accurate ratings are maintained through this dynamic period. Trustmark’s quantitative reserve does not directly address changes in ratings, thus a migration qualitative factor was designed to work in concert with the quantitative reserve. In a downturn, the qualitative factor is inactive for most pools because changes in ratings are congruent with changes in macroeconomic conditions, which directly influence the PD models in the quantitative reserve. As discussed above, the disconnect of economic factors means that changes in rating caused by deteriorating and weak economic conditions as a result of the pandemic are not being captured in the quantitative reserve. To dimension the additional reserve, Management uses the sensitivity of the quantitative commercial loan reserve to changes in macroeconomic conditions. In addition, to account for the known changes in risk, a weighted-average of the commercial loan portfolio loss rate, derived from the performance trends qualitative factor, is used to dimension additional reserves for downgraded credits. The ACL for individual loans that do not share risk characteristics with other loans is measured as the difference between the discounted value of expected future cash flows, based in the effective interest rate at origination, and the amortized cost basis of the loan, or the net realizable value. The ACL is the difference between the loan’s net realizable value and its amortized cost basis (net of previous charge-offs and deferred loan fees and costs), except for collateral-dependent loans. A loan is collateral dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the sale of the collateral. The expected credit loss for collateral-dependent loans is measured as the difference between the amortized cost basis of the loan and the fair value of the collateral, adjusted for the estimated cost to sell. Fair value estimates for collateral-dependent loans are derived from appraised values based on the current market value or the ‘as is’ value of the collateral, normally from recently received and reviewed appraisals. Current appraisals are ordered on an annual basis based on the inspection date or more often if market conditions necessitate. Appraisals are obtained from state-certified appraisers and are based on certain assumptions, which may include construction or development status and the highest and best use of the property. These appraisals are reviewed by Trustmark’s Appraisal Review Department to ensure they are acceptable, and values are adjusted down for costs associated with asset disposal. If the calculated expected credit loss is determined to be permanent or not recoverable, the amount of the expected credit loss is charged off. LHFI are charged off against the ACL, with any subsequent recoveries credited back to the ACL account. Expected recoveries may not exceed the aggregate of amounts previously charged off and expected to be charged off. Trustmark’s loan policy dictates the guidelines to be followed in determining when a loan is charged off. Commercial purpose LHFI are charged off when a determination is made that the loan is uncollectible and continuance as a bankable asset is not warranted. Consumer LHFI secured by 1-4 family residential real estate are generally charged off or written down to the fair value of the collateral less cost to sell at no later than 180 days of delinquency. Non-real estate consumer purpose LHFI, including both secured and unsecured loans, are generally charged off by 120 days of delinquency. Consumer revolving lines of credit and credit card debt are generally charged off on or prior to 180 days of delinquency. |
Accounting Policies Recently Adopted and Pending Accounting Pronouncements | Accounting Policies Recently Adopted Except for the changes detailed below, Trustmark has consistently applied its accounting policies to all periods presented in the accompanying consolidated financial statements. ASU 2018-15, “Intangibles-Goodwill and Other–Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force).” Issued in August 2018, ASU 2018-15 aims to reduce complexity in the accounting for costs of implementing a cloud computing service arrangement. ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The amendments of ASU 2018-15 require an entity to follow the guidance in FASB ASC Subtopic 350-40, “Intangibles-Goodwill and Other-Internal-Use Software,” in order to determine which implementation costs to capitalize as an asset related to the service contract and which costs to expense. The amendments of ASU 2018-15 also require an entity to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement (i.e. the noncancellable period of the arrangement plus periods covered by (1) an option to extend the arrangement if the entity is reasonably certain to exercise that option, (2) an option to terminate the arrangement if the entity is reasonably certain not to exercise the option, and (3) an option to extend (or not to terminate) the arrangement in which exercise of the option is in the control of the vendor). ASU 2018-15 also requires an entity to present the expense related to the capitalized implementation costs in the same line item in the statement of income as the fees associated with the hosting element (service) of the arrangement, and to classify payments for capitalized implementation costs in the statement of cash flows in the same manner as payments made for fees associated with the hosting element. ASU 2018-15 became effective for Trustmark on January 1, 2020. Trustmark does not currently have any material amount of implementation costs related to hosting arrangements that are service contracts within the scope of this ASU; therefore, adoption of ASU 2018-15 did not impact Trustmark’s consolidated financial statements. ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement.” Issued in August 2018, the amendments in this ASU remove disclosure requirements in FASB ASC Topic 820 related to (1) the amount of, and reasons for, transfers between Level 1 and Level 2 of the fair value hierarchy; (2) the policy for timing of transfers between levels; (3) the valuation processes for Level 3 fair value measurements; and (4) for non-public entities, the changes in unrealized gains and losses for the period included in earnings for recurring Level 3 fair value measurements held at the end of the reporting period. The ASU also modifies disclosure requirements such that (1) in place of a rollforward for Level 3 fair value measurements, a non-public entity is required to disclose transfers into and out of Level 3 of the fair value hierarchy and purchases and issues of Level 3 assets and liabilities; (2) for investments in certain entities that calculate net asset value, an entity is required to disclose the timing of liquidation of an investee’s assets and the date that restrictions from redemption might lapse, only if the investee has communicated the timing to the entity or announced the timing publicly; and (3) it is clear that the measurement uncertainty disclosure is to communicate information about the uncertainty in measurement as of the reporting date. Additionally, this ASU adds disclosure requirements for public entities about (1) the changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period, and (2) the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements. The amendments of ASU 2018-13 became effective for Trustmark on January 1, 2020. Adoption of ASU 2018-13 did not have a material impact on Trustmark’s consolidated financial statements. Disclosures required by FASB ASC Topic 820 are presented in Note 17 – Fair Value, of this report. ASU 2017-04, “ Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” Issued in January 2017, ASU 2017-04 simplifies the manner in which an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit's goodwill with the carrying amount of that goodwill. In computing the implied fair value of goodwill under Step 2, an entity, prior to the amendments in ASU 2017-04, had to perform procedures to determine the fair value at the impairment testing date of its assets and liabilities, including unrecognized assets and liabilities, in accordance with the procedure that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. However, under the amendments in ASU 2017-04, an entity should (1) perform its annual or interim goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount, and (2) recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit's fair value, with the understanding that the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, ASU 2017-04 removes the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment and, if it fails such qualitative test, to perform Step 2 of the goodwill impairment test. ASU 2017-04 became effective for Trustmark on January 1, 2020, and the amendments of this ASU will be applicable to the annual goodwill impairment test performed as of October 1, 2020. Based on Trustmark’s annual goodwill impairment test performed as of October 1, 2019, the fair value of its reporting units exceeded the carrying value and, therefore, the related goodwill was not impaired. ASU 2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” Issued in June 2016, ASU 2016-13 will add FASB ASC Topic 326, “Financial Instruments-Credit Losses” and finalizes amendments to FASB ASC Subtopic 825-15, “Financial Instruments-Credit Losses.” The amendments of ASU 2016-13 are intended to provide financial statement users with more decision-useful information related to expected credit losses on financial instruments and other commitments to extend credit by replacing the current incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to determine credit loss estimates. The amendments of ASU 2016-13 eliminate the probable initial recognition threshold and, in turn, reflect an entity’s current estimate of all expected credit losses. ASU 2016-13 does not specify the method for measuring expected credit losses, and an entity is allowed to apply methods that reasonably reflect its expectations of the credit loss estimate. Additionally, the amendments of ASU 2016-13 require that credit losses on available for sale debt securities be presented as an allowance rather than as a write-down. The amendments of ASU 2016-13, and all subsequent ASUs issued by FASB to provide additional guidance and clarification related to this Topic, became effective for Trustmark on January 1, 2020. As previously disclosed, Trustmark established a cross-functional Current Expected Credit Loss (CECL) Steering Committee, a CECL Solution Development Working Group and a CECL Working Group which included the appropriate members of Management to evaluate the impact this ASU, and all subsequent ASUs issued by FASB, will have on Trustmark’s financial position, results of operations and financial statement disclosures and determine the most appropriate method of implementing the amendments in these ASUs as well as any resources needed to implement the amendments. Trustmark selected a third-party vendor to provide allowance for loan loss software as well as advisory services in developing a new methodology that would be compliant with amendments of ASU 2016-13. In accordance with the amendments of ASU 2016-13, Trustmark elected to maintain pools of loans that were previously accounted for under FASB ASC Subtopic 310-30 and will continue to account for these pools as a unit of account. Loans are only removed from the existing loan pools if they are written off, paid off or sold. Upon adoption of ASU 2016-13, the allowance for credit losses was determined for each pool and added to the pool’s carrying value to establish a new amortized cost basis. The difference between the unpaid principle balance of the pool and the new amortized cost basis is the noncredit premium or discount which will be amortized into interest income over the remaining life of the pool. As a result of adopting the amendments of ASU 2016-13, Trustmark recorded a decrease to its ACL LHFI of $3.0 million and an increase to its ACL on off-balance sheet credit exposures of $29.6 million resulting in a one-time cumulative effect adjustment through retained earnings of $26.6 million ($19.9 million, net of tax) at the date of adoption. This adjustment included a qualitative adjustment to the allowance for credit losses related to loans and an allowance on off-balance sheet credit exposures. Trustmark estimates losses over an approximate one-year forecast period using Moody’s baseline economic forecasts, and then reverts to longer term historical loss experience over a one-year period. Trustmark’s estimated allowance for credit losses on both held to maturity securities and available for sale securities under the CECL model was deemed immaterial due to the composition of the portfolios being primarily government agency-backed securities for which the risk of loss is minimal. Therefore, Trustmark did not recognize a cumulative effective adjustment through retained earnings at the date of adoption related to the held to maturity or available for sale securities. Disclosures required by the amendments ASU 2016-13 are presented in Note 2 – Securities Available for Sale and Held to Maturity and Note 3 – Loans Held for Investment and Allowance for Credit Losses, of this report. Pending Accounting Pronouncements ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” Issued in March 2020, ASU 2020-04 seeks to provided additional guidance, for a limited time, to ease the potential burden in accounting for or recognizing the effects of reference rate reform on financial reporting. The FASB issued ASU 2020-04 is response to concerns about the structural risks of interbank offered rates (IBORs) and, in particular, the risk that the London Interbank Offer Rate (LIBOR) will no longer be used. Regulators have begun reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. Stakeholders have raised operational challenges likely to arise with the reference rate reform, particularly related to contract modifications and hedge accounting. The amendments of ASU 2020-04, which are elective and apply to all entities, provide expedients and exceptions for applying GAAP to contract modifications and hedging relationships affected by the reference rate reform id certain criteria are met. The amendments apply only to contracts and hedging relationships that reference LIBOR or another reference rate that is expected to be discontinued due to reference rate reform. The optional expedients for contract modifications should be applied consistently for all contracts or transactions within the relevant Codification Topic or Subtopic or Industry Subtopic that contains the related guidance. The optional expedients for hedging relationships can be elected on an individual hedging relationship basis. As the guidance in ASU 2020-04 is intended to assist entity’s during the global market-wide reference rate transition period, it is in effect for a limited time, from March 12, 2020 through December 31, 2022. Management is currently evaluating the impact to Trustmark as a result of the potential discontinuance of LIBOR, and a determination cannot be made at this time as to the impact the amendments of ASU 2020-04 or the reference rate reform will have on its consolidated financial statements. ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” Issued in December 2019, ASU 2019-12 seeks to simplify the accounting for income taxes by removing certain exceptions to the general principles in FASB ASC Topic 740, Income Taxes. In particular, the amendments of ASU 2019-12 remove the exceptions to (1) the incremental approach for intra-period tax allocation when there is a loss from continuing operations and income or a gain from other items (e.g., discontinued operations or other comprehensive income); (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The amendments of ASU 2019-12 (1) require that an entity recognize a franchise tax (or similar tax), that is partially based on income, in accordance with FASB ASC Topic 740 and account for any incremental amount incurred as a non-income-based tax; (2) require that an entity evaluate when a step up in the tax basis of goodwill should be considered part of the business combination in which the book goodwill was originally recognized and when it should instead be considered a separate transaction; (3) specify that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements, but rather may elect to do so for a legal entity that is both not subject to tax and disregarded by the taxing authority; and (4) require that an entity reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date. ASU 2019-12 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption of ASU 2019-12 is permitted, including adoption in any interim period for periods for which financial statements have not yet been issued. An entity that elects to early adopt the amendments in an interim period should reflect any adjustments as of the beginning of the annual period that includes that interim period. Additionally, an entity that elects early adoption must adopt all the amendments in the same period. The amendments related to separate financial statements of legal entities that are not subject to tax should be applied on a retrospective basis for all periods presented. The amendments related to changes in ownership of foreign equity method investments or foreign subsidiaries should be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the period of adoption. The amendments related to franchise taxes that are partially based on income should be applied on either a retrospective basis for all periods presented or a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. All other amendments should be applied on a prospective basis. Trustmark intends to adopt the amendments in ASU 2019-12 during the first quarter of 2021. Adoption of ASU 2019-12 is not expected to have a material impact to Trustmark’s consolidated financial statements. ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans.” Issued in August 2018, ASU 2018-14 modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments in ASU 2018-14 remove certain disclosure requirements that are no longer considered cost beneficial, clarify the specific requirements of disclosures and add disclosure requirements identified as relevant. T he amendments of ASU 2018-14 become effective for fiscal years beginning after December 15, 2020. Trustmark plans to adopt these amendments during the first quarter of 2021. Management is currently assessing all the potential impacts of the amendments in ASU 2018-14 on Trustmark’s consolidated financial statements; however, the adoption of ASU 2018-14 is not expected to have a material impact on Trustmark’s consolidated financial statements. |
Securities Available for Sale_2
Securities Available for Sale and Held to Maturity (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Investments Debt And Equity Securities [Abstract] | |
Securities Held to Maturity by Credit Rating, as Determined by Moody's | The following table presents the amortized cost of Trustmark’s securities held to maturity by credit rating, as determined by Moody’s, at September 30, 2020 ($ in thousands): September 30, 2020 Aaa $ 579,674 Aa1 to Aa3 26,166 Not Rated (1) 5,440 Total $ 611,280 (1) Not rated securities primarily consist of Mississippi municipal general obligations. |
Amortized Cost and Estimated Fair Value of Available for Sale and Held to Maturity Securities | The following tables are a summary of the amortized cost and estimated fair value of securities available for sale and held to maturity at September 30, 2020 and December 31, 2019 ($ in thousands): Securities Available for Sale Securities Held to Maturity September 30, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value U.S. Government agency obligations $ 19,318 $ 189 $ (496 ) $ 19,011 $ — $ — $ — $ — Obligations of states and political subdivisions 7,714 601 — 8,315 31,605 375 (12 ) 31,968 Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 60,492 1,665 (1 ) 62,156 8,244 353 — 8,597 Issued by FNMA and FHLMC 1,259,607 21,265 (953 ) 1,279,919 78,213 2,776 — 80,989 Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 487,567 13,309 (18 ) 500,858 399,400 22,181 (10 ) 421,571 Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 51,162 1,316 (9 ) 52,469 93,818 2,726 (4 ) 96,540 Total $ 1,885,860 $ 38,345 $ (1,477 ) $ 1,922,728 $ 611,280 $ 28,411 $ (26 ) $ 639,665 December 31, 2019 U.S. Government agency obligations $ 22,965 $ 69 $ (707 ) $ 22,327 $ 3,781 $ 220 $ — $ 4,001 Obligations of states and political subdivisions 24,952 513 — 25,465 31,781 434 (53 ) 32,162 Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 69,196 425 (369 ) 69,252 10,820 266 (10 ) 11,076 Issued by FNMA and FHLMC 714,350 2,171 (3,165 ) 713,356 96,631 286 (370 ) 96,547 Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 656,162 3,777 (1,713 ) 658,226 485,324 7,026 (656 ) 491,694 Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 113,359 625 (206 ) 113,778 109,762 1,042 (82 ) 110,722 Total $ 1,600,984 $ 7,580 $ (6,160 ) $ 1,602,404 $ 738,099 $ 9,274 $ (1,171 ) $ 746,202 |
Securities with Gross Unrealized Losses, Segregated by Length of Impairment | The tables below include securities with gross unrealized losses for which an allowance for credit losses has not been recorded and segregated by length of impairment at September 30, 2020 and December 31, 2019 ($ in thousands): Less than 12 Months 12 Months or More Total September 30, 2020 Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses U.S. Government agency obligations $ — $ — $ 11,347 $ (496 ) $ 11,347 $ (496 ) Obligations of states and political subdivisions — — 6,221 (12 ) 6,221 (12 ) Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 353 (1 ) — — 353 (1 ) Issued by FNMA and FHLMC 399,494 (953 ) — — 399,494 (953 ) Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 11,155 (28 ) — — 11,155 (28 ) Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 15,029 (4 ) 663 (9 ) 15,692 (13 ) Total $ 426,031 $ (986 ) $ 18,231 $ (517 ) $ 444,262 $ (1,503 ) December 31, 2019 U.S. Government agency obligations $ 6,585 $ (105 ) $ 12,886 $ (602 ) $ 19,471 $ (707 ) Obligations of states and political subdivisions — — 6,216 (53 ) 6,216 (53 ) Mortgage-backed securities Residential mortgage pass-through securities Guaranteed by GNMA 23,544 (107 ) 18,529 (272 ) 42,073 (379 ) Issued by FNMA and FHLMC 112,879 (230 ) 278,120 (3,305 ) 390,999 (3,535 ) Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 158,341 (738 ) 151,271 (1,631 ) 309,612 (2,369 ) Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 51,312 (167 ) 14,155 (121 ) 65,467 (288 ) Total $ 352,661 $ (1,347 ) $ 481,177 $ (5,984 ) $ 833,838 $ (7,331 ) |
Contractual Maturities of Available for Sale and Held to Maturity Securities | The amortized cost and estimated fair value of securities available for sale and held to maturity at September 30, 2020, by contractual maturity, are shown below ($ in thousands). Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Securities Available for Sale Securities Held to Maturity Amortized Cost Estimated Fair Value Amortized Cost Estimated Fair Value Due in one year or less $ 4,667 $ 4,719 $ 20,900 $ 21,018 Due after one year through five years 1,543 1,589 10,705 10,950 Due after five years through ten years 2,096 2,051 — — Due after ten years 18,726 18,967 — — 27,032 27,326 31,605 31,968 Mortgage-backed securities 1,858,828 1,895,402 579,675 607,697 Total $ 1,885,860 $ 1,922,728 $ 611,280 $ 639,665 |
Loans Held for Investment (LH_2
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Accounts Notes Loans And Financing Receivable Gross Allowance And Net [Abstract] | |
Loan Portfolio Held for Investment | At September 30, 2020 and December 31, 2019, LHFI consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Loans secured by real estate: Construction, land development and other land $ 494,519 $ 1,162,791 Other secured by 1-4 family residential properties (1) 547,148 1,855,913 Secured by nonfarm, nonresidential properties 2,707,627 2,475,245 Other real estate secured 887,792 724,480 Other loans secured by real estate: (1) Other construction 891,428 — Secured by 1-4 family residential properties 1,228,252 — Commercial and industrial loans 1,398,468 1,477,896 Consumer loans 163,933 175,738 State and other political subdivision loans 935,349 967,944 Other commercial loans (1) 593,212 495,621 LHFI 9,847,728 9,335,628 Less ACL 122,010 84,277 Net LHFI $ 9,725,718 $ 9,251,351 (1) In accordance with the guidance in FASB ASC Topic 326, Trustmark redefined its LHFI portfolio segments and related loan classes based on the level at which risk is monitored within the ACL methodology. The other loans secured by real estate portfolio segment and related loan classes were separated from the loans secured by real estate portfolio segment. The other construction loans were segregated from the construction, land development and other land loans. The other loans secured by 1-4 family residential properties were segregated from the loans secured by 1-4 family residential properties and the loans secured by 1-4 family residential properties were redefined in the other loans secured by real estate portfolio segment. Other loans were redefined as other commercial loans. |
Schedule of Amortized Cost Basis of Loans on Nonaccrual Status | The following table provides the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more still accruing interest as of September 30, 2020 ($ in thousands): September 30, 2020 Nonaccrual With No ACL Total Nonaccrual Loans Past Due 90 Days or More Still Accruing Loans secured by real estate: Construction, land development and other land $ 517 $ 786 $ — Other secured by 1-4 family residential properties 1,928 4,298 299 Secured by nonfarm, nonresidential properties 6,951 10,272 — Other real estate secured 61 565 — Other loans secured by real estate: Other construction — — — Secured by 1-4 family residential properties — 11,087 359 Commercial and industrial loans 13,465 16,813 — Consumer loans — 96 124 State and other political subdivision loans — 4,019 — Other commercial loans — 5,920 — Total $ 22,922 $ 53,856 $ 782 |
Aging Analysis of Past Due and Nonaccrual LHFI by Loan Type | The following table provides an aging analysis of the amortized cost basis of past due LHFI at September 30, 2020 ($ in thousands): September 30, 2020 Past Due 30-59 Days 60-89 Days 90 Days or Total Past Due Current Loans Total LHFI Loans secured by real estate: Construction, land development and other land $ 867 $ 262 $ 186 $ 1,315 $ 493,204 $ 494,519 Other secured by 1-4 family residential properties 906 664 908 2,478 544,670 547,148 Secured by nonfarm, nonresidential properties 172 93 881 1,146 2,706,481 2,707,627 Other real estate secured 15 107 — 122 887,670 887,792 Other loans secured by real estate: Other construction — — — — 891,428 891,428 Secured by 1-4 family residential properties 2,882 1,034 3,857 7,773 1,220,479 1,228,252 Commercial and industrial loans 740 340 1,922 3,002 1,395,466 1,398,468 Consumer loans 899 226 124 1,249 162,684 163,933 State and other political subdivision loans — — 177 177 935,172 935,349 Other commercial loans 46 520 401 967 592,245 593,212 Total $ 6,527 $ 3,246 $ 8,456 $ 18,229 $ 9,829,499 $ 9,847,728 The following table provides an aging analysis of past due and nonaccrual LHFI by loan class at December 31, 2019 ($ in thousands): December 31, 2019 Past Due 30-59 Days 60-89 Days 90 Days or (1) Total Nonaccrual Current Loans Total LHFI Loans secured by real estate: Construction, land development and other land $ 380 $ 256 $ — $ 636 $ 897 $ 1,161,258 $ 1,162,791 Secured by 1-4 family residential properties 5,254 940 211 6,405 16,810 1,832,698 1,855,913 Secured by nonfarm, nonresidential properties 1,698 — — 1,698 7,700 2,465,847 2,475,245 Other real estate secured 8 — — 8 1,032 723,440 724,480 Commercial and industrial loans 617 12 39 668 21,775 1,455,453 1,477,896 Consumer loans 2,208 380 392 2,980 108 172,650 175,738 State and other political subdivision loans 76 — — 76 4,079 963,789 967,944 Other loans 152 4 — 156 825 494,640 495,621 Total $ 10,393 $ 1,592 $ 642 $ 12,627 $ 53,226 $ 9,269,775 $ 9,335,628 (1) Past due 90 days or more but still accruing interest. |
Impaired Financing Receivables | At December 31, 2019, individually evaluated impaired LHFI consisted of the following ($ in thousands): December 31, 2019 LHFI Unpaid Principal Balance With No Related Allowance Recorded With an Allowance Recorded Total Recorded Investment Related Allowance Average Recorded Investment Loans secured by real estate: Construction, land development and other land $ 926 $ 610 $ 16 $ 626 $ — $ 1,089 Secured by 1-4 family residential properties 6,513 2,104 3,360 5,464 35 4,713 Secured by nonfarm, nonresidential properties 7,295 1,462 5,255 6,717 2,355 8,096 Other real estate secured 69 — 68 68 — 158 Commercial and industrial loans 27,178 19,374 4,084 23,458 707 27,088 Consumer loans 22 — 21 21 — 11 State and other political subdivision loans 4,079 — 4,079 4,079 1,809 6,337 Other loans 1,207 — 784 784 553 1,033 Total $ 47,289 $ 23,550 $ 17,667 $ 41,217 $ 5,459 $ 48,525 |
Impact of Modifications Classified as Troubled Debt Restructurings | The following table illustrates the impact of modifications classified as TDRs for the periods presented ($ in thousands): Three Months Ended September 30, 2020 2019 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Loans secured by real estate: Other secured by 1-4 family residential properties 3 $ 87 $ 89 4 $ 113 $ 102 Commercial and industrial loans 1 48 47 — — — Total 4 $ 135 $ 136 4 $ 113 $ 102 Nine Months Ended September 30, 2020 2019 Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Loans secured by real estate: Other secured by 1-4 family residential properties 11 $ 794 $ 800 11 $ 992 $ 980 Secured by nonfarm, nonresidential properties 1 139 139 1 5,055 5,055 Commercial and industrial loans 3 1,630 1,629 8 9,167 9,054 Consumer loans 6 26 26 2 30 30 State and other political subdivision loans 2 3,902 3,872 — — — Total 23 $ 6,491 $ 6,466 22 $ 15,244 $ 15,119 |
Troubled Debt Restructuring Subsequently Defaulted | The table below includes the balances at default for TDRs modified within the last 12 months for which there was a payment default during the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Number of Contracts Recorded Investment Number of Contracts Recorded Investment Loans secured by real estate: Other secured by 1-4 family residential properties 4 $ 484 1 $ 46 Secured by nonfarm, nonresidential properties 1 139 — — Commercial and industrial loans 1 82 8 254 Consumer loans — — 1 27 Total 6 $ 705 10 $ 327 |
Troubled Debt Restructuring Related to Loans Held for Investment by Loan Type | The following tables detail LHFI classified as TDRs by loan class at September 30, 2020 and 2019 ($ in thousands): September 30, 2020 Accruing Nonaccrual Total Loans secured by real estate: Construction, land development and other land $ — $ 13 $ 13 Other secured by 1-4 family residential properties 18 3,689 3,707 Secured by nonfarm, nonresidential properties — 2,970 2,970 Commercial and industrial loans 1,500 13,198 14,698 Consumer loans 16 19 35 State and other political subdivision loans — 3,842 3,842 Other commercial loans — 125 125 Total TDRs $ 1,534 $ 23,856 $ 25,390 September 30, 2019 Accruing Nonaccrual Total Loans secured by real estate: Construction, land development and other land $ — $ 18 $ 18 Secured by 1-4 family residential properties 101 3,373 3,474 Secured by nonfarm, nonresidential properties — 5,243 5,243 Commercial and industrial loans 1,246 20,262 21,508 Consumer loans — 23 23 Other loans — 244 244 Total TDRs $ 1,347 $ 29,163 $ 30,510 |
Schedule of Amortized Cost Basis of Collateral-Dependent Loans | The following table presents the amortized cost basis of collateral-dependent loans by class of loans and collateral type as of September 30, 2020 ($ in thousands): September 30, 2020 Real Estate Equipment and Machinery Inventory and Receivables Vehicles Miscellaneous Total Loans secured by real estate: Construction, land development and other land $ 1,024 $ — $ — $ — $ — $ 1,024 Other secured by 1-4 family residential properties 474 — — — — 474 Secured by nonfarm, nonresidential properties 13,527 — — — — 13,527 Other real estate secured 61 — — — — 61 Other loans secured by real estate: Other construction — — — — — — Secured by 1-4 family residential properties 1,453 — — — — 1,453 Commercial and industrial loans 96 798 5,174 155 8,660 14,883 Consumer loans — — — — — — State and other political subdivision loans 4,019 — — — — 4,019 Other commercial loans 623 — 1,983 — 3,120 5,726 Total $ 21,277 $ 798 $ 7,157 $ 155 $ 11,780 $ 41,167 |
Carrying Amount of Loans by Credit Quality Indicator | The tables below present the amortized cost basis of loans by credit quality indicator and class of loans based on the most recent analysis performed ($ in thousands): Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Commercial LHFI Loans secured by real estate: Construction, land development and other land: Pass - RR 1 through RR 6 $ 226,639 $ 96,572 $ 33,263 $ 4,709 $ 3,424 $ 4,336 $ 29,238 $ 398,181 Special Mention - RR 7 268 — — — — — — 268 Substandard - RR 8 6,304 4,194 1,372 34 680 23 — 12,607 Doubtful - RR 9 — — — — — 42 — 42 Total 233,211 100,766 34,635 4,743 4,104 4,401 29,238 411,098 Other secured by 1-4 family residential properties: Pass - RR 1 through RR 6 $ 28,504 $ 23,022 $ 18,840 $ 10,616 $ 11,869 $ 6,610 $ 8,288 $ 107,749 Special Mention - RR 7 46 43 — — — — — 89 Substandard - RR 8 934 82 981 353 305 613 4,150 7,418 Doubtful - RR 9 31 — — — — — — 31 Total 29,515 23,147 19,821 10,969 12,174 7,223 12,438 115,287 Secured by nonfarm, nonresidential properties: Pass - RR 1 through RR 6 $ 545,273 $ 503,516 $ 435,877 $ 326,971 $ 274,113 $ 333,242 $ 110,298 $ 2,529,290 Special Mention - RR 7 6,330 6,916 13,487 4,551 5,053 15,227 — 51,564 Substandard - RR 8 14,093 22,207 3,515 13,092 35,939 34,326 2,130 125,302 Doubtful - RR 9 55 167 — — 217 318 — 757 Total 565,751 532,806 452,879 344,614 315,322 383,113 112,428 2,706,913 Other real estate secured: Pass - RR 1 through RR 6 $ 107,988 $ 206,213 $ 303,645 $ 107,141 $ 110,083 $ 27,682 $ 11,336 $ 874,088 Special Mention - RR 7 — — — — — 858 — 858 Substandard - RR 8 11,076 148 18 — 566 501 — 12,309 Doubtful - RR 9 — — — — — — — — Total 119,064 206,361 303,663 107,141 110,649 29,041 11,336 887,255 Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Commercial LHFI Other loans secured by real estate: Other construction Pass - RR 1 through RR 6 $ 113,727 $ 564,093 $ 194,012 $ 13,346 $ 1,605 $ — $ 4,060 $ 890,843 Special Mention - RR 7 — — — — — — — — Substandard - RR 8 585 — — — — — — 585 Doubtful - RR 9 — — — — — — — — Total 114,312 564,093 194,012 13,346 1,605 — 4,060 891,428 Commercial and industrial loans: Pass - RR 1 through RR 6 $ 433,771 $ 184,698 $ 104,647 $ 83,887 $ 74,401 $ 49,508 $ 394,527 $ 1,325,439 Special Mention - RR 7 844 — 177 — — — 3,000 4,021 Substandard - RR 8 5,824 1,731 15,519 3,781 2,286 5,800 33,604 68,545 Doubtful - RR 9 178 219 — — 38 4 24 463 Total 440,617 186,648 120,343 87,668 76,725 55,312 431,155 1,398,468 State and other political subdivision loans: Pass - RR 1 through RR 6 $ 141,729 $ 84,369 $ 51,181 $ 116,529 $ 135,190 $ 396,607 $ 832 $ 926,437 Special Mention - RR 7 — — — — — 4,000 — 4,000 Substandard - RR 8 — — — 293 — 4,619 — 4,912 Doubtful - RR 9 — — — — — — — — Total 141,729 84,369 51,181 116,822 135,190 405,226 832 935,349 Other commercial loans: Pass - RR 1 through RR 6 $ 74,539 $ 76,935 $ 23,491 $ 11,708 $ 56,530 $ 51,725 $ 265,683 $ 560,611 Special Mention - RR 7 7,917 — — — — — 11,333 19,250 Substandard - RR 8 127 2,146 686 — 893 — 9,473 13,325 Doubtful - RR 9 — 3 — — — 23 — 26 Total 82,583 79,084 24,177 11,708 57,423 51,748 286,489 593,212 Total commercial LHFI $ 1,726,782 $ 1,777,274 $ 1,200,711 $ 697,011 $ 713,192 $ 936,064 $ 887,976 $ 7,939,010 Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Consumer LHFI Loans secured by real estate: Construction, land development and other land: Current $ 32,812 $ 34,108 $ 8,758 $ 2,382 $ 1,576 $ 3,347 $ — $ 82,983 Past due 30-89 days — — 241 — — 74 — 315 Past due 90 days or more — — — — — — — — Nonaccrual — — — — 19 104 — 123 Total 32,812 34,108 8,999 2,382 1,595 3,525 — 83,421 Other secured by 1-4 family residential properties: Current $ 18,709 $ 13,768 $ 13,212 $ 4,295 $ 2,142 $ 14,300 $ 360,724 $ 427,150 Past due 30-89 days 126 297 — 15 58 186 538 1,220 Past due 90 days or more — 15 12 — — — 272 299 Nonaccrual 8 33 110 436 — 462 2,143 3,192 Total 18,843 14,113 13,334 4,746 2,200 14,948 363,677 431,861 Secured by nonfarm, nonresidential properties: Current $ 698 $ — $ — $ 4 $ — $ 12 $ — $ 714 Past due 30-89 days — — — — — — — — Past due 90 days or more — — — — — — — — Nonaccrual — — — — — — — — Total 698 — — 4 — 12 — 714 Other real estate secured: Current $ 139 $ — $ 41 $ 38 $ 102 $ 217 $ — $ 537 Past due 30-89 days — — — — — — — — Past due 90 days or more — — — — — — — — Nonaccrual — — — — — — — — Total 139 — 41 38 102 217 — 537 Term Loans by Origination Year 2020 2019 2018 2017 2016 Prior Revolving Loans Total As of September 30, 2020 Consumer LHFI Other loans secured by real estate: Secured by 1-4 family residential properties Current $ 217,950 $ 226,130 $ 194,593 $ 102,945 $ 119,707 $ 352,569 $ — $ 1,213,894 Past due 30-89 days 256 — 71 274 1,127 1,180 — 2,908 Past due 90 days or more 7 — — — 181 171 — 359 Nonaccrual 148 839 2,051 439 241 7,373 — 11,091 Total 218,361 226,969 196,715 103,658 121,256 361,293 — 1,228,252 Consumer loans: Current $ 54,252 $ 32,198 $ 16,771 $ 4,956 $ 1,625 $ 617 $ 52,170 $ 162,589 Past due 30-89 days 329 40 70 168 10 5 503 1,125 Past due 90 days or more 24 1 19 — — — 79 123 Nonaccrual 11 6 59 16 3 — 1 96 Total 54,616 32,245 16,919 5,140 1,638 622 52,753 163,933 Total consumer LHFI $ 325,469 $ 307,435 $ 236,008 $ 115,968 $ 126,791 $ 380,617 $ 416,430 $ 1,908,718 Total LHFI $ 2,052,251 $ 2,084,709 $ 1,436,719 $ 812,979 $ 839,983 $ 1,316,681 $ 1,304,406 $ 9,847,728 The table below presents LHFI by loan class and credit quality indicator at December 31, 2019 ($ in thousands): December 31, 2019 Commercial LHFI Pass - Categories 1-6 Special Mention - Category 7 Substandard Category 8 Doubtful - Category 9 Subtotal Loans secured by real estate: Construction, land development and other land $ 1,075,146 $ — $ 15,726 $ 42 $ 1,090,914 Secured by 1-4 family residential properties 116,592 45 6,355 41 123,033 Secured by nonfarm, nonresidential properties 2,430,761 — 44,001 328 2,475,090 Other real estate secured 721,238 — 2,547 — 723,785 Commercial and industrial loans 1,407,837 909 68,262 888 1,477,896 Consumer loans — — — — — State and other political subdivision loans 957,948 4,650 5,346 — 967,944 Other loans 469,095 3,445 16,926 30 489,496 Total $ 7,178,617 $ 9,049 $ 159,163 $ 1,329 $ 7,348,158 Consumer LHFI Current Past Due 30-89 Days Past Due 90 Days or More Nonaccrual Subtotal Total LHFI Loans secured by real estate: Construction, land development and other land $ 71,413 $ 332 $ — $ 132 $ 71,877 $ 1,162,791 Secured by 1-4 family residential properties 1,710,930 5,922 211 15,817 1,732,880 1,855,913 Secured by nonfarm, nonresidential properties 155 — — — 155 2,475,245 Other real estate secured 695 — — — 695 724,480 Commercial and industrial loans — — — — — 1,477,896 Consumer loans 172,649 2,588 393 108 175,738 175,738 State and other political subdivision loans — — — — — 967,944 Other loans 6,125 — — — 6,125 495,621 Total $ 1,961,967 $ 8,842 $ 604 $ 16,057 $ 1,987,470 $ 9,335,628 |
Summary of Trustmark's Portfolio Segments, Loan Classes, Loan Pools and the ACL Methodology and Loss Drivers | The following table provides a description of each of Trustmark’s portfolio segments, loan classes, loan pools and the ACL methodology and loss drivers: Portfolio Segment Loan Class Loan Pool Methodology Loss Drivers Loans secured by real estate Construction, land development and other land 1-4 family residential construction DCF Prime Rate, National GDP Lots and development DCF Prime Rate, Southern Unemployment Unimproved land DCF Prime Rate, Southern Unemployment All other consumer DCF Prime Rate, Southern Unemployment Other secured by 1-4 family residential properties Consumer 1-4 family - 1st liens DCF Prime Rate, Southern Unemployment All other consumer DCF Prime Rate, Southern Unemployment Nonresidential owner-occupied DCF Southern Unemployment, National GDP Secured by nonfarm, nonresidential properties Nonowner-occupied - hotel/motel DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied - office DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied- Retail DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied - senior living/nursing homes DCF Southern Vacancy Rate, Southern Unemployment Nonowner-occupied - all other DCF Southern Vacancy Rate, Southern Unemployment Nonresidential owner-occupied DCF Southern Unemployment, National GDP Other real estate secured Nonresidential nonowner -occupied - apartments DCF Southern Vacancy Rate, Southern Unemployment Nonresidential owner-occupied DCF Southern Unemployment, National GDP Nonowner-occupied - all other DCF Southern Vacancy Rate, Southern Unemployment Other loans secured by real estate Other construction Other construction WARM Prime Rate, National Unemployment Secured by 1-4 family residential properties Trustmark mortgage WARM Southern Unemployment Commercial and industrial loans Commercial and industrial loans Commercial and industrial - non-working capital DCF Trustmark historical data Commercial and industrial - working capital DCF Trustmark historical data Credit cards WARM Trustmark call report data Consumer loans Consumer loans Credit cards WARM Trustmark call report data Overdrafts Loss Rate Trustmark historical data All other consumer DCF Prime Rate, Southern Unemployment State and other political subdivision loans State and other political subdivision loans Obligations of state and political subdivisions DCF Moody's Bond Default Study Other commercial loans Other commercial loans Other loans DCF Prime Rate, Southern Unemployment Commercial and industrial - non-working capital DCF Trustmark historical data Commercial and industrial - working capital DCF Trustmark historical data |
Change in Allowance for Loan Losses | The following table disaggregates the ACL and the amortized cost basis of the loans by the measurement methodology used at September 30, 2020 ($ in thousands): September 30, 2020 ACL LHFI Individually Evaluated for Credit Loss Collectively Evaluated for Credit Loss Total ACL Individually Evaluated for Credit Loss Collectively Evaluated for Credit Loss Total LHFI Loans secured by real estate: Construction, land development and other land $ — $ 10,905 $ 10,905 $ 1,024 493,495 $ 494,519 Other secured by 1-4 family residential properties — 11,358 11,358 474 546,674 547,148 Secured by nonfarm, nonresidential properties — 43,762 43,762 13,529 2,694,098 2,707,627 Other real estate secured — 7,172 7,172 61 887,731 887,792 Other loans secured by real estate: Other construction — 10,209 10,209 — 891,428 891,428 Secured by 1-4 family residential properties — 8,734 8,734 1,453 1,226,799 1,228,252 Commercial and industrial loans 578 12,580 13,158 14,882 1,383,586 1,398,468 Consumer loans — 6,040 6,040 — 163,933 163,933 State and other political subdivision loans 1,749 1,209 2,958 4,019 931,330 935,349 Other commercial loans 2,295 5,419 7,714 5,725 587,487 593,212 Total $ 4,622 $ 117,388 $ 122,010 $ 41,167 $ 9,806,561 $ 9,847,728 The following table disaggregates the allowance for loan losses and LHFI balances by the impairment evaluation methodology used at December 31, 2019 ($ in thousands): December 31, 2019 Allowance for Loan Losses LHFI Individually Evaluated Collectively Evaluated Total Individually Evaluated Collectively Evaluated Total Loans secured by real estate: Construction, land development and other land $ — $ 8,260 $ 8,260 $ 626 $ 1,162,165 $ 1,162,791 Secured by 1-4 family residential properties 35 8,897 8,932 5,464 1,850,449 1,855,913 Secured by nonfarm, nonresidential properties 2,355 23,803 26,158 6,717 2,468,528 2,475,245 Other real estate secured — 4,024 4,024 68 724,412 724,480 Commercial and industrial loans 707 25,285 25,992 23,458 1,454,438 1,477,896 Consumer loans — 3,379 3,379 21 175,717 175,738 State and other political subdivision loans 1,809 420 2,229 4,079 963,865 967,944 Other loans 553 4,750 5,303 784 494,837 495,621 Total $ 5,459 $ 78,818 $ 84,277 $ 41,217 $ 9,294,411 $ 9,335,628 Changes in the ACL were as follows for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Balance at beginning of period $ 119,188 $ 80,399 $ 84,277 $ 79,290 FASB ASU 2016-13 adoption adjustments: LHFI — — (3,039 ) — Allowance for loan losses, acquired loans transfer — — 815 — Acquired loans ACL adjustment — — 1,007 — Loans charged-off (1,263 ) (2,892 ) (8,678 ) (9,862 ) Recoveries 2,325 2,680 7,102 6,662 Net (charge-offs) recoveries 1,062 (212 ) (1,576 ) (3,200 ) PCL 1,760 3,039 40,526 7,136 Balance at end of period $ 122,010 $ 83,226 $ 122,010 $ 83,226 The following table detail s changes in the ACL by loan class for the period presented ($ in thousands): Three Months Ended September 30, 2020 Balance at Beginning of Period Charge-offs Recoveries PCL Balance at End of Period Loans secured by real estate: Construction, land development and other land $ 11,940 $ — $ 443 $ (1,478 ) $ 10,905 Other secured by 1-4 family residential properties 12,716 (18 ) 75 (1,415 ) 11,358 Secured by nonfarm, nonresidential properties 36,417 (115 ) 18 7,442 43,762 Other real estate secured 7,600 — 42 (470 ) 7,172 Other loans secured by real estate: Other construction 10,803 — 30 (624 ) 10,209 Secured by 1-4 family residential properties 10,899 — 18 (2,183 ) 8,734 Commercial and industrial loans 12,550 (71 ) 447 232 13,158 Consumer loans 6,397 (384 ) 375 (348 ) 6,040 State and other political subdivision loans 3,414 — — (456 ) 2,958 Other commercial loans 6,452 (675 ) 877 1,060 7,714 Total $ 119,188 $ (1,263 ) $ 2,325 $ 1,760 $ 122,010 The decreases in the PCL for loans and other loans secured by real estate during the three months ended September 30, 2020 were primarily due to improvements in the macroeconomic forecasting variables used in the ACL modeling, such as National and Southern Unemployment, National GDP and Prime Rate. During the third quarter of 2020, Trustmark conducted a review of significantly impacted borrowers that received one or more payment concessions and other borrowers in industries significantly impacted by COVID-19. The increases in the PCL for loans secured by nonfarm, nonresidential properties and other commercial loans during the three months ended September 30, 2020 were primarily due to downgrades that resulted from the in-depth portfolio review for those loans affected by the COVID-19 pandemic. The following table details changes in the ACL by loan class for the period presented ($ in thousands): Nine Months Ended September 30, 2020 Balance at Beginning of Period FASB ASU 2016-13 Adoption Adjustment Charge-offs Recoveries PCL Balance at End of Period Loans secured by real estate: Construction, land development and other land $ 6,371 $ (188 ) $ (7 ) $ 629 $ 4,100 $ 10,905 Other secured by 1-4 family residential properties 5,888 4,188 (118 ) 221 1,179 11,358 Secured by nonfarm, nonresidential properties 26,158 (8,179 ) (2,563 ) 524 27,822 43,762 Other real estate secured 4,024 (765 ) (8 ) 60 3,861 7,172 Other loans secured by real estate: Other construction 1,889 3,202 — 70 5,048 10,209 Secured by 1-4 family residential properties 3,044 2,891 (19 ) 124 2,694 8,734 Commercial and industrial loans 25,992 (8,964 ) (1,350 ) 1,180 (3,700 ) 13,158 Consumer loans 3,379 2,059 (1,745 ) 1,316 1,031 6,040 State and other political subdivision loans 2,229 2,455 — — (1,726 ) 2,958 Other commercial loans 5,303 2,084 (2,868 ) 2,978 217 7,714 Total $ 84,277 $ (1,217 ) $ (8,678 ) $ 7,102 $ 40,526 $ 122,010 The following table details changes in the allowance for loan losses, LHFI by loan class for the period presented ($ in thousands): 2019 Balance January 1, Charge-offs Recoveries Provision for Loan Losses Balance September 30, Loans secured by real estate: Construction, land development and other land $ 7,390 $ (35 ) $ 807 $ (461 ) $ 7,701 Secured by 1-4 family residential properties 8,641 (310 ) 530 (417 ) 8,444 Secured by nonfarm, nonresidential properties 22,376 (261 ) 285 2,802 25,202 Other real estate secured 3,450 — 22 82 3,554 Commercial and industrial loans 27,359 (3,090 ) 980 3,618 28,867 Consumer loans 2,890 (1,712 ) 1,432 702 3,312 State and other political subdivision loans 990 — — (518 ) 472 Other loans 6,194 (4,454 ) 2,606 1,328 5,674 Total $ 79,290 $ (9,862 ) $ 6,662 $ 7,136 $ 83,226 |
Acquired Loans (Tables)
Acquired Loans (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities [Abstract] | |
Schedule of Acquired Loans | At December 31, 2019, acquired loans consisted of the following ($ in thousands): December 31, 2019 Loans secured by real estate: Construction, land development and other land $ 4,771 Secured by 1-4 family residential properties 17,525 Secured by nonfarm, nonresidential properties 38,206 Other real estate secured 3,946 Commercial and industrial loans 5,035 Consumer loans 520 Other loans 2,598 Acquired loans 72,601 Less allowance for loan losses, acquired loans 815 Net acquired loans $ 71,786 |
Changes in the Carrying Value of Acquired Loans | The following table presents changes in the net carrying value of the acquired loans for the periods presented ($ in thousands): Acquired Impaired Acquired Not ASC 310-30 (1) Carrying value, net at January 1, 2019 $ 102,890 $ 2,811 Transfers (2) — (2,926 ) Accretion to interest income 5,532 115 Payments received, net (37,230 ) — Other (3) 178 — Change in allowance for loan losses, acquired loans 416 — Carrying value, net at December 31, 2019 71,786 — FASB ASU 2016-13 adoption adjustment (71,786 ) — Accretion to interest income — — Payments received, net — — Other (3) — — Change in allowance for loan losses, acquired loans — — Carrying value, net at September 30, 2020 $ — $ — (1) “Acquired Not ASC 310-30” loans consist of loans that are not in scope for FASB ASC Subtopic 310-30. (2) “Acquired Not ASC 310-30” ( 3 ) Includes miscellaneous timing adjustments as well as acquired loan terminations through foreclosure, charge-off and other terminations. |
Changes in Accretable Yield of Acquired Loans | The following table presents changes in the accretable yield for the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Accretable yield at beginning of period $ (14,816 ) $ (17,722 ) FASB ASU 2016-13 adoption adjustment 14,816 — Accretion to interest income — 4,290 Disposals, net — 1,903 Reclassification from nonaccretable difference (1) — (3,596 ) Accretable yield at end of period $ — $ (15,125 ) (1) Reclassifications from nonaccretable difference are due to lower loss expectations and improvements in expected cash flows. |
Components of the Allowance for Loan Losses on Acquired Loans | The following table presents the components of the allowance for loan losses on acquired loans for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Balance at beginning of period $ — $ 1,398 $ 815 $ 1,231 FASB ASU 2016-13 adoption adjustment — — (815 ) — Net (charge-offs) recoveries — (9 ) — (26 ) Provision for loan losses, acquired loans — (140 ) — 44 Balance at end of period $ — $ 1,249 $ — $ 1,249 |
Acquired Loans by Loan Class and Credit Quality Indicator | The table below presents the acquired loans by loan class and credit quality indicator at December 31, 2019 ($ in thousands): December 31, 2019 Commercial Loans Pass - Categories 1-6 Special Mention - Category 7 Substandard - Category 8 Doubtful - Category 9 Subtotal Loans secured by real estate: Construction, land development and other land $ 4,022 $ — $ 192 $ — $ 4,214 Secured by 1-4 family residential properties 3,164 42 580 — 3,786 Secured by nonfarm, nonresidential properties 27,848 — 9,972 386 38,206 Other real estate secured 3,878 — 68 0 3,946 Commercial and industrial loans 3,419 — — 1,616 5,035 Consumer loans — — — — — Other loans 2,591 — 7 — 2,598 Total acquired loans $ 44,922 $ 42 $ 10,819 $ 2,002 $ 57,785 Consumer Loans Current Past Due 30-89 Days Past Due 90 Days or More Nonaccrual (1) Subtotal Total Acquired Loans Loans secured by real estate: Construction, land development and other land $ 463 $ 94 $ — $ — $ 557 $ 4,771 Secured by 1-4 family residential properties 12,843 615 281 — 13,739 17,525 Secured by nonfarm, nonresidential properties — — — — — 38,206 Other real estate secured — — — — — 3,946 Commercial and industrial loans — — — — — 5,035 Consumer loans 489 31 — — 520 520 Other loans — — — — — 2,598 Total acquired loans $ 13,795 $ 740 $ 281 $ — $ 14,816 $ 72,601 (1) Acquired loans not accounted for under FASB ASC Subtopic 310-30. |
Aging Analysis of Past Due and Nonaccrual Acquired Loans | The following table provides an aging analysis of contractually past due and nonaccrual acquired loans at December 31, 2019 ($ in thousands): December 31, 2019 Past Due 30-59 Days 60-89 Days 90 Days or More (1) Total Nonaccrual (2) Current Loans Total Acquired Loans Loans secured by real estate: Construction, land development and other land $ 94 $ — $ 38 $ 132 $ — $ 4,639 $ 4,771 Secured by 1-4 family residential properties 696 131 366 1,193 — 16,332 17,525 Secured by nonfarm, nonresidential properties 36 — 851 887 — 37,319 38,206 Other real estate secured 1 — 52 53 — 3,893 3,946 Commercial and industrial loans — — — — — 5,035 5,035 Consumer loans 16 15 — 31 — 489 520 Other loans — — — — — 2,598 2,598 Total acquired loans $ 843 $ 146 $ 1,307 $ 2,296 $ — $ 70,305 $ 72,601 (1) Past due 90 days or more but still accruing interest. (2) Acquired loans not accounted for under FASB ASC Subtopic 310-30. |
Mortgage Banking (Tables)
Mortgage Banking (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Mortgage Banking [Abstract] | |
Schedule of Activity in the Mortgage Servicing Rights | The activity in the mortgage servicing rights (MSR) is detailed in the table below for the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Balance at beginning of period $ 79,394 $ 95,596 Origination of servicing assets 20,728 11,431 Change in fair value: Due to market changes (27,098 ) (25,126 ) Due to run-off (11,411 ) (8,885 ) Balance at end of period $ 61,613 $ 73,016 |
Schedule of Mortgage Loans Sold and Serviced for Others | The table below details the mortgage loans sold and serviced for others at September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Federal National Mortgage Association $ 4,547,696 $ 4,411,914 Government National Mortgage Association 2,879,122 2,652,782 Federal Home Loan Mortgage Corporation 57,684 73,134 Other 16,931 19,404 Total mortgage loans sold and serviced for others $ 7,501,433 $ 7,157,234 |
Other Real Estate (Tables)
Other Real Estate (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Other Real Estate And Foreclosed Assets [Abstract] | |
Changes and Gains (Losses), Net on Other Real Estate | For the periods presented, changes and gains (losses), net on other real estate were as follows ($ in thousands): Nine Months Ended September 30, 2020 2019 Balance at beginning of period $ 29,248 $ 34,668 Additions 496 5,684 Disposals (11,823 ) (6,574 ) Write-downs (1,673 ) (1,804 ) Balance at end of period $ 16,248 $ 31,974 Gains (losses), net on the sale of other real estate included in other real estate expense $ (388 ) $ 124 |
Other Real Estate, By Type of Property | At September 30, 2020 and December 31, 2019, other real estate by type of property consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Construction, land development and other land properties $ 7,697 $ 11,482 1-4 family residential properties 1,351 3,453 Nonfarm, nonresidential properties 7,200 14,313 Total other real estate $ 16,248 $ 29,248 |
Other Real Estate, By Geographic Location | At September 30, 2020 and December 31, 2019, other real estate by geographic location consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Alabama $ 3,725 $ 8,133 Florida 3,665 5,877 Mississippi (1) 8,718 14,919 Tennessee (2) 140 319 Texas — — Total other real estate $ 16,248 $ 29,248 (1) Mississippi includes Central and Southern Mississippi Regions. (2) Tennessee includes Memphis, Tennessee and Northern Mississippi Regions. |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Components of Net Lease Cost | The following table details the components of net lease cost for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Finance leases Amortization of right-of-use assets $ 449 $ 520 $ 1,427 $ 1,665 Interest on lease liabilities 62 75 194 236 Operating lease cost 1,306 1,303 3,885 3,892 Short-term lease cost 104 85 324 288 Variable lease cost 304 349 983 1,039 Sublease income (84 ) (81 ) (246 ) (250 ) Net lease cost $ 2,141 $ 2,251 $ 6,567 $ 6,870 |
Cash Payments Included in Measurement of Lease Liabilities | The following table details the cash payments included in the measurement of lease liabilities during the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Finance leases Operating cash flows included in operating activities $ 194 $ 779 Financing cash flows included in payments under finance lease obligations 1,319 1,509 Operating leases Operating cash flows (fixed payments) included in other operating activities, net 3,739 3,759 Operating cash flows (liability reduction) included in other operating activities, net 2,896 2,850 |
Balance Sheet Information and Weighted-Average Lease Terms and Discount Rates Related to Leases | The following table details balance sheet information, as well as weighted-average lease terms and discount rates, related to leases at September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Finance lease right-of-use assets, net of accumulated depreciation $ 7,900 $ 9,326 Finance lease liabilities 8,201 9,520 Operating lease right-of-use assets 30,508 31,182 Operating lease liabilities 31,838 32,354 Weighted-average lease term Finance leases 8.56 years 8.62 years Operating leases 8.72 years 9.05 years Weighted-average discount rate Finance leases 3.07 % 3.01 % Operating leases 3.40 % 3.51 % |
Future Minimum Rental Commitments Under Finance and Operating Leases | At September 30, 2020, future minimum rental commitments under finance and operating leases were as follows ($ in thousands): Finance Leases Operating Leases 2020 (excluding the nine months ended September 30, 2020) $ 456 $ 1,250 2021 1,615 4,872 2022 1,556 4,378 2023 871 4,265 2024 572 4,371 Thereafter 4,452 17,982 Total minimum lease payments 9,522 37,118 Less imputed interest (1,321 ) (5,280 ) Lease liabilities $ 8,201 $ 31,838 |
Deposits (Tables)
Deposits (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Deposits [Abstract] | |
Deposits Summary | At September 30, 2020 and December 31, 2019, deposits consisted of the following ($ in thousands): September 30, 2020 December 31, 2019 Noninterest-bearing demand $ 3,964,023 $ 2,891,215 Interest-bearing demand 3,486,959 3,125,914 Savings 4,298,004 3,590,509 Time 1,473,427 1,637,919 Total $ 13,222,413 $ 11,245,557 |
Securities Sold Under Repurch_2
Securities Sold Under Repurchase Agreements (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Securities Sold Under Agreements To Repurchase [Abstract] | |
Schedule of Securities Sold Under Repurchase Agreements | The following table presents the securities sold under repurchase agreements by collateral pledged at September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Mortgage-backed securities Residential mortgage pass-through securities Issued by FNMA and FHLMC $ 70,185 $ — Other residential mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 48,418 24,282 Commercial mortgage-backed securities Issued or guaranteed by FNMA, FHLMC or GNMA 14,220 29,290 Total securities sold under repurchase agreements $ 132,823 $ 53,572 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Noninterest Income Disaggregated by Reportable Operating Segment and Revenue Stream | The following tables present noninterest income disaggregated by reportable operating segment and revenue stream for the periods presented ($ in thousands): Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Topic 606 Not Topic 606 (1) Total Topic 606 Not Topic 606 (1) Total General Banking Segment Service charges on deposit accounts $ 7,557 $ — $ 7,557 $ 11,041 $ — $ 11,041 Bank card and other fees 7,019 1,817 8,836 6,959 1,383 8,342 Mortgage banking, net — 36,439 36,439 — 8,171 8,171 Wealth management 54 — 54 92 — 92 Other, net 1,496 40 1,536 1,792 138 1,930 Total noninterest income $ 16,126 $ 38,296 $ 54,422 $ 19,884 $ 9,692 $ 29,576 Wealth Management Segment Service charges on deposit accounts $ 20 $ — $ 20 $ 24 $ — $ 24 Bank card and other fees 7 — 7 7 — 7 Wealth management 7,625 — 7,625 7,599 — 7,599 Other, net 27 15 42 22 32 54 Total noninterest income $ 7,679 $ 15 $ 7,694 $ 7,652 $ 32 $ 7,684 Insurance Segment Insurance commissions $ 11,562 $ — $ 11,562 $ 11,072 $ — $ 11,072 Other, net 23 — 23 5 — 5 Total noninterest income $ 11,585 $ — $ 11,585 $ 11,077 $ — $ 11,077 Consolidated Service charges on deposit accounts $ 7,577 $ — $ 7,577 $ 11,065 $ — $ 11,065 Bank card and other fees 7,026 1,817 8,843 6,966 1,383 8,349 Mortgage banking, net — 36,439 36,439 — 8,171 8,171 Insurance commissions 11,562 — 11,562 11,072 — 11,072 Wealth management 7,679 — 7,679 7,691 — 7,691 Other, net 1,546 55 1,601 1,819 170 1,989 Total noninterest income $ 35,390 $ 38,311 $ 73,701 $ 38,613 $ 9,724 $ 48,337 (1) Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security Nine Months Ended September 30, 2020 Nine Months Ended September 30, 2019 Topic 606 Not Topic 606 (1) Total Topic 606 Not Topic 606 (1) Total General Banking Segment Service charges on deposit accounts $ 23,949 $ — $ 23,949 $ 31,638 $ — $ 31,638 Bank card and other fees 20,294 1,600 21,894 20,986 2,508 23,494 Mortgage banking, net — 97,667 97,667 — 21,908 21,908 Wealth management 219 — 219 280 — 280 Other, net 4,614 1,306 5,920 6,369 (392 ) 5,977 Total noninterest income $ 49,076 $ 100,573 $ 149,649 $ 59,273 $ 24,024 $ 83,297 Wealth Management Segment Service charges on deposit accounts $ 57 $ — $ 57 $ 71 $ — $ 71 Bank card and other fees 21 — 21 50 — 50 Wealth management 23,568 — 23,568 22,636 — 22,636 Other, net 77 37 114 283 87 370 Total noninterest income $ 23,723 $ 37 $ 23,760 $ 23,040 $ 87 $ 23,127 Insurance Segment Insurance commissions $ 34,980 $ — $ 34,980 $ 33,032 $ — $ 33,032 Other, net 87 — 87 11 — 11 Total noninterest income $ 35,067 $ — $ 35,067 $ 33,043 $ — $ 33,043 Consolidated Service charges on deposit accounts $ 24,006 $ — $ 24,006 $ 31,709 $ — $ 31,709 Bank card and other fees 20,315 1,600 21,915 21,036 2,508 23,544 Mortgage banking, net — 97,667 97,667 — 21,908 21,908 Insurance commissions 34,980 — 34,980 33,032 — 33,032 Wealth management 23,787 — 23,787 22,916 — 22,916 Other, net 4,778 1,343 6,121 6,663 (305 ) 6,358 Total noninterest income $ 107,866 $ 100,610 $ 208,476 $ 115,356 $ 24,111 $ 139,467 (1) Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security |
Defined Benefit and Other Pos_2
Defined Benefit and Other Postretirement Benefits (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Trustmark Capital Accumulation Plan [Member] | |
Defined Benefit Plans And Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Net Periodic Benefit Cost | The following table presents information regarding the net periodic benefit cost for the Continuing Plan for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 64 $ 53 $ 191 $ 159 Interest cost 60 90 181 270 Expected return on plan assets (39 ) (51 ) (116 ) (152 ) Recognized net loss due to lump sum settlements 40 47 80 141 Recognized net actuarial loss 82 92 245 278 Net periodic benefit cost $ 207 $ 231 $ 581 $ 696 |
Supplemental Retirement Plan [Member] | |
Defined Benefit Plans And Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Net Periodic Benefit Cost | The following table presents information regarding the net periodic benefit cost for Trustmark’s nonqualified supplemental retirement plans for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Service cost $ 19 $ 27 $ 58 $ 82 Interest cost 388 502 1,189 1,544 Amortization of prior service cost 37 62 112 187 Recognized net actuarial loss 237 155 719 471 Net periodic benefit cost $ 681 $ 746 $ 2,078 $ 2,284 |
Stock and Incentive Compensat_2
Stock and Incentive Compensation (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Plan Activity | The following tables summarize the Stock Plan activity for the periods presented: Three Months Ended September 30, 2020 Performance Awards and Units Time-Vested Awards and Units Nonvested shares, beginning of period 146,508 304,693 Granted — 1,500 Released from restriction — (2,031 ) Forfeited (1,640 ) (1,967 ) Nonvested shares, end of period 144,868 302,195 Nine Months Ended September 30, 2020 Performance Awards and Units Time-Vested Awards and Units Nonvested shares, beginning of period 149,914 300,006 Granted 53,450 123,060 Released from restriction (36,357 ) (109,537 ) Forfeited (22,139 ) (11,334 ) Nonvested shares, end of period 144,868 302,195 |
Compensation Expense for Awards and Units Under Stock Plan | The following table presents information regarding compensation expense for awards and units under the Stock Plan for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Performance awards and units $ 417 $ 481 $ 360 $ 1,043 Time-vested awards and units 822 791 3,547 2,510 Total compensation expense $ 1,239 $ 1,272 $ 3,907 $ 3,553 |
Contingencies (Tables)
Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Summary of Changes in ACL on Off-balance Sheet Credit Exposures | Changes in the ACL on off-balance sheet credit exposures were as follows for the periods presented ($ in thousands): Three Months Ended Nine Months Ended September 30, 2020 September 30, 2020 Balance at beginning of period $ 42,663 $ — FASB ASU 2016-13 adoption adjustment — 29,638 Credit loss expense related to off-balance sheet credit exposures (3,004 ) 10,021 Balance at end of period $ 39,659 $ 39,659 |
Earnings Per Share (EPS) (Table
Earnings Per Share (EPS) (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Weighted-Average Shares Used to Calculate Basic and Diluted EPS | The following table reflects weighted-average shares used to calculate basic and diluted EPS for the periods presented (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Basic shares 63,423 64,359 63,531 64,755 Dilutive shares 159 156 134 135 Diluted shares 63,582 64,515 63,665 64,890 |
Weighted-Average Antidilutive Stock Awards Excluded from Determining Diluted EPS | Weighted-average antidilutive stock awards were excluded in determining diluted EPS. The following table reflects weighted-average antidilutive stock awards for the periods presented (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Weighted-average antidilutive stock awards 60 — 61 85 |
Statements of Cash Flows (Table
Statements of Cash Flows (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Supplemental Cash Flow Information [Abstract] | |
Cash Flows Supplementary Disclosures | The following table reflects specific transaction amounts for the periods presented ($ in thousands): Nine Months Ended September 30, 2020 2019 Income taxes paid $ 36,211 $ 17,277 Interest expense paid on deposits and borrowings 35,246 64,881 Noncash transfers from loans to other real estate 496 5,684 Finance right-of-use assets resulting from lease liabilities — 9,823 Operating right-of-use assets resulting from lease liabilities 2,368 33,180 Transfer of long-term FHLB advances to short-term 651 — |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Stockholders Equity Note [Abstract] | |
Table of Actual Regulatory Capital Amounts and Ratios | The following table provides Trustmark’s and TNB’s actual regulatory capital amounts and ratios under regulatory capital standards in effect at September 30, 2020 and December 31, 2019 ($ in thousands): Actual Regulatory Capital Minimum To Be Well Amount Ratio Requirement Capitalized At September 30, 2020: Common Equity Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,358,889 11.36 % 7.00 % n/a Trustmark National Bank 1,384,436 11.57 % 7.00 % 6.50 % Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,418,889 11.86 % 8.50 % n/a Trustmark National Bank 1,384,436 11.57 % 8.50 % 8.00 % Total Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,541,261 12.88 % 10.50 % n/a Trustmark National Bank 1,506,808 12.60 % 10.50 % 10.00 % Tier 1 Leverage (to Average Assets) Trustmark Corporation $ 1,418,889 9.20 % 4.00 % n/a Trustmark National Bank 1,384,436 9.00 % 4.00 % 5.00 % At December 31, 2019: Common Equity Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,312,668 11.93 % 7.00 % n/a Trustmark National Bank 1,352,893 12.30 % 7.00 % 6.50 % Tier 1 Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,372,668 12.48 % 8.50 % n/a Trustmark National Bank 1,352,893 12.30 % 8.50 % 8.00 % Total Capital (to Risk Weighted Assets) Trustmark Corporation $ 1,457,760 13.25 % 10.50 % n/a Trustmark National Bank 1,437,985 13.07 % 10.50 % 10.00 % Tier 1 Leverage (to Average Assets) Trustmark Corporation $ 1,372,668 10.48 % 4.00 % n/a Trustmark National Bank 1,352,893 10.35 % 4.00 % 5.00 % |
Net Change in Components of Accumulated Other Comprehensive Income (Loss) and the Related Tax Effects | Nine Months Ended September 30, 2020 Nine Months Ended September 30, 2019 Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Securities available for sale and transferred securities: Net unrealized holding gains (losses) arising during the period $ 35,448 $ (8,863 ) $ 26,585 $ 43,057 $ (10,764 ) $ 32,293 Change in net unrealized holding loss on securities transferred to held to maturity 2,443 (611 ) 1,832 2,852 (713 ) 2,139 Total securities available for sale and transferred securities 37,891 (9,474 ) 28,417 45,909 (11,477 ) 34,432 Pension and other postretirement benefit plans: Reclassification adjustments for changes realized in net income: Net change in prior service costs 112 (28 ) 84 187 (47 ) 140 Recognized net loss due to lump sum settlements 80 (20 ) 60 141 (36 ) 105 Change in net actuarial loss 964 (241 ) 723 749 (187 ) 562 Total pension and other postretirement benefit plans 1,156 (289 ) 867 1,077 (270 ) 807 Cash flow hedge derivatives: Change in accumulated gain (loss) on effective cash flow hedge derivatives — — — (145 ) 36 (109 ) Reclassification adjustment for (gain) loss realized in net income — — — (413 ) 104 (309 ) Total cash flow hedge derivatives — — — (558 ) 140 (418 ) Total other comprehensive income (loss) $ 39,047 $ (9,763 ) $ 29,284 $ 46,428 $ (11,607 ) $ 34,821 |
Components of Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | The following table presents the changes in the balances of each component of accumulated other comprehensive income (loss) for the periods presented ($ in thousands). All amounts are presented net of tax. Securities Available and Transferred Securities Defined Benefit Pension Items Cash Flow Hedge Derivatives Total Balance at January 1, 2020 $ (8,017 ) $ (15,583 ) $ — $ (23,600 ) Other comprehensive income (loss) before reclassification 28,417 — — 28,417 Amounts reclassified from accumulated other comprehensive income (loss) — 867 — 867 Net other comprehensive income (loss) 28,417 867 — 29,284 Balance at September 30, 2020 $ 20,400 $ (14,716 ) $ — $ 5,684 Balance at January 1, 2019 $ (43,824 ) $ (12,324 ) $ 469 $ (55,679 ) Other comprehensive income (loss) before reclassification 34,432 — (109 ) 34,323 Amounts reclassified from accumulated other comprehensive income (loss) — 807 (309 ) 498 Net other comprehensive income (loss) 34,432 807 (418 ) 34,821 Balance at September 30, 2019 $ (9,392 ) $ (11,517 ) $ 51 $ (20,858 ) |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities Measured at Fair Value Recurring Basis | The following tables summarize financial assets and financial liabilities measured at fair value on a recurring basis as of September 30, 2020 and December 31, 2019, segregated by the level of valuation inputs within the fair value hierarchy utilized to measure fair value ($ in thousands). There were no transfers between fair value levels for the nine months ended September 30, 2020 and the year ended December 31, 2019. September 30, 2020 Total Level 1 Level 2 Level 3 U.S. Government agency obligations $ 19,011 $ — $ 19,011 $ — Obligations of states and political subdivisions 8,315 — 8,315 — Mortgage-backed securities 1,895,402 — 1,895,402 — Securities available for sale 1,922,728 — 1,922,728 — Loans held for sale 485,103 — 485,103 — Mortgage servicing rights 61,613 — — 61,613 Other assets - derivatives 54,960 644 42,103 12,213 Other liabilities - derivatives 3,353 512 2,841 — December 31, 2019 Total Level 1 Level 2 Level 3 U.S. Government agency obligations $ 22,327 $ — $ 22,327 $ — Obligations of states and political subdivisions 25,465 — 25,465 — Mortgage-backed securities 1,554,612 — 1,554,612 — Securities available for sale 1,602,404 — 1,602,404 — Loans held for sale 226,347 — 226,347 — Mortgage servicing rights 79,394 — — 79,394 Other assets - derivatives 17,956 244 16,273 1,439 Other liabilities - derivatives 6,063 4,414 1,649 — |
Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis | The changes in Level 3 assets measured at fair value on a recurring basis for the nine months ended September 30, 2020 and 2019 are summarized as follows ($ in thousands): MSR Other Assets - Derivatives Balance, January 1, 2020 $ 79,394 $ 1,439 Total net (loss) gain included in Mortgage banking, net (1) (38,509 ) 32,833 Additions 20,728 — Sales — (22,059 ) Balance, September 30, 2020 $ 61,613 $ 12,213 The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at September 30, 2020 $ (27,098 ) $ 19,930 Balance, January 1, 2019 $ 95,596 $ 1,187 Total net (loss) gain included in Mortgage banking, net (1) (34,011 ) 5,741 Additions 11,431 — Sales — (4,712 ) Balance, September 30, 2019 $ 73,016 $ 2,216 The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held at September 30, 2019 $ (25,126 ) $ 924 (1) Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off. |
Carrying Amounts and Estimated Fair Values of Financial Instruments | The carrying amounts and estimated fair values of financial instruments at September 30, 2020 and December 31, 2019, are as follows ($ in thousands): September 30, 2020 December 31, 2019 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Financial Assets: Level 2 Inputs: Cash and short-term investments $ 564,638 $ 564,638 $ 358,916 $ 358,916 Securities held to maturity 611,280 639,665 738,099 746,202 Level 3 Inputs: Net LHFI and PPP loans 10,669,988 10,680,458 9,251,351 9,235,674 Net acquired loans (1) — — 71,786 71,786 Financial Liabilities: Level 2 Inputs: Deposits 13,222,413 13,227,707 11,245,557 11,250,071 Federal funds purchased and securities sold under repurchase agreements 153,834 153,834 256,020 256,020 Other borrowings 178,599 178,600 85,396 85,374 Junior subordinated debt securities 61,856 45,773 61,856 50,722 (1) Upon adoption of FASB ASC Topic 326 at January 1, 2020, Trustmark elected to account for its existing acquired loans as purchased credit deteriorated loans included within the LHFI portfolio. See Note 4 – Acquired Loans for additional details. |
Fair Value and the Contractual Principal Outstanding of the LHFS | The following table provides information about the fair value and the contractual principal outstanding of LHFS accounted for under the fair value option as of September 30, 2020 and December 31, 2019 ($ in thousands): September 30, 2020 December 31, 2019 Fair value of LHFS $ 337,752 $ 169,285 LHFS contractual principal outstanding 321,690 164,420 Fair value less unpaid principal $ 16,062 $ 4,865 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Fair Value of Derivative Instruments | The following tables disclose the fair value of derivative instruments in Trustmark’s consolidated balance sheets as of September 30, 2020 and December 31, 2019 as well as the effect of these derivative instruments on Trustmark’s results of operations for the periods presented ($ in thousands): September 30, 2020 December 31, 2019 Derivatives not designated as hedging instruments Interest rate contracts: Futures contracts included in other assets $ 539 $ — Exchange traded purchased options included in other assets 105 244 OTC written options (rate locks) included in other assets 12,213 1,439 Interest rate swaps included in other assets 41,992 16,209 Credit risk participation agreements included in other assets 111 64 Futures contracts included in other liabilities — 2,654 Forward contracts included in other liabilities 1,139 486 Exchange traded written options included in other liabilities 512 1,760 Interest rate swaps included in other liabilities 1,483 1,122 Credit risk participation agreements included in other liabilities 219 41 |
Effects of Derivative Instruments on Statements of Operations | Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Derivatives in hedging relationships Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) and recognized in other interest expense $ — $ 101 $ — $ 413 Derivatives not designated as hedging instruments Amount of gain (loss) recognized in mortgage banking, net $ 74 $ 6,191 $ 45,955 $ 18,988 Amount of gain (loss) recognized in bank card and other fees 234 (600 ) (1,502 ) (1,343 ) |
Schedule of Amount Included in Other Comprehensive Income for Derivative Instruments Designated as Hedges of Cash Flows | The following table discloses the amount included in other comprehensive income (loss), net of tax, for derivative instruments designated as cash flow hedges for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Derivatives in cash flow hedging relationship Amount of gain (loss) recognized in other comprehensive income (loss), net of tax $ — $ 14 $ — $ (109 ) |
Information about Financial Instruments that are Eligible for Offset in the Consolidated Balance Sheets | Information about financial instruments that are eligible for offset in the consolidated balance sheets as of September 30, 2020 and December 31, 2019 is presented in the following tables ($ in thousands): Offsetting of Derivative Assets As of September 30, 2020 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount Derivatives $ 41,992 $ — $ 41,992 $ — $ — $ 41,992 Offsetting of Derivative Liabilities As of September 30, 2020 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 1,483 $ — $ 1,483 $ — $ (1,483 ) $ — Offsetting of Derivative Assets As of December 31, 2019 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount Derivatives $ 16,209 $ — $ 16,209 $ — $ — $ 16,209 Offsetting of Derivative Liabilities As of December 31, 2019 Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Posted Net Amount Derivatives $ 1,122 $ — $ 1,122 $ — $ (1,390 ) $ (268 ) |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Segment Information | The following table discloses financial information by reportable segment for the periods presented ($ in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 General Banking Net interest income $ 104,738 $ 106,806 $ 310,517 $ 315,708 Provision for credit losses 3,973 2,672 40,535 6,961 Noninterest income 54,422 29,576 149,649 83,297 Noninterest expense 98,384 93,103 308,189 273,211 Income before income taxes 56,803 40,607 111,442 118,833 Income taxes 7,971 4,456 14,155 13,973 General banking net income $ 48,832 $ 36,151 $ 97,287 $ 104,860 Selected Financial Information Total assets $ 15,255,359 $ 13,221,723 $ 15,255,359 $ 13,221,723 Depreciation and amortization $ 10,081 $ 10,254 $ 29,297 $ 28,985 Wealth Management Net interest income $ 1,401 $ 1,588 $ 4,481 $ 5,108 Provision for credit losses (2,213 ) 227 (9 ) 219 Noninterest income 7,694 7,684 23,760 23,127 Noninterest expense 7,067 5,797 22,527 21,187 Income before income taxes 4,241 3,248 5,723 6,829 Income taxes 1,009 812 1,380 1,703 Wealth management net income $ 3,232 $ 2,436 $ 4,343 $ 5,126 Selected Financial Information Total assets $ 224,773 $ 289,977 $ 224,773 $ 289,977 Depreciation and amortization $ 69 $ 67 $ 203 $ 204 Insurance Net interest income $ 68 $ 72 $ 161 $ 182 Noninterest income 11,585 11,077 35,067 33,043 Noninterest expense 8,508 7,953 25,712 24,577 Income before income taxes 3,145 3,196 9,516 8,648 Income taxes 769 748 2,338 2,120 Insurance net income $ 2,376 $ 2,448 $ 7,178 $ 6,528 Selected Financial Information Total assets $ 78,030 $ 73,086 $ 78,030 $ 73,086 Depreciation and amortization $ 194 $ 141 $ 500 $ 396 Consolidated Net interest income $ 106,207 $ 108,466 $ 315,159 $ 320,998 Provision for credit losses 1,760 2,899 40,526 7,180 Noninterest income 73,701 48,337 208,476 139,467 Noninterest expense 113,959 106,853 356,428 318,975 Income before income taxes 64,189 47,051 126,681 134,310 Income taxes 9,749 6,016 17,873 17,796 Consolidated net income $ 54,440 $ 41,035 $ 108,808 $ 116,514 Selected Financial Information Total assets $ 15,558,162 $ 13,584,786 $ 15,558,162 $ 13,584,786 Depreciation and amortization $ 10,344 $ 10,462 $ 30,000 $ 29,585 |
Business, Basis of Financial _2
Business, Basis of Financial Statement Presentation and Principles of Consolidation (Details) $ in Thousands | Jun. 05, 2020 | Mar. 27, 2020USD ($) | Sep. 30, 2020USD ($)OfficeLoan |
Business Basis Of Financial Statement Presentation And Principles Of Consolidation [Line Items] | |||
Number of offices | Office | 187 | ||
Financing receivable, loans outstanding | Loan | 9,691 | ||
Financing receivable, loan amount | $ 944,270 | ||
Financing receivable, deferred fees and costs | $ 25,700 | ||
Small Business Administration (SBA), CARES Act, Paycheck Protection Program [Member] | |||
Business Basis Of Financial Statement Presentation And Principles Of Consolidation [Line Items] | |||
Provision for CARES Act | $ 349,000,000 | ||
Financing Receivable, interest rate | 1.00% | ||
Financing Receivable, loan term | 2 years | ||
Small Business Administration (SBA), CARES Act, Paycheck Protection Program [Member] | Minimum [Member] | |||
Business Basis Of Financial Statement Presentation And Principles Of Consolidation [Line Items] | |||
Financing Receivable, loan term | 5 years | ||
Financing Receivable, processing fee percentage | 1.00% | ||
Small Business Administration (SBA), CARES Act, Paycheck Protection Program [Member] | Maximum [Member] | |||
Business Basis Of Financial Statement Presentation And Principles Of Consolidation [Line Items] | |||
Financing receivable, existing loans maturity term | 5 years | ||
Financing receivable, guaranteed percentage | 100.00% | ||
Financing Receivable, processing fee percentage | 5.00% |
Securities Available for Sale_3
Securities Available for Sale and Held to Maturity - Additional Information (Details) - USD ($) | 9 Months Ended | ||||
Sep. 30, 2020 | Sep. 30, 2019 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2013 | |
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Retained earnings | $ 1,459,306,000 | $ 1,414,526,000 | |||
Securities held to maturity | 611,280,000 | 738,099,000 | |||
Potential credit loss exposure | 31,500,000 | ||||
Reclassification of Securities available for sale to securities held to maturity | $ 1,099,000,000 | ||||
Net unrealized holding loss on AFS Securities at date of transfer | 46,600,000 | ||||
Net unrealized holding losses on AFS Securities, net of tax at date of transfer | $ 28,800,000 | ||||
Net unamortized, unrealized loss on transfer of securities | 9,700,000 | 12,100,000 | |||
Net unamortized, unrealized loss on transfer of securities, net of tax | 7,300,000 | 9,100,000 | |||
Other-than-temporary impairments | $ 0 | ||||
Pledged to collateralize public deposits and securities sold under repurchase agreements and for other purposes as permitted by law | 1,991,000,000 | 1,770,000,000 | |||
Pledged securities providing additional contingency funding | 0 | $ 0 | |||
30 Days or More Past Due [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Held-to-maturity, past due | 0 | ||||
Securities Available for Sale [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Accrued interest receivable | 4,200,000 | ||||
Securities Held to Maturity [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Accrued interest receivable | 1,500,000 | ||||
Reserve for credit loss | 0 | ||||
Held-to-maturity nonnaccrual | 0 | ||||
ASU 2016-13 [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Securities held to maturity | 611,300,000 | ||||
ASU 2016-13 [Member] | Securities Available for Sale [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Expected credit loss | 0 | ||||
ASU 2016-13 [Member] | Securities Available for Sale [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Retained earnings | $ 0 | ||||
ASU 2016-13 [Member] | Securities Held to Maturity [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Current expected credit loss | $ 0 | ||||
ASU 2016-13 [Member] | Securities Held to Maturity [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | |||||
Retained earnings | $ 0 |
Securities Available for Sale_4
Securities Available for Sale and Held to Maturity - Securities Held to Maturity by Credit Rating, as Determined by Moody's (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Held to Maturity Amortized Cost | $ 611,280 | $ 738,099 |
Aaa [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Held to Maturity Amortized Cost | 579,674 | |
Aaa1 to Aa3 [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Held to Maturity Amortized Cost | 26,166 | |
Not Rated [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Held to Maturity Amortized Cost | $ 5,440 |
Securities Available for Sale_5
Securities Available for Sale and Held to Maturity - Amortized Cost and Estimated Fair Value of Available for Sale and Held to Maturity Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | $ 1,885,860 | $ 1,600,984 |
Securities Available for Sale, Gross Unrealized Gains | 38,345 | 7,580 |
Securities Available for Sale, Gross Unrealized (Losses) | (1,477) | (6,160) |
Securities Available for Sale, Estimated Fair Value | 1,922,728 | 1,602,404 |
Securities Held to Maturity, Amortized Cost | 611,280 | 738,099 |
Securities Held to Maturity, Gross Unrealized Gains | 28,411 | 9,274 |
Securities Held to Maturity, Gross Unrealized (Losses) | (26) | (1,171) |
Securities Held to Maturity, Estimated Fair Value | 639,665 | 746,202 |
U.S. Government Agency Obligations [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | 19,318 | 22,965 |
Securities Available for Sale, Gross Unrealized Gains | 189 | 69 |
Securities Available for Sale, Gross Unrealized (Losses) | (496) | (707) |
Securities Available for Sale, Estimated Fair Value | 19,011 | 22,327 |
Securities Held to Maturity, Amortized Cost | 0 | 3,781 |
Securities Held to Maturity, Gross Unrealized Gains | 0 | 220 |
Securities Held to Maturity, Gross Unrealized (Losses) | 0 | 0 |
Securities Held to Maturity, Estimated Fair Value | 0 | 4,001 |
Obligations of States and Political Subdivisions [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | 7,714 | 24,952 |
Securities Available for Sale, Gross Unrealized Gains | 601 | 513 |
Securities Available for Sale, Gross Unrealized (Losses) | 0 | 0 |
Securities Available for Sale, Estimated Fair Value | 8,315 | 25,465 |
Securities Held to Maturity, Amortized Cost | 31,605 | 31,781 |
Securities Held to Maturity, Gross Unrealized Gains | 375 | 434 |
Securities Held to Maturity, Gross Unrealized (Losses) | (12) | (53) |
Securities Held to Maturity, Estimated Fair Value | 31,968 | 32,162 |
Residential Mortgage Pass-Through Securities Guaranteed by GNMA [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | 60,492 | 69,196 |
Securities Available for Sale, Gross Unrealized Gains | 1,665 | 425 |
Securities Available for Sale, Gross Unrealized (Losses) | (1) | (369) |
Securities Available for Sale, Estimated Fair Value | 62,156 | 69,252 |
Securities Held to Maturity, Amortized Cost | 8,244 | 10,820 |
Securities Held to Maturity, Gross Unrealized Gains | 353 | 266 |
Securities Held to Maturity, Gross Unrealized (Losses) | 0 | (10) |
Securities Held to Maturity, Estimated Fair Value | 8,597 | 11,076 |
Residential Mortgage Pass-Through Securities Issued by FNMA and FHLMC [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | 1,259,607 | 714,350 |
Securities Available for Sale, Gross Unrealized Gains | 21,265 | 2,171 |
Securities Available for Sale, Gross Unrealized (Losses) | (953) | (3,165) |
Securities Available for Sale, Estimated Fair Value | 1,279,919 | 713,356 |
Securities Held to Maturity, Amortized Cost | 78,213 | 96,631 |
Securities Held to Maturity, Gross Unrealized Gains | 2,776 | 286 |
Securities Held to Maturity, Gross Unrealized (Losses) | 0 | (370) |
Securities Held to Maturity, Estimated Fair Value | 80,989 | 96,547 |
Other Residential Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | 487,567 | 656,162 |
Securities Available for Sale, Gross Unrealized Gains | 13,309 | 3,777 |
Securities Available for Sale, Gross Unrealized (Losses) | (18) | (1,713) |
Securities Available for Sale, Estimated Fair Value | 500,858 | 658,226 |
Securities Held to Maturity, Amortized Cost | 399,400 | 485,324 |
Securities Held to Maturity, Gross Unrealized Gains | 22,181 | 7,026 |
Securities Held to Maturity, Gross Unrealized (Losses) | (10) | (656) |
Securities Held to Maturity, Estimated Fair Value | 421,571 | 491,694 |
Commercial Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Securities Available for Sale, Amortized Cost | 51,162 | 113,359 |
Securities Available for Sale, Gross Unrealized Gains | 1,316 | 625 |
Securities Available for Sale, Gross Unrealized (Losses) | (9) | (206) |
Securities Available for Sale, Estimated Fair Value | 52,469 | 113,778 |
Securities Held to Maturity, Amortized Cost | 93,818 | 109,762 |
Securities Held to Maturity, Gross Unrealized Gains | 2,726 | 1,042 |
Securities Held to Maturity, Gross Unrealized (Losses) | (4) | (82) |
Securities Held to Maturity, Estimated Fair Value | $ 96,540 | $ 110,722 |
Securities Available for Sale_6
Securities Available for Sale and Held to Maturity - Securities with Gross Unrealized Losses, Segregated by Length of Impairment (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | $ 426,031 | $ 352,661 |
Estimated Fair Value, 12 Months or More | 18,231 | 481,177 |
Estimated Fair Value, Total | 444,262 | 833,838 |
Gross Unrealized (Losses), Less than 12 Months | (986) | (1,347) |
Gross Unrealized (Losses), 12 Months or More | (517) | (5,984) |
Gross Unrealized (Losses), Total | (1,503) | (7,331) |
U.S. Government Agency Obligations [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 0 | 6,585 |
Estimated Fair Value, 12 Months or More | 11,347 | 12,886 |
Estimated Fair Value, Total | 11,347 | 19,471 |
Gross Unrealized (Losses), Less than 12 Months | 0 | (105) |
Gross Unrealized (Losses), 12 Months or More | (496) | (602) |
Gross Unrealized (Losses), Total | (496) | (707) |
Obligations of States and Political Subdivisions [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 0 | 0 |
Estimated Fair Value, 12 Months or More | 6,221 | 6,216 |
Estimated Fair Value, Total | 6,221 | 6,216 |
Gross Unrealized (Losses), Less than 12 Months | 0 | 0 |
Gross Unrealized (Losses), 12 Months or More | (12) | (53) |
Gross Unrealized (Losses), Total | (12) | (53) |
Residential Mortgage Pass-Through Securities Guaranteed by GNMA [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 353 | 23,544 |
Estimated Fair Value, 12 Months or More | 0 | 18,529 |
Estimated Fair Value, Total | 353 | 42,073 |
Gross Unrealized (Losses), Less than 12 Months | (1) | (107) |
Gross Unrealized (Losses), 12 Months or More | 0 | (272) |
Gross Unrealized (Losses), Total | (1) | (379) |
Residential Mortgage Pass-Through Securities Issued by FNMA and FHLMC [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 399,494 | 112,879 |
Estimated Fair Value, 12 Months or More | 0 | 278,120 |
Estimated Fair Value, Total | 399,494 | 390,999 |
Gross Unrealized (Losses), Less than 12 Months | (953) | (230) |
Gross Unrealized (Losses), 12 Months or More | 0 | (3,305) |
Gross Unrealized (Losses), Total | (953) | (3,535) |
Other Residential Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 11,155 | 158,341 |
Estimated Fair Value, 12 Months or More | 0 | 151,271 |
Estimated Fair Value, Total | 11,155 | 309,612 |
Gross Unrealized (Losses), Less than 12 Months | (28) | (738) |
Gross Unrealized (Losses), 12 Months or More | 0 | (1,631) |
Gross Unrealized (Losses), Total | (28) | (2,369) |
Commercial Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member] | ||
Schedule of Available For Sale and Held to Maturity Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 15,029 | 51,312 |
Estimated Fair Value, 12 Months or More | 663 | 14,155 |
Estimated Fair Value, Total | 15,692 | 65,467 |
Gross Unrealized (Losses), Less than 12 Months | (4) | (167) |
Gross Unrealized (Losses), 12 Months or More | (9) | (121) |
Gross Unrealized (Losses), Total | $ (13) | $ (288) |
Securities Available for Sale_7
Securities Available for Sale and Held to Maturity - Contractual Maturities of Available for Sale and Held to Maturity Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Securities Available for Sale, Amortized Cost [Abstract] | ||
Due in one year or less | $ 4,667 | |
Due after one year through five years | 1,543 | |
Due after five years through ten years | 2,096 | |
Due after ten years | 18,726 | |
Total amortized cost, before mortgage-backed securities | 27,032 | |
Mortgage-backed securities | 1,858,828 | |
Securities Available for Sale, Amortized Cost | 1,885,860 | $ 1,600,984 |
Securities Available for Sale, Estimated Fair Value [Abstract] | ||
Due in one year or less | 4,719 | |
Due after one year through five years | 1,589 | |
Due after five years through ten years | 2,051 | |
Due after ten years | 18,967 | |
Total fair value, before mortgage-backed securities | 27,326 | |
Mortgage-backed securities | 1,895,402 | |
Total | 1,922,728 | 1,602,404 |
Securities Held to Maturity, Amortized Cost [Abstract] | ||
Due in one year or less | 20,900 | |
Due after one year through five years | 10,705 | |
Due after five years through ten years | 0 | |
Due after ten years | 0 | |
Total amortized cost, before mortgage-backed securities | 31,605 | |
Mortgage-backed securities | 579,675 | |
Securities Held to Maturity, Amortized Cost | 611,280 | 738,099 |
Securities Held to Maturity, Estimated Fair Value [Abstract] | ||
Due in one year or less | 21,018 | |
Due after one year through five years | 10,950 | |
Due after five years through ten years | 0 | |
Due after ten years | 0 | |
Total fair value, before mortgage-backed securities | 31,968 | |
Mortgage-backed securities | 607,697 | |
Total | $ 639,665 | $ 746,202 |
Loans Held for Investment (LH_3
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Loan Portfolio Held for Investment (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | |
Loan Portfolio [Abstract] | |||
Total LHFI | [1] | $ 9,847,728 | $ 9,335,628 |
Less allowance for credit losses (ACL), LHFI | [1] | 122,010 | 84,277 |
Net LHFI | 9,725,718 | 9,251,351 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | 494,519 | 1,162,791 | |
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | [2] | 1,228,252 | |
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | [2] | 547,148 | 1,855,913 |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | 887,792 | 724,480 | |
Other Construction [Member] | Other Loans Secured by Real Estate [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | [2] | 891,428 | |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | 2,707,627 | 2,475,245 | |
Commercial and Industrial Loans [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | 1,398,468 | 1,477,896 | |
Consumer Loans [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | 163,933 | 175,738 | |
State and Other Political Subdivision Loans [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | 935,349 | 967,944 | |
Other Commercial Loans [Member] | |||
Loan Portfolio [Abstract] | |||
Total LHFI | [2] | $ 593,212 | $ 495,621 |
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. | ||
[2] | In accordance with the guidance in FASB ASC Topic 326, Trustmark redefined its LHFI portfolio segments and related loan classes based on the level at which risk is monitored within the ACL methodology. The other loans secured by real estate portfolio segment and related loan classes were separated from the loans secured by real estate portfolio segment. The other construction loans were segregated from the construction, land development and other land loans. The other loans secured by 1-4 family residential properties were segregated from the loans secured by 1-4 family residential properties and the loans secured by 1-4 family residential properties were redefined in the other loans secured by real estate portfolio segment. Other loans were redefined as other commercial loans. |
Loans Held for Investment (LH_4
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Additional Information (Details 1) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020USD ($)LoanRegion | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Financing Receivable Impaired [Line Items] | |||
Accrued interest receivable | $ 37,400 | ||
Maximum concentration of loan as a percentage of total LHFI | 10.00% | ||
Key market regions | Region | 5 | ||
Number of days to pass to be classified as past due LHFI | 30 days | ||
Minimum loan amount for loan to be specifically reviewed for impairment and deemed impaired | $ 500 | ||
LHFI classified as TDRs | $ 25,400 | $ 30,500 | |
LHFI classified as TDRs from credits with interest only payments and credits renewed at a rate that was not commensurate with that of new debt with similar risk | 13,300 | 20,200 | |
Unused commitments on TDRs | 4,200 | 7,900 | |
Financing receivable, related allowance | 2,600 | 2,900 | |
Financing receivable, related charge-offs | $ 2,300 | $ 472 | |
Number of individual loans modified as per CARES Act | Loan | 2,812 | ||
Aggregate principal balances of loans modified as per CARES Act | $ 1,327,000 | ||
Period of extension on interest part of loans modified as per CARES Act | 90 days | ||
Period of extension on full payment deferrals part of loans modified as per CARES Act | 90 days | ||
Commercial Credits [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Number of days past due for loan to be classified as nonaccrual | 90 days | ||
Non-Business Purpose Credits [Member] | |||
Financing Receivable Impaired [Line Items] | |||
Number of days past due for loan to be classified as nonaccrual | 120 days |
Loans Held for Investment (LH_5
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Schedule of Amortized Cost Basis of Loans on Nonaccrual Status (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Nonaccrual With No ACL | $ 22,922 | |
Total Nonaccrual | 53,856 | $ 53,226 |
Loans Past Due 90 Days or More Still Accruing | 782 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Nonaccrual With No ACL | 517 | |
Total Nonaccrual | 786 | 897 |
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Nonaccrual With No ACL | 1,928 | |
Total Nonaccrual | 4,298 | |
Loans Past Due 90 Days or More Still Accruing | 299 | |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Nonaccrual With No ACL | 6,951 | |
Total Nonaccrual | 10,272 | 7,700 |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Nonaccrual With No ACL | 61 | |
Total Nonaccrual | 565 | 1,032 |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Nonaccrual | 16,810 | |
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Nonaccrual | 11,087 | |
Loans Past Due 90 Days or More Still Accruing | 359 | |
Commercial and Industrial Loans [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Nonaccrual With No ACL | 13,465 | |
Total Nonaccrual | 16,813 | 21,775 |
Consumer Loans [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Nonaccrual | 96 | 108 |
Loans Past Due 90 Days or More Still Accruing | 124 | |
State and Other Political Subdivision Loans [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Nonaccrual | 4,019 | $ 4,079 |
Other Commercial Loans [Member] | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Nonaccrual | $ 5,920 |
Loans Held for Investment (LH_6
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Aging Analysis of Past Due and Nonaccrual LHFI by Loan Type (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | $ 18,229 | $ 12,627 | ||
Nonaccrual | 53,856 | 53,226 | ||
Current Loans | 9,829,499 | 9,269,775 | ||
Total LHFI | [1] | 9,847,728 | 9,335,628 | |
Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 6,527 | 10,393 | ||
Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 3,246 | 1,592 | ||
Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 8,456 | 642 | [2] | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 1,315 | 636 | ||
Nonaccrual | 786 | 897 | ||
Current Loans | 493,204 | 1,161,258 | ||
Total LHFI | 494,519 | 1,162,791 | ||
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 867 | 380 | ||
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 262 | 256 | ||
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 186 | |||
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 2,478 | |||
Nonaccrual | 4,298 | |||
Current Loans | 544,670 | |||
Total LHFI | 547,148 | |||
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 906 | |||
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 664 | |||
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 908 | |||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 6,405 | |||
Nonaccrual | 16,810 | |||
Current Loans | 1,832,698 | |||
Total LHFI | 1,855,913 | |||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 5,254 | |||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 940 | |||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | [2] | 211 | ||
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 7,773 | |||
Nonaccrual | 11,087 | |||
Current Loans | 1,220,479 | |||
Total LHFI | 1,228,252 | |||
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 2,882 | |||
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 1,034 | |||
Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 3,857 | |||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 1,146 | 1,698 | ||
Nonaccrual | 10,272 | 7,700 | ||
Current Loans | 2,706,481 | 2,465,847 | ||
Total LHFI | 2,707,627 | 2,475,245 | ||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 172 | 1,698 | ||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 93 | |||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 881 | |||
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 122 | 8 | ||
Nonaccrual | 565 | 1,032 | ||
Current Loans | 887,670 | 723,440 | ||
Total LHFI | 887,792 | 724,480 | ||
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 15 | 8 | ||
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 107 | |||
Commercial and Industrial Loans [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 3,002 | 668 | ||
Nonaccrual | 16,813 | 21,775 | ||
Current Loans | 1,395,466 | 1,455,453 | ||
Total LHFI | 1,398,468 | 1,477,896 | ||
Commercial and Industrial Loans [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 740 | 617 | ||
Commercial and Industrial Loans [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 340 | 12 | ||
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 1,922 | 39 | [2] | |
Other Construction [Member] | Other Loans Secured by Real Estate [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Current Loans | 891,428 | |||
Total LHFI | 891,428 | |||
Consumer Loans [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 1,249 | 2,980 | ||
Nonaccrual | 96 | 108 | ||
Current Loans | 162,684 | 172,650 | ||
Total LHFI | 163,933 | 175,738 | ||
Consumer Loans [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 899 | 2,208 | ||
Consumer Loans [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 226 | 380 | ||
Consumer Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 124 | 392 | [2] | |
State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 177 | 76 | ||
Nonaccrual | 4,019 | 4,079 | ||
Current Loans | 935,172 | 963,789 | ||
Total LHFI | 935,349 | 967,944 | ||
State and Other Political Subdivision Loans [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 76 | |||
State and Other Political Subdivision Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 177 | |||
Other Commercial Loans [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 967 | |||
Nonaccrual | 5,920 | |||
Current Loans | 592,245 | |||
Total LHFI | [3] | 593,212 | 495,621 | |
Other Commercial Loans [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 46 | |||
Other Commercial Loans [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 520 | |||
Other Commercial Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | $ 401 | |||
Other Loans [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 156 | |||
Nonaccrual | 825 | |||
Current Loans | 494,640 | |||
Total LHFI | 495,621 | |||
Other Loans [Member] | Past Due 30 to 59 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | 152 | |||
Other Loans [Member] | Past Due 60 to 89 Days [Member] | ||||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||
Total Past Due | $ 4 | |||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. | |||
[2] | Past due 90 days or more but still accruing interest. | |||
[3] | In accordance with the guidance in FASB ASC Topic 326, Trustmark redefined its LHFI portfolio segments and related loan classes based on the level at which risk is monitored within the ACL methodology. The other loans secured by real estate portfolio segment and related loan classes were separated from the loans secured by real estate portfolio segment. The other construction loans were segregated from the construction, land development and other land loans. The other loans secured by 1-4 family residential properties were segregated from the loans secured by 1-4 family residential properties and the loans secured by 1-4 family residential properties were redefined in the other loans secured by real estate portfolio segment. Other loans were redefined as other commercial loans. |
Loans Held for Investment (LH_7
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Impaired Financing Receivables (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | $ 47,289 |
Total LHFI With No Related Allowance Recorded | 23,550 |
Total LHFI With an Allowance Recorded | 17,667 |
Total LHFI Recorded Investment | 41,217 |
Related Allowance | 5,459 |
Average Recorded Investment | 48,525 |
Commercial and Industrial Loans [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 27,178 |
Total LHFI With No Related Allowance Recorded | 19,374 |
Total LHFI With an Allowance Recorded | 4,084 |
Total LHFI Recorded Investment | 23,458 |
Related Allowance | 707 |
Average Recorded Investment | 27,088 |
Consumer Loans [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 22 |
Total LHFI With No Related Allowance Recorded | 0 |
Total LHFI With an Allowance Recorded | 21 |
Total LHFI Recorded Investment | 21 |
Related Allowance | 0 |
Average Recorded Investment | 11 |
State and Other Political Subdivision Loans [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 4,079 |
Total LHFI With No Related Allowance Recorded | 0 |
Total LHFI With an Allowance Recorded | 4,079 |
Total LHFI Recorded Investment | 4,079 |
Related Allowance | 1,809 |
Average Recorded Investment | 6,337 |
Other Loans [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 1,207 |
Total LHFI With No Related Allowance Recorded | 0 |
Total LHFI With an Allowance Recorded | 784 |
Total LHFI Recorded Investment | 784 |
Related Allowance | 553 |
Average Recorded Investment | 1,033 |
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 926 |
Total LHFI With No Related Allowance Recorded | 610 |
Total LHFI With an Allowance Recorded | 16 |
Total LHFI Recorded Investment | 626 |
Related Allowance | 0 |
Average Recorded Investment | 1,089 |
Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 6,513 |
Total LHFI With No Related Allowance Recorded | 2,104 |
Total LHFI With an Allowance Recorded | 3,360 |
Total LHFI Recorded Investment | 5,464 |
Related Allowance | 35 |
Average Recorded Investment | 4,713 |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 7,295 |
Total LHFI With No Related Allowance Recorded | 1,462 |
Total LHFI With an Allowance Recorded | 5,255 |
Total LHFI Recorded Investment | 6,717 |
Related Allowance | 2,355 |
Average Recorded Investment | 8,096 |
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | |
Loan and Lease Receivables, Impaired [Abstract] | |
Total LHFI Unpaid Principal Balance | 69 |
Total LHFI With No Related Allowance Recorded | 0 |
Total LHFI With an Allowance Recorded | 68 |
Total LHFI Recorded Investment | 68 |
Related Allowance | 0 |
Average Recorded Investment | $ 158 |
Loans Held for Investment (LH_8
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Impact of Modifications Classified as Troubled Debt Restructurings (Details) - Troubled Debt Restructurings [Member] $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($)Contract | Sep. 30, 2019USD ($)Contract | Sep. 30, 2020USD ($)Contract | Sep. 30, 2019USD ($)Contract | |
Financing Receivable Modifications [Line Items] | ||||
Number of Contracts | Contract | 4 | 4 | 23 | 22 |
Pre-Modification Outstanding Recorded Investment | $ 135 | $ 113 | $ 6,491 | $ 15,244 |
Post-Modification Outstanding Recorded Investment | $ 136 | $ 102 | $ 6,466 | $ 15,119 |
Other Secured by 1-4 Family Residential Properties [Member] | ||||
Financing Receivable Modifications [Line Items] | ||||
Number of Contracts | Contract | 3 | 4 | 11 | 11 |
Pre-Modification Outstanding Recorded Investment | $ 87 | $ 113 | $ 794 | $ 992 |
Post-Modification Outstanding Recorded Investment | $ 89 | $ 102 | $ 800 | $ 980 |
Commercial and Industrial Loans [Member] | ||||
Financing Receivable Modifications [Line Items] | ||||
Number of Contracts | Contract | 1 | 3 | 8 | |
Pre-Modification Outstanding Recorded Investment | $ 48 | $ 1,630 | $ 9,167 | |
Post-Modification Outstanding Recorded Investment | $ 47 | $ 1,629 | $ 9,054 | |
Secured by Nonfarm, Nonresidential Properties [Member] | ||||
Financing Receivable Modifications [Line Items] | ||||
Number of Contracts | Contract | 1 | 1 | ||
Pre-Modification Outstanding Recorded Investment | $ 139 | $ 5,055 | ||
Post-Modification Outstanding Recorded Investment | $ 139 | $ 5,055 | ||
Consumer Loans [Member] | ||||
Financing Receivable Modifications [Line Items] | ||||
Number of Contracts | Contract | 6 | 2 | ||
Pre-Modification Outstanding Recorded Investment | $ 26 | $ 30 | ||
Post-Modification Outstanding Recorded Investment | $ 26 | $ 30 | ||
State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable Modifications [Line Items] | ||||
Number of Contracts | Contract | 2 | |||
Pre-Modification Outstanding Recorded Investment | $ 3,902 | |||
Post-Modification Outstanding Recorded Investment | $ 3,872 |
Loans Held for Investment (LH_9
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Troubled Debt Restructuring Subsequently Defaulted (Details) - Troubled Debt Restructurings [Member] $ in Thousands | 9 Months Ended | |
Sep. 30, 2020USD ($)Contract | Sep. 30, 2019USD ($)Contract | |
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | Contract | 6 | 10 |
Recorded Investment | $ | $ 705 | $ 327 |
Other Secured by 1-4 Family Residential Properties [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | Contract | 4 | 1 |
Recorded Investment | $ | $ 484 | $ 46 |
Secured by Nonfarm, Nonresidential Properties [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | Contract | 1 | 0 |
Recorded Investment | $ | $ 139 | $ 0 |
Commercial and Industrial Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | Contract | 1 | 8 |
Recorded Investment | $ | $ 82 | $ 254 |
Consumer Loans [Member] | ||
Financing Receivable Modifications [Line Items] | ||
Number of Contracts | Contract | 0 | 1 |
Recorded Investment | $ | $ 0 | $ 27 |
Loans Held for Investment (L_10
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Troubled Debt Restructuring Related to Loans Held for Investment, Excluding Covered Loans, by Loan Type (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | $ 53,856 | $ 53,226 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 786 | 897 | |
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 4,298 | ||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 10,272 | 7,700 | |
Commercial and Industrial Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 16,813 | 21,775 | |
Consumer Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 96 | 108 | |
State and Other Political Subdivision Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 4,019 | 4,079 | |
Other Commercial Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 5,920 | ||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | 16,810 | ||
Other Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Nonaccrual | $ 825 | ||
Troubled Debt Restructurings [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 1,534 | $ 1,347 | |
Nonaccrual | 23,856 | 29,163 | |
Total | 25,390 | 30,510 | |
Troubled Debt Restructurings [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 0 | 0 | |
Nonaccrual | 13 | 18 | |
Total | 13 | 18 | |
Troubled Debt Restructurings [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 18 | ||
Nonaccrual | 3,689 | ||
Total | 3,707 | ||
Troubled Debt Restructurings [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 0 | 0 | |
Nonaccrual | 2,970 | 5,243 | |
Total | 2,970 | 5,243 | |
Troubled Debt Restructurings [Member] | Commercial and Industrial Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 1,500 | 1,246 | |
Nonaccrual | 13,198 | 20,262 | |
Total | 14,698 | 21,508 | |
Troubled Debt Restructurings [Member] | Consumer Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 16 | 0 | |
Nonaccrual | 19 | 23 | |
Total | 35 | 23 | |
Troubled Debt Restructurings [Member] | State and Other Political Subdivision Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 0 | ||
Nonaccrual | 3,842 | ||
Total | 3,842 | ||
Troubled Debt Restructurings [Member] | Other Commercial Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 0 | ||
Nonaccrual | 125 | ||
Total | $ 125 | ||
Troubled Debt Restructurings [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 101 | ||
Nonaccrual | 3,373 | ||
Total | 3,474 | ||
Troubled Debt Restructurings [Member] | Other Loans [Member] | |||
Financing Receivable Modifications [Line Items] | |||
Accruing | 0 | ||
Nonaccrual | 244 | ||
Total | $ 244 |
Loans Held for Investment (L_11
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Schedule of Amortized Cost Basis of Collateral-Dependent Loans by Class of Loans and Collateral Type (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | $ 41,167 |
Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 21,277 |
Equipment and Machinery [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 798 |
Inventory and Receivables [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 7,157 |
Vehicles [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 155 |
Miscellaneous [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 11,780 |
Construction, Land Development and Other Land [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 1,024 |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 1,024 |
Other Secured by 1-4 Family Residential Properties [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 474 |
Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 474 |
Secured by Nonfarm, Nonresidential Properties [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 13,527 |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 13,527 |
Other Real Estate Secured [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 61 |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 61 |
Secured by 1-4 Family Residential Properties [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 1,453 |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 1,453 |
Commercial and Industrial Loans [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 14,883 |
Commercial and Industrial Loans [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 96 |
Commercial and Industrial Loans [Member] | Equipment and Machinery [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 798 |
Commercial and Industrial Loans [Member] | Inventory and Receivables [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 5,174 |
Commercial and Industrial Loans [Member] | Vehicles [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 155 |
Commercial and Industrial Loans [Member] | Miscellaneous [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 8,660 |
State and Other Political Subdivision Loans [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 4,019 |
State and Other Political Subdivision Loans [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 4,019 |
Other Commercial Loans [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 5,726 |
Other Commercial Loans [Member] | Loans Secured by Real Estate [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 623 |
Other Commercial Loans [Member] | Inventory and Receivables [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | 1,983 |
Other Commercial Loans [Member] | Miscellaneous [Member] | |
Financing Receivable Impaired [Line Items] | |
Collateral-Dependent Loans | $ 3,120 |
Loans Held for Investment (L_12
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Additional Information (Details 2) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)KeyRatio | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||||||
Number of days used as baseline in evaluating collateral documentation exceptions for loan policy | 90 days | |||||
Number of key quality ratios | KeyRatio | 6 | |||||
Exposure for commercial non accrual loans to be reviewed on individual basis | $ 500,000 | $ 500,000 | ||||
Exposure for commercial accrual loans deemed to be reviewed on individual basis | 500,000 | 500,000 | ||||
LHFS past due 90 days or more | 121,300,000 | $ 121,300,000 | $ 41,600,000 | |||
Percentage of outstanding principal to be repurchased under GNMA optional repurchase program | 100.00% | |||||
Financing Receivable [Abstract] | ||||||
PCL | [1] | 1,760,000 | $ 3,039,000 | $ 40,526,000 | $ 7,136,000 | |
Allowance for Credit Losses, ACL [Member] | ||||||
Financing Receivable [Abstract] | ||||||
PCL | 1,760,000 | $ 3,039,000 | 40,526,000 | $ 7,136,000 | ||
Commercial and Industrial Loans [Member] | Allowance for Credit Losses, ACL [Member] | ||||||
Financing Receivable [Abstract] | ||||||
PCL | 232,000 | (3,700,000) | ||||
State and Other Political Subdivision Loans [Member] | Allowance for Credit Losses, ACL [Member] | ||||||
Financing Receivable [Abstract] | ||||||
PCL | (456,000) | (1,726,000) | ||||
Minimum [Member] | ||||||
Financing Receivable [Abstract] | ||||||
Credit amount used as baseline in evaluating loan policy | $ 100,000 | $ 100,000 | ||||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Loans Held for Investment (L_13
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Summary of Amortized Cost Basis of Loans by Credit Quality Indicator (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | |
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | $ 2,052,251 | ||
Term Loans by Origination Year, 2019 | 2,084,709 | ||
Term Loans by Origination Year, 2018 | 1,436,719 | ||
Term Loans by Origination Year, 2017 | 812,979 | ||
Term Loans by Origination Year, 2016 | 839,983 | ||
Term Loans by Origination Year, Prior to 2016 | 1,316,681 | ||
Financing Receivable, Revolving Loans | 1,304,406 | ||
Total LHFI | [1] | 9,847,728 | $ 9,335,628 |
Commercial and Industrial Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 1,398,468 | 1,477,896 | |
State and Other Political Subdivision Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 935,349 | 967,944 | |
Other Commercial Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | [2] | 593,212 | 495,621 |
Consumer Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 163,933 | 175,738 | |
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 494,519 | 1,162,791 | |
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | [2] | 547,148 | 1,855,913 |
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 887,792 | 724,480 | |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 2,707,627 | 2,475,245 | |
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | [2] | 891,428 | |
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | [2] | 1,228,252 | |
Commercial LHFI [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 1,726,782 | ||
Term Loans by Origination Year, 2019 | 1,777,274 | ||
Term Loans by Origination Year, 2018 | 1,200,711 | ||
Term Loans by Origination Year, 2017 | 697,011 | ||
Term Loans by Origination Year, 2016 | 713,192 | ||
Term Loans by Origination Year, Prior to 2016 | 936,064 | ||
Financing Receivable, Revolving Loans | 887,976 | ||
Total LHFI | 7,939,010 | 7,348,158 | |
Commercial LHFI [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 7,178,617 | ||
Commercial LHFI [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 9,049 | ||
Commercial LHFI [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 159,163 | ||
Commercial LHFI [Member] | Doubtful - RR 9 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 1,329 | ||
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 440,617 | ||
Term Loans by Origination Year, 2019 | 186,648 | ||
Term Loans by Origination Year, 2018 | 120,343 | ||
Term Loans by Origination Year, 2017 | 87,668 | ||
Term Loans by Origination Year, 2016 | 76,725 | ||
Term Loans by Origination Year, Prior to 2016 | 55,312 | ||
Financing Receivable, Revolving Loans | 431,155 | ||
Total LHFI | 1,398,468 | 1,477,896 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 433,771 | ||
Term Loans by Origination Year, 2019 | 184,698 | ||
Term Loans by Origination Year, 2018 | 104,647 | ||
Term Loans by Origination Year, 2017 | 83,887 | ||
Term Loans by Origination Year, 2016 | 74,401 | ||
Term Loans by Origination Year, Prior to 2016 | 49,508 | ||
Financing Receivable, Revolving Loans | 394,527 | ||
Total LHFI | 1,325,439 | 1,407,837 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 844 | ||
Term Loans by Origination Year, 2018 | 177 | ||
Financing Receivable, Revolving Loans | 3,000 | ||
Total LHFI | 4,021 | 909 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 5,824 | ||
Term Loans by Origination Year, 2019 | 1,731 | ||
Term Loans by Origination Year, 2018 | 15,519 | ||
Term Loans by Origination Year, 2017 | 3,781 | ||
Term Loans by Origination Year, 2016 | 2,286 | ||
Term Loans by Origination Year, Prior to 2016 | 5,800 | ||
Financing Receivable, Revolving Loans | 33,604 | ||
Total LHFI | 68,545 | 68,262 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Doubtful - RR 9 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 178 | ||
Term Loans by Origination Year, 2019 | 219 | ||
Term Loans by Origination Year, 2016 | 38 | ||
Term Loans by Origination Year, Prior to 2016 | 4 | ||
Financing Receivable, Revolving Loans | 24 | ||
Total LHFI | 463 | 888 | |
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 141,729 | ||
Term Loans by Origination Year, 2019 | 84,369 | ||
Term Loans by Origination Year, 2018 | 51,181 | ||
Term Loans by Origination Year, 2017 | 116,822 | ||
Term Loans by Origination Year, 2016 | 135,190 | ||
Term Loans by Origination Year, Prior to 2016 | 405,226 | ||
Financing Receivable, Revolving Loans | 832 | ||
Total LHFI | 935,349 | 967,944 | |
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 141,729 | ||
Term Loans by Origination Year, 2019 | 84,369 | ||
Term Loans by Origination Year, 2018 | 51,181 | ||
Term Loans by Origination Year, 2017 | 116,529 | ||
Term Loans by Origination Year, 2016 | 135,190 | ||
Term Loans by Origination Year, Prior to 2016 | 396,607 | ||
Financing Receivable, Revolving Loans | 832 | ||
Total LHFI | 926,437 | 957,948 | |
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, Prior to 2016 | 4,000 | ||
Total LHFI | 4,000 | 4,650 | |
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2017 | 293 | ||
Term Loans by Origination Year, Prior to 2016 | 4,619 | ||
Total LHFI | 4,912 | 5,346 | |
Commercial LHFI [Member] | Other Commercial Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 82,583 | ||
Term Loans by Origination Year, 2019 | 79,084 | ||
Term Loans by Origination Year, 2018 | 24,177 | ||
Term Loans by Origination Year, 2017 | 11,708 | ||
Term Loans by Origination Year, 2016 | 57,423 | ||
Term Loans by Origination Year, Prior to 2016 | 51,748 | ||
Financing Receivable, Revolving Loans | 286,489 | ||
Total LHFI | 593,212 | ||
Commercial LHFI [Member] | Other Commercial Loans [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 74,539 | ||
Term Loans by Origination Year, 2019 | 76,935 | ||
Term Loans by Origination Year, 2018 | 23,491 | ||
Term Loans by Origination Year, 2017 | 11,708 | ||
Term Loans by Origination Year, 2016 | 56,530 | ||
Term Loans by Origination Year, Prior to 2016 | 51,725 | ||
Financing Receivable, Revolving Loans | 265,683 | ||
Total LHFI | 560,611 | ||
Commercial LHFI [Member] | Other Commercial Loans [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 7,917 | ||
Financing Receivable, Revolving Loans | 11,333 | ||
Total LHFI | 19,250 | ||
Commercial LHFI [Member] | Other Commercial Loans [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 127 | ||
Term Loans by Origination Year, 2019 | 2,146 | ||
Term Loans by Origination Year, 2018 | 686 | ||
Term Loans by Origination Year, 2016 | 893 | ||
Financing Receivable, Revolving Loans | 9,473 | ||
Total LHFI | 13,325 | ||
Commercial LHFI [Member] | Other Commercial Loans [Member] | Doubtful - RR 9 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2019 | 3 | ||
Term Loans by Origination Year, Prior to 2016 | 23 | ||
Total LHFI | 26 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 233,211 | ||
Term Loans by Origination Year, 2019 | 100,766 | ||
Term Loans by Origination Year, 2018 | 34,635 | ||
Term Loans by Origination Year, 2017 | 4,743 | ||
Term Loans by Origination Year, 2016 | 4,104 | ||
Term Loans by Origination Year, Prior to 2016 | 4,401 | ||
Financing Receivable, Revolving Loans | 29,238 | ||
Total LHFI | 411,098 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 226,639 | ||
Term Loans by Origination Year, 2019 | 96,572 | ||
Term Loans by Origination Year, 2018 | 33,263 | ||
Term Loans by Origination Year, 2017 | 4,709 | ||
Term Loans by Origination Year, 2016 | 3,424 | ||
Term Loans by Origination Year, Prior to 2016 | 4,336 | ||
Financing Receivable, Revolving Loans | 29,238 | ||
Total LHFI | 398,181 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 268 | ||
Total LHFI | 268 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 6,304 | ||
Term Loans by Origination Year, 2019 | 4,194 | ||
Term Loans by Origination Year, 2018 | 1,372 | ||
Term Loans by Origination Year, 2017 | 34 | ||
Term Loans by Origination Year, 2016 | 680 | ||
Term Loans by Origination Year, Prior to 2016 | 23 | ||
Total LHFI | 12,607 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Doubtful - RR 9 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, Prior to 2016 | 42 | ||
Total LHFI | 42 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 29,515 | ||
Term Loans by Origination Year, 2019 | 23,147 | ||
Term Loans by Origination Year, 2018 | 19,821 | ||
Term Loans by Origination Year, 2017 | 10,969 | ||
Term Loans by Origination Year, 2016 | 12,174 | ||
Term Loans by Origination Year, Prior to 2016 | 7,223 | ||
Financing Receivable, Revolving Loans | 12,438 | ||
Total LHFI | 115,287 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 28,504 | ||
Term Loans by Origination Year, 2019 | 23,022 | ||
Term Loans by Origination Year, 2018 | 18,840 | ||
Term Loans by Origination Year, 2017 | 10,616 | ||
Term Loans by Origination Year, 2016 | 11,869 | ||
Term Loans by Origination Year, Prior to 2016 | 6,610 | ||
Financing Receivable, Revolving Loans | 8,288 | ||
Total LHFI | 107,749 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 46 | ||
Term Loans by Origination Year, 2019 | 43 | ||
Total LHFI | 89 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 934 | ||
Term Loans by Origination Year, 2019 | 82 | ||
Term Loans by Origination Year, 2018 | 981 | ||
Term Loans by Origination Year, 2017 | 353 | ||
Term Loans by Origination Year, 2016 | 305 | ||
Term Loans by Origination Year, Prior to 2016 | 613 | ||
Financing Receivable, Revolving Loans | 4,150 | ||
Total LHFI | 7,418 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Doubtful - RR 9 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 31 | ||
Total LHFI | 31 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 119,064 | ||
Term Loans by Origination Year, 2019 | 206,361 | ||
Term Loans by Origination Year, 2018 | 303,663 | ||
Term Loans by Origination Year, 2017 | 107,141 | ||
Term Loans by Origination Year, 2016 | 110,649 | ||
Term Loans by Origination Year, Prior to 2016 | 29,041 | ||
Financing Receivable, Revolving Loans | 11,336 | ||
Total LHFI | 887,255 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 107,988 | ||
Term Loans by Origination Year, 2019 | 206,213 | ||
Term Loans by Origination Year, 2018 | 303,645 | ||
Term Loans by Origination Year, 2017 | 107,141 | ||
Term Loans by Origination Year, 2016 | 110,083 | ||
Term Loans by Origination Year, Prior to 2016 | 27,682 | ||
Financing Receivable, Revolving Loans | 11,336 | ||
Total LHFI | 874,088 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, Prior to 2016 | 858 | ||
Total LHFI | 858 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 11,076 | ||
Term Loans by Origination Year, 2019 | 148 | ||
Term Loans by Origination Year, 2018 | 18 | ||
Term Loans by Origination Year, 2016 | 566 | ||
Term Loans by Origination Year, Prior to 2016 | 501 | ||
Total LHFI | 12,309 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 565,751 | ||
Term Loans by Origination Year, 2019 | 532,806 | ||
Term Loans by Origination Year, 2018 | 452,879 | ||
Term Loans by Origination Year, 2017 | 344,614 | ||
Term Loans by Origination Year, 2016 | 315,322 | ||
Term Loans by Origination Year, Prior to 2016 | 383,113 | ||
Financing Receivable, Revolving Loans | 112,428 | ||
Total LHFI | 2,706,913 | 2,475,090 | |
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 545,273 | ||
Term Loans by Origination Year, 2019 | 503,516 | ||
Term Loans by Origination Year, 2018 | 435,877 | ||
Term Loans by Origination Year, 2017 | 326,971 | ||
Term Loans by Origination Year, 2016 | 274,113 | ||
Term Loans by Origination Year, Prior to 2016 | 333,242 | ||
Financing Receivable, Revolving Loans | 110,298 | ||
Total LHFI | 2,529,290 | 2,430,761 | |
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Special Mention - RR 7 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 6,330 | ||
Term Loans by Origination Year, 2019 | 6,916 | ||
Term Loans by Origination Year, 2018 | 13,487 | ||
Term Loans by Origination Year, 2017 | 4,551 | ||
Term Loans by Origination Year, 2016 | 5,053 | ||
Term Loans by Origination Year, Prior to 2016 | 15,227 | ||
Total LHFI | 51,564 | ||
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 14,093 | ||
Term Loans by Origination Year, 2019 | 22,207 | ||
Term Loans by Origination Year, 2018 | 3,515 | ||
Term Loans by Origination Year, 2017 | 13,092 | ||
Term Loans by Origination Year, 2016 | 35,939 | ||
Term Loans by Origination Year, Prior to 2016 | 34,326 | ||
Financing Receivable, Revolving Loans | 2,130 | ||
Total LHFI | 125,302 | 44,001 | |
Commercial LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Doubtful - RR 9 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 55 | ||
Term Loans by Origination Year, 2019 | 167 | ||
Term Loans by Origination Year, 2016 | 217 | ||
Term Loans by Origination Year, Prior to 2016 | 318 | ||
Total LHFI | 757 | 328 | |
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 114,312 | ||
Term Loans by Origination Year, 2019 | 564,093 | ||
Term Loans by Origination Year, 2018 | 194,012 | ||
Term Loans by Origination Year, 2017 | 13,346 | ||
Term Loans by Origination Year, 2016 | 1,605 | ||
Financing Receivable, Revolving Loans | 4,060 | ||
Total LHFI | 891,428 | ||
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Pass - RR 1 through RR 6 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 113,727 | ||
Term Loans by Origination Year, 2019 | 564,093 | ||
Term Loans by Origination Year, 2018 | 194,012 | ||
Term Loans by Origination Year, 2017 | 13,346 | ||
Term Loans by Origination Year, 2016 | 1,605 | ||
Financing Receivable, Revolving Loans | 4,060 | ||
Total LHFI | 890,843 | ||
Commercial LHFI [Member] | Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Substandard - RR 8 [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 585 | ||
Total LHFI | 585 | ||
Consumer LHFI [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 325,469 | ||
Term Loans by Origination Year, 2019 | 307,435 | ||
Term Loans by Origination Year, 2018 | 236,008 | ||
Term Loans by Origination Year, 2017 | 115,968 | ||
Term Loans by Origination Year, 2016 | 126,791 | ||
Term Loans by Origination Year, Prior to 2016 | 380,617 | ||
Financing Receivable, Revolving Loans | 416,430 | ||
Total LHFI | 1,908,718 | 9,335,628 | |
Consumer LHFI [Member] | Commercial and Industrial Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 1,477,896 | ||
Consumer LHFI [Member] | State and Other Political Subdivision Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Total LHFI | 967,944 | ||
Consumer LHFI [Member] | Consumer Loans [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 54,616 | ||
Term Loans by Origination Year, 2019 | 32,245 | ||
Term Loans by Origination Year, 2018 | 16,919 | ||
Term Loans by Origination Year, 2017 | 5,140 | ||
Term Loans by Origination Year, 2016 | 1,638 | ||
Term Loans by Origination Year, Prior to 2016 | 622 | ||
Financing Receivable, Revolving Loans | 52,753 | ||
Total LHFI | 163,933 | 175,738 | |
Consumer LHFI [Member] | Consumer Loans [Member] | Current [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 54,252 | ||
Term Loans by Origination Year, 2019 | 32,198 | ||
Term Loans by Origination Year, 2018 | 16,771 | ||
Term Loans by Origination Year, 2017 | 4,956 | ||
Term Loans by Origination Year, 2016 | 1,625 | ||
Term Loans by Origination Year, Prior to 2016 | 617 | ||
Financing Receivable, Revolving Loans | 52,170 | ||
Total LHFI | 162,589 | ||
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 30-89 Days [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 329 | ||
Term Loans by Origination Year, 2019 | 40 | ||
Term Loans by Origination Year, 2018 | 70 | ||
Term Loans by Origination Year, 2017 | 168 | ||
Term Loans by Origination Year, 2016 | 10 | ||
Term Loans by Origination Year, Prior to 2016 | 5 | ||
Financing Receivable, Revolving Loans | 503 | ||
Total LHFI | 1,125 | ||
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 90 Days or More [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 24 | ||
Term Loans by Origination Year, 2019 | 1 | ||
Term Loans by Origination Year, 2018 | 19 | ||
Financing Receivable, Revolving Loans | 79 | ||
Total LHFI | 123 | ||
Consumer LHFI [Member] | Consumer Loans [Member] | Nonaccrual [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 11 | ||
Term Loans by Origination Year, 2019 | 6 | ||
Term Loans by Origination Year, 2018 | 59 | ||
Term Loans by Origination Year, 2017 | 16 | ||
Term Loans by Origination Year, 2016 | 3 | ||
Financing Receivable, Revolving Loans | 1 | ||
Total LHFI | 96 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 32,812 | ||
Term Loans by Origination Year, 2019 | 34,108 | ||
Term Loans by Origination Year, 2018 | 8,999 | ||
Term Loans by Origination Year, 2017 | 2,382 | ||
Term Loans by Origination Year, 2016 | 1,595 | ||
Term Loans by Origination Year, Prior to 2016 | 3,525 | ||
Total LHFI | 83,421 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Current [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 32,812 | ||
Term Loans by Origination Year, 2019 | 34,108 | ||
Term Loans by Origination Year, 2018 | 8,758 | ||
Term Loans by Origination Year, 2017 | 2,382 | ||
Term Loans by Origination Year, 2016 | 1,576 | ||
Term Loans by Origination Year, Prior to 2016 | 3,347 | ||
Total LHFI | 82,983 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Past Due 30-89 Days [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2018 | 241 | ||
Term Loans by Origination Year, Prior to 2016 | 74 | ||
Total LHFI | 315 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Nonaccrual [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2016 | 19 | ||
Term Loans by Origination Year, Prior to 2016 | 104 | ||
Total LHFI | 123 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 18,843 | ||
Term Loans by Origination Year, 2019 | 14,113 | ||
Term Loans by Origination Year, 2018 | 13,334 | ||
Term Loans by Origination Year, 2017 | 4,746 | ||
Term Loans by Origination Year, 2016 | 2,200 | ||
Term Loans by Origination Year, Prior to 2016 | 14,948 | ||
Financing Receivable, Revolving Loans | 363,677 | ||
Total LHFI | 431,861 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Current [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 18,709 | ||
Term Loans by Origination Year, 2019 | 13,768 | ||
Term Loans by Origination Year, 2018 | 13,212 | ||
Term Loans by Origination Year, 2017 | 4,295 | ||
Term Loans by Origination Year, 2016 | 2,142 | ||
Term Loans by Origination Year, Prior to 2016 | 14,300 | ||
Financing Receivable, Revolving Loans | 360,724 | ||
Total LHFI | 427,150 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Past Due 30-89 Days [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 126 | ||
Term Loans by Origination Year, 2019 | 297 | ||
Term Loans by Origination Year, 2017 | 15 | ||
Term Loans by Origination Year, 2016 | 58 | ||
Term Loans by Origination Year, Prior to 2016 | 186 | ||
Financing Receivable, Revolving Loans | 538 | ||
Total LHFI | 1,220 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Past Due 90 Days or More [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2019 | 15 | ||
Term Loans by Origination Year, 2018 | 12 | ||
Financing Receivable, Revolving Loans | 272 | ||
Total LHFI | 299 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Nonaccrual [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 8 | ||
Term Loans by Origination Year, 2019 | 33 | ||
Term Loans by Origination Year, 2018 | 110 | ||
Term Loans by Origination Year, 2017 | 436 | ||
Term Loans by Origination Year, Prior to 2016 | 462 | ||
Financing Receivable, Revolving Loans | 2,143 | ||
Total LHFI | 3,192 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 139 | ||
Term Loans by Origination Year, 2018 | 41 | ||
Term Loans by Origination Year, 2017 | 38 | ||
Term Loans by Origination Year, 2016 | 102 | ||
Term Loans by Origination Year, Prior to 2016 | 217 | ||
Total LHFI | 537 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Current [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 139 | ||
Term Loans by Origination Year, 2018 | 41 | ||
Term Loans by Origination Year, 2017 | 38 | ||
Term Loans by Origination Year, 2016 | 102 | ||
Term Loans by Origination Year, Prior to 2016 | 217 | ||
Total LHFI | 537 | ||
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 698 | ||
Term Loans by Origination Year, 2017 | 4 | ||
Term Loans by Origination Year, Prior to 2016 | 12 | ||
Total LHFI | 714 | $ 2,475,245 | |
Consumer LHFI [Member] | Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Current [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 698 | ||
Term Loans by Origination Year, 2017 | 4 | ||
Term Loans by Origination Year, Prior to 2016 | 12 | ||
Total LHFI | 714 | ||
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 218,361 | ||
Term Loans by Origination Year, 2019 | 226,969 | ||
Term Loans by Origination Year, 2018 | 196,715 | ||
Term Loans by Origination Year, 2017 | 103,658 | ||
Term Loans by Origination Year, 2016 | 121,256 | ||
Term Loans by Origination Year, Prior to 2016 | 361,293 | ||
Total LHFI | 1,228,252 | ||
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Current [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 217,950 | ||
Term Loans by Origination Year, 2019 | 226,130 | ||
Term Loans by Origination Year, 2018 | 194,593 | ||
Term Loans by Origination Year, 2017 | 102,945 | ||
Term Loans by Origination Year, 2016 | 119,707 | ||
Term Loans by Origination Year, Prior to 2016 | 352,569 | ||
Total LHFI | 1,213,894 | ||
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Past Due 30-89 Days [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 256 | ||
Term Loans by Origination Year, 2018 | 71 | ||
Term Loans by Origination Year, 2017 | 274 | ||
Term Loans by Origination Year, 2016 | 1,127 | ||
Term Loans by Origination Year, Prior to 2016 | 1,180 | ||
Total LHFI | 2,908 | ||
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Past Due 90 Days or More [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 7 | ||
Term Loans by Origination Year, 2016 | 181 | ||
Term Loans by Origination Year, Prior to 2016 | 171 | ||
Total LHFI | 359 | ||
Consumer LHFI [Member] | Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Nonaccrual [Member] | |||
Financing Receivable Recorded Investment [Line Items] | |||
Term Loans by Origination Year, 2020 | 148 | ||
Term Loans by Origination Year, 2019 | 839 | ||
Term Loans by Origination Year, 2018 | 2,051 | ||
Term Loans by Origination Year, 2017 | 439 | ||
Term Loans by Origination Year, 2016 | 241 | ||
Term Loans by Origination Year, Prior to 2016 | 7,373 | ||
Total LHFI | $ 11,091 | ||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. | ||
[2] | In accordance with the guidance in FASB ASC Topic 326, Trustmark redefined its LHFI portfolio segments and related loan classes based on the level at which risk is monitored within the ACL methodology. The other loans secured by real estate portfolio segment and related loan classes were separated from the loans secured by real estate portfolio segment. The other construction loans were segregated from the construction, land development and other land loans. The other loans secured by 1-4 family residential properties were segregated from the loans secured by 1-4 family residential properties and the loans secured by 1-4 family residential properties were redefined in the other loans secured by real estate portfolio segment. Other loans were redefined as other commercial loans. |
Loans Held for Investment (L_14
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Summary of LHFI by Loan Type and Credit Quality Indicator (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | ||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | [1] | $ 9,847,728 | $ 9,335,628 | |
Current | 9,829,499 | 9,269,775 | ||
Financing Receivable, Recorded Investment, Past Due | 18,229 | 12,627 | ||
Nonaccrual | 53,856 | 53,226 | ||
Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 8,456 | 642 | [2] | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 494,519 | 1,162,791 | ||
Current | 493,204 | 1,161,258 | ||
Financing Receivable, Recorded Investment, Past Due | 1,315 | 636 | ||
Nonaccrual | 786 | 897 | ||
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 186 | |||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,855,913 | |||
Current | 1,832,698 | |||
Financing Receivable, Recorded Investment, Past Due | 6,405 | |||
Nonaccrual | 16,810 | |||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | [2] | 211 | ||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 2,707,627 | 2,475,245 | ||
Current | 2,706,481 | 2,465,847 | ||
Financing Receivable, Recorded Investment, Past Due | 1,146 | 1,698 | ||
Nonaccrual | 10,272 | 7,700 | ||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 881 | |||
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 887,792 | 724,480 | ||
Current | 887,670 | 723,440 | ||
Financing Receivable, Recorded Investment, Past Due | 122 | 8 | ||
Nonaccrual | 565 | 1,032 | ||
Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,398,468 | 1,477,896 | ||
Current | 1,395,466 | 1,455,453 | ||
Financing Receivable, Recorded Investment, Past Due | 3,002 | 668 | ||
Nonaccrual | 16,813 | 21,775 | ||
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 1,922 | 39 | [2] | |
Consumer Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 163,933 | 175,738 | ||
Current | 162,684 | 172,650 | ||
Financing Receivable, Recorded Investment, Past Due | 1,249 | 2,980 | ||
Nonaccrual | 96 | 108 | ||
Consumer Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 124 | 392 | [2] | |
State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 935,349 | 967,944 | ||
Current | 935,172 | 963,789 | ||
Financing Receivable, Recorded Investment, Past Due | 177 | 76 | ||
Nonaccrual | 4,019 | 4,079 | ||
State and Other Political Subdivision Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 177 | |||
Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 495,621 | |||
Current | 494,640 | |||
Financing Receivable, Recorded Investment, Past Due | 156 | |||
Nonaccrual | 825 | |||
Commercial LHFI [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 7,939,010 | 7,348,158 | ||
Commercial LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,090,914 | |||
Commercial LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 123,033 | |||
Commercial LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 2,706,913 | 2,475,090 | ||
Commercial LHFI [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 723,785 | |||
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,398,468 | 1,477,896 | ||
Commercial LHFI [Member] | State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 935,349 | 967,944 | ||
Commercial LHFI [Member] | Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 489,496 | |||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 7,178,617 | |||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,075,146 | |||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 116,592 | |||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 2,529,290 | 2,430,761 | ||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 721,238 | |||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,325,439 | 1,407,837 | ||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 926,437 | 957,948 | ||
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 469,095 | |||
Commercial LHFI [Member] | Special Mention Category 7 [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 9,049 | |||
Commercial LHFI [Member] | Special Mention Category 7 [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 45 | |||
Commercial LHFI [Member] | Special Mention Category 7 [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 51,564 | |||
Commercial LHFI [Member] | Special Mention Category 7 [Member] | Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 4,021 | 909 | ||
Commercial LHFI [Member] | Special Mention Category 7 [Member] | State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 4,000 | 4,650 | ||
Commercial LHFI [Member] | Special Mention Category 7 [Member] | Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 3,445 | |||
Commercial LHFI [Member] | Substandard Category 8 [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 159,163 | |||
Commercial LHFI [Member] | Substandard Category 8 [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 15,726 | |||
Commercial LHFI [Member] | Substandard Category 8 [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 6,355 | |||
Commercial LHFI [Member] | Substandard Category 8 [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 125,302 | 44,001 | ||
Commercial LHFI [Member] | Substandard Category 8 [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 2,547 | |||
Commercial LHFI [Member] | Substandard Category 8 [Member] | Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 68,545 | 68,262 | ||
Commercial LHFI [Member] | Substandard Category 8 [Member] | State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 4,912 | 5,346 | ||
Commercial LHFI [Member] | Substandard Category 8 [Member] | Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 16,926 | |||
Commercial LHFI [Member] | Doubtful Category 9 [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,329 | |||
Commercial LHFI [Member] | Doubtful Category 9 [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 42 | |||
Commercial LHFI [Member] | Doubtful Category 9 [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 41 | |||
Commercial LHFI [Member] | Doubtful Category 9 [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 757 | 328 | ||
Commercial LHFI [Member] | Doubtful Category 9 [Member] | Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 463 | 888 | ||
Commercial LHFI [Member] | Doubtful Category 9 [Member] | Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 30 | |||
Consumer LHFI [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,908,718 | 9,335,628 | ||
Current | 1,961,967 | |||
Nonaccrual | 16,057 | |||
Subtotal | 1,987,470 | |||
Consumer LHFI [Member] | Past Due 30-89 Days [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 8,842 | |||
Consumer LHFI [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 604 | |||
Consumer LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,162,791 | |||
Current | 71,413 | |||
Nonaccrual | 132 | |||
Subtotal | 71,877 | |||
Consumer LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 30-89 Days [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 332 | |||
Consumer LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,855,913 | |||
Current | 1,710,930 | |||
Nonaccrual | 15,817 | |||
Subtotal | 1,732,880 | |||
Consumer LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30-89 Days [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 5,922 | |||
Consumer LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Financing Receivable, Recorded Investment, Past Due | 211 | |||
Consumer LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 714 | 2,475,245 | ||
Current | 155 | |||
Subtotal | 155 | |||
Consumer LHFI [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 724,480 | |||
Current | 695 | |||
Subtotal | 695 | |||
Consumer LHFI [Member] | Commercial and Industrial Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,477,896 | |||
Consumer LHFI [Member] | Consumer Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 163,933 | 175,738 | ||
Current | 172,649 | |||
Nonaccrual | 108 | |||
Subtotal | 175,738 | |||
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 30-89 Days [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 1,125 | |||
Financing Receivable, Recorded Investment, Past Due | 2,588 | |||
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 90 Days or More [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | $ 123 | |||
Financing Receivable, Recorded Investment, Past Due | 393 | |||
Consumer LHFI [Member] | State and Other Political Subdivision Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 967,944 | |||
Consumer LHFI [Member] | Other Loans [Member] | ||||
Financing Receivable [Abstract] | ||||
Loans held for investment (LHFI) | 495,621 | |||
Current | 6,125 | |||
Subtotal | $ 6,125 | |||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. | |||
[2] | Past due 90 days or more but still accruing interest. |
Loans Held for Investment (L_15
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Summary of Trustmark's Portfolio Segments, Loan Classes, Loan Pools and the ACL Methodology and Loss Drivers (Details) | 9 Months Ended |
Sep. 30, 2020 | |
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | 1 -4 Family Residential Construction [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, National GDP |
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Lots and Development [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Unimproved Land [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | All Other Consumer [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | All Other Consumer [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Consumer 1-4 Family - 1st Liens [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Nonresidential Owner- Occupied [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Unemployment, National GDP |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonresidential Owner- Occupied [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Unemployment, National GDP |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied - Hotel/Motel [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied - Office [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied- Retail [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-Occupied- Senior Living/ Nursing Homes [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Nonowner-occupied - All Other [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Nonresidential Owner- Occupied [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Unemployment, National GDP |
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Nonowner-occupied - All Other [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Nonresidential Nonowner- Occupied - Apartments [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Southern Vacancy Rate, Southern Unemployment |
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Other Construction [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | WARM |
Loss Drivers | Prime Rate, National Unemployment |
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Trustmark Mortgage [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | WARM |
Loss Drivers | Southern Unemployment |
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Commercial and Industrial - Non-Working Capital [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Trustmark historical data |
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Commercial and Industrial - Working Capital [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Trustmark historical data |
Commercial and Industrial Loans [Member] | Commercial and Industrial Loans [Member] | Credit Cards [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | WARM |
Loss Drivers | Trustmark call report data |
Consumer Loans [Member] | Consumer Loans [Member] | All Other Consumer [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Consumer Loans [Member] | Consumer Loans [Member] | Credit Cards [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | WARM |
Loss Drivers | Trustmark call report data |
Consumer Loans [Member] | Consumer Loans [Member] | Overdrafts [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | Loss Rate |
Loss Drivers | Trustmark historical data |
State and Other Political Subdivision Loans [Member] | State and Other Political Subdivision Loans [Member] | Obligations of State and Political Subdivisions [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Moody's Bond Default Study |
Other Commercial Loans [Member] | Other Commercial Loans [Member] | Commercial and Industrial - Non-Working Capital [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Trustmark historical data |
Other Commercial Loans [Member] | Other Commercial Loans [Member] | Commercial and Industrial - Working Capital [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Trustmark historical data |
Other Commercial Loans [Member] | Other Commercial Loans [Member] | Other Loans [Member] | |
Financing Receivable Recorded Investment [Line Items] | |
Methodology | DCF |
Loss Drivers | Prime Rate, Southern Unemployment |
Loans Held for Investment (L_16
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Summary of Balance in Allowance for Loan Losses (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | $ 5,500 | ||||||
Total | [1] | $ 122,010 | 84,277 | ||||
Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 4,622 | 5,459 | |||||
Collectively Evaluated for Credit Loss | 117,388 | 78,818 | |||||
Total | 122,010 | $ 119,188 | 84,277 | $ 83,226 | $ 80,399 | $ 79,290 | |
Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 41,167 | 41,217 | |||||
Collectively Evaluated for Credit Loss | 9,806,561 | 9,294,411 | |||||
Total | 9,847,728 | 9,335,628 | 83,226 | 79,290 | |||
Commercial and Industrial Loans [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 578 | 707 | |||||
Collectively Evaluated for Credit Loss | 12,580 | 25,285 | |||||
Total | 13,158 | 12,550 | 25,992 | ||||
Commercial and Industrial Loans [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 14,882 | 23,458 | |||||
Collectively Evaluated for Credit Loss | 1,383,586 | 1,454,438 | |||||
Total | 1,398,468 | 1,477,896 | 28,867 | 27,359 | |||
Consumer Loans [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 6,040 | 3,379 | |||||
Total | 6,040 | 6,397 | 3,379 | ||||
Consumer Loans [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 21 | ||||||
Collectively Evaluated for Credit Loss | 163,933 | 175,717 | |||||
Total | 163,933 | 175,738 | 3,312 | 2,890 | |||
State and Other Political Subdivision Loans [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 1,749 | 1,809 | |||||
Collectively Evaluated for Credit Loss | 1,209 | 420 | |||||
Total | 2,958 | 3,414 | 2,229 | ||||
State and Other Political Subdivision Loans [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 4,019 | 4,079 | |||||
Collectively Evaluated for Credit Loss | 931,330 | 963,865 | |||||
Total | 935,349 | 967,944 | 472 | 990 | |||
Other Commercial Loans [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 2,295 | ||||||
Collectively Evaluated for Credit Loss | 5,419 | ||||||
Total | 7,714 | 6,452 | 5,303 | ||||
Other Commercial Loans [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 5,725 | ||||||
Collectively Evaluated for Credit Loss | 587,487 | ||||||
Total | 593,212 | ||||||
Other Loans [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 553 | ||||||
Collectively Evaluated for Credit Loss | 4,750 | ||||||
Total | 5,303 | ||||||
Other Loans [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 784 | ||||||
Collectively Evaluated for Credit Loss | 494,837 | ||||||
Total | 495,621 | 5,674 | 6,194 | ||||
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 10,905 | 8,260 | |||||
Total | 10,905 | 8,260 | |||||
Loans Secured by Real Estate [Member] | Construction, Land Development and Other Land [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 1,024 | 626 | |||||
Collectively Evaluated for Credit Loss | 493,495 | 1,162,165 | |||||
Total | 494,519 | 1,162,791 | |||||
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 11,358 | ||||||
Total | 11,358 | 12,716 | 5,888 | ||||
Loans Secured by Real Estate [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 474 | ||||||
Collectively Evaluated for Credit Loss | 546,674 | ||||||
Total | 547,148 | ||||||
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 2,355 | ||||||
Collectively Evaluated for Credit Loss | 43,762 | 23,803 | |||||
Total | 43,762 | 36,417 | 26,158 | ||||
Loans Secured by Real Estate [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 13,529 | 6,717 | |||||
Collectively Evaluated for Credit Loss | 2,694,098 | 2,468,528 | |||||
Total | 2,707,627 | 2,475,245 | 25,202 | 22,376 | |||
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 7,172 | 4,024 | |||||
Total | 7,172 | 7,600 | 4,024 | ||||
Loans Secured by Real Estate [Member] | Other Real Estate Secured [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 61 | 68 | |||||
Collectively Evaluated for Credit Loss | 887,731 | 724,412 | |||||
Total | 887,792 | 724,480 | 3,554 | 3,450 | |||
Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 35 | ||||||
Collectively Evaluated for Credit Loss | 8,897 | ||||||
Total | 8,932 | ||||||
Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 5,464 | ||||||
Collectively Evaluated for Credit Loss | 1,850,449 | ||||||
Total | 1,855,913 | $ 8,444 | $ 8,641 | ||||
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 10,209 | ||||||
Total | 10,209 | 10,803 | 1,889 | ||||
Other Loans Secured by Real Estate [Member] | Other Construction [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 891,428 | ||||||
Total | 891,428 | ||||||
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Allowance for Credit Losses, ACL [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Collectively Evaluated for Credit Loss | 8,734 | ||||||
Total | 8,734 | $ 10,899 | $ 3,044 | ||||
Other Loans Secured by Real Estate [Member] | Secured by 1-4 Family Residential Properties [Member] | Allowance for Loan Losses, LHFI [Member] | |||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||||||
Individually Evaluated for Credit Loss | 1,453 | ||||||
Collectively Evaluated for Credit Loss | 1,226,799 | ||||||
Total | $ 1,228,252 | ||||||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Loans Held for Investment (L_17
Loans Held for Investment (LHFI) and Allowance for Loan Losses, LHFI - Change in Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | [1] | $ 84,277 | |||
PCL | [1] | $ 1,760 | $ 3,039 | 40,526 | $ 7,136 |
Balance at end of period | [1] | 122,010 | 122,010 | ||
Allowance for Credit Losses, ACL [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 119,188 | 80,399 | 84,277 | 79,290 | |
Loans charged-off | (1,263) | (2,892) | (8,678) | (9,862) | |
Recoveries | 2,325 | 2,680 | 7,102 | 6,662 | |
Net (charge-offs) recoveries | 1,062 | (212) | (1,576) | (3,200) | |
PCL | 1,760 | 3,039 | 40,526 | 7,136 | |
Balance at end of period | 122,010 | 83,226 | 122,010 | 83,226 | |
Allowance for Credit Losses, ACL [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 8,260 | ||||
Balance at end of period | 10,905 | 10,905 | |||
Allowance for Credit Losses, ACL [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Commercial LHFI [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 11,940 | 6,371 | |||
Loans charged-off | (7) | ||||
Recoveries | 443 | 629 | |||
PCL | (1,478) | 4,100 | |||
Balance at end of period | 10,905 | 10,905 | |||
Allowance for Credit Losses, ACL [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 12,716 | 5,888 | |||
Loans charged-off | (18) | (118) | |||
Recoveries | 75 | 221 | |||
PCL | (1,415) | 1,179 | |||
Balance at end of period | 11,358 | 11,358 | |||
Allowance for Credit Losses, ACL [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 8,932 | ||||
Allowance for Credit Losses, ACL [Member] | Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 10,899 | 3,044 | |||
Loans charged-off | (19) | ||||
Recoveries | 18 | 124 | |||
PCL | (2,183) | 2,694 | |||
Balance at end of period | 8,734 | 8,734 | |||
Allowance for Credit Losses, ACL [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 36,417 | 26,158 | |||
Loans charged-off | (115) | (2,563) | |||
Recoveries | 18 | 524 | |||
PCL | 7,442 | 27,822 | |||
Balance at end of period | 43,762 | 43,762 | |||
Allowance for Credit Losses, ACL [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 7,600 | 4,024 | |||
Loans charged-off | (8) | ||||
Recoveries | 42 | 60 | |||
PCL | (470) | 3,861 | |||
Balance at end of period | 7,172 | 7,172 | |||
Allowance for Credit Losses, ACL [Member] | Commercial and Industrial Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 12,550 | 25,992 | |||
Loans charged-off | (71) | (1,350) | |||
Recoveries | 447 | 1,180 | |||
PCL | 232 | (3,700) | |||
Balance at end of period | 13,158 | 13,158 | |||
Allowance for Credit Losses, ACL [Member] | Other Construction [Member] | Other Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 10,803 | 1,889 | |||
Recoveries | 30 | 70 | |||
PCL | (624) | 5,048 | |||
Balance at end of period | 10,209 | 10,209 | |||
Allowance for Credit Losses, ACL [Member] | Consumer Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 6,397 | 3,379 | |||
Loans charged-off | (384) | (1,745) | |||
Recoveries | 375 | 1,316 | |||
PCL | (348) | 1,031 | |||
Balance at end of period | 6,040 | 6,040 | |||
Allowance for Credit Losses, ACL [Member] | State and Other Political Subdivision Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 3,414 | 2,229 | |||
PCL | (456) | (1,726) | |||
Balance at end of period | 2,958 | 2,958 | |||
Allowance for Credit Losses, ACL [Member] | Other Commercial Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 6,452 | 5,303 | |||
Loans charged-off | (675) | (2,868) | |||
Recoveries | 877 | 2,978 | |||
PCL | 1,060 | 217 | |||
Balance at end of period | 7,714 | 7,714 | |||
Allowance for Credit Losses, ACL [Member] | Other Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 5,303 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
LHFI | (3,039) | ||||
Allowance for loan losses, acquired loans transfer | 815 | ||||
Acquired loans ACL adjustment | 1,007 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | (1,217) | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Commercial LHFI [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | (188) | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 4,188 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 2,891 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | (8,179) | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | (765) | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Commercial and Industrial Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | (8,964) | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Construction [Member] | Other Loans Secured by Real Estate [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 3,202 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Consumer Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 2,059 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | State and Other Political Subdivision Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 2,455 | ||||
Allowance for Credit Losses, ACL [Member] | ASU 2016-13 [Member] | Other Commercial Loans [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 2,084 | ||||
Allowance for Loan Losses, LHFI [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 9,335,628 | 79,290 | |||
Loans charged-off | (9,862) | ||||
Recoveries | 6,662 | ||||
PCL | 7,136 | ||||
Balance at end of period | 9,847,728 | 83,226 | 9,847,728 | 83,226 | |
Allowance for Loan Losses, LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 1,162,791 | ||||
Balance at end of period | 494,519 | 494,519 | |||
Allowance for Loan Losses, LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Commercial LHFI [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 7,390 | ||||
Loans charged-off | (35) | ||||
Recoveries | 807 | ||||
PCL | (461) | ||||
Balance at end of period | 7,701 | 7,701 | |||
Allowance for Loan Losses, LHFI [Member] | Other Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at end of period | 547,148 | 547,148 | |||
Allowance for Loan Losses, LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 1,855,913 | 8,641 | |||
Loans charged-off | (310) | ||||
Recoveries | 530 | ||||
PCL | (417) | ||||
Balance at end of period | 8,444 | 8,444 | |||
Allowance for Loan Losses, LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Other Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at end of period | 1,228,252 | 1,228,252 | |||
Allowance for Loan Losses, LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 2,475,245 | 22,376 | |||
Loans charged-off | (261) | ||||
Recoveries | 285 | ||||
PCL | 2,802 | ||||
Balance at end of period | 2,707,627 | 25,202 | 2,707,627 | 25,202 | |
Allowance for Loan Losses, LHFI [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 724,480 | 3,450 | |||
Recoveries | 22 | ||||
PCL | 82 | ||||
Balance at end of period | 887,792 | 3,554 | 887,792 | 3,554 | |
Allowance for Loan Losses, LHFI [Member] | Commercial and Industrial Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 1,477,896 | 27,359 | |||
Loans charged-off | (3,090) | ||||
Recoveries | 980 | ||||
PCL | 3,618 | ||||
Balance at end of period | 1,398,468 | 28,867 | 1,398,468 | 28,867 | |
Allowance for Loan Losses, LHFI [Member] | Other Construction [Member] | Other Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at end of period | 891,428 | 891,428 | |||
Allowance for Loan Losses, LHFI [Member] | Consumer Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 175,738 | 2,890 | |||
Loans charged-off | (1,712) | ||||
Recoveries | 1,432 | ||||
PCL | 702 | ||||
Balance at end of period | 163,933 | 3,312 | 163,933 | 3,312 | |
Allowance for Loan Losses, LHFI [Member] | State and Other Political Subdivision Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | 967,944 | 990 | |||
PCL | (518) | ||||
Balance at end of period | 935,349 | 472 | 935,349 | 472 | |
Allowance for Loan Losses, LHFI [Member] | Other Commercial Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at end of period | $ 593,212 | 593,212 | |||
Allowance for Loan Losses, LHFI [Member] | Other Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||||
Balance at beginning of period | $ 495,621 | 6,194 | |||
Loans charged-off | (4,454) | ||||
Recoveries | 2,606 | ||||
PCL | 1,328 | ||||
Balance at end of period | $ 5,674 | $ 5,674 | |||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Acquired Loans - Additional Inf
Acquired Loans - Additional Information (Details) - USD ($) $ in Thousands | Jan. 01, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Financing Receivable Allowance For Credit Losses [Line Items] | ||||||
Acquired loans | $ 72,601 | |||||
Allowance for loan losses, acquired loans | $ 815 | [1] | $ 1,249 | $ 1,398 | $ 1,231 | |
ASU 2016-13 [Member] | Purchased Credit Deteriorated (PCD) Loans [Member] | ||||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||||
Acquired loans | $ 72,600 | |||||
Allowance for loan losses, acquired loans | $ 815 | |||||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Acquired Loans - Schedule of Ac
Acquired Loans - Schedule of Acquired Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | $ 72,601 | ||||
Less allowance for loan losses, acquired loans | 815 | [1] | $ 1,249 | $ 1,398 | $ 1,231 |
Net acquired loans | 71,786 | ||||
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | 4,771 | ||||
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | 17,525 | ||||
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | 38,206 | ||||
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | 3,946 | ||||
Commercial and Industrial Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | 5,035 | ||||
Consumer Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | 520 | ||||
Other Loans [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Acquired loans | $ 2,598 | ||||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Acquired Loans - Changes in the
Acquired Loans - Changes in the Carrying Value of Acquired Loans (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | ||
Carrying value of acquired loans [Abstract] | ||||
Carrying value, net, beginning | $ 71,786 | |||
Accretion to interest income | $ 4,290 | |||
Carrying value, net, ending | $ 71,786 | |||
Acquired Not ASC 310-30 [Member] | ||||
Carrying value of acquired loans [Abstract] | ||||
Carrying value, net, beginning | [1] | 0 | 2,811 | 2,811 |
Transfers | [1],[2] | (2,926) | ||
Accretion to interest income | [1] | 0 | 115 | |
Payments received, net | [1] | 0 | 0 | |
Other | [1],[3] | 0 | 0 | |
Change in allowance for loan losses, acquired loans | [1] | 0 | 0 | |
Carrying value, net, ending | [1] | 0 | 0 | |
Acquired Not ASC 310-30 [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | ASU 2016-13 [Member] | ||||
Carrying value of acquired loans [Abstract] | ||||
Carrying value, net, beginning | [1] | 0 | ||
Carrying value, net, ending | [1] | 0 | ||
Acquired Impaired [Member] | ||||
Carrying value of acquired loans [Abstract] | ||||
Carrying value, net, beginning | $ 71,786 | $ 102,890 | 102,890 | |
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | |||
Transfers | [2] | 0 | ||
Accretion to interest income | $ 0 | 5,532 | ||
Payments received, net | 0 | (37,230) | ||
Other | [3] | 0 | 178 | |
Change in allowance for loan losses, acquired loans | 0 | 416 | ||
Carrying value, net, ending | 0 | 71,786 | ||
Acquired Impaired [Member] | Cumulative Effect Period Of Adoption Adjustment [Member] | ASU 2016-13 [Member] | ||||
Carrying value of acquired loans [Abstract] | ||||
Carrying value, net, beginning | $ (71,786) | |||
Carrying value, net, ending | $ (71,786) | |||
[1] | “Acquired Not ASC 310-30” loans consist of loans that are not in scope for FASB ASC Subtopic 310-30. | |||
[2] | “Acquired Not ASC 310-30” | |||
[3] | Includes miscellaneous timing adjustments as well as acquired loan terminations through foreclosure, charge-off and other terminations. |
Acquired Loans - Changes in Acc
Acquired Loans - Changes in Accretable Yield of Acquired Loans (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | ||
Change in accretable difference on acquired loans [Abstract] | ||||
Accretable yield at beginning of period | $ (14,816) | $ (17,722) | $ (17,722) | |
FASB ASU 2016-13 adoption adjustment | $ 14,816 | |||
Accretion to interest income | 4,290 | |||
Disposals, net | 1,903 | |||
Reclassification from nonaccretable difference | [1] | (3,596) | ||
Accretable yield at end of period | $ (15,125) | $ (14,816) | ||
[1] | Reclassifications from nonaccretable difference are due to lower loss expectations and improvements in expected cash flows. |
Acquired Loans - Components of
Acquired Loans - Components of the Allowance for Loan Losses on Acquired Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |||
Allowance for Loan and Lease Losses [Roll Forward] | |||||
Balance at beginning of period | $ 1,398 | $ 815 | [1] | $ 1,231 | |
FASB ASU 2016-13 adoption adjustment | $ (815) | ||||
Net (charge-offs) recoveries | (9) | (26) | |||
Provision for loan losses, acquired loans | [1] | (140) | 44 | ||
Balance at end of period | $ 1,249 | $ 1,249 | |||
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Acquired Loans - Acquired Loans
Acquired Loans - Acquired Loans by Loan Class and Credit Quality Indicator (Details) $ in Thousands | Dec. 31, 2019USD ($) | |
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | $ 71,786 | |
Acquired Loans, Aging [Abstract] | ||
Current | 70,305 | |
Acquired Loans, Past Due | 2,296 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 72,601 | |
Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 1,307 | [2] |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 4,639 | |
Acquired Loans, Past Due | 132 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 4,771 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 38 | [2] |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 16,332 | |
Acquired Loans, Past Due | 1,193 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 17,525 | |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 366 | [2] |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 37,319 | |
Acquired Loans, Past Due | 887 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 38,206 | |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 851 | [2] |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 3,893 | |
Acquired Loans, Past Due | 53 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 3,946 | |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 52 | [2] |
Commercial and Industrial Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 5,035 | |
Acquired Loans, Past Due | 0 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 5,035 | |
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | [2] |
Consumer Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 489 | |
Acquired Loans, Past Due | 31 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 520 | |
Consumer Loans [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | [2] |
Other Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 2,598 | |
Acquired Loans, Past Due | 0 | |
Nonaccrual | 0 | [1] |
Total Acquired Loans | 2,598 | |
Other Loans [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | [2] |
Commercial LHFI [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 57,785 | |
Commercial LHFI [Member] | Pass Categories 1-6 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 44,922 | |
Commercial LHFI [Member] | Special Mention Category 7 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 42 | |
Commercial LHFI [Member] | Substandard Category 8 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 10,819 | |
Commercial LHFI [Member] | Doubtful Category 9 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 2,002 | |
Commercial LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 4,214 | |
Commercial LHFI [Member] | Construction, Land Development and Other Land [Member] | Pass Categories 1-6 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 4,022 | |
Commercial LHFI [Member] | Construction, Land Development and Other Land [Member] | Substandard Category 8 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 192 | |
Commercial LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 3,786 | |
Commercial LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Pass Categories 1-6 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 3,164 | |
Commercial LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Special Mention Category 7 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 42 | |
Commercial LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Substandard Category 8 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 580 | |
Commercial LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 38,206 | |
Commercial LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Pass Categories 1-6 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 27,848 | |
Commercial LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Substandard Category 8 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 9,972 | |
Commercial LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Doubtful Category 9 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 386 | |
Commercial LHFI [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 3,946 | |
Commercial LHFI [Member] | Other Real Estate Secured [Member] | Pass Categories 1-6 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 3,878 | |
Commercial LHFI [Member] | Other Real Estate Secured [Member] | Substandard Category 8 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 68 | |
Commercial LHFI [Member] | Other Real Estate Secured [Member] | Doubtful Category 9 [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 0 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 5,035 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Pass Categories 1-6 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 3,419 | |
Commercial LHFI [Member] | Commercial and Industrial Loans [Member] | Doubtful Category 9 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 1,616 | |
Commercial LHFI [Member] | Other Loans [Member] | Commercial Loan [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 2,598 | |
Commercial LHFI [Member] | Other Loans [Member] | Pass Categories 1-6 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 2,591 | |
Commercial LHFI [Member] | Other Loans [Member] | Substandard Category 8 [Member] | ||
Acquired Loans, Commercial Loans [Abstract] | ||
Acquired loans | 7 | |
Consumer LHFI [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 13,795 | |
Subtotal | 14,816 | |
Total Acquired Loans | 72,601 | |
Consumer LHFI [Member] | Past Due 30-89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 740 | |
Consumer LHFI [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 281 | |
Consumer LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 463 | |
Subtotal | 557 | |
Total Acquired Loans | 4,771 | |
Consumer LHFI [Member] | Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 30-89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 94 | |
Consumer LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 12,843 | |
Subtotal | 13,739 | |
Total Acquired Loans | 17,525 | |
Consumer LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30-89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 615 | |
Consumer LHFI [Member] | Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 281 | |
Consumer LHFI [Member] | Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Total Acquired Loans | 38,206 | |
Consumer LHFI [Member] | Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Total Acquired Loans | 3,946 | |
Consumer LHFI [Member] | Commercial and Industrial Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Total Acquired Loans | 5,035 | |
Consumer LHFI [Member] | Consumer Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Current | 489 | |
Subtotal | 520 | |
Total Acquired Loans | 520 | |
Consumer LHFI [Member] | Consumer Loans [Member] | Past Due 30-89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 31 | |
Consumer LHFI [Member] | Other Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Total Acquired Loans | $ 2,598 | |
[1] | Acquired loans not accounted for under FASB ASC Subtopic 310-30. | |
[2] | Past due 90 days or more but still accruing interest. |
Acquired Loans - Aging Analysis
Acquired Loans - Aging Analysis of Past Due and Nonaccrual Acquired Loans (Details) $ in Thousands | Dec. 31, 2019USD ($) | |
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | $ 2,296 | |
Nonaccrual | 0 | [1] |
Current | 70,305 | |
Acquired Loans | 72,601 | |
Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 843 | |
Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 146 | |
Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 1,307 | [2] |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 132 | |
Nonaccrual | 0 | [1] |
Current | 4,639 | |
Acquired Loans | 4,771 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 94 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Construction, Land Development and Other Land [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 38 | [2] |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 1,193 | |
Nonaccrual | 0 | [1] |
Current | 16,332 | |
Acquired Loans | 17,525 | |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 696 | |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 131 | |
Secured by 1-4 Family Residential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 366 | [2] |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 887 | |
Nonaccrual | 0 | [1] |
Current | 37,319 | |
Acquired Loans | 38,206 | |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 36 | |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Secured by Nonfarm, Nonresidential Properties [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 851 | [2] |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 53 | |
Nonaccrual | 0 | [1] |
Current | 3,893 | |
Acquired Loans | 3,946 | |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 1 | |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Other Real Estate Secured [Member] | Loans Secured by Real Estate [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 52 | [2] |
Commercial and Industrial Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Nonaccrual | 0 | [1] |
Current | 5,035 | |
Acquired Loans | 5,035 | |
Commercial and Industrial Loans [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Commercial and Industrial Loans [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Commercial and Industrial Loans [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | [2] |
Consumer Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 31 | |
Nonaccrual | 0 | [1] |
Current | 489 | |
Acquired Loans | 520 | |
Consumer Loans [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 16 | |
Consumer Loans [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 15 | |
Consumer Loans [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | [2] |
Other Loans [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Nonaccrual | 0 | [1] |
Current | 2,598 | |
Acquired Loans | 2,598 | |
Other Loans [Member] | Past Due 30 to 59 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Other Loans [Member] | Past Due 60 to 89 Days [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | 0 | |
Other Loans [Member] | Past Due 90 Days or More [Member] | ||
Acquired Loans, Aging [Abstract] | ||
Acquired Loans, Past Due | $ 0 | [2] |
[1] | Acquired loans not accounted for under FASB ASC Subtopic 310-30. | |
[2] | Past due 90 days or more but still accruing interest. |
Mortgage Banking - Schedule of
Mortgage Banking - Schedule of Activity in the Mortgage Servicing Rights (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Mortgage servicing rights [Abstract] | ||
Balance at beginning of period | $ 79,394 | $ 95,596 |
Origination of servicing assets | 20,728 | 11,431 |
Change in fair value [Abstract] | ||
Due to market changes | (27,098) | (25,126) |
Due to run-off | (11,411) | (8,885) |
Balance at end of period | $ 61,613 | $ 73,016 |
Mortgage Banking - Additional I
Mortgage Banking - Additional Information (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020USD ($)CPR | Sep. 30, 2019USD ($)CPR | |
Schedule of changes in the reserve for mortgage loan [Abstract] | ||
Assumed average prepayment speed | CPR | 16 | 13 |
Average discount rate (in hundredths) | 9.59% | 10.04% |
Mortgage servicing rights [Abstract] | ||
Residential mortgage loans sold | $ 1,808,000 | $ 925,800 |
Gains on sales of residential mortgage loans | $ 82,900 | 22,300 |
Period of putback response | 60 days | |
Reserve for mortgage loan servicing putback expenses | $ 500 | $ 577 |
Mortgage Banking - Schedule o_2
Mortgage Banking - Schedule of Mortgage Loans Sold and Serviced for Others (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Mortgage Loans On Real Estate [Line Items] | ||
Total mortgage loans sold and serviced for others | $ 7,501,433 | $ 7,157,234 |
Federal National Mortgage Association [Member] | ||
Mortgage Loans On Real Estate [Line Items] | ||
Total mortgage loans sold and serviced for others | 4,547,696 | 4,411,914 |
Government National Mortgage Association [Member] | ||
Mortgage Loans On Real Estate [Line Items] | ||
Total mortgage loans sold and serviced for others | 2,879,122 | 2,652,782 |
Federal Home Loan Mortgage Corporation [Member] | ||
Mortgage Loans On Real Estate [Line Items] | ||
Total mortgage loans sold and serviced for others | 57,684 | 73,134 |
Other [Member] | ||
Mortgage Loans On Real Estate [Line Items] | ||
Total mortgage loans sold and serviced for others | $ 16,931 | $ 19,404 |
Other Real Estate - Changes and
Other Real Estate - Changes and Gains (Losses), Net on Other Real Estate (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Reconciliation Of Carrying Amount Of Real Estate Investments Roll Forward | ||
Balance at beginning of period | $ 29,248 | $ 34,668 |
Additions | 496 | 5,684 |
Disposals | (11,823) | (6,574) |
Write-downs | (1,673) | (1,804) |
Balance at end of period | 16,248 | 31,974 |
Gains (losses), net on the sale of other real estate included in other real estate expense | $ (388) | $ 124 |
Other Real Estate - Other Real
Other Real Estate - Other Real Estate, By Type of Property (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Other real estate, excluding covered other real estate [Line Items] | ||||
Total other real estate | $ 16,248 | $ 29,248 | $ 31,974 | $ 34,668 |
Construction, Land Development And Other Land Properties [Member] | ||||
Other real estate, excluding covered other real estate [Line Items] | ||||
Total other real estate | 7,697 | 11,482 | ||
1 - 4 Family Residential Properties [Member] | ||||
Other real estate, excluding covered other real estate [Line Items] | ||||
Total other real estate | 1,351 | 3,453 | ||
Nonfarm, Nonresidential Properties [Member] | ||||
Other real estate, excluding covered other real estate [Line Items] | ||||
Total other real estate | $ 7,200 | $ 14,313 |
Other Real Estate - Other Rea_2
Other Real Estate - Other Real Estate, By Geographic Location (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Other real estate, excluding covered other real estate [Line Items] | |||||
Total other real estate | $ 16,248 | $ 29,248 | $ 31,974 | $ 34,668 | |
Alabama [Member] | |||||
Other real estate, excluding covered other real estate [Line Items] | |||||
Total other real estate | 3,725 | 8,133 | |||
Florida [Member] | |||||
Other real estate, excluding covered other real estate [Line Items] | |||||
Total other real estate | 3,665 | 5,877 | |||
Mississippi [Member] | |||||
Other real estate, excluding covered other real estate [Line Items] | |||||
Total other real estate | [1] | 8,718 | 14,919 | ||
Tennessee [Member] | |||||
Other real estate, excluding covered other real estate [Line Items] | |||||
Total other real estate | [2] | $ 140 | $ 319 | ||
[1] | Mississippi includes Central and Southern Mississippi Regions. | ||||
[2] | Tennessee includes Memphis, Tennessee and Northern Mississippi Regions. |
Other Real Estate - Additional
Other Real Estate - Additional information (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Reconciliation Of Carrying Amount Of Real Estate Investments Roll Forward | ||
Foreclosed residential real estate properties recorded as a result of obtaining physical possession of property | $ 1,400 | $ 3,500 |
Consumer mortgage loans and that formal foreclosure proceedings are in process | $ 245 | $ 953 |
Leases - Components of Net Leas
Leases - Components of Net Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Finance leases | ||||
Amortization of right-of-use assets | $ 449 | $ 520 | $ 1,427 | $ 1,665 |
Interest on lease liabilities | 62 | 75 | 194 | 236 |
Operating lease cost | 1,306 | 1,303 | 3,885 | 3,892 |
Short-term lease cost | 104 | 85 | 324 | 288 |
Variable lease cost | 304 | 349 | 983 | 1,039 |
Sublease income | (84) | (81) | (246) | (250) |
Net lease cost | $ 2,141 | $ 2,251 | $ 6,567 | $ 6,870 |
Leases - Cash Payments Included
Leases - Cash Payments Included in Measurement of Lease Liabilities (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Finance leases | ||
Operating cash flows included in operating activities | $ 194 | $ 779 |
Financing cash flows included in payments under finance lease obligations | 1,319 | 1,509 |
Operating leases | ||
Operating cash flows (fixed payments) included in other operating activities, net | 3,739 | 3,759 |
Operating cash flows (liability reduction) included in other operating activities, net | $ 2,896 | $ 2,850 |
Leases - Balance Sheet Informat
Leases - Balance Sheet Information and Weighted-Average Lease Terms and Discount Rates Related to Leases (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Finance lease right-of-use assets, net of accumulated depreciation | $ 7,900 | $ 9,326 |
Finance lease liabilities | 8,201 | 9,520 |
Operating lease right-of-use assets | 30,508 | 31,182 |
Operating lease liabilities | $ 31,838 | $ 32,354 |
Weighted-average lease term | ||
Finance leases | 8 years 6 months 21 days | 8 years 7 months 13 days |
Operating leases | 8 years 8 months 19 days | 9 years 18 days |
Weighted-average discount rate | ||
Finance leases | 3.07% | 3.01% |
Operating leases | 3.40% | 3.51% |
Leases - Future Minimum Rental
Leases - Future Minimum Rental Commitments Under Finance and Operating Leases (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
2020 (excluding the nine months ended September 30, 2020) | $ 456 | |
Finance leases, 2021 | 1,615 | |
Finance leases, 2022 | 1,556 | |
Finance leases, 2023 | 871 | |
Finance leases, 2024 | 572 | |
Thereafter | 4,452 | |
Finance leases, total minimum lease payments | 9,522 | |
Finance leases, imputed interest | (1,321) | |
Finance lease liabilities | 8,201 | $ 9,520 |
2020 (excluding the nine months ended September 30, 2020) | 1,250 | |
Operating leases, 2021 | 4,872 | |
Operating leases, 2022 | 4,378 | |
Operating leases, 2023 | 4,265 | |
Operating leases, 2024 | 4,371 | |
Thereafter | 17,982 | |
Operating leases, total minimum lease payments | 37,118 | |
Operating leases, imputed interest | (5,280) | |
Operating lease liabilities | $ 31,838 | $ 32,354 |
Deposits - Deposits Summary (De
Deposits - Deposits Summary (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Noninterest-bearing demand | $ 3,964,023 | $ 2,891,215 |
Interest-bearing demand | 3,486,959 | 3,125,914 |
Savings | 4,298,004 | 3,590,509 |
Time | 1,473,427 | 1,637,919 |
Total deposits | $ 13,222,413 | $ 11,245,557 |
Securities Sold Under Repurch_3
Securities Sold Under Repurchase Agreement - Additional Information (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
Securities sold under repurchase agreements, secured by securities carrying amount | $ 141.4 | $ 105.6 |
Securities Sold Under Repurch_4
Securities Sold Under Repurchase Agreements - Schedule of Securities Sold Under Repurchase Agreements (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Securities sold under repurchase agreements by collateral pledged | ||
Total securities sold under repurchase agreements | $ 132,823 | $ 53,572 |
Residential Mortgage Pass-Through Securities Issued by FNMA and FHLMC [Member] | ||
Securities sold under repurchase agreements by collateral pledged | ||
Total securities sold under repurchase agreements | 70,185 | |
Other Residential Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member] | ||
Securities sold under repurchase agreements by collateral pledged | ||
Total securities sold under repurchase agreements | 48,418 | 24,282 |
Commercial Mortgage-Backed Securities Issued or Guaranteed by FNMA, FHLMC or GNMA [Member] | ||
Securities sold under repurchase agreements by collateral pledged | ||
Total securities sold under repurchase agreements | $ 14,220 | $ 29,290 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | ||||
Other real estate sales, net gains (losses) | $ (133) | $ (122) | $ (388) | $ 124 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Summary of Noninterest Income Disaggregated by Reportable Operating Segment and Revenue Stream (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Revenue From Contract With Customer [Line Items] | |||||
Service charges on deposit accounts | $ 7,577 | $ 11,065 | $ 24,006 | $ 31,709 | |
Bank card and other fees | 8,843 | 8,349 | 21,915 | 23,544 | |
Mortgage banking, net | 36,439 | 8,171 | 97,667 | 21,908 | |
Insurance commissions | 11,562 | 11,072 | 34,980 | 33,032 | |
Wealth management | 7,679 | 7,691 | 23,787 | 22,916 | |
Other, net | 1,601 | 1,989 | 6,121 | 6,358 | |
Total Noninterest Income | 73,701 | 48,337 | 208,476 | 139,467 | |
Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Service charges on deposit accounts | 7,577 | 11,065 | 24,006 | 31,709 | |
Bank card and other fees | 7,026 | 6,966 | 20,315 | 21,036 | |
Insurance commissions | 11,562 | 11,072 | 34,980 | 33,032 | |
Wealth management | 7,679 | 7,691 | 23,787 | 22,916 | |
Other, net | 1,546 | 1,819 | 4,778 | 6,663 | |
Total Noninterest Income | 35,390 | 38,613 | 107,866 | 115,356 | |
Not Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Bank card and other fees | [1] | 1,817 | 1,383 | 1,600 | 2,508 |
Mortgage banking, net | [1] | 36,439 | 8,171 | 97,667 | 21,908 |
Other, net | [1] | 55 | 170 | 1,343 | (305) |
Total Noninterest Income | [1] | 38,311 | 9,724 | 100,610 | 24,111 |
General Banking Segment [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Service charges on deposit accounts | 7,557 | 11,041 | 23,949 | 31,638 | |
Bank card and other fees | 8,836 | 8,342 | 21,894 | 23,494 | |
Mortgage banking, net | 36,439 | 8,171 | 97,667 | 21,908 | |
Wealth management | 54 | 92 | 219 | 280 | |
Other, net | 1,536 | 1,930 | 5,920 | 5,977 | |
Total Noninterest Income | 54,422 | 29,576 | 149,649 | 83,297 | |
General Banking Segment [Member] | Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Service charges on deposit accounts | 7,557 | 11,041 | 23,949 | 31,638 | |
Bank card and other fees | 7,019 | 6,959 | 20,294 | 20,986 | |
Wealth management | 54 | 92 | 219 | 280 | |
Other, net | 1,496 | 1,792 | 4,614 | 6,369 | |
Total Noninterest Income | 16,126 | 19,884 | 49,076 | 59,273 | |
General Banking Segment [Member] | Not Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Bank card and other fees | [1] | 1,817 | 1,383 | 1,600 | 2,508 |
Mortgage banking, net | [1] | 36,439 | 8,171 | 97,667 | 21,908 |
Other, net | [1] | 40 | 138 | 1,306 | (392) |
Total Noninterest Income | [1] | 38,296 | 9,692 | 100,573 | 24,024 |
Wealth Management Segment [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Service charges on deposit accounts | 20 | 24 | 57 | 71 | |
Bank card and other fees | 7 | 7 | 21 | 50 | |
Wealth management | 7,625 | 7,599 | 23,568 | 22,636 | |
Other, net | 42 | 54 | 114 | 370 | |
Total Noninterest Income | 7,694 | 7,684 | 23,760 | 23,127 | |
Wealth Management Segment [Member] | Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Service charges on deposit accounts | 20 | 24 | 57 | 71 | |
Bank card and other fees | 7 | 7 | 21 | 50 | |
Wealth management | 7,625 | 7,599 | 23,568 | 22,636 | |
Other, net | 27 | 22 | 77 | 283 | |
Total Noninterest Income | 7,679 | 7,652 | 23,723 | 23,040 | |
Wealth Management Segment [Member] | Not Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Other, net | [1] | 15 | 32 | 37 | 87 |
Total Noninterest Income | [1] | 15 | 32 | 37 | 87 |
Insurance Segment [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Insurance commissions | 11,562 | 11,072 | 34,980 | 33,032 | |
Other, net | 23 | 5 | 87 | 11 | |
Total Noninterest Income | 11,585 | 11,077 | 35,067 | 33,043 | |
Insurance Segment [Member] | Topic 606 [Member] | |||||
Revenue From Contract With Customer [Line Items] | |||||
Insurance commissions | 11,562 | 11,072 | 34,980 | 33,032 | |
Other, net | 23 | 5 | 87 | 11 | |
Total Noninterest Income | $ 11,585 | $ 11,077 | $ 35,067 | $ 33,043 | |
[1] | Noninterest income not in scope for FASB ASC Topic 606 includes customer derivatives revenue and miscellaneous credit card fee income within bank card and other fees; mortgage banking, net; amortization of tax credits, accretion of the FDIC indemnification asset, cash surrender value on various life insurance policies, earnings on Trustmark’s non-qualified deferred compensation plans, other partnership investments and rental income within other, net; and security |
Defined Benefit and Other Pos_3
Defined Benefit and Other Postretirement Benefits - Net Periodic Benefit Cost for Plan and Continuing plan (Details) - Trustmark Capital Accumulation Plan [Member] - Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Net periodic benefit cost [Abstract] | ||||
Service cost | $ 64 | $ 53 | $ 191 | $ 159 |
Interest cost | 60 | 90 | 181 | 270 |
Expected return on plan assets | (39) | (51) | (116) | (152) |
Recognized net loss due to lump sum settlements | 40 | 47 | 80 | 141 |
Recognized net actuarial loss | 82 | 92 | 245 | 278 |
Net periodic benefit cost | $ 207 | $ 231 | $ 581 | $ 696 |
Defined Benefit and Other Pos_4
Defined Benefit and Other Postretirement Benefits - Additional Information (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
The Continuing Plan [Member] | Scenario Forecast [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Trustmark's minimum required contribution to the Trustmark Corporation Pension Plan for Certain Employees of Acquired Financial Institutions | $ 306 |
Defined Benefit and Other Pos_5
Defined Benefit and Other Postretirement Benefits - Net Periodic Benefit Cost (Details) - Supplemental Retirement Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Net periodic benefit cost [Abstract] | ||||
Service cost | $ 19 | $ 27 | $ 58 | $ 82 |
Interest cost | 388 | 502 | 1,189 | 1,544 |
Amortization of prior service cost | 37 | 62 | 112 | 187 |
Recognized net actuarial loss | 237 | 155 | 719 | 471 |
Net periodic benefit cost | $ 681 | $ 746 | $ 2,078 | $ 2,284 |
Stock and Incentive Compensat_3
Stock and Incentive Compensation - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2020 | |
Performance Based Award [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Vesting period | 3 years |
Restricted Stock Units (RSUs) [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Return on average tangible equity, performance measure | 100.00% |
Total shareholder return, performance measure | 100.00% |
Time-Vested Awards [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Vesting period | 3 years |
Stock and Incentive Compensat_4
Stock and Incentive Compensation - Summary of Stock Plan Activity (Details) - Stock and Incentive Compensation Plan [Member] - shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2020 | Sep. 30, 2020 | |
Performance Based Awards and Units [Member] | ||
Shares [Roll Forward] | ||
Nonvested shares, beginning of period (in shares) | 146,508 | 149,914 |
Granted (in shares) | 53,450 | |
Released from restriction (in shares) | (36,357) | |
Forfeited (in shares) | (1,640) | (22,139) |
Nonvested shares, end of period (in shares) | 144,868 | 144,868 |
Time-Vested Awards and Units [Member] | ||
Shares [Roll Forward] | ||
Nonvested shares, beginning of period (in shares) | 304,693 | 300,006 |
Granted (in shares) | 1,500 | 123,060 |
Released from restriction (in shares) | (2,031) | (109,537) |
Forfeited (in shares) | (1,967) | (11,334) |
Nonvested shares, end of period (in shares) | 302,195 | 302,195 |
Stock and Incentive Compensat_5
Stock and Incentive Compensation - Compensation Expense for Awards and Units Under Stock Plan (Details) - Stock and Incentive Compensation Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Compensation expense [Abstract] | ||||
Recognized compensation expense | $ 1,239 | $ 1,272 | $ 3,907 | $ 3,553 |
Performance Awards and Units [Member] | ||||
Compensation expense [Abstract] | ||||
Recognized compensation expense | 417 | 481 | 360 | 1,043 |
Time-Vested Awards and Units [Member] | ||||
Compensation expense [Abstract] | ||||
Recognized compensation expense | $ 822 | $ 791 | $ 3,547 | $ 2,510 |
Contingencies - Additional Info
Contingencies - Additional Information (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Loss Contingencies [Line Items] | ||
Unused commitments to extend credit | $ 4,647 | $ 4,205 |
Standby Letters of Credit [Member] | ||
Loss Contingencies [Line Items] | ||
Potential exposure to credit loss in the event of nonperformance | $ 109.3 | 103.1 |
Letters of credit, maturity term - maximum | 3 years | |
Collateral held, fair value | $ 22.5 | $ 28.7 |
Contingencies - Summary of Chan
Contingencies - Summary of Changes in ACL on Off-balance Sheet Credit Exposures (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2020 | |||
Commitments And Contingencies Disclosure [Abstract] | ||||
Balance at beginning of period | $ 42,663 | $ 0 | [1] | |
FASB ASU 2016-13 adoption adjustment | 0 | 29,638 | ||
Credit loss expense related to off-balance sheet credit exposures | [1] | (3,004) | 10,021 | |
Balance at end of period | [1] | $ 39,659 | $ 39,659 | |
[1] | Effective January 1, 2020, Trustmark adopted FASB ASU 2016-13 using the modified retrospective approach. Therefore, prior period balances are presented under legacy GAAP and may not be comparable to current period presentation. |
Earnings Per Share (EPS) - Weig
Earnings Per Share (EPS) - Weighted-Average Shares Used to Calculate Basic and Diluted EPS (Details) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Earnings Per Share [Abstract] | ||||
Basic shares | 63,423 | 64,359 | 63,531 | 64,755 |
Dilutive shares | 159 | 156 | 134 | 135 |
Diluted shares | 63,582 | 64,515 | 63,665 | 64,890 |
Earnings Per Share (EPS) - We_2
Earnings Per Share (EPS) - Weighted-Average Antidilutive Stock Awards Excluded from Determining Diluted EPS (Details) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Earnings Per Share [Abstract] | ||||
Weighted-average antidilutive stock awards (in shares) | 60 | 0 | 61 | 85 |
Statements of Cash Flows (Detai
Statements of Cash Flows (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of cash flows specific transaction amounts [Abstract] | ||
Income taxes paid | $ 36,211 | $ 17,277 |
Interest expense paid on deposits and borrowings | 35,246 | 64,881 |
Noncash transfers from loans to other real estate | 496 | 5,684 |
Finance right-of-use assets resulting from lease liabilities | 9,823 | |
Operating right-of-use assets resulting from lease liabilities | 2,368 | $ 33,180 |
Transfer of long-term FHLB advances to short-term | $ 651 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | 37 Months Ended | ||||||
Mar. 31, 2020 | Mar. 31, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Sep. 30, 2020 | Apr. 01, 2020 | Dec. 31, 2019 | Apr. 01, 2019 | Mar. 11, 2016 | |
Stockholders Equity [Line items] | |||||||||
Capital conservation buffer rate | 2.50% | 2.50% | |||||||
Stock Repurchase Program 1 [Member] | Common Stock [Member] | |||||||||
Stockholders Equity [Line items] | |||||||||
Amount of stock authorized for repurchase | $ 100 | ||||||||
Repurchase shares of common stock | 1,200,000 | 3,200,000 | |||||||
Repurchase shares of common stock, value | $ 36.9 | $ 100 | |||||||
Stock Repurchase Program 2 [Member] | Common Stock [Member] | |||||||||
Stockholders Equity [Line items] | |||||||||
Amount of stock authorized for repurchase | $ 100 | ||||||||
Repurchase shares of common stock | 887,000 | 1,500,000 | |||||||
Repurchase shares of common stock, value | $ 27.5 | $ 47.2 | |||||||
Stock Repurchase Program 3 [Member] | Common Stock [Member] | |||||||||
Stockholders Equity [Line items] | |||||||||
Amount of stock authorized for repurchase | $ 100 |
Shareholders' Equity - Table of
Shareholders' Equity - Table of Actual Regulatory Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | |
Trustmark Corporation [Member] | Common Equity Tier 1 Capital (to Risk Weighted Assets) [Member] | |||
Common Equity Tier One Risk Based Capital [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,358,889 | $ 1,312,668 | |
Actual Regulatory Capital Ratio | 11.36% | 11.93% | |
Minimum Regulatory Capital Required Ratio | 7.00% | 7.00% | |
Minimum Regulatory Provision to be Well-Capitalized Ratio | [1] | ||
Trustmark Corporation [Member] | Tier 1 Capital (to Risk Weighted Assets) [Member] | |||
Tier 1 Capital (to Risk Weighted Assets) [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,418,889 | $ 1,372,668 | |
Actual Regulatory Capital Ratio | 11.86 | 12.48 | |
Minimum Regulatory Capital Required Ratio | 8.50 | 8.50 | |
Trustmark Corporation [Member] | Total Capital (to Risk Weighted Assets) [Member] | |||
Total Capital (to Risk Weighted Assets) [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,541,261 | $ 1,457,760 | |
Actual Regulatory Capital Ratio | 12.88 | 13.25 | |
Minimum Regulatory Capital Required Ratio | 10.50 | 10.50 | |
Trustmark Corporation [Member] | Tier 1 Leverage (to Average Assets) [Member] | |||
Tier 1 Leverage (to Average Assets) [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,418,889 | $ 1,372,668 | |
Actual Regulatory Capital Ratio | 9.20 | 10.48 | |
Minimum Regulatory Capital Required Ratio | 4 | 4 | |
Trustmark National Bank [Member] | Common Equity Tier 1 Capital (to Risk Weighted Assets) [Member] | |||
Common Equity Tier One Risk Based Capital [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,384,436 | $ 1,352,893 | |
Actual Regulatory Capital Ratio | 11.57% | 12.30% | |
Minimum Regulatory Capital Required Ratio | 7.00% | 7.00% | |
Minimum Regulatory Provision to be Well-Capitalized Ratio | 6.50% | 6.50% | |
Trustmark National Bank [Member] | Tier 1 Capital (to Risk Weighted Assets) [Member] | |||
Tier 1 Capital (to Risk Weighted Assets) [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,384,436 | $ 1,352,893 | |
Actual Regulatory Capital Ratio | 11.57 | 12.30 | |
Minimum Regulatory Capital Required Ratio | 8.50 | 8.50 | |
Minimum Regulatory Provision to be Well-Capitalized Ratio | 8 | 8 | |
Trustmark National Bank [Member] | Total Capital (to Risk Weighted Assets) [Member] | |||
Total Capital (to Risk Weighted Assets) [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,506,808 | $ 1,437,985 | |
Actual Regulatory Capital Ratio | 12.60 | 13.07 | |
Minimum Regulatory Capital Required Ratio | 10.50 | 10.50 | |
Minimum Regulatory Provision to be Well-Capitalized Ratio | 10 | 10 | |
Trustmark National Bank [Member] | Tier 1 Leverage (to Average Assets) [Member] | |||
Tier 1 Leverage (to Average Assets) [Abstract] | |||
Actual Regulatory Capital Amount | $ 1,384,436 | $ 1,352,893 | |
Actual Regulatory Capital Ratio | 9 | 10.35 | |
Minimum Regulatory Capital Required Ratio | 4 | 4 | |
Minimum Regulatory Provision to be Well-Capitalized Ratio | 5 | 5 | |
[1] | n/a |
Shareholders' Equity - Net Chan
Shareholders' Equity - Net Change in Components of Accumulated Other Comprehensive Income (Loss) and the Related Tax Effects (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss), before tax amount | $ (6,507) | $ 5,277 | $ 39,047 | $ 46,428 |
Other comprehensive income (loss), tax (expense) benefit | 1,626 | (1,319) | (9,763) | (11,607) |
Other comprehensive income (loss), before reclassifications, net of tax amount | 28,417 | 34,323 | ||
Reclassification from accumulated other comprehensive income, current period, net of tax amount | 867 | 498 | ||
Other comprehensive income (loss), net of tax amount | (4,881) | 3,958 | 29,284 | 34,821 |
Securities Available for Sale and Transferred Securities [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss), before reclassifications, before tax amount | (7,707) | 4,154 | 35,448 | 43,057 |
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, before tax amount | 804 | 849 | 2,443 | 2,852 |
Other comprehensive income (loss), before tax amount | (6,903) | 5,003 | 37,891 | 45,909 |
Other comprehensive income (loss), before reclassifications, tax (expense) benefit | 1,926 | (1,038) | (8,863) | (10,764) |
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, tax (expense) benefit | (201) | (212) | (611) | (713) |
Other comprehensive income (loss), tax (expense) benefit | 1,725 | (1,250) | (9,474) | (11,477) |
Other comprehensive income (loss), before reclassifications, net of tax amount | (5,781) | 3,116 | 26,585 | 32,293 |
Other comprehensive income (loss), change in net unrealized holding loss on securities transferred to held to maturity, net of tax amount | 603 | 637 | 1,832 | 2,139 |
Other comprehensive income (loss), net of tax amount | (5,178) | 3,753 | 28,417 | 34,432 |
Net Change in Prior Service Costs [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, current period, before tax amount | 37 | 62 | 112 | 187 |
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit | (9) | (16) | (28) | (47) |
Reclassification from accumulated other comprehensive income, current period, net of tax amount | 28 | 46 | 84 | 140 |
Recognized Net Loss Due to Lump Sum Settlements [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, current period, before tax amount | 40 | 47 | 80 | 141 |
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit | (10) | (13) | (20) | (36) |
Reclassification from accumulated other comprehensive income, current period, net of tax amount | 30 | 34 | 60 | 105 |
Change in Net Actuarial Loss [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, current period, before tax amount | 319 | 247 | 964 | 749 |
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit | (80) | (61) | (241) | (187) |
Reclassification from accumulated other comprehensive income, current period, net of tax amount | 239 | 186 | 723 | 562 |
Pension and Other Postretirement Benefit Plans [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from accumulated other comprehensive income, current period, before tax amount | 396 | 356 | 1,156 | 1,077 |
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit | (99) | (90) | (289) | (270) |
Reclassification from accumulated other comprehensive income, current period, net of tax amount | 297 | 266 | 867 | 807 |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other comprehensive income (loss), before reclassifications, before tax amount | 0 | 19 | 0 | (145) |
Reclassification from accumulated other comprehensive income, current period, before tax amount | 0 | (101) | 0 | (413) |
Other comprehensive income (loss), before tax amount | 0 | (82) | 0 | (558) |
Other comprehensive income (loss), before reclassifications, tax (expense) benefit | 0 | (5) | 0 | 36 |
Reclassification from accumulated other comprehensive income, current period, tax (expense) benefit | 0 | 26 | 0 | 104 |
Other comprehensive income (loss), tax (expense) benefit | 0 | 21 | 0 | 140 |
Other comprehensive income (loss), before reclassifications, net of tax amount | 0 | 14 | 0 | (109) |
Reclassification from accumulated other comprehensive income, current period, net of tax amount | 0 | (75) | 0 | (309) |
Other comprehensive income (loss), net of tax amount | $ 0 | $ (61) | $ 0 | $ (418) |
Shareholders' Equity - Changes
Shareholders' Equity - Changes in Balances of Component of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | $ 1,673,944 | $ 1,618,550 | $ 1,660,702 | $ 1,591,453 |
Other comprehensive income (loss), before reclassifications, net of tax amount | 28,417 | 34,323 | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 867 | 498 | ||
Other comprehensive income (loss), net of tax amount | (4,881) | 3,958 | 29,284 | 34,821 |
Balance | 1,710,041 | 1,645,362 | 1,710,041 | 1,645,362 |
Securities Available for Sale and Transferred Securities [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | (8,017) | (43,824) | ||
Other comprehensive income (loss), before reclassifications, net of tax amount | 28,417 | 34,432 | ||
Other comprehensive income (loss), net of tax amount | 28,417 | 34,432 | ||
Balance | 20,400 | (9,392) | 20,400 | (9,392) |
Defined Benefit Pension Items [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | (15,583) | (12,324) | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 867 | 807 | ||
Other comprehensive income (loss), net of tax amount | 867 | 807 | ||
Balance | (14,716) | (11,517) | (14,716) | (11,517) |
Cash Flow Hedge Derivatives [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | 469 | |||
Other comprehensive income (loss), before reclassifications, net of tax amount | (109) | |||
Amounts reclassified from accumulated other comprehensive income (loss) | (309) | |||
Other comprehensive income (loss), net of tax amount | (418) | |||
Balance | 51 | 51 | ||
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | 10,565 | (24,816) | (23,600) | (55,679) |
Balance | $ 5,684 | $ (20,858) | $ 5,684 | $ (20,858) |
Fair Value - Financial Assets a
Fair Value - Financial Assets and Liabilities Measured at Fair Value Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | $ 1,922,728 | $ 1,602,404 | ||
Loans held for sale | 485,103 | 226,347 | ||
Mortgage servicing rights | 61,613 | 79,394 | $ 73,016 | $ 95,596 |
U.S. Government Agency Obligations [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 19,011 | 22,327 | ||
Obligations of States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 8,315 | 25,465 | ||
Recurring Basis [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 1,922,728 | 1,602,404 | ||
Loans held for sale | 485,103 | 226,347 | ||
Mortgage servicing rights | 61,613 | 79,394 | ||
Other assets - derivatives | 54,960 | 17,956 | ||
Other liabilities - derivatives | 3,353 | 6,063 | ||
Recurring Basis [Member] | U.S. Government Agency Obligations [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 19,011 | 22,327 | ||
Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 8,315 | 25,465 | ||
Recurring Basis [Member] | Mortgage-Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 1,895,402 | 1,554,612 | ||
Level 1 [Member] | Recurring Basis [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Loans held for sale | 0 | 0 | ||
Mortgage servicing rights | 0 | 0 | ||
Other assets - derivatives | 644 | 244 | ||
Other liabilities - derivatives | 512 | 4,414 | ||
Level 1 [Member] | Recurring Basis [Member] | U.S. Government Agency Obligations [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Level 1 [Member] | Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Level 1 [Member] | Recurring Basis [Member] | Mortgage-Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Level 2 [Member] | Recurring Basis [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 1,922,728 | 1,602,404 | ||
Loans held for sale | 485,103 | 226,347 | ||
Mortgage servicing rights | 0 | 0 | ||
Other assets - derivatives | 42,103 | 16,273 | ||
Other liabilities - derivatives | 2,841 | 1,649 | ||
Level 2 [Member] | Recurring Basis [Member] | U.S. Government Agency Obligations [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 19,011 | 22,327 | ||
Level 2 [Member] | Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 8,315 | 25,465 | ||
Level 2 [Member] | Recurring Basis [Member] | Mortgage-Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 1,895,402 | 1,554,612 | ||
Level 3 [Member] | Recurring Basis [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Loans held for sale | 0 | 0 | ||
Mortgage servicing rights | 61,613 | 79,394 | ||
Other assets - derivatives | 12,213 | 1,439 | ||
Other liabilities - derivatives | 0 | 0 | ||
Level 3 [Member] | Recurring Basis [Member] | U.S. Government Agency Obligations [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Level 3 [Member] | Recurring Basis [Member] | Obligations of States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | 0 | 0 | ||
Level 3 [Member] | Recurring Basis [Member] | Mortgage-Backed Securities [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Securities available for sale | $ 0 | $ 0 |
Fair Value - Changes in Level 3
Fair Value - Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) - Recurring Basis [Member] - Level 3 [Member] - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
MSR [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance | $ 79,394 | $ 95,596 | |
Total net (loss) gain included in Mortgage banking, net | [1] | (38,509) | (34,011) |
Additions | 20,728 | 11,431 | |
Sales | 0 | 0 | |
Ending Balance | 61,613 | 73,016 | |
The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held, end of period | (27,098) | (25,126) | |
Other Assets - Derivatives [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Beginning Balance | 1,439 | 1,187 | |
Total net (loss) gain included in Mortgage banking, net | [1] | 32,833 | 5,741 |
Additions | 0 | 0 | |
Sales | (22,059) | (4,712) | |
Ending Balance | 12,213 | 2,216 | |
The amount of total gains (losses) for the period included in earnings that are attributable to the change in unrealized gains or losses still held, end of period | $ 19,930 | $ 924 | |
[1] | Total net (loss) gain included in Mortgage banking, net relating to the MSR includes changes in fair value due to market changes and due to run-off. |
Fair Value - Additional Informa
Fair Value - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |||||
Outstanding balances in collateral dependent related to allowance for credit losses | $ 41,200 | $ 41,200 | |||
Collateral dependent related to allowance for credit losses | 4,600 | 4,600 | |||
Outstanding balances in impaired loans | $ 41,200 | ||||
Impaired loans, related allowance | 5,500 | ||||
Foreclosed assets remeasured after initial recognition | 7,600 | $ 12,000 | |||
Write-downs of allowance for foreclosed assets after initial recognition | 1,600 | 1,400 | |||
Noninterest gain (loss) Mortgage banking, net for changes in fair value of LHFS | 4,100 | $ (544) | 11,300 | 2,300 | |
Interest earned on LHFS included in Interest and fees on LHFS and LHFI | 2,000 | $ 1,700 | 4,800 | $ 4,100 | |
GNMA optional repurchase loans | $ 147,400 | $ 147,400 | $ 57,100 |
Fair Value - Carrying Amounts a
Fair Value - Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities held to maturity | $ 611,280 | $ 738,099 | |
Acquired loans | 71,786 | ||
Deposits | 13,222,413 | 11,245,557 | |
Federal funds purchased and securities sold under repurchase agreements | 153,834 | 256,020 | |
Other borrowings | 178,599 | 85,396 | |
Junior subordinated debt securities | 61,856 | 61,856 | |
Level 2 [Member] | Carrying Value [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and short-term investments | 564,638 | 358,916 | |
Securities held to maturity | 611,280 | 738,099 | |
Deposits | 13,222,413 | 11,245,557 | |
Federal funds purchased and securities sold under repurchase agreements | 153,834 | 256,020 | |
Other borrowings | 178,599 | 85,396 | |
Junior subordinated debt securities | 61,856 | 61,856 | |
Level 2 [Member] | Estimate Fair Value [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and short-term investments | 564,638 | 358,916 | |
Securities held to maturity | 639,665 | 746,202 | |
Deposits | 13,227,707 | 11,250,071 | |
Federal funds purchased and securities sold under repurchase agreements | 153,834 | 256,020 | |
Other borrowings | 178,600 | 85,374 | |
Junior subordinated debt securities | 45,773 | 50,722 | |
Level 3 [Member] | Carrying Value [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Net LHFI and PPP loans | 10,669,988 | 9,251,351 | |
Acquired loans | [1] | 0 | 71,786 |
Level 3 [Member] | Estimate Fair Value [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Net LHFI and PPP loans | 10,680,458 | 9,235,674 | |
Acquired loans | [1] | $ 0 | $ 71,786 |
[1] | Upon adoption of FASB ASC Topic 326 at January 1, 2020, Trustmark elected to account for its existing acquired loans as purchased credit deteriorated loans included within the LHFI portfolio. See Note 4 – Acquired Loans for additional details. |
Fair Value - Fair Value and the
Fair Value - Fair Value and the Contractual Principal Outstanding of the LHFS (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Fair value and the contractual principal outstanding of the LHFS [Abstract] | ||
Fair value of LHFS | $ 337,752 | $ 169,285 |
LHFS contractual principal outstanding | 321,690 | 164,420 |
Fair value less unpaid principal | $ 16,062 | $ 4,865 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2020USD ($)Contract | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)Contract | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($)Contract | Apr. 04, 2013USD ($) | |
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Period for which cash flow hedges will be used to hedge quarterly interest payments | 5 years | |||||
Derivative inception date | Dec. 31, 2014 | |||||
Derivative maturity date | Dec. 31, 2019 | |||||
Description of variable rate basis for derivative | three-month LIBOR | |||||
Ineffectiveness related to interest rate swap designated as a cash flow hedge | $ 0 | |||||
Accumulated net, after tax gain included in accumulated other comprehensive (loss) | $ 0 | |||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Junior Subordinated Debentures [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Total notional amount | $ 60,000,000 | |||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Three-month LIBOR [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Swap fixed interest rate to be paid | 1.66% | 1.66% | ||||
Derivatives not Designated as Hedging Instruments [Member] | Beneficiary [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Number of risk participation agreements | Contract | 3 | 3 | 3 | |||
Aggregate notional amount of credit risk participation agreements | $ 41,400,000 | $ 41,400,000 | $ 37,600,000 | |||
Derivatives not Designated as Hedging Instruments [Member] | Guarantor [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Number of risk participation agreements | Contract | 21 | 21 | 21 | |||
Aggregate notional amount of credit risk participation agreements | $ 145,600,000 | $ 145,600,000 | $ 79,300,000 | |||
Derivatives not Designated as Hedging Instruments [Member] | Mortgage Servicing Rights Hedge [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Total notional amount | 331,000,000 | 331,000,000 | 564,000,000 | |||
Net (negative) positive ineffectiveness on MSR fair value | 815,000 | $ (3,700,000) | 8,700,000 | $ (8,500,000) | ||
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Total notional amount | 1,054,000,000 | 1,054,000,000 | 893,100,000 | |||
Termination value of derivatives | 1,500,000 | 1,500,000 | 1,000,000 | |||
Collateral Posted | 1,600,000 | 1,600,000 | ||||
Derivatives not Designated as Hedging Instruments [Member] | Forward Contracts [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Off-balance sheet obligations | 462,000,000 | 462,000,000 | 209,000,000 | |||
Valuation adjustment | (1,100,000) | (486,000) | ||||
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Lock Commitments [Member] | ||||||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||||||
Off-balance sheet obligations | $ 393,400,000 | 393,400,000 | 92,100,000 | |||
Valuation adjustment | $ 12,200,000 | $ 1,400,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Fair Value of Derivative Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative asset | $ 41,992 | $ 16,209 |
Fair value of derivative liability | 1,483 | 1,122 |
Derivatives not Designated as Hedging Instruments [Member] | Future Contracts [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative asset | 539 | |
Derivatives not Designated as Hedging Instruments [Member] | Future Contracts [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liability | 2,654 | |
Derivatives not Designated as Hedging Instruments [Member] | Credit Risk Participation Agreement [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative asset | 111 | 64 |
Derivatives not Designated as Hedging Instruments [Member] | Credit Risk Participation Agreement [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liability | 219 | 41 |
Derivatives not Designated as Hedging Instruments [Member] | Forward Contracts [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liability | 1,139 | 486 |
Derivatives not Designated as Hedging Instruments [Member] | Exchange Traded Purchased Options [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative asset | 105 | 244 |
Derivatives not Designated as Hedging Instruments [Member] | OTC Written Options (Rate Locks) [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative asset | 12,213 | 1,439 |
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member] | Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative asset | 41,992 | 16,209 |
Derivatives not Designated as Hedging Instruments [Member] | Interest Rate Swap [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liability | 1,483 | 1,122 |
Derivatives not Designated as Hedging Instruments [Member] | Exchange Traded Written Options [Member] | Other Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair value of derivative liability | $ 512 | $ 1,760 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Effects of Derivative Instruments on Statements of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivatives in Hedging Relationships [Member] | Accumulated Other Comprehensive Income (Loss) and Other Interest Expense [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Amount of gain (loss) reclassified from accumulated other comprehensive income (loss) and recognized in other interest expense | $ 101 | $ 413 | ||
Derivatives not Designated as Hedging Instruments [Member] | Mortgage Banking, Net [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Amount of gain (loss) recognized in mortgage banking, net | $ 74 | 6,191 | $ 45,955 | 18,988 |
Derivatives not Designated as Hedging Instruments [Member] | Bank Card and Other Fees [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Amount of gain (loss) recognized in bank card and other fees | $ 234 | $ (600) | $ (1,502) | $ (1,343) |
Derivative Financial Instrume_6
Derivative Financial Instruments - Schedule of Amount Included in Other Comprehensive Income (Loss) for Derivative Instruments Designated as Hedges of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivatives, Fair Value [Line Items] | ||||
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax | $ 0 | $ 14 | $ 0 | $ (109) |
Derivatives in Hedging Relationships [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Amount of gain (loss) recognized in other comprehensive income (loss), net of tax | $ 14 | $ (109) |
Derivative Financial Instrume_7
Derivative Financial Instruments - Information about Financial Instruments that are Eligible for Offset in the Consolidated Balance Sheets (Details) - Interest Rate Swap [Member] - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Offsetting Derivative Assets | ||
Gross Amounts of Recognized Assets, Offsetting of Derivative Assets | $ 41,992 | $ 16,209 |
Gross Amounts Offset in the Statement of Financial Position, Offsetting of Derivative Assets | 0 | 0 |
Net Amounts of Assets presented in the Statement of Financial Position, Offsetting of Derivative Assets | 41,992 | 16,209 |
Financial Instruments, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Assets | 0 | |
Cash Collateral Received, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Assets | 0 | 0 |
Net Amount, Offsetting of Derivative Assets | 41,992 | 16,209 |
Offsetting Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities, Offsetting of Derivative Liabilities | 1,483 | 1,122 |
Gross Amounts Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities | 0 | 0 |
Net Amounts of Liabilities presented in the Statement of Financial Position, Offsetting of Derivative Liabilities | 1,483 | 1,122 |
Financial Instruments, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities | 0 | 0 |
Cash Collateral Posted, Gross Amounts Not Offset in the Statement of Financial Position, Offsetting of Derivative Liabilities | (1,483) | (1,390) |
Net Amount, Offsetting of Derivative Liabilities | $ 0 | $ (268) |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 9 Months Ended |
Sep. 30, 2020Segment | |
Segment Reporting [Abstract] | |
Number of segments in which the business operates | 3 |
Segment Information - Schedule
Segment Information - Schedule of Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||||||||
Net interest income | $ 106,207 | $ 108,466 | $ 315,159 | $ 320,998 | |||||
Provision for credit losses | 1,760 | 2,899 | 40,526 | 7,180 | |||||
Noninterest income | 73,701 | 48,337 | 208,476 | 139,467 | |||||
Noninterest expense | 113,959 | 106,853 | 356,428 | 318,975 | |||||
Income Before Income Taxes | 64,189 | 47,051 | 126,681 | 134,310 | |||||
Income taxes | 9,749 | 6,016 | 17,873 | 17,796 | |||||
Net Income | 54,440 | $ 32,150 | $ 22,218 | 41,035 | $ 42,140 | $ 33,339 | 108,808 | 116,514 | |
Selected Financial Information | |||||||||
Total assets | 15,558,162 | 13,584,786 | 15,558,162 | 13,584,786 | $ 13,497,877 | ||||
Depreciation and amortization | 10,344 | 10,462 | 30,000 | 29,585 | |||||
General Banking [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net interest income | 104,738 | 106,806 | 310,517 | 315,708 | |||||
Provision for credit losses | 3,973 | 2,672 | 40,535 | 6,961 | |||||
Noninterest income | 54,422 | 29,576 | 149,649 | 83,297 | |||||
Noninterest expense | 98,384 | 93,103 | 308,189 | 273,211 | |||||
Income Before Income Taxes | 56,803 | 40,607 | 111,442 | 118,833 | |||||
Income taxes | 7,971 | 4,456 | 14,155 | 13,973 | |||||
Net Income | 48,832 | 36,151 | 97,287 | 104,860 | |||||
Selected Financial Information | |||||||||
Total assets | 15,255,359 | 13,221,723 | 15,255,359 | 13,221,723 | |||||
Depreciation and amortization | 10,081 | 10,254 | 29,297 | 28,985 | |||||
Wealth Management [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net interest income | 1,401 | 1,588 | 4,481 | 5,108 | |||||
Provision for credit losses | (2,213) | 227 | (9) | 219 | |||||
Noninterest income | 7,694 | 7,684 | 23,760 | 23,127 | |||||
Noninterest expense | 7,067 | 5,797 | 22,527 | 21,187 | |||||
Income Before Income Taxes | 4,241 | 3,248 | 5,723 | 6,829 | |||||
Income taxes | 1,009 | 812 | 1,380 | 1,703 | |||||
Net Income | 3,232 | 2,436 | 4,343 | 5,126 | |||||
Selected Financial Information | |||||||||
Total assets | 224,773 | 289,977 | 224,773 | 289,977 | |||||
Depreciation and amortization | 69 | 67 | 203 | 204 | |||||
Insurance [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net interest income | 68 | 72 | 161 | 182 | |||||
Noninterest income | 11,585 | 11,077 | 35,067 | 33,043 | |||||
Noninterest expense | 8,508 | 7,953 | 25,712 | 24,577 | |||||
Income Before Income Taxes | 3,145 | 3,196 | 9,516 | 8,648 | |||||
Income taxes | 769 | 748 | 2,338 | 2,120 | |||||
Net Income | 2,376 | 2,448 | 7,178 | 6,528 | |||||
Selected Financial Information | |||||||||
Total assets | 78,030 | 73,086 | 78,030 | 73,086 | |||||
Depreciation and amortization | $ 194 | $ 141 | $ 500 | $ 396 |
Accounting Policies Recently _3
Accounting Policies Recently Adopted and Pending Accounting Pronouncements - Additional Information (Details) - USD ($) $ in Thousands | Jan. 01, 2020 | Sep. 30, 2020 | Sep. 30, 2020 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Increase to allowance for credit loss on off-balance sheet credit exposures | $ 0 | $ 29,638 | |
ASU 2016-13 [Member] | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Decrease to loans held for investment, allowance for credit loss | $ 3,000 | ||
Increase to allowance for credit loss on off-balance sheet credit exposures | 29,600 | ||
One-time cumulative effect adjustment through retained earnings, before tax | 26,600 | ||
One-time cumulative effect adjustment through retained earnings, net of tax | $ 19,900 |