C&F Financial (CFFI) 10-Q4 Nov 202020 Q3 Quarterly reportFinancial data

Company Profile

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
Document And Entity Information - shares	Sep. 30, 2020	Nov. 03, 2020
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2020
Document Transition Report	false
Entity File Number	000-23423
Entity Registrant Name	C & F FINANCIAL CORP
Entity Incorporation, State or Country Code	VA
Entity Address, Address Line One	3600 La Grange Parkway
Entity Address, City or Town	Toano
Entity Address, State or Province	VA
Entity Tax Identification Number	54-1680165
Entity Address, Postal Zip Code	23168
City Area Code	804
Local Phone Number	843-2360
Title of 12(b) Security	Common Stock, $1.00 par value per share
Trading Symbol	CFFI
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		3,649,705
Entity Central Index Key	0000913341
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Sep. 30, 2020	Dec. 31, 2019	[1]
Assets
Cash and due from banks	$ 15,022,000	$ 21,148,000
Interest-bearing deposits in other banks	10,751,000	144,285,000
Total cash and cash equivalents	25,773,000	165,433,000
Securities-available for sale at fair value, amortized cost of $266,401 and $187,759, respectively	272,091,000	189,733,000
Loans held for sale, at fair value	274,851,000	90,500,000
Loans, net of allowance for loan losses of $38,856 and $32,873, respectively	1,319,500,000	1,082,318,000
Restricted stock, at cost	3,209,000	3,257,000
Corporate premises and equipment, net	42,754,000	35,261,000
Other real estate owned, net of valuation allowance of $146 and $88, respectively	1,107,000	1,103,000
Accrued interest receivable	7,829,000	6,776,000
Goodwill	25,191,000	14,425,000
Other intangible assets, net	2,374,000	912,000
Bank-owned life insurance	19,984,000	16,044,000
Net deferred tax asset	12,449,000	11,219,000
Other assets	73,739,000	40,451,000
Total assets	2,080,851,000	1,657,432,000
Deposits
Noninterest-bearing demand deposits	484,280,000	296,985,000
Savings and interest-bearing demand deposits	700,091,000	572,209,000
Time deposits	479,142,000	422,056,000
Total deposits	1,663,513,000	1,291,250,000
Short-term borrowings	60,481,000	16,360,000
Long-term borrowings	67,486,000	119,529,000
Trust preferred capital notes	25,307,000	25,281,000
Accrued interest payable	1,091,000	1,291,000
Other liabilities	73,921,000	38,442,000
Total liabilities	1,891,799,000	1,492,153,000
Commitments and contingent liabilities (Note 11)
Equity
Common stock ($1.00 par value, 8,000,000 shares authorized, 3,647,898 and 3,438,126 shares issued and outstanding, respectively, includes 136,705 and 142,020 of unvested shares, respectively)	3,511,000	3,296,000
Additional paid-in capital	21,402,000	9,503,000
Retained earnings	164,205,000	154,248,000
Accumulated other comprehensive loss, net	(730,000)	(2,249,000)
Equity attributable to C&F Financial Corporation	188,388,000	164,798,000
Noncontrolling interest	664,000	481,000
Total equity	189,052,000	165,279,000
Total liabilities and equity	$ 2,080,851,000	$ 1,657,432,000

[1]	Derived from audited consolidated financial statements.

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Consolidated Balance Sheets
Available-for-sale securities, amortized cost	$ 266,401	$ 187,759
Loans, allowance for loan losses	38,856	32,873
Other real estate owned, valuation allowance	$ 146	$ 88
Common stock par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	8,000,000	8,000,000
Common stock, shares issued	3,647,898	3,438,126
Common stock, shares outstanding	3,647,898	3,438,126
Common stock, unvested shares	136,705	142,020

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Consolidated Statements of Income - USD ($) $ in Thousands	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Interest income
Interest and fees on loans	$ 22,506	$ 22,254	$ 67,607	$ 65,497
Interest on interest-bearing deposits and federal funds sold	32	460	682	1,631
Interest and dividends on securities
U.S. government agencies and corporations	109	109	355	311
Mortgage-backed securities	533	528	1,596	1,706
Tax-exempt obligations of states and political subdivisions	498	504	1,507	1,643
Taxable obligations of states and political subdivisions	102	86	302	272
Other	42	51	135	159
Total interest income	23,822	23,992	72,184	71,219
Interest expense
Savings and interest-bearing deposits	346	538	1,287	1,737
Time deposits	1,938	1,868	6,368	4,798
Borrowings	404	1,091	1,962	3,322
Trust preferred capital notes	289	272	865	867
Total interest expense	2,977	3,769	10,482	10,724
Net interest income	20,845	20,223	61,702	60,495
Provision for loan losses	3,300	1,800	9,550	6,005
Net interest income after provision for loan losses	17,545	18,423	52,152	54,490
Noninterest income
Gains on sales of loans	9,706	3,205	17,987	8,296
Mortgage banking fee income	2,206	1,373	5,497	3,410
Interchange income	1,268	1,105	3,498	3,134
Service charges on deposit accounts	785	1,012	2,426	2,874
Wealth management services income, net	640	529	1,973	1,453
Other service charges and fees	390	396	1,159	1,111
Net gains on sales, maturities and calls of available for sale securities	4	3	11	8
Other	1,939	607	2,963	3,249
Total noninterest income	16,938	8,230	35,514	23,535
Noninterest expenses
Salaries and employee benefits	15,767	11,730	40,938	35,132
Occupancy	2,131	1,974	6,331	5,992
Other	7,433	6,598	21,939	18,404
Total noninterest expenses	25,331	20,302	69,208	59,528
Income before income taxes	9,152	6,351	18,458	18,497
Income tax expense	2,234	1,466	4,158	3,999
Net income	6,918	4,885	14,300	14,498
Less net income attributable to noncontrolling interest	125	5	183	4
Net income attributable to C&F Financial Corporation	$ 6,793	$ 4,880	$ 14,117	$ 14,494
Net income per share - basic and diluted	$ 1.86	$ 1.42	$ 3.87	$ 4.19

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net income		$ 6,918	$ 4,885	$ 14,300	$ 14,498
Defined benefit plan:
Reclassification of recognized net actuarial losses into net income	[1]	49	47	148	141
Related income tax effects		(10)	(10)	(31)	(30)
Amortization of prior service credit into net income	[1]	(17)	(17)	(51)	(51)
Related income tax effects		4	4	11	11
Defined benefit plan, net of tax		26	24	77	71
Cash flow hedges:
Unrealized holding gains (losses) arising during the period		127	(563)	(2,001)	(773)
Related income tax effects		(32)	145	515	199
Amortization of hedging gains into net income	[2]	(3)	(28)	(9)	(28)
Related income tax effects			7	2	7
Cash flow hedges, net of tax		92	(439)	(1,493)	(595)
Securities available for sale:
Unrealized holding (losses) gains arising during the period		(261)	368	3,727	3,741
Related income tax effects		54	(78)	(783)	(786)
Reclassification of net realized gains into net income	[3]	(4)	(3)	(11)	(8)
Related income tax effects		1	1	2	2
Securities available for sale, net of tax		(210)	288	2,935	2,949
Other comprehensive (loss) income, net of tax		(92)	(127)	1,519	2,425
Comprehensive income		6,826	4,758	15,819	16,923
Less comprehensive income attributable to noncontrolling interest		125	5	183	4
Comprehensive income attributable to C&F Financial Corporation		$ 6,701	$ 4,753	$ 15,636	$ 16,919

[1]	These items are included in the computation of net periodic benefit cost and are included in “Noninterest income – Other” on the Consolidated Statements of Income. See “Note 8: Employee Benefit Plans,” for additional information.
[2]	These items are included in “Interest expense – Trust preferred capital notes” on the Consolidated Statements of Income.
[3]	These items are included in “Net gains on sales, maturities and calls of available for sale securities” on the Consolidated Statements of Income.

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Loss, Net	Noncontrolling Interest	Total
Balance, beginning of the period at Dec. 31, 2018	$ 3,358	$ 12,752	$ 140,520	$ (4,672)		$ 151,958
Comprehensive income:
Net income			14,494		$ 4	14,498
Other comprehensive income				2,425		2,425
Issuance of noncontrolling interest					490	490
Share-based compensation		1,073				1,073
Restricted stock vested	18	(18)
Common stock issued	2	105				107
Common stock purchased	(92)	(4,567)				(4,659)
Cash dividends declared			(3,831)			(3,831)
Balance, end of period at Sep. 30, 2019	3,286	9,345	151,183	(2,247)	494	162,061
Balance, beginning of the period at Jun. 30, 2019	3,305	10,107	147,570	(2,120)	489	159,351
Comprehensive income:
Net income			4,880		5	4,885
Other comprehensive income				(127)		(127)
Share-based compensation		306				306
Restricted stock vested	2	(2)
Common stock issued	1	36				37
Common stock purchased	(22)	(1,102)				(1,124)
Cash dividends declared			(1,267)			(1,267)
Balance, end of period at Sep. 30, 2019	3,286	9,345	151,183	(2,247)	494	162,061
Balance, beginning of the period at Dec. 31, 2019	3,296	9,503	154,248	(2,249)	481	165,279	[1]
Comprehensive income:
Net income			14,117		183	14,300
Other comprehensive income				1,519		1,519
Share-based compensation		1,012				1,012
Restricted stock vested	17	(17)
Acquisition of Peoples Bankshares, Incorporated	210	11,402				11,612
Common stock issued	2	107				109
Common stock purchased	(14)	(605)				(619)
Cash dividends declared			(4,160)			(4,160)
Balance, end of period at Sep. 30, 2020	3,511	21,402	164,205	(730)	664	189,052
Balance, beginning of the period at Jun. 30, 2020	3,510	21,055	158,799	(638)	539	183,265
Comprehensive income:
Net income			6,793		125	6,918
Other comprehensive income				(92)		(92)
Share-based compensation		311				311
Restricted stock vested	1	(1)
Common stock issued		38				38
Common stock purchased		(1)				(1)
Cash dividends declared			(1,387)			(1,387)
Balance, end of period at Sep. 30, 2020	$ 3,511	$ 21,402	$ 164,205	$ (730)	$ 664	$ 189,052

[1]	Derived from audited consolidated financial statements.

Consolidated Statements of Sh_2

Consolidated Statements of Shareholders' Equity (Parentheticals) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
CONSOLIDATED STATEMENTS OF EQUITY
Cash dividends declared - common stock (in dollars per share)	$ 0.38	$ 0.37	$ 1.14	$ 1.11

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
Consolidated Statements of Cash Flows - USD ($)	Sep. 30, 2020		Sep. 30, 2019
Operating activities:
Net income	$ 14,300,000		$ 14,498,000
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation	2,780,000		2,722,000
Provision for loan losses	9,550,000		6,005,000
Share-based compensation	1,012,000		1,073,000
Pension expense	593,000		487,000
Accretion of certain acquisition-related discounts, net	(2,631,000)		(2,179,000)
Amortization of intangible assets	248,000		190,000
Net realized gains on sales, maturities and calls of securities available for sale	(11,000)		(8,000)
Accretion of discounts and amortization of premiums on securities, net	1,564,000		1,177,000
Income from bank-owned life insurance	(320,000)		(250,000)
Proceeds from sales of loans held for sale	1,070,338,000		613,120,000
Origination of loans held for sale	(1,226,538,000)		(653,852,000)
Gains on sales of loans held for sale	(17,987,000)		(8,296,000)
Other losses (gains), net	873,000		(44,000)
Change in other assets and liabilities:
Accrued interest receivable	(623,000)		751,000
Other assets	5,934,000		2,432,000
Accrued interest payable	(460,000)		343,000
Other liabilities	4,056,000		1,090,000
Net cash used in operating activities	(137,322,000)		(20,741,000)
Investing activities:
Acquisition of Peoples Bankshares, Incorporated	19,101,000
Disposition of assets related to business combination	8,004,000
Proceeds from sales, maturities and calls of securities available for sale and payments on mortgage-backed securities	101,068,000		55,593,000
Purchases of securities available for sale	(164,094,000)		(28,988,000)
Purchases of time deposits, net	(6,466,000)
Repayments on loans held for investment by non-bank affiliates	96,460,000		93,028,000
Purchases of loans held for investment by non-bank affiliates	(98,760,000)		(117,261,000)
Net increase in community banking loans held for investment	(118,640,000)		(6,635,000)
Purchases of corporate premises and equipment	(7,655,000)		(2,001,000)
Changes in collateral posted with other financial institutions, net	(9,340,000)		(3,380,000)
Other investing activities, net	310,000		557,000
Net cash used in investing activities	(180,012,000)		(9,087,000)
Financing activities:
Net increase in demand and savings deposits	220,379,000		1,135,000
Net (decrease) increase in time deposits	(19,723,000)		65,784,000
Net increase in short-term borrowings	44,121,000		1,943,000
Proceeds from long-term borrowings	20,000,000
Repayments of long-term borrowings	(82,553,000)
Repurchases of common stock	(355,000)		(4,385,000)
Cash dividends paid	(4,160,000)		(3,831,000)
Other financing activities, net	(35,000)		(37,000)
Net cash provided by financing activities	177,674,000		60,609,000
Net (decrease) increase in cash and cash equivalents	(139,660,000)		30,781,000
Cash and cash equivalents at beginning of period	165,433,000	[1]	115,013,000
Cash and cash equivalents at end of period	25,773,000		145,794,000
Supplemental cash flow disclosures:
Interest paid	11,195,000		10,355,000
Income taxes paid	3,847,000		1,020,000
Supplemental disclosure of noncash investing and financing activities:
Value of shares withheld at vesting for employee taxes	264,000		274,000
Transfers from loans to other real estate owned	$ 62,000		496,000
Transfers from corporate premises and equipment to other real estate owned			835,000
Issuance of noncontrolling interest			$ 490,000

[1]	Derived from audited consolidated financial statements.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
Summary of Significant Accounting Policies	Sep. 30, 2020
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	C&F FINANCIAL CORPORATION AND SUBSIDIARIES NOTE S TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE 1: Summary of Significant Accounting Policies Principles of Consolidation: The unaudited consolidated financial statements include the accounts of C&F Financial Corporation (the Corporation) and its direct wholly-owned subsidiary, Citizens and Farmers Bank (the Bank or C&F Bank) and indirect subsidiaries that are wholly-owned or controlled. Subsidiaries that are less than wholly owned are fully consolidated if they are controlled by the Corporation or one of its subsidiaries, and the portion of any subsidiary not owned by the Corporation is reported as noncontrolling interest. All significant intercompany accounts and transactions have been eliminated in consolidation. In addition, the Corporation owns all of the common stock of C&F Financial Statutory Trust I, C&F Financial Statutory Trust II and Central Virginia Bankshares Statutory Trust I, all of which are unconsolidated subsidiaries. The subordinated debt owed to these trusts is reported as liabilities of the Corporation. The accounting and reporting policies of the Corporation conform to U.S. GAAP and to predominant practices within the banking industry. Nature of Operations: C&F Bank has five wholly-owned subsidiaries: C&F Mortgage Corporation (C&F Mortgage), C&F Finance Company (C&F Finance), C&F Wealth Management Corporation (C&F Wealth Management), C&F Insurance Services, Inc. and CVB Title Services, Inc., all incorporated under the laws of the Commonwealth of Virginia. C&F Mortgage, organized in September 1995, originates and sells residential mortgages, provides mortgage loan origination services to third-party lenders and, through its subsidiary Certified Appraisals LLC, provides ancillary mortgage loan production services for residential appraisals. C&F Mortgage owns a 51 percent interest in C&F Select LLC, which was organized in January 2019 and is also engaged in the business of originating and selling residential mortgages. C&F Finance, acquired in September 2002, is a finance company purchasing automobile, marine and recreational vehicle (RV) loans through indirect lending programs. C&F Wealth Management, organized in April 1995, is a full-service brokerage firm offering a comprehensive range of wealth management services and insurance products through third-party service providers. C&F Insurance Services, Inc., was organized in July 1999, for the primary purpose of owning an equity interest in an independent insurance agency that operates in Virginia and North Carolina. CVB Title Services, Inc. was organized for the primary purpose of owning an equity interest in a full service title and settlement agency. Business segment data is presented in Note 10. Basis of Presentation: The COVID-19 pandemic has caused a significant disruption in economic activity worldwide, including in market areas served by the Corporation. Estimates for the allowance for loan losses at September 30, 2020 include losses related to the pandemic. The Corporation expects that the pandemic will continue to have an effect on its results of operations. If economic conditions deteriorate further, then additional provision for loan losses may be required in future periods. It is unknown how long these conditions will last and what the ultimate financial impact will be to the Corporation. Depending on the severity and duration of the economic consequences of the pandemic, the Corporation’s goodwill may become impaired. Reclassification: Business Combination: Subordinated Notes: Derivative Financial Instruments: Leases: million, respectively. During the nine months ended September 30, 2020, the Corporation obtained right of use assets in exchange for lease liabilities under finance leases of September 30, December 31, (Dollars in thousands) 2020 2019 Operating leases: Right of use assets $ 2,345 $ 2,785 Lease liabilities 2,439 2,813 Finance leases: Right of use assets $ 6,271 $ — Lease liabilities 6,370 — Income Taxes: Share-Based Compensation: A summary of activity for restricted stock awards during the first nine months of 2020 and 2019 is presented below: 2020 Weighted- Average Grant Date Shares Fair Value Unvested, December 31, 2019 142,020 $ 48.88 Granted 14,770 53.03 Vested (16,555) 40.20 Forfeited (3,530) 52.86 Unvested, September 30, 2020 136,705 50.32 2019 Weighted- Average Grant Date Shares Fair Value Unvested, December 31, 2018 139,455 $ 45.75 Granted 16,670 51.79 Vested (17,990) 41.55 Forfeited (680) 50.44 Unvested, September 30, 2019 137,455 47.01 Paycheck Protection Program: Recently Adopted Accounting Pronouncements: On January 1, 2020, the Corporation adopted Accounting Standards Update (ASU) 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement.” Recent Significant Accounting Pronouncements: In June 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-13, “ Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments Financial Instruments – Credit Losses (Topic 326): Targeted Transition Relief Financial Instruments— Credit losses (Topic 326), Derivatives and hedging (Topic 815), and Leases (Topic 842)—Effective dates, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Financial Instruments-Credit Losses (Topic 326) and Leases (Topic 842) Codification Improvements to Financial Instruments The amendments of ASC 326, upon adoption, will be applied on a modified retrospective basis, with the cumulative effect of adopting the new standard being recorded as an adjustment to opening retained earnings in the period of adoption. The Corporation has established a working group to prepare for and implement changes related to ASC 326 and has gathered historical loan loss data for purposes of evaluating appropriate portfolio segmentation and modeling methods under the standard. The Corporation has performed procedures to validate the historical loan loss data to ensure its suitability and reliability for purposes of developing an estimate of expected credit losses under ASC 326. The Corporation has engaged a vendor to assist in modeling expected lifetime losses under ASC 326, and is continuing to develop and refine an approach to estimating the allowance for credit losses. The adoption of ASC 326 will result in significant changes to the Corporation’s consolidated financial statements, which may include changes in the level of the allowance for credit losses that will be considered adequate, a reduction in total equity and regulatory capital of C&F Bank, differences in the timing of recognizing changes to the allowance for credit losses and expanded disclosures about the allowance for credit losses. The Corporation has not yet determined an estimate of the effect of these changes. The adoption of the standard will also result in significant changes in the Corporation’s internal control over financial reporting related to the allowance for credit losses. In August 2018, the FASB issued ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans.” Other accounting standards that have been issued by the FASB or other standards-setting bodies are not currently expected to have a material effect on the Corporation’s financial position, results of operations or cash flows.

Business Combination

Business Combination	9 Months Ended
Business Combination	Sep. 30, 2020
Business Combination
Business Combination	NOTE 2: Business Combination On January 1, 2020, the Corporation completed its acquisition of Peoples. Peoples shareholders received 0.5366 shares of the Corporation’s common stock and $27.00 in cash for each share of Peoples common stock, with cash paid in lieu of any fractional shares of the Corporation’s common stock. In connection with the transaction, the Corporation paid aggregate cash consideration of $10.58 million and issued 209,871 shares of its common stock to the shareholders of Peoples. The Corporation accounted for the acquisition using the acquisition method of accounting in accordance with ASC 805, Business Combinations acquisition date that, if known, would have affected the measurement of the amounts recognized as of that date. Measurement period adjustments are recognized in the reporting period in which they are determined. The measurement period may not exceed one year from the acquisition date. The following table presents as of January 1, 2020 the total consideration paid by the Corporation in connection with the acquisition of Peoples, the fair values of the assets acquired and liabilities assumed, and the resulting goodwill. Amounts Recognized as of (Dollars in thousands) January 1, 2020 Purchase price: Cash paid $ 10,579 Common stock issued 11,612 Total purchase price $ 22,191 Identifiable assets acquired: Cash and cash equivalents $ 29,680 Securities available for sale 17,169 Loans 124,195 Accrued interest receivable 430 Corporate premises and equipment 3,105 Other real estate owned 281 Core deposit intangible asset 1,711 Bank-owned life insurance 3,591 Investment in small business investment company 1,493 Other receivables 5,234 Other assets 3,658 Total identifiable assets acquired 190,547 Identifiable liabilities assumed: Demand and savings deposits 94,798 Time deposits 77,018 Borrowings 4,245 Accrued interest payable 260 Salaries, benefits and deferred compensation 2,054 Other liabilities 747 Total identifiable liabilities assumed 179,122 Net identifiable assets acquired $ 11,425 Goodwill resulting from acquisition $ 10,766 In connection with the acquisition, the Corporation recorded approximately $10.77 million of goodwill and $1.71 million of other intangible assets related to the core deposits of Peoples. The goodwill arising from the acquisition of Peoples is not deductible for income taxes. The core deposit intangible asset (CDI) will be amortized over a period of 15 years using a declining balance method. Loans acquired from Peoples had aggregate outstanding principal of $131.92 million and an estimated fair value of $124.20 million. The discount between the outstanding principal balance and fair value represents expected credit losses and adjustments for market interest rates. Under the acquisition method, the allowance for loan losses recorded in the books of Peoples in the amount of $2.87 million was not carried over into the books of the Corporation. Loans that have evidence of deterioration in credit quality since origination are categorized as purchased credit impaired (PCI). PCI loans acquired from Peoples included medical student loans with an outstanding principal balance of $4.28 million and a fair value of $635,000 at January 1, 2020, which were purchased by Peoples and the performance of which was previously backed by surety bonds. The surety bonds were terminated in 2018 when the issuer of the bond was placed into liquidation by its insurance regulator, and replacement surety bond coverage has not been obtained. Information about PCI loans acquired from Peoples as of January 1, 2020 is as follows: (Dollars in thousands) January 1, 2020 Contractual principal and interest due $ 20,310 Nonaccretable difference (7,679) Expected cash flows 12,631 Accretable yield (3,372) Purchase credit impaired loans - estimated fair value $ 9,259 Fair values of the major categories of assets acquired and liabilities assumed were determined as follows: Loans: Core Deposit Intangible: Deposits: The following table presents certain unaudited pro forma information as if the acquisition had taken place on January 1, 2019. These results combine the historical results of Peoples and the Corporation for the period prior to the merger. While certain adjustments were made for estimated effects resulting from the application of the acquisition method, including certain fair value adjustments, this pro forma information is not indicative of what would have occurred had the acquisition actually taken place on January 1, 2019. Pro forma adjustments for the three and nine months ended September 30, 2019 include the net impact of accretion of loan discounts related to market interest rates, amortization of premiums on deposits and borrowings, amortization of intangible assets and related income taxes. Unaudited pro forma net income for the three and nine months ended September 30, 2019 includes after tax merger related expenses of $665,000 and $694,000, respectively, or $(0.18) and $(0.19) per share, respectively. These amounts include $276,000 and $304,000 recorded by Peoples, which was primarily related to legal costs. Additionally, the Corporation expects to achieve further operational cost savings and other efficiencies as a result of the acquisition which are not reflected in the unaudited pro forma amounts below. Unaudited Pro Forma Unaudited Pro Forma Three Months Ended Nine Months Ended (Dollars in thousands, except per share amounts) September 30, 2019 September 30, 2019 Total revenues (net interest income plus nonintererest income) $ 30,329 $ 89,792 Net income $ 5,257 $ 15,515 Net income per share, basic and diluted $ 1.44 $ 4.23 The revenue and earnings amounts specific to Peoples since the acquisition date that are included in the consolidated results for 2020 are not readily determinable. Disclosure of these amounts is impracticable due to the merging of certain processes and systems at the acquisition date. The Corporation recorded merger related expenses in connection with the acquisition of Peoples of $1.40 million ($1.13 million after income taxes) for the nine months ended September 30, 2020. There were no merger related expenses during the three months ended September 30, 2020. Merger related expenses for the three and nine months ended September 30, 2019 were $409,000 ($389,000, after income taxes). As of September 30, 2020, the Corporation has recorded aggregate merger related expenses of $2.10 million ($1.78 million after income taxes). These costs included the integration of systems and operations and legal and consulting expenses, which have been expensed as incurred. The Corporation believes that any further merger related expenses incurred in future periods will not be significant to the Corporation as a whole.

Securities

Securities	9 Months Ended
Securities	Sep. 30, 2020
Securities
Securities	NOTE 3: Securities The Corporation’s debt securities, all of which are classified as available for sale, are summarized as follows: September 30, 2020 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 48,180 $ 126 $ (14) $ 48,292 Mortgage-backed securities 112,587 3,304 (53) 115,838 Obligations of states and political subdivisions 98,672 2,403 (51) 101,024 Corporate and other debt securities 6,962 1 (26) 6,937 $ 266,401 $ 5,834 $ (144) $ 272,091 December 31, 2019 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 21,454 $ 3 $ (17) $ 21,440 Mortgage-backed securities 85,649 979 (43) 86,585 Obligations of states and political subdivisions 80,656 1,111 (59) 81,708 $ 187,759 $ 2,093 $ (119) $ 189,733 The amortized cost and estimated fair value of securities at September 30, 2020, by the earlier of contractual maturity or expected maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to prepay obligations with or without call or prepayment penalties. September 30, 2020 Amortized (Dollars in thousands) Cost Fair Value Due in one year or less $ 66,586 $ 66,844 Due after one year through five years 143,712 148,133 Due after five years through ten years 53,135 54,051 Due after ten years 2,968 3,063 $ 266,401 $ 272,091 The following table presents the gross realized gains and losses on and the proceeds from the sales, maturities and calls of securities. During the nine months ended September 30, 2020, $5.99 million in proceeds were related to sales of assets acquired in the acquisition of Peoples. There were no sales of securities during the three and nine months ended September 30, 2019. Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2020 2019 2020 2019 Realized gains from sales, maturities and calls of securities: Gross realized gains $ 4 $ 3 $ 11 $ 8 Gross realized losses — — — — Net realized gains $ 4 $ 3 $ 11 $ 8 Proceeds from sales, maturities, calls and paydowns of securities $ 30,288 $ 21,954 $ 101,068 $ 55,593 The Corporation pledges securities primarily to secure public deposits and repurchase agreements. Securities with an aggregate amortized cost of $113.06 million and an aggregate fair value of $116.60 million were pledged at September 30, 2020. Securities with an aggregate amortized cost of $126.22 million and an aggregate fair value of $127.47 million were pledged at December 31, 2019. Securities in an unrealized loss position at September 30, 2020, by duration of the period of the unrealized loss, are shown below. Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Loss Value Loss Value Loss U.S. government agencies and corporations $ 15,345 $ 14 $ — $ — $ 15,345 $ 14 Mortgage-backed securities 10,335 53 — — 10,335 53 Obligations of states and political subdivisions 7,900 51 — — 7,900 51 Corporate and other debt securities 1,684 26 — — 1,684 26 Total temporarily impaired securities $ 35,264 $ 144 $ — $ — $ 35,264 $ 144 There were 29 debt securities totaling $35.26 million of aggregate fair value considered temporarily impaired at September 30, 2020. The primary cause of the temporary impairments in the Corporation’s investments in debt securities was fluctuations in interest rates. The Corporation concluded that no other-than-temporary impairment existed in its securities portfolio at September 30, 2020, and no other-than-temporary impairment loss has been recognized in net income, based primarily on the fact that changes in fair value were caused primarily by fluctuations in interest rates, there were no securities with unrealized losses that were significant relative to their carrying amounts, no securities have been in an unrealized loss position continuously for more than 12 months, securities with unrealized losses had generally high credit quality, the Corporation intends to hold these investments in debt securities to maturity and it is more-likely-than-not that the Corporation will not be required to sell these investments before a recovery of its investment, and issuers have continued to make timely payments of principal and interest. Additionally, the Corporation’s mortgage-backed securities are entirely issued by either U.S. government agencies or U.S. government-sponsored enterprises. Collectively, these entities provide a guarantee, which is either explicitly or implicitly supported by the full faith and credit of the U.S. government, that investors in such mortgage-backed securities will receive timely principal and interest payments. Securities in an unrealized loss position at December 31, 2019, by duration of the period of the unrealized loss, are shown below. Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Loss Value Loss Value Loss U.S. government agencies and corporations $ 6,256 $ 11 $ 4,094 $ 6 $ 10,350 $ 17 Mortgage-backed securities 4,099 7 10,166 36 14,265 43 Obligations of states and political subdivisions 9,187 53 1,368 6 10,555 59 Total temporarily impaired securities $ 19,542 $ 71 $ 15,628 $ 48 $ 35,170 $ 119 The Corporation’s investment in restricted stock totaled $3.21 million at September 30, 2020 and consisted of Federal Home Loan Bank (FHLB) stock. Restricted stock is generally viewed as a long-term investment, which is carried at cost because there is no market for the stock other than the FHLBs. Therefore, when evaluating restricted stock for impairment, its value is based on the ultimate recoverability of the par value rather than by recognizing any temporary decline in value. The Corporation did not consider its investment in restricted stock to be other-than-temporarily impaired at September 30, 2020 and no impairment has been recognized.

Loans

Loans	9 Months Ended
Loans	Sep. 30, 2020
Loans
Loans	NOTE 4: Loans Major classifications of loans are summarized as follows: September 30, December 31, (Dollars in thousands) 2020 2019 Real estate – residential mortgage $ 208,044 $ 181,295 Real estate – construction 1 66,187 54,246 Commercial, financial and agricultural 2 708,867 500,812 Equity lines 49,405 52,083 Consumer 13,907 13,756 Consumer finance 311,946 312,999 1,358,356 1,115,191 Less allowance for loan losses (38,856) (32,873) Loans, net $ 1,319,500 $ 1,082,318 1 Includes the Corporation’s real estate construction lending and consumer real estate lot lending. 2 Includes the Corporation’s commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending (which includes loans originated under the PPP). Consumer loans included $216,000 and $449,000 of demand deposit overdrafts at September 30, 2020 and December 31, 2019, respectively. Loans acquired in business combinations are recorded in the Consolidated Balance Sheets at fair value at the acquisition date under the acquisition method of accounting. The outstanding principal balance and the carrying amount at September 30, 2020 and December 31, 2019 of loans acquired in business combinations were as follows: September 30, 2020 December 31, 2019 Acquired Loans - Acquired Loans - Acquired Loans - Acquired Loans - Purchased Purchased Acquired Loans - Purchased Purchased Acquired Loans - (Dollars in thousands) Credit Impaired Performing Total Credit Impaired Performing Total Outstanding principal balance $ 18,319 $ 103,982 $ 122,301 $ 6,262 $ 27,839 $ 34,101 Carrying amount Real estate – residential mortgage $ 1,724 $ 19,628 $ 21,352 $ 107 $ 7,035 $ 7,142 Real estate – construction — 3,153 3,153 — — — Commercial, financial and agricultural 1 5,398 66,384 71,782 563 11,338 11,901 Equity lines 81 10,387 10,468 35 8,046 8,081 Consumer 371 2,164 2,535 — 3 3 Total acquired loans $ 7,574 $ 101,716 $ 109,290 $ 705 $ 26,422 $ 27,127 1 Includes acquired loans classified by the Corporation as commercial real estate lending and commercial business lending. The following table presents a summary of the change in the accretable yield of loans classified as purchased credit impaired (PCI): Nine Months Ended September 30, (Dollars in thousands) 2020 2019 Accretable yield, balance at beginning of period $ 4,721 $ 5,987 Additions 3,372 — Accretion (2,172) (1,760) Reclassification of nonaccretable difference due to improvement in expected cash flows 440 727 Other changes, net (1,492) 349 Accretable yield, balance at end of period $ 4,869 $ 5,303 Loans on nonaccrual status were as follows: September 30, December 31, (Dollars in thousands) 2020 2019 Real estate – residential mortgage $ 758 $ 1,526 Commercial, financial and agricultural: Commercial business lending — 11 Equity lines 193 229 Consumer 419 118 Consumer finance 282 611 Total loans on nonaccrual status $ 1,652 $ 2,495 The past due status of loans as of September 30, 2020 was as follows: 90+ Days 30 - 59 Days 60 - 89 Days 90+ Days Total Past Due and (Dollars in thousands) Past Due Past Due Past Due Past Due PCI Current 1 Total Loans Accruing Real estate – residential mortgage $ 971 $ 339 $ 618 $ 1,928 $ 1,724 $ 204,392 $ 208,044 $ — Real estate – construction: Construction lending — — — — — 50,971 50,971 — Consumer lot lending — — — — — 15,216 15,216 — Commercial, financial and agricultural: Commercial real estate lending — — — — 5,398 430,804 436,202 — Land acquisition and development lending — — — — — 43,169 43,169 — Builder line lending — — — — — 20,023 20,023 — Commercial business lending 116 — — 116 — 209,357 209,473 — Equity lines 182 — 8 190 81 49,134 49,405 8 Consumer 267 — — 267 371 13,269 13,907 — Consumer finance 6,602 842 282 7,726 — 304,220 311,946 — Total $ 8,138 $ 1,181 $ 908 $ 10,227 $ 7,574 $ 1,340,555 $ 1,358,356 $ 8 1 For the purposes of the table above, “Current” includes loans that are 1-29 days past due. The table above includes nonaccrual loans that are current of $442,000 and 90+ days past due of $901,000 as well as nonaccrual loans that are PCI of $309,000. The past due status of loans as of December 31, 2019 was as follows: 90+ Days 30 - 59 Days 60 - 89 Days 90+ Days Total Past Due and (Dollars in thousands) Past Due Past Due Past Due Past Due PCI Current 1 Total Loans Accruing Real estate – residential mortgage $ 1,428 $ 161 $ 1,016 $ 2,605 $ 107 $ 178,583 $ 181,295 $ — Real estate – construction: Construction lending — — — — — 40,943 40,943 — Consumer lot lending — — — — — 13,303 13,303 — Commercial, financial and agricultural: Commercial real estate lending — — — — 563 325,991 326,554 — Land acquisition and development lending — — — — — 42,891 42,891 — Builder line lending — — — — — 26,373 26,373 — Commercial business lending 73 18 — 91 — 104,903 104,994 — Equity lines 229 56 223 508 35 51,540 52,083 109 Consumer 20 10 — 30 — 13,726 13,756 — Consumer finance 11,034 1,420 611 13,065 — 299,934 312,999 — Total $ 12,784 $ 1,665 $ 1,850 $ 16,299 $ 705 $ 1,098,187 $ 1,115,191 $ 109 1 For the purposes of the table above, “Current” includes loans that are 1-29 days past due. The table above includes nonaccrual loans that are current of $547,000, 30-59 days past due of $197,000, 60-89 days past due of $10,000 and 90+ days past due of $1.74 million. Loan modifications that were classified as troubled debt restructurings (TDRs), and the recorded investment in those loans at the time of their modification, during the three and nine months ended September 30, 2020 and 2019 were as follows: Three Months Ended September 30, 2020 2019 Number of Recorded Number of Recorded (Dollars in thousands) Loans Investment Loans Investment Real estate – residential mortgage 2 $ 176 2 $ 95 Total 2 $ 176 2 $ 95 Nine Months Ended September 30, 2020 2019 Number of Recorded Number of Recorded (Dollars in thousands) Loans Investment Loans Investment Real estate – residential mortgage 2 $ 176 2 $ 95 Equity lines 1 84 — — Consumer — — 1 $ 121 Total 3 $ 260 3 $ 216 Each of the TDRs during the three and nine months ended September 30, 2020 and two of the TDRs during the three and nine months ended September 30, 2019 included modifications of the loan’s payment structure. One TDR during the nine months ended September 30, 2019 included a modification of the loan’s interest rate. All TDRs are considered impaired loans and are individually evaluated in the determination of the allowance for loan losses. A TDR payment default occurs when, within 12 months of the original TDR modification, either a full or partial charge-off occurs or a TDR becomes 90 days or more past due. The specific reserve associated with a TDR is reevaluated when a TDR payment default occurs. There were no TDR payment defaults during the three and nine months ended September 30, 2020 and 2019. In response to the effects of the COVID-19 pandemic, including economic disruption and adverse impacts to commercial and consumer borrowers, the Bank has accommodated certain borrowers by granting short-term payment deferrals or periods of interest-only payments which generally were less than six months for each borrower. As of September 30, 2020, there were $28.30 million of loans whose modification periods had not ended or had been extended. Generally, a short-term payment deferral does not result in a loan modification being classified as a TDR. Impaired loans, which included TDRs of $3.95 million, and the related allowance at September 30, 2020 were as follows: Recorded Recorded Investment Investment Average Unpaid in Loans in Loans Balance- Interest Principal without with Related Impaired Income (Dollars in thousands) Balance Specific Reserve Specific Reserve Allowance Loans Recognized Real estate – residential mortgage $ 3,054 $ 1,384 $ 1,520 $ 129 $ 3,068 $ 83 Commercial, financial and agricultural: Commercial real estate lending 1,399 — 1,399 106 1,406 55 Equity lines 120 112 — — 119 1 Consumer 123 — 110 105 113 — Total $ 4,696 $ 1,496 $ 3,029 $ 340 $ 4,706 $ 139 Impaired loans, which included TDRs of $4.35 million, and the related allowance at December 31, 2019 were as follows: Recorded Recorded Investment Investment Average Unpaid in Loans in Loans Balance- Interest Principal without with Related Impaired Income (Dollars in thousands) Balance Specific Reserve Specific Reserve Allowance Loans Recognized Real estate – residential mortgage $ 3,891 $ 2,192 $ 1,479 $ 72 $ 3,506 $ 155 Commercial, financial and agricultural: Commercial real estate lending 1,459 4 1,447 77 1,581 82 Equity lines 31 31 — — 32 2 Consumer 130 — 121 118 123 — Total $ 5,511 $ 2,227 $ 3,047 $ 267 $ 5,242 $ 239

Allowance for Loan Losses

Allowance for Loan Losses	9 Months Ended
Allowance for Loan Losses	Sep. 30, 2020
Allowance for Loan Losses
Allowance for Loan Losses	NOTE 5: Allowance for Loan Losses The following table presents the changes in the allowance for loan losses by major classification during the nine months ended September 30, 2020: Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance for loan losses: Balance at December 31, 2019 $ 2,080 $ 681 $ 7,121 $ 733 $ 465 $ 21,793 $ 32,873 Provision charged (credited) to operations 337 232 3,446 (78) (37) 5,650 9,550 Loans charged off (9) — (18) — (174) (7,005) (7,206) Recoveries of loans previously charged off 79 — 3 — 135 3,422 3,639 Balance at September 30, 2020 $ 2,487 $ 913 $ 10,552 $ 655 $ 389 $ 23,860 $ 38,856 The following table presents the changes in the allowance for loan losses by major classification during the nine months ended September 30, 2019: Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance for loan losses: Balance at December 31, 2018 $ 2,246 $ 727 $ 6,688 $ 1,106 $ 257 $ 22,999 $ 34,023 Provision (credited) charged to operations (85) 77 103 (214) 229 5,895 6,005 Loans charged off (46) — (29) (19) (261) (10,092) (10,447) Recoveries of loans previously charged off 20 — 4 — 173 3,440 3,637 Balance at September 30, 2019 $ 2,135 $ 804 $ 6,766 $ 873 $ 398 $ 22,242 $ 33,218 The following table presents, as of September 30, 2020, the balance of the allowance for loan losses and the balance of loans by impairment methodology. Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance balance attributable to loans: Individually evaluated for impairment $ 129 $ — $ 106 $ — $ 105 $ — $ 340 Collectively evaluated for impairment 2,358 913 10,446 655 284 23,860 38,516 Acquired loans - PCI — — — — — — — Total allowance $ 2,487 $ 913 $ 10,552 $ 655 $ 389 $ 23,860 $ 38,856 Loans: Individually evaluated for impairment $ 2,904 $ — $ 1,399 $ 112 $ 110 $ — $ 4,525 Collectively evaluated for impairment 203,416 66,187 702,070 49,212 13,426 311,946 1,346,257 Acquired loans - PCI 1,724 — 5,398 81 371 — 7,574 Total loans $ 208,044 $ 66,187 $ 708,867 $ 49,405 $ 13,907 $ 311,946 $ 1,358,356 The following table presents, as of December 31, 2019, the balance of the allowance for loan losses, the allowance by impairment methodology, total loans and loans by impairment methodology. Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance balance attributable to loans: Individually evaluated for impairment $ 72 $ — $ 77 $ — $ 118 $ — $ 267 Collectively evaluated for impairment 2,008 681 7,044 733 347 21,793 32,606 Acquired loans - PCI — — — — — — — Total allowance $ 2,080 $ 681 $ 7,121 $ 733 $ 465 $ 21,793 $ 32,873 Loans: Individually evaluated for impairment $ 3,671 $ — $ 1,451 $ 31 $ 121 $ — $ 5,274 Collectively evaluated for impairment 177,517 54,246 498,798 52,017 13,635 312,999 1,109,212 Acquired loans - PCI 107 — 563 35 — — 705 Total loans $ 181,295 $ 54,246 $ 500,812 $ 52,083 $ 13,756 $ 312,999 $ 1,115,191 Loans by credit quality indicators as of September 30, 2020 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 205,126 $ 1,245 $ 915 $ 758 $ 208,044 Real estate – construction: Construction lending 50,971 — — — 50,971 Consumer lot lending 15,216 — — — 15,216 Commercial, financial and agricultural: Commercial real estate lending 408,667 16,840 10,695 — 436,202 Land acquisition and development lending 36,767 6,402 — — 43,169 Builder line lending 20,023 — — — 20,023 Commercial business lending 203,669 5,704 100 — 209,473 Equity lines 49,039 165 8 193 49,405 Consumer 13,426 58 4 419 13,907 $ 1,002,904 $ 30,414 $ 11,722 $ 1,370 $ 1,046,410 1 At September 30, 2020, the Corporation did not have any loans classified as Doubtful or Loss. Included in the table above are loans purchased in connection with the acquisition of Peoples of $83.71 million pass rated, $1.39 million special mention, $2.70 million substandard and $309,000 substandard nonaccrual. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 311,664 $ 282 $ 311,946 Loans by credit quality indicators as of December 31, 2019 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 177,049 $ 1,839 $ 881 $ 1,526 $ 181,295 Real estate – construction: Construction lending 40,943 — — — 40,943 Consumer lot lending 13,303 — — — 13,303 Commercial, financial and agricultural: Commercial real estate lending 323,218 3,266 70 — 326,554 Land acquisition and development lending 33,870 9,021 — — 42,891 Builder line lending 25,995 378 — — 26,373 Commercial business lending 104,291 692 — 11 104,994 Equity lines 51,662 181 11 229 52,083 Consumer 13,632 6 — 118 13,756 $ 783,963 $ 15,383 $ 962 $ 1,884 $ 802,192 1 At December 31, 2019, the Corporation did not have any loans classified as Doubtful or Loss. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 312,388 $ 611 $ 312,999

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	9 Months Ended
Goodwill and Other Intangible Assets	Sep. 30, 2020
Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets	NOTE 6: Goodwill and Other Intangible Assets The carrying amount of goodwill was $25.19 million and $14.43 million at September 30, 2020 and December 31, 2019, respectively. The following table presents the changes in goodwill during the nine months ended September 30, 2020. There were no changes in the recorded balance of goodwill during the three months ended September 30, 2020. Community Consumer (Dollars in thousands) Banking Finance Total Balance as of January 1, 2020 $ 3,702 $ 10,723 $ 14,425 Acquisition of Peoples Bankshares, Incorporated 10,766 — 10,766 Balance at September 30, 2020 $ 14,468 $ 10,723 $ 25,191 The Corporation had $2.37 million and $912,000 of other intangible assets as of September 30, 2020 and December 31, 2019, respectively. Other intangible assets were recognized in connection with the core deposits acquired from Peoples in 2020 and customer relationships acquired by C&F Wealth Management in 2016. The following table summarizes the gross carrying amounts and accumulated amortization of other intangible assets: September 30, December 31, 2020 2019 Gross Gross Carrying Accumulated Carrying Accumulated (Dollars in thousands) Amount Amortization Amount Amortization Amortized intangible assets: Core deposit intangibles $ 1,711 $ (128) $ — $ — Other intangibles 1,405 (614) 1,405 (493) Total $ 3,116 $ (742) $ 1,405 $ (493) Amortization expense was $83,000 and $49,000 for the three months ended September 30, 2020 and 2019, respectively and $248,000 and $190,000 for the nine months ended September 30, 2020 and 2019, respectively.

Equity, Other Comprehensive Inc

Equity, Other Comprehensive Income and Earnings Per Share	9 Months Ended
Equity, Other Comprehensive Income and Earnings Per Share	Sep. 30, 2020
Equity, Other Comprehensive Income and Earnings Per Share
Equity, Other Comprehensive Income and Earnings Per Share	NOTE 7: Equity, Other Comprehensive Income and Earnings Per Share Equity and Noncontrolling Interest During the nine months ended September 30, 2020, the Corporation repurchased 8,963 shares of its common stock for an aggregate cost of $355,000 under share repurchase programs authorized by its Board of Directors. During the three and nine months ended September 30, 2019, the Corporation repurchased 21,337 and 86,523 shares of its common stock, respectively, for an aggregate cost of $1.10 million and $4.39 million under the share repurchase programs. The Corporation did not repurchase any of its common stock during the three months ended September 30, 2020. Additionally during the nine months ended September 30, 2020 and 2019, the Corporation withheld 5,084 shares and 5,341 shares of its common stock, respectively, from employees to satisfy tax withholding obligations upon vesting of restricted stock. The Corporation’s current share repurchase program expired on May 31, 2020 and has not been renewed or extended at this time. In the first quarter of 2019, C&F Select LLC, a subsidiary of C&F Mortgage, issued a 49 percent ownership interest to an unrelated investor. In exchange for this noncontrolling interest in C&F Select LLC, C&F Bank received a note receivable from the investor for $490,000, which is included in loans in the Consolidated Balance Sheets and is secured by cash deposits at C&F Bank. Accumulated Other Comprehensive Loss, Net The following table presents the cumulative balances of the components of accumulated other comprehensive loss, net of deferred taxes of $320,000 and $604,000 as of September 30, 2020 and December 31, 2019, respectively. September 30, December 31, (Dollars in thousands) 2020 2019 Net unrealized gains on securities $ 4,495 $ 1,560 Net unrecognized losses on cash flow hedges (1,562) (69) Net unrecognized losses on defined benefit plan (3,663) (3,740) Total accumulated other comprehensive loss, net $ (730) $ (2,249) Earnings Per Share (EPS) The components of the Corporation’s EPS calculations are as follows: Three Months Ended September 30, (Dollars in thousands) 2020 2019 Net income attributable to C&F Financial Corporation $ 6,793 $ 4,880 Weighted average shares outstanding — 3,648,515 3,430,298 Nine Months Ended September 30, (Dollars in thousands) 2020 2019 Net income attributable to C&F Financial Corporation $ 14,117 $ 14,494 Weighted average shares outstanding — 3,646,951 3,459,191 The Corporation has applied the two-class method of computing basic and diluted EPS for each period presented because the Corporation’s unvested restricted shares outstanding contain rights to nonforfeitable dividends equal to dividends on the Corporation’s common stock. Accordingly, the weighted average number of shares used in the calculation of basic and diluted EPS includes both vested and unvested shares outstanding.

Employee Benefit Plans

Employee Benefit Plans	9 Months Ended
Employee Benefit Plans	Sep. 30, 2020
Employee Benefit Plans
Employee Benefit Plans	NOTE 8: Employee Benefit Plans The following table summarizes the components of net periodic benefit cost for the Bank’s non-contributory cash balance pension plan. Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2020 2019 2020 2019 Components of net periodic benefit cost: Service cost, included in salaries and employee benefits $ 401 $ 305 $ 1,202 $ 914 Other components of net periodic benefit cost: Interest cost 138 152 413 456 Expected return on plan assets (374) (324) (1,119) (973) Amortization of prior service credit (17) (17) (51) (51) Amortization of net obligation at transition — — — — Recognized net actuarial losses 49 47 148 141 Other components of net periodic benefit cost, included in other noninterest income (204) (142) (609) (427) Net periodic benefit cost $ 197 $ 163 $ 593 $ 487

Fair Value of Assets and Liabil

Fair Value of Assets and Liabilities	9 Months Ended
Fair Value of Assets and Liabilities	Sep. 30, 2020
Fair Value of Assets and Liabilities
Fair Value of Assets and Liabilities	NOTE 9: Fair Value of Assets and Liabilities Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. U.S. GAAP requires that valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. U.S. GAAP also establishes a fair value hierarchy which prioritizes the valuation inputs into three broad levels. Based on the underlying inputs, each fair value measurement in its entirety is reported in one of the three levels. These levels are: ● Level 1—Valuation is based upon quoted prices for identical instruments traded in active markets. Level 1 assets and liabilities include debt securities traded in an active exchange market, as well as U.S. Treasury securities. ● Level 2—Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. ● Level 3—Valuation is determined using model-based techniques that use at least one significant assumption not observable in the market. These unobservable assumptions reflect the Corporation’s estimates of assumptions that market participants would use in pricing the respective asset or liability. Valuation techniques may include the use of pricing models, discounted cash flow models and similar techniques. U.S. GAAP allows an entity the irrevocable option to elect fair value (the fair value option) for the initial and subsequent measurement for certain financial assets and liabilities on a contract-by-contract basis. The Corporation has elected to use fair value accounting for its entire portfolio of loans held for sale (LHFS). Assets and Liabilities Measured at Fair Value on a Recurring Basis The following describes the valuation techniques and inputs used by the Corporation in determining the fair value of certain assets recorded at fair value on a recurring basis in the financial statements. Securities available for sale. Investments in small business investment company funds. Loans held for sale. Derivative asset - IRLCs. Derivative asset/liability – interest rate swaps on loans. Derivative asset/liability – cash flow hedges. Derivative asset/liability – forward sales of TBA securities. The following table presents the balances of financial assets and liabilities measured at fair value on a recurring basis. September 30, 2020 Fair Value Measurements Using Assets/Liabilities at (Dollars in thousands) Level 1 Level 2 Level 3 Fair Value Assets: Securities available for sale U.S. government agencies and corporations $ — $ 48,292 $ — $ 48,292 Mortgage-backed securities — 115,838 — 115,838 Obligations of states and political subdivisions — 101,024 — 101,024 Corporate and other debt securities — 6,937 — 6,937 Total securities available for sale — 272,091 — 272,091 Loans held for sale — 274,851 — 274,851 Derivatives IRLC — 5,942 — 5,942 Interest rate swaps on loans — 9,355 — 9,355 Total assets $ — $ 562,239 $ — $ 562,239 Liabilities: Derivatives Interest rate swaps on loans $ — $ 9,355 $ — $ 9,355 Cash flow hedges — 2,147 — 2,147 Forward sales of TBA securities — 52 — 52 Total liabilities $ — $ 11,554 $ — $ 11,554 December 31, 2019 Fair Value Measurements Using Assets/Liabilities at (Dollars in thousands) Level 1 Level 2 Level 3 Fair Value Assets: Securities available for sale U.S. government agencies and corporations $ — $ 21,440 $ — $ 21,440 Mortgage-backed securities — 86,585 — 86,585 Obligations of states and political subdivisions — 81,708 — 81,708 Total securities available for sale — 189,733 — 189,733 Loans held for sale — 90,500 — 90,500 Derivatives IRLC — 1,083 — 1,083 Interest rate swaps on loans — 2,462 — 2,462 Total assets $ — $ 283,778 $ — $ 283,778 Liabilities: Derivatives Interest rate swaps on loans $ — $ 2,462 $ — $ 2,462 Cash flow hedges — 145 — 145 Forward sales of TBA securities — 25 — 25 Total liabilities $ — $ 2,632 $ — $ 2,632 Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis The Corporation may be required, from time to time, to measure and recognize certain assets at fair value on a nonrecurring basis in accordance with U.S. GAAP. The following describes the valuation techniques and inputs used by the Corporation in determining the fair value of certain assets recorded at fair value on a nonrecurring basis in the financial statements. Impaired loans. Impaired loans that are measured based on expected future cash flows discounted at the loan’s effective interest rate rather than the market rate of interest, are not recorded at fair value and are therefore excluded from fair value disclosure requirements. OREO. indicate a further deterioration in market conditions. As such, the Corporation records OREO as a nonrecurring fair value measurement classified as Level 3. The following table presents the balances of assets measured at fair value on a nonrecurring basis. September 30, 2020 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Impaired loans, net $ — $ — $ 82 $ 82 Other real estate owned, net $ — $ — $ 272 $ 272 Total $ — $ — $ 354 $ 354 December 31, 2019 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Impaired loans, net $ — $ — $ 102 $ 102 Other real estate owned, net — — 268 268 Total $ — $ — $ 370 $ 370 The following table presents quantitative information about Level 3 fair value measurements for financial assets measured at fair value on a nonrecurring basis: Fair Value Measurements at September 30, 2020 (Dollars in thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range (Weighted Average) 1 Impaired loans, net $ 82 Appraisals Discount to reflect current market conditions and estimated selling costs 25% ( 25 %) Other real estate owned, net $ 272 Appraisals Discount to reflect current market conditions and estimated selling costs 33% - 75% ( 53% ) Total $ 354 1 The weighted average of unobservable inputs is calculated based on the relative asset fair values. Fair Value of Financial Instruments FASB ASC 825, Financial Instruments The following tables reflect the carrying amounts and estimated fair values of the Corporation’s financial instruments whether or not recognized on the Consolidated Balance Sheets at fair value. Carrying Fair Value Measurements at September 30, 2020 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 25,773 $ 25,773 $ — $ — $ 25,773 Securities available for sale 272,091 — 272,091 — 272,091 Loans, net 1,319,500 — — 1,321,885 1,321,885 Loans held for sale 274,851 — 274,851 — 274,851 Derivatives IRLC 5,942 — 5,942 — 5,942 Interest rate swaps on loans 9,355 — 9,355 — 9,355 Bank-owned life insurance 19,984 — 19,984 — 19,984 Accrued interest receivable 7,829 7,829 — — 7,829 Financial liabilities: Demand deposits 1,184,371 1,184,371 — — 1,184,371 Time deposits 479,142 — 487,735 — 487,735 Borrowings 153,274 — 155,759 — 155,759 Derivatives Cash flow hedges 2,147 — 2,147 — 2,147 Interest rate swaps on loans 9,355 — 9,355 — 9,355 Forward sales of TBA securities 52 — 52 — 52 Accrued interest payable 1,091 1,091 — — 1,091 Carrying Fair Value Measurements at December 31, 2019 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 165,433 $ 165,433 $ — $ — $ 165,433 Securities available for sale 189,733 — 189,733 — 189,733 Loans, net 1,082,318 — — 1,082,783 1,082,783 Loans held for sale 90,500 — 90,500 — 90,500 Derivatives IRLC 1,083 — 1,083 — 1,083 Interest rate swaps on loans 2,462 — 2,462 — 2,462 Bank-owned life insurance 16,044 — 16,044 — 16,044 Accrued interest receivable 6,776 6,776 — — 6,776 Financial liabilities: Demand deposits 869,194 869,194 — — 869,194 Time deposits 422,056 — 423,605 — 423,605 Borrowings 161,170 — 154,964 — 154,964 Derivatives Cash flow hedges 145 — 145 — 145 Interest rate swaps on loans 2,462 — 2,462 — 2,462 Forward sales of TBA securities 25 — 25 25 Accrued interest payable 1,291 1,291 — — 1,291

Business Segments

Business Segments	9 Months Ended
Business Segments	Sep. 30, 2020
Business Segments
Business Segments	NOTE 10: Business Segments The Corporation operates in a decentralized fashion in three principal business segments: community banking, mortgage banking and consumer finance. Revenues from community banking operations consist primarily of interest earned on loans and investment securities and fees earned on deposit accounts and debit card interchange activity. Previously, the community banking segment was referred to as the retail banking segment. Mortgage banking operating revenues consist principally of gains on sales of loans in the secondary market, mortgage banking fee income related to loan originations, and interest earned on mortgage loans held for sale. Revenues from consumer finance consist primarily of interest earned on purchased retail installment sales contracts. C&F Wealth Management derives revenues from offering wealth management services and insurance products through third-party service providers. The Corporation’s revenues and expenses are comprised primarily of interest expense associated with the Corporation’s trust preferred capital notes, general corporate expenses, and changes in the value of the rabbi trust and deferred compensation liability related to its nonqualified deferred compensation plan. The results of C&F Wealth Management and the Corporation are not significant to the Corporation on a consolidated basis and are included in “Other.” Three Months Ended September 30, 2020 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 15,242 $ 1,503 $ 9,628 $ — $ (2,551) $ 23,822 Gains on sales of loans — 9,755 — — (49) 9,706 Other noninterest income 2,831 2,915 93 1,396 (3) 7,232 Total operating income 18,073 14,173 9,721 1,396 (2,603) 40,760 Expenses: Provision for loan losses 1,500 — 1,800 — — 3,300 Interest expense 2,547 449 2,191 342 (2,552) 2,977 Salaries and employee benefits 7,442 4,872 2,190 1,263 — 15,767 Depreciation and amortization 916 71 42 43 — 1,072 Other noninterest expenses 4,435 2,691 1,298 68 — 8,492 Total operating expenses 16,840 8,083 7,521 1,716 (2,552) 31,608 Income (loss) before income taxes 1,233 6,090 2,200 (320) (51) 9,152 Income tax expense (benefit) 90 1,640 599 (95) — 2,234 Net income (loss) $ 1,143 $ 4,450 $ 1,601 $ (225) $ (51) $ 6,918 Total assets $ 1,923,207 $ 294,808 $ 311,898 $ 42,402 $ (491,464) $ 2,080,851 Capital expenditures $ 3,234 $ 14 $ 954 $ — $ — $ 4,202 Three Months Ended September 30, 2019 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 15,060 $ 814 $ 10,442 $ — $ (2,324) $ 23,992 Gains on sales of loans — 3,205 — — — 3,205 Other noninterest income 2,862 1,453 128 582 — 5,025 Total operating income 17,922 5,472 10,570 582 (2,324) 32,222 Expenses: Provision for loan losses — — 1,800 — — 1,800 Interest expense 2,684 541 2,596 272 (2,324) 3,769 Salaries and employee benefits 7,161 1,769 2,229 571 — 11,730 Depreciation and amortization 852 60 48 126 — 1,086 Other noninterest expenses 4,372 1,466 1,286 362 — 7,486 Total operating expenses 15,069 3,836 7,959 1,331 (2,324) 25,871 Income (loss) before income taxes 2,853 1,636 2,611 (749) — 6,351 Income tax expense (benefit) 460 426 710 (130) — 1,466 Net income (loss) $ 2,393 $ 1,210 $ 1,901 $ (619) $ — $ 4,885 Total assets $ 1,430,083 $ 110,452 $ 315,278 $ 18,878 $ (255,310) $ 1,619,381 Capital expenditures $ 453 $ 60 $ 17 $ — $ — $ 530 Nine Months Ended September 30, 2020 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 46,051 $ 3,261 $ 29,418 $ — $ (6,546) $ 72,184 Gains on sales of loans — 18,036 — — (49) 17,987 Other noninterest income 7,684 6,913 290 2,643 (3) 17,527 Total operating income 53,735 28,210 29,708 2,643 (6,598) 107,698 Expenses: Provision for loan losses 3,900 — 5,650 — — 9,550 Interest expense 8,409 1,034 6,567 1,019 (6,547) 10,482 Salaries and employee benefits 23,142 8,989 6,567 2,240 — 40,938 Depreciation and amortization 2,550 216 133 129 — 3,028 Other noninterest expenses 14,456 6,508 3,696 582 — 25,242 Total operating expenses 52,457 16,747 22,613 3,970 (6,547) 89,240 Income (loss) before income taxes 1,278 11,463 7,095 (1,327) (51) 18,458 Income tax (benefit) expense (503) 3,149 1,926 (414) — 4,158 Net income (loss) $ 1,781 $ 8,314 $ 5,169 $ (913) $ (51) $ 14,300 Total assets $ 1,923,207 $ 294,808 $ 311,898 $ 42,402 $ (491,464) $ 2,080,851 Capital expenditures $ 5,554 $ 340 $ 1,761 $ — $ — $ 7,655 Nine Months Ended September 30, 2019 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 44,803 $ 1,833 $ 30,952 $ 4 $ (6,373) $ 71,219 Gains on sales of loans — 8,296 — — — 8,296 Other noninterest income 8,193 3,626 367 3,053 — 15,239 Total operating income 52,996 13,755 31,319 3,057 (6,373) 94,754 Expenses: Provision for loan losses 110 — 5,895 — — 6,005 Interest expense 7,352 1,113 7,765 867 (6,373) 10,724 Salaries and employee benefits 21,012 4,527 6,483 3,110 — 35,132 Depreciation and amortization 2,445 181 150 136 — 2,912 Other noninterest expenses 12,822 3,924 3,970 768 — 21,484 Total operating expenses 43,741 9,745 24,263 4,881 (6,373) 76,257 Income (loss) before income taxes 9,255 4,010 7,056 (1,824) — 18,497 Income tax expense (benefit) 1,501 1,051 1,921 (474) — 3,999 Net income (loss) $ 7,754 $ 2,959 $ 5,135 $ (1,350) $ — $ 14,498 Total assets $ 1,430,083 $ 110,452 $ 315,278 $ 18,878 $ (255,310) $ 1,619,381 Capital expenditures $ 1,741 $ 136 $ 57 $ 67 $ — $ 2,001 During the nine months ended September 30, 2020, the Corporation recorded merger related expenses of $1.40 million ($1.13 million after income taxes), in connection with its acquisition of Peoples, of which $1.30 million ($1.03 million after income taxes) was allocated to the community banking segment and recorded as $119,000 of salaries and benefits expense, $879,000 of other noninterest expense and a loss on disposal of equipment of $298,000 included in other noninterest income. The remainder was recorded as other noninterest expense at the holding company. No merger related expenses were recorded during the three months ended September 30, 2020. In the third quarter and first nine months of 2019, the Corporation recorded merger related expenses of $409,000 ($389,000 after income taxes) in connection with its pending acquisition of Peoples, of which $104,000 ($89,000 after income taxes) was allocated to the retail banking segment and recorded as other noninterest expense. The remainder was recorded as other noninterest expense at the holding company. The community banking segment extends two warehouse lines of credit to the mortgage banking segment, providing a portion of the funds needed to originate mortgage loans. The community banking segment charges the mortgage banking segment interest at the daily FHLB advance rate plus a spread ranging from 50 basis points to 175 basis points. The community banking segment also provides the consumer finance segment with a portion of the funds needed to purchase loan contracts by means of variable rate notes that carry interest at one-month LIBOR plus 200 basis points, with a floor of 3.5 percent and fixed rate notes that carry interest at rates ranging from 2.4 percent to 8.0 percent. The community banking segment acquires certain residential real estate loans from the mortgage banking segment at prices similar to those paid by third-party investors. These transactions are eliminated to reach consolidated totals. Certain corporate overhead costs incurred by the community banking segment are not allocated to the mortgage banking, consumer finance and other segments.

Commitments and Contingent Liab

Commitments and Contingent Liabilities	9 Months Ended
Commitments and Contingent Liabilities	Sep. 30, 2020
Commitments and Contingent Liabilities
Commitments and Contingent Liabilities	NOTE 11: Commitments and Contingent Liabilities The Corporation enters into commitments to extend credit in the normal course of business to meet the financing needs of its customers, including loan commitments and standby letters of credit. These instruments involve elements of credit and interest rate risk in excess of the amounts recorded on the Consolidated Balance Sheets. The Corporation’s exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to extend credit and standby letters of credit written is represented by the contractual amount of these instruments. The Corporation uses the same credit policies in making commitments and conditional obligations as it does for on-balance-sheet instruments. Collateral is obtained based on management’s credit assessment of the customer. Loan commitments are agreements to extend credit to a customer provided that there are no violations of the terms of the contract prior to funding. Commitments have fixed expiration dates or other termination clauses and may require payment of a fee by the customer. Because many of the commitments may expire without being completely drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Bank evaluates each customer’s creditworthiness on a case-by-case basis. The amount of loan commitments at the Bank was $311.06 million at September 30, 2020 and $256.15 million at December 31, 2019, which does not include IRLCs at the mortgage banking segment, which are discussed in Note 12. Standby letters of credit are written conditional commitments issued by the Bank to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. The total contract amount of standby letters of credit, whose contract amounts represent credit risk, was $17.86 million at September 30, 2020 and $16.60 million at December 31, 2019. The mortgage banking segment sells substantially all of the residential mortgage loans it originates to third-party investors. As is customary in the industry, the agreements with these investors require the mortgage banking segment to extend representations and warranties with respect to program compliance, borrower misrepresentation, fraud, and early payment performance. Under the agreements, the investors are entitled to make loss claims and repurchase requests of the mortgage banking segment for loans that contain covered deficiencies. The mortgage banking segment has obtained early payment default recourse waivers for a portion of its business. Recourse periods for early payment default for the remaining investors vary from 90 days up to one year. Recourse periods for borrower misrepresentation or fraud, or underwriting error do not have a stated time limit. The mortgage banking segment maintains an allowance for indemnifications that represents management’s estimate of losses that are probable of arising under these recourse provisions. As performance data for loans that have been sold is not made available to the mortgage banking segment by the investors, the evaluation of potential losses is inherently subjective. A schedule of expected losses on loans with claims or indemnifications is maintained to ensure the reserve is adequate to cover estimated losses. For the three and nine months ended September 30, 2020, the Corporation recorded $9,000 and $172,000 of provision for indemnifications, compared to no provision for indemnifications for the three and nine months ended September 30, 2019, respectively. The allowance for indemnifications was $2.65 million at September 30, 2020 and $2.48 million at December 31, 2019.

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
Derivative Financial Instruments	Sep. 30, 2020
Derivative Financial Instruments
Derivative Financial Instruments	NOTE 12: Derivative Financial Instruments The Corporation uses derivative financial instruments primarily to manage risks to the Corporation associated with changing interest rates, and to assist customers with their risk management objectives. The Corporation designates certain interest rate swaps as hedging instruments in qualifying cash flow hedges. The changes in fair value of these designated hedging instruments is reported as a component of other comprehensive income. Derivative contracts that are not designated in a qualifying hedging relationship include customer accommodation loan swaps and contracts related to mortgage banking activities. Cash flow hedges All interest rate swaps were entered into with counterparties that met the Corporation’s credit standards and the agreements contain collateral provisions protecting the at-risk party. The Corporation believes that the credit risk inherent in these derivative contracts is not significant. Unrealized gains or losses recorded in other comprehensive income related to cash flow hedges are reclassified into earnings in the same period(s) during which the hedged interest payments affect earnings. When a designated hedging instrument is terminated and the hedged interest payments remain probable of occurring, any remaining unrecognized gain or loss in other comprehensive income is reclassified into earnings in the period(s) during which the forecasted interest payments affect earnings. Amounts reclassified into earnings and interest receivable or payable under designated interest rate swaps are reported in interest expense. The Corporation does not expect any unrealized losses related to cash flow hedges to be reclassified into earnings in the next twelve months. Loan swaps Mortgage banking At September 30, 2020, the mortgage banking segment had $307.39 million of IRLCs and $250.91 million of unpaid principal on mortgage loans held for sale for which it managed interest rate risk using best-efforts forward sales contracts for $558.30 million in mortgage loans. Also at September 30, 2020, the mortgage banking segment had $10.40 million of IRLCs and $14.79 million of unpaid principal on mortgage loans held for sale for which it managed interest rate risk using forward sales of $15.25 million of TBA securities and mandatory-delivery forward sales contracts for $7.89 million in mortgage loans. At December 31, 2019, the mortgage banking segment had $63.35 million of IRLCs and $65.77 million of unpaid principal on mortgage loans held for sale for which it managed interest rate risk using best-efforts forward sales contracts for $129.12 million in mortgage loans. Also at December 31, 2019, the mortgage banking segment had $11.72 million of IRLCs and $21.98 million of unpaid principal on mortgage loans held for sale for which it managed interest rate risk using forward sales of $24.0 million of TBA securities and mandatory-delivery forward sales contracts for $6.73 million in mortgage loans. The following tables summarize key elements of the Corporation’s derivative instruments other than forward sales of mortgage loans. The fair values of forward sales of mortgage loans were not material to the consolidated financial statements of the Corporation at September 30, 2020 or December 31, 2019. September 30, 2020 Notional (Dollars in thousands) Amount Assets Liabilities Cash flow hedges: Interest rate swap contracts $ 25,000 $ — $ 2,147 Not designated as hedges: Customer-related interest rate swap contracts: Matched interest rate swaps with borrower 85,028 9,355 — Matched interest rate swaps with counterparty 85,028 — 9,355 Mortgage banking contracts: IRLCs 317,783 5,942 — Forward sales of TBA securities 15,250 — 52 December 31, 2019 Notional (Dollars in thousands) Amount Assets Liabilities Cash flow hedges: Interest rate swap contracts $ 25,000 $ — $ 145 Not designated as hedges: Customer-related interest rate swap contracts: Matched interest rate swaps with borrower 74,266 2,454 8 Matched interest rate swaps with counterparty 74,266 8 2,454 Mortgage banking contracts: IRLCs 75,073 1,083 — Forward sales of TBA securities 24,000 — 25 The Corporation is required to maintain cash collateral with dealer counterparties for derivative instruments in a loss position, subject to certain thresholds and offsets. At September 30, 2020 and at December 31, 2019, $11.86 million and $2.52 million, respectively, of cash collateral was maintained with dealer counterparties and was included in “Other assets” in the Consolidated Balance Sheets.

Other Noninterest Expenses

Other Noninterest Expenses	9 Months Ended
Other Noninterest Expenses	Sep. 30, 2020
Other Noninterest Expenses
Other Noninterest Expenses	NOTE 13: Other Noninterest Expenses The following table presents the significant components in the Consolidated Statements of Income line “Noninterest Expenses-Other.” Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2020 2019 2020 2019 Data processing fees $ 2,607 $ 2,345 $ 8,142 $ 6,561 Professional fees 706 1,061 2,424 2,414 Tax service and investor fees 554 359 1,335 797 Marketing and advertising expenses 369 485 1,207 1,293 Telecommunication expenses 311 337 1,092 985 Travel and educational expenses 430 290 974 996 All other noninterest expenses 2,456 1,721 6,765 5,358 Total other noninterest expenses $ 7,433 $ 6,598 $ 21,939 $ 18,404 The table above includes merger related expenses for the nine months ended September 30, 2020 of $898,000, of which $501,000 was included in data processing fees, $336,000 was included in professional fees, and $61,000 was included in all other noninterest expenses. There were no merger related expenses recorded during the three months ended September 30, 2020. The table above includes merger related expenses for the three and nine months ended September 30, 2019 of $409,000, of which $392,000 was included in professional fees, $1,000 was included in telecommunication expenses and $16,000 was included in all other noninterest expenses.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
Summary of Significant Accounting Policies (Policies)	Sep. 30, 2020
Summary of Significant Accounting Policies
Principles of Consolidation	Principles of Consolidation: The unaudited consolidated financial statements include the accounts of C&F Financial Corporation (the Corporation) and its direct wholly-owned subsidiary, Citizens and Farmers Bank (the Bank or C&F Bank) and indirect subsidiaries that are wholly-owned or controlled. Subsidiaries that are less than wholly owned are fully consolidated if they are controlled by the Corporation or one of its subsidiaries, and the portion of any subsidiary not owned by the Corporation is reported as noncontrolling interest. All significant intercompany accounts and transactions have been eliminated in consolidation. In addition, the Corporation owns all of the common stock of C&F Financial Statutory Trust I, C&F Financial Statutory Trust II and Central Virginia Bankshares Statutory Trust I, all of which are unconsolidated subsidiaries. The subordinated debt owed to these trusts is reported as liabilities of the Corporation. The accounting and reporting policies of the Corporation conform to U.S. GAAP and to predominant practices within the banking industry.
Nature of Operations	Nature of Operations: C&F Bank has five wholly-owned subsidiaries: C&F Mortgage Corporation (C&F Mortgage), C&F Finance Company (C&F Finance), C&F Wealth Management Corporation (C&F Wealth Management), C&F Insurance Services, Inc. and CVB Title Services, Inc., all incorporated under the laws of the Commonwealth of Virginia. C&F Mortgage, organized in September 1995, originates and sells residential mortgages, provides mortgage loan origination services to third-party lenders and, through its subsidiary Certified Appraisals LLC, provides ancillary mortgage loan production services for residential appraisals. C&F Mortgage owns a 51 percent interest in C&F Select LLC, which was organized in January 2019 and is also engaged in the business of originating and selling residential mortgages. C&F Finance, acquired in September 2002, is a finance company purchasing automobile, marine and recreational vehicle (RV) loans through indirect lending programs. C&F Wealth Management, organized in April 1995, is a full-service brokerage firm offering a comprehensive range of wealth management services and insurance products through third-party service providers. C&F Insurance Services, Inc., was organized in July 1999, for the primary purpose of owning an equity interest in an independent insurance agency that operates in Virginia and North Carolina. CVB Title Services, Inc. was organized for the primary purpose of owning an equity interest in a full service title and settlement agency. Business segment data is presented in Note 10.
Basis of Presentation	Basis of Presentation: The COVID-19 pandemic has caused a significant disruption in economic activity worldwide, including in market areas served by the Corporation. Estimates for the allowance for loan losses at September 30, 2020 include losses related to the pandemic. The Corporation expects that the pandemic will continue to have an effect on its results of operations. If economic conditions deteriorate further, then additional provision for loan losses may be required in future periods. It is unknown how long these conditions will last and what the ultimate financial impact will be to the Corporation. Depending on the severity and duration of the economic consequences of the pandemic, the Corporation’s goodwill may become impaired.
Reclassification	Reclassification:
Business Combination	Business Combination:
Subordinated Notes	Subordinated Notes:
Derivative Financial Instruments	Derivative Financial Instruments:
Leases	Leases: million, respectively. During the nine months ended September 30, 2020, the Corporation obtained right of use assets in exchange for lease liabilities under finance leases of September 30, December 31, (Dollars in thousands) 2020 2019 Operating leases: Right of use assets $ 2,345 $ 2,785 Lease liabilities 2,439 2,813 Finance leases: Right of use assets $ 6,271 $ — Lease liabilities 6,370 —
Income Taxes	Income Taxes:
Share-Based Compensation	Share-Based Compensation: A summary of activity for restricted stock awards during the first nine months of 2020 and 2019 is presented below: 2020 Weighted- Average Grant Date Shares Fair Value Unvested, December 31, 2019 142,020 $ 48.88 Granted 14,770 53.03 Vested (16,555) 40.20 Forfeited (3,530) 52.86 Unvested, September 30, 2020 136,705 50.32 2019 Weighted- Average Grant Date Shares Fair Value Unvested, December 31, 2018 139,455 $ 45.75 Granted 16,670 51.79 Vested (17,990) 41.55 Forfeited (680) 50.44 Unvested, September 30, 2019 137,455 47.01
Paycheck Protection Program	Paycheck Protection Program:
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements: On January 1, 2020, the Corporation adopted Accounting Standards Update (ASU) 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement.”
Recent Significant Accounting Pronouncements	Recent Significant Accounting Pronouncements: In June 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-13, “ Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments Financial Instruments – Credit Losses (Topic 326): Targeted Transition Relief Financial Instruments— Credit losses (Topic 326), Derivatives and hedging (Topic 815), and Leases (Topic 842)—Effective dates, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Financial Instruments-Credit Losses (Topic 326) and Leases (Topic 842) Codification Improvements to Financial Instruments The amendments of ASC 326, upon adoption, will be applied on a modified retrospective basis, with the cumulative effect of adopting the new standard being recorded as an adjustment to opening retained earnings in the period of adoption. The Corporation has established a working group to prepare for and implement changes related to ASC 326 and has gathered historical loan loss data for purposes of evaluating appropriate portfolio segmentation and modeling methods under the standard. The Corporation has performed procedures to validate the historical loan loss data to ensure its suitability and reliability for purposes of developing an estimate of expected credit losses under ASC 326. The Corporation has engaged a vendor to assist in modeling expected lifetime losses under ASC 326, and is continuing to develop and refine an approach to estimating the allowance for credit losses. The adoption of ASC 326 will result in significant changes to the Corporation’s consolidated financial statements, which may include changes in the level of the allowance for credit losses that will be considered adequate, a reduction in total equity and regulatory capital of C&F Bank, differences in the timing of recognizing changes to the allowance for credit losses and expanded disclosures about the allowance for credit losses. The Corporation has not yet determined an estimate of the effect of these changes. The adoption of the standard will also result in significant changes in the Corporation’s internal control over financial reporting related to the allowance for credit losses. In August 2018, the FASB issued ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans.” Other accounting standards that have been issued by the FASB or other standards-setting bodies are not currently expected to have a material effect on the Corporation’s financial position, results of operations or cash flows.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
Summary of Significant Accounting Policies (Tables)	Sep. 30, 2020
Summary of Significant Accounting Policies
Summary of operating and finance lease	September 30, December 31, (Dollars in thousands) 2020 2019 Operating leases: Right of use assets $ 2,345 $ 2,785 Lease liabilities 2,439 2,813 Finance leases: Right of use assets $ 6,271 $ — Lease liabilities 6,370 —
Summary of activity for restricted stock awards	2020 Weighted- Average Grant Date Shares Fair Value Unvested, December 31, 2019 142,020 $ 48.88 Granted 14,770 53.03 Vested (16,555) 40.20 Forfeited (3,530) 52.86 Unvested, September 30, 2020 136,705 50.32 2019 Weighted- Average Grant Date Shares Fair Value Unvested, December 31, 2018 139,455 $ 45.75 Granted 16,670 51.79 Vested (17,990) 41.55 Forfeited (680) 50.44 Unvested, September 30, 2019 137,455 47.01

Business Combination (Tables)

Business Combination (Tables)	9 Months Ended
Business Combination (Tables)	Sep. 30, 2020
Schedule of acquired loans	September 30, 2020 December 31, 2019 Acquired Loans - Acquired Loans - Acquired Loans - Acquired Loans - Purchased Purchased Acquired Loans - Purchased Purchased Acquired Loans - (Dollars in thousands) Credit Impaired Performing Total Credit Impaired Performing Total Outstanding principal balance $ 18,319 $ 103,982 $ 122,301 $ 6,262 $ 27,839 $ 34,101 Carrying amount Real estate – residential mortgage $ 1,724 $ 19,628 $ 21,352 $ 107 $ 7,035 $ 7,142 Real estate – construction — 3,153 3,153 — — — Commercial, financial and agricultural 1 5,398 66,384 71,782 563 11,338 11,901 Equity lines 81 10,387 10,468 35 8,046 8,081 Consumer 371 2,164 2,535 — 3 3 Total acquired loans $ 7,574 $ 101,716 $ 109,290 $ 705 $ 26,422 $ 27,127 1 Includes acquired loans classified by the Corporation as commercial real estate lending and commercial business lending.
Peoples Bankshares, Incorporated (Peoples)
Schedule of total consideration paid, the fair values of assets acquired and liabilities assumed, and the resulting goodwill	Amounts Recognized as of (Dollars in thousands) January 1, 2020 Purchase price: Cash paid $ 10,579 Common stock issued 11,612 Total purchase price $ 22,191 Identifiable assets acquired: Cash and cash equivalents $ 29,680 Securities available for sale 17,169 Loans 124,195 Accrued interest receivable 430 Corporate premises and equipment 3,105 Other real estate owned 281 Core deposit intangible asset 1,711 Bank-owned life insurance 3,591 Investment in small business investment company 1,493 Other receivables 5,234 Other assets 3,658 Total identifiable assets acquired 190,547 Identifiable liabilities assumed: Demand and savings deposits 94,798 Time deposits 77,018 Borrowings 4,245 Accrued interest payable 260 Salaries, benefits and deferred compensation 2,054 Other liabilities 747 Total identifiable liabilities assumed 179,122 Net identifiable assets acquired $ 11,425 Goodwill resulting from acquisition $ 10,766
Schedule of acquired loans	(Dollars in thousands) January 1, 2020 Contractual principal and interest due $ 20,310 Nonaccretable difference (7,679) Expected cash flows 12,631 Accretable yield (3,372) Purchase credit impaired loans - estimated fair value $ 9,259
Schedule of unaudited pro forma amounts	Unaudited Pro Forma Unaudited Pro Forma Three Months Ended Nine Months Ended (Dollars in thousands, except per share amounts) September 30, 2019 September 30, 2019 Total revenues (net interest income plus nonintererest income) $ 30,329 $ 89,792 Net income $ 5,257 $ 15,515 Net income per share, basic and diluted $ 1.44 $ 4.23

Securities (Tables)

Securities (Tables)	9 Months Ended
Securities (Tables)	Sep. 30, 2020
Securities
Summary of available for sale debt securities	September 30, 2020 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 48,180 $ 126 $ (14) $ 48,292 Mortgage-backed securities 112,587 3,304 (53) 115,838 Obligations of states and political subdivisions 98,672 2,403 (51) 101,024 Corporate and other debt securities 6,962 1 (26) 6,937 $ 266,401 $ 5,834 $ (144) $ 272,091 December 31, 2019 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 21,454 $ 3 $ (17) $ 21,440 Mortgage-backed securities 85,649 979 (43) 86,585 Obligations of states and political subdivisions 80,656 1,111 (59) 81,708 $ 187,759 $ 2,093 $ (119) $ 189,733
Schedule of amortized cost and estimated fair value of securities, by the earlier of contractual maturity or expected maturity	September 30, 2020 Amortized (Dollars in thousands) Cost Fair Value Due in one year or less $ 66,586 $ 66,844 Due after one year through five years 143,712 148,133 Due after five years through ten years 53,135 54,051 Due after ten years 2,968 3,063 $ 266,401 $ 272,091
Schedule of gross realized gains and losses and the proceeds	Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2020 2019 2020 2019 Realized gains from sales, maturities and calls of securities: Gross realized gains $ 4 $ 3 $ 11 $ 8 Gross realized losses — — — — Net realized gains $ 4 $ 3 $ 11 $ 8 Proceeds from sales, maturities, calls and paydowns of securities $ 30,288 $ 21,954 $ 101,068 $ 55,593
Schedule of securities in an unrealized loss position	Securities in an unrealized loss position at September 30, 2020, by duration of the period of the unrealized loss, are shown below. Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Loss Value Loss Value Loss U.S. government agencies and corporations $ 15,345 $ 14 $ — $ — $ 15,345 $ 14 Mortgage-backed securities 10,335 53 — — 10,335 53 Obligations of states and political subdivisions 7,900 51 — — 7,900 51 Corporate and other debt securities 1,684 26 — — 1,684 26 Total temporarily impaired securities $ 35,264 $ 144 $ — $ — $ 35,264 $ 144 Securities in an unrealized loss position at December 31, 2019, by duration of the period of the unrealized loss, are shown below. Less Than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized (Dollars in thousands) Value Loss Value Loss Value Loss U.S. government agencies and corporations $ 6,256 $ 11 $ 4,094 $ 6 $ 10,350 $ 17 Mortgage-backed securities 4,099 7 10,166 36 14,265 43 Obligations of states and political subdivisions 9,187 53 1,368 6 10,555 59 Total temporarily impaired securities $ 19,542 $ 71 $ 15,628 $ 48 $ 35,170 $ 119

Loans (Tables)

Loans (Tables)	9 Months Ended
Loans (Tables)	Sep. 30, 2020
Loans
Summary of major classifications of loans	September 30, December 31, (Dollars in thousands) 2020 2019 Real estate – residential mortgage $ 208,044 $ 181,295 Real estate – construction 1 66,187 54,246 Commercial, financial and agricultural 2 708,867 500,812 Equity lines 49,405 52,083 Consumer 13,907 13,756 Consumer finance 311,946 312,999 1,358,356 1,115,191 Less allowance for loan losses (38,856) (32,873) Loans, net $ 1,319,500 $ 1,082,318 1 Includes the Corporation’s real estate construction lending and consumer real estate lot lending. 2 Includes the Corporation’s commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending (which includes loans originated under the PPP).
Schedule of acquired loans	September 30, 2020 December 31, 2019 Acquired Loans - Acquired Loans - Acquired Loans - Acquired Loans - Purchased Purchased Acquired Loans - Purchased Purchased Acquired Loans - (Dollars in thousands) Credit Impaired Performing Total Credit Impaired Performing Total Outstanding principal balance $ 18,319 $ 103,982 $ 122,301 $ 6,262 $ 27,839 $ 34,101 Carrying amount Real estate – residential mortgage $ 1,724 $ 19,628 $ 21,352 $ 107 $ 7,035 $ 7,142 Real estate – construction — 3,153 3,153 — — — Commercial, financial and agricultural 1 5,398 66,384 71,782 563 11,338 11,901 Equity lines 81 10,387 10,468 35 8,046 8,081 Consumer 371 2,164 2,535 — 3 3 Total acquired loans $ 7,574 $ 101,716 $ 109,290 $ 705 $ 26,422 $ 27,127 1 Includes acquired loans classified by the Corporation as commercial real estate lending and commercial business lending.
Summary of change in the accretable yield of loans classified as purchased credit impaired (PCI)	Nine Months Ended September 30, (Dollars in thousands) 2020 2019 Accretable yield, balance at beginning of period $ 4,721 $ 5,987 Additions 3,372 — Accretion (2,172) (1,760) Reclassification of nonaccretable difference due to improvement in expected cash flows 440 727 Other changes, net (1,492) 349 Accretable yield, balance at end of period $ 4,869 $ 5,303
Schedule of loans on nonaccrual status	September 30, December 31, (Dollars in thousands) 2020 2019 Real estate – residential mortgage $ 758 $ 1,526 Commercial, financial and agricultural: Commercial business lending — 11 Equity lines 193 229 Consumer 419 118 Consumer finance 282 611 Total loans on nonaccrual status $ 1,652 $ 2,495
Schedule of past due status of loans	The past due status of loans as of September 30, 2020 was as follows: 90+ Days 30 - 59 Days 60 - 89 Days 90+ Days Total Past Due and (Dollars in thousands) Past Due Past Due Past Due Past Due PCI Current 1 Total Loans Accruing Real estate – residential mortgage $ 971 $ 339 $ 618 $ 1,928 $ 1,724 $ 204,392 $ 208,044 $ — Real estate – construction: Construction lending — — — — — 50,971 50,971 — Consumer lot lending — — — — — 15,216 15,216 — Commercial, financial and agricultural: Commercial real estate lending — — — — 5,398 430,804 436,202 — Land acquisition and development lending — — — — — 43,169 43,169 — Builder line lending — — — — — 20,023 20,023 — Commercial business lending 116 — — 116 — 209,357 209,473 — Equity lines 182 — 8 190 81 49,134 49,405 8 Consumer 267 — — 267 371 13,269 13,907 — Consumer finance 6,602 842 282 7,726 — 304,220 311,946 — Total $ 8,138 $ 1,181 $ 908 $ 10,227 $ 7,574 $ 1,340,555 $ 1,358,356 $ 8 1 For the purposes of the table above, “Current” includes loans that are 1-29 days past due. The table above includes nonaccrual loans that are current of $442,000 and 90+ days past due of $901,000 as well as nonaccrual loans that are PCI of $309,000. The past due status of loans as of December 31, 2019 was as follows: 90+ Days 30 - 59 Days 60 - 89 Days 90+ Days Total Past Due and (Dollars in thousands) Past Due Past Due Past Due Past Due PCI Current 1 Total Loans Accruing Real estate – residential mortgage $ 1,428 $ 161 $ 1,016 $ 2,605 $ 107 $ 178,583 $ 181,295 $ — Real estate – construction: Construction lending — — — — — 40,943 40,943 — Consumer lot lending — — — — — 13,303 13,303 — Commercial, financial and agricultural: Commercial real estate lending — — — — 563 325,991 326,554 — Land acquisition and development lending — — — — — 42,891 42,891 — Builder line lending — — — — — 26,373 26,373 — Commercial business lending 73 18 — 91 — 104,903 104,994 — Equity lines 229 56 223 508 35 51,540 52,083 109 Consumer 20 10 — 30 — 13,726 13,756 — Consumer finance 11,034 1,420 611 13,065 — 299,934 312,999 — Total $ 12,784 $ 1,665 $ 1,850 $ 16,299 $ 705 $ 1,098,187 $ 1,115,191 $ 109 1 For the purposes of the table above, “Current” includes loans that are 1-29 days past due.
Schedule of loan modifications classified as TDRs	Three Months Ended September 30, 2020 2019 Number of Recorded Number of Recorded (Dollars in thousands) Loans Investment Loans Investment Real estate – residential mortgage 2 $ 176 2 $ 95 Total 2 $ 176 2 $ 95 Nine Months Ended September 30, 2020 2019 Number of Recorded Number of Recorded (Dollars in thousands) Loans Investment Loans Investment Real estate – residential mortgage 2 $ 176 2 $ 95 Equity lines 1 84 — — Consumer — — 1 $ 121 Total 3 $ 260 3 $ 216
Schedule of impaired loans	Impaired loans, which included TDRs of $3.95 million, and the related allowance at September 30, 2020 were as follows: Recorded Recorded Investment Investment Average Unpaid in Loans in Loans Balance- Interest Principal without with Related Impaired Income (Dollars in thousands) Balance Specific Reserve Specific Reserve Allowance Loans Recognized Real estate – residential mortgage $ 3,054 $ 1,384 $ 1,520 $ 129 $ 3,068 $ 83 Commercial, financial and agricultural: Commercial real estate lending 1,399 — 1,399 106 1,406 55 Equity lines 120 112 — — 119 1 Consumer 123 — 110 105 113 — Total $ 4,696 $ 1,496 $ 3,029 $ 340 $ 4,706 $ 139 Impaired loans, which included TDRs of $4.35 million, and the related allowance at December 31, 2019 were as follows: Recorded Recorded Investment Investment Average Unpaid in Loans in Loans Balance- Interest Principal without with Related Impaired Income (Dollars in thousands) Balance Specific Reserve Specific Reserve Allowance Loans Recognized Real estate – residential mortgage $ 3,891 $ 2,192 $ 1,479 $ 72 $ 3,506 $ 155 Commercial, financial and agricultural: Commercial real estate lending 1,459 4 1,447 77 1,581 82 Equity lines 31 31 — — 32 2 Consumer 130 — 121 118 123 — Total $ 5,511 $ 2,227 $ 3,047 $ 267 $ 5,242 $ 239

Allowance for Loan Losses (Tabl

Allowance for Loan Losses (Tables)	9 Months Ended
Allowance for Loan Losses (Tables)	Sep. 30, 2020
Allowance for Loan Losses
Schedule of changes in the allowance for loan losses	The following table presents the changes in the allowance for loan losses by major classification during the nine months ended September 30, 2020: Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance for loan losses: Balance at December 31, 2019 $ 2,080 $ 681 $ 7,121 $ 733 $ 465 $ 21,793 $ 32,873 Provision charged (credited) to operations 337 232 3,446 (78) (37) 5,650 9,550 Loans charged off (9) — (18) — (174) (7,005) (7,206) Recoveries of loans previously charged off 79 — 3 — 135 3,422 3,639 Balance at September 30, 2020 $ 2,487 $ 913 $ 10,552 $ 655 $ 389 $ 23,860 $ 38,856 The following table presents the changes in the allowance for loan losses by major classification during the nine months ended September 30, 2019: Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance for loan losses: Balance at December 31, 2018 $ 2,246 $ 727 $ 6,688 $ 1,106 $ 257 $ 22,999 $ 34,023 Provision (credited) charged to operations (85) 77 103 (214) 229 5,895 6,005 Loans charged off (46) — (29) (19) (261) (10,092) (10,447) Recoveries of loans previously charged off 20 — 4 — 173 3,440 3,637 Balance at September 30, 2019 $ 2,135 $ 804 $ 6,766 $ 873 $ 398 $ 22,242 $ 33,218
Schedule of balance of the allowance for loan losses and the balance of loans by impairment methodology	The following table presents, as of September 30, 2020, the balance of the allowance for loan losses and the balance of loans by impairment methodology. Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance balance attributable to loans: Individually evaluated for impairment $ 129 $ — $ 106 $ — $ 105 $ — $ 340 Collectively evaluated for impairment 2,358 913 10,446 655 284 23,860 38,516 Acquired loans - PCI — — — — — — — Total allowance $ 2,487 $ 913 $ 10,552 $ 655 $ 389 $ 23,860 $ 38,856 Loans: Individually evaluated for impairment $ 2,904 $ — $ 1,399 $ 112 $ 110 $ — $ 4,525 Collectively evaluated for impairment 203,416 66,187 702,070 49,212 13,426 311,946 1,346,257 Acquired loans - PCI 1,724 — 5,398 81 371 — 7,574 Total loans $ 208,044 $ 66,187 $ 708,867 $ 49,405 $ 13,907 $ 311,946 $ 1,358,356 The following table presents, as of December 31, 2019, the balance of the allowance for loan losses, the allowance by impairment methodology, total loans and loans by impairment methodology. Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Allowance balance attributable to loans: Individually evaluated for impairment $ 72 $ — $ 77 $ — $ 118 $ — $ 267 Collectively evaluated for impairment 2,008 681 7,044 733 347 21,793 32,606 Acquired loans - PCI — — — — — — — Total allowance $ 2,080 $ 681 $ 7,121 $ 733 $ 465 $ 21,793 $ 32,873 Loans: Individually evaluated for impairment $ 3,671 $ — $ 1,451 $ 31 $ 121 $ — $ 5,274 Collectively evaluated for impairment 177,517 54,246 498,798 52,017 13,635 312,999 1,109,212 Acquired loans - PCI 107 — 563 35 — — 705 Total loans $ 181,295 $ 54,246 $ 500,812 $ 52,083 $ 13,756 $ 312,999 $ 1,115,191
Schedule of loans by credit quality indicators	Loans by credit quality indicators as of September 30, 2020 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 205,126 $ 1,245 $ 915 $ 758 $ 208,044 Real estate – construction: Construction lending 50,971 — — — 50,971 Consumer lot lending 15,216 — — — 15,216 Commercial, financial and agricultural: Commercial real estate lending 408,667 16,840 10,695 — 436,202 Land acquisition and development lending 36,767 6,402 — — 43,169 Builder line lending 20,023 — — — 20,023 Commercial business lending 203,669 5,704 100 — 209,473 Equity lines 49,039 165 8 193 49,405 Consumer 13,426 58 4 419 13,907 $ 1,002,904 $ 30,414 $ 11,722 $ 1,370 $ 1,046,410 1 At September 30, 2020, the Corporation did not have any loans classified as Doubtful or Loss. Included in the table above are loans purchased in connection with the acquisition of Peoples of $83.71 million pass rated, $1.39 million special mention, $2.70 million substandard and $309,000 substandard nonaccrual. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 311,664 $ 282 $ 311,946 Loans by credit quality indicators as of December 31, 2019 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 177,049 $ 1,839 $ 881 $ 1,526 $ 181,295 Real estate – construction: Construction lending 40,943 — — — 40,943 Consumer lot lending 13,303 — — — 13,303 Commercial, financial and agricultural: Commercial real estate lending 323,218 3,266 70 — 326,554 Land acquisition and development lending 33,870 9,021 — — 42,891 Builder line lending 25,995 378 — — 26,373 Commercial business lending 104,291 692 — 11 104,994 Equity lines 51,662 181 11 229 52,083 Consumer 13,632 6 — 118 13,756 $ 783,963 $ 15,383 $ 962 $ 1,884 $ 802,192 1 At December 31, 2019, the Corporation did not have any loans classified as Doubtful or Loss. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 312,388 $ 611 $ 312,999

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	9 Months Ended
Goodwill and Other Intangible Assets (Tables)	Sep. 30, 2020
Goodwill and Other Intangible Assets
Schedule of changes in goodwill, by reporting unit	Community Consumer (Dollars in thousands) Banking Finance Total Balance as of January 1, 2020 $ 3,702 $ 10,723 $ 14,425 Acquisition of Peoples Bankshares, Incorporated 10,766 — 10,766 Balance at September 30, 2020 $ 14,468 $ 10,723 $ 25,191
Schedule of gross carrying amounts and accumulated amortization of other intangible assets	September 30, December 31, 2020 2019 Gross Gross Carrying Accumulated Carrying Accumulated (Dollars in thousands) Amount Amortization Amount Amortization Amortized intangible assets: Core deposit intangibles $ 1,711 $ (128) $ — $ — Other intangibles 1,405 (614) 1,405 (493) Total $ 3,116 $ (742) $ 1,405 $ (493)

Equity, Other Comprehensive I_2

Equity, Other Comprehensive Income and Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2020
Equity, Other Comprehensive Income and Earnings Per Share
Schedule of the components of accumulated other comprehensive loss, net of deferred taxes	September 30, December 31, (Dollars in thousands) 2020 2019 Net unrealized gains on securities $ 4,495 $ 1,560 Net unrecognized losses on cash flow hedges (1,562) (69) Net unrecognized losses on defined benefit plan (3,663) (3,740) Total accumulated other comprehensive loss, net $ (730) $ (2,249)
Schedule of components earnings per share calculations	Three Months Ended September 30, (Dollars in thousands) 2020 2019 Net income attributable to C&F Financial Corporation $ 6,793 $ 4,880 Weighted average shares outstanding — 3,648,515 3,430,298 Nine Months Ended September 30, (Dollars in thousands) 2020 2019 Net income attributable to C&F Financial Corporation $ 14,117 $ 14,494 Weighted average shares outstanding — 3,646,951 3,459,191

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	9 Months Ended
Employee Benefit Plans (Tables)	Sep. 30, 2020
Employee Benefit Plans
Schedule of net periodic benefit costs	Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2020 2019 2020 2019 Components of net periodic benefit cost: Service cost, included in salaries and employee benefits $ 401 $ 305 $ 1,202 $ 914 Other components of net periodic benefit cost: Interest cost 138 152 413 456 Expected return on plan assets (374) (324) (1,119) (973) Amortization of prior service credit (17) (17) (51) (51) Amortization of net obligation at transition — — — — Recognized net actuarial losses 49 47 148 141 Other components of net periodic benefit cost, included in other noninterest income (204) (142) (609) (427) Net periodic benefit cost $ 197 $ 163 $ 593 $ 487

Fair Value of Assets and Liab_2

Fair Value of Assets and Liabilities (Tables)	9 Months Ended
Fair Value of Assets and Liabilities (Tables)	Sep. 30, 2020
Fair Value of Assets and Liabilities
Schedule of balances of financial assets and liabilities measured at fair value on a recurring basis	September 30, 2020 Fair Value Measurements Using Assets/Liabilities at (Dollars in thousands) Level 1 Level 2 Level 3 Fair Value Assets: Securities available for sale U.S. government agencies and corporations $ — $ 48,292 $ — $ 48,292 Mortgage-backed securities — 115,838 — 115,838 Obligations of states and political subdivisions — 101,024 — 101,024 Corporate and other debt securities — 6,937 — 6,937 Total securities available for sale — 272,091 — 272,091 Loans held for sale — 274,851 — 274,851 Derivatives IRLC — 5,942 — 5,942 Interest rate swaps on loans — 9,355 — 9,355 Total assets $ — $ 562,239 $ — $ 562,239 Liabilities: Derivatives Interest rate swaps on loans $ — $ 9,355 $ — $ 9,355 Cash flow hedges — 2,147 — 2,147 Forward sales of TBA securities — 52 — 52 Total liabilities $ — $ 11,554 $ — $ 11,554 December 31, 2019 Fair Value Measurements Using Assets/Liabilities at (Dollars in thousands) Level 1 Level 2 Level 3 Fair Value Assets: Securities available for sale U.S. government agencies and corporations $ — $ 21,440 $ — $ 21,440 Mortgage-backed securities — 86,585 — 86,585 Obligations of states and political subdivisions — 81,708 — 81,708 Total securities available for sale — 189,733 — 189,733 Loans held for sale — 90,500 — 90,500 Derivatives IRLC — 1,083 — 1,083 Interest rate swaps on loans — 2,462 — 2,462 Total assets $ — $ 283,778 $ — $ 283,778 Liabilities: Derivatives Interest rate swaps on loans $ — $ 2,462 $ — $ 2,462 Cash flow hedges — 145 — 145 Forward sales of TBA securities — 25 — 25 Total liabilities $ — $ 2,632 $ — $ 2,632
Schedule of balances of assets measured at fair value on a nonrecurring basis	September 30, 2020 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Impaired loans, net $ — $ — $ 82 $ 82 Other real estate owned, net $ — $ — $ 272 $ 272 Total $ — $ — $ 354 $ 354 December 31, 2019 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Impaired loans, net $ — $ — $ 102 $ 102 Other real estate owned, net — — 268 268 Total $ — $ — $ 370 $ 370
Schedule of quantitative information about Level 3 fair value measurements for financial assets measured at fair value on a nonrecurring basis	Fair Value Measurements at September 30, 2020 (Dollars in thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range (Weighted Average) 1 Impaired loans, net $ 82 Appraisals Discount to reflect current market conditions and estimated selling costs 25% ( 25 %) Other real estate owned, net $ 272 Appraisals Discount to reflect current market conditions and estimated selling costs 33% - 75% ( 53% ) Total $ 354 1 The weighted average of unobservable inputs is calculated based on the relative asset fair values.
Schedule of carrying amounts and estimated fair values of financial instruments	Carrying Fair Value Measurements at September 30, 2020 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 25,773 $ 25,773 $ — $ — $ 25,773 Securities available for sale 272,091 — 272,091 — 272,091 Loans, net 1,319,500 — — 1,321,885 1,321,885 Loans held for sale 274,851 — 274,851 — 274,851 Derivatives IRLC 5,942 — 5,942 — 5,942 Interest rate swaps on loans 9,355 — 9,355 — 9,355 Bank-owned life insurance 19,984 — 19,984 — 19,984 Accrued interest receivable 7,829 7,829 — — 7,829 Financial liabilities: Demand deposits 1,184,371 1,184,371 — — 1,184,371 Time deposits 479,142 — 487,735 — 487,735 Borrowings 153,274 — 155,759 — 155,759 Derivatives Cash flow hedges 2,147 — 2,147 — 2,147 Interest rate swaps on loans 9,355 — 9,355 — 9,355 Forward sales of TBA securities 52 — 52 — 52 Accrued interest payable 1,091 1,091 — — 1,091 Carrying Fair Value Measurements at December 31, 2019 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 165,433 $ 165,433 $ — $ — $ 165,433 Securities available for sale 189,733 — 189,733 — 189,733 Loans, net 1,082,318 — — 1,082,783 1,082,783 Loans held for sale 90,500 — 90,500 — 90,500 Derivatives IRLC 1,083 — 1,083 — 1,083 Interest rate swaps on loans 2,462 — 2,462 — 2,462 Bank-owned life insurance 16,044 — 16,044 — 16,044 Accrued interest receivable 6,776 6,776 — — 6,776 Financial liabilities: Demand deposits 869,194 869,194 — — 869,194 Time deposits 422,056 — 423,605 — 423,605 Borrowings 161,170 — 154,964 — 154,964 Derivatives Cash flow hedges 145 — 145 — 145 Interest rate swaps on loans 2,462 — 2,462 — 2,462 Forward sales of TBA securities 25 — 25 25 Accrued interest payable 1,291 1,291 — — 1,291

Business Segments (Tables)

Business Segments (Tables)	9 Months Ended
Business Segments (Tables)	Sep. 30, 2020
Business Segments
Schedule of segment reporting information, by segment	Three Months Ended September 30, 2020 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 15,242 $ 1,503 $ 9,628 $ — $ (2,551) $ 23,822 Gains on sales of loans — 9,755 — — (49) 9,706 Other noninterest income 2,831 2,915 93 1,396 (3) 7,232 Total operating income 18,073 14,173 9,721 1,396 (2,603) 40,760 Expenses: Provision for loan losses 1,500 — 1,800 — — 3,300 Interest expense 2,547 449 2,191 342 (2,552) 2,977 Salaries and employee benefits 7,442 4,872 2,190 1,263 — 15,767 Depreciation and amortization 916 71 42 43 — 1,072 Other noninterest expenses 4,435 2,691 1,298 68 — 8,492 Total operating expenses 16,840 8,083 7,521 1,716 (2,552) 31,608 Income (loss) before income taxes 1,233 6,090 2,200 (320) (51) 9,152 Income tax expense (benefit) 90 1,640 599 (95) — 2,234 Net income (loss) $ 1,143 $ 4,450 $ 1,601 $ (225) $ (51) $ 6,918 Total assets $ 1,923,207 $ 294,808 $ 311,898 $ 42,402 $ (491,464) $ 2,080,851 Capital expenditures $ 3,234 $ 14 $ 954 $ — $ — $ 4,202 Three Months Ended September 30, 2019 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 15,060 $ 814 $ 10,442 $ — $ (2,324) $ 23,992 Gains on sales of loans — 3,205 — — — 3,205 Other noninterest income 2,862 1,453 128 582 — 5,025 Total operating income 17,922 5,472 10,570 582 (2,324) 32,222 Expenses: Provision for loan losses — — 1,800 — — 1,800 Interest expense 2,684 541 2,596 272 (2,324) 3,769 Salaries and employee benefits 7,161 1,769 2,229 571 — 11,730 Depreciation and amortization 852 60 48 126 — 1,086 Other noninterest expenses 4,372 1,466 1,286 362 — 7,486 Total operating expenses 15,069 3,836 7,959 1,331 (2,324) 25,871 Income (loss) before income taxes 2,853 1,636 2,611 (749) — 6,351 Income tax expense (benefit) 460 426 710 (130) — 1,466 Net income (loss) $ 2,393 $ 1,210 $ 1,901 $ (619) $ — $ 4,885 Total assets $ 1,430,083 $ 110,452 $ 315,278 $ 18,878 $ (255,310) $ 1,619,381 Capital expenditures $ 453 $ 60 $ 17 $ — $ — $ 530 Nine Months Ended September 30, 2020 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 46,051 $ 3,261 $ 29,418 $ — $ (6,546) $ 72,184 Gains on sales of loans — 18,036 — — (49) 17,987 Other noninterest income 7,684 6,913 290 2,643 (3) 17,527 Total operating income 53,735 28,210 29,708 2,643 (6,598) 107,698 Expenses: Provision for loan losses 3,900 — 5,650 — — 9,550 Interest expense 8,409 1,034 6,567 1,019 (6,547) 10,482 Salaries and employee benefits 23,142 8,989 6,567 2,240 — 40,938 Depreciation and amortization 2,550 216 133 129 — 3,028 Other noninterest expenses 14,456 6,508 3,696 582 — 25,242 Total operating expenses 52,457 16,747 22,613 3,970 (6,547) 89,240 Income (loss) before income taxes 1,278 11,463 7,095 (1,327) (51) 18,458 Income tax (benefit) expense (503) 3,149 1,926 (414) — 4,158 Net income (loss) $ 1,781 $ 8,314 $ 5,169 $ (913) $ (51) $ 14,300 Total assets $ 1,923,207 $ 294,808 $ 311,898 $ 42,402 $ (491,464) $ 2,080,851 Capital expenditures $ 5,554 $ 340 $ 1,761 $ — $ — $ 7,655 Nine Months Ended September 30, 2019 Community Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 44,803 $ 1,833 $ 30,952 $ 4 $ (6,373) $ 71,219 Gains on sales of loans — 8,296 — — — 8,296 Other noninterest income 8,193 3,626 367 3,053 — 15,239 Total operating income 52,996 13,755 31,319 3,057 (6,373) 94,754 Expenses: Provision for loan losses 110 — 5,895 — — 6,005 Interest expense 7,352 1,113 7,765 867 (6,373) 10,724 Salaries and employee benefits 21,012 4,527 6,483 3,110 — 35,132 Depreciation and amortization 2,445 181 150 136 — 2,912 Other noninterest expenses 12,822 3,924 3,970 768 — 21,484 Total operating expenses 43,741 9,745 24,263 4,881 (6,373) 76,257 Income (loss) before income taxes 9,255 4,010 7,056 (1,824) — 18,497 Income tax expense (benefit) 1,501 1,051 1,921 (474) — 3,999 Net income (loss) $ 7,754 $ 2,959 $ 5,135 $ (1,350) $ — $ 14,498 Total assets $ 1,430,083 $ 110,452 $ 315,278 $ 18,878 $ (255,310) $ 1,619,381 Capital expenditures $ 1,741 $ 136 $ 57 $ 67 $ — $ 2,001

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	9 Months Ended
Derivative Financial Instruments (Tables)	Sep. 30, 2020
Derivative Financial Instruments
Schedule of key elements of derivative instruments other than forward sales of mortgage loans	September 30, 2020 Notional (Dollars in thousands) Amount Assets Liabilities Cash flow hedges: Interest rate swap contracts $ 25,000 $ — $ 2,147 Not designated as hedges: Customer-related interest rate swap contracts: Matched interest rate swaps with borrower 85,028 9,355 — Matched interest rate swaps with counterparty 85,028 — 9,355 Mortgage banking contracts: IRLCs 317,783 5,942 — Forward sales of TBA securities 15,250 — 52 December 31, 2019 Notional (Dollars in thousands) Amount Assets Liabilities Cash flow hedges: Interest rate swap contracts $ 25,000 $ — $ 145 Not designated as hedges: Customer-related interest rate swap contracts: Matched interest rate swaps with borrower 74,266 2,454 8 Matched interest rate swaps with counterparty 74,266 8 2,454 Mortgage banking contracts: IRLCs 75,073 1,083 — Forward sales of TBA securities 24,000 — 25

Other Noninterest Expenses (Tab

Other Noninterest Expenses (Tables)	9 Months Ended
Other Noninterest Expenses (Tables)	Sep. 30, 2020
Other Noninterest Expenses
Schedule of other noninterest expense	Three Months Ended September 30, Nine Months Ended September 30, (Dollars in thousands) 2020 2019 2020 2019 Data processing fees $ 2,607 $ 2,345 $ 8,142 $ 6,561 Professional fees 706 1,061 2,424 2,414 Tax service and investor fees 554 359 1,335 797 Marketing and advertising expenses 369 485 1,207 1,293 Telecommunication expenses 311 337 1,092 985 Travel and educational expenses 430 290 974 996 All other noninterest expenses 2,456 1,721 6,765 5,358 Total other noninterest expenses $ 7,433 $ 6,598 $ 21,939 $ 18,404

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Nature of Operations and Business Combination (Details) $ in Thousands	Jan. 01, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020subsidiary
Nature of Operations
Land and buildings reclassified from corporate premises, net into other real estate owned		$ 835
Peoples Bankshares, Incorporated (Peoples)
Nature of Operations
Aggregate purchase price	$ 22,191
C&F Bank
Nature of Operations
Number of wholly owned subsidiaries \| subsidiary			5
C&F Mortgage \| C&F Select LLC
Nature of Operations
Interest owned (as a percent)			51.00%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Subordinated Notes (Details) - Subordinated Notes $ in Millions	Sep. 29, 2020USD ($)
Debt Instrument [Line Items]
Aggregate principal amount	$ 20
Fixed rate (as a percent)	4.875%
Period of fixed rate (in years)	5 years
Three month SOFR
Debt Instrument [Line Items]
Basis points spread on variable rate, after period of fixed rate	4.755%

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Income taxes (Details)	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Summary of Significant Accounting Policies
Effective income tax rate (as a percent)	22.50%	21.60%

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Leases (Details) - USD ($)	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Summary of Significant Accounting Policies
Right of use assets obtained in exchange for lease liabilities under operating leases	$ 842,000	$ 1,120,000
Right of use assets obtained in exchange for lease liabilities under finance leases	6,360,000
Operating leases, Right-of-use assets	$ 2,345,000		$ 2,785,000
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Other assets
Operating leases, Lease liabilities	$ 2,439,000		$ 2,813,000
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Other liabilities
Finance leases, Right of use assets	$ 6,271,000
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Other assets
Finance Lease, Lease liabilities	$ 6,370,000
Finance Lease, Liability, Statement of Financial Position [Extensible List]	Long-term Borrowings

Summary of Significant Accoun_8

Summary of Significant Accounting Policies - Restricted Stock Activity (Details) - $ / shares	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Shares
Unvested, beginning of period (in shares)	142,020
Unvested, end of period (in shares)	136,705
Restricted Stock
Shares
Unvested, beginning of period (in shares)	142,020	139,455
Granted (in shares)	14,770	16,670
Vested (in shares)	(16,555)	(17,990)
Forfeited	(3,530)	(680)
Unvested, end of period (in shares)	136,705	137,455
Weighted-Average Grant Date Fair Value
Nonvested, beginning of period (in dollars per share)	$ 48.88	$ 45.75
Granted (in dollars per share)	53.03	51.79
Vested (in dollars per share)	40.20	41.55
Forfeited (in dollars per share)	52.86	50.44
Nonvested, end of period (in dollars per share)	$ 50.32	$ 47.01

Summary of Significant Accoun_9

Summary of Significant Accounting Policies - Paycheck Protection Program (Details)	9 Months Ended
	Sep. 30, 2020
Minimum
Fees as percentage of principal amount (as a percent)	1.00%
Maximum
Fees as percentage of principal amount (as a percent)	5.00%

Summary of Significant Accou_10

Summary of Significant Accounting Policies - Share-Based Compensation (Details) - Restricted Stock	3 Months Ended	9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2020USD ($)
Share-based compensation
Compensation expense before tax	$ 311,000	$ 1,010,000
Compensation expense after tax	219,000	654,000
Unrecognized compensation expense	$ 2,950,000	$ 2,950,000

Business Combination - Consider

Business Combination - Consideration (Details) - Peoples Bankshares, Incorporated (Peoples)	Jan. 01, 2020USD ($)shares
Business Combination
Shares received for each share of common stock \| shares	0.5366
Amount received for each share of common stock \| $	$ 27
Cash consideration paid \| $	$ 10,579,000
Common stock to shareholders of acquiree \| shares	209,871

Business Combination - Purchase

Business Combination - Purchase Price Allocation (Details) - USD ($) $ in Thousands	Jan. 01, 2020	Sep. 30, 2020	Dec. 31, 2019	[1]
Identifiable liabilities assumed
Goodwill resulting from acquisition		$ 25,191	$ 14,425
Peoples Bankshares, Incorporated (Peoples)
Purchase price
Cash	$ 10,579
Stock	11,612
Total purchase price	22,191
Identifiable assets acquired
Cash and cash equivalents	29,680
Securities available for sale	17,169
Loans	124,195
Accrued interest receivable	430
Corporate premises and equipment	3,105
Other real estate owned	281
Core deposit intangible asset	1,711
Bank-owned life insurance	3,591
Investment in small business investment company	1,493
Other receivables	5,234
Other assets	3,658
Total identifiable assets acquired	190,547
Identifiable liabilities assumed
Demand and savings deposits	94,798
Time deposits	77,018
Borrowings	4,245
Accrued interest payable	260
Salaries, benefits and deferred compensation	2,054
Other liabilities	747
Total identifiable liabilities assumed	179,122
Net identifiable assets assumed	11,425
Goodwill resulting from acquisition	$ 10,766
Amortization period (in years)	15 years

[1]	Derived from audited consolidated financial statements.

Business Combination - Loans, C

Business Combination - Loans, Core Deposit Intangible and Deposits (Details) - USD ($)	Jan. 01, 2020	Sep. 30, 2020	Dec. 31, 2019
Business Combination
Outstanding principal balance		$ 122,301,000	$ 34,101,000
Loans, allowance for loan losses		38,856,000	32,873,000
Maximum
Information about PCI loans acquired
Maturity of deposits	5 years
PCI Loans
Business Combination
Outstanding principal balance		$ 18,319,000	$ 6,262,000
Peoples Bankshares, Incorporated (Peoples)
Business Combination
Outstanding principal balance	$ 131,920,000
Estimated fair value of loans acquired	124,195,000
Loans, allowance for loan losses	2,870,000
Information about PCI loans acquired
Contractual principal and interest due	20,310,000
Nonaccretable difference	(7,679,000)
Expected cash flows	12,631,000
Accretable yield	(3,372,000)
Purchase credit impaired loans - estimated fair value	9,259,000
Core deposit intangible asset	$ 1,711,000
Percentage of CDI to non-maturity deposits	1.80%
Premium of deposits	$ 557,000
Amortization period	2 years
Peoples Bankshares, Incorporated (Peoples) \| Minimum
Information about PCI loans acquired
Maturity of deposits	3 months
Peoples Bankshares, Incorporated (Peoples) \| PCI Loans
Business Combination
Outstanding principal balance	$ 4,280,000
Estimated fair value of loans acquired	$ 635,000

Business Combination - Pro form

Business Combination - Pro forma (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2019
Unaudited pro forma information
After tax merger related expenses	$ 665,000	$ 694,000
After tax merger related expenses per share (in US$ per share)	$ (0.18)	$ (0.19)
Total revenues (net interest income plus nonintererest income)	$ 30,329	$ 89,792
Net income	$ 5,257	$ 15,515
Net income per share, basic and diluted	$ 1.44	$ 4.23
Peoples Bankshares, Incorporated (Peoples)
Unaudited pro forma information
After tax merger related expenses	$ 276,000	$ 304,000

Business Combination - Merger r

Business Combination - Merger related costs (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Business Combination
Merger related costs	$ 0	$ 409,000	$ 898,000	$ 409,000
Merger related costs, after income taxes		389,000		389,000
Aggregated merger related costs	2,100,000	409,000	2,100,000	409,000
Aggregated merger related costs, after Income Taxes	$ 1,780,000		1,780,000
Peoples Bankshares, Incorporated (Peoples)
Business Combination
Merger related costs		409,000	1,400,000	409,000
Merger related costs, after income taxes		$ 389,000	$ 1,130,000	$ 389,000

Securities - Available for sale

Securities - Available for sale Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 266,401	$ 187,759
Gross Unrealized Gains	5,834	2,093
Gross Unrealized Losses	(144)	(119)
Fair Value	272,091	189,733	[1]
U.S. government agencies and corporations
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	48,180	21,454
Gross Unrealized Gains	126	3
Gross Unrealized Losses	(14)	(17)
Fair Value	48,292	21,440
Mortgage-backed securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	112,587	85,649
Gross Unrealized Gains	3,304	979
Gross Unrealized Losses	(53)	(43)
Fair Value	115,838	86,585
Obligations of states and political subdivisions
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	98,672	80,656
Gross Unrealized Gains	2,403	1,111
Gross Unrealized Losses	(51)	(59)
Fair Value	101,024	$ 81,708
Corporate and other debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	6,962
Gross Unrealized Gains	1
Gross Unrealized Losses	(26)
Fair Value	$ 6,937

[1]	Derived from audited consolidated financial statements.

Securities - Maturities and Rea

Securities - Maturities and Realized Gains and Losses (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)security	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)security	Dec. 31, 2019USD ($)
Amortized Cost
Due in one year or less	$ 66,586		$ 66,586
Due after one year through five years	143,712		143,712
Due after five years through ten years	53,135		53,135
Due after ten years	2,968		2,968
Amortized Cost	266,401		266,401		$ 187,759
Fair Value
Due in one year or less	66,844		66,844
Due after one year through five years	148,133		148,133
Due after five years through ten years	54,051		54,051
Due after ten years	3,063		3,063
Fair Value	272,091		272,091		$ 189,733	[1]
Gross realized gains and losses on and the proceeds from sales, maturities and calls of securities
Proceeds related to sales of assets acquired			8,004
Number of securities sales \| security		0		0
Gross realized gains	4	$ 3	11	$ 8
Net realized gains	4	3	11	8
Proceeds from sales, maturities, calls and paydowns of securities	$ 30,288	$ 21,954	101,068	$ 55,593
Peoples Bankshares, Incorporated (Peoples)
Gross realized gains and losses on and the proceeds from sales, maturities and calls of securities
Proceeds related to sales of assets acquired			$ 5,990

[1]	Derived from audited consolidated financial statements.

Securities - Pledged as Collate

Securities - Pledged as Collateral (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Available for sale securities
Amortized Cost	$ 266,401	$ 187,759
Fair Value	272,091	189,733	[1]
Securities Pledged as Collateral
Available for sale securities
Amortized Cost	113,060	126,220
Fair Value	$ 116,600	$ 127,470

[1]	Derived from audited consolidated financial statements.

Securities - Unrealized Loss Po

Securities - Unrealized Loss Positions (Details)	9 Months Ended
Securities - Unrealized Loss Positions (Details)	Sep. 30, 2020USD ($)security	Dec. 31, 2019USD ($)
Fair value
Less Than 12 Months, Fair Value	$ 35,264,000	$ 19,542,000
12 Months or More, Fair Value	0	15,628,000
Total Fair Value	35,264,000	35,170,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	144,000	71,000
12 Months or More, Unrealized Loss	0	48,000
Total Unrealized Loss	$ 144,000	119,000
Other information
Number of positions considered temporarily impaired \| security	29
Debt securities considered temporarily impaired	$ 35,264,000	35,170,000
Other than temporary impairment	0
U.S. government agencies and corporations
Fair value
Less Than 12 Months, Fair Value	15,345,000	6,256,000
12 Months or More, Fair Value		4,094,000
Total Fair Value	15,345,000	10,350,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	14,000	11,000
12 Months or More, Unrealized Loss		6,000
Total Unrealized Loss	14,000	17,000
Other information
Debt securities considered temporarily impaired	15,345,000	10,350,000
Mortgage-backed securities
Fair value
Less Than 12 Months, Fair Value	10,335,000	4,099,000
12 Months or More, Fair Value		10,166,000
Total Fair Value	10,335,000	14,265,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	53,000	7,000
12 Months or More, Unrealized Loss		36,000
Total Unrealized Loss	53,000	43,000
Other information
Debt securities considered temporarily impaired	10,335,000	14,265,000
Obligations of states and political subdivisions
Fair value
Less Than 12 Months, Fair Value	7,900,000	9,187,000
12 Months or More, Fair Value		1,368,000
Total Fair Value	7,900,000	10,555,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	51,000	53,000
12 Months or More, Unrealized Loss		6,000
Total Unrealized Loss	51,000	59,000
Other information
Debt securities considered temporarily impaired	7,900,000	$ 10,555,000
Corporate and other debt securities
Fair value
Less Than 12 Months, Fair Value	1,684,000
Total Fair Value	1,684,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	26,000
Total Unrealized Loss	26,000
Other information
Debt securities considered temporarily impaired	$ 1,684,000

Securities - Restricted Stocks

Securities - Restricted Stocks and others (Details) - USD ($)	9 Months Ended
	Sep. 30, 2020	Dec. 31, 2019	[1]
Securities
Investment in restricted stock	$ 3,210,000
Investment in restricted stocks	3,209,000	$ 3,257,000
Restricted stocks, other-than-temporary impairment	$ 0

[1]	Derived from audited consolidated financial statements.

Loans - Major Classifications o

Loans - Major Classifications of Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans
Loans	$ 1,358,356	$ 1,115,191
Less allowance for loan losses	(38,856)	(32,873)
Loans, net	1,319,500	1,082,318	[1]
Real estate - residential mortgage
Loans
Loans	208,044	181,295
Real estate - construction
Loans
Loans	66,187	54,246
Commercial, financial and agricultural
Loans
Loans	708,867	500,812
Equity lines
Loans
Loans	49,405	52,083
Consumer
Loans
Loans	13,907	13,756
Amount included related to demand deposit overdrafts	216	449
Consumer finance
Loans
Loans	$ 311,946	$ 312,999

[1]	Derived from audited consolidated financial statements.

Loans - Loans Acquired (Details

Loans - Loans Acquired (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans
Outstanding principal balance	$ 122,301	$ 34,101
Carrying amount
Total acquired loans	109,290	27,127
Real estate - residential mortgage
Carrying amount
Total acquired loans	21,352	7,142
Real estate - construction
Carrying amount
Total acquired loans	3,153
Commercial, financial and agricultural
Carrying amount
Total acquired loans	71,782	11,901
Equity lines
Carrying amount
Total acquired loans	10,468	8,081
Consumer
Carrying amount
Total acquired loans	2,535	3
PCI Loans
Loans
Outstanding principal balance	18,319	6,262
Carrying amount
Total acquired loans	7,574	705
PCI Loans \| Real estate - residential mortgage
Carrying amount
Total acquired loans	1,724	107
PCI Loans \| Commercial, financial and agricultural
Carrying amount
Total acquired loans	5,398	563
PCI Loans \| Equity lines
Carrying amount
Total acquired loans	81	35
PCI Loans \| Consumer
Carrying amount
Total acquired loans	371
Purchased Performing Loans
Loans
Outstanding principal balance	103,982	27,839
Carrying amount
Total acquired loans	101,716	26,422
Purchased Performing Loans \| Real estate - residential mortgage
Carrying amount
Total acquired loans	19,628	7,035
Purchased Performing Loans \| Real estate - construction
Carrying amount
Total acquired loans	3,153
Purchased Performing Loans \| Commercial, financial and agricultural
Carrying amount
Total acquired loans	66,384	11,338
Purchased Performing Loans \| Equity lines
Carrying amount
Total acquired loans	10,387	8,046
Purchased Performing Loans \| Consumer
Carrying amount
Total acquired loans	$ 2,164	$ 3

Loans - Change in Accretable Yi

Loans - Change in Accretable Yield (Details) - PCI Loans - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Change in the accretable yield
Accretable yield, balance at beginning of period	$ 4,721	$ 5,987
Additions	3,372
Accretion	(2,172)	(1,760)
Reclassification of nonaccreatable difference due to improvement in expected cash flows	440	727
Other changes, net	(1,492)	349
Accretable yield, balance at end of period	$ 4,869	$ 5,303

Loans - Loans on Nonaccrual Sta

Loans - Loans on Nonaccrual Status (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans on nonaccrual status
Loans on nonaccrual status	$ 1,652	$ 2,495
Real estate - residential mortgage
Loans on nonaccrual status
Loans on nonaccrual status	758	1,526
Commercial, financial and agricultural \| Commercial business lending
Loans on nonaccrual status
Loans on nonaccrual status		11
Equity lines
Loans on nonaccrual status
Loans on nonaccrual status	193	229
Consumer
Loans on nonaccrual status
Loans on nonaccrual status	419	118
Consumer finance
Loans on nonaccrual status
Loans on nonaccrual status	$ 282	$ 611

Loans - Past Due Status (Detail

Loans - Past Due Status (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Loans on nonaccrual status
Total Past Due	$ 10,227,000	$ 16,299,000
Current	1,340,555,000	1,098,187,000
Total Loans	1,358,356,000	1,115,191,000
90+ days past due and accruing	8,000	109,000
Additional disclosure for nonaccrual loans
Current, nonaccrual status	442,000	547,000
Nonaccrual loans, 30-59 days past due		197,000
Nonaccrual loans, 60-89 days past due		10,000
Nonaccrual loans, 90+ days past due	901,000,000,000	1,740,000
Nonaccrual loans, PCI	309,000
PCI
Loans on nonaccrual status
PCI	7,574,000	705,000
30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	8,138,000	12,784,000
60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	1,181,000	1,665,000
90+ Days Past Due
Loans on nonaccrual status
Total Past Due	908,000	1,850,000
Real estate - residential mortgage
Loans on nonaccrual status
Total Past Due	1,928,000	2,605,000
Current	204,392,000	178,583,000
Total Loans	208,044,000	181,295,000
Real estate - residential mortgage \| PCI
Loans on nonaccrual status
PCI	1,724,000	107,000
Real estate - residential mortgage \| 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	971,000	1,428,000
Real estate - residential mortgage \| 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	339,000	161,000
Real estate - residential mortgage \| 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	618,000	1,016,000
Real estate - construction
Loans on nonaccrual status
Total Loans	66,187,000	54,246,000
Commercial, financial and agricultural
Loans on nonaccrual status
Total Loans	708,867,000	500,812,000
Equity lines
Loans on nonaccrual status
Total Past Due	190,000	508,000
Current	49,134,000	51,540,000
Total Loans	49,405,000	52,083,000
90+ days past due and accruing	8,000	109,000
Equity lines \| PCI
Loans on nonaccrual status
PCI	81,000	35,000
Equity lines \| 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	182,000	229,000
Equity lines \| 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due		56,000
Equity lines \| 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	8,000	223,000
Consumer
Loans on nonaccrual status
Total Past Due	267,000	30,000
Current	13,269,000	13,726,000
Total Loans	13,907,000	13,756,000
Consumer \| PCI
Loans on nonaccrual status
PCI	371,000
Consumer \| 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	267,000	20,000
Consumer \| 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due		10,000
Consumer finance
Loans on nonaccrual status
Total Past Due	7,726,000	13,065,000
Current	304,220,000	299,934,000
Total Loans	311,946,000	312,999,000
Consumer finance \| 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	6,602,000	11,034,000
Consumer finance \| 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	842,000	1,420,000
Consumer finance \| 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	282,000	611,000
Construction lending \| Real estate - construction
Loans on nonaccrual status
Current	50,971,000	40,943,000
Total Loans	50,971,000	40,943,000
Consumer lot lending \| Real estate - construction
Loans on nonaccrual status
Current	15,216,000	13,303,000
Total Loans	15,216,000	13,303,000
Commercial real estate lending \| Commercial, financial and agricultural
Loans on nonaccrual status
Current	430,804,000	325,991,000
Total Loans	436,202,000	326,554,000
Commercial real estate lending \| Commercial, financial and agricultural \| PCI
Loans on nonaccrual status
PCI	5,398,000	563,000
Land acquisition and development lending \| Commercial, financial and agricultural
Loans on nonaccrual status
Current	43,169,000	42,891,000
Total Loans	43,169,000	42,891,000
Builder line lending \| Commercial, financial and agricultural
Loans on nonaccrual status
Current	20,023,000	26,373,000
Total Loans	20,023,000	26,373,000
Commercial business lending \| Commercial, financial and agricultural
Loans on nonaccrual status
Total Past Due	116,000	91,000
Current	209,357,000	104,903,000
Total Loans	209,473,000	104,994,000
Commercial business lending \| Commercial, financial and agricultural \| 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	$ 116,000	73,000
Commercial business lending \| Commercial, financial and agricultural \| 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due		$ 18,000

Loans - Troubled Debt Restructu

Loans - Troubled Debt Restructurings (Details)	3 Months Ended		9 Months Ended
Loans - Troubled Debt Restructurings (Details)	Sep. 30, 2020USD ($)loan	Sep. 30, 2019USD ($)loan	Sep. 30, 2020USD ($)loan	Sep. 30, 2019USD ($)loan
Loan modifications classified as troubled debt restructurings
Number of Loans \| loan	2	2	3	3
Recorded Investment \| $	$ 176,000	$ 95,000	$ 260,000	$ 216,000
TDR payment default period			12 months
Period determining when a past due TDR becomes a subsequent default			90 days
Recorded Investment, TDR payment defaults \| $	0	$ 0	$ 0	$ 0
Aggregate balance \| $	$ 28,300,000		$ 28,300,000
modifications of payment structure
Loan modifications classified as troubled debt restructurings
Number of Loans \| loan		2		2
Modifications of interest rate
Loan modifications classified as troubled debt restructurings
Number of Loans \| loan				1
Real estate - residential mortgage
Loan modifications classified as troubled debt restructurings
Number of Loans \| loan	2	2	2	2
Recorded Investment \| $	$ 176,000	$ 95,000	$ 176,000	$ 95,000
Equity lines
Loan modifications classified as troubled debt restructurings
Number of Loans \| loan			1
Recorded Investment \| $			$ 84,000
Consumer
Loan modifications classified as troubled debt restructurings
Number of Loans \| loan				1
Recorded Investment \| $				$ 121,000

Loans - Impaired Loans (Details

Loans - Impaired Loans (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
Loans - Impaired Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Impaired loans
Impaired loans, troubled debt restructurings	$ 3,950	$ 4,350
Impaired loans, Unpaid Principal Balance	4,696	5,511
Impaired loans, Recorded Investment in Loans without Specific Reserve	1,496	2,227
Impaired loans, Recorded Investment in Loans with Specific Reserve	3,029	3,047,000
Impaired loans, Related Allowance	340	267
Impaired loans, Average Balance	4,706	5,242
Impaired loans, Interest Income Recognized	139	239
Real estate - residential mortgage
Impaired loans
Impaired loans, Unpaid Principal Balance	3,054	3,891
Impaired loans, Recorded Investment in Loans without Specific Reserve	1,384	2,192
Impaired loans, Recorded Investment in Loans with Specific Reserve	1,520	1,479,000
Impaired loans, Related Allowance	129	72
Impaired loans, Average Balance	3,068	3,506
Impaired loans, Interest Income Recognized	83	155
Commercial, financial and agricultural \| Commercial real estate lending
Impaired loans
Impaired loans, Unpaid Principal Balance	1,399	1,459
Impaired loans, Recorded Investment in Loans without Specific Reserve		4
Impaired loans, Recorded Investment in Loans with Specific Reserve	1,399	1,447,000
Impaired loans, Related Allowance	106	77
Impaired loans, Average Balance	1,406	1,581
Impaired loans, Interest Income Recognized	55	82
Equity lines
Impaired loans
Impaired loans, Unpaid Principal Balance	120	31
Impaired loans, Recorded Investment in Loans without Specific Reserve	112	31
Impaired loans, Average Balance	119	32
Impaired loans, Interest Income Recognized	1	2
Consumer
Impaired loans
Impaired loans, Unpaid Principal Balance	123	130
Impaired loans, Recorded Investment in Loans with Specific Reserve	110	121,000
Impaired loans, Related Allowance	105	118
Impaired loans, Average Balance	$ 113	$ 123

Allowance for Loan Losses - Cha

Allowance for Loan Losses - Change in Allowance for Loan Losses (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Allowance balance attributable to loans:
Balance at the beginning of period	$ 32,873	$ 34,023
Provision charged (credited) to operations	9,550	6,005
Loans charged off	(7,206)	(10,447)
Recoveries of loans previously charged off	3,639	3,637
Balance at the end of period	38,856	33,218
Real estate - residential mortgage
Allowance balance attributable to loans:
Balance at the beginning of period	2,080	2,246
Provision charged (credited) to operations	337	(85)
Loans charged off	(9)	(46)
Recoveries of loans previously charged off	79	20
Balance at the end of period	2,487	2,135
Real estate - construction
Allowance balance attributable to loans:
Balance at the beginning of period	681	727
Provision charged (credited) to operations	232	77
Balance at the end of period	913	804
Commercial, financial and agricultural
Allowance balance attributable to loans:
Balance at the beginning of period	7,121	6,688
Provision charged (credited) to operations	3,446	103
Loans charged off	(18)	(29)
Recoveries of loans previously charged off	3	4
Balance at the end of period	10,552	6,766
Equity lines
Allowance balance attributable to loans:
Balance at the beginning of period	733	1,106
Provision charged (credited) to operations	(78)	(214)
Loans charged off		(19)
Balance at the end of period	655	873
Consumer
Allowance balance attributable to loans:
Balance at the beginning of period	465	257
Provision charged (credited) to operations	(37)	229
Loans charged off	(174)	(261)
Recoveries of loans previously charged off	135	173
Balance at the end of period	389	398
Consumer finance
Allowance balance attributable to loans:
Balance at the beginning of period	21,793	22,999
Provision charged (credited) to operations	5,650	5,895
Loans charged off	(7,005)	(10,092)
Recoveries of loans previously charged off	3,422	3,440
Balance at the end of period	$ 23,860	$ 22,242

Allowance for Loan Losses - All

Allowance for Loan Losses - Allowance and Loans by Impairment Methodology (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Dec. 31, 2018
Allowance balance attributable to loans:
Individually evaluated for impairment	$ 340	$ 267
Collectively evaluated for impairment	38,516	32,606
Total allowance	38,856	32,873	$ 33,218	$ 34,023
Loans:
Individually evaluated for impairment	4,525	5,274
Collectively evaluated for impairment	1,346,257	1,109,212
Acquired loans - PCI	7,574	705
Total loans	1,358,356	1,115,191
Real estate - residential mortgage
Allowance balance attributable to loans:
Individually evaluated for impairment	129	72
Collectively evaluated for impairment	2,358	2,008
Total allowance	2,487	2,080	2,135	2,246
Loans:
Individually evaluated for impairment	2,904	3,671
Collectively evaluated for impairment	203,416	177,517
Acquired loans - PCI	1,724	107
Total loans	208,044	181,295
Real estate - construction
Allowance balance attributable to loans:
Collectively evaluated for impairment	913	681
Total allowance	913	681	804	727
Loans:
Collectively evaluated for impairment	66,187	54,246
Total loans	66,187	54,246
Commercial, financial and agricultural
Allowance balance attributable to loans:
Individually evaluated for impairment	106	77
Collectively evaluated for impairment	10,446	7,044
Total allowance	10,552	7,121	6,766	6,688
Loans:
Individually evaluated for impairment	1,399	1,451
Collectively evaluated for impairment	702,070	498,798
Acquired loans - PCI	5,398	563
Total loans	708,867	500,812
Equity lines
Allowance balance attributable to loans:
Collectively evaluated for impairment	655	733
Total allowance	655	733	873	1,106
Loans:
Individually evaluated for impairment	112	31
Collectively evaluated for impairment	49,212	52,017
Acquired loans - PCI	81	35
Total loans	49,405	52,083
Consumer
Allowance balance attributable to loans:
Individually evaluated for impairment	105	118
Collectively evaluated for impairment	284	347
Total allowance	389	465	398	257
Loans:
Individually evaluated for impairment	110	121
Collectively evaluated for impairment	13,426	13,635
Acquired loans - PCI	371
Total loans	13,907	13,756
Consumer finance
Allowance balance attributable to loans:
Collectively evaluated for impairment	23,860	21,793
Total allowance	23,860	21,793	$ 22,242	$ 22,999
Loans:
Collectively evaluated for impairment	311,946	312,999
Total loans	$ 311,946	$ 312,999

Allowance for Loan Losses - Cre

Allowance for Loan Losses - Credit Quality Indicators (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Allowance for loan losses
Loans, excluding consumer finance	$ 1,046,410,000	$ 802,192,000
Pass
Allowance for loan losses
Loans, excluding consumer finance	1,002,904,000	783,963,000
Special Mention
Allowance for loan losses
Loans, excluding consumer finance	30,414,000	15,383,000
Substandard
Allowance for loan losses
Loans, excluding consumer finance	11,722,000	962,000
Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	1,370,000	1,884,000
Real estate - residential mortgage
Allowance for loan losses
Loans, excluding consumer finance	208,044,000	181,295,000
Real estate - residential mortgage \| Pass
Allowance for loan losses
Loans, excluding consumer finance	205,126,000	177,049,000
Real estate - residential mortgage \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	1,245,000	1,839,000
Real estate - residential mortgage \| Substandard
Allowance for loan losses
Loans, excluding consumer finance	915,000	881,000
Real estate - residential mortgage \| Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	758,000	1,526,000
Real estate - construction \| Construction lending
Allowance for loan losses
Loans, excluding consumer finance	50,971,000	40,943,000
Real estate - construction \| Construction lending \| Pass
Allowance for loan losses
Loans, excluding consumer finance	50,971,000	40,943,000
Real estate - construction \| Consumer lot lending
Allowance for loan losses
Loans, excluding consumer finance	15,216,000	13,303,000
Real estate - construction \| Consumer lot lending \| Pass
Allowance for loan losses
Loans, excluding consumer finance	15,216,000	13,303,000
Commercial, financial and agricultural \| Commercial real estate lending
Allowance for loan losses
Loans, excluding consumer finance	436,202,000	326,554,000
Commercial, financial and agricultural \| Commercial real estate lending \| Pass
Allowance for loan losses
Loans, excluding consumer finance	408,667,000	323,218,000
Commercial, financial and agricultural \| Commercial real estate lending \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	16,840,000	3,266,000
Commercial, financial and agricultural \| Commercial real estate lending \| Substandard
Allowance for loan losses
Loans, excluding consumer finance	10,695,000	70,000
Commercial, financial and agricultural \| Land acquisition and development lending
Allowance for loan losses
Loans, excluding consumer finance	43,169,000	42,891,000
Commercial, financial and agricultural \| Land acquisition and development lending \| Pass
Allowance for loan losses
Loans, excluding consumer finance	36,767,000	33,870,000
Commercial, financial and agricultural \| Land acquisition and development lending \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	6,402,000	9,021,000
Commercial, financial and agricultural \| Builder line lending
Allowance for loan losses
Loans, excluding consumer finance	20,023,000	26,373,000
Commercial, financial and agricultural \| Builder line lending \| Pass
Allowance for loan losses
Loans, excluding consumer finance	20,023,000	25,995,000
Commercial, financial and agricultural \| Builder line lending \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance		378,000
Commercial, financial and agricultural \| Commercial business lending
Allowance for loan losses
Loans, excluding consumer finance	209,473,000	104,994,000
Commercial, financial and agricultural \| Commercial business lending \| Pass
Allowance for loan losses
Loans, excluding consumer finance	203,669,000	104,291,000
Commercial, financial and agricultural \| Commercial business lending \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	5,704,000	692,000
Commercial, financial and agricultural \| Commercial business lending \| Substandard
Allowance for loan losses
Loans, excluding consumer finance	100,000
Commercial, financial and agricultural \| Commercial business lending \| Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance		11,000
Equity lines
Allowance for loan losses
Loans, excluding consumer finance	49,405,000	52,083,000
Equity lines \| Pass
Allowance for loan losses
Loans, excluding consumer finance	49,039,000	51,662,000
Equity lines \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	165,000	181,000
Equity lines \| Substandard
Allowance for loan losses
Loans, excluding consumer finance	8,000	11,000
Equity lines \| Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	193,000	229,000
Consumer
Allowance for loan losses
Loans, excluding consumer finance	13,907,000	13,756,000
Consumer \| Pass
Allowance for loan losses
Loans, excluding consumer finance	13,426,000	13,632,000
Consumer \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	58,000	6,000
Consumer \| Substandard
Allowance for loan losses
Loans, excluding consumer finance	4,000
Consumer \| Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	419,000	$ 118,000
Peoples Bankshares, Incorporated (Peoples) \| Pass
Allowance for loan losses
Loans, excluding consumer finance	83,710,000
Peoples Bankshares, Incorporated (Peoples) \| Special Mention
Allowance for loan losses
Loans, excluding consumer finance	1,390,000
Peoples Bankshares, Incorporated (Peoples) \| Substandard
Allowance for loan losses
Loans, excluding consumer finance	2,700,000
Peoples Bankshares, Incorporated (Peoples) \| Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	$ 309,000

Allowance for Loan Losses - Loa

Allowance for Loan Losses - Loans by Credit Quality Indicators - Performing and Non-Performing (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Allowance for loan losses
Loans	$ 1,358,356	$ 1,115,191
Consumer finance
Allowance for loan losses
Loans	311,946	312,999
Consumer finance \| Performing
Allowance for loan losses
Loans	311,664	312,388
Consumer finance \| Non-Performing
Allowance for loan losses
Loans	$ 282	$ 611

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets - Goodwill (Details) - USD ($) $ in Thousands		3 Months Ended	9 Months Ended
		Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Goodwill and Other Intangible Assets
Goodwill	[1]		$ 14,425
Changes in the recorded balance of goodwill		$ 0	10,766	$ 0
Changes in goodwill, by reporting unit
Balance as of the beginning of the period	[1]		14,425
Acquisition of Peoples Bankshares, Incorporated		$ 0	10,766	$ 0
Balance at the end of the period			25,191
Community Banking
Goodwill and Other Intangible Assets
Goodwill			14,468
Changes in the recorded balance of goodwill			10,766
Changes in goodwill, by reporting unit
Balance as of the beginning of the period			3,702
Acquisition of Peoples Bankshares, Incorporated			10,766
Balance at the end of the period			14,468
Consumer Finance
Goodwill and Other Intangible Assets
Goodwill			10,723
Changes in goodwill, by reporting unit
Balance as of the beginning of the period			10,723
Balance at the end of the period			$ 10,723

[1]	Derived from audited consolidated financial statements.

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets - Other Intangible Assets (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Other intangible assets
Other intangible assets, net	$ 2,374,000	$ 912,000	[1]
Gross carrying amounts and accumulated amortization
Gross Carrying Amount	3,116,000	1,405,000
Accumulated Amortization	(742,000)	(493,000)
Core deposit intangible
Gross carrying amounts and accumulated amortization
Gross Carrying Amount	1,711,000
Accumulated Amortization	(128,000)
Other intangibles
Gross carrying amounts and accumulated amortization
Gross Carrying Amount	1,405,000	1,405,000
Accumulated Amortization	$ (614,000)	$ (493,000)

[1]	Derived from audited consolidated financial statements.

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets - Amortization (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Goodwill and Other Intangible Assets
Amortization of intangible assets	$ 83,000	$ 49,000	$ 248,000	$ 190,000

Equity, Other Comprehensive I_3

Equity, Other Comprehensive Income and Earnings Per Share - Equity and Noncontrolling Interest (Details) - USD ($)	3 Months Ended			9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Mar. 31, 2019	Sep. 30, 2020	Sep. 30, 2019
Shareholders' Equity
Shares repurchased (in shares)	0	21,337		8,963	86,523
Aggregate cost of Shares repurchased		$ 1,100,000		$ 355,000	$ 4,390,000
Number of shares withheld from employees to satisfy tax withholding obligations				5,084	5,341
Issuance of noncontrolling interest					$ 490,000
C&F Select LLC
Shareholders' Equity
Ownership interest issued (as a percent)			49.00%
Issuance of noncontrolling interest			$ 490,000

Equity, Other Comprehensive I_4

Equity, Other Comprehensive Income and Earnings Per Share - Accumulated Other Comprehensive Loss, Net (Details) - USD ($)	Sep. 30, 2020	Dec. 31, 2019
Equity, Other Comprehensive Income and Earnings Per Share
Deferred taxes included in AOCI	$ 320,000	$ 604,000
Net unrealized gains on securities	4,495,000	1,560,000
Net unrecognized losses on cash flow hedges	(1,562,000)	(69,000)
Net unrecognized losses on defined benefit plan	(3,663,000)	(3,740,000)
Total accumulated other comprehensive loss, net	$ (730,000)	$ (2,249,000)	[1]

[1]	Derived from audited consolidated financial statements.

Equity, Other Comprehensive I_5

Equity, Other Comprehensive Income and Earnings Per Share - Earnings Per Share (EPS) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Components of earnings per share calculations
Net income attributable to C&F Financial Corporation	$ 6,793	$ 4,880	$ 14,117	$ 14,494
Weighted average shares outstanding-basic and diluted	3,648,515	3,430,298	3,646,951	3,459,191

Employee Benefit Plans (Details

Employee Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Employee Benefit Plans (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Components of net periodic benefit cost
Service cost, included in salaries and employee benefits	$ 401	$ 305	$ 1,202	$ 914
Other components of net periodic benefit cost:
Interest cost	138	152	413	456
Expected return on plan assets	(374)	(324)	(1,119)	(973)
Amortization of prior service credit	(17)	(17)	(51)	(51)
Recognized net actuarial losses	49	47	148	141
Other components of net periodic benefit cost, included in other noninterest income	(204)	(142)	(609)	(427)
Net periodic benefit cost	$ 197	$ 163	$ 593	$ 487

Fair Value of Assets and Liab_3

Fair Value of Assets and Liabilities - Investments in small business investment companies (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2020USD ($)
Fair Value of Assets and Liabilities
Fair value of investment in small business investment companies	$ 1,430	$ 1,430
Unrealized losses	$ 124	$ 124

Fair Value of Assets and Liab_4

Fair Value of Assets and Liabilities - Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Securities available for sale
Securities available for sale	$ 272,091	$ 189,733	[1]
Interest rate swaps on loans \| Cash flow hedges
Liabilities:
Derivatives	2,147	145
Recurring
Securities available for sale
Securities available for sale	272,091	189,733
Loans held for sale	274,851	90,500
Total assets measured at fair value	562,239	283,778
Liabilities:
Derivatives	11,554	2,632
Recurring \| Cash flow hedges
Liabilities:
Derivatives	2,147	145
Recurring \| IRLC
Securities available for sale
Derivatives	5,942	1,083
Recurring \| Interest rate swaps on loans
Securities available for sale
Derivatives	9,355	2,462
Liabilities:
Derivatives	9,355	2,462
Recurring \| Forward sales of TBA securities
Liabilities:
Derivatives	52	25
Level 2 \| Recurring
Securities available for sale
Securities available for sale	272,091	189,733
Loans held for sale	274,851	90,500
Total assets measured at fair value	562,239	283,778
Liabilities:
Derivatives	11,554	2,632
Level 2 \| Recurring \| Cash flow hedges
Liabilities:
Derivatives	2,147	145
Level 2 \| Recurring \| IRLC
Securities available for sale
Derivatives	5,942	1,083
Level 2 \| Recurring \| Interest rate swaps on loans
Securities available for sale
Derivatives	9,355	2,462
Liabilities:
Derivatives	9,355	2,462
Level 2 \| Recurring \| Forward sales of TBA securities
Liabilities:
Derivatives	52	25
U.S. government agencies and corporations
Securities available for sale
Securities available for sale	48,292	21,440
U.S. government agencies and corporations \| Recurring
Securities available for sale
Securities available for sale	48,292	21,440
U.S. government agencies and corporations \| Level 2 \| Recurring
Securities available for sale
Securities available for sale	48,292	21,440
Mortgage-backed securities
Securities available for sale
Securities available for sale	115,838	86,585
Mortgage-backed securities \| Recurring
Securities available for sale
Securities available for sale	115,838	86,585
Mortgage-backed securities \| Level 2 \| Recurring
Securities available for sale
Securities available for sale	115,838	86,585
Obligations of states and political subdivisions
Securities available for sale
Securities available for sale	101,024	81,708
Obligations of states and political subdivisions \| Recurring
Securities available for sale
Securities available for sale	101,024	81,708
Obligations of states and political subdivisions \| Level 2 \| Recurring
Securities available for sale
Securities available for sale	101,024	$ 81,708
Corporate and other debt securities
Securities available for sale
Securities available for sale	6,937
Corporate and other debt securities \| Recurring
Securities available for sale
Securities available for sale	6,937
Corporate and other debt securities \| Level 2 \| Recurring
Securities available for sale
Securities available for sale	$ 6,937

[1]	Derived from audited consolidated financial statements.

Fair Value of Assets and Liab_5

Fair Value of Assets and Liabilities - Financial Assets Measured at Fair Value on Non-Recurring Basis (Details) - Nonrecurring	Sep. 30, 2020USD ($)	Dec. 31, 2019USD ($)
Fair value assets and liabilities - Nonrecurring Basis
Total assets measured at fair value	$ 354,000	$ 370,000
Impaired loans, net
Fair value assets and liabilities - Nonrecurring Basis
Total assets measured at fair value	82,000	102,000
Other real estate owned, net
Fair value assets and liabilities - Nonrecurring Basis
Total assets measured at fair value	272,000	268,000
Level 3
Fair value assets and liabilities - Nonrecurring Basis
Total assets measured at fair value	354,000	370,000
Level 3 \| Impaired loans, net
Fair value assets and liabilities - Nonrecurring Basis
Total assets measured at fair value	$ 82,000	102,000
Impaired loans, input	0.25
Impaired loans, net, valuation technique	cffi:ValuationTechniqueAppraisalsMember
Impaired loans, net, measurement input	us-gaap:MeasurementInputDiscountRateMember
Level 3 \| Impaired loans, net \| Weighted Average
Fair value assets and liabilities - Nonrecurring Basis
Impaired loans, input	0.25
Level 3 \| Other real estate owned, net
Fair value assets and liabilities - Nonrecurring Basis
Total assets measured at fair value	$ 272,000	$ 268,000
Other real estate owned, net, valuation technique	cffi:ValuationTechniqueAppraisalsMember
Other real estate owned, net, measurement input	us-gaap:MeasurementInputDiscountRateMember
Level 3 \| Other real estate owned, net \| Minimum
Fair value assets and liabilities - Nonrecurring Basis
Other real estate owned, input	0.33
Level 3 \| Other real estate owned, net \| Maximum
Fair value assets and liabilities - Nonrecurring Basis
Other real estate owned, input	0.75
Level 3 \| Other real estate owned, net \| Weighted Average
Fair value assets and liabilities - Nonrecurring Basis
Other real estate owned, input	0.53

Fair Value of Assets and Liab_6

Fair Value of Assets and Liabilities - Carrying Value and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Assets:
Securities available for sale	$ 272,091	$ 189,733	[1]
Bank-owned life insurance	19,984	16,044	[1]
Carrying Value
Assets:
Cash and short-term investments	25,773	165,433
Securities available for sale	272,091	189,733
Loans, net	1,319,500	1,082,318
Loans held for sale	274,851	90,500
Bank-owned life insurance	19,984	16,044
Accrued interest receivable	7,829	6,776
Financial liabilities:
Demand deposits	1,184,371	869,194
Time deposits	479,142	422,056
Borrowings	153,274	161,170
Accrued interest payable	1,091	1,291
Total Fair Value
Assets:
Cash and short-term investments	25,773	165,433
Securities available for sale	272,091	189,733
Loans, net	1,321,885	1,082,783
Loans held for sale	274,851	90,500
Bank-owned life insurance	19,984	16,044
Accrued interest receivable	7,829	6,776
Financial liabilities:
Demand deposits	1,184,371	869,194
Time deposits	487,735	423,605
Borrowings	155,759	154,964
Accrued interest payable	1,091	1,291
Total Fair Value \| Level 1
Assets:
Cash and short-term investments	25,773	165,433
Accrued interest receivable	7,829	6,776
Financial liabilities:
Demand deposits	1,184,371	869,194
Accrued interest payable	1,091	1,291
Total Fair Value \| Level 2
Assets:
Securities available for sale	272,091	189,733
Loans held for sale	274,851	90,500
Bank-owned life insurance	19,984	16,044
Financial liabilities:
Time deposits	487,735	423,605
Borrowings	155,759	154,964
Total Fair Value \| Level 3
Assets:
Loans, net	1,321,885	1,082,783
IRLC \| Carrying Value
Assets:
Derivatives	5,942	1,083
IRLC \| Total Fair Value
Assets:
Derivatives	5,942	1,083
IRLC \| Total Fair Value \| Level 2
Assets:
Derivatives	5,942	1,083
Interest rate swaps on loans \| Carrying Value
Assets:
Derivatives	9,355	2,462
Financial liabilities:
Derivatives	9,355	2,462
Interest rate swaps on loans \| Total Fair Value
Assets:
Derivatives	9,355	2,462
Financial liabilities:
Derivatives	9,355	2,462
Interest rate swaps on loans \| Total Fair Value \| Level 2
Assets:
Derivatives	9,355	2,462
Financial liabilities:
Derivatives	9,355	2,462
Forward sales of TBA securities \| Carrying Value
Financial liabilities:
Derivatives	52	25
Forward sales of TBA securities \| Total Fair Value
Financial liabilities:
Derivatives	52	25
Forward sales of TBA securities \| Total Fair Value \| Level 2
Financial liabilities:
Derivatives	52	25
Cash flow hedges \| Carrying Value
Financial liabilities:
Derivatives	2,147	145
Cash flow hedges \| Total Fair Value
Financial liabilities:
Derivatives	2,147	145
Cash flow hedges \| Total Fair Value \| Level 2
Financial liabilities:
Derivatives	2,147	145
Cash flow hedges \| Interest rate swaps on loans
Financial liabilities:
Derivatives	$ 2,147	$ 145

[1]	Derived from audited consolidated financial statements.

Business Segments - Segment Rep

Business Segments - Segment Reporting (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)segment	Sep. 30, 2019USD ($)	Dec. 31, 2019USD ($)	[1]
Business Segments
Number of principal business segments \| segment			3
Revenues:
Interest income	$ 23,822	$ 23,992	$ 72,184	$ 71,219
Gains on sales of loans	9,706	3,205	17,987	8,296
Other noninterest income	7,232	5,025	17,527	15,239
Total operating income	40,760	32,222	107,698	94,754
Expenses:
Provision for loan losses	3,300	1,800	9,550	6,005
Interest expense	2,977	3,769	10,482	10,724
Salaries and employee benefits	15,767	11,730	40,938	35,132
Depreciation and amortization	1,072	1,086	3,028	2,912
Other noninterest expenses	8,492	7,486	25,242	21,484
Total operating expenses	31,608	25,871	89,240	76,257
Income (loss) before income taxes	9,152	6,351	18,458	18,497
Income tax expense (benefit)	2,234	1,466	4,158	3,999
Net income (loss)	6,918	4,885	14,300	14,498
Total assets	2,080,851	1,619,381	2,080,851	1,619,381	$ 1,657,432
Capital expenditures	4,202	530	7,655	2,001
Operating Segments \| Community Banking
Revenues:
Interest income	15,242	15,060	46,051	44,803
Other noninterest income	2,831	2,862	7,684	8,193
Total operating income	18,073	17,922	53,735	52,996
Expenses:
Provision for loan losses	1,500		3,900	110
Interest expense	2,547	2,684	8,409	7,352
Salaries and employee benefits	7,442	7,161	23,142	21,012
Depreciation and amortization	916	852	2,550	2,445
Other noninterest expenses	4,435	4,372	14,456	12,822
Total operating expenses	16,840	15,069	52,457	43,741
Income (loss) before income taxes	1,233	2,853	1,278	9,255
Income tax expense (benefit)	90	460	(503)	1,501
Net income (loss)	1,143	2,393	1,781	7,754
Total assets	1,923,207	1,430,083	1,923,207	1,430,083
Capital expenditures	3,234	453	5,554	1,741
Operating Segments \| Mortgage Banking
Revenues:
Interest income	1,503	814	3,261	1,833
Gains on sales of loans	9,755	3,205	18,036	8,296
Other noninterest income	2,915	1,453	6,913	3,626
Total operating income	14,173	5,472	28,210	13,755
Expenses:
Interest expense	449	541	1,034	1,113
Salaries and employee benefits	4,872	1,769	8,989	4,527
Depreciation and amortization	71	60	216	181
Other noninterest expenses	2,691	1,466	6,508	3,924
Total operating expenses	8,083	3,836	16,747	9,745
Income (loss) before income taxes	6,090	1,636	11,463	4,010
Income tax expense (benefit)	1,640	426	3,149	1,051
Net income (loss)	4,450	1,210	8,314	2,959
Total assets	294,808	110,452	294,808	110,452
Capital expenditures	14	60	340	136
Operating Segments \| Consumer Finance
Revenues:
Interest income	9,628	10,442	29,418	30,952
Other noninterest income	93	128	290	367
Total operating income	9,721	10,570	29,708	31,319
Expenses:
Provision for loan losses	1,800	1,800	5,650	5,895
Interest expense	2,191	2,596	6,567	7,765
Salaries and employee benefits	2,190	2,229	6,567	6,483
Depreciation and amortization	42	48	133	150
Other noninterest expenses	1,298	1,286	3,696	3,970
Total operating expenses	7,521	7,959	22,613	24,263
Income (loss) before income taxes	2,200	2,611	7,095	7,056
Income tax expense (benefit)	599	710	1,926	1,921
Net income (loss)	1,601	1,901	5,169	5,135
Total assets	311,898	315,278	311,898	315,278
Capital expenditures	954	17	1,761	57
Operating Segments \| Other
Revenues:
Interest income				4
Other noninterest income	1,396	582	2,643	3,053
Total operating income	1,396	582	2,643	3,057
Expenses:
Interest expense	342	272	1,019	867
Salaries and employee benefits	1,263	571	2,240	3,110
Depreciation and amortization	43	126	129	136
Other noninterest expenses	68	362	582	768
Total operating expenses	1,716	1,331	3,970	4,881
Income (loss) before income taxes	(320)	(749)	(1,327)	(1,824)
Income tax expense (benefit)	(95)	(130)	(414)	(474)
Net income (loss)	(225)	(619)	(913)	(1,350)
Total assets	42,402	18,878	42,402	18,878
Capital expenditures				67
Eliminations
Revenues:
Interest income	(2,551)	(2,324)	(6,546)	(6,373)
Gains on sales of loans	(49)		(49)
Other noninterest income	(3)		(3)
Total operating income	(2,603)	(2,324)	(6,598)	(6,373)
Expenses:
Interest expense	(2,552)	(2,324)	(6,547)	(6,373)
Total operating expenses	(2,552)	(2,324)	(6,547)	(6,373)
Income (loss) before income taxes	(51)		(51)
Net income (loss)	(51)		(51)
Total assets	$ (491,464)	$ (255,310)	$ (491,464)	$ (255,310)

[1]	Derived from audited consolidated financial statements.

Business Segments - Merger Rela

Business Segments - Merger Related Expenses and Segment Debt (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)item	Sep. 30, 2019USD ($)
Business Segments
Merger related costs	$ 0	$ 409,000	$ 898,000	$ 409,000
Merger related costs, after income taxes		389,000		389,000
Aggregated merger related costs	$ 2,100,000	409,000	$ 2,100,000	409,000
Mortgage Banking
Business Segments
Number of intersegment lines of credit \| item			2
Mortgage Banking \| FHLB Advances \| Minimum
Business Segments
Variable rate, spread (as a percent)			0.50%
Mortgage Banking \| FHLB Advances \| Maximum
Business Segments
Variable rate, spread (as a percent)			1.75%
Consumer Finance
Business Segments
Floor variable rate (as a percent)			3.50%
Consumer Finance \| Minimum
Business Segments
Fixed rate (as a percent)	2.40%		2.40%
Consumer Finance \| Maximum
Business Segments
Fixed rate (as a percent)	8.00%		8.00%
Consumer Finance \| London Interbank Offered Rate (LIBOR) \| Minimum
Business Segments
Variable rate, spread (as a percent)			2.00%
Peoples Bankshares, Incorporated (Peoples)
Business Segments
Merger related costs		409,000	$ 1,400,000	409,000
Merger related costs, after income taxes		389,000	1,130,000	389,000
Peoples Bankshares, Incorporated (Peoples) \| Community Banking
Business Segments
Merger related costs			1,300,000
Merger related costs, after income taxes			1,030,000
Peoples Bankshares, Incorporated (Peoples) \| Community Banking \| Salaries and benefits expense
Business Segments
Merger related costs			119,000
Peoples Bankshares, Incorporated (Peoples) \| Community Banking \| Other noninterest expense
Business Segments
Merger related costs		104,000	879,000	104,000
Merger related costs, after income taxes		$ 89,000		$ 89,000
Peoples Bankshares, Incorporated (Peoples) \| Community Banking \| Other noninterest income
Business Segments
Merger related costs			$ 298,000

Commitments and Contingent Li_2

Commitments and Contingent Liabilities - Loan Commitments and Standby letters of credit (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Standby Letters of Credit
Commitments and Contingent Liabilities
Face amount of asset	$ 17,860	$ 16,600
Loan commitments
Commitments and Contingent Liabilities
Face amount of asset	$ 311,060	$ 256,150

Commitments and Contingent Li_3

Commitments and Contingent Liabilities - Other (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Commitments and Contingent Liabilities
Provision for indemnifications	$ 9,000	$ 0	$ 172,000	$ 0
Mortgage Banking
Commitments and Contingent Liabilities
Recourse period for early payment default, minimum			90 days
Recourse period for early payment default, maximum			1 year
Indemnification reserve for recourse provisions
Commitments and Contingent Liabilities
Allowance for indemnifications	$ 2,650,000		$ 2,650,000		$ 2,480,000

Derivatives Financial Instrumen

Derivatives Financial Instruments (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Derivatives and other information
Changes in fair value of loan swaps	$ 0
Unpaid principal on mortgage loans held for sale	4,696	$ 5,511
Other assets
Derivatives and other information
Cash collateral	11,860	2,520
Forward sales of TBA securities \| Not designated as hedges
Derivatives and other information
Notional amount	15,250	24,000
Derivative Liability	52	25
Interest rate swaps on loans \| Cash flow hedges
Derivatives and other information
Notional amount	25,000	25,000
Derivative Liability	2,147	145
Matched interest rate swap with borrower \| Not designated as hedges
Derivatives and other information
Notional amount	85,028	74,266
Derivative Asset	9,355	2,454
Derivative Liability		8
Matched interest rate swap with counterparty \| Not designated as hedges
Derivatives and other information
Notional amount	85,028	74,266
Derivative Asset		8
Derivative Liability	9,355	2,454
IRLC \| Not designated as hedges
Derivatives and other information
Notional amount	317,783	75,073
Derivative Asset	5,942	1,083
Mortgage Banking
Derivatives and other information
IRLCs	10,400	11,720
Unpaid principal on mortgage loans held for sale	14,790	21,980
Mortgage Banking \| Best-efforts forward sales contracts
Derivatives and other information
IRLCs	307,390	63,350
Unpaid principal on mortgage loans held for sale	250,910	65,770
Mortgage loans		129,120
Mortgage Banking \| Forward sales of TBA securities
Derivatives and other information
Mortgage loans	15,250	24,000
Mortgage Banking \| Mandatory-delivery forward sales contracts
Derivatives and other information
Mortgage loans	7,890	$ 6,730
C&F Mortgage \| Best-efforts forward sales contracts
Derivatives and other information
Mortgage loans	$ 558,300

Other Noninterest Expenses (Det

Other Noninterest Expenses (Details) - USD ($)	3 Months Ended		9 Months Ended
Other Noninterest Expenses (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Other Noninterest Expenses
Data processing fees	$ 2,607,000	$ 2,345,000	$ 8,142,000	$ 6,561,000
Professional fees	706,000	1,061,000	2,424,000	2,414,000
Tax service and investor fees	554,000	359,000	1,335,000	797,000
Marketing and advertising expenses	369,000	485,000	1,207,000	1,293,000
Telecommunication expenses	311,000	337,000	1,092,000	985,000
Travel and educational expenses	430,000	290,000	974,000	996,000
All other noninterest expenses	2,456,000	1,721,000	6,765,000	5,358,000
Total Other Noninterest Expenses	7,433,000	6,598,000	21,939,000	18,404,000
Merger related expenses	$ 0	409,000	898,000	409,000
Merger related data processing fees			501,000
Merger related professional fees		392,000	336,000	392,000
Merger related other noninterest expenses		16,000	$ 61,000	16,000
Merger related telecommunication expenses		$ 1,000		$ 1,000