C&F Financial (CFFI) 10-K 26 Feb 19 2018 FY Annual report Financial data

Document And Entity Information

Document And Entity Information - USD ($)	12 Months Ended
	Dec. 31, 2018	Feb. 22, 2019	Jun. 30, 2018
Document and Entity Information
Entity Registrant Name	C & F FINANCIAL CORP
Document Type	10-K
Entity Public Float			$ 205,720,132
Amendment Flag	false
Entity Central Index Key	913,341
Entity Filer Category	Accelerated Filer
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	FY
Entity Common Stock, Shares Outstanding		3,486,861
Current Fiscal Year End Date	--12-31
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Assets
Cash and due from banks	$ 14,138	$ 14,070
Interest-bearing deposits in other banks	100,875	105,353
Total cash and cash equivalents	115,013	119,423
Securities—available for sale at fair value, amortized cost of $216,650 and $218,168, respectively	214,910	218,976
Loans held for sale, at fair value	41,895	55,384
Loans, net of allowance for loan losses of $34,023 and $35,726, respectively	1,028,097	992,062
Restricted stock, at cost	3,247	3,298
Corporate premises and equipment, net	37,100	36,969
Other real estate owned, net of valuation allowance of $57 and $57, respectively	246	168
Accrued interest receivable	7,436	7,589
Goodwill	14,425	14,425
Core deposit and other amortizable intangible assets, net	1,142	1,594
Bank-owned life insurance	16,065	15,589
Net deferred tax asset	12,193	12,093
Other assets	29,642	31,486
Total assets	1,521,411	1,509,056
Deposits
Noninterest-bearing demand deposits	271,360	247,669
Savings and interest-bearing demand deposits	563,741	575,807
Time deposits	346,560	347,953
Total deposits	1,181,661	1,171,429
Short-term borrowings	14,917	20,621
Long-term borrowings	119,529	122,029
Trust preferred capital notes	25,245	25,210
Accrued interest payable	920	838
Other liabilities	27,181	27,227
Total liabilities	1,369,453	1,367,354
Commitments and contingent liabilities
Shareholders’ equity
Common stock ($1.00 par value, 8,000,000 shares authorized, 3,497,122 and 3,495,845 shares issued and outstanding, respectively, includes 139,455 and 137,880 of unvested shares, respectively)	3,358	3,358
Additional paid-in capital	12,752	12,800
Retained earnings	140,520	127,431
Accumulated other comprehensive loss, net	(4,672)	(1,887)
Total shareholders’ equity	151,958	141,702
Total liabilities and shareholders’ equity	$ 1,521,411	$ 1,509,056

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Parenthetical information
Available-for-sale securities, amortized cost	$ 216,650	$ 218,168
Loans, net of allowance for loan losses	34,023	35,726
Other real estate owned, net of valuation allowance	$ 57	$ 57
Common stock par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	8,000,000	8,000,000
Common stock, shares issued	3,497,122	3,495,845
Common stock, shares outstanding	3,497,122	3,495,845
Common
Parenthetical information
Common stock, nonvested shares	139,455	137,880

Consolidated Statements of Inco

Consolidated Statements of Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Interest income
Interest and fees on loans	$ 84,529	$ 82,734	$ 82,951
Interest on interest-bearing deposits and federal funds sold	2,097	1,128	509
Interest and dividends on securities
U.S. government agencies and corporations	361	340	327
Mortgage-backed securities	2,089	1,491	1,235
Tax-exempt obligations of states and political subdivisions	2,725	3,214	3,742
Taxable obligations of states and political subdivisions	319	242	192
Corporate bonds and other	428	444	483
Total interest income	92,548	89,593	89,439
Interest expense
Savings and interest-bearing deposits	1,601	1,175	1,078
Time deposits	4,085	3,573	3,314
Borrowings	4,189	3,702	3,433
Trust preferred capital notes	1,152	1,151	1,143
Total interest expense	11,027	9,601	8,968
Net interest income	81,521	79,992	80,471
Provision for loan losses	11,006	16,435	18,040
Net interest income after provision for loan losses	70,515	63,557	62,431
Noninterest income
Gains on sales of loans	7,841	8,553	8,120
Service charges on deposit accounts	4,213	4,458	4,262
Other service charges and fees	5,072	5,228	4,991
Net gains on maturities, calls and sales of available for sale securities	10	10	52
Wealth management services income, net	1,860	1,619	1,165
Interchange income	3,882	3,476	3,562
Other	2,880	3,888	3,895
Total noninterest income	25,758	27,232	26,047
Noninterest expenses
Salaries and employee benefits	42,003	43,597	42,345
Occupancy	8,308	7,730	7,228
Other	23,421	21,496	20,987
Total noninterest expenses	73,732	72,823	70,560
Income before income taxes	22,541	17,966	17,918
Income tax expense	4,521	11,394	4,459
Net income	$ 18,020	$ 6,572	$ 13,459
Net income per share - basic (in dollars per share)	$ 5.15	$ 1.89	$ 3.90
Net income – assuming dilution (in Dollars per share)	$ 5.15	$ 1.88	$ 3.89
Weighted average number of shares - basic (in shares)	3,501,221	3,486,510	3,454,282
Weighted average number of shares - assuming dilution (in shares)	3,501,221	3,486,589	3,455,883

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net income		$ 18,020	$ 6,572	$ 13,459
Defined benefit plan:
Net actuarial (losses) gains arising during the period		(1,155)	148	(286)
Related income tax effects		242	(51)	100
Reclassification of recognized net actuarial losses into net income	[1]	125	154	157
Related income tax effects		(26)	(54)	(55)
Amortization of prior service credit into net income	[1]	(62)	(61)	(60)
Related income tax effects		13	21	21
Defined benefit plan, net of tax		(863)	157	(123)
Cash flow hedges:
Unrealized holding gains arising during the period		123	223	119
Related income tax effects		(32)	(88)	(46)
Cash flow hedges, net of tax		91	135	73
Securities available for sale:
Unrealized holding losses arising during the period		(2,538)	(1,315)	(3,186)
Related income tax effects		533	460	1,115
Reclassification of net realized gains into net income	[2]	(10)	(10)	(52)
Related income tax effects		2	4	18
Securities available for sale, net of tax		(2,013)	(861)	(2,105)
Other comprehensive loss, net of tax		(2,785)	(569)	(2,155)
Comprehensive income		$ 15,235	$ 6,003	$ 11,304
[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 12: Employee Benefit Plans,” for additional information.
[2]	These items are included in “Net gains on maturities, calls and sales 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	Total
Balance, beginning of the period at Dec. 31, 2015		$ 3,301	$ 10,420	$ 116,167	$ 1,171	$ 131,059
Comprehensive income:
Net income				13,459		13,459
Other comprehensive loss					(2,155)	(2,155)
Stock options exercised		10	352			362
Share-based compensation			1,218			1,218
Restricted stock vested		26	(26)
Common stock issued		3	146			149
Common stock purchased		(9)	(405)			(414)
Cash dividends declared – common stock				(4,464)		(4,464)
Balance, end of period at Dec. 31, 2016		3,331	11,705	125,162	(984)	139,214
Comprehensive income:
Net income				6,572		6,572
Other comprehensive loss					(569)	(569)
Reclassification of certain tax effects	[1]			334	(334)
Stock options exercised		2	82			84
Share-based compensation			1,451			1,451
Restricted stock vested		32	(32)
Common stock issued		3	144			147
Common stock purchased		(10)	(550)			(560)
Cash dividends declared – common stock				(4,637)		(4,637)
Balance, end of period at Dec. 31, 2017		3,358	12,800	127,431	(1,887)	141,702
Comprehensive income:
Net income				18,020		18,020
Other comprehensive loss					(2,785)	(2,785)
Share-based compensation			1,345			1,345
Restricted stock vested		26	(26)
Common stock issued		3	141			144
Common stock purchased		(29)	(1,508)			(1,537)
Cash dividends declared – common stock				(4,931)		(4,931)
Balance, end of period at Dec. 31, 2018		$ 3,358	$ 12,752	$ 140,520	$ (4,672)	$ 151,958
[1]	Reclassification relates to the adoption of ASU 2018-02 in the year ended December 31, 2017 for stranded tax effects related to the reduction in the enacted federal corporate income tax rate.

Consolidated Statements of Sh_2

Consolidated Statements of Shareholders’ Equity (Parentheticals) - $ / shares	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY
Cash dividends declared – common stock (in dollars per share)	$ 0.37	$ 0.36	$ 0.34	$ 0.34	$ 0.34	$ 0.33	$ 0.33	$ 0.33	$ 1.41	$ 1.33	$ 1.29

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Operating activities:
Net income	$ 18,020	$ 6,572	$ 13,459
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	3,220	2,771	2,666
Deferred income taxes	632	9,405	(23)
Provision for loan losses	11,006	16,435	18,040
Provision for indemnifications	52	186	290
Provision for other real estate owned losses			135
Share-based compensation	1,345	1,451	1,218
Pension expense	403	627	656
Pension contribution	(3,000)	(1,500)	(1,000)
Net accretion of certain acquisition-related discounts	(3,034)	(1,706)	(3,106)
Accretion of discounts and amortization of premiums on securities, net	1,783	1,676	1,456
Amortization of intangible assets	451	676	754
Net realized gains on calls of securities available for sale	(10)	(10)	(52)
Net realized losses (gains) on sales of other real estate owned	2	(10)	(134)
Net realized gains on sale of corporate premises and equipment	(204)	(45)	(246)
Income from bank-owned life insurance	(424)	(433)	(927)
Origination of loans held for sale	(699,028)	(744,780)	(674,317)
Proceeds from sales of loans held for sale	720,358	749,976	674,410
Gains on sales of loans held for sale	(7,841)	(8,553)	(8,120)
Change in other assets and liabilities:
Accrued interest receivable	153	(328)	(432)
Other assets	3,481	(3,900)	(1,558)
Accrued interest payable	82	135	5
Other liabilities	(325)	(2,870)	3,803
Net cash provided by operating activities	47,122	25,775	26,977
Investing activities:
Proceeds from maturities and calls of securities available for sale and payments on mortgage-backed securities	51,067	41,520	57,355
Purchases of securities available for sale	(51,322)	(53,461)	(52,547)
Net proceeds from sales (purchases) of restricted stock	51	(40)	(58)
Purchases of loans held for investment by non-bank affiliates	(133,484)	(121,644)	(145,377)
Repayments on loans held for investment by non-bank affiliates	117,014	117,018	118,500
Net increase in retail banking loans held for investment	(27,720)	(39,659)	(83,870)
Other real estate owned improvements			(20)
Proceeds from sales of other real estate owned	18	245	1,384
Purchases of corporate premises and equipment	(3,374)	(4,180)	(2,708)
Proceeds from sales of corporate premises and equipment	227	289	1,017
Net cash used in investing activities	(47,523)	(59,912)	(106,324)
Financing activities:
Net increase in demand, interest-bearing demand and savings deposits	11,625	47,970	41,605
Net (decrease) increase in time deposits	(1,393)	3,538	4,683
Net (decrease) increase in short-term borrowings	(5,705)	3,257	(12,730)
Proceeds from long-term borrowings			7,500
Repayments of long-term borrowings	(2,500)		(7,500)
Issuance of common stock	144	147	149
Purchase of common stock, excluding shares withheld to pay taxes	(1,105)
Proceeds from exercise of stock options		84	362
Cash dividends paid	(4,931)	(4,637)	(4,464)
Other financing activities	(144)
Net cash (used in) provided by financing activities	(4,009)	50,359	29,605
Net (decrease) increase in cash and cash equivalents	(4,410)	16,222	(49,742)
Cash and cash equivalents at beginning of period	119,423	103,201	152,943
Cash and cash equivalents at end of period	115,013	119,423	103,201
Supplemental disclosure
Interest paid	10,909	9,430	8,927
Income taxes paid	821	5,133	2,311
Supplemental disclosure of noncash investing and financing activities
Unrealized losses on securities available for sale	(2,548)	(1,325)	(3,238)
Transfers from loans to other real estate owned	(98)	(208)	(618)
Value of shares withheld at vesting for employee taxes	432	560	414
Unrealized gains on cash flow hedging instruments	$ 123	$ 223	$ 119

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2018
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	NOTE 1: Summary of Significant Accounting Policies Principles of Consolidation: The accompanying consolidated financial statements include the accounts of C&F Financial Corporation (the Corporation) and its wholly-owned subsidiary, Citizens and Farmers Bank (the Bank or C&F Bank). All significant intercompany accounts and transactions have been eliminated in consolidation. In addition, the Corporation owns 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 C&F Financial Corporation and Subsidiary conform to accounting principles generally accepted in the United States of America (U.S. GAAP) and to predominant practices within the banking industry. Nature of Operations: The Corporation is a bank holding company incorporated under the laws of the Commonwealth of Virginia. The Corporation owns all of the stock of its subsidiary, C&F Bank, which is an independent commercial bank chartered under the laws of the Commonwealth of Virginia. 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, was formed to originate and sell residential mortgages and through its subsidiary, Certified Appraisals LLC, provides ancillary mortgage loan production services for residential appraisals. C&F Finance, acquired on September 1, 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 18. Basis of Presentation: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the allowance for indemnifications, impairment of loans, impairment of securities, the valuation of other real estate owned, the projected benefit obligation under the defined benefit pension plan, the valuation of deferred taxes, and goodwill impairment. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair presentation of the results of operations in these financial statements, have been made. Reclassification: Certain reclassifications have been made to the prior period financial statements to conform to the current period presentation. None of these reclassifications are considered material. Additional information about reclassifications related to the adoption of accounting standards is presented in Note 2. Significant Group Concentrations of Credit Risk: The Corporation invests in a variety of securities, principally obligations of U.S. government agencies and obligations of states and political subdivisions. At December 31, 2018, securities issued by the Commonwealth of Virginia and its political subdivisions comprised 13.7 percent of its state and political subdivision portfolio and securities issued by the Virginia State Housing Authority comprised 3.6 percent of its state and political subdivision portfolio. There are no concentrations of any state or issuer in the Corporation’s portfolio of securities available for sale that exceed ten percent of stockholders’ equity at December 31, 2018, and the Corporation does not have any other significant securities concentrations in any one industry or geographic region. Additional information about the Corporation’s securities portfolio and investment activities is presented in Note 3. States in which significant concentrations of the Corporation’s lending activities exist include Virginia, Tennessee, Georgia and Ohio. At December 31, 2018, 42.9 percent of the Corporation’s loan portfolio consisted of commercial, financial and agricultural loans, which include loans secured by real estate for builder lines, acquisition and development and commercial development, as well as commercial loans secured by personal property. In addition, 26.8 percent of the Corporation’s loan portfolio consisted of non-prime consumer finance loans to individuals, secured by automobiles. The Corporation does not have any significant loan concentrations to any one customer. Additional information about the Corporation’s lending activities is presented in Note 4. Business Combination: On October 1, 2013, the Corporation acquired Central Virginia Bankshares, Inc. (CVBK) and its wholly-owned subsidiary Central Virginia Bank (CVB). This acquisition was accounted for using the acquisition method of accounting, meaning the assets and liabilities of CVBK were recorded at their respective fair values as of October 1, 2013. Cash and Cash Equivalents: For purposes of the Consolidated Statements of Cash Flows, cash and cash equivalents include cash, balances due from banks, interest-bearing deposits in banks and federal funds sold, all of which mature within 90 days. The Bank is required to maintain average balances on hand or with the Federal Reserve Bank (FRB). At December 31, 2018 and 2017, the minimum requirement was $1.07 million and $783,000, respectively. The Corporation is required to maintain cash collateral against all loss positions in interest rate derivative relationships with dealer counterparties, which are described in Note 19. At both December 31, 2018 and 2017, no collateral was required in connection with the Corporation’s interest rate derivative relationships with dealer counterparties, as none of them was in a loss position. Securities: Investments in debt securities are classified as either held to maturity, available for sale, or trading, based on management’s intent. Currently all of the Corporation’s investment securities are classified as available for sale. Available for sale debt securities are carried at estimated fair value with the corresponding unrealized gains and losses recognized in other comprehensive income. Gains or losses are recognized in net income on the trade date using the amortized cost of the specific security sold. Purchase premiums and discounts are recognized in interest income using the effective interest rate method over the period from purchase to maturity or, for callable securities, the earliest call date. Impairment of debt securities occurs when the fair value of a security is less than its amortized cost. For debt securities, impairment is considered other-than-temporary and recognized in its entirety in net income if either (i) we intend to sell the security or (ii) it is more-likely-than-not that we will be required to sell the security before recovery of its amortized cost basis. If, however, the Corporation does not intend to sell the security and it is not more-likely-than-not that the Corporation will be required to sell the security before recovery, the Corporation must determine what portion of the impairment is attributable to a credit loss, which occurs when the amortized cost basis of the security exceeds the present value of the cash flows expected to be collected from the security. If there is no credit loss, there is no other-than-temporary impairment. If there is a credit loss, other-than-temporary impairment exists, and the credit loss must be recognized in net income and the remaining portion of impairment must be recognized in other comprehensive income. The Corporation regularly reviews unrealized losses in its investments in securities based on criteria including the extent to which market value is below amortized cost, the duration of that market decline, the financial health of and specific prospects for the issuer, the Corporation’s best estimate of the present value of cash flows expected to be collected from debt securities, the Corporation’s intention with regard to holding the security to maturity and the likelihood that the Corporation would be required to sell the security before recovery. Loans Held for Sale: The Corporation uses fair value accounting for its entire portfolio of loans held for sale (LHFS) in accordance with Accounting Standards Codification (ASC) Topic 820 - Fair Value Measurement . Fair value of the Corporation’s LHFS is based on observable market prices for similar instruments traded in the secondary mortgage loan markets in which the Corporation conducts business. Substantially all loans originated by C&F Mortgage are held for sale to outside investors. Loans Acquired in a Business Combination: Loans acquired in a business combination, such as the Corporation’s acquisition of CVB, are recorded at estimated fair value on the date of acquisition without the carryover of the related allowance for loan losses. Purchased credit-impaired (PCI) loans are those for which there is evidence of credit deterioration since origination and for which it is probable at the date of acquisition that the Corporation will not collect all contractually required principal and interest payments. When determining fair value, PCI loans were aggregated into pools of loans based on common risk characteristics as of the date of acquisition such as loan type, date of origination, and evidence of credit quality deterioration such as internal risk grades and past due and nonaccrual status. The difference between contractually required payments at acquisition and the cash flows expected to be collected at acquisition is referred to as the “nonaccretable difference,” and is not recorded. Any excess of cash flows expected at acquisition over the estimated fair value is referred to as the accretable yield and is recognized as interest income over the remaining life of the loan when there is a reasonable expectation about the amount and timing of such cash flows. On a quarterly basis, the Corporation evaluates its estimate of cash flows expected to be collected. Estimates of cash flows for PCI loans require significant judgment. Subsequent decreases to the expected cash flows will generally result in a provision for loan losses, while subsequent increases in cash flows may result in a reversal of post-acquisition provision for loan losses, or a transfer from nonaccretable difference to accretable yield that increases interest income over the remaining life of the loan or pool(s) of loans. Disposals of loans, which may include sale of loans to third parties, receipt of payments in full or part from the borrower or foreclosure of the collateral, result in removal of the loan from the PCI loan portfolio at its carrying amount. The Corporation’s PCI loans currently consist of loans acquired in connection with the acquisition of CVB. PCI loans that were classified as nonperforming by CVB are no longer classified as nonperforming so long as, at quarterly re-estimation periods, we believe we will fully collect the new carrying value of the pools of loans. Loans not designated PCI loans as of the acquisition date are designated purchased performing loans. The Corporation accounts for purchased performing loans using the contractual cash flows method of recognizing discount accretion based on the acquired loans’ contractual cash flows. Purchased performing loans are recorded at fair value, including a credit discount. The fair value discount is accreted as an adjustment to yield over the estimated lives of the loans. There is no allowance for loan losses established at the acquisition date for purchased performing loans. A provision for loan losses may be required in future periods for any deterioration in these loans subsequent to the acquisition. Originated Loans: The Corporation makes mortgage, commercial and consumer loans to customers. The Corporation’s recorded investment in loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off generally is reported at the unpaid principal balances adjusted for charges-offs, unearned discounts, any deferred fees or costs on originated loans, and the allowance for loan losses. Interest on loans is credited to operations based on the principal amount outstanding. Loan fees and origination costs are deferred and the net amount is amortized as an adjustment of the related loan’s yield using the level-yield method. The Corporation is amortizing these amounts over the contractual life of the related loans. A loan’s past due status is based on the contractual due date of the most delinquent payment due. Loans are generally placed on nonaccrual status when the collection of principal or interest is 90 days or more past due, or earlier, if collection is uncertain based on an evaluation of the net realizable value of the collateral and the financial strength of the borrower. Loans greater than 90 days past due may remain on accrual status if management determines it has adequate collateral to cover the principal and interest. For those loans that are carried on nonaccrual status, payments are first applied to principal outstanding. A loan may be returned to accrual status if the borrower has demonstrated a sustained period of repayment performance in accordance with the contractual terms of the loan and there is reasonable assurance the borrower will continue to make payments as agreed. These policies are applied consistently across our loan portfolio. The Corporation considers a loan impaired when it is probable that the Corporation will be unable to collect all interest and principal payments as scheduled in the loan agreement. A loan is not considered impaired during a period of delay in payment if the ultimate collectibility of all amounts due is expected. Impairment is measured based on either the fair value of the loan using the loan’s obtainable market price or the fair value of the collateral, if the loan is collateral dependent, or using the present value of expected future cash flows discounted at the loan’s effective interest rate, which is not a fair value measurement. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Troubled debt restructurings (TDRs) occur when the Corporation agrees to significantly modify the original terms of a loan due to the deterioration in the financial condition of the borrower. TDRs are considered impaired loans and are evaluated individually. Upon designation as a TDR, the Corporation evaluates the borrower’s payment history, past due status and ability to make payments based on the revised terms of the loan. If a loan was accruing prior to being modified as a TDR and if the Corporation concludes that the borrower is able to make such payments, and there are no other factors or circumstances that would cause it to conclude otherwise, the loan will remain on an accruing status. If a loan was on nonaccrual status at the time of the TDR, the loan will remain on nonaccrual status following the modification and may be returned to accrual status based on the policy for returning loans to accrual status as noted above. As of December 31, 2018 and 2017, the Corporation had $5.45 million and $10.90 million, respectively, of loans classified as TDRs. Allowance for Loan Losses: The allowance for loan losses is established through charges to earnings in the form of a provision for loan losses. Loan losses are charged against the allowance for loan losses for the difference between the carrying value of the loan and the estimated net realizable value or fair value of the collateral, if collateral dependent, when management believes that the collectibility of the principal is unlikely. Subsequent recoveries, if any, are credited to the allowance. The allowance represents an amount that, in management’s judgment, will be adequate to absorb probable losses inherent in the loan portfolio. Management’s judgment in determining the level of the allowance is based on evaluations of the collectibility of loans while taking into consideration such factors as trends in delinquencies and charge-offs, changes in the nature and volume of the loan portfolio, current economic conditions that may affect a borrower’s ability to repay and the value of collateral, overall portfolio quality and review of specific potential losses. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. The evaluation also considers the following risk characteristics of each loan portfolio: · Real estate residential mortgage loans carry risks associated with the continued credit-worthiness of the borrower and changes in the value of the collateral. · Real estate construction loans carry risks that the project will not be finished according to schedule, the project will not be finished according to budget and the value of the collateral may, at any point in time, be less than the principal amount of the loan. Construction loans also bear the risk that the general contractor, who may or may not be a loan customer, may be unable to finish the construction project as planned because of financial pressure unrelated to the project. · Commercial, financial and agricultural loans carry risks associated with the successful operation of a business or a real estate project, in addition to other risks associated with the ownership of real estate, because the repayment of these loans may be dependent upon the profitability and cash flows of the business or project. In addition, there is risk associated with the value of collateral other than real estate which may depreciate over time and cannot be appraised with as much precision. · Consumer and consumer finance loans carry risks associated with the continued credit-worthiness of the borrower and the value of the collateral (e.g., rapidly-depreciating assets such as automobiles and marine and recreational vehicles (RVs)), or lack thereof. Consumer loans are more likely than real estate loans to be immediately adversely affected by job loss, divorce, illness or personal bankruptcy. · Equity lines of credit carry risks associated with the continued credit-worthiness of the borrower and changes in the value of the collateral. The allowance consists of specific and general components. The specific component relates to loans that are individually evaluated for impairment, and is established when the discounted cash flows (or collateral value or observable market price) of an impaired loan is lower than the carrying value of that loan. For collateral dependent loans, an updated appraisal will be ordered if a current one is not on file. Appraisals are performed by independent third-party appraisers with relevant industry experience. Adjustments to the appraised value may be made based on recent sales of similar properties or general market conditions when appropriate. The general component covers non-classified loans and those loans classified as substandard or special mention that are not individually evaluated for impairment. The general component is based on historical loss experience adjusted for qualitative factors, such as current economic conditions, including current home sales and foreclosures, unemployment rates and retail sales. Relative to non-classified loans, non-impaired classified loans are assigned a higher allowance factor which increases with the severity of classification. The characteristics of these loan ratings are as follows: · Pass rated loans are to persons or business entities with an acceptable financial condition, appropriate collateral margins, appropriate cash flow to service the existing loan, and an appropriate leverage ratio. The borrower has paid all obligations as agreed and it is expected that this type of payment history will continue. When necessary, acceptable personal guarantors support the loan. · Special mention loans have a specific identified weakness in the borrower’s operations and in the borrower’s ability to generate positive cash flow on a sustained basis. The borrower’s recent payment history may be characterized by late payments. The Corporation’s risk exposure is mitigated by collateral supporting the loan. The collateral is considered to be well-margined, well maintained, accessible and readily marketable. · Substandard loans are considered to have specific and well-defined weaknesses that jeopardize the viability of the Corporation’s credit extension. The payment history for the loan has been inconsistent and the expected or projected primary repayment source may be inadequate to service the loan. The estimated net liquidation value of the collateral pledged and/or ability of the personal guarantor(s) to pay the loan may not adequately protect the Corporation. There is a distinct possibility that the Corporation will sustain some loss if the deficiencies associated with the loan are not corrected in the near term. A substandard loan would not automatically meet the Corporation’s definition of impaired unless the loan is significantly past due and the borrower’s performance and financial condition provide evidence that it is probable that the Corporation will be unable to collect all amounts due. · Substandard nonaccrual loans have the same characteristics as substandard loans; however, they have a nonaccrual classification because it is probable that the Corporation will not be able to collect all amounts due. · Doubtful rated loans have all the weaknesses inherent in a loan that is classified substandard but with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high. · Loss rated loans are not considered collectible under normal circumstances and there is no realistic expectation for any future payment on the loan. Loss rated loans are fully charged off. On a quarterly basis the Corporation evaluates its estimate of cash flows to be collected on PCI loans. These evaluations require the continued assessment of key assumptions and estimates similar to the initial estimate of fair value as of the acquisition date, such as the effect of collateral value changes, changing loss severities, estimated and experienced prepayment speeds and other relevant factors. Subsequent decreases to the expected cash flows to be collected on a PCI loan will generally result in a provision for loan losses. The consumer finance loans are segregated between performing and nonperforming loans. Performing loans are those that have made timely payments in accordance with the terms of the loan agreement and are not past due 90 days or more. Nonperforming loans are those that do not accrue interest and are greater than 90 days past due. Allowance for Indemnifications: The allowance for indemnifications is established through charges to earnings in the form of a provision for indemnifications, which is included in other noninterest expenses. A loss is charged against the allowance for indemnifications when a purchaser of a loan (investor) sold by C&F Mortgage incurs a validated indemnified loss due to borrower misrepresentation, fraud, early payment default or underwriting error. The allowance represents an amount that, in management’s judgment, will be adequate to absorb any losses that are probable of arising from valid indemnification requests for loans that have been sold by C&F Mortgage. Management’s judgment in determining the level of the allowance is based on the volume of loans sold, historical experience, current economic conditions and information provided by investors. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. Restricted Stock: Restricted stock includes Federal Home Loan Bank (FHLB) stock. FHLB stock is carried at cost. No ready market exists for this stock and it has no quoted market value. For presentation purposes, such stock is assumed to have a market value that is equal to cost. Management reviews FHLB stock for impairment based on the ultimate recoverability of the cost basis. Other Real Estate Owned (OREO): Assets acquired through, or in lieu of, foreclosure are held for sale and are initially recorded at fair value less estimated costs to sell at the date of foreclosure. Physical possession of residential real estate securing consumer mortgage loans occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through completion of a deed in lieu of foreclosure or similar legal agreement. Subsequent to foreclosure, management periodically performs valuations of the foreclosed assets based on updated appraisals, general market conditions, recent sales of similar properties, length of time the properties have been held, and our ability and intention with regard to continued ownership of the properties. The Corporation may incur additional write-downs of foreclosed assets to fair value less estimated costs to sell if valuations indicate a further deterioration in market conditions. Revenue and expenses from operations and changes in the property valuations are included in net OREO expenses and improvements are capitalized. Repossessed Assets: Repossessed assets primarily consist of vehicles repossessed by C&F Finance due to borrowers’ payment defaults. The repossession process is generally initiated after a loan becomes more than 60 days delinquent. Most customers have an opportunity to redeem their repossessed vehicles by paying all outstanding balances, including finance charges and fees. Vehicles that are not redeemed within a prescribed waiting period following repossession are then reclassified from loans to repossessed assets available-for-sale (included in other assets) and recorded initially at fair value less estimated costs to sell. The difference between the carrying amount of each loan and the fair value of the vehicle (i.e., the deficiency) is charged against the allowance for loan losses. The waiting period is determined as the length of time after repossession that C&F Finance is prohibited to sell the vehicle under the laws of the state where the vehicle was repossessed. Accounts still in process of collection or for which the Corporation does not have the legal right to sell continue to be classified as loans until such legal authority is obtained. At December 31, 2018, repossessed vehicles at fair value less estimated costs to sell included in other assets totaled $371,000, compared to $250,000 at December 31, 2017. Repossession expense includes the costs to repossess and sell vehicles. These costs include transportation, storage, rekeying, condition reports, legal fees, fees paid to repossession agents and auction fees. These costs are included in noninterest expenses. Corporate Premises and Equipment: Land is carried at cost. Buildings and equipment are carried at cost less accumulated depreciation computed using a straight-line method over the estimated useful lives of the assets. Estimated useful lives range from ten to forty years for buildings and from three to ten years for equipment, furniture and fixtures. Maintenance and repairs are charged to expense as incurred and major improvements are capitalized. Upon sale or retirement of depreciable properties, the cost and related accumulated depreciation are netted against proceeds and any resulting gain or loss is included in income. Depreciation expense for the years ended December 31, 2018, 2017 and 2016 was $3.22 million, $2.77 million and $2.67 million, respectively. Goodwill: The Corporation’s goodwill was recognized in connection with its acquisition of CVBK in October 2013 and its acquisition of C&F Finance in September 2002. The Corporation reviews the carrying value of goodwill at least annually or more frequently if certain impairment indicators exist. In testing goodwill for impairment, the Corporation may first consider qualitative factors to determine whether the existence of events or circumstances lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events and circumstances, we conclude that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then no further testing is required and the goodwill of the reporting unit is not impaired. If the Corporation elects to bypass the qualitative assessment or if we conclude that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the fair value of the reporting unit is compared with its carrying amount to determine whether an impairment exists. Core Deposit Intangible: The Corporation’s core deposit intangible (CDI) was recognized in connection with the Corporation’s acquisition of CVB in October 2013, and represents the value of long-term deposit relationships acquired in this transaction. The Corporation is amortizing the CDI over an estimated weighted average life of six years using the sum-of-the-years digits method. Other Intangibles: During the fourth quarter of 2016, C&F Wealth Management acquired the assets of a registered investment advisor with approximately $91.40 million in assets under management at the time of the acquisition. In connection with the transaction, the Corporation recorded $1.40 million of amortizable assets, which primarily relate to the value of the customer relationships. The Corporation is amortizing these intangible assets over the period of expected benefit, which ranges from five to nine years using a straight-line method. Transfer of Financial Assets: Transfers of loans are accounted for as sales when control over the loans has been surrendered. Control over transferred loans is deemed to be surrendered when (1) the loans have been isolated from the Corporation, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred loans and (3) the Corporation does not maintain effective control over the transferred loans through an agreement to repurchase them before their maturity. Income Taxes: The Corporation determines deferred income tax assets and liabilities based on temporary differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Income tax expense includes taxes on income or loss that is taxable in the period and changes during the period in deferred tax assets and liabilities. C&F Bank invests in qualified affordable housing projects through housing equity funds, the purpose of which is to encourage investment in low-income residential property development in Virginia by providing a return on investment through federal income tax credits and other tax benefits on losses generated by the projects. C&F Bank recognizes its share of losses on these projects as a component of income tax expense. The benefit of an uncertain tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination by the applicable taxing authority, including the resolution of appeals or litigation processes, if any. Tax positions taken are not

Adoption of New Accounting Stan

Adoption of New Accounting Standards	12 Months Ended
	Dec. 31, 2018
Adoption of New Accounting Standards
Adoption of New Accounting Standard	NOTE 2: Adoption of New Accounting Standards On January 1, 2018, the Corporation adopted ASU 2014-09, “ Revenue from Contracts with Customers (Topic 606) ,” and all amendments thereto (collectively, ASU 2014-09), which (i) creates a single framework for recognizing revenue from contracts with customers that fall within its scope and (ii) revises when it is appropriate to recognize a gain/loss from the transfer of nonfinancial assets, such as OREO. The Corporation adopted ASU 2014-09 using the modified retrospective method applied to all contracts not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under ASU 2014-09, while prior period amounts continue to be reported in accordance with pronouncements in effect prior to January 1, 2018. The adoption of ASU 2014-09 did not result in a change to the accounting for any of the in-scope revenue streams; therefore, no cumulative effect adjustment was recorded. Most revenue associated with the Corporation’s financial instruments, including interest income and gains/losses on investment securities, derivatives and sales of financial instruments are outside the scope of ASU 2014-09. The Corporation’s services that fall within the scope of ASU 2014-09 are presented within noninterest income and are recognized as revenue as the Corporation satisfies its obligation to the customer. A description of the Corporation’s primary revenue streams accounted for under ASU 2014-09 follows: Service Charges on Deposit Accounts. The Corporation earns fees from its deposit customers for overdraft and account maintenance services. Overdraft fees are recognized when the overdraft occurs. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Corporation satisfies the performance obligation. Other Service Charges and Fees. The Corporation earns fees from its customers for transaction-based services. Such services include ATM, stop payment and wire transfer fees at the retail banking segment and on-line payment processing fees at the consumer finance segment. In each case, these service charges and fees are recognized in income at the time or within the same period that the Corporation’s performance obligation is satisfied. Interchange Income. The Corporation earns interchange fees from debit and credit cardholder transactions conducted through various payment networks. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services. Wealth Management Services Income. The Corporation earns wealth management services income by providing investment brokerage services and health and life insurance products to its customers through third-party service providers. Fees that are transaction-based (e.g., execution of trades) are recognized on a monthly basis. Other fees, or commissions, are earned over time as the contracted monthly or quarterly services are provided and are generally assessed based on either account activity or the market value of assets under management at month or quarter end. Gains/Losses on Sales of OREO . The Corporation records a gain/loss from the sale of OREO when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When the Corporation finances the sale of OREO to the buyer, the Corporation assesses whether the buyer is committed to perform the obligations under the contract and whether collectability of the transaction price is probable. In determining the gain/loss on the sale, the Corporation adjusts the transaction price and the related gain/loss on sale if a significant financing component is present. On January 1, 2018, the Corporation adopted ASU 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-01 makes targeted improvements to several areas of U.S. GAAP including the disclosure of the fair value of financial instruments that are not measured at fair value on a recurring basis. The new guidance, among other things, (i) eliminates the requirements to disclose the methods and significant assumptions used to estimate the fair value and the description of the changes therein, if any, during the period, (ii) requires the use of the exit price notion in calculating the fair values of financial instruments not measured at fair value on a recurring basis and (iii) eliminates the guidance that allowed the use of the entry price notion to calculate the fair value of certain financial instruments, such as loans and long-term debt. Accordingly, the Corporation began disclosing the fair value of these financial instruments using an exit price notion rather than an entry price notion in the first quarter of 2018 (see “Note 17: Fair Value of Assets and Liabilities”). On January 1, 2018, the Corporation adopted ASU 2017-07, “ Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost .” ASU 2017-07 requires that the service cost component of the net periodic benefit cost be presented with other employee compensation costs and that the remaining components be presented in the aggregate with noninterest income or noninterest expense, as appropriate. This guidance is required to be applied on a retrospective basis. Accordingly, income of $493,000 and $420,000 was reclassified from “Salaries and employee benefits” to “Noninterest income – Other” on the Consolidated Statements of Income for the year ended December 31, 2017 and 2016, respectively. In the third quarter of 2018, the Corporation adopted ASU 2017-12, “ Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities .” ASU 2017-12 improves the financial reporting of hedging relationships to better portray the economic results of an entity’s risk management activities in its financial statements by expanding the types of risk management activities to which hedge accounting can be applied and by simplifying its application. As a result of the adoption of ASU 2017-12, any ineffectiveness in qualifying and designated cash flow hedging relationships will be recorded in other comprehensive income rather than in earnings. The adoption of ASU 2017-12 did not have a significant effect on the financial statements, and most of its provisions are effective for the Corporation on a prospective basis. In the third quarter of 2018, the Corporation also adopted ASU 2017-08, “ Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities, ” which requires all entities that hold investments in callable debt securities at a premium to amortize the premium to the earliest call date. The amendments in ASU 2017-08 were applied on a modified retrospective basis as of January 1, 2018 and did not have a significant effect on the financial statements.

Securities

Securities	12 Months Ended
	Dec. 31, 2018
Securities
Securities	NOTE 3: Securities The Corporation’s debt securities, all of which are classified as available for sale, are summarized as follows: December 31, 2018 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 18,008 $ 1 $ (536) $ 17,473 Mortgage-backed securities 106,787 85 (1,889) 104,983 Obligations of states and political subdivisions 91,855 840 (241) 92,454 $ 216,650 $ 926 $ (2,666) $ 214,910 December 31, 2017 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 16,514 $ — $ (341) $ 16,173 Mortgage-backed securities 97,677 142 (761) 97,058 Obligations of states and political subdivisions 103,977 2,022 (254) 105,745 $ 218,168 $ 2,164 $ (1,356) $ 218,976 The amortized cost and estimated fair value of securities at December 31, 2018, 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. December 31, 2018 Amortized (Dollars in thousands) Cost Fair Value Due in one year or less $ 48,902 $ 48,832 Due after one year through five years 149,981 148,258 Due after five years through ten years 14,338 14,313 Due after ten years 3,429 3,507 $ 216,650 $ 214,910 The following table presents the gross realized gains and losses on and the proceeds from the (1) sale of securities and (2) maturities and calls of securities for the years ended December 31, 2018, 2017 and 2016. Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Realized gains from sales of securities: Gross realized gains $ — $ — $ 61 Gross realized losses — — (26) Net realized gains $ — $ — $ 35 Proceeds from sales of securities $ — $ — $ 917 Realized gains from maturities and calls of securities: Gross realized gains $ 10 $ 10 $ 17 Gross realized losses — — — Net realized gains $ 10 $ 10 $ 17 Proceeds from maturities, calls and paydowns of securities $ 51,067 $ 41,520 $ 56,438 The Corporation pledges securities to primarily secure public deposits and repurchase agreements. Securities with an aggregate amortized cost of $110.81 million and an aggregate fair value of $109.83 million were pledged at December 31, 2018. Securities with an aggregate amortized cost of $118.70 million and an aggregate fair value of $119.26 million were pledged at December 31, 2017. Securities in an unrealized loss position at December 31, 2018, 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 $ 997 $ 1 $ 15,725 $ 535 $ 16,722 $ 536 Mortgage-backed securities 17,934 132 72,830 1,757 90,764 1,889 Obligations of states and political subdivisions 9,492 29 20,555 212 30,047 241 Total temporarily impaired securities $ 28,423 $ 162 $ 109,110 $ 2,504 $ 137,533 $ 2,666 There were 237 debt securities totaling $137.53 million considered temporarily impaired at December 31, 2018. The primary cause of the temporary impairments in the Corporation’s investments in debt securities was fluctuations in interest rates. Interest rates increased during 2018, more significantly in the short-term portion of the United States Treasury security yield curve, thereby increasing unrealized losses on the Corporation’s debt securities. 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. At December 31, 2018, approximately 97 percent of the Corporation’s obligations of states and political subdivisions that were in a net unrealized loss position were rated “A” or better by Standard & Poor’s or Moody’s Investors Service, as measured by market value. For the approximately three percent not rated “A” or better, as measured by market value at December 31, 2018, the Corporation considers these to meet regulatory credit quality standards, meaning the securities have low risk of default by the obligor, and the full and timely repayment of principal and interest is expected over the expected life of the investment. Because 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 unrealized losses, the Corporation does not consider these investments to be other-than-temporarily impaired at December 31, 2018 and no other-than-temporary impairment loss has been recognized in net income. Securities in an unrealized loss position at December 31, 2017, 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 $ 2,972 $ 31 $ 13,201 $ 310 $ 16,173 $ 341 Mortgage-backed securities 57,116 341 22,545 420 79,661 761 Obligations of states and political subdivisions 18,644 117 9,363 137 28,007 254 Total temporarily impaired securities $ 78,732 $ 489 $ 45,109 $ 867 $ 123,841 $ 1,356 The Corporation’s investment in restricted stock totaled $3.25 million at December 31, 2018 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 December 31, 2018 and no impairment has been recognized.

Loans

Loans	12 Months Ended
	Dec. 31, 2018
Loans
Loans	NOTE 4: Loans Major classifications of loans are summarized as follows: December 31, (Dollars in thousands) 2018 2017 Real estate – residential mortgage $ 184,901 $ 184,863 Real estate – construction 1 54,461 44,782 Commercial, financial and agricultural 2 455,935 437,884 Equity lines 55,660 55,237 Consumer 15,009 13,018 Consumer finance 296,154 292,004 1,027,788 Less allowance for loan losses (34,023) (35,726) Loans, net $ $ 992,062 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. Consumer loans included $275,000 and $290,000 of demand deposit overdrafts at December 31, 2018 and 2017, respectively. The outstanding principal balance and the carrying amount of loans acquired pursuant to the Corporation's acquisition of CVB on October 1, 2013 (or acquired loans) that were recorded at fair value at the acquisition date and are included in the Consolidated Balance Sheets are as follows: December 31, 2018 December 31, 2017 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 $ 9,734 $ 38,768 $ 48,502 $ 12,856 $ 45,083 $ 57,939 Carrying amount Real estate – residential mortgage $ 284 $ 8,823 $ 9,107 $ 492 $ 10,855 $ 11,347 Commercial, financial and agricultural 1 1,461 18,982 20,443 2,472 22,305 24,777 Equity lines 90 9,063 9,153 139 9,621 9,760 Consumer — 6 6 — 12 12 Total acquired loans $ 1,835 $ 36,874 $ 38,709 $ 3,103 $ 42,793 $ 45,896 1 Includes acquired loans classified by the Corporation as commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending. The following table presents a summary of the change in the accretable yield of the PCI loan portfolio: Year Ended December 31, (Dollars in thousands) 2018 2017 Accretable yield, balance at beginning of period $ 7,304 $ 8,636 Accretion (3,737) (2,657) Reclassification of nonaccretable difference due to improvement in expected cash flows 2,191 1,641 Other changes, net 229 (316) Accretable yield, balance at end of period $ 5,987 $ 7,304 Loans on nonaccrual status at December 31, 2018 and 2017 were as follows: December 31, (Dollars in thousands) 2018 2017 Real estate – residential mortgage $ 594 $ 830 Commercial, financial and agricultural: Commercial real estate lending — 3,796 Commercial business lending 24 34 Equity lines 883 651 Consumer finance 712 764 Total loans on nonaccrual status $ 2,213 $ 6,075 If interest income had been recognized on nonaccrual loans at their stated rates during the years ended December 31, 2018, 2017 and 2016, interest income would have increased by approximately $325,000, $462,000 and $304,000, respectively. The past due status of loans as of December 31, 2018 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 $ 1,221 $ — $ 37 $ 1,258 $ 284 $ 183,359 $ 184,901 $ 9 Real estate – construction: Construction lending — — — — — 42,051 42,051 — Consumer lot lending — — — — — 12,410 12,410 — Commercial, financial and agricultural: Commercial real estate lending — — 315 315 1,461 309,057 310,833 315 Land acquisition and development lending — — — — — 43,404 43,404 — Builder line lending — — — — — 31,201 31,201 — Commercial business lending 163 19 24 206 — 70,291 70,497 — Equity lines 46 584 325 955 90 54,615 55,660 — Consumer 31 — — 31 — 14,978 15,009 — Consumer finance 11,419 1,965 712 14,096 — 282,058 296,154 — Total $ 12,880 $ 2,568 $ 1,413 $ 16,861 $ 1,835 $ 1,043,424 $ 1,062,120 $ 324 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 $458,000, 30-59 days past due of $97,000, 60‑89 days past due of $560,000 and 90+ days past due of $1.10 million. The past due status of loans as of December 31, 2017 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 $ 1,905 $ 14 $ 245 $ 2,164 $ 492 $ 182,207 $ 184,863 $ 90 Real estate – construction: Construction lending — — — — — 41,449 41,449 — Consumer lot lending — — — — — 3,333 3,333 — Commercial, financial and agricultural: Commercial real estate lending 241 — 3,874 4,115 2,472 297,903 304,490 78 Land acquisition and development lending — — — — — 39,844 39,844 — Builder line lending 685 — — 685 — 28,911 29,596 — Commercial business lending — — 2 2 — 63,952 63,954 2 Equity lines 550 — 136 686 139 54,412 55,237 136 Consumer 9 — — 9 — 13,009 13,018 — Consumer finance 12,273 2,061 764 15,098 — 276,906 292,004 — Total $ 15,663 $ 2,075 $ 5,021 $ 22,759 $ 3,103 $ 1,001,926 $ 1,027,788 $ 306 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 $890,000, 30-59 days past due of $458,000, 60‑89 days past due of $14,000 and 90+ days past due of $4.71 million. Loan modifications that were classified as TDRs, and the recorded investment in those loans at the time of their modification, during the years ended December 31, 2018, 2017 and 2016 were as follows: Year Ended December 31, 2018 2017 2016 Number of Recorded Number of Recorded Number of Recorded (Dollars in thousands) Loans Investment Loans Investment Loans Investment Real estate – residential mortgage 1 $ 140 2 $ 365 5 $ 1,136 Commercial, financial and agricultural: Commercial real estate lending — — 7 6,800 3 227 Commercial business lending — — — — 2 125 Consumer 1 5 — — 1 291 Total 2 $ 145 9 $ 7,165 11 $ 1,779 One TDR during the year ended December 31, 2018, nine during the year ended December 31, 2017 and ten during the year ended December 31, 2016 included modifications of the loan’s interest rate. One TDR during the year ended December 31, 2018 included a modification of the loan’s payment structure. Three TDRs during the year ended December 31, 2017 and one during the year ended December 31, 2016 included a modification of the term of the loan. 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 year ended December 31, 2018. During the year ended December 31, 2017, TDR payment defaults occurred on three loans totaling $4.65 million that were part of a single commercial relationship and became more than 90 days past due. Impaired loans, which included TDRs of $5.45 million, and the related allowance at December 31, 2018 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 $ 3,057 $ 1,288 $ 1,677 $ 92 $ 3,056 $ 142 Commercial, financial and agricultural: Commercial real estate lending 2,468 1,498 927 10 2,653 132 Commercial business lending 33 25 — — 26 — Equity lines 365 31 326 326 359 2 Consumer 5 — 5 — 5 — Total $ 5,928 $ 2,842 $ 2,935 $ 428 $ 6,099 $ 276 Impaired loans, which consisted solely of TDRs, and the related allowance at December 31, 2017 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 $ 3,745 $ 1,603 $ 2,033 $ 214 $ 3,743 $ 184 Commercial, financial and agricultural: Commercial real estate lending 6,981 2,841 4,031 615 7,818 168 Commercial business lending 41 35 — — 45 — Equity lines 32 31 — — 32 2 Consumer 321 322 — — 321 13 Total $ 11,120 $ 4,832 $ 6,064 $ 829 $ 11,959 $ 367

Allowance for Loan Losses

Allowance for Loan Losses	12 Months Ended
	Dec. 31, 2018
Allowance for Loan Losses
Allowance for Loan Losses	NOTE 5: Allowance for Loan Losses Changes in the allowance for loan losses for the years ended December 31, 2018, 2017 and 2016 were as follows: Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Balance at December 31, 2015 $ 2,471 $ 94 $ 7,755 $ 1,052 $ 243 $ 23,954 $ 35,569 Provision charged to operations 7 722 (481) (310) 63 18,039 18,040 Loans charged off (82) — (87) (57) (281) (20,663) (21,170) Recoveries of loans previously charged off 163 — 206 — 236 4,022 4,627 Balance at December 31, 2016 2,559 816 7,393 685 261 25,352 37,066 Provision charged to operations (127) (211) 413 43 82 16,235 16,435 Loans charged off (179) — (349) (42) (301) (21,525) (22,396) Recoveries of loans previously charged off 118 — 21 2 189 4,291 4,621 Balance at December 31, 2017 2,371 605 7,478 688 231 24,353 35,726 Provision charged to operations (140) 122 (440) 418 140 10,906 11,006 Loans charged off (42) — (409) — (344) (16,477) (17,272) Recoveries of loans previously charged off 57 — 59 — 230 4,217 4,563 Balance at December 31, 2018 $ 2,246 $ 727 $ 6,688 $ 1,106 $ 257 $ 22,999 $ 34,023 The following table presents, as of December 31, 2018, 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 $ 92 $ — $ 10 $ 326 $ — $ — $ 428 Collectively evaluated for impairment 2,154 727 6,678 780 257 22,999 33,595 Acquired loans - PCI — — — — — — — Total allowance $ 2,246 $ 727 $ 6,688 $ 1,106 $ 257 $ 22,999 $ 34,023 Loans: Individually evaluated for impairment $ 2,965 $ — $ 2,450 $ 357 $ 5 $ — $ 5,777 Collectively evaluated for impairment 181,652 54,461 452,024 55,213 15,004 296,154 1,054,508 Acquired loans - PCI 284 — 1,461 90 — — 1,835 Total loans $ 184,901 $ 54,461 $ 455,935 $ 55,660 $ 15,009 $ 296,154 $ 1,062,120 The following table presents, as of December 31, 2017, 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 $ 214 $ — $ 615 $ — $ — $ — $ 829 Collectively evaluated for impairment 2,157 605 6,863 688 231 24,353 34,897 Acquired loans - PCI — — — — — — — Total allowance $ 2,371 $ 605 $ 7,478 $ 688 $ 231 $ 24,353 $ 35,726 Loans: Individually evaluated for impairment $ 3,636 $ — $ 6,907 $ 31 $ 322 $ — $ 10,896 Collectively evaluated for impairment 180,735 44,782 428,505 55,067 12,696 292,004 1,013,789 Acquired loans - PCI 492 — 2,472 139 — — 3,103 Total loans $ 184,863 $ 44,782 $ 437,884 $ 55,237 $ 13,018 $ 292,004 $ 1,027,788 Loans by credit quality indicators as of December 31, 2018 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 180,232 $ 2,832 $ 1,243 $ 594 $ 184,901 Real estate – construction: Construction lending 42,051 — — — 42,051 Consumer lot lending 12,410 — — — 12,410 Commercial, financial and agricultural: Commercial real estate lending 306,578 3,801 454 — 310,833 Land acquisition and development lending 33,156 10,248 — — 43,404 Builder line lending 31,201 — — — 31,201 Commercial business lending 69,897 576 — 24 70,497 Equity lines 54,289 389 99 883 55,660 Consumer 14,998 5 6 — 15,009 $ 744,812 $ 17,851 $ 1,802 $ 1,501 $ 765,966 1 At December 31, 2018, the Corporation did not have any loans classified as Doubtful or Loss. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 295,442 $ 712 $ 296,154 Loans by credit quality indicators as of December 31, 2017 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 179,963 $ 1,235 $ 2,835 $ 830 $ 184,863 Real estate – construction: Construction lending 41,449 — — — 41,449 Consumer lot lending 3,333 — — — 3,333 Commercial, financial and agricultural: Commercial real estate lending 293,292 2,874 4,528 3,796 304,490 Land acquisition and development lending 24,253 — 15,591 — 39,844 Builder line lending 29,596 — — — 29,596 Commercial business lending 63,749 34 137 34 63,954 Equity lines 53,870 465 251 651 55,237 Consumer 12,693 3 322 — 13,018 $ 702,198 $ 4,611 $ 23,664 $ 5,311 $ 735,784 1 At December 31, 2017, the Corporation did not have any loans classified as Doubtful or Loss. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 291,240 $ 764 $ 292,004

Other Real Estate Owned

Other Real Estate Owned	12 Months Ended
	Dec. 31, 2018
Other Real Estate Owned
Other Real Estate Owned	NOTE 6: OREO At December 31, 2018 and 2017, OREO was $246,000 and $168,000, respectively. OREO is primarily comprised of residential properties and non-residential properties associated with commercial relationships, and are located primarily in Virginia. Changes in the balance for OREO are as follows: Year Ended December 31, (Dollars in thousands) 2018 2017 Balance at the beginning of year, gross $ 225 $ 281 Transfers between loans and other real estate owned 98 208 Charge-offs — (29) Sales proceeds (18) (245) (Loss) gain on disposition (2) 10 Balance at the end of year, gross 303 225 Less valuation allowance (57) (57) Balance at the end of year, net $ 246 $ 168 Changes in the allowance for OREO losses are as follows: Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Balance at the beginning of year $ 57 $ 86 $ 56 Provision for losses — — 135 Charge-offs, net — (29) (105) Balance at the end of year $ 57 $ 57 $ 86 Other net noninterest expense applicable to OREO, other than the provision for losses, was $26,000, $72,000 and $22,000 for the years ended December 31, 2018, 2017 and 2016, respectively.

Corporate Premises and Equipmen

Corporate Premises and Equipment	12 Months Ended
	Dec. 31, 2018
Corporate Premises and Equipment
Corporate Premises and Equipment	NOTE 7: Corporate Premises and Equipment Major classifications of corporate premises and equipment are summarized as follows: December 31, (Dollars in thousands) 2018 2017 Land $ 8,300 $ 8,340 Buildings 36,390 35,586 Equipment, furniture and fixtures 34,501 32,486 79,191 76,412 Less accumulated depreciation (42,091) (39,443) $ 37,100 $ 36,969

Time Deposits

Time Deposits	12 Months Ended
	Dec. 31, 2018
Time Deposits
Time Deposits	NOTE 8: Time Deposits Time deposits are summarized as follows: December 31, (Dollars in thousands) 2018 2017 Certificates of deposit, over $250 $ 72,880 $ 70,034 Other time deposits 273,680 277,919 $ 346,560 $ 347,953 Remaining maturities on time deposits are as follows: (Dollars in thousands) December 31, 2018 2019 $ 198,357 2020 87,336 2021 23,249 2022 17,591 2023 10,353 Thereafter 9,674 $ 346,560

Borrowings

Borrowings	12 Months Ended
	Dec. 31, 2018
Borrowings
Borrowings	NOTE 9: Borrowings The table below presents selected information on short-term borrowings: December 31, (Dollars in thousands) 2018 2017 Balance outstanding at year end 1 $ 14,917 $ 20,621 Maximum balance at any month end during the year $ 22,912 $ 21,032 Average balance for the year $ 18,883 $ 18,416 Weighted average rate for the year 1.12 % 1.32 % Weighted average rate on borrowings at year end 0.71 % 1.29 % Estimated fair value at year end $ 14,917 $ 20,621 1 Consists of (1) repurchase transactions with customers, which generally mature the day following the day sold and (2) at December 31, 2017 a repurchase agreement with a third-party correspondent bank, both types of which are secured by investment securities. Long-term borrowings at December 31, 2018 consist of advances under a non-recourse revolving bank line of credit secured by loans at C&F Finance and advances from the FHLB, which are secured by a blanket floating lien on all qualifying closed-end and revolving, open-end loans secured by 1-4 family residential properties. The interest rate on the revolving bank line of credit, which matures in 2020, floats at the one-month LIBOR rate plus a range of 200 to 225 basis points, depending upon the average balance outstanding on the line. The outstanding balance on this line was $75.03 million as of December 31, 2018. C&F Finance’s revolving bank line of credit agreement contains covenants regarding C&F Finance’s capital adequacy, collateral performance, adequacy of the allowance for loan losses and interest expense coverage. C&F Finance satisfied all such covenants during 2018. Long-term advances from the FHLB at December 31, 2018 consist of $30.00 million of convertible advances and $14.50 million of fixed rate hybrid advances. The convertible advances have fixed rates of interest unless the FHLB exercises its option to convert the interest on these advances from fixed rate to variable rate. The fixed rate hybrid advances provide fixed-rate funding until the stated maturity date. C&F Bank may add interest rate caps or floors at a future date, at which time the cost of the caps or floors will be added to the advance rate. The table below presents selected information for the FHLB advances at December 31, 2018: Next Conversion (Dollars in thousands) Interest Rate Maturity Date Option Date Fixed Rate Hybrid Advances $ 1.95 % 12/04/19 $ 1.78 08/21/20 Convertible Advances $ 1.48 09/19/22 09/20/21 $ 1.96 09/29/23 09/29/22 $ 2.32 10/25/24 10/25/23 $ 2.53 11/28/25 11/29/24 $ 2.83 12/29/26 12/29/25 The contractual maturities of long-term borrowings at December 31, 2018 are as follows: (Dollars in thousands) Fixed Rate Floating Rate Total 2019 $ 7,000 $ — $ 7,000 2020 7,500 75,029 82,529 2021 — — — 2022 7,500 — 7,500 2023 7,500 — 7,500 Thereafter 15,000 — 15,000 $ 44,500 $ 75,029 $ 119,529 The Corporation’s unused lines of credit for future borrowings total approximately $292.72 million at December 31, 2018, which consists of $107.85 million available from the FHLB, $44.97 million on C&F Finance’s revolving bank line of credit, $19.90 million available from the FRB, $70.00 million under unsecured federal funds agreements with third party financial institutions, $50.00 million in repurchase lines of credit with third party financial institutions. Additional loans and securities are available that can be pledged as collateral for future borrowings from the FRB or the FHLB above the current lendable collateral value. In December 2007, C&F Financial Statutory Trust II (Trust II), a wholly-owned non-operating subsidiary of the Corporation, was formed for the purpose of issuing trust preferred capital securities for general corporate purposes including the refinancing of existing debt. On December 14, 2007, Trust II issued $10.00 million of trust preferred capital securities in a private placement to an institutional investor and $310,000 in common equity to the Corporation in exchange for cash. The securities mature in December 2037, are redeemable at the Corporation’s option, and require quarterly distributions by Trust II to the holder of the securities at a rate equal to the three-month LIBOR rate plus 3.15 percent. During 2014, in order to mitigate the potential effects of rising interest rates, the Corporation entered into an interest rate swap agreement whereby the effective fixed interest rate on all $10.00 million of the securities became 4.82 percent. The interest rate swap matures in December 2019. The principal asset of Trust II is $10.31 million of the Corporation’s trust preferred capital notes with like maturities and like interest rates to the trust preferred capital securities. The interest payments by the Corporation on the debt securities will be used by Trust II to pay the quarterly distributions payable by Trust II to the holders of the trust preferred capital securities. In July 2005, C&F Financial Statutory Trust I (Trust I), a wholly-owned non-operating subsidiary of the Corporation, was formed for the purpose of issuing trust preferred capital securities to partially fund the Corporation’s purchase of 427,186 shares of its common stock. On July 21, 2005, Trust I issued $10.00 million of trust preferred capital securities in a private placement to an institutional investor and $310,000 in common equity to the Corporation in exchange for cash. The securities mature in September 2035, are redeemable at the Corporation’s option, and require quarterly distributions by Trust I to the holder of the securities at a rate equal to the three-month LIBOR rate plus 1.57 percent. During 2015, in order to mitigate the potential effects of rising interest rates, the Corporation entered into an interest rate swap agreement whereby the effective fixed interest rate on all $10.00 million of the securities became 3.44 percent. The interest rate swap matures in September 2020. The principal asset of Trust I is $10.31 million of the Corporation’s trust preferred capital notes with like maturities and like interest rates to the trust preferred capital securities. The interest payments by the Corporation on the debt securities will be used by Trust I to pay the quarterly distributions payable by Trust I to the holders of the trust preferred capital securities. In December 2003, Central Virginia Bankshares Statutory Trust I (CVBK Trust I) was formed as a wholly-owned non-operating subsidiary of CVBK for the purpose of issuing trust preferred capital securities for general corporate purposes. On December 17, 2003, CVBK Trust I issued $5.00 million of trust preferred capital securities in a private placement to an institutional investor and $155,000 in common equity to CVBK in exchange for cash. CVBK Trust I became a wholly-owned non-consolidated non-operating subsidiary of the Corporation pursuant to the merger of CVBK with and into the Corporation in March 2014, and the Corporation assumed CVBK’s obligations on the underlying trust preferred capital notes. The securities mature in December 2033, are redeemable at the Corporation's option, and require quarterly distributions by CVBK Trust I to the holder of the securities at a rate equal to the three-month LIBOR plus 2.85 percent. During 2014, in order to mitigate the potential effects of rising interest rates, the Corporation entered into an interest rate swap agreement whereby the effective fixed interest rate on all $5.00 million of the securities became 4.54 percent. The interest rate swap matures in December 2019. The principal asset of CVBK Trust I is $5.16 million of trust preferred capital notes originally issued by CVBK and assumed by the Corporation with like maturities and like interest rates to the trust preferred capital securities. The interest payments by the Corporation on the debt securities will be used by CVBK Trust I to pay the quarterly distributions payable by CVBK Trust I to the holders of the trust preferred capital securities. The trust preferred capital securities issued by CVBK Trust I were adjusted to fair value on the date of acquisition of CVBK. The resulting fair value adjustment was a discount of $716,000, which is being amortized over 20 years on a straight-line basis, and the balance of which was $530,000 as of December 31, 2018. Subject to certain exceptions and limitations, the Corporation may elect from time to time to defer interest payments on the junior subordinated debt securities, which would result in a deferral of distribution payments on the related capital securities.

Shareholders_ Equity, Other Com

Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share	12 Months Ended
	Dec. 31, 2018
Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share
Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share	NOTE 10: Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share Shareholders’ Equity During the year ended December 31, 2018, the Corporation repurchased 21,232 shares of its common stock under a share repurchase program authorized by its Board of Directors for an aggregate cost of $1.11 million. Additionally, during the years ended December 31, 2018, 2017 and 2016, the Corporation withheld 7,982 shares, 9,899 shares and 9,169 shares of its common stock, respectively, from employees upon vesting of restricted stock to satisfy tax withholding obligations. Accumulated Other Comprehensive Income (Loss) The following table presents the cumulative balances of the components of accumulated other comprehensive loss, net of deferred taxes of $1.23 million and $491,000 as of December 31, 2018 and 2017, respectively. December 31, (Dollars in thousands) 2018 2017 Net unrealized (losses) gains on securities $ (1,375) $ 638 Net unrecognized gains on cash flow hedges 215 124 Net unrecognized losses on defined benefit plan (3,512) (2,649) Total accumulated other comprehensive loss $ (4,672) $ (1,887) Earnings Per Share (EPS) The components of the Corporation’s EPS calculations are as follows: Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Net income $ 18,020 $ 6,572 $ 13,459 Weighted average number of shares used in earnings per share — basic 3,501,221 3,486,510 3,454,282 Effect of dilutive securities — stock option awards — 79 1,601 Weighted average number of shares used in earnings per share — assuming dilution 3,501,221 3,486,589 3,455,883 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. Accordingly, the weighted average number of shares used in the calculation of basic and diluted EPS includes both vested and unvested shares outstanding.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2018
Income Taxes
Income Taxes	NOTE 11: Income Taxes Principal components of income tax expense as reflected in the Consolidated Statements of Income are as follows: Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Current taxes $ 3,889 $ 1,989 $ 4,482 Deferred taxes 632 9,405 (23) $ 4,521 $ 11,394 $ 4,459 Income tax expense for the years ended December 31, 2018, 2017 and 2016 differed from the federal statutory rate applied to income before income taxes for the following reasons: Year Ended December 31, 2018 2017 2016 (Dollars in thousands) Amount Percent Amount Percent Amount Percent Income tax at statutory rates $ 4,734 21.0 % $ 6,288 35.0 % $ 6,272 35.0 % State income taxes 575 2.6 348 1.9 403 2.2 Tax-exempt interest income (592) (2.6) (1,162) (6.5) (1,367) (7.6) Carrying cost of tax-exempt assets 18 0.1 32 0.2 36 0.2 Share based compensation (103) (0.5) (284) (1.6) (255) (1.4) Change in value of bank-owned life insurance (89) (0.4) (151) (0.8) (324) (1.8) Investments in qualified housing projects (85) (0.4) (135) (0.8) (147) (0.8) Remeasurement of net deferred tax assets — — 6,643 37.0 — — Other 63 0.3 (185) (1.0) (159) (0.9) $ 4,521 20.1 % $ 11,394 63.4 % $ 4,459 24.9 % The Tax Cuts and Jobs Act of 2017, which was signed into law on December 22, 2017, permanently lowered the federal corporate income tax rate to 21 percent from the previous maximum rate of 35 percent, effective January 1, 2018. In the year ended December 31, 2017, as a result of the reduction in the federal corporate income tax rate, the Corporation recorded a one-time remeasurement adjustment to its net federal deferred tax asset of $6.64 million, which was recognized in income tax expense. The Corporation’s net deferred income taxes totaled $12.2 million and $12.1 million at December 31, 2018 and 2017, respectively. The tax effects of each type of significant item that gave rise to deferred taxes are: December 31, (Dollars in thousands) 2018 2017 Deferred tax asset Allowances for loan losses and OREO losses $ 8,567 $ 9,004 Fair value adjustments related to business combinations 1,643 2,123 Nonqualified defined contribution plan 2,925 2,460 Share-based compensation 825 769 Reserve for indemnification losses 663 641 Interest on nonaccrual loans 346 475 Net unrealized loss on securities available for sale 365 — Other 1,415 1,286 Deferred tax asset 16,749 16,758 Deferred tax liability Goodwill and other intangible assets (2,838) (2,886) Depreciation (1,024) (632) Defined benefit plan (620) (934) Cash flow hedges (74) (43) Net unrealized gain on securities available for sale — (170) Deferred tax liability (4,556) (4,665) Net deferred tax asset $ 12,193 $ 12,093 The Corporation files income tax returns in the U.S. federal jurisdiction and several states. With few exceptions, the Corporation is no longer subject to U.S. federal, state and local income tax examinations by tax authorities for years prior to 2015.

Employee Benefit Plans

Employee Benefit Plans	12 Months Ended
	Dec. 31, 2018
Employee Benefit Plans
Employee Benefit Plans	NOTE 12: Employee Benefit Plans C&F Bank maintains a Defined Contribution Profit-Sharing Plan (the Profit-Sharing Plan) sponsored by the Virginia Bankers Association (VBA). The Profit-Sharing Plan includes a 401(k) savings provision that authorizes a maximum voluntary deferral of up to 95 percent of covered compensation (with a partial company match), subject to statutory limitations. The Profit-Sharing Plan provides for an annual discretionary contribution to the account of each eligible employee based in part on C&F Bank’s profitability for a given year and on each participant’s yearly earnings. All full-time employees who have attained the age of 18 and have at least one month of service are eligible to participate. Contributions and earnings may be invested in various investment vehicles offered through the VBA. All employee contributions are fully vested upon contribution. An employee is 20 percent vested in C&F Bank’s contributions after two years of service, 40 percent after three years, 60 percent after four years, 80 percent after five years and fully vested after six years, or earlier in the event of retirement, death or attainment of age 65 while an employee. The amounts charged to expense under this plan were $896,000, $799,000 and $653,000 in 2018, 2017 and 2016, respectively. C&F Mortgage maintains a Defined Contribution 401(k) Savings Plan that authorizes a voluntary salary deferral of up to 100 percent of compensation (with a discretionary company match), subject to statutory limitations. Substantially all employees who have attained the age of 18 are eligible to participate on the first day of the next month following employment date. The plan provides for an annual discretionary contribution to the account of each eligible employee based in part on C&F Mortgage’s profitability for a given year and on each participant’s contributions to the plan. Contributions may be invested in various investment funds offered under the plan. All employee contributions are fully vested upon contribution. An employee is vested 25 percent in the employer’s contributions after two years of service, 50 percent after three years, 75 percent after four years, and fully vested after five years. The amounts charged to expense under this plan were $220,000, $216,000 and $163,000 in 2018, 2017 and 2016, respectively. C&F Finance maintains a Defined Contribution 401(k) and Profit-Sharing Plan sponsored by the VBA with plan features similar to the Profit-Sharing Plan of C&F Bank. The amounts charged to expense under this plan were $190,000, $223,000 and $239,000 in 2018, 2017 and 2016, respectively. Individual performance bonuses are awarded annually to certain senior members of management of C&F Bank and C&F Finance under the Corporation's Management Incentive Plan (MIP). The Corporation’s Compensation Committee determines the bonuses to be paid to the Chief Executive Officer and the President of the Corporation. The Chief Executive Officer recommends the bonuses to be paid to the remaining officers participating in the MIP. In determining the awards, individual performance and the Corporation’s performance, including growth rate, returns on average assets and equity, asset quality measures and absolute levels of income are considered. In addition, the Compensation Committee, based on the recommendations of the Chief Executive Officer, determines the bonuses to be paid to other members of management of C&F Bank and C&F Finance who do not participate in the MIP. The expense for these bonus awards is accrued in the year of performance. Expenses under these plans were $1.95 million, $1.70 million and $1.44 million in 2018, 2017 and 2016, respectively. In accordance with employment agreements for certain senior officers of C&F Mortgage, performance bonuses of $762,000, $759,000 and $780,000 were expensed in 2018, 2017 and 2016, respectively. Performance used in determining the awards is directly related to the profitability of C&F Mortgage. C&F Bank has a non-contributory, defined benefit pension plan (Cash Balance Plan) for all full-time employees over 21 years of age. Under the Cash Balance Plan, the benefit account for each participant will grow each year with annual pay credits based on age and years of service and monthly interest credits based on the prior year’s December average yield on 30-year Treasuries plus 150 basis points. C&F Bank funds pension costs in accordance with the funding provisions of the Employee Retirement Income Security Act. The Corporation has a nonqualified deferred compensation plan for certain executives. The plan allows for elective salary and bonus deferrals. The plan also allows for employer contributions to make up for limitations on covered compensation imposed by the Internal Revenue Code with respect to the Profit-Sharing Plan and Cash Balance Plan and to enhance retirement benefits by providing supplemental contributions from time to time. Expenses under this plan were $297,000, $253,000 and $268,000 in 2018, 2017 and 2016, respectively. Investments for this plan are held in a Rabbi trust. These investments are included in other assets and the related liability is included in other liabilities. On December 16, 2014, the Corporation approved an additional compensation benefit for the Corporation’s Chief Executive Officer at the time to provide post-retirement medical and dental insurance premiums for him and his spouse for life. Expense under this arrangement was $88,000, $81,000, and $75,000 in 2018, 2017 and 2016, respectively, and the related liability is included in other liabilities. The following table summarizes the projected benefit obligations, plan assets, funded status and rate assumptions associated with the Cash Balance Plan based upon actuarial valuations. December 31, (Dollars in thousands) 2018 2017 Change in benefit obligation Projected benefit obligation, beginning $ 17,808 $ 15,870 Service cost 1,232 1,120 Interest cost 521 552 Actuarial (gain) loss (1,308) 1,194 Benefits paid (1,048) (928) Projected benefit obligation, ending 17,205 17,808 Change in plan assets Fair value of plan assets, beginning 19,254 16,202 Actual return on plan assets (1,050) 2,480 Employer contributions 3,000 1,500 Benefits paid (1,048) (928) Fair value of plan assets, ending 20,156 19,254 Funded status $ 2,951 $ 1,446 Amounts recognized as an other asset $ 2,951 $ 1,446 Amounts recognized in accumulated other comprehensive loss Net loss $ 5,017 $ 3,987 Prior service cost (572) (634) Deferred taxes (933) (704) Total recognized in accumulated other comprehensive loss $ 3,512 $ 2,649 Weighted-average assumptions for benefit obligation at valuation date Discount rate 4.0 % 3.3 % Rate of compensation increase 3.0 3.0 Interest crediting rate 5.0 5.0 The accumulated benefit obligation was $17.21 million and $17.81 million as of the actuarial valuation dates December 31, 2018 and 2017, respectively. The following table summarizes the components of net periodic benefit cost and rate assumptions associated with the Cash Balance Plan. Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Components of net periodic benefit cost: Service cost, included in salaries and employee benefits $ 1,232 $ 1,120 $ 1,076 Other components of net periodic benefit cost: Interest cost 521 552 528 Expected return on plan assets (1,413) (1,138) (1,045) Amortization of prior service credit (62) (61) (60) Recognized net actuarial losses 125 154 157 Other components of net periodic benefit cost, included in other noninterest income (829) (493) (420) Net periodic benefit cost $ 403 $ 627 656 January 1, 2018 2017 2016 Weighted-average assumptions for net periodic benefit cost Discount rate 3.3 % 3.7 % 3.8 % Expected return on plan assets 7.3 7.3 7.5 Rate of compensation increase 3.0 3.0 3.0 The benefits expected to be paid by the plan in the next ten years are as follows: (Dollars in thousands) 2019 $ 3,904 2020 628 2021 811 2022 815 2023 1,454 2024 – 2028 6,587 $ 14,199 C&F Bank selects the expected long-term rate of return on assets in consultation with its investment advisors and actuary. This rate is intended to reflect the average rate of earnings expected to be earned on the funds invested or to be invested to provide plan benefits. Historical performance is reviewed, especially with respect to real rates of return (net of inflation), for the major asset classes held or anticipated to be held by the trust and for the trust itself. Undue weight is not given to recent experience, which may not continue over the measurement period. Higher significance is placed on current forecasts of future long-term economic conditions. Because assets are held in a qualified trust, anticipated returns are not reduced for taxes. Further, solely for this purpose, the plan is assumed to continue in force and not terminate during the period during which assets are invested. However, consideration is given to the potential impact of current and future investment policy, cash flow into and out of the trust, and expenses (both investment and non-investment) typically paid from plan assets (to the extent such expenses are not explicitly within periodic costs). C&F Bank’s defined benefit pension plan’s weighted average asset allocations by asset category are as follows: December 31, 2018 2017 Mutual funds-fixed income 42 % 39 % Mutual funds-equity 58 61 Cash and equivalents * * 100 % 100 % * Less than one percent. The following table summarizes the fair value of the defined benefit plan assets as of December 31, 2018 and 2017. For more information about fair value measurements, see “Note 17: Fair Value of Assets and Liabilities.” December 31, 2018 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Mutual funds-fixed income 1 $ 8,497 $ — $ — $ 8,497 Mutual funds-equity 2 11,659 — — 11,659 Cash and equivalents 3 — — — — Total pension plan assets $ 20,156 $ — $ — $ 20,156 December 31, 2017 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Mutual funds-fixed income 1 $ 7,510 $ — $ — $ 7,510 Mutual funds-equity 2 11,744 — — 11,744 Cash and equivalents 3 — — — — Total pension plan assets $ 19,254 $ — $ — $ 19,254 1 This category includes investments in mutual funds focused on fixed income securities with both short-term and long-term investments. The funds are valued using the net asset value method in which an average of the market prices for the underlying investments is used to value the funds. 2 This category includes investments in mutual funds focused on equity securities with a diversified portfolio and includes investments in large cap and small cap funds, growth funds, international focused funds and value funds. The funds are valued using the net asset value method in which an average of the market prices for the underlying investments is used to value the funds. 3 This category comprises cash and short-term cash equivalent funds. The funds are valued at cost which approximates fair value. The trust fund is sufficiently diversified to maintain a reasonable level of risk without imprudently sacrificing return, with a targeted asset allocation of 40 percent fixed income and 60 percent equities. The investment advisor selects investment fund managers with demonstrated experience and expertise, and funds with demonstrated historical performance, for the implementation of the plan’s investment strategy. The investment manager will consider both actively and passively managed investment strategies and will allocate funds across the asset classes to develop an efficient investment structure. It is the responsibility of the trustee to administer the investments of the trust within reasonable costs, being careful to avoid sacrificing quality. These costs include, but are not limited to, management and custodial fees, consulting fees, transaction costs and other administrative costs chargeable to the trust.

Related Party Transactions

Related Party Transactions	12 Months Ended
	Dec. 31, 2018
Related Party Transactions
Related Party Transactions	NOTE 13: Related Party Transactions Loans outstanding to directors and executive officers and certain of their affiliates totaled $2.05 million and $2.28 million at December 31, 2018 and 2017, respectively. Loan advances totaled $51,000 and repayments totaled $284,000 in the year ended December 31, 2018. Total deposits for directors and executive officers and certain of their affiliates were $4.93 million and $6.87 million at December 31, 2018 and 2017, respectively. In the opinion of management, these transactions were made in the ordinary course of business on substantially the same terms and conditions, including interest rates, collateral and repayment terms, as those prevailing at the same time for comparable transactions with unrelated persons, and, in the opinion of management and the Corporation’s Board of Directors, do not involve more than normal risk or present other unfavorable features.

Share-Based Plans

Share-Based Plans	12 Months Ended
	Dec. 31, 2018
Share-Based Plans
Share-Based Plans	NOTE 14: Share-Based Plans On April 16, 2013, the Corporation’s shareholders approved the C&F Financial Corporation 2013 Stock and Incentive Compensation Plan (the 2013 Plan) for the grant of equity awards to certain key employees of the Corporation, as well as non-employee directors (including non-employee regional or advisory directors). The 2013 Plan authorizes the Corporation to issue equity awards in the form of stock options, tandem stock appreciation rights, restricted stock, restricted stock units and/or other stock-based awards. Since the 2013 Plan’s approval, equity awards have only been issued in the form of restricted stock, which are accounted for using the fair market value of the Corporation’s common stock on the date the restricted shares are awarded. Prior to the approval of the 2013 Plan, the Corporation granted equity awards under the Amended and Restated C&F Financial Corporation 2004 Incentive Stock Plan (the Amended 2004 Plan). The Amended 2004 Plan authorized the Corporation to issue equity awards in the form of stock options, stock appreciation rights, restricted stock and/or restricted stock units to key employees and non-employee directors. Since 2006, all equity awards that were issued under the Amended 2004 Plan were in the form of restricted stock, which were accounted for using the fair market value of the Corporation’s common stock on the date the restricted shares are awarded. Stock options issued under the Amended 2004 Plan prior to 2006 were issued to employees at an exercise price equal to the fair market value of the Corporation’s common stock on the date granted. As of December 31, 2017, there were no remaining outstanding stock options for the Corporation’s common stock and none were granted in 2018. Stock option transactions under the various plans for the periods indicated were as follows: 2017 2016 Weighted- Weighted- Average Average Exercise Exercise (Dollars in thousands, except for per share amounts) Shares Price Shares Price Outstanding at beginning of year 2,250 $ 37.17 24,000 $ 38.39 Granted — — — — Exercised (2,250) 37.17 (9,750) 37.17 Cancelled — — (12,000) 39.60 Outstanding and exercisable at end of year — — 2,250 37.17 As permitted under the 2013 Plan and Amended 2004 Plan, the Corporation awards shares of restricted stock to certain key employees and non-employee directors. Restricted shares awarded to employees generally vest on the fifth anniversary of the grant date and restricted shares awarded to non-employee directors generally vest on the third anniversary of the grant date. A summary of the activity for restricted stock awards for the periods indicated is presented below: 2018 2017 2016 Weighted- Weighted- Weighted- Average Average Average Grant Date Grant Date Grant Date Shares Fair Value Shares Fair Value Shares Fair Value Nonvested at beginning of year 137,880 $ 43.52 141,755 $ 39.77 137,200 $ 36.50 Granted 30,185 52.82 29,625 52.73 32,630 43.48 Vested (26,450) 42.41 (31,810) 35.42 (26,000) 27.30 Cancelled (2,160) 42.54 (1,690) 43.16 (2,075) 38.59 Nonvested at end of year 139,455 45.75 137,880 43.52 141,755 39.77 Compensation is accounted for using the fair value of the Corporation’s common stock on the date the restricted shares are awarded. The weighted-average grant date fair value per share of restricted stock granted for the years 2018, 2017 and 2016 was $52.82, $52.73 and $43.48, respectively. Compensation expense is charged to income ratably over the required service periods, and was $1.35 million in 2018, $1.45 million in 2017 and $1.22 million in 2016. As of December 31, 2018, there was $3.17 million of total unrecognized compensation cost related to restricted stock granted under the 2013 Plan. This amount is expected to be recognized through 2023.

Regulatory Requirements and Res

Regulatory Requirements and Restrictions	12 Months Ended
	Dec. 31, 2018
Regulatory Requirements and Restrictions
Regulatory Requirements and Restrictions	NOTE 15: Regulatory Requirements and Restrictions The Bank is subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary, actions by regulators that, if undertaken, could have a direct material effect on the Corporation’s and the Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank’s assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The Bank’s capital amounts and classification are subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Federal banking regulations also impose regulatory capital requirements on bank holding companies. However, in August 2018, the Federal Reserve Board issued an interim final rule, which was effective August 30, 2018, that expanded its small bank holding company policy statement to apply to certain bank holding companies with consolidated total assets of between $1 billion and $3 billion. As a result of this interim final rule, the Corporation is no longer subject to the minimum regulatory capital requirements that apply to bank holding companies. As of December 31, 2018, the most recent notification from the FDIC categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized under regulations applicable at December 31, 2018, the Bank was required to maintain minimum total risk-based, Tier 1 risk-based, CET1 risk-based and Tier 1 leverage ratios as set forth in the table below. The Corporation’s and the Bank’s actual capital amounts and ratios as of December 31, 2018 and 2017 are presented in the following table along with regulatory requirements for the Bank and requirements that apply to bank holding companies that are subject to regulatory capital requirements for bank holding companies. Total risk-weighted assets at December 31, 2018 for both the Corporation and the Bank was $1.20 billion, and at December 31, 2017 for both the Corporation and the Bank was $1.18 billion. Management believes that, as of December 31, 2018, the Bank met all capital adequacy requirements to which it is subject. Minimum To Be Well Capitalized Under Prompt Minimum Capital Corrective Action Actual Requirements Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2018: Total Capital (to Risk-Weighted Assets) Corporation $ 183,781 15.3 % $ 96,274 8.0 % N/A N/A C&F Bank 181,685 15.1 96,088 8.0 $ 120,110 10.0 % Tier 1 Capital (to Risk-Weighted Assets) Corporation 168,504 14.0 72,205 6.0 N/A N/A C&F Bank 166,437 13.9 72,066 6.0 96,088 8.0 Common Equity Tier 1 Capital (to Risk-Weighted Assets) Corporation 143,590 11.9 54,154 4.5 N/A N/A C&F Bank 166,437 13.9 54,050 4.5 78,072 6.5 Tier 1 Capital (to Average Assets) Corporation 168,504 11.3 59,759 4.0 N/A N/A C&F Bank 166,437 11.2 59,666 4.0 74,582 5.0 As of December 31, 2017: Total Capital (to Risk-Weighted Assets) Corporation $ 170,376 14.4 % $ 94,383 8.0 % N/A N/A C&F Bank 167,657 14.2 94,163 8.0 $ 117,704 10.0 % Tier 1 Capital (to Risk-Weighted Assets) Corporation 155,370 13.2 70,787 6.0 N/A N/A C&F Bank 152,684 13.0 70,622 6.0 94,163 8.0 Common Equity Tier 1 Capital (to Risk-Weighted Assets) Corporation 130,445 11.1 53,091 4.5 N/A N/A C&F Bank 152,684 13.0 52,967 4.5 76,507 6.5 Tier 1 Capital (to Average Tangible Assets) Corporation 155,370 10.5 59,083 4.0 N/A N/A C&F Bank 152,684 10.4 58,934 4.0 73,667 5.0 In addition to the regulatory risk-based capital amounts presented above, the Bank must maintain a capital conservation buffer of additional total capital and CET1 as required by the Basel III Final Rule. The capital conservation buffer requirement was first in effect on January 1, 2016, and was subject to phase-in from 2016 to 2019 in equal annual installments of 0.625 percent. Accordingly, at December 31, 2018 and 2017, the Bank was required to maintain a capital conservation buffer of 1.875 percent and 1.250 percent, respectively. At December 31, 2018, the Bank exceeded the total capital conservation buffer and the CET1 capital conservation buffer by 525 and 748 basis points, respectively. At December 31, 2017, the Bank exceeded the total capital conservation buffer and the CET1 capital conservation buffer by 499 and 722 basis points, respectively. On December 14, 2007, the Corporation issued $10.00 million of trust preferred securities through a statutory business trust for general corporate purposes including the refinancing of existing debt. On July 21, 2005, the Corporation issued $10.00 million of trust preferred securities through a statutory business trust to partially fund the purchase of 427,186 shares of the Corporation’s common stock at $41 per share on July 27, 2005. On December 17, 2003, CVBK issued $5.00 million of trust preferred securities through a statutory business trust for general corporate purposes, which was assumed by the Corporation when CVBK was merged into the Corporation on March 22, 2014. Based on the Corporation’s Tier 1 capital levels, the entire $25.00 million of trust preferred securities was eligible for inclusion in the Corporation’s Tier 1 capital as of December 31, 2018 and 2017. Federal and state banking regulations place certain restrictions on dividends paid and loans or advances made by C&F Bank to the Corporation. The total amount of dividends that may be paid at any date by C&F Bank is generally limited to the retained earnings of C&F Bank, while other measures of capital adequacy may also restrict the Bank’s ability to declare dividends. Loans or advances are limited to 10 percent of C&F Bank’s capital stock and surplus on a secured basis.

Commitments and Contingent Liab

Commitments and Contingent Liabilities	12 Months Ended
	Dec. 31, 2018
Commitments and Contingent Liabilities
Commitments and Contingent Liabilities	NOTE 16: 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 was $244.17 million at December 31, 2018 and $224.50 million at December 31, 2017. 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 $19.34 million at December 31, 2018 and $15.46 million at December 31, 2017. C&F Mortgage sells substantially all of the residential mortgage loans it originates to third-party counterparties (i.e., investors). As is customary in the industry, the agreements with these counterparties require C&F Mortgage to extend representations and warranties with respect to program compliance, borrower misrepresentation, fraud, and early payment performance. Under the agreements, the counterparties are entitled to make loss claims and repurchase requests of C&F Mortgage for loans that contain covered deficiencies. C&F Mortgage has obtained early payment default recourse waivers for a significant portion of its business. Recourse periods for early payment default for the remaining counterparties 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. C&F Mortgage 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 C&F Mortgage by the counterparties, 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. The following table presents the changes in the allowance for indemnification losses for the periods presented: Year Ended December 31, (Dollars in thousands) 2018 2017 Allowance, beginning of period $ 2,489 $ 2,303 Provision for indemnification losses 52 186 Payments — — Allowance, end of period $ 2,541 $ 2,489 The Corporation is committed under noncancelable operating leases for certain office locations. Rent expense associated with the Corporation's operating leases was $1.46 million, $1.53 million and $1.41 million for the years ended December 31, 2018, 2017 and 2016, respectively. Future minimum lease payments due under the Corporation's operating leases as of December 31, 2018 are set forth in the following table, which includes minimum lease paymenets of $3.21 million related to two lease agreements that were executed prior to December 31, 2018 where the Corporation did not yet occupy the real estate properties under lease. (Dollars in thousands) 2019 $ 1,503 2020 1,434 2021 830 2022 327 2023 227 Thereafter 2,216 $ 6,537

Fair Value of Assets and Liabil

Fair Value of Assets and Liabilities	12 Months Ended
	Dec. 31, 2018
Fair Value of Assets and Liabilities
Fair Value of Assets and Liabilities	NOTE 17: 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 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. The Corporation primarily values its investment portfolio using Level 2 fair value measurements, but may also use Level 1 or Level 3 measurements if required by the composition of the portfolio. At December 31, 2018 and 2017, the Corporation’s entire investment securities portfolio was comprised of securities available for sale, which were valued using Level 2 fair value measurements. The Corporation has contracted with third party portfolio accounting service vendors for valuation of its securities portfolio. The vendors’ sources for security valuation are ICE Data Services (ICE) and Thomson Reuters Pricing Service (TRPS). Each source provides opinions, known as evaluated prices, as to the value of individual securities based on model-based pricing techniques that are partially based on available market data, including prices for similar instruments in active markets and prices for identical assets in markets that are not active. ICE provides evaluated prices for the Corporation's obligations of states and political subdivisions category of securities. ICE uses proprietary pricing models and pricing systems, mathematical tools and judgment to determine an evaluated price for a security based upon a hierarchy of market information regarding that security or securities with similar characteristics. TRPS provides evaluated prices for the Corporation’s U.S. government agencies and corporations and mortgage-backed categories of securities. Fixed-rate callable securities of the U.S. government agencies and corporations category are individually evaluated on an option adjusted spread basis for callable issues or on a nominal spread basis incorporating the term structure of agency market spreads and the appropriate risk free benchmark curve for non-callable issues. Fixed-rate securities issued by the Small Business Association in the U.S. government agencies and corporations category are individually evaluated based upon a hierarchy of security specific information and market data regarding that security or securities with similar characteristics. Pass-through mortgage-backed securities (MBS) in the mortgage-backed category are grouped into aggregate categories defined by issuer program, weighted average coupon, and weighted average maturity. Each aggregate is benchmarked to a relative mortgage-backed to-be-announced (TBA) or other benchmark price. TBA prices are obtained from market makers and live trading systems. Collateralized mortgage obligations in the mortgage-backed category are individually evaluated based upon a hierarchy of security specific information and market data regarding that security or securities with similar characteristics. Each evaluation is determined using an option adjusted spread and prepayment model based on volatility-driven, multi-dimensional spread tables. Loans held for sale. Fair value of the Corporation’s LHFS is based on observable market prices for similar instruments traded in the secondary mortgage loan markets in which the Corporation conducts business. The Corporation’s portfolio of LHFS is classified as Level 2. Derivative asset - IRLCs. The Corporation recognizes IRLCs at fair value. Fair value of IRLCs is based on either (i) the price of the underlying loans obtained from an investor for loans that will be delivered on a best efforts basis or (ii) the observable price for individual loans traded in the secondary market for loans that will be delivered on a mandatory basis. All of the Corporation’s IRLCs are classified as Level 2. Derivative asset/liability – interest rate swaps on loans. The Corporation recognizes interest rate swaps at fair value. The Corporation has contracted with a third party vendor to provide valuations for these interest rate swaps using standard valuation techniques. All of the Corporation’s interest rate swaps on loans are classified as Level 2. Derivative asset - cash flow hedges. The Corporation recognizes cash flow hedges at fair value. The fair value of the Corporation’s cash flow hedges is determined using the discounted cash flow method. All of the Corporation’s cash flow hedges are classified as Level 2. The following table presents the balances of financial assets and liabilities measured at fair value on a recurring basis. December 31, 2018 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 $ — $ 17,473 $ — $ 17,473 Mortgage-backed securities — 104,983 — 104,983 Obligations of states and political subdivisions — 92,454 — 92,454 Total securities available for sale — 214,910 — 214,910 Loans held for sale — 41,895 — 41,895 Derivative asset - IRLC — 636 — 636 Derivative asset - interest rate swaps on loans — 1,607 — 1,607 Derivative asset - cash flow hedges — 289 — 289 Total assets $ — $ 259,337 $ — $ 259,337 Liabilities: Derivative liability - interest rate swaps on loans — 1,607 — 1,607 Total liabilities $ — $ 1,607 $ — $ 1,607 December 31, 2017 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 $ — $ 16,173 $ — $ 16,173 Mortgage-backed securities — 97,058 — 97,058 Obligations of states and political subdivisions — 105,745 — 105,745 Total securities available for sale — 218,976 — 218,976 Loans held for sale — 55,384 — 55,384 Derivative asset - IRLC — 528 — 528 Derivative asset - interest rate swaps on loans — 1,261 — 1,261 Derivative asset - cash flow hedges — 166 — 166 Total assets $ — $ 276,315 $ — $ 276,315 Liabilities: Derivative liability - interest rate swaps on loans — 1,261 — 1,261 Total liabilities $ — $ 1,261 $ — $ 1,261 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. The Corporation does not record loans held for investment at fair value on a recurring basis. However, there are instances when a loan is considered impaired and an allowance for loan losses is established. The Corporation measures impairment either based on the fair value of the loan using the loan’s obtainable market price or the fair value of the collateral if the loan is collateral dependent, or using the present value of expected future cash flows discounted at the loan’s effective interest rate, which is not a fair value measurement. The Corporation maintains a valuation allowance to the extent that this measure of the impaired loan is less than the recorded investment in the loan. When an impaired loan is measured at fair value based solely on observable market prices or a current appraisal without further adjustment for unobservable inputs, the Corporation records the impaired loan as a nonrecurring fair value measurement classified as Level 2. However, if based on management’s review, additional discounts to observed market prices or appraisals are required or if observable inputs are not available, the Corporation records the impaired loan as a nonrecurring fair value measurement classified as Level 3. 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. Assets acquired through, or in lieu of, loan foreclosure are held for sale and are initially recorded at fair value less estimated costs to sell at the date of foreclosure. Initial fair value is based upon appraisals the Corporation obtains from independent licensed appraisers. Subsequent to foreclosure, management periodically performs valuations of the foreclosed assets based on updated appraisals, general market conditions, recent sales of similar properties, length of time the properties have been held, and our ability and intent with regard to continued ownership of the properties. The Corporation may incur additional write-downs of foreclosed assets to fair value less estimated costs to sell if valuations 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. December 31, 2018 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 — — 246 246 Total $ — $ — $ 348 $ 348 December 31, 2017 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Impaired loans, net $ — $ — $ 3,438 $ 3,438 Other real estate owned, net — — 168 168 Total $ — $ — $ 3,606 $ 3,606 The following table presents quantitative information about Level 3 fair value measurements for financial assets measured at fair value on a nonrecurring basis as of December 31, 2018: Fair Value Measurements at December 31, 2018 (Dollars in thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range of Inputs Impaired loans, net $ 102 Appraisals Discount to reflect current market conditions and estimated selling costs 30% Other real estate owned, net 246 Appraisals Discount to reflect current market conditions and estimated selling costs 33%-47% Total $ 348 Fair Value of Financial Instruments FASB ASC 825, Financial Instruments , requires disclosure about fair value of financial instruments, including those financial assets and financial liabilities that are not required to be measured and reported at fair value on a recurring or nonrecurring basis. ASC 825 excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented may not necessarily represent the underlying fair value of the Corporation. Additionally, in accordance with ASU 2016-01, which the Corporation adopted on January 1, 2018 on a prospective basis, the Corporation uses the exit price notion, rather than the entry price notion, in calculating the fair values of financial instruments not measured at fair value on a recurring basis. 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 December 31, 2018 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 115,013 $ 115,013 $ — $ — $ 115,013 Securities available for sale 214,910 — 214,910 — 214,910 Loans, net 1,028,097 — — 1,021,145 1,021,145 Loans held for sale 41,895 — 41,895 — 41,895 Derivative asset - IRLC 636 — 636 — 636 Derivative asset - interest rate swaps on loans 1,607 — 1,607 — 1,607 Derivative asset - cash flow hedges 289 — 289 — 289 Bank-owned life insurance 16,065 — 16,065 — 16,065 Accrued interest receivable 7,436 7,436 — — 7,436 Financial liabilities: Demand deposits $ 835,101 $ 835,101 $ — $ — $ 835,101 Time deposits 346,560 — 343,507 — 343,507 Borrowings 159,691 — 152,015 — 152,015 Derivative liability - interest rate swaps on loans 1,607 — 1,607 — 1,607 Accrued interest payable 920 920 — — 920 Carrying Fair Value Measurements at December 31, 2017 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 119,423 $ 119,423 $ — $ — $ 119,423 Securities available for sale 218,976 — 218,976 — 218,976 Loans, net 992,062 — — 983,620 983,620 Loans held for sale 55,384 — 55,384 — 55,384 Derivative asset - IRLC 528 — 528 — 528 Derivative asset - interest rate swaps on loans 1,261 — 1,261 — 1,261 Derivative asset - cash flow hedges 166 — 166 — 166 Bank-owned life insurance 15,589 — 15,589 — 15,589 Accrued interest receivable 7,589 7,589 — — 7,589 Financial liabilities: Demand deposits $ 823,476 $ 823,476 $ — $ — $ 823,476 Time deposits 347,953 — 350,681 — 350,681 Borrowings 167,860 — 159,670 — 159,670 Derivative liability - interest rate swaps on loans 1,261 — 1,261 — 1,261 Accrued interest payable 838 838 — — 838 The Corporation assumes interest rate risk (the risk that general interest rate levels will change) in the normal course of operations. As a result, the fair values of the Corporation’s financial instruments will change when interest rate levels change and that change may be either favorable or unfavorable to the Corporation. Management attempts to match maturities of assets and liabilities to the extent believed necessary to balance minimizing interest rate risk and increasing net interest income in current market conditions. However, borrowers with fixed rate obligations are less likely to prepay in a rising rate environment and more likely to prepay in a falling rate environment. Conversely, depositors who are receiving fixed rates are more likely to withdraw funds before maturity in a rising rate environment and less likely to do so in a falling rate environment. Management monitors interest rates, maturities and repricing dates of assets and liabilities and attempts to manage interest rate risk by adjusting terms of new loans, deposits and borrowings and by investing in securities with terms that mitigate the Corporation’s overall interest rate risk.

Business Segments

Business Segments	12 Months Ended
	Dec. 31, 2018
Business Segments
Business Segments	NOTE 18: Business Segments The Corporation operates in a decentralized fashion in three principal business segments: retail banking, mortgage banking and consumer finance. Revenues from retail banking operations consist primarily of interest earned on loans and investment securities and service charges on deposit accounts. Mortgage banking operating revenues consist principally of gains on sales of loans in the secondary market, loan origination fee income and interest earned on mortgage loans held for sale. Revenues from consumer finance consist primarily of interest earned on purchased retail installment sales contracts. The Corporation’s other segment includes a full-service brokerage firm that derives revenues from offering wealth management services and insurance products through third-party service providers and an insurance company that derives revenues from owning an equity interest in an insurance agency that offers insurance products and services. The results of the other segment are not significant to the Corporation as a whole and have been included in “Other.” Revenue and expenses of the Corporation are also included in “Other,” and consist primarily of interest expense associated with the Corporation’s trust preferred capital notes and other general corporate expenses. Year Ended December 31, 2018 Retail Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 55,019 $ 2,018 $ 42,789 $ 6 $ (7,284) $ 92,548 Gains on sales of loans — 7,841 — — — 7,841 Other noninterest income 11,029 4,015 738 2,135 — 17,917 Total operating income 66,048 13,874 43,527 2,141 (7,284) 118,306 Expenses: Provision for loan losses 100 — 10,906 — — 11,006 Interest expense 6,842 904 9,413 1,152 (7,284) 11,027 Salaries and employee benefits 26,355 5,007 8,500 2,141 — 42,003 Other noninterest expenses 20,160 5,363 5,556 650 — 31,729 Total operating expenses 53,457 11,274 34,375 3,943 (7,284) 95,765 Income (loss) before income taxes 12,591 2,600 9,152 (1,802) — 22,541 Income tax expense (benefit) 1,958 697 2,460 (594) — 4,521 Net income (loss) $ 10,633 $ 1,903 $ 6,692 $ (1,208) $ — $ 18,020 Total assets $ 1,357,788 $ 56,101 $ 297,552 $ 5,055 $ (195,085) $ 1,521,411 Goodwill $ 3,702 $ — $ 10,723 $ — $ — $ 14,425 Capital expenditures $ 3,178 $ 133 $ 59 $ 4 $ — $ 3,374 Year Ended December 31, 2017 Retail Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 49,564 $ 1,660 $ 44,745 $ 1 $ (6,377) $ 89,593 Gains on sales of loans — 8,553 — — — 8,553 Other noninterest income 11,126 4,653 995 1,905 — 18,679 Total operating income 60,690 14,866 45,740 1,906 (6,377) 116,825 Expenses: Provision for loan losses 200 — 16,235 — — 16,435 Interest expense 6,076 587 8,164 1,151 (6,377) 9,601 Salaries and employee benefits 25,757 6,503 9,389 1,948 — 43,597 Other noninterest expenses 17,951 5,185 5,421 669 — 29,226 Total operating expenses 49,984 12,275 39,209 3,768 (6,377) 98,859 Income (loss) before income taxes 10,706 2,591 6,531 (1,862) — 17,966 Income tax expense (benefit) 5,727 1,606 4,198 (137) — 11,394 Net income (loss) $ 4,979 $ 985 $ 2,333 $ (1,725) $ — $ 6,572 Total assets $ 1,341,879 $ 69,537 $ 292,438 $ (604) $ (194,194) $ 1,509,056 Goodwill $ 3,702 $ — $ 10,723 $ — $ — $ 14,425 Capital expenditures $ 3,524 $ 410 $ 232 $ 14 $ — $ 4,180 Year Ended December 31, 2016 Retail Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 46,071 $ 1,689 $ 47,150 $ 2 $ (5,473) $ 89,439 Gains on sales of loans — 8,120 — — — 8,120 Other noninterest income 11,820 3,913 921 1,273 — 17,927 Total operating income 57,891 13,722 48,071 1,275 (5,473) 115,486 Expenses: Provision for loan losses — — 18,040 — — 18,040 Interest expense 5,790 435 7,073 1,143 (5,473) 8,968 Salaries and employee benefits 25,033 5,664 10,102 1,546 — 42,345 Other noninterest expenses 17,433 4,815 5,437 530 — 28,215 Total operating expenses 48,256 10,914 40,652 3,219 (5,473) 97,568 Income (loss) before income taxes 9,635 2,808 7,419 (1,944) — 17,918 Income tax expense (benefit) 1,425 1,121 2,882 (969) — 4,459 Net income (loss) $ 8,210 $ 1,687 $ 4,537 $ (975) $ — $ 13,459 Total assets $ 1,290,733 $ 65,351 $ 306,012 $ 6,005 $ (216,109) $ 1,451,992 Goodwill $ 3,702 $ — $ 10,723 $ — $ — $ 14,425 Capital expenditures $ 1,992 $ 314 $ 360 $ 42 $ — $ 2,708 The retail banking segment extends a warehouse line of credit to the mortgage banking segment, providing a portion of the funds needed to originate mortgage loans. The retail banking segment charges the mortgage banking segment interest at the daily FHLB advance rate plus 50 basis points. The retail 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 and fixed rate notes that carry interest at rates ranging from 2.0 percent to 8.0 percent. The retail 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 retail banking segment are not allocated to the mortgage banking, consumer finance and other segments.

Derivative Financial Instrument

Derivative Financial Instruments	12 Months Ended
	Dec. 31, 2018
Derivative Financial Instruments
Derivative Financial Instruments	NOTE 19: Derivative Financial Instruments The Corporation uses derivative financial instruments (or “derivatives”) 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 derivatives as hedging instruments in a qualifying hedge accounting relationship (cash flow or fair value hedge). The remaining derivatives are classified as free standing derivatives consisting of customer accommodation loan swaps (or “loan swaps”) and IRLCs. Cash flow hedges . The Corporation designates derivatives as cash flow hedges when they are used to manage exposure to variability in cash flows on variable rate borrowings such as the Corporation’s trust preferred capital notes. The Corporation uses interest rate swap agreements as part of its hedging strategy by exchanging variable-rate interest payments on a notional amount equal to the principal amount of the borrowings for fixed-rate interest payments. Interest rate swaps designated as cash flow hedges are expected to be highly effective in offsetting the effect of changes in interest rates on the amount of the hedged interest payments, and the Corporation assesses the effectiveness of each hedging relationship quarterly. As of December 31, 2018, the Corporation has designated cash flow hedges to manage its exposure to variability in cash flows on certain variable rate borrowings for periods that end between December 2019 and September 2020. 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. The terms and conditions of the interest rate swaps vary and amounts receivable or payable are recognized in interest expense in the Consolidated Statements of Income as accrued under the terms of the agreements. The derivatives’ unrealized gains or losses are recorded as a component of other comprehensive income and reclassified into earnings in the same period(s) during which the hedged transactions affect earnings. 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 . The Bank also enters into interest rate swaps with certain qualifying commercial loan customers to meet their interest rate risk management needs. The Bank simultaneously enters into interest rate swaps with dealer counterparties, with identical notional amounts and terms. The net result of these interest rate swaps is that the customer pays a fixed rate of interest and the Corporation receives a floating rate. These back-to-back loan swaps qualify as financial derivatives with fair values reported in “Other assets” and “Other liabilities” in the Consolidated Balance Sheets. Changes in fair value are recorded in other noninterest expense and net to zero because of the identical amounts and terms of the swaps. IRLCs . C&F Mortgage enters into IRLCs with customers to originate loans for which the interest rates are determined prior to funding. C&F Mortgage then mitigates interest rate risk on these IRLCs and loans held for sale by (a) entering into forward loan sales contracts with investors for loans to be delivered on a best efforts basis or (b) entering into forward sales contracts of mortgage backed securities for loans to be delivered on a mandatory basis. At December 31, 2018 and 2017, each loan held for sale by C&F Mortgage was subject to a forward sales agreement on a best efforts basis. The fair value of these derivative instruments is reported in “Other assets” in the Consolidated Balance Sheets. Changes in fair value are recorded as a component of gains on sales of loans. The following tables summarize key elements of the Corporation’s derivative instruments: December 31, 2018 Notional Collateral (Dollars in thousands) Amount Positions Assets Liabilities Pledged 1 Cash flow hedges: Interest rate swaps: Variable-rate to fixed-rate swaps with counterparty $ 25,000 3 $ 289 $ — $ — Not designated as hedges: Customer-related interest rate contracts: Matched interest rate swaps with borrower 45,961 8 216 1,391 — Matched interest rate swaps with counterparty 45,961 8 1,391 216 — Other contracts: IRLCs 84,906 357 636 — — December 31, 2017 Notional Collateral (Dollars in thousands) Amount Positions Assets Liabilities Pledged 1 Cash flow hedges: Interest rate swaps: Variable-rate to fixed-rate swaps with counterparty $ 25,000 3 $ 166 $ — $ — Not designated as hedges: Customer-related interest rate contracts: Matched interest rate swaps with borrower 41,295 6 284 977 — Matched interest rate swaps with counterparty 41,295 6 977 284 — Other contracts: IRLCs 99,140 440 528 — — 1 Collateral pledged may be comprised of cash or securities. 2

Parent Company Condensed Financ

Parent Company Condensed Financial Information	12 Months Ended
	Dec. 31, 2018
Parent Company Condensed Financial Information
Parent Company Condensed Financial Information	NOTE 20: Parent Company Condensed Financial Information Financial information for the parent company is as follows: December 31, (Dollars in thousands) 2018 2017 Condensed Balance Sheets Assets Cash $ 316 $ 407 Other assets 3,677 3,147 Investment in C&F Bank 174,244 163,892 Total assets $ 178,237 $ 167,446 Liabilities and shareholders’ equity Trust preferred capital notes $ 25,245 $ 25,210 Other liabilities 1,034 534 Shareholders’ equity 151,958 141,702 Total liabilities and shareholders’ equity $ 178,237 $ 167,446 Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Condensed Statements of Comprehensive Income Interest expense on borrowings $ (1,152) $ (1,151) $ (1,143) Dividends received from C&F Bank 6,312 5,008 4,464 Equity in undistributed net income of C&F Bank 13,228 3,482 10,618 Other income 45 31 26 Other expenses (413) (798) (506) Net income 18,020 6,572 13,459 Other comprehensive loss, net of tax (2,785) (569) (2,155) Comprehensive income $ 15,235 $ 6,003 $ 11,304 Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Condensed Statements of Cash Flows Net cash provided by operating activities $ 5,801 $ 4,202 $ 3,796 Financing activities: Net proceeds from issuance of common stock 144 147 149 Common stock repurchases (1,105) — — Cash dividends (4,931) (4,637) (4,464) Proceeds from exercise of stock options — 84 362 Net cash used in financing activities (5,892) (4,406) (3,953) Net decrease in cash and cash equivalents (91) (204) (157) Cash at beginning of year 407 611 768 Cash at end of year $ 316 $ 407 $ 611

Other Noninterest Expenses

Other Noninterest Expenses	12 Months Ended
	Dec. 31, 2018
Other Noninterest Expenses
Other Noninterest Expenses	NOTE 21: Other Noninterest Expenses The following table presents the significant components in the Consolidated Statements of Income line “Noninterest Expenses-Other.” Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Data processing service and maintenance contracts $ 7,452 $ 6,687 $ 6,323 Professional fees 3,044 2,416 2,323 Marketing and advertising expenses 1,601 1,522 1,633 Telecommunication expenses 1,331 1,300 1,264 Travel and educational expenses 1,231 1,077 1,101 All other noninterest expenses 8,762 8,494 8,343 Total other noninterest expenses $ 23,421 $ 21,496 $ 20,987

Quarterly Condensed Statements

Quarterly Condensed Statements of Income-Unaudited	12 Months Ended
	Dec. 31, 2018
Quarterly Condensed Statements of Income-Unaudited
Quarterly Condensed Statements of Income-Unaudited	NOTE 22: Quarterly Condensed Statements of Income—Unaudited 2018 Quarter Ended Dollars in thousands (except per share amounts) March 31 June 30 September 30 December 31 Total interest income $ 22,744 $ 22,651 $ 23,691 $ 23,462 Net interest income after provision for loan losses 16,868 17,987 18,488 17,172 Other income 6,446 7,241 6,627 5,444 Other expenses 18,539 18,761 18,674 17,758 Income before income taxes 4,775 6,467 6,441 4,858 Net income 3,892 5,070 5,101 3,957 Net income per share—assuming dilution 1.11 1.45 1.46 1.13 Dividends declared per share 0.34 0.34 0.36 0.37 2017 Quarter Ended Dollars in thousands (except per share amounts) March 31 June 30 September 30 December 31 Total interest income $ 22,021 $ 22,423 $ 22,703 $ 22,446 Net interest income after provision for loan losses 15,351 16,978 15,777 15,451 Other income 6,270 7,412 6,842 6,708 Other expenses 17,969 18,403 18,371 18,080 Income before income taxes 3,652 5,987 4,248 4,079 Net income (loss) 2,731 4,139 3,017 (3,315) Net income (loss) per share—assuming dilution 0.78 1.19 0.87 (0.95) Dividends declared per share 0.33 0.33 0.33 0.34

Accounting Policies, by Policy

Accounting Policies, by Policy (Policies)	12 Months Ended
	Dec. 31, 2018
Summary of Significant Accounting Policies
Principles of Consolidation	Principles of Consolidation: The accompanying consolidated financial statements include the accounts of C&F Financial Corporation (the Corporation) and its wholly-owned subsidiary, Citizens and Farmers Bank (the Bank or C&F Bank). All significant intercompany accounts and transactions have been eliminated in consolidation. In addition, the Corporation owns 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 C&F Financial Corporation and Subsidiary conform to accounting principles generally accepted in the United States of America (U.S. GAAP) and to predominant practices within the banking industry.
Nature of Operations	Nature of Operations: The Corporation is a bank holding company incorporated under the laws of the Commonwealth of Virginia. The Corporation owns all of the stock of its subsidiary, C&F Bank, which is an independent commercial bank chartered under the laws of the Commonwealth of Virginia. 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, was formed to originate and sell residential mortgages and through its subsidiary, Certified Appraisals LLC, provides ancillary mortgage loan production services for residential appraisals. C&F Finance, acquired on September 1, 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 18.
Basis of Presentation	Basis of Presentation: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the allowance for indemnifications, impairment of loans, impairment of securities, the valuation of other real estate owned, the projected benefit obligation under the defined benefit pension plan, the valuation of deferred taxes, and goodwill impairment. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair presentation of the results of operations in these financial statements, have been made.
Reclassification	Reclassification: Certain reclassifications have been made to the prior period financial statements to conform to the current period presentation. None of these reclassifications are considered material. Additional information about reclassifications related to the adoption of accounting standards is presented in Note 2.
Significant Group Concentrations of Credit Risk	Significant Group Concentrations of Credit Risk: The Corporation invests in a variety of securities, principally obligations of U.S. government agencies and obligations of states and political subdivisions. At December 31, 2018, securities issued by the Commonwealth of Virginia and its political subdivisions comprised 13.7 percent of its state and political subdivision portfolio and securities issued by the Virginia State Housing Authority comprised 3.6 percent of its state and political subdivision portfolio. There are no concentrations of any state or issuer in the Corporation’s portfolio of securities available for sale that exceed ten percent of stockholders’ equity at December 31, 2018, and the Corporation does not have any other significant securities concentrations in any one industry or geographic region. Additional information about the Corporation’s securities portfolio and investment activities is presented in Note 3. States in which significant concentrations of the Corporation’s lending activities exist include Virginia, Tennessee, Georgia and Ohio. At December 31, 2018, 42.9 percent of the Corporation’s loan portfolio consisted of commercial, financial and agricultural loans, which include loans secured by real estate for builder lines, acquisition and development and commercial development, as well as commercial loans secured by personal property. In addition, 26.8 percent of the Corporation’s loan portfolio consisted of non-prime consumer finance loans to individuals, secured by automobiles. The Corporation does not have any significant loan concentrations to any one customer. Additional information about the Corporation’s lending activities is presented in Note 4.
Business Combination	Business Combination: On October 1, 2013, the Corporation acquired Central Virginia Bankshares, Inc. (CVBK) and its wholly-owned subsidiary Central Virginia Bank (CVB). This acquisition was accounted for using the acquisition method of accounting, meaning the assets and liabilities of CVBK were recorded at their respective fair values as of October 1, 2013.
Cash and Cash Equivalents	Cash and Cash Equivalents: For purposes of the Consolidated Statements of Cash Flows, cash and cash equivalents include cash, balances due from banks, interest-bearing deposits in banks and federal funds sold, all of which mature within 90 days. The Bank is required to maintain average balances on hand or with the Federal Reserve Bank (FRB). At December 31, 2018 and 2017, the minimum requirement was $1.07 million and $783,000, respectively. The Corporation is required to maintain cash collateral against all loss positions in interest rate derivative relationships with dealer counterparties, which are described in Note 19. At both December 31, 2018 and 2017, no collateral was required in connection with the Corporation’s interest rate derivative relationships with dealer counterparties, as none of them was in a loss position.
Securities	Securities: Investments in debt securities are classified as either held to maturity, available for sale, or trading, based on management’s intent. Currently all of the Corporation’s investment securities are classified as available for sale. Available for sale debt securities are carried at estimated fair value with the corresponding unrealized gains and losses recognized in other comprehensive income. Gains or losses are recognized in net income on the trade date using the amortized cost of the specific security sold. Purchase premiums and discounts are recognized in interest income using the effective interest rate method over the period from purchase to maturity or, for callable securities, the earliest call date. Impairment of debt securities occurs when the fair value of a security is less than its amortized cost. For debt securities, impairment is considered other-than-temporary and recognized in its entirety in net income if either (i) we intend to sell the security or (ii) it is more-likely-than-not that we will be required to sell the security before recovery of its amortized cost basis. If, however, the Corporation does not intend to sell the security and it is not more-likely-than-not that the Corporation will be required to sell the security before recovery, the Corporation must determine what portion of the impairment is attributable to a credit loss, which occurs when the amortized cost basis of the security exceeds the present value of the cash flows expected to be collected from the security. If there is no credit loss, there is no other-than-temporary impairment. If there is a credit loss, other-than-temporary impairment exists, and the credit loss must be recognized in net income and the remaining portion of impairment must be recognized in other comprehensive income. The Corporation regularly reviews unrealized losses in its investments in securities based on criteria including the extent to which market value is below amortized cost, the duration of that market decline, the financial health of and specific prospects for the issuer, the Corporation’s best estimate of the present value of cash flows expected to be collected from debt securities, the Corporation’s intention with regard to holding the security to maturity and the likelihood that the Corporation would be required to sell the security before recovery.
Loans Held for Sale	Loans Held for Sale: The Corporation uses fair value accounting for its entire portfolio of loans held for sale (LHFS) in accordance with Accounting Standards Codification (ASC) Topic 820 - Fair Value Measurement . Fair value of the Corporation’s LHFS is based on observable market prices for similar instruments traded in the secondary mortgage loan markets in which the Corporation conducts business. Substantially all loans originated by C&F Mortgage are held for sale to outside investors.
Loans Acquired in a Business Combination	Loans Acquired in a Business Combination: Loans acquired in a business combination, such as the Corporation’s acquisition of CVB, are recorded at estimated fair value on the date of acquisition without the carryover of the related allowance for loan losses. Purchased credit-impaired (PCI) loans are those for which there is evidence of credit deterioration since origination and for which it is probable at the date of acquisition that the Corporation will not collect all contractually required principal and interest payments. When determining fair value, PCI loans were aggregated into pools of loans based on common risk characteristics as of the date of acquisition such as loan type, date of origination, and evidence of credit quality deterioration such as internal risk grades and past due and nonaccrual status. The difference between contractually required payments at acquisition and the cash flows expected to be collected at acquisition is referred to as the “nonaccretable difference,” and is not recorded. Any excess of cash flows expected at acquisition over the estimated fair value is referred to as the accretable yield and is recognized as interest income over the remaining life of the loan when there is a reasonable expectation about the amount and timing of such cash flows. On a quarterly basis, the Corporation evaluates its estimate of cash flows expected to be collected. Estimates of cash flows for PCI loans require significant judgment. Subsequent decreases to the expected cash flows will generally result in a provision for loan losses, while subsequent increases in cash flows may result in a reversal of post-acquisition provision for loan losses, or a transfer from nonaccretable difference to accretable yield that increases interest income over the remaining life of the loan or pool(s) of loans. Disposals of loans, which may include sale of loans to third parties, receipt of payments in full or part from the borrower or foreclosure of the collateral, result in removal of the loan from the PCI loan portfolio at its carrying amount. The Corporation’s PCI loans currently consist of loans acquired in connection with the acquisition of CVB. PCI loans that were classified as nonperforming by CVB are no longer classified as nonperforming so long as, at quarterly re-estimation periods, we believe we will fully collect the new carrying value of the pools of loans. Loans not designated PCI loans as of the acquisition date are designated purchased performing loans. The Corporation accounts for purchased performing loans using the contractual cash flows method of recognizing discount accretion based on the acquired loans’ contractual cash flows. Purchased performing loans are recorded at fair value, including a credit discount. The fair value discount is accreted as an adjustment to yield over the estimated lives of the loans. There is no allowance for loan losses established at the acquisition date for purchased performing loans. A provision for loan losses may be required in future periods for any deterioration in these loans subsequent to the acquisition.
Originated Loans	Originated Loans: The Corporation makes mortgage, commercial and consumer loans to customers. The Corporation’s recorded investment in loans that management has the intent and ability to hold for the foreseeable future or until maturity or pay-off generally is reported at the unpaid principal balances adjusted for charges-offs, unearned discounts, any deferred fees or costs on originated loans, and the allowance for loan losses. Interest on loans is credited to operations based on the principal amount outstanding. Loan fees and origination costs are deferred and the net amount is amortized as an adjustment of the related loan’s yield using the level-yield method. The Corporation is amortizing these amounts over the contractual life of the related loans. A loan’s past due status is based on the contractual due date of the most delinquent payment due. Loans are generally placed on nonaccrual status when the collection of principal or interest is 90 days or more past due, or earlier, if collection is uncertain based on an evaluation of the net realizable value of the collateral and the financial strength of the borrower. Loans greater than 90 days past due may remain on accrual status if management determines it has adequate collateral to cover the principal and interest. For those loans that are carried on nonaccrual status, payments are first applied to principal outstanding. A loan may be returned to accrual status if the borrower has demonstrated a sustained period of repayment performance in accordance with the contractual terms of the loan and there is reasonable assurance the borrower will continue to make payments as agreed. These policies are applied consistently across our loan portfolio. The Corporation considers a loan impaired when it is probable that the Corporation will be unable to collect all interest and principal payments as scheduled in the loan agreement. A loan is not considered impaired during a period of delay in payment if the ultimate collectibility of all amounts due is expected. Impairment is measured based on either the fair value of the loan using the loan’s obtainable market price or the fair value of the collateral, if the loan is collateral dependent, or using the present value of expected future cash flows discounted at the loan’s effective interest rate, which is not a fair value measurement. Large groups of smaller balance homogeneous loans are collectively evaluated for impairment. Troubled debt restructurings (TDRs) occur when the Corporation agrees to significantly modify the original terms of a loan due to the deterioration in the financial condition of the borrower. TDRs are considered impaired loans and are evaluated individually. Upon designation as a TDR, the Corporation evaluates the borrower’s payment history, past due status and ability to make payments based on the revised terms of the loan. If a loan was accruing prior to being modified as a TDR and if the Corporation concludes that the borrower is able to make such payments, and there are no other factors or circumstances that would cause it to conclude otherwise, the loan will remain on an accruing status. If a loan was on nonaccrual status at the time of the TDR, the loan will remain on nonaccrual status following the modification and may be returned to accrual status based on the policy for returning loans to accrual status as noted above. As of December 31, 2018 and 2017, the Corporation had $5.45 million and $10.90 million, respectively, of loans classified as TDRs.
Allowance for Loan Losses	Allowance for Loan Losses: The allowance for loan losses is established through charges to earnings in the form of a provision for loan losses. Loan losses are charged against the allowance for loan losses for the difference between the carrying value of the loan and the estimated net realizable value or fair value of the collateral, if collateral dependent, when management believes that the collectibility of the principal is unlikely. Subsequent recoveries, if any, are credited to the allowance. The allowance represents an amount that, in management’s judgment, will be adequate to absorb probable losses inherent in the loan portfolio. Management’s judgment in determining the level of the allowance is based on evaluations of the collectibility of loans while taking into consideration such factors as trends in delinquencies and charge-offs, changes in the nature and volume of the loan portfolio, current economic conditions that may affect a borrower’s ability to repay and the value of collateral, overall portfolio quality and review of specific potential losses. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available. The evaluation also considers the following risk characteristics of each loan portfolio: · Real estate residential mortgage loans carry risks associated with the continued credit-worthiness of the borrower and changes in the value of the collateral. · Real estate construction loans carry risks that the project will not be finished according to schedule, the project will not be finished according to budget and the value of the collateral may, at any point in time, be less than the principal amount of the loan. Construction loans also bear the risk that the general contractor, who may or may not be a loan customer, may be unable to finish the construction project as planned because of financial pressure unrelated to the project. · Commercial, financial and agricultural loans carry risks associated with the successful operation of a business or a real estate project, in addition to other risks associated with the ownership of real estate, because the repayment of these loans may be dependent upon the profitability and cash flows of the business or project. In addition, there is risk associated with the value of collateral other than real estate which may depreciate over time and cannot be appraised with as much precision. · Consumer and consumer finance loans carry risks associated with the continued credit-worthiness of the borrower and the value of the collateral (e.g., rapidly-depreciating assets such as automobiles and marine and recreational vehicles (RVs)), or lack thereof. Consumer loans are more likely than real estate loans to be immediately adversely affected by job loss, divorce, illness or personal bankruptcy. · Equity lines of credit carry risks associated with the continued credit-worthiness of the borrower and changes in the value of the collateral. The allowance consists of specific and general components. The specific component relates to loans that are individually evaluated for impairment, and is established when the discounted cash flows (or collateral value or observable market price) of an impaired loan is lower than the carrying value of that loan. For collateral dependent loans, an updated appraisal will be ordered if a current one is not on file. Appraisals are performed by independent third-party appraisers with relevant industry experience. Adjustments to the appraised value may be made based on recent sales of similar properties or general market conditions when appropriate. The general component covers non-classified loans and those loans classified as substandard or special mention that are not individually evaluated for impairment. The general component is based on historical loss experience adjusted for qualitative factors, such as current economic conditions, including current home sales and foreclosures, unemployment rates and retail sales. Relative to non-classified loans, non-impaired classified loans are assigned a higher allowance factor which increases with the severity of classification. The characteristics of these loan ratings are as follows: · Pass rated loans are to persons or business entities with an acceptable financial condition, appropriate collateral margins, appropriate cash flow to service the existing loan, and an appropriate leverage ratio. The borrower has paid all obligations as agreed and it is expected that this type of payment history will continue. When necessary, acceptable personal guarantors support the loan. · Special mention loans have a specific identified weakness in the borrower’s operations and in the borrower’s ability to generate positive cash flow on a sustained basis. The borrower’s recent payment history may be characterized by late payments. The Corporation’s risk exposure is mitigated by collateral supporting the loan. The collateral is considered to be well-margined, well maintained, accessible and readily marketable. · Substandard loans are considered to have specific and well-defined weaknesses that jeopardize the viability of the Corporation’s credit extension. The payment history for the loan has been inconsistent and the expected or projected primary repayment source may be inadequate to service the loan. The estimated net liquidation value of the collateral pledged and/or ability of the personal guarantor(s) to pay the loan may not adequately protect the Corporation. There is a distinct possibility that the Corporation will sustain some loss if the deficiencies associated with the loan are not corrected in the near term. A substandard loan would not automatically meet the Corporation’s definition of impaired unless the loan is significantly past due and the borrower’s performance and financial condition provide evidence that it is probable that the Corporation will be unable to collect all amounts due. · Substandard nonaccrual loans have the same characteristics as substandard loans; however, they have a nonaccrual classification because it is probable that the Corporation will not be able to collect all amounts due. · Doubtful rated loans have all the weaknesses inherent in a loan that is classified substandard but with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high. · Loss rated loans are not considered collectible under normal circumstances and there is no realistic expectation for any future payment on the loan. Loss rated loans are fully charged off. On a quarterly basis the Corporation evaluates its estimate of cash flows to be collected on PCI loans. These evaluations require the continued assessment of key assumptions and estimates similar to the initial estimate of fair value as of the acquisition date, such as the effect of collateral value changes, changing loss severities, estimated and experienced prepayment speeds and other relevant factors. Subsequent decreases to the expected cash flows to be collected on a PCI loan will generally result in a provision for loan losses. The consumer finance loans are segregated between performing and nonperforming loans. Performing loans are those that have made timely payments in accordance with the terms of the loan agreement and are not past due 90 days or more. Nonperforming loans are those that do not accrue interest and are greater than 90 days past due.
Allowance for Indemnifications	Allowance for Indemnifications: The allowance for indemnifications is established through charges to earnings in the form of a provision for indemnifications, which is included in other noninterest expenses. A loss is charged against the allowance for indemnifications when a purchaser of a loan (investor) sold by C&F Mortgage incurs a validated indemnified loss due to borrower misrepresentation, fraud, early payment default or underwriting error. The allowance represents an amount that, in management’s judgment, will be adequate to absorb any losses that are probable of arising from valid indemnification requests for loans that have been sold by C&F Mortgage. Management’s judgment in determining the level of the allowance is based on the volume of loans sold, historical experience, current economic conditions and information provided by investors. This evaluation is inherently subjective, as it requires estimates that are susceptible to significant revision as more information becomes available.
Restricted Stock	Restricted Stock: Restricted stock includes Federal Home Loan Bank (FHLB) stock. FHLB stock is carried at cost. No ready market exists for this stock and it has no quoted market value. For presentation purposes, such stock is assumed to have a market value that is equal to cost. Management reviews FHLB stock for impairment based on the ultimate recoverability of the cost basis.
Other Real Estate Owned (OREO)	Other Real Estate Owned (OREO): Assets acquired through, or in lieu of, foreclosure are held for sale and are initially recorded at fair value less estimated costs to sell at the date of foreclosure. Physical possession of residential real estate securing consumer mortgage loans occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through completion of a deed in lieu of foreclosure or similar legal agreement. Subsequent to foreclosure, management periodically performs valuations of the foreclosed assets based on updated appraisals, general market conditions, recent sales of similar properties, length of time the properties have been held, and our ability and intention with regard to continued ownership of the properties. The Corporation may incur additional write-downs of foreclosed assets to fair value less estimated costs to sell if valuations indicate a further deterioration in market conditions. Revenue and expenses from operations and changes in the property valuations are included in net OREO expenses and improvements are capitalized.
Repossessed Assets	Repossessed Assets: Repossessed assets primarily consist of vehicles repossessed by C&F Finance due to borrowers’ payment defaults. The repossession process is generally initiated after a loan becomes more than 60 days delinquent. Most customers have an opportunity to redeem their repossessed vehicles by paying all outstanding balances, including finance charges and fees. Vehicles that are not redeemed within a prescribed waiting period following repossession are then reclassified from loans to repossessed assets available-for-sale (included in other assets) and recorded initially at fair value less estimated costs to sell. The difference between the carrying amount of each loan and the fair value of the vehicle (i.e., the deficiency) is charged against the allowance for loan losses. The waiting period is determined as the length of time after repossession that C&F Finance is prohibited to sell the vehicle under the laws of the state where the vehicle was repossessed. Accounts still in process of collection or for which the Corporation does not have the legal right to sell continue to be classified as loans until such legal authority is obtained. At December 31, 2018, repossessed vehicles at fair value less estimated costs to sell included in other assets totaled $371,000, compared to $250,000 at December 31, 2017. Repossession expense includes the costs to repossess and sell vehicles. These costs include transportation, storage, rekeying, condition reports, legal fees, fees paid to repossession agents and auction fees. These costs are included in noninterest expenses.
Corporate Premises and Equipment	Corporate Premises and Equipment: Land is carried at cost. Buildings and equipment are carried at cost less accumulated depreciation computed using a straight-line method over the estimated useful lives of the assets. Estimated useful lives range from ten to forty years for buildings and from three to ten years for equipment, furniture and fixtures. Maintenance and repairs are charged to expense as incurred and major improvements are capitalized. Upon sale or retirement of depreciable properties, the cost and related accumulated depreciation are netted against proceeds and any resulting gain or loss is included in income. Depreciation expense for the years ended December 31, 2018, 2017 and 2016 was $3.22 million, $2.77 million and $2.67 million, respectively.
Goodwill	Goodwill: The Corporation’s goodwill was recognized in connection with its acquisition of CVBK in October 2013 and its acquisition of C&F Finance in September 2002. The Corporation reviews the carrying value of goodwill at least annually or more frequently if certain impairment indicators exist. In testing goodwill for impairment, the Corporation may first consider qualitative factors to determine whether the existence of events or circumstances lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events and circumstances, we conclude that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then no further testing is required and the goodwill of the reporting unit is not impaired. If the Corporation elects to bypass the qualitative assessment or if we conclude that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, then the fair value of the reporting unit is compared with its carrying amount to determine whether an impairment exists.
Core Deposit Intangible	Core Deposit Intangible: The Corporation’s core deposit intangible (CDI) was recognized in connection with the Corporation’s acquisition of CVB in October 2013, and represents the value of long-term deposit relationships acquired in this transaction. The Corporation is amortizing the CDI over an estimated weighted average life of six years using the sum-of-the-years digits method.
Other Intangibles	Other Intangibles: During the fourth quarter of 2016, C&F Wealth Management acquired the assets of a registered investment advisor with approximately $91.40 million in assets under management at the time of the acquisition. In connection with the transaction, the Corporation recorded $1.40 million of amortizable assets, which primarily relate to the value of the customer relationships. The Corporation is amortizing these intangible assets over the period of expected benefit, which ranges from five to nine years using a straight-line method.
Transfer of Financial Assets	Transfer of Financial Assets: Transfers of loans are accounted for as sales when control over the loans has been surrendered. Control over transferred loans is deemed to be surrendered when (1) the loans have been isolated from the Corporation, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred loans and (3) the Corporation does not maintain effective control over the transferred loans through an agreement to repurchase them before their maturity.
Income Taxes	Income Taxes: The Corporation determines deferred income tax assets and liabilities based on temporary differences between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Income tax expense includes taxes on income or loss that is taxable in the period and changes during the period in deferred tax assets and liabilities. C&F Bank invests in qualified affordable housing projects through housing equity funds, the purpose of which is to encourage investment in low-income residential property development in Virginia by providing a return on investment through federal income tax credits and other tax benefits on losses generated by the projects. C&F Bank recognizes its share of losses on these projects as a component of income tax expense. The benefit of an uncertain tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination by the applicable taxing authority, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. Interest and penalties associated with unrecognized tax benefits are recognized as a component of income tax expense.
Retirement Plan	Retirement Plan: The Corporation recognizes the overfunded or underfunded status of its defined benefit pension plan as an asset or liability in its Consolidated Balance Sheets, measured as the difference between plan assets at fair value and the projected benefit obligation as of December 31. Net periodic pension cost or income is recorded each period based on actuarially determined amounts in accordance with GAAP and recognized in salaries and employment benefits and other noninterest income in the Consolidated Statements of Income. Actuarial determinations of net periodic pension cost or income are based on assumptions related to disount rates, rates of return on plan assets, employee compensation and mortality and interest crediting rates. Other changes in the overfunded or underfunded status of the pension plan are recorded in the year in which the changes occur through other comprehensive income.
Share-Based Compensation	Share-Based Compensation: Share-based compensation expense for grants of restricted shares is accounted for using the fair value of the Corporation’s common stock on the date the restricted shares are awarded. Compensation expense for restricted shares is charged to income ratably over the required service period. Forfeitures reduce compensation expense for the periods in which forfeitures actually occur.
Earnings Per Share	Earnings Per Share: The Corporation applies the two-class method of computing basic and diluted earnings per share (EPS), which allocates a portion of undistributed earnings to the Corporation’s unvested restricted shares awarded to employees and non-employee directors. These restricted shares are participating securities which contain rights to nonforfeitable dividends prior to vesting. Accordingly, the weighted average number of shares outstanding used in the calculation of basic and diluted EPS includes both common shares and unvested restricted shares outstanding. EPS calculations are presented in Note 10.
Comprehensive Income	Comprehensive Income: Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available for sale securities, changes in defined benefit plan assets and liabilities, and unrealized gains and losses on cash flow hedging instruments are reported as a separate component of the equity section of the balance sheet, such items, along with net income, are components of comprehensive income. These components are presented in the Corporation’s Consolidated Statements of Comprehensive Income and in Note 10.
Off-Balance-Sheet Credit Related Financial Instruments	Off-Balance-Sheet Credit Related Financial Instruments: In the ordinary course of business, the Corporation has entered into commitments to extend credit and standby letters of credit. Such financial instruments are recorded in the Consolidated Balance Sheets when they are funded.
Derivative Financial Instruments	Derivative Financial Instruments: The Corporation recognizes derivative financial instruments at fair value as either an other asset or other liability in the Consolidated Balance Sheets. The Corporation’s derivative financial instruments include (1) interest rate lock commitments (IRLCs) on mortgage loans that will be sold in the secondary market on a best efforts basis and the related forward commitments to sell mortgage loans, (2) interest rate swaps with certain qualifying commercial loan customers and dealer counterparties and (3) interest rate swaps that qualify and are designated as cash flow hedges on the Corporation’s trust preferred capital notes. Because the IRLCs, forward sales commitments and interest rate swaps with loan customers and dealer counterparties are not designated as hedging instruments, adjustments to reflect unrealized gains and losses resulting from changes in the fair value of these instruments are reported as noninterest income or noninterest expense, as applicable. The gain or loss on the Corporation’s cash flow hedges is reported as a component of other comprehensive income, net of deferred income taxes, and reclassified into earnings in the same period(s) during which the hedged transactions affect earnings. The Corporation’s derivative financial instruments are described more fully in Note 19.
Recent Significant Accounting Pronouncements	Recent Significant Accounting Pronouncements: In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, “ Leases (Topic 842) .” Subsequently, this ASU was amended when the FASB issued other updates, including ASU 2018-10, “Codification Improvements to Topic 842, Leases” and ASU 2018-11, “Leases (Topic 842)” (collectively, ASC 842). Among other things in the amendments in ASC 842, lessees will be required to recognize the following for all leases (with the exception of short-term leases) at the commencement date: (1) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. Certain targeted improvements were made to align, where necessary, lessor accounting with the lessee accounting model and Topic 606, Revenue from Contracts with Customers . The amendments in ASC 842 are effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. Lessees (for capital and operating leases) and lessors (for sales-type, direct financing, and operating leases) must apply a modified retrospective transition approach by either applying the new guidance as of the beginning of the earliest comparative period presented in the financial statements or by electing an optional transition method that will apply the new guidance as of the beginning of the period of adoption. Under the optional transition method, prior periods will continue to be reported under current guidance. The modified retrospective approach would not require any transition accounting for leases that expired before application date under either method. Lessees and lessors may not apply a full retrospective transition approach. The Corporation has completed an inventory of its leases, which comprise primarily leases of real estate and office equipment in which the Corporation is the lessee, and all of which are accounted for as operating leases under current guidance. The Corporation will adopt ASC 842 effective January 1, 2019 using the optional transition method. Under a practical expedient available for transition, the classification of leases will remain the same upon adoption of ASC 842. Upon transition, the Corporation will record a lease liability of approximately $3 million for its remaining payment obligations as of January 1, 2019 for leases in effect at that time, based on the recognition criteria of ASC 842, and a corresponding right of use asset. The Corporation has designed the financial reporting controls and procedures related to accounting for leases under ASC 842 and will implement these controls in the first quarter of 2019. Adoption of ASC 842 is not expected to change the pattern of recognition of expense for the Corporation’s leases in effect as of December 31, 2018. In June 2016, the FASB issued ASU 2016-13, “ Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” as part of its project on financial instruments. Subsequently, this ASU was amended when the FASB issued ASU 2018-19, “ Codification Improvements to Topic 326, Financial Instruments – Credit Losses ” (collectively, ASC 326). ASC 326 introduces an approach based on expected losses to estimate credit losses on certain types of financial instruments. It also modifies the impairment model for available-for-sale debt securities and provides for a simplified accounting model for purchased financial assets with credit deterioration since their origination. For public business entities that are SEC filers, the new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption will be permitted for all organizations for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. The amendments 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 expects to develop and refine an approach to estimating the allowance for credit losses during 2019. 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 shareholders’ 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 January 2017, the FASB issued ASU 2017-04, “ Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, ” which removes the requirement to compare the implied fair value of goodwill with its carrying amount as part of step 2 of the goodwill impairment test. As a result, under ASU 2017-04, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. ASU 2017-04 is effective for public business entities that are SEC filers for annual and interim periods beginning after December 15, 2019. Early adoption is permitted. The Corporation does not expect the adoption of ASU 2017-04 to have a material effect on its consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement.” These amendments modify the disclosure requirements in Topic 820 to add disclosures regarding changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements and the narrative description of measurement uncertainty. Certain disclosure requirements in Topic 820 are also removed or modified. The amendments are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Certain of the amendments are to be applied prospectively while others are to be applied retrospectively. Early adoption is permitted. The Corporation does not expect the adoption of ASU 2018-13 to have a material effect on its consolidated financial statements. 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.” These amendments modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. Certain disclosure requirements have been deleted while the following disclosure requirements have been added: the weighted-average interest crediting rates for cash balance plans and other plans with promised interest crediting rates and an explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period. The amendments also clarify the disclosure requirements regarding the projected benefit obligation (PBO) and fair value of plan assets for plans with PBOs in excess of plan assets and the accumulated benefit obligation (ABO) and fair value of plan assets for plans with ABOs in excess of plan assets. The amendments are effective for fiscal years ending after December 15, 2020. Early adoption is permitted. The Corporation does not expect the adoption of ASU 2018-14 to have a material effect on its consolidated financial statements. 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.

Securities (Tables)

Securities (Tables)	12 Months Ended
	Dec. 31, 2018
Securities
Summary of available for sale securities	December 31, 2018 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 18,008 $ 1 $ (536) $ 17,473 Mortgage-backed securities 106,787 85 (1,889) 104,983 Obligations of states and political subdivisions 91,855 840 (241) 92,454 $ 216,650 $ 926 $ (2,666) $ 214,910 December 31, 2017 Gross Gross Amortized Unrealized Unrealized (Dollars in thousands) Cost Gains Losses Fair Value U.S. government agencies and corporations $ 16,514 $ — $ (341) $ 16,173 Mortgage-backed securities 97,677 142 (761) 97,058 Obligations of states and political subdivisions 103,977 2,022 (254) 105,745 $ 218,168 $ 2,164 $ (1,356) $ 218,976
Schedule of amortized cost and estimated fair value of securities, by contractual maturity date	December 31, 2018 Amortized (Dollars in thousands) Cost Fair Value Due in one year or less $ 48,902 $ 48,832 Due after one year through five years 149,981 148,258 Due after five years through ten years 14,338 14,313 Due after ten years 3,429 3,507 $ 216,650 $ 214,910
Schedule of gross realized gains and losses on and the proceeds from the sale, maturities and calls of securities	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Realized gains from sales of securities: Gross realized gains $ — $ — $ 61 Gross realized losses — — (26) Net realized gains $ — $ — $ 35 Proceeds from sales of securities $ — $ — $ 917 Realized gains from maturities and calls of securities: Gross realized gains $ 10 $ 10 $ 17 Gross realized losses — — — Net realized gains $ 10 $ 10 $ 17 Proceeds from maturities, calls and paydowns of securities $ 51,067 $ 41,520 $ 56,438
Schedule of securities in an unrealized loss position	Securities in an unrealized loss position at December 31, 2018, 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 $ 997 $ 1 $ 15,725 $ 535 $ 16,722 $ 536 Mortgage-backed securities 17,934 132 72,830 1,757 90,764 1,889 Obligations of states and political subdivisions 9,492 29 20,555 212 30,047 241 Total temporarily impaired securities $ 28,423 $ 162 $ 109,110 $ 2,504 $ 137,533 $ 2,666 Securities in an unrealized loss position at December 31, 2017, 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 $ 2,972 $ 31 $ 13,201 $ 310 $ 16,173 $ 341 Mortgage-backed securities 57,116 341 22,545 420 79,661 761 Obligations of states and political subdivisions 18,644 117 9,363 137 28,007 254 Total temporarily impaired securities $ 78,732 $ 489 $ 45,109 $ 867 $ 123,841 $ 1,356

Loans (Tables)

Loans (Tables)	12 Months Ended
	Dec. 31, 2018
Loans
Summary of major classifications of loans	December 31, (Dollars in thousands) 2018 2017 Real estate – residential mortgage $ 184,901 $ 184,863 Real estate – construction 1 54,461 44,782 Commercial, financial and agricultural 2 455,935 437,884 Equity lines 55,660 55,237 Consumer 15,009 13,018 Consumer finance 296,154 292,004 1,027,788 Less allowance for loan losses (34,023) (35,726) Loans, net $ $ 992,062 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.
Schedule of acquired loans	December 31, 2018 December 31, 2017 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 $ 9,734 $ 38,768 $ 48,502 $ 12,856 $ 45,083 $ 57,939 Carrying amount Real estate – residential mortgage $ 284 $ 8,823 $ 9,107 $ 492 $ 10,855 $ 11,347 Commercial, financial and agricultural 1 1,461 18,982 20,443 2,472 22,305 24,777 Equity lines 90 9,063 9,153 139 9,621 9,760 Consumer — 6 6 — 12 12 Total acquired loans $ 1,835 $ 36,874 $ 38,709 $ 3,103 $ 42,793 $ 45,896 1 Includes acquired loans classified by the Corporation as commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending.
Summary of change in the accretable yield of the PCI loan portfolio	Year Ended December 31, (Dollars in thousands) 2018 2017 Accretable yield, balance at beginning of period $ 7,304 $ 8,636 Accretion (3,737) (2,657) Reclassification of nonaccretable difference due to improvement in expected cash flows 2,191 1,641 Other changes, net 229 (316) Accretable yield, balance at end of period $ 5,987 $ 7,304
Schedule of loans on nonaccrual status	December 31, (Dollars in thousands) 2018 2017 Real estate – residential mortgage $ 594 $ 830 Commercial, financial and agricultural: Commercial real estate lending — 3,796 Commercial business lending 24 34 Equity lines 883 651 Consumer finance 712 764 Total loans on nonaccrual status $ 2,213 $ 6,075
Schedule of past due status of loans	The past due status of loans as of December 31, 2018 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 $ 1,221 $ — $ 37 $ 1,258 $ 284 $ 183,359 $ 184,901 $ 9 Real estate – construction: Construction lending — — — — — 42,051 42,051 — Consumer lot lending — — — — — 12,410 12,410 — Commercial, financial and agricultural: Commercial real estate lending — — 315 315 1,461 309,057 310,833 315 Land acquisition and development lending — — — — — 43,404 43,404 — Builder line lending — — — — — 31,201 31,201 — Commercial business lending 163 19 24 206 — 70,291 70,497 — Equity lines 46 584 325 955 90 54,615 55,660 — Consumer 31 — — 31 — 14,978 15,009 — Consumer finance 11,419 1,965 712 14,096 — 282,058 296,154 — Total $ 12,880 $ 2,568 $ 1,413 $ 16,861 $ 1,835 $ 1,043,424 $ 1,062,120 $ 324 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 $458,000, 30-59 days past due of $97,000, 60‑89 days past due of $560,000 and 90+ days past due of $1.10 million. The past due status of loans as of December 31, 2017 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 $ 1,905 $ 14 $ 245 $ 2,164 $ 492 $ 182,207 $ 184,863 $ 90 Real estate – construction: Construction lending — — — — — 41,449 41,449 — Consumer lot lending — — — — — 3,333 3,333 — Commercial, financial and agricultural: Commercial real estate lending 241 — 3,874 4,115 2,472 297,903 304,490 78 Land acquisition and development lending — — — — — 39,844 39,844 — Builder line lending 685 — — 685 — 28,911 29,596 — Commercial business lending — — 2 2 — 63,952 63,954 2 Equity lines 550 — 136 686 139 54,412 55,237 136 Consumer 9 — — 9 — 13,009 13,018 — Consumer finance 12,273 2,061 764 15,098 — 276,906 292,004 — Total $ 15,663 $ 2,075 $ 5,021 $ 22,759 $ 3,103 $ 1,001,926 $ 1,027,788 $ 306 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 $890,000, 30-59 days past due of $458,000, 60‑89 days past due of $14,000 and 90+ days past due of $4.71 million.
Schedule of loan modifications classified as TDRs	Year Ended December 31, 2018 2017 2016 Number of Recorded Number of Recorded Number of Recorded (Dollars in thousands) Loans Investment Loans Investment Loans Investment Real estate – residential mortgage 1 $ 140 2 $ 365 5 $ 1,136 Commercial, financial and agricultural: Commercial real estate lending — — 7 6,800 3 227 Commercial business lending — — — — 2 125 Consumer 1 5 — — 1 291 Total 2 $ 145 9 $ 7,165 11 $ 1,779
Impaired financing receivables, including TDR loans	Impaired loans, which included TDRs of $5.45 million, and the related allowance at December 31, 2018 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 $ 3,057 $ 1,288 $ 1,677 $ 92 $ 3,056 $ 142 Commercial, financial and agricultural: Commercial real estate lending 2,468 1,498 927 10 2,653 132 Commercial business lending 33 25 — — 26 — Equity lines 365 31 326 326 359 2 Consumer 5 — 5 — 5 — Total $ 5,928 $ 2,842 $ 2,935 $ 428 $ 6,099 $ 276 Impaired loans, which consisted solely of TDRs, and the related allowance at December 31, 2017 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 $ 3,745 $ 1,603 $ 2,033 $ 214 $ 3,743 $ 184 Commercial, financial and agricultural: Commercial real estate lending 6,981 2,841 4,031 615 7,818 168 Commercial business lending 41 35 — — 45 — Equity lines 32 31 — — 32 2 Consumer 321 322 — — 321 13 Total $ 11,120 $ 4,832 $ 6,064 $ 829 $ 11,959 $ 367

Allowance for Loan Losses (Tabl

Allowance for Loan Losses (Tables)	12 Months Ended
	Dec. 31, 2018
Allowance for Loan Losses
Schedule of changes in the allowance for loan losses	Real Estate Commercial, Residential Real Estate Financial & Equity Consumer (Dollars in thousands) Mortgage Construction Agricultural Lines Consumer Finance Total Balance at December 31, 2015 $ 2,471 $ 94 $ 7,755 $ 1,052 $ 243 $ 23,954 $ 35,569 Provision charged to operations 7 722 (481) (310) 63 18,039 18,040 Loans charged off (82) — (87) (57) (281) (20,663) (21,170) Recoveries of loans previously charged off 163 — 206 — 236 4,022 4,627 Balance at December 31, 2016 2,559 816 7,393 685 261 25,352 37,066 Provision charged to operations (127) (211) 413 43 82 16,235 16,435 Loans charged off (179) — (349) (42) (301) (21,525) (22,396) Recoveries of loans previously charged off 118 — 21 2 189 4,291 4,621 Balance at December 31, 2017 2,371 605 7,478 688 231 24,353 35,726 Provision charged to operations (140) 122 (440) 418 140 10,906 11,006 Loans charged off (42) — (409) — (344) (16,477) (17,272) Recoveries of loans previously charged off 57 — 59 — 230 4,217 4,563 Balance at December 31, 2018 $ 2,246 $ 727 $ 6,688 $ 1,106 $ 257 $ 22,999 $ 34,023
Schedule of total allowance for loan losses, allowance by impairment methodology, total loans, and total loans by impairment methodology	The following table presents, as of December 31, 2018, 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 $ 92 $ — $ 10 $ 326 $ — $ — $ 428 Collectively evaluated for impairment 2,154 727 6,678 780 257 22,999 33,595 Acquired loans - PCI — — — — — — — Total allowance $ 2,246 $ 727 $ 6,688 $ 1,106 $ 257 $ 22,999 $ 34,023 Loans: Individually evaluated for impairment $ 2,965 $ — $ 2,450 $ 357 $ 5 $ — $ 5,777 Collectively evaluated for impairment 181,652 54,461 452,024 55,213 15,004 296,154 1,054,508 Acquired loans - PCI 284 — 1,461 90 — — 1,835 Total loans $ 184,901 $ 54,461 $ 455,935 $ 55,660 $ 15,009 $ 296,154 $ 1,062,120 The following table presents, as of December 31, 2017, 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 $ 214 $ — $ 615 $ — $ — $ — $ 829 Collectively evaluated for impairment 2,157 605 6,863 688 231 24,353 34,897 Acquired loans - PCI — — — — — — — Total allowance $ 2,371 $ 605 $ 7,478 $ 688 $ 231 $ 24,353 $ 35,726 Loans: Individually evaluated for impairment $ 3,636 $ — $ 6,907 $ 31 $ 322 $ — $ 10,896 Collectively evaluated for impairment 180,735 44,782 428,505 55,067 12,696 292,004 1,013,789 Acquired loans - PCI 492 — 2,472 139 — — 3,103 Total loans $ 184,863 $ 44,782 $ 437,884 $ 55,237 $ 13,018 $ 292,004 $ 1,027,788
Schedule of loans by credit quality indicators	Loans by credit quality indicators as of December 31, 2018 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 180,232 $ 2,832 $ 1,243 $ 594 $ 184,901 Real estate – construction: Construction lending 42,051 — — — 42,051 Consumer lot lending 12,410 — — — 12,410 Commercial, financial and agricultural: Commercial real estate lending 306,578 3,801 454 — 310,833 Land acquisition and development lending 33,156 10,248 — — 43,404 Builder line lending 31,201 — — — 31,201 Commercial business lending 69,897 576 — 24 70,497 Equity lines 54,289 389 99 883 55,660 Consumer 14,998 5 6 — 15,009 $ 744,812 $ 17,851 $ 1,802 $ 1,501 $ 765,966 1 At December 31, 2018, the Corporation did not have any loans classified as Doubtful or Loss. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 295,442 $ 712 $ 296,154 Loans by credit quality indicators as of December 31, 2017 were as follows: Special Substandard (Dollars in thousands) Pass Mention Substandard Nonaccrual Total 1 Real estate – residential mortgage $ 179,963 $ 1,235 $ 2,835 $ 830 $ 184,863 Real estate – construction: Construction lending 41,449 — — — 41,449 Consumer lot lending 3,333 — — — 3,333 Commercial, financial and agricultural: Commercial real estate lending 293,292 2,874 4,528 3,796 304,490 Land acquisition and development lending 24,253 — 15,591 — 39,844 Builder line lending 29,596 — — — 29,596 Commercial business lending 63,749 34 137 34 63,954 Equity lines 53,870 465 251 651 55,237 Consumer 12,693 3 322 — 13,018 $ 702,198 $ 4,611 $ 23,664 $ 5,311 $ 735,784 1 At December 31, 2017, the Corporation did not have any loans classified as Doubtful or Loss. Non- (Dollars in thousands) Performing Performing Total Consumer finance $ 291,240 $ 764 $ 292,004

Other Real Estate Owned (Tables

Other Real Estate Owned (Tables)	12 Months Ended
	Dec. 31, 2018
Other Real Estate Owned
Changes in the balance for OREO	Year Ended December 31, (Dollars in thousands) 2018 2017 Balance at the beginning of year, gross $ 225 $ 281 Transfers between loans and other real estate owned 98 208 Charge-offs — (29) Sales proceeds (18) (245) (Loss) gain on disposition (2) 10 Balance at the end of year, gross 303 225 Less valuation allowance (57) (57) Balance at the end of year, net $ 246 $ 168
Changes in the allowance for OREO	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Balance at the beginning of year $ 57 $ 86 $ 56 Provision for losses — — 135 Charge-offs, net — (29) (105) Balance at the end of year $ 57 $ 57 $ 86

Corporate Premises and Equipm_2

Corporate Premises and Equipment (Tables)	12 Months Ended
	Dec. 31, 2018
Corporate Premises and Equipment
Schedule of major classifications of corporate premises and equipment	December 31, (Dollars in thousands) 2018 2017 Land $ 8,300 $ 8,340 Buildings 36,390 35,586 Equipment, furniture and fixtures 34,501 32,486 79,191 76,412 Less accumulated depreciation (42,091) (39,443) $ 37,100 $ 36,969

Time Deposits (Tables)

Time Deposits (Tables)	12 Months Ended
	Dec. 31, 2018
Time Deposits
Schedule of time deposits	December 31, (Dollars in thousands) 2018 2017 Certificates of deposit, over $250 $ 72,880 $ 70,034 Other time deposits 273,680 277,919 $ 346,560 $ 347,953
Schedule of remaining maturities on time deposits	(Dollars in thousands) December 31, 2018 2019 $ 198,357 2020 87,336 2021 23,249 2022 17,591 2023 10,353 Thereafter 9,674 $ 346,560

Borrowings (Tables)

Borrowings (Tables)	12 Months Ended
	Dec. 31, 2018
Borrowings
Schedule of selected information on short-term borrowings	December 31, (Dollars in thousands) 2018 2017 Balance outstanding at year end 1 $ 14,917 $ 20,621 Maximum balance at any month end during the year $ 22,912 $ 21,032 Average balance for the year $ 18,883 $ 18,416 Weighted average rate for the year 1.12 % 1.32 % Weighted average rate on borrowings at year end 0.71 % 1.29 % Estimated fair value at year end $ 14,917 $ 20,621 1 Consists of (1) repurchase transactions with customers, which generally mature the day following the day sold and (2) at December 31, 2017 a repurchase agreement with a third-party correspondent bank, both types of which are secured by investment securities.
Schedule of selected information on FHLB advances	Next Conversion (Dollars in thousands) Interest Rate Maturity Date Option Date Fixed Rate Hybrid Advances $ 1.95 % 12/04/19 $ 1.78 08/21/20 Convertible Advances $ 1.48 09/19/22 09/20/21 $ 1.96 09/29/23 09/29/22 $ 2.32 10/25/24 10/25/23 $ 2.53 11/28/25 11/29/24 $ 2.83 12/29/26 12/29/25
Schedule of contractual maturities of long-term borrowings	(Dollars in thousands) Fixed Rate Floating Rate Total 2019 $ 7,000 $ — $ 7,000 2020 7,500 75,029 82,529 2021 — — — 2022 7,500 — 7,500 2023 7,500 — 7,500 Thereafter 15,000 — 15,000 $ 44,500 $ 75,029 $ 119,529

Shareholders_ Equity, Other C_2

Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share (Tables)	12 Months Ended
	Dec. 31, 2018
Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share
Schedule of the components of accumulated other comprehensive income (loss), net of deferred taxes	December 31, (Dollars in thousands) 2018 2017 Net unrealized (losses) gains on securities $ (1,375) $ 638 Net unrecognized gains on cash flow hedges 215 124 Net unrecognized losses on defined benefit plan (3,512) (2,649) Total accumulated other comprehensive loss $ (4,672) $ (1,887)
Schedule of components earnings per share calculations	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Net income $ 18,020 $ 6,572 $ 13,459 Weighted average number of shares used in earnings per share — basic 3,501,221 3,486,510 3,454,282 Effect of dilutive securities — stock option awards — 79 1,601 Weighted average number of shares used in earnings per share — assuming dilution 3,501,221 3,486,589 3,455,883

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2018
Income Taxes
Schedule of principal components of income tax expense	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Current taxes $ 3,889 $ 1,989 $ 4,482 Deferred taxes 632 9,405 (23) $ 4,521 $ 11,394 $ 4,459
Schedule of reconciliation of effective income tax rate to income tax provision	Year Ended December 31, 2018 2017 2016 (Dollars in thousands) Amount Percent Amount Percent Amount Percent Income tax at statutory rates $ 4,734 21.0 % $ 6,288 35.0 % $ 6,272 35.0 % State income taxes 575 2.6 348 1.9 403 2.2 Tax-exempt interest income (592) (2.6) (1,162) (6.5) (1,367) (7.6) Carrying cost of tax-exempt assets 18 0.1 32 0.2 36 0.2 Share based compensation (103) (0.5) (284) (1.6) (255) (1.4) Change in value of bank-owned life insurance (89) (0.4) (151) (0.8) (324) (1.8) Investments in qualified housing projects (85) (0.4) (135) (0.8) (147) (0.8) Remeasurement of net deferred tax assets — — 6,643 37.0 — — Other 63 0.3 (185) (1.0) (159) (0.9) $ 4,521 20.1 % $ 11,394 63.4 % $ 4,459 24.9 %
Schedule of deferred tax assets and liabilities	December 31, (Dollars in thousands) 2018 2017 Deferred tax asset Allowances for loan losses and OREO losses $ 8,567 $ 9,004 Fair value adjustments related to business combinations 1,643 2,123 Nonqualified defined contribution plan 2,925 2,460 Share-based compensation 825 769 Reserve for indemnification losses 663 641 Interest on nonaccrual loans 346 475 Net unrealized loss on securities available for sale 365 — Other 1,415 1,286 Deferred tax asset 16,749 16,758 Deferred tax liability Goodwill and other intangible assets (2,838) (2,886) Depreciation (1,024) (632) Defined benefit plan (620) (934) Cash flow hedges (74) (43) Net unrealized gain on securities available for sale — (170) Deferred tax liability (4,556) (4,665) Net deferred tax asset $ 12,193 $ 12,093

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	12 Months Ended
	Dec. 31, 2018
Employee Benefit Plans
Schedule of Changes in projected benefit obligations, plan assets, funded status and rate assumptions	December 31, (Dollars in thousands) 2018 2017 Change in benefit obligation Projected benefit obligation, beginning $ 17,808 $ 15,870 Service cost 1,232 1,120 Interest cost 521 552 Actuarial (gain) loss (1,308) 1,194 Benefits paid (1,048) (928) Projected benefit obligation, ending 17,205 17,808 Change in plan assets Fair value of plan assets, beginning 19,254 16,202 Actual return on plan assets (1,050) 2,480 Employer contributions 3,000 1,500 Benefits paid (1,048) (928) Fair value of plan assets, ending 20,156 19,254 Funded status $ 2,951 $ 1,446 Amounts recognized as an other asset $ 2,951 $ 1,446 Amounts recognized in accumulated other comprehensive loss Net loss $ 5,017 $ 3,987 Prior service cost (572) (634) Deferred taxes (933) (704) Total recognized in accumulated other comprehensive loss $ 3,512 $ 2,649 Weighted-average assumptions for benefit obligation at valuation date Discount rate 4.0 % 3.3 % Rate of compensation increase 3.0 3.0 Interest crediting rate 5.0 5.0
Schedule of net periodic benefit costs	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Components of net periodic benefit cost: Service cost, included in salaries and employee benefits $ 1,232 $ 1,120 $ 1,076 Other components of net periodic benefit cost: Interest cost 521 552 528 Expected return on plan assets (1,413) (1,138) (1,045) Amortization of prior service credit (62) (61) (60) Recognized net actuarial losses 125 154 157 Other components of net periodic benefit cost, included in other noninterest income (829) (493) (420) Net periodic benefit cost $ 403 $ 627 656
Schedule of weighted-average assumptions used for net periodic benefit cost	January 1, 2018 2017 2016 Weighted-average assumptions for net periodic benefit cost Discount rate 3.3 % 3.7 % 3.8 % Expected return on plan assets 7.3 7.3 7.5 Rate of compensation increase 3.0 3.0 3.0
Schedule of benefits expected to be paid by the plan in the next ten years	(Dollars in thousands) 2019 $ 3,904 2020 628 2021 811 2022 815 2023 1,454 2024 – 2028 6,587 $ 14,199
Schedule of defined benefit pension plan weighted average asset allocations by asset category	December 31, 2018 2017 Mutual funds-fixed income 42 % 39 % Mutual funds-equity 58 61 Cash and equivalents * * 100 % 100 % * Less than one percent.
Summary of fair value of defined benefit plan assets	December 31, 2018 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Mutual funds-fixed income 1 $ 8,497 $ — $ — $ 8,497 Mutual funds-equity 2 11,659 — — 11,659 Cash and equivalents 3 — — — — Total pension plan assets $ 20,156 $ — $ — $ 20,156 December 31, 2017 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Mutual funds-fixed income 1 $ 7,510 $ — $ — $ 7,510 Mutual funds-equity 2 11,744 — — 11,744 Cash and equivalents 3 — — — — Total pension plan assets $ 19,254 $ — $ — $ 19,254 1 This category includes investments in mutual funds focused on fixed income securities with both short-term and long-term investments. The funds are valued using the net asset value method in which an average of the market prices for the underlying investments is used to value the funds. 2 This category includes investments in mutual funds focused on equity securities with a diversified portfolio and includes investments in large cap and small cap funds, growth funds, international focused funds and value funds. The funds are valued using the net asset value method in which an average of the market prices for the underlying investments is used to value the funds. 3 This category comprises cash and short-term cash equivalent funds. The funds are valued at cost which approximates fair value.

Share-Based Plans (Tables)

Share-Based Plans (Tables)	12 Months Ended
	Dec. 31, 2018
Share-Based Plans
Schedule of stock option transactions	2017 2016 Weighted- Weighted- Average Average Exercise Exercise (Dollars in thousands, except for per share amounts) Shares Price Shares Price Outstanding at beginning of year 2,250 $ 37.17 24,000 $ 38.39 Granted — — — — Exercised (2,250) 37.17 (9,750) 37.17 Cancelled — — (12,000) 39.60 Outstanding and exercisable at end of year — — 2,250 37.17
Summary of activity for restricted stock awards	2018 2017 2016 Weighted- Weighted- Weighted- Average Average Average Grant Date Grant Date Grant Date Shares Fair Value Shares Fair Value Shares Fair Value Nonvested at beginning of year 137,880 $ 43.52 141,755 $ 39.77 137,200 $ 36.50 Granted 30,185 52.82 29,625 52.73 32,630 43.48 Vested (26,450) 42.41 (31,810) 35.42 (26,000) 27.30 Cancelled (2,160) 42.54 (1,690) 43.16 (2,075) 38.59 Nonvested at end of year 139,455 45.75 137,880 43.52 141,755 39.77

Regulatory Requirements and R_2

Regulatory Requirements and Restrictions (Tables)	12 Months Ended
	Dec. 31, 2018
Regulatory Requirements and Restrictions
Schedule of regulatory requirements and restrictions	Minimum To Be Well Capitalized Under Prompt Minimum Capital Corrective Action Actual Requirements Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2018: Total Capital (to Risk-Weighted Assets) Corporation $ 183,781 15.3 % $ 96,274 8.0 % N/A N/A C&F Bank 181,685 15.1 96,088 8.0 $ 120,110 10.0 % Tier 1 Capital (to Risk-Weighted Assets) Corporation 168,504 14.0 72,205 6.0 N/A N/A C&F Bank 166,437 13.9 72,066 6.0 96,088 8.0 Common Equity Tier 1 Capital (to Risk-Weighted Assets) Corporation 143,590 11.9 54,154 4.5 N/A N/A C&F Bank 166,437 13.9 54,050 4.5 78,072 6.5 Tier 1 Capital (to Average Assets) Corporation 168,504 11.3 59,759 4.0 N/A N/A C&F Bank 166,437 11.2 59,666 4.0 74,582 5.0 As of December 31, 2017: Total Capital (to Risk-Weighted Assets) Corporation $ 170,376 14.4 % $ 94,383 8.0 % N/A N/A C&F Bank 167,657 14.2 94,163 8.0 $ 117,704 10.0 % Tier 1 Capital (to Risk-Weighted Assets) Corporation 155,370 13.2 70,787 6.0 N/A N/A C&F Bank 152,684 13.0 70,622 6.0 94,163 8.0 Common Equity Tier 1 Capital (to Risk-Weighted Assets) Corporation 130,445 11.1 53,091 4.5 N/A N/A C&F Bank 152,684 13.0 52,967 4.5 76,507 6.5 Tier 1 Capital (to Average Tangible Assets) Corporation 155,370 10.5 59,083 4.0 N/A N/A C&F Bank 152,684 10.4 58,934 4.0 73,667 5.0

Commitments and Contingent Li_2

Commitments and Contingent Liabilities (Tables)	12 Months Ended
	Dec. 31, 2018
Commitments and Contingent Liabilities
Schedule of allowance for indemnifications losses	Year Ended December 31, (Dollars in thousands) 2018 2017 Allowance, beginning of period $ 2,489 $ 2,303 Provision for indemnification losses 52 186 Payments — — Allowance, end of period $ 2,541 $ 2,489
Schedule of future minimum lease payments under operating leases	(Dollars in thousands) 2019 $ 1,503 2020 1,434 2021 830 2022 327 2023 227 Thereafter 2,216 $ 6,537

Fair Value of Assets and Liab_2

Fair Value of Assets and Liabilities (Tables)	12 Months Ended
	Dec. 31, 2018
Fair Value of Assets and Liabilities
Schedule of financial assets and liabilities measured at fair value on a recurring basis	December 31, 2018 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 $ — $ 17,473 $ — $ 17,473 Mortgage-backed securities — 104,983 — 104,983 Obligations of states and political subdivisions — 92,454 — 92,454 Total securities available for sale — 214,910 — 214,910 Loans held for sale — 41,895 — 41,895 Derivative asset - IRLC — 636 — 636 Derivative asset - interest rate swaps on loans — 1,607 — 1,607 Derivative asset - cash flow hedges — 289 — 289 Total assets $ — $ 259,337 $ — $ 259,337 Liabilities: Derivative liability - interest rate swaps on loans — 1,607 — 1,607 Total liabilities $ — $ 1,607 $ — $ 1,607 December 31, 2017 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 $ — $ 16,173 $ — $ 16,173 Mortgage-backed securities — 97,058 — 97,058 Obligations of states and political subdivisions — 105,745 — 105,745 Total securities available for sale — 218,976 — 218,976 Loans held for sale — 55,384 — 55,384 Derivative asset - IRLC — 528 — 528 Derivative asset - interest rate swaps on loans — 1,261 — 1,261 Derivative asset - cash flow hedges — 166 — 166 Total assets $ — $ 276,315 $ — $ 276,315 Liabilities: Derivative liability - interest rate swaps on loans — 1,261 — 1,261 Total liabilities $ — $ 1,261 $ — $ 1,261
Schedule of financial assets measured at fair value on a nonrecurring basis	December 31, 2018 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 — — 246 246 Total $ — $ — $ 348 $ 348 December 31, 2017 Fair Value Measurements Using Assets at Fair (Dollars in thousands) Level 1 Level 2 Level 3 Value Impaired loans, net $ — $ — $ 3,438 $ 3,438 Other real estate owned, net — — 168 168 Total $ — $ — $ 3,606 $ 3,606
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 December 31, 2018 (Dollars in thousands) Fair Value Valuation Technique(s) Unobservable Inputs Range of Inputs Impaired loans, net $ 102 Appraisals Discount to reflect current market conditions and estimated selling costs 30% Other real estate owned, net 246 Appraisals Discount to reflect current market conditions and estimated selling costs 33%-47% Total $ 348
Schedule of carrying amounts and estimated fair values of financial instruments	Carrying Fair Value Measurements at December 31, 2018 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 115,013 $ 115,013 $ — $ — $ 115,013 Securities available for sale 214,910 — 214,910 — 214,910 Loans, net 1,028,097 — — 1,021,145 1,021,145 Loans held for sale 41,895 — 41,895 — 41,895 Derivative asset - IRLC 636 — 636 — 636 Derivative asset - interest rate swaps on loans 1,607 — 1,607 — 1,607 Derivative asset - cash flow hedges 289 — 289 — 289 Bank-owned life insurance 16,065 — 16,065 — 16,065 Accrued interest receivable 7,436 7,436 — — 7,436 Financial liabilities: Demand deposits $ 835,101 $ 835,101 $ — $ — $ 835,101 Time deposits 346,560 — 343,507 — 343,507 Borrowings 159,691 — 152,015 — 152,015 Derivative liability - interest rate swaps on loans 1,607 — 1,607 — 1,607 Accrued interest payable 920 920 — — 920 Carrying Fair Value Measurements at December 31, 2017 Using Total Fair (Dollars in thousands) Value Level 1 Level 2 Level 3 Value Financial assets: Cash and short-term investments $ 119,423 $ 119,423 $ — $ — $ 119,423 Securities available for sale 218,976 — 218,976 — 218,976 Loans, net 992,062 — — 983,620 983,620 Loans held for sale 55,384 — 55,384 — 55,384 Derivative asset - IRLC 528 — 528 — 528 Derivative asset - interest rate swaps on loans 1,261 — 1,261 — 1,261 Derivative asset - cash flow hedges 166 — 166 — 166 Bank-owned life insurance 15,589 — 15,589 — 15,589 Accrued interest receivable 7,589 7,589 — — 7,589 Financial liabilities: Demand deposits $ 823,476 $ 823,476 $ — $ — $ 823,476 Time deposits 347,953 — 350,681 — 350,681 Borrowings 167,860 — 159,670 — 159,670 Derivative liability - interest rate swaps on loans 1,261 — 1,261 — 1,261 Accrued interest payable 838 838 — — 838

Business Segments (Tables)

Business Segments (Tables)	12 Months Ended
	Dec. 31, 2018
Business Segments
Schedule of segment reporting information, by segment	Year Ended December 31, 2018 Retail Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 55,019 $ 2,018 $ 42,789 $ 6 $ (7,284) $ 92,548 Gains on sales of loans — 7,841 — — — 7,841 Other noninterest income 11,029 4,015 738 2,135 — 17,917 Total operating income 66,048 13,874 43,527 2,141 (7,284) 118,306 Expenses: Provision for loan losses 100 — 10,906 — — 11,006 Interest expense 6,842 904 9,413 1,152 (7,284) 11,027 Salaries and employee benefits 26,355 5,007 8,500 2,141 — 42,003 Other noninterest expenses 20,160 5,363 5,556 650 — 31,729 Total operating expenses 53,457 11,274 34,375 3,943 (7,284) 95,765 Income (loss) before income taxes 12,591 2,600 9,152 (1,802) — 22,541 Income tax expense (benefit) 1,958 697 2,460 (594) — 4,521 Net income (loss) $ 10,633 $ 1,903 $ 6,692 $ (1,208) $ — $ 18,020 Total assets $ 1,357,788 $ 56,101 $ 297,552 $ 5,055 $ (195,085) $ 1,521,411 Goodwill $ 3,702 $ — $ 10,723 $ — $ — $ 14,425 Capital expenditures $ 3,178 $ 133 $ 59 $ 4 $ — $ 3,374 Year Ended December 31, 2017 Retail Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 49,564 $ 1,660 $ 44,745 $ 1 $ (6,377) $ 89,593 Gains on sales of loans — 8,553 — — — 8,553 Other noninterest income 11,126 4,653 995 1,905 — 18,679 Total operating income 60,690 14,866 45,740 1,906 (6,377) 116,825 Expenses: Provision for loan losses 200 — 16,235 — — 16,435 Interest expense 6,076 587 8,164 1,151 (6,377) 9,601 Salaries and employee benefits 25,757 6,503 9,389 1,948 — 43,597 Other noninterest expenses 17,951 5,185 5,421 669 — 29,226 Total operating expenses 49,984 12,275 39,209 3,768 (6,377) 98,859 Income (loss) before income taxes 10,706 2,591 6,531 (1,862) — 17,966 Income tax expense (benefit) 5,727 1,606 4,198 (137) — 11,394 Net income (loss) $ 4,979 $ 985 $ 2,333 $ (1,725) $ — $ 6,572 Total assets $ 1,341,879 $ 69,537 $ 292,438 $ (604) $ (194,194) $ 1,509,056 Goodwill $ 3,702 $ — $ 10,723 $ — $ — $ 14,425 Capital expenditures $ 3,524 $ 410 $ 232 $ 14 $ — $ 4,180 Year Ended December 31, 2016 Retail Mortgage Consumer (Dollars in thousands) Banking Banking Finance Other Eliminations Consolidated Revenues: Interest income $ 46,071 $ 1,689 $ 47,150 $ 2 $ (5,473) $ 89,439 Gains on sales of loans — 8,120 — — — 8,120 Other noninterest income 11,820 3,913 921 1,273 — 17,927 Total operating income 57,891 13,722 48,071 1,275 (5,473) 115,486 Expenses: Provision for loan losses — — 18,040 — — 18,040 Interest expense 5,790 435 7,073 1,143 (5,473) 8,968 Salaries and employee benefits 25,033 5,664 10,102 1,546 — 42,345 Other noninterest expenses 17,433 4,815 5,437 530 — 28,215 Total operating expenses 48,256 10,914 40,652 3,219 (5,473) 97,568 Income (loss) before income taxes 9,635 2,808 7,419 (1,944) — 17,918 Income tax expense (benefit) 1,425 1,121 2,882 (969) — 4,459 Net income (loss) $ 8,210 $ 1,687 $ 4,537 $ (975) $ — $ 13,459 Total assets $ 1,290,733 $ 65,351 $ 306,012 $ 6,005 $ (216,109) $ 1,451,992 Goodwill $ 3,702 $ — $ 10,723 $ — $ — $ 14,425 Capital expenditures $ 1,992 $ 314 $ 360 $ 42 $ — $ 2,708

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2018
Derivative Financial Instruments
Schedule of derivative instruments	December 31, 2018 Notional Collateral (Dollars in thousands) Amount Positions Assets Liabilities Pledged 1 Cash flow hedges: Interest rate swaps: Variable-rate to fixed-rate swaps with counterparty $ 25,000 3 $ 289 $ — $ — Not designated as hedges: Customer-related interest rate contracts: Matched interest rate swaps with borrower 45,961 8 216 1,391 — Matched interest rate swaps with counterparty 45,961 8 1,391 216 — Other contracts: IRLCs 84,906 357 636 — — December 31, 2017 Notional Collateral (Dollars in thousands) Amount Positions Assets Liabilities Pledged 1 Cash flow hedges: Interest rate swaps: Variable-rate to fixed-rate swaps with counterparty $ 25,000 3 $ 166 $ — $ — Not designated as hedges: Customer-related interest rate contracts: Matched interest rate swaps with borrower 41,295 6 284 977 — Matched interest rate swaps with counterparty 41,295 6 977 284 — Other contracts: IRLCs 99,140 440 528 — — 1 Collateral pledged may be comprised of cash or securities.

Parent Company Condensed Fina_2

Parent Company Condensed Financial Information (Tables) - C&F Financial Corporation	12 Months Ended
	Dec. 31, 2018
Condensed Balance Sheets	December 31, (Dollars in thousands) 2018 2017 Condensed Balance Sheets Assets Cash $ 316 $ 407 Other assets 3,677 3,147 Investment in C&F Bank 174,244 163,892 Total assets $ 178,237 $ 167,446 Liabilities and shareholders’ equity Trust preferred capital notes $ 25,245 $ 25,210 Other liabilities 1,034 534 Shareholders’ equity 151,958 141,702 Total liabilities and shareholders’ equity $ 178,237 $ 167,446
Condensed Statements of Comprehensive Income	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Condensed Statements of Comprehensive Income Interest expense on borrowings $ (1,152) $ (1,151) $ (1,143) Dividends received from C&F Bank 6,312 5,008 4,464 Equity in undistributed net income of C&F Bank 13,228 3,482 10,618 Other income 45 31 26 Other expenses (413) (798) (506) Net income 18,020 6,572 13,459 Other comprehensive loss, net of tax (2,785) (569) (2,155) Comprehensive income $ 15,235 $ 6,003 $ 11,304
Condensed Statements of Cash Flows	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Condensed Statements of Cash Flows Net cash provided by operating activities $ 5,801 $ 4,202 $ 3,796 Financing activities: Net proceeds from issuance of common stock 144 147 149 Common stock repurchases (1,105) — — Cash dividends (4,931) (4,637) (4,464) Proceeds from exercise of stock options — 84 362 Net cash used in financing activities (5,892) (4,406) (3,953) Net decrease in cash and cash equivalents (91) (204) (157) Cash at beginning of year 407 611 768 Cash at end of year $ 316 $ 407 $ 611

Other Noninterest Expenses (Tab

Other Noninterest Expenses (Tables)	12 Months Ended
	Dec. 31, 2018
Other Noninterest Expenses
Schedule of other noninterest expense	Year Ended December 31, (Dollars in thousands) 2018 2017 2016 Data processing service and maintenance contracts $ 7,452 $ 6,687 $ 6,323 Professional fees 3,044 2,416 2,323 Marketing and advertising expenses 1,601 1,522 1,633 Telecommunication expenses 1,331 1,300 1,264 Travel and educational expenses 1,231 1,077 1,101 All other noninterest expenses 8,762 8,494 8,343 Total other noninterest expenses $ 23,421 $ 21,496 $ 20,987

Quarterly Condensed Statement_2

Quarterly Condensed Statements of Income-Unaudited (Tables)	12 Months Ended
	Dec. 31, 2018
Quarterly Condensed Statements of Income-Unaudited
Schedule of Quarterly Condensed Statements of Income - Unaudited	2018 Quarter Ended Dollars in thousands (except per share amounts) March 31 June 30 September 30 December 31 Total interest income $ 22,744 $ 22,651 $ 23,691 $ 23,462 Net interest income after provision for loan losses 16,868 17,987 18,488 17,172 Other income 6,446 7,241 6,627 5,444 Other expenses 18,539 18,761 18,674 17,758 Income before income taxes 4,775 6,467 6,441 4,858 Net income 3,892 5,070 5,101 3,957 Net income per share—assuming dilution 1.11 1.45 1.46 1.13 Dividends declared per share 0.34 0.34 0.36 0.37 2017 Quarter Ended Dollars in thousands (except per share amounts) March 31 June 30 September 30 December 31 Total interest income $ 22,021 $ 22,423 $ 22,703 $ 22,446 Net interest income after provision for loan losses 15,351 16,978 15,777 15,451 Other income 6,270 7,412 6,842 6,708 Other expenses 17,969 18,403 18,371 18,080 Income before income taxes 3,652 5,987 4,248 4,079 Net income (loss) 2,731 4,139 3,017 (3,315) Net income (loss) per share—assuming dilution 0.78 1.19 0.87 (0.95) Dividends declared per share 0.33 0.33 0.33 0.34

Summary of Significant Accoun_2

Summary of Significant Accounting Policies - Nature of Operations and Significant Group Concentration of Credit Risk (Details)	12 Months Ended
	Dec. 31, 2018subsidiary
Individual State Concentration Risk | Investment concentration risk | Obligations of states and political subdivisions
Concentration risk
Concentration Risk, Percentage	13.70%
Individual State Concentration Risk | Investment concentration risk | Obligations of states and political subdivisions | Minimum
Concentration risk
Concentration risk, threshold percentage	10.00%
Individual Issuer Concentration Risk | Loan Portfolio Concentration Risk | Obligations of states and political subdivisions
Concentration risk
Concentration Risk, Percentage	3.60%
Category of loan concentration risk | Loan Portfolio Concentration Risk | Commercial, financial and agricultural
Concentration risk
Concentration Risk, Percentage	42.90%
Category of loan concentration risk | Loan Portfolio Concentration Risk | Non-prime consumer finance loans
Concentration risk
Concentration Risk, Percentage	26.80%
C&F Bank
Concentration risk
Number of wholly owned subsidiaries	5

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Cash and Cash Equivalents (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Cash and cash equivalents
Collateral required in connection with interest rate swaps	$ 0	$ 0
C&F Bank
Cash and cash equivalents
Minimum cash requirement	$ 1,070	$ 783

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Originated Loans and Allowance for Loan Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Originated Loans and Allowance for Loan Losses
Non-accrual Status Collection Days Past Due	90 days
Loans classified as TDRs	$ 5,450	$ 10,900
Performing | Maximum
Originated Loans and Allowance for Loan Losses
Threshold for classification as performing loans	90 days
Nonperforming | Minimum
Originated Loans and Allowance for Loan Losses
Threshold for classification as performing loans	90 days

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Repossessed Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Delinquent threshold for repossession process to initiate	60 days
Other assets
Repossessed vehicles	$ 371	$ 250

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Corporate Premises and Equipment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Premises and equipment
Depreciation	$ 3,220	$ 2,770	$ 2,670
Building | Minimum
Premises and equipment
Property, Plant and Equipment, Useful Life	10 years
Building | Maximum
Premises and equipment
Property, Plant and Equipment, Useful Life	40 years
Equipment, Furniture and Fixtures | Minimum
Premises and equipment
Property, Plant and Equipment, Useful Life	3 years
Equipment, Furniture and Fixtures | Maximum
Premises and equipment
Property, Plant and Equipment, Useful Life	10 years

Summary of Significant Accoun_7

Summary of Significant Accounting Policies - Goodwill and Other Intangibles (Details) $ in Millions	3 Months Ended
	Dec. 31, 2017USD ($)
Business Consideration	$ 91.4
Maximum
Usefule life	9 years
Minimum
Usefule life	5 years
Customer Relationships
Other intangibles	$ 1.4

Summary of Significant Accoun_8

Summary of Significant Accounting Policies - Core Deposit Intangible (Details)	12 Months Ended
	Dec. 31, 2018
Core Deposit Intangible
Core deposit intangible asset
Weighted average life	6 years

Summary of Significant Accoun_9

Summary of Significant Accounting Policies - Recent Significant Accounting Pronouncements (Details) $ in Millions	Jan. 01, 2019USD ($)
ASU 2016-02 | Forecast adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Lease liability	$ 3

Adoption of New Accounting St_2

Adoption of New Accounting Standards (Details) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Jan. 01, 2018
Adoption of New Accounting Standards
Cumulative effect	$ 140,520,000	$ 127,431,000
Salaries and employee benefits	(42,003,000)	(43,597,000)	$ (42,345,000)
Noninterest income - Other	$ 2,880,000	3,888,000	3,895,000
ASU 2014-09 | Adjustment
Adoption of New Accounting Standards
Cumulative effect				$ 0
ASU 2017-07 | Adjustment
Adoption of New Accounting Standards
Salaries and employee benefits		493,000	420,000
Noninterest income - Other		$ 493,000	$ 420,000

Securities - Available for sale

Securities - Available for sale Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Available for sale debt and equity securities
Amortized Cost	$ 216,650	$ 218,168
Gross Unrealized Gains	926	2,164
Gross Unrealized Losses	(2,666)	(1,356)
Fair Value	214,910	218,976
U.S. government agencies and corporations
Available for sale debt and equity securities
Amortized Cost	18,008	16,514
Gross Unrealized Gains	1
Gross Unrealized Losses	(536)	(341)
Fair Value	17,473	16,173
Mortgage-backed securities
Available for sale debt and equity securities
Amortized Cost	106,787	97,677
Gross Unrealized Gains	85	142
Gross Unrealized Losses	(1,889)	(761)
Fair Value	104,983	97,058
Obligations of states and political subdivisions
Available for sale debt and equity securities
Amortized Cost	91,855	103,977
Gross Unrealized Gains	840	2,022
Gross Unrealized Losses	(241)	(254)
Fair Value	$ 92,454	$ 105,745

Securities - Contractual Maturi

Securities - Contractual Maturities and Gross Realized Gains and Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Amortized Cost
Due in one year or less	$ 48,902
Due after one year through five years	149,981
Due after five years through ten years	14,338
Due after ten years	3,429
Amortized Cost	216,650	$ 218,168
Fair Value
Due in one year or less	48,832
Due after one year through five years	148,258
Due after five years through ten years	14,313
Due after ten years	3,507
Fair Value	214,910	218,976
Proceeds from sales, maturities and calls of securities and related gains and losses
Gross realized gains			$ 61
Gross realized losses			(26)
Net realized gains			35
Proceeds from sales of securities			917
Gross realized gains	10	10	17
Net realized gains	10	10	17
Proceeds from maturities, calls and paydowns of securities	$ 51,067	$ 41,520	$ 56,438

Securities - Pledged as Collate

Securities - Pledged as Collateral (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Securities pledged
Amortized Cost	$ 216,650	$ 218,168
Fair Value	214,910	218,976
Securities Pledged as Collateral
Securities pledged
Amortized Cost	110,810	118,700
Fair Value	$ 109,830	$ 119,260

Securities - Unrealized Loss Po

Securities - Unrealized Loss Positions (Details)	12 Months Ended
	Dec. 31, 2018USD ($)security	Dec. 31, 2017USD ($)
Fair value
Less Than 12 Months, Fair Value	$ 28,423,000	$ 78,732,000
12 Months or More, Fair Value	109,110,000	45,109,000
Total Fair Value	137,533,000	123,841,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	162,000	489,000
12 Months or More, Unrealized Loss	2,504,000	867,000
Total Unrealized Loss	$ 2,666,000	1,356,000
Other information
Number of positions considered temporarily impaired | security	237
Other than temporary impairment loss	$ 0
U.S. government agencies and corporations
Fair value
Less Than 12 Months, Fair Value	997,000	2,972,000
12 Months or More, Fair Value	15,725,000	13,201,000
Total Fair Value	16,722,000	16,173,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	1,000	31,000
12 Months or More, Unrealized Loss	535,000	310,000
Total Unrealized Loss	536,000	341,000
Mortgage-backed securities
Fair value
Less Than 12 Months, Fair Value	17,934,000	57,116,000
12 Months or More, Fair Value	72,830,000	22,545,000
Total Fair Value	90,764,000	79,661,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	132,000	341,000
12 Months or More, Unrealized Loss	1,757,000	420,000
Total Unrealized Loss	1,889,000	761,000
Obligations of states and political subdivisions
Fair value
Less Than 12 Months, Fair Value	9,492,000	18,644,000
12 Months or More, Fair Value	20,555,000	9,363,000
Total Fair Value	30,047,000	28,007,000
Unrealized Loss
Less Than 12 Months, Unrealized Loss	29,000	117,000
12 Months or More, Unrealized Loss	212,000	137,000
Total Unrealized Loss	$ 241,000	$ 254,000
Standard & Poor's, A Rating | U.S. government agencies and corporations
Other information
Percentage of portfolio with rating	97.00%
Not A Rating Or Better | U.S. government agencies and corporations
Other information
Percentage of portfolio with rating in an unrealized loss positions	3.00%

Securities - Restricted Stocks

Securities - Restricted Stocks (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Securities
Investment in restricted stocks	$ 3,247	$ 3,298
Restricted stocks, other-than-temporary impairment	$ 0

Loans - Major Classifications o

Loans - Major Classifications of Loans (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017
Loans
Loans		$ 1,062,120	$ 1,027,788
Less allowance for loan losses		(34,023)	(35,726)
Loans, net		1,028,097	992,062
Real estate - residential mortgage
Loans
Loans		184,901	184,863
Real estate - construction
Loans
Loans	[1]	54,461	44,782
Commercial, financial and agricultural
Loans
Loans	[2],[3]	455,935	437,884
Equity lines
Loans
Loans		55,660	55,237
Consumer Loan
Loans
Loans		15,009	13,018
Amount included related to demand deposit overdrafts		275	290
Consumer Finance
Loans
Loans		$ 296,154	$ 292,004
[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.
[3]	Includes the Corporation’s real estate construction lending and consumer real estate lot lending.Includes the Corporation’s commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending.

Loans - Loans Acquired (Details

Loans - Loans Acquired (Details) - CVBK - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Loans
Outstanding principal balance	$ 48,502	$ 57,939
Carrying amount
Acquired Loans	38,709	45,896
Real estate - residential mortgage
Carrying amount
Acquired Loans	9,107	11,347
Commercial, financial and agricultural
Carrying amount
Acquired Loans	20,443	24,777
Equity lines
Carrying amount
Acquired Loans	9,153	9,760
Consumer Loan
Carrying amount
Acquired Loans	6	12
PCI Loans
Loans
Outstanding principal balance	9,734	12,856
Carrying amount
Acquired Loans	1,835	3,103
PCI Loans | Real estate - residential mortgage
Carrying amount
Acquired Loans	284	492
PCI Loans | Commercial, financial and agricultural
Carrying amount
Acquired Loans	1,461	2,472
PCI Loans | Equity lines
Carrying amount
Acquired Loans	90	139
Purchased Performing Loans
Loans
Outstanding principal balance	38,768	45,083
Carrying amount
Acquired Loans	36,874	42,793
Purchased Performing Loans | Real estate - residential mortgage
Carrying amount
Acquired Loans	8,823	10,855
Purchased Performing Loans | Commercial, financial and agricultural
Carrying amount
Acquired Loans	18,982	22,305
Purchased Performing Loans | Equity lines
Carrying amount
Acquired Loans	9,063	9,621
Purchased Performing Loans | Consumer Loan
Carrying amount
Acquired Loans	$ 6	$ 12

Loans - Change in Accretable Yi

Loans - Change in Accretable Yield (Details) - CVBK - PCI Loans - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Change in the accretable yield
Accretable yield	$ 7,304	$ 8,636
Accretion	(3,737)	(2,657)
Reclassification of nonaccreatable difference due to improvement in expected cash flows	2,191	1,641
Other changes, net	229	(316)
Accretable yield	$ 5,987	$ 7,304

Loans - Loans on Nonaccrual Sta

Loans - Loans on Nonaccrual Status (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Loans on nonaccrual status
Loans on nonaccrual status	$ 2,213	$ 6,075
Increase in interest income if recognized on nonaccrual loans	325	462	$ 304
Real estate - residential mortgage
Loans on nonaccrual status
Loans on nonaccrual status	594	830
Commercial, financial and agricultural | Commercial real estate lending
Loans on nonaccrual status
Loans on nonaccrual status		3,796
Commercial, financial and agricultural | Commercial business lending
Loans on nonaccrual status
Loans on nonaccrual status	24	34
Equity lines
Loans on nonaccrual status
Loans on nonaccrual status	883	651
Consumer Finance
Loans on nonaccrual status
Loans on nonaccrual status	$ 712	$ 764

Loans - Past Due Status (Detail

Loans - Past Due Status (Details) - USD ($) $ in Thousands	Dec. 31, 2018		Dec. 31, 2017
Loans on nonaccrual status
Total Past Due	$ 16,861		$ 22,759
PCI	1,835		3,103
Current	1,043,424	[1]	1,001,926
Total Loans	1,062,120		1,027,788
90+ days past due and accruing	324		306
Additional disclosure for nonaccrual loans
Current, nonaccrual status	458		890
Nonaccrual loans, 30-59 days past due	97		458
Nonaccrual loans, 60-89 days past due	560		14
Nonaccrual loans, 90+ days past due	1,100		4,710
30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	12,880		15,663
60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	2,568		2,075
90+ Days Past Due
Loans on nonaccrual status
Total Past Due	1,413		5,021
Real estate - residential mortgage
Loans on nonaccrual status
Total Past Due	1,258		2,164
PCI	284		492
Current	183,359	[1]	182,207
Total Loans	184,901		184,863
90+ days past due and accruing	9		90
Real estate - residential mortgage | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	1,221		1,905
Real estate - residential mortgage | 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due			14
Real estate - residential mortgage | 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	37		245
Equity lines
Loans on nonaccrual status
Total Past Due	955		686
PCI	90		139
Current	54,615	[1]	54,412
Total Loans	55,660		55,237
90+ days past due and accruing			136
Equity lines | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	46		550
Equity lines | 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	584
Equity lines | 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	325		136
Consumer Loan
Loans on nonaccrual status
Total Past Due	31		9
Current	14,978	[1]	13,009
Total Loans	15,009		13,018
Consumer Loan | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	31		9
Consumer Finance
Loans on nonaccrual status
Total Past Due	14,096		15,098
Current	282,058	[1]	276,906
Total Loans	296,154		292,004
Consumer Finance | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	11,419		12,273
Consumer Finance | 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	1,965		2,061
Consumer Finance | 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	712		764
Construction Lending | Real estate - construction
Loans on nonaccrual status
Current	42,051	[1]	41,449
Total Loans	42,051		41,449
Consumer lot lending | Real estate - construction
Loans on nonaccrual status
Current	12,410	[1]	3,333
Total Loans	12,410		3,333
Commercial real estate lending | Commercial, financial and agricultural
Loans on nonaccrual status
Total Past Due	315		4,115
PCI	1,461		2,472
Current	309,057	[1]	297,903
Total Loans	310,833		304,490
90+ days past due and accruing	315		78
Commercial real estate lending | Commercial, financial and agricultural | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due			241
Commercial real estate lending | Commercial, financial and agricultural | 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	315		3,874
Land acquisition and development lending | Commercial, financial and agricultural
Loans on nonaccrual status
Current	43,404	[1]	39,844
Total Loans	43,404		39,844
Builder line lending | Commercial, financial and agricultural
Loans on nonaccrual status
Total Past Due			685
Current	31,201	[1]	28,911
Total Loans	31,201		29,596
Builder line lending | Commercial, financial and agricultural | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due			685
Commercial business lending | Commercial, financial and agricultural
Loans on nonaccrual status
Total Past Due	206		2
Current	70,291	[1]	63,952
Total Loans	70,497		63,954
90+ days past due and accruing			2
Commercial business lending | Commercial, financial and agricultural | 30-59 Days Past Due
Loans on nonaccrual status
Total Past Due	163
Commercial business lending | Commercial, financial and agricultural | 60-89 Days Past Due
Loans on nonaccrual status
Total Past Due	19
Commercial business lending | Commercial, financial and agricultural | 90+ Days Past Due
Loans on nonaccrual status
Total Past Due	24		2
PCI Loans | CVBK | PCI
Loans on nonaccrual status
PCI	$ 1,835		$ 3,103
[1]	For the purposes of the table above, “Current” includes loans that are 1-29 days past due.

Loans - Troubled Debt Restructu

Loans - Troubled Debt Restructurings (Details) Unit12 in Thousands	12 Months Ended			24 Months Ended
	Dec. 31, 2018USD ($)loanitem	Dec. 31, 2017USD ($)loanitem	Dec. 31, 2016USD ($)item	Dec. 31, 2018
Loan modifications classified as troubled debt restructurings
Number of Loans	2		11
Pre-Modification Recorded Investment (in Dollars)	$ 145,000	$ 7,165
Post-Modification Recorded Investment (in Dollars)			$ 1,779,000
TDR payment default period				12 months
Period determining when a past due TDR becomes a subsequent default				90 days
TDR payment defaults	$ 0	$ 4,650,000
Interest rate concession
Loan modifications classified as troubled debt restructurings
Number of Loans | item	1	9	10
Term concession
Loan modifications classified as troubled debt restructurings
Number of Loans | item	1	3	1
Real estate - residential mortgage | Interest rate concession
Loan modifications classified as troubled debt restructurings
Number of Loans	1	2	5
Pre-Modification Recorded Investment (in Dollars)	$ 140,000	$ 365
Post-Modification Recorded Investment (in Dollars)			$ 1,136,000
Commercial, financial and agricultural | Commercial real estate lending | Interest rate concession
Loan modifications classified as troubled debt restructurings
Number of Loans			2
Post-Modification Recorded Investment (in Dollars)			$ 125,000
Commercial, financial and agricultural | Commercial real estate lending | Interest rate and term concession
Loan modifications classified as troubled debt restructurings
Number of Loans		7	3
Pre-Modification Recorded Investment (in Dollars)		$ 6,800
Post-Modification Recorded Investment (in Dollars)			$ 227,000
TDR payment defaults		$ 3
Consumer Loan | Interest rate concession
Loan modifications classified as troubled debt restructurings
Number of Loans	1		1
Pre-Modification Recorded Investment (in Dollars)	$ 5,000
Post-Modification Recorded Investment (in Dollars)			$ 291,000

Loans - Impaired Loans (Details

Loans - Impaired Loans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Impaired loans
Impaired loans, troubled debt restructurings	$ 5,450
Impaired loans, Unpaid Principal Balance	5,928	$ 11,120
Impaired loans, Recorded Investment in Loans without Specific Reserve	2,842	4,832
Impaired loans, Recorded Investment in Loans with Specific Reserve	2,935	6,064
Impaired loans, Related Allowance	428	829
Impaired loans, Average Balance	6,099	11,959
Impaired loans, Interest Income Recognized	276	367
Real estate - residential mortgage
Impaired loans
Impaired loans, Unpaid Principal Balance	3,057	3,745
Impaired loans, Recorded Investment in Loans without Specific Reserve	1,288	1,603
Impaired loans, Recorded Investment in Loans with Specific Reserve	1,677	2,033
Impaired loans, Related Allowance	92	214
Impaired loans, Average Balance	3,056	3,743
Impaired loans, Interest Income Recognized	142	184
Commercial, financial and agricultural | Commercial real estate lending
Impaired loans
Impaired loans, Unpaid Principal Balance	2,468	6,981
Impaired loans, Recorded Investment in Loans without Specific Reserve	1,498	2,841
Impaired loans, Recorded Investment in Loans with Specific Reserve	927	4,031
Impaired loans, Related Allowance	10	615
Impaired loans, Average Balance	2,653	7,818
Impaired loans, Interest Income Recognized	132	168
Commercial, financial and agricultural | Commercial business lending
Impaired loans
Impaired loans, Unpaid Principal Balance	33	41
Impaired loans, Recorded Investment in Loans without Specific Reserve	25	35
Impaired loans, Average Balance	26	45
Equity lines
Impaired loans
Impaired loans, Unpaid Principal Balance	365	32
Impaired loans, Recorded Investment in Loans without Specific Reserve	31	31
Impaired loans, Recorded Investment in Loans with Specific Reserve	326
Impaired loans, Related Allowance	326
Impaired loans, Average Balance	359	32
Impaired loans, Interest Income Recognized	2	2
Consumer Loan
Impaired loans
Impaired loans, Unpaid Principal Balance	5	321
Impaired loans, Recorded Investment in Loans without Specific Reserve		322
Impaired loans, Recorded Investment in Loans with Specific Reserve	5
Impaired loans, Average Balance	$ 5	321
Impaired loans, Interest Income Recognized		$ 13

Allowance for Loan Losses - Cha

Allowance for Loan Losses - Change in Allowance for Loan Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Changes in the allowance for loan losses
Balance at the beginning of period	$ 35,726	$ 37,066	$ 35,569
Provision charged to operations	11,006	16,435	18,040
Loans charged off	(17,272)	(22,396)	(21,170)
Recoveries of loans previously charged off	4,563	4,621	4,627
Total allowance	34,023	35,726	37,066
Real estate - residential mortgage
Changes in the allowance for loan losses
Balance at the beginning of period	2,371	2,559	2,471
Provision charged to operations	(140)	(127)	7
Loans charged off	(42)	(179)	(82)
Recoveries of loans previously charged off	57	118	163
Total allowance	2,246	2,371	2,559
Real estate - construction
Changes in the allowance for loan losses
Balance at the beginning of period	605	816	94
Provision charged to operations	122	(211)	722
Total allowance	727	605	816
Commercial, financial and agricultural
Changes in the allowance for loan losses
Balance at the beginning of period	7,478	7,393	7,755
Provision charged to operations	(440)	413	(481)
Loans charged off	(409)	(349)	(87)
Recoveries of loans previously charged off	59	21	206
Total allowance	6,688	7,478	7,393
Equity lines
Changes in the allowance for loan losses
Balance at the beginning of period	688	685	1,052
Provision charged to operations	418	43	(310)
Loans charged off		(42)	(57)
Recoveries of loans previously charged off		2
Total allowance	1,106	688	685
Consumer Loan
Changes in the allowance for loan losses
Balance at the beginning of period	231	261	243
Provision charged to operations	140	82	63
Loans charged off	(344)	(301)	(281)
Recoveries of loans previously charged off	230	189	236
Total allowance	257	231	261
Consumer Finance
Changes in the allowance for loan losses
Balance at the beginning of period	24,353	25,352	23,954
Provision charged to operations	10,906	16,235	18,039
Loans charged off	(16,477)	(21,525)	(20,663)
Recoveries of loans previously charged off	4,217	4,291	4,022
Total allowance	$ 22,999	$ 24,353	$ 25,352

Allowance for Loan Losses - All

Allowance for Loan Losses - Allowance and Loans by Impairment Methodology (Details) - USD ($) $ in Thousands		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Allowance balance attributable to loans:
Individually evaluated for impairment		$ 428	$ 829
Collectively evaluated for impairment		33,595	34,897
Total allowance		34,023	35,726	$ 37,066	$ 35,569
Loans:
Individually evaluated for impairment		5,777	10,896
Collectively evaluated for impairment		1,054,508	1,013,789
Acquired loans - purchase credit impaired		1,835	3,103
Total Loans		1,062,120	1,027,788
CVBK | PCI Loans | PCI
Loans:
Acquired loans - purchase credit impaired		1,835	3,103
Real estate - residential mortgage
Allowance balance attributable to loans:
Individually evaluated for impairment		92	214
Collectively evaluated for impairment		2,154	2,157
Total allowance		2,246	2,371	2,559	2,471
Loans:
Individually evaluated for impairment		2,965	3,636
Collectively evaluated for impairment		181,652	180,735
Total Loans		184,901	184,863
Real estate - residential mortgage | CVBK | PCI Loans | PCI
Loans:
Acquired loans - purchase credit impaired		284	492
Real estate - construction
Allowance balance attributable to loans:
Collectively evaluated for impairment		727	605
Total allowance		727	605	816	94
Loans:
Collectively evaluated for impairment		54,461	44,782
Total Loans	[1]	54,461	44,782
Commercial, financial and agricultural
Allowance balance attributable to loans:
Individually evaluated for impairment		10	615
Collectively evaluated for impairment		6,678	6,863
Total allowance		6,688	7,478	7,393	7,755
Loans:
Individually evaluated for impairment		2,450	6,907
Collectively evaluated for impairment		452,024	428,505
Total Loans	[2],[3]	455,935	437,884
Commercial, financial and agricultural | CVBK | PCI Loans | PCI
Loans:
Acquired loans - purchase credit impaired		1,461	2,472
Equity lines
Allowance balance attributable to loans:
Individually evaluated for impairment		326
Collectively evaluated for impairment		780	688
Total allowance		1,106	688	685	1,052
Loans:
Individually evaluated for impairment		357	31
Collectively evaluated for impairment		55,213	55,067
Total Loans		55,660	55,237
Equity lines | CVBK | PCI Loans | PCI
Loans:
Acquired loans - purchase credit impaired		90	139
Consumer Loan
Allowance balance attributable to loans:
Collectively evaluated for impairment		257	231
Total allowance		257	231	261	243
Loans:
Individually evaluated for impairment		5	322
Collectively evaluated for impairment		15,004	12,696
Total Loans		15,009	13,018
Consumer Finance
Allowance balance attributable to loans:
Collectively evaluated for impairment		22,999	24,353
Total allowance		22,999	24,353	$ 25,352	$ 23,954
Loans:
Collectively evaluated for impairment		296,154	292,004
Total Loans		$ 296,154	$ 292,004
[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.
[3]	Includes the Corporation’s real estate construction lending and consumer real estate lot lending.Includes the Corporation’s commercial real estate lending, land acquisition and development lending, builder line lending and commercial business lending.

Allowance for Loan Losses - Cre

Allowance for Loan Losses - Credit Quality Indicators (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Allowance for loan losses
Loans, excluding consumer finance	$ 765,966	$ 735,784
Pass
Allowance for loan losses
Loans, excluding consumer finance	744,812	702,198
Special Mention
Allowance for loan losses
Loans, excluding consumer finance	17,851	4,611
Substandard
Allowance for loan losses
Loans, excluding consumer finance	1,802	23,664
Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	1,501	5,311
Doubtful or Loss
Allowance for loan losses
Loans, excluding consumer finance	0	0
Real estate - residential mortgage
Allowance for loan losses
Loans, excluding consumer finance	184,901	184,863
Real estate - residential mortgage | Pass
Allowance for loan losses
Loans, excluding consumer finance	180,232	179,963
Real estate - residential mortgage | Special Mention
Allowance for loan losses
Loans, excluding consumer finance	2,832	1,235
Real estate - residential mortgage | Substandard
Allowance for loan losses
Loans, excluding consumer finance	1,243	2,835
Real estate - residential mortgage | Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	594	830
Real estate - construction | Construction Lending
Allowance for loan losses
Loans, excluding consumer finance	42,051	41,449
Real estate - construction | Construction Lending | Pass
Allowance for loan losses
Loans, excluding consumer finance	42,051	41,449
Real estate - construction | Consumer lot lending
Allowance for loan losses
Loans, excluding consumer finance	12,410	3,333
Real estate - construction | Consumer lot lending | Pass
Allowance for loan losses
Loans, excluding consumer finance	12,410	3,333
Commercial, financial and agricultural | Commercial real estate lending
Allowance for loan losses
Loans, excluding consumer finance	310,833	304,490
Commercial, financial and agricultural | Commercial real estate lending | Pass
Allowance for loan losses
Loans, excluding consumer finance	306,578	293,292
Commercial, financial and agricultural | Commercial real estate lending | Special Mention
Allowance for loan losses
Loans, excluding consumer finance	3,801	2,874
Commercial, financial and agricultural | Commercial real estate lending | Substandard
Allowance for loan losses
Loans, excluding consumer finance	454	4,528
Commercial, financial and agricultural | Commercial real estate lending | Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance		3,796
Commercial, financial and agricultural | Land acquisition and development lending
Allowance for loan losses
Loans, excluding consumer finance	43,404	39,844
Commercial, financial and agricultural | Land acquisition and development lending | Pass
Allowance for loan losses
Loans, excluding consumer finance	33,156	24,253
Commercial, financial and agricultural | Land acquisition and development lending | Special Mention
Allowance for loan losses
Loans, excluding consumer finance	10,248
Commercial, financial and agricultural | Land acquisition and development lending | Substandard
Allowance for loan losses
Loans, excluding consumer finance		15,591
Commercial, financial and agricultural | Builder line lending
Allowance for loan losses
Loans, excluding consumer finance	31,201	29,596
Commercial, financial and agricultural | Builder line lending | Pass
Allowance for loan losses
Loans, excluding consumer finance	31,201	29,596
Commercial, financial and agricultural | Commercial business lending
Allowance for loan losses
Loans, excluding consumer finance	70,497	63,954
Commercial, financial and agricultural | Commercial business lending | Pass
Allowance for loan losses
Loans, excluding consumer finance	69,897	63,749
Commercial, financial and agricultural | Commercial business lending | Special Mention
Allowance for loan losses
Loans, excluding consumer finance	576	34
Commercial, financial and agricultural | Commercial business lending | Substandard
Allowance for loan losses
Loans, excluding consumer finance		137
Commercial, financial and agricultural | Commercial business lending | Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	24	34
Equity lines
Allowance for loan losses
Loans, excluding consumer finance	55,660	55,237
Equity lines | Pass
Allowance for loan losses
Loans, excluding consumer finance	54,289	53,870
Equity lines | Special Mention
Allowance for loan losses
Loans, excluding consumer finance	389	465
Equity lines | Substandard
Allowance for loan losses
Loans, excluding consumer finance	99	251
Equity lines | Substandard Nonaccrual
Allowance for loan losses
Loans, excluding consumer finance	883	651
Consumer Loan
Allowance for loan losses
Loans, excluding consumer finance	15,009	13,018
Consumer Loan | Pass
Allowance for loan losses
Loans, excluding consumer finance	14,998	12,693
Consumer Loan | Special Mention
Allowance for loan losses
Loans, excluding consumer finance	5	3
Consumer Loan | Substandard
Allowance for loan losses
Loans, excluding consumer finance	$ 6	$ 322

Allowance for Loan Losses - Loa

Allowance for Loan Losses - Loans by Credit Quality Indicators - Performing and Non-Performing (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Allowance for loan losses
Loans	$ 1,062,120	$ 1,027,788
Consumer Finance
Allowance for loan losses
Loans	296,154	292,004
Consumer Finance | Performing
Allowance for loan losses
Loans	295,442	291,240
Consumer Finance | Nonperforming
Allowance for loan losses
Loans	$ 712	$ 764

Other Real Estate Owned - Chang

Other Real Estate Owned - Change in OREO (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Changes in the balance for OREO
Balance at the beginning of year, gross	$ 225	$ 281
Transfers between loans and other real estate owned	98	208	$ 618
Charge-offs		(29)
Sales proceeds	(18)	(245)
(Loss) gain on disposition	(2)	10	134
Balance at the end of year, gross	303	225	281
Less allowance for losses	(57)	(57)	$ (86)	$ (56)
Balance at the end of the year, net	$ 246	$ 168

Other Real Estate Owned - Cha_2

Other Real Estate Owned - Changes in the Allowance for OREO Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Change in the allowance for OREO losses
Balance at the beginning of year	$ 57	$ 86	$ 56
Provision for losses			135
Charge-offs, net		(29)	(105)
Balance at the end of year	57	57	86
OREO, expenses other than provision for losses	$ 26	$ 72	$ 22

Corporate Premises and Equipm_3

Corporate Premises and Equipment - Classifications of Corporate Premises and Equipment (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Property, Plant and Equipment
Corporate premises and equipment, Gross	$ 79,191	$ 76,412
Less accumulated depreciation	(42,091)	(39,443)
Corporate premises and equipment, net	37,100	36,969
Land
Property, Plant and Equipment
Corporate premises and equipment, Gross	8,300	8,340
Building
Property, Plant and Equipment
Corporate premises and equipment, Gross	36,390	35,586
Equipment, Furniture and Fixtures
Property, Plant and Equipment
Corporate premises and equipment, Gross	$ 34,501	$ 32,486

Time Deposits - Time Deposits (

Time Deposits - Time Deposits (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Time Deposits
Certificates of deposit, over $250	$ 72,880	$ 70,034
Other time deposits	273,680	277,919
Time Deposits, Total	$ 346,560	$ 347,953

Time Deposits - Remaining Matur

Time Deposits - Remaining Maturities on Time Deposits (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Time Deposits
2,019	$ 198,357
2,020	87,336
2,021	23,249
2,022	17,591
2,023	10,353
Thereafter	9,674
Time Deposits, Total	$ 346,560	$ 347,953

Borrowings - Short-term Borrowi

Borrowings - Short-term Borrowings (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Borrowings
Balance outstanding at year end	$ 14,917	$ 20,621
Maximum balance at any month end during the year	22,912	21,032
Average balance for the year	$ 18,883	$ 18,416
Weighted average rate for the year (as a percent)	1.12%	1.32%
Weighted average rate on borrowings at year end	0.71%	1.29%
Estimated fair value at year end	$ 14,917	$ 20,621

Borrowings - Long-term Borrowin

Borrowings - Long-term Borrowings (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Long-term borrowings
Long-term borrowings	$ 119,529	$ 122,029
Non Recourse Revolving Bank Line of Credit [Member]
Long-term borrowings
Long-term borrowings	$ 75,030
Non Recourse Revolving Bank Line of Credit [Member] | LIBOR
Long-term borrowings
Variable rate basis	one-month LIBOR
Minimum | Non Recourse Revolving Bank Line of Credit [Member] | LIBOR
Long-term borrowings
Variable rate, basis spread (as a percent)	2.00%
Maximum | Non Recourse Revolving Bank Line of Credit [Member] | LIBOR
Long-term borrowings
Variable rate, basis spread (as a percent)	2.25%
Convertible Advances | FHLB Advances
Long-term borrowings
Long-term borrowings	$ 30,000
Fixed Rate Hybrid Advances | FHLB Advances
Long-term borrowings
Long-term borrowings	$ 14,500

Borrowings - FHLB Advances (Det

Borrowings - FHLB Advances (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
FHLB Advances
Secured Debt	$ 119,529	$ 122,029
FHLB Advances | Fixed Rate Hybrid Advances
FHLB Advances
Secured Debt	14,500
FHLB Advances | Convertible Advances
FHLB Advances
Secured Debt	30,000
1.95% Fixed Rate Hybrid Advance | Fixed Rate Hybrid Advances
FHLB Advances
Secured Debt	$ 7,000
Interest Rate	1.95%
Maturity Date	Dec. 4, 2019
1.78% Fixed Rate Hybrid Advance | Fixed Rate Hybrid Advances
FHLB Advances
Secured Debt	$ 7,500
Interest Rate	1.78%
Maturity Date	Aug. 21, 2020
1.48% Convertible Advances | Convertible Advances
FHLB Advances
Secured Debt	$ 7,500
Interest Rate	1.48%
Maturity Date	Sep. 19, 2022
Next Conversion Option Date	Sep. 20, 2021
1.96% Convertible Advances | Convertible Advances
FHLB Advances
Secured Debt	$ 7,500
Interest Rate	1.96%
Maturity Date	Sep. 29, 2023
Next Conversion Option Date	Sep. 29, 2022
2.32% Convertible Advances | Convertible Advances
FHLB Advances
Secured Debt	$ 5,000
Interest Rate	2.32%
Maturity Date	Oct. 25, 2024
Next Conversion Option Date	Oct. 25, 2023
2.53% Convertible Advances | Convertible Advances
FHLB Advances
Secured Debt	$ 5,000
Interest Rate	2.53%
Maturity Date	Nov. 28, 2025
Next Conversion Option Date	Nov. 29, 2024
2.83% Convertible Advances | Convertible Advances
FHLB Advances
Secured Debt	$ 5,000
Interest Rate	2.83%
Maturity Date	Dec. 29, 2026
Next Conversion Option Date	Dec. 29, 2025

Borrowings - Contractual Maturi

Borrowings - Contractual Maturities (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Long-term borrowings
2,019	$ 7,000
2,020	82,529
2,022	7,500
2,023	7,500
Thereafter	15,000
Long-term debt	119,529	$ 122,029
Fixed Rate
Long-term borrowings
2,019	7,000
2,020	7,500
2,022	7,500
2,023	7,500
Thereafter	15,000
Long-term debt	44,500
Floating Rate
Long-term borrowings
2,020	75,029
Long-term debt	$ 75,029

Borrowings - Line of Credit and

Borrowings - Line of Credit and other disclosures (Details) $ in Thousands	Dec. 31, 2018USD ($)
Long-term borrowings
Unused line of credit	$ 292,720
FHLB
Long-term borrowings
Unused line of credit	107,850
FRB
Long-term borrowings
Unused line of credit	19,900
Federal Funds Agreements
Long-term borrowings
Unused line of credit	70,000
Repurchase Lines of Credit
Long-term borrowings
Unused line of credit	50,000
Non Recourse Revolving Bank Line of Credit [Member]
Long-term borrowings
Unused line of credit	$ 44,970

Borrowings- Statutory Trusts (D

Borrowings- Statutory Trusts (Details)	Oct. 01, 2013USD ($)	Dec. 14, 2007USD ($)	Jul. 27, 2005shares	Jul. 21, 2005USD ($)	Dec. 17, 2003USD ($)	Jul. 31, 2005shares	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)derivative
Long-term borrowings
Shares repurchased | shares			427,186			427,186
December 2019 C&F Financial Statutory Trust II Interest Rate Swap
Long-term borrowings
Derivative, Amount of Hedged Item							$ 10,000,000
Interest rate (as a percent)							4.82%
December 2019 CVBK Interest Rate Swap
Long-term borrowings
Derivative, Amount of Hedged Item							$ 5,000,000
Interest rate (as a percent)							4.54%
September 2015 Interest Rate Swaps
Long-term borrowings
Number of Interest Rate Derivatives Held | derivative								1
CF Financial Statutory Trust II
Long-term borrowings
Stock issued for cash		$ 310,000
Principal asset of Trust, notes receivable from reporting entity							$ 10,310,000
C&F Financial Statutory Trust I
Long-term borrowings
Debt Instrument, Face Amount				$ 10,000,000
Stock issued for cash				310,000
Principal asset of Trust, notes receivable from reporting entity							10,310,000
CVBK Trust I
Long-term borrowings
Stock issued for cash					$ 155,000
Principal asset of Trust, notes receivable from reporting entity							5,160,000
Trust Preferred Securities Subject to Mandatory Redemption
Long-term borrowings
Debt Instrument, Face Amount		10,000,000		$ 10,000,000
Trust Preferred Securities Subject to Mandatory Redemption | CF Financial Statutory Trust II
Long-term borrowings
Debt Instrument, Face Amount		$ 10,000,000
Debt Instrument, Maturity Date		Dec. 1, 2037
Trust Preferred Securities Subject to Mandatory Redemption | CF Financial Statutory Trust II | LIBOR
Long-term borrowings
Variable rate basis		three-month LIBOR
Variable rate, basis spread (as a percent)		3.15%
Trust Preferred Securities Subject to Mandatory Redemption | C&F Financial Statutory Trust I
Long-term borrowings
Debt Instrument, Maturity Date				Sep. 1, 2035
Trust Preferred Securities Subject to Mandatory Redemption | C&F Financial Statutory Trust I | LIBOR
Long-term borrowings
Variable rate basis				three-month LIBOR
Variable rate, basis spread (as a percent)				1.57%
Trust Preferred Securities Subject to Mandatory Redemption | CVBK Trust I
Long-term borrowings
Debt Instrument, Face Amount					$ 5,000,000
Debt Instrument, Maturity Date					Dec. 1, 2033
Fair value adjustment	$ 716,000						$ 530,000
Capital Securities, Accretion Period							20 years
Trust Preferred Securities Subject to Mandatory Redemption | CVBK Trust I | LIBOR
Long-term borrowings
Variable rate basis					three-month LIBOR
Variable rate, basis spread (as a percent)					2.85%
Trust Preferred Capital Securities Tranche One | September 2015 Interest Rate Swaps
Long-term borrowings
Derivative, Amount of Hedged Item								$ 10,000,000
Interest rate (as a percent)								3.44%

Shareholders' Equity, Other Com

Shareholders' Equity, Other Comprehensive Income and Earnings Per Share - Shareholders' Equity (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Repurchase Program
Common stock
Share repurchase program, maximum amount authorized to be repurchased	$ 1,110
Shares repurchased	21,232
Restricted Stock Tax Withholding Repurchases | Common
Common stock
Shares repurchased	7,982	9,899	9,169

Shareholders_ Equity, Other C_3

Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share
Deferred taxes included in AOCI	$ 1,230	$ 491
Net unrealized (losses) gains on securities	(1,375)	638
Net unrecognized gains on cash flow hedges	215	124
Net unrecognized losses on defined benefit plan	(3,512)	(2,649)
Total accumulated other comprehensive loss	$ (4,672)	$ (1,887)

Shareholders_ Equity, Other C_4

Shareholders’ Equity, Other Comprehensive Income and Earnings Per Share - Earnings Per Share (EPS) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Components of earnings per share calculations
Net income	$ 18,020	$ 6,572	$ 13,459
Weighted average number of common shares used in earnings per common share – basic (in shares)	3,501,221	3,486,510	3,454,282
Effect of dilutive securities:
Effect of dilutive securities—stock option awards		79	1,601
Weighted average number of common shares used in earnings per common share – assuming dilution	3,501,221	3,486,589	3,455,883

Income Taxes - Components of In

Income Taxes - Components of Income Tax Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Principal components on income tax expense:
Current taxes	$ 3,889	$ 1,989	$ 4,482
Deferred taxes	632	9,405	(23)
Income tax expense (benefit)	$ 4,521	$ 11,394	$ 4,459

Income Taxes - Income Tax Rate

Income Taxes - Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Amounts
Income tax at statutory rates	$ 4,734	$ 6,288	$ 6,272
State income taxes	575	348	403
Tax-exempt interest income	(592)	(1,162)	(1,367)
Carrying cost of tax-exempt assets	18	32	36
Share-based compensation	(103)	(284)	(255)
Change in value of bank-owned life insurance	(89)	(151)	(324)
Investments in qualified housing projects	(85)	(135)	(147)
Remeasurement of net deferred tax assets		6,643
Other	63	(185)	(159)
Income tax expense (benefit)	$ 4,521	$ 11,394	$ 4,459
Percent of Pre-tax Income
Income tax at statutory rates (as a percent)	21.00%	35.00%	35.00%
State income taxes (as a percent)	2.60%	1.90%	2.20%
Tax-exempt interest income (as a percent)	(2.60%)	(6.50%)	(7.60%)
Carrying cost of tax-exempt assets (as a percent)	0.10%	0.20%	0.20%
Share-based compensation (as a percent)	(0.50%)	(1.60%)	(1.40%)
Change in value of bank-owned life insurance (as a percent)	(0.40%)	(0.80%)	(1.80%)
Investments in qualified housing projects (as a percent)	(0.40%)	(0.80%)	(0.80%)
Remeasurement of net deferred tax assets (as a percent)		37.00%
Other (as a percent)	0.30%	(1.00%)	(0.90%)
Income tax expense (as a percent)	20.10%	63.40%	24.90%

Income Taxes - Deferred Tax Ass

Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Income Taxes
Federal corporate income tax rate	21.00%	35.00%	35.00%
Incremental income tax expense for remeasurement of deferred tax asset		$ 6,640
Deferred tax asset
Allowance for loan losses and OREO losses	$ 8,567	9,004
Fair value adjustments related to business combinations	1,643	2,123
Nonqualified defined contribution plan	2,925	2,460
Share-based compensation	825	769
Reserve for indemnification losses	663	641
Interest on nonaccrual loans	346	475
Net unrealized loss on securities available for sale	365
Other	1,415	1,286
Deferred tax asset	16,749	16,758
Deferred tax liability
Goodwill and other intangible assets	(2,838)	(2,886)
Depreciation	(1,024)	(632)
Defined benefit plan	(620)	(934)
Cash flow hedges	(74)	(43)
Net unrealized gain on securities available for sale		(170)
Deferred tax liability	(4,556)	(4,665)
Net deferred tax asset	$ 12,193	$ 12,093

Employee Benefit Plans - Define

Employee Benefit Plans - Defined Contribution Plans (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Defined contribution plans
Vesting Threshold Age	65 years
Profit-Sharing Plan | The Bank
Defined contribution plans
Minimum age	18 years
Required service period	1 month
Vested percentage after 2 years of service	20.00%
Vested percentage after 3 years of service	40.00%
Vested percentage after 4 years of service	60.00%
Vested percentage after 5 years of service	80.00%
Fully vested period	6 years
Amounts charged to expense	$ 896	$ 799	$ 653
Profit-Sharing Plan | C&F Finance
Defined contribution plans
Amounts charged to expense	$ 190	223	239
401(k) Savings Plan | The Bank
Defined contribution plans
Maximum deferral as a percent of compensation	95.00%
401(k) Savings Plan | C&F Mortgage
Defined contribution plans
Minimum age	18 years
Vested percentage after 2 years of service	25.00%
Vested percentage after 3 years of service	50.00%
Vested percentage after 4 years of service	75.00%
Fully vested period	5 years
Amounts charged to expense	$ 220	216	163
401(k) Savings Plan | C&F Mortgage | Maximum
Defined contribution plans
Maximum deferral as a percent of compensation	100.00%
Postretirement benefit plan | Chief Executive Officer
Defined contribution plans
Amounts charged to expense	$ 88	81	75
Management Incentive Plan
Defined contribution plans
Amounts charged to expense	1,950	1,700	1,440
Employment Agreements | C&F Mortgage
Defined contribution plans
Amounts charged to expense	762	759	780
Nonqualified Executive Plan | Profit-Sharing Plan
Defined contribution plans
Amounts charged to expense	$ 297	$ 253	$ 268

Employee Benefit Plans - Defi_2

Employee Benefit Plans - Defined Benefit Plans - Plan Requirements (Details) - The Bank - Cash Balance Plan	12 Months Ended
	Dec. 31, 2018
Defined Benefit Plans
Minimum age	21 years
Basis points added to 30-year Treasuries yield to compute interest credit (as a percent)	1.50%

Employee Benefit Plans - Defi_3

Employee Benefit Plans - Defined Benefit Plans - Change in Plan Obligation and Fair Value, Funded Status and Fair Value Inputs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Amounts recognized in accumulated other comprehensive loss
Total recognized in accumulated other comprehensive loss	$ 3,512	$ 2,649
The Bank | Cash Balance Plan
Change in benefit obligation
Projected benefit obligation, beginning	17,808	15,870
Service cost	1,232	1,120	$ 1,076
Interest cost	521	552	528
Actuarial (gain) loss	(1,308)	1,194
Benefits paid	(1,048)	(928)
Projected benefit obligation, ending	17,205	17,808	15,870
Change in plan assets
Fair value of plan assets, beginning	19,254	16,202
Actual return on plan assets	(1,050)	2,480
Employer contributions	3,000	1,500
Benefits paid	(1,048)	(928)
Fair value of plan assets, ending	20,156	19,254	$ 16,202
Funded status	2,951	1,446
Amounts recognized as an other asset (liability)	2,951	1,446
Amounts recognized in accumulated other comprehensive loss
Net loss	5,017	3,987
Prior service cost	(572)	(634)
Deferred taxes	(933)	(704)
Total recognized in accumulated other comprehensive loss	$ 3,512	$ 2,649
Weighted-average assumptions for benefit obligation at valuation date
Discount rate	4.00%	3.30%
Rate of compensation increase	3.00%	3.00%
Interest crediting rate	5.00%	5.00%

Employee Benefit Plans - Defi_4

Employee Benefit Plans - Defined Benefit Plans - Components of Periodic Pension Costs (Details) - USD ($) $ in Thousands		12 Months Ended
		Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Other components of net periodic benefit cost:
Net periodic benefit cost		$ 403	$ 627	$ 656
Other changes in plan assets and benefit obligations recognized in other comprehensive (income) loss
Amortization of prior service cost arising during the period	[1]	62	61	60
The Bank | Cash Balance Plan
Components of net periodic benefit cost
Service cost, included in salaries and employee benefits		1,232	1,120	1,076
Other components of net periodic benefit cost:
Interest cost		521	552	528
Expected return on plan assets		(1,413)	(1,138)	(1,045)
Amortization of prior service credit		(62)	(61)	(60)
Recognized net actuarial losses		125	154	157
Other components of net periodic benefit cost, included in other noninterest income		(829)	(493)	(420)
Net periodic benefit cost		$ 403	$ 627	$ 656
[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 12: Employee Benefit Plans,” for additional information.

Employee Benefit Plans - Defi_5

Employee Benefit Plans - Defined Benefit Plans - Weighted-average assumptions (Details) - The Bank - Cash Balance Plan	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Weighted-average assumptions for net periodic benefit cost as of
Discount rate	3.30%	3.70%	3.80%
Expected return on plan assets	7.30%	7.30%	7.50%
Rate of compensation increase	3.00%	3.00%	3.00%

Employee Benefit Plans - Defi_6

Employee Benefit Plans - Defined Benefit Plans - Expected Benefit Payments (Details) - The Bank - Cash Balance Plan $ in Thousands	Dec. 31, 2018USD ($)
Expected benefit payments
2,019	$ 3,904
2,020	628
2,021	811
2,022	815
2,023	1,454
2024 - 2028	6,587
Total expected benefit payments	$ 14,199

Employee Benefit Plans - Defi_7

Employee Benefit Plans - Defined Benefit Plans - Weighted-Average Asset Allocations (Details) - The Bank - Cash Balance Plan	Dec. 31, 2018	Dec. 31, 2017
Weighted average asset allocations by asset category
Weighted average asset allocation by asset category	100.00%	100.00%
Mutual funds-fixed income
Weighted average asset allocations by asset category
Weighted average asset allocation by asset category	42.00%	39.00%
Mutual funds-equity
Weighted average asset allocations by asset category
Weighted average asset allocation by asset category	58.00%	61.00%

Employee Benefit Plans - Defi_8

Employee Benefit Plans - Defined Benefit Plans - Fair Value of Assets (Details) - The Bank - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Mutual funds-fixed income
Defined Benefit Plans
Target asset allocations	40.00%
Mutual funds-equity
Defined Benefit Plans
Target asset allocations	60.00%
Cash Balance Plan
Defined Benefit Plans
Assets at Fair Value	$ 20,156	$ 19,254	$ 16,202
Cash Balance Plan | Level 1
Defined Benefit Plans
Assets at Fair Value	20,156	19,254
Cash Balance Plan | Mutual funds-fixed income
Defined Benefit Plans
Assets at Fair Value	8,497	7,510
Cash Balance Plan | Mutual funds-fixed income | Level 1
Defined Benefit Plans
Assets at Fair Value	8,497	7,510
Cash Balance Plan | Mutual funds-equity
Defined Benefit Plans
Assets at Fair Value	11,659	11,744
Cash Balance Plan | Mutual funds-equity | Level 1
Defined Benefit Plans
Assets at Fair Value	$ 11,659	$ 11,744

Related Party Transactions (Det

Related Party Transactions (Details) - Directors and executive officers and certain affiliates - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Related party activity
Loans receivable, related party	$ 2,050	$ 2,280
Advances	51
Repayments	284
Deposits, related party	$ 4,930	$ 6,870

Share-Based Plans - Stock Optio

Share-Based Plans - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Shares
Options outstanding at beginning of period (in shares)	0	2,250	24,000
Granted (in Shares)	0
Exercised (in Shares)		(2,250)	(9,750)
Cancelled (in shares)			(12,000)
Options outstanding at end of period (in shares)		0	2,250
Exercisable at end of year (in shares)			2,250
Exercise Price
Options outstanding at beginning of year (in dollars per share)		$ 37.17	$ 38.39
Exercised		$ 37.17	37.17
Cancelled (in dollars per share)			39.60
Options outstanding at end of year (in dollars per share)			37.17
Exercisable at end of year			$ 37.17
Cash received from option exercise (in dollars)		$ 84	$ 362

Share-Based Plans - Restricted

Share-Based Plans - Restricted Stock Activity (Details) - Restricted Stock - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Shares
Unvested, beginning of period (in shares)	137,880	141,755	137,200
Granted (in shares)	30,185	29,625	32,630
Vested (in shares)	(26,450)	(31,810)	(26,000)
Cancelled (in shares)	(2,160)	(1,690)	(2,075)
Unvested, end of period (in shares)	139,455	137,880	141,755
Weighted average grant date fair value
Unvested, beginning of period (in dollars per share)	$ 43.52	$ 39.77	$ 36.50
Granted (in dollars per share)	52.82	52.73	43.48
Vested (in dollars per share)	42.41	35.42	27.30
Cancelled (in dollars per share)	42.54	43.16	38.59
Unvested, end of period (in dollars per share)	$ 45.75	$ 43.52	$ 39.77
Additional information
Compensation expense	$ 1,350	$ 1,450	$ 1,220
Employees
Summary of restricted stock awards
Vesting period	5 years
Nonemployee Directors
Summary of restricted stock awards
Vesting period	3 years
Amended 2004 Plan and 2013 Plan
Additional information
Unrecognized compensation expense	$ 3,170

Regulatory Requirements and R_3

Regulatory Requirements and Restrictions - New minimum capital ratios (Details)	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Regulatory Requirements and Restrictions
Capital conservation buffer requirement	1.875%	1.25%	0.625%

Regulatory Requirements and R_4

Regulatory Requirements and Restrictions - Capital Amounts and Ratios (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Regulatory requirements
Risk-weighted assets	$ 1,200,000	$ 1,180,000
Total Capital (to Risk-Weighted Assets)
Actual (in Dollars)	$ 183,781	$ 170,376
Actual	15.30%	14.40%
Minimum capital requirements (in Dollars)	$ 96,274	$ 94,383
Minimum capital requirements	8.00%	8.00%
Tier 1 Capital (to Risk-Weighted Assets)
Actual (in Dollars)	$ 168,504	$ 155,370
Actual	14.00%	13.20%
Minimum capital requirements (in Dollars)	$ 72,205	$ 70,787
Minimum capital requirements	6.00%	6.00%
Common Equity Tier 1 Capital (to Risk-Weighted Assets)
Actual (in Dollars)	$ 143,590	$ 130,445
Actual	11.90%	11.10%
Minimum capital requirements (in Dollars)	$ 54,154	$ 53,091
Minimum capital requirements	4.50%	4.50%
Tier 1 Capital (to Average Tangible Assets)
Actual (in Dollars)	$ 168,504	$ 155,370
Actual	11.30%	10.50%
Minimum capital requirements (in Dollars)	$ 59,759	$ 59,083
Minimum capital requirements	4.00%	4.00%
The Bank
Total Capital (to Risk-Weighted Assets)
Actual (in Dollars)	$ 181,685	$ 167,657
Actual	15.10%	14.20%
Minimum capital requirements (in Dollars)	$ 96,088	$ 94,163
Minimum capital requirements	8.00%	8.00%
Minimum to be well capitalized under prompt corrective action provisions (in Dollars)	$ 120,110	$ 117,704
Minimum to be well capitalized under prompt corrective action provisions	10.00%	10.00%
Tier 1 Capital (to Risk-Weighted Assets)
Actual (in Dollars)	$ 166,437	$ 152,684
Actual	13.90%	13.00%
Minimum capital requirements (in Dollars)	$ 72,066	$ 70,622
Minimum capital requirements	6.00%	6.00%
Minimum to be well capitalized under prompt corrective action provisions (in Dollars)	$ 96,088	$ 94,163
Minimum to be well capitalized under prompt corrective action provisions	8.00%	8.00%
Common Equity Tier 1 Capital (to Risk-Weighted Assets)
Actual (in Dollars)	$ 166,437	$ 152,684
Actual	13.90%	13.00%
Minimum capital requirements (in Dollars)	$ 54,050	$ 52,967
Minimum capital requirements	4.50%	4.50%
Minimum to be well capitalized under prompt corrective action provisions (in Dollars)	$ 78,072	$ 76,507
Minimum to be well capitalized under prompt corrective action provisions	6.50%	6.50%
Tier 1 Capital (to Average Tangible Assets)
Actual (in Dollars)	$ 166,437	$ 152,684
Actual	11.20%	10.40%
Minimum capital requirements (in Dollars)	$ 59,666	$ 58,934
Minimum capital requirements	4.00%	4.00%
Minimum to be well capitalized under prompt corrective action provisions (in Dollars)	$ 74,582	$ 73,667
Minimum to be well capitalized under prompt corrective action provisions	5.00%	5.00%

Regulatory Requirements and R_5

Regulatory Requirements and Restrictions - Trust Preferred Securities (Details)	Jul. 27, 2005$ / sharesshares	Jul. 31, 2005shares	Dec. 31, 2018USD ($)	Dec. 31, 2017	Dec. 31, 2016	Dec. 14, 2007USD ($)	Jul. 21, 2005USD ($)	Dec. 17, 2003USD ($)
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items]
Capital conservation buffer requirement			1.875%	1.25%	0.625%
Stock Repurchased and Retired During Period, Shares | shares	427,186	427,186
Share Price | $ / shares	$ 41
Eligible for inclusion in Tier One Capital			$ 25,000,000
Trust Preferred Securities Subject to Mandatory Redemption
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items]
Trust preferred securities issued						$ 10,000,000	$ 10,000,000
CF Financial Statutory Trust II | Trust Preferred Securities Subject to Mandatory Redemption
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items]
Trust preferred securities issued						$ 10,000,000
C&F Financial Statutory Trust I
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items]
Trust preferred securities issued							$ 10,000,000
CVBK Trust I | Trust Preferred Securities Subject to Mandatory Redemption
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items]
Trust preferred securities issued								$ 5,000,000
The Bank
Financial Instruments Subject to Mandatory Redemption by Settlement Terms [Line Items]
Total capital conservation buffer exceeded			525	499
CET1 capital conservation buffer exceeded			748	722
Restriction on loans or advances as percent of capital stock			10.00%

Commitments and Contingent Li_3

Commitments and Contingent Liabilities - Loan Commitments and Derivatives (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
C&F Mortgage
Commitments and Financial Instruments with Off-Balance Sheet Risk
Recourse period for early payment default, minimum	90 days
Recourse period for early payment default, maximum	1 year
Standby Letters of Credit | The Bank
Commitments and Financial Instruments with Off-Balance Sheet Risk
Face amount of asset	$ 19,340	$ 15,460
Loan Commitments | The Bank
Commitments and Financial Instruments with Off-Balance Sheet Risk
Face amount of asset	$ 244,170	$ 224,500

Commitments and Contingent Li_4

Commitments and Contingent Liabilities - Changes in Allowance for Indemnifications Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Change in the allowance for indemnification losses
Provision for indemnifications	$ 52	$ 186	$ 290
Indemnification reserve for recourse provisions
Change in the allowance for indemnification losses
Allowance, beginning of period	2,489	2,303
Provision for indemnifications	52	186
Allowance, end of period	$ 2,541	$ 2,489	$ 2,303

Commitments and Contingent Li_5

Commitments and Contingent Liabilities - Future Minimum Lease Payments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Commitments and Contingent Liabilities
Rent expense - operating leases	$ 1,460	$ 1,530	$ 1,410
Minimum lease payments that were executed prior to December 31, 2018	3,210
Operating lease commitments
2,019	1,503
2,020	1,434
2,021	830
2,022	327
2,023	227
Thereafter	2,216
Operating Leases, Future Minimum Payments Due, Total	$ 6,537

Fair Value of Assets and Liab_3

Fair Value of Assets and Liabilities - Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Securities available for sale
Securities available for sale	$ 214,910	$ 218,976
Recurring
Securities available for sale
Securities available for sale	214,910	218,976
Loans held for sale	41,895	55,384
Total assets measured at fair value	259,337	276,315
Liabilities:
Derivative liabilities		1,261
Recurring | Cash Flow Hedges
Securities available for sale
Derivative asset	289	166
Recurring | Interest rate lock commitments
Securities available for sale
Derivative asset	636	528
Recurring | Interest Rate Swap
Securities available for sale
Derivative asset	1,607	1,261
Liabilities:
Derivative liabilities	1,607	1,261
Recurring | Interest Rate Swap | Cash Flow Hedges
Liabilities:
Derivative liabilities	1,607
Level 2
Securities available for sale
Securities available for sale	214,910	218,976
Loans held for sale	41,895	55,384
Level 2 | Cash Flow Hedges
Securities available for sale
Derivative asset	289	166
Level 2 | Interest rate lock commitments
Securities available for sale
Derivative asset	636	528
Level 2 | Interest Rate Swap
Securities available for sale
Derivative asset	1,607	1,261
Liabilities:
Derivative liabilities	1,607	1,261
Level 2 | Recurring
Securities available for sale
Securities available for sale	214,910	218,976
Loans held for sale	41,895	55,384
Total assets measured at fair value	259,337	276,315
Liabilities:
Derivative liabilities		1,261
Level 2 | Recurring | Cash Flow Hedges
Securities available for sale
Derivative asset	289	166
Level 2 | Recurring | Interest rate lock commitments
Securities available for sale
Derivative asset	636	528
Level 2 | Recurring | Interest Rate Swap
Securities available for sale
Derivative asset	1,607	1,261
Liabilities:
Derivative liabilities	1,607	1,261
Level 2 | Recurring | Interest Rate Swap | Cash Flow Hedges
Liabilities:
Derivative liabilities	1,607
U.S. government agencies and corporations
Securities available for sale
Securities available for sale	17,473	16,173
U.S. government agencies and corporations | Recurring
Securities available for sale
Securities available for sale	17,473	16,173
U.S. government agencies and corporations | Level 2 | Recurring
Securities available for sale
Securities available for sale	17,473	16,173
Mortgage-backed securities
Securities available for sale
Securities available for sale	104,983	97,058
Mortgage-backed securities | Recurring
Securities available for sale
Securities available for sale	104,983	97,058
Mortgage-backed securities | Level 2 | Recurring
Securities available for sale
Securities available for sale	104,983	97,058
Obligations of states and political subdivisions
Securities available for sale
Securities available for sale	92,454	105,745
Obligations of states and political subdivisions | Recurring
Securities available for sale
Securities available for sale	92,454	105,745
Obligations of states and political subdivisions | Level 2 | Recurring
Securities available for sale
Securities available for sale	$ 92,454	$ 105,745

Fair Value of Assets and Liab_4

Fair Value of Assets and Liabilities - Financial Assets Measured at Fair Value on Nonrecurring Basis (Details) - Nonrecurring $ in Thousands	Dec. 31, 2018USD ($)item	Dec. 31, 2017USD ($)
Fair value assets and liabilities - Nonrecurring Basis
Financial assets measured at fair value on a non-recurring basis	$ 348	$ 3,606
Impaired loans, net
Fair value assets and liabilities - Nonrecurring Basis
Financial assets measured at fair value on a non-recurring basis	102	3,438
Other real estate owned, net
Fair value assets and liabilities - Nonrecurring Basis
Financial assets measured at fair value on a non-recurring basis	246	168
Level 3
Fair value assets and liabilities - Nonrecurring Basis
Financial assets measured at fair value on a non-recurring basis	$ 348	3,606
Impaired loans, input | item	0.30
Loans Held-for-sale, Valuation Technique [Extensible List]	cffi:ValuationTechniqueAppraisalsMember
Loans Held-for-sale, Measurement Input [Extensible List]	us-gaap:MeasurementInputDiscountRateMember
Other Real Estate Owned, Valuation Technique [Extensible List]	cffi:ValuationTechniqueAppraisalsMember
Other Real Estate Owned, Measurement Input [Extensible List]	us-gaap:MeasurementInputDiscountRateMember
Level 3 | Minimum
Fair value assets and liabilities - Nonrecurring Basis
Other real estate owned, input | item	0.33
Level 3 | Maximum
Fair value assets and liabilities - Nonrecurring Basis
Other real estate owned, input | item	0.47
Level 3 | Impaired loans, net
Fair value assets and liabilities - Nonrecurring Basis
Financial assets measured at fair value on a non-recurring basis	$ 102	3,438
Level 3 | Other real estate owned, net
Fair value assets and liabilities - Nonrecurring Basis
Financial assets measured at fair value on a non-recurring basis	$ 246	$ 168

Fair Value of Assets and Liab_5

Fair Value of Assets and Liabilities - Carrying Value and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Assets:
Securities available for sale	$ 214,910	$ 218,976
Bank-owned life insurance	16,065	15,589
Level 1
Assets:
Cash and short-term investments	115,013	119,423
Accrued interest receivable	7,436	7,589
Financial liabilities:
Demand deposits	835,101	823,476
Accrued interest payable	920	838
Level 2
Assets:
Securities available for sale	214,910	218,976
Loans held for sale	41,895	55,384
Bank-owned life insurance	16,065	15,589
Financial liabilities:
Time deposits	343,507	350,681
Borrowings	152,015	159,670
Level 3
Assets:
Loans, net	1,021,145	983,620
Carrying Value
Assets:
Cash and short-term investments	115,013	119,423
Securities available for sale	214,910	218,976
Loans, net	1,028,097	992,062
Loans held for sale	41,895	55,384
Bank-owned life insurance	16,065	15,589
Accrued interest receivable	7,436	7,589
Financial liabilities:
Demand deposits	835,101	823,476
Time deposits	346,560	347,953
Borrowings	159,691	167,860
Accrued interest payable	920	838
Total Fair Value
Assets:
Cash and short-term investments	115,013	119,423
Securities available for sale	214,910	218,976
Loans, net	1,021,145	983,620
Loans held for sale	41,895	55,384
Bank-owned life insurance	16,065	15,589
Accrued interest receivable	7,436	7,589
Financial liabilities:
Demand deposits	835,101	823,476
Time deposits	343,507	350,681
Borrowings	152,015	159,670
Accrued interest payable	920	838
Interest rate lock commitments | Level 2
Assets:
Derivative asset	636	528
Interest rate lock commitments | Carrying Value
Assets:
Derivative asset	636	528
Interest rate lock commitments | Total Fair Value
Assets:
Derivative asset	636	528
Interest Rate Swap | Level 2
Assets:
Derivative asset	1,607	1,261
Financial liabilities:
Derivative liabilities	1,607	1,261
Interest Rate Swap | Carrying Value
Assets:
Derivative asset	1,607	1,261
Financial liabilities:
Derivative liabilities	1,607	1,261
Interest Rate Swap | Total Fair Value
Assets:
Derivative asset	1,607	1,261
Financial liabilities:
Derivative liabilities	1,607	1,261
Cash Flow Hedges | Level 2
Assets:
Derivative asset	289	166
Cash Flow Hedges | Carrying Value
Assets:
Derivative asset	289	166
Cash Flow Hedges | Total Fair Value
Assets:
Derivative asset	$ 289	$ 166

Business Segments - Segment Rep

Business Segments - Segment Reporting (Details) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018USD ($)	Sep. 30, 2018USD ($)	Jun. 30, 2018USD ($)	Mar. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Sep. 30, 2017USD ($)	Jun. 30, 2017USD ($)	Mar. 31, 2017USD ($)	Dec. 31, 2018USD ($)segment	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Business Segments
Number of Operating Segments | segment									3
Revenues:
Interest income	$ 23,462	$ 23,691	$ 22,651	$ 22,744	$ 22,446	$ 22,703	$ 22,423	$ 22,021	$ 92,548	$ 89,593	$ 89,439
Gains on sales of loans									7,841	8,553	8,120
Other noninterest income									17,917	18,679	17,927
Total operating income									118,306	116,825	115,486
Expenses:
Provision for loan losses									11,006	16,435	18,040
Interest expense									11,027	9,601	8,968
Salaries and employee benefits									42,003	43,597	42,345
Other noninterest expenses									31,729	29,226	28,215
Total operating expenses									95,765	98,859	97,568
Income (loss) before income taxes	4,858	6,441	6,467	4,775	4,079	4,248	5,987	3,652	22,541	17,966	17,918
Income tax expense (benefit)									4,521	11,394	4,459
Net income	3,957	$ 5,101	$ 5,070	$ 3,892	(3,315)	$ 3,017	$ 4,139	$ 2,731	18,020	6,572	13,459
Total assets	1,521,411				1,509,056				1,521,411	1,509,056	1,451,992
Goodwill	14,425				14,425				14,425	14,425	14,425
Capital expenditures									3,374	4,180	2,708
Other
Revenues:
Interest income									6	1	2
Other noninterest income									2,135	1,905	1,273
Total operating income									2,141	1,906	1,275
Expenses:
Interest expense									1,152	1,151	1,143
Salaries and employee benefits									2,141	1,948	1,546
Other noninterest expenses									650	669	530
Total operating expenses									3,943	3,768	3,219
Income (loss) before income taxes									(1,802)	(1,862)	(1,944)
Income tax expense (benefit)									(594)	(137)	(969)
Net income									(1,208)	(1,725)	(975)
Total assets	5,055				(604)				5,055	(604)	6,005
Capital expenditures									4	14	42
Operating Segments | Retail Banking
Revenues:
Interest income									55,019	49,564	46,071
Other noninterest income									11,029	11,126	11,820
Total operating income									66,048	60,690	57,891
Expenses:
Provision for loan losses									100	200
Interest expense									6,842	6,076	5,790
Salaries and employee benefits									26,355	25,757	25,033
Other noninterest expenses									20,160	17,951	17,433
Total operating expenses									53,457	49,984	48,256
Income (loss) before income taxes									12,591	10,706	9,635
Income tax expense (benefit)									1,958	5,727	1,425
Net income									10,633	4,979	8,210
Total assets	1,357,788				1,341,879				1,357,788	1,341,879	1,290,733
Goodwill	3,702				3,702				3,702	3,702	3,702
Capital expenditures									3,178	3,524	1,992
Operating Segments | Mortgage Banking
Revenues:
Interest income									2,018	1,660	1,689
Gains on sales of loans									7,841	8,553	8,120
Other noninterest income									4,015	4,653	3,913
Total operating income									13,874	14,866	13,722
Expenses:
Interest expense									904	587	435
Salaries and employee benefits									5,007	6,503	5,664
Other noninterest expenses									5,363	5,185	4,815
Total operating expenses									11,274	12,275	10,914
Income (loss) before income taxes									2,600	2,591	2,808
Income tax expense (benefit)									697	1,606	1,121
Net income									1,903	985	1,687
Total assets	56,101				69,537				56,101	69,537	65,351
Capital expenditures									133	410	314
Operating Segments | Consumer Finance
Revenues:
Interest income									42,789	44,745	47,150
Other noninterest income									738	995	921
Total operating income									43,527	45,740	48,071
Expenses:
Provision for loan losses									10,906	16,235	18,040
Interest expense									9,413	8,164	7,073
Salaries and employee benefits									8,500	9,389	10,102
Other noninterest expenses									5,556	5,421	5,437
Total operating expenses									34,375	39,209	40,652
Income (loss) before income taxes									9,152	6,531	7,419
Income tax expense (benefit)									2,460	4,198	2,882
Net income									6,692	2,333	4,537
Total assets	297,552				292,438				297,552	292,438	306,012
Goodwill	10,723				10,723				10,723	10,723	10,723
Capital expenditures									59	232	360
Eliminations
Revenues:
Interest income									(7,284)	(6,377)	(5,473)
Total operating income									(7,284)	(6,377)	(5,473)
Expenses:
Interest expense									(7,284)	(6,377)	(5,473)
Total operating expenses									(7,284)	(6,377)	(5,473)
Total assets	$ (195,085)				$ (194,194)				$ (195,085)	$ (194,194)	$ (216,109)

Business Segments - Segment Deb

Business Segments - Segment Debt (Details)	12 Months Ended
	Dec. 31, 2018
Mortgage Banking | FHLB Advances
Business Segments
Variable rate, spread (as a percent)	0.50%
Consumer Finance | Minimum
Business Segments
Variable rate, spread (as a percent)	2.00%
Consumer Finance | Maximum
Business Segments
Variable rate, spread (as a percent)	8.00%
Consumer Finance | LIBOR | Minimum
Business Segments
Variable rate, spread (as a percent)	2.00%

Derivatives Financial Instrumen

Derivatives Financial Instruments (Details) $ in Thousands	Dec. 31, 2018USD ($)position	Dec. 31, 2017USD ($)position
Interest Rate Swap | Designated as Hedging Instrument
Derivatives and other information
Notional amount	$ 25,000	$ 25,000
Positions | position	3	3
Derivative Asset	$ 289	$ 166
Matched interest rate swaps with borrower | Not designated as hedges
Derivatives and other information
Notional amount	$ 45,961	$ 41,295
Positions | position	8	6
Derivative Asset	$ 216	$ 284
Derivative Liability	1,391	977
Matched interest rate swaps with counterparty | Not designated as hedges
Derivatives and other information
Notional amount	$ 45,961	$ 41,295
Positions | position	8	6
Derivative Asset	$ 1,391	$ 977
Derivative Liability	216	284
Interest rate lock commitments | Not designated as hedges
Derivatives and other information
Notional amount	$ 84,906	$ 99,140
Positions | position	357	440
Derivative Asset	$ 636	$ 528

Parent Company Condensed Fina_3

Parent Company Condensed Financial Information - Condensed Balance Sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assets
Securities available for sale	$ 214,910	$ 218,976
Other assets	29,642	31,486
Total assets	1,521,411	1,509,056	$ 1,451,992
Liabilities and shareholders’ equity
Trust preferred capital notes	25,245	25,210
Other liabilities	27,181	27,227
Shareholders' equity	151,958	141,702	139,214	$ 131,059
Total liabilities and shareholders’ equity	1,521,411	1,509,056
C&F Financial Corporation
Assets
Cash	316	407	$ 611	$ 768
Other assets	3,677	3,147
Investment in C&F Bank	174,244	163,892
Total assets	178,237	167,446
Liabilities and shareholders’ equity
Trust preferred capital notes	25,245	25,210
Other liabilities	1,034	534
Shareholders' equity	151,958	141,702
Total liabilities and shareholders’ equity	$ 178,237	$ 167,446

Parent Company Condensed Fina_4

Parent Company Condensed Financial Information - Condensed Statements of Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
CONSOLIDATED STATEMENTS OF INCOME
Interest expense on borrowings									$ (4,189)	$ (3,702)	$ (3,433)
Other income									2,880	3,888	3,895
Other expenses	$ (17,758)	$ (18,674)	$ (18,761)	$ (18,539)	$ (18,080)	$ (18,371)	$ (18,403)	$ (17,969)	(23,421)	(21,496)	(20,987)
Net income	$ 3,957	$ 5,101	$ 5,070	$ 3,892	$ (3,315)	$ 3,017	$ 4,139	$ 2,731	18,020	6,572	13,459
Other comprehensive loss, net of tax									(2,785)	(569)	(2,155)
Comprehensive income									15,235	6,003	11,304
C&F Financial Corporation
CONSOLIDATED STATEMENTS OF INCOME
Interest expense on borrowings									(1,152)	(1,151)	(1,143)
Dividends received from C&F Bank									6,312	5,008	4,464
Equity in undistributed net income of C&F Bank									13,228	3,482	10,618
Other income									45	31	26
Other expenses									(413)	(798)	(506)
Net income									18,020	6,572	13,459
Other comprehensive loss, net of tax									(2,785)	(569)	(2,155)
Comprehensive income									$ 15,235	$ 6,003	$ 11,304

Parent Company Condensed Fina_5

Parent Company Condensed Financial Information - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Statements of Cash Flows
Net cash provided by operating activities	$ 47,122	$ 25,775	$ 26,977
Financing activities:
Net proceeds from issuance of common stock	144	147	149
Common stock repurchases	(1,105)
Cash dividends	(4,931)	(4,637)	(4,464)
Proceeds from exercise of stock options		84	362
Net cash (used in) provided by financing activities	(4,009)	50,359	29,605
Net (decrease) increase in cash and cash equivalents	(4,410)	16,222	(49,742)
C&F Financial Corporation
Statements of Cash Flows
Net cash provided by operating activities	5,801	4,202	3,796
Financing activities:
Net proceeds from issuance of common stock	144	147	149
Common stock repurchases	(1,105)
Cash dividends	(4,931)	(4,637)	(4,464)
Proceeds from exercise of stock options		84	362
Net cash (used in) provided by financing activities	(5,892)	(4,406)	(3,953)
Net (decrease) increase in cash and cash equivalents	(91)	(204)	(157)
Cash at beginning of year	407	611	768
Cash at end of year	$ 316	$ 407	$ 611

Other Noninterest Expenses (Det

Other Noninterest Expenses (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Other Noninterest Expenses
Data processing service and maintenance contracts									$ 7,452	$ 6,687	$ 6,323
Professional fees									3,044	2,416	2,323
Marketing and advertising expenses									1,601	1,522	1,633
Telecommunication expenses									1,331	1,300	1,264
Travel and educational expenses									1,231	1,077	1,101
All other noninterest expenses									8,762	8,494	8,343
Total Other Noninterest Expenses	$ 17,758	$ 18,674	$ 18,761	$ 18,539	$ 18,080	$ 18,371	$ 18,403	$ 17,969	$ 23,421	$ 21,496	$ 20,987

Quarterly Condensed Statement_3

Quarterly Condensed Statements of Income-Unaudited (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Quarterly Condensed Statements of Income-Unaudited
Total interest income	$ 23,462	$ 23,691	$ 22,651	$ 22,744	$ 22,446	$ 22,703	$ 22,423	$ 22,021	$ 92,548	$ 89,593	$ 89,439
Net interest income after provision for loan losses	17,172	18,488	17,987	16,868	15,451	15,777	16,978	15,351	70,515	63,557	62,431
Other income	5,444	6,627	7,241	6,446	6,708	6,842	7,412	6,270	25,758	27,232	26,047
Other Noninterest Expense	17,758	18,674	18,761	18,539	18,080	18,371	18,403	17,969	23,421	21,496	20,987
Income before income taxes	4,858	6,441	6,467	4,775	4,079	4,248	5,987	3,652	22,541	17,966	17,918
Net income	$ 3,957	$ 5,101	$ 5,070	$ 3,892	$ (3,315)	$ 3,017	$ 4,139	$ 2,731	$ 18,020	$ 6,572	$ 13,459
Earnings per common share - assuming dilution	$ 1.13	$ 1.46	$ 1.45	$ 1.11	$ (0.95)	$ 0.87	$ 1.19	$ 0.78	$ 5.15	$ 1.88	$ 3.89
Dividends declared per common share (in dollars per share)	$ 0.37	$ 0.36	$ 0.34	$ 0.34	$ 0.34	$ 0.33	$ 0.33	$ 0.33	$ 1.41	$ 1.33	$ 1.29