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LOANS AND ALLOWANCE FOR CREDIT LOSSES
 9 Months Ended
Sep. 30, 2025
Receivables [Abstract]  
LOANS AND ALLOWANCE FOR CREDIT LOSSES
NOTE 3 – LOANS AND ALLOWANCE FOR CREDIT LOSSES

Loans are stated at amortized cost. Balances within the major loans receivable categories are presented in the following table:

(dollars in thousands)September 30, 2025December 31, 2024
Commercial and industrial$3,299,269 $2,953,135 
Consumer202,688 221,735 
Mortgage warehouse1,083,941 965,053 
Municipal437,823 441,408 
Premium finance1,358,259 1,155,614 
Real estate – construction and development1,411,178 1,998,506 
Real estate – commercial and farmland9,054,927 8,445,958 
Real estate – residential4,410,289 4,558,497 
Loans, net of unearned income$21,258,374 $20,739,906 

Accrued interest receivable on loans totaling $76.6 million and $77.3 million at September 30, 2025 and December 31, 2024, respectively, is reported in other assets on the consolidated balance sheets. The Company had no recorded allowance for credit losses related to accrued interest on loans at both September 30, 2025 and December 31, 2024.

Nonaccrual and Past-Due Loans

A loan is placed on nonaccrual status when, in management’s judgment, the collection of the interest income appears doubtful. Interest receivable that has been accrued and is subsequently determined to have doubtful collectability is charged to interest income. Interest on loans that are classified as nonaccrual is subsequently applied to principal until the loans are returned to accrual status. The Company’s loan policy states that a nonaccrual loan may be returned to accrual status when (i) none of its principal and interest is due and unpaid, and the Company expects repayment of the remaining contractual principal and interest, or (ii) it otherwise becomes well secured and in the process of collection. Restoration to accrual status on any given loan must be supported by a well-documented credit evaluation of the borrower’s financial condition and the prospects for full repayment, approved by the Company’s Chief Credit Officer. Past-due loans are loans whose principal or interest is past due 30 days or more. In some cases, where borrowers are experiencing financial difficulties, loans may be restructured to provide terms significantly different from the original contractual terms.

The following table presents an analysis of loans accounted for on a nonaccrual basis:

(dollars in thousands)September 30, 2025December 31, 2024
Commercial and industrial$12,238 $11,875 
Consumer 715 782 
Real estate – construction and development951 3,718 
Real estate – commercial and farmland6,760 11,960 
Real estate – residential(1)
76,299 73,883 
$96,963 $102,218 
(1) Included in real estate - residential were $19.7 million and $12.0 million of serviced GNMA-guaranteed nonaccrual loans at September 30, 2025 and December 31, 2024, respectively.

Interest income recognized on nonaccrual loans during the nine months ended September 30, 2025 and 2024 was not material.
The following table presents an analysis of nonaccrual loans with no related allowance for credit losses:

(dollars in thousands)September 30, 2025December 31, 2024
Commercial and industrial$2,306 $3,866 
Real estate – construction and development— 2,624 
Real estate – commercial and farmland4,414 9,357 
Real estate – residential40,600 36,512 
$47,320 $52,359 

The following table presents an analysis of past-due loans as of September 30, 2025 and December 31, 2024:

(dollars in thousands)Loans
30-59
Days Past
Due		Loans
60-89
Days
Past Due		Loans 90
or More
Days Past
Due		Total
Loans
Past Due		Current
Loans		Total
Loans		Loans 90
Days or
More Past
Due and
Still
Accruing
September 30, 2025       
Commercial and industrial$7,687 $5,410 $9,567 $22,664 $3,276,605 $3,299,269 $— 
Consumer 619 546 167 1,332 201,356 202,688 — 
Mortgage warehouse— — — — 1,083,941 1,083,941 — 
Municipal— — — — 437,823 437,823 — 
Premium finance15,247 7,516 9,325 32,088 1,326,171 1,358,259 9,325 
Real estate – construction and development275 41 906 1,222 1,409,956 1,411,178 — 
Real estate – commercial and farmland4,307 4,462 5,424 14,193 9,040,734 9,054,927 — 
Real estate – residential39,501 22,643 71,928 134,072 4,276,217 4,410,289 — 
Total$67,636 $40,618 $97,317 $205,571 $21,052,803 $21,258,374 $9,325 
December 31, 2024       
Commercial and industrial$12,300 $5,908 $12,849 $31,057 $2,922,078 $2,953,135 $5,159 
Consumer 2,672 557 319 3,548 218,187 221,735 — 
Mortgage warehouse— — — — 965,053 965,053 — 
Municipal— — — — 441,408 441,408 — 
Premium finance15,068 6,315 12,485 33,868 1,121,746 1,155,614 12,485 
Real estate – construction and development23,102 461 3,786 27,349 1,971,157 1,998,506 89 
Real estate – commercial and farmland6,787 2,435 5,980 15,202 8,430,756 8,445,958 — 
Real estate – residential47,020 15,864 71,070 133,954 4,424,543 4,558,497 — 
Total$106,949 $31,540 $106,489 $244,978 $20,494,928 $20,739,906 $17,733 

Collateral-Dependent Loans

Collateral-dependent loans are loans where repayment is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty. If the Company determines that foreclosure is probable, these loans are written down to the lower of cost or fair value of the collateral less estimated costs to sell. When repayment is expected to be from the operation of the collateral, the allowance for credit losses is calculated as the amount by which the amortized cost basis of the financial asset exceeds the present value of expected cash flows from the operation of the collateral. The Company may, in the alternative, measure the allowance for credit loss as the amount by which the amortized cost basis of the financial asset exceeds the estimated fair value of the collateral.
The following table presents an analysis of individually evaluated collateral-dependent financial assets and related allowance for credit losses:

September 30, 2025December 31, 2024
(dollars in thousands)BalanceAllowance for Credit LossesBalanceAllowance for Credit Losses
Commercial and industrial$3,976 $812 $9,451 $1,072 
Premium finance1,274 1 2,165 130 
Real estate – construction and development585 124 2,979 110 
Real estate – commercial and farmland5,379 263 10,882 149 
Real estate – residential23,058 2,003 23,983 2,302 
$34,272 $3,203 $49,460 $3,763 

Credit Quality Indicators

The Company uses a five category risk grading system to assign a risk grade to each loan in the portfolio. The following is a description of the general characteristics of the grades:

Pass – This grade represents acceptable credit risk to the Company based on factors including creditworthiness of the borrower, current performance and nature of the collateral.

Other Assets Especially Mentioned ("Special Mention") – This grade includes loans that exhibit potential weaknesses that deserve management’s close attention. If left uncorrected, these weaknesses may result in deterioration of the repayment prospects for the asset or in the Company’s credit position at some future date.

Substandard – This grade represents loans which are inadequately protected by the current creditworthiness and paying capacity of the borrower or of the collateral pledged, if any. These assets exhibit a well-defined weakness or are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. These weaknesses may be characterized by past due performance, operating losses or questionable collateral values.

Doubtful – This grade includes loans which exhibit all of the characteristics of a substandard loan with the added provision that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions and values, highly questionable or improbable.

Loss – This grade is assigned to loans which are considered uncollectible and of such little value that their continuance as active assets of the Bank is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing it off.

The following tables present the loan portfolio's amortized cost by class of financing receivable, risk grade and year of origination (in thousands) as of September 30, 2025 and December 31, 2024. Generally, current period renewals of credit are underwritten again at the point of renewal and considered current period originations for purposes of the tables below. The Company had an immaterial amount of revolving loans which converted to term loans and the amortized cost basis of those loans is included in the applicable origination year. There were no loans risk graded doubtful or loss at September 30, 2025 or December 31, 2024.
As of September 30, 2025
Term Loans by Origination YearRevolving Loans Amortized Cost Basis
20252024202320222021PriorTotal
Commercial and Industrial
Risk Grade:
Pass$788,552 $691,070 $453,186 $441,682 $173,241 $77,876 $649,545 $3,275,152 
Special mention288 547 21 956 1,134 1,331 340 4,617 
Substandard2 2,503 8,230 1,378 3,238 3,085 1,064 19,500 
Total commercial and industrial$788,842 $694,120 $461,437 $444,016 $177,613 $82,292 $650,949 $3,299,269 
Current-period gross charge offs$581 $7,116 $9,650 $10,872 $3,267 $882 $— $32,368 
Consumer
Risk Grade:
Pass$68,145 $14,533 $10,944 $4,424 $1,271 $32,224 $69,753 $201,294 
Special mention— — — 10 — 49 — 59 
Substandard156 113 197 68 35 698 68 1,335 
Total consumer$68,301 $14,646 $11,141 $4,502 $1,306 $32,971 $69,821 $202,688 
Current-period gross charge offs$93 $585 $302 $298 $47 $1,248 $— $2,573 
Mortgage Warehouse
Risk Grade:
Pass$— $— $— $— $— $— $1,083,941 $1,083,941 
Total mortgage warehouse$— $— $— $— $— $— $1,083,941 $1,083,941 
Current-period gross charge offs$— $— $— $— $— $— $— $— 
Municipal
Risk Grade:
Pass$26,361 $26,869 $8,847 $43,273 $35,159 $296,495 $819 $437,823 
Total municipal$26,361 $26,869 $8,847 $43,273 $35,159 $296,495 $819 $437,823 
Current-period gross charge offs$— $— $— $— $— $— $— $— 
Premium Finance
Risk Grade:
Pass$1,307,446 $41,062 $426 $— $— $— $— $1,348,934 
Substandard6,605 2,720 — — — — — 9,325 
Total premium finance$1,314,051 $43,782 $426 $— $— $— $— $1,358,259 
Current-period gross charge offs$666 $6,144 $207 $1 $— $— $— $7,018 
As of September 30, 2025
Term Loans by Origination YearRevolving Loans Amortized Cost Basis
20252024202320222021PriorTotal
Real Estate – Construction and Development
Risk Grade:
Pass$472,897 $393,261 $64,431 $226,959 $133,106 $42,682 $74,186 $1,407,522 
Special mention— — — 674 — 1,884 — 2,558 
Substandard— 259 103 4 335 397 — 1,098 
Total real estate – construction and development$472,897 $393,520 $64,534 $227,637 $133,441 $44,963 $74,186 $1,411,178 
Current-period gross charge offs$— $— $— $— $— $— $— $— 
Real Estate – Commercial and Farmland
Risk Grade:
Pass$662,584 $312,169 $462,341 $2,855,930 $2,073,773 $2,511,001 $102,152 $8,979,950 
Special mention— — — 869 17,332 9,803 — 28,004 
Substandard9,000 344 1,538 17,468 2,985 15,538 100 46,973 
Total real estate – commercial and farmland$671,584 $312,513 $463,879 $2,874,267 $2,094,090 $2,536,342 $102,252 $9,054,927 
Current-period gross charge offs$— $— $— $— $— $692 $— $692 
Real Estate - Residential
Risk Grade:
Pass$186,091 $163,408 $557,611 $1,196,831 $983,717 $921,533 $314,651 $4,323,842 
Special mention— — 8 48 43 1,171 728 1,998 
Substandard1,455 8,082 9,874 17,411 10,198 29,634 7,795 84,449 
Total real estate - residential$187,546 $171,490 $567,493 $1,214,290 $993,958 $952,338 $323,174 $4,410,289 
Current-period gross charge offs$— $57 $171 $192 $— $170 $— $590 
Total Loans
Risk Grade:
Pass$3,512,076 $1,642,372 $1,557,786 $4,769,099 $3,400,267 $3,881,811 $2,295,047 $21,058,458 
Special mention288 547 29 2,557 18,509 14,238 1,068 37,236 
Substandard17,218 14,021 19,942 36,329 16,791 49,352 9,027 162,680 
Total loans$3,529,582 $1,656,940 $1,577,757 $4,807,985 $3,435,567 $3,945,401 $2,305,142 $21,258,374 
Total current-period gross charge offs$1,340 $13,902 $10,330 $11,363 $3,314 $2,992 $— $43,241 
As of December 31, 2024
Term Loans by Origination YearRevolving Loans Amortized Cost Basis
20242023202220212020PriorTotal
Commercial and Industrial
Risk Grade:
Pass$919,301 $594,485 $523,513 $246,036 $72,397 $46,358 $512,778 $2,914,868 
Special mention892 28 1,938 1,311 777 2,960 3,319 11,225 
Substandard885 2,214 4,384 7,222 655 4,555 7,127 27,042 
Total commercial and industrial$921,078 $596,727 $529,835 $254,569 $73,829 $53,873 $523,224 $2,953,135 
Consumer
Risk Grade:
Pass$58,113 $18,575 $8,684 $2,371 $17,405 $31,962 $83,143 $220,253 
Special mention8 — 14 — 9 61 — 92 
Substandard113 206 81 48 179 648 115 1,390 
Total consumer$58,234 $18,781 $8,779 $2,419 $17,593 $32,671 $83,258 $221,735 
Mortgage Warehouse
Risk Grade:
Pass$— $— $— $— $— $— $965,053 $965,053 
Total mortgage warehouse$— $— $— $— $— $— $965,053 $965,053 
Municipal
Risk Grade:
Pass$20,133 $9,094 $44,482 $36,468 $139,046 $191,559 $626 $441,408 
Total municipal$20,133 $9,094 $44,482 $36,468 $139,046 $191,559 $626 $441,408 
Premium Finance
Risk Grade:
Pass$1,141,370 $1,648 $28 $83 $— $— $— $1,143,129 
Substandard12,001 483 1 — — — — 12,485 
Total premium finance$1,153,371 $2,131 $29 $83 $— $— $— $1,155,614 
Real Estate – Construction and Development
Risk Grade:
Pass$523,704 $245,526 $835,742 $245,091 $3,619 $73,816 $66,449 $1,993,947 
Special mention— — 160 65 — 275 — 500 
Substandard— 151 3,020 337 — 551 — 4,059 
Total real estate – construction and development$523,704 $245,677 $838,922 $245,493 $3,619 $74,642 $66,449 $1,998,506 
Real Estate – Commercial and Farmland
Risk Grade:
Pass$330,472 $456,486 $2,373,426 $2,173,060 $990,712 $1,866,277 $113,916 $8,304,349 
Special mention— — 3,069 14,844 14,706 63,717 — 96,336 
Substandard— 1,551 16,979 3,855 12,730 10,158 — 45,273 
Total real estate – commercial and farmland$330,472 $458,037 $2,393,474 $2,191,759 $1,018,148 $1,940,152 $113,916 $8,445,958 
As of December 31, 2024
Term Loans by Origination YearRevolving Loans Amortized Cost Basis
20242023202220212020PriorTotal
Real Estate - Residential
Risk Grade:
Pass$193,939 $628,098 $1,291,666 $1,046,164 $460,887 $561,386 $292,193 $4,474,333 
Special mention— 10 52 16 157 1,375 1,173 2,783 
Substandard2,718 9,880 14,040 9,885 10,603 26,236 8,019 81,381 
Total real estate - residential$196,657 $637,988 $1,305,758 $1,056,065 $471,647 $588,997 $301,385 $4,558,497 
Total Loans
Risk Grade:
Pass$3,187,032 $1,953,912 $5,077,541 $3,749,273 $1,684,066 $2,771,358 $2,034,158 $20,457,340 
Special mention900 38 5,233 16,236 15,649 68,388 4,492 110,936 
Substandard15,717 14,485 38,505 21,347 24,167 42,148 15,261 171,630 
Total loans$3,203,649 $1,968,435 $5,121,279 $3,786,856 $1,723,882 $2,881,894 $2,053,911 $20,739,906 

Allowance for Credit Losses on Loans

The allowance for credit losses represents an allowance for expected losses over the remaining contractual life of the assets. The contractual term does not consider extensions, renewals or modifications. The Company segregates the loan portfolio by type of loan and utilizes this segregation in evaluating exposure to risks within the portfolio.

Loan losses are charged against the allowance when management believes the collection of a loan’s principal is unlikely. Subsequent recoveries are credited to the allowance. Consumer loans are charged off in accordance with the Federal Financial Institutions Examination Council’s (the “FFIEC”) Uniform Retail Credit Classification and Account Management Policy. Commercial loans are charged off when they are deemed uncollectible, which usually involves a triggering event within the collection effort. If the loan is collateral dependent, the loss is more easily identified and is charged off when it is identified, usually based upon receipt of an appraisal. However, when a loan has guarantor support, the Company may carry the estimated loss as a reserve against the loan while collection efforts with the guarantor are pursued. If, after collection efforts with the guarantor are complete, the deficiency is still considered uncollectible, the loss is charged off and any further collections are treated as recoveries. In all situations, when a loan is downgraded to an Asset Quality Rating of Loss, the uncollectible portion is charged off.

The Company’s methodologies for estimating the allowance for credit losses consider available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts. The methodologies apply historical loss information, adjusted for asset-specific characteristics, economic conditions at the measurement date, and forecasts about future economic conditions expected to exist through the contractual lives of the financial assets that are reasonable and supportable, to the identified pools of loans with similar risk characteristics for which the historical loss experience was observed. The Company utilizes a one year reasonable and supportable forecast period. The Company’s methodologies revert back to historical loss information on a straight-line basis over four quarters after the reasonable and supportable forecast period.

During the nine months ended September 30, 2025, the allowance for credit losses increased due to the current economic forecast, an increase in the office portfolio qualitative factor and organic loan growth, partially offset by a change in the mix of loans. The allowance for credit losses was determined at September 30, 2025 using an equal weighting of two economic forecasts from Moody's in order to align with management's best estimate over the reasonable and supportable forecast period. The Moody's baseline and downside 75th percentile S-2 scenarios were equally weighted. The allowance for credit losses was determined at December 31, 2024 using the Moody's baseline scenario economic forecast weighted at 75% and the downside 75th percentile S-2 scenario was weighted at 25%. The current forecast reflects, among other things, increases in unemployment and commercial real estate vacancies, along with declines in GDP and home price indices compared with the forecast at December 31, 2024.
The following tables detail activity and end of period balances in the allowance for credit losses by portfolio segment for the periods indicated. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.

Three Months Ended September 30, 2025
(dollars in thousands)Commercial and IndustrialConsumerMortgage WarehouseMunicipalPremium FinanceReal Estate – Construction and Development
Balance, June 30, 2025$88,985 $6,573 $2,280 $58 $783 $47,306 
Provision for loan losses6,570 (630)(72)— 268 2,925 
Loans charged off(9,992)(720)— — (1,970)— 
Recoveries of loans previously charged off3,786 237 — — 1,779 27 
Balance, September 30, 2025$89,349 $5,460 $2,208 $58 $860 $50,258 
Real Estate –
Commercial and
Farmland		Real Estate –
Residential		Total
Balance, June 30, 2025$127,794 $67,788 $341,567 
Provision for loan losses2,002 113 11,176 
Loans charged off(692)(257)(13,631)
Recoveries of loans previously charged off114 239 6,182 
Balance, September 30, 2025$129,218 $67,883 $345,294 
Nine Months Ended September 30, 2025
(dollars in thousands)Commercial
and Industrial		ConsumerMortgage WarehouseMunicipalPremium FinanceReal Estate – Construction and Development
Balance, December 31, 2024$87,242 $7,327 $2,262 $58 $736 $60,421 
Provision for loan losses22,303 (77)(54)— 1,030 (10,199)
Loans charged off(32,368)(2,573)— — (7,018)— 
Recoveries of loans previously charged off12,172 783 — — 6,112 36 
Balance, September 30, 2025$89,349 $5,460 $2,208 $58 $860 $50,258 
Real Estate –
Commercial and
Farmland		Real Estate –
Residential		Total
Balance, December 31, 2024$118,377 $61,661 $338,084 
Provision for loan losses11,317 6,485 30,805 
Loans charged off(692)(590)(43,241)
Recoveries of loans previously charged off216 327 19,646 
Balance, September 30, 2025$129,218 $67,883 $345,294 
Three Months Ended September 30, 2024
(dollars in thousands)Commercial and IndustrialConsumerMortgage WarehouseMunicipalPremium FinanceReal Estate – Construction and Development
Balance, June 30, 2024$66,542 $3,479 $2,142 $60 $702 $77,482 
Provision for loan losses8,463 1,222 30 137 180 (2,506)
Loans charged off(12,316)(853)— — (2,102)— 
Recoveries of loans previously charged off4,979 309 — — 1,860 6 
Balance, September 30, 2024$67,668 $4,157 $2,172 $197 $640 $74,982 
Real Estate –
Commercial and
Farmland		Real Estate –
Residential		Total
Balance, June 30, 2024$121,963 $63,848 $336,218 
Provision for loan losses(1,885)672 6,313 
Loans charged off(58)(23)(15,352)
Recoveries of loans previously charged off61 63 7,278 
Balance, September 30, 2024$120,081 $64,560 $334,457 
Nine Months Ended September 30, 2024
(dollars in thousands)Commercial
and Industrial		ConsumerMortgage WarehouseMunicipalPremium FinanceReal Estate – Construction and Development
Balance, December 31, 2023$64,053 $3,952 $1,678 $345 $602 $61,017 
Provision for loan losses31,479 2,102 494 (148)343 13,911 
Loans charged off(40,150)(2,974)— — (6,910)— 
Recoveries of loans previously charged off12,286 1,077 — — 6,605 54 
Balance, September 30, 2024$67,668 $4,157 $2,172 $197 $640 $74,982 
Real Estate –
Commercial and
Farmland		Real Estate –
Residential		Total
Balance, December 31, 2023$110,097 $65,356 $307,100 
Provision for loan losses9,900 (897)57,184 
Loans charged off(571)(49)(50,654)
Recoveries of loans previously charged off655 150 20,827 
Balance, September 30, 2024$120,081 $64,560 $334,457 

Modifications to Borrowers Experiencing Financial Difficulty

The Company periodically provides modifications to borrowers experiencing financial difficulty. Loan modifications, renewals, and refinancings where borrowers are experiencing financial difficulty are evaluated for classification as a modification to borrowers experiencing financial difficulty. To be classified as such, the modifications must be in the form of payment deferrals, term extensions, interest rate reductions, principal forgiveness or combinations of modification types. The determination of whether the borrower is experiencing financial difficulty is made on the date of the modification. When principal forgiveness is provided, the amount of principal forgiveness is charged off against the allowance for credit losses with a corresponding reduction in the amortized cost basis of the loan.
The following table shows the amortized cost basis of the loans modified to borrowers experiencing financial difficulty, disaggregated by class of financing receivable and type of concession granted during the three and nine months ended September 30, 2025 and 2024:

Three Months Ended September 30, 2025
(dollars in thousands)Payment DeferralTerm ExtensionCombination Payment Deferral and Rate ReductionCombination Payment Deferral and Term ExtensionCombination of Term Extension and Rate ReductionTotalPercentage of Total Class of Financial Receivable
Real estate – residential$1,155 $1,749 $— $— $725 $3,629 0.1 %
Total$1,155 $1,749 $— $— $725 $3,629 — %
Nine Months Ended September 30, 2025
(dollars in thousands)Payment DeferralTerm ExtensionCombination Payment Deferral and Rate ReductionCombination Payment Deferral and Term ExtensionCombination of Term Extension and Rate ReductionTotalPercentage of Total Class of Financial Receivable
Commercial and industrial$— $5,747 $— $— $— $5,747 0.2 %
Real estate – commercial and farmland— 700 — 9,690 — 10,390 0.1 %
Real estate – residential2,265 5,275 505 — 2,023 10,068 0.2 %
Total$2,265 $11,722 $505 $9,690 $2,023 $26,205 0.1 %

Three Months Ended September 30, 2024
(dollars in thousands)Payment DeferralTerm ExtensionInterest Rate ReductionCombination of Term Extension and Rate ReductionTotalPercentage of Total Class of Financial Receivable
Real estate – residential$— $3,185 $835 $2,833 $6,853 0.1 %
Total$— $3,185 $835 $2,833 $6,853 — %

Nine Months Ended September 30, 2024
(dollars in thousands)Payment DeferralTerm ExtensionInterest Rate ReductionCombination of Term Extension and Rate ReductionTotalPercentage of Total Class of Financial Receivable
Commercial and industrial$605 $— $— $— $605 — %
Real estate – residential— 8,671 1,336 4,170 14,177 0.3 %
Total$605 $8,671 $1,336 $4,170 $14,782 0.1 %

The Company had unfunded commitments to borrowers experiencing financial difficulty for which the Company has modified their loans of $2.0 million and $179,000 at September 30, 2025 and December 31, 2024, respectively.
The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty during the three and nine months ended September 30, 2025 and 2024, respectively:

Three Months Ended September 30, 2025
Loan TypeFinancial Effect
Payment Deferral
Real estate – residential
Payments were deferred for a weighted average 10 months
Term Extension
Real estate – residential
Maturity dates were extended for a weighted average of 67 months
Combination Term Extension and Rate Reduction
Real estate – residential
Maturity dates were extended for a weighted average 36 months and rate was reduced by a weighted average 2.75%

Nine Months Ended September 30, 2025
Loan TypeFinancial Effect
Payment Deferral
Real estate – residential
Payments were deferred for a weighted average of 9 months
Term Extension
Commercial and industrial
Maturity dates were extended for a weighted average of 13 months
Real estate – commercial and farmland
Maturity dates were extended for a weighted average of 9 months
Real estate – residential
Maturity dates were extended for a weighted average of 83 months
Combination Payment Deferral and Term Extension
Real estate – commercial and farmland
Maturity dates were extended for a weighted average 3 months and payments were deferred for 12 months
Combination Term Extension and Rate Reduction
Real estate – residential
Maturity dates were extended for a weighted average 37 months and rate was reduced by a weighted average 1.42%
Combination Payment Deferral and Rate Reduction
Real estate – residential
Payments were deferred for 7 months and rate was reduced by a weighted average 1.50%
Three Months Ended September 30, 2024
Loan TypeFinancial Effect
Interest Rate Reduction
Real estate – residential
Rate was reduced by 3.63%
Term Extension
Real estate – residential
Maturity dates were extended for a weighted average of 94 months
Combination Term Extension and Rate Reduction
Real estate – residential
Maturity dates were extended for a weighted average 101 months and rate was reduced by a weighted average 2.35%

Nine Months Ended September 30, 2024
Loan TypeFinancial Effect
Interest Rate Reduction
Real estate – residential
Rate was reduced by a weighted average 2.88%
Payment Deferral
Commercial and industrial
Payments were deferred for 16 months
Term Extension
Real estate – residential
Maturity dates were extended for a weighted average of 89 months
Combination Term Extension and Rate Reduction
Real estate – residential
Maturity dates were extended for a weighted average 104 months and rate was reduced by a weighted average 2.51%

The Company monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table depicts the performance of loans that have been modified in the last 12 months:

As of September 30, 2025

(dollars in thousands)
Current30-59
Days Past Due		60-89
Days Past Due		90 or More Days Past DueTotal
Commercial and industrial$5,747 $— $— $— $5,747 
Real estate – commercial and farmland10,608 — 329 — 10,937 
Real estate – residential6,376 4,201 2,270 4,817 17,664 
Total$22,731 $4,201 $2,599 $4,817 $34,348 

As of September 30, 2024

(dollars in thousands)
Current30-59
Days Past Due		60-89
Days Past Due		90 or More Days Past DueTotal
Commercial and industrial$2,343 $959 $— $— $3,302 
Real estate – commercial and farmland2,544 — — — 2,544 
Real estate – residential11,189 2,872 615 2,572 17,248 
Total$16,076 $3,831 $615 $2,572 $23,094 
The following table provides the amortized cost basis of financing receivables that had a payment default during the three months ended September 30, 2025 and were modified in the 12 months before default to borrowers experiencing financial difficulty.

(dollars in thousands)Term ExtensionPayment DeferralCombination of Payment Deferral and Term ExtensionCombination of Term Extension and Rate ReductionCombination Payment Deferral and Rate ReductionTotal
Real estate – commercial and farmland$— $— $329 $— $— $329 
Real estate – residential5,128 1,638 — 4,017 505 $11,288 
Total$5,128 $1,638 $329 $4,017 $505 $11,617 
The following table provides the amortized cost basis of financing receivables that had a payment default during the nine months ended September 30, 2025 and were modified in the 12 months before default to borrowers experiencing financial difficulty.
(dollars in thousands)Term ExtensionPayment DeferralCombination of Payment Deferral and Term ExtensionCombination of Term Extension and Rate ReductionCombination Payment Deferral and Rate ReductionTotal
Real estate – commercial and farmland$547 $— $329 $— $— 876 
Real estate – residential5,711 1,638 — 4,017 505 $11,871 
Total$6,258 $1,638 $329 $4,017 $505 $12,747 

The following table provides the amortized cost basis of financing receivables that had a payment default during three months ended September 30, 2024 and were modified in the 12 months before default to borrowers experiencing financial difficulty.
(dollars in thousands)Interest Rate ReductionTerm ExtensionPayment DeferralCombination of Term Extension and Rate ReductionTotal
Commercial and industrial$— $— $959 $— $959 
Real estate – commercial and farmland815 — — — 815 
Real estate – residential— 5,793 — 2,233 8,026 
Total$815 $5,793 $959 $2,233 $9,800 

The following table provides the amortized cost basis of financing receivables that had a payment default during nine months ended September 30, 2024 and were modified in the 12 months before default to borrowers experiencing financial difficulty.

(dollars in thousands)Interest Rate ReductionTerm ExtensionPayment DeferralCombination of Term Extension and Rate ReductionTotal
Commercial and industrial$— $— $1,056 $— $1,056 
Real estate – commercial and farmland815 — — — 815 
Real estate – residential— 6,400 — 2,233 8,633 
Total$815 $6,400 $1,056 $2,233 $10,504