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REGULATORY CAPITAL REQUIREMENTS | 12 Months Ended
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Dec. 31, 2019
Banking and Thrift [Abstract] |
REGULATORY CAPITAL REQUIREMENTS | REGULATORY MATTERS Regulatory Capital Requirements The Company and the Bank are 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 Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of the Company’s and the Bank’s assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. At December 31, 2019 the most recent notification from the Federal Deposit Insurance Corporation indicated that the Bank's capital levels met or exceeded the minimum levels to be considered "well capitalized" for bank regulatory purposes. To be categorized as well capitalized, an institution must maintain minimum total risk-based, Tier 1 risk-based, Common equity Tier 1 risk-based and Tier 1 leverage ratios as set forth in the following tables. There are no conditions or events since the notification that management believes have changed the Bank’s category. Management believes, as of December 31, 2019 and 2018, that the Company and the Bank met all capital adequacy requirements to which they are subject. The Company’s and the Bank’s actual capital amounts and ratios as of December 31, 2019 and 2018 are also presented in the table that follows:
| Actual |  | For Capital Adequacy Purposes |  | To Be Well Capitalized Under Prompt Corrective Action Provisions
| Amount |  | Ratio |  | Amount |  |  |  | Ratio |  | Amount |  |  |  | Ratio
| December 31, 2019
| (Dollars in thousands)
Independent Bank Corp. |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total capital (to risk weighted assets) | $ | 1,352,341 |  |  | 14.83 | % |  | $ | 729,291 |  |  | ≥ |  | 8.0 | % |  | N/A |  |  |  |  | N/A |
Common equity tier 1 capital (to risk weighted assets) | $ | 1,171,963 |  |  | 12.86 | % |  | $ | 410,226 |  |  | ≥ |  | 4.5 | % |  | N/A |  |  |  |  | N/A |
Tier 1 capital (to risk weighted assets) | $ | 1,232,963 |  |  | 13.53 | % |  | $ | 546,969 |  |  | ≥ |  | 6.0 | % |  | N/A |  |  |  |  | N/A |
Tier 1 capital (to average assets) leverage | $ | 1,232,963 |  |  | 11.28 | % |  | $ | 437,271 |  |  | ≥ |  | 4.0 | % |  | N/A |  |  |  |  | N/A |
Rockland Trust Company |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total capital (to risk weighted assets) | $ | 1,275,611 |  |  | 14.00 | % |  | $ | 728,868 |  |  | ≥ |  | 8.0 | % |  | $ | 911,085 |  |  | ≥ |  | 10.0 | %
Common equity tier 1 capital (to risk weighted assets) | $ | 1,205,740 |  |  | 13.23 | % |  | $ | 409,988 |  |  | ≥ |  | 4.5 | % |  | $ | 592,205 |  |  | ≥ |  | 6.5 | %
Tier 1 capital (to risk weighted assets) | $ | 1,205,740 |  |  | 13.23 | % |  | $ | 546,651 |  |  | ≥ |  | 6.0 | % |  | $ | 728,868 |  |  | ≥ |  | 8.0 | %
Tier 1 capital (to average assets) leverage | $ | 1,205,740 |  |  | 11.06 | % |  | $ | 435,886 |  |  | ≥ |  | 4.0 | % |  | $ | 544,857 |  |  | ≥ |  | 5.0 | %
| December 31, 2018
| (Dollars in thousands)
Independent Bank Corp. |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total capital (to risk weighted assets) | $ | 992,454 |  |  | 14.45 | % |  | $ | 549,297 |  |  | ≥ |  | 8.0 | % |  | N/A |  |  |  |  | N/A |
Common equity tier 1 capital (to risk weighted assets) | $ | 818,176 |  |  | 11.92 | % |  | $ | 308,980 |  |  | ≥ |  | 4.5 | % |  | N/A |  |  |  |  | N/A |
Tier 1 capital (to risk weighted assets) | $ | 892,176 |  |  | 12.99 | % |  | $ | 411,973 |  |  | ≥ |  | 6.0 | % |  | N/A |  |  |  |  | N/A |
Tier 1 capital (to average assets) | $ | 892,176 |  |  | 10.69 | % |  | $ | 333,754 |  |  | ≥ |  | 4.0 | % |  | N/A |  |  |  |  | N/A |
Rockland Trust Company |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total capital (to risk weighted assets) | $ | 937,574 |  |  | 13.66 | % |  | $ | 549,036 |  |  | ≥ |  | 8.0 | % |  | $ | 686,295 |  |  | ≥ |  | 10.0 | %
Common equity tier 1 capital (to risk weighted assets) | $ | 872,024 |  |  | 12.71 | % |  | $ | 308,833 |  |  | ≥ |  | 4.5 | % |  | $ | 446,092 |  |  | ≥ |  | 6.5 | %
Tier 1 capital (to risk weighted assets) | $ | 872,024 |  |  | 12.71 | % |  | $ | 411,777 |  |  | ≥ |  | 6.0 | % |  | $ | 549,036 |  |  | ≥ |  | 8.0 | %
Tier 1 capital (to average assets) | $ | 872,024 |  |  | 10.46 | % |  | $ | 333,595 |  |  | ≥ |  | 4.0 | % |  | $ | 416,994 |  |  | ≥ |  | 5.0 | %
In addition to the minimum risk-based capital requirements outlined in the table above, the Company is required to maintain a minimum capital conservation buffer, in the form of common equity, in order to avoid restrictions on capital distributions and discretionary bonuses. The required amount of the capital conservation buffer is 2.5%. The Company's capital levels exceeded the minimum requirement plus the buffer of 2.5% as of December 31, 2019 and 2018. Dividend Restrictions In the ordinary course of business, the Company is dependent upon dividends from the Bank to provide funds for the payment of dividends to shareholders and to provide for other cash requirements. Banking regulations may limit the amount of dividends that may be paid. Approval by regulatory authorities is required if the effect of dividends declared would cause the regulatory capital of the Bank to fall below specified minimum levels. Approval is also required if dividends declared exceed the net profits for that year combined with the retained net profits for the preceding two years. Under the foregoing dividend restrictions and while maintaining its "well capitalized" status, dividends paid by the Bank to the Company for the year ended December 31, 2019 and 2018 totaled $181.7 million and $71.2 million, respectively. Trust Preferred Securities In accordance with the applicable accounting standard related to variable interest entities, the common stock of trusts which have issued trust preferred securities have not been included in the consolidated financial statements. At December 31, 2019 and 2018, there was $61.0 million and $74.0 million, respectively, in trust preferred securities that have been included in the Tier 1 capital of the Company for regulatory reporting purposes pursuant to the Federal Reserve's capital adequacy guidelines. The decrease in 2019 was due to the redemption of trust preferred securities of $13.0 million during the year.

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- Definition The entire disclosure for regulatory capital requirement for depository and lending institutions. Institutions include, but not are not limited to, finance company, insured depository institution, bank holding company, savings and loan association holding company, bank and savings institution not federally insured, mortgage company, foreign financial institution and credit union. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1C -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958572-112826 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1D -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958573-112826 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1B -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958570-112826 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958569-112826 Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1G -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958577-112826 Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1F -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958575-112826 Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1E -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958574-112826 Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958568-112826 Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1H -URI http://asc.fasb.org/extlink&oid=117337116&loc=d3e65071-112826 + Details
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