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Investment Securities | 3 Months Ended
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Mar. 31, 2021
Investments, Debt and Equity Securities [Abstract] |
Investment Securities | INVESTMENT SECURITIES The amortized cost and fair value of investment securities as of March 31, 2021 and December 31, 2020 are summarized in the tables below:
| March 31, 2021 (1)
(amounts in thousands) | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Fair Value
Available for sale debt securities: |  |  |  |  |  |  |
Asset-backed securities | $ | 381,525 |  |  | $ | 5,717 |  |  | $ | (249) |  |  | $ | 386,993 |
U.S. government agencies securities | 20,000 |  |  | 53 |  |  | — |  |  | 20,053 |
Agency-guaranteed mortgage-backed securities | 37,933 |  |  | 9 |  |  | (308) |  |  | 37,634 |
Agency-guaranteed collateralized mortgage obligations | 211,226 |  |  | 365 |  |  | (487) |  |  | 211,104 |
Collateralized loan obligations | 162,998 |  |  | 139 |  |  | (43) |  |  | 163,094 |
Commercial mortgage-backed securities | 13,059 |  |  | — |  |  | — |  |  | 13,059 |
Corporate notes (2) | 255,126 |  |  | 3,422 |  |  | (624) |  |  | 257,924 |
Private label collateralized mortgage obligations | 329,367 |  |  | 1,277 |  |  | (1,955) |  |  | 328,689 |
State and political subdivision debt securities (3) | 18,481 |  |  | 46 |  |  | — |  |  | 18,527 |
Available for sale debt securities | $ | 1,429,715 |  |  | $ | 11,028 |  |  | $ | (3,666) |  |  | 1,437,077 |
Equity securities (4) |  |  |  |  |  |  | 4,827 |
Total investment securities, at fair value |  |  |  |  |  |  | $ | 1,441,904 |
| December 31, 2020 (1)
(amounts in thousands) | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Fair Value
Available for sale debt securities: |  |  |  |  |  |  |
Asset-backed securities | $ | 372,640 |  |  | $ | 4,515 |  |  | $ | (10) |  |  | $ | 377,145 |
U.S. government agencies securities | 20,000 |  |  | 34 |  |  | — |  |  | 20,034 |
Agency-guaranteed mortgage-backed securities | 61,178 |  |  | 1,913 |  |  | — |  |  | 63,091 |
Agency-guaranteed collateralized mortgage obligations | 160,950 |  |  | 916 |  |  | (99) |  |  | 161,767 |
Collateralized loan obligations | 32,367 |  |  | — |  |  | — |  |  | 32,367 |
Corporate notes (2) | 372,764 |  |  | 24,144 |  |  | (164) |  |  | 396,744 |
Private label collateralized mortgage obligations | 136,943 |  |  | 423 |  |  | (374) |  |  | 136,992 |
State and political subdivision debt securities (3) | 17,346 |  |  | 945 |  |  | — |  |  | 18,291 |
Available for sale debt securities | $ | 1,174,188 |  |  | $ | 32,890 |  |  | $ | (647) |  |  | 1,206,431 |
Equity securities (4) |  |  |  |  |  |  | 3,854 |
Total investment securities, at fair value |  |  |  |  |  |  | $ | 1,210,285 |
(1)Accrued interest on AFS debt securities totaled $4.3 million and $4.2 million at March 31, 2021 and December 31, 2020, respectively, and is included in accrued interest receivable on the consolidated balance sheet. (2)Includes corporate securities issued by domestic bank holding companies. (3)Includes both taxable and non-taxable municipal securities. (4)Includes equity securities issued by a foreign entity. During the three months ended March 31, 2021 and 2020, Customers recognized unrealized gains of $1.0 million and unrealized losses of $1.4 million, respectively, on its equity securities. These unrealized gains and losses are reported as unrealized gain (loss) on investment securities within non-interest income on the consolidated statements of income. Proceeds from the sale of AFS securities were $353.9 million for the three months ended March 31, 2021. Proceeds from the sale of AFS securities during the three months ended March 31, 2020 were received in April 2020. Realized gains from the sale of AFS debt securities were $23.6 million and $4.0 million for the three months ended March 31, 2021 and 2020, respectively. These gains (losses) were determined using the specific identification method and were reported as gain (loss) on sale of investment securities within non-interest income on the consolidated statements of income. The following table shows debt securities by stated maturity. Debt securities backed by mortgages and other assets have expected maturities that differ from contractual maturities because borrowers have the right to call or prepay and, therefore, these debt securities are classified separately with no specific maturity date:
| March 31, 2021
(amounts in thousands) | Amortized Cost |  | Fair Value
Due in one year or less | $ | — |  |  | $ | — |
Due after one year through five years | 140,681 |  |  | 141,641 |
Due after five years through ten years | 142,991 |  |  | 144,893 |
Due after ten years | 9,935 |  |  | 9,970 |
Asset-backed securities | 381,525 |  |  | 386,993 |
Collateralized loan obligations | 162,998 |  |  | 163,094 |
Commercial mortgage-backed securities | 13,059 |  |  | 13,059 |
Agency-guaranteed mortgage-backed securities | 37,933 |  |  | 37,634 |
Private label collateralized mortgage obligations | 329,367 |  |  | 328,689 |
Agency-guaranteed collateralized mortgage obligations | 211,226 |  |  | 211,104 |
Total debt securities | $ | 1,429,715 |  |  | $ | 1,437,077 |
Gross unrealized losses and fair value of Customers' AFS debt securities aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2021 were as follows:
| March 31, 2021
| Less Than 12 Months |  | 12 Months or More |  | Total
(amounts in thousands) | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses |  | Fair Value |  | Unrealized Losses
Available for sale debt securities: |  |  |  |  |  |  |  |  |  |  |
Asset-backed securities | $ | 90,064 |  |  | $ | (249) |  |  | $ | — |  |  | $ | — |  |  | $ | 90,064 |  |  | $ | (249) |
Agency-guaranteed mortgage-backed securities | 10,377 |  |  | (308) |  |  | — |  |  | — |  |  | 10,377 |  |  | (308) |
Agency-guaranteed collateralized mortgage obligations | 55,825 |  |  | (487) |  |  | — |  |  | — |  |  | 55,825 |  |  | (487) |
Collateralized loan obligations | 55,703 |  |  | (43) |  |  | — |  |  | — |  |  | 55,703 |  |  | (43) |
Corporate notes | 48,905 |  |  | (624) |  |  | — |  |  | — |  |  | 48,905 |  |  | (624) |
Private label collateralized mortgage obligations | 108,417 |  |  | (1,955) |  |  | — |  |  | — |  |  | 108,417 |  |  | (1,955) |
Total | $ | 369,291 |  |  | $ | (3,666) |  |  | $ | — |  |  | $ | — |  |  | $ | 369,291 |  |  | $ | (3,666) |
At March 31, 2021, there were thirty AFS debt securities with unrealized losses in the less-than-twelve-month category and no AFS debt securities with unrealized losses in the twelve-month-or-more category. The unrealized losses were principally due to changes in market interest rates that resulted in a negative impact on the respective securities' fair value. All amounts related to these securities are expected to be recovered when market prices recover or at maturity. Customers does not intend to sell any of the 30 securities, and it is not more likely than not that Customers will be required to sell any of the 30 securities before recovery of the amortized cost basis. At December 31, 2020, there were sixteen AFS debt securities in an unrealized loss position. At March 31, 2021 and December 31, 2020, Customers Bank had pledged investment securities aggregating $17.6 million and $18.8 million in fair value, respectively, as collateral primarily for an unused line of credit with another financial institution. These counterparties do not have the ability to sell or repledge these securities. At March 31, 2021 and December 31, 2020, no securities holding of any one issuer, other than the U.S. government and its agencies, amounted to greater than 10% of shareholders' equity.

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- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2209399 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2324412 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI http://asc.fasb.org/topic&trid=2196928 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2176304 + Details
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