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Derivative Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of financial instruments owned and pledged as collateral
Busey had loans pledged to the FHLB and Federal Reserve for liquidity as set forth in the table below (dollars in thousands):
As of
June 30,
2023		December 31,
2022
Pledged loans
FHLB$4,817,800 $5,095,448 
Federal Reserve Bank793,823 804,718 
Total pledged loans$5,611,623 $5,900,166 
To secure its obligations under derivative contracts, Busey pledged cash and held collateral as follows (dollars in thousands):
As of
June 30,
2023		December 31,
2022
Cash pledged to secure obligations under derivative contracts$34,210 $38,609 
Collateral held to secure obligations under derivative contracts27,670 29,830 
Summary of the interest-rate swaps designated as cash flow hedges
A summary of the interest-rate swaps designated as cash flow hedges is presented below (dollars in thousands):
As of
LocationJune 30,
2023		December 31,
2022
Debt Swap
Notional amount$50,000 $50,000 
Weighted average fixed pay rates1.79 %1.79 %
Weighted average variable 3-month LIBOR receive rates5.55 %4.77 %
Weighted average maturity
1.21 years
1.71 years
Loan Swap
Notional amount$300,000 $300,000 
Weighted average fixed receive rates4.81 %4.81 %
Weighted average variable Prime pay rates8.25 %7.32 %
Weighted average maturity
5.61 years
6.10 years
Gross aggregate fair value of the swaps
Gross aggregate fair value of swap assetsOther assets$2,230 $2,535 
Gross aggregate fair value of swap liabilitiesOther liabilities32,505 32,367 
Balances carried in AOCI
Unrealized gains (losses) on cash flow hedges, net of taxAOCI$(21,153)$(20,985)
Reclassification of unrealized gains and losses from OCI
Busey expects to reclassify unrealized gains and losses from OCI to interest income and interest expense as shown in the following table, during the next 12 months (dollars in thousands). Amounts actually recognized could differ from these expectations due to changes in interest rates, hedge de-designations, and the addition of other hedges subsequent to June 30, 2023.
As of
June 30, 2023
Unrealized gains (losses) in OCI expected to be recognized in income
Unrealized losses expected to be reclassified from OCI to interest income$(859)
Unrealized gains expected to be reclassified from OCI to interest expense481 
Net unrealized gains (losses) in OCI expected to be recognized in net interest income$(378)
Schedule of interest income (expense) recorded on swap transactions
Interest expense recorded on these swap transactions was as follows for the periods presented (dollars in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2023202220232022
Interest on swap transactions
Increase (decrease) in interest income on swap transactions$(2,537)$668 $(4,729)$1,353 
(Increase) decrease in interest expense on swap transactions404 (101)787 (286)
Net increase (decrease) in net interest income on swap transactions$(2,133)$567 $(3,942)$1,067 
Summary of Net gains (losses) relating to these derivative instruments
The following table reflects the net gains (losses) relating to cash flow derivative instruments that were recorded in AOCI and the unaudited Consolidated Statements of Income during the periods presented (dollars in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2023202220232022
Unrealized gains (losses) on cash flow hedges
Net gain (loss) recognized in OCI, net of tax$(6,036)$(6,550)$(2,986)$(11,395)
(Gain) loss reclassified from OCI to interest income, net of tax1,813 (479)3,380 (968)
(Gain) loss reclassified from OCI to interest expense, net of tax(288)72 (562)204 
Net change in unrealized gains (losses) on cash flow hedges, net of tax$(4,511)$(6,957)$(168)$(12,159)
Changes in fair value of these derivative assets and liabilities are recorded in noninterest expense in the unaudited Consolidated Statements of Income and summarized as follows (dollars in thousands):
Three Months Ended June 30,Six Months Ended June 30,
Location2023202220232022
Interest rate swaps
Pay floating, receive fixedNoninterest expense$3,306 $7,025 $(4,361)$3,475 
Pay fixed, receive floatingNoninterest expense(3,306)(7,025)4,361 (3,475)
Net change in fair value of interest rate swaps$— $— $— $— 
Net gains (losses) relating to these derivative instruments are summarized as follows for the periods presented (dollars in thousands):
Three Months Ended June 30,Six Months Ended June 30,
Location2023 20222023 2022
Net gains (losses)
Interest rate lock commitmentsMortgage revenue$(49)$134 $(12)$149 
Forward sales commitmentsMortgage revenue86 (319)32 (213)
Net gains (losses)$37 $(185)$20 $(64)
Summary of fair values of derivative assets and liabilities recorded in consolidated balance sheet
Amounts and fair values of derivative assets and liabilities related to customer interest rate swaps recorded in the Consolidated Balance Sheets are summarized as follows (dollars in thousands):
As of June 30, 2023
Derivative AssetDerivative Liability
Notional
Amount		Fair
Value		Notional
Amount		Fair
Value
Derivatives not designated as hedging instruments
Interest rate swaps – pay floating, receive fixed$21,803 $185 $601,384 $35,750 
Interest rate swaps – pay fixed, receive floating601,384 35,750 21,803 185 
Total derivatives not designated as hedging instruments$623,187 $35,935 $623,187 $35,935 
As of December 31, 2022
Derivative AssetDerivative Liability
Notional
Amount		Fair
Value		Notional
Amount		Fair
Value
Derivatives not designated as hedging instruments
Interest rate swaps – pay floating, receive fixed$48,728 $370 $528,183 $39,685 
Interest rate swaps – pay fixed, receive floating528,183 39,685 48,728 370 
Total derivatives not designated as hedging instruments$576,911 $40,055 $576,911 $40,055 
Amounts and fair values of mortgage banking derivatives included in the Consolidated Balance Sheets are summarized as follows (dollars in thousands):
As of June 30, 2023As of December 31, 2022
LocationNotional
Amount		Fair
Value		Notional
Amount		Fair
Value
Derivatives with positive fair value
Interest rate lock commitmentsOther assets$1,553 $10 $1,517 $16 
Forward sales commitmentsOther assets1,274 16 83 1 
Mortgage banking derivatives recorded in other assets$2,827 $26 $1,600 $17 
Derivatives with negative fair value
Interest rate lock commitmentsOther liabilities$765 $6 $83 $1 
Forward sales commitmentsOther liabilities2,557 23 2,757 39 
Mortgage banking derivatives recorded in other liabilities$3,322 $29 $2,840 $40 
Schedule of notional amount and fair value of risk participation agreement The risk participation agreements mature between 2026 and 2029, and are summarized as follows (dollars in thousands):
As of
June 30,
2023		December 31,
2022
Risk participation agreements
Number of risk participation agreements3 2 
Notional amount$34,297 $18,899 
Fair value15 5 
Summary of Foreign Currency Forward Contracts Amounts and fair values of derivative assets and liabilities related to foreign currency contracts recorded in the Consolidated Balance Sheets are summarized as follows (dollars in thousands):
As of June 30, 2023
Derivative AssetDerivative Liability
Notional
Amount		Fair
Value		Notional
Amount		Fair
Value
Foreign currency forward contracts
Foreign currency exchange forward contract (Buy)$354 $47 $— $— 
Foreign currency exchange forward contract (Sell)— — 344 (37)
Total foreign currency forward contracts$354 $47 $344 $(37)