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DERIVATIVE FINANCIAL INSTRUMENTS (Tables)
 9 Months Ended
Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Financial Instruments Owned and Pledged as Collateral
The principal balance of loans Busey has pledged as collateral to the FHLB and Federal Reserve Bank for liquidity as set forth in the table below (dollars in thousands):
As of
September 30,
2024		December 31,
2023
Pledged loans
FHLB$4,935,257 $4,865,481 
Federal Reserve Bank755,936 722,914 
Total pledged loans$5,691,193 $5,588,395 
To secure its obligations under derivative contracts, Busey pledged cash and held collateral as follows (dollars in thousands):
As of
September 30,
2024		December 31,
2023
Cash pledged to secure obligations under derivative contracts$17,270 $34,210 
Collateral held to secure obligations under derivative contracts9,380 19,280 
Schedule 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
LocationSeptember 30,
2024		December 31,
2023
Debt Swap
Notional amount— $50,000 
Weighted average rate: pay-fixed— 1.79 %
Weighted average variable 3-month Fallback Rate (SOFR) receive rates— 5.61 %
Weighted average maturity— 
0.71 years
 
Prime Loan Swap
Notional amount$300,000 $300,000 
Weighted average rate: receive-fixed4.81 %4.81 %
Weighted average variable Prime pay rates8.25 %8.50 %
Weighted average maturity
4.35 years
5.10 years
 
SOFR Loan Swap
Notional amount$100,000 $— 
Weighted average rate: receive-fixed3.72 %— 
Weighted average maturity4.43 years— 
Gross aggregate fair value of the swaps
Gross aggregate fair value of swap assetsOther assets$2,332 $1,293 
Gross aggregate fair value of swap liabilitiesOther liabilities19,176 25,411 
 
Balances carried in AOCI
Unrealized gains (losses) on cash flow hedges, net of taxAOCI$(11,487)$(16,694)
Schedule of 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 September 30, 2024.
As of
September 30, 2024
Unrealized losses expected to be reclassified from OCI to interest income$(859)
Schedule of Interest Income (Expense) Recorded on Swap Transactions
Interest income and interest expense recorded on these swap transactions is presented in the following table (dollars in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Interest on swap transactions
Increase (decrease) in interest income on swap transactions$(2,776)$(2,771)$(8,366)$(7,500)
(Increase) decrease in interest expense on swap transactions412 481 1,378 1,268 
Net increase (decrease) in net interest income on swap transactions$(2,364)$(2,290)$(6,988)$(6,232)
Schedule of Net Gains (Losses) Relating to these Derivative Instruments
Net gains (losses) relating to cash flow derivative instruments that were recorded in OCI on the Consolidated Statements of Income (Unaudited) are presented in the table below (dollars in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Unrealized gains (losses) on cash flow hedges
Net gain (loss) recognized in OCI, net of tax$7,439 $(5,577)$211 $(8,563)
(Gain) loss reclassified from OCI to interest income, net of tax1,984 1,982 5,981 5,362 
(Gain) loss reclassified from OCI to interest expense, net of tax(294)(344)(985)(906)
Net change in unrealized gains (losses) on cash flow hedges, net of tax$9,129 $(3,939)$5,207 $(4,107)
Changes in fair value of these derivative assets and liabilities are included in the Consolidated Statements of Income (Unaudited) and are summarized as follows (dollars in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
Location2024202320242023
Interest rate swaps
Receive-fixed, pay-floatingNoninterest expense$(9,224)$9,007 $(3,050)$4,646 
Receive-floating, pay-fixedNoninterest expense9,224 (9,007)3,050 (4,646)
Net change in fair value of interest rate swaps$— $— $— $— 
Gains and losses relating to these derivative instruments are reported in noninterest income, and are summarized as follows for the periods presented (dollars in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2024 20232024 2023
Net gains (losses) on mortgage banking derivatives
Gains (losses) on interest rate lock commitments$121 $(16)$569 $(28)
Gains (losses) on forward sales commitments(91)60 (165)92 
Net gains (losses) on mortgage banking derivatives$30 $44 $404 $64 
Schedule of Fair Values of Derivative Assets and Liabilities Recorded in Consolidated Balance Sheet
Amounts and fair values of derivative assets and derivative liabilities related to customer interest rate swaps recorded on the Consolidated Balance Sheets (Unaudited), are summarized as follows (dollars in thousands):
As of September 30, 2024As of December 31, 2023
LocationNotional
Amount		Fair
Value		Notional
Amount		Fair
Value
Derivative assets not designated as hedging instruments
Interest rate swaps: receive-fixed, pay-floatingOther assets$333,545 $6,730 $177,883 $2,375 
Interest rate swaps: receive-floating, pay-fixedOther assets377,609 18,648 485,253 26,289 
Derivative assets not designated as hedging instruments$711,154 $25,378 $663,136 $28,664 
Derivative liabilities not designated as hedging instruments
Interest rate swaps: receive-fixed, pay-floatingOther liabilities$377,609 $18,648 $485,253 $26,289 
Interest rate swaps: receive-floating, pay-fixedOther liabilities333,545 6,730 177,883 2,375 
Derivative liabilities not designated as hedging instruments$711,154 $25,378 $663,136 $28,664 
Amounts and fair values of mortgage banking derivatives included on the Consolidated Balance Sheets (Unaudited) are summarized as follows (dollars in thousands):
As of September 30, 2024As of December 31, 2023
LocationNotional
Amount		Fair
Value		Notional
Amount		Fair
Value
Mortgage banking derivative assets
Interest rate lock commitmentsOther assets$4,666 $76 $3,477 $25 
Forward sales commitmentsOther assets3,887 9 1,761 11 
Mortgage banking derivative assets$8,553 $85 $5,238 $36 
 
Mortgage banking derivative liabilities
Interest rate lock commitmentsOther liabilities$309 $2 $1,615 $10 
Forward sales commitmentsOther liabilities10,430 80 5,216 47 
Mortgage banking derivative liabilities$10,739 $82 $6,831 $57 
Schedule of Notional Amount and Fair Value of Risk Participation Agreement The risk participation agreements mature between August 2026 and January 2029, and are summarized as follows (dollars in thousands):
As of
September 30,
2024		December 31,
2023
Risk participation agreements purchased
Number of risk participation agreements6 3 
Notional amount$41,110 $34,251 
Fair value16 15 
 
Risk participation agreements sold
Number of risk participation agreements— 1 
Notional amount— $20,001 
Fair value— —