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Loan Servicing
 12 Months Ended
Dec. 31, 2019
Text Block [Abstract]  
Loan Servicing
Note 10 – Loan Servicing
Loans serviced for others are not included in the accompanying consolidated balance sheets. The unpaid principal balances of loans serviced for others totaled approximately $1.4 billion and $1.3 billion at December 31, 2019 and 2018.
The aggregate fair value of capitalized mortgage servicing rights was approximately $14.4 million, $13.9 million and $12.8 million at December 31, 2019, 2018 and 2017, compared to the carrying values of $14.3 million, $12.3 million and $11.6 million, respectively. The fair value of capitalized mortgage servicing rights was approximately $11.7 million on January 1, 2017. Comparable market values and a valuation model that calculates the present value of future cash flows were used to estimate fair value. For purposes of measuring impairment, risk characteristics including product type, investor type and interest rates, were used to stratify the originated mortgage servicing rights.
 
December 31
 
  
December 31
 
  
December 31
 
  
2019
 
  
2018
 
  
2017
 
Mortgage servicing rights
 
 
 
  
 
 
  
 
 
Balances, January 1
  $
 12,876
    $
 12,189
    $
 11,681
 
Servicing rights capitalized
   
3,547
     
1,883
     
2,109
 
Amortization of servicing rights
   
(1,377
 )    
(1,196
 )    
(1,601
 )
                         
Balances, December 31
   
15,046
     
12,876
     
12,189
 
                         
Impairment allowance
 
 
 
  
 
 
  
 
 
Balances, January 1
   
(527
 )    
(587
 )    
(507
 )
Additions
   
(234
 )    
(78
 )    
(85
 )
Reductions
   
42
     
138
     
5
 
                         
Balances, December 31
   
(719
 )    
(527
 )    
(587
 )
                         
Mortgage servicing rights, net
  $
 14,327
    $
 12,349
    $
 11,602
 
                         
During 2019, 2018 and 2017 the Bank recorded additional impairment of approximately $192,000, $60,000 and $80,000, respectively.