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Investment Securities
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Investment Securities
The following tables provide information on the amortized cost and estimated fair values of investment securities at September 30, 2025 and December 31, 2024.
($ in thousands)Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated Fair Value
Available for sale securities(1):
September 30, 2025
U.S. Treasury and government agency securities$22,409 $3 $1,847 $20,565 
Mortgage-backed securities161,614 287 5,459 156,442 
Other debt securities(2)
4,244 469 — 4,713 
Total$188,267 $759 $7,306 $181,720 
December 31, 2024
U.S. Treasury and government agency securities$22,984 $4 $2,786 $20,202 
Mortgage-backed securities130,439 84 8,139 122,384 
Other debt securities(2)
6,170 469 13 6,626 
Total$159,593 $557 $10,938 $149,212 
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(1)No available for sale (“AFS”) securities were sold during the three and nine months ended September 30, 2025 and 2024.
(2)Other debt securities includes corporate and municipal bond obligations of state and political entities.
($ in thousands)Amortized CostGross Unrealized GainsGross Unrealized LossesEstimated Fair ValueAllowance for Credit Losses
Held to maturity securities:
September 30, 2025
U.S. Treasury and government agency securities$114,884 $— $5,200 $109,684 $— 
Mortgage-backed securities311,689 101 34,436 277,354 — 
Other debt securities(1)
6,962 26 486 6,502 95 
Total$433,535 $127 $40,122 $393,540 $95 
December 31, 2024
U.S. Treasury and government agency securities$132,560 $— $8,555 $124,005 $— 
Mortgage-backed securities336,755 — 47,234 289,521 — 
Other debt securities(1)
11,965 19 776 11,208 203 
Total$481,280 $19 $56,565 $424,734 $203 
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(1)Other debt securities includes corporate and municipal bond obligations of state and political entities.
Equity securities with aggregate fair values of $6.1 million and $5.8 million at September 30, 2025 and December 31, 2024, respectively, are presented separately on the consolidated balance sheets. The fair value adjustments recorded through earnings totaled a gain of $104 thousand and $79 thousand for the three months ended September 30, 2025 and 2024, respectively. The fair value adjustments recorded through earnings totaled a gain of $299 thousand and $38 thousand for the nine months ended September 30, 2025 and 2024, respectively.
The following table summarizes the activity in the allowance for credit losses (“ACL”) on held to maturity (“HTM”) securities for the periods presented.
Three Months EndedNine Months Ended
($ in thousands)September 30, 2025September 30, 2024September 30, 2025September 30, 2024
Balance, beginning of period$199 $108 $203 $94 
Provision for (reversal of) credit losses, other debt securities(104)(7)(108)7 
Balance, end of period$95 $101 $95 $101 
A reversal of the provision for credit losses of $104 thousand and $7 thousand was recorded on HTM corporate and municipal bonds for the three months ended September 30, 2025 and 2024, respectively. A reversal of the provision for credit losses of $108 thousand and a provision for credit losses of $7 thousand was recorded on HTM corporate and municipal bonds for the nine months ended September 30, 2025 and 2024, respectively.
The following tables provide information about gross unrealized losses and fair value by length of time that the individual securities have been in a continuous unrealized loss position at September 30, 2025 and December 31, 2024.
Less than 12 MonthsMore than 12 MonthsTotal
($ in thousands)Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
September 30, 2025
Available for sale securities:
U.S. Treasury and government agency securities$129 $1 $17,843 $1,846 $17,972 $1,847 
Mortgage-backed securities58,809 299 44,034 5,160 102,843 5,459 
Total$58,938 $300 $61,877 $7,006 $120,815 $7,306 
Less than 12 MonthsMore than 12 MonthsTotal
($ in thousands)Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
December 31, 2024
Available for sale securities:
U.S. Treasury and government agency securities$207 $— $17,422 $2,786 $17,629 $2,786 
Mortgage-backed securities56,913 710 48,782 7,429 105,695 8,139 
Other debt securities— — 1,988 13 1,988 13 
Total$57,120 $710 $68,192 $10,228 $125,312 $10,938 
There were 114 AFS debt securities with a fair value below the amortized cost basis, with unrealized losses totaling $7.3 million as of September 30, 2025. The Company concluded that a credit loss does not exist in its AFS securities portfolio as of September 30, 2025, and no impairment loss has been recognized based on the fact that (1) changes in fair value were primarily caused by fluctuations in interest rates, (2) securities with unrealized losses had generally high credit quality, (3) the Company intends to hold these investments in debt securities to maturity and it is more likely than not the Company will not be required to sell these investments before a recovery of its investment, and (4) issuers have continued to make timely payments of principal and interest. Additionally, the Company’s mortgage-backed securities are issued by either U.S. government agencies or U.S. government-sponsored enterprises. Collectively, these entities provide a guarantee, which is either explicitly or implicitly supported by the full faith and credit of the U.S. government, that investors in such mortgage-backed securities will receive timely principal and interest payments.
All HTM and AFS securities were current with no securities past due or on nonaccrual as of September 30, 2025 and December 31, 2024.
All of the securities with unrealized losses in the portfolio have modest duration risk, low credit risk and minimal losses when compared to total amortized cost. The unrealized losses on debt securities that exist are the result of market changes in interest rates since original purchase and are not related to credit concerns. Because the Company does not intend to sell these securities and it is not more likely than not that the Company will be required to sell these securities before recovery of their amortized cost bases, which may be at maturity for debt securities, the Company considers the unrealized losses to be temporary. There were 114 AFS and 173 HTM securities in an unrealized loss position at September 30, 2025. There were 111 AFS and 187 HTM securities in an unrealized loss position at December 31, 2024. Net unrealized losses of the AFS securities totaled $6.5 million and $10.4 million as of September 30, 2025 and December 31, 2024, respectively.
The following table provides information on the amortized cost and estimated fair values of investment securities by contractual maturity date at September 30, 2025.
Available for SaleHeld to Maturity
($ in thousands)Amortized CostFair ValueAmortized CostFair Value
Due in one year or less$2,481 $2,483 $28,563 $28,348 
Due after one year through five years21,363 19,690 77,589 74,265 
Due after five years through ten years2,556 2,868 5,490 5,026 
Due after ten years253 237 10,204 8,547 
$26,653 $25,278 $121,846 $116,186 
Mortgage-backed securities161,614 156,442 311,689 277,354 
Total$188,267 $181,720 $433,535 $393,540 
The maturity dates for debt securities are determined using contractual maturity dates. Actual maturities may differ from amounts presented because certain issuers have the right to call or prepay obligations without prepayment penalties.
The Company has securities that have been pledged as collateral for obligations to federal, state and local government agencies, and other purposes as required or permitted by law, or sold under agreements to repurchase. At September 30, 2025, the aggregate carrying value of pledged AFS and HTM pledged securities was $67.6 million and $211.4 million, respectively. The comparable amounts for December 31, 2024 were $67.9 million and $197.5 million, respectively.
The following table sets forth the amortized cost and estimated fair values of securities that have been pledged as collateral for obligations to federal, state and local government agencies, and other purposes as required or permitted by law, or sold under agreements to repurchase at September 30, 2025 and December 31, 2024.
September 30, 2025December 31, 2024
($ in thousands)Amortized CostFair ValueAmortized CostFair Value
Pledged available for sale securities$73,816 $67,644 $76,280 $67,926 
Pledged held to maturity securities211,434 191,089 197,474 173,248 
There were no obligations of any issuer exceeding 10% of stockholders’ equity at September 30, 2025 or December 31, 2024.