Fair Value (Tables)
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9 Months Ended |
Sep. 30, 2025 |
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| Fair Value Disclosures [Abstract] |
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| Schedule of Financial Instruments Measured at Fair Value on a Recurring Basis |
The Company has categorized its financial instruments measured at fair value on a recurring basis as of September 30, 2025 and December 31, 2024 as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | (in thousands) | | | | | | | | | | September 30, 2025 | | Total | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | | Investment securities available-for-sale | | | | | | | | | | U.S. Treasuries | | $ | 136,541 | | | $ | 136,541 | | | $ | — | | | $ | — | | | | | | | | | | | | Municipal | | 13,779 | | | — | | | 13,779 | | | — | | | Corporate | | 4,792 | | | — | | | 4,792 | | | — | | | Asset-backed securities | | 5,208 | | | — | | | 5,208 | | | — | | | Mortgage-backed securities | | 72,320 | | | — | | | 72,320 | | | — | | | Total | | $ | 232,640 | | | $ | 136,541 | | | $ | 96,099 | | | $ | — | | | | | | | | | | | | Loans held for sale | | $ | 19,679 | | | $ | — | | | $ | 19,679 | | | $ | — | | | Loan servicing assets | | $ | 2,070 | | | $ | — | | | $ | 2,070 | | | $ | — | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2024 | | | | | | | | | | Investment securities available-for-sale | | | | | | | | | | U.S. Treasuries | | $ | 126,835 | | | $ | 126,835 | | | $ | — | | | $ | — | | | | | | | | | | | | Municipal | | 9,283 | | | — | | | 9,283 | | | — | | | Corporate | | 4,711 | | | — | | | 4,711 | | | — | | | Asset-backed securities | | 5,526 | | | — | | | 5,526 | | | — | | | Mortgage-backed securities | | 77,275 | | | — | | | 77,275 | | | — | | | Total | | $ | 223,630 | | | $ | 126,835 | | | $ | 96,795 | | | $ | — | | | | | | | | | | | | Loans held for sale | | $ | 21,270 | | | $ | — | | | $ | 21,270 | | | $ | — | | | Loan servicing assets | | $ | 5,511 | | | $ | — | | | $ | 5,511 | | | $ | — | | | | | | | | | | | | | | | | | | | |
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| Schedule of Fair Value of Loans Held for Sale |
The following table reflects the difference between the fair value carrying amount of loans held for sale, measured at fair value under FASB ASC 825-10, and the aggregate unpaid principal amount the Company is contractually entitled to receive at maturity: | | | | | | | | | | | | | | | | Fair Value of Loans Held for Sale | | | | | | (in thousands) | | September 30, 2025 | | December 31, 2024 | | Aggregate fair value | | $ | 19,679 | | | $ | 21,270 | | | Contractual principal | | 13,779 | | | 16,721 | | | Difference | | $ | 5,900 | | | $ | 4,549 | |
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| Schedule of Financial Instruments Measured at Fair Value on a Nonrecurring Basis |
The Company has categorized its financial instruments measured at fair value on a nonrecurring basis as of September 30, 2025 and December 31, 2024 as follows: | | | | | | | | | | | | | | | | | | | (in thousands) | | September 30, 2025 | | December 31, 2024 | Individually evaluated loans for credit loss, net | | | | | | | | | | | | | | | Level 3 inputs | | $ | 34,104 | | | $ | 25,521 | | | | | | | Foreclosed real estate | | | | | Level 3 inputs | | 1,377 | | | — | | | | | | | | Total | | $ | 35,481 | | | $ | 25,521 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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| Schedule of Unobservable Inputs in Fair Value Measurements |
The following table provides information describing the unobservable inputs used in Level 3 fair value measurements at September 30, 2025 and December 31, 2024: | | | | | | | | | | | | | | | | | | | Unobservable Inputs | | | | | Valuation Technique | | Unobservable Inputs | | Range of Inputs | | September 30, 2025 | | | | Individually evaluated loans | Appraised Value/Discounted Cash Flows | | Discounts to appraisals or cash flows for estimated holding and/or selling costs | | 0 to 30% 1 | | Foreclosed real estate | Appraised Value | | Discounts to appraisals for estimated holding and/or selling costs | | 0 to 30% | | | | | | | | December 31, 2024 | Valuation Technique | | Unobservable Inputs | | Range of Inputs | | Individually evaluated loans | Appraised Value/Discounted Cash Flows | | Discounts to appraisals or cash flows for estimated holding and/or selling costs | | 0 to 30% | | | | | | |
(1)A discount rate of 63.4% was used for the acquired PCD loan that was evaluated as a measurement period adjustment to the Day-1 purchase accounting. All other individually evaluated loans used a range of 0 to 30%. |
| Schedule of Carrying Amount, Fair Value and Fair Value Hierarchy of Financial Instruments |
The table below presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments. | | | | | | | | | | | | | | | | | | | | | | | | | September 30, 2025 | | December 31, 2024 | | (in thousands) | Carrying Amount | | Fair Value | | Carrying Amount | | Fair Value | | Financial assets | | | | | | | | | Level 1 | | | | | | | | | Cash and due from banks | $ | 25,724 | | | $ | 25,724 | | | $ | 25,433 | | | $ | 25,433 | | | Interest-bearing deposits at other financial institutions | 163,078 | | | 163,078 | | | 179,841 | | | 179,841 | | | | | | | | | | | Federal funds sold | 59 | | | 59 | | | 58 | | | 58 | | | Level 2 | | | | | | | | | Accrued interest receivable | $ | 19,011 | | | $ | 19,011 | | | $ | 16,664 | | | $ | 16,664 | | | Level 3 | | | | | | | | | | | | | | | | | Portfolio loans receivable, net | $ | 2,768,938 | | | $ | 2,709,594 | | | $ | 2,581,511 | | | $ | 2,499,578 | | | | | | | | | | | Restricted investments | 7,057 | | | 7,057 | | | 4,479 | | | 4,479 | | | Foreclosed real estate | 1,377 | | | 1,377 | | | — | | | — | | | | | | | | | | | Financial liabilities | | | | | | | | | Level 1 | | | | | | | | | Noninterest-bearing deposits | $ | 857,543 | | | $ | 857,543 | | | $ | 810,928 | | | $ | 810,928 | | | | | | | | | | | Level 2 | | | | | | | | | Accrued interest payable | $ | 8,045 | | | $ | 8,045 | | | $ | 9,393 | | | $ | 9,393 | | | Level 3 | | | | | | | | | Interest-bearing deposits | $ | 2,054,510 | | | $ | 2,056,540 | | | $ | 1,951,011 | | | $ | 1,960,728 | | | FHLB advances and other borrowed funds | 34,062 | | | 34,029 | | | 34,062 | | | 32,372 | |
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