XML 22 R13.htm IDEA: XBRL DOCUMENT
v3.23.1

Allowance for Credit Losses | 3 Months Ended
--- | ---
Mar. 31, 2023
Allowance for Credit Losses |
Allowance for Credit Losses | NOTE 5: Allowance for Credit Losses ​ On January 1, 2023, the Corporation adopted ASC 326. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost. For further discussion on the Corporation’s accounting policies and policy elections related to the accounting standard update see Note 1 and Note 2. All allowance for credit loss information presented as of March 31, 2023 is in accordance with ASC 326. All allowance for credit loss information presented as of December 31, 2022 or a prior date is presented in accordance with previously applicable GAAP. ​ The following table shows the allowance for credit losses activity by loan portfolio for the three months ended March 31, 2023: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | Consumer | ​ | ​ | ​
(Dollars in thousands) | ​ | Commercial | ​ | Consumer | ​ | Finance | ​ | Total
Allowance for credit losses: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Balance at December 31, 2022 | ​ | $ | 11,219 | ​ | $ | 3,330 | ​ | $ | 25,969 | ​ | $ | 40,518
Impact of ASC 326 adoption on non-PCD loans | ​ | ​ | (617) | ​ | ​ | 98 | ​ | ​ | 406 | ​ | ​ | (113)
Impact of ASC 326 adoption on PCD loans | ​ | ​ | 595 | ​ | ​ | 9 | ​ | ​ | — | ​ | ​ | 604
Provision charged to operations | ​ | ​ | 233 | ​ | ​ | 117 | ​ | ​ | 1,600 | ​ | ​ | 1,950
Loans charged off | ​ | ​ | (16) | ​ | ​ | (89) | ​ | ​ | (3,108) | ​ | ​ | (3,213)
Recoveries of loans previously charged off | ​ | ​ | 35 | ​ | ​ | 45 | ​ | ​ | 1,008 | ​ | ​ | 1,088
Balance at March 31, 2023 | ​ | $ | 11,449 | ​ | $ | 3,510 | ​ | $ | 25,875 | ​ | $ | 40,834
​ ​ The following table presents a breakdown of the provision for credit losses for the periods indicated. ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Three Months Ended March 31,
(Dollars in thousands) |  | 2023 |  | 2022
Provision for credit losses: | ​ | ​ | ​ | ​ | ​ | ​
Provision (recovery) for loans | ​ | $ | 1,950 | ​ | $ | (328)
Provision for unfunded commitments | ​ |  | 100 | ​ |  | —
Total | ​ | $ | 2,050 | ​ | $ | (328)
​ Commercial and consumer loans are assigned loan classification ratings based on their credit quality and risk of loss. These loan ratings are reviewed on a quarterly basis and updated as new information becomes available. The characteristics of these loan ratings are as follows:
| ● | Pass rated loans are to persons or business entities with an acceptable financial condition, appropriate collateral margins, appropriate cash flow to service the existing loan, and an appropriate leverage ratio. The borrower has paid all obligations as agreed and it is expected that this type of payment history will continue. When necessary, acceptable personal guarantors support the loan.
​
| ● | Special mention loans have a specific, identified weakness in the borrower’s operations and in the borrower’s ability to generate positive cash flow on a sustained basis. The borrower’s recent payment history may be characterized by late payments. The Corporation’s risk exposure is mitigated by collateral supporting the loan. The collateral is considered to be well-margined, well maintained, accessible and readily marketable.
​
| ● | Substandard loans are considered to have specific and well-defined weaknesses that jeopardize the viability of the Corporation’s credit extension. The payment history for the loan has been inconsistent and the expected or projected primary repayment source may be inadequate to service the loan. The estimated net liquidation value of the collateral pledged and/or ability of the personal guarantor(s) to pay the loan may not adequately protect the Corporation. There is a distinct possibility that the Corporation will sustain some loss if the deficiencies associated with the loan are not corrected in the near term. A substandard loan would not automatically meet the Corporation’s definition of impaired unless the loan is significantly past due and the borrower’s performance and financial condition provide evidence that it is probable that the Corporation will be unable to collect all amounts due.
​
| ● | Substandard nonaccrual loans have the same characteristics as substandard loans; however, they have a nonaccrual classification because it is probable that the Corporation will not be able to collect all amounts due.
​
| ● | Doubtful rated loans have all the weaknesses inherent in a loan that is classified substandard but with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The possibility of loss is extremely high.
​
| ● | Loss rated loans are not considered collectible under normal circumstances and there is no realistic expectation for any future payment on the loan. Loss rated loans are fully charged off.
​ The table below details the amortized cost of the classes of loans within the commercial and consumer loan portfolios by loan rating and year of origination as of March 31, 2023: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Revolving | ​ | ​ | ​ | Revolving
​ | ​ | Term Loans Amortized Cost Basis by Origination Year | ​ | Loans | ​ | ​ | ​ | Loans
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Amortized | ​ | ​ | ​ | Converted
(Dollars in thousands) |  | 2023 | ​ | 2022 | ​ | 2021 | ​ | 2020 | ​ | 2019 | ​ | Prior | ​ | Cost Basis | ​ | Total | ​ | to Term
Commercial real estate: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 38,598 | ​ | $ | 127,916 | ​ | $ | 153,349 | ​ | $ | 86,593 | ​ | $ | 42,784 | ​ | $ | 158,278 | ​ | $ | — | ​ | $ | 607,518 | ​ | $ | —
Special Mention | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 1,024 | ​ | ​ | — | ​ | ​ | 1,024 | ​ | ​ | —
Substandard | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 5,814 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 264 | ​ | ​ | — | ​ | ​ | 6,078 | ​ | ​ | —
Total | ​ | $ | 38,598 | ​ | $ | 127,916 | ​ | $ | 159,163 | ​ | $ | 86,593 | ​ | $ | 42,784 | ​ | $ | 159,566 | ​ | $ | — | ​ | $ | 614,620 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Commercial business: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 3,737 | ​ | $ | 21,039 | ​ | $ | 19,697 | ​ | $ | 14,620 | ​ | $ | 15,926 | ​ | $ | 16,243 | ​ | $ | 23,388 | ​ | $ | 114,650 | ​ | $ | —
Substandard | ​ | ​ | 72 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 72 | ​ | ​ | —
Total | ​ | $ | 3,809 | ​ | $ | 21,039 | ​ | $ | 19,697 | ​ | $ | 14,620 | ​ | $ | 15,926 | ​ | $ | 16,243 | ​ | $ | 23,388 | ​ | $ | 114,722 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Construction - commercial real estate: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 2,731 | ​ | $ | 12,088 | ​ | $ | 6,507 | ​ | $ | 32,475 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 53,801 | ​ | $ | —
Total | ​ | $ | 2,731 | ​ | $ | 12,088 | ​ | $ | 6,507 | ​ | $ | 32,475 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 53,801 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Land acquisition and development: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | — | ​ | $ | 17,477 | ​ | $ | 11,621 | ​ | $ | 9,975 | ​ | $ | — | ​ | $ | 1,141 | ​ | $ | — | ​ | $ | 40,214 | ​ | $ | —
Total | ​ | $ | — | ​ | $ | 17,477 | ​ | $ | 11,621 | ​ | $ | 9,975 | ​ | $ | — | ​ | $ | 1,141 | ​ | $ | — | ​ | $ | 40,214 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Builder lines: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 3,947 | ​ | $ | 23,251 | ​ | $ | 5,066 | ​ | $ | — | ​ | $ | 404 | ​ | $ | — | ​ | $ | — | ​ | $ | 32,668 | ​ | $ | —
Total | ​ | $ | 3,947 | ​ | $ | 23,251 | ​ | $ | 5,066 | ​ | $ | — | ​ | $ | 404 | ​ | $ | — | ​ | $ | — | ​ | $ | 32,668 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Construction - consumer real estate: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 610 | ​ | $ | 10,793 | ​ | $ | 1,149 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 12,552 | ​ | $ | —
Total | ​ | $ | 610 | ​ | $ | 10,793 | ​ | $ | 1,149 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 12,552 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Residential mortgage: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 20,088 | ​ | $ | 98,376 | ​ | $ | 47,269 | ​ | $ | 45,164 | ​ | $ | 12,461 | ​ | $ | 53,566 | ​ | $ | — | ​ | $ | 276,924 | ​ | $ | —
Special Mention | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 246 | ​ | ​ | — | ​ | ​ | 246 | ​ | ​ | —
Substandard | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 105 | ​ | ​ | — | ​ | ​ | 677 | ​ | ​ | — | ​ | ​ | 782 | ​ | ​ | —
Substandard Nonaccrual | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 154 | ​ | ​ | — | ​ | ​ | 154 | ​ | ​ | —
Total | ​ | $ | 20,088 | ​ | $ | 98,376 | ​ | $ | 47,269 | ​ | $ | 45,269 | ​ | $ | 12,461 | ​ | $ | 54,643 | ​ | $ | — | ​ | $ | 278,106 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Equity lines: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 70 | ​ | $ | — | ​ | $ | 1,060 | ​ | $ | 42,164 | ​ | $ | 43,294 | ​ | $ | 101
Special Mention | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 36 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 36 | ​ | ​ | —
Substandard | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 5 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 5 | ​ | ​ | —
Substandard Nonaccrual | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 108 | ​ | ​ | — | ​ | ​ | 108 | ​ | ​ | —
Total | ​ | $ | — | ​ | $ | — | ​ | $ | 36 | ​ | $ | 70 | ​ | $ | 5 | ​ | $ | 1,168 | ​ | $ | 42,164 | ​ | $ | 43,443 | ​ | $ | 101
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Other consumer: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 864 | ​ | $ | 4,005 | ​ | $ | 979 | ​ | $ | 552 | ​ | $ | 359 | ​ | $ | 1,106 | ​ | $ | 46 | ​ | $ | 7,911 | ​ | $ | —
Total | ​ | $ | 864 | ​ | $ | 4,005 | ​ | $ | 979 | ​ | $ | 552 | ​ | $ | 359 | ​ | $ | 1,106 | ​ | $ | 46 | ​ | $ | 7,911 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Loan Rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Pass | ​ | $ | 70,575 | ​ | $ | 314,945 | ​ | $ | 245,637 | ​ | $ | 189,449 | ​ | $ | 71,934 | ​ | $ | 231,394 | ​ | $ | 65,598 | ​ | $ | 1,189,532 | ​ | $ | 101
Special Mention | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 36 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 1,270 | ​ | ​ | — | ​ | ​ | 1,306 | ​ | ​ | —
Substandard | ​ | ​ | 72 | ​ | ​ | — | ​ | ​ | 5,814 | ​ | ​ | 105 | ​ | ​ | 5 | ​ | ​ | 941 | ​ | ​ | — | ​ | ​ | 6,937 | ​ | ​ | —
Substandard Nonaccrual | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 262 | ​ | ​ | — | ​ | ​ | 262 | ​ | ​ | —
Total | ​ | $ | 70,647 | ​ | $ | 314,945 | ​ | $ | 251,487 | ​ | $ | 189,554 | ​ | $ | 71,939 | ​ | $ | 233,867 | ​ | $ | 65,598 | ​ | $ | 1,198,037 | ​ | $ | 101
​ For consumer finance loans, the Corporation utilizes credit scores based on the methods developed and defined by the Fair Isaac Corporation (FICO) as a key indicator of the risk of loss to manage the portfolio and estimate the allowance for credit losses. A FICO Score is a three-digit number based on the information in an applicant’s credit reports. It helps lenders determine how likely an applicant is to repay a loan. This, in turn, affects the loan amount that may be approved, repayment terms, and interest rate. Consumer finance loans are assigned a credit rating based on borrowers’ credit scores at the time of origination and are categorized within ranges of credit ratings used internally that parallel FICO Score rating bands. The Corporation monitors the consumer finance loan portfolio by past due status (refer to Note 4) and by credit rating at the time of origination, which the Corporation believes serves as a relevant indicator of aggregate credit quality and risk of loan defaults in the portfolio based upon the use of FICO Scores over time for loan approval decisions and through experience analyzing loss patterns. The characteristics of these credit ratings are as follows:
| ● | Very Good and Good credit rated borrowers are near or above the average FICO Score of consumers. Borrowers generally have limited to no prior credit difficulties or have shown extensive creditworthiness over a recent period of time.
​
| ● | Fairly Good and Fair credit rated borrowers are approaching or slightly below the average FICO Score of consumers but typically have a credit profile acceptable to most lenders. Borrowers may have experienced minor credit difficulties or have a relatively limited credit history.
​
| ● | Marginal credit rated borrowers are well below the average FICO Score of consumers. Borrowers may have limited access to traditional financing due to having experienced prior credit difficulties or have a limited credit history. The risk of future charge-offs is higher.
​ The table below details the amortized cost of the classes of loans within the consumer finance loan portfolio by credit rating and year of origination as of March 31, 2023: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Revolving | ​ | ​ | ​ | Revolving
​ | ​ | Term Loans Amortized Cost Basis by Origination Year | ​ | Loans | ​ | ​ | ​ | Loans
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Amortized | ​ | ​ | ​ | Converted
(Dollars in thousands) |  | 2023 | ​ | 2022 | ​ | 2021 | ​ | 2020 | ​ | 2019 | ​ | Prior | ​ | Cost Basis | ​ | Total | ​ | to Term
Consumer finance - automobiles: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Credit rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Very good | ​ | $ | 2,369 | ​ | $ | 16,535 | ​ | $ | 6,155 | ​ | $ | 1,599 | ​ | $ | 547 | ​ | $ | 83 | ​ | $ | — | ​ | $ | 27,288 | ​ | $ | —
Good | ​ | ​ | 9,673 | ​ | ​ | 55,759 | ​ | ​ | 21,174 | ​ | ​ | 5,085 | ​ | ​ | 1,987 | ​ | ​ | 792 | ​ | ​ | — | ​ | ​ | 94,470 | ​ | ​ | —
Fairly good | ​ | ​ | 13,069 | ​ | ​ | 70,481 | ​ | ​ | 36,142 | ​ | ​ | 9,404 | ​ | ​ | 6,831 | ​ | ​ | 3,670 | ​ | ​ | — | ​ | ​ | 139,597 | ​ | ​ | —
Fair | ​ | ​ | 7,722 | ​ | ​ | 48,092 | ​ | ​ | 29,599 | ​ | ​ | 10,493 | ​ | ​ | 8,258 | ​ | ​ | 4,754 | ​ | ​ | — | ​ | ​ | 108,918 | ​ | ​ | —
Marginal | ​ | ​ | 2,083 | ​ | ​ | 11,971 | ​ | ​ | 11,021 | ​ | ​ | 4,794 | ​ | ​ | 4,845 | ​ | ​ | 4,363 | ​ | ​ | — | ​ | ​ | 39,077 | ​ | ​ | —
Total | ​ | $ | 34,916 | ​ | $ | 202,838 | ​ | $ | 104,091 | ​ | $ | 31,375 | ​ | $ | 22,468 | ​ | $ | 13,662 | ​ | $ | — | ​ | $ | 409,350 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Consumer finance - marine and recreational vehicles: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Credit rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Very good | ​ | $ | 1,446 | ​ | $ | 17,371 | ​ | $ | 11,459 | ​ | $ | 11,807 | ​ | $ | 3,121 | ​ | $ | 3,108 | ​ | $ | — | ​ | $ | 48,312 | ​ | $ | —
Good | ​ | ​ | 3,358 | ​ | ​ | 9,101 | ​ | ​ | 1,811 | ​ | ​ | 1,657 | ​ | ​ | 494 | ​ | ​ | 541 | ​ | ​ | — | ​ | ​ | 16,962 | ​ | ​ | —
Fairly good | ​ | ​ | 149 | ​ | ​ | 274 | ​ | ​ | 39 | ​ | ​ | 33 | ​ | ​ | — | ​ | ​ | 39 | ​ | ​ | — | ​ | ​ | 534 | ​ | ​ | —
Total | ​ | $ | 4,953 | ​ | $ | 26,746 | ​ | $ | 13,309 | ​ | $ | 13,497 | ​ | $ | 3,615 | ​ | $ | 3,688 | ​ | $ | — | ​ | $ | 65,808 | ​ | $ | —
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Credit rating | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Very good | ​ | $ | 3,815 | ​ | $ | 33,906 | ​ | $ | 17,614 | ​ | $ | 13,406 | ​ | $ | 3,668 | ​ | $ | 3,191 | ​ | $ | — | ​ | $ | 75,600 | ​ | $ | —
Good | ​ | ​ | 13,031 | ​ | ​ | 64,860 | ​ | ​ | 22,985 | ​ | ​ | 6,742 | ​ | ​ | 2,481 | ​ | ​ | 1,333 | ​ | ​ | — | ​ | ​ | 111,432 | ​ | ​ | —
Fairly good | ​ | ​ | 13,218 | ​ | ​ | 70,755 | ​ | ​ | 36,181 | ​ | ​ | 9,437 | ​ | ​ | 6,831 | ​ | ​ | 3,709 | ​ | ​ | — | ​ | ​ | 140,131 | ​ | ​ | —
Fair | ​ | ​ | 7,722 | ​ | ​ | 48,092 | ​ | ​ | 29,599 | ​ | ​ | 10,493 | ​ | ​ | 8,258 | ​ | ​ | 4,754 | ​ | ​ | — | ​ | ​ | 108,918 | ​ | ​ | —
Marginal | ​ | ​ | 2,083 | ​ | ​ | 11,971 | ​ | ​ | 11,021 | ​ | ​ | 4,794 | ​ | ​ | 4,845 | ​ | ​ | 4,363 | ​ | ​ | — | ​ | ​ | 39,077 | ​ | ​ | —
Total | ​ | $ | 39,869 | ​ | $ | 229,584 | ​ | $ | 117,400 | ​ | $ | 44,872 | ​ | $ | 26,083 | ​ | $ | 17,350 | ​ | $ | — | ​ | $ | 475,158 | ​ | $ | —
​ The following table details the current period gross charge-offs of loans by year of origination as of March 31, 2023: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Revolving | ​ | ​ | ​ | Revolving
​ | ​ | Current Period Gross Charge-offs by Origination Year | ​ | Loans | ​ | ​ | ​ | Loans
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Amortized | ​ | ​ | ​ | Converted
(Dollars in thousands) |  | 2023 | ​ | 2022 | ​ | 2021 | ​ | 2020 | ​ | 2019 | ​ | Prior | ​ | Cost Basis | ​ | Total | ​ | to Term
Commercial business | ​ | $ | — | ​ | $ | 16 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 16 | ​ | $ | —
Construction - consumer real estate | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 8 | ​ | ​ | 8 | ​ | ​ | —
Other consumer1 | ​ | ​ | 81 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 81 | ​ | ​ | —
Consumer finance - automobiles | ​ | ​ | — | ​ | ​ | 1,384 | ​ | ​ | 938 | ​ | ​ | 320 | ​ | ​ | 135 | ​ | ​ | 285 | ​ | ​ | — | ​ | ​ | 3,062 | ​ | ​ | —
Consumer finance - marine and recreational vehicles | ​ | ​ | — | ​ | ​ | 46 | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | 46 | ​ | ​ | —
Total | ​ | $ | 81 | ​ | $ | 1,446 | ​ | $ | 938 | ​ | $ | 320 | ​ | $ | 135 | ​ | $ | 285 | ​ | $ | 8 | ​ | $ | 3,213 | ​ | $ | —
1 | Gross charge-offs of other consumer loans for the three months ended March 31, 2023 included $81,000 of demand deposit overdrafts that originated in 2023.
​ Gross charge-offs increased for the three months ended March 31, 2023 compared to the same period in 2022 due primarily to higher charge-offs within the consumer finance-automobile portfolio segment as a result of an increase in the number of delinquent loans following a period of historically low delinquencies during the COVID-19 pandemic, a decline in wholesale values of used automobiles from a recent peak during the COVID-19 pandemic and continued recent challenges in repossessing automobiles due to a decline in the number of repossession agencies, which results in a fully charged-off loan when the automobile cannot be repossessed. ​ As of March 31, 2023, the Corporation had no collateral dependent loans for which repayment was expected to be derived substantially through the operation or sale of the collateral and where the borrower is experiencing financial difficulty. ​ Prior to the adoption of ASC 326 ​ The following table presents the changes in the allowance for loan losses by major classification during the three months ended March 31, 2022: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Real Estate |  | ​ | ​ |  | Commercial, |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |
​ | ​ | Residential | ​ | Real Estate | ​ | Financial & | ​ | Equity | ​ | ​ | ​ | ​ | Consumer | ​ | ​ | ​ |
(Dollars in thousands) | ​ | Mortgage | ​ | Construction | ​ | Agricultural | ​ | Lines | ​ | Consumer | ​ | Finance | ​ | Total |
Allowance for loan losses: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Balance at December 31, 2021 | ​ | $ | 2,660 | ​ | $ | 856 | ​ | $ | 11,085 | ​ | $ | 593 | ​ | $ | 172 | ​ | $ | 24,791 | ​ | $ | 40,157 | ​
Provision (credited) charged to operations | ​ | ​ | (38) | ​ | ​ | 37 | ​ | ​ | (636) | ​ | ​ | (49) | ​ | ​ | 8 | ​ | ​ | 350 | ​ | ​ | (328) | ​
Loans charged off | ​ | ​ | — | ​ | ​ | — | ​ | ​ | (11) | ​ | ​ | — | ​ | ​ | (48) | ​ | ​ | (1,313) | ​ | ​ | (1,372) | ​
Recoveries of loans previously charged off | ​ | ​ | 6 | ​ | ​ | — | ​ | ​ | 2 | ​ | ​ | — | ​ | ​ | 32 | ​ | ​ | 1,271 | ​ | ​ | 1,311 | ​
Balance at March 31, 2022 | ​ | $ | 2,628 | ​ | $ | 893 | ​ | $ | 10,440 | ​ | $ | 544 | ​ | $ | 164 | ​ | $ | 25,099 | ​ | $ | 39,768 | ​
​ ​ The following table presents, as of December 31, 2022, the balance of the allowance for loan losses, the allowance by impairment methodology, total loans and loans by impairment methodology. ​ ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | Real Estate |  | ​ | ​ |  | Commercial, |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |  | ​ | ​ |
​ | ​ | Residential | ​ | Real Estate | ​ | Financial & | ​ | Equity | ​ | ​ | ​ | ​ | Consumer | ​ | ​ | ​ |
(Dollars in thousands) | ​ | Mortgage | ​ | Construction | ​ | Agricultural | ​ | Lines | ​ | Consumer | ​ | Finance | ​ | Total |
Allowance balance attributable to loans: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Individually evaluated for impairment | ​ | $ | 51 | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | — | ​ | $ | 51 | ​
Collectively evaluated for impairment | ​ | ​ | 2,571 | ​ | ​ | 788 | ​ | ​ | 10,431 | ​ | ​ | 497 | ​ | ​ | 211 | ​ | ​ | 25,969 | ​ | ​ | 40,467 | ​
Acquired loans - PCI | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​ | ​ | — | ​
Total allowance | ​ | $ | 2,622 | ​ | $ | 788 | ​ | $ | 10,431 | ​ | $ | 497 | ​ | $ | 211 | ​ | $ | 25,969 | ​ | $ | 40,518 | ​
Loans: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Individually evaluated for impairment | ​ | $ | 797 | ​ | $ | — | ​ | $ | — | ​ | $ | 26 | ​ | $ | — | ​ | $ | — | ​ | $ | 823 | ​
Collectively evaluated for impairment | ​ | ​ | 265,170 | ​ | ​ | 59,675 | ​ | ​ | 781,867 | ​ | ​ | 43,259 | ​ | ​ | 8,912 | ​ | ​ | 474,557 | ​ | ​ | 1,633,440 | ​
Acquired loans - PCI | ​ | ​ | 300 | ​ | ​ | — | ​ | ​ | 1,114 | ​ | ​ | 15 | ​ | ​ | 26 | ​ | ​ | — | ​ | ​ | 1,455 | ​
Total loans | ​ | $ | 266,267 | ​ | $ | 59,675 | ​ | $ | 782,981 | ​ | $ | 43,300 | ​ | $ | 8,938 | ​ | $ | 474,557 | ​ | $ | 1,635,718 | ​
​ Loans by credit quality indicators as of December 31, 2022 were as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | ​ | ​ |  | Special |  | ​ | ​ |  | Substandard |  | ​ | ​ |
(Dollars in thousands) | ​ | Pass | ​ | Mention | ​ | Substandard | ​ | Nonaccrual | ​ | Total1 |
Residential mortgage | ​ | $ | 264,891 | ​ | $ | 518 | ​ | $ | 702 | ​ | $ | 156 | ​ | $ | 266,267 | ​
Real estate – construction: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Construction - commercial real estate | ​ |  | 49,136 | ​ |  | — | ​ |  | — | ​ |  | — | ​ |  | 49,136 | ​
Construction - consumer real estate | ​ |  | 10,539 | ​ |  | — | ​ |  | — | ​ |  | — | ​ |  | 10,539 | ​
Commercial, financial and agricultural: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Commercial real estate | ​ |  | 585,707 | ​ |  | 738 | ​ |  | 5,856 | ​ |  | — | ​ |  | 592,301 | ​
Land acquisition and development | ​ |  | 37,537 | ​ |  | — | ​ |  | — | ​ |  | — | ​ |  | 37,537 | ​
Builder lines | ​ |  | 34,538 | ​ |  | — | ​ |  | — | ​ |  | — | ​ |  | 34,538 | ​
Commercial business | ​ |  | 118,605 | ​ |  | — | ​ |  | — | ​ |  | — | ​ |  | 118,605 | ​
Equity lines | ​ |  | 43,147 | ​ |  | 40 | ​ |  | 5 | ​ |  | 108 | ​ |  | 43,300 | ​
Other consumer | ​ |  | 8,747 | ​ |  | 191 | ​ |  | — | ​ |  | — | ​ |  | 8,938 | ​
​ | ​ | $ | 1,152,847 | ​ | $ | 1,487 | ​ | $ | 6,563 | ​ | $ | 264 | ​ | $ | 1,161,161 | ​
1 | At December 31, 2022, the Corporation did no t have any loans classified as Doubtful or Loss.
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | Non- | ​ | ​ | ​
(Dollars in thousands) |  | Performing |  | Performing |  | Total
Consumer finance: | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Automobiles | ​ | $ | 410,270 | ​ | $ | 842 | ​ | $ | 411,112
Marine and recreational vehicles | ​ | ​ | 63,362 | ​ | ​ | 83 | ​ | ​ | 63,445
​ | ​ | $ | 473,632 | ​ | $ | 925 | ​ | $ | 474,557
​

X
- Definition The entire disclosure for allowance for credit losses. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -URI https://asc.fasb.org/topic&trid=2196771 + Details
Name: | us-gaap_AllowanceForCreditLossesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_FinancingReceivableAllowanceForCreditLossAdditionalInformationAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration