XML 27 R17.htm IDEA: XBRL DOCUMENT v3.20.2

3. Loans (Tables)

6 Months Ended

Jun. 30, 2020

Receivables [Abstract]

Major classifications of loans

(Dollars in thousands)
		June 30, 2020				December 31, 2019
Real estate loans:
Construction and land development		$	110,077				92,596
Single-family residential			268,174				269,475
Single-family residential - Banco de la Gente non-traditional			29,325				30,793
Commercial			303,828				291,255
Multifamily and farmland			49,465				48,090
Total real estate loans			760,869				732,209
Loans not secured by real estate:
Commercial loans			188,398				100,263
Farm loans			887				1,033
Consumer loans			7,545				8,432
All other loans			8,844				7,937
Total loans			966,543				849,874
Less allowance for loan losses			9,433				6,680
Total net loans		$	957,110				843,194

Age analysis of past due loans, by loan type

June 30, 2020
(Dollars in thousands)
		Loans 30-89 Days Past Due				Loans 90 or More Days Past Due				Total Past Due Loans				Total Current Loans				Total Loans				Accruing Loans 90 or More Days Past Due
Real estate loans:
Construction and land development		$	—				—				—				110,077				110,077				—
Single-family residential			1,030				371				1,401				266,773				268,174				—
Single-family residential - Banco de la Gente non-traditional			1,556				263				1,819				27,506				29,325				—
Commercial			—				405				405				303,423				303,828				—
Multifamily and farmland			—				—				—				49,465				49,465				—
Total real estate loans			2,586				1,039				3,625				757,244				760,869				—
Loans not secured by real estate:
Commercial loans			—				—				—				188,398				188,398				—
Farm loans			—				—				—				887				887				—
Consumer loans			27				18				45				7,500				7,545				—
All other loans			—				—				—				8,844				8,844				—
Total loans		$	2,613				1,057				3,670				962,873				966,543				—

December 31, 2019
(Dollars in thousands)
		Loans 30-89 Days Past Due				Loans 90 or More Days Past Due				Total Past Due Loans				Total Current Loans				Total Loans				Accruing Loans 90 or More Days Past Due
Real estate loans:
Construction and land development		$	803				—				803				91,793				92,596				—
Single-family residential			3,000				126				3,126				266,349				269,475				—
Single-family residential - Banco de la Gente non-traditional			4,834				413				5,247				25,546				30,793				—
Commercial			504				176				680				290,575				291,255				—
Multifamily and farmland			—				—				—				48,090				48,090				—
Total real estate loans			9,141				715				9,856				722,353				732,209				—
Loans not secured by real estate:
Commercial loans			432				—				432				99,831				100,263				—
Farm loans			—				—				—				1,033				1,033				—
Consumer loans			170				22				192				8,240				8,432				—
All other loans			—				—				—				7,937				7,937				—
Total loans		$	9,743				737				10,480				839,394				849,874				—

Non-accrual loans

(Dollars in thousands)
		June 30, 2020				December 31, 2019
Real estate loans:
Construction and land development		$	—				—
Single-family residential			1,401				1,378
Single-family residential - Banco de la Gente non-traditional			1,822				1,764
Commercial			476				256
Total real estate loans			3,699				3,398
Loans not secured by real estate:
Commercial loans			276				122
Consumer loans			24				33
Total		$	3,999				3,553

Impaired loans

The following table presents impaired loans as of June 30, 2020:

June 30, 2020
(Dollars in thousands)
		Unpaid Contractual Principal Balance				Recorded Investment With No Allowance				Recorded Investment With Allowance				Recorded Investment in Impaired Loans				Related Allowance
Real estate loans:
Construction and land development		$	134				—				134				134				5
Single-family residential			5,414				391				4,579				4,970				20
Single-family residential - Banco de la Gente stated income			14,535				—				13,749				13,749				900
Commercial			3,005				739				2,248				2,987				14
Multifamily and farmland			—				—				—				—				—
Total impaired real estate loans			23,088				1,130				20,710				21,840				939
Loans not secured by real estate:
Commercial loans			640				275				315				590				2
Consumer loans			70				—				66				66				1
Total impaired loans		$	23,798				1,405				21,091				22,496				942

The following table presents the average impaired loan balance and the interest income recognized by loan class for the three and six months ended June 30, 2020 and 2019.

(Dollars in thousands)
		Three months ended																Six months ended
		June 30, 2020								June 30, 2019								June 30, 2020								June 30, 2019
		Average Balance				Interest Income Recognized				Average Balance				Interest Income Recognized				Average Balance				Interest Income Recognized				Average Balance				Interest Income Recognized
Real estate loans:
Construction and land development		$	157				4				232				2				166				7				248				6
Single-family residential			4,778				59				4,214				57				4,734				118				4,826				118
Single-family residential - Banco de la Gente stated income			13,856				193				15,347				239				14,028				421				15,010				491
Commercial			3,115				43				1,739				22				2,700				72				1,801				45
Multifamily and farmland			—				—				—				—				—				—				—				—
Total impaired real estate loans			21,906				299				21,532				320				21,628				618				21,885				660
Loans not secured by real estate:
Commercial loans			643				6				114				3				487				15				106				4
Consumer loans			77				1				104				2				83				2				107				4
Total impaired loans		$	22,626				306				21,750				325				22,198				635				22,098				668

The following table presents impaired loans as of and for the year ended December 31, 2019:

December 31, 2019
(Dollars in thousands)
		Unpaid Contractual Principal Balance				Recorded Investment With No Allowance				Recorded Investment With Allowance				Recorded Investment in Impaired Loans				Related Allowance				Average Outstanding Impaired Loans				YTD Interest Income Recognized
Real estate loans:
Construction and land development		$	183				—				183				183				7				231				12
Single-family residential			5,152				403				4,243				4,646				36				4,678				269
Single-family residential - Banco de la Gente non-traditional			15,165				—				14,371				14,371				944				14,925				956
Commercial			1,879				—				1,871				1,871				7				1,822				91
Total impaired real estate loans			22,379				403				20,668				21,071				994				21,656				1,328
Loans not secured by real estate:
Commercial loans			180				92				84				176				—				134				9
Consumer loans			100				—				96				96				2				105				7
Total impaired loans		$	22,659				495				20,848				21,343				996				21,895				1,344

Changes in the allowance for loan losses

(Dollars in thousands)
			Real Estate Loans
			Construction and Land Development				Single-Family Residential				Single-Family Residential - Banco de la Gente Non-traditional				Commercial				Multifamily and Farmland				Commercial				Farm				Consumer and All Other				Unallocated				Total
Six months ended June 30, 2020:
Allowance for loan losses:
Beginning balance		$	694				1,274				1,073				1,305				120				688				—				138				1,388				6,680
Charge-offs			(5	)			—				—				(7	)			—				(109	)			—				(257	)			—				(378	)
Recoveries			2				25				—				34				—				26				—				106				—				193
Provision			840				514				41				719				(5	)			375				—				175				279				2,938
Ending balance		$	1,531				1,813				1,114				2,051				115				980				—				162				1,667				9,433
Three months ended June 30, 2020:
Allowance for loan losses:
Beginning balance		$	1,293				1,713				1,084				1,799				118				1,017				—				180				908				8,112
Charge-offs			—				—				—				—				—				(78	)			—				(90	)			—				(168	)
Recoveries			—				9				—				11				—				—				—				52				—				72
Provision			238				91				30				241				(3	)			41				—				20				759				1,417
Ending balance		$	1,531				1,813				1,114				2,051				115				980				—				162				1,667				9,433
Allowance for loan losses at June 30, 2020:
Ending balance: individually evaluated for impairment		$	2				5				894				11				—				—				—				—				—				912
Ending balance: collectively evaluated for impairment			1,529				1,808				220				2,040				115				980				—				162				1,667				8,521
Ending balance		$	1,531				1,813				1,114				2,051				115				980				—				162				1,667				9,433
Loans at June 30, 2020:
Ending balance		$	110,077				268,174				29,325				303,828				49,465				188,398				887				16,389				—				966,543
Ending balance: individually evaluated for impairment		$	8				1,657				12,297				2,084				—				275				—				—				—				16,321
Ending balance: collectively evaluated for impairment		$	110,069				266,517				17,028				301,744				49,465				188,123				887				16,389				—				950,222

(Dollars in thousands)
			Real Estate Loans
			Construction and Land Development				Single-Family Residential				Single-Family Residential - Banco de la Gente Non-traditional				Commercial				Multifamily and Farmland				Commercial				Farm				Consumer and All Other				Unallocated				Total
Six months ended June 30, 2019:
Allowance for loan losses:
Beginning balance		$	813				1,325				1,177				1,278				83				626				—				161				982				6,445
Charge-offs			(21	)			(22	)			—				—				—				(1	)			—				(316	)			—				(360	)
Recoveries			3				53				—				23				—				14				—				108				—				201
Provision			(32	)			(44	)			(61	)			33				27				(91	)			—				208				215				255
Ending balance		$	763				1,312				1,116				1,334				110				548				—				161				1,197				6,541
Three months ended June 30, 2019:
Allowance for loan losses:
Beginning balance		$	831				1,256				1,174				1,292				98				610				—				162				1,138				6,561
Charge-offs			(21	)			(9	)			—				—				—				—				—				(166	)			—				(196	)
Recoveries			2				5				—				19				—				8				—				65				—				99
Provision			(49	)			60				(58	)			23				12				(70	)			—				100				59				77
Ending balance		$	763				1,312				1,116				1,334				110				548				—				161				1,197				6,541
Allowance for loan losses at June 30, 2019:
Ending balance: individually evaluated for impairment		$	—				2				970				12				—				—				—				—				—				984
Ending balance: collectively evaluated for impairment			763				1,310				146				1,322				110				548				—				161				1,197				5,557
Ending balance		$	763				1,312				1,116				1,334				110				548				—				161				1,197				6,541
Loans at June 30, 2019:
Ending balance		$	86,920				264,724				32,499				281,895				44,065				103,466				1,060				18,738				—				833,367
Ending balance: individually evaluated for impairment		$	11				1,738				13,508				1,643				—				38				—				—				—				16,938
Ending balance: collectively evaluated for impairment		$	86,909				262,986				18,991				280,252				44,065				103,428				1,060				18,738				—				816,429

Credit risk profile of each loan type based on internally assigned risk grade

June 30, 2020
(Dollars in thousands)
			Real Estate Loans
			Construction and Land Development				Single-Family Residential				Single-Family Residential - Banco de la Gente non-traditional				Commercial				Multifamily and Farmland				Commercial				Farm				Consumer				All Other				Total
1- Excellent Quality		$	138				13,742				—				—				—				742				—				626				—				15,248
2- High Quality			31,603				126,830				—				22,702				299				23,690				—				2,347				1,713				209,184
3- Good Quality			69,907				103,328				11,382				238,800				44,129				152,603				816				4,150				6,411				631,526
4- Management Attention			5,388				17,814				13,141				38,202				4,504				10,576				71				374				720				90,790
5- Watch			2,981				3,104				1,923				3,265				533				411				—				7				—				12,224
6- Substandard			60				3,356				2,879				859				—				376				—				41				—				7,571
7- Doubtful			—				—				—				—				—				—				—				—				—				—
8- Loss			—				—				—				—				—				—				—				—				—				—
Total		$	110,077				268,174				29,325				303,828				49,465				188,398				887				7,545				8,844				966,543

December 31, 2019
(Dollars in thousands)
			Real Estate Loans
			Construction and Land Development				Single-Family Residential				Single-Family Residential - Banco de la Gente non-traditional				Commercial				Multifamily and Farmland				Commercial				Farm				Consumer				All Other				Total
1- Excellent Quality		$	—				8,819				—				—				—				330				—				693				—				9,842
2- High Quality			32,029				128,757				—				21,829				256				20,480				—				2,708				1,860				207,919
3- Good Quality			52,009				107,246				12,103				231,003				42,527				72,417				948				4,517				5,352				528,122
4- Management Attention			5,487				18,409				13,737				35,095				4,764				6,420				85				458				725				85,180
5- Watch			3,007				3,196				2,027				3,072				543				492				—				8				—				12,345
6- Substandard			64				3,048				2,926				256				—				124				—				48				—				6,466
7- Doubtful			—				—				—				—				—				—				—				—				—				—
8- Loss			—				—				—				—				—				—				—				—				—				—
Total		$	92,596				269,475				30,793				291,255				48,090				100,263				1,033				8,432				7,937				849,874

X

- Definition

Tabular disclosure of allowance for credit loss on financing receivable.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 11B
-URI http://asc.fasb.org/extlink&oid=121611835&loc=SL6953423-111524

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 13
-URI http://asc.fasb.org/extlink&oid=121599337&loc=SL82919249-210447

+ Details

Name:	us-gaap_AllowanceForCreditLossesOnFinancingReceivablesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of financing receivables by credit quality indicator. The credit quality indicator is a statistic about the credit quality of financing receivables. Examples include, but not limited to, consumer credit risk scores, credit-rating-agency ratings, an entity's internal credit risk grades, loan-to-value ratios, collateral, collection experience and other internal metrics.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=121599337&loc=SL82919230-210447

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=121611835&loc=SL6953659-111524

+ Details

Name:	us-gaap_FinancingReceivableCreditQualityIndicatorsTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of impaired financing receivables.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=121611835&loc=d3e5212-111524

+ Details

Name:	us-gaap_ImpairedFinancingReceivablesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of aging analysis for financing receivable.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=121599337&loc=SL82919253-210447

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 7A
-URI http://asc.fasb.org/extlink&oid=121611835&loc=SL6953401-111524

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 55
-Paragraph 80
-URI http://asc.fasb.org/extlink&oid=121647567&loc=SL82922355-210448

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=121611835&loc=d3e5111-111524

+ Details

Name:	us-gaap_PastDueFinancingReceivablesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_ReceivablesAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the various types of trade accounts and notes receivable and for each the gross carrying value, allowance, and net carrying value as of the balance sheet date. Presentation is categorized by current, noncurrent and unclassified receivables.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.3,4)
-URI http://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

+ Details

Name:	us-gaap_ScheduleOfAccountsNotesLoansAndFinancingReceivableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of financing receivable on nonaccrual status.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=121611835&loc=d3e5111-111524

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 16
-URI http://asc.fasb.org/extlink&oid=121599337&loc=SL82919258-210447

+ Details

Name:	us-gaap_ScheduleOfFinancingReceivablesNonAccrualStatusTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	nonnum:textBlockItemType
Balance Type:	na
Period Type:	duration