The amortized cost, gross unrealized gains or losses and fair value of the Company’s investment securities available-for-sale and held-to-maturity are as follows:

	September 30, 2022
			Gross		Gross
	Amortized		Unrealized		Unrealized			Fair
	Cost		Gains		Losses			Value
	(In thousands)
Securities available-for-sale:
Obligations of U.S. government agencies:
Mortgage backed securities - residential	$	118	$	—	$	(11	)	$	107
Obligations of U.S. government-sponsored enterprises:
Mortgage-backed securities - residential		11,029		—		(1,907	)		9,122
Total securities available for sale	$	11,147	$	—	$	(1,918	)	$	9,229
Securities held-to-maturity:
Obligations of U.S. government agencies:
Mortgage-backed securities - residential	$	5,525	$	—	$	(717	)	$	4,808
Mortgage-backed securities - commercial		631		—		—			631
Obligations of U.S. government-sponsored enterprises:
Mortgage backed securities - residential		48,961		12		(7,548	)		41,425
Debt securities		24,821		—		(2,395	)		22,426
Private label mortgage-backed securities - residential		224		—		(10	)		214
Obligations of state and political subdivisions		3,484		—		(638	)		2,846
Corporate securities		8,000		—		(436	)		7,564
Total securities held to maturity	$	91,646	$	12	$	(11,744	)	$	79,914
Total investment securities	$	102,793	$	12	$	(13,662	)	$	89,143

MAGYAR BANCORP, INC. AND SUBSIDIARY

Notes to Consolidated Financial Statements

September 30, 2022 and 2021

	At September 30, 2021
			Gross		Gross
	Amortized		Unrealized		Unrealized			Fair
	Cost		Gains		Losses			Value
	(In thousands)
Securities available-for-sale:
Obligations of U.S. government agencies:
Mortgage backed securities - residential	$	179	$	7	$	—		$	186
Obligations of U.S. government-sponsored enterprises:
Mortgage-backed securities - residential	$	12,922	$	27	$	(208	)	$	12,741
Total securities available-for-sale	$	13,101	$	34	$	(208	)	$	12,927
Securities held-to-maturity:
Obligations of U.S. government agencies:
Mortgage-backed securities - residential	$	574	$	—	$	(25	)	$	549
Mortgage-backed securities - commercial		703		—		—			703
Obligations of U.S. government-sponsored enterprises:
Mortgage backed securities - residential		38,596		416		(389	)		38,623
Debt securities		12,498		—		(156	)		12,342
Private label mortgage-backed securities - residential		242		6		—			248
Obligations of state and political subdivisions		2,047		—		(34	)		2,013
Corporate securities		3,000		—		(196	)		2,804
Total securities held-to-maturity	$	57,660	$	422	$	(800	)	$	57,282
Total investment securities	$	70,761	$	456	$	(1,008	)	$	70,209

The contractual maturities of mortgage-backed securities generally exceed 10 years; however, the effective lives are expected to be shorter due to anticipated prepayments. At September 30, 2022, the available-for-sale mortgage-backed securities - residential included an amortized cost of $118,000 and a fair value of $107,000 for obligations of U.S. government agencies issued by the Government National Mortgage Association and obligations of U.S. government-sponsored enterprises issued by Federal National Mortgage Association and Federal Home Loan Mortgage Corporation with an amortized cost of $11.0 million and a fair value of $9.1 million.

The maturities of the debt securities, municipal bonds and certain information regarding to the mortgage-backed securities held-to-maturity at September 30, 2022 are summarized in the following table:

	September 30, 2022
	Amortized		Fair
	Cost		Value
	(In thousands)
Due within 1 year	$	6,333	$	6,209
Due after 1 but within 5 years		25,017		22,696
Due after 5 but within 10 years		4,442		3,565
Due after 10 years		513		366
Total debt securities		36,305		32,836

Mortgage backed securities:
Residential(1)		54,710		46,447
Commercial(2)		631		631
Total	$	91,646	$	79,914


	(1)	Held-to-maturity mortgage-backed securities – residential include an amortized cost of $5.5million and a fair value of $4.8 million for obligations of U.S. government agencies issued by the Government National Mortgage Association and obligations of U.S. government-sponsored enterprises issued by Federal National Mortgage Association and Federal Home Loan Mortgage Corporation which had an amortized cost of $49.0 million and a fair value of $41.4 million. Also included are mortgage backed securities issued by non-U.S. government agencies and government-sponsored enterprises with an amortized cost of $224,000 and a fair value of $214,000.

	(2)	Held-to-maturity mortgage-backed securities – commercial include an amortized cost of $631,000 and a fair value of $631,000 for obligations of U.S. government agencies issued by the United States Small Business Administration.

Table of Contents

MAGYAR BANCORP, INC. AND SUBSIDIARY

Notes to Consolidated Financial Statements

September 30, 2022 and 2021

There were no sales of securities during the years ended September 30, 2022 and 2021.

As of September 30, 2022 and 2021, securities having an estimated fair value of approximately $37.7 million and $30.9 million, respectively, were pledged to secure public deposits.

Details of securities with unrealized losses at September 30, 2022 and 2021 are as follows:

			Less Than 12 Months					12 Months Or Greater					Total
	Number of		Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
	Securities		Value		Losses			Value		Losses			Value		Losses
September 30, 2022			(Dollars in thousands)
Obligations of U.S. government agencies:
Mortgage-backed securities - residential		6	$	2,364	$	(140	)	$	2,551	$	(588	)	$	4,915	$	(728	)
Mortgage-backed securities - commercial		1		631		—			—		—			631		—
Obligations of U.S. government-sponsored enterprises
Mortgage backed securities - residential		49		21,180		(2,795	)		29,088		(6,660	)		50,268		(9,455	)
Debt securities		14		11,664		(660	)		10,763		(1,735	)		22,427		(2,395	)
Private label mortgage-backed securities residential		1		215		(10	)		—		—			215		(10	)
Obligations of state and political subdivisions		7		1,268		(181	)		1,577		(457	)		2,845		(638	)
Corporate securities		2		2,646		(353	)		4,917		(83	)		7,563		(436	)
Total		80	$	39,968	$	(4,139	)	$	48,896	$	(9,523	)	$	88,864	$	(13,662	)

			Less Than 12 Months					12 Months Or Greater					Total
	Number of		Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
	Securities		Value		Losses			Value		Losses			Value		Losses
September 30, 2021			(Dollars in thousands)
Obligations of U.S. government agencies:
Mortgage-backed securities - residential		3	$	318	$	(12	)	$	232	$	(13	)	$	550	$	(25	)
Mortgage-backed securities - commercial		1		—		—			703		—			703		—
Obligations of U.S. government-sponsored enterprises
Mortgage backed securities - residential		20		33,690		(539	)		1,610		(58	)		35,300		(597	)
Debt securities		7		10,859		(139	)		1,483		(17	)		12,342		(156	)
Obligations of state and political subdivisions		4		2,013		(34	)		—		—			2,013		(34	)
Corporate securities		1		—		—			2,804		(196	)		2,804		(196	)
Total		36	$	46,880	$	(724	)	$	6,832	$	(284	)	$	53,712	$	(1,008	)

The investment securities listed above currently have fair values less than amortized cost and therefore contain unrealized losses. The Company evaluated these securities and determined that the decline in value was primarily related to fluctuations in the interest rate environment and were not related to any company or industry specific event.

The Company anticipates full recovery of amortized costs with respect to these securities. The Company does not intend to sell these securities and has determined that it is not more likely than not that the Company would be required to sell these securities prior to maturity or market price recovery. Management has considered factors regarding other than temporarily impaired securities and determined that there are no securities with impairment that is other than temporary as of September 30, 2022 and 2021.