XML 54 R42.htm IDEA: XBRL DOCUMENT v3.22.4

FAIR VALUE DISCLOSURES (Tables)

12 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Schedule of assets measured at fair value on a recurring basis

The following tables provide the level of valuation assumptions used to determine the carrying value of the Company’s assets measured at fair value on a recurring basis at September 30, 2022 and 2021:

September 30, 2022		Total				Level 1				Level 2				Level 3
Assets:		(In thousands)
Securities available for sale:
Obligations of U.S. government agencies:
Mortgage-backed securities - residential		$	107			$	—			$	107			$	—
Obligations of U.S. government-sponsored enterprises:
Mortgage-backed securities-residential			9,122				—				9,122				—
Total securities available for sale		$	9,229			$	—			$	9,229			$	—
Derivative assets			(2,487	)			—				(2,487	)			—
Total assets		$	6,742			$	—			$	6,742			$	—
Liabilities:
Derivative liabilities		$	2,487			$	—			$	2,487			$	—
Total Liabilities		$	2,487			$	—			$	2,487			$	—
September 30, 2021
Assets:
Securities available for sale:
Obligations of U.S. government agencies:
Mortgage-backed securities - residential		$	186			$	—			$	186			$	—
Obligations of U.S. government-sponsored enterprises:
Mortgage-backed securities-residential			12,741				—				12,741				—
Total securities available for sale		$	12,927			$	—			$	12,927			$	—
Derivative assets			183				—				183				—
Total assets		$	13,110			$	—			$	13,110			$	—
Liabilities:
Derivative liabilities		$	(183	)		$	—			$	(183	)		$	—
Total Liabilities		$	(183	)		$	—			$	(183	)		$	—

Schedule of assets measured at fair value on a non-recurring basis

The following tables provide the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a non-recurring basis at September 30, 2022 and 2021:

		Total				Level 1				Level 2				Level 3
September 30, 2022		(In thousands)
Impaired loans		$	5,659			$	—			$	—			$	5,659
Other real estate owned			281				—				—				281
Total		$	5,940			$	—			$	—			$	5,940
September 30, 2021
Impaired loans		$	11,134			$	—			$	—			$	11,134
Other real estate owned			636				—				—				636
Total		$	11,770			$	—			$	—			$	11,770

Schedule of quantitative information about assets measured at fair value on a nonrecurring bassis for which Level 3 inputs were used to determine fair value

The following tables present additional quantitative information about assets measured at fair value on a nonrecurring basis and for which Company has utilized Level 3 inputs to determine fair value:

Quantitative Information about Level 3 Fair Value Measurements

(Dollars in thousands)

September 30, 2022		Fair Value Estimate			Valuation Techniques		Unobservable Input		Range (Weighted Average)
Impaired loans		$	5,659		Appraisal ofcollateral(1)		Appraisal adjustments (2)		0% to -31.7% (-9.9%)
Other real estate owned		$	281		Appraisal ofcollateral(1)		Liquidation expenses (2)		-28.0% to -28.0% (-28.0%)

85

Table of Contents

MAGYAR BANCORP, INC. AND SUBSIDIARY

Notes to Consolidated Financial Statements

September 30, 2022 and 2021

Quantitative Information about Level 3 Fair Value Measurements

(Dollars in thousands)

September 30, 2021		Fair Value Estimate			Valuation Techniques		Unobservable Input		Range (Weighted Average)
Impaired loans		$	11,134		Appraisal ofcollateral(1)		Appraisal adjustments (2)		-8.0% to -42.8% (-15.3%)
Other real estate owned		$	636		Appraisal ofcollateral(1)		Liquidation expenses (2)		-31.2% to -45.5% (-39.4%)

	​​(1)	Fair value is generally determined through independent appraisals for the underlying collateral, which generally include various level 3 inputs which are not identifiable.
	​​(2)	Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of liquidation expenses and other appraisal adjustments are presented as a percent of the appraisal.

Schedule of the carrying amount, fair value, and placement in the fair value hierarchy of financial instruments carried at cost or amortized cost

		Carrying				Fair				Fair Value Measurement Placement
		Amount				Value				(Level 1)				(Level 2)				(Level 3)
										(In thousands)
September 30, 2022
Financial instruments - assets
Investment securities held-to-maturity		$	91,646			$	79,914			$	—			$	79,914			$	—
Loans			619,843				592,804				—				—				592,804
Financial instruments - liabilities
Certificates of deposit			82,609				81,289				—				81,289				—
Borrowings			15,625				14,762				—				14,762				—
September 30, 2021
Financial instruments - assets
Investment securities held-to-maturity		$	57,660			$	57,282			$	—			$	57,282			$	—
Loans			585,301				594,674				—				—				594,674
Financial instruments - liabilities
Certificates of deposit			116,892				118,144				—				118,144				—
Borrowings			23,356				23,753				—				23,753				—

X

- Definition

Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3).

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (bbb)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique used to measure similar asset in prior period by class of asset or liability on non-recurring basis.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (bbb)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisValuationTechniquesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnRecurringBasisTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 11
-URI https://asc.fasb.org/extlink&oid=123594938&loc=d3e13467-108611

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=126976982&loc=d3e19207-110258

+ Details

Name:	us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

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