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Mortgage Loan Servicing and Loans Originated for Sale (Tables)
 12 Months Ended
Jun. 30, 2014
Transfers and Servicing [Abstract]  
Schedule of Mortgage Loans Serviced for Others
The following summarizes the unpaid principal balance of loans serviced for others by the Corporation at the dates indicated:
 
(In Thousands)
As of June 30,
2014
2013
2012
Loans serviced for Freddie Mac
$
4,574

$
4,160

$
4,727

Loans serviced for Fannie Mae
38,470

34,023

24,063

Loans serviced for FHLB – San Francisco
38,602

52,096

68,013

Loans serviced for other investors
1,088

1,877

2,072

Total loans serviced for others
$
82,734

$
92,156

$
98,875
Schedule of Mortgage Servicing Assets
The following table summarizes the Corporation’s MSA for years ended June 30, 2014 and 2013:

 
Year Ended June 30,
(Dollars In Thousands)
2014
2013
 
 
 
MSA balance, beginning of fiscal year
$
534

$
491

Additions
80

104

Amortization
(60
)
(61
)
MSA balance, end of fiscal year, before allowance
554

534

Allowance
(259
)
(200
)
MSA balance, end of fiscal year
$
295

$
334

 
 
 
Fair value, beginning of fiscal year
$
395

$
398

Fair value, end of fiscal year
$
357

$
395

 
 
 
Allowance, beginning of fiscal year
$
200

$
164

Impairment provision
59

36

Allowance, end of fiscal year
$
259

$
200

 
 
 
Key Assumptions:
 
 
Weighted-average discount rate
9.14
%
9.11
%
Weighted-average prepayment speed
38.24
%
24.90
%
Schedule of Estimated Future Amortization of Mortgage Servicing Assets
The following table summarizes the estimated future amortization of MSA for the next five years and thereafter:
 
Amount
Year Ending June 30,
(In Thousands)
 
 
2015
$
98

2016
63

2017
22

2018
12

2019
7

Thereafter
352

Total estimated amortization expense
$
554
Schedule of Mortgage Servicing Assets, Hypothetical Effect on Fair Value
The following table represents the hypothetical effect on the fair value of the Corporation’s MSA using an unfavorable shock analysis of certain key valuation assumptions as of June 30, 2014 and 2013.  This analysis is presented for hypothetical purposes only.  As the amounts indicate, changes in fair value based on changes in assumptions generally cannot be extrapolated because the relationship of the change in assumptions to the change in fair value may not be linear.

 
Year Ended June 30,
(Dollars In Thousands)
2014
2013
MSA net carrying value
$
295

$
334

 
 
 
CPR assumption (weighted-average)
38.24
%
24.90
%
Impact on fair value with 10% adverse change in prepayment speed
$
(16
)
$
(18
)
Impact on fair value with 20% adverse change in prepayment speed
$
(31
)
$
(33
)
 
 
 
Discount rate assumption (weighted-average)
9.14
%
9.11
%
Impact on fair value with 10% adverse change in discount rate
$
(12
)
$
(12
)
Impact on fair value with 20% adverse change in discount rate
$
(24
)
$
(24
)
Schedule of Mortgage Servicing Assets Sold
Loans sold consisted of the following for the years indicated:
 
(In Thousands)
Year Ended June 30,
2014
2013
2012
Loans sold:
 
 
 
Servicing – released
$
1,990,087

$
3,506,027

$
2,460,281

Servicing – retained
9,189

16,331

13,121

Total loans sold
$
1,999,276

$
3,522,358

$
2,473,402
Schedule of Mortgage Servicing Assets Held For Sale
Loans held for sale, at fair value, at June 30, 2014 and 2013 consisted of the following:

 
(In Thousands)
June 30,
2014
2013
Fixed rate
$
155,034

$
183,999

Adjustable rate
3,849

4,051

Total loans held for sale, at fair value
$
158,883

$
188,050