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Notes Payable and Amounts Due Under Repurchase Agreements
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Notes Payable and Amounts Due Under Repurchase Agreements Notes Payable and Amounts Due Under Repurchase Agreements
Notes payable includes the following:
December 31,
20212020
(Dollars in thousands)
Senior notes due 2027
Principal$500,000 $500,000 
Unamortized debt issue costs(3,537)(4,086)
Unamortized discount(213)(246)
$496,250 $495,668 
On June 16, 2017, we issued $500 million aggregate principal amount of senior unsecured notes due 2027 which bear interest at 5.0% per year and will mature on June 15, 2027 (the “2027 Notes”). The 2027 Notes were issued at a $0.3 million discount, which is being amortized over the term of the 2027 Notes using the effective interest method. Contractual interest is payable semi-annually in arrears each June 15th and December 15th. The initial transaction fees and costs totaling $5.8 million were capitalized as deferred financing costs and are being amortized over the term of the 2027 Notes using the effective interest method.
On September 30, 2016, we entered into a credit agreement with six banks that provided for a $150 million unsecured revolving line of credit (the "Revolving Facility") that terminated on September 30, 2021 and a $100 million term loan that was scheduled to terminate on September 30, 2019 but was repaid on June 16, 2017 without penalty. No amounts were outstanding under the Revolving Facility at December 31, 2020.
As part of our investment strategy, we enter into securities repurchase agreements (short-term collateralized borrowings). When we do borrow cash on these repurchase agreements, we pledge collateral in the form of debt securities with fair values approximately equal to the amount due and we use the cash to purchase debt securities ahead of the time we collect the cash from selling annuity policies to avoid a lag between the investment of funds and the obligation to credit interest to policyholders. We earn investment income on the securities purchased with these borrowings at a rate in excess of the cost of these borrowings. We had no borrowings under repurchase agreements during the year ended December 31, 2021. Such borrowings averaged $14.3 million and $33.0 million for the years ended December 31, 2020 and 2019, respectively. The maximum amount borrowed during 2020 and 2019 was $186.4 million and $243.6 million, respectively. The weighted average interest rate on amounts due under repurchase agreements was 1.73% and 2.99% for the years ended December 31, 2020 and 2019, respectively.