Related Party Transactions

12 Months Ended

Dec. 31, 2015

Note 13: Related Party Transactions

At December 31, 2015 and 2014, the Bank had loans outstanding to executive officers, directors, and their affiliates (related parties). In management's opinion, such loans and other extensions of credit and deposits were made in the ordinary course of business and were made on substantially the same terms (including interest rates and collateral) as those prevailing at the time for comparable transactions with other persons. Further, in management's opinion, these loans did not involve more than normal risk of collectability or present other unfavorable features. Such loans are summarized below.

	2015		2014
	(In thousands)
Aggregate balance – Beginning of period	$	400	$	222
New loans		9		186
Repayments and reclassifications		(90)		(8)
Aggregate balance – End of period	$	319	$	400

The loan reclassification during 2015 included a loan from a former employee. The loan continues to be outstanding and performing.

Deposits from related parties held by the Bank at December 31, 2015 and 2014, totaled $386,000 and $302,000, respectively.

The Bank paid legal fees to a law firm of which a director of the Company is a member. The amounts paid totaled approximately $8,000 and $9,000 for the years ended December 31, 2015 and December 31, 2014, respectively.

The Bank leases an in-store retail branch from a corporation in which a director of the Company holds an interest. The current five year lease provides for renewal options through April 30, 2021. Rental expense for this lease was $28,000 for both years ended December 31, 2015 and December 31, 2014, respectively.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

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