FAIR VALUE (Tables)

3 Months Ended

Mar. 31, 2020

Fair Value Disclosures [Abstract]

Assets and Liabilities Measured at Fair Value on Recurring Basis [Table Text Block]

Assets and liabilities measured at fair value on a recurring basis are summarized below as of March 31, 2020 and December 31, 2019:
		As of March 31, 2020								As of December 31, 2019
		Fair Value Measurements Using								Fair Value Measurements Using
	(In thousands)	Level 1		Level 2		Level 3		Assets/Liabilities at Fair Value		Level 1		Level 2		Level 3		Assets/Liabilities at Fair Value
Assets:
Securities available for sale :
U.S. Treasury Securities		$	7,582	$	-	$	-	$	7,582	$	7,479	$	-	$	-	$	7,479
Noncallable U.S. agency debt securities			-		146,154		-		146,154		-		146,777		-		146,777
Callable U.S. agencies
debt securities and MBS			-		1,760,312		-		1,760,312		-		1,950,331		-		1,950,331
Puerto Rico government obligations			-		4,361		2,969		7,330		-		4,348		2,974		7,322
Private label MBS			-		-		10,300		10,300		-		-		11,116		11,116
Other investments			-		-		500		500		-		-		500		500
Equity securities			1,458		-		-		1,458		1,428		-		-		1,428
Derivatives, included in assets:
Purchased interest rate cap agreements			-		9		-		9		-		11		-		11
Interest rate lock commitments			-		303		-		303		-		341		-		341
Forward loan sales commitments			-		20		-		20		-		20		-		20
Liabilities:
Derivatives, included in liabilities:
Written interest rate cap agreements			-		9		-		9		-		11		-		11
Forward contracts			-		803		-		803		-		138		-		138

Fair Value of Assets and Liabilities Measured on Recurring Basis [Table Text Block]

	Quarter ended March 31,
	2020		2019
Level 3 Instruments Only	Securities		Securities
(In thousands)	Available For Sale(1)		Available For Sale(1)
Beginning balance	$	14,590		17,238
Total (losses) gains (realized/unrealized):
Included in other comprehensive income		240		(23)
Included in earnings		(368)		-
Principal repayments and amortization		(693)		(509)
Ending balance	$	13,769	$	16,706

Schedule Of Changes In Unrealized Gains Losses [Table Text Block]

	Changes in Unrealized Losses
Level 3 Instruments Only	Quarter ended March 31,
(In thousands)	2020		2019
Changes in unrealized losses relating to assets still held at reporting date:
Provision for credit losses	$	(368)	$	-

Impairment or Valuation Adjustments were Recorded for Assets Recognized at Fair Value [Table Text Block]

As of March 31, 2020, the Corporation recorded losses or valuation adjustments for assets recognized at fair value on a non-recurring basis as shown in the following table:
	Carrying value as of March 31, 2020						Losses recorded for the Quarter Ended March 31, 2020
	Level 1		Level 2		Level 3
(In thousands)
Loans receivable (1)	$	-	$	-	$	291,856	$	(6,393)
OREO (2)		-		-		99,674		(654)

As of March 31, 2019, the Corporation recorded losses or valuation adjustments for assets recognized at fair value on a non-recurring basis as shown in the following table:
	Carrying value as of March 31, 2019						Losses recorded for the Quarter Ended March 31, 2019
	Level 1		Level 2		Level 3
(In thousands)
Loans receivable (1)	$	-	$	-	$	366,773	$	(8,863)
OREO (2)		-		-		129,716		(2,643)
Loans held for sale (3)		-		-		7,381		-

Estimated Fair Value and Carrying Value of Financial Instruments [Table Text Block]

The following tables present the carrying value, estimated fair value and estimated fair value level of the hierarchy of financial instruments as of March 31, 2020 and December 31, 2019:
	Total Carrying Amount in Statement of Financial Condition March 31, 2020		Fair Value Estimate March 31, 2020		Level 1		Level 2		Level 3
(In thousands)
Assets:
Cash and due from banks and money
market investments (amortized cost)	$	1,087,715	$	1,087,715	$	1,087,715	$	-	$	-
Investment securities available
for sale (fair value)		1,932,178		1,932,178		7,582		1,910,827		13,769
Investment securities held to maturity (amortized cost)		138,534
Less: allowance for credit losses on
held to maturity debt securities		(9,268)
Investment securities held to maturity, net of allowance	$	129,266		111,162		-		-		111,162
Equity Securities (fair value)		39,630		39,630		1,458		38,172		-
Loans held for sale (lower of cost or market)		12,046		12,445		-		12,445		-
Loans held for investment (amortized cost)		9,038,947
Less: allowance for credit losses for loans and finance leases		(292,774)
Loans held for investment, net of allowance	$	8,746,173		8,711,957		-		-		8,711,957
Derivatives, included in assets (fair value)		332		332		-		332		-
Liabilities:
Deposits (amortized cost)		9,562,313		9,602,663		-		9,602,663		-
Loans payable (amortized cost)		60,000		60,000		-		60,000		-
Securities sold under agreements
to repurchase (amortized cost)		300,000		331,551		-		331,551		-
Advances from FHLB (amortized cost)		565,000		576,096		-		576,096		-
Other borrowings (amortized cost)		184,150		156,193		-		-		156,193
Derivatives, included in liabilities (fair value)		812		812		-		812		-

	Total Carrying Amount in Statement of Financial Condition December 31, 2019		Fair Value Estimate December 31, 2019		Level 1		Level 2		Level 3
(In thousands)
Assets:
Cash and due from banks and money
market investments (amortized cost)	$	644,099	$	644,099	$	644,099	$	-	$	-
Investment securities available
for sale (fair value)		2,123,525		2,123,525		7,479		2,101,456		14,590
Investment securities held to maturity (amortized cost)		138,675		110,374		-		-		110,374
Equity securities (fair value)		38,249		38,249		1,428		36,821		-
Loans held for sale (lower of cost or market)		39,477		40,234		-		40,234		-
Loans held for investment (amortized cost)		9,002,205
Less: allowance for credit losses for loans and finance leases		(155,139)
Loans held for investment, net of allowance	$	8,847,066		8,715,144		-		-		8,715,144
Derivatives, included in assets (fair value)		372		372		-		372		-
Liabilities:
Deposits (amortized cost)		9,348,429		9,372,591		-		9,372,591		-
Securities sold under agreements
to repurchase (amortized cost)		100,000		120,020		-		120,020		-
Advances from FHLB (amortized cost)		570,000		578,498		-		578,498		-
Other borrowings (amortized cost)		184,150		180,577		-		-		180,577
Derivatives, included in liabilities (fair value)		149		149		-		149		-

Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block]

Qualitative information regarding the fair value measurements for Level 3 financial instruments as of March 31, 2020 are as follows:
	March 31, 2020
	Method	Inputs
Loans	Income, Market, Comparable Sales, Discounted Cash Flows	External appraised values; probability weighting of broker price opinions; management assumptions regarding market trends or other relevant factors
OREO	Income, Market, Comparable Sales, Discounted Cash Flows	External appraised values; probability weighting of broker price opinions; management assumptions regarding market trends or other relevant factors

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]

The table below presents qualitative information for significant assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) as of March 31, 2020 and December 31, 2019:
	March 31, 2020
					Range		Weighted Average
(In thousands)	Fair Value		Valuation Technique	Unobservable Input	Minimum	Maximum
Investment securities available-for-sale:
Private label MBS	$	10,300	Discounted cash flows	Discount rate	12.7%	12.7%	12.7%
				Prepayment rate	6.8%	10.3%	7.9%
				Projected Cumulative Loss Rate	2.6%	20.7%	8.9%
Puerto Rico government obligations		2,969	Discounted cash flows	Discount rate	8.1%	8.1%	8.1%
				Prepayment rate	3.0%	3.0%	3.0%

	December 31, 2019
					Range		Weighted
(In thousands)	Fair Value		Valuation Technique	Unobservable Input	Minimum	Maximum	Average
Investment securities available-for-sale:
Private label MBS	$	11,116	Discounted cash flows	Discount rate	13.7%	13.7%	13.7%
				Prepayment rate	6.8%	10.3%	7.9%
				Projected Cumulative Loss Rate	0.0%	7.4%	2.8%
Puerto Rico government obligations		2,974	Discounted cash flows	Discount rate	6.9%	6.9%	6.9%
				Prepayment rate	3.0%	3.0%	3.0%