DEPOSITS

12 Months Ended

Dec. 31, 2023

DEPOSITS [Abstract]

DEPOSITS

NOTE 11 – DEPOSITS

The following table summarizes deposit balances as of the indicated dates:

December 31, 2023

December 31, 2022

(In thousands)

Type of account:

Non-interest-bearing deposit accounts

$

5,404,121

$

6,112,884

Interest-bearing checking accounts

3,937,945

3,770,993

Interest-bearing saving accounts

3,596,855

3,902,888

Time deposits

2,833,730

2,250,876

Brokered certificates of deposits ("CDs")

783,334

105,826

 Total

$

16,555,985

$

16,143,467

The weighted-average interest rate on total interest-bearing deposits as of December 31, 2023 and 2022 was

2.24

% and

1.03

%,

respectively. 

As of December 31, 2023, the aggregate amount of unplanned overdrafts of demand deposits that were reclassified as loans

amounted to $

1.4

 million (2022 - $

1.7

 million). Pre-arranged overdrafts lines of credit, also reported as loans, amounted to $

23.8

million as of December 31, 2023 (2022 - $

24.5

 million).

The following table presents the contractual maturities of time deposits, including brokered CDs, as of December 31, 2023:

Total 

(In thousands)

Three months or less

$

852,660

Over three months to six months

666,652

Over six months to one year

1,280,377

Over one year to two years 

542,834

Over two years to three years 

72,558

Over three years to four years 

86,611

Over four years to five years 

92,787

Over five years

22,585

 Total

$

3,617,064

Total Puerto Rico and U.S. time deposits with balances of more than $250,000 amounted to $

1.4

 billion and $

1.0

 billion as of

December 31, 2023 and 2022, respectively. This amount does not include brokered CDs that are generally participated out by brokers

in shares of less than the FDIC insurance limit. As of December 31, 2023, unamortized broker placement fees amounted to $

1.0

million (2022 - $

0.3

 million), which are amortized over the contractual maturity of the brokered CDs under the interest method.

As of December 31, 2023, deposit accounts issued to government agencies amounted to $

3.2

 billion (2022 – $

2.8

 billion). These

deposits are insured by the FDIC up to the applicable limits. The uninsured portions were collateralized by securities and loans with an

amortized cost of $

3.5

 billion (2022 – $

3.1

 billion) and an estimated market value of $

3.1

 billion (2022 – $

2.7

 billion). In addition to

securities and loans, as of December 31, 2023 and 2022, the Corporation used $

175.0

 million and $

200.0

 million, respectively, in

letters of credit issued by the FHLB as pledges for public deposits in the Virgin Islands. As of December 31, 2023 the Corporation had

$

2.7

 billion of government deposits in Puerto Rico (2022 – $

2.3

 billion), $

449.4

 million in the Virgin Islands (2022 – $

442.8

 million)

and $

10.2

 million in Florida (2022 – $

11.6

 million).

A table showing interest expense on interest-bearing deposits for the indicated periods follows:

Year Ended December 31,

2023

2022

2021

(In thousands)

Checking accounts

$

74,271

$

15,568

$

5,776

Saving accounts

25,955

11,191

6,586

Time deposits

68,605

18,102

26,138

Brokered CDs

16,630

1,500

2,982

 Total

$

185,461

$

46,361

$

41,482

The total interest expense on deposits included the amortization of broker placement fees related to brokered CDs amounting to

$

0.3

 million, $

0.1

 million, and $

0.2

 million for 2023, 2022 and 2021, respectively. Total interest expense also included $

0.2

 million,

$

0.5

 million and $

1.3

 million for 2023, 2022 and 2021, respectively, for the accretion of premiums related to time deposits assumed in

the BSPR acquisition.