(1) Excludes accrued interest receivable on loans of $5.8 million and $7.0 million as of June 30, 2021 and December 31, 2020, respectively, which is presented separately on the consolidated balance sheets.

The Company’s estimate of the allowance for credit losses (“ACL”) reflects losses expected over the remaining contractual life of the assets. The contractual term does not consider extensions, renewals or modifications unless the Company has identified an expected troubled debt restructuring. The following tables present the activity in the ACL by class of loans for the six months ended June 30, 2021, for the year ended December 31, 2020 and for the six months ended June 30, 2020:


For the Six Months Ended June 30, 2021	Commercial and industrial			Construction and development			Commercial real estate			Farmland		1-4 family residential			Multi-family residential		Consumer			Agricultural			Overdrafts			Total
Allowance for credit losses:
Beginning balance	$	4,033		$	4,735		$	15,780		$	1,220	$	6,313		$	363	$	929		$	239		$	7		$	33,619
Provision for credit losses		(329	)		(914	)		167			19		(162	)		255		(34	)		(49	)		47			(1,000	)
Loans charged-off		(238	)		—			(760	)		—		—			—		(76	)		—			(84	)		(1,158	)
Recoveries		11			1			11			—		—			—		28			—			36			87

Ending balance	$	3,477		$	3,822		$	15,198		$	1,239	$	6,151		$	618	$	847		$	190		$	6		$	31,548


For the Year Ended December 31, 2020	Commercial and industrial			Construction and development		Commercial real estate		Farmland		1-4 family residential			Multi-family residential			Consumer			Agricultural			Overdrafts			Total
Allowance for loan losses:
Beginning balance, prior to adoption of ASC 326	$	2,056		$	2,378	$	6,853	$	570	$	3,125		$	409		$	602		$	197		$	12		$	16,202
Impact of adopting ASC 326		546			323		2,228		26		1,339			(50	)		72			73			(9	)		4,548
Provision for loan losses		1,398			2,034		6,698		624		1,915			4			373			(33	)		187			13,200
Loans charged-off		(68	)		—		—		—		(68	)		—			(155	)		(18	)		(234	)		(543	)
Recoveries		101			—		1		—		2			—			37			20			51			212

Ending balance	$	4,033		$	4,735	$	15,780	$	1,220	$	6,313		$	363		$	929		$	239		$	7		$	33,619


For the Six Months Ended June 30, 2020	Commercial and industrial			Construction and development		Commercial real estate		Farmland		1-4 family residential			Multi-family residential			Consumer			Agricultural			Overdrafts			Unallocated		Total
Allowance for loan losses:
Beginning balance	$	2,056		$	2,378	$	6,853	$	570	$	3,125		$	409		$	602		$	197		$	12		$	—	$	16,202
Impact of adopting ASC 326		546			323		2,228		26		1,339			(50	)		72			73			(9	)		—		4,548
Provision for loan losses		1,491			2,193		6,567		654		1,729			245			364			114			60			83		13,500
Loans charged-off		(43	)		—		—		—		(59	)		—			(80	)		(18	)		(83	)		—		(283	)
Recoveries		86			—		—		—		2			—			17			20			27			—		152

Ending balance	$	4,136		$	4,894	$	15,648	$	1,250	$	6,136		$	604		$	975		$	386		$	7		$	83	$	34,119

During the year ended December 31, 2020, a total allowance for credit losses provision of $13.2 million was recorded primarily to account for the estimated impact of COVID-19 on credit quality and resulted largely from changes to individual loan risk ratings, as well as COVID-specific qualitative factors primarily derived from changes in national GDP, Texas unemployment rates and national industry related CRE trends, all of which were impacted by the effects of COVID-19. There was a reverse provision for ACL of $1.0 million during the second quarter of 2021, partially due to the aforementioned COVID-specific qualitative factors established during 2020 being reduced during the second quarter of 2021 by approximately 14 basis points across the loan portfolio in order to capture the improvements that have occurred to macro-economic factors evaluated at the onset of the pandemic, as well as upgrades to risk ratings for certain loans that were downgraded at the onset of COVID as a precautionary measure. Although management is cautiously optimistic about improving economic trends, it is possible that the economic effects of the pandemic could continue beyond 2021, particularly if COVID variants result in widespread health issues that cause an increase in social distancing measures.

The Company uses the weighted-average remaining maturity (“WARM”) method as the basis for the estimation of expected credit losses. The WARM method uses a historical average annual charge-off rate containing loss content over a historical lookback period and is used as a foundation for estimating the credit loss reserve for the remaining outstanding balances of loans in a segment at the balance sheet date. The average annual charge-off rate is applied to the contractual term, further adjusted for estimated prepayments, to determine the unadjusted historical charge-off rate. The calculation of the unadjusted historical charge-off rate is then adjusted, using qualitative factors, for current conditions and for reasonable and supportable forecast periods. Qualitative loss factors are based on the Company’s judgement of company, market, industry or business specific data, differences in loan-specific risk characteristics such as underwriting standards, portfolio mix, risk grades, delinquency level, or term. These qualitative factors serve to compensate for additional areas of uncertainty inherent in the portfolio that are not reflected in our historic loss factors. Additionally, we have adjusted for changes in expected environmental and economic conditions, such as changes in unemployment rates, property values, and other relevant factors over the next 12 to 24 months. Management adjusted the historical loss experience for these expectations. No reversion adjustments were necessary, as the starting point for the Company’s estimate was a cumulative loss rate covering the expected contractual term of the portfolio.

The ACL is measured on a collective segment basis when similar risk characteristics exist. Our loan portfolio is segmented first by regulatory call report code, and second, by internally identified risk grades for our commercial loan segments and by delinquency status for our consumer loan segments. We also have separate segments for our warehouse lines of credit, for our internally originated SBA loans, for our SBA loans acquired from Westbound Bank and for SBA-guaranteed PPP loans. Consistent forecasts of the loss drivers are used across the loan segments. For loans that do not share general risk characteristics with segments, we estimate a specific reserve on an individual basis. A reserve is recorded when the carrying amount of the loan exceeds the discounted estimated cash flows using the loan’s initial effective interest rate or the fair value of collateral for collateral-dependent loans.

Assets are graded “pass” when the relationship exhibits acceptable credit risk and indicates repayment ability, tolerable collateral coverage and reasonable performance history. Lending relationships exhibiting potentially significant credit risk and marginal repayment ability and/or asset protection are graded “special mention.” Assets classified as “substandard” are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well-defined weakness that jeopardizes the liquidation of the debt. Substandard graded loans are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Assets graded “doubtful” are substandard graded loans that have added characteristics that make collection or liquidation in full improbable. Loans that are on nonaccrual status are generally classified as substandard.

In general, the loans in our portfolio have low historical credit losses. The Company closely monitors economic conditions and loan performance trends to manage and evaluate the exposure to credit risk. Key factors tracked by the Company and utilized in evaluating the credit quality of the loan portfolio include trends in delinquency ratios, the level of nonperforming assets, borrower’s repayment capacity, and collateral coverage.

The following table summarizes the credit exposure in the Company’s loan portfolio, by year of origination, as of June 30, 2021:


June 30, 2021	2021		2020		2019			2018			2017			Prior			Revolving Loans Amortized Cost			Total
Commercial and industrial:
Pass	$	211,052	$	67,442	$	24,286		$	10,741		$	6,105		$	20,334		$	83,765		$	423,725
Special mention		30		105		—			—			27			—			—			162
Substandard		—		284		62			226			46			33			—			651
Nonaccrual		—		—		41			4			—			2			39			86

Total commercial and industrial loans	$	211,082	$	67,831	$	24,389		$	10,971		$	6,178		$	20,369		$	83,804		$	424,624


Charge-offs	$	—	$	—	$	(145	)	$	(67	)	$	(19	)	$	—		$	(7	)	$	(238	)
Recoveries		—		—		—			—			—			1			10			11

Current period net	$	—	$	—	$	(145	)	$	(67	)	$	(19	)	$	1		$	3		$	(227	)


Construction and development:
Pass	$	75,324	$	95,313	$	41,751		$	8,414		$	17,464		$	16,080		$	7,054		$	261,400
Special mention		—		793		—			—			967			—			—			1,760
Substandard		—		—		609			3			—			—			—			612
Nonaccrual		—		—		230			—			—			—			—			230

Total construction and development loans	$	75,324	$	96,106	$	42,590		$	8,417		$	18,431		$	16,080		$	7,054		$	264,002


Charge-offs	$	—	$	—	$	—		$	—		$	—		$	—		$	—		$	—
Recoveries		—		—		—			—			—			1			—			1

Current period net	$	—	$	—	$	—		$	—		$	—		$	1		$	—		$	1


Commercial real estate:
Pass	$	59,861	$	99,816	$	71,480		$	65,798		$	46,928		$	186,791		$	13,461		$	544,135
Special mention		406		—		1,610			3,298			4,630			1,843			—			11,787
Substandard		—		7,072		2,391			10,943			13,210			18,204			—			51,820
Nonaccrual		—		—		—			162			202			358			—			722

Total commercial real estate loans	$	60,267	$	106,888	$	75,481		$	80,201		$	64,970		$	207,196		$	13,461		$	608,464


Charge-offs	$	—	$	—	$	(17	)	$	—		$	(472	)	$	(271	)	$	—		$	(760	)
Recoveries		—		—		—			—			11			—			—			11

Current period net	$	—	$	—	$	(17	)	$	—		$	(461	)	$	(271	)	$	—		$	(749	)


Farmland:
Pass	$	28,867	$	13,528	$	9,286		$	9,158		$	5,494		$	22,182		$	5,750		$	94,265
Special mention		—		—		—			—			—			30			—			30
Substandard		—		—		—			—			—			121			—			121
Nonaccrual		—		—		—			—			—			109			—			109

Total farmland loans	$	28,867	$	13,528	$	9,286		$	9,158		$	5,494		$	22,442		$	5,750		$	94,525


Charge-offs	$	—	$	—	$	—		$	—		$	—		$	—		$	—		$	—
Recoveries		—		—		—			—			—			—			—			—

Current period net	$	—	$	—	$	—		$	—		$	—		$	—		$	—		$	—


June 30, 2021	2021			2020			2019			2018			2017			Prior			Revolving Loans Amortized Cost			Total
1-4 family residential:
Pass	$	54,740		$	76,540		$	57,049		$	43,069		$	30,548		$	114,346		$	11,120		$	387,412
Special mention		—			—			—			—			27			—			—			27
Substandard		—			—			—			—			—			—			—			—
Nonaccrual		—			—			227			310			230			1,410			—			2,177

Total 1-4 family residential loans	$	54,740		$	76,540		$	57,276		$	43,379		$	30,805		$	115,756		$	11,120		$	389,616


Charge-offs	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Recoveries		—			—			—			—			—			—			—			—

Current period net	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—


Multi-family residential:
Pass	$	12,271		$	4,828		$	4,426		$	15,480		$	593		$	3,601		$	206		$	41,405
Special mention		—			—			—			—			—			—			—			—
Substandard		—			—			—			—			681			—			—			681
Nonaccrual		—			—			—			—			—			—			—			—

Total multi-family residential loans	$	12,271		$	4,828		$	4,426		$	15,480		$	1,274		$	3,601		$	206		$	42,086


Charge-offs	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Recoveries		—			—			—			—			—			—			—			—

Current period net	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—


Consumer and overdrafts:
Pass	$	15,248		$	16,834		$	7,234		$	6,807		$	1,051		$	804		$	4,005		$	51,983
Special mention		—			8			2			—			—			—			—			10
Substandard		—			—			—			—			—			—			—			—
Nonaccrual		—			44			84			106			12			—			—			246

Total consumer loans and overdrafts	$	15,248		$	16,886		$	7,320		$	6,913		$	1,063		$	804		$	4,005		$	52,239


Charge-offs	$	(87	)	$	(18	)	$	(38	)	$	(16	)	$	(1	)	$	—		$	—		$	(160	)
Recoveries		36			3			—			8			2			15			—			64

Current period net	$	(51	)	$	(15	)	$	(38	)	$	(8	)	$	1		$	15		$	—		$	(96	)


Agricultural:
Pass	$	1,535		$	2,330		$	1,232		$	1,222		$	333		$	652		$	7,153		$	14,457
Special mention		—			—			—			—			27			—			—			27
Substandard		—			—			5			33			46			17			—			101
Nonaccrual		—			—			—			23			—			—			—			23

Total agricultural loans	$	1,535		$	2,330		$	1,237		$	1,278		$	406		$	669		$	7,153		$	14,608


Charge-offs	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Recoveries		—			—			—			—			—			—			—			—

Current period net	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—


Total loans:
Pass	$	458,898		$	376,631		$	216,744		$	160,689		$	108,516		$	364,790		$	132,514		$	1,818,782
Special mention		436			906			1,612			3,298			5,678			1,873			—			13,803
Substandard		—			7,356			3,067			11,205			13,983			18,375			—			53,986
Nonaccrual		—			44			582			605			444			1,879			39			3,593

Total loans	$	459,334		$	384,937		$	222,005		$	175,797		$	128,621		$	386,917		$	132,553		$	1,890,164


Charge-offs	$	(87	)	$	(18	)	$	(200	)	$	(83	)	$	(492	)	$	(271	)	$	(7	)	$	(1,158	)
Recoveries		36			3			—			8			13			17			10			87

Total current period net (charge-offs) recoveries	$	(51	)	$	(15	)	$	(200	)	$	(75	)	$	(479	)	$	(254	)	$	3		$	(1,071	)

The following table summarizes the credit exposure in the Company’s loan portfolio, by year of origination, as of December 31, 2020:


December 31, 2020	2020		2019		2018			2017		2016		Prior		Revolving Loans Amortized Cost			Total
Commercial and industrial:
Pass	$	278,687	$	30,563	$	12,860		$	4,366	$	6,131	$	16,294	$	90,074		$	438,975
Special mention		124		119		222			4,040		1,324		—		—			5,829
Substandard		—		307		540			50		43		—		—			940
Nonaccrual		—		—		13			—		14		—		—			27

Total commercial and industrial loans	$	278,811	$	30,989	$	13,635		$	8,456	$	7,512	$	16,294	$	90,074		$	445,771


Charge-offs	$	—	$	—	$	(43	)	$	—	$	—	$	—	$	(25	)	$	(68	)
Recoveries		—		—		43			—		—		14		44			101

Current period net	$	—	$	—	$	—		$	—	$	—	$	14	$	19		$	33


Construction and development:
Pass	$	118,590	$	76,926	$	26,212		$	24,524	$	7,742	$	10,507	$	3,266		$	267,767
Special mention		356		—		—			990		—		—		—			1,346
Substandard		—		609		5			—		680		—		—			1,294
Nonaccrual		—		—		—			—		—		—		—			—

Total construction and development loans	$	118,946	$	77,535	$	26,217		$	25,514	$	8,422	$	10,507	$	3,266		$	270,407


Charge-offs	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—
Recoveries		—		—		—			—		—		—		—			—

Current period net	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—


Commercial real estate:
Pass	$	91,819	$	80,753	$	89,542		$	72,311	$	86,946	$	123,463	$	5,890		$	550,724
Special mention		—		2,716		3,542			849		5,724		449		—			13,280
Substandard		—		—		2,010			4,913		4,445		8,240		—			19,608
Nonaccrual		—		1,140		151			4,158		4,769		386		—			10,604

Total commercial real estate loans	$	91,819	$	84,609	$	95,245		$	82,231	$	101,884	$	132,538	$	5,890		$	594,216


Charge-offs	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—
Recoveries		—		—		—			—		—		1		—			1

Current period net	$	—	$	—	$	—		$	—	$	—	$	1	$	—		$	1


Farmland:
Pass	$	17,444	$	12,668	$	10,327		$	6,620	$	9,904	$	15,402	$	5,864		$	78,229
Special mention		—		—		—			—		—		35		—			35
Substandard		—		—		—			—		—		129		—			129
Nonaccrual		—		—		—			—		—		115		—			115

Total farmland loans	$	17,444	$	12,668	$	10,327		$	6,620	$	9,904	$	15,681	$	5,864		$	78,508


Charge-offs	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—
Recoveries		—		—		—			—		—		—		—			—

Current period net	$	—	$	—	$	—		$	—	$	—	$	—	$	—		$	—


December 31, 2020	2020			2019			2018			2017			2016			Prior			Revolving Loans Amortized Cost			Total
1-4 family residential:
Pass	$	87,578		$	62,937		$	52,087		$	37,224		$	43,858		$	93,486		$	10,091		$	387,261
Special mention		—			—			—			—			—			168			—			168
Substandard		—			—			—			—			—			—			—			—
Nonaccrual		—			—			326			44			163			1,134			—			1,667

Total 1-4 family residential loans	$	87,578		$	62,937		$	52,413		$	37,268		$	44,021		$	94,788		$	10,091		$	389,096


Charge-offs	$	—		$	—		$	—		$	—		$	(9	)	$	(59	)	$	—		$	(68	)
Recoveries		—			—			—			—			—			2			—			2

Current period net	$	—		$	—		$	—		$	—		$	(9	)	$	(57	)	$	—		$	(66	)


Multi-family residential:
Pass	$	5,889		$	4,498		$	3,617		$	1,371		$	1,737		$	4,391		$	198		$	21,701
Special mention		—			—			—			—			—			—			—			—
Substandard		—			—			—			—			—			—			—			—
Nonaccrual		—			—			—			—			—			—			—			—

Total multi-family residential loans	$	5,889		$	4,498		$	3,617		$	1,371		$	1,737		$	4,391		$	198		$	21,701


Charge-offs	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—
Recoveries		—			—			—			—			—			—			—			—

Current period net	$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—


Consumer and overdrafts:
Pass	$	24,740		$	11,176		$	9,369		$	1,701		$	735		$	513		$	2,825		$	51,059
Special mention		16			83			9			7			—			—			—			115
Substandard		—			—			—			—			—			—			—			—
Nonaccrual		24			36			131			20			1			—			—			212

Total consumer loans and overdrafts	$	24,780		$	11,295		$	9,509		$	1,728		$	736		$	513		$	2,825		$	51,386


Charge-offs	$	(243	)	$	(63	)	$	(31	)	$	(43	)	$	(3	)	$	(6	)	$	—		$	(389	)
Recoveries		49			2			12			8			4			13			—			88

Current period net	$	(194	)	$	(61	)	$	(19	)	$	(35	)	$	1		$	7		$	—		$	(301	)


Agricultural:
Pass	$	3,489		$	1,718		$	1,893		$	607		$	273		$	189		$	7,408		$	15,577
Special mention		—			—			—			36			—			—			—			36
Substandard		—			7			10			—			24			—			—			41
Nonaccrual		—			—			33			—			45			2			—			80

Total agricultural loans	$	3,489		$	1,725		$	1,936		$	643		$	342		$	191		$	7,408		$	15,734


Charge-offs	$	—		$	—		$	(18	)	$	—		$	—		$	—		$	—		$	(18	)
Recoveries		—			—			—			—			20			—			—			20

Current period net	$	—		$	—		$	(18	)	$	—		$	20		$	—		$	—		$	2


Total loans:
Pass	$	628,236		$	281,239		$	205,907		$	148,724		$	157,326		$	264,245		$	125,616		$	1,811,293
Special mention		496			2,918			3,773			5,922			7,048			652			—			20,809
Substandard		—			923			2,565			4,963			5,192			8,369			—			22,012
Nonaccrual		24			1,176			654			4,222			4,992			1,637			—			12,705

Total loans	$	628,756		$	286,256		$	212,899		$	163,831		$	174,558		$	274,903		$	125,616		$	1,866,819


Charge-offs	$	(243	)	$	(63	)	$	(92	)	$	(43	)	$	(12	)	$	(65	)	$	(25	)	$	(543	)
Recoveries		49			2			55			8			24			30			44			212

Total current period net (charge-offs) recoveries	$	(194	)	$	(61	)	$	(37	)	$	(35	)	$	12		$	(35	)	$	19		$	(331	)

There were no loans classified in the “doubtful” or “loss” risk rating categories as of June 30, 2021 and December 31, 2020.

The following table presents the amortized cost basis of individually evaluated collateral-dependent loans by class of loans, and their impact on the ACL, as of June 30, 2021:


	Real Estate		Non-RE		Total		Allowance for Credit Losses Allocation
Commercial and industrial	$	123	$	—	$	123	$	42
Real estate:
Construction and development		609		—		609		210
Commercial real estate		4,602		—		4,602		948

Total	$	5,334	$	—	$	5,334	$	1,200

The following table presents the amortized cost basis of individually evaluated collateral-dependent loans by class of loans, and their impact on the ACL, as of December 31, 2020:


	Real Estate		Non-RE		Total		Allowance for Credit Losses Allocation
Commercial and industrial	$	129	$	—	$	129	$	44
Real estate:
Construction and development		609		—		609		208
Commercial real estate		9,989		—		9,989		2,048

Total	$	10,727	$	—	$	10,727	$	2,300

The following tables summarize the payment status of loans in the Company’s total loan portfolio, including an aging of delinquent loans and loans 90 days or more past due continuing to accrue interest as of:


June 30, 2021	30 to 59 Days Past Due		60 to 89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Current		Total Loans		Recorded Investment > 90 Days and Accruing
Commercial and industrial	$	45	$	38	$	59	$	142	$	424,482	$	424,624	$	—
Real estate:
Construction and development		64		236		230		530		263,472		264,002		—
Commercial real estate		40		278		206		524		607,940		608,464		—
Farmland		95		—		—		95		94,430		94,525		—
1-4 family residential		1,315		63		641		2,019		387,597		389,616		—
Multi-family residential		—		—		—		—		42,086		42,086		—
Consumer		178		18		85		281		51,514		51,795		—
Agricultural		42		—		—		42		14,566		14,608		—
Overdrafts		—		—		—		—		444		444		—

Total	$	1,779	$	633	$	1,221	$	3,633	$	1,886,531	$	1,890,164	$	—


December 31, 2020	30 to 59 Days Past Due		60 to 89 Days Past Due		90 Days and Greater Past Due		Total Past Due		Current		Total Loans		Recorded Investment > 90 Days and Accruing
Commercial and industrial	$	385	$	25	$	22	$	432	$	445,339	$	445,771	$	—
Real estate:
Construction and development		256		—		—		256		270,151		270,407		—
Commercial real estate		1,094		—		10,105		11,199		583,017		594,216		—
Farmland		117		3		—		120		78,388		78,508		—
1-4 family residential		2,097		556		127		2,780		386,316		389,096		—
Multi-family residential		—		—		—		—		21,701		21,701		—
Consumer		383		124		97		604		50,440		51,044		—
Agricultural		50		46		45		141		15,593		15,734		—
Overdrafts		—		—		—		—		342		342		—

Total	$	4,382	$	754	$	10,396	$	15,532	$	1,851,287	$	1,866,819	$	—

Troubled Debt Restructurings

A troubled debt restructuring (“TDR”) is a restructuring in which a bank, for economic or legal reasons related to a borrower’s financial difficulties, grants a concession to the borrower that it would not otherwise consider.

The outstanding balances of TDRs are shown below:


	June 30, 2021		December 31, 2020
Nonaccrual TDRs	$	86	$	90
Performing TDRs		9,535		9,626

Total	$	9,621	$	9,716

Specific reserves on TDRs	$	—	$	—

There was one loan modified as a TDR that occurred during the six months ended June 30, 2021. No TDRs have subsequently defaulted during 2021, and the TDRs described above have not increased the allowance for credit losses and have not resulted in any charge-offs during the six months ended June 30, 2021.

The following table presents the loan by class, modified as a TDR that occurred during the six months ended June 30, 2021:


Six Months Ended June 30, 2021	Number of Contracts		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Troubled Debt Restructurings:
Commercial and industrial		1	$	17	$	17

Total		1	$	17	$	17

The following table presents loans by class, modified as TDRs that occurred during the year ended December 31, 2020:


Year Ended December 31, 2020	Number of Contracts		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Troubled Debt Restructurings:
Construction and development		2	$	1,289	$	1,081
Commercial and industrial		1		129		85
Commercial real estate		1		1,017		670

Total		4	$	2,435	$	1,836

There were no TDRs that subsequently defaulted during 2020, and the TDRs described above did not increase the allowance for credit losses and resulted in no charge-offs during the year ended December 31, 2020.

There were no loans modified as TDRs during the six months ended June 30, 2020.