MORTGAGE SERVICING RIGHTS

9 Months Ended

Sep. 30, 2017

Mortgage Loans on Real Estate [Abstract]

MORTGAGE SERVICING RIGHTS

NOTE 4 - MORTGAGE SERVICING RIGHTS

(in thousands)		September 30, 2017		December 31, 2016
Residential mortgage loans serviced for others	$	120,429	$	125,243
Fair value of mortgage servicing rights		1,004		902

Changes in mortgage servicing rights are as follows:

		Three months						Nine months
Periods ended September 30, (in thousands)		2017			2016			2017			2016
Mortgage Servicing Rights
Balance, beginning of period	$	241		$	416		$	339		$	487
Originated		15			28			53			71
Amortization (1)		(13	)		(67	)		(149	)		(181	)
Balance, end of period	$	243		$	377		$	243		$	377
Valuation Allowance
Balance, beginning of period	$	(25	)	$	(25	)	$	(23	)	$	(3	)
Decrease (increase) in impairment reserve (1)		26			7			24			(17	)
Balance, end of period		1			(18	)		1			(20	)
Mortgage servicing rights, net	$	244		$	359		$	244		$	357

(1) Amortization expense and changes in the impairment reserve are recorded in mortgage servicing, net.