Loans (Tables)

6 Months Ended

Jun. 30, 2012

Loans [Abstract]

Summary of loan composition

	June 30,			December 31,
	2012			2011
Unsecured	$	784,464		$	848,418
Cash Value		3,911,684			3,927,837
Residential Real Estate		24,600,663			31,146,880
Commercial Real Estate		186,039,299			181,117,917
Business Assets		2,308,011			1,821,587
Vehicles		1,794,346			1,948,661
Other		102,953			104,200
		219,541,420			220,915,500
Unearned loan fees		(730,300	)		(742,898	)
Allowance for loan losses		(5,337,583	)		(5,154,505	)
Loans, net	$	213,473,537		$	215,018,097

Allowances for loan losses and loans evaluated for impairment

The allowance for loan losses and loans evaluated for impairment for the three and six months ended June 30, 2012, by portfolio segment, is as follows:

	Unsecured			Cash Value		Residential Real Estate			Commercial Real Estate			Business Assets			Vehicles			Other		Unallocated		Total
Allowance for loan losses:
For the three months ended June 30, 2012
Beginning balance	$	74,550		$	17,054	$	2,249,923		$	2,160,109		$	351,867		$	218,354		$	—	$	39,935	$	5,111,792
Charge-offs		—			—		(54,208	)		(251,066	)		—			—			—		—		(305,274	)
Recoveries		514			—		1,398			8,519			1,184			9,450			—		—		21,065
Provision		(7,010	)		—		(279,096	)		568,059			64,213			(10,956	)		—		174,790		510,000
Ending balance	$	68,054		$	17,054	$	1,918,017		$	2,485,621		$	417,264		$	216,848		$	—	$	214,725	$	5,337,583
Allowance for loan losses:
For the six months ended June 30, 2012
Beginning balance	$	97,961		$	16,727	$	2,083,285		$	2,480,770		$	299,741		$	176,021		$	—	$	—	$	5,154,505
Charge-offs		(14,325	)		—		(500,597	)		(663,630	)		(2,087	)		(9,633	)		—		—		(1,190,272	)
Recoveries		2,454			—		6,402			90,010			10,034			9,450			—		—		118,350
Provision		(18,036	)		327		328,927			578,471			109,576			41,010			—		214,725		1,255,000
Ending balance	$	68,054		$	17,054	$	1,918,017		$	2,485,621		$	417,264		$	216,848		$	—	$	214,725	$	5,337,583
Ending balance - individually evaluated impairment	$	7,958		$	17,054	$	1,253,285		$	375,178		$	282,519		$	80,587		$	—	$	—	$	2,016,581
Loans:
Ending balance (1)	$	784,464		$	3,911,684	$	24,600,663		$	186,039,299		$	2,308,011		$	1,794,346		$	102,953	$	—	$	219,541,420
Ending balance - Loans individually evaluated for impairment	$	35,177		$	17,054	$	11,856,064		$	35,586,232		$	618,545		$	125,541		$	—	$	—	$	48,238,613

(1) Loan balances presented are gross of unearned loan fees of $730,300.

The allowance for loan losses and loans evaluated for impairment for the year ended December 31, 2011, by portfolio segment, is as follows:

	Unsecured			Cash Value		Residential Real Estate			Commercial Real Estate			Business Assets			Vehicles			Other			Unallocated			Total
Allowance for loan losses:
December 31, 2011
Beginning balance	$	63,020		$	5,210	$	2,258,833		$	2,234,925		$	316,844		$	141,759		$	5		$	203,168		$	5,223,764
Charge-offs		(68,717	)		—		(1,532,779	)		(1,058,851	)		(219,264	)		(174,728	)		—			—			(3,054,339	)
Recoveries		9,199			—		190,046			26,853			11,807			1,175			—			—			239,080
Provision		94,459			11,517		1,167,185			1,277,843			190,354			207,815			(5	)		(203,168	)		2,746,000
Ending balance	$	97,961		$	16,727	$	2,083,285		$	2,480,770		$	299,741		$	176,021		$	—		$	—		$	5,154,505
Ending balance - individually evaluated impairment	$	37,861		$	17,054	$	1,559,888		$	942,959		$	287,819		$	67,891		$	—		$	—		$	2,913,472
Loans:
Ending balance (1)	$	848,418		$	3,927,837	$	31,146,880		$	181,117,917		$	1,821,587		$	1,948,661		$	104,200		$	—		$	220,915,500
Ending balance - Loans individually evaluated for impairment	$	65,080		$	17,054	$	12,180,496		$	35,582,735		$	650,392		$	145,395		$	—		$	—		$	48,641,152

(1) Loan balances presented are gross of unearned loan fees of $742,898.

The allowance for loan losses and loans evaluated for impairment for the three and six months ended June 30, 2011, by portfolio segment, is as follows:

	Unsecured			Cash Value		Residential Real Estate			Commercial Real Estate			Business Assets			Vehicles			Other			Unallocated			Total
Allowance for loan losses:
For the three months ended June 30, 2011
Beginning balance	$	106,021		$	14,262	$	1,829,967		$	2,810,638		$	328,785		$	132,161		$	5		$	70,198		$	5,292,037
Charge-offs		(6,043	)		—		(1,790	)		(181,240	)		—			(5,972	)		—			—			(195,045	)
Recoveries		2,909			—		—			6,683			1,481			1,175			—			—			12,248
Provision		(44,783	)		1,385		264,833			(15,635	)		(26,400	)		(3,444	)		(5	)		(25,951	)		150,000
Ending balance	$	58,104		$	15,647	$	2,093,010		$	2,620,446		$	303,866		$	123,920		$	—		$	44,247		$	5,259,240
Allowance for loan losses:
For the six months ended June 30, 2011
Beginning balance	$	63,020		$	5,210	$	2,258,833		$	2,234,925		$	316,844		$	141,759		$	5		$	203,168		$	5,223,764
Charge-offs		(20,915	)		—		(34,288	)		(273,678	)		—			(14,028	)		—			—			(342,909	)
Recoveries		6,895			—		—			12,659			2,656			1,175			—			—			23,385
Provision		9,104			10,437		(131,535	)		646,540			(15,634	)		(4,986	)		(5	)		(158,921	)		355,000
Ending balance	$	58,104		$	15,647	$	2,093,010		$	2,620,446		$	303,866		$	123,920		$	—		$	44,247		$	5,259,240
Ending balance - individually evaluated impairment	$	573		$	—	$	1,011,572		$	1,198,730		$	197,089		$	71,736		$	—		$	—		$	2,479,700
Loans:
Ending balance (1)	$	780,583		$	4,704,932	$	37,750,152		$	183,593,077		$	2,314,489		$	2,265,230		$	105,365		$	—		$	231,513,828
Ending balance - Loans individually evaluated for impairment	$	49,662		$	—	$	17,325,001		$	35,633,745		$	852,986		$	169,923		$	—		$	—		$	54,031,317

(1) Loan balances presented are gross of unearned loan fees of $1,087,983.

Summary of impaired loans by segment

	As of June 30, 2012
	Unpaid Total Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance
Unsecured	$	35,177	$	27,219	$	7,958	$	35,177	$	7,958
Cash value		17,054		—		17,054		17,054		17,054
Residential real estate		12,750,284		7,464,890		4,391,174		11,856,064		1,253,285
Commercial real estate		37,497,795		24,798,101		10,788,131		35,586,232		375,178
Business assets		618,545		310,526		308,019		618,545		282,519
Vehicles		125,541		6,036		119,505		125,541		80,587
Other		—		—		—		—		—

	As of December 31, 2011
	Unpaid Total Principal Balance		Recorded Investment With No Allowance		Recorded Investment With Allowance		Total Recorded Investment		Related Allowance
Unsecured	$	65,080	$	27,219	$	37,861	$	65,080	$	37,861
Cash value		17,054		—		17,054		17,054		17,054
Residential real estate		13,754,238		7,738,672		4,441,824		12,180,496		1,559,888
Commercial real estate		37,035,387		18,762,620		16,820,115		35,582,735		942,959
Business assets		650,392		334,973		315,419		650,392		287,819
Vehicles		145,395		62,344		83,051		145,395		67,891
Other		—		—		—		—		—

Summary of interest income from impaired loans

	Three months ended June 30, 2012				Three months ended June 30, 2011
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Unsecured	$	21,909	$	313	$	66,703	$	2,077
Cash value		17,054		—		311,426		—
Residential real estate		11,869,970		89,878		17,444,654		79,376
Commercial real estate		34,746,035		400,638		34,281,724		51,256
Business assets		623,818		6,674		1,502,104		503
Vehicles		127,318		291		135,774		337
Other		—		—		—		—

	Six months ended June 30, 2012				Six months ended June 30, 2011
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Unsecured	$	50,129	$	313	$	72,402	$	3,259
Cash value		17,054		—		207,617		4,671
Residential real estate		12,018,280		148,561		17,865,725		125,531
Commercial real estate		35,584,484		629,948		32,664,678		128,122
Business assets		634,469		6,990		1,648,181		32,181
Vehicles		135,468		857		170,164		444
Other		—		—		—		—

	Year ended December 31, 2011
	Average Recorded Investment		Interest Income Recognized
Unsecured	$	65,096	$	3,582
Cash value		127,981		1,314
Residential real estate		15,630,196		390,773
Commercial real estate		32,650,297		1,243,184
Business assets		1,251,354		31,742
Vehicles		160,830		12,539
Other		—		—

Summary of delinquent amounts by portfolio segments

A primary credit quality indicator for financial institutions is delinquent balances. Following are the delinquent amounts, by portfolio segment, as of June 30, 2012:

	Current		30-89 Days		Greater Than 90 Days And Still Accruing		Total Accruing Past Due		Non-accrual		Total Financing Receivables
Unsecured	$	740,639	$	10,528	$	867	$	11,395	$	32,430	$	784,464
Cash value		3,894,630		—		—		—		17,054		3,911,684
Residential real estate		18,168,745		1,387,470		100,852		1,488,322		4,943,596		24,600,663
Commercial real estate		155,327,664		11,176,532		—		11,176,532		19,535,103		186,039,299
Business assets		1,688,336		125,459		5,144		130,603		489,072		2,308,011
Vehicles		1,577,553		48,921		—		48,921		167,872		1,794,346
Other		102,953		—		—		—		—		102,953
	$	181,500,520	$	12,748,910	$	106,863	$	12,855,773	$	25,185,127	$	219,541,420

Following are the delinquent amounts, by portfolio segment, as of December 31, 2011:

	Current		30-89 Days		Greater Than 90 Days And Still Accruing		Total Accruing Past Due		Non-accrual		Total Financing Receivables
Unsecured	$	680,215	$	96,348	$	25,358	$	121,706	$	46,497	$	848,418
Cash value		3,627,793		282,990		—		282,990		17,054		3,927,837
Residential real estate		24,875,203		1,340,826		—		1,340,826		4,930,851		31,146,880
Commercial real estate		149,663,226		10,485,170		2,271,985		12,757,155		18,697,536		181,117,917
Business assets		997,810		308,062		—		308,062		515,715		1,821,587
Vehicles		1,679,728		91,771		—		91,771		177,162		1,948,661
Other		104,200		—		—		—		—		104,200
	$	181,628,175	$	12,605,167	$	2,297,343	$	14,902,510	$	24,384,815	$	220,915,500

Summary of loans by risk rating

The following table presents the Company’s loans by risk rating, before unearned loan fees, at June 30, 2012:

Rating:	Unsecured		Cash Value		Residential Real Estate		Commercial Real Estate		Business Assets		Vehicles		Other		Total
Grade 1 (Prime)	$	—	$	27,504	$	—	$	—	$	—	$	—	$	—	$	27,504
Grade 2 (Superior)		18,202		223,893		—		348,149		—		10,497		—		600,741
Grade 3 (Acceptable-Average)		616,270		3,573,771		9,234,053		110,787,875		1,384,545		1,340,886		—		126,937,400
Grade 4 - Fair (Watch)		61,012		69,462		1,857,868		5,882,971		—		24,771		102,953		7,999,037
Grade 5 (Special Mention)		14,382		—		1,397,168		17,777,882		295,181		211,230		—		19,695,843
Grade 6 (Substandard)		73,771		17,054		12,006,710		51,242,422		628,285		206,962		—		64,175,204
Grade 7 (Doubtful)		—		—		104,864		—		—		—		—		104,864
Grade 8 (Loss)		827		—		—		—		—		—		—		827
	$	784,464	$	3,911,684	$	24,600,663	$	186,039,299	$	2,308,011	$	1,794,346	$	102,953	$	219,541,420

The following table presents the Company’s loans by risk rating at December 31, 2011:

Rating:	Unsecured		Cash Value		Residential Real Estate		Commercial Real Estate		Business Assets		Vehicles		Other		Total
Grade 1 (Prime)	$	15,490	$	27,296	$	—	$	—	$	—	$	—	$	—	$	42,786
Grade 2 (Superior)		20,127		190,867		—		354,446		—		18,929		—		584,369
Grade 3 (Acceptable-Average)		575,653		3,574,692		12,193,364		119,006,553		539,117		1,389,332		—		137,278,711
Grade 4 - Fair (Watch)		63,473		72,988		1,940,701		6,166,739		308,062		55,803		104,200		8,711,966
Grade 5 (Special Mention)		14,162		—		3,013,965		12,125,628		301,423		253,112		—		15,708,290
Grade 6 (Substandard)		159,513		61,994		13,892,036		43,464,551		672,985		231,381		—		58,482,460
Grade 7 (Doubtful)		—		—		106,814		—		—		104		—		106,918
Grade 8 (Loss)		—		—		—		—		—		—		—		—
	$	848,418	$	3,927,837	$	31,146,880	$	181,117,917	$	1,821,587	$	1,948,661	$	104,200	$	220,915,500

Summary of Company's TDRs based on performance

	June 30, 2012		December 31, 2011
Performing TDRs	$	14,445,158	$	13,360,284
Non-performing TDRs		8,137,161		7,832,091
Total TDRs	$	22,582,319	$	21,192,375

TDRs quantified by loan type and classified separately as accrual and non-accrual

	June 30, 2012
	Accruing		Non-Accrual		Total
Unsecured	$	—	$	—	$	—
Cash value		—		—		—
Residential real estate		5,279,949		7,262,736		12,542,685
Commercial real estate		9,498,288		530,435		10,028,723
Business assets		10,845		—		10,845
Vehicles		66		—		66
Other		—		—		—
Total TDRs	$	14,789,148	$	7,793,171	$	22,582,319

	December 31, 2011
	Accruing		Non-Accrual		Total
Unsecured	$	—	$	13,604	$	13,604
Cash value		—		—		—
Residential real estate		4,935,018		—		4,935,018
Commercial real estate		11,142,281		5,083,439		16,225,720
Business assets		12,205		—		12,205
Vehicles		5,828		—		5,828
Other		—		—		—
Total TDRs	$	16,095,332	$	5,097,043	$	21,192,375

Summary of the types of concessions made

	June 30,		December 31,
	2012		2011
Lowered interest rate and/or payment amount	$	7,056,405	$	5,767,702
Interest only payment terms		1,553,667		3,476,659
Interest only & rate reduction		1,721,152		935,697
Waived interest and/or late fees		5,471,369		5,478,899
A&B note structure		2,212,206		1,015,693
Substitution of debtor		4,567,520		4,517,725
Total TDRs	$	22,582,319	$	21,192,375

Loans modified as TDRs by class and related recorded investment

	June 30, 2012				December 31, 2011
	Number of		Recorded		Number of		Recorded
	Loans		Investment		Loans		Investment
Unsecured		0	$	—		1	$	13,604
Cash value		0		—		0		—
Residential real estate		9		6,303,915		5		4,949,688
Commercial real estate		25		16,389,979		22		16,320,317
Business assets		2		11,534		2		12,799
Vehicles		1		66		2		6,017
Other		0		—		0		—
Total TDRs		37	$	22,705,494		32	$	21,302,425