LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)

6 Months Ended

Jun. 30, 2014

Receivables [Abstract]

Schedule of Allowance for Loan Losses

The activity in the Company’s allowance for loan losses (“ALLL”) for the three and six month periods ending June 30, 2014 and 2013 and related asset balances at June 30, 2014 and December 31, 2013 is summarized as follows:

	For the Three Months Ended June 30, 2014
						Faith-
						Based			Residential
				Commercial		Non-			Real						Other
(Dollars in thousands)	Commercial			Real Estate		Profit			Estate			Consumer			Loans			Unallocated			Total
ALLL:
Total ending ALLL balances as of March 31, 2014	$	178		$	699	$	1,796		$	612		$	19		$	37		$	145		$	3,486
For the three months ended June 30, 2014
Charge-offs		—			—		—			(24	)		(15	)		(5	)		—			(44	)
Recoveries		—			—		—			5			1			1			—			7
Provision for loan losses		(69	)		81		(110	)		52			22			76			(52	)		—
Total ending ALLL balances as of June 30, 2014	$	109		$	780	$	1,686		$	645		$	27		$	109		$	93		$	3,449

	For the Three Months Ended June 30, 2013
						Faith-
						Based		Residential
			Commercial			Non-		Real						Other
(Dollars in thousands)	Commercial		Real Estate			Profit		Estate			Consumer			Loans			Unallocated			Total
ALLL:
Total ending ALLL balances as of March 31, 2013	$	76	$	1,192		$	1,278	$	851		$	27		$	48		$	29		$	3,501
For the three months ended June 30, 2013
Charge-offs		—		(237	)		—		(33	)		—			(5	)		—			(275	)
Recoveries		—		2			—		4			(4	)		6			—			8
Provision for loan losses		165		(151	)		—		9			(1	)		(6	)		(16	)		—
Total ending ALLL balances as of June 30, 2013	$	241	$	806		$	1,278	$	831		$	22		$	43		$	13		$	3,234

	For the Six Months Ended June 30, 2014
							Faith-
							Based			Residential
				Commercial			Non-			Real						Other
(Dollars in thousands)	Commercial			Real Estate			Profit			Estate			Consumer			Loans			Unallocated		Total
ALLL:
Total ending ALLL balances as of December 31, 2013	$	184		$	808		$	1,883		$	493		$	19		$	106		$	—	$	3,493
For the six months ended June 30, 2014
Charge-offs		—			—			—			(31	)		(16	)		(11	)		—		(58	)
Recoveries		—			—			—			9			1			4			—		14
Provision for loan losses		(75	)		(28	)		(197	)		174			23			10			93		—
Total ending ALLL balances as of June 30, 2014	$	109		$	780		$	1,686		$	645		$	27		$	109		$	93	$	3,449

	For the Six Months Ended June 30, 2013
						Faith-
						Based		Residential
			Commercial			Non-		Real						Other
(Dollars in thousands)	Commercial		Real Estate			Profit		Estate			Consumer			Loans			Unallocated			Total
ALLL:
Total ending ALLL balances as of December 31, 2012	$	90	$	881		$	1,246	$	937		$	30		$	54		$	261		$	3,499
For the Six Months Ended June 30, 2013
Charge-offs		—		(237	)		—		(33	)		(2	)		(10	)		—			(282	)
Recoveries		—		2			—		8			1			6			—			17
Provision for loan losses		151		160			32		(81	)		(7	)		(7	)		(248	)		—
Total ending ALLL balances as of June 30, 2013	$	241	$	806		$	1,278	$	831		$	22		$	43		$	13		$	3,234

	June 30, 2014
					Faith
					Based
			Commercial		Non-		Residential				Other
(Dollars in thousands)	Commercial		Real Estate		Profit		Real Estate		Consumer		Loans		Unallocated		Total
ALLL:
Ending ALLL balance attributable to loans:
Individually evaluated for impairment	$	—	$	63	$	576	$	213	$	—	$	—	$	—	$	852
Collectively evaluated for impairment		109		717		1,110		432		27		109		93		2,597
Total ending ALLL balance	$	109	$	780	$	1,686	$	645	$	27	$	109	$	93	$	3,449
Loans:
Loans individually evaluated for impairment	$	—	$	9,029	$	16,481	$	3,310	$	8	$	—	$	—	$	28,828
Loans collectively evaluated for impairment		7,154		42,797		74,810		23,380		1,251		6,680		—		156,072
Total ending loans balance	$	7,154	$	51,826	$	91,291	$	26,690	$	1,259	$	6,680	$	—	$	184,900

	December 31, 2013
					Faith
					Based
			Commercial		Non-		Residential				Other
(Dollars in thousands)	Commercial		Real Estate		Profit		Real Estate		Consumer		Loans		Unallocated		Total
ALLL:
Ending ALLL balance attributable to loans:
Individually evaluated for impairment	$	—	$	—	$	931	$	75	$	—	$	—	$	—	$	1,006
Collectively evaluated for impairment		184		808		952		418		19		106		—		2,487
Total ending ALLL balance	$	184	$	808	$	1,883	$	493	$	19	$	106	$	—	$	3,493
Loans:
Loans individually evaluated for impairment	$	—	$	9,029	$	17,661	$	3,947	$	11	$	—	$	—	$	30,648
Loans collectively evaluated for impairment		12,344		50,060		67,802		24,966		1,329		2,326		—		158,827
Total ending loans balance	$	12,344	$	59,089	$	85,463	$	28,913	$	1,340	$	2,326	$	—	$	189,475

Loan Portfolio Schedule

A portfolio segment is defined as the level at which an entity develops and documents a systematic methodology to determine its ALLL. The composition of the loan portfolio, net of deferred fees and costs, by loan classification as of June 30, 2014 and December 31, 2013 was as follows:

(Dollars in thousands)	June 30, 2014			December 31, 2013
Commercial	$	7,154		$	12,344
Commercial real estate:
Construction		537			4,758
Owner occupied		24,010			22,186
Other		27,279			32,145
Faith-based non-profit:
Construction		6,598			—
Owner Occupied		82,809			78,761
Other		1,884			6,702
Residential real estate:
First mortgage		20,557			22,350
Multifamily		3,105			3,271
Home equity		2,671			3,051
Construction		357			241
Consumer		1,259			1,340
Other loans		6,680			2,326
Loans, net of deferred fees		184,900			189,475
ALLL		(3,449	)		(3,493	)
Loans, net of ALLL	$	181,451		$	185,982

Schedule of Past Due loans

The following tables present loans not past due and the aging of past due loans as of June 30, 2014 and December 31, 2013:

					90 Days
June 30, 2014	30-59 Days		60-89 Days		Or More		Total Past
(Dollars in thousands)	Past Due		Past Due		Past Due		Due		Current		Total
Commercial	$	83	$	—	$	—	$	83	$	7,071	$	7,154
Commercial real estate:
Construction		—		—		—		—		537		537
Owner occupied		—		936		3,596		4,532		19,478		24,010
Other		327		—		1,827		2,154		25,125		27,279
Faith-based non-profit:
Construction		—		—		—		—		6,598		6,598
Owner Occupied		2,932		3,365		250		6,547		76,262		82,809
Other		—		—		—		—		1,884		1,884
Residential real estate:
First mortgage		80		255		4,500		4,835		15,722		20,557
Multifamily		—		—		—		—		3,105		3,105
Home equity		—		15		184		199		2,472		2,671
Construction		—		—		—		—		357		357
Consumer		6		—		8		14		1,245		1,259
Other loans		—		—		—		—		6,680		6,680
Total	$	3,428	$	4,571	$	10,365	$	18,364	$	166,536	$	184,900

					90 Days
December 31, 2013	30-59 Days		60-89 Days		Or More		Total Past
(Dollars in thousands)	Past Due		Past Due		Past Due		Due			Current		Total
Commercial	$	—	$	4	$	—	$	4	#	$	12,340	$	12,344
Commercial real estate:
Construction		—		—		—		—			4,758		4,758
Owner occupied		77		—		2,675		2,752	#		19,434		22,186
Other		—		—		642		642	#		31,503		32,145
Faith-based non-profit:
Construction		—		—		—		—			—		—
Owner Occupied		2,859		29		333		3,221	#		75,540		78,761
Other		1		—		—		1	#		6,701		6,702
Residential real estate:
First mortgage		747		275		2,602		3,624	#		18,726		22,350
Multifamily		—		—		—		—			3,271		3,271
Home equity		241		—		118		359	#		2,692		3,051
Construction		—		—		—		—			241		241
Consumer		6		3		9		18	#		1,322		1,340
Other loans		—		—		—		—			2,326		2,326
Total	$	3,931	$	311	$	6,379	$	10,621		$	178,854	$	189,475

Schedule of Impaired Loans

The recorded investment and related information for impaired loans is summarized as follows for June 30, 2014, June 30, 2013 and December 31, 2013:

	June 30, 2014
							For the Six Months Ended				For the Three Months Ended
	Unpaid						Interest		Average		Interest		Average
	Principal		Recorded		ALLL		Income		Recorded		Income		Recorded
(Dollars in thousands)	Balance		Investment		Allocated		Recognized		Investment		Recognized		Investment
With no related allowance recorded:
Commercial	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial real estate:
Construction		78		78		—		3		291		—		219
Owner occupied		3,133		3,135		—		41		3,159		8		3,147
Other		3,367		3,379		—		61		2,655		55		2,124
Faith based non-profit:
Construction		—		—		—		—		—		—		—
Owner occupied		9,202		9,226		—		285		10,116		157		8,872
Other		—		—		—		—		—		—		—
Residential real estate:
First mortgage		2,583		2,574		—		47		2,795		28		2,659
Multifamily		—		—		—		—		—		—		—
Home equity		23		23		—		—		66		—		53
Construction		—		—		—		—		—		—		—
Consumer		8		8		—		—		9		—		8
Impaired loans with no allowance recorded	$	18,394	$	18,423	$	—	$	437	$	19,091	$	248	$	17,082
With an allowance recorded:
Commercial	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial real estate:
Construction		279		279		29		12		70		12		140
Owner occupied		—		—		—		—		—		—		—
Other		2,172		2,179		34		48		2,883		—		3,427
Faith based non-profit:
Construction		—		—		—		—		—		—		—
Owner occupied		7,278		7,296		576		177		6,744		75		7,693
Other		—		—		—		—		—		—		—
Residential real estate:
First mortgage		567		548		182		5		554		3		536
Multifamily		—		—		—		—		—		—		—
Home equity		166		166		31		4		113		2		122
Construction		—		—		—		—		—		—		—
Consumer		—		—		—		—		—		—		—
Impaired loans with allowance recorded	$	10,462	$	10,468	$	852	$	246	$	10,364	$	92	$	11,918
Impaired loans	$	28,856	$	28,891	$	852	$	683	$	29,455	$	340	$	29,000

	June 30, 2013
							For the Six Months Ended				For the Three Months Ended
	Unpaid						Interest		Average		Interest		Average
	Principal		Recorded		ALLL		Income		Recorded		Income		Recorded
(Dollars in thousands)	Balance		Investment		Allocated		Recognized		Investment		Recognized		Investment
With no related allowance recorded:
Commercial	$	—	$	—	$	—	$	—	$	221	$	—	$	147
Commercial real estate:
Construction		361		365		—		12		278		5		276
Owner occupied		795		559		—		17		525		9		468
Other		4,856		4,873		—		113		4,385		54		4,028
Faith based non-profit:
Construction		—		—		—		—		—		—		—
Owner occupied		15,036		15,061		—		299		10,391		157		10,589
Other		—		—		—		—		—		—		—
Residential real estate:
First mortgage		2,770		2,739		—		10		1,441		3		1,625
Multifamily		—		—		—		—		—		—		—
Home equity		9		9		—		—		60		—		28
Construction		—		—		—		—		—		—		—
Consumer		13		13		—		—		5		—		8
Impaired loans with no allowance recorded	$	23,840	$	23,619	$	—	$	451	$	17,306	$	228	$	17,169
With an allowance recorded:
Commercial	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial real estate:
Construction		—		—		—		—		—		—		—
Owner occupied		—		—		—		—		59		—		59
Other		—		—		—		—		501		—		501
Faith based non-profit:
Construction		—		—		—		—		—		—		—
Owner occupied		882		885		115		34		324		27		435
Other		—		—		—		—		—		—		—
Residential real estate:
First mortgage		1,408		1,412		294		—		836		—		1,013
Multifamily		—		—		—		—		—		—		—
Home equity		91		92		27		—		12		—		23
Construction		—		—		—		—		—		—		—
Consumer		—		—		—		—		—		—		—
Impaired loans with allowance recorded	$	2,381	$	2,389	$	436	$	34	$	1,732	$	27	$	2,031
Impaired loans	$	26,221	$	26,008	$	436	$	485	$	19,038	$	255	$	19,200

	December 31, 2013
							Interest
	Unpaid						Earned		Average
	Principal		Recorded		ALLL		For the		Recorded
(Dollars in thousands)	Balance		Investment		Allocated		Year		Investment
With no related allowance recorded:
Commercial	$	—	$	—	$	—	$	—	$	74
Commercial real estate:
Construction		363		364		—		28		321
Owner occupied		3,181		3,183		—		142		1,194
Other		5,486		5,503		—		256		4,858
Faith based non-profit:
Construction		—		—		—		—		—
Owner occupied		14,151		14,203		—		681		12,880
Other		—		—		—		—		—
Residential real estate:
First mortgage		3,116		3,119		—		213		2,143
Multifamily		—		—		—		—		—
Home equity		77		77		—		3		50
Construction		—		—		—		—		—
Consumer		11		11		—		—		9
Impaired loans with no allowance recorded	$	26,385	$	26,460	$	—	$	1,323	$	21,529
With an allowance recorded:
Commercial	$	—	$	—	$	—	$	—	$	—
Commercial real estate:
Construction		—		—		—		—		—
Owner occupied		—		—		—		—		59
Other		—		—		—		—		251
Faith based non-profit:
Construction		—		—		—		—		—
Owner occupied		3,510		3,500		931		242		631
Other		—		—		—		—		—
Residential real estate:
First mortgage		621		623		38		29		1,017
Multifamily		—		—		—		—		—
Home equity		131		131		37		6		42
Construction		—		—		—		—		—
Consumer		—		—		—		—		—
Impaired loans with allowance recorded	$	4,262	$	4,254	$	1,006	$	277	$	2,000
Impaired loans	$	30,647	$	30,714	$	1,006	$	1,600	$	23,529

Schedule of non-accrual loans

The following table presents the recorded investment in non-accrual loans and loans past due over 90 days still on accrual by class of loans as of June 30, 2014 and December 31, 2013, respectively:

					90 Days
					or More
					Past Due
June 30, 2014					Still
(Dollars in thousands)	Non-accrual		Number		Accruing		Number
Commercial	$	—		—	$	—		—
Commercial real estate:
Construction		—		—		—		—
Owner occupied		2,652		3		978		2
Other		524		3		1,303		4
Faith-based non-profit:
Construction		—		—		—		—
Owner Occupied		22		1		228		1
Other		—		—		—		—
Residential real estate:
First mortgage		2,979		37		2,233		10
Multifamily		—		—		—		—
Home equity		189		7		—		—
Construction		—		—		—		—
Consumer		8		1		—		—
Other loans		—		—		—		—
Total	$	6,374		52	$	4,742		17

					90 Days
					or More
					Past Due
December 31, 2013					Still
(Dollars in thousands)	Non-accrual		Number		Accruing		Number
Commercial	$	—		—	$	—		—
Commercial real estate:
Construction		—		—		—		—
Owner occupied		2,676		3		—		—
Other		532		3		110		1
Faith-based non-profit:
Construction		—		—		—		—
Owner Occupied		29		1		332		1
Other		—		—		—		—
Residential real estate:
First mortgage		3,348		43		253		5
Multifamily		—		—		—		—
Home equity		124		7		—		—
Construction		—		—		—		—
Consumer		11		2		—		—
Other loans		—		—		—		—
Total	$	6,720		59	$	695		7

Loans by risk category

The following is a breakdown of loans by risk categories at June 30, 2014 and December 31, 2013:

June 30, 2014
(Dollars in thousands)	Pass		Special Mention		Substandard		Doubtful		Total
Commercial	$	1,122	$	3,188	$	2,844	$	—	$	7,154
Commercial real estate:
Construction		180		—		357		—		537
Owner occupied		18,681		481		4,848		—		24,010
Other		23,367		2,989		923		—		27,279
Faith-based non-profit:
Construction		6,598		—		—		—		6,598
Owner Occupied		71,700		4,117		6,992		—		82,809
Other		1,884		—		—		—		1,884
Residential real estate:
First mortgage		16,720		415		3,417		5		20,557
Multifamily		3,013		32		60		—		3,105
Home equity		2,376		—		295		—		2,671
Construction		357		—		—		—		357
Consumer		1,230		16		13		—		1,259
Other loans		6,680		—		—		—		6,680
Total	$	153,908	$	11,238	$	19,749	$	5	$	184,900

December 31, 2013
(Dollars in thousands)	Pass		Special Mention		Substandard		Doubtful		Total
Commercial	$	12,342	$	—	$	2	$	—	$	12,344
Commercial real estate:
Construction		4,396		—		362		—		4,758
Owner occupied		17,586		625		3,975		—		22,186
Other		27,584		2,703		1,858		—		32,145
Faith-based non-profit:
Construction		—		—		—		—		—
Owner Occupied		66,626		7,474		4,661		—		78,761
Other		6,701		1		—		—		6,702
Residential real estate:
First mortgage		17,890		427		4,033		—		22,350
Multifamily		3,171		38		62		—		3,271
Home equity		2,668		—		383		—		3,051
Construction		241		—		—		—		241
Consumer		1,323		—		17		—		1,340
Other loans		2,326		—		—		—		2,326
Total	$	162,854	$	11,268	$	15,353	$	—	$	189,475

Schedule of Troubled Debt Restructurings

The following tables present TDRs as of June 30, 2014 and December 31, 2013.

	Troubled Debt Restructurings
	June 30, 2014
					Non-accrual				Total
	Accrual Status				Status				Modifications
(Dollars in thousands)	Number		Amount		Number		Amount		Number		Amount
Commercial real estate:
Construction		2	$	357		—	$	—		2	$	357
Owner occupied		3		481		1		2,576		4		3,057
Other		5		5,015		—		—		5		5,015
Faith-based non-profit:
Owner occpied		20		16,459		1		22		21		16,481
Residential real estate:
First mortgage		1		29		2		178		3		207
		31	$	22,341		4	$	2,776		35	$	25,117

	Troubled Debt Restructurings
	December 31, 2013
					Non-accrual				Total
	Accrual Status				Status				Modifications
(Dollars in thousands)	Number		Amount		Number		Amount		Number		Amount
Commercial real estate:
Construction		2	$	362		—	$	—		2	$	362
Owner occupied		4		506		1		2,598		5		3,104
Other		5		4,953		—		—		5		4,953
Faith-based non-profit:
Owner occpied		21		17,632		1		29		22		17,661
Residential real estate:
First mortgage		1		29		3		244		4		273
		33	$	23,482		5	$	2,871		38	$	26,353