Securities Sold Under Agreement to Repurchase

3 Months Ended

Mar. 31, 2020

Banking And Thrift [Abstract]

Securities Sold Under Agreement to Repurchase

NOTE 8: Securities sold under agreement to repurchase

The Company enters into borrowing arrangements with our retail business customers by agreements to repurchase (“securities sold under agreements to repurchase”) under which the bank pledges investment securities owned and under its control as collateral against these one-day borrowing arrangements. These short-term borrowings totaled $81,736 at March 31, 2020 compared to $93,141 at December 31, 2019.  Repurchase agreements are secured by obligations of U.S. government agencies and municipal securities with fair values of $113,426 and $131,394 at March 31, 2020 and December 31, 2019, respectively. The following table provides additional details for the periods presented.

	MBS	Municipal
As of March 31, 2020	securities	securities	Total
Market value of securities pledged	$112,973	$453	$113,426
Borrowings related to pledged amounts	81,520	216	81,736
Market value pledged as a % of borrowings	139%	209%	139%
As of December 31, 2019
Market value of securities pledged	$130,942	$451	$131,394
Borrowings related to pledged amounts	92,953	188	93,141
Market value pledged as a % of borrowings	141%	240%	141%

Any risk related to these arrangements, primarily market value changes, are minimized due to the overnight (one day) maturity and the additional collateral pledged over the borrowed amounts.