INVESTMENTS

12 Months Ended

Dec. 31, 2021

Investments, Debt and Equity Securities [Abstract]

INVESTMENTS

NOTE 3. INVESTMENTS

The amortized cost and estimated fair values of AFS securities as of the dates indicated are as follows (in thousands):

	Decemuber 31, 2021
			Gross		Gross			Estimated
	Amortized		Unrealized		Unrealized			Fair
	Cost		Gains		Losses			Value
U.S. government agencies	$	9,479	$	—	$	(40	)	$	9,439
State and municipal obligations		26,011		959		(293	)		26,677
Mortgage-backed securities - agency		33,191		316		(89	)		33,418
Collateralized mortgage obligations - agency		26,968		535		(68	)		27,435
Asset-backed securities		2,599		—		(9	)		2,590
Corporate bonds		12,200		360		(157	)		12,403
Total	$	110,448	$	2,170	$	(656	)	$	111,962
	December 31, 2020
			Gross		Gross			Estimated
	Amortized		Unrealized		Unrealized			Fair
	Cost		Gains		Losses			Value
State and municipal obligations	$	16,684	$	1,136	$	—		$	17,820
Mortgage-backed securities - agency		31,056		463		(32	)		31,487
Collateralized mortgage obligations - agency		49,441		1,194		(75	)		50,560
Asset-backed securities		6,268		5		(38	)		6,235
Corporate bonds		4,500		127		(22	)		4,605
Total	$	107,949	$	2,925	$	(167	)	$	110,707

Information pertaining to securities with gross unrealized losses is detailed in the table below as of the dates indicated (in thousands):

		December 31, 2021
		Less Than 12 Months						More Than 12 Months						Total
		Fair Value			Unrealized Losses			Fair Value			Unrealized Losses			Fair Value			Unrealized Losses
U.S. government agencies		$	9,439		$	40		$	—		$	—		$	9,439		$	40
State and municipal obligations			8,083			293			—			—			8,083			293
Mortgage-backed securities - agency			18,346			89			—			—			18,346			89
Collateralized mortgage obligations - agency			11,687			68			—			—			11,687			68
Asset-backed securities			—			—			2,590			9			2,590			9
Corporate bonds			4,793			157			—			—			4,793			157
		$	52,348		$	647		$	2,590		$	9		$	54,938		$	656
		December 31, 2020
		Less Than 12 Months						More Than 12 Months						Total
		Fair Value			Unrealized Losses			Fair Value			Unrealized Losses			Fair Value			Unrealized Losses
Mortgage-backed securities - agency		$	6,223		$	32		$	—		$	—		$	6,223		$	32
Collateralized mortgage obligations - agency			20,673			75			—			—			20,673			75
Asset-backed securities			—			—			2,808			38			2,808			38
Corporate bonds			1,478			22			—			—			1,478			22
	$	28,374		$	129		$	2,808		$	38		$	31,182		$	167

Information pertaining to the number of securities with gross unrealized losses is detailed in the table below as of the dates indicated:

	December 31, 2021
	Less Than 12 Months		More Than 12 Months		Total
U.S. government agencies		3		—		3
State and municipal obligations		8		—		8
Mortgage-backed securities - agency		7		—		7
Collateralized mortgage obligations - agency		5		—		5
Asset-backed securities		—		2		2
Corporate bonds		10		—		10
		33		2		35

	December 31, 2020
	Less Than 12 Months		More Than 12 Months		Total
Mortgage-backed securities - agency		1		—		1
Collateralized mortgage obligations - agency		5		—		5
Asset-backed securities		—		2		2
Corporate bonds		4		—		4
		10		2		12

Management of the Company believes all unrealized losses as of December 31, 2021 and December 31, 2020 represent temporary impairment. The unrealized losses have resulted from temporary changes in the interest rate market and not as a result of credit deterioration. We do not intend to sell and it is not likely that we will be required to sell any of the securities referenced in the table above before recovery of their amortized cost.

The Company received proceeds from sales of securities classified as AFS and corresponding gross realized gains and losses as follows for the periods indicated (in thousands):

	Years ended December 31,
	2021		2020
Gross proceeds	$	28,017	$	18,787
Gross realized gains		—		392
Gross realized losses		819		—

The amortized cost and estimated fair value of AFS debt securities at December 31, 2021, by contractual maturity, is presented in the following table (in thousands).

	December 31, 2021
	Amortized Cost		Fair Value
Over 5 years through 10 years	$	26,569	$	26,830
Over 10 years		21,121		21,689
Total securites other than asset-backed and mortgage-backed securities		47,690		48,519
Mortgage-backed securities		33,191		33,418
Collaterized mortgage obigations		26,968		27,435
Asset-backed securities		2,599		2,590
Total	$	110,448	$	111,962

Expected maturities may differ from contractual maturities when issuers and borrowers have the right to call or prepay the obligations.

There was $0.5 million of AFS securities pledged against deposits and borrowings at December 31, 2021 and no AFS securities pledged against deposits and borrowings at December 31, 2020.

Other investments that are recorded at cost which approximates fair value are comprised of the following (in thousands) :

	December 31,
	2021		2020
Federal Home Loan Bank stock	$	733	$	1,501
Investment in Trust Preferred Securities		247		247
Certificates of deposit		1,504		4,004
Other investments		500		500
Total other investments, at cost	$	2,984	$	6,252

Certificates of deposit totaling $1.3 million and $0.8 million were pledged against customer deposits at December 31, 2021, and December 31, 2020, respectively. FHLB stock is used to collateralize advances with the FHLB.