LOANS (Tables)

3 Months Ended

Mar. 31, 2023

Receivables [Abstract]

Schedule of Loans receivable outstanding

(Dollars are in thousands)	March 31, 2023		December 31, 2022
Real estate secured:
Commercial		197,820	$	197,069
Construction and land development		42,742		42,470
Residential 1-4 family		228,727		227,232
Multifamily		34,167		29,710
Farmland		16,892		17,744
Total real estate loans		520,348		514,225
Commercial		46,338		46,697
Agriculture		3,931		3,756
Consumer installment loans		19,271		19,309
All other loans		602		626
Total loans		590,490	$	584,613

Summary of loans receivable on nonaccrual status

				CECL						Incurred Loss
				March 31, 2023						December 31, 2022
(Dollars are in thousands)				With No Allowance		With an Allowance		Total
Real estate secured:
	Commercial		$	-	$	268	$	268	$	-
	Construction and land development			447		-		447		471
	Residential 1-4 family			1,869		-		1,869		2,597
	Multifamily			207		-		207		268
	Farmland			-		-		-		41
		Total real estate loans		2,523		268		2,791		3,377
Commercial				-		-		-		-
Consumer installment loans and other loans				36		-		36		36
Total loans receivable on nonaccrual status			$	2,559	$	268	$	2,827	$	3,413

Schedule of summary of impaired loans

As of December 31, 2022 (Dollars are in thousands)	Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment
With no related allowance recorded:
Real estate secured:
Commercial	$	90	$	131	$	—	$	124
Construction and land development		471		491		—		114
Residential 1-4 family		1,617		1,972		—		1,585
Multifamily		—		—		—		—
Farmland		248		417		—		307
Commercial		23		31		—		14
Agriculture		—		—		—		—
Consumer installment loans		—		—		—		1
All other loans		—		—		—		—
With an allowance recorded:
Real estate secured:
Commercial		268		338		63		407
Construction and land development		—		—		—		291
Residential 1-4 family		32		48		23		201
Multifamily		—		—		—		20
Farmland		—		—		—		63
Commercial		—		—		—		27
Agriculture		—		—		—		—
Consumer installment loans		—		—		—		—
All other loans		—		—		—		—
Total	$	2,749	$	3,428	$	86	$	3,154

Upon adoption of ASU 2016-13 the Company began evaluating loans that do not share risk characteristics on an individual basis utilizing the collateral or discounted cash flow methods as described in Note 2 Summary of Significant Accounting Policies. The following table presents the amortized cost basis of collateral dependent loans, which are individually evaluated to determine expected credit losses, and the related ACL allocated to those loans as March 31, 2023:

As of March 31, 2023 (Dollars are in thousands)	Unpaid Principal Balance		Related Allowance
Real estate secured:
Commercial	$	268	$	64
Construction and land development		447		—
Residential 1-4 family		—		—
Multifamily		—		—
Farmland		—		—
Total real estate secured		715
Commercial		—		—
Agriculture		—		—
Consumer installment loans		—		—
Total	$	715	$	64

Summary age analysis of past due loans receivable

As of March 31, 2023 (Dollars are in thousands)	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Past Due Loans		Current Loans		Total Loans
Real estate secured:
Commercial	$	—	$	—	$	268	$	268	$	197,552	$	197,820
Construction and land development		6		—		—		6		42,736		42,742
Residential 1-4 family		1,174		475		260		1,909		226,818		228,727
Multifamily		207		—		—		207		33,960		34,167
Farmland		10		—		—		10		16,882		16,892
Total real estate loans		1,397		475		528		2,400		517,948		520,348
Commercial		75		—		—		75		46,263		46,338
Agriculture		2		—		—		2		3,929		3,931
Consumer installment loans		54		22		36		112		19,159		19,271
All other loans		—		—		—		—		602		602
Total loans	$	1,528	$	497	$	564	$	2,589	$	587,901	$	590,490

The following table is an age analysis of past due loans receivable as of December 31, 2022, segregated by class:

As of December 31, 2022 (Dollars are in thousands)	Loans 30-59 Days Past Due		Loans 60-89 Days Past Due		Loans 90 or More Days Past Due		Total Past Due Loans		Current Loans		Total Loans
Real estate secured:
Commercial	$	268	$	—	$	—	$	268	$	196,801	$	197,069
Construction and land development		89		—		—		89		42,381		42,470
Residential 1-4 family		3,521		543		341		4,405		222,827		227,232
Multifamily		229		—		—		229		29,481		29,710
Farmland		285		—		—		285		17,459		17,744
Total real estate loans		4,392		543		341		5,276		508,949		514,225
Commercial		56		—		—		56		46,641		46,697
Agriculture		—		—		—		—		3,756		3,756
Consumer installment Loans		73		17		17		107		19,202		19,309
All other loans		59		—		—		59		567		626
Total loans	$	4,580	$	560	$	358	$	5,498	$	579,115	$	584,613

Summary of risk category of loans receivable

As of March 31, 2023
Dollars in thousands	2023			2022			2021			2020		2019		Prior		Revolving		Total
Commercial real estate
Pass	$	5,884		$	41,352		$	48,047		$	31,056	$	22,063	$	47,937	$	1,112	$	197,451
Special mention		—			—			—			—		—		101		—		101
Substandard		—			—			—			—		—		268		—		268
Total commercial real estate	$	5,884		$	41,352		$	48,047		$	31,056	$	22,063	$	48,306	$	1,112	$	197,820
Current period gross charge-offs	$	—		$	—		$	—		$	—	$	—	$	—	$	—	$	—
Construction and Land Development
Pass	$	1,531		$	20,860		$	11,315		$	4,643	$	1,558	$	2,204	$	71	$	42,182
Special mention		—			—			—			—		—		113		—		113
Substandard		—			—			—			—		447		—		—		447
Total construction and land development	$	1,531		$	20,860		$	11,315		$	4,643	$	2,005	$	2,317	$	71	$	42,742
Current period gross charge-offs	$	—		$	—		$	—		$	—	$	—	$	—	$	—	$	—
Residential 1-4 family
Pass	$	6,741		$	34,122		$	44,471		$	14,619	$	14,799	$	92,868	$	18,922	$	226,542
Special mention		—			—			—			—		—		316		—		316
Substandard		—			—			152			—		41		1,620		56		1,869
Total residential 1-4 family	$	6,741		$	34,122		$	44,623		$	14,619	$	14,840	$	94,804	$	18,978	$	228,727
Current period gross charge-offs	$	—		$	—		$	—		$	—	$	—	$	—	$	—	$	—
Multifamily
Pass	$	3,766		$	12,142		$	8,320		$	2,714	$	1,117	$	5,901	$	—	$	33,960
Special mention		—			—			—			—		—		—		—		—
Substandard		—			—			—			—		—		207		—		207
Total multifamily	$	3,766		$	12,142		$	8,320		$	2,714	$	1,117	$	6,108	$	—	$	34,167
Current period gross charge-offs	$	—		$	—		$	—		$	—	$	—	$	—	$	—	$	—
Farmland
Pass	$	171		$	2,280		$	3,637		$	849	$	1,246	$	8,507	$	—	$	16,690
Special mention		—			—			—			—		1		201		—		202
Substandard		—			—			—			—		—		—		—		—
Total farmland	$	171		$	2,280		$	3,637		$	849	$	1,247	$	8,708	$	—	$	16,892
Current period gross charge-offs	$	—		$	—		$	—		$	—	$	—	$	—	$	—	$	—
Commercial
Pass	$	4,925		$	13,233		$	7,513		$	2,124	$	2,886	$	7,894	$	7,760	$	46,335
Special mention		—			—			—			—		—		3		—		3
Substandard		—			—			—			—		—		—		—		—
Total commercial	$	4,925		$	13,233		$	7,513		$	2,124	$	2,886	$	7,897	$	7,760	$	46,338
Current period gross charge-offs	$	—		$	(5	)	$	—		$	—	$	—	$	—	$	—	$	(5	)
Agriculture
Pass	$	239		$	711		$	517		$	906	$	151	$	1,178	$	229	$	3,931
Special mention		—			—			—			—		—		—		—		—
Substandard		—			—			—			—		—		—		—		—
Total agriculture	$	239		$	711		$	517		$	906	$	151	$	1,178	$	229	$	3,931
Current period gross charge-offs	$	—		$	—		$	—		$	—	$	—	$	—	$	—	$	—
Consumer and All Other
Pass	$	2,165		$	7,860		$	3,934		$	1,461	$	954	$	1,429	$	2,032	$	19,835
Special mention		—			2			—			—		—		—		—		2
Substandard		—			—			17			—		—		19		—		36
Total consumer and all other	$	2,165		$	7,862		$	3,951		$	1,461	$	954	$	1,448	$	2,032	$	19,873
Current period gross charge-offs	$	(58	)	$	(17	)	$	(3	)	$	—	$	—	$	—			$	(78	)
Total	$	25,422		$	132,562		$	127,923		$	58,372	$	45,263	$	170,766	$	30,182	$	590,490
Total current period gross charge-offs	$	(58	)	$	(22	)	$	(3	)	$	—	$	—	$	—	$	—	$	(83	)

The following table presents the credit risk grade of loans as of December 31, 2022, prior to the adoption of ASU 2016-13, under the incurred loss model:

As of December 31, 2022 (Dollars are in thousands)	Pass		Special Mention		Substandard		Doubtful		Total
Real estate secured:
Commercial	$	195,376	$	1,425	$	268	$	—	$	197,069
Construction and land development		41,882		117		471		—		42,470
Residential 1-4 family		224,228		406		2,598		—		227,232
Multifamily		29,503		207		—		—		29,710
Farmland		16,848		855		41		—		17,744
Total real estate loans		507,837		3,010		3,378		—		514,225
Commercial		46,471		226		—		—		46,697
Agriculture		3,756		—		—		—		3,756
Consumer installment loans		19,272		2		35		—		19,309
All other loans		626		—		—		—		626
Total	$	577,962	$	3,238	$	3,413	$	—	$	584,613