INVESTMENT SECURITIES

3 Months Ended

Mar. 31, 2024

Investments, Debt and Equity Securities [Abstract]

The following is a summary of the Company's investments in available for sale and held to maturity securities as of March 31, 2024 and December 31, 2023:


As of March 31, 2024	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
	(Dollars in thousands)
Available for sale:

Residential mortgage-backed securities	$	7,219	$	1	$	580	$	6,640

Total available for sale	$	7,219	$	1	$	580	$	6,640

Held to maturity:
Residential mortgage-backed securities	$	5,368	$	—	$	1,169	$	4,199
States and political subdivisions	3,903		22		439		3,486
Total held to maturity	$	9,271	$	22	$	1,608	$	7,685


As of December 31, 2023	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
	(Dollars in thousands)
Available for sale:

Residential mortgage-backed securities	$	7,639	$	3	$	547	$	7,095

Total available for sale	$	7,639	$	3	$	547	$	7,095

Held to maturity:
Residential mortgage-backed securities	$	5,406	$	—	$	1,054	$	4,352
States and political subdivisions	3,886		38		384		3,540
Total held to maturity	$	9,292	$	38	$	1,438	$	7,892

The amortized cost and fair value of debt securities classified as available for sale and held to maturity, by contractual maturity as of March 31, 2024 are as follows:


	Amortized Cost		Fair Value
	(Dollars in thousands)
Available for sale:
Due within one year	$	—	$	—
Due after one year through five years	2,755		2,573
Due after five years through ten years	974		906
Due after ten years	3,490		3,161
Total available for sale	$	7,219	$	6,640

Held to maturity:
Due within one year	$	—	$	—
Due after one year through five years	1,429		1,451
Due after five years through ten years	—		—
Due after ten years	7,842		6,234
Total held to maturity	$	9,271	$	7,685

Expected maturities may differ from contractual maturities because the issuers of certain debt securities do have the right to call or prepay their obligations without any penalty.

The Company did not sell any securities during the three months ended March 31, 2024. The following tables show the gross unrealized losses and fair value of the Company's available for sale investments for which an allowance for credit losses has not been recorded, which are aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2024 and December 31, 2023:


As of March 31, 2024	Less Than 12 Months				12 Months or Greater				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(Dollars in thousand)
Available for sale:
Residential mortgage-backed securities	$	80	$	—	$	6,439	$	580	$	6,519	$	580
Total available for sale	$	80	$	—	$	6,439	$	580	$	6,519	$	580


As of December 31, 2023	Less Than 12 Months				12 Months or Greater				Total
Description of Securities	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
	(Dollars in thousands)
Available for sale:
Residential mortgage-backed securities	$	25	$	—	$	6,870	$	547	$	6,895	$	547
Total available for sale	$	25	$	—	$	6,870	$	547	$	6,895	$	547

The Company’s unrealized loss for the debt securities is comprised of 8 securities in the less than 12 months loss position and 20 securities in the 12 months or greater loss position at March 31, 2024. The mortgage-backed securities that had unrealized losses were issued or guaranteed by the US government or US government sponsored entities. The unrealized losses associated with those mortgage-backed securities are generally driven by changes in interest rates and are not due to credit losses given the explicit or implicit guarantees provided by the U.S. government. The states and political subdivisions securities that had unrealized losses were issued by a school district, and the loss is attributed to changes in interest rates and not due to credit losses. Because the Company does not intend to sell the securities and it is not more likely than not that the Company will be required to sell these investments before recovery of their amortized cost basis, the Company does not consider the unrealized loss in these securities to be credit losses at March 31, 2024.