INVESTMENT SECURITIES (Tables)

3 Months Ended

Mar. 31, 2020

Investments, Debt and Equity Securities [Abstract]

Schedule of amortized cost and fair value of securities available-for-sale

The amortized cost and fair value of available for sale investment securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows (in thousands):

	Amortized		Gross Unrealized				Fair
	Cost		Gains		Losses		Value
March 31, 2020
Residential government-sponsored mortgage-backed securities	$	48,523	$	1,804	$	(48)	$	50,279
Obligations of states and political subdivisions		16,248		592		(11)		16,829
Corporate securities		2,002		12		—		2,014
Trust preferred securities		2,530		101		(365)		2,266
Residential government-sponsored collateralized mortgage obligations		34,591		1,240		—		35,831
Government-sponsored agency securities		19,796		179		—		19,975
Agency commercial mortgage-backed securities		27,424		821		—		28,245
SBA pool securities		13,199		49		(167)		13,081
Total	$	164,313	$	4,798	$	(591)	$	168,520

	Amortized		Gross Unrealized				Fair
	Cost		Gains		Losses		Value
December 31, 2019
Residential government-sponsored mortgage-backed securities	$	48,540	$	455	$	(16)	$	48,979
Obligations of states and political subdivisions		17,041		541		—		17,582
Corporate securities		2,004		8		—		2,012
Trust preferred securities		2,530		283		(245)		2,568
Residential government-sponsored collateralized mortgage obligations		36,511		217		(39)		36,689
Government-sponsored agency securities		14,823		47		(48)		14,822
Agency commercial mortgage-backed securities		27,557		192		(18)		27,731
SBA pool securities		14,622		11		(196)		14,437
Total	$	163,628	$	1,755	$	(562)	$	164,820

Schedule of amortized cost, unrecognized gains and losses, and fair value of held to maturity securities

The amortized cost, unrecognized gains and losses, and fair value of investment securities held to maturity were as follows (in thousands):

	Amortized		Gross Unrecognized				Fair
	Cost		Gains		Losses		Value
March 31, 2020
Residential government-sponsored mortgage-backed securities	$	36,953	$	853	$	(3)	$	37,803
Obligations of states and political subdivisions		12,983		151		—		13,134
Trust preferred securities		1,783		—		(25)		1,758
Residential government-sponsored collateralized mortgage obligations		2,515		51		—		2,566
Government-sponsored agency securities		5,000		165		—		5,165
Total	$	59,234	$	1,220	$	(28)	$	60,426

	Amortized		Gross Unrecognized				Fair
	Cost		Gains		Losses		Value
December 31, 2019
Residential government-sponsored mortgage-backed securities	$	22,925	$	62	$	(52)	$	22,935
Obligations of states and political subdivisions		15,071		165		(1)		15,235
Trust preferred securities		1,938		99		(2)		2,035
Residential government-sponsored collateralized mortgage obligations		3,128		10		(9)		3,129
Government-sponsored agency securities		29,386		108		(162)		29,332
Total	$	72,448	$	444	$	(226)	$	72,666

Schedule of fair value and carrying amount, if different, of debt securities, by contractual maturity

The fair value and carrying amount, if different, of debt investment securities as of March 31, 2020, by contractual maturity were as follows (in thousands). Investment securities not due at a single maturity date are shown separately.

	Available for Sale				Held to Maturity
	Amortized				Amortized
	Cost		Fair Value		Cost		Fair Value
Due in one to five years	$	2,569	$	2,669	$	3,418	$	3,495
Due in five to ten years		13,768		13,963		2,188		2,230
Due after ten years		24,239		24,452		14,160		14,332
Residential government-sponsored mortgage-backed securities		48,523		50,279		36,953		37,803
Residential government-sponsored collateralized mortgage obligations		34,591		35,831		2,515		2,566
Agency commercial mortgage-backed securities		27,424		28,245		—		—
SBA pool securities		13,199		13,081		—		—
Total	$	164,313	$	168,520	$	59,234	$	60,426

Schedule of present information regarding securities in a continuous unrealized loss position by duration of time in a loss position

The following tables present information regarding investment securities available for sale and held to maturity in a continuous unrealized loss position as of March 31, 2020 and December 31, 2019 by duration of time in a loss position (in thousands):

March 31, 2020	Less than 12 months				12 Months or More				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
Available for Sale	value		Losses		value		Losses		value		Losses
Residential government-sponsored mortgage-backed securities	$	3,556	$	(48)	$	—	$	—	$	3,556	$	(48)
Obligations of states and political subdivisions		759		(11)		—		—		759		(11)
Trust preferred securities		—		—		675		(365)		675		(365)
SBA pool securities		766		(1)		8,459		(166)		9,225		(167)
Total	$	5,081	$	(60)	$	9,134	$	(531)	$	14,215	$	(591)

March 31, 2020	Less than 12 months				12 Months or More				Total
	Fair		Unrecognized		Fair		Unrecognized		Fair		Unrecognized
Held to Maturity	value		Losses		value		Losses		value		Losses
Residential government-sponsored mortgage-backed securities	$	—	$	—	$	146	$	(3)	$	146	$	(3)
Trust preferred securities		1,758		(25)		—		—		1,758		(25)
Total	$	1,758	$	(25)	$	146	$	(3)	$	1,904	$	(28)

December 31, 2019	Less than 12 months				12 Months or More				Total
	Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
Available for Sale	value		Losses		value		Losses		value		Losses
Residential government-sponsored mortgage-backed securities	$	2,686	$	(7)	$	1,758	$	(9)	$	4,444	$	(16)
Trust preferred securities		—		—		795		(245)		795		(245)
Residential government-sponsored collateralized mortgage obligations		4,253		(25)		3,133		(14)		7,386		(39)
Government-sponsored agency securities		4,924		(48)		—		—		4,924		(48)
Agency commercial mortgage-backed securities		2,833		(6)		3,126		(12)		5,959		(18)
SBA pool securities		1,148		(2)		9,420		(194)		10,568		(196)
Total	$	15,844	$	(88)	$	18,232	$	(474)	$	34,076	$	(562)

December 31, 2019	Less than 12 months				12 Months or More				Total
	Fair		Unrecognized		Fair		Unrecognized		Fair		Unrecognized
Held to Maturity	value		Losses		value		Losses		value		Losses
Residential government-sponsored mortgage-backed securities	$	14,978	$	(41)	$	1,402	$	(11)	$	16,380	$	(52)
Obligations of states and political subdivisions		2,011		(1)		—		—		2,011		(1)
Trust preferred securities		—		—		53		(2)		53		(2)
Residential government-sponsored collateralized mortgage obligations		1,162		(3)		571		(6)		1,733		(9)
Government-sponsored agency securities		—		—		20,833		(162)		20,833		(162)
Total	$	18,151	$	(45)	$	22,859	$	(181)	$	41,010	$	(226)

Schedule of owned pooled trust preferred securities

As of March 31, 2020, we owned pooled trust preferred investment securities as follows (in thousands):

												% of		Previously
												Current		Recognized
												Defaults and		Cumulative
		Ratings When								Estimated		Deferrals to		Other
	Tranche	Purchased		Current Ratings		Par		Book		Fair		Total		Comprehensive
Security	Level	Moody's	Fitch	Moody's	Fitch	Value		Value		Value		Collateral		Loss (1)
Held to Maturity
ALESCO VII A1B	Senior	Aaa	AAA	Aa1	AA	$	1,910	$	1,783	$	1,758	17	%	$	219
						$	1,910	$	1,783	$	1,758			$	219
Available for Sale														Cumulative OTTI
Other Than														Related to
Temporarily Impaired:														Credit Loss (2)
TPREF FUNDING II	Mezzanine	A1	A-	Caa3	WD	$	1,500	$	1,040	$	675	32	%	$	400
ALESCO V C1	Mezzanine	A2	A	Caa1	C		2,150		1,490		1,591	15	%		660
						$	3,650	$	2,530	$	2,266			$	1,060
Total						$	5,560	$	4,313	$	4,024

(1) Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion.

(2) Pre-tax.

Schedule of changes in accumulated other comprehensive income by component

Changes in accumulated other comprehensive income (loss) by component for the three months ended March 31, 2020 and 2019 are shown in the tables below. All amounts are net of tax (in thousands).

	Unrealized Holding
	Gains on		Held to Maturity
For the three months ended March 31, 2020	Available for Sale		Securities		Total
Beginning balance	$	943	$	(160)	$	783
Current period other comprehensive income		2,382		2		2,384
Ending balance	$	3,325	$	(158)	$	3,167

	Unrealized Holding
	Losses on		Held to Maturity
For the three months ended March 31, 2019	Available for Sale		Securities		Total
Beginning balance	$	(2,419)	$	(170)	$	(2,589)
Current period other comprehensive income		856		2		858
Ending balance	$	(1,563)	$	(168)	$	(1,731)