Allowance for Credit Losses (Tables)

9 Months Ended

Sep. 30, 2024

Allowance For Loan Losses [Abstract]

Schedule of Changes in the Allowance for Credit Losses

The following table summarizes all activity related to the ACL from December 31, 2023 to September 30, 2024 and to the recorded PCL for the three and nine months ended September 30, 2024 (in thousands):

	Reserves as of December 31, 2023		Q1 2024 Charge-Offs			Q1 2024 Recoveries		Q1 2024 PCL		Reserves as of March 31, 2024		Q2 2024 Charge-Offs			Q2 2024 Recoveries		Q2 2024 PCL			Reserves as of June 30, 2024		Q3 2024 Charge-Offs			Q3 2024 Recoveries		Q3 2024 PCL			Reserves as of Sept 30, 2024
ACL - Loans
Specifically identified	$	3,716	$	-		$	-	$	100	$	3,816	$	-		$	-	$	665		$	4,481	$	(6,153	)	$	5	$	4,110		$	2,443
Overdraft		364		(5	)		4		-		363		(29	)		8		-			342		(121	)		47		(268	)		-
Pooled - quantitative		6,203		(63	)		34		101		6,275		(83	)		38		80			6,309		(29	)		38		556			6,874
Pooled - qualitative		3,566		-			-		509		4,075							(441	)		3,634		-			-		89			3,723
Purchased		2,126		-			-		-		2,126		-			-		-			2,126		(2,509	)		-		4,617			4,234
Total ACL - Loans	$	15,975	$	(68	)	$	38	$	710	$	16,655	$	(112	)	$	46	$	304		$	16,892	$	(8,812	)	$	90	$	9,104		$	17,274
ACL - Held-To-Maturity		352		-			-		15		367		-			-		(74	)		293		-			-		(31	)		262
Other Liabilities - Unfunded Commitments		589		-			-		1		590		-			-		60			650		-			-		(104	)		546
	$	16,916	$	(68	)	$	38	$	726	$	17,612	$	(112	)	$	46	$	290		$	17,835	$	(8,812	)	$	90	$	8,969		$	18,082

Schedule of Changes in the Allowance for Loan Losses

An allocation of a portion of the allowance to a given portfolio class does not limit the Company’s ability to absorb losses in another portfolio class.

	As of and for the three months ended September 30, 2024
	1-4 family
	first-lien			Residential									Other			Paycheck
	residential			construction			Commercial			Commercial			commercial			Protection
(In thousands)	mortgage			mortgage			real estate			lines of credit			and industrial			Program
Allowance for credit losses:
Beginning Balance	$	1,536		$	815		$	6,663		$	1,221		$	3,821		$	-
Charge-offs		-			-			(1,204	)		(1,918	)		(2,936	)		-
Recoveries		23			-			-			-			5			-
Provisions (credits)		(62	)		(5	)		1,122			1,220			1,845			-
Ending balance	$	1,497		$	810		$	6,581		$	523		$	2,735		$	-
Ending balance: related to loans    individually evaluated	$	42		$	-		$	862		$	100		$	1,192		$	-
Ending balance: related to loans    collectively evaluated	$	1,455		$	810		$	5,719		$	423		$	1,543		$	-
Loans receivables:
Ending balance	$	255,235		$	4,077		$	378,805		$	64,672		$	88,247		$	125
Ending balance: individually    evaluated	$	1,733		$	-		$	9,518		$	1,455		$	6,226		$	-
Ending balance: collectively    evaluated	$	253,502		$	4,077		$	369,287		$	63,217		$	82,021		$	125
				Home equity			Other
	Tax exempt			and junior liens			Consumer			Total
Allowance for credit losses:
Beginning Balance	$	2		$	625		$	2,209			16,892
Charge-offs		-			(51	)		(2,703	)		(8,812	)
Recoveries		-			-			62			90
Provisions (credits)		(1	)		172			4,813			9,104
Ending balance	$	1		$	746		$	4,381		$	17,274
Ending balance: related to loans    individually evaluated	$	-		$	180		$	67		$	2,443
Ending balance: related to loans    collectively evaluated	$	1		$	566		$	4,314		$	14,831
Loans receivables:
Ending balance	$	2,658		$	52,709		$	76,703		$	923,231
Ending balance: individually    evaluated	$	-		$	591		$	67		$	19,590
Ending balance: collectively    evaluated	$	2,658		$	52,118		$	76,636		$	903,641

	As of and for the nine months ended September 30, 2024
	1-4 family
	first-lien			Residential									Other
	residential			construction			Commercial			Commercial			commercial
(In thousands)	mortgage			mortgage			real estate			lines of credit			and industrial
Allowance for credit losses:
Beginning Balance	$	1,608		$	858		$	5,751		$	1,674		$	3,281
Charge-offs		-			-			(1,205	)		(1,918	)		(2,936	)
Recoveries		31			-			19			-			12
Provisions (credits)		(142	)		(48	)		2,016			767			2,378
Ending balance	$	1,497		$	810		$	6,581		$	523		$	2,735
	Tax exempt			Home equity and junior liens			Other consumer			Total
Allowance for credit losses:
Beginning Balance	$	1		$	657		$	2,145			15,975
Charge-offs		-			(51	)		(2,883	)		(8,993	)
Recoveries		-			1			111			174
Provisions (credits)		-			139			5,008			10,118
Ending balance	$	1		$	746		$	4,381		$	17,274

	As of and for the three months ended September 30, 2023
	1-4 family
	first-lien			Residential									Other			Paycheck
	residential			construction		Commercial				Commercial			commercial			Protection
(In thousands)	mortgage			mortgage		real estate				lines of credit			and industrial			Program
Allowance for credit losses:
Beginning Balance	$	2,036		$	634	$	5,431			$	2,620		$	5,192		$	-
Charge-offs		(60	)		-		-				(1,230	)		(2,499	)		-
Recoveries		-			-		24				-			5			-
Provisions (credits)		31			238		(401	)			483			343			-
Ending balance	$	2,007		$	872	$	5,054			$	1,873		$	3,041		$	-
Ending balance: related to loans    individually evaluated for impairment	$	126		$	-	$	598			$	1,093		$	1,564		$	-
Ending balance: related to loans    collectively evaluated for impairment	$	1,881		$	872	$	4,456			$	780		$	1,477		$	-
Loans receivables:
Ending balance	$	252,956		$	2,090	$	362,822			$	73,497		$	85,506		$	169
Ending balance: individually    evaluated for impairment	$	1,681		$	-	$	11,525			$	2,052		$	6,759		$	-
Ending balance: collectively    evaluated for impairment	$	251,275		$	2,090	$	351,297			$	71,445		$	78,747		$	169
				Home equity		Other
	Tax exempt			and junior liens		Consumer				Total
Allowance for credit losses:
Beginning Balance	$	15		$	682	$	2,186			$	18,796
Charge-offs		-			-		(84	)			(3,873	)
Recoveries		-			-		17				46
Provisions (credits)		(2	)		40		66		-		798
Ending balance	$	13		$	722	$	2,185			$	15,767
Ending balance: related to loans    individually evaluated for impairment	$	-		$	147	$	-			$	3,528
Ending balance: related to loans    collectively evaluated for impairment	$	13		$	575	$	2,185			$	12,239
Loans receivables:
Ending balance	$	3,451		$	34,666	$	81,319			$	896,476
Ending balance: individually    evaluated for impairment	$	-		$	712	$	-			$	22,729
Ending balance: collectively    evaluated for impairment	$	3,451		$	33,954	$	81,319			$	873,747

	As of and for the nine months ended September 30, 2023
	1-4 family
	first-lien			Residential									Other
	residential			construction			Commercial			Commercial			commercial
(In thousands)	mortgage			mortgage			real estate			lines of credit			and industrial
Allowance for credit losses:
Beginning Balance	$	714		$	-		$	5,881		$	3,990		$	2,944
Adoption of new accounting standard		1,396			969			(1,744	)		95			10
Charge-offs		(60	)		-			-			(1,230	)		(2,798	)
Recoveries		-			-			24			1			132
Provisions (credits)		(43	)		(97	)		893			(983	)		2,753
Ending balance	$	2,007		$	872		$	5,054		$	1,873		$	3,041
	Tax exempt			Home equity and junior liens			Other consumer			Total
Allowance for credit losses:
Beginning Balance	$	3		$	741		$	1,046		$	15,319
Adoption of new accounting standard		14			(97	)		1,243		$	1,886
Charge-offs		-			-			(277	)		(4,365	)
Recoveries		-			-			95			252
Provisions (credits)		(4	)		78			78			2,675
Ending balance	$	13		$	722		$	2,185		$	15,767

Schedule of Allowance for Loan Losses on Basis of Calculation Methodology

The allocation of the allowance for credit losses summarized on the basis of the Company’s calculation methodology was as follows:

	As of September 30, 2024
	1-4 family
	first-lien			Residential						Other
	residential			construction		Commercial		Commercial		commercial
(In thousands)	mortgage			mortgage		real estate		lines of credit		and industrial
Specifically reserved	$	42		$	-	$	862	$	100	$	1,192
Historical loss rate		1,523			810		2,829		110		1,008
Qualitative factors		(68	)		-		2,890		313		535
Total	$	1,497		$	810	$	6,581	$	523	$	2,735
				Home equity		Other
	Tax exempt			and junior liens		consumer		Total
Specifically reserved	$	-		$	437	$	4,044	$	6,677
Historical loss rate		1			288		303		6,872
Qualitative factors		-			21		34		3,725
Total	$	1		$	746	$	4,381	$	17,274

	As of December 31, 2023
	1-4 family
	first-lien			Residential						Other
	residential			construction		Commercial		Commercial		commercial
(In thousands)	mortgage			mortgage		real estate		lines of credit		and industrial
Specifically reserved	$	137		$	-	$	969	$	844	$	1,617
Historical loss rate		1,537			674		2,645		209		1,026
Qualitative factors		(66	)		184		2,137		621		638
Total	$	1,608		$	858	$	5,751	$	1,674	$	3,281
				Home equity		Other
	Tax exempt			and junior liens		consumer		Total
Specifically reserved	$	-		$	458	$	1,817	$	5,842
Historical loss rate		1			190		307		6,589
Qualitative factors		-			9		21		3,544
Total	$	1		$	657	$	2,145	$	15,975

Schedule of Allowance for Credit Losses Amortized Cost

The following table details the amortized cost of collateral dependent loans at September 30, 2024 and December 31, 2023:

(In thousands)	September 30, 2024		December 31, 2023
Commercial and industrial	$	7,681	$	7,788
Commercial real estate		9,518		11,814
Residential (1-4 family) first mortgages		1,733		699
Home equity loans and lines of credit		591		599
Consumer loans		67		81
Total loans	$	19,590	$	20,981