FINANCIAL INSTRUMENTS WITH OFF BALANCE SHEET RISK

12 Months Ended

Dec. 31, 2024

Investments, All Other Investments [Abstract]

FINANCIAL INSTRUMENTS WITH OFF BALANCE SHEET RISK

NOTE 8 – FINANCIAL INSTRUMENTS WITH OFF BALANCE SHEET RISK

In the normal course of business, and from time to time, the Bank has had outstanding commitments to extend credit and standby letters of credit which, consistent with GAAP, are not reflected in the accompanying consolidated financial statements. The Bank’s exposure to credit loss in the event of nonperformance by the other party to the financial instruments for commitments to extend credit and standby letters of credit is represented by the contractual or notional amounts of those instruments. The Bank uses the same credit policies in making commitments as it does for instruments that are included in the consolidated balance sheets.

Contractual or notional amounts of financial instruments representing off-balance-sheet credit risk are as follows as of the dates indicated (dollars in thousands):

	December 31, 2024				December 31, 2023
	Fixed		Variable		Fixed		Variable
Commitments to extend credit	$	6,589	$	27,627	$	5,327	$	6,966
Unused lines of credit		3,238		37,662		3,962		18,859
Totals	$	9,828	$	65,289	$	9,289	$	25,825

The following table presents the changes in the ACL on unfunded loan commitments for the year ended December 31, 2024:

December 31, 2024 (in 000s)	Unfunded Loan Commitments
Allowance for credit losses:
Beginning balance	$	135
Impact of the CBOA merger		222
Provision for credit losses		237
Ending balance	$	594