Servicing Assets (Tables)

3 Months Ended

Mar. 31, 2020

Mortgage Servicing Rights

Servicing Assets at Fair Value [Line Items]

Schedule of servicing assets

	Three Months Ended March 31,
(dollars in thousands)	2020		2019
Balance at beginning of the period	$	446	—
Servicing rights capitalized		184	279
Amortization of servicing rights		(33)	(18)
Change in valuation allowance		(174)	(47)
Balance at end of the period	$	423	214

Schedule of valuation allowance for servicing assets

	Three Months Ended March 31,
(dollars in thousands)	2020		2019
Valuation allowance, beginning of period	$	(98)	—
Impairment		(174)	(47)
Recovery		—	—
Valuation allowance, end of period	$	(272)	(47)

Schedule of sensitivity of fair value of servicing assets

(dollars in thousands)	March 31, 2020		December 31, 2019
Fair value of residential mortgage servicing rights	$	423	$	446
Weighted average life (years)		8.0		7.8
Prepayment speed		18.82%		13.08%
Impact on fair value:
10% adverse change	$	(18)	$	(19)
20% adverse change		(35)		(37)
Discount rate		9.00%		9.00%
Impact on fair value:
10% adverse change	$	(19)	$	(14)
20% adverse change		(37)		(27)

SBA Loan Servicing Rights

Servicing Assets at Fair Value [Line Items]

Schedule of servicing assets

	Three Months Ended March 31,
(dollars in thousands)	2020		2019
Balance at beginning of the period	$	337	—
Servicing rights capitalized		159	—
Amortization of servicing rights		(19)	—
Change in valuation allowance		(8)	—
Balance at end of the period	$	469	—

Schedule of valuation allowance for servicing assets

	Three Months Ended March 31,
(dollars in thousands)	2020		2019
Valuation allowance, beginning of period	$	(26)	—
Impairment		(8)	—
Recovery		—	—
Valuation allowance, end of period	$	(34)	—

Schedule of sensitivity of fair value of servicing assets

(dollars in thousands)	March 31, 2020		December 31, 2019
Fair value of SBA loan servicing rights	$	469	$	337
Weighted average life (years)		3.9		4.3
Prepayment speed		12.22%		10.77%
Impact on fair value:
10% adverse change	$	(16)	$	(12)
20% adverse change		(31)		(23)
Discount rate		11.00%		11.28%
Impact on fair value:
10% adverse change	$	(11)	$	(9)
20% adverse change		(22)		(18)