FHLB Advances and Other Borrowings

12 Months Ended

Dec. 31, 2020

Federal Home Loan Banks [Abstract]

FHLB Advances and Other Borrowings

NOTE 9 — FHLB Advances and Other Borrowings

A summary of FHLB advances follows:

	As of December 31,
	2020					2019
	Rate			Amount		Rate			Amount
	(dollars in thousands)
Fixed rate, COVID-19 Relief Advance, maturing May 2021		0.00	%	$	4,000		N/A		$	—
Fixed rate, fixed term advance, maturing July 2021		1.41	%		7,000		1.41	%		7,000
Fixed rate, fixed term advance, maturing February 2022		1.62	%		6,500		N/A			—
Fixed rate, fixed term advance, maturing February 2023		1.62	%		6,500		N/A			—
Putable advance, maturing October 2029 first option date Nov 2020		1.03	%		10,000		1.03	%		10,000
Putable advance, maturing February 2030 first option date Feb 2023		0.98	%		5,000		N/A			—
Putable advance, maturing March 2030 first option date March 2025		0.89	%		10,000		N/A			—
Advance structured note, payments due monthly, maturing February 2030		7.47	%		584		7.47	%		623
Advance structured note, payments due monthly, maturing April 2030		1.05	%		9,365		N/A			—
Advance structured note, payments due monthly, maturing May 2030		1.19	%		9,449		N/A			—
Total				$	68,398				$	17,623

A summary of the scheduled maturities of FHLB advances follows:

	December 31, 2020
	Weighted Average Rate			Amount
2021		0.95	%		12,956
2022		1.54	%		8,481
2023		1.54	%		8,506
2024		1.28	%		2,032
2025		1.30	%		2,059
Thereafter		1.07	%		34,364
Total				$	68,398

Actual maturities may differ from the scheduled principal maturities due to call options on the various advances.

The Company maintains a master contract agreement with the FHLB, which provides for borrowing up to the lesser of 22.22 times the FHLB stock owned, a determined percentage of the book value of the Company’s qualifying real estate loans, or a determined percentage of the Company’s assets. The FHLB provides both fixed and floating rate advances. Floating rates are tied to short-term market rates of interest such as London InterBank Offered Rate (LIBOR), federal funds, or Treasury bill rates. FHLB advances are subject to a prepayment penalty if they are repaid prior to maturity. The Company had pledged approximately $149.1 million at December 31, 2020, and $125.5 million at December 31, 2019, of qualifying real estate mortgage loans. FHLB advances were also secured by $3.0 million at December 31, 2020 and $913 at December 31, 2019 of FHLB stock owned by the Company. At December 31, 2020 and 2019, the Company’s available and unused portion of this borrowing agreement totaled $79.6 million and $107.0 million, respectively. Additional borrowing would require additional purchase of FHLB stock.

Additionally, at December 31, 2020 we had a $10.0 million federal funds rate line of credit with the BMO Harris Bank, none of which was drawn at December 31, 2020. The Company also had a $7.0 million line of credit at the Federal Reserve based on pledged commercial real estate loans of approximately $11.7 million at December 31, 2020. The Company had not drawn on the Federal Reserve line as of December 31, 2020.