NOTE 6 – Available for Sale Securities

Amortized costs and fair values of available for sale securities are summarized as follows:


	December 31, 2019
			Gross		Gross
	Amortized		Unrealized		Unrealized
	Cost		Gains		Losses		Fair Value
Obligations of states and political subdivisions	$	19,825,512	$	234,343	$	65,166	$	19,994,689
Mortgage-backed securities		1,441,070		46,645		—		1,487,715
Certificates of deposit		800,000		17,505		—		817,505
	$	22,066,582	$	298,493	$	65,166	$	22,299,909


	June 30, 2019
			Gross		Gross
	Amortized		Unrealized		Unrealized
	Cost		Gains		Losses		Fair Value
Obligations of states and political subdivisions	$	18,719,370	$	217,627	$	58,614	$	18,878,383
Mortgage-backed securities		1,065,193		40,945		—		1,106,138
Certificates of deposit		555,000		2,597		—		557,597
	$	20,339,563	$	261,169	$	58,614	$	20,542,118

The following tables present the portion of the Company's available for sale securities portfolio which has gross unrealized losses, reflecting the length of time that individual securities have been in a continuous unrealized loss position:


	December 31, 2019
	Continuous Unrealized				Continuous Unrealized
	Losses Existing for Less				Losses Existing for 12 Months
	Than 12 Months				or Greater				Total
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Obligations of states and political subdivisions	$	1,573,342	$	23,737	$	1,095,636	$	41,429	$	2,668,978	$	65,166

Management does not believe any individual unrealized loss as of December 31, 2019 represents other than temporary impairment. The Bank holds $1.1 million, comprised of four securities, in obligations of states and political subdivisions, at December 31, 2019 that have an unrealized loss existing for 12 months or greater. Management believes the temporary impairment in fair value was caused by market fluctuations in interest rates. Although these securities are classified as available for sale, management does not have the intent to sell the security and it is more likely than not it will be able to hold the security through a recovery period or until maturity.


	June 30, 2019
	Continuous Unrealized				Continuous Unrealized
	Losses Existing for Less				Losses Existing for 12 Months
	Than 12 Months				or Greater				Total
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Obligations of states and political subdivisions	$	208,583	$	22	$	2,935,133	$	58,592	$	3,143,716	$	58,614

Management does not believe any individual unrealized loss as of June 30, 2019 represents other than temporary impairment. The Bank holds $2.9 million, comprised of 12 securities, in obligations of states and political subdivisions at June 30, 2019 that have an unrealized loss existing for 12 months or greater. Management believes the temporary impairment in fair value was caused by market fluctuations in interest rates. Although these securities are classified as available for sale, management does not have the intent to sell the security and it is more likely than not it will be able to hold the security through a recovery period or until maturity.

The amortized cost and fair value of available for sale securities as of December 31, 2019 are shown below by contractual maturity. Expected maturities of mortgage-backed securities will differ from contractual maturities since the anticipated maturities are not readily determinable.


	Amortized
	Cost		Fair Value
Due in one year or less	$	2,053,760	$	2,057,417
Due after one year through 5 years		10,818,717		10,929,129
Due after 5 years through 10 years		6,083,035		6,147,269
Due after 10 years		1,670,000		1,678,379
Subtotal		20,625,512		20,812,194
Mortgage backed securities
Due after one year through 5 years		1,015,619		1,058,723
Due after 5 years through 10 years		425,451		428,992
Total	$	22,066,582	$	22,299,909

During the three months ended December 31, 2019 and 2018, the Bank did not sell any available for sale securities. The Bank pledged $0 and $7,100,000 of available for sale securities at December 31, 2019 and June 30, 2019, respectively, as collateral on public deposits and for other purposes as required or permitted by law.