NOTE 13– Borrowings

Borrowings consist of the following:


	June 30, 2021		June 30, 2020
FHLB fixed rate advance (0.61%, matured 9/11/20)	$	—	$	5,000,000
FHLB fixed rate advance (0.00%, matured 5/3/21)		—		4,000,000
FHLB fixed rate advance (0.00%, matures 5/23/22)		5,000,000		—

	$	5,000,000	$	9,000,000

The Bank has a master contract agreement with the FHLB, which provides for borrowing up to the maximum $121,390,788 at June 30, 2021. The FHLB provides both fixed and floating rate advances. Fixed rate advances are priced in reference to market rates of interest at the time of the advance, namely the rates that FHLB pays to borrowers at various maturities. Variable rate advances are adjusted at the end of each business day based on the actual Federal Funds rate earned by the FHLB that day. The Bank has an open line of credit with the FHLB with a variable interest rate. The open line of credit matures daily, automatically renewing. The Bank had $0 outstanding on the open line of credit at June 30, 2021 and 2020. Additionally, the Bank had $5,000,000 and $9,000,000 outstanding in term advances at June 30, 2021 and 2020, respectively. FHLB 30‑day advances are pre-payable with a two-day notice by the FHLB. The advances are collateralized by a security agreement pledging a portion of the Bank’s 1‑4 family and multifamily real estate mortgages with a carrying value of $158,804,624 and $170,769,631 at June 30, 2021 and 2020, respectively.

The Bank has an agreement with U.S. Bank, which provides for borrowing up to the maximum of $5,000,000 at a rate of 0.75%, at June 30, 2021 and June 30, 2020. There were no amounts outstanding as of June 30, 2021 and June 30, 2020. U.S. Bank provides overnight fixed rate advances which are not collateralized as of June 30, 2021 and 2020.