Borrowed Funds

12 Months Ended

Dec. 31, 2024

Borrowed funds were comprised of the following:


	As of December 31,
	2024		2023
	(In thousands)
Escrow deposits of borrowers	$	27,721	$	21,978
Interest rate swap collateral funds	48,590		8,500
FHLB advances	17,589		17,738
Total borrowed funds	$	93,900	$	48,216

At December 31, 2024 and 2023, the Company had available and unused borrowing capacity of approximately $2.8 billion and $0.8 billion, respectively, at the Federal Reserve Discount Window. At December 31, 2024 and 2023, loans with collateral value of $2.1 billion and $0.6 billion, respectively, and securities with a collateral value of $769.4 million and $139.1 million, respectively, were pledged to the Discount Window.

At December 31, 2023, the Company had a $2.4 billion collateralized line of credit from the Federal Reserve Bank of Boston through the Bank Term Funding Program. Securities with a collateral value of $2.4 billion at December 31, 2023 were pledged to the Federal Reserve Bank of Boston under the Bank Term Funding Program. The Bank Term Funding Program was created by the Federal Reserve in March 2023. The Bank Term Funding Program ceased extending new loans on March 11, 2024. Accordingly, we had no additional capacity nor any securities pledged to the Federal Reserve Bank of Boston under the Bank Term Funding Program as of December 31, 2024.

Interest expense on borrowed funds was as follows:


	For the Year Ended December 31,
	2024		2023		2022
	(In thousands)
Federal funds purchased	$	—	$	—	$	24
Federal Home Loan Bank advances	553		19,247		8,263
Escrow deposits of borrowers	36		6		3
Interest rate swap collateral funds	1,213		722		216
Total interest expense on borrowed funds	$	1,802	$	19,975	$	8,506

A summary of FHLBB advances by maturities were as follows:


	As of December 31,
	2024				2023
	Amount		Weighted Average Interest Rate		Amount		Weighted Average Interest Rate
	(Dollars in thousands)
Within one year	$	2,515	0.67	%	$	95	1.50	%
Over one year to three years	2,148		1.82	%	3,409		0.73	%
Over three years to five years	2,833		0.56	%	2,685		1.59	%
Over five years	10,093		1.34	%	11,549		1.31	%
Total Federal Home Loan Bank advances	$	17,589	1.18	%	$	17,738	1.25	%

At December 31, 2024, advances from the FHLBB were secured by stock in the FHLBB, residential real estate loans, and investment securities. At December 31, 2023, advances from the FHLBB were secured by stock in the FHLBB, residential real estate loans and commercial real estate loans. At December 31, 2024, the collateral value of residential real estate loans and securities securing these advances was $1.5 billion and $1.0 billion, respectively. At December 31, 2023, the collateral value of residential and commercial real estate loans securing these advances was $1.4 billion and $1.5 billion, respectively. At December 31, 2024 and 2023, the Bank had available and unused borrowing capacity with the FHLBB of approximately $2.4 billion and $2.9 billion, respectively.

As a member of the FHLBB, the Company is required to hold FHLBB stock. At both December 31, 2024 and 2023, the Company had investments in the FHLBB of $5.9 million. At its discretion, the FHLBB may declare dividends on the stock. Included in other noninterest income in the Consolidated Statements of Income are dividends received of $0.9 million, $2.0 million, and $0.3 million during the years ended December 31, 2024, 2023, and 2022, respectively.