FHLB Advances and Other Borrowings

12 Months Ended

Dec. 31, 2023

NOTE 8 — FHLB Advances and Other Borrowings

A summary of Federal Home Loan Bank advances follows:


	December 31, 2023					December 31, 2022
	Rate			Amount		Rate			Amount
	(dollars in thousands)

Open line of credit		5.72	%		8,000		—			—
Fixed-rate, fixed term advance, maturing February 2023	N/A				—		1.62	%		6,500
Fixed-rate, fixed term advance, maturing July 2027		2.90	%		5,000		2.90	%		5,000
Putable advance, maturing July 2029 first option date January 2023	N/A				—		1.68	%		5,000
Putable advance, maturing February 2030 first option date February 2023	N/A				—		0.98	%		5,000
Putable advance, maturing October 2029 first option date July 2023	N/A				—		2.96	%		5,000
Putable advance, maturing January 2028 first option date January 2024		3.44	%		5,000					—
Putable advance, maturing February 2028 first option date February 2024		3.63	%		5,000		—			—
Putable advance, maturing March 2028 first option date March 2024		3.47	%		5,000		—			—
Putable advance, maturing May 2026 first option date May 2024		3.92	%		2,500		—			—
Putable advance, maturing May 2028 first option date May 2024		3.51	%		2,500		—			—
Putable advance, maturing March 2030 first option date March 2025		0.89	%		10,000		0.89	%		10,000
Putable advance, maturing March 2032 first option date March 2027		1.74	%		10,000		1.74	%		10,000
Advanced structured note, payments due monthly, maturing April 2030		1.05	%		6,454		1.05	%		7,435
Advanced structured note, payments due monthly, maturing May 2030		1.19	%		6,553		1.19	%		7,529
SOFR Floater advance, maturing October 2023	N/A				—		4.54	%		5,000
SOFR Floater advance, maturing October 2024		5.68	%		5,000		4.59	%		5,000
Total				$	71,007				$	71,464

A summary of the scheduled maturities and principal payments of Federal Home Loan Bank advances follows:


	December 31, 2023
	Weighted Average Rate			Amount
	(dollars in thousands)
2024		5.10	%	$	14,979
2025		1.12	%	$	2,002
2026		2.67	%	$	4,524
2027		2.38	%	$	7,047
2028		3.26	%	$	19,570
Thereafter		1.29	%	$	22,885
Total		2.83	%	$	71,007

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 the Secured Overnight Funding Rate ("SOFR"), 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 qualifying real estate and commercial and industrial loans with collateral values of approximately $173.0 million at December 31, 2023, and $172.4 million at December 31, 2022. FHLB advances were also secured by $4.2 million at December 31, 2023 and $3.4 million at December 31, 2022 of FHLB stock owned by the Company. At December 31, 2023 and 2022, the Company’s available and unused portion of this borrowing agreement totaled $100.9 million and $100.0 million, respectively. Additional borrowing would require additional purchase of FHLB stock.

Additionally, at December 31, 2023 we had a $12.0 million federal funds rate line of credit with the BMO Harris Bank, none of which was drawn at December 31, 2023. The Company also had a $9.5 million line of credit at the Federal Reserve based on pledged commercial real estate loans of approximately $12.4 million at December 31, 2023. The Company had not drawn on the Federal Reserve line as of December 31, 2023. The Company also has the ability to participate in the Federal Reserve's new Bank Term Funding Program as needed.