BORROWINGS

9 Months Ended

Sep. 30, 2025

BORROWINGS

BORROWINGS

7. BORROWINGS

Advances from the Federal Home Loan Bank of New York (“FHLBNY”) reflect advances borrowed from the FHLBNY. The FHLBNY charges a substantial prepayment penalty for early payoff of an advance. The unamortized balances on advances at September 30, 2025 and December 31, 2024 are summarized as follows:

	September 30,		December 31,
	2025		2024
	Unaudited
Term Advances:
Advanced February 25, 2020 - Due February 25, 2025 - bearing interest at 1.52% fixed rate		—		1,000
Advanced March 5, 2020 - Due March 5, 2025 - bearing interest at 1.12% fixed rate		—		3,500
Advanced March 12, 2020 - Due March 12, 2025 - bearing interest at 1.42% fixed rate		—		1,000
Advanced November 30, 2022 - Due November 30, 2027 - bearing interest at 4.24% fixed rate		2,000		2,000
Advanced December 30, 2022 - Due December 30, 2025 - bearing interest at 4.54% fixed rate		2,000		2,000
Advanced December 30, 2022 - Due December 30, 2026 - bearing interest at 4.42% fixed rate		2,000		2,000
Advanced January 12, 2023 - Due January 12, 2028 - bearing interest at 3.85% fixed rate		2,000		2,000
Advanced March 10, 2023 - Due March 10, 2028 - bearing interest at 4.38% fixed rate		6,000		6,000
Advanced July 19, 2023 - Due July 19, 2027 - bearing interest at 4.49% fixed rate		1,000		1,000
Advanced September 11, 2023 - Due September 11, 2028 - bearing interest at 4.72% fixed rate		3,000		3,000
Advanced September 13, 2023 - Due September 14, 2026 - bearing interest at 4.61% fixed rate		2,000		2,000
Advanced September 26, 2023 - Due September 28, 2026 - bearing interest at 5.18% fixed rate		2,000		2,000
Advanced May 8, 2024 - Due May 10, 2027 - Zero Development Advance at 0% fixed rate		1,695		1,695
Advanced May 21, 2024 - Due November 23, 2026 - bearing interest at 4.80% fixed rate		2,000		2,000
Advanced May 21, 2024 - Due August 21, 2028 - bearing interest at 4.65% fixed rate		2,000		2,000
Advanced May 21, 2024 - Due August 23, 2027 - bearing interest at 4.72% fixed rate		2,000		2,000
Advanced May 21, 2024 - Due August 29, 2029- bearing interest at 4.61% fixed rate		2,000		2,000
Advanced October 4, 2024 - Due October 4, 2027 - Zero Development Advance at 0% fixed rate		2,058		2,058
Advanced February 25, 2025 - Due February 25, 2030 - bearing interest at 4.33% fixed rate		1,000		—
Advanced June 12, 2025 - Due June 12, 2026 - Zero Development Advance at 0% fixed rate		5,814		—
Total Term Advances		40,567		39,253
Repurchase Advances:
Advanced December 27, 2024 - Due January 3, 2025 - bearing interest at 4.63% fixed rate		—		2,000
Total Advances	$	40,567	$	41,253

The contractual maturities and weighted average rates of advances from FHLBNY at September 30, 2025 are as follows (dollars in thousands):

2025	$	2,000	4.54	%
2026		13,814	2.75	%
2027		8,753	3.51	%
2028		13,000	4.42	%
2029		2,000	4.61	%
2030		1,000	4.33	%
	$	40,567	3.67	%

The Company has access to FHLBNY advances, under which it can borrow at various terms and interest rates. Residential and commercial mortgage loans of $60.5 million and $68.9 million at September 30, 2025 and December 31, 2024 and investment securities of $20.0 million and $12.5 million at September 30, 2025 and December 31, 2024, respectively, were pledged by the Company under a blanket collateral agreement to secure the Company’s borrowings. The total outstanding indebtedness under borrowing facilities with the FHLBNY cannot exceed the total value of the assets pledged under the blanket collateral agreement. The Company had a municipal letter of credit (MULOC) with the FHLBNY collateralizing a $10.0 million certificate of deposit with the State of New York Banking Development District at September 30, 2025 and December 31, 2024. The New York State certificate was deposited after the Company opened its fourth location in Bridgeport, New York. The Company also pledged securities with a book value of $8.4 million and market value of $7.8 million at September 30, 2025, and a book value of $5.8 million and a market value of $5.0 million at December 31, 2024, to local municipalities collateralizing their deposits. The Company had pledged New York municipal bonds with a book value of $1.4 million and a market value of $1.2 million at September 30, 2025, and a book value of $337,000 and a market value of $282,000 at December 31, 2024, to the New York State Linked Deposit Program. The Company also had an $8.0 million dollar line of credit with two correspondent banks that is available on an unsecured basis and had no draws at September 30, 2025 or December 31, 2024.