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Loans and Allowance for Loan Losses (Tables)
 9 Months Ended
Sep. 30, 2017
Receivables [Abstract]  
Schedule of Loan Portfolio and Percentage of Loans in Each Category to Total Loans

The composition of the Corporation’s loan portfolio and the percentage of loans in each category to total loans at September 30, 2017 and December 31, 2016, were as follows:

 

    September 30, 2017   December 31, 2016
                 
Commercial, financial and agricultural loans   $ 75,372,558       22.9 %   $ 70,999,423       24.3 %
Real estate:                                
Construction loans     25,712,412       7.8 %     25,999,295       8.9 %
Commercial mortgage loans     103,374,781       31.3 %     91,732,812       31.3 %
Residential loans     95,823,402       29.1 %     83,270,983       28.5 %
Agricultural loans     25,527,651       7.7 %     16,580,126       5.7 %
Consumer & other loans     4,027,002       1.2 %     3,960,492       1.3 %
                                 
         Loans outstanding     329,837,806       100.0 %     292,543,131       100.0 %
                                 
Unearned interest and discount     (17,950 )             (18,895 )        
Allowance for loan losses     (3,207,550 )             (3,124,611 )        
       Net loans   $ 326,612,306             $ 289,399,625          
Summary of Maturities of Loan Portfolio

The following table shows maturities as well as interest sensitivity of the commercial, financial, agricultural, and construction loan portfolio at September 30, 2017.

   

Commercial,

Financial,

Agricultural and

Construction

     
Distribution of loans which are due:        
     In one year or less   $ 25,753,218  
     After one year but within five years     49,145,359  
     After five years     26,186,393  
         
          Total   $ 101,084,970  
Summary of Loans Due After One Year

The following table shows, for such loans due after one year, the amounts which have predetermined interest rates and the amounts which have floating or adjustable interest rates at September 30, 2017.

 

    Loans With        
    Predetermined   Loans With    
    Rates   Floating Rates   Total
             
Commercial, financial, agricultural and construction   $ 68,584,874   $ 6,746,878   $ 75,331,752
Schedule of Past Due Loans and Nonaccrual Loans

The following tables present an age analysis of past due loans and nonaccrual loans segregated by class of loans.

 

    Age Analysis of Past Due Loans
As of September 30, 2017
    30-89 Days Past Due   Greater than 90 Days   Total Past Due Loans   Nonaccrual Loans   Current Loans   Total Loans
                         
Commercial, financial and agricultural loans   $ 571,348     $ 0     $ 571,348     $ 246,932     $ 74,554,278     $ 75,372,558  
Real estate:                                                
Construction loans     336,089       0       336,089       203,272       25,173,051       25,712,412  
Commercial mortgage loans     416,273       0       416,273       757,085       102,201,423       103,374,781  
Residential loans     609,643       0       609,643       333,196       94,880,563       95,823,402  
Agricultural loans     313,298       0       313,298       0       25,214,353       25,527,651  
Consumer & other loans     53,737       0       53,737       8,881       3,964,384       4,027,002  
                                                 
         Total loans   $ 2,300,388     $ 0     $ 2,300,388     $ 1,549,366     $ 325,988,052     $ 329,837,806  

 

    Age Analysis of Past Due Loans
As of December 31, 2016
    30-89 Days Past Due   Greater than 90 Days   Total Past Due Loans   Nonaccrual Loans   Current Loans   Total Loans
                         
Commercial, financial and agricultural loans   $ 1,264,998     $ 0     $ 1,264,998     $ 38,798     $ 69,695,627     $ 70,999,423  
Real estate:                                                
Construction loans     66,931       0       66,931       207,522       25,724,842       25,999,295  
Commercial mortgage loans     1,268,405       0       1,268,405       0       90,464,407       91,732,812  
Residential loans     1,376,671       0       1,376,671       0       81,894,312       83,270,983  
Agricultural loans     0       0       0       0       16,580,126       16,580,126  
Consumer & other loans     65,127       0       65,127       0       3,895,365       3,960,492  
                                                 
         Total loans   $ 4,042,132     $ 0     $ 4,042,132     $ 246,320     $ 288,254,679     $ 292,543,131  

 
Schedule of Impaired Loans Segregated by Class of Loans

The following tables present impaired loans, segregated by class of loans as of September 30, 2017, and December 31, 2016:

 

    Unpaid   Recorded Investment       Year-to-date
Average		   Interest
Income Received
September 30, 2017   Principal Balance   With No Allowance   With Allowance   Total   Related Allowance   Recorded Investment   During Impairment
                             
Commercial, financial and agricultural loans   $ 310,921     $ 0     $ 310,921     $ 310,921     $ 12,012     $ 131,489     $ 8,363  
Real estate:                                                        
Construction loans     440,956       320,156       0       320,156       0       235,379       13,688  
Commercial mortgage loans     1,617,584       757,085       860,499       1,617,584       225,302       4,748,813       41,683  
Residential loans     2,408,020       243,383       2,083,962       2,327,345       229,055       4,748,549       86,316  
Agricultural loans     146,907       146,907       0       146,907       0       685,432       5,734  
Consumer & other loans     27,227       1,468       25,759       27,227       5,694       8,292       257  
                                                         
         Total loans   $ 4,951,615     $ 1,468,999     $ 3,281,141     $ 4,750,140     $ 472,063     $ 10,557,954     $ 156,041  

 

    Unpaid   Recorded Investment       Year-to-date
Average		   Interest
Income Received
December 31, 2016   Principal Balance   With No Allowance   With Allowance   Total   Related Allowance   Recorded Investment   During Impairment
                             
Commercial, financial and agricultural loans   $ 102,086     $ 4,798     $ 97,288     $ 102,086     $ 12,021     $ 21,154     $ 2,464  
Real estate:                                                        
Construction loans     247,015       126,215       0       126,215       0       168,432       12,691  
Commercial mortgage loans     880,670       0       880,670       880,670       245,472       4,005,175       46,195  
Residential loans     2,223,421       230,610       1,971,899       2,202,509       291,936       3,272,528       122,370  
Agricultural loans     246,175       246,175       0       246,175       0       851,740       8,150  
Consumer & other loans     3,246       3,246       0       3,246       0       6,501       201  
                                                         
         Total loans   $ 3,702,613     $ 611,044     $ 2,949,857     $ 3,560,901     $ 549,429     $ 8,325,530     $ 192,071  

 
Schedule of Troubled Debt Restructuring by Loan Class

    September 30, 2017
            Under restructured terms
   

 

Accruing

   Non-accruing  

 

#

  

 

Current

  

 

#

  

 

Default

Commercial, financial, and agricultural loans   $ 0     $ 0       0     $ 0       0     $ 0  
Real estate:                                                
   Construction loans     0       0       0       0       0       0  
   Commercial mortgage loans     0       0       0       0       0       0  
   Residential loans     3,850       0       1       3,850       0       0  
   Agricultural loans     0       0       0       0       0       0  
Consumer & other loans     1,468       0       1       1,468       0       0  
Total TDR’s   $ 5,318     $ 0       2     $ 5,318       0     $ 0  

 

    December 31, 2016
            Under restructured terms
   

 

Accruing

   Non-accruing  

 

#

  

 

Current

  

 

#

  

 

Default

Commercial, financial, and agricultural loans   $ 0     $ 0       0     $ 0       0     $ 0  
Real estate:                                                
   Construction loans     0       0       0       0       0       0  
   Commercial mortgage loans     0       0       0       0       0       0  
   Residential loans     4,853       0       1       4,853       0       0  
   Agricultural loans     906,279       0       3       906,279       0       0  
Consumer & other loans     3,246       0       1       3,246       0       0  
Total TDR’s   $ 914,378     $ 0       5     $ 914,378       0     $ 0  
Schedule of Troubled Debt Restructurings by Types of Concessions Made

The following table presents the amount of troubled debt restructurings by types of concessions made, classified separately as accrual and non-accrual at September 30, 2017, and December 31, 2016.

 

    September 30, 2017   December 31, 2016
    Accruing   Nonaccruing   Accruing   Nonaccruing
    #   Balance   #   Balance   #   Balance   #   Balance
Type of concession:                                
Payment modification     0     $ 0       0     $ 0       0     $ 0       0     $ 0  
Rate reduction     0       0       0       0       0       0       0       0  
Rate reduction, payment modification     2       5,318       0       0       5       914,378       0       0  
Forbearance of interest     0       0       0       0       0       0       0       0  
Total     2     $ 5,318       0     $ 0       5     $ 914,378       0     $ 0  
Schedule of Internal Loan Grading by Class of Loans

The following tables present internal loan grading by class of loans as of September 30, 2017, and December 31, 2016:

 

September 30, 2017   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Rating:                            
Grade 1- Exceptional   $ 1,334,834     $ 0     $ 0     $ 24,184     $ 0     $ 399,220     $ 1,758,238  
Grade 2- Above Avg.     0       0       0       0       0       54,683       54,683  
Grade 3- Acceptable     27,878,528       2,735,722       30,227,267       28,318,753       12,239,321       1,214,977       102,614,568  
Grade 4- Fair     44,700,727       22,656,533       67,350,012       62,775,779       12,761,501       2,315,882       212,560,434  
Grade 5a- Watch     327,370       0       1,041,995       770,338       39,972       8,881       2,188,556  
Grade 5b- OAEM     635,424       203,273       2,830,391       1,093,966       339,950       3,023       5,106,027  
Grade 6- Substandard     413,690       116,884       1,925,116       2,840,382       146,907       21,455       5,464,434  
Grade 7- Doubtful     81,985       0       0       0       0       8,881       90,866  
       Total loans   $ 75,372,558     $ 25,712,412     $ 103,374,781     $ 95,823,402     $ 25,527,651     $ 4,027,002     $ 329,837,806  

 

December 31, 2016   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Rating:                            
Grade 1- Exceptional   $ 615,535     $ 0     $ 0     $ 24,963     $ 0     $ 395,765     $ 1,036,263  
Grade 2- Above Avg.     0       0       0       7,172       289,561       10,195       306,928  
Grade 3- Acceptable     28,049,484       7,456,101       24,383,326       29,654,781       8,899,344       1,343,547       99,786,583  
Grade 4- Fair     40,358,471       18,402,769       62,023,892       48,747,687       6,306,754       2,182,145       178,021,718  
Grade 5a- Watch     111,488       0       1,071,667       832,624       22,642       16,002       2,054,423  
Grade 5b- OAEM     1,561,359       14,210       2,883,133       1,260,719       0       3,247       5,722,668  
Grade 6- Substandard     214,862       126,215       1,370,794       2,743,037       1,061,825       9,591       5,526,324  
Grade 7- Doubtful     88,224       0       0       0       0       0       88,224  
       Total loans   $ 70,999,423     $ 25,999,295     $ 91,732,812     $ 83,270,983     $ 16,580,126     $ 3,960,492     $ 292,543,131  
Schedule of Allowance for Loan Losses Methodology

Three months ended September 30, 2017:

    Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Allowance for loan losses:                            
Beginning balance,
June 30, 2017		   $ 209,320     $ 1,043,083     $ 1,192,098     $ 375,958     $ 86,656     $ 188,872     $ 3,095,987  
                                                         
Charge-offs     0       0       0       0       0       0       0  
Recoveries     35,375       0       0       0       0       1,188       36,563  
Net charge-offs     (35,375 )     0       0       0       0       (1,188 )     (36,563 )
Provisions charged to operations     43,278       0       0       28,751       0       2,971       75,000  
Balance at end of period, September 30, 2017   $ 287,973     $ 1,043,083     $ 1,192,098     $ 404,709     $ 86,656     $ 193,031     $ 3,207,550  

  

 Nine months ended September 30, 2017:

September 30, 2017   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Allowance for loan losses:                            
Beginning balance, December 31, 2016   $ 191,267     $ 1,043,083     $ 1,192,098     $ 420,189     $ 86,656     $ 191,318     $ 3,124,611  
                                                         
Charge-offs     113,334       0       0       59,764       0       8,548       181,646  
Recoveries     37,013       0       0       0       0       2,572       39,585  
Net charge-offs     76,321       0       0       59,764       0       5,976       142,061  
Provisions charged to operations     173,027       0       0       44,284       0       7,689       225,000  
Balance at end of period, September 30, 2017   $ 287,973     $ 1,043,083     $ 1,192,098     $ 404,709     $ 86,656     $ 193,031     $ 3,207,550  
                                                         
Ending balance -                                                        
Individually evaluated
for impairment		   $ 12,012     $ 0     $ 225,302     $ 229,055     $ 0     $ 5,694     $ 472,063  
Collectively evaluated for impairment     275,961       1,043,083       966,796       175,654       86,656       187,337       2,735,487  
Balance at end of period   $ 287,973     $ 1,043,083     $ 1,192,098     $ 404,709     $ 86,656     $ 193,031     $ 3,207,550  
                                                         
Loans :                                                        
Ending balance -                                                        
Individually evaluated
for impairment		   $ 310,921     $ 320,156     $ 4,745,205     $ 2,378,335     $ 146,907     $ 27,227     $ 7,928,751  
Collectively evaluated for impairment     75,061,637       25,392,256       98,629,576       93,445,067       25,380,744       3,999,775       321,909,055  
Balance at end of period   $ 75,372,558     $ 25,712,412     $ 103,374,781     $ 95,823,402     $ 25,527,651     $ 4,027,002     $ 329,837,806  

 

The following table details activity in the ALL and loans evaluated for impairment by class of loans for the year ended December 31, 2016.

 

December 31, 2016   Commercial, Financial, and Agricultural   Construction Real Estate   Commercial Real Estate   Residential Real Estate   Agricultural Real Estate   Consumer and Other   Total
Allowance for loan losses:                            
Beginning balance, December 31, 2015   $ 144,781     $ 1,043,083     $ 1,192,098     $ 381,891     $ 86,656     $ 183,733     $ 3,032,242  
                                                         
Charge-offs     103,387       0       0       3,394       0       9,225       116,006  
Recoveries     28,303       0       0       16,994       0       3,078       48,375  
Net charge-offs     75,084       0       0       (13,600 )     0       6,147       67,631  
Provisions charged to operations     121,570       0       0       24,698       0       13,732       160,000  
Balance at end of period, December 31, 2016   $ 191,267     $ 1,043,083     $ 1,192,098     $ 420,189     $ 86,656     $ 191,318     $ 3,124,611  
                                                         
Ending balance -                                                        
Individually evaluated
for impairment		   $ 12,021     $ 0     $ 245,472     $ 291,936     $ 0     $ 0     $ 549,429  
Collectively evaluated for impairment     179,246       1,043,083       946,626       128,253       86,656       191,318       2,575,182  
Balance at end of period   $ 191,267     $ 1,043,083     $ 1,192,098     $ 420,189     $ 86,656     $ 191,318     $ 3,124,611  
                                                         
Loans :                                                        
Ending balance -                                                        
Individually evaluated
for impairment		   $ 102,086     $ 126,215     $ 4,496,700     $ 2,281,439     $ 1,061,826     $ 3,246     $ 8,071,512  
Collectively evaluated for impairment     70,897,337       25,873,080       87,236,112       80,989,544       15,518,300       3,957,246       284,471,619  
Balance at end of period   $ 70,999,423     $ 25,999,295     $ 91,732,812     $ 83,270,983     $ 16,580,126     $ 3,960,492     $ 292,543,131