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Loan Portfolio and Allowance for Credit Losses
 12 Months Ended
Dec. 31, 2024
Loan Portfolio and Allowance for Credit Losses [Abstract]  
Loan Portfolio and Allowance for Credit Losses
(4)
Loan Portfolio and Allowance for Credit Losses


The following table presents loans by portfolio segment:


  
December 31, 2024
  
(dollars in thousands)
  
New York and
              
   
other states*
     Florida     Total  
Commercial:
                  
Commercial real estate
  
$
227,771
    
$
39,529
    
$
267,300
  
Other
    
19,144
      
413
      
19,557
  
Real estate mortgage - 1 to 4 family:
                        
First mortgages
    
2,741,334
      
1,590,229
      
4,331,563
  
Home equity loans
    
43,096
      
13,643
      
56,739
  
Home equity lines of credit
    
235,939
      
173,322
      
409,261
  
Installment
    
9,885
      
3,753
      
13,638
  
Total loans, net
  
$
3,277,169
    
$
1,820,889
      
5,098,058
  
Less: Allowance for credit losses on loans
                    
50,248
  
Net loans
                  
$
5,047,810
  

*Includes New York, New Jersey, Vermont and Massachussetts.
 
 
  
December 31, 2023
  
(dollars in thousands)
  
New York and
              
   
other states*
     Florida     Total  
Commercial:
                  
Commercial real estate
  
$
212,754
    
$
39,501
    
$
252,255
  
Other
    
20,863
      
397
      
21,260
  
Real estate mortgage - 1 to 4 family:
                        
First mortgages
    
2,756,914
      
1,550,191
      
4,307,105
  
Home equity loans
    
44,152
      
13,806
      
57,958
  
Home equity lines of credit
    
212,298
      
135,117
      
347,415
  
Installment
    
12,057
      
4,829
      
16,886
  
Total loans, net
  
$
3,259,038
    
$
1,743,841
      
5,002,879
  
Less: Allowance for credit losses on loans
                    
48,578
  
Net loans
                  
$
4,954,301
  

*Includes New York, New Jersey, Vermont and Massachussetts.


Included in commercial loans above are Paycheck Protection Program (“PPP”) loans totaling $241 thousand and $620 thousand as of December 31, 2024 and 2023, respectively.


At December 31, 2024 and 2023, the Company had approximately $29.7 million and $29.1 million, respectively, of real estate construction loans. Of the $29.7 million in real estate construction loans at December 31, 2024, approximately $10.7 million are secured by first mortgages to residential borrowers while approximately $19.0 million were to commercial borrowers for residential construction projects. Of the $29.1 million in real estate construction loans at December 31, 2023, approximately $8.0 million are secured by first mortgages to residential borrowers while approximately $21.1 million were to commercial borrowers for residential construction projects. The majority of construction loans are in the Company’s New York market.


At December 31, 2024 and 2023, loans to executive officers, directors, and to associates of such persons aggregated $27.6 million and $29.3 million, respectively.  During 2024, approximately $6.4 million of new loans were made, and repayments of loans totaled approximately $3.6 million.  The composition of the related parties’ loan balances were reduced by $4.5 million as a result of a director resignation. All loans are current according to their term.


TrustCo lends in the geographic territory of its branch locations in New York, Florida, Massachusetts, New Jersey and Vermont.  Although the loan portfolio is diversified, a portion of its debtors’ ability to repay depends significantly on the economic conditions prevailing in the respective geographic territory.


Allowance for credit losses on loans


During the year ended December 31, 2024, the Company enhanced its ACLL calculation.  The Company continues to utilize a discounted cash flow approach, now incorporating peer data and updated forecast and reversion periods. Since the adoption of CECL, the Company has been estimating the quantitative reserves based on internal data and an 8-quarter forecast and immediate reversion. We are now utilizing peer data, and using baseline scenario with a 4-quarter forecast and 4-quarter straight line reversion to produce reasonable and supportable results. Forecast data is sourced from Moody’s Analytics (“Moody’s”). The level of the ACLL is based on factors that influence management’s current estimate of expected credit losses, including past events and current conditions. The Company has determined the Moody’s Baseline forecast scenario to be appropriate for the December 31, 2024, ACLL calculation. The Company selected the Moody’s Baseline economic forecast for credit losses as Moody's baseline economic scenario represents their most probable outlook. We continue to use the regulatory interagency qualitative framework, we now utilize a weighted scorecard approach. The weighted scorecard approach considers each qualitative factor with respect to risks in our portfolio and the economic environment, weighting is assigned based on our evaluation and understanding of the underlying risks and economic conditions within each portfolio segment. This change did not result in a material impact to the Company’s financial statements.


Activity in the allowance for credit losses on loans by portfolio segment for the years ended December 31, 2024, and 2023 are summarized as follows:


   
For the year ended December 31, 2024
  
(dollars in thousands)
        
Real Estate
              
         
Mortgage-
              

 
Commercial
    
1 to 4 Family
    
Installment
    
Total
  
Balance at beginning of period
  
$
2,735
    
$
45,625
    
$
218
    
$
48,578
  
Loans charged off:
                                
New York and other states*
    
127
      
311
      
120
      
558
  
Florida
    
314
      
17
      
50
      
381
  
Total loan chargeoffs
    
441
      
328
      
170
      
939
  
                                 
Recoveries of loans previously charged off:
                                
New York and other states*
    
-
      
675
      
34
      
709
  
Florida
    
-
      
-
      
-
      
-
  
Total recoveries
    
-
      
675
      
34
      
709
  
Net loans (recoveries) charged off
    
441
      
(347
)
    
136
      
230
  
Provision for credit losses
    
1,126
      
664
      
110
      
1,900
  
Balance at end of period
  
$
3,420
    
$
46,636
    
$
192
    
$
50,248
  


* Includes New York, New Jersey, Vermont and Massachusetts.

    For the year ended December 31, 2023  
(dollars in thousands)
        
Real Estate
              
         
Mortgage-
              
    Commercial
   
1 to 4 Family
     Installment
    Total
 
Balance at beginning of period
  
$
2,596
    
$
43,271
    
$
165
    
$
46,032
  
Loans charged off:                                
New York and other states*
    
-
      
371
      
97
      
468
  
Florida
    
-
      
-
      
79
      
79
  
Total loan chargeoffs
    
-
      
371
      
176
      
547
  
                                 
Recoveries of loans previously charged off:                                
New York and other states*
    
129
      
392
      
45
      
566
  
Florida
    
-
      
25
      
2
      
27
  
Total recoveries
    
129
      
417
      
47
      
593
  
Net loans (recoveries) charged off
    
(129
)
    
(46
)
    
129
      
(46
)
Provision for loan losses
    
10
      
2,308
      
182
      
2,500
  
Balance at end of period
  
$
2,735
    
$
45,625
    
$
218
    
$
48,578
  


* Includes New York, New Jersey, Vermont and Massachusetts.


The following tables present the balance in the allowance for credit losses on loans by portfolio segment and based on impairment evaluation as of December 31, 2024 and 2023:

 
  
As of December 31, 2024
  
(dollars in thousands)
        
1-to-4 Family
              
    Commercial     Residential     Installment        
    Loans    
Real Estate
     Loans     Total  
Allowance for credit losses on loans:
                        
Ending allowance balance attributable to loans:
                        
Individually evaluated for impairment
  
$
-
     $
-
     $
-
     $
-
  
Collectively evaluated for impairment
    
3,420
      
46,636
      
192
      
50,248
  
 
                                
Total ending allowance balance
  
$
3,420
     $
46,636
     $
192
     $
50,248
  
 
                                
Loans:
                                
Individually evaluated for impairment
  
$
443
     $
23,835
     $
112
     $
24,390
  
Collectively evaluated for impairment
    
286,414
      
4,773,728
      
13,526
      
5,073,668
  
 
                                
Total ending loans balance
  
$
286,857
     $
4,797,563
     $
13,638
     $
5,098,058
  

 
  
As of December 31, 2023
  
(dollars in thousands)
       
1-to-4 Family
              
   
Commercial
     Residential     Installment        
    Loans    
Real Estate
     Loans     Total  
Allowance for credit losses on loans:
                        
Ending allowance balance attributable to loans:
                        
Individually evaluated for impairment
  
$
-
     $
-
     $
-
     $
-
  
Collectively evaluated for impairment
    
2,735
      
45,625
      
218
      
48,578
  
 
                                
Total ending allowance balance
   $
2,735
     $
45,625
     $
218
     $
48,578
  
 
                                
Loans:
                                
Individually evaluated for impairment
  
$
957
     $
23,628
     $
144
     $
24,729
  
Collectively evaluated for impairment
    
272,558
      
4,688,850
      
16,742
      
4,978,150
  
 
                                
Total ending loans balance
  
$
273,515
     $
4,712,478
  
$
16,886
     $
5,002,879
  


The Company’s allowance for credit losses on unfunded commitments is recognized as a liability (accrued expenses and other liabilities) with adjustments to the reserve recognized in (credit) provision for credit losses in the consolidated statements of income.


The Company’s activity in the allowance for credit losses on unfunded commitments were as follows:

(In thousands)
For the year ended
  
 
December 31, 2024
  
Balance at January 1, 2024
  
$
1,662
  
Provision  for credit losses
    
100
Balance at December 31, 2024
  
$
1,762
  

(In thousands)
  
For the year ended
December 31, 2023
  
 
      
Balance at January 1, 2023
   $ 2,912  
(Credit) provision  for credit losses
     (1,250 )
Balance at December 31, 2023
   $ 1,662  


Loan Credit Quality


The Company categorizes commercial loans into risk categories based on relevant information about the ability of borrowers to service their debt, such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. On at least an annual basis, the Company’s loan grading process analyzes non-homogeneous loans, such as commercial loans and commercial real estate loans, individually by grading the loans based on credit risk.  The Company’s internal loan review department in accordance with the Company’s internal loan review policy tests the loan grades assigned to all loan types.


The Company uses the following definitions for classified loans:


Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Company’s credit position at some future date.


Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as such have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected.


Doubtful: Loans classified as doubtful have all the weaknesses inherent in those loans classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.


Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be “pass” rated loans.


For homogeneous loan pools, such as residential mortgages, home equity lines of credit, and installment loans, the Company uses payment status to identify the credit risk in these loan portfolios. Payment status is reviewed on a daily basis by the Bank’s collection area and on a monthly basis with respect to determining the adequacy of the allowance for credit losses on loans. The payment status of these homogeneous pools as of December 31, 2024 and December 31, 2023 is also included in the aging of the past due loans table. Nonperforming loans shown in the table below were loans on non-accrual status and loans over 90 days past due and accruing.


As of December 31, 2024 and 2023, and based on the most recent analysis performed, the risk category of loans by class of loans, and gross charge-offs year to date for each loan type by origination year was as follows:

Loan Credit Quality
                                                      
(in thousands)
  
As of December 31, 2024
  
   
Term Loans Amortized Cost Basis by Origination Year
  
Commercial :
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Revolving
Loans
Amortized Cost Basis
    
Revolving
Loan
Converted
to Term
    
Total
  
Risk rating
                                                      
Pass
  
$
47,687
    
$
54,877
    
$
73,094
    
$
22,215
    
$
15,014
    
$
50,052
    
$
2,169
    
$
-
    
$
265,108
  
Special Mention
    
-
      
-
      
242
      
-
      
-
      
-
      
-
      
-
      
242
  
Substandard
    
-
      
-
      
1,003
      
-
      
22
      
887
      
-
      
-
      
1,912
  
Doubtful
     -
       -
       -       -       -       38       -       -       38  
Total Commercial Loans
  
$
47,687
    
$
54,877
    
$
74,339
    
$
22,215
    
$
15,036
    
$
50,977
    
$
2,169
    
$
-
    
$
267,300
  
 
                                                                        
Commercial Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
     $
-
     $
10
     $
431
     $
-
     $
-
     $
-
     $
-
    
$
441
  
   
$
-
     $
-
     $
10
     $
431
     $
-
     $
-
     $
-
     $
-
    
$
441
  
                                                                         
Commercial Other:
                                                                        
Risk rating
                                                                        
Pass
   $
1,842     $
7,417     $
1,796     $
407     $
184     $
2,108     $
5,634     $
-     $
19,388  
Special mention
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Substandard
    
13
      
-
      
-
      
22
      
-
      
134
      
-
      
-
      
169
  
Total Commercial Real Estate Loans
  
$
1,855
    
$
7,417
    
$
1,796
    
$
429
    
$
184
    
$
2,242
    
$
5,634
    
$
-
    
$
19,557
  
                                                                         
Other Commercial Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
  
   
$
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
    
$
-
  
                                                                         
Residential First Mortgage:
                                                                        
Risk rating
                                                                        
Performing
  
$
313,944
    
$
398,722
    
$
535,702
    
$
821,804
    
$
681,840
    
$
1,563,659
    
$
938
    
$
-
    
$
4,316,609
  
Nonperforming
    
-
      
987
      
391
      
870
      
243
      
12,463
      
-
      
-
      
14,954
  
Total First Mortgage:
  
$
313,944
    
$
399,709
    
$
536,093
    
$
822,674
    
$
682,083
    
$
1,576,122
    
$
938
    
$
-
    
$
4,331,563
  
                                                                         
Residential First Mortgage Loans:
                                                                        
Current-period Gross writeoffs
  
$
194
     $
-
     $
-
     $
-
     $
-
     $
18
     $
-
     $
-
    
$
212
  
   
$
194
     $
-
     $
-
     $
-
     $
-
     $
18
     $
-
     $
-
    
$
212
  
                                                                         
Home Equity Loans:
                                                                        
Risk rating
                                                                        
Performing
  
$
6,621
    
$
8,586
    
$
5,354
    
$
6,490
    
$
5,066
    
$
24,096
    
$
-
    
$
-
    
$
56,213
  
Nonperforming
    
-
      
-
      
155
      
-
      
-
      
371
      
-
      
-
      
526
  
Total Home Equity Loans:
  
$
6,621
    
$
8,586
    
$
5,509
    
$
6,490
    
$
5,066
    
$
24,467
    
$
-
    
$
-
    
$
56,739
  
                                                                         
Home Equity Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
   
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
                                                                         
Home Equity Lines of Credit:
                                                                        
Risk rating
                                                                        
Performing
  
$
4,793
    
$
1,558
    
$
1,110
    
$
887
    
$
46
    
$
14,595
    
$
383,425
    
$
-
    
$
406,414
  
Nonperforming
    
-
      
-
      
70
      
-
      
-
      
2,532
      
245
      
-
      
2,847
  
Total Home Equity Credit Lines:
  
$
4,793
    
$
1,558
    
$
1,180
    
$
887
    
$
46
    
$
17,127
    
$
383,670
    
$
-
    
$
409,261
  
 
                                                                        
Home Equity Lines of Credit:
                                                                        
Current-period Gross writeoffs
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
116
    
$
-
    
$
-
    
$
116
  
 
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
116
    
$
-
    
$
-
    
$
116
  
 
                                                                        
Installments:
                                                                        
Risk rating
                                                                        
Performing
  
$
2,846
    
$
5,513
    
$
2,788
    
$
705
    
$
123
    
$
505
    
$
1,028
    
$
-
    
$
13,508
  
Nonperforming
    
16
      
5
      
55
      
19
      
-
      
35
      
-
      
-
      
130
  
Total Installments
  
$
2,862
    
$
5,518
    
$
2,843
    
$
724
    
$
123
    
$
540
    
$
1,028
    
$
-
    
$
13,638
  
                                                                         
Installments Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
    
$
53
    
$
47
    
$
35
    
$
4
    
$
31
    
$
-
    
$
-
    
$
170
  
   
$
-
    
$
53
    
$
47
    
$
35
    
$
4
    
$
31
    
$
-
    
$
-
    
$
170
  

Loan Credit Quality
                                                      
(in thousands)
  
As of December 31, 2023
  
   
Term Loans Amortized Cost Basis by Origination Year
  
Commercial :
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Revolving
Loans
Amortized Cost Basis
    
Revolving
Loan
Converted
to Term
    
Total
  
Risk rating
                                                      
Pass
  
$
61,148
    
$
82,339
    
$
23,940
    
$
16,653
    
$
19,835
    
$
41,153
    
$
5,664
    
$
-
    
$
250,732
  
Special Mention
    
-
      
-
      
-
      
42
      
-
      
225
      
-
      
-
      
267
  
Substandard
    
-
      
-
      
-
      
-
      
-
      
1,256
      
-
      
-
      
1,256
  
Total Commercial Loans
  
$
61,148
    
$
82,339
    
$
23,940
    
$
16,695
    
$
19,835
    
$
42,634
    
$
5,664
    
$
-
    
$
252,255
  
 
                                                                        
Commercial Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
    
$
-
  
   
$
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
    
$
-
  
                                                                         
Commercial Other:
                                                                        
Risk rating
                                                                        
Pass
  
$
7,873
    
$
2,164
    
$
1,933
    
$
1,386
    
$
321
    
$
2,641
    
$
4,482
    
$
 -    
$
20,800
  
Special mention
    
-
      
-
      
-
      
-
      
-
      
-
      
34
      
-
      
34
  
Substandard
    
-
      
-
      
328
      
-
      
-
      
98
      
-
      
-
      
426
  
Total Commercial Real Estate Loans
  
$
7,873
    
$
2,164
    
$
2,261
    
$
1,386
    
$
321
    
$
2,739
    
$
4,516
    
$
-
    
$
21,260
  
                                                                         
Other Commercial Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
  
   
$
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
     $
-
    
$
-
  
                                                                         
Residential First Mortgage:
                                                                        
Risk rating
                                                                        
Performing
  
$
418,891
    
$
566,617
    
$
878,015
    
$
732,851
    
$
342,559
    
$
1,354,867
    
$
-
    
$
-
    
$
4,293,800
  
Nonperforming
    
64
      
210
      
383
      
229
      
1,119
      
11,300
      
-
      
-
      
13,305
  
Total First Mortgage:
  
$
418,955
    
$
566,827
    
$
878,398
    
$
733,080
    
$
343,678
    
$
1,366,167
    
$
-
    
$
-
    
$
4,307,105
  
                                                                         
Residential First Mortgage Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
     $
-
     $
-
     $
-
     $
27
     $
336
     $
-
     $
-
    
$
363
  
   
$
-
     $
-
     $
-
     $
-
     $
27
     $
336
     $
-
     $
-
    
$
363
  
                                                                         
Home Equity Loans:
                                                                        
Risk rating
                                                                        
Performing
  
$
9,660
    
$
5,963
    
$
7,770
    
$
5,668
    
$
6,542
    
$
22,076
    
$
-
    
$
-
    
$
57,679
  
Nonperforming
    
-
      
-
      
-
      
-
      
-
      
279
      
-
      
-
      
279
  
Total Home Equity Loans:
  
$
9,660
    
$
5,963
    
$
7,770
    
$
5,668
    
$
6,542
    
$
22,355
    
$
-
    
$
-
    
$
57,958
  
                                                                         
Home Equity Lines Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
   
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
                                                                         
Home Equity Credit Lines:
                                                                        
Risk rating
                                                                        
Performing
  
$
355
    
$
641
    
$
248
    
$
75
    
$
10
    
$
15,964
    
$
327,059
    
$
-
    
$
344,352
  
Nonperforming
    
-
      
-
      
8
      
56
      
-
      
2,813
      
186
      
-
      
3,063
  
Total Home Equity Credit Lines:
  
$
355
    
$
641
    
$
256
    
$
131
    
$
10
    
$
18,777
    
$
327,245
    
$
-
    
$
347,415
  
 
                                                                        
Home Equity Credit Lines Loans:
                                                                        
Current-period Gross writeoffs
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
8
    
$
-
    
$
-
    
$
8
  
 
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
    
$
8
    
$
-
    
$
-
    
$
8
  
 
                                                                        
Installments:
                                                                        
Risk rating
                                                                        
Performing
  
$
8,473
    
$
4,592
    
$
1,484
    
$
360
    
$
198
    
$
605
    
$
1,008
    
$
-
    
$
16,720
  
Nonperforming
    
-
      
49
      
51
      
-
      
63
      
3
      
-
      
-
      
166
  
Total Installments
  
$
8,473
    
$
4,641
    
$
1,535
    
$
360
    
$
261
    
$
608
    
$
1,008
    
$
-
    
$
16,886
  
                                                                         
Installments Loans:
                                                                        
Current-period Gross writeoffs
  
$
16
    
$
67
    
$
50
    
$
1
    
$
21
    
$
21
    
$
-
    
$
-
    
$
176
  
   
$
16
    
$
67
    
$
50
    
$
1
    
$
21
    
$
21
    
$
-
    
$
-
    
$
176
  


The following tables present the aging of the amortized cost in past due loans by loan class and by region as of December 31, 2024 and 2023:

 
  
As of December 31, 2024
  
 
                                    
New York and other states*:
   30-59    
60-89
    
90 +
     Total              
    Days     Days     Days    
30+ days
           Total  
(dollars in thousands)
  
Past Due
    
Past Due
    
Past Due
    
Past Due
     Current     Loans  
 
                                    
Commercial:
                                    
Commercial real estate
  
$
1,189
     $
-
     $
329
     $
1,518
     $
226,253
     $
227,771
  
Other
    
-
      
-
      
14
      
14
      
19,130
      
19,144
  
Real estate mortgage - 1 to 4 family:
                                                
First mortgages
    
2,438
      
773
      
6,091
      
9,302
      
2,732,032
      
2,741,334
  
Home equity loans
    
15
      
22
      
318
      
355
      
42,741
      
43,096
  
Home equity lines of credit
    
401
      
-
      
1,267
      
1,668
      
234,271
      
235,939
  
Installment
    
18
      
19
      
69
      
106
      
9,779
      
9,885
  
 
                                                
Total
  
$
4,061
     $
814
     $
8,088
     $
12,963
     $
3,264,206
     $
3,277,169
  

Florida:
  
30-59
    
60-89
    
90 +
     Total              
    Days     Days     Days    
30+ days
           Total  
(dollars in thousands)
  
Past Due
    
Past Due
    
Past Due
    
Past Due
     Current     Loans  
 
                                    
Commercial:
                                    
Commercial real estate
  
$
-
     $
-
     $
-
     $
-
     $
39,529
     $
39,529
  
Other
    
-
      
-
      
-
      
-
      
413
      
413
  
Real estate mortgage - 1 to 4 family:
                                                
First mortgages
    
2,037
      
629
      
1,773
      
4,439
      
1,585,790
      
1,590,229
  
Home equity loans
    
-
      
6
      
-
      
6
      
13,637
      
13,643
  
Home equity lines of credit
    
220
      
-
      
-
      
220
      
173,102
      
173,322
  
Installment
    
109
      
22
      
16
      
147
      
3,606
      
3,753
  
 
                                                
Total
  
$
2,366
     $
657
     $
1,789
     $
4,812
     $
1,816,077
     $
1,820,889
  

Total:
  
30-59
    
60-89
    
90 +
     Total              
    Days     Days     Days    
30+ days
           Total  
(dollars in thousands)
  
Past Due
    
Past Due
    
Past Due
    
Past Due
     Current     Loans
 
 
                                    
Commercial:
                                    
Commercial real estate
  
$
1,189
     $
-
     $
329
     $
1,518
     $
265,782
     $
267,300
  
Other
    
-
      
-
      
14
      
14
      
19,543
      
19,557
  
Real estate mortgage - 1 to 4 family:
                                                
First mortgages
    
4,475
      
1,402
      
7,864
      
13,741
      
4,317,822
      
4,331,563
  
Home equity loans
    
15
      
28
      
318
      
361
      
56,378
      
56,739
  
Home equity lines of credit
    
621
      
-
      
1,267
      
1,888
      
407,373
      
409,261
  
Installment
    
127
      
41
      
85
      
253
      
13,385
      
13,638
  
 
                                                
Total
  
$
6,427
     $
1,471
     $
9,877
     $
17,775
     $
5,080,283
     $
5,098,058
  


* Includes New York, New Jersey, Vermont and Massachusetts. 


  
As of December 31, 2023
  
 
                                    
New York and other states*:
  
30-59
    
60-89
    
90 +
     Total    
   
 
    Days     Days     Days     30+ days    
    Total  
(dollars in thousands)   Past Due
     Past Due
     Past Due
     Past Due
     Current
     Loans
  
 
                                    
Commercial:
                                    
Commercial real estate
  
$
-
     $
-
     $
521
     $
521
     $
212,233
     $
212,754
  
Other
    
-
      
26
      
-
      
26
      
20,837
      
20,863
  
Real estate mortgage - 1 to 4 family:
                                                
First mortgages
    
4,330
      
811
      
6,008
      
11,149
      
2,745,765
      
2,756,914
  
Home equity loans
    
20
      
138
      
157
      
315
      
43,837
      
44,152
  
Home equity lines of credit
    
591
      
135
      
1,499
      
2,225
      
210,073
      
212,298
  
Installment
    
6
      
18
      
95
      
119
      
11,938
      
12,057
  
 
                                                
Total
  
$
4,947
     $
1,128
     $
8,280
     $
14,355
     $
3,244,683
     $
3,259,038
  

Florida:
  
30-59
    
60-89
    
90 +
      Total              
    Days     Days     Days    
30+ days
            Total  
(dollars in thousands)
    Past Due      Past Due      Past Due      Past Due      Current      Loans  
 
                                    
Commercial:
                                    
Commercial real estate
  
$
-
     $
-
     $
-
     $
-
     $
39,501
     $
39,501
  
Other
    
-
      
-
      
314
      
314
      
83
      
397
  
Real estate mortgage - 1 to 4 family:
                                                
First mortgages
    
1,290
      
78
      
1,433
      
2,801
      
1,547,390
      
1,550,191
  
Home equity loans
    
73
      
6
      
-
      
79
      
13,727
      
13,806
  
Home equity lines of credit
    
184
      
-
      
56
      
240
      
134,877
      
135,117
  
Installment
    
16
      
-
      
60
      
76
      
4,753
      
4,829
  
 
                                                
Total
  
$
1,563
     $
84
     $
1,863
     $
3,510
     $
1,740,331
     $
1,743,841
  

Total:
  
30-59
    
60-89
    
90 +
     Total              
    Days     Days     Days    
30+ days
           Total  
(dollars in thousands)
  
Past Due
    
Past Due
    
Past Due
    
Past Due
     Current     Loans  
 
                                    
Commercial:
                                    
Commercial real estate
  
$
-
     $
-
     $
521
     $
521
     $
251,734
     $
252,255
  
Other
    
-
      
26
      
314
      
340
      
20,920
      
21,260
  
Real estate mortgage - 1 to 4 family:
                                                
First mortgages
    
5,620
      
889
      
7,441
      
13,950
      
4,293,155
      
4,307,105
  
Home equity loans
    
93
      
144
      
157
      
394
      
57,564
      
57,958
  
Home equity lines of credit
    
775
      
135
      
1,555
      
2,465
      
344,950
      
347,415
  
Installment
    
22
      
18
      
155
      
195
      
16,691
      
16,886
  
 
                                                
Total
  
$
6,510
     $
1,212
     $
10,143
     $
17,865
     $
4,985,014
     $
5,002,879
  


* Includes New York, New Jersey, Vermont and Massachusetts.



At December 31, 2024 and 2023, there were no loans that were 90 days past due and still accruing interest.  As a result, non-accrual loans include all loans 90 days or more past due as well as certain loans less than 90 days past due that were placed on non-accrual status for reasons other than delinquent status.  There are no commitments to extend further credit on non-accrual or modified loans.


The Company transfers loans to other real estate owned, at fair value less cost to sell, in the period the Company obtains physical possession of the property (through legal title or through a deed in lieu). Other real estate owned is included in other assets on the Consolidated Statements of Condition.  As of December 31, 2024 other real estate owned included $2.2 million of residential foreclosed properties.  In addition, non-accrual residential mortgage loans that were in the process of foreclosure had an amortized cost of $8.1 million as of December 31, 2024. As of December 31, 2023 other real estate owned included $194 thousand of residential foreclosed properties.  In addition, non-accrual residential mortgage loans that were in the process of foreclosure had an amortized cost of $6.6 million as of December 31, 2023.


Loans individually evaluated for impairment are non-accrual loans delinquent greater than 180 days, non-accrual commercial loans, as well as loans classified as loan modifications. As of December 31, 2024, there was no allowance for credit losses based on loans individually evaluated for impairment. Residential and installment non-accrual loans which are not loan modifications or greater than 180 days delinquent are collectively evaluated to determine the allowance for credit loss.


The following tables present the amortized cost basis in non-accrual loans by portfolio segment as of December 31, 2024 and 2023:

 
  
As of December 31, 2024
  
(dollars in thousands)
  
New York and
other states*
    
Florida
    
Total
  
Loans in non-accrual status:
                  
Commercial:
                  
Commercial real estate
  
$
329
     $
-
     $
329
  
Other
    
14
      
-
      
14
  
Real estate mortgage - 1 to 4 family:
                        
First mortgages
    
11,586
      
3,368
      
14,954
  
Home equity loans
    
432
      
94
      
526
  
Home equity lines of credit
    
2,653
      
194
      
2,847
  
Installment
    
108
      
22
      
130
  
Total non-accrual loans
    
15,122
      
3,678
      
18,800
  
Restructured real estate mortgages - 1 to 4 family
    
-
      
-
      
-
  
Total nonperforming loans
  
$
15,122
     $
3,678
     $
18,800
  

* Includes New York, New Jersey, Vermont and Massachusetts.
 
  
As of December 31, 2023
  
(dollars in thousands)
  
New York and
other states*
    
Florida
    
Total
  
Loans in non-accrual status:
                  
Commercial:
                  
Commercial real estate
  
$
536
     $
-
     $
536
  
Other
    
-
      
314
      
314
  
Real estate mortgage - 1 to 4 family:
                        
First mortgages
    
11,324
      
1,981
      
13,305
  
Home equity loans
    
235
      
44
      
279
  
Home equity lines of credit
    
2,816
      
247
      
3,063
  
Installment
    
151
      
15
      
166
  
Total non-accrual loans
    
15,062
      
2,601
      
17,663
  
Restructured real estate mortgages - 1 to 4 family
    
3
      
-
      
3
  
Total nonperforming loans
  
$
15,065
     $
2,601
     $
17,666
  


* Includes New York, New Jersey, Vermont and Massachusetts.

 

The following tables present the amortized cost basis of loans on non-accrual status and loans past due over 89 days still accruing as of December 31, 2024 and 2023:

 
  
As of December 31, 2024
  
(dollars in thousands)
  
Non-accrual With
No Allowance for
Credit Loss
    
Non-accrual With
Allowance for
Credit Loss
    
Loans Past Due
Over 89 Days
Still Accruing
  
 
            
 
            
Commercial:
                  
Commercial real estate
  
$
329
    
$
-
      
-
  
Other
    
14
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                        
First mortgages
    
13,560
      
1,394
      
-
  
Home equity loans
    
526
      
-
      
-
  
Home equity lines of credit
    
2,724
      
123
      
-
  
Installment
    
112
      
18
      
-
  
Total loans, net
  
$
17,265
    
$
1,535
      
-
  

 
  
As of December 31, 2023
  
(dollars in thousands)
  
Non-accrual With
No Allowance for
Credit Loss
    
Non-accrual With
Allowance for
Credit Loss
    
Loans Past Due
Over 89 Days
Still Accruing
  
 
            
 
            
Commercial:
                  
Commercial real estate
  
$
536
    
$
-
      
-
  
Other
    
314
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                        
First mortgages
    
12,584
      
721
      
-
  
Home equity loans
    
271
      
8
      
-
  
Home equity lines of credit
    
2,395
      
668
      
-
  
Installment
    
144
      
22
      
-
  
Total loans, net
  
$
16,244
    
$
1,419
      
-
  


The non-accrual balance of $1.5 million and $1.4 million disclosed above was collectively evaluated and the associated allowance for credit losses on loans was not material as of December 31, 2024 and 2023, respectively.


A financial asset is considered collateral-dependent when the debtor is experiencing financial difficulty and repayment is expected to be provided substantially through the sale or operation of the collateral. Expected credit losses for the collateral dependent loans are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate.


The following tables present the amortized cost basis of individually analyzed collateral dependent loans by portfolio segment as of December 31, 2024 and 2023:

    As of December 31, 2024  
 
  
Type of Collateral
  
(dollars in thousands)
                  
 
  
Real Estate
    
Investment
Securities/Cash
    
Other
  
Commercial:
                  
Commercial real estate
  
$
429
      
-
      
-
  
Other
    
14
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
    

     

     

 
First mortgages
    
19,928
      
-
      
-
  
Home equity loans
    
535
      
-
      
-
  
Home equity lines of credit
    
3,372
      
-
      
-
  
Installment
    
112
      
-
      
-
  
Total
 
$
24,390
      
-
      
-
  

      As of December 31, 2023  
 
  
Type of Collateral
  
(dollars in thousands)
                  
 
  
Real Estate
    
Investment
Securities/Cash
    
Other
  
Commercial:
                  
Commercial real estate
  
$
643
      
-
      
-
  
Other
    
314
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
    

     

     

 
First mortgages
    
20,018
      
-
      
-
  
Home equity loans
    
371
      
-
      
-
  
Home equity lines of credit
    
3,239
      
-
      
-
  
Installment
    
144
      
-
      
-
  
Total
 
$
24,729
      
-
      
-
  


The Company has not committed to lend additional amounts to customers with outstanding loans that are modified.  Interest income recognized on loans that are individually evaluated was not material during the years ended December 31, 2024, 2023 and 2022.


A loan for which the terms have been modified, and for which a borrower is experiencing financial difficulties, is considered a loan modification and is classified as individually evaluated. Loan modifications at December 31, 2024 are measured at the amortized cost using the loan’s effective rate at inception or fair value of the underlying collateral if the loan is considered collateral dependent.


As of December 31, 2024 and 2023  loans individually evaluated included approximately $7.0 million and $8.3 million, respectively, of loans in accruing status that were identified as loan modifications.



Pursuant to the adoption of ASU 2022-02 - Financial Instruments - Credit Losses (Topic 326) Troubled Debt Restructuring and Vintage Disclosures (“ASU 2022-02”), a borrower that is experiencing financial difficulty and receives a modification in the form of principal forgiveness, an interest rate reduction, an other-than-insignificant payment delay or a term extension in the current period needs to be disclosed.


The following table presents the amortized cost basis of loans at December 31, 2024 and 2023 that were both experiencing financial difficulty and modified during the year ended December 31, 2024 and 2023, by class and by type of modification. The percentage of the amortized cost basis of loans that were modified to borrowers in financial distress as compared to the amortized cost basis of each class of financing receivable is also presented below:

For the year ended:
  
 
                
New York and other states*:
December 31, 2024
  
December 31, 2023
  
 
Payment
  
% of Total Class
  
Payment
  
% of Total Class
  
(dollars in thousands)
Delay
  
of Loans
  
Delay
  
of Loans
  
 
                
Commercial:
                
Commercial real estate
  
$
-
      
-
    
$
-
      
-
  
Other
    
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                
First mortgages
    
267
      
0.01
%
    
895
      
0.03
%
Home equity loans
    
19
      
0.04
%
    
-
      
-
  
Home equity lines of credit
    
238
      
0.10
%
    
50
      
0.02
%
Installment
    
-
      
-
      
-
      
-
  
 
                                
Total
  
$
524
      
0.02
%
  
$
945
      
0.03
%

Florida:
                
 
Payment
  
% of Total Class
  
Payment
  
% of Total Class
  
(dollars in thousands)
Delay
  
of Loans
  
Delay
  
of Loans
  
 
                
Commercial:
                
Commercial real estate
  
$
-
      
-
    
$
-
      
-
  
Other
    
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                
First mortgages
    
84
      
0.01
%
    
338
      
0.02
%
Home equity loans
    
88
      
0.65
%
    
-
      
-
  
Home equity lines of credit
    
70
      
0.04
%
    
-
      
-
  
Installment
    
-
      
-
      
-
      
-
  
 
                                
Total
  
$
242
      
0.01
%
  
$
338
      
0.02
%

Total
                
 
Payment
  
% of Total Class
  
Payment
  
% of Total Class
  
(dollars in thousands)
Delay
  
of Loans
  
Delay
  
of Loans
  
 
                
Commercial:
                
Commercial real estate
  
$
-
      
-
    
$
-
      
-
  
Other
    
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                
First mortgages
    
351
      
0.01
%
    
1,233
      
0.03
%
Home equity loans
    
107
      
0.19
%
    
-
      
-
  
Home equity lines of credit
    
308
      
0.08
%
    
50
      
0.02
%
Installment
    
-
      
-
      
-
      
-
  
 
                                
Total
  
$
766
      
0.02
%
  
$
1,283
      
0.03
%

* Includes New York, New Jersey, Vermont and Massachusetts.


The Bank monitors the performance of loans modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table describes the performance of loans that have been modified as of December 31, 2024 and 2023:

   
As of December 31, 2024
  
                                     
New York and other states*:           30-59
      60-89
      90+        
            Days
      Days
      Days
       
(dollars in thousands)    Current       Past Due
      Past Due
      Past Due
     Total  
                                     
Commercial:
                                    
Commercial real estate
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
Other
    
-
      
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                        
First mortgages
    
137
      
49
      
-
      
81
      
267
  
Home equity loans
    
19
      
-
      
-
       -      
19
  
Home equity lines of credit
    
238
      
-
      
-
      
-
      
238
  
Installment
    
-
      
-
      
-
      
-
      
-
  
                                         
Total
  
$
394
    
$
49
    
$
-
    
$
81
    
$
524
  

Florida:           30-59
      60-89
      90+        
            Days
      Days
      Days
       
(dollars in thousands)    Current       Past Due
      Past Due
      Past Due
     Total  
                                     
Commercial:
                                    
Commercial real estate
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
Other
    
-
      
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                        
First mortgages
    
84
      
-
      
-
      
-
      
84
  
Home equity loans
    
88
      
-
      
-
       -      
88
  
Home equity lines of credit
    
70
      
-
      
-
      
-
      
70
  
Installment
    
-
      
-
      
-
      
-
      
-
  
                                         
Total
  
$
242
    
$
-
    
$
-
    
$
-
    
$
242
  

Total           30-59
      60-89
      90+        
            Days
      Days
      Days
       
(dollars in thousands)    Current       Past Due
      Past Due
      Past Due
     Total  
                                     
Commercial:
                                    
Commercial real estate
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
Other
    
-
      
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                        
First mortgages
    
221
      
49
      
-
      
81
      
351
  
Home equity loans
    
107
      
-
      
-
       -      
107
  
Home equity lines of credit
    
308
      
-
      
-
      
-
      
308
  
Installment
    
-
      
-
      
-
      
-
      
-
  
                                         
Total
  
$
636
    
$
49
    
$
-
    
$
81
    
$
766
  

* Includes New York, New Jersey, Vermont and Massachusetts.

   
As of December 31, 2023
  
                                     
New York and other states*:           30-59
      60-89
      90+        
            Days
      Days
      Days
       
(dollars in thousands)    Current       Past Due
      Past Due
      Past Due
     Total  
                                     
Commercial:
                                    
Commercial real estate
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
Other
    
-
      
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                        
First mortgages
    
691
      
152
      
-
      
52
      
895
  
Home equity loans
    
-
      
-
      
-
       -      
-
  
Home equity lines of credit
    
50
      
-
      
-
      
-
      
50
  
Installment
    
-
      
-
      
-
      
-
      
-
  
                                         
Total
  
$
741
    
$
152
    
$
-
    
$
52
    
$
945
  

Florida:           30-59
      60-89
      90+        
            Days
      Days
      Days
       
(dollars in thousands)    Current       Past Due
      Past Due
      Past Due
     Total  
                                     
Commercial:
                                    
Commercial real estate
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
Other
    
-
      
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                        
First mortgages
    
338
      
-
      
-
      
-
      
338
  
Home equity loans
    
-
      
-
      
-
       -      
-
  
Home equity lines of credit
    
-
      
-
      
-
      
-
      
-
  
Installment
    
-
      
-
      
-
      
-
      
-
  
                                         
Total
  
$
338
    
$
-
    
$
-
    
$
-
    
$
338
  

Total           30-59
      60-89
      90+        
            Days
      Days
      Days
       
(dollars in thousands)    Current       Past Due
      Past Due
      Past Due
     Total  
                                     
Commercial:
                                    
Commercial real estate
  
$
-
    
$
-
    
$
-
    
$
-
    
$
-
  
Other
    
-
      
-
      
-
      
-
      
-
  
Real estate mortgage - 1 to 4 family:
                                        
First mortgages
    
1,029
      
152
      
-
      
52
      
1,233
  
Home equity loans
    
-
      
-
      
-
       -      
-
  
Home equity lines of credit
    
50
      
-
      
-
      
-
      
50
  
Installment
    
-
      
-
      
-
      
-
      
-
  
                                         
Total
  
$
1,079
    
$
152
    
$
-
    
$
52
    
$
1,283
  

* Includes New York, New Jersey, Vermont and Massachusetts.


The following tables describes the financial effect of the modifications made to borrowers experiencing financial difficulty:


For the year ended:
  
 
        
 
December 31, 2024
  
December 31, 2023
  
 
Weighted
  
Weighted
  
New York and other states*:
Average
  
Average
  
 
Payment
  
Payment
  
(dollars in thousands)
Delay (Months)
  
Delay (Months)
  
 
        
Commercial:
        
Commercial real estate
  
$
-
    
$
-
  
Other
    
-
      
-
  
Real estate mortgage - 1 to 4 family:
    
-
      
-
  
First mortgages
    
15
      
21
  
Home equity loans
    
24
      
-
  
Home equity lines of credit
    
17
      
18
  
Installment
    
-
      
-
  
 
                
Total
  
$
56
    
$
39
  

 
Weighted
  
Weighted
  
Florida:
Average
  
Average
  
 
Payment
  
Payment
  
(dollars in thousands)
Delay (Months)
  
Delay (Months)
  
 
        
Commercial:
        
Commercial real estate
  
$
-
    
$
-
  
Other
    
-
      
-
  
Real estate mortgage - 1 to 4 family:
                
First mortgages
    
12
      
24
  
Home equity loans
    
9
      
-
  
Home equity lines of credit
    
6
      
-
  
Installment
    
-
      
-
  
 
                
Total
  
$
27
    
$
24
  

 
Weighted
  
Weighted
  
 
Average
  
Average
  
 
Payment
  
Payment
  
(dollars in thousands)
Delay (Months)
  
Delay (Months)
  
 
        
Commercial:
        
Commercial real estate
  
$
-
    
$
-
  
Other
    
-
      
-
  
Real estate mortgage - 1 to 4 family:
                
First mortgages
    
27
      
45
  
Home equity loans
    
33
      
-
  
Home equity lines of credit
    
23
      
18
  
Installment
    
-
      
-
  
 
                
Total
  
$
83
    
$
63
  

* Includes New York, New Jersey, Vermont and Massachusetts.
 

There were no commitments to lend additional funds to the borrowers and there were no charge-offs recorded against the loans. The Company had no allowance for credit losses recorded against these loans as of December 31, 2024. The Company had 13 loan modifications totaling $1.2 million that had a payment default during the year ended December 31, 2024.