Borrowings

6 Months Ended

Jun. 30, 2020

Note 6 – Borrowings

Borrowings consisted of the following (dollars in thousands):


	June 30,				December 31,
	2020		2019		2019
Securities sold under agreements with customers to repurchase	$	444,249	$	356,555	$	375,106
Federal funds purchased		4,975		5,450		6,250
Advances from Federal Home Loan Bank of Dallas		—		—		—

Total	$	449,224	$	362,005	$	381,356

Securities sold under repurchase agreements are generally with significant customers of the Company that require short-term liquidity for their funds for which the Company pledges certain securities that have a fair value equal to at least the amount of the borrowings. The agreements mature daily and therefore the risk arising from a decline in the fair value of the collateral pledged is minimal. The securities pledged are mortgage-backed securities. These agreements do not include “right of

set-off”

provisions and therefore the Company does not offset such agreements for financial reporting purposes.