Loans and the Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Loans Outstanding by Category

Loans outstanding are detailed by category as follows:

	June 30, 2022		December 31, 2021
	(dollars in thousands)
Residential mortgage
Mortgages - fixed rate	$	781,649	$	716,456
Mortgages - adjustable rate		668,528		679,675
Construction		25,413		13,012
Deferred costs, net of unearned fees		6,961		5,936
Total residential mortgages		1,482,551		1,415,079
Commercial mortgage
Mortgages - non-owner occupied		1,403,363		1,272,135
Mortgages - owner occupied		148,480		150,632
Construction		82,739		86,246
Deferred costs, net of unearned fees		2,285		1,989
Total commercial mortgages		1,636,867		1,511,002
Home equity
Home equity - lines of credit		89,790		85,639
Home equity - term loans		1,706		2,017
Deferred costs, net of unearned fees		339		304
Total home equity		91,835		87,960
Commercial and industrial
Commercial and industrial		265,295		247,024
PPP loans		2,652		22,856
Unearned fees, net of deferred costs		223		(434	)
Total commercial and industrial		268,170		269,446
Consumer
Secured		43,181		34,308
Unsecured		874		1,303
Deferred costs, net of unearned fees		14		8
Total consumer		44,069		35,619
Total loans	$	3,523,492	$	3,319,106

Non-performing Loans Disaggregated by Loan Category

The following tables set forth information regarding non-performing loans disaggregated by loan category:

	June 30, 2022
	Residential Mortgage		Commercial Mortgage		Home Equity		Commercial and Industrial		Total
	(dollars in thousands)
Non-performing loans:
Non-accrual loans	$	4,067	$	450	$	520	$	101	$	5,138
Troubled debt restructurings		646		—		—		95		741
Total	$	4,713	$	450	$	520	$	196	$	5,879

	December 31, 2021
	Residential Mortgage		Commercial Mortgage		Home Equity		Commercial and Industrial		Total
	(dollars in thousands)
Non-performing loans:
Non-accrual loans	$	3,777	$	517	$	223	$	111	$	4,628
Troubled debt restructurings		652		—		—		106		758
Total	$	4,429	$	517	$	223	$	217	$	5,386

Loans Receivable Disaggregated by Credit Quality Indicator

The following tables contain period-end balances of loans receivable disaggregated by credit quality indicator:

	Credit Quality Indicator - by Origination Year as of June 30, 2022
	2022		2021		2020		2019		2018		Prior		Revolving loans amortized cost basis		Total
	(dollars in thousands)
Residential Mortgage:
Current	$	202,979	$	528,323	$	291,931	$	118,731	$	81,085	$	254,789	$	—	$	1,477,838
Non-performing		—		—		147		—		713		3,853		—		4,713
Total	$	202,979	$	528,323	$	292,078	$	118,731	$	81,798	$	258,642	$	—	$	1,482,551
Home equity:
Current	$	—	$	—	$	392	$	1,864	$	4,355	$	9,826	$	74,878	$	91,315
Non-performing		—		—		—		520		—		—		—		520
Total	$	—	$	—	$	392	$	2,384	$	4,355	$	9,826	$	74,878	$	91,835
Consumer:
Current	$	15,945	$	10,181	$	6,640	$	1,365	$	2,600	$	6,738	$	600	$	44,069
Non-performing		—		—		—		—		—		—		—		—
Total	$	15,945	$	10,181	$	6,640	$	1,365	$	2,600	$	6,738	$	600	$	44,069

	Credit Quality Indicator - by Origination Year as of June 30, 2022
	2022		2021		2020		2019		2018		Prior		Revolving loans amortized cost basis		Total
	(dollars in thousands)
Commercial Mortgage:
Credit risk profile by internally    assigned grade:
1-6 (Pass)	$	235,399	$	314,981	$	235,504	$	284,164	$	145,208	$	350,393	$	—	$	1,565,649
7 (Special Mention)		—		—		1,081		40,582		22,220		6,847		—		70,730
8 (Substandard)		—		—		—		—		—		488		—		488
9 (Doubtful)		—		—		—		—		—		—		—		—
10 (Loss)		—		—		—		—		—		—		—		—
Total	$	235,399	$	314,981	$	236,585	$	324,746	$	167,428	$	357,728	$	—	$	1,636,867
Commercial and Industrial:
Credit risk profile by internally    assigned grade:
1-6 (Pass)	$	19,941	$	74,530	$	75,736	$	36,897	$	32,042	$	22,137	$	435	$	261,718
7 (Special Mention)		—		264		266		2,145		407		176		10		3,268
8 (Substandard)		—		—		696		2,259		95		134		—		3,184
9 (Doubtful)		—		—		—		—		—		—		—		—
10 (Loss)		—		—		—		—		—		—		—		—
Total	$	19,941	$	74,794	$	76,698	$	41,301	$	32,544	$	22,447	$	445	$	268,170

	Credit Quality Indicator - by Origination Year as of December 31, 2021
	2021		2020		2019		2018		2017		Prior		Revolving loans amortized cost basis		Total
	(dollars in thousands)
Residential Mortgage:
Current	$	535,071	$	329,501	$	135,139	$	101,108	$	77,702	$	232,129	$	—	$	1,410,650
Non-performing		—		151		—		330		54		3,894		—		4,429
Total	$	535,071	$	329,652	$	135,139	$	101,438	$	77,756	$	236,023	$	—	$	1,415,079
Home equity:
Current	$	—	$	719	$	3,088	$	4,469	$	5,060	$	5,475	$	68,926	$	87,737
Non-performing		—		—		223		—		—		—		—		223
Total	$	—	$	719	$	3,311	$	4,469	$	5,060	$	5,475	$	68,926	$	87,960
Consumer:
Current	$	14,427	$	8,758	$	1,544	$	3,168	$	1,838	$	5,357	$	527	$	35,619
Non-performing		—		—		—		—		—		—		—		—
Total	$	14,427	$	8,758	$	1,544	$	3,168	$	1,838	$	5,357	$	527	$	35,619

	Credit Quality Indicator - by Origination Year as of December 31, 2021
	2021		2020		2019		2018		2017		Prior		Revolving loans amortized cost basis		Total
	(dollars in thousands)
Commercial Mortgage:
Credit risk profile by internally    assigned grade:
1-6 (Pass)	$	319,633	$	248,691	$	320,189	$	158,462	$	93,016	$	298,791	$	—	$	1,438,782
7 (Special Mention)		—		1,096		40,879		22,471		2,913		4,131		—		71,490
8 (Substandard)		—		—		—		—		—		730		—		730
9 (Doubtful)		—		—		—		—		—		—		—		—
10 (Loss)		—		—		—		—		—		—		—		—
Total	$	319,633	$	249,787	$	361,068	$	180,933	$	95,929	$	303,652	$	—	$	1,511,002
Commercial and Industrial:
Credit risk profile by internally    assigned grade:
1-6 (Pass)	$	83,614	$	77,073	$	38,299	$	34,360	$	19,727	$	4,622	$	353	$	258,048
7 (Special Mention)		318		350		5,523		406		161		859		10		7,627
8 (Substandard)		—		792		2,331		504		—		144		—		3,771
9 (Doubtful)		—		—		—		—		—		—		—		—
10 (Loss)		—		—		—		—		—		—		—		—
Total	$	83,932	$	78,215	$	46,153	$	35,270	$	19,888	$	5,625	$	363	$	269,446

Schedule of Loans Receivable Disaggregated by Past Due Status

The following tables contain period-end balances of loans receivable disaggregated by past due status:

	June 30, 2022
	30-59 Days		60-89 Days		90 Days or greater		Total Past Due		Current Loans		Total		Amortized Cost 90+ Days Past Due and Accruing
	(dollars in thousands)
Residential mortgage	$	5,335	$	991	$	1,316	$	7,642	$	1,474,909	$	1,482,551	$	—
Commercial mortgage		—		278		—		278		1,636,589		1,636,867		—
Home equity		228		298		—		526		91,309		91,835		—
Commercial and industrial		6		32		—		38		268,132		268,170		—
Consumer		—		—		—		—		44,069		44,069		—
Total	$	5,569	$	1,599	$	1,316	$	8,484	$	3,515,008	$	3,523,492	$	—

	December 31, 2021
	30-59 Days		60-89 Days		90 Days or Greater		Total Past Due		Current Loans		Total		Amortized Cost 90+ Days Past Due and Accruing
	(dollars in thousands)
Residential mortgage	$	8,470	$	415	$	1,488	$	10,373	$	1,404,706	$	1,415,079	$	—
Commercial mortgage		476		—		—		476		1,510,526		1,511,002		—
Home equity		314		643		—		957		87,003		87,960		—
Commercial and industrial		5		437		—		442		269,004		269,446		—
Consumer		—		—		—		—		35,619		35,619		—
Total	$	9,265	$	1,495	$	1,488	$	12,248	$	3,306,858	$	3,319,106	$	—

Summary of Changes in Allowance for Credit Losses Disaggregated by Loan Category

The following tables present changes in the allowance for credit losses disaggregated by loan category:

	Three Months Ended June 30, 2022
	Residential Mortgage			Commercial Mortgage		Home Equity		Commercial & Industrial			Consumer			Unfunded Commitments		Total
	(dollars in thousands)
Allowance for credit loss:
Allowance for credit losses - loan    portfolio:
Balance at March 31, 2022	$	13,193		$	17,138	$	377	$	2,897		$	505		$	—	$	34,110
Charge-offs		—					—		(3	)		(3	)		—		(6	)
Recoveries		—			—		—		10			10			—		20
Provision for (release of) credit    losses - loan portfolio		(554	)		629		23		(52	)		(46	)		—		—
Allowance for credit losses -    loan portfolio	$	12,639		$	17,767	$	400	$	2,852		$	466		$	—	$	34,124
Allowance for credit losses -    unfunded commitments:
Balance at March 31, 2022	$	—		$	—	$	—	$	—		$	—		$	1,371	$	1,371
Release of credit    losses - unfunded commitments		—			—		—		—			—			—		—
Allowance for credit losses-    unfunded commitments	$	—		$	—	$	—	$	—		$	—		$	1,371	$	1,371
Total allowance for credit loss	$	12,639		$	17,767	$	400	$	2,852		$	466		$	1,371	$	35,495

	Six Months Ended June 30, 2022
	Residential Mortgage			Commercial Mortgage		Home Equity			Commercial & Industrial			Consumer			Unfunded Commitments			Total
	(dollars in thousands)
Allowance for credit loss:
Allowance for credit losses - loan    portfolio:
Balance at December 31, 2021	$	13,383		$	17,133	$	406		$	2,989		$	585		$	—		$	34,496
Charge-offs		—			—		—			(3	)		(28	)		—			(31	)
Recoveries		—			—		—			46			12			—			58
Provision for (release of) credit    losses - loan portfolio		(744	)		634		(6	)		(180	)		(103	)		—			(399	)
Allowance for credit losses - loan portfolio	$	12,639		$	17,767	$	400		$	2,852		$	466		$	—		$	34,124
Allowance for credit losses -    unfunded commitments:
Balance at December 31, 2021	$	—		$	—	$	—		$	—		$	—		$	1,384		$	1,384
Release of credit losses - unfunded commitments		—			—		—			—			—			(13	)		(13	)
Allowance for credit losses- unfunded commitments	$	—		$	—	$	—		$	—		$	—		$	1,371		$	1,371
Total allowance for credit loss	$	12,639		$	17,767	$	400		$	2,852		$	466		$	1,371		$	35,495

	Three Months Ended June 30, 2021
	Residential Mortgages		Commercial Mortgages			Home Equity		Commercial & Industrial		Consumer		Unfunded Commitments			Total
	(dollars in thousands)
Allowance for credit loss:
Allowance for credit losses - loan    portfolio:
Balance at March 31, 2021	$	13,144	$	18,693		$	363	$	2,978	$	468	$	—		$	35,646
Charge-offs		—		—			—		—		—		—			—
Recoveries		—		30			—		15		1		—			46
Provision for (release of) credit    losses - loan portfolio		412		(1,422	)		110		216		21		—			(663	)
Allowance for credit losses - loan portfolio	$	13,556	$	17,301		$	473	$	3,209	$	490	$	—		$	35,029
Allowance for credit losses -    unfunded commitments:
Balance at March 31, 2021	$	—	$	—		$	—	$	—	$	—	$	1,188		$	1,188
Release of credit    losses - unfunded commitments		—		—			—		—		—		(238	)		(238	)
Allowance for credit losses-    unfunded commitments		—		—			—		—		—		950			950
Total allowance for credit loss	$	13,556	$	17,301		$	473	$	3,209	$	490	$	950		$	35,979

	Six Months Ended June 30, 2021
	Residential Mortgages		Commercial Mortgages			Home Equity			Commercial & Industrial			Consumer			Unfunded Commitments			Total
	(dollars in thousands)
Allowance for credit loss:
Allowance for credit losses - loan portfolio:
Balance at December 31, 2020	$	13,067	$	18,564		$	552		$	3,309		$	524		$	—		$	36,016
Charge-offs		—		—			—			—			(3	)		—			(3	)
Recoveries		—		30			—			34			5			—			69
Provision for (release of) credit    losses - loan portfolio		489		(1,293	)		(79	)		(134	)		(36	)		—			(1,053	)
Allowance for credit losses - loan portfolio	$	13,556	$	17,301		$	473		$	3,209		$	490		$	—		$	35,029
Allowance for credit losses - unfunded commitments:
Balance at December 31, 2020	$	—	$	—		$	—		$	—		$	—		$	1,004		$	1,004
Release of credit    losses - unfunded commitments		—		—			—			—			—			(54	)		(54	)
Allowance for credit losses-unfunded commitments		—		—			—			—			—			950			950
Total allowance for credit loss	$	13,556	$	17,301		$	473		$	3,209		$	490		$	950		$	35,979