Loans and Allowance for Loan Losses (Tables)

3 Months Ended

Mar. 31, 2021

Categories of loans include:


	March 31,		December 31,
	2021		2020
	(In thousands)
Commercial loans	$	99,728	$	103,277
Commercial real estate		254,577		246,167
Residential real estate		88,114		85,789
Installment loans		7,615		8,258

Total gross loans		450,034		443,491

Less allowance for loan losses		(4,807)		(5,113)

Total loans	$	445,227	$	438,378

Schedule of allowance for loan losses and recorded investment in loans

Allowance for Loan Losses and Recorded Investment in Loans

As of and for the three month period ended March 31, 2021


			Commercial
	Commercial		Real Estate		Residential		Installment		Total
	(In thousands)
Allowance for loan losses:
Balance, beginning of period	$	1,397	$	1,821	$	1,471	$	424	$	5,113
Provision (credit) charged to expense		(98)		(1)		(75)		(31)		(205)
Losses charged off		(78)		—		(17)		(18)		(113)
Recoveries		—		—		2		10		12
Balance, end of period	$	1,221	$	1,820	$	1,381	$	385	$	4,807
Ending balance: individually evaluated for impairment	$	—	$	85	$	—	$	—	$	85
Ending balance: collectively evaluated for impairment	$	1,221	$	1,735	$	1,381	$	385	$	4,722

Loans:
Ending balance: individually evaluated for impairment	$	—	$	2,594	$	114	$	—	$	2,708
Ending balance: collectively evaluated for impairment	$	99,728	$	251,983	$	88,000	$	7,615	$	447,326

Allowance for Loan Losses and Recorded Investment in Loans

As of and for the three month period ended March 31, 2020


			Commercial
	Commercial		Real Estate		Residential		Installment		Total
	(In thousands)
Allowance for loan losses:
Balance, beginning of period	$	568	$	792	$	572	$	299	$	2,231
Provision charged to expense		529		19		1		14		563
Losses charged off		(42)		(30)		(6)		(31)		(109)
Recoveries		—		—		—		23		23
Balance, end of period	$	1,055	$	781	$	567	$	305	$	2,708
Ending balance: individually evaluated for impairment	$	16	$	—	$	—	$	—	$	16
Ending balance: collectively evaluated for impairment	$	1,039	$	781	$	567	$	305	$	2,692

Loans:
Ending balance: individually evaluated for impairment	$	138	$	758	$	505	$	—	$	1,401
Ending balance: collectively evaluated for impairment	$	106,338	$	251,593	$	79,646	$	9,359	$	446,936

Allowance for Loan Losses and Recorded Investment in Loans

As of December 31, 2020


			Commercial
	Commercial		Real Estate		Residential		Installment		Total
	(In thousands)
Allowance for loan losses:
Ending balance: individually evaluated for impairment	$	—	$	1	$	––	$	––	$	1
Ending balance: collectively evaluated for impairment	$	1,397	$	1,820	$	1,471	$	424	$	5,112

Loans:
Ending balance: individually evaluated for impairment	$	80	$	182	$	114	$	—	$	376
Ending balance: collectively evaluated for impairment	$	103,197	$	245,985	$	85,675	$	8,258	$	443,115

Schedule of portfolio quality indicators

The following tables show the portfolio quality indicators.


	March 31, 2021
			Commercial
Loan Class	Commercial		Real Estate		Residential		Installment		Total
	(In thousands)
Pass Grade	$	99,721	$	248,895	$	88,000	$	7,615	$	444,231
Special Mention		7		2,885		—		—		2,892
Substandard		—		2,797		114		—		2,911
Doubtful		—		—		—		—		—

	$	99,728	$	254,577	$	88,114	$	7,615	$	450,034


	December 31, 2020
			Commercial
Loan Class	Commercial		Real Estate		Residential		Installment		Total
	(In thousands)
Pass Grade	$	103,181	$	239,862	$	85,675	$	8,258	$	436,976
Special Mention		15		3,422		—		—		3,437
Substandard		81		2,883		114		—		3,078
Doubtful		—		—		—		—		—

	$	103,277	$	246,167	$	85,789	$	8,258	$	443,491

Schedule of loan portfolio aging analysis

The Company evaluates the loan risk grading system definitions and allowance for loan losses methodology on an ongoing basis. No significant changes were made to either during the past year to date period.

Loan Portfolio Aging Analysis

As of March 31, 2021


	30-59 Days		60‑89 Days		Greater
	Past Due		Past Due		Than 90				Total Past
	and		and		Days and		Non		Due and				Total Loans
	Accruing		Accruing		Accruing		Accrual		Non Accrual		Current		Receivable
	(In thousands)
Commercial	$	124	$	—	$	—	$	—	$	124	$	99,604	$	99,728
Commercial real estate		—		—		—		2,586		2,586		251,991		254,577
Residential		—		74		—		377		451		87,663		88,114
Installment		—		—		—		19		19		7,596		7,615
Total	$	124	$	74	$	—	$	2,982	$	3,180	$	446,854	$	450,034

Loan Portfolio Aging Analysis

As of December 31, 2020


	30‑59 Days		60‑89 Days		Greater
	Past Due		Past Due		Than 90				Total Past
	and		and		Days and		Non		Due and				Total Loans
	Accruing		Accruing		Accruing		Accrual		Non Accrual		Current		Receivable
	(In thousands)
Commercial	$	—	$	—	$	—	$	83	$	83	$	103,194	$	103,277
Commercial real estate		—		—		—		98		98		246,069		246,167
Residential		120		59		—		445		624		85,165		85,789
Installment		7		20		—		—		27		8,231		8,258
Total	$	127	$	79	$	—	$	626	$	832	$	442,659	$	443,491

Schedule of impaired loans

Impaired Loans


							Three Months Ended
		As of March 31, 2021					March 31, 2021
			Unpaid				Average		Interest
	Recorded		Principal		Specific		Investment in		Income
	Balance		Balance		Allowance		Impaired Loans		Recognized
	(In thousands)
Loans without a specific valuation allowance:
Commercial	$	—	$	—	$	—	$	—	$	—
Commercial real estate		105		105		—		112		—
Residential		114		114		—		118		—
		219		219		—		230		—
Loans with a specific valuation allowance:
Commercial		—		—		—		—		—
Commercial real estate		2,489		2,489		85		2,489		—
Residential		—		—		—		—		—
		2,489		2,489		85		2,489		—
Total:
Commercial	$	—	$	—	$	—	$	—	$	—
Commercial real estate	$	2,594	$	2,594	$	85	$	2,601	$	—
Residential	$	114	$	114	$	—	$	118	$	—

Impaired Loans


							Three Months Ended
		As of December 31, 2020					March 31, 2020
			Unpaid				Average		Interest
	Recorded		Principal		Specific		Investment in		Income
	Balance		Balance		Allowance		Impaired Loans		Recognized
	(In thousands)
Loans without a specific valuation allowance:
Commercial	$	80	$	80	$	—	$	101	$	7
Commercial real estate		110		196		—		761		—
Residential		114		121		—		590		2
Installment		—		14		—		—		—
		304		411		—		1,452		9
Loans with a specific valuation allowance:
Commercial		—		—		—		42		1
Commercial real estate		72	$	72		1		—		—
Residential		—		—		—		—		––
		72		72		1		42		1
Total:
Commercial	$	80	$	80	$	—	$	143	$	8
Commercial real estate	$	182		268	$	1	$	761	$	—
Residential	$	114		121	$	—	$	590	$	2
Installment	$	—		14	$	—	$	—	$	—

Schedule of troubled debt restructurings on financing receivables


	Three Months ended March 31, 2021
		Pre- Modification		Post-Modification
		Outstanding		Outstanding
	Number of	Recorded		Recorded
	Contracts	Investment		Investment
	(In thousands)
Commercial	1	$	86	$	67
Commercial real estate	—		—		—
Residential	—		—		—
Installment	—		—		—


	Three Months ended March 31, 2021
	Interest						Total
	Only		Term		Combination		Modification
	(In thousands)
Commercial	$	—	$	67	$	—	$	67
Commercial real estate		—		—		—		—
Residential		—		—		—		—
Consumer		—		—		—		—


	Three Months ended March 31, 2020
		Pre- Modification		Post-Modification
		Outstanding		Outstanding
	Number of	Recorded		Recorded
	Contracts	Investment		Investment
	(In thousands)
Commercial	2	$	83	$	83
Commercial real estate	—		—		—
Residential	—		—		—
Installment	—		—		—


	Three Months Ended March 31, 2020
	Interest						Total
	Only		Term		Combination		Modification
	(In thousands)
Commercial	$	—	$	83	$	—	$	83
Commercial real estate		—		—		—		—
Residential		—		—		—		—
Consumer		—		—		—		—