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Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of Derivative Instruments
The following table presents the notional amounts and fair values of derivative instruments in the Consolidated Balance Sheets:
(Dollars in thousands)December 31, 2024December 31, 2023
Fair ValueFair Value
Notional AmountsDerivative AssetsDerivative LiabilitiesNotional AmountsDerivative AssetsDerivative Liabilities
Derivatives Designated as Cash Flow Hedging Instruments:
Interest rate risk management contracts:
Interest rate swaps (1)
$120,000 $1,529 $229 $120,000 $802 $1,119 
Interest rate collar50,000 — 30 — — — 
Derivatives Designated as Fair Value Hedging Instruments:
Interest rate risk management contracts:
Interest rate swaps100,000 1,477 — — — — 
Derivatives not Designated as Hedging Instruments:
Loan related derivative contracts:
Interest rate contracts with customers886,912 2,468 51,372 938,872 6,594 52,102 
Mirror interest rate contracts with counterparties886,912 51,176 2,529 938,872 51,859 6,757 
Risk participation agreements343,935 29 — 321,055 66 1 
Mortgage loan commitments:
Interest rate lock commitments20,238 248 — 20,980 504 1 
Forward sale commitments52,100 163 291 50,117 18 711 
Gross amounts57,090 54,451 59,843 60,691 
Less: amounts offset (2)
2,788 2,788 7,877 7,877 
Derivative balances, net of offset54,302 51,663 51,966 52,814 
Less: collateral pledged (3)
— — — — 
Net amounts$54,302 $51,663 $51,966 $52,814 
(1)The fair value of derivative assets includes accrued interest receivable of $120 thousand and $239 thousand, respectively, at December 31, 2024 and 2023. There was no accrued interest payable included in the fair value of derivative liabilities at December 31, 2024 and December 31, 2023.
(2)Interest rate risk management contracts and loan related derivative contracts with counterparties are subject to master netting arrangements.
(3)Collateral contractually required to be pledged to derivative counterparties is in the form of cash. Washington Trust may need to post additional collateral in the future in proportion to potential increases in unrealized loss positions.
The following table presents the balance sheet location, carrying value, and cumulative basis adjustment of the hedged item associated with fair value hedges:
(Dollars in thousands)
December 31, 2024December 31, 2023
Balance Sheet Location
Carrying Value of Hedged Item (1)
Cumulative Basis AdjustmentCarrying Value of Hedged ItemCumulative Basis Adjustment
Residential real estate loans$98,519 ($1,481)$— $— 
(1)Represents the carrying value of the hedged item associated with fair value hedges on a closed-pool of fixed-rate residential real estate loans that are expected to be outstanding for the designated hedged periods. The amortized cost balance of the closed-pool of residential real estate loans used in the fair value hedges was $733.2 million at December 31, 2024.
Derivative Instruments Effect in Statements of Income and Changes in Shareholders' Equity
The following table presents the effect of derivative instruments in the Consolidated Statements of Changes in Shareholders’ Equity:
(Dollars in thousands)Amounts Recognized in Other Comprehensive Income (Loss), Net of Tax
Years ended December 31, 202420232022
Derivatives Designated as Cash Flow Hedging Instruments:
Interest rate risk management contracts:
Interest rate swaps
$7,703 $7,026 ($18,632)
Interest rate collar(22)— — 
Total$7,681 $7,026 ($18,632)

The following table presents the effect of derivative instruments in the Consolidated Statements of Income (Loss):
(Dollars in thousands)Amount of Gain (Loss)
Recognized in the Consolidated Statements of Income (Loss)
Years ended December 31, Statement of Income Location202420232022
Derivatives Designated as Cash Flow Hedging Instruments:
Interest rate risk management contracts:
Interest rate swapsInterest income: Interest and fees on loans($8,605)($9,228)($2,758)
Interest rate swaps
Interest expense: FHLB advances
1,775 1,665 (70)
Derivatives Designated as Fair Value Hedging Instruments:
Interest rate risk management contracts:
Interest rate swapsInterest income: Interest and fees on loans1,477 — — 
Hedged itemInterest income: Interest and fees on loans(1,481)— — 
Derivatives not Designated as Hedging Instruments:
Loan related derivative contracts:
Interest rate contracts with customersLoan related derivative income(28,561)(1,408)(92,730)
Mirror interest rate contracts with counterpartiesLoan related derivative income28,963 3,211 94,759 
Risk participation agreements
Loan related derivative income65 (413)727 
Mortgage loan commitments:
Interest rate lock commitments
Mortgage banking revenues(256)363 (1,116)
Forward sale commitments
Mortgage banking revenues514 61 4,530 
Total($6,109)($5,749)$3,342