Note 7 - Intangible Assets and Loan Servicing

12 Months Ended

Dec. 31, 2019

Transfers And Servicing Of Financial Assets [Abstract]

Intangible Assets and Loan Servicing

Note 7 - Intangible Assets and Loan Servicing

Loans serviced for others are not included in the accompanying consolidated balance sheets. The unpaid principal balances of mortgage loans serviced for others were $73,108,000 and $73,993,000 at December 31, 2019 and 2018, respectively.

The following table reflects the activity of mortgage servicing rights for the periods indicated:

Year ended December 31,	2019			2018			2017
Balance at beginning of year	$	451		$	483		$	498
Mortgage servicing rights capitalized		61			33			67
Mortgage servicing rights amortized		(72	)		(66	)		(83	)
Fair market value adjustments		1			1			1
Balance at end of year	$	441		$	451		$	483

The balance of these mortgage servicing rights is included in other assets at December 31, 2019 and 2018 and the fair value of these rights was $551,000 and $604,000, respectively. The fair value of servicing rights was determined using discount rates ranging from 12.0% to 12.5 % for both 2019 and 2018.

The annual estimated amortization expense of intangible assets for each of the five succeeding fiscal years is as follows:

2020	$	75
2021		63
2022		53
2023		45
2024		37