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Noninterest Income
 12 Months Ended
Dec. 31, 2020
Revenue from Contract with Customer [Abstract]  
NONINTEREST INCOME
4. NONINTEREST INCOME
Credit/debit card and ATM income
The following table presents the components of credit/debit card and ATM income:
Twelve Months Ended December 31,
(Dollars in thousands)202020192018
Bailment fees$14,615 $26,256 $27,767 
Interchange fees17,747 22,975 14,982 
Other card and ATM fees2,652 1,152 1,088 
Total credit/debit card and ATM income$35,014 $50,383 $43,837 
Credit/debit card and ATM income is composed of bailment fees, interchange fees, and other card and ATM fees are earned from bailment arrangements with customers. Bailment arrangements are legal relationships in which property is delivered to another party without a transfer of ownership. The party who transferred the property (the bailor) retains ownership interest of the property. In the event that the bailee files for bankruptcy protection, the property is not included in the bailee's assets. The bailee pays an agreed-upon fee for the use of the bailor's property in exchange for the bailor allowing use of the assets at the bailee's site. Bailment fees are earned from cash that is made available for customers' use at an offsite location, such as cash located in an ATM at a customer's place of business. These fees are typically indexed to a market interest rate. This revenue stream generates fee income through monthly billing for bailment services. Bailment fees decreased in 2020 as compared to 2019 due to the lower interest rate environment.
Credit/debit card and ATM income also includes interchange fees. Interchange fees are paid by a merchant's bank to a bank that issued a debit or credit card used in a transaction to compensate the issuing bank for the value and benefit the merchant receives from accepting electronic payments. These revenue streams generate fee income at the time a transaction occurs and are recorded as revenue at the time of the transaction. Interchange fees decreased in 2020 as compared to 2019 as a result of the Durbin Amendment impacting the Company beginning on July 1, 2020.
Investment management and fiduciary income
The following table presents the components of investment management and fiduciary income:
Twelve Months Ended December 31,
(Dollars in thousands)202020192018
Trust fees$33,288 $27,383 $23,386 
Wealth management and advisory fees15,691 15,067 16,216 
Total investment management and fiduciary income$48,979 $42,450 $39,602 
Investment management and fiduciary income is composed of trust, wealth management and advisory fees. Trust fees are based on revenue earned from custody, escrow and trustee services on structured finance transactions; indenture trustee, administrative agent and collateral agent services to institutions and corporations; commercial domicile and independent director services; and investment and trustee services to families and individuals across the U.S. Most fees are flat fees, except for a portion of personal and corporate trustee fees where the Company earns a percentage on the assets under management (AUM). This revenue stream primarily generates fee income through monthly, quarterly and annual billings for services provided. Trust fees increased in 2020 as compared to 2019 primarily due to increased institutional trust activity.
Wealth management and advisory fees consists of fees from West Capital, Cypress, Powdermill® and WSFS Wealth Investments. Wealth management and advisory fees are based on revenue earned from services including asset management, financial planning, family office, and brokerage. The fees are based on the market value of assets, are assessed as a flat fee, or are brokerage commissions. This revenue stream primarily generates fee income through quarterly and annual billing for the services.
Deposit service charges
The following table presents the components of deposit service charges:
Twelve Months Ended December 31,
(Dollars in thousands)202020192018
Service fees$12,725 $12,420 $10,526 
Return and overdraft fees6,819 9,911 7,676 
Other deposit service fees455 641 569 
Total deposit service charges$19,999 $22,972 $18,771 
Deposit service charges includes revenue earned from core deposit products, certificates of deposit, and brokered deposits. The Company generates fee revenues from deposit service charges primarily through service charges and overdraft fees. Service charges consist primarily of monthly account maintenance fees, cash management fees, foreign ATM fees and other maintenance fees. All of these revenue streams generate fee income through service charges for monthly account maintenance and similar items, transfer fees, late fees, overlimit fees, and stop payment fees. Revenue is recorded at the time of the transaction. Return and overdraft fees declined in 2020 due to elevated deposits from customers who received PPP loans, government stimulus impact and lower customer spending.
Other income
The following table presents the components of other income:
Twelve Months Ended December 31,
(Dollars in thousands)202020192018
Managed service fees$15,448 $14,152 $12,113 
Currency preparation3,854 3,195 3,575 
ATM loss protection2,401 2,551 2,394 
Miscellaneous products and services7,442 10,021 8,773 
Total other income$29,145 $29,919 $26,855 
Other income consists of managed service fees, which are primarily courier fees related to cash management, currency preparation, ATM loss protection and other miscellaneous products and services offered by the Bank. These fees are primarily generated through monthly billings or at the time of the transaction. Miscellaneous products and services was higher in 2019, as compared to 2020 and 2018, primarily due to a non-recurring transfer of client accounts to a departing Wealth investment advisor in accordance with the buy-out provisions of the advisor's contract.
Arrangements with multiple performance obligations
The Company's contracts with customers may include multiple performance obligations. For such arrangements, the Company allocates revenue to each performance obligation based on its relative standalone selling price. The Company generally determines standalone selling prices based on the prices charged to customers.
Practical expedients and exemptions
The Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) contracts for which the Company recognizes revenue at the amount to which it has the right to invoice for services performed.
See Note 22 for further information about the disaggregation of noninterest income by segment.