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Note 10 - Revenue Recognition
6 Months Ended
Jun. 30, 2020
Notes to Financial Statements  
Revenue from Contract with Customer [Text Block]
10.
Revenue Recognition
 
On
January 1, 2018,
the Corporation adopted ASU
2014
-
09
"Revenue from Contracts with Customers" (Topic
606
) and all subsequent ASUs that modified Topic
606.
Interest income, net securities gains (losses) and bank-owned life insurance are
not
included within the scope of Topic
606.
For the revenue streams in the scope of Topic
606,
service charges on deposits and electronic banking fees, there are
no
significant judgments related to the amount and timing of revenue recognition. All of the Corporation's revenue from contracts with customers is recognized within noninterest income.
 
Service charges on deposits:
The Corporation earns fees from its deposit customers for transaction-based, account maintenance and overdraft services. Transaction-based fees, which include services such stop payment charges, statement rendering and other fees, are recognized at the time the transaction is executed as that is the point in time the Corporation fulfills the customer's request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Corporation satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer's account balance.
 
Electronic banking fees:
The Corporation earns interchange and other ATM related fees from cardholder transactions conducted through the various payment networks. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided to the cardholder. The gross amount of these fees are processed through noninterest income. Other fees, such a transaction surcharges and card replacement fees are withdrawn from the customer's account balance at the time of service.
 
The following table presents the Corporation's sources of noninterest income for the
three
and
six
months ended
June 30, 2020
and
2019
.
 
(Dollar amounts in thousands)
 
For the three months ended June 30,
 
For the six months ended June 30,
   
2020
 
2019
 
2020
 
2019
Noninterest income
     
 
     
 
     
 
     
 
In-scope of Topic 606:
                               
Service charges on deposits
                               
Maintenance fees
  $
48
 
  $
42
 
  $
100
 
  $
82
 
Overdraft fees
   
180
 
   
412
 
   
508
 
   
850
 
Other fees
   
60
 
   
82
 
   
130
 
   
159
 
Electronic banking fees (1)
   
371
 
   
371
 
   
704
 
   
695
 
Noninterest income (in-scope of Topic 606)
   
659
 
   
907
 
   
1,442
 
   
1,786
 
Noninterest income (out-of-scope of Topic 606) (2)
   
719
 
   
224
 
   
961
 
   
402
 
Total noninterest income
  $
1,378
 
  $
1,131
 
  $
2,403
 
  $
2,188
 

 
(
1
)
Included in other noninterest income on the consolidated statement of income.
 
(
2
)
Noninterest income items that are out-of-scope include net realized gains (losses) on sales of securities, net gains (losses) on sales of loans, earnings on bank-owned life insurance and certain other noninterest income items.