FAIR VALUE (Tables)

9 Months Ended

Sep. 30, 2022

FAIR VALUE.

Schedule of changes in asset subject to fair value measurement by Level

							Fair
(dollars in thousands)	Level 1		Level 2		Level 3		Value
September 30, 2022
Recurring:
Securities available for sale
Collateralized mortgage obligations	$	—	$	16,187	$	—	$	16,187
Agency mortgage-backed securities		—		53,226		—		53,226
Municipal securities		—		30,854		—		30,854
Corporate securities		—		1,399		—		1,399
U.S. Government agency securities		—		36,535		—		36,535
U.S. Treasury securities		—		6,779		—		6,779
Interest rate swap		—		205		—		205
Non-recurring:
Maryland Financial Bank stock		—		—		—		—
Impaired loans		—		—		555		555
	$	—	$	145,185	$	555	$	145,740
December 31, 2021
Recurring:
Securities available for sale
Collateralized mortgage obligations	$	—	$	21,688	$	—	$	21,688
Agency mortgage-backed securities		—		56,189		—		56,189
Municipal securities		—		45,225		—		45,225
Corporate securities		—		1,474		—		1,474
U.S. Government agency securities		—		31,351		—		31,351
U.S. Treasury securities		—		—		—		—
Interest rate swap		—		(442)		—		(442)
Non-recurring:
Maryland Financial Bank stock		—		—		3		3
Impaired loans		—		—		317		317
	$	—	$	155,485	$	320	$	155,805

Schedule of estimated fair values of financial instruments

	September 30, 2022				December 31, 2021
(dollars in thousands)	Carrying		Fair		Carrying		Fair
	Amount		Value		Amount		Value
Financial assets:
Cash and due from banks	$	2,572	$	2,572	$	2,111	$	2,111
Interest-bearing deposits in other financial institutions		50,245		50,245		56,434		56,434
Federal funds sold		1,352		1,352		3,636		3,636
Investment securities available for sale		144,980		144,980		155,927		155,927
Investments in restricted stock		1,071		1,071		1,062		1,062
Ground rents		131		131		131		131
Loans, less allowance for credit losses		191,805		187,248		207,922		211,541
Accrued interest receivable		1,253		1,253		1,085		1,085
Cash value of life insurance		8,454		8,454		8,338		8,338
Financial liabilities:
Deposits		378,886		316,406		383,247		383,910
Long-term borrowings		—		—		10,000		9,888
Short-term borrowings		20,000		19,896		10,000		10,000
Accrued interest payable		60		60		11		11
Unrecognized financial instruments:
Commitments to extend credit		30,494		30,494		28,167		28,167
Standby letters of credit		45		45		55		55

Schedule of fair value hierarchy of financial instruments

(dollars in thousands)
	Carrying		Fair
September 30, 2022	Amount		Value		Level 1		Level 2		Level 3
Financial instruments - Assets
Cash and cash equivalents	$	54,169	$	54,169	$	54,169	$	—	$	—
Loans receivable, net		191,805		187,248		—		—		187,248
Cash value of life insurance		8,454		8,454		—		8,454		—
Financial instruments - Liabilities
Deposits		378,886		316,406		—		316,406		—
Long-term debt		—		—		—		—		—
Short-term debt		20,000		19,896		—		19,896		—