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Loans and Allowance for Credit Losses
 12 Months Ended
Dec. 31, 2023
Receivables [Abstract]  
Loans and Allowance for Credit Losses Loans and Allowance for Credit Losses
Loans
Major classifications within the Company’s held for investment loan portfolio at December 31, 2023 and 2022 were as follows:
(in thousands)20232022
Commercial, financial, and agricultural$226,275 $244,549 
Real estate construction − residential
58,347 32,095 
Real estate construction − commercial
130,296 137,235 
Real estate mortgage − residential
372,391 361,025 
Real estate mortgage − commercial
731,024 722,729 
Installment and other consumer20,814 23,619 
Total loans held for investment$1,539,147 $1,521,252 

The Bank grants real estate, commercial, installment, and other consumer loans to customers located within the communities surrounding Jefferson City, Columbia, Clinton, Warsaw, Springfield, and the greater Kansas City metropolitan area. As such, the Bank is susceptible to changes in the economic environment in these communities. The Bank does not have a concentration of credit in any one economic sector. Installment and other consumer loans consist primarily of the financing of vehicles. Accrued interest on loans totaled $7.2 million and $6.4 million at December 31, 2023 and December 31, 2022, respectively, and is included in the accrued interest receivable on the Company's consolidated balance sheets. The total amount of accrued interest is excluded from the amortized cost basis of loans presented above. Further, the Company has elected not to measure an allowance for credit losses for accrued interest receivable. At December 31, 2023, $708.3 million of loans were pledged to the FHLB as collateral for borrowings and letters of credit.
The following is a summary of loans to directors and executive officers or to entities in which such individuals had a beneficial interest of the Company:
(in thousands)
Balance at December 31, 2022
$9,415 
New loans4,373 
Amounts collected(4,191)
Balance at December 31, 2023
$9,597 
Such loans were made in the normal course of business on substantially the same terms, including interest rates and collateral requirements, as those prevailing at the same time for comparable transactions with other persons, and did not involve more than the normal risk of collectability or present unfavorable features.
Allowance for Credit Losses
The allowance for credit losses is measured using a lifetime expected loss model that incorporates relevant information about past events, including historical credit loss experience on loans with similar risk characteristics, current conditions, and reasonable and supportable forecasts that affect the collectability of the remaining cash flows over the contractual term of the loans. The allowance for credit losses is measured on a collective (pool) basis. Loans are aggregated into pools based on similar risk characteristics including borrower type, collateral type and expected credit loss patterns. Loans that do not share similar risk characteristics, primarily large loans on non-accrual status, are evaluated on an individual basis. The allowance for credit losses is a valuation account that is deducted from loans amortized cost basis to present the net amount expected to be collected on the instrument. Expected recoveries are included in the allowance and do not exceed the aggregate of amounts previously charged-off and expected to be charged-off. Loans are charged off against the allowance for credit losses when management believes the balance has become uncollectible.
Allowance for Credit Losses on Off-Balance-Sheet Credit Exposures
The Company maintains a separate allowance for credit losses for off-balance-sheet credit exposures, including unfunded loan commitments, unless the associated obligation is unconditionally cancellable by the Company. This allowance is included in other liabilities on the consolidated balance sheets with associated expense recognized as a component of the provision for credit losses on the consolidated statements of income. The liability for unfunded lending commitments utilizes the same model as the allowance for credit losses on loans, however, the liability for unfunded lending commitments incorporates an assumption for the portion of unfunded commitments that are expected to be funded.
Sensitivity in the Allowance for Credit Loss Model
The allowance for credit losses is an estimate that requires significant judgment including projections of the macroeconomic environment. The forecasted macroeconomic environment continuously changes, which can cause fluctuations in estimated expected losses.
On January 1, 2023, the Company's adoption of the CECL methodology resulted in an increase to the allowance for credit losses of $5.8 million and a liability for unfunded commitments totaling $1.3 million.
The following table illustrates the changes in the allowance for credit losses by portfolio segment:
(in thousands)Commercial,
Financial, &
Agricultural		 Real Estate
Construction -
Residential		 Real Estate
Construction -
Commercial		 Real Estate
Mortgage -
Residential		 Real Estate
Mortgage -
Commercial		 Installment
and other
Consumer		 Un-
allocated		 Total
Allowance for Credit Losses on Loans
Balance at, December 31, 2020$5,121 $213 $475 $2,679 $9,354 $264 $7 $18,113 
Charge-offs(194)— — (22)(43)(229)— (488)
Recoveries221 13 475 190 3 76 — 978 
Provision for (release of) credit losses(2,431)(89)(362)(365)1,348 145 54 (1,700)
Balance at, December 31, 2021$2,717 $137 $588 $2,482 $10,662 $256 $61 $16,903 
Charge-offs(135)— — — (181)(321)— (637)
Recoveries56 — 22 45 11 88 — 222 
Provision for (release of) credit losses97 20 265 802 (2,492)303 105 (900)
Balance at, December 31, 2022$2,735 $157 $875 $3,329 $8,000 $326 $166 $15,588 
Adoption of ASU 2016-13 (1)(649)291 2,894 1,890 1,613 (80)(166)5,793 
Balance at January 1, 20232,086 448 3,769 5,219 9,613 246 — 21,381 
Charge-offs(161)— — (88)(32)(347)— (628)
Recoveries192 — 22 23 4 85 — 326 
Provision for (release of) credit losses1,091 595 (518)110 952 248 187 2,665 
Balance at, December 31, 2023$3,208 $1,043 $3,273 $5,264 $10,537 $232 $187 $23,744 
Liability for Unfunded Commitments
Balance at, December 31, 2022$— $— $— $— $— $— $— $— 
Adoption of ASU 2016-13 (1)104 341 569 107 150 1 — 1,272 
Balance at January 1, 2023104 341 569 107 150 1 — 1,272 
Provision for (release of) credit losses on unfunded commitments93 (68)(324)(4)(40)— 18 (325)
Balance at, December 31, 2023$197 $273 $245 $103 $110 $1 $18 $947 
Total allowance for credit losses on loans and liability for unfunded commitments$3,405 $1,316 $3,518 $5,367 $10,647 $233 $205 $24,691 
(1) Beginning January 1, 2023, calculation is based on CECL methodology. Prior to January 1, 2023, calculation was based on probable incurred loss methodology.
Collateral-Dependent Loans
Collateral-dependent loans are loans for which the repayment is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. Under the CECL methodology, for collateral-dependent loans, the Company has adopted the practical expedient to measure the allowance on the fair value of collateral.
The allowance is calculated on an individual loan basis based on the shortfall between the fair value of the loan’s collateral, which is adjusted for liquidation costs/discounts, and the loan’s amortized cost. If the fair value of the collateral exceeds the loan’s amortized cost, no allowance is necessary. The Company’s policy is to obtain appraisals on any significant pieces of collateral. Higher discounts are applied in determining fair value for real estate collateral in industries that are undergoing significant stress, or for properties that are specialized use or have limited marketability.
The amortized cost of collateral-dependent loans by class as of December 31, 2023 was as follows:
Collateral Type
(in thousands)Real EstateOtherAllowance Allocated
December 31, 2023
Commercial, financial, and agricultural$— $2,221 $1,300 
Real estate construction − residential432 — 164 
Real estate mortgage − residential$46 $— $19 
Real estate mortgage − commercial2,369 — — 
Total$2,847 $2,221 $1,483 
Impaired Loans
The following impaired loans disclosures were superseded by ASU 2016-13.
The following table illustrates the allowance for loan losses and recorded investment by portfolio segment based on the impairment method:
(in thousands)Commercial,
Financial, and
Agricultural		Real Estate
Construction -
Residential		Real Estate
Construction -
Commercial		Real Estate
Mortgage -
Residential		Real Estate
Mortgage -
Commercial		Installment
and other
Consumer		Un-
allocated		Total
December 31, 2022
Allowance for loan losses:
Individually evaluated for impairment$36 $— $11 $148 $62 $1 $— $258 
Collectively evaluated for impairment2,6991578643,1817,93832516615,330 
Total$2,735 $157 $875 $3,329 $8,000 $326 $166 $15,588 
Loans outstanding:
Individually evaluated for impairment$295 $— $87 $1,863 $18,110 $6 $— $20,361 
Collectively evaluated for impairment244,25432,095137,148359,162704,61923,613—1,500,891 
Total$244,549 $32,095 $137,235 $361,025 $722,729 $23,619 $— $1,521,252 
Loans evaluated under ASC 310-10-35 include loans which are individually evaluated for impairment. All other loans are collectively evaluated for impairment under ASC 450-20. Impaired loans individually evaluated for impairment totaled $20.4 million at December 31, 2022 and were comprised of loans on non-accrual status and loans which have been classified as troubled debt restructurings ("TDRs").
The net carrying value of impaired loans is based on the fair values of collateral obtained through independent appraisals, internal evaluations, or by discounting the total expected future cash flows. At December 31, 2022, $17.7 million of impaired loans were evaluated based on the fair value less estimated selling costs of the loans' collateral.
The categories of impaired loans at December 31, 2022 were as follows:
(in thousands) 2022
Non-accrual loans$18,700 
Performing TDRs1,661 
Total impaired loans$20,361 
The following tables provide additional information about impaired loans at December 31, 2022, segregated between loans for which an allowance has been provided and loans for which no allowance has been provided.
(in thousands)Recorded
Investment		Unpaid
Principal
Balance		Specific
Reserves		Average Recorded Investment
December 31, 2022
With no related allowance recorded:
Real estate mortgage − residential$— $— $— $1 
Real estate mortgage − commercial17,664 18,975 — 16,230
Total$17,664 $18,975 $— $16,231 
With an allowance recorded:
Commercial, financial and agricultural$295 $330 $36 $319 
Real estate construction − commercial87 127 11 93
Real estate mortgage − residential1,863 2,080 148 2,189
Real estate mortgage − commercial446 535 62 428
Installment and other consumer6 6 1 90
Total$2,697 $3,078 $258 $3,119 
Total impaired loans$20,361 $22,053 $258 $19,350 
Credit Quality
The Company categorizes loans into risk categories based upon an internal rating system reflecting management’s risk assessment.
•Pass - loans that are well protected by the current net worth and paying capacity of the obligor (or guarantors, if any) or by the fair value, less cost to acquire and sell in a timely manner, of any underlying collateral.
•Watch - loans that have one or more weaknesses identified that may result in the borrower being unable to meet repayment terms or when the Company’s credit position could deteriorate at some future date.
•Substandard - loans that are inadequately protected by the current net worth and paying capacity of the obligor or by the collateral pledged, if any. Loans so classified may have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. Such loans are characterized by the distinct possibility that the Company may sustain some loss if the deficiencies are not corrected.
•Non-accrual - loans that are delinquent for 90 days or more and the ultimate collectability of interest or principal is no longer probable. (The majority of the Company's non-accrual loans have a substandard risk grade)
•Doubtful - loans that have all the weaknesses inherent in loans classified as Substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable on the basis of currently known facts, conditions, and values.
In the following tables, consumer loans are generally assigned a risk grade similar to the classifications described above; however, upon reaching 90 days and 120 days past due, they are generally downgraded to non-accrual status, in accordance with the Federal Financial Institutions Examination Counsel's Retail Credit Classification Policy.
The following table presents the recorded investment by risk categories at December 31, 2023:
Term Loans
Amortized Cost Basis by Origination Year and Risk Grades
(in thousands)20232022202120202019PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted to Term Loans Amortized Cost BasisTotal
December 31, 2023
Commercial, Financial, & Agricultural
Pass$40,103 $43,082 $32,812 $30,965 $4,774 $5,022 $55,379 $213 $212,350 
Watch1 2,505 32 586 3 282 2,502 — 5,911 
Substandard371 3,758 19 16 — — 323 1,299 5,786 
Non-accrual loans159 96 317 — 7 — 1,649 — 2,228 
Total$40,634 $49,441 $33,180 $31,567 $4,784 $5,304 $59,853 $1,512 $226,275 
Gross YTD charge-offs— 1 — — — 160 — — 161 
Real Estate Construction - Residential
Pass$39,847 $17,259 $634 $175 $— $— $— $— $57,915 
Watch— — — — — — — — — 
Substandard— — — — — — — — — 
Non-accrual loans432 — — — — — — — 432 
Total$40,279 $17,259 $634 $175 $— $— $— $— $58,347 
Gross YTD charge-offs— — — — — — — — — 
Real Estate Construction - Commercial
Pass$49,041 $53,058 $24,371 $1,040 $31 $735 $187 $— $128,463 
Watch934 17 — — — — 103 — 1,054 
Substandard710 — — — — — — — 710 
Non-accrual loans— — — — — 69 — — 69 
Total$50,685 $53,075 $24,371 $1,040 $31 $804 $290 $— $130,296 
Gross YTD charge-offs— — — — — — — — — 
Real Estate Mortgage - Residential
Pass$65,472 $121,430 $62,998 $47,884 $7,242 $19,193 $44,574 $202 $368,995 
Watch179 251 411 293 71 1,310 23 — 2,538 
Substandard16 — — 129 — 126 — — 271 
Non-accrual loans— 23 93 135 — 246 90 — 587 
Total$65,667 $121,704 $63,502 $48,441 $7,313 $20,875 $44,687 $202 $372,391 
Gross YTD charge-offs— — — 75 — — 13 — 88 
Real Estate Mortgage - Commercial
Pass$99,081 $208,699 $204,789 $84,363 $27,085 $39,941 $16,059 $659 $680,676 
Watch15,759 10,978 2,737 91 345 897 70 — 30,877 
Substandard— 215 15,944 — 45 289 — — 16,493 
Non-accrual loans1,817 54 712 212 83 — 100 — 2,978 
Total$116,657 $219,946 $224,182 $84,666 $27,558 $41,127 $16,229 $659 $731,024 
Gross YTD charge-offs— — — — — 32 — — 32 
Installment and other Consumer
Pass$7,430 $6,497 $2,720 $1,287 $987 $1,803 $90 $— $20,814 
Watch— — — — — — — — — 
Substandard— — — — — — — — — 
Non-accrual loans— — — — — — — — — 
Total$7,430 $6,497 $2,720 $1,287 $987 $1,803 $90 $— $20,814 
Gross YTD charge-offs84 23 7 — — 232 1 — 347 
Total Portfolio
Pass$300,974 $450,025 $328,324 $165,714 $40,119 $66,694 $116,289 $1,074 $1,469,213 
Watch16,873 13,751 3,180 970 419 2,489 2,698 — 40,380 
Substandard1,097 3,973 15,963 145 45 415 323 1,299 23,260 
Non-accrual loans2,408 173 1,122 347 90 315 1,839 — 6,294 
Total$321,352 $467,922 $348,589 $167,176 $40,673 $69,913 $121,149 $2,373 $1,539,147 
Total Gross YTD charge-offs$84 $24 $7 $75 $— $424 $14 $— $628 
The following table presents the recorded investment by risk categories at December 31, 2022:
Term Loans
Amortized Cost Basis by Origination Year and Risk Grades
(in thousands)20222021202020192018PriorRevolving Loans Amortized Cost BasisRevolving Loans Converted to Term Loans Amortized Cost BasisTotal
December 31, 2022
Commercial, Financial, & Agricultural
Pass$73,654 $40,681 $37,994 $6,479 $4,050 $2,718 $63,869 $504 $229,949 
Watch1,228 296 756 150 48 251 3,155 1,527 7,411 
Substandard5,014 58 24 — 152 — 1,820 — 7,068 
Non-accrual loans— — — 26 95 — — — 121 
Total$79,896 $41,035 $38,774 $6,655 $4,345 $2,969 $68,844 $2,031 $244,549 
Gross YTD charge-offs135 — — — — — — — 135 
Real Estate Construction - Residential
Pass$29,289 $1,248 $769 $449 $— $— $340 $— $32,095 
Watch— — — — — — — — — 
Substandard— — — — — — — — — 
Non-accrual loans— — — — — — — — — 
Total$29,289 $1,248 $769 $449 $— $— $340 $— $32,095 
Gross YTD charge-offs— — — — — — — — — 
Real Estate Construction - Commercial
Pass$60,318 $67,977 $2,249 $78 $676 $656 $1,831 $— $133,785 
Watch2,239 321 — — — 14 103 — 2,677 
Substandard686 — — — — — — — 686 
Non-accrual loans— — — — — 87 — — 87 
Total$63,243 $68,298 $2,249 $78 $676 $757 $1,934 $— $137,235 
Gross YTD charge-offs— — — — — — — — — 
Real Estate Mortgage - Residential
Pass$147,130 $68,380 $53,322 $8,013 $4,981 $25,590 $45,182 $523 $353,121 
Watch1,226 429 1,511 145 215 2,015 — — 5,541 
Substandard— 136 820 — 10 712 — — 1,678 
Non-accrual loans59 — 144 — — 386 96 — 685 
Total$148,415 $68,945 $55,797 $8,158 $5,206 $28,703 $45,278 $523 $361,025 
Gross YTD charge-offs— — — — — — — — — 
Real Estate Mortgage - Commercial
Pass$248,529 $203,033 $99,989 $31,341 $21,354 $38,317 $10,868 $121 $653,552 
Watch14,049 14,029 16,863 842 897 811 149 401 48,041 
Substandard260 2,673 — 48 — 306 — 48 3,335 
Non-accrual loans4,621 13,180 — — — — — — 17,801 
Total$267,459 $232,915 $116,852 $32,231 $22,251 $39,434 $11,017 $570 $722,729 
Gross YTD charge-offs101 — — — — 80 — — 181 
Installment and other Consumer
Pass$11,170 $5,183 $2,891 $2,016 $459 $88 $1,806 $— $23,613 
Watch— — — — — — — — — 
Substandard— — — — — — — — — 
Non-accrual loans2 3 — 1 — — — — 6 
Total$11,172 $5,186 $2,891 $2,017 $459 $88 $1,806 $— $23,619 
Gross YTD charge-offs268 10 5 21 1 — 16 — 321 
Total Portfolio
Pass$570,090 $386,502 $197,214 $48,376 $31,520 $67,369 $123,896 $1,148 $1,426,115 
Watch18,742 15,075 19,130 1,137 1,160 3,091 3,407 1,928 63,670 
Substandard5,960 2,867 844 48 162 1,018 1,820 48 12,767 
Non-accrual loans4,682 13,183 144 27 95 473 96 — 18,700 
Total$599,474 $417,627 $217,332 $49,588 $32,937 $71,951 $129,219 $3,124 $1,521,252 
Total Gross YTD charge-offs$504 $10 $5 $21 $1 $80 $16 $— $637 
Delinquent and Non-Accrual Loans
The delinquency status of loans is determined based on the contractual terms of the notes. Borrowers are generally classified as delinquent once payments become 30 days or more past due. The Company's policy is to discontinue the accrual of interest income on any loan when, in the opinion of management, the ultimate collectability of interest or principal is no longer probable. In general, loans are placed on non-accrual status when they become 90 days or more past due. However, management considers many factors before placing a loan on non-accrual status, including the delinquency status of the loan, the overall financial condition of the borrower, the progress of management's collection efforts and the value of the underlying collateral. Subsequent interest payments received on non-accrual loans are applied to principal if any doubt exists as to the collectability of such principal; otherwise, such receipts are recorded as interest income on a cash basis. Non-accrual loans are returned to accrual status when, in the opinion of management, the financial condition of the borrower indicates that timely collectability of interest and principal is probable and the borrower demonstrates the ability to pay under the terms of the note through a sustained period of repayment performance, which is generally six months.
The following tables present the recorded investment in non-accrual loans and loans past due over 90 days still on accrual by class of loans as of December 31, 2023 and 2022.
(in thousands)Non-accrual with no AllowanceNon-accrual with AllowanceTotal Non-accrual (1)90 Days Past Due And Still AccruingTotal Non-performing Loans
December 31, 2023
Commercial, Financial, and Agricultural$— $2,228 $2,228 $— $2,228 
Real estate construction − residential— 432 432 — 432 
Real estate construction − commercial— 69 69 — 69 
Real estate mortgage − residential— 587 587 115 702 
Real estate mortgage − commercial2,368 610 2,978 — 2,978 
Installment and Other Consumer— — — 4 4 
Total$2,368 $3,926 $6,294 $119 $6,413 
December 31, 2022
Commercial, Financial, and Agricultural$— $121 $121 $— $121 
Real estate construction − commercial— 87 87 —87 
Real estate mortgage − residential— 685 685 —685 
Real estate mortgage − commercial17,664 137 17,801 —17,801 
Installment and Other Consumer— 6 6 1 7 
Total$17,664 $1,036 $18,700 $1 $18,701 
(1) Includes $0.2 million and $0.3 million of restructured loans at December 31, 2023 and 2022, respectively.
No material amount of interest income was recognized on non-accrual loans during the year ended December 31, 2023.
The following table provides aging information for the Company's past due and non-accrual loans at December 31, 2023 and 2022.
(in thousands)Current or
Less Than
30 Days
Past Due		30 - 89 Days
Past Due		90 Days
Past Due
And Still
Accruing		Non-AccrualTotal
December 31, 2023
Commercial, Financial, and Agricultural$223,845 $202 $— $2,228 $226,275 
Real estate construction − residential57,568 347 — 432 58,347 
Real estate construction − commercial130,227 — — 69 130,296 
Real estate mortgage − residential368,956 2,733 115 587 372,391 
Real estate mortgage − commercial728,029 17 — 2,978 731,024 
Installment and Other Consumer20,607 203 4 — 20,814 
Total$1,529,232 $3,502 $119 $6,294 $1,539,147 
December 31, 2022
Commercial, Financial, and Agricultural$244,392 $36 $— $121 $244,549 
Real estate construction − residential32,095 — — — 32,095 
Real estate construction − commercial137,148 — — 87 137,235 
Real estate mortgage − residential359,672 668 — 685 361,025 
Real estate mortgage − commercial704,925 3 — 17,801 722,729 
Installment and Other Consumer23,506 106 1 6 23,619 
Total$1,501,738 $813 $1 $18,700 $1,521,252 
Loan Modifications for Borrowers Experiencing Financial Difficulty Subsequent to the Adoption of ASU 2022-02
In the normal course of business, the Company may execute loan modifications with borrowers. These modifications are analyzed to determine whether the modification is considered concessionary, long-term and made to a borrower experiencing financial difficulty. The Company’s modifications generally include interest rate adjustments, principal reductions, and amortization and maturity date extensions. If a loan modification is determined to be made to a borrower experiencing financial difficulty, the loan is considered collateral-dependent and evaluated as part of the allowance for credit losses as described above in the Allowance for Credit Losses section of this note.

For the year ended December 31, 2023, the Company did not modify any loans made to borrowers experiencing financial difficulty. The Company monitors loan payments on an on-going basis to determine if a loan is considered to have a payment default. Determination of payment default involves analyzing the economic conditions that exist for each customer and their ability to generate positive cash flows during the loan term.
The following table presents information regarding modifications to borrowers experiencing financial difficulty as of December 31, 2023:
December 31, 2023
(Dollars in thousands)Number of contractsRecorded Investment% to Total Loans
Commercial, financial and agricultural2$1600.01%
Real estate mortgage − residential
69800.06%
Real estate mortgage − commercial
22700.02%
Total10 $1,410 0.09 %
Troubled Debt Restructurings (TDRs) Prior to Adoption of ASU 2022-02
Prior to the adoption of ASU 2022-02, the Company accounted for a modification to the contractual terms of a loan that resulted in granting a concession to a borrower experiencing financial difficulties as a TDR. See “Note 1 Summary of Significant Accounting Policies” in the Company's Annual Report on Form 10-K for the year ended December 31, 2022 for more information on our TDR policy, and “Note 1, Summary of Significant Accounting Policies” in this report for more information on the adoption of ASU 2022-02.
At December 31, 2022, loans classified as TDRs totaled $1.9 million, of which $0.3 million were classified as non-performing TDRs and $1.7 million were classified as performing TDRs. Both performing and non-performing TDRs are considered impaired loans. When an individual loan is determined to be a TDR, the amount of impairment is based upon the present value of expected future cash flows discounted at the loan’s effective interest rate or the fair value of the underlying collateral less applicable selling costs. Accordingly, specific reserves of $136,000 related to TDRs were allocated to the allowance for loan losses at December 31, 2022.
For the year ended December 31, 2022, the Company had two new loans meeting the TDR criteria and there were no TDRs for which there was a payment default within the 12 months following the restructure date.
Loans Held For Sale
The Company designates certain long-term fixed rate personal real estate loans as held for sale. These loans are initially measured at fair value under the fair value option election with subsequent changes in fair value recognized in mortgage banking income. The loans are primarily sold to Freddie Mac, Fannie Mae, PennyMac, and various other secondary market investors. At December 31, 2023, the carrying amount of these loans was $3.9 million compared to $0.6 million at December 31, 2022.