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LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)
 6 Months Ended
Jun. 30, 2020
LOANS AND ALLOWANCE FOR LOAN LOSSES [Abstract]  
Portfolio Loans
Loans are comprised of the following:

  
June 30,
2020
    
December 31,
2019
  
             
Residential real estate
  
$
314,987
    
$
310,253
  
Commercial real estate:
                
Owner-occupied
    
53,580
      
55,825
  
Nonowner-occupied
    
151,780
      
131,398
  
   Construction
    
34,531
      
34,913
  
Commercial and industrial
    
142,972
      
100,023
  
Consumer:
                
Automobile
    
60,369
      
63,770
  
Home equity
    
20,125
      
22,882
  
Other
    
52,488
      
53,710
  
     
830,832
      
772,774
  
Less:  Allowance for loan losses
    
(7,981
)
    
(6,272
)
                 
Loans, net
  
$
822,851
    
$
766,502
  
Activity in Allowance for Loan Losses by Portfolio Segment
The following table presents the activity in the allowance for loan losses by portfolio segment for the three months ended June 30, 2020 and 2019:

June 30, 2020
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for loan losses:
                              
Beginning balance
  
$
2,002
    
$
3,028
    
$
2,045
    
$
1,654
    
$
8,729
  
Provision for loan losses
    
64
      
(343
)
    
(349
)
    
235
      
(393
)
Loans charged off
    
(52
)
    
—
      
(56
)
    
(390
)
    
(498
)
Recoveries
    
10
      
15
      
9
      
109
      
143
  
Total ending allowance balance
  
$
2,024
    
$
2,700
    
$
1,649
    
$
1,608
    
$
7,981
  

June 30, 2019
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for loan losses:
                              
Beginning balance
  
$
2,079
    
$
2,452
    
$
1,315
    
$
2,167
    
$
8,013
  
Provision for loan losses
    
(552
)
    
(260
)
    
(169
)
    
175
      
(806
)
Loans charged-off
    
(78
)
    
(438
)
    
(111
)
    
(536
)
    
(1,163
)
Recoveries
    
524
      
468
      
60
      
305
      
1,357
  
Total ending allowance balance
  
$
1,973
    
$
2,222
    
$
1,095
    
$
2,111
    
$
7,401
  

The following table presents the activity in the allowance for loan losses by portfolio segment for the six months ended June 30, 2020 and 2019:

June 30, 2020
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for loan losses:
                              
Beginning balance
  
$
1,250
    
$
1,928
    
$
1,447
    
$
1,647
    
$
6,272
  
Provision for loan losses
    
990
      
1,229
      
275
      
959
      
3,453
  
Loans charged off
    
(250
)
    
(516
)
    
(89
)
    
(1,279
)
    
(2,134
)
Recoveries
    
34
      
59
      
16
      
281
      
390
  
Total ending allowance balance
  
$
2,024
    
$
2,700
    
$
1,649
    
$
1,608
    
$
7,981
  

June 30, 2019
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for loan losses:
                              
Beginning balance
  
$
1,583
    
$
2,186
    
$
1,063
    
$
1,896
    
$
6,728
  
Provision for loan losses
    
261
      
133
      
304
      
873
      
1,571
  
Loans charged-off
    
(407
)
    
(579
)
    
(344
)
    
(1,193
)
    
(2,523
)
Recoveries
    
536
      
482
      
72
      
535
      
1,625
  
Total ending allowance balance
  
$
1,973
    
$
2,222
    
$
1,095
    
$
2,111
    
$
7,401
  
Allowance for Loan Losses and Recorded Investment in Loans by Portfolio Segment Based on Impairment Method
The following table presents the balance in the allowance for loan losses and the recorded investment of loans by portfolio segment and based on impairment method as of June 30, 2020 and December 31, 2019:

June 30, 2020
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for loan losses:
                              
Ending allowance balance attributable to loans:
                              
Individually evaluated for impairment
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  
Collectively evaluated for impairment
    
2,024
      
2,700
      
1,649
      
1,608
      
7,981
  
Total ending allowance balance
  
$
2,024
    
$
2,700
    
$
1,649
    
$
1,608
    
$
7,981
  
                                         
Loans:
                                        
Loans individually evaluated for impairment
  
$
423
    
$
5,051
    
$
4,725
    
$
403
    
$
10,602
  
Loans collectively evaluated for impairment
    
314,564
      
234,840
      
138,247
      
132,579
      
820,230
  
Total ending loans balance
  
$
314,987
    
$
239,891
    
$
142,972
    
$
132,982
    
$
830,832
  

December 31, 2019
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for loan losses:
                              
Ending allowance balance attributable to loans:
                              
Individually evaluated for impairment
  
$
—
    
$
385
    
$
303
    
$
119
    
$
807
  
Collectively evaluated for impairment
    
1,250
      
1,543
      
1,144
      
1,528
      
5,465
  
Total ending allowance balance
  
$
1,250
    
$
1,928
    
$
1,447
    
$
1,647
    
$
6,272
  
                                         
Loans:
                                        
Loans individually evaluated for impairment
  
$
438
    
$
11,300
    
$
4,910
    
$
487
    
$
17,135
  
Loans collectively evaluated for impairment
    
309,815
      
210,836
      
95,113
      
139,875
      
755,639
  
Total ending loans balance
  
$
310,253
    
$
222,136
    
$
100,023
    
$
140,362
    
$
772,774
  
Loans Individually Evaluated for Impairment by Class of Loans
The following tables present information related to loans individually evaluated for impairment by class of loans as of June 30, 2020 and December 31, 2019:

June 30, 2020
  
Unpaid
Principal Balance
    
Recorded
Investment
    
Allowance for Loan
Losses Allocated
  
With an allowance recorded
  
$
—
    
$
—
    
$
—
  
With no related allowance recorded:
                        
Residential real estate
    
424
      
423
      
—
  
Commercial real estate:
                        
Owner-occupied
    
4,034
      
4,034
      
—
  
Nonowner-occupied
    
1,017
      
1,017
      
—
  
Commercial and industrial
    
4,725
      
4,725
      
—
  
Consumer:
                        
Home equity
    
403
      
403
      
—
  
Total
  
$
10,603
    
$
10,602
    
$
—
  

December 31, 2019
  
Unpaid
Principal Balance
    
Recorded
Investment
    
Allowance for Loan
Losses Allocated
  
With an allowance recorded:
                  
Commercial real estate:
                  
Owner-occupied
  
$
2,030
    
$
2,030
    
$
385
  
Commercial and industrial
    
4,861
      
4,861
      
303
  
Consumer:
                        
Automobile
    
8
      
8
      
8
  
Other
    
111
      
111
      
111
  
With no related allowance recorded:
                        
Residential real estate
    
438
      
438
      
—
  
Commercial real estate:
                        
Owner-occupied
    
1,778
      
1,778
      
—
  
Nonowner-occupied
    
7,492
      
7,492
      
—
  
Commercial and industrial
    
49
      
49
      
—
  
Consumer:
                        
Home equity
    
368
      
368
      
—
  
Total
  
$
17,135
    
$
17,135
    
$
807
  

The following tables present information related to loans individually evaluated for impairment by class of loans for the three and  six months ended June 30, 2020 and 2019:

  
Three months ended June 30, 2020
    
Six months ended June 30, 2020
  
   
Average
Impaired Loans
    
Interest Income
Recognized
    
Cash Basis
Interest Recognized
    
Average
Impaired Loans
    
Interest Income
Recognized
    
Cash Basis
Interest Recognized
  
 
With an allowance recorded
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  
With no related allowance recorded:
                                                
Residential real estate
    
426
      
5
      
5
      
430
      
8
      
8
  
Commercial real estate:
                                                
Owner-occupied
    
4,051
      
44
      
44
      
3,764
      
102
      
102
  
Nonowner-occupied
    
1,018
      
13
      
13
      
1,027
      
24
      
24
  
Commercial and industrial
    
4,355
      
56
      
56
      
4,428
      
129
      
129
  
Consumer:
                                                
Home equity
    
403
      
3
      
3
      
391
      
8
      
8
  
Total
  
$
10,253
    
$
121
    
$
121
    
$
10,040
    
$
271
    
$
271
  

 
Three months ended June 30, 2019
    
Six months ended June 30, 2019
  
   
Average
Impaired Loans
    
Interest Income
Recognized
    
Cash Basis
Interest Recognized
    
Average
Impaired Loans
    
Interest Income
Recognized
    
Cash Basis
Interest Recognized
  
With an allowance recorded:
                                    
Residential real estate
  
$
1,213
    
$
—
    
$
—
    
$
1,214
    
$
5
    
$
5
  
Commercial real estate:
                                                
Nonowner-occupied
    
324
      
1
      
1
      
337
      
1
      
1
  
With no related allowance recorded:
                                                
Residential real estate
    
636
      
6
      
6
      
575
      
11
      
11
  
Commercial real estate:
                                                
Owner-occupied
    
3,483
      
58
      
58
      
3,111
      
112
      
112
  
Nonowner-occupied
    
7,458
      
117
      
117
      
5,287
      
228
      
228
  
Commercial and industrial
    
7,366
      
121
      
121
      
6,591
      
242
      
242
  
Consumer:
                                                
Other
    
6
      
—
      
—
      
4
      
—
      
—
  
Total
  
$
20,486
    
$
303
    
$
303
    
$
17,119
    
$
599
    
$
599
  
Recorded Investment in Nonaccrual and Loans Past Due Over 90 Days Still on Accrual by Class of Loans
The following table presents the recorded investment of nonaccrual loans and loans past due 90 days or more and still accruing by class of loans as of June 30, 2020 and December 31, 2019:

June 30, 2020
  
Loans Past Due
90 Days And
Still Accruing
    
Nonaccrual
  
             
Residential real estate
  
$
153
    
$
5,773
  
Commercial real estate:
                
Owner-occupied
    
60
      
341
  
Nonowner-occupied
    
—
      
716
  
Construction
    
—
      
176
  
Commercial and industrial
    
11
      
427
  
Consumer:
                
Automobile
    
65
      
177
  
Home equity
    
—
      
213
  
Other
    
164
      
60
  
Total
  
$
453
    
$
7,883
  

December 31, 2019
  
Loans Past Due
90 Days And
Still Accruing
    
Nonaccrual
  
             
Residential real estate
  
$
255
    
$
6,119
  
Commercial real estate:
                
Owner-occupied
    
—
      
863
  
Nonowner-occupied
    
—
      
804
  
Construction
    
—
      
229
  
Commercial and industrial
    
—
      
590
  
Consumer:
                
Automobile
    
239
      
61
  
Home equity
    
—
      
392
  
Other
    
395
      
91
  
Total
  
$
889
    
$
9,149
  
Aging of Recorded Investment in Past Due Loans by Class of Loans
The following table presents the aging of the recorded investment of past due loans by class of loans as of June 30, 2020 and December 31, 2019:

June 30, 2020
  
30-59
Days
Past Due
    
60-89
Days
Past Due
    
90 Days
Or More
Past Due
    
Total
Past Due
    
Loans Not
Past Due
    
Total
  
                                     
Residential real estate
  
$
2,352
    
$
1,260
    
$
2,081
    
$
5,693
    
$
309,294
    
$
314,987
  
Commercial real estate:
                                                
Owner-occupied
    
494
      
—
      
313
      
807
      
52,773
      
53,580
  
Nonowner-occupied
    
645
      
—
      
599
      
1,244
      
150,536
      
151,780
  
Construction
    
153
      
—
      
20
      
173
      
34,358
      
34,531
  
Commercial and industrial
    
60
      
—
      
438
      
498
      
142,474
      
142,972
  
Consumer:
                                                
Automobile
    
462
      
124
      
221
      
807
      
59,562
      
60,369
  
Home equity
    
112
      
81
      
112
      
305
      
19,820
      
20,125
  
Other
    
254
      
134
      
192
      
580
      
51,908
      
52,488
  
Total
  
$
4,532
    
$
1,599
    
$
3,976
    
$
10,107
    
$
820,725
    
$
830,832
  

December 31, 2019
  
30-59
Days
Past Due
    
60-89
Days
Past Due
    
90 Days
Or More
Past Due
    
Total
Past Due
    
Loans Not
Past Due
    
Total
  
                                     
Residential real estate
  
$
4,015
    
$
1,314
    
$
1,782
    
$
7,111
    
$
303,142
    
$
310,253
  
Commercial real estate:
                                                
Owner-occupied
    
383
      
59
      
144
      
586
      
55,239
      
55,825
  
Nonowner-occupied
    
12
      
—
      
697
      
709
      
130,689
      
131,398
  
Construction
    
186
      
19
      
49
      
254
      
34,659
      
34,913
  
Commercial and industrial
    
1,320
      
312
      
241
      
1,873
      
98,150
      
100,023
  
Consumer:
                                                
Automobile
    
986
      
329
      
246
      
1,561
      
62,209
      
63,770
  
Home equity
    
106
      
18
      
279
      
403
      
22,479
      
22,882
  
Other
    
559
      
139
      
443
      
1,141
      
52,569
      
53,710
  
Total
  
$
7,567
    
$
2,190
    
$
3,881
    
$
13,638
    
$
759,136
    
$
772,774
  
Troubled Debt Restructuring Loan Modifications
The following table presents the types of TDR loan modifications by class of loans as of June 30, 2020 and December 31, 2019:

June 30, 2020
  
TDRs
Performing to Modified Terms
    
TDRs Not
Performing to Modified Terms
    
Total
TDRs
  
Residential real estate:
                  
Interest only payments
  
$
205
    
$
—
    
$
205
  
Commercial real estate:
                        
Owner-occupied
                        
Interest only payments
    
868
      
—
      
868
  
Reduction of principal and interest payments
    
1,501
      
—
      
1,501
  
Maturity extension at lower stated rate than market rate
    
354
      
—
      
354
  
Credit extension at lower stated rate than market rate
    
388
      
—
      
388
  
Nonowner-occupied
                        
Credit extension at lower stated rate than market rate
    
393
      
—
      
393
  
Commercial and industrial:
                        
Interest only payments
    
3,077
      
—
      
3,077
  
                         
Total TDRs
  
$
6,786
    
$
—
    
$
6,786
  

December 31, 2019
  
TDRs
Performing to Modified Terms
    
TDRs Not
Performing to Modified Terms
    
Total
TDRs
  
Residential real estate:
                  
Interest only payments
  
$
209
    
$
—
    
$
209
  
Commercial real estate:
                        
Owner-occupied
                        
Interest only payments
    
882
      
—
      
882
  
Reduction of principal and interest payments
    
1,521
      
—
      
1,521
  
Maturity extension at lower stated rate than market rate
    
393
      
—
      
393
  
Credit extension at lower stated rate than market rate
    
393
      
—
      
393
  
Nonowner-occupied
                        
Credit extension at lower stated rate than market rate
    
395
      
—
      
395
  
Commercial and industrial:
                        
Interest only payments
    
4,574
      
—
      
4,574
  
Reduction of principal and interest payments
    
185
      
—
      
185
  
                         
Total TDRs
  
$
8,552
    
$
—
    
$
8,552
  
Troubled Debt Restructurings on Financing Receivables Pre And Post Modification
There were no TDR loan modifications that occurred during the three and six months ended June 30, 2020. The following table presents the pre- and post-modification balances of TDR loan modifications by class of loans that occurred during the three and six months ended June 30, 2019:

        
TDRs
Performing to Modified Terms
    
TDRs Not
Performing toModified Terms
  
Three months ended June 30, 2019
  
Number
of Loans
    
Pre-Modification Recorded
Investment
    
Post-Modification Recorded
Investment
    
Pre-Modification Recorded
Investment
    
Post-Modification Recorded
Investment
  
Residential real estate:
                              
Interest only payments
    
1
    
$
292
    
$
292
    
$
—
    
$
—
  
Commercial and Industrial:
                                        
Interest only payments
    
1
      
282
      
282
                  
Total TDRs
    
2
    
$
574
    
$
574
    
$
—
    
$
—
  

       
TDRs
Performing to Modified Terms
    
TDRs Not
Performing to Modified Terms
  
Six months ended June 30, 2019
  
Number
of Loans
    
Pre-Modification Recorded
Investment
    
Post-Modification Recorded
Investment
    
Pre-Modification Recorded
Investment
    
Post-Modification Recorded
Investment
  
Residential real estate:
                              
Interest only payments
    
1
    
$
292
    
$
292
    
$
—
    
$
—
  
Commercial and Industrial:
                                        
Interest only payments
    
1
      
282
      
282
                  
Total TDRs
    
2
    
$
574
    
$
574
    
$
—
    
$
—
  
Financing Receivable Credit Quality Indicators
Criticized and classified loans will mostly consist of commercial and industrial and commercial real estate loans. The Company considers its loans that do not meet the criteria for a criticized and classified asset rating as pass rated loans, which will include loans graded from 1 (Prime) to 7 (Watch). All commercial loans are categorized into a risk category either at the time of origination or reevaluation date. As of June 30, 2020 and December 31, 2019, and based on the most recent analysis performed, the risk category of commercial loans by class of loans was as follows:

June 30, 2020
 
  
Pass
    
Criticized
    
Classified
    
Total
  
Commercial real estate:
                        
Owner-occupied
  
$
48,178
    
$
686
    
$
4,716
    
$
53,580
  
Nonowner-occupied
    
144,420
      
6,170
      
1,190
      
151,780
  
Construction
    
34,531
      
—
      
—
      
34,531
  
Commercial and industrial
    
134,820
      
2,703
      
5,449
      
142,972
  
Total
  
$
361,949
    
$
9,559
    
$
11,355
    
$
382,863
  

December 31, 2019
 
  
Pass
    
Criticized
    
Classified
    
Total
  
Commercial real estate:
                        
Owner-occupied
  
$
49,486
    
$
2,889
    
$
3,450
    
$
55,825
  
Nonowner-occupied
    
123,847
      
—
      
7,551
      
131,398
  
Construction
    
34,864
      
—
      
49
      
34,913
  
Commercial and industrial
    
89,749
      
298
      
9,976
      
100,023
  
Total
  
$
297,946
    
$
3,187
    
$
21,026
    
$
322,159
  
Recorded Investment of Residential and Consumer Loans
For residential and consumer loan classes, the Company evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following table presents the recorded investment of residential and consumer loans by class of loans based on repayment activity as of June 30, 2020 and December 31, 2019:

June 30, 2020
  
Consumer
    
Residential
        
   
Automobile
    
Home Equity
    
Other
    
Real Estate
    
Total
  
                               
Performing
  
$
60,127
    
$
19,912
    
$
52,264
    
$
309,061
    
$
441,364
  
Nonperforming
    
242
      
213
      
224
      
5,926
      
6,605
  
Total
  
$
60,369
    
$
20,125
    
$
52,488
    
$
314,987
    
$
447,969
  

December 31, 2019
  
Consumer
    
Residential
        
   
Automobile
    
Home Equity
    
Other
    
Real Estate
    
Total
  
                               
Performing
  
$
63,470
    
$
22,490
    
$
53,224
    
$
303,879
    
$
443,063
  
Nonperforming
    
300
      
392
      
486
      
6,374
      
7,552
  
Total
  
$
63,770
    
$
22,882
    
$
53,710
    
$
310,253
    
$
450,615