XML 23 R12.htm IDEA: XBRL DOCUMENT v3.24.3
LOANS AND ALLOWANCE FOR CREDIT LOSSES
 9 Months Ended
Sep. 30, 2024
LOANS AND ALLOWANCE FOR CREDIT LOSSES [Abstract]  
LOANS AND ALLOWANCE FOR CREDIT LOSSES
NOTE 4 – LOANS AND ALLOWANCE FOR CREDIT LOSSES

Loans are comprised of the following:

 
September 30,
2024
    
December 31,
2023
  
             
Residential real estate
  
$
359,309
    
$
319,504
  
Commercial real estate:
                
Owner-occupied
    
85,413
      
82,356
  
Nonowner-occupied
    
202,390
      
178,201
  
   Construction
    
77,694
      
62,337
  
Commercial and industrial
    
161,790
      
157,298
  
Consumer:
                
Automobile
    
53,923
      
61,461
  
Home equity
    
41,492
      
35,893
  
Other
    
66,901
      
74,850
  
     
1,048,912
      
971,900
  
Less:  Allowance for credit losses
    
(9,919
)
    
(8,767
)
                 
Loans, net
  
$
1,038,993
    
$
963,133
  

At September 30, 2024 and at December 31, 2023, net deferred loan origination costs and net unamortized loan purchase premiums  were $1,066 and $1,481, respectively.


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 September 30, 2024 and December 31, 2023:

September 30,2024
  
Loans Past Due
90 Days And
Still Accruing
    
Nonaccrual
Loans With No
ACL
    
Nonaccrual
Loans With an
ACL
    
Total
Nonaccrual
Loans
  
                         
Residential real estate
  
$
35
    
$
—
    
$
1,365
    
$
1,365
  
Commercial real estate:
                                
Owner-occupied
    
—
      
681
      
306
      
987
  
Nonowner-occupied
    
—
      
—
      
221
      
221
  
Construction
    
—
      
—
      
2
      
2
  
Commercial and industrial
    
—
      
—
      
1,180
      
1,180
  
Consumer:
                                
Automobile
    
54
      
—
      
264
      
264
  
Home equity
    
—
      
26
      
298
      
324
  
Other
    
37
      
—
      
187
      
187
  
Total
  
$
126
    
$
707
    
$
3,823
    
$
4,530
  

December 31, 2023
  
Loans Past Due
90 Days And
Still Accruing
    
Nonaccrual
Loans With No
ACL
    
Nonaccrual
Loans With an
ACL
    
Total
Nonaccrual
Loans
  
                         
Residential real estate
  
$
9
    
$
—
    
$
1,234
    
$
1,234
  
Commercial real estate:
                                
Owner-occupied
    
—
      
775
      
—
      
775
  
Nonowner-occupied
    
—
      
—
      
61
      
61
  
Construction
    
—
      
—
      
1
      
1
  
Commercial and industrial
    
—
      
—
      
48
      
48
  
Consumer:
                                
Automobile
    
56
      
—
      
78
      
78
  
Home equity
    
—
      
—
      
95
      
95
  
Other
    
54
      
—
      
100
      
100
  
Total
  
$
119
    
$
775
    
$
1,617
    
$
2,392
  

The Company recognized $50 and $69 of interest income in nonaccrual loans during the three and nine months ended September 30, 2024, respectively.

The following table presents the aging of the recorded investment of past due loans by class of loans as of September 30, 2024 and December 31, 2023:

September 30, 2024
  
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
  
$
2,241
    
$
478
    
$
341
    
$
3,060
    
$
356,249
    
$
359,309
  
Commercial real estate:
                                                
Owner-occupied
    
870
      
—
      
987
      
1,857
      
83,556
      
85,413
  
Nonowner-occupied
    
529
      
—
      
—
      
529
      
201,861
      
202,390
  
Construction
    
-
      
—
      
—
      
-
      
77,694
      
77,694
  
Commercial and industrial
    
706
      
548
      
1,121
      
2,375
      
159,415
      
161,790
  
Consumer:
                                                
Automobile
    
763
      
202
      
245
      
1,210
      
52,713
      
53,923
  
Home equity
    
902
      
128
      
57
      
1,087
      
40,405
      
41,492
  
Other
    
490
      
249
      
188
      
927
      
65,974
      
66,901
  
Total
  
$
6,501
    
$
1,605
    
$
2,939
    
$
11,045
    
$
1,037,867
    
$
1,048,912
  

December 31, 2023
  
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
  
$
2,705
    
$
368
    
$
481
    
$
3,554
    
$
315,950
    
$
319,504
  
Commercial real estate:
                                                
Owner-occupied
    
2,580
      
—
      
775
      
3,355
      
79,001
      
82,356
  
Nonowner-occupied
    
681
      
—
      
—
      
681
      
177,520
      
178,201
  
Construction
    
—
      
—
      
—
      
—
      
62,337
      
62,337
  
Commercial and industrial
    
3,338
      
—
      
48
      
3,386
      
153,912
      
157,298
  
Consumer:
                                                
Automobile
    
782
      
210
      
117
      
1,109
      
60,352
      
61,461
  
Home equity
    
353
      
62
      
95
      
510
      
35,383
      
35,893
  
Other
    
658
      
121
      
148
      
927
      
73,923
      
74,850
  
Total
  
$
11,097
    
$
761
    
$
1,664
    
$
13,522
    
$
958,378
    
$
971,900
  

Credit Quality Indicators:

The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt, such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. These risk categories are represented by a loan grading scale from 1 through 11. The Company analyzes loans individually with a higher credit risk rating and groups these loans into categories called “criticized” and “classified” assets. The Company considers its criticized assets to be loans that are graded 8 and its classified assets to be loans that are graded 9 through 11. The Company’s risk categories are reviewed at least annually on loans that have aggregate borrowing amounts that meet or exceed $1,000.

The Company uses the following definitions for its criticized loan risk ratings:

Special Mention.  Loans classified as “special mention” are graded 8 and indicate considerable risk due to deterioration of repayment (in the earliest stages) due to potential weak primary repayment source, or payment delinquency.  These loans will be under constant supervision, are not classified and do not expose the institution to sufficient risks to warrant classification.  These deficiencies should be correctable within the normal course of business, although significant changes in company structure or policy may be necessary to correct the deficiencies.  These loans are considered bankable assets with no apparent loss of principal or interest envisioned.  The perceived risk in continued lending is considered to have increased beyond the level where such loans would normally be granted. 

The Company uses the following definitions for its classified loan risk ratings:

Substandard.  Loans classified as “substandard” are graded 9 and represent very high risk, serious delinquency, nonaccrual, or unacceptable credit. Repayment through the primary source of repayment is in jeopardy due to the existence of one or more well-defined weaknesses, and the collateral pledged may inadequately protect collection of the loans. Loss of principal is not likely if weaknesses are corrected, although financial statements normally reveal significant weakness. Loans are still considered collectible, although loss of principal is more likely than with special mention loans. Collateral liquidation is considered likely to satisfy debt.

Doubtful.  Loans classified as “doubtful” are graded 10 and display a high probability of loss, although the amount of actual loss at the time of classification is undetermined. This classification should be temporary until such time that actual loss can be identified, or improvements are made to reduce the seriousness of the classification. These loans exhibit all substandard characteristics with the addition that weaknesses make collection or liquidation in full highly questionable and improbable. This classification consists of loans where the possibility of loss is high after collateral liquidation based upon existing facts, market conditions, and value. Loss is deferred until certain important and reasonable specific pending factors that may strengthen the credit can be more accurately determined. These factors may include proposed acquisitions, liquidation procedures, capital injection, receipt of additional collateral, mergers, or refinancing plans. A doubtful classification for an entire credit should be avoided when collection of a specific portion appears highly probable with the adequately secured portion graded substandard.

Loss.  Loans classified as “loss” are graded 11 and are considered uncollectible and are of such little value that their continuance as bankable assets is not warranted.  This classification does not mean that the credit has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this asset yielding such a minimum value even though partial recovery may be affected in the future.  Amounts classified as loss should be promptly charged off.

As of September 30, 2024 and December 31, 2023, and based on the most recent analysis performed, the risk category of commercial loans by class of loans was as follows:

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial real estate:
                                                
   Owner-occupied
                                                
     Risk Rating
                                                
        Pass
  
$
10,816
    
$
17,302
    
$
7,740
    
$
10,238
    
$
4,899
    
$
16,744
    
$
551
    
$
68,290
  
     Special Mention
    
—
      
—
      
—
      
13,072
      
—
      
1,996
      
399
      
15,467
  
        Substandard
    
170
      
—
      
—
      
—
      
136
      
850
      
500
      
1,656
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
10,986
    
$
17,302
    
$
7,740
    
$
23,310
    
$
5,035
    
$
19,590
    
$
1,450
    
$
85,413
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial real estate:
                                                
   Nonowner-occupied
                                                
     Risk Rating
                                                
        Pass
  
$
27,577
    
$
10,801
    
$
31,456
    
$
31,131
    
$
19,588
    
$
67,057
    
$
6,120
    
$
193,730
  
     Special Mention
    
—
      
2,331
      
111
      
747
      
—
      
997
      
—
      
4,186
  
        Substandard
    
221
      
—
      
894
      
—
      
3,359
      
—
      
—
      
4,474
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
27,798
    
$
13,132
    
$
32,461
    
$
31,878
    
$
22,947
    
$
68,054
    
$
6,120
    
$
202,390
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial real estate:
                                                
   Construction
                                                
     Risk Rating
                                                
        Pass
  
$
8,995
    
$
35,278
    
$
28,070
    
$
1,150
    
$
272
    
$
2,785
    
$
281
    
$
76,831
  
     Special Mention
    
—
      
643
      
—
      
—
      
—
      
43
      
—
      
686
  
        Substandard
    
—
      
—
      
—
      
—
      
—
      
177
      
—
      
177
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
8,995
    
$
35,921
    
$
28,070
    
$
1,150
    
$
272
    
$
3,005
    
$
281
    
$
77,694
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial and Industrial:
                                                
     Risk Rating
                                                
        Pass
  
$
6,455
    
$
8,574
    
$
27,257
    
$
26,454
    
$
29,041
    
$
26,349
    
$
23,751
    
$
147,881
  
     Special Mention
    
—
      
135
      
69
      
378
      
205
      
185
      
4,683
      
5,655
  
        Substandard
    
1,417
      
168
      
—
      
—
      
1,243
      
194
      
5,232
      
8,254
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
7,872
    
$
8,877
    
$
27,326
    
$
26,832
    
$
30,489
    
$
26,728
    
$
33,666
    
$
161,790
  
                                                                 
Current Period gross charge-offs
  
$
219
    
$
—
    
$
—
    
$
1
    
$
—
    
$
—
    
$
1
    
$
221
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial real estate:
                                                
   Owner-occupied
                                                
     Risk Rating
                                                
        Pass
  
$
18,120
    
$
7,911
    
$
10,679
    
$
5,973
    
$
6,125
    
$
15,925
    
$
459
    
$
65,192
  
     Special Mention
    
—
      
—
      
—
      
—
      
—
      
427
      
—
      
427
  
        Substandard
    
—
      
—
      
13,934
      
—
      
498
      
2,005
      
300
      
16,737
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
18,120
    
$
7,911
    
$
24,613
    
$
5,973
    
$
6,623
    
$
18,357
    
$
759
    
$
82,356
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial real estate:
                                                
   Nonowner-occupied
                                                
     Risk Rating
                                                
        Pass
  
$
12,688
    
$
29,344
    
$
32,235
    
$
20,484
    
$
15,415
    
$
61,809
    
$
1,128
    
$
173,103
  
     Special Mention
    
—
      
—
      
768
      
3,226
      
—
      
1,034
      
—
      
5,028
  
        Substandard
    
—
      
—
      
70
      
—
      
—
      
—
      
—
      
70
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
12,688
    
$
29,344
    
$
33,073
    
$
23,710
    
$
15,415
    
$
62,843
    
$
1,128
    
$
178,201
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
132
    
$
—
    
$
—
    
$
—
    
$
—
    
$
132
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial real estate:
                                                
   Construction
                                                
     Risk Rating
                                                
        Pass
  
$
28,055
    
$
29,174
    
$
1,231
    
$
302
    
$
392
    
$
2,937
    
$
—
    
$
62,091
  
     Special Mention
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
        Substandard
    
—
      
—
      
—
      
—
      
—
      
246
      
—
      
246
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
28,055
    
$
29,174
    
$
1,231
    
$
302
    
$
392
    
$
3,183
    
$
—
    
$
62,337
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Commercial and Industrial:
                                                
     Risk Rating
                                                
        Pass
  
$
8,770
    
$
30,885
    
$
26,806
    
$
31,247
    
$
344
    
$
27,632
    
$
27,510
    
$
153,194
  
     Special Mention
    
140
      
—
      
—
      
—
      
—
      
8
      
66
      
214
  
        Substandard
    
—
      
—
      
58
      
1,363
      
4
      
182
      
2,283
      
3,890
  
        Doubtful
    
—
      
—
      
—
      
—
      
—
      
—
      
—
      
—
  
    Total
  
$
8,910
    
$
30,885
    
$
26,864
    
$
32,610
    
$
348
    
$
27,822
    
$
29,859
    
$
157,298
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
29
    
$
29
  

The Company considers the performance of the loan portfolio and its impact on the ACL. 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 September 30, 2024 and  December 31, 2023:

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Residential Real Estate:
                                                
     Payment Performance
                                                
        Performing
  
$
38,250
    
$
55,548
    
$
41,220
    
$
47,006
    
$
40,320
    
$
101,740
    
$
33,825
    
$
357,909
  
        Nonperforming
    
—
      
119
      
204
      
84
      
—
      
993
      
—
      
1,400
  
    Total
  
$
38,250
    
$
55,667
    
$
41,424
    
$
47,090
    
$
40,320
    
$
102,733
    
$
33,825
    
$
359,309
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
10
    
$
—
    
$
—
    
$
27
    
$
—
    
$
37
  


                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Consumer:
                                                
   Automobile
                                                
     Payment Performance
                                                
        Performing
  
$
12,055
    
$
20,652
    
$
14,209
    
$
4,440
    
$
1,628
    
$
621
    
$
—
    
$
53,605
  
        Nonperforming
    
102
      
121
      
72
      
19
      
—
      
4
      
—
      
318
  
    Total
  
$
12,157
    
$
20,773
    
$
14,281
    
$
4,459
    
$
1,628
    
$
625
    
$
—
    
$
53,923
  
                                                                 
Current Period gross charge-offs
  
$
37
    
$
258
    
$
184
    
$
29
    
$
22
    
$
3
    
$
—
    
$
533
  
   
                             
Revolving
        
                             
Loans
        
 
Term Loans Amortized Cost Basis by Origination Year
  
Amortized
        
September 30, 2024
2024
  
2023
    
2022
    
2021
  
2020
  
Prior
  
Cost Basis
    
Total
  
                                                 
Consumer:
                                                
   Home Equity
                                                
     Payment Performance
                                                
        Performing
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
110
    
$
41,058
    
$
41,168
  
        Nonperforming
    
—
      
—
      
—
      
—
      
—
      
—
      
324
      
324
  
    Total
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
110
    
$
41,382
    
$
41,492
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
  


                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
September 30, 2024
  
2024
    
2023
    
2022
    
2021
    
2020
    
Prior
    
Cost Basis
    
Total
  
                                                 
Consumer:
                                                
   Other
                                                
     Payment Performance
                                                
        Performing
  
$
10,821
    
$
20,327
    
$
9,892
    
$
7,725
    
$
2,837
    
$
1,119
    
$
13,956
    
$
66,677
  
        Nonperforming
    
1
      
78
      
69
      
33
      
26
      
17
      
—
      
224
  
    Total
  
$
10,822
    
$
20,405
    
$
9,961
    
$
7,758
    
$
2,863
    
$
1,136
    
$
13,956
    
$
66,901
  
                                                                 
Current Period gross charge-offs
  
$
307
    
$
131
    
$
109
    
$
86
    
$
50
    
$
2
    
$
396
    
$
1,081
  


                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Residential Real Estate:
                                                
     Payment Performance
                                                
        Performing
  
$
50,484
    
$
44,640
    
$
50,949
    
$
44,818
    
$
21,854
    
$
91,956
    
$
13,560
    
$
318,261
  
        Nonperforming
    
—
      
—
      
—
      
—
      
182
      
1,061
      
—
      
1,243
  
    Total
  
$
50,484
    
$
44,640
    
$
50,949
    
$
44,818
    
$
22,036
    
$
93,017
    
$
13,560
    
$
319,504
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
3
    
$
—
    
$
—
    
$
118
    
$
—
    
$
121
  

                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Consumer:
                                                
   Automobile
                                                
     Payment Performance
                                                
        Performing
  
$
28,939
    
$
20,376
    
$
7,013
    
$
3,028
    
$
1,212
    
$
759
    
$
—
    
$
61,327
  
        Nonperforming
    
34
      
60
      
15
      
1
      
9
      
15
      
—
      
134
  
    Total
  
$
28,973
    
$
20,436
    
$
7,028
    
$
3,029
    
$
1,221
    
$
774
    
$
—
    
$
61,461
  
                                                                 
Current Period gross charge-offs
  
$
51
    
$
163
    
$
116
    
$
6
    
$
29
    
$
3
    
$
—
    
$
368
  


 
                                      
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Consumer:
                                                
   Home Equity
                                                
     Payment Performance
                                                
        Performing
  
$
1,649
    
$
79
    
$
—
    
$
—
    
$
—
    
$
—
    
$
34,070
    
$
35,798
  
        Nonperforming
    
—
      
—
      
—
      
—
      
—
      
—
      
95
      
95
  
    Total
  
$
1,649
    
$
79
    
$
—
    
$
—
    
$
—
    
$
—
    
$
34,165
    
$
35,893
  
                                                                 
Current Period gross charge-offs
  
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
—
    
$
87
    
$
87
  


                                     
Revolving
        
                                       
Loans
        
   
Term Loans Amortized Cost Basis by Origination Year
    
Amortized
        
December 31, 2023
  
2023
    
2022
    
2021
    
2020
    
2019
    
Prior
    
Cost Basis
    
Total
  
                                                 
Consumer:
                                                
   Other
                                                
     Payment Performance
                                                
        Performing
  
$
18,377
    
$
24,904
    
$
10,800
    
$
4,482
    
$
1,093
    
$
953
    
$
14,087
    
$
74,696
  
        Nonperforming
    
11
      
17
      
67
      
53
      
1
      
4
      
1
      
154
  
    Total
  
$
18,388
    
$
24,921
    
$
10,867
    
$
4,535
    
$
1,094
    
$
957
    
$
14,088
    
$
74,850
  
                                                                 
Current Period gross charge-offs
  
$
306
    
$
119
    
$
119
    
$
84
    
$
28
    
$
53
    
$
246
    
$
955
  

The Company originates residential, consumer, and commercial loans to customers located primarily in the southeastern areas of Ohio as well as the western counties of West Virginia.  Approximately 4.05% of total loans were unsecured at September 30, 2024, down from 4.37% at December 31, 2023.
Modifications to Borrowers Experiencing Financial Difficulty:
Occasionally, the Company modifies loans to borrowers experiencing financial difficulty.  These modifications may include one or a combination of the following: a reduction of the stated interest rate of the loan; an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; a reduction in the contractual principal and interest payments of the loan; or short-term interest-only payment terms. All modifications to borrowers experiencing financial difficulty are considered to be impaired.

During the three and nine months ended September 30, 2024, the Company experienced no new modifications to borrowers experiencing financial difficulty.

The following table presents the activity in the ACL by portfolio segment for the three months ended September 30, 2024 and 2023:

September 30, 2024
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for credit losses:
                              
Beginning balance
  
$
2,350
    
$
3,491
    
$
1,393
    
$
2,197
    
$
9,431
  
Provision for credit losses
    
(98
)
    
133
      
620
      
328
      
983
  
Loans charged-off
    
-
      
—
      
(112
)
    
(611
)
    
(723
)
Recoveries
    
10
      
9
      
10
      
199
      
228
  
Total ending allowance balance
  
$
2,262
    
$
3,633
    
$
1,911
    
$
2,113
    
$
9,919
  

September 30, 2023
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for credit losses:
                              
Beginning balance
  
$
2,107
    
$
2,252
    
$
1,115
    
$
2,097
    
$
7,571
  
Provision for credit losses
    
(44
)
    
238
      
68
      
550
      
812
  
Loans charged-off
    
(32
)
    
—
      
—
      
(453
)
    
(485
)
Recoveries
    
25
      
73
      
7
      
170
      
275
  
Total ending allowance balance
  
$
2,056
    
$
2,563
    
$
1,190
    
$
2,364
    
$
8,173
  

The following table presents the activity in the ACL by portfolio segment for the nine months ended September 30, 2024 and 2023:

September 30, 2024
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for credit losses:
                              
Beginning balance
  
$
2,213
    
$
3,047
    
$
1,275
    
$
2,232
    
$
8,767
  
Provision for credit losses
    
25
      
553
      
376
      
1,024
      
1,978
  
Loans charged-off
    
(37
)
    
—
      
(221
)
    
(1,614
)
    
(1,872
)
Recoveries
    
61
      
33
      
481
      
471
      
1,046
  
Total ending allowance balance
  
$
2,262
    
$
3,633
    
$
1,911
    
$
2,113
    
$
9,919
  

September 30, 2023
  
Residential
Real Estate
    
Commercial
Real Estate
    
Commercial
and Industrial
    
Consumer
    
Total
  
Allowance for credit losses:
                              
Beginning balance
  
$
2,026
    
$
2,200
    
$
1,177
    
$
2,028
    
$
7,431
  
Provision for credit losses
    
84
      
394
      
(87
)
    
1,000
      
1,391
  
Loans charged-off
    
(103
)
    
(132
)
    
(29
)
    
(1,094
)
    
(1,358
)
Recoveries
    
49
      
101
      
129
      
430
      
709
  
Total ending allowance balance
  
$
2,056
    
$
2,563
    
$
1,190
    
$
2,364
    
$
8,173
  

The following table presents the amortized cost basis of collateral dependent loans by class of loans as of September 30, 2024 and December 31, 2023:

 
Collateral Type
  
 
September 30, 2024
  
Real Estate
    
Business Assets
    
Total
  
Residential real estate
  
$
143
    
$
—
    
$
143
  
Commercial real estate:
                        
Owner-occupied
    
710
      
141
      
851
  
       Non-owner-occupied
    
1,326
      
—
      
1,326
  
Commercial and Industrial
    
—
      
5,053
      
5,053
  
Consumer:
                        
Automobile
    
—
      
36
      
36
  
Home equity
    
26
      
—
      
26
  
Total collateral dependent loans
  
$
2,205
    
$
5,230
    
$
7,435
  


 
Collateral Type
  
 
December 31, 2023
  
Real Estate
    
Business Assets
    
Total
  
Residential real estate
  
$
1,663
    
$
—
    
$
1,663
  
Commercial real estate:
                        
Owner-occupied
    
700
      
258
      
958
  
Consumer:
                        
Home equity
    
27
      
—
      
27
  
Total collateral dependent loans
  
$
2,390
    
$
258
    
$
2,648
  

The recorded investment of a loan excludes accrued interest and net deferred origination fees and costs due to immateriality.

Nonaccrual loans and loans past due 90 days or more and still accruing include both smaller balance homogenous loans that are collectively evaluated for impairment and individually evaluated collateral dependent loans.

The Company transfers loans to OREO, at fair value less cost to sell, in the period the Company obtains physical possession of the property (through legal title or through a deed in lieu). As of September 30, 2024, the Company had $60 in OREO for residential real estate properties compared to $68 at December 31, 2023. In addition, nonaccrual residential mortgage loans that are in the process of foreclosure had a recorded investment of $346 and $348 as of September 30, 2024 and December 31, 2023, respectively.