Allowance for Loan Losses (Tables)

12 Months Ended

Dec. 31, 2020

Allowance for Loan Losses

Schedule of changes in the allowance for loan losses

	Real Estate				Commercial,
	Residential		Real Estate		Financial &		Equity				Consumer
(Dollars in thousands)	Mortgage		Construction		Agricultural		Lines		Consumer		Finance		Total
Balance at December 31, 2017	$	2,371	$	605	$	7,478	$	688	$	231	$	24,353	$	35,726
Provision charged to operations		(140)		122		(440)		418		140		10,906		11,006
Loans charged off		(42)		—		(409)		—		(344)		(16,477)		(17,272)
Recoveries of loans previously charged off		57		—		59		—		230		4,217		4,563
Balance at December 31, 2018		2,246		727		6,688		1,106		257		22,999		34,023
Provision charged to operations		(146)		(46)		458		(235)		329		8,155		8,515
Loans charged off		(46)		—		(29)		(138)		(349)		(13,991)		(14,553)
Recoveries of loans previously charged off		26		—		4		—		228		4,630		4,888
Balance at December 31, 2019		2,080		681		7,121		733		465		21,793		32,873
Provision charged to operations		808		294		3,589		(47)		(34)		6,470		11,080
Loans charged off		(62)		—		(18)		—		(231)		(9,331)		(9,642)
Recoveries of loans previously charged off		88		—		4		1		171		4,581		4,845
Balance at December 31, 2020	$	2,914	$	975	$	10,696	$	687	$	371	$	23,513	$	39,156

Schedule of total allowance for loan losses, allowance by impairment methodology, total loans, and total loans by impairment methodology

The following table presents, as of December 31, 2020, the balance of the allowance for loan losses, the allowance by impairment methodology, total loans and loans by impairment methodology.

	Real Estate				Commercial,
	Residential		Real Estate		Financial &		Equity				Consumer
(Dollars in thousands)	Mortgage		Construction		Agricultural		Lines		Consumer		Finance		Total
Allowance balance attributable to loans:
Individually evaluated for impairment	$	77	$	—	$	674	$	—	$	128	$	—	$	879
Collectively evaluated for impairment		2,837		975		10,022		687		243		23,513		38,277
Acquired loans - PCI		—		—		—		—		—		—		—
Total allowance	$	2,914	$	975	$	10,696	$	687	$	371	$	23,513	$	39,156
Loans:
Individually evaluated for impairment	$	2,210	$	—	$	3,825	$	111	$	132	$	—	$	6,278
Collectively evaluated for impairment		214,615		62,147		691,632		48,275		10,848		312,252		1,339,769
Acquired loans - PCI		1,473		—		4,758		80		48		—		6,359
Total loans	$	218,298	$	62,147	$	700,215	$	48,466	$	11,028	$	312,252	$	1,352,406

The following table presents, as of December 31, 2019, the balance of the allowance for loan losses, the allowance by impairment methodology, total loans and loans by impairment methodology.

	Real Estate				Commercial,
	Residential		Real Estate		Financial &		Equity				Consumer
(Dollars in thousands)	Mortgage		Construction		Agricultural		Lines		Consumer		Finance		Total
Allowance balance attributable to loans:
Individually evaluated for impairment	$	72	$	—	$	77	$	—	$	118	$	—	$	267
Collectively evaluated for impairment		2,008		681		7,044		733		347		21,793		32,606
Acquired loans - PCI		—		—		—		—		—		—		—
Total allowance	$	2,080	$	681	$	7,121	$	733	$	465	$	21,793	$	32,873
Loans:
Individually evaluated for impairment	$	3,671	$	—	$	1,451	$	31	$	121	$	—	$	5,274
Collectively evaluated for impairment		177,517		54,246		498,798		52,017		13,635		312,999		1,109,212
Acquired loans - PCI		107		—		563		35		—		—		705
Total loans	$	181,295	$	54,246	$	500,812	$	52,083	$	13,756	$	312,999	$	1,115,191

Schedule of loans by credit quality indicators

Loans by credit quality indicators as of December 31, 2020 were as follows:

			Special				Substandard
(Dollars in thousands)	Pass		Mention		Substandard		Nonaccrual		Total1
Real estate – residential mortgage	$	215,712	$	1,715	$	595	$	276	$	218,298
Real estate – construction:
Construction lending		49,659		—		—		—		49,659
Consumer lot lending		12,488		—		—		—		12,488
Commercial, financial and agricultural:
Commercial real estate lending		415,506		15,507		10,890		—		441,903
Land acquisition and development lending		37,724		—		—		—		37,724
Builder line lending		18,194		—		—		—		18,194
Commercial business lending		196,743		3,124		99		2,428		202,394
Equity lines		48,140		132		3		191		48,466
Consumer		10,832		48		41		107		11,028
	$	1,004,998	$	20,526	$	11,628	$	3,002	$	1,040,154

1 At December 31, 2020, the Corporation did not have any loans classified as Doubtful or Loss.

Included in the table above are loans purchased in connection with the acquisition of Peoples of $53.01 million pass rated, $695,000 special mention and $2.98 million substandard.

			Non-
(Dollars in thousands)	Performing		Performing		Total
Consumer finance	$	311,850	$	402	$	312,252

Loans by credit quality indicators as of December 31, 2019 were as follows:

			Special				Substandard
(Dollars in thousands)	Pass		Mention		Substandard		Nonaccrual		Total1
Real estate – residential mortgage	$	177,049	$	1,839	$	881	$	1,526	$	181,295
Real estate – construction:
Construction lending		40,943		—		—		—		40,943
Consumer lot lending		13,303		—		—		—		13,303
Commercial, financial and agricultural:
Commercial real estate lending		323,218		3,266		70		—		326,554
Land acquisition and development lending		33,870		9,021		—		—		42,891
Builder line lending		25,995		378		—		—		26,373
Commercial business lending		104,291		692		—		11		104,994
Equity lines		51,662		181		11		229		52,083
Consumer		13,632		6		—		118		13,756
	$	783,963	$	15,383	$	962	$	1,884	$	802,192

1 At December 31, 2019, the Corporation did not have any loans classified as Doubtful or Loss.

			Non-
(Dollars in thousands)	Performing		Performing		Total
Consumer finance	$	312,388	$	611	$	312,999